Common use of Litigation Disclosure Clause in Contracts

Litigation Disclosure. Borrower hereby represents as follows: We are presently subject to various lawsuits, claims and proceedings of a nature considered normal to our ordinary course of business. We expect most of these legal proceedings to be covered by our liability insurance. The most significant of these contingencies not covered by insurance is described below. In December 2001, the owner of the entertainment center at our Howard Hughes Center project asserted a claim against us for indemn▇▇▇▇▇▇i▇▇ ▇▇▇sing out of a Los Angeles Superior Court judgment against them, which invalidated a transfer of in-lieu credits that we made in August of 1999 as part of our sale of the land for the entertainment center. The value of these in-lieu credits was approximately $6.0 million and were transferred to satisfy certain Transportation Impact Assessment fees related to the entertainment center. The owner of the entertainment center is currently appealing the judgment. Based on our review of the current facts and circumstances and advice of our outside counsel, we are not able to express an opinion as to the ultimate outcome of this matter. However, we do not believe that the resolution of this matter or any of our ongoing legal proceedings will have a material adverse effect on our consolidated results of operations, cash flow or financial position. Loan No. 9188ZL SCHEDULE 4.1(s) ENVIRONMENTAL DISCLOSURE None Loan No. 9188ZL SCHEDULE 4.1(v) MANAGEMENT AGREEMENTS/GROUND LEASES

Litigation Disclosure. Borrower hereby represents as follows: We are presently subject to various lawsuits, claims and proceedings of a nature considered normal to our ordinary course of business. We expect most of these legal proceedings to be covered by our liability insurance. The most significant of these contingencies not covered by insurance is described below. In December 2001, the owner of the entertainment center at our Howard Hughes Center project asserted a claim against us for indemnindemni▇▇▇▇▇▇i▇o▇ ▇▇▇sing ▇ing out of a Los Angeles Superior Court judgment against them, which invalidated a transfer of in-lieu credits that we made in August of 1999 as part of our sale of the land for the entertainment center. The value of these in-lieu credits was approximately $6.0 million and were transferred to satisfy certain Transportation Impact Assessment fees related to the entertainment center. The owner of the entertainment center is currently appealing the judgment. Based on our review of the current facts and circumstances and advice of our outside counsel, we are not able to express an opinion as to the ultimate outcome of this matter. However, we do not believe that the resolution of this matter or any of our ongoing legal proceedings will have a material adverse effect on our consolidated results of operations, cash flow or financial position. Loan No. 9188ZL 1324 SCHEDULE 4.1(s) ENVIRONMENTAL DISCLOSURE None Loan No. 9188ZL 1324 SCHEDULE 4.1(v) MANAGEMENT AGREEMENTS/AGREEMENTS / GROUND LEASES