THIS SECURITY AGREEMENT (the “Agreement”) is made as of March 13, 2008, by SUNRISE
SENIOR LIVING, INC., a Delaware corporation (the “Company”), SUNRISE SENIOR LIVING
MANAGEMENT, INC., a Virginia corporation, SUNRISE SENIOR LIVING INVESTMENTS, Inc., a
Virginia corporation, SUNRISE DEVELOPMENT INC., a Virginia corporation, SUNRISE SENIOR LIVING
SERVICES, INC., a Delaware corporation, (together with the Company, the “Loan Parties” and each a “Loan
Party”) and BANK OF AMERICA, N.A., as Administrative Agent, Swing Line Lender and Letter of Credit
Issuer (the “Administrative Agent”) for itself and certain additional lenders who are or shall be from time to time
participating as lenders pursuant to the Credit Agreement as hereinafter defined (collectively with the
Administrative Agent, the “Lenders”).
A. The Lenders have made a Credit Facility available to the Company in the maximum principal sum at any
one time outstanding of $250,000,000 (the “Loan”).
B. The Credit Facility is governed by a Credit Agreement dated December 2, 2005 as amended by that
certain First Amendment to Credit Agreement dated March 6, 2006, that certain Second Amendment to Credit
Agreement dated January 31, 2007, that certain Third Amendment to Credit Agreement dated June 27, 2007,
that certain Fourth Amendment to Credit Agreement dated September 17, 2007, that certain Fifth Amendment
to Credit Agreement dated January 31, 2008, that certain Sixth Amendment to Credit Agreement dated
February 19, 2008 and that certain Seventh Amendment to Credit Agreement dated of even date herewith (as
amended, modified, substituted, extended and renewed from time to time the “Credit Agreement”) by and
between the Company and the Lenders. Unless otherwise expressly defined in this Agreement, terms defined in
the Credit Agreement shall have the same meaning under this Agreement.
C. The Company and the Lenders have agreed to modify the delivery deadlines for certain financ