AMENDED AND RESTATED AMB 2005 NONQUALIFIED DEFERRED COMPENSATION PLAN

Exhibit 10.2

AMENDED AND RESTATED
AMB 2005
NONQUALIFIED DEFERRED COMPENSATION PLAN

TABLE OF CONTENTS

						Page
ARTICLE 1. DEFINITIONS							1
		1.1		“ Account Balance”			1
		1.2		“ Accounts”			2
		1.3		“ Administrator”			2
		1.4		“ Annual Bonus”			2
		1.5		“ Annual Company Contribution Amount”			2
		1.6		“ Annual Company Matching Amount”			2
		1.7		“ Annual Deferral Amount”			2
		1.8		“ Annual Installment Method”			2
		1.9		“ Base Annual Salary”			2
		1.10		“ Beneficiary”			2
		1.11		“ Beneficiary Designation Form”			3
		1.12		“ Board”			3
		1.13		“ Change in Control”			3
		1.14		“ Change in Control Benefits”			3
		1.15		“ Claimant”			3
		1.16		“ Code”			3
		1.17		“ Committee”			4
		1.18		“ Company”			4
		1.19		“ Company Contribution Account”			4
		1.20		“ Company Matching Account”			4
		1.21		“ Deduction Limitation”			4
		1.22		“ Deferral Account”			4
		1.23		“ Director”			4
		1.24		“ Directors Fees”			4
		1.25		“ Disability”			4
		1.27		“ Disability Benefits”			5
		1.28		“ Election Form”			5
		1.29		“ Employee”			5
		1.30		“ Employer(s)”			5
		1.31		“ ERISA”			5
		1.32		“ Equity Plan”			5
		1.33		“ Exchange Act”			5
		1.34		“ Fair Market Value”			5
		1.35		“ First Plan Year”			5
		1.36		“ Fixed Date Payout”			5
		1.37		“ Fixed Date Payout Account Balance”			5
		1.38		“ 401(k) Plan”			5
		1.39		“ Measurement Fund”			5
		1.40		“ Non-Employee Director”			6
		1.41		“ Officer”			6
		1.42		“ Participant”			6
		1.43		“ Partnership”			6
		1.44		“ Plan”			6
		1.45		“ Plan Year”			6
		1.46		“ Pre-Retirement Survivor Benefits”			6
		1.47		“ Quarterly Installment Method”			6
		1.48		“ Restricted Stock”			6
		1.49		“ Restricted Stock Account”			6
		1.50		“ Restricted Stock Amount”			6

		1.51		“Retirement,” “Retire(s)” or “Retired”			7
		1.52		“Retirement Benefits”			7
		1.53		“Rule 16b-3”			7
		1.54		“Securities Act”			7
		1.55		“Separation from Service”			7
		1.56		“Stock”			8
		1.57		“Stock Unit”			8
		1.58		“Termination Benefits”			8
		1.59		“Termination of Employment”			8
		1.60		“Trust”			8
		1.61		“Unforeseeable Financial Emergency”			8
		1.62		“Vesting Date”			9
		1.63		“Years of Service”			9
ARTICLE 2. SELECTION, ENROLLMENT, ELIGIBILITY							9
		2.1		Selection by Administrator			9
		2.2		Enrollment Requirements			9
		2.3		Eligibility Requirements; Commencement of Participation			9
		2.4		Termination of Participation and/or Deferrals			9
ARTICLE 3. DEFERRAL COMMITMENTS/COMPANY CONTRIBUTIONS/CREDITING/TAXES							10
		3.1		Election to Defer; Effect of Election Form			10
		3.2		Redeferral			10
		3.3		Special Elections During Transition Period			11
		3.4		Annual Minimum			12
		3.5		Maximum Deferral			12
		3.6		Accounts; Crediting of Deferrals			12
		3.7		Vesting			13
		3.8		Earnings Credits or Losses			13
		3.9		Distributions			15
ARTICLE 4. FIXED DATE PAYOUTS							15
		4.1		Fixed Date Payout			15
		4.2		Other Benefits Take Precedence Over Fixed Date			15
ARTICLE 5. DISTRIBUTIONS							15
		5.1		Retirement Benefit			15
		5.2		Pre-Retirement Survivor Benefit			16
		5.3		Termination Benefit			16
		5.4		Change in Control Benefit			16
		5.5		Disability Benefit			16
		5.6		Stock Distributions			17
		5.7		Delayed Distributions for Employee Participants			17
ARTICLE 6. UNFORESEEABLE FINANCIAL EMERGENCIES							17
		6.1		Withdrawal Payout/Suspensions for Unforeseeable Financial Emergencies			17
ARTICLE 7. BENEFICIARY DESIGNATION							17
		7.1		Beneficiary			17
		7.2		Beneficiary Designation; Change; Spousal Consent			17
		7.3		Acknowledgment			18
		7.4		No Beneficiary Designation			18
		7.5		Doubt as to Beneficiary			18

		7.6		Discharge of Obligations			18
ARTICLE 8. LEAVE OF ABSENCE							18
		8.1		Paid Leave of Absence			18
ARTICLE 9. TERMINATION, AMENDMENT OR MODIFICATION							18
		9.1		Termination With Respect to Account Balances			18
		9.2		Amendment			18
		9.3		Effect of Payment			19
ARTICLE 10. ADMINISTRATION							19
		10.1		Administrator Duties			19
		10.2		Binding Effect of Decisions			19
		10.3		Committee			19
		10.4		Indemnification			20
		10.5		Employer Information			20
ARTICLE 11. CLAIMS PROCEDURES							20
		11.1		Presentation of Claim			20
		11.2		Notification of Decision			20
		11.3		Review of a Denied Claim			21
		11.4		Decision on Review			21
		11.5		Designation			21
		11.6		Arbitration			21
ARTICLE 12. TRUST							21
		12.1		Establishment of the Trust			22
		12.2		Interrelationship of the Plan and the Trust			22
		12.3		Investment of Trust Assets			22
		12.4		Distributions From the Trust			22
		12.5		Limitations on Stock Distributed from the Trust			22
ARTICLE 13. PROVISIONS RELATING TO SECURITIES LAWS							22
		13.1		Designation of Participants			22
		13.2		Action by Committee			22
		13.3		Compliance with Section 16			22
		13.4		Committee Approval			23
ARTICLE 14. CERTAIN CORPORATE EVENTS							23
ARTICLE 15. MISCELLANEOUS							23
		15.1		Status of Plan			23
		15.2		Unsecured General Creditor			24
		15.3		Employer’s Liability			24
		15.4		Nonassignability			24
		15.5		Sources of Stock			24
		15.6		Tax Withholding			24
		15.7		Coordination with Other Benefits			25
		15.8		Compliance			25
		15.9		Not a Contract of Employment			25
		15.10		Furnishing Information			25
		15.11		Governing Law			25
		15.12		Notice			25
		15.13		Successors			26
		15.14		Spouse’s Interest			26

		15.15		Validity			26
		15.16		Incompetent			26
		15.17		Court Order			26
		15.18		Accelerated Distributions, Trust Distributions and Plan Interpretation			26
		15.19		Insurance			27
		15.20		Status of Company as a REIT			27

AMENDED AND RESTATED

AMB 2005

NONQUALIFIED DEFERRED COMPENSATION PLAN

Purpose

     AMB Property Corporation, a Maryland corporation (the “Company”) established the AMB Nonqualified Deferred Compensation Plan effective September 1, 1999, as amended and restated September 1, 2002 (the “Grandfathered Plan”) under which all deferred amounts were vested on or before December 31, 2004 and not subject to Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”). In order to preserve the exemption from Section 409A of the Code for the Grandfathered Plan, the vested amounts deferred thereunder and the earnings on such vested amounts so deferred, deferrals for amounts vested on or after January 1, 2005 shall no longer be allowed under the Grandfathered Plan.

     The Company previously adopted the AMB 2005 Nonqualified Deferred Compensation Plan for the benefit of a select group of management and highly compensated Employees and Directors who contribute materially to the continued growth, development and future business success of AMB Property, L.P., a Delaware limited partnership (the “Partnership”), and the Company and its subsidiaries, if any, that sponsor the plan. This plan was intended to comply with the provisions of and the Department of Treasury proposed and final rules, regulations and other guidance promulgated under Section 409A of the Code and not result in a penalty tax thereunder. In April 2007, the Department of Treasury issued final regulations pursuant to Section 409A of the Code. To conform with the final regulations, the Company hereby amends and restates the AMB 2005 Nonqualified Deferred Compensation Plan (as amended and restated, the “Plan”). Any deferred amounts under the Grandfathered Plan which were not earned and vested as of December 31, 2004 shall automatically transfer to this Plan. This Plan shall be unfunded for tax purposes and for purposes of Title I of ERISA.

     This Plan shall consist of two plans, one for the benefit of a select group of management and highly compensated employees of the Employers as described in Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA, and one for the benefit of Non-Employee members of the boards of directors of any Employer. To the extent required by law, the terms of this Plan applicable to Directors shall also constitute a separate written plan document with its terms set forth in the applicable portions of this Plan.

ARTICLE 1.
DEFINITIONS

     As used within this document, the following words and phrases have the meanings described in this Article 1 unless a different meaning is required by the context. Some of the words and phrases used in the Plan are not defined in this Article 1, but for convenience, are defined as they are introduced into the text. Words in the masculine gender shall be deemed to include the feminine gender. Any headings used are included for ease of reference only and are not to be construed so as to alter any of the terms of the Plan.

     1.1 “ Account Balance ” shall mean, with respect to a Participant, a credit on the records of the Employer equal to the sum of (i) the Deferral Account balance, (ii) the vested Company Contribution Account balance, (iii) the vested Company Matching Account balance, and (iv) the Restricted Stock Account balance. The Account Balance, and each other specified account balance, shall be a bookkeeping entry only and shall be utilized solely as a device for the measurement and determination of the amounts to be paid to a Participant, or his or her designated Beneficiary, pursuant to this Plan.

     1.2 “ Accounts ” of a Participant shall mean, as the context indicates, either or all of his or her Deferral Account, Company Contribution Account, Company Matching Account and Restricted Stock Account.

     1.3 “ Administrator ” shall mean the Committee appointed pursuant to Article 10 to administer the Plan, or such other person or persons to whom the Committee has delegated its duties pursuant to Article 10.

     1.4 “ Annual Bonus ” shall mean any compensation, in addition to Base Annual Salary relating to services performed during any calendar year, whether or not paid in such calendar year or included on the Federal Income Tax Form W-2 for such calendar year, payable to a Participant as an Employee under any Employer’s annual bonus and cash incentive plans, excluding stock options and restricted stock.

     1.5 “ Annual Company Contribution Amount ” shall mean, for any one Plan Year, the amount determined in accordance with Section 3.6(b).

     1.6 “ Annual Company Matching Amount ” for any one Plan Year shall be the amount determined in accordance with Section 3.6(c).

     1.7 “ Annual Deferral Amount ” shall mean that portion of a Participant’s Base Annual Salary, Annual Bonus and Directors Fees that a Participant elects to have, and is deferred, in accordance with Article 3, for any one Plan Year. In the event of a Participant’s Retirement, Disability, death or a Termination of Employment prior to the end of a Plan Year, such year’s Annual Deferral Amount shall be the actual amount withheld prior to such event.

     1.8 “ Annual Installment Method ” shall be an annual installment payment over the number of years selected by the Participant in accordance with this Plan, calculated as follows: The Account Balance of the Participant (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout) shall be calculated as of the close of business three business days prior to the last business day of the fourth quarter preceding the distribution. The annual installment shall be calculated by multiplying this balance by a fraction, the numerator of which is one, and the denominator of which is the remaining number of yearly payments due the Participant. By way of example, if the Participant elects a ten year Annual Installment Method, the first payment shall be 1/10 of the Account Balance (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout), calculated as described in this definition. The following year, the payment shall be 1/9 of the Account Balance (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout), calculated as described in this definition.

     1.9 “ Base Annual Salary ” shall mean the annual cash compensation relating to services performed during any calendar year, whether or not paid in such calendar year or included on the Federal Income Tax Form W-2 for such calendar year, excluding bonuses, commissions, overtime, fringe benefits, stock options, relocation expenses, incentive payments, non-monetary awards, directors fees and other fees, automobile and other allowances paid to a Participant for employment services rendered (whether or not such allowances are included in the Employee’s gross income). Base Annual Salary shall be calculated before reduction for compensation voluntarily deferred or contributed by the Participant pursuant to all qualified or non-qualified plans of any Employer and shall be calculated to include amounts not otherwise included in the Participant’s gross income under Code Sections 125, 132(f), 402(e)(3), 402(h), or 403(b) pursuant to plans established by any Employer; provided , however , that all such amounts will be included in compensation only to the extent that, had there been no such plan, the amount would have been payable in cash to the Employee.

     1.10 “ Beneficiary ” shall mean one or more persons, trusts, estates or other entities, designated in accordance with Article 7, that are entitled to receive benefits under this Plan upon the death of a Participant.

     1.11 “ Beneficiary Designation Form ” shall mean the form established from time to time by the Administrator that a Participant completes, signs and returns to the Administrator to designate one or more Beneficiaries.

     1.12 “ Board ” shall mean the board of directors of the Company.

     1.13 “ Change in Control ” shall mean any of the following events:

     (a) the complete liquidation of the Company or the sale or disposition by the Company of all or substantially all of the Company’s assets, or the disposition by the Company of more than fifty percent (50%) of its interest in the Partnership;

     (b) any Person (as defined below) is or becomes the Beneficial Owner (as defined below), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the combined voting power of the Company’s then outstanding securities. For purposes of this definition, (i) the term “Person” is used as such term is used in Sections 13(d) and 14(d) of the Exchange Act; provided , however , that the term shall not include the Company, any trustee or other fiduciary holding securities under an employee benefit plan of the Company, and any corporation owned, directly or indirectly, by the shareholders of the Company, in substantially the same proportions as their ownership of stock of the Company, and (ii) the term “Beneficial Owner” shall have the meaning given to such term in Rule 13d-3 under the Exchange Act;

     (c) during any period of twelve (12) consecutive months, individuals who at the beginning of such period constitute the Board, and any new director (other than a director designated by a person who has entered into an agreement with the Company to effect a transaction described in clauses (a), (b) or (d)) whose election by the Board or nomination for election by the Company’s shareholders was approved by a vote of at least two-thirds (2/3) of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved, cease for any reason to constitute at least a majority thereof; or

     (d) the consummation of a merger or consolidation of the Company with any other corporation (or other entity); provided , that , a Change in Control shall not be deemed to occur (i) as the result of a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) more than fifty percent (50%) of the combined voting power of the voting securities of the Company or such surviving entity outstanding immediately after such merger or consolidation or (ii) where more than fifty percent (50%) of the directors of the Company or the surviving entity after such merger or consolidation were directors of the Company immediately before such merger or consolidation.

     Notwithstanding the foregoing, a Change in Control shall be limited to such transactions as constitute a change in the ownership or effective control of the Company or in the ownership of a substantial portion of the assets of the Company within the meaning of Section 409A(a)(2)(A)(v) of the Code and the proposed and final Department of Treasury rules, regulations and other guidance promulgated thereunder,

     1.14 “ Change in Control Benefits ” shall mean the benefits set forth in Section 5.4.

     1.15 “ Claimant ” shall have the meaning set forth in Section 11.1.

     1.16 “ Code ” shall mean the Internal Revenue Code of 1986, as it may be amended from time to time.

     1.17 “ Committee ” shall mean the Compensation Committee of the Board or another committee or subcommittee of the Board appointed to administer the Plan pursuant to Article 10.

     1.18 “ Company ” shall mean AMB Property Corporation, a Maryland corporation, and any successor to all or substantially all of the Company’s assets or business.

     1.19 “ Company Contribution Account ” shall mean (i) the sum of all of a Participant’s Annual Company Contribution Amounts, plus (ii) amounts credited in accordance with all the applicable crediting provisions of this Plan that relate to the Participant’s Company Contribution Account, less (iii) all distributions made to the Participant or his or her Beneficiary pursuant to this Plan that relate to the Participant’s Company Contribution Account.

     1.20 “ Company Matching Account ” shall mean (i) the sum of all of a Participant’s Annual Company Matching Amounts, plus (ii) amounts credited in accordance with all the applicable crediting provisions of this Plan that relate to the Participant’s Company Matching Account, less (iii) all distributions made to the Participant or his or her Beneficiary pursuant to this Plan that relate to the Participant’s Company Matching Account.

     1.21 “ Deduction Limitation ” shall mean the following described limitation on a benefit that may otherwise be distributable pursuant to the provisions of this Plan. Except as otherwise provided, this limitation shall be applied to all distributions that are “subject to the Deduction Limitation” under this Plan. If an Employer determines in good faith prior to a Change in Control that there is a reasonable likelihood that any compensation paid to a Participant for a taxable year of the Employer would not be deductible by the Employer solely by reason of the limitation under Code Section 162(m), then to the extent deemed necessary by the Employer to ensure that the entire amount of any distribution to the Participant pursuant to this Plan prior to the Change in Control is deductible, the Employer may defer all or any portion of a distribution under this Plan. Any amounts deferred pursuant to this limitation shall continue to be credited/debited with additional amounts in accordance with Section 3.8 below, even if such amount is being paid out in installments. The amounts so deferred and amounts credited thereon shall be distributed to the Participant or his or her Beneficiary (in the event of the Participant’s death) at the earliest possible date, as determined by the Employer in good faith, on which the deductibility of compensation paid or payable to the Participant for the taxable year of the Employer during which the distribution is made will not be limited by Section 162(m). Notwithstanding anything to the contrary in this Plan, the Deduction Limitation shall not apply to any distributions made after a Change in Control.

     1.22 “ Deferral Account ” shall mean (i) the sum of all of a Participant’s Annual Deferral Amounts, plus (ii) amounts credited in accordance with all the applicable crediting provisions of this Plan that relate to the Participant’s Deferral Account, less (iii) all distributions made to the Participant or his or her Beneficiary pursuant to this Plan that relate to his or her Deferral Account.

     1.23 “ Director ” shall mean any member of the board of directors of the Company.

     1.24 “ Directors Fees ” shall mean the annual fees paid by the Company, including retainer fees and meetings fees, as compensation for serving on the board of directors.

     1.25 “ Disability ” shall mean that a Participant (a) is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (b) is, by reason of any medically undeterminable physical or mental impairment that can be expected to result in death or can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident or health plan covering employees of such Participant’s Employer, or (c) is determined to be totally disabled by the Social Security Administration. The existence

of a Disability under clause (a) and (b) shall be determined by the Administrator on the advice of a physician chosen by the Administrator.

     1.27 “ Disability Benefit s” shall mean the benefits set forth in Section 5.5.

     1.28 “ Election Form ” shall mean the form established from time to time by the Administrator that a Participant completes, signs and returns to the Administrator to make an election under the Plan.

     1.29 “ Employee ” shall mean a person who is an officer and employee of any Employer.

     1.30 “ Employer(s) ” shall initially mean AMB Property, L.P., but shall also include the Company and/or any of its subsidiaries (now in existence or hereafter formed or acquired) that have been selected by the Board to participate in the Plan and have adopted the Plan as a sponsor.

     1.31 “ ERISA ” shall mean the Employee Retirement Income Security Act of 1974, as it may be amended from time to time.

     1.32 “ Equity Plan ” shall mean any stock option or other incentive compensation plan which is maintained by the Company or AMB Property, L. P. and which provides for grants of restricted stock.

     1.33 “ Exchange Act ” shall mean the Securities Exchange Act of 1934, as amended.

     1.34 “ Fair Market Value ” of a share of Stock as of a given date shall be (a) the closing price of a share of Stock on the principal exchange on which shares of Stock are then trading, if any (or as reported on any composite index which includes such principal exchange), on such date, or if shares were not traded on such date, then on the next following date on which a trade occurred, or (b) if Stock is not traded on an exchange but is quoted on NASDAQ or a successor quotation system, the mean between the closing representative bid and asked prices for the Stock on such date as reported by NASDAQ or such successor quotation system; or (c) if Stock is not publicly traded on an exchange and not quoted on NASDAQ or a successor quotation system, the Fair Market Value of a share of Stock as established by the Administrator acting in good faith. In determining the Fair Market Value of the Stock, the Administrator may rely on the closing price as reported in the New York Stock Exchange composite transactions published in the Western Edition of the Wall Street Journal.

     1.35 “ First Plan Year ” shall mean the period beginning January 1, 2005 and ending December 31, 2005.

     1.36 “ Fixed Date Payout ” shall mean the payout set forth in Section 4.1.

     1.37 “ Fixed Date Payout Account Balance ” shall mean, with respect to a Participant, a credit on the records of the Employer equal to the sum of (i) the amount deferred by the Participant pursuant to an Election Form and with respect to which a Fixed Date Payout was elected, plus (ii) amounts credited or debited in the manner provided in Section 3.8 on such amount. The Fixed Date Payout Account Balance shall be a bookkeeping entry only and shall be utilized solely as a device for the measurement and determination of the amounts to be paid to a Participant, or his or her designated Beneficiary, pursuant to this Plan.

     1.38 “ 401(k) Plan ” shall mean that certain AMB Property, L.P. Savings and Retirement Plan, effective October 1, 1983, initially adopted by the Company’s predecessor-in-interest and as subsequently amended.

     1.39 “ Measurement Fund ” shall mean the investment fund or funds selected by the Administrator from time to time.

     1.40 “ Non-Employee Director ” shall mean a Director who is not an Employee of any Employer.

     1.41 “ Officer ” shall mean a person who is an officer of the Company and an employee of the Partnership or a U.S. affiliate of the Partnership, as determined by the Administrator in its sole discretion.

     1.42 “ Participant ” shall mean (i) an Officer or Director who is subject to United States income tax or (ii) any Employee designated to participate in the Plan by the Administrator and who is subject to United States income tax who (A) elects to participate in the Plan, (B) signs an Election Form and a Beneficiary Designation Form, (C) whose signed Election Form and Beneficiary Designation Form are accepted by the Administrator, and (D) who commences participation in the Plan. A spouse or former spouse of a Participant shall not be treated as a Participant in the Plan or have an account balance under the Plan, even if he or she has an interest in the Participant’s benefits under the Plan as a result of applicable law or property settlements resulting from legal separation or divorce.

     1.43 “ Partnership ” shall mean AMB Property, L.P., a Delaware limited partnership, and any successor to all or substantially all of the Partnership’s assets or business.

     1.44 “ Plan ” shall mean the AMB 2005 Nonqualified Deferred Compensation Plan, which shall be evidenced by this instrument, as amended from time to time.

     1.45 “ Plan Year ” shall mean a period beginning on January 1 of each calendar year and continuing through December 31 of such calendar year.

     1.46 “ Pre-Retirement Survivor Benefits ” shall mean the benefits set forth in Sections 5.2.

     1.47 “ Quarterly Installment Method ” shall be a quarterly installment payment over the number of quarters selected by the Participant in accordance with this Plan, calculated as follows: The Account Balance of the Participant (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout) shall be calculated as of the close of business three business days prior to the last business day of the quarter preceding the distribution. The quarterly installment shall be calculated by multiplying this balance by a fraction, the numerator of which is one, and the denominator of which is the remaining number of quarterly payments due the Participant. By way of example, if the Participant elects a twenty (20) quarter Quarterly Installment Method, the first payment shall be 1/20 of the Account Balance (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout), calculated as described in this definition. The following quarter, the payment shall be 1/19 of the Account Balance (or the Fixed Date Payout Account Balance, in the event of a Fixed Date Payout), calculated as described in this definition.

     1.48 “ Restricted Stock ” shall mean shares of restricted Stock which are or have been awarded to a Participant under an Equity Plan; provided , however , that Restricted Stock shall not include any restricted Stock granted to a newly-hired Participant after December 15, 2005 in connection with such Participant’s acceptance or commencement of employment with an Employer.

     1.49 “ Restricted Stock Account ” shall mean (i) the sum of the Participant’s Restricted Stock Amounts, plus (ii) amounts credited/debited in accordance with all the applicable crediting/debiting provisions of this Plan that relate to the Participant’s Restricted Stock Account, less (iii) all distributions made to the Participant or his or her Beneficiary pursuant to this Plan that relate to the Participant’s Restricted Stock Account. The Restricted Stock Account balance shall be denominated in Stock Units.

     1.50 “ Restricted Stock Amount ” shall mean, for any grant of Restricted Stock, the amount of such Restricted Stock deferred in accordance with Section 3.1(b) of this Plan, calculated using the Fair Market Value of a share of Stock on the day on which such Restricted Stock would otherwise vest, but for the election to defer.

     1.51 “ Retirement ,” “ Retire(s) ” or “ Retired ” shall mean a Termination of Employment from the Company and all Employers for any reason on or after the earlier of the attainment of (a) age sixty-five (65) or (b) a combined age and Years of Service equaling at least fifty-five (55) with a minimum of ten (10) Years of Service.

     1.52 “ Retirement Benefits ” shall mean the benefits set forth in Section 5.1.

     1.53 “ Rule 16b-3 ” shall mean that certain Rule 16b-3 under the Exchange Act, as such Rule may be amended from time to time.

     1.54 “ Securities Act ” shall mean the Securities Act of 1933, as amended.

     1.55 “ Separation from Service ” shall mean, a Participant’s separation from service with the Company, Partnership and any Employer as a result of the Participant’s death, Disability, Retirement or other event of termination in which the facts and circumstances indicate that the Employer and Participant reasonably anticipated either that no further services would be performed after a certain date or that the level of bona fide services the Participant would perform after such date would permanently decrease to no more than twenty percent (20%) of the average level of bona fide services performed over the immediately preceding 36-month period (or the full period in which the Participant provided services to the Employer if the Participant has been providing services for less than 36 months), as determined by the Administrator in its sole discretion.

     (a) Facts and circumstances which may be considered in determining whether a Separation of Service occurred, include, without limitation, whether the Participant continues to be treated as an employee for other purposes (such as continuation of salary and participation in employee benefit programs), whether similarly situated service providers have been treated consistently, and whether the Participant is eligible to perform services for, and realistically available to perform services for, other employers in the same line of business.

     (b) In addition, a Separation from Service shall be presumed to occur in the following instances:

	(i)		if a Participant’s period of leave exceeds six (6) months and the Participant’s right to reemployment or service is not provided either by statute or contract, then the Participant is deemed to have experienced a Separation from Service on the first day immediately following such six-month period;
	(ii)		if a Participant continues to provide services to an Employer, the facts and circumstances indicate that the Employer did not intend the Participant to provide more than insignificant services to the Employer; or
	(iii)		the Participant ceases to provide services as an Officer or Employee at an annual rate that is at least equal to twenty percent (20%) of the services rendered, on average, during the immediately preceding three full calendar years of employment (or, if employed less than three years, such lesser period).

     (c) Notwithstanding the foregoing, a Separation from Service shall be presumed not to occur in the following instances:

	(i)		the mere change in capacity in which the Participant renders service to the Company, the Partnership or any other Employer from an Officer or Employee to Director or vice-versa;
	(ii)		the employment relationship is treated as continuing intact while the Participant is on military leave, sick leave or other bona fide leave of absence (such as temporary employment by the government) if the period of such leave does not exceed six (6) months, or if longer, so long as the individual’s right to reemployment or service with the Company or an Employer is provided by either statute or contract; provided that with respect to a disability leave, the employment relationship will be treated as continuing for a period of up to 29 months, unless terminated earlier by the Participant or Employer, regardless of whether the Participant retains a contractual right to reemployment;
	(iii)		where an Officer or Employee continues to provide services to a prior Employer in a capacity other than as an employee and such Officer or Employee is providing services at an annual rate that is fifty percent (50%) or more of the services rendered, on average, during the immediately preceding three full calendar years of employment (or if employed less than three years, such lesser period).

     In determining whether a separation of service has occurred, periods during which the Participant is on an unpaid bona fide leave of absence are disregarded (including for purposes of determining the relevant 36-month period), and periods during which the Participant is on a paid bona fide leave of absence are treated as periods during which the Participant provided services at the level at which the Participant would have been required to perform services to receive the compensation if not on a bona fide leave of absence. A leave of absence constitutes a bona fide leave of absence only if there is a reasonable expectation that the Participant will return to perform services for the Company or Employer.

     “Disability leave” means leave due to the Participant’s inability to perform the duties of his or her position or any substantially similar position by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than six months.

     1.56 “ Stock ” shall mean AMB Property Corporation common stock, $.01 par value.

     1.57 “ Stock Unit ” shall mean a notational unit representing the right to receive a share of Stock.

     1.58 “ Termination Benefits ” shall mean the benefit set forth in Section 5.3.

     1.59 “ Termination of Employment ” shall mean the severing of employment with all Employers, or service as a Director of the Company, voluntarily or involuntarily, for any reason other than Disability, death or an authorized leave of absence, which constitutes a Separation from Service with respect to the Company and Employer, as determined by the Administrator in its sole discretion.

     1.60 “ Trust ” shall mean one or more trusts established pursuant to that certain Trust Agreement, dated as of May 1, 2002, between the Company and the trustee named therein, as amended from time to time.

     1.61 “ Unforeseeable Financial Emergency ” shall mean an unanticipated emergency that is caused by an event beyond the control of the Participant that would result in severe financial hardship to the Participant not covered by insurance, liquidation of other assets (to the extent the liquidation itself will

not cause severe financial hardship, or cessation of deferrals under this Plan, resulting from (i) a sudden and unexpected illness or accident of the Participant or a dependent (as defined in Section 152(a) of the Code) of the Participant, (ii) a loss of the Participant’s property due to casualty, or (iii) such other extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Participant, all as determined in the sole discretion of the Administrator and which constitutes an “unforeseeable emergency” within the meaning of Section 409A(a)(2)(B)(ii) of the Code. For the avoidance of doubt, an Unforeseeable Financial Emergency shall not include, among other things, sending a child to college or purchasing a home.

     1.62 “ Vesting Date ” shall mean, with respect to Restricted Stock deferred hereunder, the date on which the last share or tranche of a Restricted Stock award would vest under the terms of the Equity Plan pursuant to which it was issued and the Participant’s Restricted Stock Agreement but for the election to defer such Restricted Stock (i.e., when a Restricted Stock award fully vests).

     1.63 “ Years of Service ” shall mean each twelve (12) month period during which a Participant is employed by an Employer, including, without limitation, service as a Director, whether or not continuous, and including periods commencing prior to the effective date of this Plan; provided , however , that in the case of a Participant whose employment with an Employer or service as a Director has been interrupted by a period of twelve (12) consecutive months or more (a “ Break in Service ”), his or her Years of Service prior to such Break in Service shall be disregarded for any purpose under the Plan.

ARTICLE 2.
SELECTION, ENROLLMENT, ELIGIBILITY

     2.1 Selection by Administrator . Participation in the Plan shall be limited to a select group of management and highly compensated Employees and Non-Employee Directors, as determined by the Administrator in its sole discretion. Officers and Non-Employee Directors shall be automatically eligible to participate in the Plan. Subject to the requirements of Article 13, from the group described in the first sentence of this Section 2.1, the Administrator shall select, in its sole discretion, additional Employees to participate in the Plan.

     2.2 Enrollment Requirements . As a condition to participation, each Officer, selected Employee or Non-Employee Director shall complete, execute and return to the Administrator an Election Form and a Beneficiary Designation Form. In addition, the Administrator shall establish from time to time such other enrollment requirements as it determines in its sole discretion are necessary.

     2.3 Eligibility Requirements; Commencement of Participation .

     (a) Eligibility; Commencement of Participation . Provided an Officer, Non-Employee Director or Employee selected to participate in the Plan has met all enrollment requirements set forth in this Plan and required by the Administrator, including returning all required documents to the Administrator within the specified time period, that Employee, Officer or Non-Employee Director shall commence participation in the Plan on the day on which his or her Election Form first becomes effective or the date on which a contribution is first credited to his or her Company Contribution Account or Company Matching Account.

     (b) U.S. Payroll Requirement .  Compensation eligible to be deferred under the Plan will only be deferred under a Participant’s deferral election to the extent a Participant elects to defer compensation paid from the U.S. payroll of the Company, the Partnership or its subsidiaries and is not covered under a non-U.S. retirement plan.

     2.4 Termination of Participation and/or Deferrals . If the Administrator determines in good faith that a Participant no longer qualifies as a member of a select group of management or highly compensated employees, as membership in such group is determined in accordance with Sections 201(2),

301(a)(3) and 401(a)(1) of ERISA, or as a Non-Employee Director, the Administrator shall have the right, in its sole discretion, to (a) prevent the Participant from making future deferral elections and/or (b) terminate the Participant’s participation in the Plan.

     2.5 Pre-Existing Elections . All Participant elections in effect as of the effective date of the Plan shall remain in full force and effect until distribution of the amounts deferred thereunder unless changed or cancelled in accordance with Section 3.3 of this Plan.

ARTICLE 3.
DEFERRAL COMMITMENTS/COMPANY CONTRIBUTIONS/CREDITING/TAXES

     3.1 Election to Defer; Effect of Election Form . Subject to the terms and conditions set forth herein and such terms and conditions as the Administrator may determine, Participants may elect to defer Base Annual Salary, Annual Bonus, Directors Fees and Restricted Stock Amounts by timely completing and delivering to the Administrator an Election Form. Subject to the terms and conditions herein, after a Plan Year commences, such deferral election shall be irrevocable and shall continue for the entire Plan Year and subsequent years until its termination upon a Participant’s Termination of Employment, complete distribution of benefits or amendment pursuant to Section 3.2 or Section 3.3.

     (a) Base Annual Salary, Annual Bonus and/or Directors Fees . Subject to any terms and conditions imposed by the Administrator, Participants may elect to defer, under the Plan, Base Annual Salary, Annual Bonus and/or Directors Fees. For these elections to be valid with respect to deferrals of Base Annual Salary, Annual Bonus and/or Directors Fees, the Election Form must be completed and signed by the Participant, timely delivered to the Administrator no later than December 31 of the year immediately preceding the Plan Year for which the Base Annual Salary, Annual Bonus and/or Director Fees are earned or such earlier date determined and set by the Administrator in its sole discretion, and accepted by the Administrator. If no such Election Form is timely delivered for a Plan Year, the Annual Deferral Amount shall be zero for that Plan Year.

     (b) Restricted Stock . Subject to any terms and condit