Document:

EX-10.36

 Exhibit 10.36 

EXECUTION COPY 
 PURCHASE OPTION
AGREEMENT 
 for 
 PURCHASE AND
SALE 
 of 
 DIRECT AND INDIRECT
LIMITED PARTNERSHIP INTERESTS 
 in 

PGREF II 60 WALL STREET INVESTORS, L.P. 

between 
 PARAMOUNT DEVELOPMENT
AND INVESTMENT, INC., 
 a Delaware corporation, 

and 
 PARAMOUNT GROUP REAL ESTATE
FUND II, L.P. AND 
 PARAMOUNT GROUP REAL ESTATE FUND III, L.P., 

each a Delaware limited partnership 

							
	1.	 	 Grant of Option
	  	 	2	  
			
	2.	 	 Purchase Price and Manner of Payment
	  	 	2	  
			
	3.	 	 Deliveries on Behalf of Seller
	  	 	5	  
			
	4.	 	 Deliveries on Behalf of Purchaser
	  	 	6	  
			
	5.	 	 Representations and Warranties of Purchaser
	  	 	7	  
			
	6.	 	 Representations and Warranties of Seller
	  	 	8	  
			
	7.	 	 Covenants
	  	 	10	  
			
	8.	 	 Indemnity
	  	 	10	  
			
	9.	 	 Casualty; Condemnation
	  	 	11	  
			
	10.	 	 Conditions to Closing
	  	 	11	  
			
	11.	 	 Defaults and Remedies
	  	 	13	  
			
	12.	 	 Costs and Expenses
	  	 	13	  
			
	13.	 	 Brokers and Advisors
	  	 	13	  
			
	14.	 	 Notices
	  	 	14	  
			
	15.	 	 Further Assurances
	  	 	15	  
			
	16.	 	 Successors and Assigns
	  	 	15	  
			
	17.	 	 Gender and Number
	  	 	15	  
			
	18.	 	 Applicable Law
	  	 	15	  
			
	19.	 	 Other Agreement
	  	 	16	  
			
	20.	 	 Right to Assign Buy-Sell Rights
	  	 	16	  
			
	21.	 	 Construction
	  	 	16	  
			
	22.	 	 Miscellaneous
	  	 	17	  
		
	List of Exhibits	  			
		
	Exhibit A – Qualified Appraisers	  			
	Exhibit B – Assignment and Assumption of Seller Interest	  			

  
 1 

 PURCHASE OPTION AGREEMENT 

THIS PURCHASE OPTION AGREEMENT, made as of the 27th day of June, 2014 (this
“Agreement”), by and between PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“Fund II”), PARAMOUNT GROUP REAL
ESTATE FUND III, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“Fund III, together with Fund II, collectively, “Seller”), and PARAMOUNT DEVELOPMENT AND
INVESTMENT, INC., a Delaware corporation, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“Purchaser”). 

W I T N E S S E T H: 

WHEREAS, Seller, SSF III 60 Wall JV, LLC, a Delaware limited liability company (“SSF”), PGREF II 60 Wall Investors GP,
LLC, a Delaware limited liability company (“GP”) and PGREF III Wall Street Investor, L.P., a Delaware limited partnership (“Fund III Holdco”) are parties to that certain Second Amended and Restated Limited
Partnership Agreement, dated as of July 10, 2007 (the “Partnership Agreement”) of PGREF II 60 Wall Street Investors, L.P., a Delaware limited partnership (the “Partnership”); 

WHEREAS, the Partnership, indirectly through various subsidiaries including PGREF II 60 Wall Street, LP, a Delaware limited partnership
(“Property Owner”), owns the land and building located at and known as 60 Wall Street, New York, New York (the “Property”); 

WHEREAS, Property Owner is a party to that certain Lease, dated June 6, 2007 (as amended, restated or modified from time to time,
the “Lease”) between Property Owner and Deutsche Bank AG New York Branch (“Tenant”) with respect to certain space at the Property; 

WHEREAS, pursuant to the Partnership Agreement, Seller currently holds a collective direct and indirect sixty-two and three tenths
percent (62.30%) general and limited partnership interests in the Partnership; and 
 WHEREAS, Purchaser may desire to acquire
Seller’s direct and indirect interests in the Partnership, and Seller has agreed to grant an option and right to Purchaser to purchase Seller’s direct and indirect interests in the Partnership for the consideration and upon the terms,
covenants and conditions hereinafter set forth; 
 WHEREAS, this Agreement is being entered into in connection with a potential
initial public offering (the “IPO”) of Paramount Group, Inc. (“Paramount”) and/or its affiliated successor or assign; it being expected that, upon the consummation of the IPO, the publicly traded entity (the
“Public REIT”) will be a corporation (i) that is either (x) a successor by merger of Paramount, (y) a corporation into which Paramount has contributed all or substantially all of its assets, or (z) a corporation
into which one hundred percent (100%) of the interests of Paramount has been transferred and (ii) (x) whose shares are traded on the New York Stock Exchange and (y) that is the sole direct and indirect general partner in a newly
formed limited partnership (the “Operating Partnership”); and 
 WHEREAS, Purchaser is a wholly-owned subsidiary of
Paramount. 

  
 1 

 NOW, THEREFORE, for and in consideration of the premises, the mutual agreements,
provisions and covenants contained herein, and for other good and valuable consideration, the receipt, adequacy and sufficiency of which are hereby expressly acknowledged by the parties hereto, Seller and Purchaser do hereby agree and covenant as
follows: 
 1. Grant of Option. Seller hereby grants to Purchaser an option (the “Option”) to acquire (i) Fund
II’s entire forty-six and two tenths percent (46.20%) limited partnership interest in the Partnership, (ii) Fund II’s entire one hundred percent (100.00%) limited liability company interest in GP, (iii) Fund Ill’s
entire ninety-nine and nine tenths percent (99.90%) limited partnership interest in Fund III Holdco and (iv) Fund Ill’s entire one hundred percent (100.00%) limited liability company interest in PGREF III Wall Street GP, LLC,
each together with all economic, voting and other rights and interests appurtenant to such limited partnership or limited liability company interest, as the case may be (collectively, the “Seller Interest”). The Option may be
exercised at any time during the period (the “Option Period”) commencing on the date of the IPO and terminating on the date that is two (2) years after the IPO, but in no event later than December 31, 2016. Such Option may
be exercised at any time during the Option Period by Purchaser serving notice upon Seller of the Purchaser’s exercise thereof (a “Option Notice”) in the manner set forth in Section 14 hereof. 

1.1. Option Notice. The Option Notice shall set forth (i) the date (the “Closing Date”) for the conveyance of the
Seller Interest by Seller to Purchaser (the “Closing”), which Closing Date shall be not more than fifteen (15) business days after the date of delivery of the Option Notice, (ii) the calculation of the Property Valuation
and Purchase Price pursuant to Article 2 below, and (iii) Purchaser’s election to elect to pay cash or common stock of the Public REIT. 

1.2. Closing. The Closing of the Transaction contemplated by this Agreement shall take place on the Closing Date at the offices of
Willkie Farr & Gallagher LLP, 787 Seventh Avenue, New York, New York, at 10:00 A.M. Eastern standard time or as may be otherwise agreed upon in writing by Seller and Purchaser. 

2. Purchase Price and Manner of Payment. 

2.1. If Purchaser exercises the Option, Purchaser shall acquire (the “Transaction”) the Seller Interest for a purchase price
(“Purchase Price”) that is an amount equal to the sum of limited partnership distributions Seller would receive under the Partnership Agreement if the Property were sold on the Closing Date for a fair market valuation of the
Property (“Property Valuation”) based on the procedures and methodology set forth in Section 2.2 below. The Purchase Price shall be calculated (a) assuming no brokerage fees or other closing costs of any kind would
be incurred upon the sale of the Property excepting only those categories of customary and reasonable liabilities, expenses and pro-rations associated with the sale of partnership interests, and (b) giving due effect to the application of gross
purchase proceeds to payment of all outstanding debt on the Property and of the Partnership (and debt- related expenses including breakage fees and lender’s attorney’s fees), other liabilities of the Partnership and the required
distributions called for under the Partnership Agreement. 

  
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 2.2. On or prior to the date that is sixty (60) days prior to Purchaser’s anticipated
delivery of the Option Notice, Purchaser shall designate three (3) appraisers from the list of appraisers set forth on Exhibit A attached hereto (each, a “Qualified Appraiser” and collectively, the “Qualified
Appraisers”). Each of the Qualified Appraisers shall, at Purchaser’s cost and expense, (i) examine the records relating to the Property and such other documents and records as may, in their judgment, be necessary,
(ii) conduct site inspections of the Property, (iii) review any other documents, perform any other due diligence or conduct any other customary actions deemed necessary to make a determination of the fair market value of the Property and
(iv) shall submit to Purchaser, within sixty (60) days of their engagement by Purchaser, their reasonable estimate of the fair market value of the Property based on the amount for which the Property would be sold free and clear of debt by
a willing seller not compelled to sell to a willing buyer not compelled to buy taking into account all relevant factors (each, a “Fair Market Value Submission”). The greater of (i) $1,026,000,000 and (ii) the average of
the two (2) highest Fair Market Value Submissions from the three (3) Qualified Appraisers will be deemed the Property Valuation for purpose of the calculation of the Purchase Price. 

2.3. In the event the Property Owner enters into any new leases, extensions of existing leases, amendments to existing leases or an expansion
of space pursuant to existing leases (collectively, “New Leases”) at the Property within ninety (90) days of the Closing, Purchaser (or Purchaser Assignee) shall notify Seller in writing of the existence of any New Leases
within ten (10) business days of the execution of a New Lease. If the income from the New Leases is reasonably estimated by Seller or Purchaser to increase the Property Valuation by more than one percent (1%), either party shall have the right
to request, at the requesting party’s sole cost and expense, the Qualified Appraisers originally designated by Purchaser in Section 2.2 above to submit updated Fair Market Value Submissions of the Property based on the procedures
set forth in Section 2.2 above and factoring in the New Leases. In the event the average of the two (2) highest Fair Market Value Submissions pursuant to this Section 2.3 factoring in the New Leases (the “Updated
Property Valuation”) is greater than the Property Valuation used as a basis to calculate the Purchase Price at Closing, an updated purchase price (“Updated Purchase Price”) shall be calculated by Purchaser based on the
procedures and methodology set forth in Section 2.1 above based on the Updated Property Valuation. The difference between the Updated Purchase Price and the Purchase Price paid at Closing will be delivered to Seller by Purchaser within
thirty (30) days of the calculation of the Updated Purchase Price in accordance with the provisions of Section 2.4.2 below (including Purchaser’s right to elect to pay cash or common stock of the Public REIT). The provisions of
this Section 2.3 shall survive Closing. 
 2.4. Upon exercise by Purchaser of the Option, the Purchase Price is payable as
follows: 
 2.4.1 Within five (5) business days after Seller’s receipt of the Option Notice, an amount equal to ten percent
(10%) of the Purchase Price as earnest money hereunder (“Deposit”), by bank check payable to the Escrow Agent or by wire transfer of immediately available federal funds to the Escrow Agent, which Deposit shall be held by a
nationally recognized title company or law firm designated by Purchaser, as escrow agent (the “Escrow Agent”), pursuant to the terms of this Agreement. For purposes of this Agreement, a “bank check” shall mean an official
check of any bank which is a member of the New York Clearing House Association, Inc. drawn directly to the order of Seller or designee of Seller, provided that the name of no third party shall appear upon such official check. 

  
 3 

 2.4.2 The balance of the Purchase Price (“Balance”) at the Closing, payable, at
the election of Purchaser, by either (i) bank check and/or by wire transfer of immediately available federal funds (to an account designated by the Seller at or prior to Closing) as directed by Seller or (ii) common stock of the Public
REIT (to an account designated by the Seller at or prior to Closing) as directed by Seller. The common stock of the Public REIT shall be calculated based on the average trading price of the common stock of the Public REIT for the ten (10) day
period prior to the Closing, ending on the date that is three (3) business days prior to Closing. At the Closing, if Purchaser elects to pay the Balance in common stock of the Public REIT, Purchaser will also have the right to substitute the
payment of the cash Deposit identified in Section 2.4.1 above for common stock of the Public REIT, whereby the substituted common stock of the Public REIT will be payable to Seller and the cash Deposit will be returned to Purchaser by
Escrow Agent. 
 2.5. Not less than one (1) Business Day prior to the Closing Date, Seller shall give Purchaser and Escrow Agent
written instructions (“Instruction Letter”) directing delivery of the Balance. 
 2.6. Escrow. 

2.6.1 Escrow Agent. The Escrow Agent, in accepting the Deposit as escrow agent, is acting only for the accommodation of the parties
and in performing its duties, shall not be liable for (a) any loss, costs or damage which it may incur as a result of serving as escrow agent hereunder, except for any loss, costs or damage arising out of its willful misconduct or gross
negligence, (b) any action taken or omitted to be taken in reliance upon any document, including any written instructions provided for in this Agreement, which the Escrow Agent shall in good faith believe to be genuine and (c) any loss or
impairment of the Deposit deposited with a federally insured financial institution, resulting from the failure, insolvency, or suspension of the depositary. Purchaser and Seller shall split all reasonable costs of Escrow Agent incurred in connection
with this Agreement and the Transaction. Purchaser and Seller hereby agree to indemnify and hold the Escrow Agent harmless against any and all losses, claims, damages, liabilities and expenses, including, without limitation, reasonable
attorneys’ fees and disbursements, which may be incurred by the Escrow Agent in connection with its serving as escrow agent hereunder, except for any loss, costs or damage arising out of Escrow Agent’s willful misconduct or gross
negligence. Purchaser and Seller hereby acknowledge that they are aware that the Federal Deposit Insurance Corporation (FDIC) coverage applies only to a cumulative maximum amount for each individual depositor for all of depositor’s accounts at
the same or related institutions. 
 2.6.2 The Deposit shall be deposited by Escrow Agent into an interest bearing Client Funds Sub-Account
at a financial institution (“Escrow Bank”) designated by Escrow Agent and reasonably acceptable to Purchaser and Seller, bearing interest at the rate determined by Escrow Bank and disbursed by Escrow Agent with the terms and
provisions of this Agreement. 

  
 4 

 2.6.3 Whether or not the Closing shall occur hereunder, the party, whether Seller or Purchaser,
entitled to receive the Deposit shall also be entitled to receive, and the Escrow Agent shall deliver to such party, either Seller or Purchaser, all interest or other proceeds earned on the Deposit in accordance with the provisions of the preceding
sentence. Purchaser shall pay any income taxes on the interest or other proceeds earned on the Deposit, unless such interest or proceeds are paid to Seller pursuant to Section 11.1 below. At the signature line of this Agreement, each
party shall set forth its taxpayer identification number. Any such interest or other proceeds (to the extent funded to Seller at Closing) shall be deemed to be a credit to Purchaser against the Purchase Price. 

2.6.4 Promptly after the receipt by Escrow Agent of (a) notice of any demand by either party claiming that it is entitled to the Deposit
(excepting notice by Purchaser to direct the Deposit to Seller in conjunction with the Closing of the Transaction contemplated herein) to or (b) any other claim or the commencement of any action, suit or proceeding by either party, Escrow Agent
shall send a copy of such notice to the other party and inform the other party of such claim. If Escrow Agent shall receive written notice from either party within ten (10) business days after delivery of such notice to the other party
instructing Escrow Agent to not deliver the Deposit to the requesting party or to otherwise hold the Deposit, or if for any reason there is any dispute or uncertainty concerning any action to be taken hereunder, Escrow Agent shall either
(i) take no action and shall continue to hold the Deposit until it has received written instructions signed by Seller and Purchaser or until directed by a final order of judgment of a court of competent jurisdiction, whereupon Escrow Agent
shall take such action in accordance with such instructions or such order or (ii) in the event a litigation is commenced between Purchaser and Seller with respect to this Agreement, and with the approval of a court of competent jurisdiction in
New York State, deposit the Deposit with such court or as directed by such court. If no written notice is received by Escrow Agent within such ten (10) Business Day period, Escrow Agent may deliver the Deposit to the party which made such
demand. 
 3. Deliveries on Behalf of Seller. 

3.1. At the Closing, Seller will duly execute, acknowledge (where appropriate) and/or deliver the following: 

3.1.1 Assignment and Assumption of the Seller Interest in the form attached hereto as Exhibit B, whereby Seller shall transfer and
assign the Seller Interest to Purchaser or Purchaser Assignee, as applicable; 
 3.1.2 A certificate of Seller dated as of the Closing Date
certifying that all representations made by Seller in this Agreement are in all material respects true, correct and complete as of the Closing Date as if made on and as of the Closing Date; 

3.1.3 A UCC search related to Seller and the Seller Interest disclosing no liens, judgments, penalties or other returns and encumbrances
against Seller and the Seller Interest; 

  
 5 

 3.1.4 An affidavit duly executed by Seller stating that it is not a “foreign person”
as defined in the Federal Foreign Investment in Real Property Tax Act of 1980 and the 1984 Tax Reform Act; 
 3.1.5 Executed closing
statement, approved by Purchaser, for the Transaction consistent with this Agreement; 
 3.1.6 An unconditional release by Seller of any
and all claims that Seller may have against the Partnership that arose or accrued during, or otherwise relate to, the period ending at Closing; 

3.1.7 Transfer tax forms, or signature pages to transfer tax forms, executed by Seller; 

3.1.8 Payment of any actual transfer tax with respect to the Transaction due and owing as of the Closing Date; 

3.1.9 Any and all reasonable and customary documents and/or affidavits to be executed and delivered by Seller, and such other and further
documents and instruments as are expressly provided for or contemplated herein to be delivered by Seller; and 
 3.1.10 The following
documents with respect to Seller: 
 (a) A good standing certificate for Seller from the State of Delaware dated no earlier than 30 days
prior to Closing; 
 (b) An incumbency certificate or power of attorney for one or more officer(s) of or attorney(ies)-in-fact for Seller
evidencing that the persons signing the Seller’s Documents on behalf of Seller are authorized to do so; and 
 (c) A certificate of
Seller’s officer stating that the managing member of Seller or the entity with ultimate authority over the actions of Seller has approved the Transaction. 

4. Deliveries on Behalf of Purchaser. 

4.1. At the Closing, Purchaser or Purchaser Assignee, as applicable, will duly execute, acknowledge (when appropriate) and/or deliver the
following: 
 4.1.1 Notice to the Escrow Agent to disburse the Deposit, together with any interest earned thereon to Seller (so long as
Purchaser has obtained a credit against the Purchase Price with respect thereto); and pay to Seller (or, at Seller’s election, to the Escrow Agent on behalf of Seller), the Balance of the Purchase Price, all in accordance with the Instruction
Letter; 
 4.1.2 Assignment and Assumption of the Seller Interest, duly executed by Purchaser or Purchaser Assignee, as applicable,
including consent of GP, as general partner in the Partnership, to the assignment of the Seller Interest to Purchaser or Purchaser Assignee, as applicable; 

  
 6 

 4.1.3 Release of Seller, from and after the Closing Date, from any covenants or obligations to
be performed after such date as a limited partner of the Partnership, executed by GP, as the general partner of the Partnership; 
 4.1.4 A
certificate of Purchaser dated as of the Closing Date certifying that all representations made by Purchaser in this Agreement are in all material respects true, correct and complete as of the Closing Date as if made on and as of the Closing Date;

 4.1.5 Executed closing statement, approved by Seller, for the Transaction; and 

4.1.6 Such other and further documents and instruments as are expressly provided for or contemplated herein to be delivered by Purchaser to
Seller. 
 5. Representations and Warranties of Purchaser. In order to induce Seller to enter into the transactions provided for in
this Agreement, Purchaser hereby warrants and represents to Seller that (as of the date of this Agreement and on the Closing Date, unless otherwise noted) the following warranties and representations shall be true and correct in all material
respects, which warranties and representations shall survive the Closing hereunder: 
 5.1. Purchaser is a corporation duly organized and
validly existing under the laws of the State of Delaware. Purchaser has the power to (or cause Purchaser Assignee to) acquire the Seller Interest. Purchaser has the power to enter into the Transaction contemplated by this Agreement and to execute,
deliver and perform this Agreement, and the assumption and other documents contemplated hereby to be executed and performed by Purchaser or Purchaser Assignee (collectively, the “Purchaser’s Documents”). The execution, delivery
and performance by Purchaser of this Agreement and the other Purchaser’s Documents has been duly authorized by all necessary organizational action of Purchaser, and this Agreement is, and at the Closing, the other Purchaser’s Documents
will, when executed and delivered by Purchaser or Purchaser Assignee, constitute the legal, valid, binding obligations of Purchaser or Purchaser Assignee enforceable against Purchaser or Purchaser Assignee in accordance with their respective terms
and provisions, subject to applicable bankruptcy and other like laws affecting the rights of contractual parties and creditors generally, and the exercise of judicial or administrative discretion in accordance with general equitable principles
(whether such enforceability is considered in a proceeding in equity or at law). 
 5.2. There are no suits, actions or proceedings pending
or, to the knowledge of Purchaser, threatened against or affecting Purchaser before or by any court or administrative agency or officer, to prohibit or enjoin the consummation of the Transaction provided for herein or which could materially and
adversely affect the ability of Purchaser to perform its obligations under the Purchaser’s Documents. 
 5.3. No consent, approval or
other action of, or filing or registration with, any governmental agency or commission is required in connection with the execution, delivery, observance or performance by Purchaser of this Agreement or the Transaction provided for herein. 

  
 7 

 5.4. Neither this Agreement nor the Transaction contemplated hereunder will result in a breach of
any of the terms and provisions of any loan agreement, indenture, mortgage, lien, or other financing agreement to which the Partnership or any subsidiary of the Partnership is bound. 

5.5. Purchaser represents that neither Purchaser nor any Purchaser Assignee are Prohibited Persons, as such term is hereinafter defined.
“Prohibited Person” means any of the following. (a) a person or entity that is listed in the Annex to, or otherwise subject to the provisions of, Executive Order No. 13224 on Terrorist Financing (effective
September 24, 2001) (the “Executive Order”); (b) a person or entity owned or controlled by, or acting for or on behalf of any person or entity that is listed in the Annex to, or is otherwise subject to the provisions of,
the Executive Order; (c) a person or entity that is named as a “specially designated national” or “blocked person” or persons or entities with whom a citizen of the United States is restricted from doing business with by any
trade embargo, economic sanction, or other prohibition of United States law, regulation, or Executive Order of the President of the United States including those listed on the most current list published by the U.S. Treasury Department’s Office
of Foreign Assets Control; or (d) a person or entity that is affiliated with any person or entity identified in clause (a), (b) and/or (c) above. 

6. Representations and Warranties of Seller. 

In order to induce Purchaser and Purchaser Assignee, if applicable, to enter into the transactions provided for in this Agreement, Seller
hereby warrants and represents to Purchaser and Purchaser Assignee, if applicable, that, as of the date of this Agreement and as of the Closing Date, the following warranties and representations shall be true and correct in all material respects,
which warranties and representations shall survive the Closing hereunder: 
 6.1. Seller is a duly organized and validly existing limited
liability company or limited partnership, as the case may be, under the laws of the State of Delaware and Seller has full power and authority to enter into the Transaction contemplated by this Agreement and to execute, deliver and perform this
Agreement and the assignment and other documents contemplated hereby to be executed and performed by Seller (collectively, “Seller’s Documents”). The execution, delivery and performance by Seller of this Agreement and the other
Seller’s Documents have been duly authorized by all necessary action of Seller and this Agreement is and, at the Closing, the other Seller’s Documents will, when executed and delivered by Seller constitute the legal, valid and binding
obligations of Seller enforceable against Seller in accordance with their respective terms and provisions. 
 6.2. There are no suits,
actions or proceeding pending or, to the knowledge of Seller, threatened against or affecting Seller before or by any court or administrative agency or officer, to prohibit or enjoin the consummation of the Transaction provided for herein or which
could materially and adversely affect the ability of Seller to perform its obligations under the Seller’s Documents. 

  
 8 

 6.3. Except as provided for in this Agreement, no consent, approval or other action of, or filing
(other than filings in the normal course of Seller’s business) or registration with, any governmental agency or commission is required in connection with the execution, delivery, observance or performance by Seller of this Agreement or the
Transaction provided for herein. 
 6.4. There has not been filed by or against Seller, or any corporation, partnership, limited liability
company, or other entity with respect to which Seller is a principal shareholder, controlling person, general partner or managing member, as the case may be, a petition in bankruptcy or insolvency proceedings or for reorganization, or for the
appointment of a receiver or trustee, nor has any such entity made an assignment for the benefit of creditors or filed a petition for an arrangement or entered into an arrangement with creditors or admitted in writing the inability to pay its debts
as they become due. 
 6.5. Other than rights in favor of Tenant pursuant to the terms of the Lease and rights in favor of Lender (as such
term is defined in the Partnership Agreement), the execution and delivery of this Agreement and the other Seller’s Documents executed and delivered by Seller, the Transaction provided for herein and therein, respectively, and compliance with or
fulfillment of the terms hereof and thereof, will not (a) result in a breach of any of the terms and provisions of or constitute a default under or conflict with, or result in the creation of any mortgage, lien, charge or encumbrance of any
nature whatsoever upon any of the properties or assets of Seller pursuant to, any agreement, indenture, mortgage, lien, lease, consent, license, franchise or other instrument to which Seller is bound or under which Seller’s properties are
affected, or (b) violate any law, rule, regulation, judgment, order, decree, writ or injunction applicable to Seller. 
 6.6. Seller
represents that Seller is not a Prohibited Person, as such term is defined in Section 5.6 above. 
 6.7. Seller has good and
marketable title to the Seller Interest, free and clear of all debt, liens, liabilities, legal and/or equitable claims and other encumbrances. 

6.8. Except for this Agreement and the Partnership Agreement, there are no commitments, agreements or obligations, including, without
limitation, rights of first refusal or rights of first offer, by Seller to issue, sell, or transfer all or any portion of the Seller Interest, and Seller has not assigned, transferred, pledged, or otherwise disposed of, or agreed to assign,
transfer, pledge, or otherwise dispose of, the Seller Interest. No person or entity has any voting or management rights with respect to the Seller Interest except for Seller. 

6.9. No documents govern the rights and obligations of Seller with respect to the Seller Interest and/or the Partnership other than this
Agreement and the Partnership Agreement. 
 6.10. Seller has no Partner Loans, as such term is defined in the Partnership Agreement,
outstanding and payable. 

  
 9 

 6.11. There are no suits, actions or proceeding pending or, to the knowledge of Seller,
threatened against or potentially affecting the Seller Interest or the Transaction contemplated hereunder. 
 6.12. Seller has not consented
to or been requested to consent to any encumbering of, or placement of any lien or other encumbrance on the Seller Interest. 
 7.
Covenants. 
 7.1. Until the Closing Date, Seller shall be entitled to receive distributions from the Partnership of available cash
in accordance with the terms of the Partnership Agreement. All provisions of the Partnership Agreement allocating profits, losses, gains, deductions and credits for tax purposes to Seller shall remain in effect through the Closing Date. 

7.2. Seller shall not enter into any commitments, agreements, or obligations to issue, sell, or transfer all or any portion of the Seller
Interest, and Seller shall not assign, transfer, pledge, or otherwise dispose of, or agree to assign, transfer, pledge, or otherwise dispose of, the Seller Interest. Seller shall not grant any other person or entity any voting or management rights
with respect to the Seller Interest. 
 7.3. Purchaser will use commercially reasonable efforts to seek and obtain the Tenant Waiver and
Lender Consent referred to in Article 10. 
 8. Indemnity. 

8.1. Seller hereby agrees to indemnify and hold Purchaser harmless from and against any claims of third parties against or incurred by
Purchaser, the Partnership or the Seller Interest, and demands, damages, liabilities, losses, costs and/or expenses, including, without limitation, reasonable attorney’s fees and disbursements, incurred or suffered by Purchaser or Purchaser
Assignee or to which Purchaser or Purchaser Assignee is subjected in connection therewith that arise out of the breach or inaccuracy of Seller’s representations and warranties set forth in Section 6 or failure of Seller to comply
with the covenants set forth in Section 7 of the Agreement. 
 8.2. Purchaser hereby agrees to indemnify and hold Seller
harmless from and against any claims of third parties against or incurred by Seller, and demands, damages, liabilities, losses, costs and/or expenses, including, without limitation, reasonable attorney’s fees and disbursements, incurred or
suffered by Seller or to which Seller is subjected in connection therewith that arise out of the liabilities of the Partnership related solely to the period after the Closing Date. 

8.3. The indemnifications provided for hereunder shall survive Closing indefinitely. No action or inaction on the part of any indemnitee or
any affiliate or agent thereof, including, without limitation, any failure of such indemnitee to timely forward notice of an actual or potential claim that could be the subject of the indemnification set forth herein (but other than settling any
such claim without the prior consent of the indemnitor), shall operate to waive or limit any indemnitor’s liability hereunder, or release such indemnitor from any liability hereunder unless and to the extent such action or inaction shall have
prejudiced such indemnitor’s rights with respect to such claim or the ability of the indemnitor to defend or indemnify against such claim. 

  
 10 

 9. Casualty; Condemnation. 

9.1. If the Property is damaged by fire or other casualty or if any entity possessing the right of eminent domain shall give notice of an
intention to take or acquire a substantial part of the Property, and such notice is given between the date of the Option Notice and the Closing Date, the following shall apply: 

9.1.1 If the Property is damaged by a fully insured casualty, subject to reasonable deductible amounts or an uninsured or substantially
underinsured casualty not resulting in substantial damage (which shall be deemed to mean damage which is estimated to cost $20,000,000.00 or less to repair) or if the taking or acquisition shall not result in a permanent substantial reduction in the
income-producing capacity of the Property, then the Purchaser shall be required to complete the Transaction and the insurance or condemnation proceeds, settlements or awards or the relevant part thereof shall be retained by the Partnership and the
Seller shall not be entitled to any portion thereof. 
 9.1.2 If the Property is damaged by an uninsured or substantially underinsured
casualty resulting in substantial casualty (which shall be deemed to mean damaged which is estimated to cost in excess of $20,000,000.00 to repair), or if the taking or acquisition shall result in a permanent substantial reduction in the
income-producing capacity of the Property, then the Purchaser shall have the option to either consummate the Transaction in which event any insurance or condemnation proceeds, settlements and awards or the relevant part thereof shall be retained by
the Partnership and the Seller shall not be entitled to any portion thereof, or (b) terminate this Agreement. 
 9.1.3 In the event
that the casualty, taking or acquisition shall result in a permanent substantial reduction in the income-producing capacity of the Property, the Purchaser shall also have the right to terminate this Agreement. 

10. Conditions to Closing. 

10.1. Seller’s obligation to sell the Seller Interest is subject to the satisfaction of the following conditions precedent (or
simultaneous conditions, as applicable), any or all of which may be waived by Seller: 
 10.1.1 This Agreement shall be in full force and
effect and there shall not then exist any event which would allow Seller to terminate this Agreement pursuant to the express terms hereof; 

10.1.2 Purchaser shall have paid into escrow with the Escrow Agent the Deposit and the Balance as directed by the Instruction Letter and
shall have complied, in all material respects, with its obligations under Article 4; 
 10.1.3 Purchaser and Seller shall have
received the consent of Lender (as such term is defined in the Partnership Agreement) to the Transaction, if applicable; 

  
 11 

 10.1.4 Purchaser shall not be in default in any material respect under any covenant or agreement
of Purchaser contained in this Agreement; and 
 10.1.5 All of Purchaser’s representations in Article 5 shall be true and
correct in all material respects on and as of the Closing Date as if made on and as of the Closing Date. 
 10.2. Purchaser’s
obligation to purchase the Seller Interest after delivery of the Option Notice and otherwise consummate Closing hereunder, is subject to the satisfaction of the following conditions precedent (or simultaneous conditions, if applicable), any or all
of which may be waived by Purchaser: 
 10.2.1 This Agreement shall be in full force and effect and there shall not then exist any event
which would allow Purchaser to terminate this Agreement pursuant to the express terms hereof; 
 10.2.2 Seller shall have complied, in all
material respects, with its obligations under Article 3; 
 10.2.3 All of Seller’s representations in this Agreement shall be true and
correct on and as of the Closing Date as if made in all material respects on and as of the Closing Date; 
 10.2.4 Purchaser shall have
received a written waiver from Tenant (“Tenant Waiver”), in form and substance reasonably acceptable to Purchaser, with respect to Tenant’s “Right of First Offer to Purchase” contained in Article 42 of the Lease;
provided that Purchaser shall have the right to extend the anticipated Closing Date set forth in the Option Notice for up to an additional sixty (60) business days in the event the Tenant Waiver has not been received by the anticipated Closing
Date; 
 10.2.5 Purchaser shall have received the consent of Lender (as such term is defined in the Partnership Agreement) to the
Transaction (or an acknowledgement of some other form of waiver from Lender that their consent to the Transaction is not required), if applicable; 

10.2.6 Seller shall pay, on the Closing Date, any actual transfer tax with respect to the Transaction due and owing as of the Closing Date;
provided, however, in the event the Purchase Price is paid with common shares of the Public REIT, both Seller and Purchaser shall work together in good faith to reduce Seller’s transfer tax liability associated with the exchange of the Seller
Interest for common shares of the Public REIT, provided that Seller shall be subject to any transfer restrictions or lock-up periods in accordance with applicable law in order to obtain the benefit of a transfer tax reduction; 

10.2.7 Seller shall not be in default in any material respect under any covenant or agreement of Seller contained in this Agreement and/or in
the Partnership Agreement; and 
 10.2.8 All other conditions set forth in this Agreement to Purchaser’s obligation to close shall
have been satisfied. 

  
 12 

 11. Defaults and Remedies. 

11.1. In the event Seller should default (or breach any of its representations under this Agreement in any material respect), and such default
or breach is not cured or remedied within twenty (20) days after receipt of notice thereof given by Purchaser to Seller (but in any event prior to the Closing Date), Purchaser, if Purchaser is then ready, willing and able to consummate Closing,
may (i) terminate this Agreement and receive from the Escrow Agent a return of the Deposit, (ii) treat this Purchase Option Agreement as being in full force and effect and pursue the remedy of specific performance of the Transaction
pursuant to the terms hereof against Seller, or (iii) otherwise pursue any other rights and remedies available to Purchaser and/or Purchaser Assignee at law, in equity or otherwise. In the event Purchaser pursues the remedy of specific
performance, Seller hereby irrevocably constitutes and appoints the Purchaser its attorney-in-fact to execute, acknowledge and deliver the Seller’s Documents and other instruments as may be necessary or appropriate to carry out and enforce the
provisions of this Agreement. 
 11.2. From and after the delivery of the Option Notice, in the event Purchaser should default (or breach
any of its representations under this Agreement in any material respect), and such default or breach is not cured or remedied prior to the scheduled Closing Date, Seller, if Seller is then ready, willing and able to consummate Closing, may as its
sole and exclusive remedy terminate this Agreement and retain the Deposit as liquidated damages. The parties hereto agree that the damages that Seller will sustain as a result of any default or breach by Purchaser will be substantial but will be
difficult if not impossible to ascertain and therefore the parties agree that in such event, Seller shall elect to keep the Deposit hereunder as and for its liquidated damages and neither party shall have any further claim against the other. 

12. Costs and Expenses. 

12.1. Except as set forth in Section 10.1.2, all costs and expenses incident to this Agreement, the Transaction and the Closing
shall be paid by the party incurring same, including, without limitation, its own attorneys’ fees. 
 13. Brokers and Advisors.

 13.1. Each of Seller and Purchaser represents and warrants for itself that it has not dealt with any broker, finder or advisor in
connection with this Agreement and the Transaction contemplated hereby. Each party hereto agrees to indemnify and hold the other parties hereto free and harmless from all losses, damages, costs and expenses (including attorneys’ fees) that the
other parties may suffer as a result of claims made or suits brought by any broker, finder or advisor who shall claim to have introduced the indemnifying party to this Transaction or who shall claim to have dealt with or had discussions with the
indemnifying party with respect to this Transaction. The provisions of this Section 13 shall survive the Closing hereunder or, if the Closing does not occur, notwithstanding anything to the contrary contained in this Agreement, the
termination of this Agreement. 

  
 13 

 14. Notices. 

14.1. Any notice pursuant to this Agreement shall be given in writing by (a) personal delivery, or (b) reputable national overnight
delivery service with proof of delivery, or (c) United States Mail, postage prepaid, registered or certified mail, return receipt requested, sent to the intended addressee at the address set forth below, or to such address or to the attention
of such other person as the addressee shall have designated by written notice sent in accordance herewith, and shall be deemed to have been given upon receipt or refusal to accept delivery. Unless changed in accordance with the preceding sentence,
the addresses for notice given pursuant to this Agreement shall be as follows: 
 If to Seller: 

[                       
             ] 
 Attention:
[                        ]] 

with a copy to: 

[                    ] 

[                    ] 

Attention: [                    ] 

If to Purchaser: 
 Paramount
Development and Investment, Inc. 
 c/o Paramount Group, Inc. 

1633 Broadway, Suite 1801 
 New
York, New York 10019 
 Attention: Albert P. Behler 

Telecopy: (212) 974-6435 

with a copy to: 
 Paramount
Development and Investment, Inc. 
 c/o Paramount Group, Inc. 

1633 Broadway, Suite 1801 
 New
York, New York 10019 
 Attention: General Counsel 

Telecopy: (212) 237-3197 

And: 
 Willkie Farr &
Gallagher LLP 
 787 Seventh Avenue 

New York, New York 10019 

Attention: Thomas J. Henry, Esq. 

Telecopy: (212) 728-9750 

  
 14 

 Notices may be delivered by counsel to either Seller or Purchaser, as applicable. During the period from the date
hereof through Closing, as a condition to the effectiveness of any notices to be delivered hereunder, copies of such notices must also be sent via electronic mail in accordance with the following: (a) if to Seller, to the following e-mail
addresses: [                    ]; and (b) if to Purchaser, to the following e-mail addresses: abehler@paramount-group.com,
dlauer@paramount-group.com, gjohnson@paramount-group.com and thenry@willkie.com. 
 15. Further Assurances. 

1.1 Each of the parties hereby agrees to execute, acknowledge (if necessary) and deliver such other documents or instruments as the other may
reasonably require from time to time to carry out the intents and purposes of this Agreement. This provision shall survive the Closing. 

16. Successors and Assigns. 

16.1. This Agreement shall be binding upon and inure to the benefit of Seller and Purchaser and their respective legal representatives,
designees, successors and assigns. Purchaser may assign this Agreement and/or direct Seller to convey all or a portion of the Seller Interest to one or more affiliates including but not limited to the Public REIT or the Operating Partnership, or any
affiliate or subsidiary of either or them (collectively, “Purchaser Assignee”) provided (a) Purchaser hereunder shall be jointly and severally obligated with such Purchaser Assignee for the performance of all covenants,
agreements and indemnities and the satisfaction of all conditions required of Purchaser under this Agreement and all documents and instruments executed pursuant hereto; (b) all references in this Agreement to “Purchaser” shall mean
each of the originally named Purchaser and Purchaser Assignee provided that Seller shall tender performance hereunder to such Purchaser Assignee; (c) all representations and warranties hereunder shall be deemed to be made and apply to each of
the originally named Purchaser and Purchaser Assignee (with such modifications as may need to be made to the extent the structure of Purchaser Assignee is different than that of Purchaser), and (d) Purchaser Assignee complies with Seller’s
regulations with respect to the USA PATRIOT Act (H.R. 3162), and/or other similar federal or state regulations. In the event this Agreement is assigned in accordance with this Section, the transferring Purchaser need not deliver any of the
organizational documents called for under Section 4 at Closing; rather, such corresponding documents will be delivered with respect to the Purchaser Assignee. 

17. Gender and Number. 

17.1. Whenever the context so requires, references herein to the neuter gender shall include the masculine and/or feminine gender, and the
singular number shall include the plural. 
 18. Applicable Law. 

18.1. THIS AGREEMENT IS PERFORMABLE IN THE STATE OF NEW YORK AND SHALL IN ALL RESPECTS BE GOVERNED BY, AND CONSTRUED IN

  
 15 

 
ACCORDANCE WITH, THE SUBSTANTIVE FEDERAL LAWS OF THE UNITED STATES AND THE LAWS OF SUCH STATE. SELLER AND PURCHASER HEREBY IRREVOCABLY SUBMIT TO THE JURISDICTION OF ANY STATE OR FEDERAL COURT
SITTING IN THE CITY AND STATE OF NEW YORK IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT AND HEREBY IRREVOCABLY AGREE THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING SHALL BE HEARD AND DETERMINED IN A STATE OR
FEDERAL COURT SITTING IN THE CITY AND STATE OF NEW YORK. PURCHASER AND SELLER AGREE THAT THE PROVISIONS OF THIS SECTION 18 SHALL SURVIVE THE CLOSING OF THE TRANSACTION CONTEMPLATED BY THIS AGREEMENT. 

19. Other Agreement. 

19.1. Simultaneously with the execution of this Agreement, Purchaser will enter into that certain Consent and Agreement (the “Other
Agreement”) by and between Purchaser and SSF whereby, in the event Purchaser (or Purchaser Assignee) exercises the Option pursuant to the terms of this Agreement, Purchaser (or Purchaser Assignee) shall simultaneously with the exercise of
the Option deliver a notice to SSF to such effect (“Tag Initiation Notice”), and upon receipt of the Tag Initiation Notice, SSF shall have the right (“Tag-Along Right”) to sell SSF’s thirty-seven and seven
tenths percent (37.70%) limited partnership interest in the Partnership, together with all economic, voting and other rights and interests appurtenant to such limited partnership, to Purchaser (or Purchaser Assignee) pursuant to the terms of
the Other Agreement, concurrently with the sale of Seller’s interests to Purchaser (or Purchaser Assignee) pursuant to the terms of this Agreement. 

19.2. Seller acknowledges that Purchaser may enter into the Other Agreement and provide SSF with the Tag-Along Right contained in the Other
Agreement. 
 20. Right to Assign Buy-Sell Rights. 

20.1. Pursuant to Section 11.3 of the Partnership Agreement, each of GP on behalf of the Paramount Group (as such term is defined in the
Partnership Agreement) and Investor LP (as such term is defined in the Partnership Agreement) on behalf of Investor LP Group (as such term is defined in the Partnership Agreement) are granted certain rights to trigger a buy-sell process of interests
in the Partnership (the “Buy-Sell Rights”) subject to certain conditions. In the event the Paramount Group (as such term is defined in the Partnership Agreement) is ultimately designated as the “Purchaser” pursuant to
Section 11.3 of the Partnership Agreement, Seller and Purchaser to this Agreement hereby agree that the Purchaser shall have the right, but not the obligation, to designate Purchaser Assignee, and Purchaser Assignee shall have the right, but
not the obligation, to accept such designation, as a nominee, assignee or designee of the Paramount Group (as such term is defined in the Partnership Agreement) with respect to the Buy-Sell Rights. 

21. Construction. 
 21.1.
The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in
the interpretation of this Agreement or any exhibits or amendments hereto. 

  
 16 

 22. Miscellaneous. 

22.1. Subject to Article 16 hereof, the provisions of this Agreement and of the documents to be executed and delivered at Closing are
and will be for the benefit of Seller and Purchaser only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or documents to be executed and delivered at
Closing. 
 22.2. This Agreement and the instruments referred to herein may not be amended, waived or discharged except by an instrument in
writing executed by the party against whom enforcement of such amendment, waiver or discharge is sought. 
 22.3. This Agreement shall not
be binding or effective until Purchaser and Seller have executed and delivered a counterpart of the same, each of which shall constitute an original, but all of which taken together shall constitute one agreement. 

22.4. Neither Seller nor Purchaser shall record this Agreement or any memorandum hereof. If requested by Purchaser, Seller shall execute a
memorandum of this Agreement in recordable form (the “Memorandum”), which Purchaser may cause to be recorded in the appropriate land records at the Partnership’s sole cost and expense. If the Option shall not be duly exercised
within the Option Period, or if Purchaser shall fail to make timely any payment required pursuant to this Agreement, or if for any reason this Agreement shall terminate, then, in any such event, Seller may execute a statement to be recorded in the
appropriate land records terminating the Memorandum. Purchaser hereby appoints Seller as its attorney-in-fact to execute such a termination statement on its behalf. This appointment shall be deemed to be coupled with an interest and irrevocable.

 22.5. The provisions of this Agreement are not intended in any way to (i) modify, supplement or amend the terms of the Partnership
Agreement or (ii) trigger any forced sale, buy-sell or other transfer rights contained therein. 
 22.6. If any provision of this
Agreement shall be held to be illegal, unenforceable or inapplicable in any respect, each such holding shall not affect the enforceability of any other provision of this Agreement or the enforcement of this Agreement under any other circumstances.

 22.7. The captions and headings throughout this Agreement are for convenience and reference only and they shall in no way be held or
deemed to define, modify or alter the meaning, scope or intent of any provision of this Agreement. Words such as “herein,” “hereinafter,” “hereof” and “hereunder” refer to this Agreement as a whole and not
merely to the paragraph, Section or other subdivision in which such words appear, unless the context otherwise requires. The singular shall include the plural, and the masculine shall include the feminine and the neuter, and visa versa, unless the
context otherwise requires. References to “Sections” are to Sections of this Agreement, unless otherwise specifically provided. 

  
 17 

 22.8. Except as otherwise expressly provided, no delay or omission by any party hereto to
exercise any right or power occurring upon any noncompliance or failure of performance by the other party under the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof. A waiver by any party
hereto of any of the terms, covenants, conditions or agreements hereof to be performed by the other party shall not be construed to be a waiver of any succeeding breach thereof or of any other term, covenant, condition or agreement herein contained.

 22.9. In the computation of any period of time provided for in this Agreement or by law, any date falling on a Saturday, Sunday or legal
holiday when banks are not open for business in New York City shall be deemed to refer to the next business day which is not a Saturday, Sunday, or legal holiday when banks are not open for business in New York City (“Business
Day”). 
 22.10. Each party agrees that the information contained herein, and any information exchanged between the parties in
connection with the proposed transactions described herein, is strictly confidential. Neither party shall disclose the existence of, nor any of the terms contained in, this Agreement, nor the substance of any other discussions between the parties,
to any other person or entity except to the extent required by any applicable securities or other laws; provided, however, that each party may share any and all information it deems pertinent with regulators, lenders, prospective lenders, investors,
prospective investors, counsel, consultants, accountants and advisors but shall require that such persons and entities shall keep such information confidential and shall be responsible for any breach of such confidentiality by such persons or
entities. This Section shall not inhibit any disclosure to any governmental authority, whether domestic or foreign, to assure compliance with any applicable Laws. 

22.11. All exhibits and schedules attached to this Agreement shall be hereby incorporated herein. 

[REMAINDER OF PAGE INTENTIONALLY BLANK] 

  
 18 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and year first above
written. 
  

													
	SELLER:	 		 	PURCHASER:
			
	PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership	 		 	PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation
					
	By:	 	 /s/ Daniel A. Lauer
	 		 	By:	 	 /s/ Daniel A. Lauer

		 	Name:	 	Daniel A. Lauer	 		 		 	Name:	 	Daniel A. Lauer
		 	Title:	 	Vice President	 		 		 	Title:	 	Vice President
					
	PARAMOUNT GROUP REAL ESTATE FUND III, L.P., a Delaware limited partnership	 		 		 		 	
						
	By:	 	 /s/ Daniel A. Lauer
	 		 		 		 	
		 	Name:	 	Daniel A. Lauer	 		 		 		 	
		 	Title:	 	Vice President	 		 		 		 	

  
 1 

 EXHIBIT A 

QUALIFIED APPRAISERS 
  

	1.	Cushman & Wakefield 

  

	2.	Duff & Phelps 

  

	3.	Jones Lang LaSalle 

  

	4.	Leitner Group, Inc. 

  

	5.	Eastdil Secured 

  

	6.	CBRE 

 EXHIBIT B 

ASSIGNMENT AND ASSUMPTION AGREEMENT OF SELLER INTEREST 

ASSIGNMENT AND ASSUMPTION 
 OF
PARTNERSHIP INTEREST 
 THIS ASSIGNMENT AND ASSUMPTION OF PARTNERSHIP INTEREST (this “Assignment”) is made and entered into
as of                  , 2014, by and between PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801,
New York, New York 10019 (“Fund II”), PARAMOUNT GROUP REAL ESTATE FUND III, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“Fund III, together with Fund II,
collectively, “Assignor”), and PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation (“Assignee”). 

W I T N E S S E T H: 

WHEREAS, Assignor owns a direct and indirect sixty-two and three tenths percent (62.30%)] (together with all economic, voting and other rights
and interests appurtenant thereto, the “Partnership Interest”) in PGREF II 60 Wall Street Investors, L.P., a Delaware limited partnership (the “Partnership”); 

WHEREAS, pursuant to that certain Purchase Option Agreement dated             
    , 2014 (as the same may be amended, modified and/or supplemented from time to time, the “Purchase Agreement”) between Assignor and Assignee, Assignee has agreed to purchase from Assignor, and Assignor has
agreed to sell, transfer and covey to Assignee, in consideration for the payment of the Purchase Price (as defined in the Purchase Agreement), all right, title and interest in and to the Partnership Interest, whereupon following such sale, transfer
and conveyance Assignor will retain no interest in the Partnership; and 
 WHEREAS, the parties desire to enter into Assignment solely for
the purpose of evidencing the sale, transfer and conveyance of the Partnership Interest from Assignor to Assignee. 
 NOW, THEREFORE, in
consideration of the foregoing premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 

1. Defined Terms. All capitalized terms used but not otherwise defined in this Assignment shall have the meaning given to such terms in
the Purchase Agreement. 
 2. Assignment. Assignor unconditionally and irrevocably transfers, conveys, delivers and sets over to each
Assignee all of Assignor’s right, title and interest in and to the Partnership Interest. 
 3. Acceptance. Assignee hereby
accepts the Partnership Interest and hereby assumes and agrees to be bound, from and after the date hereof, by all of the liabilities, obligations, terms and conditions of the Second Amended and Restated Limited Partnership Agreement, dated as of
July 10, 2007 for the Partnership. 

 4. Successors and Assigns. This Assignment shall inure to the benefit of and be binding
upon Assignor and Assignee and their respective heirs, successors and assigns. 
 5. Counterparts; Facsimile Signatures. This
Assignment may be executed in one or more counterparts (whether original, facsimile, portable document format or otherwise), each of which shall be deemed an original, but all of which shall together constitute one and the same instrument. 

6. Governing Law. This Assignment shall be governed by, construed in accordance with and enforced under the laws of the State of New
York, without regard to its principles of conflicts of law. 
 7. Conflicts. The parties agree that the sole purpose of this
Assignment is to evidence the sale, transfer and conveyance of the Partnership Interest from Assignor to Assignee as provided in the Purchase Agreement. This Assignment does not, and shall not be interpreted or otherwise construed, to alter,
increase or diminish in any respects the parties’ rights, obligations and liabilities set forth in the Purchase Agreement. In the event of any conflict between the terms and conditions of this Assignment and the Purchase Agreement, the terms
and conditions of the Purchase Agreement shall govern. 
 [Remainder of Page Intentionally Left Blank] 

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

			
	Assignor:
	
	PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership
		
	By:	 	  

	Name:	 	
	Title:	 	
	
	PARAMOUNT GROUP REAL ESTATE FUND III, L.P., a Delaware limited partnership
		
	By:	 	  

	Name:	 	
	Title:	 	
	
	Assignee:
	
	 PARAMOUNT DEVELOPMENT AND INVESTMENT, INC.,

a Delaware corporation

		
	By:	 	  

	Name:	 	
	Title:EX-10.37

 Exhibit 10.37 

EXECUTION COPY 
 CONSENT AND
TAG-ALONG AGREEMENT 
 among 

PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., 

a Delaware corporation, 
 SSF III
60 WALL JV LLC, 
 a Delaware limited liability company, 

PARAMOUNT GROUP REAL ESTATE FUND II, L.P., 

a Delaware limited partnership, 

PGREF II 60 WALL INVESTORS GP, LLC, 

a Delaware limited liability company, and 

PGREF III WALL STREET INVESTORS, L.P., 

a Delaware limited partnership, 

with respect to 
 PGREF II 60 WALL
STREET INVESTORS, L.P. 

							
	1.	  	 SSF Consent
	  	 	2	  
			
	2.	  	 SSF Tag-Along Right
	  	 	2	  
			
	3.	  	 Purchase Price and Manner of Payment
	  	 	5	  
			
	4.	  	 Deliveries on Behalf of SSF
	  	 	6	  
			
	5.	  	 Deliveries on Behalf of PDI
	  	 	7	  
			
	6.	  	 Representations and Warranties of PDI
	  	 	7	  
			
	7.	  	 Representations and Warranties of SSF
	  	 	9	  
			
	8.	  	 Covenants
	  	 	10	  
			
	9.	  	 Indemnity
	  	 	11	  
			
	10.	  	 Casualty; Condemnation
	  	 	11	  
			
	11.	  	 Conditions to Closing
	  	 	12	  
			
	12.	  	 Defaults and Remedies
	  	 	13	  
			
	13.	  	 Costs and Expenses
	  	 	14	  
			
	14.	  	 Brokers and Advisors
	  	 	14	  
			
	15.	  	 Notices.:
	  	 	14	  
			
	16.	  	 Further Assurances
	  	 	16	  
			
	17.	  	 Successors and Assigns
	  	 	16	  
			
	18.	  	 Paramount Group Tag-Along
	  	 	16	  
			
	19.	  	 Gender and Number
	  	 	17	  
			
	20.	  	 Applicable Law
	  	 	17	  
			
	21.	  	 Construction
	  	 	17	  
			
	22.	  	 Miscellaneous
	  	 	17	  

 List of Exhibits 
 Exhibit
A — Form of Consent Letter 
 Exhibit B — Qualified Appraisers 

Exhibit C — Assignment and Assumption of SSF Interest 

  
 1 

 CONSENT AND TAG-ALONG AGREEMENT 

THIS CONSENT AND TAG-ALONG AGREEMENT, made as of the 27th day of June, 2014 (this
“Agreement”), by and between SSF III 60 WALL JV LLC, a Delaware limited liability company, having an office at c/o Proprium, 1 Landmark Square, 19th Floor, Stamford, Connecticut
06901 (“SSF”), and PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“PDI”); and for purposes of Sections 11.1.3
and 18 only, PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“Fund II”), PGREF II 60 WALL INVESTORS GP, LLC, a Delaware
limited liability company, having an office at 1633 Broadway, Suite 1801, New York, New York 10019 (“GP”) and PGREF III WALL STREET INVESTORS, L.P., a Delaware limited partnership, having an office at 1633 Broadway, Suite 1801, New
York, New York 10019 (“Fund III Holdco”) 
 W I T N E S S E T H : 

WHEREAS, SSF, Fund II, GP and Fund III Holdco are parties to that certain Second Amended and Restated Limited Partnership Agreement,
dated as of July 10, 2007 (the “Partnership Agreement”) of PGREF II 60 Wall Street Investors, L.P., a Delaware limited partnership (the “Partnership”); 

WHEREAS, SSF currently holds a thirty-seven and seven tenths percent (37.70%) limited partnership interest in the Partnership, together
with all economic, voting and other rights and interests appurtenant to such limited partnership interest (collectively, the “SSF Interest”); 

WHEREAS, the Partnership, indirectly through various subsidiaries including PGREF II 60 Wall Street, LP, a Delaware limited
partnership (“Property Owner”), owns the land and building located at and known as 60 Wall Street, New York, New York (the “Property”); 

WHEREAS, Property Owner is a party to that certain Lease, dated as of June 6, 2007 (as amended, restated or modified from time to
time, the “Lease”) between Property Owner and Deutsche Bank AG New York Branch (“Tenant”) with respect to certain space at the Property; 

WHEREAS, Property Owner is a party to that certain Property Management Agreement, dated as of June 6, 2007 (the “Property
Management Agreement”), between Property Owner and Paramount Group, Inc. (together with its successors and assigns, “Paramount”); 

WHEREAS, PDI is a wholly owned subsidiary of Paramount. 

WHEREAS, this Agreement is being entered into in connection with a potential initial public offering (the “IPO”) of
Paramount and/or its affiliated successor or assign; it being expected that, upon the consummation of the IPO, the publicly traded entity (the “Public REIT”) will be a corporation (i) that is either (x) a successor by merger of
Paramount, (y) a corporation into which Paramount has contributed all or substantially all of its assets, or (z) a corporation into which one hundred percent (100%) of the interests of Paramount has been transferred and (ii) (x) whose shares are
traded on the New York Stock Exchange and (y) that is the sole direct and indirect general partner in a newly formed limited partnership (the “Operating Partnership”); and 

  
 1 

 WHEREAS, it is expected that following such merger, contribution or transfer, the Public
REIT will undergo the IPO and intends to make an election in order to qualify as a real estate investment trust in accordance with Sections 856 through 859 of the Code (the “REIT Election”) and, following the IPO, shares of the
Public REIT will be regularly traded on the New York Stock Exchange and Operating Partnership units will, among other things, be convertible into shares in the Public REIT which, in each case, would constitute transfers of indirect interests in the
Partnership (sales and other transfers of shares in the Public REIT and limited partner units in the Operating Partnership are, collectively, the “Post IPO Transfers”); 

WHEREAS, PDI hereby notifies SSF that in connection with the IPO, GP intends to cause Paramount, as the manager under the Management
Agreement, to assign or otherwise transfer the Property Management Agreement (the “Management Assignment”) to an Affiliate of the Operating Partnership (the “Replacement Property Manager”), which Replacement
Property Manager is an Affiliate of Paramount, or to cause such Replacement Property Manager to enter into a replacement property management agreement (a “Replacement Agreement”) on terms that are substantially similar to the
Property Management Agreement. 
 NOW, THEREFORE, for and in consideration of the premises, the mutual agreements, provisions
and covenants contained herein, and for other good and valuable consideration, the receipt, adequacy and sufficiency of which are hereby expressly acknowledged by the parties hereto, SSF and PDI do hereby agree and covenant as follows: 

1. SSF Consent to IPO. SSF has executed and delivered that certain letter agreement attached hereto as Exhibit A simultaneously
with the execution of this Agreement. 
 2. SSF Tag-Along Right. Prior to or simultaneously with the execution of this Agreement, PDI
will enter into that certain Purchase Option Agreement (the “Option Agreement”) by and between PDI, as buyer, and Paramount Group Real Estate Fund II, L.P. (“Fund II”) and Paramount Group Real Estate
Fund III, L.P. (“Fund III”, together with Fund II, collectively, “Seller”) whereby Seller will grant to PDI an option (the “Option”), exercisable only following consummation of
the IPO, to acquire (i) Fund II’s entire forty-six and two tenths percent (46.20%) limited partnership interest in the Partnership, (ii) Fund II’s entire one hundred percent (100.00%) limited liability company interest
in GP, (iii) Fund Ill’s entire ninety-nine and nine tenths percent (99.90%) limited partnership interest in Fund III Holdco and (iv) Fund Ill’s entire one hundred percent (100.00%) limited liability company interest in
PGREF III Wall Street GP, LLC, each together with all economic, voting and other rights and interests appurtenant to such limited partnership or limited liability company interest, as the case may be. In the event PDI (or Assignee (as hereinafter
defined)) exercises the Option pursuant to the terms of the Option Agreement and following the IPO, PDI (or PDI Assignee) shall simultaneously with the exercise of the Option deliver a notice to SSF to such effect (“Tag Initiation
Notice”), which Tag Initiation Notice shall set forth (i) the date (the “Closing Date”) for the conveyance of the SSF Interest by SSF to PDI (the “Closing”), which Closing Date shall be
not less than twenty (20) days and not more than thirty (30) days after the date of delivery of the Tag Initiation Notice, (ii) the calculation of the Property Valuation and Purchase Price pursuant to Article 3

  
 2 

 
below, and (iii) PDI’s election to elect to pay cash or common stock of the Public REIT. Upon receipt of a Tag Initiation Notice, SSF shall have the right (“Tag-Along
Right”) to sell the SSF Interest to PDI (or PDI Assignee) pursuant to the terms of this Agreement, concurrently with the sale of the Seller’s interests to PDI (or PDI Assignee) pursuant to the Option Agreement, in exchange for the
Purchase Price. To exercise the Tag-Along Right, SSF shall provide PDI (or PDI Assignee) with written notice of SSF’s intention to exercise the Tag-Along Right within fifteen (15) days after its receipt of the Tag Initiation Notice
(“Tag-Along Notice”). The failure of SSF to deliver the Tag-Along Notice within fifteen (15) days after its receipt of the Tag Initiation Notice will be deemed SSF’s election not to exercise the Tag-Along Right. The
Closing of the Transaction (as hereinafter defined) contemplated by this Agreement shall take place on the Closing Date at the offices of Willkie Farr & Gallagher LLP, 787 Seventh Avenue, New York, New York, at 10:00 A.M. Eastern standard
time or as may be otherwise agreed upon in writing by SSF and PDI. 
 2.1. Upon exercise by SSF of the Tag-Along Right, the Purchase Price
is payable as follows: 
 2.1.1 Within three (3) business days after PDFs receipt of the Tag- Along Notice, an amount equal to ten
percent (10%) of the Purchase Price as earnest money hereunder (“Deposit”), by bank check payable to the Escrow Agent or by wire transfer of immediately available federal funds to the Escrow Agent, which Deposit shall be held
by a nationally recognized title company or law firm designated by PDI, as escrow agent (the “Escrow Agent”), pursuant to the terms of this Agreement. For purposes of this Agreement, a “bank check” shall mean an official
check of any bank which is a member of the New York Clearing House Association, Inc. drawn directly to the order of SSF or designee of SSF, provided that the name of no third party shall appear upon such official check. 

2.1.2 The balance of the Purchase Price (“Balance”) at the Closing, payable, at the election of PDI, by either (i) bank
check and/or by wire transfer of immediately available federal funds (to an account designated by SSF at or prior to Closing) as directed by SSF or (ii) common stock of the Public REIT (to an account designated by SSF at or prior to Closing) as
directed by SSF. The common stock of the Public REIT shall be calculated based on the average trading price of the common stock of the Public REIT for the ten (10) day period prior to the Closing, ending on the date that is three
(3) business days prior to Closing. At the Closing, if PDI elects to pay the Balance in common stock of the Public REIT, PDI will also have the right to substitute the payment of the cash Deposit identified in Section 2.1.1 above
for common stock of the Public REIT, whereby the substituted common stock of the Public REIT will be payable to SSF and the cash Deposit will be returned to PDI by Escrow Agent. 

2.2. Not less than one (1) Business Day prior to the Closing Date, SSF shall give PDI and Escrow Agent written instructions
(“Instruction Letter”) directing delivery of the Balance. 
 2.3. Escrow. 

2.3.1 Escrow Agent. The Escrow Agent, in accepting the Deposit as escrow agent, is acting only for the accommodation of the parties
and in performing its duties, 

  
 3 

 
shall not be liable for (a) any loss, costs or damage which it may incur as a result of serving as escrow agent hereunder, except for any loss, costs or damage arising out of its willful
misconduct or gross negligence, (b) any action taken or omitted to be taken in reliance upon any document, including any written instructions provided for in this Agreement, which the Escrow Agent shall in good faith believe to be genuine and
(c) any loss or impairment of the Deposit deposited with a federally insured financial institution, resulting from the failure, insolvency, or suspension of the depositary. PDI and SSF shall split all reasonable costs of Escrow Agent incurred
in connection with this Agreement and the Transaction. PDI and SSF hereby agree to indemnify and hold the Escrow Agent harmless against any and all losses, claims, damages, liabilities and expenses, including, without limitation, reasonable
attorneys’ fees and disbursements, which may be incurred by the Escrow Agent in connection with its serving as escrow agent hereunder, except for any loss, costs or damage arising out of Escrow Agent’s willful misconduct or gross
negligence. PDI and SSF hereby acknowledge that they are aware that the Federal Deposit Insurance Corporation (FDIC) coverage applies only to a cumulative maximum amount for each individual depositor for all of depositor’s accounts at the same
or related institutions. 
 2.3.2 The Deposit shall be deposited by Escrow Agent into an interest bearing Client Funds Sub-Account at a
financial institution (“Escrow Bank”) designated by Escrow Agent and reasonably acceptable to PDI and SSF, bearing interest at the rate determined by Escrow Bank and disbursed by Escrow Agent with the terms and provisions of this
Agreement. 
 2.3.3 Whether or not the Closing shall occur hereunder, the party, whether SSF or PDI, entitled to receive the Deposit shall
also be entitled to receive, and the Escrow Agent shall deliver to such party, either SSF or PDI, all interest or other proceeds earned on the Deposit in accordance with the provisions of the preceding sentence. PDI shall pay any income taxes on the
interest or other proceeds earned on the Deposit, unless such interest or proceeds are paid to SSF pursuant to Section 12.1 below. Any such interest or other proceeds (to the extent funded to SSF at Closing) shall be deemed to be a
credit to PDI against the Purchase Price. 
 2.3.4 Promptly after the receipt by Escrow Agent of (a) notice of any demand by either
party claiming that it is entitled to the Deposit (excepting notice by PDI to direct the Deposit to SSF in conjunction with the Closing of the Transaction contemplated herein) to or (b) any other claim or the commencement of any action, suit or
proceeding by either party, Escrow Agent shall send a copy of such notice to the other party and inform the other party of such claim. If Escrow Agent shall receive written notice from either party within ten (10) business days after delivery
of such notice to the other party instructing Escrow Agent to not deliver the Deposit to the requesting party or to otherwise hold the Deposit, or if for any reason there is any dispute or uncertainty concerning any action to be taken hereunder,
Escrow Agent shall either (i) take no action and shall continue to hold the Deposit until it has received written instructions signed by SSF and PDI or until directed by a final order of judgment of a court of competent jurisdiction, whereupon
Escrow Agent shall take such action in accordance with such instructions or such order or (ii) in the event a litigation is commenced between PDI and SSF with respect to this Agreement, and with the approval of a court of competent jurisdiction
in New York State, deposit the Deposit with such court or as directed by such court. If no written notice is received by Escrow Agent within such ten (10) Business Day period, Escrow Agent may deliver the Deposit to the party which made such
demand. 

  
 4 

 3. Purchase Price and Manner of Payment. 

3.1. If PDI exercises the Option and SSF exercises the Tag-Along Right, PDI shall acquire the SSF Interest for a purchase price
(“Purchase Price”) that is an amount equal to the sum of limited partnership distributions SSF would receive under the Partnership Agreement if the Property were sold on the Closing Date for a fair market valuation of the Property
(“Property Valuation”) based on the procedures and methodology set forth in Section 3.2 below (the “Transaction”). The Purchase Price shall be calculated (a) assuming no brokerage fees or other
closing costs of any kind would be incurred upon the sale of the Property excepting only those categories of customary and reasonable liabilities, expenses and pro-rations associated with the sale of partnership interests, and (b) giving due
effect to the application of gross purchase proceeds to payment of all outstanding debt on the Property and of the Partnership (and debt- related expenses including breakage fees and lender’s attorney’s fees), other liabilities of the
Partnership and the required distributions called for under the Partnership Agreement. 
 3.2. On or prior to the date that is sixty
(60) days prior to PDI’s anticipated exercise of the Option, PDI shall designate three (3) appraisers from the list of appraisers set forth on Exhibit B attached hereto (each, a “Qualified Appraiser” and
collectively, the “Qualified Appraisers”). Each of the Qualified Appraisers shall, at PDI’s cost and expense, (i) examine the records relating to the Property and such other documents and records as may, in their judgment,
be necessary, (ii) conduct site inspections of the Property, (iii) review any other documents, perform any other due diligence or conduct any other customary actions deemed necessary to make a determination of the fair market value of the
Property and (iv) shall submit to PDI and SSF, within forty-five (45) days of their engagement by PDI, their reasonable estimate of the fair market value of the Property based on the amount for which the Property would be sold free and
clear of debt by a willing seller not compelled to sell to a willing buyer not compelled to buy taking into account all relevant factors (each, a “Fair Market Value Submission”). The greater of (i) $1,026,000,000 and
(ii) the average of the two (2) highest Fair Market Value Submissions from the three (3) Qualified Appraisers will be deemed the Property Valuation for purpose of the calculation of the Purchase Price. 

3.3. In the event the Property Owner enters into any new leases, extensions of existing leases, amendments to existing leases or an expansion
of space pursuant to existing leases (collectively, “New Leases”) at the Property within ninety (90) days of the Closing, PDI (or PDI Assignee) shall notify SSF in writing of the existence of any New Leases within ten
(10) business days of the execution of a New Lease. If the income from the New Leases is reasonably estimated by SSF to increase the Property Valuation by more than one percent (1%), SSF shall have the right to request, at SSF’s sole cost
and expense, the Qualified Appraisers originally designated by PDI in Section 3.2 above to submit updated Fair Market Value Submissions of the Property based on the procedures set forth in Section 2.2 above and factoring in
the New Leases. In the event the average of the two (2) highest Fair Market Value Submissions pursuant to this Section 3.3 factoring in the New Leases (the “Updated Property Valuation”) is greater than the Property
Valuation used as a basis to calculate the Purchase Price at Closing, an updated purchase price (“Updated Purchase Price”) shall be calculated by PDI 

  
 5 

 
based on the procedures and methodology set forth in Section 3.1 above based on the Updated Property Valuation. The difference between the Updated Purchase Price and the Purchase
Price paid at Closing will be delivered to SSF by PDI within thirty (30) days of the calculation of the Updated Purchase Price in accordance with the provisions of Section 3.4 below (including PDI’s right to elect to pay cash
or common stock of the Public REIT). The provisions of this Section 3.3 shall survive Closing. 
 3.4. The Purchase Price is payable
at the Closing, payable, at the election of PDI, by either (i) bank check and/or by wire transfer of immediately available federal funds (to an account designated by SSF at or prior to Closing) as directed by SSF or (ii) common stock of
the Public REIT (to an account designated by SSF at or prior to Closing) as directed by SSF. The common stock of the Public REIT shall be calculated based on the average trading price of the common stock of the Public REIT for the ten (10) day
period prior to the Closing, ending on the date that is three (3) business days prior to Closing. 
 4. Deliveries on Behalf of
SSF. 
 4.1. At the Closing, SSF will duly execute, acknowledge (where appropriate) and/or deliver the following: 

4.1.1 Assignment and Assumption of the SSF Interest in the form attached hereto as Exhibit C, whereby SSF shall transfer and assign
the SSF Interest to PDI or PDI Assignee, as applicable; 
 4.1.2 A certificate of SSF dated as of the Closing Date certifying that all
representations made by SSF in this Agreement are in all material respects true, correct and complete as of the Closing Date as if made on and as of the Closing Date; 

4.1.3 A UCC search related to SSF and the SSF Interest disclosing no liens, judgments, penalties or other returns and encumbrances against
SSF and the SSF Interest; 
 4.1.4 An affidavit duly executed by SSF stating that it is not a “foreign person” as defined in the
Federal Foreign Investment in Real Property Tax Act of 1980 and the 1984 Tax Reform Act; 
 4.1.5 Executed closing statement, approved by
PDI, for the Transaction consistent with this Agreement; 
 4.1.6 An unconditional release by SSF of any and all claims that SSF may have
against the Partnership that arose or accrued during, or otherwise relate to, the period ending at Closing (other than claims that SSF has already made in writing against the Partnership); 

4.1.7 Transfer tax forms, or signature pages to transfer tax forms, executed by SSF if and as required; 

  
 6 

 4.1.8 Payment of any actual transfer tax with respect to the Transaction due and owing as of the
Closing Date; provided, however, for the avoidance of doubt, in the event the Transaction contemplated by this Agreement and the transfer of interests contemplated by the Option Agreement occur simultaneously, SSF shall pay, on the Closing Date, any
actual transfer tax associated with the form of consideration (cash or common shares of the Public REIT) attributable to the exchange of the SSF Interest; provided, further, however, in the event the Purchase Price is paid with common shares of the
Public REIT, both SSF and PDI shall work together in good faith to reduce SSF’s transfer tax liability associated with the exchange of the SSF Interest for common shares of the Public REIT, provided that SSF shall be subject to any transfer
restrictions or lock-up periods in accordance with applicable law in order to obtain the benefit of a transfer tax reduction; 
 4.1.9 Such
other and further documents and instruments as are expressly provided for or contemplated herein to be delivered by SSF. 
 5. Deliveries
on Behalf of PDI. 
 5.1. At the Closing, PDI or PDI Assignee, as applicable, will duly execute, acknowledge (when appropriate) and/or
deliver the following: 
 5.1.1 Notice to the Escrow Agent to disburse the Deposit, together with any interest earned thereon, to SSF (so
long as PDI has obtained a credit against the Purchase Price with respect thereto); and pay to SSF (or, at SSF’s election, to the Escrow Agent on behalf of SSF), the Balance of the Purchase Price, all in accordance with the Instruction Letter;

 5.1.2 Assignment and Assumption of the SSF Interest, duly executed by PDI or PDI Assignee, as applicable, including consent of GP, as
general partner in the Partnership, to the assignment of the SSF Interest to PDI or PDI Assignee, as applicable; 
 5.1.3 Unconditional
release of SSF, from and after the Closing Date, from any covenants or obligations (other than claims already made in writing against SSF) that (i) arose or accrued during, or otherwise relate to, the period ending at Closing or (ii) to be
performed after the Closing as a limited partner of the Partnership, executed by GP, as the general partner of the Partnership; 
 5.1.4 A
certificate of PDI dated as of the Closing Date certifying that all representations made by PDI in this Agreement are in all material respects true, correct and complete as of the Closing Date as if made on and as of the Closing Date; 

5.1.5 Executed closing statement, approved by SSF, for the Transaction; and 

5.1.6 Such other and further documents and instruments as are expressly provided for or contemplated herein to be delivered by PDI. 

6. Representations and Warranties of PDI. In order to induce SSF to enter into the transactions provided for in this Agreement, PDI
hereby warrants and represents to SSF that (as 

  
 7 

 
of the date of this Agreement and on the Closing Date, unless otherwise noted) the following warranties and representations shall be true and correct in all material respects, which warranties
and representations shall survive the Closing hereunder: 
 6.1. PDI is a corporation duly organized and validly existing under the laws of
the State of Delaware. PDI has the power to (or cause PDI Assignee to) acquire the SSF Interest. PDI has the power to enter into the Transaction contemplated by this Agreement and to execute, deliver and perform this Agreement, and the assumption
and other documents contemplated hereby to be executed and performed by PDI or PDI Assignee (collectively, “PDI’s Documents”). The execution, delivery and performance by PDI of this Agreement and the other PDI’s Documents
has been duly authorized by all necessary organizational action of PDI, and this Agreement is, and at the Closing, the other PDI’s Documents will, when executed and delivered by PDI or PDI Assignee, constitute the legal, valid, binding
obligations of PDI or PDI Assignee enforceable against PDI or PDI Assignee in accordance with their respective terms and provisions, subject to applicable bankruptcy and other like laws affecting the rights of contractual parties and creditors
generally, and the exercise of judicial or administrative discretion in accordance with general equitable principles (whether such enforceability is considered in a proceeding in equity or at law). 

6.2. There are no suits, actions or proceedings pending or, to the knowledge of PDI, threatened against or affecting PDI before or by any
court or administrative agency or officer, to prohibit or enjoin the consummation of the Transaction provided for herein or which could materially and adversely affect the ability of PDI to perform its obligations under PDI’s Documents. 

6.3. No consent, approval or other action of, or filing or registration with, any governmental agency or commission is required in connection
with the execution, delivery, observance or performance by PDI of this Agreement, the Option Agreement, the Transaction provided for herein or therein or its obligations under the other PDI’s Documents. 

6.4. There has not been filed by or against PDI, or any corporation, partnership, limited liability company, or other entity with respect to
which PDI is a principal shareholder, controlling person, general partner or managing member, as the case may be, a petition in bankruptcy or insolvency proceedings or for reorganization, or for the appointment of a receiver or trustee, nor has any
such entity made an assignment for the benefit of creditors or filed a petition for an arrangement or entered into an arrangement with creditors or admitted in writing the inability to pay its debts as they become due. 

6.5. Other than rights in favor of Tenant pursuant to the terms of the Lease and rights in favor of Lender (as such term is defined in the
Partnership Agreement), the execution and delivery of this Agreement and the other PDI’s Documents executed and delivered by PDI, the Transaction provided for herein and therein, respectively, and compliance with or fulfillment of the terms
hereof and thereof, will not (a) result in a breach of any of the terms and provisions of or constitute a default under or conflict with, or result in the creation of any mortgage, lien, charge or encumbrance of any nature whatsoever upon any of the
properties or assets of PDI or the Partnership (or any subsidiary of the Partnership) pursuant to, any agreement, indenture, mortgage, lien, lease, consent, license, franchise or other instrument to which PDI or the

  
 8 

 
Partnership (or any subsidiary of the Partnership) is bound or under which the properties of PDI or the Partnership (or any subsidiary of the Partnership) are affected, or (b) violate any
law, rule, regulation, judgment, order, decree, writ or injunction applicable to PDI. 
 6.6. PDI represents that neither PDI nor any PDI
Assignee are Prohibited Persons, as such term is hereinafter defined. “Prohibited Person” means any of the following, (a) a person or entity that is listed in the Annex to, or otherwise subject to the provisions of, Executive Order
No. 13224 on Terrorist Financing (effective September 24, 2001) (the “Executive Order”); (b) a person or entity owned or controlled by, or acting for or on behalf of any person or entity that is listed in the Annex
to, or is otherwise subject to the provisions of, the Executive Order; (c) a person or entity that is named as a “specially designated national” or “blocked person” or persons or entities with whom a citizen of the United
States is restricted from doing business with by any trade embargo, economic sanction, or other prohibition of United States law, regulation, or Executive Order of the President of the United States including those listed on the most current list
published by the U.S. Treasury Department’s Office of Foreign Assets Control; or (d) a person or entity that is affiliated with any person or entity identified in clause (a), (b) and/or (c) above. 

7. Representations and Warranties of SSF. 

In order to induce PDI and PDI Assignee, if applicable, to enter into the transactions provided for in this Agreement, SSF hereby warrants and
represents to PDI and PDI Assignee, if applicable, that, as of the date of this Agreement and as of the Closing Date, the following warranties and representations shall be true and correct in all material respects, which warranties and
representations shall survive the Closing hereunder: 
 7.1. SSF is a duly organized and validly existing limited liability company under
the laws of the State of Delaware and SSF has full power and authority to enter into the Transaction contemplated by this Agreement and to execute, deliver and perform this Agreement and the assignment and other documents contemplated hereby to be
executed and performed by SSF (collectively, “SSF’s Documents”). The execution, delivery and performance by SSF of this Agreement and the other SSF’s Documents have been duly authorized by all necessary action of SSF and
this Agreement is and, at the Closing, the other SSF’s Documents will, when executed and delivered by SSF constitute the legal, valid and binding obligations of SSF enforceable against SSF in accordance with their respective terms and
provisions. 
 7.2. There are no suits, actions or proceeding pending or, to the knowledge of SSF, threatened against or affecting SSF
before or by any court or administrative agency or officer, to prohibit or enjoin the consummation of the Transaction provided for herein or which could materially and adversely affect the ability of SSF to perform its obligations under the
SSF’s Documents. 
 7.3. Except as provided for in this Agreement, no consent, approval or other action of, or filing (other than
filings in the normal course of SSF’s business) or registration with, any governmental agency or commission is required in connection with the execution, delivery, observance or performance by SSF of this Agreement or the Transaction provided
for herein. 

  
 9 

 7.4. There has not been filed by or against SSF, or any corporation, partnership, limited
liability company, or other entity with respect to which SSF is a principal shareholder, controlling person, general partner or managing member, as the case may be, a petition in bankruptcy or insolvency proceedings or for reorganization, or for the
appointment of a receiver or trustee, nor has any such entity made an assignment for the benefit of creditors or filed a petition for an arrangement or entered into an arrangement with creditors or admitted in writing the inability to pay its debts
as they become due. 
 7.5. Other than rights in favor of Tenant pursuant to the terms of the Lease and rights in favor of Lender (as such
term is defined in the Partnership Agreement), the execution and delivery of this Agreement and the other SSF’s Documents executed and delivered by SSF, the Transaction provided for herein and therein, respectively, and compliance with or
fulfillment of the terms hereof and thereof, will not (a) result in a breach of any of the terms and provisions of or constitute a default under or conflict with, or result in the creation of any mortgage, lien, charge or encumbrance of any
nature whatsoever upon any of the properties or assets of SSF pursuant to, any agreement, indenture, mortgage, lien, lease, consent, license, franchise or other instrument to which SSF is bound or under which SSF’s properties are affected, or
(b) violate any law, rule, regulation, judgment, order, decree, writ or injunction applicable to SSF. 
 7.6. SSF represents that SSF
is not a Prohibited Person, as such term is defined in Section 6.6 above. 
 7.7. SSF has good and marketable title to the SSF
Interest, free and clear of all debt, liens, liabilities, legal and/or equitable claims and other encumbrances. 
 7.8. Except for this
Agreement, the Option Agreement and the Partnership Agreement, there are no commitments, agreements or obligations, including, without limitation, rights of first refusal or rights of first offer, by SSF to issue, sell, or transfer all or any
portion of the SSF Interest, and SSF has not assigned, transferred, pledged, encumbered or otherwise disposed of, or agreed to assign, transfer, pledge, encumbered or otherwise dispose of, the SSF Interest. 

7.9. SSF has not made or received an Partner Loans, as such term is defined in the Partnership Agreement, which remain outstanding and
payable. 
 7.10. To the knowledge of SSF, there are no suits, actions or proceedings pending or threatened against or potentially affecting
the SSF Interest or the Transaction contemplated hereunder. 
 8. Covenants. 

8.1. Until the Closing Date, SSF shall be entitled to and shall receive distributions from the Partnership of available cash in accordance
with the terms of the Partnership Agreement. All provisions of the Partnership Agreement allocating profits, losses, gains, deductions and credits for tax purposes to SSF shall remain in effect through the Closing Date. 

  
 10 

 8.2. SSF shall not enter into any commitments, agreements, or obligations to issue, sell, or
transfer all or any portion of the SSF Interest, and SSF shall not assign, transfer, pledge, or otherwise dispose of, or agree to assign, transfer, pledge, or otherwise dispose of, the SSF Interest, except subject to this Agreement and the Option
Agreement. 
 8.3. PDI shall use commercially reasonable efforts to seek and obtain the Tenant Waiver and the Lender Consent referred to in
Article 11. 
 9. Indemnity. 

9.1. SSF hereby agrees to indemnify and hold PDI harmless from and against any claims of third parties against or incurred by PDI, the
Partnership or the SSF Interest, and demands, damages, liabilities, losses, costs and/or expenses, including, without limitation, reasonable attorney’s fees and disbursements, incurred or suffered by PDI or PDI Assignee or to which PDI or PDI
Assignee is subjected in connection therewith that arise out of the breach or inaccuracy of SSF’s representations and warranties set forth in Section 7, failure of SSF to comply with the covenants set forth in Section 8
of the Agreement, the failure of SSF to pay its proportionate share of transfer tax due at Closing or the failure of SSF to comply with the transfer restrictions or lock-up periods in accordance with applicable law associated with the reduced
transfer in connection with the exchange of common shares in the Public REIT; provided, that in no event shall SSF’s liability under this provision exceed the Purchase Price. 

9.2. PDI hereby agrees to indemnify and hold SSF harmless from and against any claims of third parties against or incurred by SSF, and
demands, damages, liabilities, losses, costs and/or expenses, including, without limitation, reasonable attorney’s fees and disbursements, incurred or suffered by SSF or to which SSF is subjected in connection therewith that arise out of the
breach or inaccuracy of PDI’s representations and warranties set forth in Section 7, failure of PDI to comply with the covenants set forth in Section 8 of the Agreement, the liabilities of the Partnership related solely
to the period after the Closing Date or any claims by the Partnership or GP (other than those related to a violation of this Agreement). 

9.3. The indemnifications provided for hereunder shall survive Closing indefinitely. No action or inaction on the part of any indemnitee or
any affiliate or agent thereof, including, without limitation, any failure of such indemnitee to timely forward notice of an actual or potential claim that could be the subject of the indemnification set forth herein (but other than settling any
such claim without the prior consent of the indemnitor), shall operate to waive or limit any indemnitor’s liability hereunder, or release such indemnitor from any liability hereunder unless and to the extent such action or inaction shall have
prejudiced such indemnitor’s rights with respect to such claim or the ability of the indemnitor to defend or indemnify against such claim. 

10. Casualty; Condemnation. 

10.1. If the Property is damaged by fire or other casualty or if any entity possessing the right of eminent domain shall give notice of an
intention to take or acquire a substantial part of the Property, and such notice is given between the date of the Tag-Along Notice and the Closing Date, the following shall apply: 

10.1.1 If the Property is damaged by a fully insured casualty, subject to reasonable deductible amounts or an uninsured or substantially
underinsured casualty not resulting in substantial damage (which shall be deemed to mean damage which is estimated to cost $20,000,000.00 or less to repair) or if the taking or acquisition shall not result in a permanent substantial reduction in the
income-producing capacity of the Property, then the PDI shall be required to complete the Transaction and the insurance or condemnation proceeds, settlements or awards or the relevant part thereof shall be retained by the Partnership and the SSF
shall not be entitled to any portion thereof. 

  
 11 

 10.1.2 If the Property is damaged by an uninsured or substantially underinsured casualty
resulting in substantial casualty (which shall be deemed to mean damaged which is estimated to cost in excess of $20,000,000.00 to repair), or if the taking or acquisition shall result in a permanent substantial reduction in the income-producing
capacity of the Property, then the PDI shall have the option to either consummate the Transaction in which event any insurance or condemnation proceeds, settlements and awards or the relevant part thereof shall be retained by the Partnership and the
SSF shall not be entitled to any portion thereof, or (b) terminate this Agreement. 
 10.1.3 In the event that the casualty, taking or
acquisition shall result in a permanent substantial reduction in the income-producing capacity of the Property, then PDI shall also have the right to terminate this Agreement. 

11. Conditions to Closing. 

11.1. SSF’s obligation to sell the SSF Interest is subject to the satisfaction of the following conditions precedent (or simultaneous
conditions, as applicable), any or all of which may be waived in writing by SSF (in its sole discretion): 
 11.1.1 This Agreement shall be
in full force and effect and there shall not then exist any event which would allow SSF to terminate this Agreement pursuant to the express terms hereof; 

11.1.2 PDI shall not be in default in any material respect under any covenant or agreement of PDI contained in this Agreement; 

11.1.3 Fund II, GP and Fund III Holdco shall each not be in default in any material respect under any covenant or agreement on their behalf
contained in the Partnership Agreement; and 
 11.1.4 All of PDI’s representations in Article 6 shall be true and correct in
all material respects on and as of the Closing Date as if made on and as of the Closing Date. 
 11.2. PDFs obligation to purchase the SSF
Interest after delivery of the Tag- Along Notice and otherwise consummate Closing hereunder, is subject to the satisfaction of the following conditions precedent (or simultaneous conditions, if applicable), any or all of which may be waived in
writing by PDI (in its sole discretion): 
 11.2.1 This Agreement shall be in full force and effect and there shall not then exist any
event which would allow PDI to terminate this Agreement pursuant to the express terms hereof; 

  
 12 

 11.2.2 All of SSF’s representations in Article 6 shall be true and correct on and as
of the Closing Date as if made in all material respects on and as of the Closing Date; 
 11.2.3 PDI shall have received a written waiver
from Tenant (“Tenant Waiver”), in form and substance reasonably acceptable to PDI, with respect to Tenant’s “Right of First Offer to Purchase” contained in Article 42 of the Lease; provided that PDI shall have the
right to extend the anticipated Closing Date set forth in the Tag Initiation Notice for up to an additional sixty (60) business days in the event the Tenant Waiver has not been received by the anticipated Closing Date; 

11.2.4 PDI shall have received the consent of Lender (as such term is defined in the Partnership Agreement) to the Transaction (or an
acknowledgement of some other form of waiver from Lender that their consent to the Transaction is not required), if applicable; 
 11.2.5
SSF shall not be in default in any material respect under any covenant or agreement of SSF contained in this Agreement or in the Partnership Agreement; and 

11.2.6 SSF shall pay, on the Closing Date, any actual transfer tax with respect to the Transaction due and owing as of the Closing Date. 

12. Defaults and Remedies. 

12.1. In the event SSF should default (or breach any of its representations under this Agreement in any material respect), and such default or
breach is not cured or remedied within twenty (20) days after receipt of notice thereof given by PDI to SSF (but in any event prior to the Closing Date), PDI, if PDI is then ready, willing and able to consummate Closing, may (i) terminate
this Agreement, (ii) treat this Agreement as being in full force and effect and pursue the remedy of specific performance of the Transaction pursuant to the terms hereof against SSF, or (iii) otherwise pursue any other rights and remedies
available to PDI and/or PDI Assignee at law, in equity or otherwise. 
 12.2. From and after the delivery of the Tag-Along Notice and prior
to the delivery of the Deposit, in the event PDI should default (or breach any of its representations under this Agreement in any material respect), and such default or breach is not cured or remedied prior to the scheduled Closing Date, SSF, if SSF
is then ready, willing and able to consummate Closing, may (i) as its sole and exclusive remedies, if PDI does not acquire Seller’s interests in the Partnership Agreement pursuant to the Option Agreement, terminate this Agreement and
pursue any remedies at law (specifically excluding rights in equity including specific performance) subject to the last sentence of this Section 12.2, and (ii) if PDI does acquire Seller’s interests in the Partnership Agreement
pursuant to the Option Agreement, terminate this Agreement and pursue any remedies available to SSF at law (specifically excluding rights in equity including specific performance). The parties hereto agree that the damages that SSF will sustain as a
result of any default or breach by PDI pursuant to clause (i) 

  
 13 

 
above will be substantial but will be difficult if not impossible to ascertain and therefore the parties agree that in such event, SSF’s damages will be capped at ten percent (10%) of
the Purchase Price. 
 12.3. From and after the delivery of the Tag-Along Notice and the delivery of the Deposit, in the event PDI should
default (or breach any of its representations under this Agreement in any material respect), and such default or breach is not cured or remedied prior to the scheduled Closing Date, SSF, if SSF is then ready, willing and able to consummate Closing,
may (i) as its sole and exclusive remedies, if PDI does not acquire Seller’s interests in the Partnership Agreement pursuant to the Option Agreement, terminate this Agreement and retain the Deposit as liquidated damages, and (ii) if
PDI does acquire Seller’s interests in the Partnership Agreement pursuant to the Option Agreement, terminate this Agreement and pursue any remedies available to SSF at law (specifically excluding rights in equity including specific
performance). 
 13. Costs and Expenses. Except as otherwise expressly set forth in this Agreement, all costs and expenses incident
to this Agreement, the Transaction and the Closing shall be paid by the party incurring same, including, without limitation, its own attorneys’ fees, provided, however, PDI agrees to pay SSF’s out-of-pocket third-party legal fees and
expenses not to exceed $10,000. 
 14. Brokers and Advisors. Each of SSF and PDI represents and warrants for itself that it has not
dealt with any broker, finder or advisor in connection with this Agreement and the Transaction contemplated hereby. Each party hereto agrees to indemnify and hold the other parties hereto free and harmless from all losses, damages, costs and
expenses (including attorneys’ fees) that the other parties may suffer as a result of claims made or suits brought by any broker, finder or advisor who shall claim to have introduced the indemnifying party to this Transaction or who shall claim
to have dealt with or had discussions with the indemnifying party with respect to this Transaction. The provisions of this Section 14 shall survive the Closing hereunder or, if the Closing does not occur, notwithstanding anything to the
contrary contained in this Agreement, the termination of this Agreement. 
 15. Notices. Any notice pursuant to this Agreement shall
be given in writing by (a) personal delivery, or (b) reputable national overnight delivery service with proof of delivery, or (c) United States Mail, postage prepaid, registered or certified mail, return receipt requested, sent to the
intended addressee at the address set forth below, or to such address or to the attention of such other person as the addressee shall have designated by written notice sent in accordance herewith, and shall be deemed to have been given upon receipt.
Unless changed in accordance with the preceding sentence, the addresses for notice given pursuant to this Agreement shall be as follows: 

If to SSF, to it at: 
 c/o
Proprium Capital Partners 
 1 Landmark Square 

19th Floor 

Stamford, Connecticut 
 Attention:
Thomas Carey 

  
 14 

 with a copy to: 

c/o Proprium Capital Partners 
 1
Landmark Square 
 19th Floor 

Stamford, Connecticut 
 Attention:
General Counsel 
 And: 

Proskauer Rose LLP 
 11 Times
Square 
 New York, New York 10036 

Attention: Jeffrey A. Hortwitz, Esq. 

If to PDI: 
 Paramount
Development and Investment, Inc. 
 c/o Paramount Group, Inc. 

1633 Broadway, Suite 1801 
 New
York, New York 10019 
 Attention: Albert P. Behler 

Telecopy: (212) 974-6435 

with a copy to: 
 Paramount
Development and Investment, Inc. 
 c/o Paramount Group, Inc. 

1633 Broadway, Suite 1801 
 New
York, New York 10019 
 Attention: General Counsel 

Telecopy: (212) 237-3197 

And: 
 Willkie Farr &
Gallagher LLP 
 787 Seventh Avenue 

New York, New York 10019 

Attention: Thomas J. Henry, Esq. 

Telecopy: (212) 728-9750 
 Notices may be
delivered by counsel to either SSF or PDI, as applicable. During the period from the date hereof through Closing, as a condition to the effectiveness of any notices to be delivered hereunder, copies of such notices must also be sent via electronic
mail in accordance with the following: (a) if to SSF, to the following e-mail addresses: thomas.carey@proprium.com, amie.benedetto@proprium.com, diane.citron@proprium.com and jhorwitz@proskauer.com; and (b) if to PDI, to the following e-mail
addresses: abehler@paramount-group.com, dlauer@paramount-group.com, gjohnson@paramount-group.com and thenry@willkie.com. 

  
 15 

 16. Further Assurances. Each of the parties hereby agrees to execute, acknowledge (if
necessary) and deliver such other documents or instruments as the other may reasonably require from time to time to carry out the intents and purposes of this Agreement. This provision shall survive the Closing. 

17. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of SSF and PDI and their respective legal
representatives, designees, successors and assigns. PDI may assign this Agreement and/or direct SSF to convey all or a portion of the SSF Interest to one or more affiliates including but not limited to the Public REIT or the Operating Partnership,
or any affiliate or subsidiary of either or them (collectively, “PDI Assignee”) provided (a) PDI hereunder shall be jointly and severally obligated with such PDI Assignee for the performance of all covenants, agreements and
indemnities and the satisfaction of all conditions required of PDI under this Agreement and all documents and instruments executed pursuant hereto; (b) all references in this Agreement to “PDI” shall mean each of the originally named
PDI and PDI Assignee provided that SSF shall tender performance hereunder to such PDI Assignee; (c) all representations and warranties hereunder shall be deemed to be made and apply to each of the originally named PDI and PDI Assignee (with
such modifications as may need to be made to the extent the structure of PDI Assignee is different than that of PDI), and (d) PDI Assignee complies with SSF’s regulations with respect to the USA PATRIOT Act (H.R. 3162), and/or other
similar federal or state regulations. In the event this Agreement is assigned in accordance with this Section, PDI need not deliver any of the organizational documents called for under Section 5 at Closing; rather, such corresponding
documents will be delivered with respect to the PDI Assignee. 
 18. Paramount Group Tag-Along. For purposes of this Section 18,
all capitalized terms used but not otherwise defined shall have the meaning given to such terms in the Partnership Agreement. In the event that any member of the Investor LP Group shall desire to transfer, sell or assign all or any portion of its
Partnership Interest to an Outside Purchaser, and such member of the Investor LP Group delivers a ROFO Notice together with a Proposed Offer to the Paramount Group pursuant to Section 11.2(c) of the Partnership Agreement, the Paramount Group
shall thereafter have a period equal to thirty (30) days from the giving of such ROFO Notice within which to elect, by providing written notice (“Response Notice”) to Investor LP Group, to either (i) purchase that portion
of Investor LP’s Partnership Interests which are the subject to the Proposed Offer (in which case the terms, conditions and procedures set forth in Section 11.2(c) of the Partnership Agreement will apply) or (ii) sell its Partnership
Interest together with the sale of the Investor LP Group’s Partnership Interest at the proportionate price and pursuant to the terms and conditions of the Proposed Offer by the Outside Date (the “Paramount Tag-Along Option”).
In the event the Response Notice elects the Paramount Tag- Along Option, the Investor LP Group may not sell all or any portion of its Partnership Interest unless it complies with this Section 18. If the Paramount Group does not deliver
the Response Notice within such thirty (30) day period, the Paramount Group shall be deemed to have elected not to elect or make the purchase or the sale referred to above, and Investor LP Group shall have the right to proceed with the sale of
their Partnership Interests in accordance with the provisions of Section 11.2(c) of the Partnership Agreement without further reference to or compliance with this Section 18. 

  
 16 

 19. Gender and Number. Whenever the context so requires, references herein to the neuter
gender shall include the masculine and/or feminine gender, and the singular number shall include the plural. 
 20. Applicable Law.
THIS AGREEMENT IS PERFORMABLE IN THE STATE OF NEW YORK AND SHALL IN ALL RESPECTS BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE SUBSTANTIVE FEDERAL LAWS OF THE UNITED STATES AND THE LAWS OF SUCH STATE. SSF AND PDI HEREBY IRREVOCABLY SUBMIT TO
THE JURISDICTION OF ANY STATE OR FEDERAL COURT SITTING IN THE CITY AND STATE OF NEW YORK IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT AND HEREBY IRREVOCABLY AGREE THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING
SHALL BE HEARD AND DETERMINED IN A STATE OR FEDERAL COURT SITTING IN THE CITY AND STATE OF NEW YORK. PDI AND SSF AGREE THAT THE PROVISIONS OF THIS SECTION 20 SHALL SURVIVE THE CLOSING OF THE TRANSACTION CONTEMPLATED BY THIS AGREEMENT. 

21. Construction. The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and that the
normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any exhibits or amendments hereto. 

22. Miscellaneous. 

22.1. Subject to Article 17 hereof, the provisions of this Agreement and of the documents to be executed and delivered at Closing are
and will be for the benefit of SSF and PDI only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or documents to be executed and delivered at Closing.

 22.2. This Agreement and the instruments referred to herein may not be amended, waived or discharged except by an instrument in writing
executed by the party against whom enforcement of such amendment, waiver or discharge is sought. 
 22.3. This Agreement shall not be
binding or effective until PDI and SSF have executed and delivered a counterpart of the same, each of which shall constitute an original, but all of which taken together shall constitute one agreement. 

22.4. Neither SSF nor PDI shall record this Agreement or any memorandum hereof. If requested by PDI, SSF shall execute a memorandum of this
Agreement in recordable form (the “Memorandum”), which PDI may cause to be recorded in the appropriate land records at PDI’s sole cost and expense. If the Option shall not be duly exercised within the Option Period, or if PDI
shall fail to make timely any payment required pursuant to this Agreement, or if for any reason this Agreement shall terminate, then, in any such event, SSF may execute a statement to be recorded in the appropriate land records terminating the
Memorandum. PDI hereby appoints SSF as its attorney-in-fact to execute such a termination statement on its behalf. This appointment shall be deemed to be coupled with an interest and irrevocable. 

  
 17 

 22.5. The provisions of this Agreement are not intended in any way to (i) modify, supplement
or amend the terms of the Partnership Agreement or (ii) trigger any forced sale, buy-sell or other transfer rights contained therein. 

22.6. If any provision of this Agreement shall be held to be illegal, unenforceable or inapplicable in any respect, each such holding shall
not affect the enforceability of any other provision of this Agreement or the enforcement of this Agreement under any other circumstances. 

22.7. The captions and headings throughout this Agreement are for convenience and reference only and they shall in no way be held or deemed to
define, modify or alter the meaning, scope or intent of any provision of this Agreement. Words such as “herein,” “hereinafter,” “hereof” and “hereunder” refer to this Agreement as a whole and not merely to the
paragraph, Section or other subdivision in which such words appear, unless the context otherwise requires. The singular shall include the plural, and the masculine shall include the feminine and the neuter, and visa versa, unless the context
otherwise requires. References to “Sections” are to Sections of this Agreement, unless otherwise specifically provided. 
 22.8.
Except as otherwise expressly provided, no delay or omission by any party hereto to exercise any right or power occurring upon any noncompliance or failure of performance by the other party under the provisions of this Agreement shall impair any
such right or power or be construed to be a waiver thereof. A waiver by any party hereto of any of the terms, covenants, conditions or agreements hereof to be performed by the other party shall not be construed to be a waiver of any succeeding
breach thereof or of any other term, covenant, condition or agreement herein contained. 
 22.9. In the computation of any period of time
provided for in this Agreement or by law, any date falling on a Saturday, Sunday or legal holiday when banks are not open for business in New York City shall be deemed to refer to the next business day which is not a Saturday, Sunday, or legal
holiday when banks are not open for business in New York City (“Business Day”). 
 22.10. Each party agrees that the
information contained herein, and any information exchanged between the parties in connection with the proposed transactions described herein, is strictly confidential. Neither party shall disclose the existence of, nor any of the terms contained
in, this Agreement, nor the substance of any other discussions between the parties, to any other person or entity except to the extent required by any applicable securities or other laws; provided, however, that each party may share any and all
information it deems pertinent with regulators, lenders, prospective lenders, investors, prospective investors, counsel, consultants, accountants and advisors but shall require that such persons and entities shall keep such information confidential
and shall be responsible for any breach of such confidentiality by such persons or entities. This Section shall not inhibit any disclosure to any governmental authority, whether domestic or foreign, to assure compliance with any applicable Laws.

  
 18 

 22.11. All exhibits and schedules attached to this Agreement shall be hereby incorporated herein.

 [REMAINDER OF PAGE INTENTIONALLY BLANK] 

  
 19 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and year first above
written. 
  

													
	SSF:	 		 	PDI:
			
	SSF III 60 WALL JV LLC, a Delaware limited liability company	 		 	PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation
					
	By:	 	Morgan Stanley Real Estate Special	 		 	By:	 	  

		 	Situations Fund III, L.P., its	 		 		 	Name:	 	
		 	managing member	 		 		 	Title:	 	
					
		 	By:	 	Proprium Capital Partners, LLC, as attorney-in-fact	 		 	For purposes of Sections 11.1.3 and 18 only:
					
		 		 		 		 	PGREF II 60 WALL INVESTORS GP, LLC, Delaware limited liability company
		 	By:	 	 /s/ J. TIMOTHY MORRIS
	 		 
		 	Name:	 	J. TIMOTHY MORRIS	 		 		 	
		 	Title:	 	PARTNER	 		 	By:	 	  

		 		 		 		 		 	Name:	 	
		 		 		 		 		 	Title:	 	
					
		 		 		 		 	PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership
					
		 		 		 		 	By: Paramount GREF, L.L.C., its General Partners, a Delaware limited liability company
					
		 		 		 		 	By: Paramount Group, Inc., its Managing Member, a Delaware corporation
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name:	 	
		 		 		 		 		 	Title:	 	
					
		 		 		 		 	PGREF III WALL STREET INVESTOR, L.P., a Delaware limited partnership
					
		 		 		 		 	By: PGREF III Wall Street GP, LLC, its General Partner, a Delaware limited liability company
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name:	 	
		 		 		 		 		 	Title:	 	

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and year first above
written. 
  

													
	SSF:	 		 	PDI:
			
	SSF III 60 WALL JV LLC, a Delaware limited liability company	 		 	PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation
					
	By:	 	Morgan Stanley Real Estate Special	 		 	By:	 	 /s/ Daniel A. Lauer

		 	Situations Fund III, L.P., its	 		 		 	Name:	 	Daniel A. Lauer
		 	managing member	 		 		 	Title:	 	Vice President
					
		 	By:	 	Proprium Capital Partners, LLC, as attorney-in-fact	 		 	For purposes of Sections 11.1.3 and 18 only:
					
		 	By:	 	 /s/ J. Timothy Morris
	 		 	PGREF II 60 WALL INVESTORS GP, LLC, Delaware limited liability company
		 	Name:	 	J. Timothy Morris	 		 		 		 	
		 	Title:	 	Director	 		 	By:	 	 /s/ Daniel A. Lauer

		 		 		 		 		 	Name:	 	Daniel A. Lauer
		 		 		 		 		 	Title:	 	Vice President
					
		 		 		 		 	PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership
					
		 		 		 		 	By: Paramount GREF, L.L.C., its General Partners, a Delaware limited liability company
					
		 		 		 		 	By: Paramount Group, Inc., its Managing Member, a Delaware corporation
						
		 		 		 		 	By:	 	 /s/ Daniel A. Lauer

		 		 		 		 		 	Name:	 	Daniel A. Lauer
		 		 		 		 		 	Title:	 	Senior Vice President
					
		 		 		 		 	PGREF III WALL STREET INVESTOR, L.P., a Delaware limited partnership
					
		 		 		 		 	By: PGREF III Wall Street GP, LLC, its General Partner, a Delaware limited liability company
						
		 		 		 		 	By:	 	 /s/ Daniel A. Lauer

		 		 		 		 		 	Name:	 	Daniel A. Lauer
		 		 		 		 		 	Title:	 	Vice President

 EXHIBIT A 

FORM CONSENT LETTER 

PGREF II 60 WALL INVESTORS GP, LLC 

c/o Paramount Group, Inc. 

1633 Broadway, Suite 1801 

New York, New York 10019 

June     , 2014 

VIA FEDEX 
 SSF III 60 Wall JV LLC 

c/o Proprium 
 1 Landmark Square, 19th Floor 

Stamford, Connecticut 06901 
 Attention: Thomas Carey 

 

	 	Re:	Second Amended and Restated Limited Partnership Agreement of PGREF II 60 Wall Street Investors, L.P. (the “Partnership”), dated as of July 10, 2007, by and among PGREF II 60 Wall Investors GP, LLC
(“General Partner”), Paramount Group Real Estate Fund II, L.P. (“Fund II”), PGREF III Wall Street Investor, L.P. (“Fund III Holdco”), and SSF III 60 Wall JV LLC (“Investor LP”)
(the “Limited Partnership Agreement”). 

 Dear Sir or Madam: 

Reference is made to (i) the Limited Partnership Agreement and (ii) that certain Property Management Agreement, dated as of
June 6, 2007 (the “Property Management Agreement”), between PGREF II 60 Wall Street, LP (“Property Owner”) and Paramount Group, Inc. (together with its successors and assigns, “Paramount”).
Property Owner is a subsidiary of the Partnership. A structure chart showing the current organization of the Partnership is attached hereto as Exhibit A-1. 

1. Capitalized Terms. Capitalized terms used but not defined herein shall have the meanings ascribed to such terms in the Limited
Partnership Agreement. 
 2. Acknowledgment of Anticipated Transactions, Option Transfer and Post IPO Transfers. 

(a) General Partner hereby notifies Investor LP that, in connection with a potential initial public offering of Paramount, each of Fund II and
Paramount Group Real Estate Fund III, L.P. (“Fund III” and collectively with Fund II, the “Funds”) will enter into an option agreement with Paramount Development And Investment, Inc. (together with its successor and
assigns, 

 
“PDI”), pursuant to which the Funds will grant to PDI an option (the “Option”) to acquire (i) Fund Ill’s 99.9% limited partnership interest in Fund III
Holdco, which holds a 16% limited partnership interest in the Partnership, (ii) Fund Ill’s 100% membership interest in PGREF III Wall Street GP, LLC, which is the 0.1% general partner of Fund III Holdco, (iii) Fund II’s 46.20%
limited partnership interest in the Partnership, and (iv) Fund II’s 100% membership interest in General Partner, which is the 0.1% general partner of the Partnership (collectively, the “Option Interests”) for a price equal
to the fair market value of the Option Interests as determined at the time PDI exercises the option (the “Option Transfer”), which price may be paid, at the PDI’s election, in cash or in Public REIT shares. Upon exercise of the
Option Transfer, PDI will contribute the Option Interests to the Operating Partnership in exchange for units therein. Following such exercise and contribution, the Operating Partnership will be an indirect owner of the interests in the Partnership
(other than Investor LP’s interests) and the sole direct and indirect owner of the interests in General Partner. General Partner will remain as the sole general partner of the Partnership. The Public REIT will either be a successor by merger of
Paramount, or will be a corporation into which Paramount will contribute all or substantially all of its assets. Following such merger or contribution, the Public REIT will undergo an initial public offering and intends to make an election in order
to qualify as a real estate investment trust in accordance with Sections 856 through 859 of the Code (the “REIT Election”). Following the initial public offering, shares of the Public REIT will be regularly traded on the New York
Stock Exchange and Operating Partnership units will, among other things, be convertible into shares in the Public REIT which, in each case, would constitute transfers of indirect interests in Property Owner (sales and other transfers of shares in
the Public REIT and limited partner units in the Operating Partnership are, collectively, the “Post IPO Transfers”). The granting of the Option, the REIT Election, the initial public offering and all Post IPO Transfers constitute
permitted actions not otherwise restricted pursuant to Article XI of the Limited Partnership Agreement. Notwithstanding, General Partner hereby (i) extends Investor LP the courtesy of requesting Investor LP’s consent to the granting of the
Option, the REIT Election, the initial public offering and all Post IPO Transfers and (ii) request’s Investor LP’s consent to the Option Transfer. 

(b) General Partner hereby notifies Investor LP that in connection with the initial public offering, the Partnership intends to cause
Paramount, as the Manager, to assign or otherwise transfer the Property Management Agreement (the “Management Assignment”) to an Affiliate of the Operating Partnership (the “Replacement Property Manager”), which
Replacement Property Manager is an Affiliate of Paramount, or to cause such Replacement Property Manager to enter into a replacement property management agreement (a “Replacement Agreement”) on terms that are substantially similar
to the Property Management Agreement. Any Replacement Agreement will be sent to Investor LP promptly following execution of the same. Pursuant to Sections 8.4(5) and 8.6 of the Limited Partnership Agreement, General Partner hereby requests Investor
LP’s consent to the Management Assignment, the Replacement Property Manager and the Replacement Agreement, if any. 
 (c) A
structure chart showing the expected organization of the Partnership following the consummation of the IPO Transfer is attached hereto as Exhibit A-2. 

 3. Effect of Execution by Investor LP. By execution in the space indicated below for
Investor LP’s signature, Investor LP hereby (i) consents to the granting of the Option, the REIT Election, the initial public offering, all Post IPO Transfers, the Option Transfers, and the Management Assignment, the Replacement Property
Manager and the Replacement Agreement, if any, (ii) acknowledges that the actions consented to in clause (i) above do not trigger Investor LP’s right of first offer pursuant to Section 11.2(c) of the Limited Partnership
Agreement, (iii) represents that the person signing this letter on behalf of Investor LP is authorized to do so, and (iv) represents that all consents and approvals required to be obtained to duly authorize the execution and delivery of
this letter on behalf of Investor LP have been obtained and are in full force and effect. 
 After execution in the space indicated below,
please return a signed copy of this letter to Daniel Lauer by pdf transmission at dlauer@paramount-group.com or by facsimile at (212) 237- 3197. 

Thank you for your assistance. 

[Signatures follow] 

 
							
	Very truly yours,
	
	PGREF II 60 WALL INVESTORS GP, LLC, a Delaware limited liability company
		
	By:	 	  

	Name:	 	Daniel A. Lauer
	Title:	 	Vice President
	
	PARAMOUNT GROUP REAL ESTATE FUND II, L.P., a Delaware limited partnership
		
	By:	 	Paramount GREF, L.L.C., its general partner
			
		 	By:	 	Paramount Group, Inc., its managing member
				
		 		 	By:	 	  

		 		 	Name:	 	Daniel A. Lauer
		 		 	Title:	 	Senior Vice President
	
	PGREF III WALL STREET INVESTOR, L.P., a Delaware limited partnership
		
	By:	 	PGREF III Wall Street GP, LLC, its general partner
			
		 	By:	 	  

		 	Name:	 	Daniel A. Lauer
		 	Title:	 	Vice President

 [Signatures continue on the following page] 

 CONSENTED AND AGREED TO this      day of June, 2014: 

 

							
	INVESTOR LP:
	
	 SSF III 60 Wall JV LLC,
 a Delaware
limited liability company

		
	By:	 	Morgan Stanley Real Estate Special Situations Fund III, L.P., its managing member
			
		 	By:	 	Proprium Capital Partners, LLC, as attorney-in-fact
				
		 		 	By:	 	  

		 		 	Name:	 	J. Timothy Morris
		 		 	Title:	 	Director
		
	cc:	 	 Proskauer Rose LLP
 11 Times
Square
 New York, New York 10036
 Attention: Jeffrey A.
Hortwitz, Esq.

 EXHIBIT A-1 

Existing Organizational Chart 

(Please see attached) 

 EXHIBIT A-2 

Organizational Chart After IPO Transfer 

(Please see attached) 

 EXHIBIT B 

QUALIFIED APPRAISERS 
  

	1.	Cushman & Wakefield 

  

	2.	Duff & Phelps 

  

	3.	Jones Lang LaSalle 

  

	4.	Leitner Group, Inc. 

  

	5.	Eastdil Secured 

  

	6.	CBRE 

 EXHIBIT C 

ASSIGNMENT AND ASSUMPTION AGREEMENT OF SELLER INTEREST 

ASSIGNMENT AND ASSUMPTION 
 OF
PARTNERSHIP INTEREST 
 THIS ASSIGNMENT AND ASSUMPTION OF PARTNERSHIP INTEREST (this “Assignment”) is made and entered into
as of                  , 2014, by and between SSF III 60 WALL JV, LLC, a Delaware limited liability company, having an office at c/o Morgan Stanley Real Estate Advisor,
Inc., 1585 Broadway, Floor 37, New York, New York 10036 (“Assignor”)], and PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation (“Assignee”). 

W I T N E S S E T H: 

WHEREAS, Assignor owns a thirty-seven and seven tenths percent (37.70%) limited partnership interest (together with all economic, voting
and other rights and interests appurtenant thereto, the “Partnership Interest”) in PGREF II 60 Wall Street Investors, L.P., a Delaware limited partnership (the “Partnership”); 

WHEREAS, pursuant to that certain Purchase Option Agreement dated             
    , 2014 (as the same may be amended, modified and/or supplemented from time to time, the “Purchase Agreement”) between Assignor and Assignee, Assignee has agreed to purchase from Assignor, and Assignor has
agreed to sell, transfer and covey to Assignee, in consideration for the payment of the Purchase Price (as defined in the Purchase Agreement), all right, title and interest in and to the Partnership Interest, whereupon following such sale, transfer
and conveyance Assignor will retain no interest in the Partnership; and 
 WHEREAS, the parties desire to enter into Assignment solely for
the purpose of evidencing the sale, transfer and conveyance of the Partnership Interest from Assignor to Assignee. 
 NOW, THEREFORE, in
consideration of the foregoing premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 

1. Defined Terms. All capitalized terms used but not otherwise defined in this Assignment shall have the meaning given to such terms in
the Purchase Agreement. 
 2. Assignment. Assignor unconditionally and irrevocably transfers, conveys, delivers and sets over to each
Assignee all of Assignor’s right, title and interest in and to the Partnership Interest. 
 3. Acceptance. Assignee hereby
accepts the Partnership Interest and hereby assumes and agrees to be bound, from and after the date hereof, by all of the liabilities, obligations, terms and conditions of the Second Amended and Restated Limited Partnership Agreement, dated as of
July 10, 2007 for the Partnership. 

 4. Successors and Assigns. This Assignment shall inure to the benefit of and be binding
upon Assignor and Assignee and their respective heirs, successors and assigns. 
 5. Counterparts; Facsimile Signatures. This
Assignment may be executed in one or more counterparts (whether original, facsimile, portable document format or otherwise), each of which shall be deemed an original, but all of which shall together constitute one and the same instrument. 

6. Governing Law. This Assignment shall be governed by, construed in accordance with and enforced under the laws of the State of New
York, without regard to its principles of conflicts of law. 
 7. Conflicts. The parties agree that the sole purpose of this
Assignment is to evidence the sale, transfer and conveyance of the Partnership Interest from Assignor to Assignee as provided in the Purchase Agreement. This Assignment does not, and shall not be interpreted or otherwise construed, to alter,
increase or diminish in any respects the parties’ rights, obligations and liabilities set forth in the Purchase Agreement. In the event of any conflict between the terms and conditions of this Assignment and the Purchase Agreement, the terms
and conditions of the Purchase Agreement shall govern. 
 [Remainder of Page Intentionally Left Blank] 

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

							
	Assignor:
	
	SSF III 60 Wall JV LLC, a Delaware limited liability company
		
	By:	 	Morgan Stanley Real Estate Special Situations Fund III, L.P., its managing member
			
		 	By:	 	Proprium Capital Partners, LLC, as attorney-in-fact
				
		 		 	By:	 	  

		 		 	Name:	 	J. Timothy Morris
		 		 	Title:	 	Director
	
	Assignee:
	
	PARAMOUNT DEVELOPMENT AND INVESTMENT, INC., a Delaware corporation
		
	By:	 	  

	Name:	 		 		 	
	Title:

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