Document:

Exhibit 10.9

 

PROMISSORY
NOTE

 

	November 14, 2022	 	$3,600,000.00

 

FOR VALUE RECEIVED, MACRAL
PROPERTIES, LLC, a North Carolina limited liability company, and RON-RAN ENTERPRISES, LLC, a North Carolina limited liability
company (individually and collectively, “Borrower”), promises and agrees to pay to the order of VANDERBILT MORTGAGE
AND FINANCE, INC., a Tennessee corporation (“Lender,” which term shall always refer to the lawful holder hereof),
at its offices in Maryville, Tennessee, or at such other place as may be designated in writing by Lender, in lawful money of the United
States of America, the principal sum of up to Three Million Six Hundred Thousand and No/100 Dollars ($3,600,000.00), or so much thereof
as may be disbursed and remain outstanding from time to time by Lender, together with interest on the disbursed and unpaid principal balance
outstanding computed from the date of each advance until repaid in full.

 

This Promissory Note (“Note”)
is issued in accordance with and pursuant to that certain Loan Agreement by and between Borrower and Lender of even date herewith (as
such may be amended and/or restated from time to time, the “Loan Agreement”), the terms of which are incorporated herein
by this reference. Capitalized terms not otherwise defined herein shall have such meaning as set forth in the Loan Agreement.

 

Interest on the disbursed
and unpaid principal balance hereunder shall accrue from the date funds are first disbursed to Borrower at a fixed rate of interest equal
to seven and thirty-nine one-hundredths percent (7.39%) per annum, or the maximum rate of interest allowed by law, whichever is less (the
“Interest Rate”). Interest shall be calculated on the basis of a 360-day year and the actual number of calendar days
elapsed.

 

Each payment due hereunder
shall be due on the tenth (10th) day of each month (each a “Due Date”) during the term of this Note. This
Note shall be repaid as follows:

 

(a) Beginning
on January 10, 2023, and continuing on each Due Date through and including December 10, 2025, Borrower shall pay to Lender interest on
the unpaid principal balance of this Note at the Interest Rate.

 

(b) On
December 10, 2025 the outstanding principal balance hereunder will be amortized at the Interest Rate over three hundred and sixty (360)
consecutive monthly installments of principal and interest (the “Monthly Payment”) with the first Monthly Payment due
from Borrower on January 10, 2026, and continuing on each Due Date thereafter, through and including November 10, 2027.

 

(c) On
December 10, 2027 (the “Maturity Date”), this Note shall mature and Borrower shall pay to Lender an amount equal to all
accrued but unpaid interest, plus all outstanding principal, costs, fees and expenses.

 

Should an Event of Default
occur under the Loan Agreement which is continuing, then, at the option of Lender, the entire indebtedness hereby evidenced shall become
due, payable and collectible then or thereafter, without notice, as Lender may elect regardless of the date of maturity. Lender may waive
any default before or after the same has been declared and restore this Note to full force and effect without impairing any rights hereunder,
such right of waiver being a continuing one.

 

Principal and unpaid interest
may, at Lender’s option, bear interest following any Event of Default which is continuing at the Default Rate. Commencing on the 11th
day after the applicable due date of any missed payment, a five percent (5%) late charge (the “Late Charge”) shall be
assessed on the amount of such missed payment. Borrower will pay a fee to Lender of $32.00 if Borrower makes a payment on Borrower’s loan
and the check or preauthorized charge with which Borrower pays is later dishonored. In case of suit, or if this obligation is placed in
an attorney’s hands for collection, or to protect the security for its payment, the undersigned will pay all costs of collection and litigation,
including a reasonable attorney’s fee.

 

Lender may delay or forego
enforcing any of its rights or remedies under this Note or under the other Loan Documents without waiving such rights and remedies. The
failure of Lender to exercise any option to accelerate the indebtedness hereunder or any remedy, or any forbearance, indulgence, or other
delay by Lender in the exercise of any such option, shall not constitute a waiver of the right to exercise such option prior to the curing
of any such Event of Default or in the event of any subsequent default, whether similar or dissimilar to any prior Event of Default.

 

    1

     

    

 

All amounts received for payment
shall, at the option of Lender, be applied first to any unpaid expenses due under this Note or under any other documents evidencing or
securing the obligations or indebtedness of Borrower to Lender, then to any unpaid default interest, then to all other accrued but unpaid
interest, and finally, to the reduction of outstanding principal due under this Note. Borrower may prepay the principal balance hereunder
in whole or in part, subject to the Prepayment Premiums set forth in the Loan Agreement, and subject to the terms and conditions of the
Loan Agreement. All prepayments of principal shall be applied to installments of principal in inverse order of maturity. No such prepayment
shall postpone or extend the due date of any subsequent installment or change the amount of any installment. Early payments will not,
unless agreed to by Lender in writing, relieve Borrower of Borrower’s obligation to continue to make payments under the payment schedule
until the outstanding balance is paid in full. Rather, early payments will reduce the outstanding principal balance due and may result
in Borrower’s making fewer payments or a smaller final payment. Borrower agrees not to send Lender payments marked “paid in full,”
“without recourse,” or similar language. If Borrower sends such a payment, Lender may accept it without losing any of Lender’s
rights under this Note, and Borrower will remain obligated to pay any further amount owed to Lender. All written communications concerning
disputed amounts, including any check or other payment instrument that indicates that the payment constitutes “payment in full”
of the amount owed or that is tendered with other conditions or limitations or as full satisfaction of a disputed amount must be mailed
or delivered to: Vanderbilt Mortgage and Finance, Inc., Attn: Commercial Lending Division, 500 Alcoa Trail, Maryville, TN 37804.

 

The makers, endorsers, guarantors
and all parties to this Note and all who may become liable for same, jointly and severally waive presentment for payment, protest, notice
of protest, notice of nonpayment of this Note, demand and all legal diligence in enforcing collection, any and all rights under the laws
of any state to claim or recover any special, exemplary, punitive, consequential or other damages other than actual direct damages, and
hereby expressly agree that the lawful owner or holder of this Note may defer or postpone collection of the whole or any part thereof,
either principal and/or interest, or may extend or renew the whole or any part thereof, either principal and/or interest, or may accept
additional collateral or security for the payment of this Note, or may release the whole or any part of any collateral security and/or
liens given to secure the payment of this Note, or may release from liability on account of this Note any one or more of the makers, endorsers,
guarantors and/or other parties thereto, all without notice to them or any of them; and such deferment, postponement, renewal, extension,
acceptance of additional collateral or security and/or release shall not in any way affect or change the obligation of any such maker,
endorser, guarantor or other party to this Note, or of any who may become liable for the payment thereof.

 

This Note is a secured promissory
note.

 

If for any reason whatsoever
the interest and loan fees and charges paid or payable by Borrower hereunder shall exceed the maximum amounts collectible under applicable
laws, then, ipso facto, the obligation to pay such interest and loan fees and charges shall be reduced to the maximum amounts collectible
under applicable laws, and any amounts collected by Lender that exceed such maximum amounts shall be applied to the reduction of the outstanding
principal balance, or if the outstanding principal balance is paid to zero, any excessive amounts collected shall be refunded to Borrower,
so that at no time shall the interest and loan fees and charges paid or payable exceed the maximum amounts permitted from time to time
by applicable law.

 

This Note shall be governed
by and construed in accordance with the laws of Tennessee. This Note has been delivered to Lender and accepted by Lender in the State
of Tennessee. If there is a lawsuit, Borrower agrees upon Lender’s request to submit to the exclusive jurisdiction and venue of all State
or Federal courts within the County of Knox, State of Tennessee. LENDER AND BORROWER HEREBY WAIVE THE RIGHT TO ANY JURY TRIAL IN ANY ACTION,
PROCEEDING, CLAIM, OR COUNTERCLAIM BROUGHT BY EITHER LENDER OR BORROWER AGAINST THE OTHER.

 

TIME IS OF THE ESSENCE WITH
REGARD TO EACH AND EVERY PROVISION OF THIS NOTE.

 

All notices or elections required
or permitted under this Note will be in writing and will be transmitted in the manner and to the addresses set forth in the Loan Agreement.

 

This Note may not be changed
or terminated without the prior written approval of Lender and Borrower. No waiver of any term or provision hereof shall be valid unless
in writing signed by Lender.

 

[Signature page follows]

 

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This Promissory Note is entered
into effective as of the date first above written.

 

	 	BORROWER:
	 	 
	 	MACRAL PROPERTIES, LLC
	 	 
	 	By:	Wake Forest 2 MHP LLC, a North Carolina limited liability company, its sole Member
	 	 
	 	By:  	Manufactured Housing Properties Inc., a Nevada corporation, its Sole Member

 

	 	By:	/s/ Jay Wardlaw
	 	 	Jay Wardlaw, President

 

STATE OF North Carolina)

COUNTY OF Mecklenburg)

 

Before me, the undersigned,
a Notary Public of said County and State, personally appeared Jay Wardlaw, with whom I am personally acquainted (or proved to me
on the basis of satisfactory evidence), and who, upon oath, acknowledged himself to be the President of Manufactured Housing Properties
Inc., a Nevada corporation, which is the Sole Member of Wake Forest 2 MHP LLC, a North Carolina limited liability company, the Sole Member
of MACRAL PROPERTIES, LLC, a North Carolina limited liability company, the within named Borrower, and that he in such capacity,
being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the Borrower in
such capacity.

 

Witness my hand and seal, this 7 day of November        ,
2022.

 

	 	/s/ Alexander Q. Olliver
	 	Notary Public

 

My Commission Expires: March 25, 2024

 

[Signature page follows]

 

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This Promissory Note is entered into effective
as of the date first above written.

 

	 	RON-RAN ENTERPRISES, LLC
	 	 
	 	By:	Wake Forest 2 MHP LLC, a North Carolina limited liability company, its sole Member
	 	 
	 	By:	Manufactured Housing Properties Inc., a Nevada corporation, its Sole Member

 

	 	By:	/s/ Jay Wardlaw
	 	 	Jay Wardlaw, President

 

STATE OF North Carolina)

COUNTY OF Mecklenburg)

 

Before me, the undersigned,
a Notary Public of said County and State, personally appeared Jay Wardlaw, with whom I am personally acquainted (or proved to me
on the basis of satisfactory evidence), and who, upon oath, acknowledged himself to be the President of Manufactured Housing Properties
Inc., a Nevada corporation, which is the Sole Member of Wake Forest 2 MHP LLC, a North Carolina limited liability company, the Sole Member
of RON-RAN ENTERPRISES, LLC, a North Carolina limited liability company, the within named Borrower, and that he in such capacity,
being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the Borrower in
such capacity.

 

Witness my hand and seal, this 7 day of November      ,
2022.

 

	 	/s/ Alexander Q. Olliver
	 	Notary Public

 

My Commission Expires: March 25, 2024

 

 

4Exhibit 10.10

 

DEED OF TRUST,

ASSIGNMENT OF LEASES AND RENTS,

SECURITY AGREEMENT

AND FIXTURE FILING

 

(NORTH CAROLINA)

 

	
    Prepared by: 

    Keith Fisher

    GLENN O’KEITH FISHER, Attorneys at Law

    (redacted)

     

     

    After Recording Return To:

     

    (redacted)

     

    LENDER ADDRESS:

     

    Vanderbilt Mortgage and Finance, Inc.

    500 Alcoa Trail

    Maryville, Tennessee 37804

    Attn: Commercial Lending Division 

 

	
    TRUSTEE ADDRESS:

     

    John Adam Kraemer

    (redacted)

 

    1

     

    

 

DEED OF TRUST,

ASSIGNMENT OF LEASES AND RENTS,

SECURITY AGREEMENT

AND FIXTURE FILING

 

This DEED OF TRUST, ASSIGNMENT
OF LEASES AND RENTS, SECURITY AGREEMENT AND FIXTURE FILING (as amended, restated, replaced, supplemented, or otherwise modified from time
to time, the “Security Instrument”) is dated effective as of November 14, 2022 by MACRAL PROPERTIES, LLC, a North
Carolina limited liability company, and RON-RAN ENTERPRISES, LLC, a North Carolina limited liability company, a grantor (individually
and collectively, “Grantor”), to JOHN ADAM KRAEMER, as trustee (“Trustee”), for the benefit of
VANDERBILT MORTGAGE AND FINANCE, INC., a Tennessee corporation, as beneficiary (“Lender”).

 

Grantor, in consideration
of (a) (i) the loan in the original principal amount of $3,600,000.00 (the “Loan”) evidenced by that certain Promissory
Note dated as of the date of this Security Instrument, executed by Grantor and made payable to the order of Lender (as amended, restated,
replaced, supplemented, or otherwise modified from time to time, the “Note”), (ii) that certain Loan Agreement dated
as of the date of this Security Instrument, executed by and between Grantor and Lender (as amended, restated, replaced, supplemented or
otherwise modified from time to time, the “Loan Agreement”), and (iii) the trust created by this Security Instrument,
and to secure to Lender the repayment of the Indebtedness (as defined in this Security Instrument), and all renewals, extensions and modifications
thereof, and the performance of the covenants and agreements of Grantor contained in the Loan Documents (as defined in the Loan Agreement),
and (b) the loan in the original principal amount of $2,440,000.00 (the “Warrenville Loan”) evidenced by (i) that certain
Promissory Note dated March 31, 2022, executed by Warrenville MHP LLC, a South Carolina limited liability company, and made payable to
the order of Lender, (ii) that certain Loan Agreement dated March 31, 2022 by and between Lender and Warrenville MHP LLC, and (iii) the
loan documents evidencing the same, irrevocably and unconditionally mortgages, grants, warrants, conveys, bargains, sells, and assigns
to Trustee, in trust, for benefit of Lender, with power of sale and right of entry and possession, the Mortgaged Property (as defined
in this Security Instrument), including the real property located in Wake and Franklin County, State of North Carolina, and described
in Exhibit A attached to this Security Instrument and incorporated by reference (the “Land”), to have and
to hold such Mortgaged Property unto Trustee and Trustee’s successors and assigns, forever; Grantor hereby releasing, relinquishing and
waiving, to the fullest extent allowed by law, all rights and benefits, if any, under and by virtue of the homestead exemption laws of
the Property Jurisdiction (as defined in this Security Instrument), if applicable.

 

Grantor represents and warrants
that Grantor is lawfully seized of the Mortgaged Property and has the right, power and authority to mortgage, grant, warrant, convey,
bargain, sell, and assign the Mortgaged Property, and that the Mortgaged Property is not encumbered by any Lien (as defined in this Security
Instrument) other than Permitted Encumbrances (as defined in this Security Instrument). Grantor covenants that Grantor will warrant
and defend the title to the Mortgaged Property against all claims and demands other than Permitted Encumbrances.

 

    2

     

    

 

Grantor, and by their acceptance
hereof, each of Trustee and Lender covenants and agrees as follows:

 

	1.	Defined
Terms.

 

Capitalized terms used and
not specifically defined herein have the meanings given to such terms in the Loan Agreement. All terms used and not specifically defined
herein, but which are otherwise defined by the UCC, shall have the meanings assigned to them by the UCC. The following terms, when used
in this Security Instrument, shall have the following meanings:

 

“Accounts” means all money, funds,
investment property, accounts, general intangibles, deposit accounts, chattel paper, documents, instruments, judgments, claims, settlements
of claims, causes of action, refunds, rebates, reimbursements, reserves, deposits, subsidies, proceeds, products, Rents, and profits,
now or hereafter arising, received or receivable, from or on account of the management and operation of the Mortgaged Property.

 

“Condemnation Action” means any
action or proceeding, however characterized or named, relating to any condemnation or other taking, or conveyance in lieu thereof, of
all or any part of the Mortgaged Property, whether direct or indirect.

 

“Enforcement Costs” means all
expenses and costs, including reasonable attorneys’ fees and expenses, fees and out-of-pocket expenses of expert witnesses and costs of
investigation, incurred by Lender as a result of any Event of Default under the Loan Agreement or in connection with efforts to collect
any amount due under the Loan Documents, or to enforce the provisions of the Loan Agreement or any of the other Loan Documents, including
those incurred in post-judgment collection efforts and in any bankruptcy or insolvency proceeding (including any action for relief from
the automatic stay of any bankruptcy proceeding or Foreclosure Event) or judicial or non-judicial foreclosure proceeding, to the
extent permitted by law.

 

“Environmental Indemnity Agreement”
means that certain Environmental Indemnity Agreement dated as of the date of this Security Instrument, executed by Grantor and Guarantor
(as defined in the Loan Agreement) to and for the benefit of Lender, as the same may be amended, restated, replaced, supplemented, or
otherwise modified from time to time.

 

“Environmental Laws” has the
meaning set forth in the Environmental Indemnity Agreement.

 

“Event of Default” has the meaning
set forth in the Loan Agreement.

 

“Fixtures”
means all Goods that are so attached or affixed to the Land or the Improvements as to constitute a fixture under the laws of the Property
Jurisdiction.

 

“Goods” means all of Grantor’s
present and hereafter acquired right, title and interest in all goods which are used now or in the future in connection with the ownership,
management, or operation of the Land or the Improvements or are located on the Land or in the Improvements, including inventory; furniture;
furnishings; machinery, equipment, engines, boilers, incinerators, and installed building materials; systems and equipment for the purpose
of supplying or distributing heating, cooling, electricity, gas, water, air, or light; antennas, cable, wiring, and conduits used in connection
with radio, television, security, fire prevention, or fire detection, or otherwise used to carry electronic signals; telephone systems
and equipment; elevators and related machinery and equipment; fire detection, prevention and extinguishing systems and apparatus; security
and access control systems and apparatus; plumbing systems; water heaters, ranges, stoves, microwave ovens, refrigerators, dishwashers,
garbage disposers, washers, dryers, and other appliances; light fixtures, awnings, storm windows, and storm doors; pictures, screens,
blinds, shades, curtains, and curtain rods; mirrors, cabinets, paneling, rugs, and floor and wall coverings; fences, trees, and plants;
swimming pools; exercise equipment; supplies; tools; books and records (whether in written or electronic form); websites, URLs, blogs,
and social network pages; computer equipment (hardware and software); and other tangible personal property which is used now or in the
future in connection with the ownership, management, or operation of the Land or the Improvements or are located on the Land or in the
Improvements.

 

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“Imposition Deposits” means deposits
in an amount sufficient to accumulate with Lender the entire sum required to pay the Impositions when due.

 

“Impositions” means

 

(a)   any
water and sewer charges which, if not paid, may result in a lien on all or any part of the Mortgaged Property;

 

(b)   the
premiums for fire and other casualty insurance, liability insurance, rent loss insurance and such other insurance as Lender may require
under the Loan Agreement;

 

(c)   Taxes;
and

 

(d)   amounts
for other charges and expenses assessed against the Mortgaged Property which Lender at any time reasonably deems necessary to protect
the Mortgaged Property, to prevent the imposition of liens on the Mortgaged Property, or otherwise to protect Lender’s interests, all
as reasonably determined from time to time by Lender.

 

“Improvements” means the buildings,
structures, improvements, Sites, and alterations now constructed or at any time in the future constructed or placed upon the Land, including
any future replacements, facilities, and additions and other construction on the Land.

 

“Indebtedness” means the principal
of, interest on, and all other amounts due at any time under (a) the Note, the Loan Agreement, this Security Instrument, any subordination,
assignment and security agreement affecting the Mortgaged Property, or any other Loan Document, including Prepayment Premiums, late charges,
interest charged at the Default Rate, and accrued interest as provided in the Loan Agreement and this Security Instrument, advances, costs
and expenses to perform the obligations of Grantor or to protect the Mortgaged Property or the security of this Security Instrument, all
other monetary obligations of Grantor under the Loan Documents, including amounts due as a result of any indemnification obligations,
and any Enforcement Costs, and (b) the Warrenville Loan and the loan documents evidencing the same.

 

“Land” means the real property
described in Exhibit A.

 

“Leases” means all present and
future leases, subleases, licenses, concessions or grants or other possessory interests now or hereafter in force, whether oral or written,
covering or affecting the Mortgaged Property, or any portion of the Mortgaged Property, and all modifications, extensions or renewals
thereof.

 

“Lien” means any claim or charge
against property for payment of a debt or an amount owed for services rendered, including any mortgage, deed of trust, deed to secure
debt, security interest, tax lien, any materialman’s or mechanic’s lien, or any lien of a Governmental Authority, including any lien in
connection with the payment of utilities, or any other encumbrance.

 

“Manufactured Home” means a “manufactured
home” as that term is defined in the Manufactured Housing Construction and Safety Standards Act of 1974 as amended (42 U.S.C. Chapter
70), and in 24 C.F.R Section 3280.2, and any related fixtures and personal property.

 

    4

     

    

 

“Mortgaged Property” means all
of Grantor’s present and hereafter acquired right, title and interest, if any, in and to all of the following:

 

(a)   the
Land;

 

(b)   the
Improvements;

 

(c)   the
Personalty;

 

(d)   current
and future rights, including air rights, development rights, zoning rights and other similar rights or interests, easements, tenements,
rights-of-way, strips and gores of land, streets, alleys, roads, sewer rights, waters, watercourses, and appurtenances related to or benefitting
the Land or the Improvements, or both, and all rights-of-way, streets, alleys and roads which may have been or may in the future be vacated;

 

(e)   insurance
policies relating to the Mortgaged Property (and any unearned premiums) and all proceeds paid or to be paid by any insurer of the
Land, the Improvements, the Personalty, or any other part of the Mortgaged Property, whether or not Grantor obtained the insurance pursuant
to Lender’s requirements;

 

(f)   awards,
payments and other compensation made or to be made by any municipal, state or federal authority with respect to the Land, the Improvements,
the Personalty, or any other part of the Mortgaged Property, including any awards or settlements resulting from (1) Condemnation
Actions, (2) any damage to the Mortgaged Property caused by governmental action that does not result in a Condemnation Action, or
(3) the total or partial taking of the Land, the Improvements, the Personalty, or any other part of the Mortgaged Property under
the power of eminent domain or otherwise and including any conveyance in lieu thereof;

 

(g)   contracts,
options and other agreements for the sale of the Land, the Improvements, the Personalty, or any other part of the Mortgaged Property entered
into by Grantor now or in the future, including cash or securities deposited to secure performance by parties of their obligations;

 

(h)   Leases
and Lease guaranties, letters of credit and any other supporting obligation for any of the Leases given in connection with any of the
Leases, and all Rents;

 

(i)   earnings,
royalties, accounts receivable, issues and profits from the Land, the Improvements or any other part of the Mortgaged Property, and all
undisbursed proceeds of the Loan;

 

(j)   Imposition
Deposits, if required by Lender;

 

(k)   refunds
or rebates of Impositions by any municipal, state or federal authority or insurance company (other than refunds applicable to periods
before the real property tax year in which this Security Instrument is dated);

 

(l)   tenant
security deposits, entrance fees, application fees, processing fees, community fees and any other amounts or fees paid by any tenant upon
execution of a Lease;

 

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(m)   names
under or by which any of the above Mortgaged Property may be operated or known, and all trademarks, trade names, and goodwill relating
to any of the Mortgaged Property;

 

(n)   collateral
accounts and all collateral account funds;

 

(o)   products,
and all cash and non-cash proceeds from the conversion, voluntary or involuntary, of any of the above into cash or liquidated claims,
and the right to collect such proceeds;

 

(p)   all
of Grantor’s right, title and interest in the oil, gas, minerals, mineral interests, royalties, overriding royalties, production payments,
net profit interests and other interests and estates in, under and on the Mortgaged Property and other oil, gas and mineral interests
with which any of the foregoing interests or estates are pooled or unitized; and

 

(q)   all
of Grantor’s Accounts and contracts.

 

“Permitted Encumbrance” means
only the easements, restrictions and other matters listed in a schedule of exceptions to coverage in the Title Policy and Taxes for the
current tax year that are not yet due and payable.

 

“Personalty” means all of Grantor’s
present and hereafter acquired right, title and interest in all Goods, accounts, choses of action, chattel paper, documents, general intangibles
(including Software), payment intangibles, instruments, investment property, letter of credit rights, supporting obligations, computer
information, source codes, object codes, records and data, all telephone numbers or listings, claims (including claims for indemnity or
breach of warranty), deposit accounts and other property or assets of any kind or nature related to the Land or the Improvements now or
in the future, including operating agreements, surveys, plans and specifications and contracts for architectural, engineering and construction
services relating to the Land or the Improvements, and all other intangible property and rights relating to the operation of, or used
in connection with, the Land or the Improvements, including all governmental permits relating to any activities on the Land.

 

“Prepayment Premium” has the
meaning set forth in the Loan Agreement.

 

“Property Jurisdiction” means
the jurisdiction in which the Land is located.

 

“Rents” means all rents (whether
from residential or non-residential space), revenues and other income from the Land or the Improvements, including subsidy payments received
from any sources, parking fees, laundry and vending machine income and fees and charges for food, and other services provided at the Mortgaged
Property, whether now due, past due, or to become due, and tenant security deposits.

 

“Site” means a lot in the Mortgaged
Property leased to a Person under a Lease.

 

“Software” means a computer program
and any supporting information provided in connection with a transaction relating to the program. The term does not include any computer
program that is included in the definition of Goods.

 

    6

     

    

 

“Taxes” means all taxes, assessments,
vault rentals and other charges, if any, general, special or otherwise, including assessments for schools, public betterments and general
or local improvements, which are levied, assessed or imposed by any public authority or quasi-public authority, and which, if not paid,
may become a lien, on the Land or the Improvements or any taxes upon any Loan Document.

 

“Title Policy” has the meaning
set forth in the Loan Agreement.

 

“UCC” means the Uniform Commercial
Code in effect in the Property Jurisdiction, as amended from time to time.

 

“UCC Collateral” means any or
all of that portion of the Mortgaged Property in which a security interest may be granted under the UCC and in which Grantor has any present
or hereafter acquired right, title or interest, including, without limitation, the Personalty.

 

	2.	Security
Agreement; Fixture Filing.

 

(a)   To
secure to Lender, the repayment of the Indebtedness, and all renewals, extensions and modifications thereof, and the performance of the
covenants and agreements of Grantor contained in the Loan Documents, Grantor hereby pledges, assigns, and grants to Lender a continuing
security interest in the UCC Collateral. This Security Instrument constitutes a security agreement and a financing statement under the
UCC. This Security Instrument also constitutes a financing statement pursuant to the terms of the UCC with respect to any part of the
Mortgaged Property that is or may become a Fixture under applicable law, and will be recorded as a “fixture filing” in accordance
with the UCC. Grantor hereby authorizes Lender to file financing statements, continuation statements and financing statement amendments
in such form as Lender may require to perfect or continue the perfection of this security interest without the signature of Grantor. If
an Event of Default has occurred and is continuing, Lender shall have the remedies of a secured party under the UCC or otherwise provided
at law or in equity, in addition to all remedies provided by this Security Instrument and in any Loan Document. Lender may exercise any
or all of its remedies against the UCC Collateral separately or together, and in any order, without in any way affecting the availability
or validity of Lender’s other remedies. For purposes of the UCC, the debtor is Grantor and the secured party is Lender. The name and address
of the debtor and secured party are set forth after Grantor’s signature below which are the addresses from which information on the security
interest may be obtained.

 

(b)   Grantor
represents and warrants that: (1) Grantor maintains its chief executive office at the location set forth after Grantor’s signature
below, and Grantor will notify Lender in writing of any change in its chief executive office within five (5) days of such change;
(2) Grantor is the record owner of the Mortgaged Property; (3) Grantor’s state of incorporation, organization, or formation,
if applicable, is as set forth on Page 1 of this Security Instrument; (4) Grantor’s exact legal name is as set forth on Page 2
of this Security Instrument; (5) [Reserved]; (6) Grantor is the owner of the UCC Collateral subject to no liens, charges or
encumbrances other than the lien hereof; (7) except as expressly provided in the Loan Agreement, the UCC Collateral will not be removed
from the Mortgaged Property without the consent of Lender; and (8) no financing statement covering any of the UCC Collateral or any
proceeds thereof is on file in any public office except pursuant hereto.

 

(c)   All
property of every kind acquired by Grantor after the date of this Security Instrument which by the terms of this Security Instrument shall
be subject to the lien and the security interest created hereby, shall immediately upon the acquisition thereof by Grantor and without
further conveyance or assignment become subject to the lien and security interest created by this Security Instrument. Nevertheless, Grantor
shall execute, acknowledge, deliver and record or file, as appropriate, all and every such further deeds of trust, mortgages, deeds to
secure debt, security agreements, financing statements, assignments and assurances as Lender shall require for accomplishing the purposes
of this Security Instrument and to comply with the rerecording requirements of the UCC.

 

    7

     

    

 

	3.	Assignment
of Leases and Rents; Appointment of Receiver; Lender in Possession.

 

(a)   To
secure to Lender, the repayment of the Indebtedness, and all renewals, extensions and modifications thereof, and the performance of the
covenants and agreements of Grantor contained in the Loan Documents, Grantor absolutely and unconditionally assigns and transfers to Lender
all Leases and Rents. It is the intention of Grantor to establish present, absolute and irrevocable transfers and assignments to Lender
of all Leases and Rents and to authorize and empower Lender to collect and receive all Rents without the necessity of further action on
the part of Grantor. Grantor and Lender intend the assignments of Leases and Rents to be effective immediately and to constitute absolute
present assignments, and not assignments for additional security only. Only for purposes of giving effect to these absolute assignments
of Leases and Rents, and for no other purpose, the Leases and Rents shall not be deemed to be a part of the Mortgaged Property. However,
if these present, absolute and unconditional assignments of Leases and Rents are not enforceable by their terms under the laws of the
Property Jurisdiction, then each of the Leases and Rents shall be included as part of the Mortgaged Property, and it is the intention
of Grantor, in such circumstance, that this Security Instrument create and perfect a lien on each of the Leases and Rents in favor of
Lender, which liens shall be effective as of the date of this Security Instrument.

 

(b)   Until
an Event of Default has occurred and is continuing, but subject to the limitations set forth in the Loan Documents, Grantor shall have
a revocable license to exercise all rights, power and authority granted to Grantor under the Leases (including the right, power and authority
to modify the terms of any Lease, extend or terminate any Lease, or enter into new Leases, subject to the limitations set forth in the
Loan Documents), and to collect and receive all Rents, to hold all Rents in trust for the benefit of Lender, and to apply all Rents to
pay the Indebtedness and the other amounts then due and payable under the other Loan Documents, including Imposition Deposits, and to
pay the current costs and expenses of managing, operating and maintaining the Mortgaged Property, including utilities and Impositions
(to the extent not included in Imposition Deposits), tenant improvements and other capital expenditures. So long as no Event of Default
has occurred and is continuing (and no event which, with the giving of notice or the passage of time, or both, would constitute an Event
of Default has occurred and is continuing), the Rents remaining after application pursuant to the preceding sentence may be retained and
distributed by Grantor free and clear of, and released from, Lender’s rights with respect to Rents under this Security Instrument.

 

(c)   If
an Event of Default has occurred and is continuing, without the necessity of Lender entering upon and taking and maintaining control of
the Mortgaged Property directly, by a receiver, or by any other manner or proceeding permitted by the laws of the Property Jurisdiction,
the revocable license granted to Grantor pursuant to Section 3(b) shall automatically terminate, and Lender shall immediately have
all rights, powers and authority granted to Grantor under any Lease (including the right, power and authority to modify the terms of any
such Lease, or extend or terminate any such Lease) and, without notice, Lender shall be entitled to all Rents as they become due and payable,
including Rents then due and unpaid. During the continuance of an Event of Default, Grantor authorizes Lender to collect, sue for and
compromise Rents and directs each tenant of the Mortgaged Property to pay all Rents to, or as directed by, Lender, and Grantor shall,
upon Grantor’s receipt of any Rents from any sources, pay the total amount of such receipts to Lender. Although the foregoing rights of
Lender are self-effecting, at any time during the continuance of an Event of Default, Lender may make demand for all Rents, and Lender
may give, and Grantor hereby irrevocably authorizes Lender to give, notice to all tenants of the Mortgaged Property instructing them to
pay all Rents to Lender. No tenant shall be obligated to inquire further as to the occurrence or continuance of an Event of Default, and
no tenant shall be obligated to pay to Grantor any amounts that are actually paid to Lender in response to such a notice. Any such notice
by Lender shall be delivered to each tenant personally, by mail or by delivering such demand to each rental unit.

 

    8

     

    

 

(d)   If
an Event of Default has occurred and is continuing, Lender may, regardless of the adequacy of Lender’s security or the solvency of Grantor,
and even in the absence of waste, enter upon, take and maintain full control of the Mortgaged Property, and may exclude Grantor and its
agents and employees therefrom, in order to perform all acts that Lender, in its discretion, determines to be necessary or desirable for
the operation and maintenance of the Mortgaged Property, including the execution, cancellation or modification of Leases, the collection
of all Rents (including through use of a lockbox, at Lender’s election), the making of repairs to the Mortgaged Property and the execution
or termination of contracts providing for the management, operation or maintenance of the Mortgaged Property, for the purposes of enforcing
this assignment of Rents, protecting the Mortgaged Property or the security of this Security Instrument and the Loan, or for such other
purposes as Lender in its discretion may deem necessary or desirable.

 

(e)   Notwithstanding
any other right provided Lender under this Security Instrument or any other Loan Document, if an Event of Default has occurred and is
continuing, and regardless of the adequacy of Lender’s security or Grantor’s solvency, and without the necessity of giving prior notice
(oral or written) to Grantor, Lender may apply to any court having jurisdiction for the appointment of a receiver for the Mortgaged Property
to take any or all of the actions set forth in Section 3. If Lender elects to seek the appointment of a receiver for the Mortgaged
Property at any time after an Event of Default has occurred and is continuing, Grantor, by its execution of this Security Instrument,
expressly consents to the appointment of such receiver, including the appointment of a receiver ex parte, if permitted by applicable
law. Grantor consents to shortened time consideration of a motion to appoint a receiver. Lender or the receiver, as applicable, shall
be entitled to receive a reasonable fee for managing or operating the Mortgaged Property and such fee shall become an additional part
of the Indebtedness. Immediately upon appointment of a receiver or Lender’s entry upon and taking possession and control of the Mortgaged
Property, possession of the Mortgaged Property and all documents, records (including records on electronic or magnetic media), accounts,
surveys, plans, and specifications relating to the Mortgaged Property, and all security deposits and prepaid Rents, shall be surrendered
to Lender or the receiver, as applicable. If Lender or receiver takes possession and control of the Mortgaged Property, Lender or receiver
may exclude Grantor and its representatives from the Mortgaged Property.

 

(f)   The
acceptance by Lender of the assignments of the Leases and Rents pursuant to this Section 3 shall not at any time or in any event
obligate Lender to take any action under any Loan Document or to expend any money or to incur any expense. Lender shall not be liable
in any way for any injury or damage to person or property sustained by any Person in, on or about the Mortgaged Property. Prior to Lender’s
actual entry upon and taking possession and control of the Land and Improvements, Lender shall not be:

 

(1)   obligated
to perform any of the terms, covenants and conditions contained in any Lease (or otherwise have any obligation with respect to any Lease);

 

(2)   obligated
to appear in or defend any action or proceeding relating to any Lease or the Mortgaged Property; or

 

(3)   responsible
for the operation, control, care, management or repair of the Mortgaged Property or any portion of the Mortgaged Property.

 

The execution of this Security Instrument shall
constitute conclusive evidence that all responsibility for the operation, control, care, management and repair of the Mortgaged Property
is and shall be that of Grantor, prior to such actual entry and taking possession and control by Lender of the Land and Improvements.

 

    9

     

    

 

(g)   Lender
shall be liable to account only to Grantor and only for Rents actually received by Lender. Lender shall not be liable to Grantor, anyone
claiming under or through Grantor or anyone having an interest in the Mortgaged Property by reason of any act or omission of Lender under
this Section 3, and Grantor hereby releases and discharges Lender from any such liability to the fullest extent permitted by law,
provided that Lender shall not be released from liability that occurs as a result of Lender’s gross negligence or willful misconduct as
determined by a court of competent jurisdiction pursuant to a final, non-appealable court order. If the Rents are not sufficient to meet
the costs of taking control of and managing the Mortgaged Property and collecting the Rents, any funds expended by Lender for such purposes
shall be added to, and become a part of, the principal balance of the Indebtedness, be immediately due and payable, and bear interest
at the Default Rate from the date of disbursement until fully paid. Any entering upon and taking control of the Mortgaged Property by
Lender or the receiver, and any application of Rents as provided in this Security Instrument, shall not cure or waive any Event of Default
or invalidate any other right or remedy of Lender under applicable law or provided for in this Security Instrument or any Loan Document.

 

	4.	Protection
of Lender’s Security.

 

If Grantor fails to perform
any of its obligations under this Security Instrument or any other Loan Document, or any action or proceeding is commenced that purports
to affect the Mortgaged Property, Lender’s security, rights or interests under this Security Instrument or any Loan Document (including
eminent domain, insolvency, code enforcement, civil or criminal forfeiture, enforcement of Environmental Laws, fraudulent conveyance or
reorganizations or proceedings involving a debtor or decedent), Lender may, at its option, make such appearances, disburse or pay such
sums and take such actions, whether before or after an Event of Default or whether directly or to any receiver for the Mortgaged Property,
as Lender reasonably deems necessary to perform such obligations of Grantor and to protect the Mortgaged Property or Lender’s security,
rights or interests in the Mortgaged Property or the Loan, including:

 

(a)   paying
fees and out-of-pocket expenses of attorneys, accountants, inspectors and consultants;

 

(b)   entering
upon the Mortgaged Property to make repairs or secure the Mortgaged Property;

 

(c)   obtaining
(or force-placing) the insurance required by the Loan Documents; and

 

(d)   paying
any amounts required under any of the Loan Documents that Grantor has failed to pay.

 

Any amounts so disbursed or
paid by Lender shall be deemed to be obligatory advances and added to, and become part of, the principal balance of the Indebtedness,
be immediately due and payable and bear interest at the Default Rate from the date of disbursement until fully paid. The provisions of
this Section 4 shall not be deemed to obligate or require Lender to incur any expense or take any action.

 

    10

     

    

 

	5.	Cross-Collateralization.

 

Notwithstanding
anything herein to the contrary, this Security Instrument also secures the following indebtedness and obligations: that certain Warrenville
Loan and all loan documents evidencing the same. Borrower hereby irrevocably mortgages, grants, conveys and assigns to Trustee, in trust,
with power of sale, the Mortgaged Property, to secure to Lender payment of the Warrenville Loan and the performance of the covenants and
agreements contained herein.

 

	6.	Default;
Acceleration; Remedies.

 

(a)   If
an Event of Default has occurred and is continuing, Lender, at its option, may declare the Indebtedness to be immediately due and payable
without further demand, and may either with or without entry or taking possession as herein provided or otherwise, proceed by suit or
suits at law or in equity or any other appropriate proceeding or remedy (1) to enforce payment of the Loan; (2) to foreclose this Security
Instrument judicially or non-judicially by the power of sale granted herein; (3) to enforce or exercise any right under any Loan Document;
and (4) to pursue any one (1)or more other remedies provided in this Security Instrument or in any other Loan Document or otherwise
afforded by applicable law. Each right and remedy provided in this Security Instrument or any other Loan Document is distinct from all
other rights or remedies under this Security Instrument or any other Loan Document or otherwise afforded by applicable law, and each shall
be cumulative and may be exercised concurrently, independently, or successively, in any order. Grantor has the right to bring an action
to assert the nonexistence of an Event of Default or any other defense of Grantor to acceleration and sale.

 

(b)   Grantor
acknowledges that the power of sale granted in this Security Instrument may be exercised or directed by Lender without prior judicial
hearing. In the event Lender invokes the power of sale and if it is determined in a hearing held in accordance with applicable law that
Trustee can proceed to sale:

 

(1)   Lender
shall send to Grantor and any other Persons required to receive such notice, written notice of Lender’s election to cause the Mortgaged
Property to be sold. Grantor hereby authorizes and empowers Trustee to take possession of the Mortgaged Property, or any part thereof,
and hereby grants to Trustee a power of sale and authorizes and empowers Trustee to sell (or, in the case of the default of any purchaser,
to resell) the Mortgaged Property or any part thereof, in compliance with applicable law, including compliance with any and all notice
and timing requirements for such sale;

 

(2)   Trustee
shall have the authority to determine the terms of the sale, subject to applicable law. In connection with any such sale, the whole of
the Mortgaged Property may be sold in one (1) parcel as an entirety or in separate lots or parcels at the same or different times.
Lender shall have the right to become the purchaser at any such sale. Trustee shall be entitled to receive fees and expenses from such
sale not to exceed the amount permitted by applicable law; 

 

(3)   within
a reasonable time after the sale, Trustee shall deliver to the purchaser of the Mortgaged Property a deed or such other appropriate conveyance
document conveying the Mortgaged Property so sold without any express or implied covenant or warranty. The recitals in such deed or document
shall be prima facie evidence of the truth of the statements made in those recitals; and

 

    11

     

    

 

(4)   the
outstanding principal amount of the Loan and the other Indebtedness, if not previously due, shall be and become immediately due and payable
without demand or notice of any kind. If the Mortgaged Property is sold for an amount less than the amount outstanding under the Indebtedness,
to the extent allowed by applicable law, the deficiency shall be determined by the purchase price at the sale or sales. To the extent
allowed by applicable law, Grantor waives all rights, claims, and defenses with respect to Lender’s ability to obtain a deficiency
judgment.

 

(c)   Grantor
acknowledges and agrees that the proceeds of any sale shall be applied as determined by Lender unless otherwise required by applicable
law.

 

(d)   In
connection with the exercise of Lender’s rights and remedies under this Security Instrument and any other Loan Document, there shall be
allowed and included as Indebtedness: (1) all expenditures and expenses authorized by applicable law and all other expenditures and expenses
which may be paid or incurred by or on behalf of Lender for reasonable legal fees, appraisal fees, outlays for documentary and expert
evidence, stenographic charges and publication costs; (2) all expenses of any environmental site assessments, environmental audits, environmental
remediation costs, appraisals, surveys, engineering studies, wetlands delineations, flood plain studies, and any other similar testing
or investigation deemed necessary or advisable by Lender incurred in preparation for, contemplation of or in connection with the exercise
of Lender’s rights and remedies under the Loan Documents; and (3) costs (which may be reasonably estimated as to items to be expended
in connection with the exercise of Lender’s rights and remedies under the Loan Documents) of procuring all abstracts of title, title searches
and examinations, title insurance policies, and similar data and assurance with respect to title as Lender may deem reasonably necessary
either to prosecute any suit or to evidence the true conditions of the title to or the value of the Mortgaged Property to bidders at any
sale which may be held in connection with the exercise of Lender’s rights and remedies under the Loan Documents. All expenditures and
expenses of the nature mentioned in this Section 5, and such other expenses and fees as may be incurred in the protection of the
Mortgaged Property and rents and income therefrom and the maintenance of the lien of this Security Instrument, including the fees of any
attorney employed by Lender in any litigation or proceedings affecting this Security Instrument, the Note, the other Loan Documents, or
the Mortgaged Property, including bankruptcy proceedings, any Foreclosure Event, or in preparation of the commencement or defense of any
proceedings or threatened suit or proceeding, or otherwise in dealing specifically therewith, shall be so much additional Indebtedness
and shall be immediately due and payable by Grantor, with interest thereon at the Default Rate until paid.

 

(e)   Any
action taken by Trustee or Lender pursuant to the provisions of this Section 5 shall comply with the laws of the Property Jurisdiction.
Any waivers by Grantor contained in this Security Instrument, are subject to the applicable law of the Property Jurisdiction. Such applicable
laws shall take precedence over the provisions of this Section 5, but shall not invalidate or render unenforceable any other provision
of any Loan Document that can be construed in a manner consistent with any applicable law. If any provision of this Security Instrument
shall grant to Lender (including Lender acting as a mortgagee-in-possession), Trustee or a receiver appointed pursuant to the provisions
of this Security Instrument any powers, rights or remedies prior to, upon, during the continuance of or following an Event of Default
that are more limited than the powers, rights, or remedies that would otherwise be vested in such party under any applicable law in the
absence of said provision, such party shall be vested with the powers, rights, and remedies granted in such applicable law to the full
extent permitted by law.

 

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	7.	Waiver
of Statute of Limitations and Marshaling.

 

To the extent allowed by the
law of the Property Jurisdiction, Grantor hereby waives the right to assert any statute of limitations as a bar to the enforcement of
the lien of this Security Instrument or to any action brought to enforce any Loan Document. Notwithstanding the existence of any other
security interests in the Mortgaged Property held by Lender or by any other party, Lender shall have the right to determine the order
in which any or all of the Mortgaged Property shall be subjected to the remedies provided in this Security Instrument and/or any other
Loan Document or by applicable law. Lender shall have the right to determine the order in which any or all portions of the Indebtedness
are satisfied from the proceeds realized upon the exercise of such remedies. Grantor, for itself and all who may claim by, through, or
under it, and any party who now or in the future acquires a security interest in the Mortgaged Property and who has actual or constructive
notice of this Security Instrument waives any and all right to require the marshaling of assets or to require that any of the Mortgaged
Property be sold in the inverse order of alienation or that any of the Mortgaged Property be sold in parcels (at the same time or different
times) in connection with the exercise of any of the remedies provided in this Security Instrument or any other Loan Document, or
afforded by applicable law.

 

	8.	Waiver
of Redemption; Rights of Tenants.

 

(a)   To
the full extent not prohibited by the law of the Property Jurisdiction, Grantor hereby covenants and agrees that it will not at any time
apply for, insist upon, plead, avail itself, or in any manner claim or take any advantage of, any appraisement, stay, exemption or extension
law or any so-called “Moratorium Law” now or at any time hereafter enacted or in force in order to prevent or hinder the enforcement
or foreclosure of this Security Instrument. Without limiting the foregoing:

 

(1)   Grantor
for itself and all Persons who may claim by, through, or under Grantor, hereby expressly waives any so-called “Moratorium Law”
and any and all rights of reinstatement and redemption, if any, under any order or decree of foreclosure of this Security Instrument,
it being the intent hereof that any and all such “Moratorium Laws,” and all rights of reinstatement and redemption of Grantor
and of all other Persons claiming by, through, or under Grantor are and shall be deemed to be hereby waived to the fullest extent permitted
by applicable law;

 

(2)   Grantor
shall not invoke or utilize any such law or laws or otherwise hinder, delay or impede the execution of any right, power remedy herein
or otherwise granted or delegated to Lender but will suffer and permit the execution of every such right, power and remedy as though no
such law or laws had been made or enacted; and

 

(3)   if
Grantor is a trust, Grantor represents that the provisions of this Section 8 (including the waiver of reinstatement and redemption
rights) were made at the express direction of Grantor’s beneficiaries and the persons having the power of direction over Grantor,
and are made on behalf of the trust estate of Grantor and all beneficiaries of Grantor, as well as all other persons mentioned above.

 

(b)   Lender
shall have the right to foreclose subject to the rights of any tenant or tenants of the Mortgaged Property having an interest in the Mortgaged
Property prior to that of Lender. The failure to join any such tenant or tenants of the Mortgaged Property as party defendant or defendants
in any such civil action or the failure of any decree of foreclosure and sale to foreclose their rights shall not be asserted by Grantor
as a defense in any civil action instituted to collect the Indebtedness, or any part thereof or any deficiency remaining unpaid after
foreclosure and sale of the Mortgaged Property, any statute or rule of law at any time existing to the contrary notwithstanding.

 

    13

     

    

 

	9.	Notice.

 

(a)   All
notices under this Security Instrument shall be:

 

(1)   in
writing, and shall be (A) delivered, in person, (B) mailed, postage prepaid, either by registered or certified delivery, return receipt
requested, or (C) sent by overnight express courier;

 

(2)   addressed
to the intended recipient at its respective address set forth at the end of this Security Instrument; and

 

(3)   deemed
given on the earlier to occur of:

 

(A)   the
date when the notice is received by the addressee; or

 

(B)   if
the recipient refuses or rejects delivery, the date on which the notice is so refused or rejected, as conclusively established by the
records of the United States Postal Service or such express courier service.

 

(b)   Any
party to this Security Instrument may change the address to which notices intended for it are to be directed by means of notice given
to the other party in accordance with this Section 9.

 

(c)   Any
required notice under this Security Instrument which does not specify how notices are to be given shall be given in accordance with this
Section 9.

 

	10.	Mortgagee-in-Possession.

 

Grantor acknowledges and agrees
that the exercise by Lender of any of the rights conferred in this Security Instrument shall not be construed to make Lender a mortgagee-in-possession
of the Mortgaged Property so long as Lender has not itself entered into actual possession of the Land and Improvements.

 

	11.	Release.

 

Upon payment in full of the
Indebtedness, Lender shall cause the release of this Security Instrument and Grantor shall pay Lender’s costs incurred in connection with
such release.

 

	12.	Substitute
Trustee.

 

Lender, at Lender’s option,
may from time to time remove Trustee and appoint a successor trustee in accordance with the laws of the Property Jurisdiction. Without
conveyance of the Mortgaged Property, the successor trustee shall succeed to all the title, power and duties conferred upon the Trustee
in this Security Instrument and by applicable law.

 

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	13.	North
Carolina State Specific Provisions.

 

In the event of any inconsistencies
between the terms and conditions of this Section 13 and the other terms and conditions of this Security Instrument, the terms and
conditions of this Section 13 shall control and be binding.

 

(a)   Lender
shall have the right to recommend to the court the person to be appointed as receiver pursuant to Section 3(c).

 

(b)   Grantor
hereby waives and releases any rights Grantor may have with regard to release of liability or obligations of Grantor pursuant to N.C. Gen. Stat.
Section 45-45.1 (or any amendment thereto).

 

(c)   This
Security Instrument secures all present and future advances and obligations of Grantor to Lender. The time period within which future
advances and obligations are to be made and incurred and secured by this Security Instrument is the period between the date hereof and
the date which is thirty (30) years from the date hereof, including any future loans, advances and readvances which may be made from
time to time by Lender to Grantor, and any and all amendments or modifications thereto which may hereafter be entered into from time to
time between Grantor and Lender or any other instrument, document or agreement between Grantor and Lender. The maximum principal amount,
including present and future obligations, which may be secured by this Security Instrument at any one (1) time is two hundred percent (200%)
of the original principal amount of the Note, plus accrued interest, fees and expenses. Any additional amounts advanced pursuant to the
provisions of this Security Instrument shall be deemed necessary expenditures for the protection of the security. Grantor does not need
to sign any instrument or notation evidencing or stipulating that future advances are secured by this Security Instrument.

 

	14.	Governing
Law; Consent to Jurisdiction and Venue.

 

With respect to procedural
matters related to the perfection of Lender’s lien, to the enforcement of Lender’s remedies hereunder, or to non-waivable provisions of
the laws of the Property Jurisdiction, this Security Instrument shall be governed by the laws of the Property Jurisdiction without giving
effect to any choice of law provisions thereof that would result in the application of the laws of another jurisdiction. In all other
respects, this Security Instrument shall be governed by the laws of the State of Tennessee without giving effect to any choice of law
provisions thereof that would result in the application of the laws of another jurisdiction. Notwithstanding the foregoing to the contrary,
should there be a question as to whether any provision of this Security Instrument is void, voidable, or unenforceable by applicable of
the laws of the State of Tennessee, then such provision in question shall be governed by the laws of the Property Jurisdiction without
giving effect to any choice of law provisions thereof that would result in the application of the laws of another jurisdiction. Grantor
agrees that any controversy arising under this Security Instrument shall be litigated, in Lender’s sole discretion, exclusively in the
state or federal courts located in the Property Jurisdiction or in Knoxville, Knox County, Tennessee. Grantor irrevocably consents to
service, jurisdiction, and venue of such courts for any such litigation and waives any other venue to which it might be entitled by virtue
of domicile, habitual residence or otherwise.

 

    15

     

    

 

	15.	Miscellaneous
Provisions.

 

(a)   This
Security Instrument shall bind, and the rights granted by this Security Instrument shall benefit, the successors and assigns of Lender.
This Security Instrument shall bind, and the obligations granted by this Security Instrument shall inure to, any permitted successors
and assigns of Grantor under the Loan Agreement. If more than one (1) person or entity signs this Security Instrument as Grantor,
the obligations of such persons and entities shall be joint and several. The relationship between Lender and Grantor shall be solely that
of creditor and debtor, respectively, and nothing contained in this Security Instrument shall create any other relationship between Lender
and Grantor. No creditor of any party to this Security Instrument and no other person shall be a third party beneficiary of this Security
Instrument or any other Loan Document.

 

(b)   The
invalidity or unenforceability of any provision of this Security Instrument or any other Loan Document shall not affect the validity or
enforceability of any other provision of this Security Instrument or of any other Loan Document, all of which shall remain in full force
and effect. This Security Instrument contains the complete and entire agreement among the parties as to the matters covered, rights granted
and the obligations assumed in this Security Instrument. This Security Instrument may not be amended or modified except by written agreement
signed by the parties hereto.

 

(c)   The
following rules of construction shall apply to this Security Instrument:

 

(1)   The
captions and headings of the sections of this Security Instrument are for convenience only and shall be disregarded in construing this
Security Instrument.

 

(2)   Any
reference in this Security Instrument to an “Exhibit” or “Schedule” or a “Section” or an “Article”
shall, unless otherwise explicitly provided, be construed as referring, respectively, to an exhibit or schedule attached to this Security
Instrument or to a Section or Article of this Security Instrument.

 

(3)   Any
reference in this Security Instrument to a statute or regulation shall be construed as referring to that statute or regulation as amended
from time to time.

 

(4)   Use
of the singular in this Security Instrument includes the plural and use of the plural includes the singular.

 

(5)   As
used in this Security Instrument, the term “including” means “including, but not limited to” or “including, without
limitation,” and is for example only, and not a limitation.

 

(6)   Whenever
Grantor’s knowledge is implicated in this Security Instrument or the phrase “to Grantor’s knowledge” or a similar phrase is
used in this Security Instrument, Grantor’s knowledge or such phrase(s) shall be interpreted to mean to the best of Grantor’s knowledge
after reasonable and diligent inquiry and investigation.

 

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(7)   Unless
otherwise provided in this Security Instrument, if Lender’s approval, designation, determination, selection, estimate, action or decision
is required, permitted or contemplated hereunder, such approval, designation, determination, selection, estimate, action or decision shall
be made in Lender’s sole and absolute discretion.

 

(8)   All
references in this Security Instrument to a separate instrument or agreement shall include such instrument or agreement as the same may
be amended or supplemented from time to time pursuant to the applicable provisions thereof.

 

(9)   “Lender
may” shall mean at Lender’s discretion, but shall not be an obligation.

 

	16.	Time
is of the Essence.

 

Grantor agrees that, with
respect to each and every obligation and covenant contained in this Security Instrument and the other Loan Documents, time is of the essence.

 

	17.	WAIVER
OF TRIAL BY JURY.

 

TO THE MAXIMUM EXTENT PERMITTED
BY APPLICABLE LAW, EACH OF GRANTOR AND LENDER (BY ITS ACCEPTANCE HEREOF) (A) COVENANTS AND AGREES NOT TO ELECT A TRIAL BY JURY WITH
RESPECT TO ANY ISSUE ARISING OUT OF THIS SECURITY INSTRUMENT OR THE RELATIONSHIP BETWEEN THE PARTIES AS GRANTOR AND LENDER THAT IS TRIABLE
OF RIGHT BY A JURY AND (B) WAIVES ANY RIGHT TO TRIAL BY JURY WITH RESPECT TO SUCH ISSUE TO THE EXTENT THAT ANY SUCH RIGHT EXISTS
NOW OR IN THE FUTURE. THIS WAIVER OF RIGHT TO TRIAL BY JURY IS SEPARATELY GIVEN BY EACH OF GRANTOR AND LENDER, KNOWINGLY AND VOLUNTARILY
WITH THE BENEFIT OF COMPETENT LEGAL COUNSEL.

 

[Remainder of Page Intentionally Blank]

 

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IN WITNESS WHEREOF,
as of the date first written above, Grantor has signed and delivered this Security Instrument under seal (where applicable) or has caused
this Security Instrument to be signed and delivered by its duly authorized representative under seal (where applicable).

 

	 	GRANTOR:
	 	 
	 	MACRAL PROPERTIES, LLC
	 	 	 
	 	By:	Wake Forest 2 MHP LLC, a North Carolina limited liability company, its sole Member
	 	 	 
	 	By:	Manufactured Housing Properties Inc., a Nevada corporation, its Sole Member

 

	 	 	By:	/s/ Jay Wardlaw
	 	 	 	Jay Wardlaw, President
	STATE OF North Carolina)	 	 	 
	COUNTY OF Mecklenburg)	 	 	 

 

Before me, the undersigned,
a Notary Public of said County and State, personally appeared Jay Wardlaw, with whom I am personally acquainted (or proved to me
on the basis of satisfactory evidence), and who, upon oath, acknowledged himself to be the President of Manufactured Housing Properties
Inc., a Nevada corporation, which is the Sole Member of Wake Forest 2 MHP LLC, a North Carolina limited liability company, the Sole Member
of MACRAL PROPERTIES, LLC, a North Carolina limited liability company, the within named Grantor, and that he in such capacity,
being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the Grantor in
such capacity.

 

Witness my hand and seal, this 7 day of November,
2022.]

 

	 	/s/ Alexander Q. Olliver
	 	Notary Public
	My Commission Expires: March 25, 2024	 

 

[Signatures continued on next page]

 

    18

     

    

 

	 	RON-RAN ENTERPRISES, LLC
	 	 	 
	 	By:	Wake Forest 2 MHP LLC, a North Carolina limited liability company, its sole Member
	 	 	 
	 	By:	Manufactured Housing Properties Inc., a Nevada corporation, its Sole Member

 

	 	 	By:	/s/ Jay Wardlaw
	 	 	 	Jay Wardlaw, President
	STATE OF North Carolina)	 	 	 
	COUNTY OF Mecklenburg)	 	 	 

 

Before me, the undersigned,
a Notary Public of said County and State, personally appeared Jay Wardlaw, with whom I am personally acquainted (or proved to me
on the basis of satisfactory evidence), and who, upon oath, acknowledged himself to be the President of Manufactured Housing Properties
Inc., a Nevada corporation, which is the Sole Member of Wake Forest 2 MHP LLC, a North Carolina limited liability company, the Sole Member
of RON-RAN ENTERPRISES, LLC, a North Carolina limited liability company, the within named Borrower, and that he in such capacity,
being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the Borrower in
such capacity.

 

Witness my
hand and seal, this 7 day of November      , 2022.

 

	 	/s/ Alexander Q. Olliver
	 	Notary Public
	My Commission Expires: March 25, 2024	 

 

Grantor Address:

MACRAL PROPERTIES, LLC and

RON-RAN ENTERPRISES, LLC

(reacted)

 

Lender Address:

Vanderbilt Mortgage and Finance, Inc.

(redacted)

 

Trustee Address:

John Adam Kraemer

(redacted)

 

    19

     

    

 

EXHIBIT A

[DESCRIPTION OF THE LAND]

 

		I.	MACRAL PROPERTIES, LLC

 

Lying and being situate in Franklin
County, NC, and being more particularly described as follows:

 

TRACT ONE:

 

Being all of Tract 1
containing 10.79 acres, according to survey by Charles M. Davis, Jr., Professional Land Surveyor, as shown on plat thereof dated
March 9, 2016, entitled “Survey of Property Owned by Ben L. Barnette & Cornelia W. Barnette for MACRAL Properties,
LLC, Franklinton Township, Franklin County, North Carolina”, same being of record in Book 2016, Page 45, Franklin County
Register of Deeds; and Being all of that certain 8.20 acre tract according to survey by Charles M. Davis, Jr., Professional
Land Surveyor, as shown on plat thereof dated August 18, 2017, entitled “Survey of Property Owned by Ben L. Barnette
& Cornelia W. Barnette for MACRAL Properties, LLC, Franklinton Township, Franklin County, North Carolina”, same being
of record in Book 2017, Page 227, Franklin County Register of Deeds. Tract 1 totals 18.99 acres and is comprised of the above
described parcels which were recombined by the plat of record in Book of Maps 2017, Page 227, Franklin County Registry.

 

TRACT TWO:

 

Being all of Tract 2
containing 7.94 acres, according to survey by Charles M. Davis, Jr., Professional Land Surveyor, as shown on plat thereof
dated March 9, 2016, entitled “Survey of Property Owned by Ben L. Barnette & Cornelia W. Barnette for MACRAL
Properties, LLC, Franklinton Township, Franklin County, North Carolina”, same being of record in Book 2016, Page 45,
Franklin County Register of Deeds.

 

		II.	RON-RAN ENTERPRISES, LLC

 

Lying and being situate in Wake
County, NC, and being more particularly described as follows:

 

BEING ALL OF THAT TRACT CONTAINING 17.426 GROSS ACRES (16.061 NET ACRES) AS SHOWN ON THAT PLAT ENTITLED “PLAT PREPARED FOR RANDY
N. BAILEY”, A COPY OF WHICH IS RECORDED IN BOOK OF MAPS 1996, PAGE 55, WAKE COUNTY REGISTRY.

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