Document:

Exhibit 10.1

EXECUTION VERSION

 

SECOND AMENDMENT TO ADVISORY AGREEMENT

  

This SECOND AMENDMENT
TO ADVISORY AGREEMENT (this “Amendment”), dated as of December 22, 2017 and effective as of October 1, 2017,
is entered into by and among American Realty Capital Healthcare Trust III, Inc. (the “Company”), American Realty
Capital Healthcare III Operating Partnership, L.P. (the “Operating Partnership”) and American Realty Capital
Healthcare III Advisors, LLC (the “Advisor”).

 

RECITALS

 

WHEREAS, the
Company, the Operating Partnership and the Advisor are parties to that certain Advisory Agreement, dated as of August 20, 2014,
and amended by that certain First Amendment to Advisory Agreement, dated as of June 16, 2017 (as amended, the “Advisory
Agreement”);

 

WHEREAS, the
Company, the Operating Partnership, ARHC TRS Holdco III, LLC (“Holdco Seller”), Healthcare Trust Inc. (“HTI”),
Healthcare Trust Operating Partnership, L.P. (“HTI’s Operating Partnership”), and ARHC TRS Holdco II,
LLC (“Holdco Buyer”) have entered into that certain Purchase Agreement dated as of June 16, 2017 (the “Purchase
Agreement”), whereby the Company, through the Operating Partnership and Holdco Seller, has agreed to sell substantially
all of its assets to HTI, through HTI’s Operating Partnership and Holdco Buyer (the “Sale”), as more particularly
described in the Purchase Agreement;

 

WHEREAS, on
June 16, 2017, the Company, the Advisor, American Realty Capital Healthcare III Properties, LLC, and AR Global Investments, LLC
entered into that certain letter agreement, and, on September 28, 2017, an amendment thereto (such letter agreement as so amended,
the “Letter Agreement”);

 

WHEREAS, the
Letter Agreement relates to the amounts that may become payable to and from the Advisor and its affiliates, on the one hand, and
the Company, on the other hand, if the Sale closes and as the Advisor thereafter continues to provide services to the Company as
the Company’s plan of liquidation is implemented, as more particularly described in the Letter Agreement;

 

WHEREAS, pursuant
to the Letter Agreement, the Company and the Advisor agreed, prior to the Closing (as defined in the Purchase Agreement), to further
amend the Advisory Agreement and amend the Amended and Restated Agreement of Limited Partnership of the Operating Partnership dated
as of August 10, 2015, effective as of October 1, 2017, to effectuate the certain matters contemplated by the Letter Agreement;
and

 

WHEREAS, the
Company, the Operating Partnership and the Advisor desire to amend the Advisory Agreement to give effect to the provisions of the
Letter Agreement and to confirm and clarify the term and termination provisions of the Advisory Agreement contemplated by the First
Amendment to the Advisory Agreement and the Letter Agreement.

 

NOW, THEREFORE,
in consideration of the premises made hereunder, and for 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.	Amendment to Section 1 of the Advisory Agreement.
Section 1 of the Advisory Agreement is hereby supplemented by the addition of the following new definitions:

 

““Asset
Management Fee” means the fees payable to the Advisor pursuant to Section 11(h).”

 

““Closing Date”
has the meaning ascribed to such term in that certain Purchase Agreement, dated as of June 16, 2017, by and among the Company,
the Operating Partnership, ARHC TRS Holdco III, LLC, Healthcare Trust Inc., Healthcare Trust Operating Partnership, L.P., and ARHC
TRS Holdco II, LLC, as such Purchase Agreement may be amended from time to time.”

 

““Cost of Assets”
means, with respect to a Real Estate Asset, the purchase price, Acquisition Expenses, capital expenditures and other customarily
capitalized costs, but shall exclude Acquisition Fees associated with such Real Estate Asset.”

 

		2.	Amendment to Section 11(g) of the Advisory Agreement. Section 11(g) of the Advisory
Agreement is hereby replaced in its entirety with the following:

 

“(g) Subordinated
Participation Interests. The Company shall cause the Operating Partnership to periodically issue Subordinated Participation
Interests in the Operating Partnership to the Advisor or its assignees, pursuant to the terms and conditions contained in the Operating
Partnership Agreement, in connection with the Advisor’s (or its assignees’) management of the Operating Partnership’s
assets for any period ending prior to or as of September 30, 2017.”

 

		3.	Addition of Section 11(h) of the Advisory Agreement. The Advisory Agreement is supplemented
by the addition of the following new Section 11(h):

 

“(h) Asset Management
Fee. Commencing on or after October 1, 2017, and in lieu of any Subordinated Participation Interests, the Company shall
pay an Asset Management Fee to the Advisor or its assignees as compensation for services rendered in connection with the management
of the Company’s assets. The Asset Management Fee is payable on the first business day of each quarter for the preceding
quarterly period in an amount equal to the excess of (A) the product of (x) 0.1875% multiplied by (y) the lower of the Cost of
Assets and the fair market value of the Company’s assets as reported in the applicable Quarterly Report on Form 10-Q or Annual
Report on Form 10-K filed with the Securities and Exchange Commission with respect to such quarterly period over (B) any amounts
payable as an Oversight Fee (as defined in the Management Agreement) for such quarterly period. The Advisor shall submit a computation
of the Asset Management Fee to the Company for the applicable quarterly period.”

 

		4.	Amendment to Section 17 of the Advisory Agreement. Section 17 of the Advisory Agreement
is hereby replaced in its entirety with the following:

 

“17.TERM OF AGREEMENT. 
This Agreement shall continue in force through August 20, 2018; provided, however that the Company may, by providing
timely notice thereof to the Advisor, renew this Agreement for an unlimited number of successive one-year terms; provided,
further that, this Agreement shall automatically terminate upon the later of (x) the dissolution of the Company and (y)
30 days following the fourteen-month anniversary of the Closing Date.”

 

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		5.	Acknowledgments. The Advisor and the Company agree that, as set forth in the Letter Agreement,
(i) the Asset Management Fee payable to the Advisor under Section 11(h) of the Advisory Agreement (as amended by Section 2 of this
Amendment) and Section 3 of the Letter Agreement, will no longer accrue after the Closing, and (ii) no other fees or reimbursements
that are not expressly set forth in this Amendment or the Letter Agreement are payable, or will become payable, from the Company
to the Advisor.

 

		6.	Effectiveness and Termination. Subject to the occurrence of the Closing and conditioned
thereon, this Amendment shall become effective as of October 1, 2017. Notwithstanding anything in this Amendment, in the event
of a termination under Article 9 of the Purchase Agreement, this Amendment shall be null and void.

 

		7.	Miscellaneous. The provisions of this Amendment are independent of and severable from each
other, and no provision shall be affected or rendered invalid or unenforceable by virtue of the fact that for any reason any other
or others of them may be invalid or unenforceable in whole or in part. The provisions of this Agreement shall be construed and
interpreted in accordance with the internal laws of the State of New York as at the time in effect, without regard to the principles
of conflicts of laws thereof. This Amendment may be executed (including by facsimile transmission) with counterpart signature pages
or in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature appears
thereon, and all of which shall together constitute one and the same instrument.

 

 

[Signature page
follows.]

 

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IN WITNESS WHEREOF,
the undersigned, intending to be legally bound hereby, have duly executed this Second Amendment to Advisory Agreement as of the
date first set forth above.

 

	 	AMERICAN REALTY CAPITAL HEALTHCARE TRUST III, INC.
	 	 	 	 	 
	 	 	 	 	 
	 	By:  	/s/ W. Todd Jensen	 
	 	 	Name:  	W. Todd Jensen
	 	 	Title:	President and Interim Chief Executive Officer
	 	 	 	 	 
	 	 	 	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE TRUST III OPERATING PARTNERSHIP, L.P.
	 	 	 	 	 
	 	By:	American Realty Capital Healthcare Trust III, Inc., its General Partner
	 	 	 	 	 
	 	 	 	 	 
	 	By:	/s/ W. Todd Jensen	 
	 	 	Name:	W. Todd Jensen
	 	 	Title:	President and Interim Chief Executive Officer
	 	 	 	 	 
	 	 	 	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE III ADVISORS, LLC
	 	 	 	 	 
	 	 	 	 	 
	 	By:	/s/ Michael Anderson	 
	 	 	Name:	Michael Anderson
	 	 	Title:	Authorized Signatory

 

 

[Signature Page to Second Amendment
to Advisory Agreement]Exhibit 10.2

EXECUTION VERSION

 

FIRST AMENDMENT

TO

AMENDED AND RESTATED AGREEMENT OF LIMITED
PARTNERSHIP

OF

AMERICAN REALTY CAPITAL HEALTHCARE TRUST
III OPERATING PARTNERSHIP, L.P.

 

This
FIRST AMENDMENT TO AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP OF AMERICAN REALTY CAPITAL HEALTHCARE TRUST III OPERATING
PARTNERSHIP, L.P. (this “Amendment”), dated December 22, 2017 and effective as of October 1, 2017, is entered
into by American Realty Capital Healthcare Trust III, Inc., a Maryland corporation, in its capacity as the general partner (the
“General Partner”) of American Realty Capital Healthcare Trust III Operating Partnership, L.P., a Delaware
limited partnership (the “Partnership”), and American Realty Capital Healthcare III Advisors, LLC (the “Advisor”).
Capitalized terms used but not otherwise defined in this Amendment shall have the meanings given to such terms in the Amended
and Restated Agreement of Limited Partnership of the Partnership, dated as of August 10, 2015 (as amended, the “Partnership
Agreement”).

 

RECITALS:

 

WHEREAS, the
General Partner, the Operating Partnership, ARHC TRS Holdco III, LLC (“Holdco Seller”), Healthcare Trust Inc.
(“HTI”), Healthcare Trust Operating Partnership, L.P. (“HTI’s Operating Partnership”),
and ARHC TRS Holdco II, LLC (“Holdco Buyer”) have entered into that certain Purchase Agreement dated as of June
16, 2017 (the “Purchase Agreement”), whereby the General Partner, through the Operating Partnership and Holdco
Seller, has agreed to sell substantially all of its assets to HTI, through HTI’s Operating Partnership and Holdco Buyer (the
“Sale”), as more particularly described in the Purchase Agreement;

 

WHEREAS, on
June 16, 2017, the General Partner, the Advisor, American Realty Capital Healthcare III Properties, LLC, and AR Global Investments,
LLC entered into that certain letter agreement, and, on September 28, 2017, an amendment thereto (such letter agreement as so amended,
the “Letter Agreement”);

 

WHEREAS, the
Letter Agreement relates to the amounts that may become payable to and from the Advisor and its affiliates, on the one hand, and
the General Partner, on the other hand, if the Sale closes and as the Advisor thereafter continues to provide services to the General
Partner as the General Partner’s plan of liquidation is implemented, as more particularly described in the Letter Agreement;

 

WHEREAS, pursuant
to the Letter Agreement, the Company and the Advisor agreed, prior to the Closing (as defined in the Purchase Agreement), to further
amend the Advisory Agreement and amend the Partnership Agreement effective as of July 1, 2017 to effectuate certain matters contemplated
by the Letter Agreement; and

 

WHEREAS, the
General Partner and the Advisor desire to amend the provisions of the Partnership Agreement to give effect to the provisions of
the Letter Agreement.

 

NOW THEREFORE,
in consideration of the premises made hereunder, and for 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.	Article 1 of the Partnership Agreement is hereby revised
by deleting the following defined terms in their entirety:

 

“Adjustment Event”

 

“Constituent Person”

 

“Conversion Date”

 

“NAV Pricing Start
Date”

 

     

     

    

 

		2.	Article 1 of the Partnership Agreement is hereby revised by replacing the following defined terms
in their entirety with the following new defined terms:

 

““Class B Economic
Capital Account Balances” means the Capital Account balances of the Class B Unit holders to the extent attributable
to their ownership of Class B Units reduced by any forfeiture allocations due to the forfeiture or surrender of any Class B Units.”

 

““OP Unit Economic
Balance” means the quotient of (a) the aggregate Capital Account balance attributable to the OP Units outstanding,
plus the amount of any Partner Minimum Gain or Partnership Minimum Gain, in either case to the extent attributable to the ownership
of OP Units and computed on a hypothetical basis after taking into account all allocations through the date on which such determination
is made, divided by (b) the number of OP Units outstanding on that date.”

 

““OP Unit Transaction”
means, in connection with a Class B Unit, a transaction to which the Partnership or the General Partner shall be a party, including
a merger, consolidation, unit exchange, self-tender offer for all or substantially all OP Units or other business combination or
reorganization, or sale of all or substantially all the Partnership’s assets in each case as a result of which OP Units shall
be exchanged for or converted into the right, or the holders of such OP Units shall otherwise be entitled, to receive cash, securities
or other property or any combination thereof, which for the avoidance of doubt shall include the consummation of the sale of all
or substantially all the Partnership’s assets pursuant to that certain Purchase Agreement, dated as of June 16, 2017, by
and among the General Partner, the Partnership, ARHC TRS Holdco III, LLC, Healthcare Trust Inc., Healthcare Trust Operating Partnership,
L.P., and ARHC TRS Holdco II, LLC, as such Purchase Agreement may be amended from time to time.”

 

		3.	Section 13.3 of the Partnership Agreement is hereby
replaced in its entirety with the following new Section 13.3:

 

		“13.3	No Obligation to Contribute Deficit

 

If
any Partner or the Special Limited Partner has a deficit balance in his Capital Account (after giving effect to all contributions,
distributions and allocations for all taxable years, including the year during which such liquidation occurs), such Partner and
the Special Limited Partner shall have no obligation to make any contribution to the capital of the Partnership with respect to
such deficit, and such deficit shall not be considered a debt owed to the Partnership or to any other Person for any purpose whatsoever.”

 

		4.	Article 16 of the Partnership Agreement is hereby
replaced in its entirety with the following new Article 16:

 

		“16.1	Designation and Number

 

A series of Partnership Units
in the Partnership, designated as the “Class B Units,” is hereby established. Except as set forth in this Article
16, Class B Units shall have the same rights, privileges and preferences as the OP Units. Subject to the provisions of this Article
16 and the special provisions of subparagraph 1(c)(ii) of Exhibit B, Class B Units shall be treated as Partnership Units,
with all of the rights, privileges and obligations attendant thereto. In connection with services provided by the Advisor under
the Advisory Agreement, the General Partner shall cause the Partnership to issue to the Initial Limited Partner within forty-five
(45) days after the end of each Quarter until and including the Quarter ending September 30, 2017 a number of Class B Units equal
to the quotient of: (i) the excess of (A) the product of (y) the lower of the Cost of Assets and the fair market value of the
Partnership’s assets as reported in the applicable Quarterly Report on Form 10-Q or Annual Report on Form 10-K filed by
the General Partner with the Securities and Exchange Commission with respect to such Quarter multiplied by (z) 0.1875% over (B)
any amounts payable as an Oversight Fee (as defined in the Management Agreement) for such Quarter divided by (ii) the NAV per
share of Common Stock as of the last day of such Quarter; provided, that if the amounts payable as an Oversight Fee for such Quarter
exceed the amount determined under clause (A) for such Quarter (an “Excess Oversight Fee”), no Class B Units
shall be issued for such Quarter and the Excess Oversight Fee shall be carried forward to the next succeeding Quarter and included
with and treated as amounts payable as an Oversight Fee for such Quarter for purposes of determining the amount of Class B Units
issuable for such Quarter; provided further, that the sum of (I) the amounts determined under clause (i) for a calendar year plus
(II) the amounts payable as an Oversight Fee for such calendar year, shall not be less than 0.75% of the lower of the Cost of
Assets and the fair value of the Partnership’s assets for such calendar year; provided further, that each quarterly issuance
of Class B Units shall be subject to the approval of the General Partner’s board of directors.

 

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		16.2	Special Provisions

 

Class B Units
shall be subject to the following special provisions:

 

		(a)	Restrictions and Forfeiture.

 

(i)       All
Class B Units when issued shall be subject to forfeiture and shall constitute “Restricted Class B Units” and
shall remain subject to forfeiture as provided in this Section 16.2(a) until the requirements of this Section 16.2(a) have been
satisfied.

 

(ii)       One
hundred percent (100%) of the outstanding Restricted Class B Units shall no longer be subject to forfeiture and shall constitute
“Unrestricted Class B Units” at such time as a Liquidity Event occurs; provided, that the Advisor pursuant to
the Advisory Agreement is providing services to the Partnership immediately prior to the occurrence of an event of the type described
therein, unless the failure to provide such services is attributable to a Termination Without Cause.

 

(iii)       If
the Advisory Agreement is terminated for any reason other than pursuant to a Termination Without Cause, any outstanding Restricted
Class B Units shall be forfeited immediately. Upon such forfeiture, such Restricted Class B Units shall immediately, and without
any further action, be treated as cancelled and no longer outstanding for any purpose. No consideration or other payment shall
be due with respect to any Class B Units that have been forfeited. In connection with any forfeiture of Class B Units, the balance
of the Capital Account of a holder of Class B Units, if any, shall be reduced by the amount of the Capital Account attributable
to the forfeited Class B Units, and such reduction shall be reallocated to all holders of OP Units, pro rata in accordance with
their respective Percentage Interests with respect to OP Units.

 

(iv)       The
General Partner may in its sole discretion provide for the acceleration, waiver or change of the forfeiture provisions contained
in this Section 16.2(a), in whole or in part, based on such factors or criteria as the General Partner may determine.

 

(b)           Distributions.
The holders of Class B Units shall be entitled to (i) current distributions of Cash Available for Distribution pursuant to Section
5.1(a); (ii) distributions, if any, of Net Sales Proceeds pursuant to Section 5.1(b)(iii); and (iii) distributions in liquidation
of the Partnership pursuant to Section 13.2.

 

		16.3	Voting

 

Holders
of Class B Units shall (a) have the same voting rights as the Limited Partners, with the Class B Units voting as a single class
with the OP Units and having one vote per Class B Unit; and (b) have the additional voting rights that are expressly set forth
below. So long as any Class B Units remain outstanding, the Partnership shall not, without the affirmative vote of the holders
of at least a majority of the Class B Units outstanding at the time, given in person or by proxy, either in writing or at a meeting
(voting separately as a class), amend, alter or repeal, whether by merger, consolidation or otherwise, the provisions of this
Agreement applicable to Class B Units so as to materially and adversely affect any right, privilege or voting power of the Class
B Units or the holders of Class B Units as such, unless such amendment, alteration, or repeal affects equally, ratably and proportionately
the rights, privileges and voting powers of the Limited Partners; provided, that any creation or issuance of any Partnership Units
or of any class or series of Partnership Interest including additional OP Units or Class B Units whether ranking senior to, junior
to, or on a parity with the Class B Units with respect to distributions and the distribution of assets upon liquidation, dissolution
or winding up, shall not be deemed to materially and adversely affect such rights, preferences, privileges or voting powers of
the Class B Units or the holders of Class B Units as such.”

 

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		5.	Subparagraph 1(c)(ii) of Exhibit B of the Partnership
Agreement is hereby replaced in its entirety with the following new subparagraph 1(c)(ii):

 

		“(ii)	[Intentionally Omitted]”

 

		6.	Effectiveness and Termination. Subject to the occurrence of the Closing and conditioned
thereon, this Amendment shall become effective as of October 1, 2017. Notwithstanding anything in this Amendment, in the event
of a termination under Article 9 of the Purchase Agreement, this Amendment shall be null and void.

 

		7.	Miscellaneous. If any provision of this Amendment is or becomes invalid, illegal or unenforceable
in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not be affected thereby.
This Amendment shall be construed and enforced in accordance with and governed by the laws of the State of Delaware, without regard
to the principles of conflicts of laws thereof. This Amendment may be executed (including by facsimile transmission) with counterpart
signature pages or in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature
appears thereon, and all of which shall together constitute one and the same instrument.

 

 

[SIGNATURE PAGE FOLLOWS]

 

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IN WITNESS WHEREOF, the undersigned,
intending to be legally bound hereby, have duly executed this Amendment as of the date and year first aforesaid.

 

	 	GENERAL PARTNER:
	 	 	 	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE TRUST III, INC.
	 	 	 	 	 
	 	 	 	 	 
	 	By:  	/s/ W. Todd Jensen	 
	 	 	Name:  	W. Todd Jensen
	 	 	Title:	President and Interim Chief Executive Officer
	 	 	 	 	 
	 	 	 	 	 
	 	LIMITED PARTNER:
	 	 	 	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE III ADVISORS, LLC
	 	 	 	 	 
	 	 	 	 	 
	 	By:  	/s/ Michael Anderson	 
	 	 	Name:  	Michael Anderson
	 	 	Title:	Authorized Signatory

 

 

[Signature Page to First Amendment to Amended
and Restated Agreement of Limited Partnership]

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