Common use of AS-IS Condition of Property Clause in Contracts

AS-IS Condition of Property. NetREIT specifically acknowledges, represents and warrants that prior to Closing, NetREIT and its agents, consultants, contractors and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT further acknowledges and agrees that the Partnership will receive and accept the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT further acknowledges and agrees that except for any representations and warranties (if any) expressly made by LGI De in Section 9.1 of this Agreement or any closing document neither LGI De nor any LGI De Party made any representations, warranties or agreements by or on behalf of LGI De of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size (including rentable or useable square footage) of the Real Property and/or the Improvements (including any discrepancies in the actual rentable square footage of the Improvements), the present use of the Property or the suitability of the Partnership's intended use of the Property. NetREIT hereby acknowledges, agrees and represents that the Property is to be conveyed to and accepted by the Partnership in its present condition, "AS IS", "WHERE IS" AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De or NetREIT or the Partnership hereunder nor shall the Net Value be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating to the Property shall be deemed furnished as a courtesy to NetREIT but without any warranty of any kind from or on behalf of LGI De. NetREIT hereby represents and warrants to LGI De that it has (or by the Closing Date, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including land use laws and regulations to which the Property may be subject. NetREIT further represents that, except for any representations (if any) expressly made by LGI De in Section 9.1 of this Agreement or in any closing document, the Partnership shall acquire the Property solely upon the basis of NetREIT's independent inspection and investigation of the Property, including: (a) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; (b) the dimensions or lot size of the Real Property or the square footage of the Improvements thereon or of any tenant space therein; (c) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; (d) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; (e) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including the Americans With Disabilities Act); (f) NetREIT's ability to obtain any necessary governmental approvals, licenses or permits for the Partnership's intended use or development of the Real Property; (g) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; (h) the quality of any labor and materials used in any Improvements; (i) the condition of title to the Real Property; (j) Contracts or any other agreements affecting the Real Property or the intentions of any Party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; (k) LGI De's ownership of the Property or any portion thereof; or (l) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT expressly acknowledges and agrees that it is not relying on any representation or warranty of LGI De or any LGI De Party, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, except as may be expressly provided in Section 9.1 of this Agreement or in any closing document. NetREIT further acknowledges and agrees that LGI De is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De or any other LGI De Party.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants that prior to Closingthe Close of Escrow, NetREIT it and its agents, consultants, contractors agents and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT By Buyer purchasing the Property, and upon the occurrence of the Close of Escrow, except for the Excepted Matters, Buyer waives any and all right or ability to make a claim of any kind or nature against any of the Releasees for any and all deficiencies or defects in the physical characteristics and condition of the Property and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all matters in Buyer’s actual knowledge with respect to the Property. Buyer further acknowledges and agrees that except for any covenants, representations and warranties (if any) of Seller expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing document of the Seller’s Closing Documents, neither LGI De Seller nor any LGI De Party of Seller’s employees, agents, representatives or other Releasees have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size of the Property, the size of the improvements thereon (including rentable or useable square footage) of the Real Property and/or the Improvements (including without limitation, any discrepancies in the actual rentable square footage of any leased premises within the Improvementsimprovements), the present use of the Property or the suitability of the Partnership's Property for Buyer’s intended purposes, use or investment. Subject to the express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Property. NetREIT Seller’s Closing Documents, Buyer hereby acknowledges, agrees and represents that the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "“AS IS"”, "“WHERE IS" ” AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership hereunder Buyer hereunder, nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating Subject to the Property express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Seller’s Closing Documents, the Seller Information shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (performed, or by prior to the Closing DateClose of Escrow will perform, shall have) performed an independent inspection and investigation of the Property and also has also investigated or will investigate and has or will have knowledge of operative or proposed governmental laws and regulations including without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any covenants, representations (if any) and warranties expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing documentof the Seller’s Closing Documents, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, its independent investigation and inspection as to (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property or the square footage of the Improvements improvements thereon or of any tenant space therein; , (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real the Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, Environmental Laws and the Americans With American with Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the Partnership's Buyer’s intended use or further development of or improvements on the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; improvements, (iix) the condition of title to the Real Property; , (jx) Contracts the leases, contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; , (kxi) LGI De's ownership of the Property or any portion thereof; or intentionally deleted, (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real property, (xiii) the manner or quality of the construction or materials, if any, incorporated into the Property, (xiv) the content, completeness or accuracy of the due diligence materials or the Title Commitment, (xv) the conformity of the improvements to any plans or specifications for the Property, including any plans and specifications that may have been or may be provided to Buyer, (xvi) the conformity of the Property to past, current or future applicable zoning or building requirements, (xvii) deficiency of any undershoring or drainage with respect to the Property, and (xviii) intentionally deleted. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De or Seller, nor any LGI De Partyother Seller Releasee, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Agreement or and/or in any closing documentthe Seller’s Closing Documents. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any member, partner, officer, employee, attorney, property manager, agent or broker of Seller. Buyer acknowledges that the Purchase Price has been fully negotiated by the parties hereto so as to reflect the “AS IS,” “WHERE IS” and WITH ALL FAULTS nature of the purchase and sale transaction described herein, and any faults, liabilities, defects or other adverse matters that may be associated with the Property. All of Buyer’s representations, warranties, acknowledgements, agreements, understandings and other statements contained in this Section 8.9 shall survive the Close of Escrow in perpetuity, shall not merge with the Deed or any other LGI De Partyclosing documents and shall be deemed incorporated into the Deed. By initialing below, Buyer acknowledges that (a) this Section 8.9 has been read and fully understood, (b) Buyer has had the chance to ask questions of its counsel about its meaning and significance, and (c) Buyer has accepted and agreed to the terms set forth in this Section 8.9. /s/ JSA /s/ DT Buyer’s Initials Seller’s Initials Except as otherwise provided in this Agreement, any reports, repairs or work required by Buyer are the sole responsibility of Buyer, and Buyer agrees that there is no obligation on the part of Seller to make any changes, alterations or repairs to the Property. The provisions of this Section 8.9 shall survive the Close of Escrow and shall not be deemed merged into any instrument or conveyance delivered at the Close of Escrow.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants that prior to Closingthe Close of Escrow, NetREIT it and its agents, consultants, contractors agents and representatives will have thoroughly inspected had the opportunity to inspect the Property and observed observe the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT By Buyer purchasing the Property, and upon the occurrence of the Close of Escrow, except for the Excepted Matters, Buyer waives any and all right or ability to make a claim of any kind or nature against any of the Releasees for any and all deficiencies or defects in the physical characteristics and condition of the Property and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all matters disclosed by Seller herein or in any separate writing with respect to the Property of which Buyer’s Knowledge Party has knowledge at least one (1) business day prior to the Effective Date of this Agreement. Buyer further acknowledges and agrees that except for any covenants, representations and warranties (if any) of Seller expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing document of the Seller’s Closing Documents neither LGI De Seller nor any LGI De Party of Seller’s employees, agents, representatives or other Releasees have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size of the Property, the size of the improvements thereon (including rentable or useable square footage) of the Real Property and/or the Improvements (including without limitation, any discrepancies in the actual rentable square footage of any leased premises within the Improvementsimprovements), the present use of the Property or the suitability of the Partnership's Property for Buyer’s intended purposes, use or investment. Subject to the express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Property. NetREIT Seller’s Closing Documents, Buyer hereby acknowledges, agrees and represents that the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "“AS IS"”, "“WHERE IS" ” AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership hereunder Buyer hereunder, nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating Subject to the Property express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Seller’s Closing Documents, the Seller Information shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (performed, or by prior to the Closing DateClose of Escrow will have had the opportunity to perform, shall have) performed an independent inspection and investigation of the Property and also has also investigated and has knowledge of or will have had the opportunity to investigate the operative or proposed governmental laws and regulations including without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any covenants, representations (if any) and warranties expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing documentof the Seller’s Closing Documents, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, its independent investigation and inspection as to (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property or the square footage of the Improvements improvements thereon or of any tenant space therein; , (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real the Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, Environmental Laws and the Americans With American with Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the Partnership's Buyer’s intended use or further development of or improvements on the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; improvements, (iix) the condition of title to the Real Property; , (jx) Contracts the Leases, Service Agreements or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any new lease or contract with respect to the Real Property; , (kxi) LGI De's Seller’s ownership of the Property or any portion thereof; or , (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real property, (xiii) the manner or quality of the construction or materials, if any, incorporated into the Property, (xiv) the content, completeness or accuracy of the Seller Information, (xv) the conformity of the improvements to any plans or specifications for the Property, including any plans and specifications that may have been or may be provided to Buyer, (xvi) the conformity of the Property to past, current or future applicable zoning or building requirements, and (xvii) deficiency of any undershoring or drainage with respect to the Property. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De or Seller, nor any LGI De Partyother Seller Releasee, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Agreement or and/or in any closing documentthe Seller’s Closing Documents. NetREIT Buyer further acknowledges and agrees that LGI De that, except as set forth in Section 8.3, Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any member, partner, officer, employee, attorney, property manager, agent or broker of Seller. Buyer acknowledges that the Purchase Price has been fully negotiated by the parties hereto so as to reflect the “AS IS,” “WHERE IS” and WITH ALL FAULTS nature of the purchase and sale transaction described herein, and any faults, liabilities, defects or other adverse matters that may be associated with the Property. All of Buyer’s representations, warranties, acknowledgements, agreements, understandings and other statements contained in this Section 8.9 shall survive the Close of Escrow, shall not merge with the Deed or any other LGI De Partyclosing documents and shall be deemed incorporated into the Deed. By initialing below, Buyer acknowledges that (a) this Section 8.9 has been read and fully understood, (b) Buyer has had the chance to ask questions of its counsel about its meaning and significance, and (c) Buyer has accepted and agreed to the terms set forth in this Section 8.9. Buyer’s Initials Seller’s Initials Except as otherwise provided in this Agreement, any reports, repairs or work required by Buyer are the sole responsibility of Buyer, and Buyer agrees that there is no obligation on the part of Seller to make any changes, alterations or repairs to the Property or to cure any violations of law or to comply with the requirements of any insurer. The provisions of this Section 8.9 shall survive the Close of Escrow and shall not be deemed merged into any instrument or conveyance delivered at the Close of Escrow.

AS-IS Condition of Property. NetREIT specifically acknowledges, represents Purchaser acknowledges and warrants agrees that prior --------------------------- to Closing, NetREIT and it or its agents, consultants, contractors and representatives agents will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to Purchaser hereby waives any and all deficiencies or defects in the contrary contained in this Agreement, NetREIT further acknowledges physical characteristics and agrees that the Partnership will receive and accept condition of the Property subject to all applicable laws, rules, regulations, codes, ordinances and orderswhich would be disclosed by such inspection. NetREIT Purchaser further acknowledges and agrees that except for any representations and warranties (if any) expressly made by LGI De Seller in Section 9.1 of this Agreement or pursuant to this Agreement neither Seller or any closing document neither LGI De nor any LGI De Party of Seller's employees, agents or representatives have made any representations, warranties or agreements by or on behalf of LGI De of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, Seller as to any matters concerning the Property, the condition size of the PropertyLand, the size (including rentable or useable square footage) of the Real Property and/or the Improvements (including any discrepancies in the actual rentable square footage of the Improvements), the present use of the Property or the suitability of the PartnershipPurchaser's intended use of the Property, including without limitation, the suitability of the topography; the availability of water rights or utilities; the present and future zoning, subdivision and any and all other land use matters; the condition of the soil, subsoil or groundwater of the Property and any and all other environmental matters; the purpose(s) to which the Property is suited; drainage; flooding; access to public roads; or proposed routes or roads or extensions thereof other than explicitly disclosed in this Agreement. NetREIT Purchaser hereby acknowledgesacknowledges and agrees that, agrees and represents that except for any representations made by Seller in this Agreement or pursuant to this Agreement, the Property is to be purchased, conveyed to and accepted by the Partnership Purchaser in its present condition, "AS IS", "WHERE IS" AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De or NetREIT or the Partnership hereunder nor shall the Net Value be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating to the Property shall be deemed furnished as a courtesy to NetREIT but without any warranty of any kind from or on behalf of LGI De. NetREIT hereby represents and warrants to LGI De that it has (or by the Closing Date, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including land use laws and regulations to which the Property may be subject. NetREIT further represents that, except for any representations (if any) expressly made by LGI De in Section 9.1 of this Agreement or in any closing document, the Partnership shall acquire the Property solely upon the basis of NetREIT's independent inspection and investigation of the Property, including: (a) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; (b) the dimensions or lot size of the Real Property or the square footage of the Improvements thereon or of any tenant space therein; (c) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; (d) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; (e) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including the Americans With Disabilities Act); (f) NetREIT's ability to obtain any necessary governmental approvals, licenses or permits for the Partnership's intended use or development of the Real Property; (g) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; (h) the quality of any labor and materials used in any Improvements; (i) the condition of title to the Real Property; (j) Contracts or any other agreements affecting the Real Property or the intentions of any Party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; (k) LGI De's ownership of the Property or any portion thereof; or (l) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT expressly acknowledges and agrees that it is not relying on any representation or warranty of LGI De or any LGI De Party, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, except as may be expressly provided in Section 9.1 of this Agreement or in any closing document. NetREIT further acknowledges and agrees that LGI De is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De or any other LGI De Party.,

AS-IS Condition of Property. NetREIT specifically acknowledges, represents and warrants Buyer acknowledges (i) that prior to Closing, NetREIT and its agents, consultants, contractors and representatives it has or will have thoroughly inspected investigated all physical, legal, and economic aspects of the Property and observed the physical characteristics and condition of that Buyer deems necessary or desirable to protect its interests in acquiring the Property. Notwithstanding anything to , including, without limitation, environmental audits and assessments, toxic reports, surveys, investigation of land use and conditions that are or may be imposed by governmental agencies, soils and geological reports, engineering and structural tests, insurance contracts, governmental agreements and approvals, and existing right of way agreements for pipelines and private roads on the contrary contained in this AgreementProperty, NetREIT further acknowledges and agrees that the Partnership will receive and accept the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT further acknowledges and agrees that except for any representations and warranties (if any; and (ii) expressly made by LGI De in Section 9.1 of this Agreement or any closing document neither LGI De Seller nor any LGI De Party made any representations, warranties or agreements by anyone acting for or on behalf of LGI De of Seller has made any kind whatsoeverrepresentation, whether oral warranty, promise or writtenstatement, express or implied, statutory to Buyer, or otherwise, as to any matters concerning the Property, the condition of the Property, the size (including rentable or useable square footage) of the Real Property and/or the Improvements (including any discrepancies in the actual rentable square footage of the Improvements), the present use of the Property or the suitability of the Partnership's intended use of the Property. NetREIT hereby acknowledges, agrees and represents that the Property is to be conveyed to and accepted by the Partnership in its present condition, "AS IS", "WHERE IS" AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De or NetREIT or the Partnership hereunder nor shall the Net Value be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by anyone acting for or on behalf of LGI De relating to Buyer concerning the Property shall be deemed furnished as a courtesy to NetREIT but without and the use or development thereof. Buyer represents and warrants that, in entering into this Agreement, Buyer has not relied on any warranty representation, warranty, promise or statement, express or implied, of any kind from Seller or anyone acting for or on behalf of LGI De. NetREIT hereby represents Seller, other than as expressly set forth in this Agreement, and warrants that all matters concerning the Property have been or shall be independently verified by Buyer prior to LGI De the close of Escrow, and that it has Buyer shall purchase the Property based solely on Buyer’s own investigation and examination thereof (or by the Closing DateBuyer’s election not to do so). BUYER REPRESENTS THAT IT IS PURCHASING THE PROPERTY IN AN “AS IS” AND “WITH ALL FAULTS”, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including land use laws and regulations to which the Property may be subjectPHYSICAL CONDITION AND IN AN “AS IS” AND “WITH ALL FAULTS” STATE OF REPAIR. NetREIT further represents that, except for any representations (if any) expressly made by LGI De in Section 9.1 of this Agreement or in any closing document, the Partnership shall acquire the Property solely upon the basis of NetREIT's independent inspection and investigation of the Property, including: (a) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewageBuyer hereby waives, and utility systemsSeller hereby disclaims, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; (b) the dimensions or lot size of the Real Property or the square footage of the Improvements thereon or all warranties of any tenant space therein; (c) the development or income potential, or rights type of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; (d) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; (e) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including the Americans With Disabilities Act); (f) NetREIT's ability to obtain any necessary governmental approvals, licenses or permits for the Partnership's intended use or development of the Real Property; (g) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; (h) the quality of any labor and materials used in any Improvements; (i) the condition of title to the Real Property; (j) Contracts or any other agreements affecting the Real Property or the intentions of any Party kind whatsoever with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; (k) LGI De's ownership of the Property or any portion thereof; or (l) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT expressly acknowledges and agrees that it is not relying on any representation or warranty of LGI De or any LGI De Party, whether express or implied, presumed including, by way of description but not limitation, those of fitness for a particular purpose and use, tenantability or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, except as may be expressly provided in Section 9.1 of this Agreement or in any closing document. NetREIT further acknowledges and agrees that LGI De is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De or any other LGI De Partyhabitability.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants that prior to Closingthe Close of Escrow, NetREIT it and its agents, consultants, contractors agents and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT By Buyer purchasing the Property, and upon the occurrence of the Close of Escrow, except for the Excepted Matters, Buyer waives any and all right or ability to make a claim of any kind or nature against any of the Releasees for any and all deficiencies or defects in the physical characteristics and condition of the Property and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all matters disclosed by Seller herein or in any separate writing with respect to the Property. Buyer further acknowledges and agrees that except for any covenants, representations and warranties (if any) of Seller expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing document of the Seller’s Closing Documents neither LGI De Seller nor any LGI De Party of Seller’s employees, agents, representatives or other Releasees have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size of the Property, the size of the improvements thereon (including rentable or useable square footage) of the Real Property and/or the Improvements (including without limitation, any discrepancies in the actual rentable square footage of any leased premises within the Improvementsimprovements), the present use of the Property or the suitability of the Partnership's Property for Buyer’s intended purposes, use or investment. Subject to the express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Property. NetREIT Seller’s Closing Documents, Buyer hereby acknowledges, agrees and represents that the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "“AS IS"”, "“WHERE IS" ” AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership hereunder Buyer hereunder, nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating Subject to the Property express covenants, representations and warranties of Seller set forth in this Agreement and/or in the Seller’s Closing Documents, the Seller Information shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (performed, or by prior to the Closing DateClose of Escrow will perform, shall have) performed an independent inspection and investigation of the Property and also has also investigated or will investigate and has or will have knowledge of operative or proposed governmental laws and regulations including without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any covenants, representations (if any) and warranties expressly made by LGI De Seller in Section 9.1 of this Agreement or and/or in any closing documentof the Seller’s Closing Documents, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, its independent investigation and inspection as to (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property or the square footage of the Improvements improvements thereon or of any tenant space therein; , (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real the Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, Environmental Laws and the Americans With American with Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the Partnership's Buyer’s intended use or further development of or improvements on the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; improvements, (iix) the condition of title to the Real Property; , (jx) Contracts the leases, contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; , (kxi) LGI De's Seller’s ownership of the Property or any portion thereof; or , (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real property, (xiii) the manner or quality of the construction or materials, if any, incorporated into the Property, (xiv) the content, completeness or accuracy of the due diligence materials or the PTR, (xv) the conformity of the improvements to any plans or specifications for the Property, including any plans and specifications that may have been or may be provided to Buyer, (xvi) the conformity of the Property to past, current or future applicable zoning or building requirements, (xvii) deficiency of any undershoring or drainage with respect to the Property, and (xviii) any of the other matters described in Section 8.1. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De or Seller, nor any LGI De Partyother Seller Releasee, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Agreement or and/or in any closing documentthe Seller’s Closing Documents. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any member, partner, officer, employee, attorney, property manager, agent or broker of Seller. Buyer acknowledges that the Purchase Price has been fully negotiated by the parties hereto so as to reflect the “AS IS,” “WHERE IS” and WITH ALL FAULTS nature of the purchase and sale transaction described herein, and any faults, liabilities, defects or other adverse matters that may be associated with the Property. All of Buyer’s representations, warranties, acknowledgements, agreements, understandings and other statements contained in this Section 8.9 shall survive the Close of Escrow in perpetuity, shall not merge with the Deed or any other LGI De Partyclosing documents and shall be deemed incorporated into the Deed. By initialing below, Buyer acknowledges that (a) this Section 8.9 has been read and fully understood, (b) Buyer has had the chance to ask questions of its counsel about its meaning and significance, and (c) Buyer has accepted and agreed to the terms set forth in this Section 8.9. Buyer’s Initials Seller’s Initials Except as otherwise provided in this Agreement, any reports, repairs or work required by Buyer are the sole responsibility of Buyer, and Buyer agrees that there is no obligation on the part of Seller to make any changes, alterations or repairs to the Property or to cure any violations of law or to comply with the requirements of any insurer. The provisions of this Section 8.9 shall survive the Close of Escrow and shall not be deemed merged into any instrument or conveyance delivered at the Close of Escrow.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants that prior to Closing, NetREIT Buyer and its Buyer's agents, consultants, contractors and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT Buyer further acknowledges and agrees that except for any representations and warranties (if any) expressly made by LGI De Seller in Section 9.1 of this Agreement or any closing document neither LGI De Seller nor any LGI De Seller Party made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size (including rentable or useable square footage) of the Real Property and/or the Improvements (including any discrepancies in the actual rentable square footage of the Improvements), the present use of the Property or the suitability of the PartnershipBuyer's intended use of the Property. NetREIT Buyer hereby acknowledges, agrees and represents that the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "AS IS", "WHERE IS" AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership Buyer hereunder nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT Buyer by or on behalf of LGI De Seller relating to the Property shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (or by the Closing Date, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any representations (if any) expressly made by LGI De Seller in Section 9.1 of this Agreement or in any closing document, the Partnership Buyer shall acquire the Property solely upon the basis of NetREITBuyer's independent inspection and investigation of the Property, including: (a) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; (b) the dimensions or lot size of the Real Property or the square footage of the Improvements thereon or of any tenant space therein; (c) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; (d) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; (e) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including the Americans With Disabilities Act); (f) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the PartnershipBuyer's intended use or development of the Real Property; (g) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; (h) the quality of any labor and materials used in any Improvements; (i) the condition of title to the Real Property; (j) Contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; (k) LGI DeSeller's ownership of the Property or any portion thereof; or (l) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De Seller or any LGI De Seller Party, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the PartnershipBuyer, except as may be expressly provided in Section 9.1 of this Agreement or in any closing document. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De Seller or any other LGI De Seller Party.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants acknowledges that prior to Closingthe Close of Escrow, NetREIT it and its agents, consultants, contractors agents and representatives will have had an opportunity to thoroughly inspected inspect the Property Properties and observed observe the physical characteristics and condition of the PropertyProperties. Notwithstanding anything to the contrary contained in this Restated Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT By Buyer purchasing the Property, and upon the occurrence of the Close of Escrow, except for the Excepted Matters, Buyer waives any and all right or ability to make a claim of any kind or nature against any of the Releasees for any and all deficiencies or defects in the physical characteristics and condition of the Property and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all matters disclosed by Seller herein or in any separate writing with respect to the Property. Buyer further acknowledges and agrees that except for any covenants, representations and warranties (if any) of Seller expressly made by LGI De Seller in Section 9.1 this Restated Agreement and/or in any of this Agreement or any closing document the Seller’s Closing Documents neither LGI De Seller nor any LGI De Party of Seller’s employees, agents, representatives or other Releasees have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size of the Property, the size of the improvements thereon (including rentable or useable square footage) of the Real Property and/or the Improvements (including without limitation, any discrepancies in the actual rentable square footage of any leased premises within the Improvementsimprovements), the present use of the Property or the suitability of the Partnership's Property for Buyer’s intended purposes, use or investment, in each case, on which Buyer shall rely. Subject to the express covenants, representations and warranties of Seller set forth in this Restated Agreement and/or in the Property. NetREIT Seller’s Closing Documents, Buyer hereby acknowledges, agrees and represents that the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "“AS IS"”, "“WHERE IS" ” AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership hereunder Buyer hereunder, nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any and all information and documents furnished to NetREIT by or on behalf of LGI De relating Subject to the Property express covenants, representations and warranties of Seller set forth in this Restated Agreement and/or in the Seller’s Closing Documents, the Seller Information shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it has (or by Buyer prior to the Closing DateClose of Escrow will have had an opportunity to perform, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any covenants, representations (if any) and warranties expressly made by LGI De Seller in Section 9.1 of this Restated Agreement or and/or in any closing documentof the Seller’s Closing Documents, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, its independent investigation and inspection as to (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property or the square footage of the Improvements improvements thereon or of any tenant space therein; , (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real the Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, Environmental Laws and the Americans With American with Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the Partnership's Buyer’s intended use or further development of or improvements on the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; improvements, (iix) the condition of title to the Real Property; , (jx) Contracts the leases, contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; , (kxi) LGI De's Seller’s ownership of the Property or any portion thereof; or , (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real property, (xiii) the manner or quality of the construction or materials, if any, incorporated into the Property, (xiv) the content, completeness or accuracy of the due diligence materials or the PTR, (xv) the conformity of the improvements to any plans or specifications for the Property, including any plans and specifications that may have been or may be provided to Buyer, (xvi) the conformity of the Property to past, current or future applicable zoning or building requirements, (xvii) deficiency of any undershoring or drainage with respect to the Property, and (xviii) any of the other matters described in Section 8.1. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De or Seller, nor any LGI De Partyother Seller Releasee, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Restated Agreement or and/or in any closing documentthe Seller’s Closing Documents. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any member, partner, officer, employee, attorney, property manager, agent or broker of Seller, except as expressly provided herein. Buyer acknowledges that the Purchase Price has been fully negotiated by the parties hereto so as to reflect the “AS IS,” “WHERE IS” and WITH ALL FAULTS nature of the purchase and sale transaction described herein, and any faults, liabilities, defects or other adverse matters that may be associated with the Property. All of Buyer’s representations, warranties, acknowledgements, agreements, understandings and other statements contained in this Section 8.9 shall survive the Close of Escrow in perpetuity, shall not merge with the Deed or any other LGI De Partyclosing documents and shall be deemed incorporated into the Deed. By initialing below, Buyer acknowledges that (a) this Section 8.9 has been read and fully understood, (b) Buyer has had the chance to ask questions of its counsel about its meaning and significance, and (c) Buyer has accepted and agreed to the terms set forth in this Section 8.9. Buyer’s Initials Seller’s Initials Except as otherwise provided in this Restated Agreement, any reports, repairs or work required by Buyer are the sole responsibility of Buyer, and Buyer agrees that there is no obligation on the part of Seller to make any changes, alterations or repairs to the Property or to cure any violations of law or to comply with the requirements of any insurer. The provisions of this Section 8.9 shall survive the Close of Escrow and shall not be deemed merged into any instrument or conveyance delivered at the Close of Escrow.

AS-IS Condition of Property. NetREIT 12.1 Buyer specifically acknowledges, represents and warrants that prior to Closing, NetREIT it and its agents, consultants, contractors agents and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained in this Agreement, NetREIT Buyer further acknowledges and agrees that the Partnership will receive and accept Buyer is purchasing the Property subject to all applicable laws, rules, regulations, codes, ordinances and orders. NetREIT Subject to any liability of Seller for a breach of the express representations of Seller in Section 25 below, by Buyer purchasing the Property and upon the occurrence of the Closing, Buyer waives any and all right or ability to make a claim of any kind or nature against any of the Releasees for any and all deficiencies or defects in the physical characteristics and condition of the Property which would be disclosed by such inspection and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all matters disclosed by Seller herein or in any separate writing with respect to the Property. Buyer further acknowledges and agrees that except for any representations and warranties (if any) expressly made by LGI De Seller in Section 9.1 25 of this Agreement neither Seller or any closing document neither LGI De nor any LGI De Party of Seller's employees, agents or representatives have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size (including rentable or useable square footage) of the Real Property and/or Property, the size (including square footage) of the Improvements (including any discrepancies in the actual rentable square footage of the Improvements), the present use of the Property or the suitability of the PartnershipBuyer's intended use of the Property. NetREIT Buyer hereby acknowledges, agrees and represents that that, subject to any liability of Seller for a breach of the express representations of Seller in Section 25 below, the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "AS IS", "WHERE IS" AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership Buyer hereunder nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any Any and all information and documents furnished to NetREIT Buyer by or on behalf of LGI De Seller relating to the Property shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (or by the Closing Date, shall have) performed an independent inspection and investigation of the Property and has also investigated and has knowledge of operative or proposed governmental laws and regulations including without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any representations (if any) expressly made by LGI De Seller in Section 9.1 25 of this Agreement or in any closing documentAgreement, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property or the square footage of the Improvements thereon or of any tenant space therein; thereon, (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, the Americans With Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the PartnershipBuyer's intended use or development of the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; , (iix) the condition of title to the Real Property; , (jx) Contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract agreement with respect to the Real Property; , (kxi) LGI DeSeller's ownership of the Property or any portion thereof; , or (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De Seller, nor any member partner, officer, employee, attorney, property manager, agent or any LGI De Partybroker of Seller, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Agreement or in any closing document25 below. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any other LGI De Partymember, partner, officer, employee, attorney, property manager, agent or broker of Seller.

AS-IS Condition of Property. NetREIT Buyer specifically acknowledges, represents and warrants that prior to Closing, NetREIT it and its agents, consultants, contractors agents and representatives will have thoroughly inspected the Property and observed the physical characteristics and condition of the Property. Notwithstanding anything to the contrary contained Except as expressly set forth herein or in this Agreementany closing document, NetREIT further acknowledges and agrees that the Partnership will receive and accept by Buyer purchasing the Property and upon the occurrence of the Closing, Buyer waives any and all right or ability to make a claim of any kind or nature against Seller or any Indemnitee for any and all deficiencies or defects in the physical characteristics and condition of the Property which would be disclosed by such inspection, and expressly agrees to acquire the Property with any and all of such deficiencies and defects and subject to all applicable laws, rules, regulations, codes, ordinances matters disclosed by Seller herein or in any separate writing with respect to the Property and/or disclosed in and ordersset forth in the Natural Hazard Disclosure Statement for the Property. NetREIT Buyer further acknowledges and agrees that except for any representations and warranties (if any) expressly made by LGI De Seller in Section 9.1 9 of this Agreement or in any closing document document, neither LGI De Seller nor any LGI De Party of Seller’s employees, agents or representatives have made any representations, warranties or agreements by or on behalf of LGI De Seller of any kind whatsoever, whether oral or written, express or implied, statutory or otherwise, as to any matters concerning the Property, the condition of the Property, the size (including rentable or useable square footage) of the Real Property and/or Land, the size of the Improvements (including without limitation, any discrepancies in the actual rentable square footage of any premises within the Improvements), the present use of the Property or the suitability of the Partnership's Buyer’s intended use of the Property. NetREIT Buyer hereby acknowledges, agrees and represents that that, except as expressly set forth herein or in any closing document, the Property is to be purchased, conveyed to and accepted by the Partnership Buyer in its present condition, "“AS IS"”, "“WHERE IS" ” AND WITH ALL FAULTS, and that no patent or latent defect or deficiency in the condition of the Property Property, whether or not known or discovered, shall affect the rights of either LGI De Seller or NetREIT or the Partnership Buyer hereunder nor shall the Net Value Purchase Price be reduced as a consequence thereof. Except as otherwise expressly provided in Section 9.1.11 above of this Agreement, any Any and all information and documents furnished to NetREIT Buyer by or on behalf of LGI De Seller relating to the Property shall be deemed furnished as a courtesy to NetREIT Buyer but without any warranty of any kind from or on behalf of LGI DeSeller. NetREIT Buyer hereby represents and warrants to LGI De Seller that it Buyer has (performed or by the Closing Date, shall have) performed will perform an independent inspection and investigation of the Property and has also investigated and has knowledge of or will investigate operative or proposed governmental laws and regulations including regulations, including, without limitation, land use laws and regulations to which the Property may be subject. NetREIT Buyer further represents that, except for any representations (if any) as expressly made by LGI De in Section 9.1 of this Agreement set forth herein or in any closing document, the Partnership it shall acquire the Property solely upon the basis of NetREIT's its independent inspection and investigation of the Property, including: including without limitation, (ai) the quality, nature, habitability, merchantability, use, operation, value, marketability, adequacy or physical condition of the Property or any aspect or portion thereof, including including, without limitation, structural elements, foundation, roof, appurtenances, access, landscaping, parking facilities, electrical, mechanical, HVAC, plumbing, sewage, and utility systems, facilities and appliances, soils, geology and groundwater, or whether the Real Property Land lies within a special flood hazard area, an area of potential flooding, a very high fire hazard severity zone, a wildland fire area, an earthquake fault zone or a seismic hazard zone; , (bii) the dimensions or lot size of the Real Property Land or the square footage of the Improvements thereon or of any tenant space therein; thereon, (ciii) the development or income potential, or rights of or relating to, the Real Property or its use, habitability, merchantability, merchantability or fitness, or the suitability, value or adequacy of such Real Property for any particular purpose; , (div) the zoning or other legal status of the Real Property or any other public or private restrictions on the use of the Real Property; , (ev) the compliance of the Real Property or its operation with any applicable codes, laws, regulations, statutes, ordinances, covenants, conditions and restrictions of any governmental or regulatory agency or authority or of any other person or entity (including including, without limitation, the Americans With American with Disabilities Act); , (fvi) NetREIT's the ability of Buyer to obtain any necessary governmental approvals, licenses or permits for the Partnership's Buyer’s intended use or development of the Real Property; , (gvii) the presence or absence of Hazardous Materials on, in, under, above or about the Real Property or any adjoining or neighboring property; , (hviii) the quality of any labor and materials used in any Improvements; , (iix) the condition of title to the Real Property; Land, (jx) Contracts or any other agreements affecting the Real Property or the intentions of any Party party with respect to the negotiation and/or execution of any lease or contract with respect to the Real Property; , (kxi) LGI De's Seller’s ownership of the Property or any portion thereof; , or (lxii) the economics of, or the income and expenses, revenue or expense projections or other financial matters, relating to the operation of the Real Property. Without limiting the generality of the foregoing, NetREIT Buyer expressly acknowledges and agrees that it Buyer is not relying on any representation or warranty of LGI De Seller, nor any member partner, officer, employee, attorney, property manager, agent or any LGI De Partybroker of Seller, whether implied, presumed or expressly provided at law or otherwise, arising by virtue of any statute, common law or other legally binding right or remedy in favor of it or the Partnership, Buyer except as may be expressly provided in Section 9.1 of this Agreement or in any closing document. NetREIT Buyer further acknowledges and agrees that LGI De Seller is not under any duty to make any inquiry regarding any matter that may or may not be known to LGI De the Seller or any other LGI De Partymember, partner, officer, employee, attorney, property manager, agent or broker of Seller.