Common use of Transfer of the Property Clause in Contracts

Transfer of the Property. Grantor will not Transfer, or contract to Transfer, all or any part of the Property or any legal or beneficial interest therein (except for certain Transfers of the Accessories and other Transfers expressly permitted in this Deed of Trust). The Transfer of the general partnership interest in Grantor, if Grantor is a general partnership, or the Transfer of more than 50% of the membership interests in Grantor (whether in one or more transactions during the term of the Loan) shall be deemed to be a prohibited Transfer of the Property. Notwithstanding anything stated to the contrary herein, any transfers (or the pledge or encumbrance) of equity interests or other interests in KBS REIT Properties III, LLC, or in any of the direct or indirect owners of KBS REIT Properties III, LLC (including, without limitation, KBS Limited Partnership III, KBS REIT Holdings III, LLC, or KBS Real Estate Investment Trust III, Inc.) shall not be prohibited (and shall be expressly permitted) provided that KBS Real Estate Investment Trust III, Inc., continues to own, either directly or indirectly, not less than a fifty-one percent (51%) of the ownership interests in Grantor. Notwithstanding the foregoing or anything stated to the contrary in this Deed of Trust or in any of the other Loan Documents, the following transactions will not be prohibited and shall be expressly permitted: (a) KBS REIT Properties III, LLC, KBS Limited Partnership III, KBS Real Estate Investment Trust III, Inc., and KBS REIT Holdings III, LLC, shall each be permitted to execute guaranties and/or indemnity agreements for their respective subsidiaries; and (b) KBS Limited Partnership III, KBS Real Estate Investment Trust III, Inc., and any of the other parties owning interests in KBS Limited Partnership III, direct or indirect, shall be permitted to obtain loans from, or incur indebtedness to any third-party lender (each a “Secondary Loan”) and pledge their respective interests (direct or indirect) in KBS Limited Partnership III and KBS REIT Properties III, LLC, as security for any such Secondary Loan so long as (A) neither Grantor nor Grantor’s sole member’s membership interest are pledged to secure such Secondary Loan, and (B) any default under a Secondary Loan resulting in a foreclosure of the pledged interests and a transfer of such interest to the lender of the Secondary Loan shall be deemed an Event of Default under the Loan Documents.

Transfer of the Property. Grantor Mortgagor will not Transfer, or contract to Transfer, all or any part of the Property or any legal or beneficial interest therein (except for certain Transfers of the Accessories and other Transfers expressly permitted in this Deed of TrustMortgage). The Transfer of the general partnership interest in GrantorMortgagor, if Grantor Mortgagor is a general partnership, or the Transfer of more than 50% of the membership interests in Grantor Mortgagor (whether in one or more transactions during the term of the Loan) shall be deemed to be a prohibited Transfer of the Property. Notwithstanding anything stated to the contrary herein, any transfers (or the pledge or encumbrance) of equity interests or other interests in KBS REIT Properties III, LLC, or in any of the direct or indirect owners of KBS REIT Properties III, LLC (including, without limitation, KBS Limited Partnership III, KBS REIT Holdings III, LLC, or KBS Real Estate Investment Trust III, Inc.) shall not be prohibited (and shall be expressly permitted) provided that KBS Real Estate Investment Trust III, Inc., continues to own, either directly or indirectly, not less than a fifty-one percent (51%) of the ownership interests in GrantorMortgagor. Notwithstanding the foregoing or anything stated to the contrary in this Deed of Trust Mortgage or in any of the other Loan Documents, the following transactions will not be prohibited and shall be expressly permitted: (a) KBS REIT Properties III, LLC, KBS Limited Partnership III, KBS Real Estate Investment Trust III, Inc., and KBS REIT Holdings III, LLC, shall each be permitted to execute guaranties and/or indemnity agreements for their respective subsidiaries; and (b) KBS Limited Partnership III, KBS Real Estate Investment Trust III, Inc., and any of the other parties owning interests in KBS Limited Partnership III, direct or indirect, shall be permitted to obtain loans from, or incur indebtedness to any third-party lender (each a “Secondary Loan”) and pledge their respective interests (direct or indirect) in KBS Limited Partnership III and KBS REIT Properties III, LLC, as security for any such Secondary Loan so long as (A) neither Grantor Mortgagor nor GrantorMortgagor’s sole member’s membership interest are pledged to secure such Secondary Loan, and (B) any default under a Secondary Loan resulting in a foreclosure of the pledged interests and a transfer of such interest to the lender of the Secondary Loan shall be deemed an Event of Default under the Loan Documents.

Transfer of the Property. Grantor will not Transfer, or contract to Transfer, all or any part of the Property or any legal or beneficial interest therein (except for certain Transfers of the Accessories and other Transfers expressly permitted in this Deed of Trust). The Transfer of any of the general partnership interest in Grantor, if Grantor is a general partnership, or the Transfer of more than 50% of the membership interests in Grantor (whether in one or more transactions during the term of the Loan) shall be deemed to be a prohibited Transfer of the Property. Notwithstanding anything stated to the contrary herein, any transfers (or the pledge or encumbrance) of equity interests or other interests in KBS REIT Properties IIISOR Properties, LLC, or in any of the direct or indirect owners of KBS REIT Properties IIISOR Properties, LLC (including, without limitation, KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS REIT Holdings IIIStrategic Opportunity Holdings, LLC, or KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc.) shall not be prohibited (and shall be expressly permitted) provided that KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., continues to own, either directly or indirectly, not less than a fifty-one percent (51%) of the ownership interests in Grantor. Notwithstanding the foregoing or anything stated to the contrary in this Deed of Trust or in any of the other Loan Documents, the following transactions will not be prohibited and shall be expressly permitted: (a) KBS REIT Properties IIISOR Properties, LLC, KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., and KBS REIT Holdings IIIStrategic Opportunity Holdings, LLC, shall each be permitted to execute guaranties and/or indemnity agreements for their respective subsidiaries; and (b) KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., and any of the other parties owning interests in KBS Strategic Opportunity Limited Partnership IIIPartnership, direct or indirect, shall be permitted to obtain loans from, or incur indebtedness to any third-party lender (each a “Secondary Loan”) and pledge their respective interests (direct or indirect) in KBS Strategic Opportunity Limited Partnership III and KBS REIT Properties IIISOR Properties, LLC, as security for any such Secondary Loan so long as (A) neither Grantor nor Grantor’s sole member’s membership interest are pledged to secure such Secondary Loan, and (B) any default under a Secondary Loan resulting in a foreclosure of the pledged interests and a transfer of such interest to the lender of the Secondary Loan shall be deemed an Event of Default under the Loan Documents.

Transfer of the Property. Grantor will not Transfer, or contract to Transfer, all or any part of the Property or any legal or beneficial interest therein (except for certain Transfers of the Accessories and other Transfers expressly permitted in this Deed of Trust). The Transfer of any of the general partnership interest in Grantor, if Grantor is a general partnership, or the Transfer of more than 50% of the membership interests in Grantor (whether in one or more transactions during the term of the Loan) shall be deemed to be a prohibited Transfer of the Property. Notwithstanding anything stated to the contrary hereinherein or in any of the other Loan Documents, any transfers (or the pledge or encumbrance) of equity interests or other interests in KBS REIT Properties IIISOR Properties, LLC, or in any of the direct or indirect owners of KBS REIT Properties IIISOR Properties, LLC (including, without limitation, KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS REIT Holdings IIIStrategic Opportunity Holdings, LLC, or KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc.) shall not be prohibited (and shall be expressly permitted) provided that KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., continues to own, either directly or indirectly, not less than a fifty-one percent (51%) of the ownership interests in Grantor. Notwithstanding the foregoing or anything stated to the contrary in this Deed of Trust or in any of the other Loan Documents, the following transactions will not be prohibited and shall be expressly permitted: (a) KBS REIT Properties IIISOR Properties, LLC, KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., and KBS REIT Holdings IIIStrategic Opportunity Holdings, LLC, shall each be permitted to execute guaranties and/or indemnity agreements for their respective direct or indirect subsidiaries; and (b) KBS Strategic Opportunity Limited Partnership IIIPartnership, KBS Real Estate Investment Trust IIIStrategic Opportunity REIT, Inc., and any of the other parties owning interests in KBS Strategic Opportunity Limited Partnership IIIPartnership, direct or indirect, shall be permitted to obtain loans from, or incur indebtedness to any third-party lender (each a “Secondary Loan”) and pledge their respective interests (direct or indirect) in KBS Strategic Opportunity Limited Partnership III and KBS REIT Properties IIISOR Properties, LLC, as security for any such Secondary Loan so long as (A) neither Grantor nor Grantor’s sole member’s membership interest are pledged to secure such Secondary Loan, and (B) any default under a Secondary Loan resulting in a foreclosure of the pledged interests and a transfer of such interest to the lender of the Secondary Loan shall be deemed an Event of Default under the Loan Documents.