Common use of Title Documents Clause in Contracts

Title Documents. NetREIT shall have until the expiration of the Due Diligence Deadline to either approve the exceptions to title and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations.

Title Documents. NetREIT Buyer shall have until the expiration of the Due Diligence Deadline to either approve of the exceptions to title and other matters contained in the Title Documents or to deliver written notice to LGI De Seller (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT Buyer objects (collectively, "Title Objections"). NetREITBuyer's failure to timely deliver a Title Objection Notice shall be deemed to be NetREITBuyer's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT Buyer upon the expiration of the Due Diligence Deadline. NetREIT Buyer shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREITBuyer. LGI De Seller shall have a period of five two (52) Business Days after LGI DeSeller's receipt of the Title Objection Notice to elect by written notice to NetREIT Buyer (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT Buyer that LGI De Seller is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De Seller shall be at LGI DeSeller's sole option and discretion; it being understood LGI De Seller has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI DeSeller). If LGI De Seller fails to timely deliver to NetREIT Buyer the Title Response Notice, it shall be conclusively deemed that LGI De Seller has informed NetREIT Buyer that LGI De Seller is unable or unwilling to remove or cure any of the Title Objections. If LGI De Seller advises NetREIT Buyer in LGI DeSeller's Title Response Notice (or is deemed to have advised NetREITBuyer) that LGI De Seller is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT Buyer shall have until the date that is ten two (102) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De Seller in accordance with Section 4.3 4.2 below. Notwithstanding anything to the contrary contained in this Agreement, NetREITBuyer's delivery of an Approval Notice to LGI De Seller pursuant to Section 4.3 4.2 below shall be deemed to be NetREITBuyer's election to waive all Title Objections with respect to the Title Documents and NetREITBuyer's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT Buyer shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT Buyer must deliver any Title Objection Notice to LGI De Seller within five (5) Business Days after NetREITBuyer's receipt of the amendment or supplement to the Title Report and NetREIT Buyer must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De Seller advises NetREIT Buyer in LGI DeSeller's subsequent Title Response Notice (or is deemed to advise NetREITBuyer) that LGI De Seller is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI DeSeller's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De Seller has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b4.3.1(b) below, in which event, unless NetREIT Buyer withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT Buyer (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT Buyer hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREITBuyer's Surviving Obligations. Notwithstanding the foregoing, on or prior to Closing, Seller shall remove or cause to be removed any deed of trust or other lien upon the Property securing a liquidated sum of money which Seller has created other than current Property Taxes not yet due and payable and specifically excluding any such liens or matters created or caused by Buyer or any tenant on the Property.

Title Documents. NetREIT Within twenty (20) days after the execution and delivery of this Agreement, Sellers shall have until the expiration deliver to Purchaser, or to Purchaser's attorney, a copy of Sellers' existing title policy, tax search and existing survey of the Due Diligence Deadline Lakes Property and GWH Property. Purchaser shall satisfy itself that it is covered by the existing title policy. If Purchaser is not so satisfied, it will obtain from the Title Company a commitment for title insurance showing that Sellers hold a good and marketable title to either approve the Lakes Property and GWH Property. Purchaser shall, within thirty (30) days of the delivery of the existing policy or the title insurance commitment (whichever is later), deliver to Sellers a written statement of all objections to conditions disclosed by the survey and to any exceptions to title and other matters contained set forth in the Title Documents or to deliver written notice to LGI De title insurance commitment obtained by Purchaser (the "Title Objection Notice") specifying any foregoing survey and title objections or other matters in the Title Documents being collectively referred to which NetREIT objects (collectively, herein as "Title Purchaser's Objections"). NetREITPurchaser's failure Objections may include an easement, covenant or other restriction whether of record or not. Sellers shall, within ten (10) days of the delivery of Purchaser's Objections to timely deliver a Title Objection Notice Sellers' attorneys, give notice to Purchaser's attorney as to whether Sellers will cure all Purchaser's Objections on or prior to the Closing, or which of such objections Sellers will refuse to cure. If Sellers' notice indicates that Sellers refuse to cure any Purchaser's Objections, then Purchaser may, within ten (10) days of the giving of such notice to Purchaser's attorney, elect by notice given to Sellers to terminate this Agreement, in which event all rights and liabilities of the parties by reason of this Agreement shall be deemed at an end. If Purchaser shall not so elect to terminate this Agreement, Purchaser shall be deemed to be NetREIThave waived such Purchaser's approval Objections which Sellers shall refuse to cure. Sellers shall, at Closing, convey marketable title free and clear of all of Purchaser's Objections which Seller agreed in Sellers' notice Sellers would cure. In addition, and notwithstanding anything to the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter contrary set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy this Agreement, Sellers shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure cure, at or prior to the Closing some Closing, any lien, claim, easement, restriction, covenant or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until encumbrance arising after the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREITPurchaser's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREITPurchaser's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving ObligationsClosing.

Title Documents. NetREIT Seller has delivered or made available to Buyer (i) a preliminary title report for the Property dated April 30, 2010, issued by Title Company (the “Title Report”), along with all documents, whether recorded or unrecorded, referred to in the Title Report (“Title Documents”) and (ii) an ALTA survey of the Property dated December 14, 2004 (the “Survey”). Buyer shall have until the expiration of the Due Diligence Deadline Contingency Period to either approve the exceptions give Seller written notice of Buyer’s disapproval of any condition or exception to title and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and or any update thereof obtained by NetREIT upon the expiration other condition of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Property disclosed by the Survey (“Buyer’s Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De”). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable Buyer disapproves of any such matter of title or unwilling to remove or cure any condition of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title ObjectionsProperty, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreementthen, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions, exceptions and other conditions, if any, that Seller elects to eliminate as exceptions to title, or otherwise to correct. Seller’s failure to deliver Seller’s Title Notice within such five (5) day period shall be deemed Seller’s election not to eliminate any conditions and exceptions noted in Buyer’s Title Notice. Upon delivery of Seller’s Title Notice, or failure of such delivery to Buyer, Buyer shall have three (3) business days within which to approve or disapprove same. If Buyer approves of Seller’s Title Notice, then Seller shall eliminate by the amendment Closing Date, those disapproved conditions and exceptions that Seller has elected to eliminate in Seller’s Title Notice; and any failure to eliminate such exceptions or supplement cure such objections shall constitute a default by Seller giving rise to the rights established pursuant to Section 16 below. Any cure of a Buyer title objection which Seller proposes to effectuate by an endorsement to the Title Report and NetREIT must Policy (below defined) shall be subject to Buyer’s approval, not to be withheld unreasonably (any such approved endorsement is a “Seller Endorsement”). If Buyer does not approve of Seller’s Title Notice, then Buyer, in its sole discretion, may elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) belowAgreement, in which event, unless NetREIT withdraws such Title Objection(s) in writing, event the ▇▇▇▇▇▇▇ Money shall be refunded immediately to Buyer and this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder force or effect, except for NetREIT's Surviving Obligationsas expressly provided otherwise herein. All title exceptions not objected to by Buyer and all title exceptions Seller elects not to eliminate in Seller’s Title Notice shall be, subject to Buyer’s foregoing termination right, “Permitted Exceptions.”

Title Documents. NetREIT On or before the fifth (5th) day following the Effective Date, Seller shall deliver to Buyer a preliminary commitment for title insurance issued by Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until the expiration five (5) days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval give Seller written notice of all Buyer’s disapproval of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by affecting the Property (“Buyer’s Title DocumentsNotice”). If Buyer disapproves of any such matter of title, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedthen, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller elects to eliminate from the amendment title policy and as exceptions to title, or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reportcorrect. Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior to Closing those specified deliver Seller’s Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice within such five (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) 5)-day period shall be deemed Seller’s election not to be a failure eliminate from the title policy the title conditions and exceptions noted in Buyer’s Title Notice. If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations.title

Title Documents. NetREIT No later than Seven (7) business days following the Effective Date, Seller shall have until deliver to Buyer a preliminary report of title for the expiration of the Due Diligence Deadline to either Property (“Preliminary Report”). Buyer shall approve the exceptions to or disapprove each title and other matters contained exception, as set forth in the Title Documents or to deliver Preliminary Report by written notice to LGI De Seller within Twenty (20) calendar days of receiving the "Title Objection Notice") specifying Preliminary Report. Buyer’s failure to provide written notice of objection to any title objections or other matters exception listed in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice Preliminary Report within such time period shall be deemed to be NetREIT's Buyer’s approval of title to the Property. If Buyer objects to any title exception, Seller shall use its best efforts to remove from title or otherwise satisfy each such exception no later than Twenty (20) calendar days after Seller receives Buyer’s notice of disapproval and in a form that is reasonably satisfactory to Buyer. If necessary, Seller shall have until the Close of Escrow to remove those title exceptions which the Seller agrees to remove. If Seller, after commercially reasonable efforts to remove or have eliminated from title, is unable to remove or satisfy any title exception to the satisfaction of Buyer, Buyer shall have the option, in its sole discretion, to terminate this Agreement, or to accept title subject to such exception. If Buyer elects to terminate this Agreement, the Initial Deposit, and all other funds and documents deposited into escrow by or on behalf of Buyer shall be returned to Buyer, and thereafter neither Seller nor Buyer shall have any further obligations hereunder except as expressly set forth herein. It shall be a condition to the Close of Escrow that Title Company shall deliver to Buyer no later than Five (5) business days prior to the Close of Escrow, a title commitment for a California Land Title Association (“CLTA”) Standard Coverage Policy (“Title Policy”) (or at Buyer’s election, an American Land Title Association (“ALTA”) Extended Coverage Policy) to be issued by Title Company in the amount of the Purchase Price, for the benefit and protection of Buyer, showing fee simple title to the Property vested in Buyer, subject only to the Permitted Exceptions and the standard preprinted exceptions for the form of policy selected by Buyer, including such endorsements as may reasonably be requested by Buyer, and committing Title Company to title and other matters shown in or disclosed by issue the Title Documents and any update thereof obtained by NetREIT Policy to Buyer upon the expiration Close of Escrow. If the Due Diligence Deadline. NetREIT shall not Buyer elects to obtain an ALTA Extended Coverage Policy, the printed exceptions and exclusions to the Buyer’s Title Policy would be entitled those common to deliver a Title Objection Notice that is subject to any condition ALTA Extended Coverage Policies other than the issuance “arbitration” provisions which shall be deleted. If the title insurer issues a supplemental or amended preliminary report by reason of a title endorsement as part an ALTA Survey requested by Buyer, then the Buyer shall have Twenty (20) business days from the Buyer’s receipt of supplemental or amended preliminary report to notify Seller of any objection the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject Buyer has to any condition other than the issuance new matter(s) shown. Buyer’s failure to provide written notice of a title endorsement as part of the Title Policy objection to any new matter within such time period shall be deemed to be a Title Objection which has been objected Buyer’s approval of new matter. If Buyer objects to by NetREIT. LGI De any new matter(s), Seller shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt use its best efforts to remove from title or cure at or prior to the Closing some or all otherwise satisfy each such exception no later than Twenty (20) business days after Seller receives Buyer’s notice of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De)disapproval. If LGI De fails to timely deliver to NetREIT the Title Response Noticenecessary, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT Seller shall have until the date that Close of Escrow to remove those title exceptions which the Seller agrees to remove. If Seller, after commercially reasonable efforts to remove or have eliminated from title, is ten (10) Business Days after receipt of the Title Response Notice unable to either terminate this Agreement remove or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything satisfy any title exception to the contrary contained satisfaction of Buyer, Buyer shall have the option, in its sole discretion, to terminate this Agreement, NetREIT's delivery of an Approval Notice or to LGI De pursuant accept title subject to Section 4.3 below shall be deemed such exception. If Buyer elects to be NetREIT's election to waive all Title Objections with respect to terminate DocuSign Envelope ID: 05DD2D90-3F51-43B9-A2A3-98F31EE53779 this Agreement, the Title Documents and NetREIT's approval of the Title Documents Initial Deposit, and all title exceptions other funds and other matters disclosed thereby. If any amendment documents deposited into escrow by or supplement to the Title Report issued after the expiration on behalf of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit Buyer shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay)Buyer, and the parties thereafter neither Seller nor Buyer shall have no any further obligations hereunder except for NetREIT's Surviving Obligationsas expressly set forth herein.

Title Documents. NetREIT (A) Within ten (10) days following the Effective Date, Seller shall, deliver any Title Search and survey(s) pertaining to the Seller’s Property, including the Premises and the Temporary Use Property, in Seller’s possession, for examination by Purchaser, to Purchaser’s legal counsel, together with current fiscal years’ tax receipts for the Premises and the Temporary Use Property, a letter or statement from the municipal entity providing water to the Premises and the Temporary Use Property showing that all water/sewer bills have been paid current, and UCC and Judgment Search results (collectively, the “Title Documents”). The Title Search, Survey of the Seller’s Property and Documents may be provided in electronic pdf format or paper form, or both. (B) Within ten (10) days following Purchaser’s attorney’s receipt of the last of the Title Documents (“Title Review Period”), Purchaser shall cause title to the Premises and the Temporary Use Property to be examined and promptly provide a title report or title insurance commitment to Seller’s attorney, indicating any Encumbrances that render title to the Premises and the Temporary Use Property unmarketable or that would interfere with Purchaser’s intended use of the Premises and the Temporary Use Property (the “Objectionable Encumbrances”). If, prior to the expiration of the Title Review Period, Purchaser shall fail to give Seller written notice of any Objectionable Encumbrances, Purchaser shall be conclusively deemed to have until waived any objections to the title to the Premises and the Temporary Use Property and any survey matters other than any Objectionable Encumbrances that are first disclosed after the earlier of the last continuation date of the Title Search delivered to Purchaser’s attorney and the date of the Survey. If, however, prior to the expiration of the Due Diligence Deadline Period, Purchaser delivers to either approve Seller written notice of Objectionable Encumbrances, which notice is sufficient if the exceptions to title and other matters contained objections are listed in the Title Documents title commitment or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectivelyreport, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is within ten (10) Business Days after days of its receipt of the Title Response Notice title report from Purchaser, Seller shall in good faith endeavor to either terminate cure such Objectionable Encumbrances. Notwithstanding the foregoing provisions of this Agreement Section 5(B), Objectionable Encumbrances pertaining to mortgages, judgments, tax liens, tax warrants or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 belowsecurity agreements of a definite or ascertainable amount shall be removed by Seller by the payment of money at the time of Closing. Notwithstanding anything to the contrary contained herein, if Seller shall fail to effect such cure within ten (10) days, Purchaser may, in its sole discretion, elect to: (1) accept such title as Seller shall be able to convey; (2) endeavor to obtain a commitment for fee title insurance at standard rates insuring Purchaser against collection of all Objectionable Encumbrances from, and enforcement of all Objectionable Encumbrances against the Premises or the Temporary Use Property (“Owner’s Policy”); or (3) terminate this AgreementAgreement by giving written notice to Seller, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below whereupon this Agreement shall be deemed to be NetREIT's election to waive all Title Objections with respect terminated as of the date of such notice, and thereafter neither Party will have any obligation or liability to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed Party under this Agreement except those which, by the Title Documentsterms of this Agreement, NetREIT survive Closing or the termination of this Agreement. (C) At Closing, Purchaser shall have pay for the same rights cost of any owner’s title insurance policy for the Premises and the Temporary Use Property, it elects to object to such new defect or exception as provided above with respect to the Title Documents; providedobtain, however, NetREIT must deliver including coverage for any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREITObjectionable Encumbrance(s) that LGI De is unable or unwilling Purchaser agrees to cure some or all of accept with an owner’s title insurance policy insuring over the Title Objections regarding the amendment or supplement to the Title Report. Except uncured Objectionable Encumbrance(s) as provided in Section 5(B) above, at Closing, Purchaser shall pay the immediately following sentencefull premium for the Owner’s Policy to be issued on behalf of Purchaser. (D) Seller shall order payoff statements from all mortgage holders/servicers and from all lienholders which mortgages and liens affect the Premises and the Temporary Use Property and shall deliver the same to Purchaser, LGI De's failure together with paid real property tax receipts, water and user fee statements not less than seven (7) days before the date of Closing. Seller shall be obligated to remove pay all lien holders from the proceeds of sale and arrange for all releases or cure at or prior discharges of the liens to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether be delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed Purchaser’s attorney for recording. Purchaser may issue payments to be a failure lien holders and receive full credit against the balance of the Closing Condition in Section 4.4.1(bPurchase Price payable to Seller on the date of Closing. (E) belowNotwithstanding anything to the contrary contained herein, in which eventPurchaser has obtained at its sole cost and expense, unless NetREIT withdraws such a Commitment for Title Objection(s) in writingInsurance Number 2013-3405DIR, this Agreement shall terminateissued by Chicago Title Insurance Company, attached hereto and made a part hereof as Exhibit D, and the Deposit Surveys depicting the Premises and the Temporary Use Property. Seller shall be returned remove or cause to NetREIT (less one-half (1/2) remove at the Closing those title exceptions or Objectionable Encumbrances to Title as follows: Schedule B, Section II: 1 through 8, inclusive, 12 and any other Objectionable Encumbrances that Purchaser may determine to exist upon continuation of any escrow the Tax and title cancellation fees Title Search and chargesUCC Search after the Effective Date and before the Closing. Otherwise, which NetREIT hereby ▇▇▇▇▇▇▇▇▇ agrees to pay), accept and not object to other objections or Encumbrances to the title to the Premises and the parties Temporary Use Property as set forth in such Title Commitment; and provided that Purchaser shall have no further obligations hereunder except for NetREIT's Surviving Obligationsnot be obligated to complete the purchase under this Agreement unless Seller shall convey to Purchaser at Closing good and marketable or insurable title to the Premises in accordance with the provisions of this Agreement.

Title Documents. NetREIT On the Effective Date, Seller shall instruct the Title Company to deliver to Buyer a preliminary commitment for title insurance issued by the Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until five (5) business days following the expiration later of the Due Diligence Deadline to either approve Effective Date or Buyer’s receipt of the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects give Seller written notice of Buyer’s disapproval of any condition or exception to title affecting the Property (collectively, "“Buyer’s Title Objections"Notice”). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval If Buyer disapproves of all any such matter of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of title, then, within five (5) Business Days days after LGI De's Seller’s receipt of the Buyer’s Title Objection Notice to elect by Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller agrees to NetREIT eliminate from the title policy and as exceptions to title, or otherwise to correct. Seller’s failure to deliver Seller’s Title Notice within such five (5)-day period shall be deemed Seller’s election not to eliminate from the "title policy the title conditions and exceptions noted in Buyer’s Title Response Notice") . If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy, by the Closing Date, those disapproved title conditions and exceptions that Seller has elected to either (i) attempt eliminate in Seller’s Title Notice, and any failure to remove eliminate such exceptions or cure at or prior such objections shall constitute a default by Seller giving rise to the Closing some or rights established pursuant to Section B.16 below. If Buyer does not approve of Seller’s Title Notice, this Agreement shall terminate as provided in Section 7. All title exceptions not objected to by Buyer and all of the title exceptions Seller elects not to eliminate in Seller’s Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De Notice shall be at LGI De's sole option and discretion; it being understood LGI De “Permitted Exceptions.” Notwithstanding anything to the contrary herein, Seller has no obligation to remove or cure any Title Objections (other than matter of title unless Seller has expressly agreed to do so as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations.

Title Documents. NetREIT On or before the third (3rd) day following the Effective Date, Seller shall instruct the Title Company to deliver to Buyer, by email transmission or any other commercially reasonable means, a preliminary commitment for title insurance issued by the Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (the “Title Documents”). Buyer shall have until the expiration three (3) days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval give Seller written notice of all Buyer’s disapproval of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by affecting the Property (“Buyer’s Title DocumentsNotice”). If Buyer timely disapproves of any such matter of title, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedthen, however, NetREIT must deliver any Title Objection Notice to LGI De within five three (53) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller agrees to eliminate from the amendment title policy and as exceptions to title or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two correct (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reporte.g., by obtaining appropriate endorsements). Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior to Closing those specified deliver Seller’s Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice within such three (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) 3)-day period shall be deemed Seller’s delivery to be Buyer of a failure Seller’s Title Notice in which Seller does not agree to eliminate from the title policy or otherwise to correct any of the title conditions and exceptions noted in Buyer’s Title Notice. Within one (1) day after Seller’s delivery or deemed delivery to Buyer of Seller’s Title Notice, Buyer shall give written notice to Seller of Buyer’s approval or disapproval of Seller’s Title Notice (with any failure on the part of Buyer to give such notice to Seller in a timely manner being deemed Buyer’s disapproval of Seller’s Title Notice). If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy or otherwise correct, by the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations.Date,

Title Documents. NetREIT On or before the fifth (5th) day following the Effective Date, Seller shall deliver to Buyer a preliminary commitment for title insurance issued by Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until the expiration five (5) days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval give Seller written notice of all Buyer’s disapproval of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by affecting the Property (“Buyer’s Title DocumentsNotice”). If Buyer disapproves of any such matter of title, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedthen, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller elects to eliminate from the amendment title policy and as exceptions to title, or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reportcorrect. Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior deliver Seller’s Title Notice within such five (5)-day period shall be deemed Seller’s election not to eliminate from the title policy the title conditions and exceptions noted in Buyer’s Title Notice. If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy, by the Closing Date, those specified Title Objections which LGI De disapproved title conditions and exceptions that Seller has elected to attempt eliminate in Seller’s Title Notice, and any failure to remove eliminate such exceptions or cure in any Title Response Notice (whether delivered prior such objections shall constitute a default by Seller giving rise to the Due Diligence Deadline or any subsequent rights established pursuant to Section 16 below. If Buyer does not approve of Seller’s Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, terminate as provided in Section 7. All title exceptions not objected to by Buyer and the Deposit all title exceptions Seller elects not to eliminate in Seller’s Title Notice shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations“Permitted Exceptions.”

Title Documents. NetREIT a. No later than January 31, 2007, Seller shall deliver to Buyer a current Title Insurance Commitment (“Commitment”) from a title company selected by Buyer (“Title Company”) with respect to the Property, together with clear copies of all exceptions to title listed therein (“Permitted Exceptions”) and a certificates of taxes due with respect to the Property or other evidence acceptable to Buyer of the status of taxes (the “Tax Certificate”). The Commitment shall reflect that the amount of the policy coverage shall be no less than the Purchase Price. Buyer shall have until the expiration one hundred eighty days after delivery of the Due Diligence Deadline Commitment, the Permitted Exceptions, and the Tax Certificate (the “Title Documents”) to either approve notify Seller of any objections to said Title Documents. If Seller receives notice of unmerchantability of title or any other unsatisfactory title condition, Seller may use reasonable efforts to correct said items and bear any nominal expense to correct the exceptions same within thirty days. If such unsatisfactory title condition is not corrected to title Buyer’s satisfaction within that time, this contract shall then terminate and other matters contained in the Title Documents or to deliver Option consideration shall be refunded; provided, however, Buyer may, by written notice received by Seller within three days, waive objection to LGI De (such items and continue the "Title Objection Notice") specifying any Option. If Seller does not receive Buyer’s notice by the date specified above, Buyer accepts the condition of title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or as disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration as satisfactory. b. Within ten days of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a exercise of option, Seller will provide an updated Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five Insurance Commitment (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De“Updated Commitment”). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to Buyer will then have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is an additional ten (10) Business Days after receipt days to make any objections to the Updated Commitment. Buyer’s objections shall be limited to any new title exceptions that were not previously accepted by Buyer pursuant to part (a) above. If Buyer makes an objection pursuant to the terms of this paragraph, Seller shall have until closing to clear the title back to the state of title per the Title Response Notice Commitment set forth in subpart (a) above. If Seller fails to clear the title as provided herein, Purchaser shall have the option to either terminate this Agreement Option on or before the closing date, whereupon Seller will refund the Option Price to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De Buyer within five ten (510) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure days of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement date; or Purchaser may waive its objection to the condition of title and closing shall terminate, and occur on the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligationsclosing date.

Title Documents. NetREIT On or before the fifth (5th) day following the Effective Date, Seller shall deliver to Buyer a preliminary commitment for title insurance issued by Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until the expiration three (3) days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval give Seller written notice of all Buyer’s disapproval of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by affecting the Property (“Buyer’s Title DocumentsNotice”). If Buyer disapproves of any such matter of title, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedthen, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller elects to eliminate from the amendment title policy and as exceptions to title, or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reportcorrect. Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior deliver Seller’s Title Notice within such five (5)-day period shall be deemed Seller’s election not to eliminate from the title policy the title conditions and exceptions noted in Buyer’s Title Notice. If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy, by the Closing Date, those specified Title Objections which LGI De disapproved title conditions and exceptions that Seller has elected to attempt eliminate in Seller’s Title Notice, and any failure to remove eliminate such exceptions or cure in any Title Response Notice (whether delivered prior such objections shall constitute a default by Seller giving rise to the Due Diligence Deadline or any subsequent rights established pursuant to Section 16 below. If Buyer does not approve of Seller’s Title Response Notice by written notice to Seller given within five (5) days after Seller's Title Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, terminate as provided in Section 7. All title exceptions not objected to by Buyer and the Deposit all title exceptions Seller elects not to eliminate in Seller’s Title Notice shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations“Permitted Exceptions.”

Title Documents. NetREIT On or before the fifth (5th) day following the Effective Date, Seller shall deliver to Buyer a preliminary commitment for title insurance issued by Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until the expiration five (5) days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects give Seller written notice of Buyer’s disapproval of any condition or exception to title affecting the Property (collectively, "“Buyer’s Title Objections"Notice”). NetREIT's failure If Buyer fails to timely deliver give Seller a Buyer’s Title Objection Notice shall be deemed within such five (5) day period, then the title to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement Property as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy Preliminary Commitments shall be deemed to be a Title Objection which has been objected to approved by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or Buyer for all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of purposes under this Section 4.1.1 as to monetary liens created by LGI De)Agreement. If LGI De fails to timely deliver to NetREIT the Buyer gives Seller a Buyer’s Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objectionsthen, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions stated in Buyer’s Title Notice, if any, that Seller elects to eliminate from the amendment title policy and as exceptions to title, or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reportcorrect. Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior deliver Seller’s Title Notice within such five (5)-day period shall be deemed Seller’s election not to eliminate from the title policy the title conditions and exceptions noted in Buyer’s Title Notice. If Buyer does not approve of Seller’s Title Notice Buyer shall so notify Seller in writing within three (3) days of receipt of Seller’s Title Notice, and if Buyer fails to give Seller such written notice within such three (3) day period, then Seller’s Title Notice shall be deemed approved by Buyer for all purposes under this Agreement. If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy, by the Closing Date, those specified Title Objections which LGI De disapproved title conditions and exceptions that Seller has elected to attempt eliminate in Seller’s Title Notice, and any failure to remove eliminate such exceptions or cure in any Title Response Notice (whether delivered prior such objections shall constitute a default by Seller giving rise to the Due Diligence Deadline or any subsequent rights established pursuant to Section 16 below. If Buyer does not approve of Seller’s Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations.terminate as provided in Section 7. All title

Title Documents. NetREIT shall have until Buyer will cause, concurrently with the expiration establishment of Escrow pursuant to Section 4, the Due Diligence Deadline Title Company to either approve deliver to Buyer and Seller an updated preliminary title report (“Preliminary Report”) on the exceptions to title Property issued by the Title Company, setting forth all liens, encumbrances, easements, restrictions, conditions, pending litigation, judgments, administrative proceedings, and other matters contained of record affecting Seller’s title to the Property, together with complete and legible copies of all documents relating to exceptions listed in the Preliminary Report (“Title Exceptions”). Buyer shall approve or disapprove each Title Exception as set forth in the Title Documents or to deliver written notice to LGI De Report within twenty (20) days following the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections")Effective Date. NetREIT's Buyer’s failure to timely deliver a disapprove any Title Objection Notice Exceptions within such time period shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents Exceptions, which shall thereafter constitute “Permitted Exceptions.” If Buyer objects to any Title Exception within such twenty (20) day period, Seller shall use its best efforts at Seller’s sole expense to remove from title or otherwise satisfy each such exception no later than seven (7) business days prior to the Close of Escrow and all title exceptions and other matters disclosed therebyin a form that is reasonably satisfactory to Buyer. If Seller fails to remove or satisfy any amendment or supplement title exception to the Title Report issued after the expiration satisfaction of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title DocumentsBuyer, NetREIT Buyer shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedoption, howeverin its sole discretion, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement Agreement, or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (to accept title subject to such exception. If Buyer elects to terminate this Agreement, all funds and documents deposited into Escrow by or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all on behalf of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit Buyer shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay)Buyer, and the parties thereafter neither Seller nor Buyer shall have no any further obligations hereunder except as expressly set forth herein.‌ It shall be a condition to the Close of Escrow that Title Company shall deliver to Buyer no later than seven (7) business days prior to the Close of Escrow, a title commitment for NetREIT's Surviving Obligationsa CLTA Owner’s Title Insurance Policy (“Title Policy”) (or at Buyer’s election, an ALTA Owner’s Title Insurance Policy) to be issued by Title Company in the amount of $2,980,000 for the benefit and protection of Buyer, showing fee simple title to the Property vested in Buyer, subject only to the Permitted Exceptions, including such endorsements as may reasonably be requested by Buyer, and committing Title Company to issue the Title Policy to Buyer upon the Close of Escrow.

Title Documents. NetREIT On or before the fifth (5th) business day following the Effective Date, Seller shall deliver to Buyer a preliminary commitment for title insurance issued by Title Company (the “Preliminary Commitment”), along with all documents, whether recorded or unrecorded, referred to in the Preliminary Commitment (“Title Documents”). Buyer shall have until the expiration five (5) business days following Buyer’s receipt of the Due Diligence Deadline to either approve the exceptions to title Preliminary Commitment and other matters contained in the Title Documents or to deliver written notice to LGI De (the "Title Objection Notice") specifying any title objections or other matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval give Seller written notice of all Buyer’s disapproval of the exceptions to title and other matters shown in or disclosed by the Title Documents and any update thereof obtained by NetREIT upon the expiration of the Due Diligence Deadline. NetREIT shall not be entitled to deliver a Title Objection Notice that is subject to any condition other than the issuance of a title endorsement as part of the Title Policy and any title exception or other matter set forth in the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") to either (i) attempt to remove or cure at or prior to the Closing some or all of the Title Objections, or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or to waive such Title Objections pursuant to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by affecting the Property (“Buyer’s Title DocumentsNotice”). If Buyer disapproves of any such matter of title, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; providedthen, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days business days after NetREIT's Seller’s receipt of Buyer’s Title Notice, Seller shall give Buyer written notice (“Seller’s Title Notice”) of those disapproved title conditions and exceptions, if any, that Seller elects to eliminate from the amendment title policy and as exceptions to title, or supplement otherwise to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Reportcorrect. Except as provided in the immediately following sentence, LGI De's Seller’s failure to remove or cure at or prior deliver Seller’s Title Notice within such five (5)- business day period shall be deemed Seller’s election not to eliminate from the title policy the title conditions and exceptions noted in Buyer’s Title Notice. If Buyer approves of Seller’s Title Notice, Seller shall eliminate from the title policy, by the Closing Date, those specified Title Objections which LGI De disapproved title conditions and exceptions that Seller has elected to attempt eliminate in Seller’s Title Notice, and any failure to remove eliminate such exceptions or cure in any Title Response Notice (whether delivered prior such objections shall constitute a default by Seller giving rise to the Due Diligence Deadline or any subsequent rights established pursuant to Section 16 below. If Buyer does not approve of Seller’s Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, terminate as provided in Section 7. All title exceptions not objected to by Buyer and the Deposit all title exceptions Seller elects not to eliminate in Seller’s Title Notice shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving Obligations“Permitted Exceptions.”

Title Documents. NetREIT Purchaser may obtain the following items at its expense, but Purchaser shall have until receive a credit at closing for any such out of pocket expenses: (i) a full land/title abstract covering the expiration Premises (minimum 80 year search) together with a current title “date down” dated subsequent to the date of this Agreement (“Abstract”), (ii) complete tax search for the Premises dated after the date of this Agreement (“Tax Search”), (iii) legible recorded copies of all encumbrances for the Premises (“Recorded Documents”), (iv) a survey according to Chautauqua County Bar Association standards for the Premises prepared by a land surveyor licensed in New York State which shall be certified to the Purchaser and then redated within thirty (30) days of the Due Diligence Deadline Closing Date (“Survey”) and (v) State and County UCC searches for the Seller and previous owners of the Premises for the five (5) years prior to either approve the exceptions to title and other matters contained in the Title Documents or to deliver written notice to LGI De date of this Agreement (“UCC Search”) (the "Abstract, Tax Search, Recorded Documents, Survey and UCC Searches are collectively referred to as the “Title Objection Notice") specifying Documents”). Purchaser may, in its sole and absolute discretion, disapprove any title objections exceptions or other survey matters in the Title Documents to which NetREIT objects (collectively, "Title Objections"). NetREIT's failure to timely deliver a Title Objection Notice shall be deemed to be NetREIT's approval of all of the exceptions to title and other matters shown in or disclosed by set forth on the Title Documents and shall notify Seller of any update thereof obtained by NetREIT upon the expiration such disapproved title exceptions (“Disapproved Encumbrances”). If within ten (10) days after receipt of notice of the Due Diligence Deadline. NetREIT shall not be entitled Disapproved Encumbrances, Seller is unable to deliver a Title Objection Notice that is subject to any condition other than cure, cause the issuance of a removal of, or obtain title endorsement as part of insurance (at Seller’s sole cost and expense) against the Title Policy and any title exception or other matter set forth in Disapproved Encumbrances, then Purchaser will have the Title Documents that is approved subject to any condition other than the issuance of a title endorsement as part of the Title Policy shall be deemed to be a Title Objection which has been objected to by NetREIT. LGI De shall have a period of five (5) Business Days after LGI De's receipt of the Title Objection Notice to elect by written notice to NetREIT (the "Title Response Notice") option to either (i) attempt waive the Disapproved Encumbrances and proceed to remove or cure at or prior to the Closing some or all of the Title Objections(as hereinafter defined), or (ii) to advise NetREIT that LGI De is unable or unwilling to remove or cure some or all of the Title Objections. Such election by LGI De shall be at LGI De's sole option and discretion; it being understood LGI De has no obligation to remove or cure any Title Objections (other than as provided in the last sentence of this Section 4.1.1 as to monetary liens created by LGI De). If LGI De fails to timely deliver to NetREIT the Title Response Notice, it shall be conclusively deemed that LGI De has informed NetREIT that LGI De is unable or unwilling to remove or cure any of the Title Objections. If LGI De advises NetREIT in LGI De's Title Response Notice (or is deemed to have advised NetREIT) that LGI De is unable or unwilling to remove or cure some or all of the Title Objections, then NetREIT shall have until the date that is ten (10) Business Days after receipt of the Title Response Notice to either terminate this Agreement or by notice to waive such Title Objections pursuant Seller in which event the Deposit and out of pocket expenses to an Approval Notice delivered to LGI De in accordance with Section 4.3 below. Notwithstanding anything third parties will be immediately refunded to the contrary contained in this Agreement, NetREIT's delivery of an Approval Notice to LGI De pursuant to Section 4.3 below shall be deemed to be NetREIT's election to waive all Title Objections with respect to the Title Documents and NetREIT's approval of the Title Documents and all title exceptions and other matters disclosed thereby. If any amendment or supplement to the Title Report issued after the expiration of the Due Diligence Deadline reveals any new material defect or exception to title not disclosed by the Title Documents, NetREIT shall have the same rights to object to such new defect or exception as provided above with respect to the Title Documents; provided, however, NetREIT must deliver any Title Objection Notice to LGI De within five (5) Business Days after NetREIT's receipt of the amendment or supplement to the Title Report and NetREIT must elect to terminate this Agreement or waive any Title Objections within two (2) Business Days after LGI De advises NetREIT in LGI De's subsequent Title Response Notice (or is deemed to advise NetREIT) that LGI De is unable or unwilling to cure some or all of the Title Objections regarding the amendment or supplement to the Title Report. Except as provided in the immediately following sentence, LGI De's failure to remove or cure at or prior to Closing those specified Title Objections which LGI De has elected to attempt to remove or cure in any Title Response Notice (whether delivered prior to the Due Diligence Deadline or any subsequent Title Response Notice) shall be deemed to be a failure of the Closing Condition in Section 4.4.1(b) below, in which event, unless NetREIT withdraws such Title Objection(s) in writing, this Agreement shall terminate, and the Deposit shall be returned to NetREIT (less one-half (1/2) of any escrow and title cancellation fees and charges, which NetREIT hereby agrees to pay), and the parties shall have no further obligations hereunder except for NetREIT's Surviving ObligationsPurchaser.