Document:

Exhibit

Exhibit 10.4

FIRST AMENDMENT TO CREDIT AGREEMENT AND RELEASE OF PARENT GUARANTY
This FIRST AMENDMENT TO CREDIT AGREEMENT AND RELEASE OF GUARANTY (this “First Amendment”) is made and entered into as of the 16th day of April, 2018, by and among NSA OP, LP, a Delaware limited partnership (the “Borrower”), certain Subsidiaries of the Borrower party to the Credit Agreement referred to below, NATIONAL STORAGE AFFILIATES TRUST, a Maryland real estate investment trust (the “REIT” and, together with those certain Subsidiaries, collectively, the “Guarantors” and together with the Borrower, collectively, the “Loan Parties”), CAPITAL ONE, NATIONAL ASSOCIATION, as the Administrative Agent (the “Administrative Agent”), and the financial institutions which are a party to the Credit Agreement (defined below) as lenders (collectively, the “Lenders”).
WHEREAS, the Loan Parties, the Lenders and the Administrative Agent are parties to that certain Credit Agreement, dated as of June 30, 2016 (as amended, modified, supplemented or restated and in effect from time to time, the “Credit Agreement”), pursuant to which the Lenders have extended credit to the Borrower on the terms set forth therein;
WHEREAS, the REIT and the Borrower have requested that the Lenders agree to release the REIT from its Guaranty of the Obligations;
WHEREAS, the each of the Lenders is willing to agree, on the terms and subject to the conditions set forth herein, to release the REIT as a Guarantor and, in connection therewith, require certain amendments to the Credit Agreement, all as more particularly set forth herein;
NOW, THEREFORE, in consideration of the foregoing, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:
1.    Definitions; Loan Document.  Capitalized terms used herein without definition shall have the meaning assigned to such terms in the Credit Agreement.  This Amendment shall constitute a Loan Document for all purposes of the Credit Agreement and the other Loan Documents.
2.    Amendment to Cover Page, Introductory Paragraph, and Exhibits.  The Cover Page of the Credit Agreement is amended by removing “, as Parent Guarantor,” following the reference to National Storage Affiliates Trust.  The Introductory Paragraph of the Credit Agreement and each Exhibit to the Credit Agreement are amended by deleting each reference to “(“NSA REIT” or the “Parent Guarantor”)” contained therein, and by inserting in place thereof the following: (“NSA REIT”)”.
3.    Amendments to Section 1.1 (Definitions) of the Credit Agreement.  Section 1.1 of the Credit Agreement is hereby amended by:
(i)    Each of the definitions of “Applicable Margin”, “Investment Grade Rating Date”, and “PRO Designations” contained in Section 1.1 are amended by deleting each 

- 1 -

reference to “Parent Guarantor” contained therein, and by inserting in place thereof the following: “NSA REIT”.
(ii)    Inserting in the appropriate alphabetical order the following new definition:
““Existing Non-Recourse Guaranty” means that certain Guaranty of Recourse Obligations dated as of March 28, 2014, originally made by Steven G. Osgood and Joseph Fong for the benefit of Ladder Capital Finance LLC, and assumed by NSA REIT pursuant to that certain Joinder By and Agreement of New Indemnitor dated as of May 6, 2015 entered into by Borrower and NSA REIT in connection with a loan to All Stor Asheville, LLC in the principal amount not to exceed $2,212,500.”
(iii)    Inserting in the appropriate alphabetical order the following new definition:
““First Amendment Date” means April 16, 2018.”
(iv)    Amending and restating the definition of “Guarantor” or “Guarantors” in its entirety as follows:
““Guarantor” or “Guarantors” means (i) prior to the Investment Grade Rating Date, but subject to Section 8.13, each Material Subsidiary Guarantor, (ii) prior to the Investment Grade Rating Date, but subject to Section 8.13, each Other Subsidiary Guarantor, and (iii) each Subsidiary Obligor.”
(v)    Amending the last sentence contained in the definition of “Guaranty”, “Guaranteed”, “Guarantying” or to “Guarantee” in its entirety as follows:
“As the context requires, “Guaranty” shall also mean each Subsidiary Guaranty, as the context requires.”
(vi)    Amending the definition of “Loan Documents” by deleting the reference to “Parent Guaranty” contained therein.
(vii)    Amending and restating the definition of “Loan Party” in its entirety as follows:
““Loan Party” means the Borrower and each Subsidiary Guarantor, provided that solely for purposes of Articles VII through XI, inclusive, the term Loan Party shall be deemed to include NSA REIT.”
(viii)    Amending clause (a) of the definition of “Material Adverse Effect” (i) by deleting the reference to “Parent Guarantor and its Subsidiaries” contained therein; and
(ii)    by inserting in place thereof the following: “Borrower and its Subsidiaries”.
(ix)    Amending and restating the definition of “Parent Guaranty” in its entirety as follows:

- 2 -

““Parent Guaranty” has the meaning given that term in Section 8.12.”
(x)    Deleting the definition of “Parent Guarantor” contained therein.
(xi)    Amending clause (g) of the definition of “Permitted Liens” by deleting the reference to “NSA REIT” contained therein and replace it with the following: “Borrower”.
(xii)    Amending the definition of “Revolver Credit Agreement” by deleting the reference to “Parent Guarantor” contained therein and replace it with the following: “NSA REIT”.
4.    Amendment to Section 8.12 (REIT Status) of the Credit Agreement.  Section 8.12 of the Credit Agreement is amended to read in its entirety as follows: 
“Section 8.12.  REIT Status; REIT Covenants.
NSA REIT shall at all times maintain its status as a REIT and its election to be treated as a REIT under the Internal Revenue Code.  Without limitation of the immediately preceding sentence, and notwithstanding any other provision of this Agreement or any other Loan Document, NSA REIT shall not engage in any business other than (a) the business of acting as a REIT and serving as the general partner of the Borrower and matters directly relating thereto and (b) engaging in the other activities permitted pursuant to this Section 8.12.  NSA REIT (x) shall not (A) own assets other than its Equity Interest in the Borrower (other than (1) cash and other assets of nominal value incidental to NSA REIT’s ownership of such Equity Interests and in connection with NSA REIT’s corporate overhead costs, including, without limitation, expenditures related to its maintenance as a public company, (2) assets maintained on a temporary or pass-through basis (for no more than 5 days) that are held for subsequent payment of permitted dividends and other permitted Restricted Payments, and (3) other non-income producing assets of immaterial value held in connection with the operation of NSA REIT as a REIT, including, without limitation, any immaterial non-income producing assets held by NSA REIT in the ordinary course of business prior to the date hereof ), (B) conduct any business other than activities associated with its ownership of the Equity Interests in the Borrower, including, without limitation, activities in its capacity as general partner of the Borrower, and its existence as a public company or (C) have, incur or Guarantee any liabilities other than (i) obligations incurred in the ordinary course of business that are not in the nature of Indebtedness for borrowed money, and (ii) the Existing Non-Recourse Guaranty, (y) shall contribute to the Borrower all proceeds of Equity Issuances by NSA REIT, net of transaction costs, promptly (and in any event within 5 days of receipt thereof) and shall not grant a Lien to any Person in such proceeds and (z) shall continue to be the sole general partner of the Borrower.  NSA REIT shall not create, incur or suffer to exist any Lien on its Equity Interests in the Borrower or its other Subsidiaries.  NSA REIT shall maintain at least one class of common shares of NSA REIT having trading privileges on the New York Stock Exchange or the American Stock Exchange or 

- 3 -

which is the subject of price quotations on The NASDAQ Stock Market’s National Market System.
For the avoidance of doubt, in the event that NSA REIT desires to provide a Guaranty (a “Parent Guaranty”) of any Indebtedness to any Person other than the Administrative Agent and the Lenders under the Loan Documents, (a) NSA REIT and/or the Borrower shall provide the Administrative Agent at least ten (10) Business Days’ (or such shorter time as is approved by the Administrative Agent) prior written notice of such proposed Parent Guaranty and (b) the entry into of such proposed Parent Guaranty is conditioned upon NSA REIT concurrently providing to the Administrative Agent a Guaranty in substantially the form of that certain “Parent Guaranty” (as defined in this Agreement as in effect prior to the First Amendment Date) dated as of June 30, 2016, made by NSA REIT in favor of the Administrative Agent and otherwise reasonably satisfactory to the Administrative Agent.”
5.    Amendment to Section 9.1 (Quarterly Financial Statements) of the Credit Agreement.  Section 9.1 of the Credit Agreement is amended by inserting at the end thereof the following new sentence:
“In addition, commencing with the fiscal quarter of the Borrower ending June 30, 2018, within 45 days after the end of each of the first, second, and third fiscal quarters of the Borrower and its Subsidiaries, the unaudited consolidated balance sheet of the Borrower and its Subsidiaries as at the end of such period and the related unaudited consolidated statements of income, statement of equity and cash flows of the Borrower and its Subsidiaries for such period, setting forth in each case in comparative form the figures as of the end of and for the corresponding periods of the previous fiscal year, all of which shall be certified by the chief financial officer, treasurer or chief accounting officer of the Borrower, in his or her opinion, to present fairly, in accordance with GAAP and in all material respects, the consolidated financial position of the Borrower and its Subsidiaries as at the date thereof and the results of operations for such period (subject to the absence of footnotes and to normal year-end audit adjustments).”
6.    Amendment to Section 9.2 (Year-End Statements) of the Credit Agreement.  Section 9.2 of the Credit Agreement is amended by inserting at the end thereof the following new sentence:
“Within 90 days after the end of each fiscal year of the Borrower, the unaudited consolidated balance sheet of the Borrower and its Subsidiaries as at the end of such fiscal year and the related unaudited consolidated statements of income, statement of equity and cash flows of the Borrower and its Subsidiaries for such fiscal year, setting forth in comparative form the figures as at the end of and for the previous fiscal year, all of which shall be certified by the chief financial officer, treasurer, or chief accounting officer of the Borrower, in his or her opinion, to present fairly, in accordance with GAAP and in all material respects, the consolidated financial position of the Borrower and its Subsidiaries as at the date thereof and the results of operations for such period).”

- 4 -

7.    Amendment to Section 10.3 (Indebtedness) of the Credit Agreement.  Section 10.3 of the Credit Agreement is amended to read in its entirety as follows: 
“Section 10.3.  Indebtedness.
The Loan Parties shall not, and shall not permit any of their respective Subsidiaries to, incur, assume, suffer to exist or otherwise become obligated in respect of any Indebtedness, except:
(i)    Indebtedness under the Loan Documents and the Revolver Credit Agreement;
(ii)    Secured Indebtedness of the Borrower and its Subsidiaries in an aggregate principal amount not to exceed 45.0% of Gross Asset Value at any time outstanding; provided, that the aggregate principal amount of such Secured Indebtedness constituting Secured Recourse Indebtedness shall not exceed 15.0% of Gross Asset Value at any time outstanding; and provided further, that (x) with respect to any underlying Secured Recourse Indebtedness for any given Real Estate Asset, the aggregate original principal amount of such Secured Recourse Indebtedness shall be less than 75% of the Appraised Value of such Real Estate Asset at the time such Secured Recourse Indebtedness is incurred and (y) such Secured Indebtedness shall not be in the nature of a revolving credit facility;
(iii)    Indebtedness of Borrower to any of its Subsidiaries and of any such Subsidiary to any other Subsidiary; provided, that (A) such Indebtedness shall be subject to the limitations on Investments set forth in Section 10.5 and (B) any such Indebtedness of any Loan Party to a non-Loan Party shall be subordinated to the Obligations on terms reasonably satisfactory to the Administrative Agent;
(iv)    Guarantees by the Borrower, any Subsidiary Guarantor or any Wholly-Owned Subsidiary of Indebtedness of the Borrower, any Subsidiary Guarantor or any other Wholly-Owned Subsidiary of the Borrower; provided, that, in each case, (x) the Indebtedness so Guaranteed is permitted by this Section 10.3, and (y) Guarantees permitted under this clause (iv) shall be subordinated to the Obligations on the same terms as the Indebtedness so Guaranteed is subordinated to the Obligations;
(v)    Indebtedness of Borrower or any of its Subsidiaries constituting purchase money Indebtedness (including Capital Lease Obligations); provided, that (A) such Indebtedness is incurred prior to or within 90 days after the acquisition of the assets financed thereby and (B) the aggregate principal amount of Indebtedness permitted by this clause (v) shall not exceed $5,000,000 at any time outstanding;
(vi)    Indebtedness of Borrower or any of its Subsidiaries owed to any Person providing workers’ compensation, health, disability or other employee benefits or property, casualty or liability insurance, pursuant to reimbursement or 

- 5 -

indemnification obligations to such Person, in each case incurred in the ordinary course of business;
(vii)    Indebtedness of Borrower or any of its Subsidiaries in respect of performance bonds, bid bonds, appeal bonds, surety bonds and similar obligations, in each case provided in the ordinary course of business;
(viii)    obligations of Borrower or any of its Subsidiaries under Derivatives Contracts permitted under Section 10.13;
(ix)    Unsecured Indebtedness of the Borrower consisting of investment grade or high-yield senior unsecured notes issued in a public offering or private placement or other unsecured term loan facility (but excluding any other revolving credit facility) (any such issuance, a “Senior Unsecured Debt Issuance”), provided that (i) any such Unsecured Indebtedness shall be at market rates and subject to market terms, (ii) both before and immediately after giving effect to any Senior Unsecured Debt Issuance, no Default or Event of Default exists, and (iii) immediately prior to such Senior Unsecured Debt Issuance, the Administrative Agent shall have received a pro forma Compliance Certificate from the Borrower as of the date of, and after giving effect to, such Senior Unsecured Debt Issuance evidencing compliance with the financial covenants set forth in Section 10.1 (in each case using consolidated Indebtedness of NSA REIT and its Subsidiaries as of the date of, and after giving effect to, such Senior Unsecured Debt Issuance and the repayment of any Indebtedness in connection therewith, and Gross Asset Value as at the end of the most recent Reference Period); and
(x)    (i) subject to compliance with Section 8.12 (including any concurrent provision of the Guaranty required to be delivered to the Administrative Agent pursuant to Section 8.12), unsecured Parent Guarantees by NSA REIT of Indebtedness otherwise permitted under this Section 10.3 so long as, both before and immediately after giving effect to any such Parent Guaranty, no Default or Event of Default exists and the Borrower is in compliance with the financial covenants set forth in Section 10.1 (in each case using consolidated Indebtedness of NSA REIT and its Subsidiaries as of the date of, and after giving effect to, such Parent Guaranty, and Gross Asset Value as at the end of the most recent Reference Period) and (ii) the Existing Non-Recourse Guaranty so long as the loan obligations relating thereto do not exceed $2,212,500.”
8.    Amendment to Section 10.5 (Investments) of the Credit Agreement.  Clause (b) contained in Section 10.5 of the Credit Agreement is amended to read in its entirety as follows: “(b) Investments in any Loan Party (other than NSA REIT) or any Wholly-Owned Subsidiary of any Loan Party;”.
9.    Amendment to Section 10.6 (Liens; Negative Pledges; Restrictive Agreements) of the Credit Agreement.  (i) Clause (a)(v) contained in Section 10.6 of the Credit Agreement is amended by deleting the reference to “NSA REIT” contained therein and replacing it with a reference 

- 6 -

to “Borrower” and (ii) paragraph (a) contained in Section 10.6 of the Credit Agreement is amended to read in its entirety as follows:
“(a)(i) NSA REIT shall not create, assume, or incur any Lien upon any of its properties, assets, income or profits of any character whether now owned or hereafter acquired and (ii) the Borrower and each Subsidiary Guarantor shall not, and shall not permit any of their respective Subsidiaries to, create, assume, or incur any Lien upon any of their respective properties, assets, income or profits of any character whether now owned or hereafter acquired, except for any of the following if, both immediately prior to and immediately after the creation, assumption or incurring of such Lien, no Default or Event of Default is or would be in existence, including, without limitation, a Default or Event of Default resulting from a violation of any of the covenants contained in Section 10.1:”
10.    Amendment to Section 10.7 (Fundamental Changes) of the Credit Agreement.  Clause (b) contained in Section 10.7 of the Credit Agreement is amended to read in its entirety as follows: “(b) a Person (other than a Loan Party) may merge with and into, and may dispose of its assets to, any Loan Party (other than NSA REIT) so long as (i) such Loan Party is the survivor of such merger, (ii) immediately prior to such merger, and immediately thereafter and after giving effect thereto, no Default or Event of Default is or would be in existence and (iii) the Borrower shall have given the Administrative Agent at least 10 Business Days’ (or such shorter period as is approved by the Administrative Agent) prior written notice of such merger, such notice to include a certification as to the matters described in the immediately preceding clause (ii); and”
11.    Amendment to Section 10.11 (Transactions with Affiliates) of the Credit Agreement.  Clause (b) contained in Section 10.11 of the Credit Agreement is amended by deleting the reference to “Parent Guarantor” contained therein and replacing it with the following: “NSA REIT”.
12.    Amendment to Section 10.13 (Derivatives Contract) of the Credit Agreement. Clause (i) contained in Section 10.13 of the Credit Agreement is amended by deleting the reference to “NSA REIT” contained therein and replacing it with the following: “Borrower”.
13.    Amendment to Section 11.1(e)(ii) (Cross-Default) of the Credit Agreement. Section 11.1(e)(ii) of the Credit Agreement is amended to add the following new clause (B) at the end thereof (and a reference to “(A)” is inserted at the beginning thereof immediately after the reference to “(ii)”):
“(B) any recourse claim is made against any Loan Party under any one or more so-called non-recourse carve out guarantees in an aggregate amount of $25,000,000 or more; or”
14.    Amendment to Section 13.6 (Amendments) of the Credit Agreement.  Clause (b)(vi) contained in Section 13.6 of the Credit Agreement is amended to read in its entirety as follows:

- 7 -

“(vi) (i) release all or substantially all of the Subsidiaries under the Subsidiary Guaranty or of the value thereunder, without the prior written consent of each Lender or (ii) in the event that NSA REIT at any time provides a Guaranty pursuant to the provisions of Section 8.12 or otherwise, release such Guaranty without the prior written consent of each Lender; or”
15.    Amendment to Article XIII of the Credit Agreement.  Article XIII is amended by inserting at the end thereof the following new Section 13.21:
“Section 13.21.  Non-Recourse to NSA REIT.
This Agreement and the Obligations of the Borrower hereunder and under the other Loan Documents are fully recourse to the Borrower and the Subsidiary Guarantors.  The parties hereto acknowledge and agree that, notwithstanding the inclusion of NSA REIT as a Loan Party for certain purposes of this Agreement, NSA REIT is not a guarantor of the Obligations of the Borrower.  Notwithstanding any applicable law that would make the owner of a partnership or general partner liable for the debts and obligations of the partnership, nothing contained herein or in the Loan Documents shall be construed to create or impose upon NSA REIT (in its capacity as such), any obligation with respect to the repayment of Indebtedness hereunder; provided that nothing contained in this Section 13.21 shall be deemed to (i) release the Borrower or any Guarantor from any liability pursuant to, or from any of its obligations under, this Agreement or the other Loan Documents to which it is a party, (ii) constitute a waiver of any Obligation arising under this Agreement or any of the other Loan Documents, (iii) limit the rights of the Administrative Agent or any of the Lenders to pursue any right or remedy or any judgment against, or proceed against or realize upon the assets of, the Borrower or any Subsidiary Guarantor or (iv) release NSA REIT, in its capacity as the general partner of the Borrower, from any Obligations other than the obligation to repay the Indebtedness hereunder, or release NSA REIT from any personal liability for the failure of NSA REIT, including in its capacity as the general partner of the Borrower, to satisfy and comply with all of the covenants and agreements (x) of NSA REIT set forth in this Agreement or (y) in its capacity as the general partner of the Borrower, of the Borrower set forth in this Agreement.  In addition, (i) NSA REIT shall be fully liable to the Administrative Agent and the Lenders to the same extent that NSA REIT would be liable absent the foregoing provisions of this Section 13.21 for fraud or willful misrepresentation by the Borrower, NSA REIT or any of their respective Subsidiaries in connection with any Loan, any Letter of Credit or any of the other Obligations or any Loan Documents (to the full extent of losses suffered by the Administrative Agent or any Lender by reason of such fraud or willful misrepresentation) and (ii) nothing in this Section 13.21 shall be deemed to be a waiver of any right which the Administrative Agent may have under §506(a), 506(b), 1111(b) or any other provision of the Bankruptcy Code or any successor thereto or similar provisions under applicable state law to file a claim against the Borrower or any of the Subsidiary Guarantors for the full amount of the Obligations.  For the avoidance of doubt, the obligations of the Borrower 

- 8 -

herein to cause NSA REIT to comply with the provisions hereof or to do or refrain from doing or taking certain actions as set forth herein will not be construed to depend upon the Borrower’s ability to do so or upon any actual control of NSA REIT by the Borrower and it shall not be a defense to any failure by the Borrower to comply with such obligations that the Borrower did not actually control NSA REIT.”
16.    Amendment to Exhibit B of the Credit Agreement.  Exhibit B to the Credit Agreement is hereby deleted and replaced with the following: “[Reserved”].
17.    Release of Parent Guaranty.  On the date hereof, the Administrative Agent and the Lenders hereby release NSA REIT from any further obligations as a Guarantor under the Credit Agreement and the Parent Guaranty (as defined in the Credit Agreement as in effect prior to the First Amendment Date), including, for the avoidance of doubt, as a guarantor of any Specified Derivatives Obligations in favor of any Specified Derivatives Providers, all of which guarantees are hereby simultaneously released with the release of such Parent Guaranty.  The Credit Agreement and each of the other Loan Documents are each ratified and confirmed by NSA REIT, the Borrower and each other Loan Party and remain in full force and effect and NSA REIT and each of the Loan Parties hereby acknowledges and agrees that the foregoing release of NSA REIT from the Parent Guaranty shall not affect any of the rights of the Administrative Agent and/or the Lenders with respect to any other remaining Guarantors under any other Guaranty or Subsidiary Guaranty with respect to any of the Obligations or other indebtedness referenced therein.
18.    No Waiver.  Nothing contained herein shall be deemed to (i) constitute a waiver of any Default or Event of Default that may heretofore or hereafter occur or have occurred and be continuing or, except as expressly set forth herein, to otherwise modify any provision of the Credit Agreement or any other Loan Document, or (ii) give rise to any defenses or counterclaims to the Administrative Agent’s or any Lender’s right to compel payment of the Obligations when due or to otherwise enforce their respective rights and remedies under the Credit Agreement and the other Loan Documents.
19.    Conditions to Effectiveness.  This First Amendment shall become effective as of the date when each of the following conditions is satisfied:
(a)    The Administrative Agent’s receipt of the following, each of which shall be originals or telecopies (followed promptly by originals) unless otherwise specified, each dated as of the date hereof and each in form and substance satisfactory to the Administrative Agent unless otherwise specified:
(i)    counterparts of this First Amendment, properly executed by a Responsible Officer of each of the Loan Parties and each of the Lenders under the terms of the Credit Agreement, in each case sufficient in number for distribution to each party hereto; and
(ii)    such other assurances, certificates, documents, consents or opinions as the Administrative Agent reasonably may require.

- 9 -

20.    Representations and Warranties.  NSA REIT, Borrower and each of the Guarantors jointly and severally represent and warrant to the Administrative Agent and the Lenders as follows:
(a)    The execution, delivery and performance of this First Amendment and the transactions contemplated hereby (i) are within the corporate (or the equivalent limited liability company or partnership) authority of NSA REIT and each of the Loan Parties, (ii) have been duly authorized by all necessary corporate, limited liability company or partnership (or other) proceedings of NSA REIT and each applicable Loan Party, (iii) do not conflict with or result in any material breach or contravention of any provision of any Applicable Law applicable to NSA REIT or any Loan Party or of any judgment, order, writ, injunction, license or permit applicable to NSA REIT or any of the Loan Parties, (iv) do not conflict with, result in a breach of or constitute a default under the organizational documents of NSA REIT or any Loan Party, or any material indenture, agreement or other instrument to which NSA REIT, any Loan Party or any of their respective Subsidiaries is a party or by which any of them or any of their respective properties may be bound, and (v) do not require any Governmental Approval.
(b)    This First Amendment has been duly executed and delivered by NSA REIT and each of the Loan Parties and constitutes the legal, valid and legally binding obligations of NSA REIT and each of the Loan Parties enforceable against each in accordance with the respective terms and provisions hereof, except as the same may be limited by bankruptcy, insolvency, and other similar laws affecting the rights of creditors generally and the availability of equitable remedies for the enforcement of certain obligations (other than the payment of principal) contained herein or therein and as may be limited by equitable principles generally.  The Obligations are not subject to any offsets, defenses or counterclaims.
(c)    The representations and warranties made or deemed made by NSA REIT and each Loan Party in the Loan Documents to which it is a party are true and correct in all material respects (or in all respects to the extent that such representations and warranties are already subject to concepts of materiality) on and as of the date hereof with the same force and effect as if made on and as of such date except to the extent that such representations and warranties expressly relate solely to an earlier date (in which case such representations and warranties shall have been true and correct in all material respects on and as of such earlier date).  For purposes of this Paragraph 20(c), the representations and warranties contained in Section 7.11 of the Credit Agreement shall be deemed to refer to the most recent statements furnished pursuant to Sections 9.1 and 9.2 of the Credit Agreement.
(d)    Both before and after giving effect to this First Amendment, no Default or Event of Default under the Credit Agreement has occurred and is continuing.
21.    Ratification, etc.  Except as expressly amended hereby, the Credit Agreement, the other Loan Documents and all documents, instruments and agreements related thereto are hereby ratified and confirmed in all respects and shall continue in full force and effect.  This First Amendment and the Credit Agreement shall hereafter be read and construed together as a single document, and all references in the Credit Agreement, any other Loan Document or any agreement or instrument related to the Credit Agreement shall hereafter refer to the Credit Agreement as amended by this First Amendment.  NSA REIT and each Loan Party hereby ratifies the Credit 

- 10 -

Agreement and acknowledges and reaffirms (a) that it is bound by all terms of the Credit Agreement applicable to it and (b) that it is responsible for the observance and full performance of its respective Obligations.
22.    Further Assurances.  NSA REIT and the Loan Parties agree to promptly take such action, upon the request of the Administrative Agent, as is necessary to carry out the intent of this First Amendment.
23.    No Actions, Claims, etc.  As of the date hereof, NSA REIT and each of the Loan Parties hereby acknowledges and confirms that it has no knowledge of any actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law or in equity, against the Administrative Agent, the Lenders, or the Administrative Agent’s or the Lenders’ respective officers, employees, representatives, agents, counsel or directors arising from any action by such Persons, or failure of such Persons to act under the Credit Agreement or other Loan Documents on or prior to the date hereof.
24.    GOVERNING LAW.  THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS EXECUTED, AND TO BE FULLY PERFORMED, IN SUCH STATE.
25.    Successors and Assigns.  This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.
26.    Consent to Jurisdiction; Venue; Waiver of Jury Trial.  The jurisdiction, venue and waiver of jury trial provisions set forth in Section 13.4 of the Credit Agreement are hereby incorporated by reference, mutatis mutandis.
27.    Counterparts.  This First Amendment may be executed in any number of counterparts and by different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original, but all of which counterparts taken together shall be deemed to constitute one and the same instrument.  Delivery of an executed counterpart of a signature page of this Amendment or any other document required to be delivered hereunder, by fax transmission or e-mail transmission (e.g. “pdf” or “tif”) shall be effective as delivery of a manually executed counterpart of this Agreement.  Without limiting the foregoing, upon the request of any party, such fax transmission or e-mail transmission shall be promptly followed by such manually executed counterpart.
[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

- 11 -

IN WITNESS WHEREOF, the undersigned have duly executed this Agreement as of the date first above written.
BORROWER:
NSAOP, LP, as Borrower
		
	By:
	NATIONAL STORAGE AFFILIATES 
TRUST, its general partner

By:     /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

REIT:
NATIONAL STORAGE AFFILIATES TRUST
By: /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

Each of the undersigned Guarantors hereby absolutely and unconditionally reaffirms its continuing obligations to the Administrative Agent and the Lenders under its respective Guaranty and agrees that the transactions contemplated by the Agreement shall not in any way affect the validity and enforceability of its Guaranty or reduce, impair or discharge the obligations of any Guarantor thereunder.
SUBSIDIARY GUARANTORS:
All Stor Indian Trail, LLC,
American Mini Storage-San Antonio, LLC, 
Eagle Bow Wakefield, LLC,
Great American Storage Partners, LLC, 
NSA-C Holdings, LLC,
NSA-G Holdings, LLC,
NSA Northwest Holdings II, LLC,
NSA - Optivest Acquisition Holdings, LLC, 
NSA Property Holdings, LLC,
NSA Storage Solutions, LLC, 
SecurCare Colorado III, LLC, 
SecurCare Moveit McAllen, LLC, 
SecurCare Oklahoma I, LLC, 
SecurCare Oklahoma II, LLC, 
SecurCare Properties I, LLC, 
SecurCare Properties II, LLC, 
SecurCare Portfolio Holdings, LLC,
StoreMore Self Storage - Pecos Road, LLC, 
each, a Delaware limited liability company

By: /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

Bullhead Freedom Storage, L.L.C,  
an Arizona limited liability company
By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory
GAK, LLC,
Washington Murrieta II, LLC, 
Washington Murrieta IV, LLC,
each a California limited liability company 
By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory
WCAL, LLC,
a Texas limited liability company
By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

ADMINISTRATIVE AGENT:
CAPITAL ONE, NATIONAL ASSOCIATION, 
as the Administrative Agent
By:  /s/ Ashish Tandon    
Name:    Ashish Tandon
Title:    Director

LENDERS:
CAPITAL ONE, NATIONAL ASSOCIATION, 
as a Lender
By:  /s/ Ashish Tandon    
Name:    Ashish Tandon
Title:    Director

REGIONS BANK, 
as a Lender
By:  /s/ Paul E. Burgan    
Name:    Paul E. Burgan
Title:    Vice President

U.S. BANK NATIONAL ASSOCIATION, 
as a Lender
By:  /s/ Benjamin Kuruvila    
Name:    Benjamin Kuruvila
Title:    Vice PresidentExhibit

Exhibit 10.5

SECOND AMENDMENT TO CREDIT AGREEMENT
This Second Amendment to Credit Agreement (this “Agreement”), dated as of June 5, 2018 (the “Second Amendment Effective Date”), is by and among NSA OP, LP, a limited partnership formed under the laws of the State of Delaware (the “Borrower”), certain Subsidiaries of the Borrower party to the Credit Agreement referred to below (collectively, the “Guarantors”), NATIONAL STORAGE AFFILIATES TRUST, a Maryland real estate investment trust (“NSA REIT”), certain existing lenders party hereto (each, an “Existing Lender” and collectively the “Existing Lenders”), the additional lender parties hereto providing a new commitment pursuant to the terms hereof (each, an “Increase Lender” and collectively the “Increase Lenders”) and CAPITAL ONE, NATIONAL ASSOCIATION, as Administrative Agent (the “Administrative Agent”) for the Lenders (as hereinafter defined).  All capitalized terms used herein without definitions shall have the meanings given to such terms in the Credit Agreement (as hereinafter defined).
WHEREAS, the Credit Agreement, dated as of June 30, 2016, as amended by that certain First Amendment to Credit Agreement and Release of Parent Guaranty dated April 16, 2018 (as so amended and as further amended, modified, supplemented or restated and in effect from time to time, the “Credit Agreement”), is by and among, among others, the Borrower, the Guarantors, NSA REIT, the Administrative Agent and the financial institutions which are or become a party thereto as lenders (each a “Lender” and, collectively, the “Lenders”);
WHEREAS, Section 2.16 of the Credit Agreement provides that the Borrower may request, upon notice to the Administrative Agent and satisfaction of the conditions set forth in Section 2.16(b) of the Credit Agreement (the “Increase Conditions”), that additional Incremental Term Loans be made under the Credit Agreement in an aggregate amount of up to $100,000,000;
WHEREAS, immediately prior to the effectiveness of this Agreement, (a) the aggregate outstanding principal amount of Term Loans under the Credit Agreement is $100,000,000 (the “Closing Date Term Loans”), (b) the Term Loan Commitments have been utilized and are equal to zero, and (c) the Borrower may request up to $100,000,000 of Incremental Term Loans under Section 2.16 of the Credit Agreement (prior to giving effect to this Agreement);
WHEREAS, the Borrower is hereby requesting Incremental Term Loans under Section 2.16 of the Credit Agreement in an aggregate amount equal to $75,000,000 (the “Increase”), so that after giving effect to the Increase, the remaining availability for additional Incremental Term Loans under Section 2.16 of the Credit Agreement is $25,000,000 (the “Remaining Accordion”) (prior to giving effect to the refreshing of the accordion under Section 2.16 of the Credit Agreement provided for herein);
WHEREAS, the Borrower has requested that, after giving effect to the Increase, the Lenders refresh the accordion availability under Section 2.16 of the Credit Agreement to permit an additional $200,000,000 of Incremental Term Loans to be requested thereunder in accordance with the terms thereof (the “Additional Accordion”), so that after giving effect to the Additional Accordion, the aggregate accordion available under Section 2.16 of the Credit Agreement (i.e., including the Remaining Accordion) will be $225,000,000, and the aggregate amount of the total Term Loan Facility, after giving effect to any exercise of such accordion shall not exceed $400,000,000;

- 1 -

WHEREAS, Schedule 1.1 to the Credit Agreement (Lender Commitments) will be updated to reflect Term Loan Commitments relating to the Incremental Term Loans being implemented under this Agreement, to be attached hereto as Annex 2;
WHEREAS, the Borrower has also requested, in connection with the Increase, that the definition of “Applicable Margin” be amended as reflected herein; and
WHEREAS, the Administrative Agent is willing to give effect to the Increase and the other amendments to the Credit Agreement set forth herein provided that the parties hereto enter into this Agreement;
NOW THEREFORE, the parties hereto hereby agree as follows:
1.    Increase.  Pursuant to (and notwithstanding any of the provisions of) Section 2.16 of the Credit Agreement, each Increase Lender hereby severally and not jointly agrees to provide a Term Loan Commitment (each a “Delayed Draw Term Loan Commitment”) for a delayed draw Term Loan in the amount set forth next to such Increase Lender’s name on Annex 1 attached hereto (in each case, such Lender’s “Increase Amount”) and subject to the terms of the Credit Agreement as amended hereby, to make Term Loans to the Borrower in the aggregate amount of its Delayed Draw Term Loan Commitment (each a “Delayed Draw Term Loan” and collectively, the “Delayed Draw Term Loans”).  The aggregate amount of the Increase, as set forth in such Annex 1, is equal to $75,000,000.  Subject to the terms and conditions set forth in the Credit Agreement, such Delayed Draw Term Loans shall be available to be drawn by the Borrower on no more than two (2) occasions during the Availability Period (defined below).  The amount of each requested draw of Delayed Draw Term Loans shall be in a minimum principal amount the lesser of (a) $25,000,000 and (b) the remaining unused amount of the aggregate Delayed Draw Term Loan Commitments.  Upon funding of all or any portion of the Delayed Draw Term Loans, the amount of the Delayed Draw Term Loan Commitments funded shall automatically terminate on a pro rata basis.  After giving effect to the Increase, each Increase Lender shall have the Delayed Draw Term Loan Commitment and Commitment Percentage with respect to the Term Loan Facility set forth on the new Schedule 1.1 attached as Annex 2 hereto.  For the avoidance of doubt, the maturity date of the Delayed Draw Term Loans is the Maturity Date.
2.    Amendments to Credit Agreement.
As of the Second Amendment Effective Date, the Credit Agreement is amended as set forth below:
(a)    The definition of “Applicable Margin” set forth in Section 1.1 of the Credit Agreement is amended by deleting the Table contained in clause (a) thereof in its entirety and inserting in place thereof the following new Table:

- 2 -

	
				
	Level
	Total Leverage Ratio
	Applicable Margin for Term Loans that are LIBOR Loans
	Applicable Margin for Term Loans that are Base Rate Loans

	1
	Less than or equal to 45%
	1.30%
	0.30%

	2
	Greater than 45% and less or equal to 50%
	1.40%
	0.40%

	3
	Greater than 50% and less than or equal to 55%
	1.50%
	0.50%

	4
	Greater than 55%
	1.70%
	0.70%

	 
	 
	 
	 

(b)    The definition of “Applicable Margin” set forth in Section 1.1 of the Credit Agreement is further amended by deleting the Table contained in clause (b) thereof in its entirety and inserting in place thereof the following new Table:
	
				
	Credit Rating Level
	Credit Rating
	Applicable Margin for Term Loans that are LIBOR Loans
	Applicable Margin for Term Loans that are Base Rate Loans

	I
	At least A- or A3
	0.90%
	0.00%

	II
	BBB+ or Baa1
	0.95%
	0.00%

	III
	BBB or Baa2
	1.10%
	0.10%

	IV
	BBB- or Baa3
	1.35%
	0.35%

	V
	Below BBB- or Baa3
	1.75%
	0.75%

(c)    Section 1.1 is hereby amended by amending and restating each of the following definitions to read in their entirety as follows:
“Availability Period” means (x) with respect to the Closing Date Term Loans, the period from and including the Effective Date to the earliest of (i) December 30, 2016, (ii) the Maturity Date and (iii) the date of termination of the commitments of the Lender to make Term Loans pursuant to Section 11.2 and (y) with respect to the Delayed Draw Term Loans, the period from and including the Second Amendment Effective Date to the earliest of (i) December 5, 2018, (ii) the Maturity Date, and (iii) the date of termination of the commitments of the Lender to make Term Loans pursuant to Section 11.2.
“Incremental Term Loan Amendment” has the meaning given that term in Section 2.16(e) and includes the Second Amendment.
“Term Loan” or “Term Loans” means an advance made by any Lender under the Term Loan Facility, including the Closing Date Term Loans and the Delayed Draw Term Loans.
“Term Loan Commitment” means, (a) as to each Term Loan Lender on the Effective Date, its obligation to make Loans to Borrower pursuant to Section 2.2 in an original principal 

- 3 -

amount not to exceed the applicable amount set forth opposite such Term Loan Lender’s name on Schedule 1.1 (prior to the Second Amendment Effective Date), as may be reduced from time to time pursuant to Section 2.12, and (b) each applicable Term  Loan Lender’s obligation to make a Term Loan after the Effective Date (including under the Delayed Draw Term Loan Commitments) as set forth in any agreement (including the Second Amendment) executed by an existing Term Loan Lender or a Person who becomes a Term Loan Lender in accordance with Section 2.16.
“Term Loan Lender” means a Lender having a Term Loan Commitment, or if the applicable Term Loan Commitments have terminated, a Lender holding a Term Loan, including any Second Amendment Increase Lender.
(d)    Section 1.1 is hereby further amended by inserting therein each of the following new definitions in the appropriate alphabetical order:
“Closing Date Term Loan(s)” has the meaning given that term in Section 2.2(a).
“Delayed Draw Term Loan(s)” has the meaning given that term in Section 2.2(a).
“Delayed Draw Term Loan Commitment” as to each Second Amendment Increase Lender, its obligation to make Delayed Draw Term Loans to Borrower pursuant to Section 2.2 in an original principal amount not to exceed the applicable amount set forth opposite such Second Amendment Increase Lender’s name on Schedule 1.1, as such amount may be reduced from time to time pursuant to Section 2.12.
“Delayed Draw Term Note” means collectively, the promissory notes made by Borrower in favor of each Second Amendment Increase Lender requesting a promissory note in an aggregate principal amount equal to such Second Amendment Increase Lender’s Delayed Draw Term Loan Commitment as originally in effect, substantially in the form of Exhibit F-1, as the same may be amended, replaced, substituted and/or restated from time to time.
“Second Amendment” means that Second Amendment to Credit Agreement dated as of the Second Amendment Effective Date, by and among the Borrower, certain Subsidiaries of the Borrower, NSA REIT, the lender parties thereto providing a new commitment pursuant to the terms thereof and Capital One, National Association, as the administrative agent.
“Second Amendment Effective Date” means June 5, 2018.
“Second Amendment Increase Lender” shall mean any Increase Lender set forth in the Second Amendment.
(e)    Section 2.2 of the Credit Agreement is hereby amended and restated to read in its entirety as follows:
“(a)    Term Loans.  Subject to the terms and conditions set forth herein, the Term Loan Lenders on the Effective Date severally and not jointly made Term Loans to the Borrower on the Effective Date, in an aggregate original principal amount equal to 

- 4 -

$100,000,000 (each such term loan, a “Closing Date Term Loan” and collectively, the “Closing Date Term Loans”).  Subject to the terms and conditions set forth herein, each Second Amendment Increase Lender severally and not jointly agrees to make an additional Term Loan (each such term loan, a “Delayed Draw Term Loan” and collectively, the “Delayed Draw Term Loans”) to the Borrower on no more than two (2) occasions from time to time, on any Business Day during the applicable Availability Period, in an aggregate principal amount not to exceed such Second Amendment Increase Lender’s Delayed Draw Term Loan Commitment remaining on such date.  The aggregate amount of each draw of Delayed Draw Term Loans shall be in a minimum principal amount equal to the lesser of (a) $25,000,000 and (b) the remaining unused amount of the Delayed Draw Term Loan Commitment.  Upon the funding of all or any portion of the Delayed Draw Term Loans, the respective amounts of the Delayed Draw Term Loan Commitments shall automatically terminate.  Amounts borrowed under this Section 2.2(a) and repaid or prepaid may not be reborrowed.  Term Loan Commitments (including any Delayed Draw Term Loan Commitment) not drawn under the Term Loan Facility on the last day of the applicable Availability Period shall automatically terminate and shall no longer be available for borrowing hereunder.
(b)    Requesting Term Loans.  The Borrower shall deliver to the Administrative Agent a Notice of Borrowing, which notice must be received by the Administrative Agent no later than 11:00 a.m. on the date that is (i) one Business Day prior to the anticipated date of borrowing, in the case of a request for Base Rate Loans or (ii) three Business Days prior to the anticipated date of borrowing in the case of a request for LIBOR Loans.  Upon receipt of such Notice of Borrowing the Administrative Agent shall promptly notify each Lender.  The Notice of Borrowing provided by the Borrower in the preceding sentence shall be irrevocable once given and binding on the Borrower.
(c)    Disbursement of Term Loan Proceeds.  No later than 12:00 p.m. on the date of borrowing, each Lender will make available for the account of its applicable Lending Office to the Administrative Agent at the Principal Office, in immediately available funds, the proceeds of the Term Loan (including any Delayed Draw Term Loan) to be made by such Lender.  Subject to satisfaction of the applicable conditions set forth in Article VI for such borrowing, the Administrative Agent will make the proceeds of such borrowing available to the Borrower no later than 2:00 p.m. on the date of borrowing.
(e)    Pari Passu.  All Loans to the Borrower under this Agreement, including any Delayed Draw Term Loans, shall rank pari passu in right of payment.
(f)    Section 2.7 of the Credit Agreement is hereby amended by adding the following sentence after the last sentence in such Section:
“For the avoidance of doubt, the Delayed Draw Term Loan will be due and payable in full on the Maturity Date.”
(g)    Clause (b) of Section 2.11 of the Credit Agreement is hereby amended by adding the following sentence as the last sentence in such subsection:

- 5 -

“For the avoidance of doubt, at the request of any Second Amendment Increase Lender, the undrawn portion of the Delayed Draw Term Loan Commitments available for Delayed Draw Term Loans shall be evidenced by the Delayed Draw Term Note.”
(h)    The first sentence of clause (a) of Section 2.16 of the Credit Agreement is hereby amended and restated to read in its entirety as follows:
“The Borrower may from time to time elect to enter into one or more additional tranches of term loans (each, an “Incremental Term Loan”), in a minimum amount of $5,000,000 and an integral multiple of $1,000,000 in excess thereof so long as, after giving effect thereto, the aggregate amount of all such Incremental Term Loans does not exceed $225,000,000 and the total Term Loan Facility Amount shall not at any time exceed $400,000,000 in the aggregate.”
(i)    Clause (a) of Section 3.6 of the Credit Agreement is hereby amended and restated to read in its entirety as follows:
“(a)    Unused Fees.  The Borrower agrees to pay to the Administrative Agent for the account of the Second Amendment Increase Lenders an unused facility fee equal to (i) the average daily amount of the undrawn portion of Delayed Draw Term Loan Commitments, multiplied by (ii) 0.25%.  Such fee shall be nonrefundable, computed quarterly in arrears based on such average daily amount, and payable in arrears on (x) the first Business Day of each calendar quarter, (y) the Maturity Date and (z) on the last day of the applicable Availability Period.”
(j)    Section 4.2 of the Credit Agreement is hereby amended and restated to read in its entirety as follows:
“(a) Anything herein to the contrary notwithstanding, if, on or prior to the determination of LIBOR for any Interest Period:
(i)    the Administrative Agent reasonably determines (which determination shall be conclusive) that by reason of circumstances affecting the relevant market, adequate and reasonable means do not exist for ascertaining LIBOR for such Interest Period, or
(ii)    the Administrative Agent reasonably determines (which determination shall be conclusive) that the relevant rates of interest referred to in the definition of LIBOR upon the basis of which the rate of interest for LIBOR Loans for an Interest Period is to be determined are not likely to adequately cover the cost to the Requisite Lenders of making or maintaining such LIBOR Loans;
then the Administrative Agent shall give the Borrower and each Lender prompt notice thereof and, so long as such condition remains in effect, the Lenders shall be under 

- 6 -

no obligation to, and shall not, make additional LIBOR Loans, Continue LIBOR Loans or Convert Loans into LIBOR Loans and the Borrower shall, on the last day of each current Interest Period for each outstanding LIBOR Loan, either repay such Loan or Convert such Loan into a Base Rate Loan.
(b)    Notwithstanding the foregoing, in the event the Administrative Agent determines (which determination shall be conclusive absent manifest error) that (i) the circumstances set forth in Section 4.2(a) have arisen and such circumstances are unlikely to be temporary, (ii) Thomson Reuters or Bloomberg (or any Person that takes over the administration of such rate) discontinues its administration and publication of interest settlement rates for deposits in Dollars, or (iii) the supervisor for the administrator of the interest settlement rate described in Section 4.2(a) or a Governmental Authority having jurisdiction over the Administrative Agent has made a public statement identifying a specific date after which such interest settlement rate shall no longer be used for determining interest rates for loans, then the Administrative Agent and the Borrower shall seek to jointly agree upon an alternate rate of interest to LIBOR that gives due consideration to the then prevailing market convention for determining a rate of interest for syndicated loans in the United States at such time, and the Administrative Agent and the Borrower shall amend this Agreement to reflect such alternate rate of interest and such other related changes to this Agreement as may be applicable.  Notwithstanding anything to the contrary in Section 13.6 hereof, such amendment shall become effective without any further action or consent of any other party to this Agreement so long as the Administrative Agent shall not have received, within five (5) Business Days of the date notice of such alternate rate of interest is provided to the Lenders, a written notice from the Requisite Lenders stating that such Requisite Lenders object to such amendment.  Until an alternate rate of interest shall be determined in accordance with this Section 4.2(b), (x) any request pursuant that requests the conversion to, or continuation of any, LIBOR Loan shall be ineffective and any such LIBOR Loan shall be continued as or converted to, as the case may be, a Base Rate Loan, and (y) if any request is made for a LIBOR Loan, such Loan shall be made as a Base Rate Loan.  If the alternate rate of interest determined pursuant to this Section 4.2(b) shall be less than zero, such rate shall be deemed to be zero for the purposes of this Agreement.”
(k)    Section 8.11 of the Credit Agreement is hereby amended inserting the following new sentence at the end thereof:
“Without limitation of the foregoing, each of the Loan Parties shall, promptly upon the request of the Administrative Agent or any Lender, provide such further documentation or other information as is reasonably requested for purposes of compliance with any Applicable Laws pertaining to anti-money laundering or “know-your-customer”, including, without limitation, Applicable Laws relating to beneficial ownership and controlling parties.”

- 7 -

(l)    Exhibit F-1 (Form of Delayed Draw Term Loan Note) attached hereto as Annex 3 is hereby added to the Credit Agreement.
(m)    On and after the Second Amendment Effective Date, each reference in the Credit Agreement to “this Agreement,” “hereunder,” “hereof” or words of like import referring to the Credit Agreement shall mean and be a reference to the Credit Agreement, as amended by the Second Amendment.
3.    Increasing Agreements.  Each Increase Lender that is an existing Lender immediately prior to the effectiveness of this Agreement will enter into an Increasing Lender Agreement in substantially the form attached to the Credit Agreement as Exhibit H in connection with the Increase (each an “Increasing Lender Agreement”).
4.    Amendment of Schedule 1.1.  Schedule 1.1 to the Credit Agreement is hereby deleted and replaced with Schedule 1.1 attached hereto as Annex 2.
5.    Affirmation and Acknowledgment.  Subject to the terms of the Loan Documents, the Borrower hereby ratifies and confirms all of its Obligations to the Lenders, including, without limitation, the Loans, the Notes and the other Loan Documents, and the Borrower hereby affirms its absolute and unconditional promise to pay to the Lenders all Obligations under (and as defined in) the Credit Agreement, both before and after giving effect to this Agreement.  The Guarantors hereby consent to the transactions contemplated by this Agreement and acknowledge and agree that the guaranties made by them contained in each Guaranty are, and shall remain, in full force and effect after giving effect to this Agreement.  The execution, delivery and effectiveness of this Agreement shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of any Lender or the Administrative Agent under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents.  NSA REIT and each Loan Party hereby ratifies the Credit Agreement and acknowledges and reaffirms (a) that it is bound by all terms of the Credit Agreement applicable to it and (b) that it is responsible for the observance and full performance of its respective Obligations.
6.    Representations and Warranties.  NSA REIT, the Borrower and each of the Guarantors hereby jointly and severally represent and warrant to the Administrative Agent and Lenders as follows:
		
	(a)
	The execution, delivery and performance of this Agreement by NSA REIT, the Borrower and each Guarantor (i) are within the authority of NSA REIT and each such Loan Party, (ii) have been duly authorized by all necessary proceedings on the part of NSA REIT and each such Loan Party, (iii) do not conflict with or result in any breach or contravention of any Applicable Law (including all applicable Environmental Laws) to which NSA REIT or such Loan Party is subject or any judgment, order, writ, injunction, license or permit applicable to NSA REIT or such Loan Party, (iv) do not conflict with, result in a breach of or constitute a default under the articles of incorporation, bylaws, partnership agreement, trust indenture, operating agreement or other similar organizational documents of NSA REIT or any Loan Party, or any material indenture, agreement or other instrument to which NSA 

- 8 -

REIT, any Loan Party or any of their respective Subsidiaries is a party or by which any of them or any of their respective properties may be bound (including, in any event, the Material Contracts), (v) do not require any Governmental Approval and (vi) do not contravene any provisions of the Credit Agreement, or result in or require the creation or imposition of any mortgage, pledge, security interest, lien, encumbrance or charge upon any of the properties or assets of NSA REIT or such Loan Party.
		
	(b)
	This Agreement (including the Increase) constitute legal, valid and binding obligations of NSA REIT and each Loan Party, enforceable against each in accordance with their respective terms, except as the same may be limited by bankruptcy, insolvency, and other similar laws affecting the rights of creditors generally and the availability of equitable remedies for the enforcement of certain obligations (other than the payment of principal) contained herein or therein and as may be limited by equitable principles generally.

		
	(c)
	The representations and warranties made or deemed made by NSA REIT and each Loan Party in the Loan Documents to which it is a party are true and correct in all material respects (or in all respects to the extent that such representations and warranties are already subject to concepts of materiality) on and as of the Second Amendment Effective Date with the same force and effect as if made on and as of such date except to the extent that such representations and warranties expressly relate solely to an earlier date (in which case such representations and warranties shall have been true and correct in all material respects on and as of such earlier date).  For purposes of this clause (d), the representations and warranties contained in Section 7.11 of the Credit Agreement shall be deemed to refer to the most recent statements furnished pursuant to Article IX of the Credit Agreement.

		
	(d)
	Both immediately before and immediately after giving effect to this Agreement (including the Increase) and the transactions contemplated hereby, no Default or Event of Default under (and as defined in) the Credit Agreement exists, has occurred, is continuing or would exist immediately after giving effect thereto.

7.    Conditions Precedent.  This Agreement shall be deemed to be effective as of the Second Amendment Effective Date, subject to the execution and delivery of the following documents, each in form and substance satisfactory to the Administrative Agent and satisfaction of the additional conditions set forth below:
		
	(a)
	this Agreement executed and delivered by the Borrower, NSA REIT, the Guarantors, the Administrative Agent, the Increase Lenders, and Lenders otherwise required to constitute Requisite Lenders;

		
	(b)
	a Note substantially in the form of Exhibit F-1 attached hereto in Annex 3 issued in favor of each Increase Lender reflecting the aggregate principal amount of such Increase Lender’s Delayed Draw Term Loan Commitment (collectively, the “New Notes”);

- 9 -

		
	(c)
	a certificate dated as of the date hereof signed by a duly authorized officer of the Borrower, NSA REIT and each Guarantor (i) certifying and attaching the resolutions adopted by the NSA REIT’s board of directors or trustees (or other appropriate governing body or Persons) and by the Borrower and each Guarantor authorizing the transactions described herein and evidencing the due  authorization, execution and delivery of this Agreement, the New Notes and each of the other Loan Documents to which NSA REIT or such Loan Party is a party executed in connection with the Increase, (ii) certifying that the organizational documents of the Borrower, NSA REIT and each Guarantor have not been amended, modified or rescinded since they were last furnished in writing to the administrative agent under the Revolver Credit Agreement, and remain in full force and effect as of the date hereof or if any such organizational documents  have been amended or modified since they were last furnished in writing to the administrative agent under the Revolver Credit Agreement, certifying as to and attaching true, correct and complete copies of such amendments or modifications, (iii) certifying that the Borrower, NSA REIT and each Guarantor is duly formed, validly existing and in good standing under the laws of such entity’s jurisdiction of organization, and that there is no pending or to such officer’s knowledge, threatened proceeding for dissolution, liquidation or other similar matter with respect to the Borrower, NSA REIT or any Guarantor, (iv) certifying that, immediately before and immediately after giving effect to the Increase, this Agreement and the Increasing Lender Agreements, (A) the representations and warranties made or deemed to be made by NSA REIT and each Loan Party in the Credit Agreement and in the other Loan Documents are true and correct in all material respects (or in all respects to the extent that such representations and warranties are already subject to concepts of materiality) on and as of the Second Amendment Effective Date with the same force and effect as if made on and as of such date except to the extent that such representations and warranties expressly relate solely to an earlier date (in which case such representations and warranties shall have been true and correct in such respects on and as of such earlier date) and except that for purposes hereof, the representations and warranties contained in Section 7.11 of the Credit Agreement shall be deemed to refer to the most recent statements furnished pursuant to Article IX of the Credit Agreement, (B) there has been no material adverse change in the business, assets, operations, condition (financial or otherwise) or properties of NSA REIT or any of the Loan Parties since the date of the financial statements most recently delivered to the Administrative Agent pursuant to the Credit Agreement, (C) no Default or Event of Default exists and (D) the condition set forth in Section 7(i) has been  satisfied, (v) after giving effect to the financing contemplated by this Agreement and the use of the proceeds of the Loans to be funded on the Second Amendment Effective Date there has not occurred any event or condition that constitutes an “event of default” (howsoever defined) or that, with the giving of any notice, the passage of time, or both, would be an “event of default” under NSA REIT’s or any of the Loan Parties’ financial obligations (other than de minimis obligations) in existence on the Second Amendment Effective Date and (vi) NSA REIT and its Subsidiaries have received all approvals, consents and waivers, and have made or given all necessary filings 

- 10 -

and notices, as are required to consummate the transactions contemplated in this Agreement without the occurrence of any material  default  under,  material  conflict  with  or  material  violation  of  (1) any Applicable Law or (2) any agreement, document or instrument to which NSA REIT or any Loan Party is a party or by which NSA REIT or any Loan Party or  its properties is bound.
		
	(d)
	to the extent requested by the Administrative Agent, information from the Borrower with respect to any outstanding Disqualified Stock;

		
	(e)
	to the extent requested by the Administrative Agent, information from the Borrower, NSA REIT and Guarantors with respect to the Eligible Unencumbered Properties;

		
	(f)
	an Increasing Lender Agreement executed and delivered by each Increase Lender and the other parties thereto;

		
	(g)
	favorable opinions of counsel to the Borrower, NSA REIT and Guarantors acceptable to the Administrative Agent with respect to this Agreement, the Increase reflected herein and the New Notes;

		
	(h)
	payment by the Borrower in immediately available funds of the fees payable to the Increase Lenders set forth in the fee letter delivered in connection with this Agreement and as otherwise provided by the Credit Agreement;

		
	(i)
	(i) The absence of any action, suit, investigation or proceeding, pending or threatened, in any court or before any arbitrator or governmental authority that purports to adversely affect the NSA REIT, Borrower, Guarantors or subsidiary or any transaction contemplated hereby, or that could, either individually or in the aggregate, reasonably be expected to have a material adverse effect on the NSA REIT, Borrower, Guarantors or subsidiary or any transaction contemplated hereby or on the ability of the NSA REIT, Borrower, Guarantors or subsidiary of either one to perform its obligations under the documents to be executed in connection with the Increase and the Second Amendment and (ii) no material disruption of financial or capital markets has occurred or exists; and

		
	(j)
	All documentation and other information required by bank regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including USA PATRIOT Act, and a properly completed and signed IRS Form W-8 or W-9, as applicable, for NSA REIT and each Loan Party.

8.    No Waiver.  Nothing contained herein shall be deemed to (i) constitute a waiver of any Default or Event of Default that may heretofore or hereafter occur or have occurred and be continuing or, except as expressly set forth herein, to otherwise modify any provision of the Credit Agreement or any other Loan Document, or (ii) give rise to any defenses or counterclaims to the Administrative Agent’s or any Lender’s right to compel payment of the Obligations when due or to otherwise enforce their respective rights and remedies under the Credit Agreement and the other Loan Documents.

- 11 -

9.    Further Assurances.  NSA REIT and the Loan Parties agree to promptly take such action, upon the request of the Administrative Agent, as is necessary to carry out the intent of this Agreement.
10.    No Actions, Claims, etc.  As of the date hereof, NSA REIT and each of the Loan Parties hereby acknowledges and confirms that it has no knowledge of any actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law or in equity, against the Administrative Agent, the Lenders, or the Administrative Agent’s or the Lenders’ respective officers, employees, representatives, agents, counsel or directors arising from any action by such Persons, or failure of such Persons to act under the Credit Agreement or other Loan Documents on or prior to the date hereof.
11.    Miscellaneous Provisions.
(a)    THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS EXECUTED, AND TO BE FULLY PERFORMED, IN SUCH STATE.
(b)    This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.
(c)    This Agreement may be executed in any number of counterparts and by different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original, but all of which counterparts taken together shall be deemed to constitute one and the same instrument.  Delivery of an executed counterpart of a signature page of this Agreement or any other document required to be delivered hereunder, by fax transmission or 
 
e-mail transmission (e.g. “pdf” or “tif”) shall be effective as delivery of a manually executed counterpart of this Agreement.  Without limiting the foregoing, upon the request of any party, such fax transmission or e-mail transmission shall be promptly followed by such manually executed counterpart.  The existence of this Agreement may be established by the introduction into evidence of counterparts that are separately signed, provided they are otherwise identical in all material respects.
[Remainder of Page Intentionally Blank]

- 12 -

IN WITNESS WHEREOF, the undersigned have duly executed this Agreement as of the date first above written.
BORROWER:
NSAOP, LP
		
	By:
	NATIONAL STORAGE AFFILIATES 
TRUST, its general partner

By:     /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

NSA REIT:
NATIONAL STORAGE AFFILIATES TRUST
By: /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

Each of the undersigned Guarantors hereby absolutely and unconditionally reaffirms its continuing obligations to the Administrative Agent and the Lenders under its respective Guaranty and agrees that the transactions contemplated by the Agreement shall not in any way affect the validity and enforceability of its Guaranty or reduce, impair or discharge the obligations of any Guarantor thereunder.
SUBSIDIARY GUARANTORS
All Stor Indian Trail, LLC,
American Mini Storage-San Antonio, LLC, 
Eagle Bow Wakefield, LLC,
Great American Storage Partners, LLC, 
NSA-C Holdings, LLC,
NSA-G Holdings, LLC,
NSA Northwest Holdings II, LLC,
NSA – Optivest Acquisition Holdings, LLC, 
NSA Property Holdings, LLC,
NSA Storage Solutions, LLC, 
SecurCare Colorado III, LLC, 
SecurCare Moveit McAllen, LLC, 
SecurCare Oklahoma I, LLC, 
SecurCare Oklahoma II, LLC, 
SecurCare Properties I, LLC, 
SecurCare Properties II, LLC, 
SecurCare Portfolio Holdings, LLC,
StoreMore Self Storage – Pecos Road, LLC, 
each, a Delaware limited liability company

By: /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

Bullhead Freedom Storage, L.L.C, an Arizona limited liability company
By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory
GAK, LLC,
Washington Murrieta II, LLC, 
Washington Murrieta IV, LLC,
each a California limited liability company 
By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory
WCAL, LC,
a Texas limited liability company

By:  /s/ Tamara Fisher    
Name:    Tamara Fischer
Title:    Authorized Signatory

ADMINISTRATIVE AGENT:
CAPITAL ONE, NATIONAL ASSOCIATION, 
as the Administrative Agent

By:  /s/ Frederick H. Denecke    
Name:    Frederick H. Denecke
Title:    Senior Vice President

INCREASE LENDERS:
CAPITAL ONE, NATIONAL ASSOCIATION, 
as a Lender
By: /s/ Frederick H. Denecke    
Name:    Frederick H. Denecke
Title:    Senior Vice President

U.S. BANK NATIONAL ASSOCIATION, 
as a Lender
By:  /s/ Benjamin Kuruvila    
Name:    Benjamin Kuruvila
Title:    Vice President

REGIONS BANK, 
as a Lender
By:  /s/ Paul E. Burgan    
Name:    Paul E. Burgan
Title:    Vice President

Annex 1 
 
Increase Lenders

	
		
	Increase Lender
	Increase Amount

	Capital One, National Association
	$32,500,000

	U.S. Bank National Association
	$17,500,000

	Regions Bank
	$25,000,000

	Total
	$75,000,000.00

Annex 1-1

Annex 2
SCHEDULE 1.1
Lender Commitments  
 
Term Loan Commitments
	
					
	Lender
	Closing Date Term  
Loans
	Delayed Draw  
Term Loan  
Commitment
	Total Term  
Loan Facility Amount
	Commitment  
Percentage

	Capital One, National Association
	$40,000,000.00
	$32,500,000
	$72,500,000
	41.428571430%

	U.S. Bank National Association
	$35,000,000.00
	$17,500,000
	$52,500,000
	30.000000000%

	Regions Bank
	$25,000,000.00
	$25,000,000
	$50,000,000
	28.571428570%

	Total
	$100,000,000.00
	$75,000,000.00
	$175,000,000.00
	100.000000000%

Annex 2-1

Annex 3 
 
EXHIBIT F-1 
 
FORM OF DELAYED DRAW TERM LOAN PROMISSORY NOTE
$[     ]    ________ ___, 20___
FOR VALUE RECEIVED, the undersigned hereby promises to pay to ____________ (the “Lender”) or its registered assigns, in care of Capital One, National Association, as Administrative Agent (the “Administrative Agent”) at 299 Park Ave., 31st FL., New York, NY 10171, or at such other address as may be specified in writing by the Administrative Agent to the Borrower, the principal sum of _________________ AND _______ /100 DOLLARS ($_____) (or such lesser amount as shall equal the aggregate unpaid principal amount of Delayed Draw Term Loans made by the Lender to the Borrower under the Credit Agreement (as defined below)), on the date and in the principal amount provided in the Credit Agreement, and to pay interest on the unpaid principal amount owing hereunder, at the rates and on the dates provided in the Credit Agreement.
The date, amount of the Delayed Draw Term Loan made by the Lender to the Borrower, and each payment made on account of the principal thereof, shall be recorded by the Lender on its books and, prior to any transfer of this Delayed Draw Term Loan Promissory Note (the “Note”), endorsed by the Lender on the schedule attached hereto or any continuation thereof, provided that the failure of the Lender to make any such recordation or endorsement shall not affect the obligations of the Borrower to make a payment when due of any amount owing under the Credit Agreement or hereunder in respect of the Delayed Draw Term Loan made by the Lender.
This Note is one of the Notes referred to in the Credit Agreement (as amended, modified, supplemented or restated and in effect from time to time, the “Credit Agreement”) dated as of June 30, 2016, by and among by and among NSA OP, LP, a limited partnership formed under the laws of the State of Delaware (the “Borrower”), the Lenders from time to time party thereto, and CAPITAL ONE, NATIONAL ASSOCIATION, as Administrative Agent for the Lenders, and joined in for certain purposes by certain Subsidiaries of the Borrower and NATIONAL STORAGE AFFILIATES TRUST, a Maryland real estate investment trust.  Capitalized terms used herein, and not otherwise defined herein, have their respective meanings given them in the Credit Agreement.
The Credit Agreement provides for the acceleration of the maturity of this Note upon the occurrence of certain events and for prepayments of Loans upon the terms and conditions specified therein.
This Note is guaranteed by the Guarantors as provided in the Guaranty.  Reference is hereby made to the Guaranty for a description of the nature and extent of such guaranty, the terms and conditions upon which such guaranty was granted and the rights of the holder of this Note in respect thereof.

Annex 3-1

Except as permitted by Section 13.5 of the Credit Agreement, this Note may not be assigned by the Lender to any other Person.
THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS EXECUTED, AND TO BE FULLY PERFORMED, IN SUCH STATE.
The Borrower hereby waives presentment for payment, demand, notice of demand, notice of non-payment, protest, notice of protest and all other similar notices.
Time is of the essence for this Note.
[Signature Page Follows]

Annex 3-2

IN WITNESS WHEREOF, the undersigned has executed and delivered this Note as of the date first written above.
NSA OP, LP, 
as a Borrower
By:    NATIONAL STORAGE AFFILIATES 
    TRUST, its general partner
By:      
Name:
Title:

Annex 3-3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}]]