Common use of Subordinated Performance Fee Clause in Contracts

Subordinated Performance Fee. After the Stockholders have received the Return Requirement, the Company shall pay to the Advisor as compensation for the advisory services rendered to the Company hereunder an amount equal to the following percentages of the Cumulative Return which is greater than the Return Requirement (the "Subordinated Performance Fee": Annualized Returns to Stockholders on Invested Capital Percentage to Advisor ------------------------------------------------------ --------------------- 6% or more but less than 8% 5% of net sales proceeds 8% or more but less than 10% 10% of net sales proceeds 10% or more 20% of net sales proceeds The Subordinated Performance Fee will be calculated monthly, beginning with the month in which the Company first makes an investment in Acquired Properties. The Subordinated Performance Fee calculated with respect to each month shall be payable on a quarterly basis on the last day of the first month of the immediately following fiscal quarter. To the extent that the Subordinated Performance Fee is not paid by the Company on a current basis because the Return Requirement was not satisfied, the unpaid fees will be accrued and paid at such time as the Return Requirement has been satisfied.

Subordinated Performance Fee. After the Stockholders have received the Return Requirement, the Company shall pay to the Advisor as compensation for the advisory services rendered to yto the Company hereunder an amount equal to the following percentages of the Cumulative Return which is greater than the Return Requirement (the "Subordinated Performance Fee": Annualized Returns to Stockholders on Invested Capital Percentage to Advisor ------------------------------------------------------ --------------------- 6% or more but less than 8% 5% of net sales proceeds 8% or more but less than 10% 10% of net sales proceeds 10% or more 20% of net sales proceeds The Subordinated Performance Fee will be calculated monthlyymonthly, beginning with the month in which the Company first makes an investment in Acquired Properties. The Subordinated Performance Fee calculated with respect to each month shall be payable on yon a quarterly basis on the last day of the first month of the immediately following fiscal quarter. y To the extent that the Subordinated Performance Fee is not paid by the Company yCompany on a current basis because the Return Requirement was not satisfied, the unpaid fees will be accrued and paid at such ysuch time as the Return Requirement has been satisfied.