Common use of Acquisition Fees and Expenses Clause in Contracts

Acquisition Fees and Expenses. (a) As compensation for acquisition and financing services to be rendered directly to the Partnership by Captec Net Lease Realty Advisors, Inc., a Delaware corporation that is affiliated with the General Partner through overlapping ownership and common corporate officers, (the "Advisor"), the Partnership shall pay directly to the Advisor, Acquisition Fees equal to the lesser of (1) 2.0% of Gross Proceeds plus an additional .0677% ("Debt Fee") for each 1% of indebtedness (calculated as the aggregate amount of Partnership indebtedness secured by Partnership Assets as a percentage of the aggregate Purchase Prices of such Assets) (2)3.0% of the aggregate Purchase Prices of Properties and/or Equipment acquired by the Partnership, or (3) compensation customarily charged in arms-length transactions by others rendering similar services as an on-going activity in the same geographic location for property or equipment comparable to the Property or Equipment to be purchased by the Partnership. The Advisor shall pay all Acquisition Expenses from amounts received as Acquisition Fees. Although the Debt Fee is included within the definition of Acquisition Fees in calculating the 3.0% limitation, the Debt Fee will be paid out of proceeds of indebtedness rather than from Gross Proceeds. (b) The General Partner shall receive Acquisition and Financing Supervision Fees equal to the lesser of (1) 2.0% of Gross Proceeds, but in no event shall the Acquisition and Financing Supervision Fees exceed 2.0% of the aggregate Purchase Prices of Properties and/or Equipment acquired by the Partnership; or (2) compensation customarily charged in arms-length transactions by others rendering similar services as an on-going activity in the same geographic location for property or equipment comparable to the Property or Equipment to be purchased by the Partnership.

Acquisition Fees and Expenses. (a) As compensation for acquisition and financing services to be rendered directly to the Partnership by Captec Net Lease Realty Advisors, Inc., a Delaware corporation that is affiliated with the General Partner through overlapping ownership and common corporate officers, (the "Advisor"), the Partnership shall pay directly to the Advisor, Acquisition Fees equal to the lesser of (1) 2.0% of Gross Proceeds plus an additional .0677.0624% ("Debt Fee") for each 1% of indebtedness (calculated as the aggregate amount of Partnership indebtedness secured by Partnership Assets as a percentage of the aggregate Purchase Prices of such Assets) (2)3.02) 3.0% of the aggregate Purchase Prices of Properties and/or Equipment acquired by the Partnership, or (3) compensation customarily charged in arms-length transactions by others rendering similar services as an on-going activity in the same geographic location for property or equipment comparable to the Property or Equipment to be purchased by the Partnership. The Advisor shall pay all Acquisition Expenses from amounts received as Acquisition Fees. Although the Debt Fee is included within the definition of Acquisition Fees in calculating the 3.0% limitation, the Debt Fee will be paid out of proceeds of indebtedness rather than from Gross Proceeds. (b) The General Partner shall receive Acquisition and Financing Supervision Fees equal to the lesser of (1) 2.0% of Gross Proceeds, but in no event shall the Acquisition and Financing Supervision Fees exceed 2.0% of the aggregate Purchase Prices of Properties and/or Equipment acquired by the Partnership; or (2) compensation customarily charged in arms-length transactions by others rendering similar services as an on-going activity in the same geographic location for property or equipment comparable to the Property or Equipment to be purchased by the Partnership.