AGREEMENT FOR ASSIGNMENT OF LLC INTERESTS from GF II/GMH II LLC to AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Exhibit 1.1
AGREEMENT FOR ASSIGNMENT OF LLC INTERESTS
from
XX XX/GMH II LLC
to
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
from
XX XX/GMH II LLC
to
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
This AGREEMENT FOR ASSIGNMENT OF LLC INTERESTS (this “Agreement”) is executed and
delivered as of the 1st day of June, 2010 (the “Effective Date”), by XX XX/GMH
II LLC, a Massachusetts limited liability company (“Assignor”), and American Campus
Communities Operating Partnership LP, a Maryland limited partnership (“Assignee”).
BACKGROUND
A. Pursuant to that certain Limited Liability Company Agreement of GMH/XX XX Student Housing
Associates II, LLC dated as of April 12, 2007 (the “Venture Agreement”), Assignor and
College Park Investments, LLC, a Delaware limited liability company (the “ACC Member”), a
wholly-owned subsidiary of Assignee, are all of the members of GMH/XX XX Student Housing Associates
II, LLC, a Delaware limited liability company (the “Venture”).
B. Pursuant to that certain Operating Agreement of GMH/XX Xxxxxx Associates Intermediate, LLC
dated as of April 12, 2007 (the “Uptown LLC Agreement”), the Venture is the sole member and
manager of GMH/XX Xxxxxx Associates Intermediate, LLC, a Delaware limited liability company (the
“Uptown Intermediary”). Pursuant to that certain Limited Liability Agreement of GMH/XX
Xxxxxx Associates, LLC dated as of April 12, 2007 executed by the Uptown Intermediary, the Uptown
Intermediary is the sole member and manager of GMH/XX XX Xxxxxx Associates, LLC, a Delaware limited
liability company (the “Uptown Property Owner”), which is the owner of the Uptown
Apartments in Denton, Texas and more particularly described on Exhibit A-1 attached hereto (the
“Uptown Property”).
C. Pursuant to that certain Operating Agreement of GMH/GF University Walk Associates
Intermediate, LLC dated as of April 12, 2007 (the “University Walk LLC Agreement”), the
Venture is the sole member and manager of GMH/GF University Walk Intermediate, LLC, a Delaware
limited liability company (the “University Walk Intermediary”). Pursuant to that certain
Limited Liability Agreement of GMH/GF University Walk Associates, LLC dated as of April 12, 2007,
the University Walk Intermediary is the sole member and manager of GMH/GF University Walk
Associates, LLC, a Delaware limited liability company (the “University Walk Property
Owner”), which is the owner of the University Walk Apartments in Charlotte, North Carolina and
more particularly described on Exhibit A-2 attached hereto (the “University Walk
Property”).
D. Pursuant to that certain Operating Agreement of GMH/GF Campus Edge Associates Intermediate,
LLC dated as of April 12, 2007 (the “Edge I LLC Agreement”), the Venture is the sole member
and manager of GMH/GF Campus Edge Associates Intermediate, LLC, a Delaware limited liability
company (the “Edge I Intermediary”). Pursuant to that certain Limited Liability Agreement
of GMH/GF Campus Edge Associates, LLC dated as of April 12, 2007, the Edge I Intermediary is the
sole member and manager of GMH/GF Campus Edge Associates, LLC, a Delaware limited liability company
(the “Edge I Property Owner”), which is
the owner of The Edge I Apartments in Charlotte, North Carolina and more particularly
described on Exhibit A-3 attached hereto (the “Edge I Property”).
E. Pursuant to that certain Operating Agreement of GMH/GF Varsity Lane Associates
Intermediate, LLC dated as of June 27, 2007 (the “Edge II LLC Agreement” and, together with
the Uptown LLC Agreement, the University Walk LLC Agreement and the Edge I LLC Agreement, the
“LLC Agreements”), the Venture is the sole member and manager of GMH/GF Varsity Lane
Associates Intermediate, LLC, a Delaware limited liability company (the “Edge II
Intermediary” and, together with the Uptown Intermediary, the Campus Walk Intermediary and the
Edge I Intermediary, the “Intermediaries” and individually, an “Intermediary”).
The membership interests held by the Venture in the Intermediaries (including all rights to any and
all distributions, assets, profits and losses relating thereto and all voting, management and other
economic and non-economic rights otherwise accruing as the sole member of each of the
Intermediaries) are collectively referred to as the “LLC Interests.” Pursuant to that
certain Limited Liability Agreement of GMH/GF Varsity Lane Associates, LLC dated June 27, 2007, the
Edge II Intermediary is the sole member and manager of GMH/GF Varsity Land Associates, LLC, a
Delaware limited liability company (the “Edge II Property Owner” and, together with the
Uptown Property Owner, the Campus Walk Property Owner and the Edge I Property Owner, the
“Property Owners” and individually, a “Property Owner”), which is the owner of The
Edge II Apartments in Charlotte, North Carolina and more particularly described on Exhibit A-4
attached hereto (the “Edge II Property” and, together with the Uptown Property, the
University Walk Property and the Edge I Property, the “Properties”).
F. Subject to the terms hereof, Assignor and Assignee, through the ACC Member, intend to cause
the Venture to distribute the LLC Interests and the Reserve Account Balance (as defined below) to
Assignor and Assignee in proportion to Assignor’s and the ACC Member’s respective percentage
interests in the Venture (i.e., 90% to Assignor and 10% to Assignee) and immediately following such
distribution, subject to the terms hereof, Assignor intends to assign to Assignee, and Assignee
intends to accept from Assignor, all of Assignor’s right, title and interest in the Distributed GF
LLC Interests (as defined below), for and in consideration of the payment by Assignee to Assignor
of Fourteen Million One Hundred Fifty Thousand and 00/100 Dollars ($14,150,000.00) (as such amount
may be adjusted pursuant to Section 5(c) of this Agreement, the “Assignment Payment”). The
Venture has joined in this Agreement to evidence its agreement to distribute the LLC Interests and
the Reserve Account Balance to Assignor and the ACC Member upon satisfaction of the Distribution
Conditions (as defined below). The ACC Member has joined in this Agreement to evidence its
agreement to cause the Venture to distribute the LLC Interests and the Reserve Account Balance to
Assignor and the ACC Member upon satisfaction of the Distribution Conditions (as defined below).
G. On the Effective Date, Assignee and GF III/ACC LLC, a Delaware limited liability company
(the “Fidelity Fund III Member”), are entering into an Agreement for Assignment of LLC
Interests (as the same may be amended, the “Fund III Assignment Agreement”) pursuant to
which the Fidelity Fund III Member agreed to assign its interest in ACC/GF III Student Housing
Associates III, LLC, a Delaware limited liability company, to Assignee.
AGREEMENTS
NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, and
for other good and valuable consideration, the receipt, adequacy and sufficiency of which are
hereby acknowledged, Assignor and Assignee agree as follows:
1. Assignment; Xxxxxxx Money; Remedies
(a) Assignment. On the Closing Date (as defined below), in consideration of receipt
of the Assignment Payment, provided the Venture Distribution (as defined below) has occurred,
Assignor shall assign, deliver, transfer and set over to Assignee all of Assignor’s right, title
and interest in the 90% membership interest in each of the Intermediaries received by Assignor in
the Venture Distribution (which shall include all rights to any and all distributions, assets,
profits and losses relating thereto and all voting, management and other economic and non-economic
rights otherwise accruing with respect to such 90% membership interest in each of the
Intermediaries (collectively, the “Distributed GF LLC Interests”), and Assignee shall
accept the assignment of the Distributed GF LLC Interests, pursuant to an Assignment of LLC
Interests Agreement in substantially the form attached hereto as Exhibit B (the
“Assignment”), with the Assignment Payment to be allocated with respect to the interests in
the Intermediaries in the amounts agreed upon by the parties prior to Closing (as defined below).
On the Closing Date, Assignee shall amend and restate the applicable limited liability company
agreements of the Intermediaries to provide, among other things, that Assignee is the sole member
of the applicable Intermediary.
(b) Xxxxxxx Money. Assignee agrees to deposit Six Hundred Sixty Thousand and 00/100
Dollars ($660,000.00) as xxxxxxx money (together with the interest earned thereon, the “Xxxxxxx
Money”) with Heritage Title Company of Austin, Inc., Attention: Xxx Xxxxxx (“Escrow
Agent”), within two (2) business days after the Effective Date, receipt of which shall be
acknowledged by Escrow Agent. Except as otherwise provided in this Agreement, the Xxxxxxx Money
shall be non-refundable. The Xxxxxxx Money shall be applied as a credit to the Assignment Payment
at Closing. In the event of a termination of this Agreement, the Xxxxxxx Money shall be delivered
to the party hereto entitled to same pursuant to the terms hereof on or before the fifth
(5th) business day following receipt by Escrow Agent and the non-terminating party of
written notice of such termination from the terminating party, unless the other party hereto
notifies Escrow Agent that it disputes the right of the other party to receive the Xxxxxxx Money
prior to the end of the fourth (4th) business day following receipt of termination;
provided, however, that if the Xxxxxxx Money is to be paid to Assignor, Escrow Agent shall, without
any further authorization or instruction from Assignor or any other party, pay $100.00 of the
Xxxxxxx Money to Assignee as independent consideration for this Agreement. In the event of such a
dispute, Escrow Agent may interplead the Xxxxxxx Money into a court of competent jurisdiction in
the county in which the Xxxxxxx Money has been deposited. All attorneys’ fees and costs and Escrow
Agent’s costs and expenses incurred in connection with such interpleader shall be assessed against
the party that is not awarded the Xxxxxxx Money, or if the Xxxxxxx Money is distributed in part to
both parties, then in the inverse proportion of such distribution.
(c) Assignor’s Remedies. (i) If Assignee fails to make the Assignment Payment to
Assignor when required to do so hereunder, breaches the covenants in Section 5(b) to
the extent described in Section 5(b)(ii) hereof, or materially breaches its obligations under
Section 6(c) hereof, then Assignor, as its sole and exclusive remedy therefor, may elect to
terminate this Agreement by written notice to Assignee and Escrow Agent stating that such failure
or breach has occurred, and in such event, subject to the dispute mechanism in Section 1(b), the
Xxxxxxx Money shall be paid over to Assignor as liquidated damages and this Agreement shall
terminate, and (ii) if Assignee otherwise defaults with respect to any other material covenant or
obligation under this Agreement, and such default remains uncured for ten (10) business days after
written notice from Assignor, then Assignor, as its sole and exclusive remedy therefor, may elect
to terminate this Agreement by written notice to Assignee and Escrow Agent stating that such
default has occurred, and in such event, the Xxxxxxx Money shall be returned to Assignee and this
Agreement shall terminate. Assignor waives all remedies for Assignee’s defaults under this
Agreement, except those specifically provided for in this Section 1(c). Assignor and Assignee
acknowledge that Assignor’s damages would be difficult or impossible to ascertain in the event of
any failure or breach by Assignee which is described in clause (i) above, and that the liquidated
damages provided for in this Section 1(c) are a reasonable estimate of Assignor’s damages.
Assignor and Assignee acknowledge that the amount of the liquidated damages has been set taking
into account various factors, including the potential for change in value of the Distributed GF LLC
Interests. The remedies provided in this Section 1(c) are exclusive and Assignor expressly waives
all other remedies, claims and causes of action (including any right to obtain lost profits or
actual, consequential, special or any other damages from Assignee or its affiliates) for Assignee’s
failure in performance or default.
(d) Assignee’s Remedies. (i) If Assignor fails to transfer the Distributed GF LLC
Interests to Assignee when required to do so hereunder or materially breaches its obligations under
Section 6(b) hereof, then Assignee, as its sole and exclusive remedy therefor may either (x) elect
to terminate this Agreement by written notice to Assignor and Escrow Agent stating that such
failure has occurred, and in such event, subject to the dispute mechanism in Section 1(b), the
Xxxxxxx Money shall be returned to Assignee and this Agreement shall terminate, or (y) enforce
specific performance of Assignor’s obligation, provided that as a condition precedent to Assignee
exercising any right to bring an action for specific performance as the result of such failure,
Assignee must commence such action within thirty (30) days after the occurrence of such failure,
and Assignee agrees that its failure timely to commence such an action for specific performance
within such thirty (30) day period shall be deemed a waiver by it of its right to commence such an
action , and (ii) if Assignor otherwise defaults with respect to any other material covenant or
obligation under this Agreement, and such default remains uncured for ten (10) business days after
written notice from Assignee, then Assignee, as its sole and exclusive remedy therefor, may elect
to terminate this Agreement by written notice to Assignor and Escrow Agent stating that such
default has occurred, and in such event, the Xxxxxxx Money shall be returned to Assignee and this
Agreement shall terminate.. The remedies provided in this Section 1(d) are exclusive, and Assignee
expressly waives all other remedies, claims and causes of action (including any right to obtain
lost profits or actual, consequential, special or any other damages from Assignor or its
affiliates) for Assignor’s failure in performance or default.
2. Representations of Assignor. Assignor hereby represents and warrants to Assignee
as follows:
(a) This Agreement has been, and the Assignment will be, duly authorized, executed and
delivered by Assignor and all consents required under Assignor’s organizational documents or by law
have been obtained. This Agreement is, and the Assignment will be, the legal, valid and binding
obligation of Assignor, enforceable in accordance with its terms and does not violate any
provisions of any agreement or judicial or administrative order to which Assignor is a party or to
which Assignor is subject.
(b) Assignor is a limited liability company duly formed, currently existing and in good
standing under the laws of the Commonwealth of Massachusetts and has the limited liability company
power and authority to consummate the transactions contemplated by this Agreement and the
Assignment.
(c) Assignor is not a foreign corporation, foreign partnership or foreign estate (as such
terms are defined in Section 1445 of the Internal Revenue Code).
(d) Immediately following the Venture Distribution, to Assignor’s knowledge, the Assignor will
be the sole owner of the Distributed GF LLC Interests, and immediately prior to the assignment of
the Distributed GF LLC Interests from Assignor to Assignee, the Distributed GF LLC Interests will
not have been sold, transferred, assigned, pledged or encumbered by Assignor, except to Assignee
pursuant to this Agreement.
(e) During its period of ownership of the Distributed GF LLC Interests, Assignor will not have
caused any of the ownership and member interests in any of the Intermediaries or the Property
Owners to have been sold, transferred, assigned, pledged or encumbered.
To the extent that (A) Assignee has actual knowledge or is deemed to know that Assignor’s
representations and warranties set forth in this Agreement are inaccurate, untrue or incorrect in
any way or (B) any inaccuracy, untruth or incorrectness of any of Assignor’s representations or
warranties set forth in this Agreement was caused by the act or omission of Assignee or any
affiliate of Assignee (including without limitation in any capacity described in the following
sentence), such representations and warranties shall be deemed modified to reflect such knowledge
or such act or omission, as applicable. For purposes of this Agreement, Assignee shall be “deemed
to know” all facts and information known to or constructively known by Assignee or any affiliate of
Assignee, including any affiliate of Assignee which acted or is acting as the property manager or
leasing agent for the Properties.
The provisions of this Section 2 shall survive the Closing Date and the Closing (as defined
below) for a period of six (6) months.
3. Assignee’s Representations and Warranties. Assignee hereby represents and warrants
to Assignor as follows:
(a) Assignee is a limited partnership duly formed, currently existing and in good standing
under the laws of the State of Maryland, and has the power and authority to consummate the
transactions contemplated by this Agreement and the Assignment. Each individual executing this
Agreement and/or the Assignment on behalf of Assignee represents and warrants to Assignor that he
or she is duly authorized to do so.
(b) This Agreement has been, and the Assignment will be, duly authorized, executed and
delivered by Assignee and all consents required under Assignee’s organizational documents or by law
have been obtained. This Agreement is, and the Assignment will be, the legal, valid and binding
obligation of Assignee, enforceable in accordance with its terms and does not violate any
provisions of any agreement or judicial or administrative order to which Assignee is a party or to
which Assignee is subject.
(c) Assignee is not an entity or person (i) that is listed in the Annex to, or is otherwise
subject to the provisions of Executive Order 13224 issued on September 00, 0000
(“XX00000”), (xx) whose name appears on the United States Treasury Department’s Office of
Foreign Assets Control (“OFAC”) most current list of “Specifically Designated National and
Blocked Persons” (which list may be published from time to time in various mediums including, but
not limited to, the OFAC website, http:xxx.xxxxx.xxx/xxxx/x00xxx.xxx) (iii) who commits, threatens
to commit or supports “terrorism”, as that term is defined in EO3224, (iv) is subject to sanctions
of the United States government or is in violation of any federal, state, municipal or local laws,
statutes, codes, ordinances, orders, decrees, rules or regulations relating to terrorism or money
laundering, including, without limitation, EO13224 and the Uniting and Strengthening America by
Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, or (v) who is
otherwise affiliated with any entity or person listed above.
(d) Assignee is not purchasing the Distributed GF LLC Interests with “plan assets” of an
Employee Benefit Plan subject to Title I of the Employee Retirement Income Security Act of 1974 or
of a plan subject to Section 4975 of the Internal Revenue Code of 1986, as amended.
(e) All of the financial statements provided to Assignor pursuant to the Venture Agreement
regarding the Venture, the Intermediaries, the Property Owners or the Properties were accurate in
all material respects as of the date thereof.
(f) To the knowledge of Assignee, there are no agreements existing as of the Effective Date or
ongoing negotiations as of the Effective Date pursuant to which any of the Properties are to be
sold or master leased that have not been disclosed in writing to Assignor. For the purpose of this
Section 3(f), without creating any personal liability on behalf of such individual, usage of “to
the knowledge of Assignee” or words to such effect, shall mean the present, actual knowledge of
Xxxxxxx Xxxxxx, an employee of an affiliate of Assignee.
(g) Neither Assignee nor any of its affiliates have misappropriated any funds of Assignor or
otherwise engaged in fraud, gross negligence or willful misconduct related to Assignor, the
Intermediaries, the Property Owners or the Properties.
To the extent that (A) Assignor has actual knowledge that Assignee’s representations and
warranties set forth in this Agreement are inaccurate, untrue or incorrect in any way or (B) any
inaccuracy, untruth or incorrectness of any of Assignee’s representations or warranties set forth
in this Agreement was caused by the affirmative act of Assignor, such representations and
warranties shall be deemed modified to reflect such knowledge or such act or omission, as
applicable.
The provisions of this Section 3 shall survive the Closing Date and the Closing for a period
of six (6) months.
4. Hazardous Materials.
(a) Assignor makes no representations or warranties as to the presence or absence of any
Hazardous Materials (hereinafter defined) in, on, under or about the Properties, including but not
limited to asbestos or radon. Assignee specifically waives any private right of action provided
under any Environmental Laws (hereinafter defined) to recover or be reimbursed for any liabilities,
costs, fees, or expenses from Assignor.
(b) Assignee releases Assignor from any and all claims, demands, losses, damages, liabilities,
causes of action, liens, costs and expenses (including, without limitation, attorneys’ fees and
costs to the extent permitted by law) directly or indirectly related to, arising out of, or in any
manner connected with, in whole or in part, the presence of any Hazardous Materials in, on or about
the Properties, the release of Hazardous Materials from the Properties, any violation of any
Environmental Laws or other laws, or any other environmental matter or condition, that is related
to the Properties.
(c) As used herein, the term “Hazardous Materials” shall mean any hazardous or toxic
materials, substances or wastes, such as (a) substances defined as “hazardous substances,”
“hazardous materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980 (“CERCLA”), the Resource Conservation and Recovery
Act of 1976 (“RCRA”), and/or the Hazardous Materials Transportation Act (49 USC Section
1801, et seq.), as any of such acts are amended from time to time; (b) any materials, substances or
wastes which are toxic, ignitable, corrosive or reactive and which are regulated by any local
governmental authority, any agency of the States in which the Properties are located or any agency
of the United States of America; (c) asbestos, petroleum and petroleum based products, urea
formaldehyde foam insulation, polychlorinated biphenyls (PCBs), and freon and other
chlorofluorocarbons; and (d) those substances defined as any of the foregoing in the regulations
adopted and publications promulgated pursuant to each of the aforesaid laws (all of the aforesaid
laws and all other laws, rules and regulations applicable to Hazardous Materials being referred to
herein collectively as the “Environmental Laws”).
The provisions of this Section 4 shall survive the Closing Date and the Closing.
5. Covenants and Other Matters.
(a) Loan Consents. Assignee’s obligation to proceed to the Closing is contingent on
Assignee, at Assignee’s sole cost and expense, obtaining the consent of the holder or servicer for
the senior loan on each of the Properties (each, a “Lender”), in each case not subject to
any conditions, restrictions or payments other than as set forth in the current documentation for
such loans and otherwise in the form reasonably acceptable to Assignee (collectively, the “Loan
Consents”). Assignee, at Assignee’s sole cost and expense, shall promptly request and shall
use commercially reasonable efforts to obtain the Loan Consents as soon as practicable following
the Effective Date. Assignee shall keep Assignor reasonably informed as to the status and timing
of obtaining the Loan Consents and shall provide prior
written notice to Assignor of information and materials that Assignee intends to provide to
any Lender that are outside the scope of materials regularly or otherwise required to be provided
to such Lender related to the Properties, the Venture, the Property Owners or the Intermediaries
pursuant to the loan documentation that is applicable to each of the Properties. Provided that
this Agreement has not otherwise been terminated prior to the Outside Closing Date (as defined
below), if the Loan Consents are not obtained prior to the Outside Closing Date, the Xxxxxxx Money
shall be promptly returned to Assignee, and the parties shall thereafter have no further obligation
to each other under this Agreement except for such obligations as are expressly intended to survive
termination of this Agreement.
(b) Sale of the Properties.
(i) During the pendency of this Agreement, Assignee and Assignor each agrees that it
shall not, nor shall it directly or indirectly cause the Venture, any Intermediary, or any
Property Owner to, solicit offers for the sale of the Properties, or any direct or indirect
interest in any of them, or market the Properties for sale, or any direct or indirect
interest in any of them.
(ii) Without limiting the foregoing, it shall constitute a breach of Assignee’s
obligations which is sufficient to entitle Assignor to be paid the Xxxxxxx Money as
liquidated damages if Assignee during the pendency of this Agreement (x) engages in
material, affirmative, and ongoing activities to solicit offers for the sale of any of the
Properties, or any direct or indirect interest in any of them, (y) engages a broker to
market, sell or solicit offers for sale of the same, or (z) enters into a written agreement
to sell any of the Properties, or any direct or indirect interest in any of them.
(c) Adjustment to Assignment Payment.
(i) Adjustment for Cash Reserve. As of the Effective Date, the Venture is the
holder of reserve account # 4880-2512-2051 containing $425,000 (the “Cash Reserve”).
Pursuant to the Venture Distribution, at Closing any balance in the Cash Reserve (the
actual balance in the Cash Reserve immediately prior to Closing being referred to as the
“Reserve Account Balance”) will be distributed to the ACC Member and Assignor pro
rata (10/90). The Assignment Payment will be decreased by the portion of the Reserve
Account Balance actually distributed to Assignor. The ACC Member and Assignor shall each be
entitled to retain any portion of the Reserve Account Balance distributed to them pursuant
to the Venture Distribution, without restriction.
(ii) University Heights and Reserve Funds. Assignor agrees that up to an
aggregate amount of $385,000 of the Cash Reserve or other funds of the Venture or any of its
subsidiaries may be used by the Venture (or its subsidiaries that directly or indirectly own
the University Heights Property) to fund or satisfy operating shortfalls at the University
Heights Property which occur during the pendency of this Agreement (any such amounts being
the “University Heights Shortfalls”). The term “University Heights
Property” means the property indirectly owned by the Venture and described on
Exhibit A-5 attached hereto (and which is not one of the Properties). If at Closing
any portion of the Cash Reserve or other funds of the Venture or any of its subsidiaries (up
to
the aggregate cap of $385,000) has been used to fund University Heights Shortfalls during
the pendency of this Agreement, then in addition to the adjustment set forth in
subsection (i) above, the Assignment Payment will be further adjusted by decreasing
the Assignment Payment by ninety percent (90%) of the aggregate amount of University Heights
Shortfalls actually funded from such amounts during the pendency of this Agreement, up to a
maximum adjustment of $346,500.
(iii) Capital Funding. If during the pendency of this Agreement (a) Assignor
elects to make any capital contributions to the Venture for any purpose whatsoever,
including without limitation capital expenses or payments under any loan or loans for any of
the properties owned indirectly by the Venture (but expressly excluding capital
contributions that are used specifically to effect a cure of a Material Adverse Change
described in Section 6(d)(v) below), and such capital contribution is approved in writing by
Assignee, or (b) Assignor elects to make any capital contributions to the Venture in
connection with (x) the repayment of the promissory note in the principal amount of
$4,456,000 made by the Edge II Property Owner and secured by the Edge II Property (the
“Edge II Loan”) or (y) except for default interest, penalties or any other amounts
related to the non-payment of the Edge II Loan, any fees or expenses due in connection with
an agreement between the Edge II Property Owner and the lender under the Edge II Loan to
extend the term of the Edge II Loan, then the Assignment Payment will be increased by the
amount of such capital actually contributed by Assignor to the Venture during the pendency
of this Agreement.
6. Closing.
(a) Closing Date and Place. The consummation of the assignment of the Distributed GF
LLC Interests contemplated hereby (the “Closing”) shall take place on the Closing Date by
customary escrow arrangements with Escrow Agent. “Closing Date” shall mean date that is no
later than two (2) business days after (i) all of the Loan Consents shall have been delivered to
Assignee and to Assignor and (ii) the transactions contemplated by the Fund III Assignment
Agreement shall have, or shall concurrently be, consummated in accordance with the terms thereof
and, in any event, immediately following the Venture Distribution; provided, however, that if such
events have not occurred on or before December 1, 2010 (the “Outside Closing Date”), this
Agreement shall terminate and be of no further force and effect as of such date and the Xxxxxxx
Money shall be returned to Assignee.
(b) Assignor’s Closing Deliveries. At the Closing, Assignor shall deliver to Assignee
(i) the Assignment executed on behalf of Assignor and (ii) a Representation Update Certificate in
the form attached hereto as Exhibit C.
(c) Assignee’s Closing Deliveries. At the Closing, Assignee shall deliver to Assignor
(i) the Assignment Payment less the Xxxxxxx Money, (ii) the Assignment executed on behalf of
Assignee and (iii) a Representation Update Certificate in the form attached hereto as Exhibit
D.
(d) Conditions Precedent to the Obligations of Assignee. The obligations of Assignee
to effect the transactions contemplated by this Agreement are subject to the satisfaction or
written waiver by Assignee of the following conditions precedent:
(i) the representations and warranties of Assignor in Section 2 shall have been
accurate, true and correct in all material respects on and as of the Effective Date and
shall also be accurate, true and correct in all material respects on and as of the Closing
Date with the same force and effect as though made on and as of the Closing Date (except to
the extent such representations and warranties expressly relate to an earlier date, in which
case such representations and warranties shall be true and correct in all material respects
on and as of such earlier date); provided that any representation or warranty which by its
terms is qualified by materiality shall be true and correct in all respects;
(ii) Assignor shall have performed or complied in all material respects with all
agreements and covenants required by this Agreement to be performed or complied with by it
under this Agreement;
(iii) the Assignment shall have been duly executed and delivered by Assignor and shall
be effective as of the Closing Date;
(iv) no temporary restraining order, preliminary or permanent injunction or other order
or decree by any court of competent jurisdiction that prevents the consummation of the
transactions contemplated hereby or imposes material conditions with respect thereto shall
have been issued and remain in effect (each party agreeing to use its reasonable commercial
efforts to have any such injunction, order or decree lifted) and no action shall have been
taken, and no statute, rule or regulation shall have been enacted, by any state or federal
governmental entity that would prevent the consummation of the transactions contemplated
hereby or impose material conditions with respect thereto;
(v) between the Effective Date and the Closing Date, there shall not have occurred any
Property Condition Events which remain uncured as of the Closing Date and which (taking into
account any cure or remedy implemented on or before the Closing Date) in the aggregate have
resulted in a Material Adverse Change. The term “Material Adverse Change” shall mean (a)
with respect to any individual Property, a diminution in the value of such Property which is
attributable to Property Condition Events and which is greater than $660,000, and (b) with
respect to the Properties in the aggregate, an aggregate diminution in the aggregate value
of the Properties which is attributable to Property Condition Events and which is greater
than $1,320,000. The term “Property Condition Events” mean any of the following
events or circumstances:
(1) any material casualty at any of the Properties,
(2) any material condemnation at any of the Properties,
(3) any material adverse change in the environmental or physical condition of any of
the Properties,
(4) any material adverse change in the state of title of any of the Properties, or
(5) any actions, suits or proceedings against any Property Owner which, if
determined adversely, would be material and adverse to such Property Owner,
provided that no event or circumstance described in clause (1) through (5) above shall
prevent the condition precedent in this subsection (v) from being satisfied to the
extent any such event or circumstance (x) was caused by the negligence or willful misconduct
of Assignee or any of its affiliates, or (y) constitutes a material violation by Assignee or
any of its affiliates of (A) the Venture Agreement or (B) any of the Property Management
Agreements entered into by each of the Property Owners, as owner thereunder, and College
Park Management TRS, Inc., as property manager thereunder. Notwithstanding anything herein
to the contrary, adverse circumstances, events, or conditions not listed in clauses (1)
through (5) above (including without limitation adverse changes in: general economic
conditions; financial markets; credit markets; regulatory requirements; the geographic
market in which any Property is located; or occupancy of, prevailing rental rates at, or
preleasing velocity at any Property) shall not prevent the condition precedent in this
subsection (v) from being satisfied. Assignee shall promptly give written notice to
Assignor if Assignee learns of any Property Condition Event which could prevent the
condition precedent in this subsection (v) from being satisfied. If any such notice
is given, Assignor may, but shall not be obligated, to postpone the Closing Date for up to
60 days by written notice to Assignee, to allow the Venture to cure or remedy same to the
extent directed by the Assignor, in which event Assignee will cooperate as reasonably
requested by Assignor, at the sole cost of the Venture, to implement Assignor’s direction to
satisfy the condition precedent in this subsection (v); provided, however, that all
costs and expenses specifically associated with such cure or remedy shall be paid by the
Venture utilizing the Venture’s funds or available insurance proceeds, and in no event shall
any such costs or expenses be paid or payable from the Cash Reserve or cash flow or reserves
of the Property Owners or the Intermediaries; and
(vi) no action, suit or proceeding shall be pending or, to Assignor’s knowledge,
threatened before any governmental entity or before any arbitrator wherein an unfavorable
injunction, judgment, order, decree, ruling or charge would (A) prevent consummation of any
of the transactions contemplated by this Agreement, (B) cause any of the transactions
contemplated by this Agreement to be rescinded following consummation, or (C) affect
adversely the right of Assignee to own the Distributed GF LLC Interests (and no such
injunction, judgment, order, decree, ruling or charge shall be in effect).
(e) Conditions Precedent to the Obligations of Assignor. The obligations of Assignee
to effect the transactions contemplated by this Agreement are subject to the satisfaction or
written waiver by Assignor of the following conditions precedent:
(i) the representations and warranties of Assignee in Section 3 shall have been
accurate, true and correct in all material respects on and as of the Effective Date and
shall also be accurate, true and correct in all material respects on and as of the Closing
Date with the same force and effect as though made on and as of the Closing
Date (except to the extent such representations and warranties expressly relate to an
earlier date, in which case such representations and warranties shall be true and correct in
all material respects on and as of such earlier date); provided that any representation or
warranty which by its terms is qualified by materiality shall be true and correct in all
respects;
(ii) Assignee shall have performed or complied in all material respects with all
agreements and covenants required by this Agreement to be performed or complied with by it
under this Agreement;
(iii) the Assignment shall have been duly executed and delivered by Assignee and shall
be effective as of the Closing Date;
(iv) no temporary restraining order, preliminary or permanent injunction or other order
or decree by any court of competent jurisdiction that prevents the consummation of the
transactions contemplated hereby or imposes material conditions with respect thereto shall
have been issued and remain in effect (each party agreeing to use its reasonable commercial
efforts to have any such injunction, order or decree lifted) and no action shall have been
taken, and no statute, rule or regulation shall have been enacted, by any state or federal
governmental entity that would prevent the consummation of the transactions contemplated
hereby or impose material conditions with respect thereto; and
(v) no action, suit or proceeding shall be pending or, to Assignee’s knowledge,
threatened before any governmental entity or before any arbitrator wherein an unfavorable
injunction, judgment, order, decree, ruling or charge would (A) prevent consummation of any
of the transactions contemplated by this Agreement, or (B) cause any of the transactions
contemplated by this Agreement to be rescinded following consummation.
7. Costs, Prorations and Reconciliation. The transaction contemplated by this
Agreement shall be consummated at no cost to Assignor, other than legal fees of DLA Piper LLP (US),
which shall be paid by Assignor. Except for the legal fees of DLA Piper LLP (US), which shall be
paid by Assignor, Assignee shall be solely responsible for, and shall pay when due, all costs and
expenses required in order to consummate the transaction contemplated by this Agreement, including,
without limitation, transfer taxes fees, costs and expenses related to obtaining the Loan Consents,
fees of Escrow Agent and expenses of Assignee’s legal counsel. Except as expressly set forth in
Section 5(c) of this Agreement, Assignee shall have no right to reimbursement by or contribution
from Assignor or any affiliate or parent company of Assignor for any of the costs described in this
Section 7 or for any other costs, fees or expenses that may arise in connection with this
Agreement, whether such reimbursement or contribution may be claimed by Assignee before or after
the Closing Date. The provisions of this Section 7 shall survive the Closing Date and the Closing.
8. No Brokers. Neither party hereto has had any contact or dealing regarding the
Distributed GF LLC Interests, or any communication in connection with the subject matter of this
transaction, through any licensed real estate broker or other person who can claim a right to a
commission or finder’s fee as a procuring cause of the assignment of the Distributed GF LLC
Interests contemplated herein. In the event that any other broker or finder claims a commission
or finder’s fee, the party responsible for the contact or communication on which the broker or
finder makes such claim shall indemnify, save harmless and defend the other party from said claim
and all costs and expenses (including reasonable attorneys’ fees) incurred by the other party in
defending against the same. The provisions of this Section 8 shall survive the Closing Date and
the Closing.
9. Assignment; Binding on Successors and Assigns. Neither Assignor nor Assignee shall
assign this Agreement without the prior written consent of the other party, which consent Assignee
or Assignor, as applicable, may withhold in its sole, absolute and subjective discretion. Any such
attempted assignment without the prior written consent of the other party shall be void. Any
permitted assignments shall not relieve the assigning party from its liability under this
Agreement. Subject to the foregoing, and except as provided to the contrary herein, the terms,
covenants, conditions and warranties contained herein and the powers granted hereby shall inure to
the benefit of and bind all parties hereto and their respective heirs, executors, administrators,
successors and assigns.
10. Attorneys’ Fees. If any legal action or any arbitration or other proceeding is
brought or if an attorney is retained for the enforcement of this Agreement or any portion thereof,
or because of any alleged dispute, breach, default or misrepresentation in connection with any of
the provisions of this Agreement, the prevailing party shall be entitled to recover from the other
reimbursement for the reasonable fees of attorneys and other costs (including court costs and
witness fees) incurred by it, in addition to any other relief to which it may be entitled. The
term “prevailing party” means the party obtaining substantially the relief sought, whether by
compromise, settlement or judgment. The provisions of this Section 10 shall survive the Closing
Date and the Closing.
11. Entire Agreement. This Agreement, together with the Assignment, contains the
entire agreement and understanding of the parties in respect to the subject matter hereof, and the
parties intend for the literal words of this Agreement to govern and for all prior negotiations,
drafts, and other extrinsic communications, whether oral or written, to have no significance or
evidentiary effect. The parties further intend that neither this Agreement nor any of its
provisions may be changed, amended, discharged, waived or otherwise modified orally except only by
an instrument in writing duly executed by the party to be bound thereby. The parties hereto fully
understand and acknowledge the importance of the foregoing sentence and are aware that the law may
permit subsequent oral modification of a contract notwithstanding contract language which requires
that any such modification be in writing; but Assignor and Assignee fully and expressly intend that
the foregoing requirements as to a writing be strictly adhered to and strictly interpreted and
enforced by any court which may be asked to decide the question. Each party hereto acknowledges
that this Agreement accurately reflects the agreements and understandings of the parties hereto
with respect to the subject matter hereof and hereby waive any claim against the other party which
such party may now have or may hereafter acquire to the effect that the actual agreements and
understandings of the parties hereto with respect to the subject matter hereof may not be
accurately set forth in this Agreement.
12. Governing Law. This Agreement shall be governed by the laws of the State of
Delaware.
13. Counterparts. This Agreement may be executed simultaneously in one or more
counterparts, each of which shall be deemed an original but all of which together shall constitute
one and the same instrument.
14. Headings; Construction. The various headings of this Agreement are included for
convenience only and shall not affect the meaning or interpretation of this Agreement or any
provision hereof. When the context and construction so require, all words used in the singular
herein shall be deemed to have been used in the plural and the masculine shall include the feminine
and the neuter and vice versa. The use in this Agreement of the term “including” and related terms
such as “include” shall in all cases mean “without limitation.”
15. Partial Validity; Severability. If any term or provision of this Agreement or the
application thereof to any person or circumstance shall, to any extent, be held invalid or
unenforceable, the remainder of this Agreement, or the application of such term or provision to
persons or circumstances other than those as to which it is held invalid or unenforceable, shall
not be affected thereby, and each such term and provision of this Agreement shall be valid and be
enforced to the fullest extent permitted by law.
16. No Third Party Beneficiaries. This Agreement is for the sole and exclusive
benefit of the parties hereto and their respective permitted successors and assigns, and no third
party is intended to, or shall have, any rights hereunder.
17. Joint Product of Parties. This Agreement is the result of arms-length
negotiations between Assignor and Assignee and their respective attorneys. Accordingly, neither
party shall be deemed to be the author of this Agreement and this Agreement shall not be construed
against either party.
18. No Personal Liability. Notwithstanding anything stated to the contrary herein,
under no circumstances shall Assignor’s or Assignee’s constituent partners or members (whether
direct or indirect), Assignor’s or Assignee’s asset managers, nor Assignor’s or Assignee’s
employees or agents have any personal liability hereunder.
19. Time of the Essence Time is of the essence of this Agreement and all covenants
and deadlines hereunder.
20. Venture Distribution. When all conditions precedent to the obligations of
Assignee and Assignor to proceed with the Closing have been satisfied (except for payment of the
Assignment Payment and such other conditions precedent which can only be satisfied after the
Venture Distribution has occurred), the Venture shall make the following distributions
(collectively, the “Venture Distribution”), with Assignor’s and Assignee’s respective
obligation to proceed to Closing being contingent on the Venture causing the Venture Distribution
to have occurred in accordance with the provisions of this Section 20:
(a) the Venture shall cause 90% of the LLC Interests to be distributed to the Assignor by
executing and delivering as assignment agreement in favor of Assignor, which is in
substantially in form attached hereto as Exhibit B, revised mutatis mutandis to apply to the
assignment of 90% of the LLC Interests from the Venture to the Assignor;
(b) the Venture shall cause 10% of the LLC Interests to be distributed to the ACC Member by
executing and delivering as assignment agreement in favor of the ACC Member, which is in
substantially in form attached hereto as Exhibit B, revised mutatis mutandis to apply to the
assignment of 10% of the LLC Interests from the Venture to the ACC Member;
(c) the Venture shall cause 90% of the Reserve Account Balance to be distributed to the
Assignor pursuant to such written instructions as Assignor may hereafter provide; and
(d) the Venture shall cause 10% of the Reserve Account Balance to be distributed to the ACC
Member pursuant to such written instructions as Assignee may hereafter provide.
The parties hereto agree and acknowledge that as a result of the Venture Distribution, as of the
Closing, for all purposes under the Venture Agreement, each party will be deemed to have received
cash distributions equal to (i) in the case of Assignor, an amount equal to the Assignment Payment
plus any cash distributions made to Assignor pursuant to Section 20(c) above (collectively, the
“Deemed Distribution”), and (ii) in the case of the ACC Member, an amount equal to
one-ninth of the Deemed Distribution. The Venture has executed and joined in this Agreement and by
so doing covenants and agrees to make the Venture Distribution in accordance with the foregoing
provisions.
21. Notices. Any and all notices, consents, approvals and other communications
required or permitted under this Agreement shall be deemed adequately given only if in writing
delivered either in hand, by mail or by expedited commercial carrier which provides evidence of
delivery or refusal, addressed to the recipient, postage prepaid and registered with return receipt
requested, if by mail, or with all freight charges prepaid, if by commercial carrier, or if given
by fax sent to the number indicated below. All notices and other communications shall be deemed to
have been given for all purposes of this Agreement upon the date of receipt or refusal. All such
notices and other communications shall be addressed to the parties at their respective addresses
set forth below or at such other addresses as any of them may designate by notice to the other
party.
Notices to Assignor shall
be addressed to:
|
XX XX/GMH II LLC Fidelity Real Estate Group Pyramis Global Advisors |
|
00 Xxxxxxxxxx Xx. X00X | ||
Xxxxxx, Xxxxxxxxxxxxx 00000 | ||
Attn: Xxxxxx Xxxxx | ||
Fax: (000) 000-0000 |
and a copy to:
|
DLA Piper US LLP | |
00 Xxxx Xxxxxx, 00xx Xxxxx | ||
Xxxxxx, Xxxxxxxxxxxxx 00000-0000 | ||
Attn: Xxxx Xxxxxxxx, Esq. | ||
Fax: (000) 000-0000 | ||
Notices to Assignee
shall be addressed
to:
|
American Campus Communities Operating Partnership LP c/o American Campus Communities, Inc. 000 Xxx Xxxxx Xxxxxxx, Xxxxx 000 Xxxxxx, Xxxxx 00000 Attn: Xxxxxxx X. Xxxxxx Fax: (000) 000-0000 |
|
and a copy to:
|
Xxxxx Lord Xxxxxxx & Xxxxxxx LLP | |
0000 Xxxx Xxxxxx, Xxxxx 0000 | ||
Xxxxxx, Xxxxx 00000 | ||
Attn: Xxxx Xxxxxxxxx, Esq. | ||
Fax: (000) 000-0000 |
22. Escrow Provisions.
(a) Escrow Agent shall not be liable for any error of judgment or for any act done or step
taken or omitted by it in good faith, or for any mistake of fact or law, or for anything which it
may do or refrain from doing in connection herewith, except its own willful misconduct or gross
negligence, and Escrow Agent shall have no duties to anyone except those signing this Agreement.
(b) Escrow Agent may seek advice from legal counsel in the event of any dispute or questions
as to the construction of the foregoing instructions, or Escrow Agent’s duties hereunder, and
Escrow Agent shall incur no liability and shall be fully protected in acting in accordance with the
opinion and instructions of such counsel.
(c) Assignor and Assignee hereby jointly and severally agree to defend, indemnify and hold
harmless Escrow Agent from and against any and all claims, demands, causes of action, losses,
liabilities, damages, costs and expenses, including, without limitation, court costs, legal
expenses and attorneys’ fees, incurred or suffered by Escrow Agent in connection with the
performance of its obligations under this Agreement or otherwise arising, directly or indirectly,
by reason of this Agreement, except to the extent any such claims, demands, causes of actions,
losses, liabilities, damages, costs or expenses are incurred or suffered by Escrow Agent directly
as a result of its own gross negligence or willful misconduct.
The obligations of indemnity shall survive the expiration or any termination of this Agreement
and shall be performable at the office of Escrow Agent in Xxxxxx, Xxxxxx County, Texas.
[Remainder of page intentionally left blank.]
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as a
sealed instrument as of the date first above written.
ASSIGNOR: | ||||||||
XX XX/GMH II LLC, a Massachusetts limited liability company |
||||||||
By: | Fidelity Real Estate Growth Fund II, L.P., a Delaware limited partnership, its sole member |
|||||||
By: | Pyramis Global Advisors Trust Company, as Investment Manager and not individually |
|||||||
By: | ||||||||
Title: |
ASSIGNEE: | ||||||||||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP, Maryland limited partnership |
||||||||||
By: | American Campus Communities Holdings LLC, its general partner |
|||||||||
By: | American Campus Communities, Inc., its sole member | |||||||||
By: | ||||||||||
Name: | ||||||||||
Title: |
The Venture has executed below to acknowledge and agree to the provisions of the Agreement
which are applicable to the Venture.
GMH/XX XX STUDENT HOUSING ASSOCIATES II LLC, a Delaware limited liability company |
||||||
By: | College Park Investments LLC, a Delaware limited liability company, its Manager |
|||||
By: | ||||||
Title: |
The ACC Member has executed below to acknowledge and agree to the provisions of the Agreement
which are applicable to the ACC Member.
COLLEGE PARK INVESTMENTS, LLC, a Delaware limited liability company |
||||
By: | ||||
Name: | ||||
Title: | ||||
This Agreement is executed by Escrow Agent to acknowledge its duties pursuant under this
Agreement.
HERITAGE TITLE COMPANY OF AUSTIN, INC. |
||||
By: | ||||
Name: | ||||
Title: | ||||
Exhibit A-1
Legal Description of the Uptown Property
Exhibit A
SITUATED in the City of Xxxxxx, Xxxxxx County, Texas, and being a tract of land in the
XXXXXX XXXXXXXXX SURVEY, Abstract No. 996, and being a portion of that certain tract
conveyed to Rayzor Investments, Ltd., by deed recorded in Volume
1796, Page 601, of
the Xxxxxx County Deed Records as Section 6, Tract One, and said portion being more
fully described as follows:
BEGINNING at a ½" iron rod found in place for an “L” corner in said Rayzor
Investments tract and for the southwest corner of that certain tract conveyed to
Xxxxxx Xxxxx by deed recorded in Volume 3191, Page 980, of said Deed Records;
THENCE South 88 degrees, 46 minutes, 50 seconds East (base bearing from deed) with
said most southerly north line of Rayzor Investments tract and the south line of said
Xxxxx tract, 257.62 feet to the northwest corner of Xxx 0, Xxxxx X, Xxxxxxxxxx
Xxxxxxxxx, as shown on plat thereof recorded in Cabinet S, Slide 275, of the Xxxxxx
County Plat Records, from which point a ½" iron rod found in place bears
South 2 degrees West, 0.07 foot;
THENCE
South 0 degree, 36 minutes, 35 seconds West, crossing said Rayzor Investments
tract with the west line of said Xxx 0, Xxxxx X, Xxxxxxxxxx Xxxxxxxxx, 656.57 feet to
the southwest corner of said Lot 1 in the most northerly south line of said Rayzor
Investments tract and the north line of that certain tract conveyed to Wolf Cub
Properties Limited Partnership by deed filed under Clerk’s Filing No. 97-046080 in
said Xxxxxx County Deed Records, from which point a ½" iron rod found in
place bears South 2 degrees West, 0.14 foot;
THENCE North 88 degrees, 49minutes, 05 seconds West with said most northerly
south line of Rayzor Investments tract and north line of Wolf Cub tract 370.72 feet to
a ½" iron rod found in place in the northeasterly line of that certain tract
conveyed to the State of Texas for the Interstate Highway 35W connecting ramp by deed
recorded in Volume 542, Page 195, of said Deed Records for the most westerly southwest
corner of said Rayzor Investments tract and the northwest corner or said Wolf Cub
tract;
THENCE North 35 degrees, 04 minutes, 05 seconds West with said common line between
I-35W and Rayzor Investments tract, at 744.0 feet passing a 60d nail found in place
for the most southerly corner of that certain 50 foot wide ingress-egress easement
described in deed recorded in Volume 512, Page 647, of said Deed Records, and
continuing in all 793.70 feet to a ½" iron rod found in place for the most
westerly northwest corner of said Rayzor Investments tract and the south corner of Xxx
0, Xxxxx 0, Xxxxxx Xxxxxx Xxxx, as shown on plat thereof recorded in
Cabinet D, Slide
341, of said Plat Records;
THENCE North 54 degrees, 37 minutes East with common lines between said Rayzor
Investments tract, said Xxxxxx Office Park and said 50 foot easement, 93.84 feet to a
½" iron rod found in place for an angle point in said common line;
THENCE continuing with said common line between Rayzor Investments tract, said Xxxxxx
Office Park, and said 50 foot easement, North 1 degrees, 19 minutes, 05 seconds East,
108.04 feet to a “Xxxxx Xxxxxx RPLS I640” capped 5/8" iron rod set for the most
northerly northwest corner of said Rayzor Investments tract and the northeast corner of
said Xxxxxx Office Park in the south line of West Oak Street (100 foot wide
right-of-way);
THENCE South 88 degrees, 37 minutes, 45 seconds East with the most northerly north
line of said Rayzor Investments tract and said south line of West Oak Street, at 50.0
feet passing a ½" iron rod found in place for the northeast corner of said
50 foot ingress-egress easement and continuing in all 498.79 feet to a ½"
iron rod found in place for the most northerly northeast corner of Rayzor
Investments tract and the Northwest corner of said Xxxxxx Xxxxx tract;
THENCE South 0 degree, 14 minutes, 30 seconds West with the most northerly east line
of said Rayzor Investments tract and the west line of said Xxxxx tract, 145.01 feet to
the PLACE OF BEGINNING, and containing 10.9269 acres (475,974 square feet).
Now being know as Xxx 0 Xxxxx 0 xx Xxxx Xxx Xxxxxx Apartments, an Addition to the City
of Xxxxxx, Xxxxxx County, Texas, according to the Plat thereof recorded in Xxxxxxx X,
Xxxxx 000, Xxx Xxxxxxx, Xxxxxx Xxxxxx, Xxxxx.
TOGETHER WITH:
A thirty (30’) foot by forty (40’) foot private access easement for the purpose of
cross lot access on Xxx 0, Xxxxx X, xx Xxxxxxxxxx Xxxxxxxxx, an addition to
the City of Denton, Texas, according to the Plat thereof recorded in Cabinet A, page
275, Map Records, Xxxxxx County, Texas.
Exhibit A-2
Legal Description of the University Walk Property
Lying in Crab Orchard Township, Mecklenburg County
Commencing at N.C.G.S. Monument “Southern” with grid coordinates of N 569469.8207 E
1485220.3342, thence N 78° 58'32" E 1679.43 feet to the point of
beginning, said said point being a nail set in the centerline of Xxxxxx Xxx Drive (60°
public R/W), said corner also being a common corner at Lot 9 of the Xxx. Xxxxxxxx X.
Xxxxxx property recorded in Map Book 8, Page 205 and the property now or formerly of
City of Charlotte Housing Authority (D.B. 4773-627); thence with the property line
between lot 9 of the Xxx. Xxxxxxxx X. Xxxxxx property recorded in Map Book 8, Page 205
and the property now or formerly of City of Charlotte Housing Authority (D.B.
4773-627) N 47° 31'54"W 347.03 feet to a pipe; said corner also being a
common corner of Lot 9 of the Xxx. Xxxxxxxx X. Xxxxxx property recorded in Map Book 8,
Page 205 and Lot 10 of Ridgewood Acres recorded in Map Book 7, Page 527; thence with
the property line between Lots 9 of the Xxx. Xxxxxxxx X. Xxxxxx property (Map Book 8,
Page 205) and Lot 10 Ridgewood Acres (Map Book 7, Page 527) N 46° 15' 23"
E 100.17 feet to a pipe, said point being a common corner of lots 8 and 9 of The Xxx.
Xxxxxxxx X. Xxxxxx property (Map Book 8, Page 205) and lots 9 and 10 Ridgewood Acres
(Map Book 7, Page 527); thence with the property line between lots 9 and Lot 10
Ridgewood Acres recorded in Map Book 7, Page 527, N 40° 00' 21" W 284.96
feet to a pipe in a rod on the southern right-of-way of N.C. Hwy. 49 — University City
Blvd. (variable public R/W); thence with the southern right-of-way of N.C. Hwy. 49 -
University City Blvd. (variable public R/W), N 50° 03' 04" E 798.05 feet to an iron
pin set on the southern right-of-way of N.C. Xxx. 00- Xxxxxxxxxx Xxxx Xxxx. (variable
public R/W); thence with the property line between Lots 1 and 2 of Ridgewood Acres,
recorded in Map Book 7, Page 527, S 40° 25' 20" E 212.17 feet to a pipe, said point
being a common corner of Lots 1 and 2 of Ridgewood Acres recorded in Map Book 7, Page
527 and Lot 1 of the Xxx. Xxxxxxxx X. Xxxxxx property recorded in Map Book 8, Page
205; thence with the southern property Line of Lot 1 Ridgewood Acres recorded in Map
Book 7, Page 527, N 46° 06' 08" E 179.25 feet to a pipe found on the western
right-of-way of X. Xxxxxxx Creek Church Road (variable public R/W); thence with the
western right-of-way of X. Xxxxxxx Creek Church Road S 39° 28' 17" E 212.04 feet to a
right-of-way disk on the western right-of-way of X. Xxxxxxx Creek Church Road
(variable public R/W); thence S 06° 43' 51" W 58.99 feet to a right-of-way disk on the
northern right-of-way of Xxxxxx Xxx Drive (60° public R/W); thence with the northern
right-of-way of Xxxxxx Xxx Drive S 42° 23' 02" W 130.98 feet to an iron pin
set on the northern right-of-way of Xxxxxx Xxx Drive (60° public R/W); thence S 47°
36' 58" E 30.00 feet to a nail set in the centerline of Xxxxxx Xxx Drive (60° public
R/W); thence with the centerline of Xxxxxx Xxx Drive (60° public R/W) S 42°
23' 02Ř W 869.82 feet to the point and place of beginning and containing 11.803 Acres
(514,142 Sq. Ft.).
Exhibit A-3
Legal Description of the Edge I Property
And the said property is more particularly described in accordance with that
certain ALTA/ACSM Land Title Survey, for Xxxxxx Xxxx Xxxxx 0, prepared by Xxx Xxxxx &
Associates P.A., dated March 21, 2007, last revised , File Name 4180ASB, as follows,
to wit:
Lying and being located in the City of Charlotte, County of Mecklenburg, State of North
Carolina and being more particularly described as follows:
To locate the beginning point commence at an existing iron pin marking the intersection
of the westerly margin of the right of way of Mallard Creek Church Road with the
southerly property line of the property described as Tract Six Parcel
Three as conveyed
to the State of North Carolina by Deed recorded in Book 4521 at Page 695 in the
Mecklenburg County Public Registry; and proceed thence with the southerly property line
of the property conveyed to State of North Carolina by the aforesaid deed S 47-15-19 W
829.15 feet to an existing iron pin located in a property line of the property of the
State of North Carolina; thence with such property line S 63-56-05 E 69.73 feet to the
Beginning, point; thence from said beginning point so established and leaving said
property line S 85-53-46 E 53.55 feet to a point; thence S 23-50-37 E 195.82 feet to a
point; thence S 83-54-20 E 140.93 feet to a point; thence N 06-05-40 W 72.03 feet to a
point; thence N 84-54-20 E 308.64 feet to a point located in the westerly margin of the
right of way of Mallard Creek Church Road; thence with the westerly margin of right of
way of Mallard Creek Church Road three (3) calls and distances as follows: 1) in a
southerly direction with the arc of a circular curve to the left having a radius of
1923.00 feet an are distance of 3.87 feet (having a chord bearing and distance
of S 06-02-05 E 3.87 feet) to a point; 2) S 06-05-35 E 201.17 feet to a point; 3) in a
southerly direction with the arc of a circular curve to the left having a radius of
1750.51 feet an arc distance of 190.66 feet (having a chord bearing and distance of S
09-12-48 E 190.57 feet) to an existing iron pin marking the intersection of the
westerly margin of the right of way of Mallard Creek Church Road with the northerly
property line of the property conveyed to X.X. Xxxx by deed recorded in Book 1611 at
Page 202 in the Mecklenburg County Public Registry; thence with the northerly property
line of the property conveyed to X.X. Xxxx by the aforesaid deed and by deed recorded
in Book 1611 at page 202 in the Mecklenburg County Public Registry and passing an
existing iron pin on line at 84.69 feet S 54-16-42 W 289.09 feet to an existing
iron pin located in the property line of the property of the State of North Carolina;
thence with the property line of the property of the State of North Carolina five (5)
calls and distances as follows: 1) N 76-48-58 W 96.19 feet to an existing iron pin 2) S
25-24-30 W 52.09 feet to an existing iron pin 3) N 60-57-00 W 765.93 feet to an
existing iron pin 4) N 47-15-19 E 418.28 feet to an existing iron pin and 5) S
85-55-12 E 89.15 feet to the Beginning Point; and being identified as Phase 1
containing 9.10 acres, all as shown on survey prepared by Xxx Xxxxx & Associates, P.A.
dated April 7, 2005 (revised on June 7,2005) reference to which survey is hereby made
for a more particular description.
TOGETHER
WITH all rights, title and interest in and to the area located between the
centerline of the right of way of Mallard Creek Church Road and the easterly property
line of the 9.10 acre parcel of land hereinabove described.
ALSO TOGETHER WITH all right, title and interest in and to that certain Declaration of
Easements Agreement recorded in Book 9407, Page 337, Mecklenburg County Registry.
AND BEING THE SAME PROPERTY BEING DESCRIBED AS FOLLOWS:
Lying and being located in the City of Charlotte, County of Mecklenburg, State of North
Carolina and being more
particularly described as follows:
To locate the Beginning point commence at an existing iron pin marking the intersection
of the westerly margin of the right of way of Mallard Creek Church Road with the
southerly property line of the property described as Tract Six Parcel Three as conveyed
to the State of North Carolina by Deed recorded in Book 4521 at Page 695 in the
Mecklenburg County Public Registry; and proceed thence with the southerly property line
of the property conveyed to State of North Carolina by the aforesaid deed S. 47-15-19
W. 829. 15 feet to an existing iron pin located in a property line of the property of
the State of North Carolina; thence with such property line S.
63-56-05 E. 69.73 feet to the Beginning point; thence from said Beginning Point so established and leaving
said property line S. 85-53-46 E. 53.55 feet to a point; thence S. 23-50-37 E.
195.82 feet to a point; thence S. 83-54-20 E. 140.93 feet to a point;
thence N.06-04-10 W. 72.03 feet to a point; thence N. 83-54-20 E. 328. 64 feet to a point
located in the westerly margin of the right of way of Mallard Creek Church Road; thence
with the westerly margin of right of way of
Mallard
Creek Church Road three (3) calls and distances as follows: (1) in a
southerly direction with the arc of a circular curve
to the left
having a radius of 1903.02 feet an arc distance of 3.87 feet (having a chord bearing
and distance of S. 06-02-06 E. 3.87 feet) to a point; (2) S. 06-05-35 E. 201.18 feet
to a point and (3) in a southerly direction with the arc of a circular curve to the
left having a radius of 1730.52 feet an arc distance of 179.83 feet (having a chord
bearing and distance of S. 09-04-13 E. 179.74 feet) to an existing iron pin marking
the Intersection of the westerly margin of the right of way of
Mallard Creck Church
Road With the northerly property line of the property conveyed to X.X. Xxxx by deed
recorded in Book 1611 at page 203 in the Mecklenburg County Public Registry; thence
with the northerly property line of the property conveyed to X.X. Xxxx by the
aforesaid deed and by deed recorded in Book 1611 at page 202 in the Mecklenburg
County Public Registry and passing an existing iron pin on line at 106.51 feet, S.
54-16-42 W. 310.91 feet to an existing iron pin located in the property line of the
property of the State of North Carolina; thence with the property line of the
property of the State of North Carolina, five (5) calls and distances as follows:
(1) N. 76-48-58 W. 96.19 feet to an existing iron pin (2) S.25-24-30 W. 52.09 feet to
an existing iron pin (3) N. 60-57-00 W. 765.93 feet to an existing iron pin (4) N.
47-15-19 E. 418.28 feet to an existing iron pin and (5) S.85-55-12 E, 89.15 feet to
the Beginning point; and being identified as Phase I, containing 9.283 acres.
TOGETHER WITH AND SUBJECT TO all right, title, interest and obligations under that
certain Declaration of Easements Agreement, dated December 11, 1997, by and between
Campus Edge Apartments Limited Partnership and Campus Edge Apartments II Limited
Partnership duly recorded in the Mecklenburg County Public Registry in Book 9407 at
Page 337.
Exhibit A-4
Legal Description of the Edge II Property
Lying and
being located in the City of Charlotte, County of Mecklenburg, State of North
Carolina and being more particularly described as follows:
BEGINNING at an existing iron pin marking the intersection of the westerly margin of the right of
way of Mallard Creek Church Road with the southerly property line of the property described as
Tract Six Parcel Three as conveyed to the State of North Carolina by Deed recorded in Book 4521,
page 695 in the Mecklenburg County Public Registry; thence from said beginning point so established
and with the southerly property line of the property conveyed to State of North Carolina by the
aforesaid deed S. 47-15-19 W. 829.15 feet to an existing iron pin located in a property Line of the
property of the State of North Carolina; thence with such property
line S. 63-56-05 E. 69.73 feet
to a point; thence S. 85-53-46 E. 53.55 feet to a point; thence S. 23-50-37 E. 195.82 feet to a
point; thence N. 83-54-20 E. 140.93 feet to a point; thence N. 06-05-40 W. 72.03 feet to a point;
thence N. 83-64-20 E. 328.54 feet to a point located in the westerly margin of the right of way of
Mallard Creek Church Road; thence with the westerly margin of right of way of Mallard Creek Church
Road two (2) calls and distances as follows: (1) in a northerly direction with the arc or a
circular curve to the right having a radius of 1903.02 feet an arc distance of 337.63 feet (having
a chord bearing and distance of N. 00-53-39 E. 337.19 feet) to a point and (2) in a northerly
direction with the arc of a circular curve to the left having a
radius of 609.38 feet an arc
distance of 322.38 feet (having a chord bearing and distance of N.
07-13-18 W. 320.25 feet) to the
beginning point.
TOGETHER WITH all right, title and interest in and to the area located between the center line of
the right of way of Mallard Creek Church Road and the easterly
properly line of the 6.10 acre
parcel of land hereinabove described.
ALSO TOGETHER WITH all right, title and interest in and to that certain Declaration of Easements
Agreement recorded in Book 9407, page 337, Mecklenburg County Registry.
Exhibit A-5
Legal Description of the University Heights Property
SITUATED in the Ninth (9th) Civil District of Xxxx County, Tennessee, and within the 26th Xxxx
of the City of Knoxville, Tennessee, and being all of the property shown on Tax Map 109-B, Group D,
Parcels 1, including an unnamed alley, and Xxx 00,00, 00, 00, 00, 00, 00, 00, 00 and 24 of the Xxxx
Xxxxxx’x Addition to South Knoxville, Tennessee, a portion of North Fort Road, a portion of Fort
Hill Road, and a portion of Xxxx Avenue, also designated as Final Plat of One Lot Subdivision for
SUH KNOXVILLE, L.L.C., on plat of record in Plat Cabinet P, Slide 195-A, in the Register’s Office
for Xxxx County, Tennessee, and being more particularly bounded and described as follows:
BEGINNING at an iron rod found at the intersection of the east right-of-way of Fort Hill Road and
the north right-of-way of Crescent Avenue. Thence from said POINT OF BEGINNING, North 59 deg. 46
min. 31 sec. West 148.56 feet crossing the Fort Hill Road right-of-way at its westernmost closure to
an iron rod found in the north right-of-way of Fort Hill Road; Thence with the north right-of-way
of Fort Hill Road, South 25 deg. 10 min. 44 sec. West 35.22 feet to an iron rod found; Thence North
61 deg. 55 min. 50 sec. West 13.24 feet to an iron rod found in the line of Xxxxxx X. Xxxx; Thence
with Xxxx The following eleven (11) calls: North 44 deg. 01 min. 06 sec. West, 50.00 feet to an
iron rod found; North 08 deg. 01 min. 08 sec. West 25.03 feet to an iron rod found; North 11 deg.
38 min. 49 sec. East 49.97 feet to an iron rod found; North 17 deg. 04 min. 13 sec. East 50.02 feet
to an iron rod found; North 26 deg. 35 min. 57 sec. East 50.03 feet to an iron rod found; North 38
deg. 58 min. 19 sec. East 99.98 feet to an iron rod found; North 24 deg. 37 min. 20 sec. East 89.64
feet to an iron rod found; North 26 deg. 53 min. 15 sec. East 100.00 feet to an iron rod found;
North 34 deg. 14 min. 20 sec. East 25.00 feet to an iron rod found; North 34 deg. 14 min. 29 sec.
East 118.38 feet to an iron rod found; and, North 25 deg. 45 min. 52 sec. West 142.75 feet to an
iron pin found. Thence with the line of Xxxxx Xxx Xxxxx, North 30 deg. 49 min. 53 sec. West 225.05
feet to an iron rod found in the south right-of-way of Xxxxxxx Avenue; Thence with the south
right-of-way of Xxxxxxx Avenue, North 54 deg. 57 min. 21 sec. East 509.71 feet to an iron rod
found; Thence North 47 deg. 59 min. 21 sec. East 19.50 feet to an iron rod found; Thence North 55
deg. 56 min. 16 sec. East 37.88 feet to an iron rod found; Thence North 30 deg. 58 min. 59 sec.
West 32.45 feet to an iron rod found; Thence North 57 deg. 48 min. 46 sec. East 394.89 feet to an
iron rod found; Thence 49.73 feet along a curve to the right and having radius of 25.00 feet and a
chord bearing of South 65 deg. 08 min. 22 sec. East and a chord distance of 41.93 feet to an iron
rod found; Thence South 08 deg. 03 min. 02 sec. East 89.61 feet to an iron rod found; Thence North
81 deg. 56 min. 57 sec. East 40.00 feet to an iron rod found; Thence South 08 deg. 03 min. 02 sec.
East 80.55 feet to an iron rod found, common corner to Fort Hill Baptist Church; Thence with the
line of Fort Hill Baptist Church, North 76 deg. 39 min. 58 sec. East 328.00 feet to an iron rod
found; Thence North 1 6 deg. 16 min. 02 sec. West 80.20 feet to an iron rod found; Thence North 76
deg. 43 min. 58 sec. East 249.89 feet to an iron rod found in the west right-of-way of Xxxxxx
Avenue; Thence with the west right-of-way of Xxxxxx Avenue, South 16 deg. 20 min. 05 sec. East
363.71 feet to an iron rod found, common corner to Xxxxxxx X. Xxxx, Thence with Xxxx, South 78 deg.
12 min. 20 sec. West 87.72 feet to an iron rod found; Thence continuing with Xxxx South 07 deg. 09
min. 34 sec. East 106.62 feet to an iron rod found; Thence with the north line of Xxxxxx X. Xxxxxx,
South 74 deg. 43 min. 40 sec. West 59.18 feet to an iron rod found; Thence with the west line of
Pickle, South 04 deg. 20 min. 38 sec. East 139.05 feet to an iron rod found; Thence with the north
line of Xxxxxx X. Xxxxxxxxx, South 87 deg. 26 min. 33 sec. West 62.91 feet to an iron rod found;
Thence with the west line of Xxxxxx X. Xxxxxxxxx, South 40 deg. 59 min. 54 sec. West 124.16 feet to
an iron rod found, common corner with Xxxxx Xxxxx; Thence with Xxxxx South 15 deg. 38 min. 34 sec.
West 33.09 feet to an iron rod found; Thence with
Xxxxx South 14 deg. 49 min. 54 sec. West 120.67 feet to an iron rod found; Thence with Xxxxx
South 08 deg. 05 min. 12 sec. West 260.03 feet to an iron rod found, passing an iron rod found at
237.02 feet; Thence with General X. Xxxx, North 71 deg. 38 min. 01 sec. West 160.50 feet to an iron
rod found; Thence with Xxxx South 09 deg. 07 min. 15 sec. West 80.98 feet to an iron rod found;
Thence with Xxxx North 78 deg. 24 min. 43 sec. West 49.35 feet to an iron rod found in the line of
Xxxx X. Xxxxxxxxxxx; Thence with Xxxx X. Xxxxxxxxxxx the following three calls: North 09 deg. 10
min. 08 sec. East 86.95 feet to an iron rod found; North 76 deg. 07 min. 46 sec. West 182.80 feet
to an iron rod found; and South 10 deg. 38 min. 50 sec. East 61.82 feet to a iron rod found, corner
to Xxxx X. Xxxxxxxxxxx, Thence with Xxxx X. Xxxxxxxxxxx, the following two calls: South 72 deg. 33
min. 40 sec. West 99.53 feet to an iron rod found and South 11 deg. 55 min. 44 sec. East 112.31
feet to an iron rod found in the north right-of-way of Crescent Avenue; Thence with the north
right-of-way of Crescent Avenue the following two calls: South 76 deg. 07 min. 35 sec. West 226.67
feet to an iron rod found; thence with a curve to the left having a radius of 734.36 feet, arc
length of 480.73 feet and chord bearing and distance of South 57 deg. 22 min. 51 sec. West 472.19
feet to an iron rod found; Thence 35.59 feet along a curve to the right formed by the intersection
of the north right-of-way of Crescent Avenue and the east right-of-way of Fort Hill Road, and
having a radius of 25.00 feet and a chord bearing of South 79 deg. 22 min. 42 sec. West and chord
distance of 32.67 feet to the POINT OF BEGINNING, as shown on the survey prepared by
Barge, Xxxxxxxx, Xxxxxx & Xxxxxx, Inc., dated March 26, 2004, as last revised July 15, 2004, bearing
File No. 24053-03
BEING THE SAME property conveyed to Knotty Pines Associates, LLC, a Delaware limited liability
company, by Warranty Deed dated July 23, 2004, from SUH Knoxville, L.L.C., a Delaware limited
liability company, filed for record as instrument number 200408090012048, in the Xxxx County
Register of Deeds.
Exhibit B
FORM OF ASSIGNMENT OF LLC INTERESTS
from
XX XX/GMH II LLC
to
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, LP
from
XX XX/GMH II LLC
to
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, LP
This ASSIGNMENT OF LLC INTERESTS (this “Assignment”) is executed and delivered as of
the day of ___, 2010 (the “Closing Date”), by XX XX/GMH II LLC, a Massachusetts
limited liability company (“Assignor”), and American Campus Communities Operating
Partnership, LP, a Maryland limited partnership (“Assignee”).
BACKGROUND
H. Assignor and Assignee are parties to the Agreement for Assignment of LLC Interests, dated
as of June 1, 2010 (the “Agreement”), pursuant to which Assignor has agreed to transfer to
Assignee, and Assignee has agreed to purchase from Assignor, the LLC Interests (as defined below).
Capitalized terms used in this Assignment without definition shall have the meaning given to them
in the Agreement.
I. For and in consideration of the payment by Assignee to Assignor of the Assignment Payment,
Assignor desires to assign to Assignee, and Assignee desires to accept from Assignor, all of
Assignor’s right, title and interest in and to the Intermediaries, on and subject to the terms and
conditions set forth below.
AGREEMENTS
NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein and in
the Agreement, and for other good and valuable consideration, the receipt, adequacy and sufficiency
of which are hereby acknowledged, Assignor and Assignee agree as follows:
1. Assignment. Assignor hereby acknowledges receipt of the Assignment Payment.
Assignor hereby assigns, delivers, transfers and sets over to Assignee all of Assignor’s right,
title and interests in the 90% ownership interest in the Intermediaries and all of its right, title
and interests in any distributions, assets, profits and losses relating thereto and all voting,
management and other economic and non-economic rights otherwise accruing to with respect to such
90% membership interest in each of the Intermediaries (collectively, the “LLC Interests”).
2. Acceptance of Assignment. Assignee hereby accepts the assignment of the LLC
Interests. Effective immediately upon such assignment, Assignee has amended and restated the
applicable limited liability company agreements to provide, among other things, that Assignee is
the sole member of the applicable Intermediary.
3. Withdrawals of Assignor as Member. Assignor hereby withdraws as a member of each
of the Intermediaries and further waives, releases and resigns from any and all rights to
control or act on behalf of each of the Intermediaries and/or each of the Property Owners, it
being understood that any and all such rights shall be vested in Assignee.
4. Waiver. In furtherance of the assignment contemplated hereby, subject to the terms
hereof, Assignor irrevocably and unconditionally waives and releases any and all rights and claims
to any and all capital, profits, property, assets, participation rights, sharing rights, dividends,
distributions, control rights, voting rights, or any other rights, whether or not similar, in, and
to the LLC Interests, the Intermediaries, the Property Owners and/or the Properties accruing from
and after the date hereof. Notwithstanding the foregoing, by accepting this assignment, Assignee
covenants and agrees to cooperate and provide and make available to Assignor and its
representatives all reports, tax returns, workpapers and the like reasonably requested from time to
time by Assignor and related to the period of Assignor’s involvement in Intermediaries, which
obligation shall survive the Closing Date and the Closing for a period of three (3) years
thereafter.
5. As-Is Transaction, Assignee Acknowledgments and Agreements. Assignee hereby
acknowledges and agrees as follows:
(a) Except as otherwise set forth in the Agreement or this Assignment, Assignee is acquiring
the LLC Interests “AS IS, WHERE IS” AND “WITH ALL FAULTS, LIABILITIES, AND DEFECTS, LATENT OR
OTHERWISE, KNOWN OR UNKNOWN,” in its present state and condition as of the Closing Date, with no
rights of recourse against Assignor (or any related or affiliated party) for same, except as
otherwise expressly set forth in the Agreement or this Assignment. Assignee acknowledges that
Assignee has been given a full and complete opportunity to conduct its own investigation as to any
matter, fact, or issue which might influence Assignee’s decision to purchase the LLC Interests.
Assignee represents and warrants that, except for the representations and warranties of Assignor
set forth in the Agreement or this Assignment, Assignee is not relying on any representation or
warranty of Assignor. Assignee further acknowledges that the AS-IS nature of the transaction and
that the other terms and conditions described in this Section have been taken into account in the
establishment of the Assignment Payment.
(b) Except for the representations and warranties of Assignor set forth in the Agreement or
this Assignment, neither Assignor nor any of Assignor’s agents, contractors, consultants,
attorneys, or representatives have made, do not make, and specifically negate and disclaim, and,
Assignee is not relying on, any representations, warranties, promises, covenants, agreements or
guaranties of any kind or character whatsoever, whether express or implied, oral or written, past,
present or future, of, as to, concerning, or with respect to: (i) the value of the Properties; (ii)
any income to be derived from the Properties; (iii) the suitability of the Properties for any and
all activities and uses which Assignee or the Property Owners may conduct thereon, including
without limitation, the possibilities for further development of the Properties or construction
thereon, the feasibility of adopting the condominium form of ownership or Assignee’s ability to
market the same; (iv) the habitability, merchantability, marketability, profitability or fitness
for a particular purpose of the Properties or any improvements thereon; (v) the manner, quality,
state of repair or lack of repair on the Properties or any improvements thereon; (vi) the nature,
quality or condition of the Properties, including, without limitation, with respect to water
conditions, soil, geological or geotechnical condition (including, without
limitation, soil expansiveness, corrosivity, or stability, or seismic, hydrological,
geological and topographical conditions and configurations, including, without limitation, any
opinions or conclusions of any soils engineer(s) retained to perform geotechnical and/or soils
studies or to oversee any soils engineering aspects of developing the Properties); (vii) the
compliance of or by Assignor, the Property Owners, the Properties, or their operation with any
codes, laws, rules, ordinances, regulations of any applicable governmental authority or body;
(viii) the manner or quality of the construction or materials incorporated into the Properties;
(ix) compliance with Environmental Laws or land use laws, rules, regulations, orders, codes or
requirements, including, but not limited to, the Americans with Disabilities Act of 1990, the
Federal Water Pollution Control Act, the U.S. Environmental Protection Agency regulations at 40
CFR, Part 261, the Clean Water Act, the Safe Drinking Water Act, the Hazardous Materials
Transportation Act, the Toxic Substance Control Act, and/or any rules or regulations promulgated
under any of the foregoing (as the same may be amended from time to time); (x) the presence or
absence of radon gas, methane gas, or any hazardous materials at, on, under, or adjacent to the
Properties; (xi) the content, completeness or accuracy of any information, documents or materials
relating to the Properties; (xii) the conformity of any improvements to any plans or
specifications, including, without limitation, any plans and specifications that may have been
provided to Assignee; (xiii) the conformity of the Properties to past, current or future applicable
zoning or building requirements; (xiv) deficiency of any undershoring; (xv) deficiency of any
drainage; (xvi) the fact that all or a portion of the Properties may be located on or near an
earthquake fault line or in or near an earthquake or seismic hazard zone; (xvii) the existence of
vested land use, zoning or building entitlements affecting the Properties; (xviii) water rights or
the availability of or access to water; (xix) the presence or suitability of any utilities or
availability thereof, or (xx) any other matter relating to the Properties or to the development,
construction, operation, or sale of the Properties, including, but not limited to, legal
requirements, valuations, feasibility, cost, governmental permissions or entitlements, claims and
obligations, license and other use rights and claims, the future use and operation of the
Properties and marketability and investment return. Neither Assignor nor its employees, agents,
contractors, consultants, attorneys or representatives shall be liable for any relief, including
damages, rescission, reformation, allowance or adjustments based on the failure of the Properties,
including, but not limited to, amount of acreage, square footage, zoning, and environmental
condition, to conform to any specific standard or expectation, or any third party documents or
information.
(c) The Properties and the development thereof are subject to numerous governmental
requirements under the jurisdiction of multiple local, state, and federal agencies. It is
Assignee’s sole responsibility to confirm the feasibility of and obtain all necessary and/or
appropriate governmental approvals and entitlements for the continued use, and any further
development of the Properties. Assignor makes no representations or warranties of any kind
regarding any governmental approvals or entitlements or the ability to develop the Properties now
or in the future. Assignee acknowledges and understands that the entitlement and regulatory
approval process is extremely complicated and uncertain, and involves a substantial number of
steps. Assignee acknowledges that it is a sophisticated real estate development company and is
familiar with such risks. Each Intermediary, on behalf of the applicable Property Owner, shall be
solely responsible to obtain, at its sole cost, all governmental approvals, which may from time to
time be required for any further development of the applicable Property. Assignee acknowledges and
agrees that Assignor shall have no liability, obligation, or
responsibility for any costs, fees, or expenses of any kind whatsoever related to, or
associated with the post-closing entitlement of the Properties.
The provisions of this Section 5 shall survive the Closing Date and the Closing.
6. Release.
(a) AS A MATERIAL PART OF THE CONSIDERATION TO ASSIGNOR FOR THE SALE OF THE LLC INTERESTS,
EXCEPT FOR ANY REPRESENTATIONS OR WARRANTIES OF ASSIGNOR EXPRESSLY SET FORTH IN THIS ASSIGNMENT OR
THE AGREEMENT AND ANY OTHER OBLIGATIONS OR AGREEMENTS OF ASSIGNOR UNDER THIS ASSIGNMENT OR THE
AGREEMENT THAT BY THE EXPRESS TERMS HEREOF OR THEREOF SURVIVE THE CLOSING, ASSIGNEE, ON BEHALF OF
ITSELF AND ITS SUCCESSORS AND ASSIGNS, HEREBY IRREVOCABLY WAIVES, AND RELEASES ASSIGNOR, ITS
MEMBERS, PRINCIPALS, AGENTS, REPRESENTATIVES, ATTORNEYS AND EMPLOYEES FROM ANY AND ALL CLAIMS,
DEMANDS, OBLIGATIONS, DAMAGES, CAUSES OF ACTION AND LIABILITIES, WHETHER KNOWN OR UNKNOWN, FORESEEN
OR UNFORESEEN, THAT ARE BASED DIRECTLY OR INDIRECTLY ON, ARISE FROM OR IN CONNECTION WITH, OR ARE
RELATED TO: (A) THE LLC INTERESTS, THE INTERMEDIARIES, THE PROPERTY OWNERS OR THE PROPERTIES,
INCLUDING WITHOUT LIMITATION ANY OBLIGATION OF ASSIGNOR AS A MEMBER OF THE INTERMEDIARIES OR PARTY
TO THE LLC AGREEMENTS, (B) ANY PAST, PRESENT OR FUTURE CONDITION OF THE PROPERTIES, INCLUDING,
WITHOUT LIMITATION, ANY DEFECTS IN OR TO THE PROPERTIES OR ANY IMPROVEMENTS TO THE PROPERTIES’
PROXIMITY TO ANY GEOLOGICAL HAZARD, OR THE PRESENCE OF HAZARDOUS MATERIALS AT THE PROPERTY, WHETHER
IN COMMON LAW OR UNDER ANY EXISTING OR HEREINAFTER ENACTED FEDERAL, STATE OR LOCAL LAW, REGULATION,
OR ORDINANCE, INCLUDING, WITHOUT LIMITATION, CERCLA AND RCRA, AS AMENDED, AND WHETHER OR NOT CAUSED
BY THE NEGLIGENCE OF ASSIGNOR, (C) ANY AND ALL STATEMENTS, REPRESENTATIONS, WARRANTIES,
DETERMINATIONS, CONCLUSIONS, ASSESSMENTS, ASSERTIONS OR ANY OTHER INFORMATION CONTAINED IN ANY OF
THE DOCUMENTS DELIVERED TO ASSIGNEE IN CONNECTION WITH THE AGREEMENT OR THIS ASSIGNMENT OR ANY
MISREPRESENTATION OR FAILURE TO DISCLOSE INFORMATION RELATING TO THE PROPERTIES OR THE DOCUMENTS
DELIVERED TO ASSIGNEE IN CONNECTION HEREWITH OR THEREWITH, OR (D) ANY DEFECT, INACCURACY OR
INADEQUACY IN THE CONDITION OF TITLE TO THE PROPERTIES, LEGAL DESCRIPTIONS OF THE PROPERTIES, OR
COVENANTS, RESTRICTIONS, ENCUMBRANCES OR ENCROACHMENTS WHICH AFFECT THE PROPERTIES.
(b) ASSIGNEE HEREBY ACKNOWLEDGES AND AGREES THAT (i) ASSIGNEE MAY HEREAFTER DISCOVER FACTS
DIFFERENT FROM OR IN ADDITION TO THOSE NOW KNOWN OR BELIEVED TO BE TRUE REGARDING THE
INTERMEDIARIES, THE PROPERTY OWNERS OR THE PROPERTIES, (ii) ASSIGNEE’S AGREEMENT TO RELEASE, ACQUIT
AND DISCHARGE ASSIGNOR AS SET FORTH
HEREIN SHALL REMAIN IN FULL FORCE AND EFFECT, NOTWITHSTANDING THE EXISTENCE OR DISCOVERY OF
ANY SUCH DIFFERENT OR ADDITIONAL FACTS, AND (iii) ASSIGNEE KNOWINGLY AND VOLUNTARILY WAIVES ANY AND
ALL RIGHTS, BENEFITS AND PRIVILEGES TO THE FULLEST EXTENT PERMISSIBLE UNDER ANY FEDERAL, STATE,
LOCAL, OR OTHER LAWS WHICH DO OR WOULD NEGATIVELY AFFECT VALIDITY OR ENFORCEABILITY OF ALL OR PART
OF THE RELEASES SET FORTH IN THIS ASSIGNMENT.
(c) ASSIGNEE HEREBY ACKNOWLEDGES AND AGREES THAT UPON THE FULL EXECUTION OF THIS ASSIGNMENT,
ASSIGNOR SHALL BE DEEMED TO HAVE SATISFIED AND FULFILLED ALL OF ASSIGNOR’S COVENANTS AND
OBLIGATIONS CONTAINED IN THE AGREEMENT AND THIS ASSIGNMENT, AND ASSIGNOR SHALL HAVE NO FURTHER
LIABILITY TO ASSIGNEE OR OTHERWISE WITH RESPECT TO THE AGREEMENT, THIS ASSIGNMENT, THE TRANSFER
CONTEMPLATED HEREBY, OR ANY DOCUMENTS DELIVERED PURSUANT HERETO OR THERETO.
(d) ASSIGNEE AGREES NEVER TO COMMENCE OR PROSECUTE, OR CONSPIRE OR COLLUDE WITH OTHERS TO
COMMENCE OR PROSECUTE, AGAINST ASSIGNOR, ITS PARTNERS, MEMBERS, PRINCIPALS, AGENTS,
REPRESENTATIVES, ATTORNEYS OR EMPLOYEES (OTHER THAN AGENTS, CONSULTANTS, CONTRACTORS OR
SUBCONTRACTORS OF ASSIGNOR AGAINST WHOM RECOURSE RIGHTS HAVE BEEN EXPRESSLY ASSIGNED TO ASSIGNEE
PURSUANT TO THE TERMS OF THIS ASSIGNMENT), ANY ACTION OR OTHER PROCEEDING BASED UPON ANY CLAIM
COVERED BY THIS RELEASE.
(e) AS A MATERIAL PART OF THE CONSIDERATION TO ASSIGNEE FOR THE PURCHASE OF THE LLC INTERESTS,
EXCEPT FOR ANY REPRESENTATIONS OR WARRANTIES OF ASSIGNEE EXPRESSLY SET FORTH IN THE AGREEMENT OR
THIS ASSIGNMENT (WHICH SHALL BE SUBJECT TO THE APPLICABLE LIMITATIONS SET FORTH IN SECTION 7 BELOW)
AND ANY OTHER OBLIGATIONS OR AGREEMENTS OF ASSIGNEE UNDER THE AGREEMENT OR THIS ASSIGNMENT THAT BY
THE EXPRESS TERMS OF THE AGREEMENT OR THIS ASSIGNMENT SURVIVE THE CLOSING, ASSIGNOR, ON BEHALF OF
ITSELF AND ITS SUCCESSORS AND ASSIGNS, HEREBY IRREVOCABLY WAIVES, AND RELEASES ASSIGNEE, ITS
MEMBERS, PRINCIPALS, AGENTS, REPRESENTATIVES, ATTORNEYS AND EMPLOYEES FROM ANY AND ALL CLAIMS,
DEMANDS, OBLIGATIONS, DAMAGES, CAUSES OF ACTION AND LIABILITIES, WHETHER KNOWN OR UNKNOWN, FORESEEN
OR UNFORESEEN, THAT ARE BASED DIRECTLY OR INDIRECTLY ON, ARISE FROM OR IN CONNECTION WITH, OR ARE
RELATED TO: (A) THE LLC INTERESTS, THE INTERMEDIARIES OR THE PROPERTY OWNERS, (B) ANY PAST, PRESENT
OR FUTURE CONDITION OF THE PROPERTIES, INCLUDING, WITHOUT LIMITATION, ANY DEFECTS IN OR TO THE
PROPERTIES OR ANY IMPROVEMENTS TO THE PROPERTIES’ PROXIMITY TO ANY GEOLOGICAL HAZARD, OR THE
PRESENCE OF HAZARDOUS MATERIALS AT THE PROPERTIES, WHETHER IN COMMON LAW OR UNDER ANY EXISTING OR
HEREINAFTER ENACTED FEDERAL, STATE OR LOCAL LAW, REGULATION, OR ORDINANCE,
INCLUDING, WITHOUT LIMITATION, CERCLA AND RCRA, AS AMENDED, AND WHETHER OR NOT CAUSED BY THE
NEGLIGENCE OF ASSIGNEE, (C) ANY AND ALL STATEMENTS, REPRESENTATIONS, WARRANTIES, DETERMINATIONS,
CONCLUSIONS, ASSESSMENTS, ASSERTIONS OR ANY OTHER INFORMATION CONTAINED IN ANY OF THE DOCUMENTS
DELIVERED TO ASSIGNOR IN CONNECTION HEREWITH OR WITH THE AGREEMENT, OR ANY MISREPRESENTATION OR
FAILURE TO DISCLOSE INFORMATION RELATING TO THE PROPERTIES OR THE DOCUMENTS DELIVERED TO ASSIGNOR
IN CONNECTION HEREWITH OR WITH THE AGREEMENT, OR (D) ANY DEFECT, INACCURACY OR INADEQUACY IN THE
CONDITION OF TITLE TO THE PROPERTIES, LEGAL DESCRIPTIONS OF THE PROPERTIES, OR COVENANTS,
RESTRICTIONS, ENCUMBRANCES OR ENCROACHMENTS WHICH AFFECT THE PROPERTIES.
(f) ASSIGNOR HEREBY ACKNOWLEDGES AND AGREES THAT (i) ASSIGNOR MAY HEREAFTER DISCOVER FACTS
DIFFERENT FROM OR IN ADDITION TO THOSE NOW KNOWN OR BELIEVED TO BE TRUE REGARDING THE PROPERTIES,
(ii) ASSIGNOR’S AGREEMENT TO RELEASE, ACQUIT AND DISCHARGE ASSIGNEE AS SET FORTH HEREIN SHALL
REMAIN IN FULL FORCE AND EFFECT, NOTWITHSTANDING THE EXISTENCE OR DISCOVERY OF ANY SUCH DIFFERENT
OR ADDITIONAL FACTS, AND (iii) ASSIGNOR KNOWINGLY AND VOLUNTARILY WAIVES ANY AND ALL RIGHTS,
BENEFITS AND PRIVILEGES TO THE FULLEST EXTENT PERMISSIBLE UNDER ANY FEDERAL, STATE, LOCAL, OR OTHER
LAWS WHICH DO OR WOULD NEGATIVELY AFFECT VALIDITY OR ENFORCEABILITY OF ALL OR PART OF THE RELEASES
SET FORTH IN THIS ASSIGNMENT.
(g) ASSIGNOR HEREBY ACKNOWLEDGES AND AGREES THAT UPON THE FULL EXECUTION OF THIS ASSIGNMENT,
ASSIGNEE SHALL BE DEEMED TO HAVE SATISFIED AND FULFILLED ALL OF ASSIGNEE’S COVENANTS AND
OBLIGATIONS CONTAINED IN THIS ASSIGNMENT AND THE AGREEMENT, AND ASSIGNEE SHALL HAVE NO FURTHER
LIABILITY TO ASSIGNOR OR OTHERWISE WITH RESPECT TO THIS ASSIGNMENT, THE AGREEMENT, THE TRANSFERS
CONTEMPLATED HEREBY OR THEREBY, OR ANY DOCUMENTS DELIVERED PURSUANT HERETO OR THERETO.
(h) ASSIGNOR AGREES NEVER TO COMMENCE OR PROSECUTE, OR CONSPIRE OR COLLUDE WITH OTHERS TO
COMMENCE OR PROSECUTE, AGAINST ASSIGNEE, ITS PARTNERS, MEMBERS, PRINCIPALS, AGENTS,
REPRESENTATIVES, ATTORNEYS OR EMPLOYEES (OTHER THAN AGENTS, CONSULTANTS, CONTRACTORS OR
SUBCONTRACTORS OF ASSIGNEE AGAINST WHOM RECOURSE RIGHTS HAVE BEEN EXPRESSLY ASSIGNED TO ASSIGNOR
PURSUANT TO THE TERMS OF THIS ASSIGNMENT), ANY ACTION OR OTHER PROCEEDING BASED UPON ANY CLAIM
COVERED BY THIS RELEASE.
THE PROVISIONS OF THIS SECTION 6, INCLUDING, WITHOUT LIMITATION THE WAIVERS AND RELEASES
CONTAINED HEREIN, SHALL SURVIVE THE CLOSING DATE AND THE CLOSING.
NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THIS ASSIGNMENT, IN NO EVENT SHALL THE PROVISIONS
OF CLAUSES (e) THROUGH (h) OF THIS SECTION 6, THE SURVIVAL PERIOD SET FORTH IN SECTION 7 BELOW, OR
ANY OTHER PROVISION OF THE AGREEMENT OR THIS ASSIGNMENT IN ANY WAY MODIFY, AMEND, LIMIT, WAIVE,
RELEASE OR OTHERWISE ALTER ANY DUTY, LIABILITY OR OBLIGATION OF ASSIGNEE OR ANY AFFILIATE OF
ASSIGNEE UNDER (1) THE LLC AGREEMENTS, (2) THE UNDERTAKING OF PRINCIPAL, (3) ANY OF THE PROPERTY
MANAGEMENT AGREEMENTS FOR THE PROPERTIES BETWEEN THE APPLICABLE PROPERTY OWNER AND AN AFFILIATE OF
ASSIGNEE AS IN EFFECT IMMEDIATELY PRIOR TO THE CLOSING (COLLECTIVELY, THE “PROPERTY MANAGEMENT
AGREEMENTS”), (4) THE AGREEMENT, (5) THIS ASSIGNMENT OR (6) ANY OTHER AGREEMENT BETWEEN
ASSIGNOR OR ANY DIRECT OR INDIRECT SUBSIDIARY OF ASSIGNOR, ON THE ONE HAND, AND ASSIGNEE OR ANY
AFFILIATE OF ASSIGNEE, ON THE OTHER HAND (COLLECTIVELY, THE “TRANSACTION DOCUMENTS”).
FURTHER NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THE AGREEMENT OR THIS ASSIGNMENT, IN NO
EVENT SHALL THE PROVISIONS OF CLAUSES (a) THROUGH (d) OF THIS SECTION 6, THE SURVIVAL PERIOD SET
FORTH IN SECTION 7 BELOW, OR ANY OTHER PROVISION OF THE AGREEMENT OR THIS ASSIGNMENT IN ANY WAY
MODIFY, AMEND, LIMIT, WAIVE, RELEASE OR OTHERWISE ALTER ANY DUTY, LIABILITY OR OBLIGATION OF
ASSIGNOR OR ANY AFFILIATE OF ASSIGNOR UNDER (1) THE AGREEMENT, (2) THE LLC AGREEMENTS OR (3) ANY
OTHER AGREEMENT BETWEEN ASSIGNEE OR ANY DIRECT OR INDIRECT SUBSIDIARY OF ASSIGNEE (OTHER THAN THE
PROPERTY OWNERS OR THE INTERMEDIARIES), ON THE ONE HAND, AND ASSIGNOR OR ANY AFFILIATE OF ASSIGNOR
(OTHER THAN THE PROPERTY OWNERS OR THE INTERMEDIARIES), ON THE OTHER HAND; PROVIDED, HOWEVER, THAT
NOTWITHSTANDING THE FOREGOING, THE PROVISIONS OF CLAUSES (a) THROUGH (d) OF THIS SECTION 6 SHALL
(WITHOUT LIMITATION) IN ALL EVENTS APPLY WITH RESPECT TO ANY DUTY, LIABILITY OR OBLIGATION OF
ASSIGNOR THAT ARISES FROM OR RELATES TO THE PROPERTIES, THE PROPERTY OWNERS, THE INTERMEDIARIES,
THE PROPERTY MANAGEMENT AGREEMENTS OR THE LLC INTERESTS (IT BEING ACKNOWLEDGED AND AGREED THAT,
FROM AND AFTER THE CLOSING, ASSIGNOR SHALL HAVE NO LIABILITIES, OBLIGATIONS OR DUTIES ARISING FROM
OR RELATING TO THE PROPERTIES, THE PROPERTY OWNERS, THE INTERMEDIARIES, THE PROPERTY MANAGEMENT
AGREEMENTS OR THE LLC INTERESTS OTHER THAN AS EXPRESSLY SET FORTH IN SECTION 7 BELOW).
7. Breach of Representation. Assignor and Assignee agree that, following the Closing,
(i) each shall be liable for the direct, but not consequential, indirect or punitive, damages
resulting from any breach of its representations and warranties expressly set forth in the
Agreement or this Assignment; (ii) such representations and warranties are personal to Assignor
and Assignee and may not be assigned to or enforced by any other person; and (iii) the
representations and warranties of Assignor and Assignee set forth in the Agreement, this Assignment
or in any document or certificate delivered by Assignor or in connection herewith or therewith
shall survive the Closing for a period of six (6) months (the “Survival Period”), and no
action or proceeding thereon shall be valid or enforceable, at law or in equity, if a legal
proceeding is not commenced within that time. Notwithstanding the foregoing, Assignee hereby
expressly waives, relinquishes and releases any right or remedy available to it at law, in equity,
under this Agreement, the Assignment or otherwise to make a claim against Assignor for damages that
Assignee may incur, or to rescind this Assignment or the Agreement and the transactions
contemplated hereby or thereby, as the result of any of Assignor’s representations or warranties in
this Agreement, the Assignment or any document executed by Assignor in connection herewith or
therewith being untrue, inaccurate or incorrect if Assignee knew or is deemed to know that such
representation or warranty was untrue, inaccurate or incorrect at the time of the Closing, or to
the extent that any inaccuracy, untruth or incorrectness of Assignor’s representations or
warranties set forth in this Agreement or the Assignment were caused by the act or omission of
Assignee or any affiliate of Assignee whether acting (i) as the property manager or leasing agent
for the Properties, (ii) as a manager of the sole member of Assignor, (iii) as a member of the sole
member of Assignor or (iv) in any other capacity. In addition to the other limitations on the
liability of Assignor set forth herein and in the Assignment, in no event shall Assignor be liable
for any losses, costs, liabilities or damages that Assignee may incur as a result of the gross
negligence or willful misconduct of Assignee or any affiliate of Assignee or any act or omission of
Assignee or any affiliate of Assignee which constitutes or constituted a breach or default by
Assignee or any affiliate of Assignee under any Transaction Document.
8. Intentionally Omitted.
9. Assignment; Binding on Successors and Assigns. Neither Assignor nor Assignee shall
assign this Assignment without the prior written consent of the other party, which consent Assignee
or Assignor, as applicable, may withhold in its sole, absolute and subjective discretion. Any such
attempted assignment without the prior written consent of the other party shall be void. Any
permitted assignments shall not relieve the assigning party from its liability under this
Assignment. Subject to the foregoing, and except as provided to the contrary herein, the terms,
covenants, conditions and warranties contained herein and the powers granted hereby shall inure to
the benefit of and bind all parties hereto and their respective heirs, executors, administrators,
successors and assigns.
10. Attorneys’ Fees. If any legal action or any arbitration or other proceeding is
brought or if an attorney is retained for the enforcement of this Assignment or any portion
thereof, or because of any alleged dispute, breach, default or misrepresentation in connection with
any of the provisions of this Assignment, the prevailing party shall be entitled to recover from
the other reimbursement for the reasonable fees of attorneys and other costs (including court costs
and witness fees) incurred by it, in addition to any other relief to which it may be entitled. The
term “prevailing party” means the party obtaining substantially the relief sought, whether by
compromise, settlement or judgment. The provisions of this Section 10 shall survive the Closing
Date and the Closing.
11. Entire Agreement. This Assignment, together with the Agreement, contains the
entire agreement and understanding of the parties in respect to the subject matter hereof, and the
parties intend for the literal words of this Assignment to govern and for all prior negotiations,
drafts, and other extrinsic communications, whether oral or written, to have no significance or
evidentiary effect. The parties further intend that neither this Assignment nor any of its
provisions may be changed, amended, discharged, waived or otherwise modified orally except only by
an instrument in writing duly executed by the party to be bound thereby. The parties hereto fully
understand and acknowledge the importance of the foregoing sentence and are aware that the law may
permit subsequent oral modification of a contract notwithstanding contract language which requires
that any such modification be in writing; but Assignor and Assignee fully and expressly intend that
the foregoing requirements as to a writing be strictly adhered to and strictly interpreted and
enforced by any court which may be asked to decide the question. Each party hereto acknowledges
that this Assignment accurately reflects the agreements and understandings of the parties hereto
with respect to the subject matter hereof and hereby waive any claim against the other party which
such party may now have or may hereafter acquire to the effect that the actual agreements and
understandings of the parties hereto with respect to the subject matter hereof may not be
accurately set forth in this Assignment.
12. Governing Law. This Assignment shall be governed by the laws of the State of
Delaware.
13. Counterparts. This Assignment may be executed simultaneously in one or more
counterparts, each of which shall be deemed an original but all of which together shall constitute
one and the same instrument.
14. Headings; Construction. The various headings of this Assignment are included for
convenience only and shall not affect the meaning or interpretation of this Assignment or any
provision hereof. When the context and construction so require, all words used in the singular
herein shall be deemed to have been used in the plural and the masculine shall include the feminine
and the neuter and vice versa. The use in this Assignment of the term “including” and related
terms such as “include” shall in all cases mean “without limitation.”
15. Partial Validity; Severability. If any term or provision of this Assignment or
the application thereof to any person or circumstance shall, to any extent, be held invalid or
unenforceable, the remainder of this Assignment, or the application of such term or provision to
persons or circumstances other than those as to which it is held invalid or unenforceable, shall
not be affected thereby, and each such term and provision of this Assignment shall be valid and be
enforced to the fullest extent permitted by law.
16. No Third Party Beneficiaries. This Assignment is for the sole and exclusive
benefit of the parties hereto and their respective permitted successors and assigns, and no third
party is intended to, or shall have, any rights hereunder.
17. Joint Product of Parties. This Assignment is the result of arms-length
negotiations between Assignor and Assignee and their respective attorneys. Accordingly, neither
party shall be deemed to be the author of this Assignment and this Assignment shall not be
construed against either party.
18. No Personal Liability. Notwithstanding anything stated to the contrary herein,
under no circumstances shall Assignor’s or Assignee’s constituent partners or members (whether
direct or indirect), Assignor’s or Assignee’s asset managers, nor Assignor’s or Assignee’s
employees or agents have any personal liability hereunder.
[Remainder of page intentionally left blank.]
IN WITNESS WHEREOF, the parties hereto have caused this Assignment to be duly executed as a
sealed instrument as of the date first above written.
ASSIGNOR: XX XX/GMH II LLC, a Massachusetts limited liability company |
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By: | Fidelity Real Estate Growth Fund II, L.P., a Delaware limited partnership, its sole member |
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By: | Pyramis Global Advisors Trust Company, as Investment Manager and not individually |
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By: | ||||
Name: | ||||
Title: | ||||
ASSIGNEE: | ||||||||||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP, Maryland limited partnership |
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By: | American Campus Communities Holdings LLC, its general partner |
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By: | American Campus Communities, Inc., its sole member |
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By: | ||||||||||
Name: | ||||||||||
Title: |
Exhibit C
UPDATED REPRESENTATION CERTIFICATE
The undersigned, as Assignor under an Agreement for Assignment of LLC Interests
(“Agreement for Assignment”) dated as of June 1, 2010 between XX XX/GMH II LLC
(“Assignor”) and American Campus Communities Operating Partnership, LP
(“Assignee”), does hereby certify to Assignee that the representations and warranties of
Assignor in Section 2 of the Agreement for Assignment are accurate, true and correct in all
material respects on and as of the date hereof with the same force and effect as though made on and
as of the date hereof (except to the extent such representations and warranties expressly relate to
an earlier date, in which case such representations and warranties shall be true and correct in all
material respects on and as of such earlier date); provided that any representation or warranty
which by its terms is qualified by materiality shall be true and correct in all respects.
Dated as of this ___ day of , 2010.
ASSIGNOR: XX XX/GMH II LLC, a Massachusetts limited liability company |
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By: | Fidelity Real Estate Growth Fund II, L.P., a Delaware limited partnership, its sole member |
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By: | Pyramis Global Advisors Trust Company, as Investment Manager and not individually |
|||
By: | ||||
Name: | ||||
Title: |
Exhibit D
UPDATED REPRESENTATION CERTIFICATE
The undersigned, as Assignee under an Agreement for Assignment of LLC Interests
(“Agreement for Assignment”) dated as of June 1, 2010 between XX XX/GMH II LLC
(“Assignor”) and American Campus Communities Operating Partnership, LP
(“Assignee”), does hereby certify to Assignor that the representations and warranties of
Assignee in Section 3 of the Agreement for Assignment are accurate, true and correct in all
material respects on and as of the date hereof with the same force and effect as though made on and
as of the date hereof (except to the extent such representations and warranties expressly relate to
an earlier date, in which case such representations and warranties shall be true and correct in all
material respects on and as of such earlier date); provided that any representation or warranty
which by its terms is qualified by materiality shall be true and correct in all respects.
Dated as of this ___ day of , 2010.
ASSIGNEE: | ||||||||||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP, Maryland limited partnership |
||||||||||
By: | American Campus Communities Holdings LLC, its general partner |
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By: | American Campus Communities, Inc., its sole member |
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By: | ||||||||||
Name: | ||||||||||
Title: |
C-1