Document:

EX-10.49

 Exhibit 10.49 
  

 
  

PURCHASE AND SALE AGREEMENT 

BETWEEN 
 THE AVENTINE
GREENVILLE, LLC, 
 a Delaware limited liability company 

AS SELLER, 
 AND

 TRADE STREET OPERATING PARTNERSHIP, LP, 

a Delaware limited partnership 

AS PURCHASER 
 As of
December 5, 2013 
  
  

 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	 ARTICLE 1 PURCHASE AND SALE
	  	 	1	  
			
	 1.1
	 	Agreement of Purchase and Sale	  	 	1	  
	 1.2
	 	Property Defined	  	 	2	  
	 1.3
	 	Permitted Exceptions	  	 	2	  
	 1.4
	 	Purchase Price	  	 	3	  
	 1.5
	 	Payment of Purchase Price	  	 	3	  
	 1.6
	 	Earnest Money	  	 	3	  
	 1.7
	 	Ownership of Flournoy Tradenames and Service Marks	  	 	3	  
		
	 ARTICLE 2 TITLE AND SURVEY
	  	 	4	  
			
	 2.1
	 	Title Examination; Commitment for Title Insurance	  	 	4	  
	 2.2
	 	Survey	  	 	4	  
	 2.3
	 	Title Objections; Cure of Title Objections	  	 	4	  
	 2.4
	 	Conveyance of Title	  	 	6	  
	 2.5
	 	Pre-Closing “Gap” Title/Survey Defects	  	 	6	  
	 2.6
	 	Seller’s Covenant Not to Encumber	  	 	7	  
		
	 ARTICLE 3 INSPECTION
	  	 	7	  
			
	 3.1
	 	Right of Inspection	  	 	7	  
	 3.2
	 	Right of Termination	  	 	8	  
	 3.3
	 	Confidentiality	  	 	9	  
		
	 ARTICLE 4 CLOSING
	  	 	10	  
			
	 4.1
	 	Time and Place	  	 	10	  
	 4.2
	 	Seller’s Obligations at Closing	  	 	10	  
	 4.3
	 	Purchaser’s Obligations at Closing	  	 	12	  
	 4.4
	 	Credits and Prorations	  	 	12	  
	 4.5
	 	Closing Costs	  	 	15	  
	 4.6
	 	Conditions Precedent to Obligation of Purchaser	  	 	15	  
	 4.7
	 	Conditions Precedent to Obligation of Seller	  	 	16	  
	 4.8
	 	Seller’s Tax Deferred Exchange	  	 	17	  
	 4.9
	 	Purchaser’s Tax Deferred Exchange	  	 	17	  
		
	 ARTICLE 5 REPRESENTATIONS, WARRANTIES AND COVENANTS
	  	 	18	  
			
	 5.1
	 	Representations and Warranties of Seller	  	 	18	  
	 5.2
	 	Knowledge Defined	  	 	21	  
	 5.3
	 	Survival of Seller’s Representations and Warranties	  	 	21	  
	 5.4
	 	Covenants of Seller	  	 	21	  
	 5.5
	 	Representations and Warranties of Purchaser	  	 	23	  
	 5.6
	 	Survival of Purchaser’s Representations and Warranties	  	 	25	  
	 5.7
	 	Covenants of Purchaser	  	 	25	  
	 5.8
	 	Special Provisions Concerning Condominium Conversion	  	 	26	  

  
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 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
		
	 ARTICLE 6 DEFAULT
	  	 	27	  
			
	 6.1
	 	Default by Purchaser	  	 	27	  
	 6.2
	 	Default by Seller	  	 	28	  
	 6.3
	 	Notice of Default; Opportunity to Cure	  	 	28	  
	 6.4
	 	Recoverable Damages	  	 	29	  
		
	 ARTICLE 7 RISK OF LOSS
	  	 	29	  
			
	 7.1
	 	Damage	  	 	29	  
	 7.2
	 	Definition of Major Damage	  	 	30	  
	 7.3
	 	Seller’s Insurance	  	 	30	  
		
	 ARTICLE 8 COMMISSIONS
	  	 	30	  
			
	 8.1
	 	Broker’s Commission	  	 	30	  
	 8.2
	 	Survival	  	 	31	  
		
	 ARTICLE 9 DISCLAIMERS AND WAIVERS
	  	 	31	  
			
	 9.1
	 	No Reliance on Documents	  	 	31	  
	 9.2
	 	Disclaimers	  	 	31	  
	 9.3
	 	Certain Definitions	  	 	34	  
	 9.4
	 	Effect and Survival of Disclaimers	  	 	34	  
		
	 ARTICLE 10 ESCROW AGENT
	  	 	34	  
			
	 10.1
	 	Investment of Earnest Money	  	 	34	  
	 10.2
	 	Intentionally Omitted	  	 	34	  
	 10.3
	 	Payment on Demand	  	 	34	  
	 10.4
	 	Exculpation of Escrow Agent	  	 	34	  
	 10.5
	 	Stakeholder	  	 	35	  
	 10.6
	 	Interest	  	 	35	  
	 10.7
	 	Execution by Escrow Agent	  	 	35	  
		
	 ARTICLE 11 MISCELLANEOUS
	  	 	35	  
			
	 11.1
	 	Intentionally Deleted	  	 	35	  
	 11.2
	 	Intentionally Deleted	  	 	35	  
	 11.3
	 	Assignment	  	 	35	  
	 11.4
	 	Notices	  	 	36	  
	 11.5
	 	Modifications	  	 	37	  
	 11.6
	 	Calculation of Time Periods	  	 	38	  
	 11.7
	 	Successors and Assigns	  	 	38	  
	 11.8
	 	Entire Agreement	  	 	38	  
	 11.9
	 	Further Assurances	  	 	38	  
	 11.10
	 	Counterparts	  	 	38	  
	 11.11
	 	Severability	  	 	38	  
	 11.12
	 	Applicable Law	  	 	38	  
	 11.13
	 	No Third Party Beneficiary	  	 	38	  
	 11.14
	 	Intentionally Deleted	  	 	39	  

  
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 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
	 11.15
	 	Seller’s Access to Records after Closing	  	 	39	  
	 11.16
	 	Schedules	  	 	39	  
	 11.17
	 	Captions	  	 	39	  
	 11.18
	 	Construction	  	 	39	  
	 11.19
	 	Termination of Agreement	  	 	39	  
	 11.20
	 	Survival	  	 	40	  
	 11.21
	 	Time of Essence	  	 	40	  
	 11.22
	 	Covenant Not to Record	  	 	40	  
	 11.23
	 	Limitation of Seller’s Liability	  	 	40	  
	 11.24
	 	JURY WAIVER	  	 	40	  
	 11.25
	 	ATTORNEY’S FEE	  	 	40	  

  
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 PURCHASE AND SALE AGREEMENT 

THIS PURCHASE AND SALE AGREEMENT (this “Agreement”) is made as of December 5, 2013 (the “Effective
Date”), by and between THE AVENTINE GREENVILLE, LLC, a Delaware limited liability company (“Seller”), and TRADE STREET OPERATING PARTNERSHIP, LP, a Delaware limited partnership
(“Purchaser”). 
 CALLOWAY TITLE AND ESCROW, LLC, a Georgia limited liability company (“Escrow
Agent”; in its capacity as title insurer sometimes herein called the “Title Company”) is a party to this Agreement for the limited purposes set forth herein. 

W I T N E S S E T H: 
 ARTICLE
1 
 PURCHASE AND SALE 

1.1 Agreement of Purchase and Sale. Subject to the terms and conditions hereinafter set forth, Seller agrees to sell and
convey and Purchaser agrees to purchase the following: 
 (a) that certain tract or parcel of land being more particularly described
on Schedule 1.1(a), attached hereto and made apart hereof (the property described in this clause (a) being herein referred to collectively as the “Land”); 

(b) all those rights, easements and appurtenances pertaining to the Land (whether now or hereafter existing), including (i) all
right, title and interest of Seller (if any) in and to any streets, alleys or rights-of-way (whether open, closed or proposed), within or adjacent to the Land, and (ii) all right, title and interest of Seller with respect to any easements,
covenants, agreements, rights, privileges, tenements, hereditaments and appurtenances that now or hereafter benefit or burden the Land (the property described in this clause (b) herein referred to collectively as the “Related
Rights”); 
 (c) the buildings, structures, facilities, installations, fixtures and other improvements of every kind
on the Land, including specifically, without Limitation, those certain buildings containing apartment units and related facilities and commonly known as The Aventine Greenville Apartments (the property described in this clause (c) being herein
referred to collectively as the “Improvements”, and the Land, the Related Rights and the Improvements being hereinafter sometimes collectively referred to as the “Real Property”); 

(d) all of Seller’ s right, title and interest in, to and under all tangible personal property upon the Land or within the Improvements,
including specifically, without limitation, appliances, equipment, furniture, furnishings, carpeting, draperies and curtains, tools and supplies, and other items of tangible personal property owned by Seller and used exclusively in connection with
the ownership, use, maintenance or operation of the Land and the Improvements, and including those items of tangible personal property identified on Schedule 1.1(d), attached hereto and incorporated herein by this reference, but
excluding (i) cash and cash equivalents (except to the extent prorated at Closing), (ii) any reserves or other deposits funded or made in connection with any financing encumbering the Property, (iii) computer

  
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software and computer files, (iv) any time clock(s), (v) personal property owned by tenants under the Leases, (vi) any equipment installed by, or in connection with, any
telecommunication or utility provider and which is owned by any party other than Seller (excluding any reversionary interest that Seller may have therein which shall be assigned to Purchaser to the extent assignable), (vii) any items owned by
employees of Seller or any property manager, (viii) any items leased to Seller, (ix) any digital voice receivers used in connection with recorded music at the Property, and (x) all brochures, advertising copy, promotional materials,
manuals, reports, portfolios, binders, training materials and other items on which the names “Flournoy” or “The Aventine Greenville” appear (the property described in this clause (d), other than the excluded items, being herein
referred to collectively as the “Tangible Personal Property”). 
 (e) all of Seller’ s right, title and interest
as landlord or lessor in, to and under all written agreements listed and described on Schedule 1.1(e) (the “Rent Roll”) attached hereto and made a part hereof as well as under all similar agreements hereafter executed by
Seller in accordance with the terms of this Agreement, pursuant to which any portion of the Land or Improvements is used or occupied by anyone other than Seller (the property described in this clause (e) being herein referred to collectively as
the “Leases”); 
 (f) all of Seller’s right, title and interest in, to and under (i) the Designated Service
Contracts (as defined in Section 5.7 of this Agreement), (ii) all assignable existing warranties and guaranties issued to or inuring to the benefit of Seller in connection with the Improvements or the Tangible Personal Property, and
(iii) all governmental permits, licenses and approvals, if any, belonging to or inuring to the benefit of Seller and pertaining to the Real Property or the Tangible Personal Property, but only to the extent that such permits, licenses and
approvals are assignable and only to the extent that such permits, licenses and approvals relate to the Real Property or the Tangible Personal Property as opposed to other property of Seller or its affiliates; (iv) resident and tenant files for
current residents and tenants as of the Closing Date, (v) architectural and civil plans and specifications (to the extent in Seller’s possession but excluding any right to reproduce, use such plans or specifications for future development
or otherwise restrict Seller or any affiliate of Seller from using such plans for future development); (vi) other non-confidential and non-proprietary records owned by Seller and used in connection with the operation of the Real Property or any
part thereof, and located on-site as of the Closing Date, and (vii) all assignable telephone numbers; but excluding any rights in or to the use of the names “Flournoy” (the property described in this clause (f), other than the
excluded items, being sometimes herein referred to collectively as the “Intangible Property”). 
 1.2
Property Defined. The Land, the Related Rights, the Improvements, the Tangible Personal Property, the Leases and the Intangible Property are hereinafter sometimes referred to collectively as the “Property”. 

1.3 Permitted Exceptions. The Property shall be conveyed, and Purchaser shall accept the Property, subject to the matters
which are, or are deemed to be, Permitted Exceptions pursuant to ARTICLE 2 hereof (herein referred to collectively as the “Permitted Exceptions”); provided, Permitted Exceptions do not include any “Agreed Cure
Items” (as hereinafter defined). 

  
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 1.4 Purchase Price. Seller is to sell and Purchaser is to purchase the
Property for the total purchase price of Forty-One Million Eight Hundred Sixty-six Thousand and No/1 00 and No/100 Dollars ($41,866,000.00) (the “Purchase Price”). 

1.5 Payment of Purchase Price. The Purchase Price for the Property shall be remitted by Purchaser into escrow at or before
Closing, by wire transfer of immediately available federal funds, to a bank account of Escrow Agent designated by Escrow Agent in writing to Purchaser prior to the Closing (“Escrow Agent’s Account”), and, as adjusted by
prorations and adjustments as herein provided, the Purchase Price shall be subsequently payable in full to Seller contemporaneously with Closing, by wire transfer of immediately available federal funds, from Escrow Agent’s Account to a bank
account designated by Seller in writing to Escrow Agent prior to the Closing. 
 1.6 Earnest Money. 

(a) Within two (2) days following the Effective Date, Purchaser shall deposit with Escrow Agent the sum of One Hundred Fifty
Thousand and No/100 Dollars ($150,000.00) by wire transfer of immediately available funds (the “Initial Earnest Money”) in accordance with the wiring instructions attached hereto as Schedule 1.6(a). If, on the Inspection
Date (as defined below) this Agreement is still in force and effect, Purchaser shall deposit with Escrow Agent the sum of Five Hundred Thousand and No/100 Dollars ($500,000.00) by wire transfer of immediately available funds (the “Additional
Earnest Money”). The Initial Earnest Money and the Additional Earnest Money, together with all interest earned thereon while such earnest money funds are in escrow (including, without Limitation, in Escrow Agent’s Account) shall
individually and collectively be referred to herein as the “Earnest Money”. If the Closing shall occur, the Earnest Money shall be applied to the Purchase Price on the Closing Date and paid to Seller through the escrow process
outlined herein, or at Purchaser’s election, upon release of the Purchase Price to Seller on the Closing Date, the Earnest Money shall be returned to Purchaser. 

(b) If Purchaser falls to deliver any portion of the Earnest Money to the Escrow Agent within the time periods specified above, Seller shall
have the right to terminate this Agreement and upon such termination, Purchaser and Seller shall have no further rights or obligations hereunder, except those which expressly survive termination of this Agreement. 

(c) In any event, if Purchaser is entitled to have the Earnest Money returned to Purchaser, pursuant to any provision of this Agreement, One
Hundred and No/1 00 Dollars ($100.00) of the Earnest Money shall nevertheless be paid to Seller as good and sufficient consideration for entering into this Agreement. In addition, Seller acknowledges that Purchaser, in evaluating the Property and
performing its due diligence investigation of the Property, will devote internal resources and incur expenses, and that such efforts and expenses of Purchaser also constitute good, valuable and sufficient consideration for this Agreement. 

1.7 Ownership of Flournoy Tradenames and Service Marks. Purchaser hereby acknowledges and agrees that the name
“Aventine Greenville” and any other trade name or service mark which includes the word “Aventine” (hereinafter collectively referred to as the “Marks”), and each of them, are trade names and service marks of
Seller; that the Marks, and each of them, are the sole and exclusive property of Seller, which owns all right, title, and  

  
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interest in and to the Marks, and each of them; and that, by this Agreement, Purchaser shall acquire no ownership right or interest of any kind in or to the Marks, or any of them. Purchaser
further acknowledges and agrees that any use by Purchaser of the Marks, or any of them, in any manner in connection with the Property or otherwise, will result in immediate and irreparable injury to Seller and its affiliates, and that Seller and/or
its affiliates shall be entitled to temporary, preliminary, and permanent injunctive relief against Purchaser in the event of any such use of the Marks, or any of them, by Purchaser, or in the event of any other violation by Purchaser of this
Section 1.7. Purchaser may continue to use “Greenville” in the name of the Property after Closing, provided Purchaser does not use the “Aventine” name or any of the Marks; provided, however, nothing contained
herein shall be deemed to be a warranty of Seller’s or Purchaser’s right to use such names. 
 (a) Seller and Purchaser shall
cooperate with each other in connection with the removal of the “Aventine” name from the Property within ninety (90) days after Closing, including changes in signage, lease forms, marketing materials and the like. 

(b) This Section 1.7 shall survive the Closing. 

ARTICLE 2 
 TITLE AND
SURVEY 
 2.1 Title Examination; Commitment for Title Insurance. Within five (5) days following the Effective
Date, Seller shall obtain from Title Company, at Seller’s expense, and deliver to Purchaser, an American Land Title Association (ALTA) commitment for title insurance in the full amount of the Purchase Price and covering the Property, together
with copies of all documents referred to therein (the “Title Commitment”). 
 2.2 Survey. Purchaser
acknowledges that Seller has, at Seller’s expense, delivered to Purchaser that certain as-built survey of the Real Property prepared by Site Design, Inc. dated August 5, 2013, and bearing the seal of A. Clay Jones P.L.S., S.C. Reg.
No. 26210. Said survey shall constitute the “Survey” hereunder. Purchaser may, however, at Purchaser’s option and sole expense, obtain an updated survey of the Property, in which case said updated survey of the Property
shall constitute the “Survey” hereunder. For purposes of the Deed to be delivered to Purchaser at the Closing, the legal description the Property shall be the legal description attached hereto as Schedule 1.1(a). If,
however, the metes and bounds description drawn from the Survey (or any update thereto) reflects a legal description different from the legal description attached hereto as Schedule 1.1(a), Seller shall also deliver a quit claim deed, at
Closing, containing the legal description drawn from the Survey (or update thereto). 
 2.3 Title Objections; Cure of Title
Objections. 
 (a) Purchaser or its attorneys shall have until December 13, 2013 (the “Title Objection
Deadline”) to notify Seller and its attorneys, in writing, of such objections as Purchaser may have to the Title Commitment (including the title exception documents referred to therein) or Survey, other than the Permitted Exceptions
described in clauses (a) through (d) of Section 2.4. Any item contained in the Title Commitment, any matter shown on the Survey or any document that is of record and properly indexed as of the effective date of such initial title
examination to which Purchaser does not object on or before the Title Objection Deadline shall be deemed a “Permitted Exception”. 

  
 4 

 (b) In the event Purchaser shall notify Seller of objections to title or to matters shown on a
Survey on or before the Title Objection Deadline, Seller shall have the right, but not the obligation, to cure such objections. On or before December 16, 2013, Seller shall notify Purchaser in writing whether Seller elects to attempt to cure
such objections (and Seller’s failure to provide such a notice shall be deemed an election by Seller not to cure any such objection). If Seller elects to attempt to cure, then Seller shall use commercially reasonable efforts to attempt to
remove, satisfy or cure the same. Except with respect to the Agreed Cure Items, if Seller elects (or is deemed to have elected) not to cure any valid objections specified in Purchaser’s notice, then in such case Purchaser shall have the right
to elect one, but not both, of the following options, which election must in each case be made within the time period provided in paragraph (c) below: 

(A) to accept a conveyance of the Property subject to the Permitted Exceptions, specifically including any matter objected to
by Purchaser which Seller is unwilling or unable to cure, and without reduction of the Purchase Price; or 
 (B) to terminate
this Agreement by sending written notice thereof to Seller, and upon delivery of such notice of termination, this Agreement shall terminate and the applicable amount of Earnest Money shall be returned to Purchaser, and thereafter neither party
hereto shall have any further rights, obligations or liabilities hereunder with respect to the Property, except to the extent that any right, obligation or liability set forth herein expressly survives termination of this Agreement. 

(c) Except with respect to the Agreed Cure Items, if Seller notifies Purchaser that Seller does not intend to attempt to cure any title
objection, or if Seller is deemed to have elected not to cure any title objections, then in any such case Purchaser shall, on or before December 19, 2013, notify Seller in writing whether Purchaser shall elect to accept the conveyance under
clause (b)(A) above or to terminate this Agreement under clause (b)(ii) above (with Purchaser’s failure to provide such a notice deemed an election by Purchaser to accept conveyance under clause (b)(A) above). 

(d) Notwithstanding anything contained herein to the contrary, Seller shall be obligated at Closing to discharge, provide or cure all of
the following “Agreed Cure Items” (i) all mortgages of Seller (regardless of whether Purchaser objects to such mortgage), (ii) all monetary liens arising by, through or under Seller, (iii) evidence of Seller’s
good standing (to wit, a good standing certificate issued by the Secretary of State of South Carolina) and authority to consummate this transaction (as required by Section 4.2(e)), (iv) matters Seller agrees in writing to provide to cure
title objections properly delivered by Purchaser in accordance with the provisions of this Article II, and (v) Seller shall provide those documents required by the Title Company to be delivered by Seller, pursuant to Section 4.2, in
order to allow the Title Company to remove the standard exceptions from the Title Policy at Closing. The term “mortgage” as used herein includes any mortgage, deed of trust, deed to secure debt and similar security 

  
 5 

 
instrument securing an indebtedness of Seller and encumbering the Property or any portion thereof; the terms “discharge” and “discharged” as used herein include compliance
with a statutory bonding procedure that has the legal effect of removing the mortgage or item as a lien on the Property or otherwise allows the mortgage or item to be removed from the title exceptions in the Title Policy (as defined below). 

2.4 Conveyance of Title. At Closing, Seller shall convey and transfer the Property to Purchaser. It shall be a condition
to Purchaser’s obligation to close this transaction that title to the Real Property conveyed and transferred to Purchaser shall be such title to the Real Property as will enable the Title Company to issue to Purchaser an extended coverage ALTA
Form 2006 Owner’s Policy of Title Insurance (the “Title Policy”) covering the Real Property, in the full amount of the Purchase Price, subject to the following matters, which shall be deemed to be Permitted Exceptions:

 (a) the rights of tenants, as tenants only, without any right to acquire any portion of the Property, under the Leases described in
the Rent Roll and any new Leases entered into between the Effective Date and Closing to the extent authorized by Section 5.4(b), hereinbelow, and (if required) approved by Purchaser in accordance with the terms thereof; 

(b) the lien of all ad valorem real estate taxes and assessments not yet due and payable as of the date of Closing, subject to adjustment as
herein provided; 
 (c) local, state and federal laws, ordinances or governmental regulations, including but not limited to, building, zoning
and land use laws, ordinances and regulations, now or hereafter in effect relating to the Property; 
 (d) All matters identified in
Schedule 2.4(d) (the B-II title exceptions shown in the Title Commitment other than the standard printed exceptions which will be deleted upon Seller’s delivery of the documents identified in Section 4.2 hereof) attached hereto
and made a part hereof; 
 (e) additional items, if any, appearing of record or shown on the Survey, except to the extent Seller agrees to
cure any such matters pursuant to Section 2.3 or 2.5 hereof; and 
 (f) additional items, if any, approved by Purchaser pursuant to
Section 2.6 hereof. 
 2.5 Pre-Closing “Gap” Title/Survey Defects. Whether or not Purchaser shall have
furnished to Seller any notice of title objections pursuant to the foregoing provisions of this Agreement, Purchaser may, at or prior to Closing, notify Seller in writing of any objections to title or survey matters having a material effect on the
operation or value of the Property and first raised by the Title Company or the Surveyor and first arising between (a) the effective date of the applicable Title Commitment or Survey and (b) the Closing Date; provided, however, that,
except for the Agreed Cure Items (for which no notice shall be required), Purchaser must notify Seller of any such objections within five (5) business days of Purchaser’s first receipt of the updated Title Commitment, updated survey or
other document, whichever first provides notice of the condition giving rise to any such objection. With respect to any objections to title or survey  

  
 6 

 
matters set forth in such notice, except for objections arising or resulting from Seller’s breach of the covenant contained in Section 2.6 hereof and except for the Agreed Cure Items,
Seller shall have the same option to cure and Purchaser shall have the same option to accept title subject to such matters or to terminate this Agreement as those which apply to any notice of objections made by Purchaser on or before the Title
Objection Deadline. 
 2.6 Seller’s Covenant Not to Encumber. Seller agrees that, between the Effective Date and
the Closing Date, Seller will not sell, assign, rent, convey (absolutely or as security), grant a security interest in, or otherwise encumber or dispose of, the Property (or any part thereof or estate therein) in any manner that will survive
Closing, except as approved in writing by Purchaser or as expressly provided in this Agreement. Notwithstanding the foregoing, Seller shall have the right to (i) continue leasing apartment units in the Property in the manner described in
Section 5.4(b) hereof, (ii) terminate, amend or enter into service contracts in the manner described in Section 5.4(g) hereof, and (iii) use, deplete, remove or replace items of Tangible Personal Property in the ordinary course
of business, provided any appliances, leasing office and pool furniture, fitness center equipment and other similar items of equipment or furniture and other personal property so removed by Seller are promptly replaced by Seller, at its cost, with
items of comparable value and utility. 
 ARTICLE 3 

INSPECTION 
 3.1
Right of Inspection. 
 (a) To the extent not heretofore delivered by Seller pursuant to the terms of that certain
Access and Indemnity Agreement by and between Seller and Trade Street Residential, Inc., dated November 20, 2013 (the “Access Agreement”), within five (5) days following the Effective Date, Seller shall deliver, or cause
to be delivered, to Purchaser the documents and information set forth on Schedule 3.1(a), attached hereto and incorporated herein by this reference (the “Deliveries”). Beginning as of November 20, 2013 (the
effective date of the Access Agreement) and continuing thereafter so long as this Agreement remains in full force and effect, Purchaser and its agents, representatives, contractors and consultants shall, at Purchaser’s sole cost and expense and
upon twenty-four (24) hours prior telephonic notice to Seller, have the right to make physical inspections of the Property and to examine at such place or places at the Property, in the offices of the property manager or elsewhere as the same
may be located, any operating files maintained by Seller or its property manager in connection with the leasing, maintenance and/or management of the Property, including, without limitation, the Leases, lease files, service contracts, bills,
invoices, receipts, insurance loss history and a certificate of insurance, and other general records relating to the income and expenses of the Property, correspondence, surveys, plans and specifications, warranties for services and materials
provided to the Property and similar materials, but excluding materials not directly related to the leasing, maintenance, and/or management of the Property such as Seller’s internal memoranda, operating budgets, financial projections,
appraisals, accounting and tax records and similar proprietary or confidential information and, subject to the provisions of Section 3.3(b) hereof, shall have the right to contact third parties, including governmental authorities in connection
with Purchaser’s due diligence. Seller shall have the right, but not the obligation, to have one of its representatives accompany Purchaser or its representatives on each such inspection or examination. Seller shall reasonably cooperate with
Purchaser in its inspections and examinations of the Property, but Seller shall not be obligated to incur any liability, undue time commitment or expense in connection therewith. 

  
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 (b) Purchaser’s inspections of the Property shall not damage the Property in any respect,
shall not be invasive in any respect (including, without limitation, soil borings, test pits, groundwater testing, or Phase II or Phase III environmental testing), and shall be conducted in accordance with standards customarily employed in the
industry and in compliance with all governmental laws, rules and regulations. Following each such entry by the Purchaser Parties with respect to the Inspections, Purchaser shall promptly restore, or cause to be restored, the Property to its original
condition as existed immediately prior to any such Inspections. Purchaser shall not have the right to submit any samples or other materials to any testing laboratory or similar facility without obtaining the prior written consent of Seller. 

(c) Purchaser shall indemnify, hold harmless and defend Seller, its members, and their respective, members, affiliates, indirect owners
(including trusts and plans), trustees, officers, directors, shareholders, agents and employees from and against any and all claims, demands, causes of action, liabilities, lasses, costs, damages and expenses (including reasonable attorneys’
fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity) of whatsoever nature (for purposes of this Section 3.1, individually a “Claim” and collectively, “Claims”)
that may be incurred by Seller or any other indemnified party and arising out of or in connection with the acts or omissions of Purchaser and its agents, representatives, contractors and consultants, or any of them, in connection with the
inspections and examinations of the Property, including but not limited to Claims arising out of or in connection with personal injury or death of persons, lass, destruction or damage to property, or liens or claims of lien filed against the
Property. Notwithstanding the foregoing, Purchaser shall have no liability for pre-existing conditions discovered by any inspection of the Real Property and not exacerbated by Purchaser. This Section 3.1(c) shall survive Closing or any
termination of this Agreement. 
 3.2 Right of Termination. Seller agrees that in the event Purchaser determines,
in Purchaser’s sole and absolute discretion, that it does not wish to acquire the Property for any reason or no reason, then Purchaser shall have the right to terminate this Agreement by giving written notice of such termination to Seller on or
before December 19, 2013 (the “Inspection Date”). Upon any such termination of this Agreement pursuant to Purchaser’s rights under this Section 3.2 the Earnest Money shall be promptly returned to Purchaser in
accordance with Section 1.6 hereof, and Purchaser and Seller shall have no further rights and obligations hereunder except those which expressly survive termination of this Agreement. If Purchaser falls to give Seller timely notice of
termination on or before the Inspection Date, then Purchaser shall no Longer have the right to terminate this Agreement under this Section 3.2 and (subject to any contrary provisions of this Agreement) shall be bound to proceed to Closing and
consummate the transaction contemplated hereby pursuant to the terms of this Agreement. Time is of the essence with respect to the provisions of this Section 3.2. The period commencing on the Effective Date and ending on the Inspection Date is
sometimes referred to herein as the “Inspection Period”. 

  
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 3.3 Confidentiality. 

(a) Purchaser acknowledges that all Deliveries under this Agreement or separate arrangement with Seller or Broker are for informational
purposes only and shall not be construed as a representation or warranty on the part of Seller or any other party regarding the Property, other than as otherwise expressly provided in this Agreement or in the closing documents. Notwithstanding any
provision of this Agreement, Purchaser shall not have access to, and Seller shall not be obligated to make available to Purchaser, any confidential, proprietary or privileged information of Seller related to the Property, such excluded materials to
include Seller’s internal memoranda, financial projections, operating budgets, appraisals, tax returns and similar proprietary, confidential or privileged information. Notwithstanding anything in the foregoing to the contrary, Seller will make
available to Purchaser financial statements, operating reports and rent rolls used in Seller’s ordinary course of business. 
 (b) The
existence and contents of this Agreement, the negotiations of parties with respect to the possible sale and purchase of the Property and any matters disclosed by any Inspections undertaken by Purchaser with respect to the Property and any additional
information furnished by Seller to Purchaser from time to time (including, without limitation, the Deliveries) shall be kept confidential and shall not be disclosed to any third parties without the consent of both parties hereto, except for any
disclosure that may be required by law (inclusive of any requirements or regulations of the Securities and Exchange Commission and/or other similar entity or agency governing or regulating the activities of publicly traded companies), made to any
applicable governmental or quasi-governmental authorities and to the officers, directors, employees, lenders, investors and consultants of the parties, as provided below. No advertisement or other publicity concerning this transaction shall be made
or disseminated by either party at any time without the review and approval of both parties hereto. Both parties recognize the need to disclose, and agree to the disclosure of, certain aspects of this transaction to their respective lenders,
investors, accountants, attorneys and other consultants. Neither party is responsible for the actions of third parties as to the disclosure of confidential information, but each party agrees to inform their lender, investors, accountants, attorneys
and other consultants of the confidentiality of this transaction and all such other information and, upon request of the other, agrees to use reasonable efforts to obtain confidentiality agreements from such third parties. Notwithstanding the
foregoing of this Section 3.3, either of Seller or Purchaser (or both) may issue a press release describing the transaction if and when the Property is actually conveyed, provided that any such press release issued by either party must be
approved in advance by the other party. Additional confidentiality restrictions may be set forth in a separate confidentiality agreement between Seller and Purchaser (provided such restrictions are consistent with this Agreement). 

(c) If this Agreement is terminated (other than due to a Seller default), Purchaser shall, within seven (7) days from the date of such
termination, return or cause to be returned to Seller all Deliveries and, if requested by Seller and upon reimbursement of Purchaser’s actual costs therefor, deliver to Seller copies of all third party reports, together with such reliance
letters and/or assignments as Seller may reasonably request. The provisions of this Section 3.3 shall survive the termination of this Agreement. 

  
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 ARTICLE 4 

CLOSING 
 4.1
Time and Place. The consummation of the transaction as contemplated hereby (“Closing”) shall be held at the office of Escrow Agent on January 15, 2014 via escrow funds and fully executed documents where neither the
Purchaser nor the Seller nor either party’s attorneys are required to be present. At Closing, Seller and Purchaser shall perform the obligations set forth in, respectively, Section 4.2 and Section 4.3. The Closing may be held at such
other place or such earlier time and date as Seller and Purchaser shall mutually approve in writing. The date on which the Closing is scheduled to occur hereunder (or, if earlier, the date on which Closing occurs) is sometimes referred to herein as
the “Closing Date”. The parties will endeavor to “pre-close” on the business day prior to the Closing Date, so as to allow the wire transfers of the Purchase Price to occur prior to 1:00 p.m. (Eastern time) on the Closing
Date. 
 4.2 Seller’s Obligations at Closing. At Closing, Seller shall: 

(a) deliver to Purchaser a duly executed limited or special warranty deed in the form attached hereto as Schedule 4.2(a) and by
this reference made apart hereof, conveying the Real Property to Purchaser subject to the Permitted Exceptions (the “Deed”); 

(b) deliver to Purchaser two counterparts of a bill of sale and assignment and assumption of leases and service contracts, in the form
attached hereto as Schedule 4.2(b) and by this reference made a part hereof (the “Bill of Sale and Assignment”), duly executed by Seller, pursuant to which (i) Seller shall convey the Tangible Personal Property and
the Intangible Property to Purchaser pursuant to the terms of the Bill of Sale and Assignment, and (ii) Seller shall assign to Purchaser, and Purchaser shall assume from and after the date of Closing, Seller’s interest in and to the Leases
and Designated Service Contracts, as amended or supplemented pursuant to this Agreement, pursuant to the terms of the Bill of Sale and Assignment; 

(c) join with Purchaser to execute a notice (the “Tenant Notice”) in the form of Schedule 4.2(c) attached hereto,
which Purchaser shall send to each tenant under each of the Leases informing such tenant of the sale of the Property and of the assignment to Purchaser of Seller’s interest in, and obligations under, the Leases (including, if applicable any
security deposits) and directing that all rent and other sums payable after the Closing under each such Lease shall be paid as set forth in the notice; 

(d) deliver to Purchaser a certificate (“Seller’s Closing Certificate”), dated as of the date of Closing and duly
executed by Seller, in the form of Schedule 4.2(d) attached hereto, stating that the representations and warranties of Seller contained in Section 5.1 of this Agreement are true and correct in all material respects as of the date of
Closing (with appropriate modifications to reflect any changes therein or identifying any representation or warranty which is not, or no longer is, true and correct and explaining the state of facts giving rise to the change). The inclusion of any
change or exception in such certificate shall not prejudice Purchaser’s rights under this Agreement with respect to the subject matter of such change or exception. The Seller’s Closing Certificate shall include an updated Rent Roll dated
no earlier than two (2) business days prior to the Closing Date as to which Seller shall make the same representations and warranties, as of the date of such Rent Roll, as Seller makes under Section 5.1(d) with respect to the Rent Roll
attached hereto; 

  
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 (e) deliver to Purchaser such evidence as the Title Company may reasonably require as to the
authority of the person or persons executing documents on behalf of Seller; 
 (f) deliver to Purchaser an affidavit duly executed by Seller
stating that Seller is not a “foreign person” as defined in the Federal Foreign Investment in Real Property Tax Act of 1980 and the 1984 Tax Reform Act; 

(g) deliver to the Title Company a title insurance affidavit, if required by the Title Company, duly executed by Seller or a representative of
Seller, in form and content reasonably satisfactory to Seller and the Title Company in order to allow the Title Company to remove the standard exceptions from the Title Policy at Closing; 

(h) deliver to Purchaser at the place of Closing or at the Property the original Leases together with such leasing and property files and
records which are material in connection with the continued operation, leasing and maintenance of the Property, all to the extent not previously delivered; 

(i) deliver to Purchaser possession and occupancy of the Property, subject only to the Permitted Exceptions; 

(j) deliver a closing statement evidencing the transaction contemplated by this Agreement and such additional documents as shall be reasonably
requested by the Title Company or required to consummate the transaction contemplated by this Agreement; provided, however, that in no event shall Seller be required to indemnify the Title Company, Purchaser, or any other party pursuant to any such
documents, or undertake any other material liability not expressly contemplated in this Agreement, unless Seller elects to do so in its sole discretion; 

(k) if the legal description attached hereto as Schedule 1.1(a) differs from the legal description of the Property drawn from the
Survey, Seller shall at Closing deliver (in addition to the Deed) a quit claim deed conveying the Property pursuant to the legal description drawn from the Survey, which legal description shall be subject to Seller’s approval, which approval
shall not be unreasonably withheld; 
 (l) deliver to Purchaser all keys, combinations to locks, existing surveys, blueprints, drawings,
permits, licenses, plans and specifications for or with respect to the Property or any part thereof, to the extent the same are in Seller’s possession; 

(m) deliver to Escrow Agent such certificate or affidavit, if any, as is required under applicable provisions of South Carolina law and
regulation, to assure Escrow Agent and Purchaser that South Carolina sales tax withholding is not required. 

  
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 4.3 Purchaser’s Obligations at Closing. At Closing, Purchaser shall:

 (a) deliver to Escrow Agent the full amount of the Purchase Price, minus the amount of the Earnest Money, if Purchaser elects to apply
the Earnest Money to the Purchase Price in accordance with Section 1.6(a) hereof, and as increased or decreased by prorations and adjustments as herein provided, prior to 2:00 p.m. (Eastern time) on the Closing Date, in immediately available
federal funds wire transferred to Escrow Agent’s Account; 
 (b) join Seller in execution of all counterparts of the Bill of Sale and
Assignment and the Tenant Notice. In connection with the Tenant Notice, Purchaser shall deliver to each and every tenant of the Property under a Lease thereof a signed statement acknowledging Purchaser’s receipt and responsibility for each
tenant’s security deposit (to the extent credited or delivered by Seller to Purchaser at Closing), if any, all in compliance with and to the extent required by the applicable law. The provisions of this sub-section shall survive Closing; 

(c) deliver to Seller such evidence as the Title Company may reasonably require as to the authority of the person or persons executing
documents on behalf of Purchaser; 
 (d) deliver to Seller a certificate dated as of the date of Closing and duly executed by Purchaser,
(i) reaffirming the provisions of Article 9 and confirming that such provisions remain and will continue in full force and effect as of and after the Closing, and (ii) stating that the representations and warranties of Purchaser
contained in Section 5.5 of this Agreement are true and correct in all material respects as of the date of Closing; and 
 (e) deliver a
closing statement evidencing the transaction contemplated by this Agreement and such additional documents as shall be reasonably requested by the Title Company or required to consummate the transaction contemplated by this Agreement, provided,
however, that in no event shall Purchaser be required to indemnify Seller or Title Company or undertake any other material liability not expressly contemplated in this Agreement, unless Purchaser elects to do so in its sole discretion. 

4.4 Credits and Prorations. 

(a) All income and expenses in connection with the operation of the Property shall be apportioned, as of 11:59 p.m. (Eastern time) on the
day prior to the Closing Date, as if Purchaser were vested with title to the Property during the entire Closing Date, such that, except as otherwise expressly provided to the contrary in this Agreement, Seller shall have the benefit of income and
the burden of expenses for the day preceding the Closing Date and the Purchaser shall have the benefit of income and the burden of expenses for the Closing Date and thereafter. Items (1)-(5) below will be prorated at Closing utilizing the
information known at that time. A post-closing “true-up” shall take place within ninety (90) days of the Closing Date (or such later date as the actual expenses are determined and known to the parties) to adjust the prorations of said
items (1), (3), (4) and (5), if necessary, and within a reasonable time to adjust the proration of said item (2), if necessary. Such prorated items shall include, without limitation, the following: 

(1) rents, if any, based on the amount collected for the current month. The term “rents” as used in this Agreement
includes all payments due and payable by, or received from, tenants under the Leases other than refundable deposits, application fees, reimbursement payments, late charges, pet and cleaning charges and termination payments (which deposits shall be
treated as set forth in Section 4.4(b)(1); 

  
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 (2) ad valorem taxes and assessments levied against the Property (including
personal property taxes on the Tangible Personal Property), which shall be prorated as set forth in Section 4.4(b)(2) hereof; 

(3) payments or amounts due under the Designated Service Contracts; 

(4) gas, electricity, water and other utility charges for which Seller is liable, if any, such charges to be apportioned at
Closing on the basis of the most recent meter reading occurring prior to Closing or the most recent utility bill received by Seller, as applicable, including, without limitation, water charges not yet due and payable to such utility provider at
Closing, but which amounts are customarily billed directly to Seller and reimbursed by tenants; and 
 (5) any other
operating expenses or other items pertaining to the Property which are customarily prorated between a purchaser and a seller in comparable commercial transactions in the area in which the Property is located. 

(b) Notwithstanding anything contained in the foregoing provisions: 

(1) At Closing, (A) Seller shall credit to Purchaser the amount of such unforfeited resident deposits as shown on the rent
roll, pet and other deposits, and (B) Purchaser shall credit to the account of Seller all refundable cash or other deposits posted with utility companies serving the Property (which are transferred to Purchaser), or, at either party’s
option, Purchaser shall contract directly with the utility companies and Seller shall be entitled to receive and retain such refundable cash and deposits; provided that Purchaser and Seller will cooperate so that utility service to the Property is
not interrupted. For the purposes of this Section 4.4(b)(1) the term “unforfeited resident deposits” means any refundable resident deposits which are held by Seller and which Seller has not applied, and is not entitled to apply,
against delinquent rents, property damage or otherwise in accordance with the applicable Lease. 
 (2) Any ad valorem taxes
for the current year paid at or prior to Closing shall be prorated based upon the amounts actually paid for the current tax year. If all taxes and assessments for the current tax year have not been paid before Closing, then Seller shall be charged
at Closing an amount equal to that portion of such taxes and assessments which relates to the period before Closing and Purchaser shall pay the taxes and assessments prior to their becoming delinquent. Any such apportionment made with respect to a
tax year for which the tax rate or assessed valuation, or both, have not yet been fixed shall be based upon the tax rate and/or assessed valuation last fixed. To the extent that the actual taxes and assessments for the current tax year differ from
the amount apportioned at Closing, the parties shall make all necessary adjustments by appropriate payments between themselves following Closing promptly following the 

  
 13 

 
availability of the final tax bills. For avoidance of doubt, any refunds generated from appeal of ad valorem taxes for year(s) prior to the current year shall remain the property of Seller and
paid to Seller by Purchaser, if and to the extent received by Purchaser. 
 (1) Gas, electricity, water and other utility
charges referred to in Section 4.4(a)(4) above which are payable by any tenant directly to a third party shall not be apportioned hereunder, and Purchaser shall accept title subject to any of such charges which are unpaid and Purchaser shall
look solely to the responsible tenant for the payment of the same. 
 (2) If Seller shall have paid any gas, electricity,
water or other utility charges referred to in Section 4.4(a)(4) above directly to a third party which are reimbursable by tenants, but shall not have been reimbursed therefor by the time of Closing, then Purchaser shall retain all such
reimbursement payments received by Purchaser after Closing and shall deliver the same to Seller at the post-Closing “true-up” contemplated by Section 4.4(a). 

(3) As to gas, electricity and other utility charges referred to in Section 4.4(a)(4) above, Seller may on notice to
Purchaser elect to pay one or more of all of such items accrued to the Closing Date directly to the person or entity entitled thereto, and to the extent Seller so elects and the utility company agrees to look solely to Seller for payment of any such
item accrued prior to the Closing Date, such item shall not be apportioned hereunder, and Seller’s obligation to pay such item with respect to the period prior to Closing directly in such case shall survive the Closing. 

(4) Seller shall pay in full all leasing commissions and locators’ and finders’ fees, if any, due to leasing or other
agents (pursuant to a contractual arrangement with Seller) for each Lease and Lease renewal entered into by Seller prior to the Closing Date promptly when due. 

(5) The Tangible Personal Property is included in this sale, without further charge. 

(6) Unpaid and delinquent rent collected by Seller and Purchaser after the date of Closing shall be delivered as follows:
(a) if Seller collects any unpaid or delinquent rent for the Property, Seller shall, within fifteen (15) days after the receipt thereof, deliver to Purchaser any such rent which Purchaser is entitled to hereunder relating to the date of
Closing and any period thereafter, and (b) if Purchaser collects any unpaid or delinquent rent from the Property, Purchaser shall retain all such payments for the period from and after Closing and any excess sums owed to Seller for the period
prior to Closing, and shall deliver to Seller any such rent which Seller is entitled to hereunder relating to the period prior to the date of Closing. Seller and Purchaser agree that all rent received by Seller or Purchaser after the Closing shall
be applied first to current rentals and then to delinquent rentals, if any, in inverse order of maturity. Purchaser will 

  
 14 

 
make a good faith effort after Closing to collect all rents in the usual course of Purchaser’s operation of the Property, but Purchaser will not be obligated to institute any lawsuit or
other collection procedures to collect delinquent rents. Notwithstanding the foregoing, Seller shall have the sole right to collect rents, if any, which are unpaid or delinquent as of Closing, from tenants who are no Longer in occupancy as of the
Closing (and Purchaser shall promptly deliver any such rents to Seller if received by Purchaser after Closing). 
 (7) The
provisions of this Section 4.4(b) shall survive Closing. 
 4.5 Closing Costs. Seller shall pay (a) the fees
of any counsel representing it in connection with this transaction, (b) the cost of the Survey provided by Seller (but not the cost of any update or revision to the Survey), (c) the base premium for the Title Policy in the amount of the
Purchase Price and the simultaneous issue charge for any lender’s policy, (d) the costs of curing all title objections for which Seller is responsible under this Agreement, (e) the costs of recording all mortgage cancellations and
(f) one-half (1/2) of any escrow fees charged by the Escrow Agent (up to a maximum of $500.00). Purchaser shall pay (A) the fees of any counsel representing Purchaser in connection with this transaction, (B) the fees for
recording the Deed, (C) the premiums for any title insurance endorsements or title insurance coverage in excess of the Purchase Price, as requested by Purchaser or Purchaser’s lender, (D) the cost of Purchaser’s inspections of
the Property, (E) the cost of any updates or revisions to the Survey, including updates or revisions necessary to comply with the requirements of Purchaser or Purchaser’s lender, (F) one-half (1/2) of any escrow fees charged by
the Escrow Agent (up to a maximum of $500.00) and (G) all applicable transfer taxes, documentary stamp taxes and similar charges relating to transfer of the Property. All other costs and expenses incident to this transaction and the closing
thereof shall be paid by the party incurring same. 
 4.6 Conditions Precedent to Obligation of Purchaser. The
obligation of Purchaser to consummate the transaction hereunder shall be subject to the fulfillment on or before the date of Closing (or such earlier time as otherwise required hereby) of all of the following conditions, any or all of which may be
waived by Purchaser in its sole discretion: 
 (a) Seller shall have delivered to Purchaser or Escrow Agent (as applicable) all of the
material items required to be delivered to Purchaser by Seller or Seller’s agents pursuant to the terms of this Agreement, including but not limited to, those provided for in Section 4.2. 

(b) All of the representations and warranties of Seller contained in this Agreement shall be true and correct in all material respects as of
the date of Closing (with appropriate modifications permitted under this Agreement or not adverse to Purchaser) or cured within the applicable cure period. 

(c) Seller shall have performed and observed, in all material respects, all covenants and agreements of this Agreement to be performed and
observed by Seller as of the date of Closing or cured within the applicable cure period. 

  
 15 

 (d) All other conditions precedent to Purchaser’s obligation to consummate the transaction
hereunder (if any) which are expressly set forth in this Agreement shall have been satisfied on or before the date of Closing. 
 (e) The
Title Company is ready, willing and able to issue the Title Policy. 
 In the event any of the foregoing conditions has not been satisfied by
the Closing Date, Purchaser shall have the right to terminate this Agreement by written notice given to Seller on the Closing Date, whereupon Escrow Agent shall promptly refund the Earnest Money to Purchaser and the parties shall have no further
rights, duties or obligations hereunder, other than those which are expressly provided herein to survive the termination of this Agreement; provided, however, that if any of the foregoing conditions has not been satisfied due to a default by Seller
hereunder, then Purchaser’s rights, remedies and obligations shall instead be determined in accordance with Article 6. 

4.7 Conditions Precedent to Obligation of Seller. The obligation of Seller to consummate the transaction hereunder shall
be subject to the fulfillment on or before the date of Closing of all of the following conditions, any or all of which may be waived by Seller in its sole discretion: 

(a) Seller shall have received the Purchase Price as adjusted pursuant to and payable in the manner provided for in this Agreement. 

(b) Purchaser shall have delivered to Seller or Escrow Agent (as applicable) all of the material items required to be delivered to Seller by
Purchaser or Purchaser’s agents pursuant to the terms of this Agreement, including but not limited to, those provided for in Section 4.3, or cured within the applicable cure period. 

(c) All of the representations and warranties of Purchaser contained in this Agreement shall be true and correct in all material respects as of
the date of Closing (with appropriate modifications permitted under this Agreement), or cured within the applicable cure period. 
 (d)
Purchaser shall have performed and observed, in all material respects, all covenants and agreements of this Agreement to be performed and observed by Purchaser as of the date of Closing not cured within the applicable cure period. 

(e) All other conditions precedent to Seller’s obligation to consummate the transaction hereunder (if any) which are expressly set forth
in this Agreement shall have been satisfied on or before the date of Closing. 
 In the event any of the foregoing conditions has not been
satisfied by the Closing Date, Seller shall have the right to terminate this Agreement by written notice given to Purchaser on the Closing Date, whereupon Escrow Agent shall promptly refund the Earnest Money to Purchaser and the parties shall have
no further rights, duties or obligations hereunder, other than those which are expressly provided herein to survive a termination of this Agreement; provided, however, if any of the foregoing conditions has not been satisfied due to a default by
Purchaser hereunder, then Seller’s rights, remedies and obligations shall instead be determined in accordance with Article 6. 

  
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 4.8 Seller’s Tax Deferred Exchange. Seller may convey the Property as
part of a tax deferred exchange for the benefit of Seller pursuant to Section 1031 of the Internal Revenue Code. With respect thereto, Seller may assign all of Seller’s contract rights and obligations hereunder to an exchange accommodation
titleholder or a qualified intermediary, as part of, and in furtherance of, such tax deferred exchange. Purchaser agrees to assist and cooperate in such exchange for the benefit of Seller at no cost, expense or liability to Purchaser and without
reduction or alteration of the rights of Purchaser under this Agreement and with respect to Seller; and Purchaser further agrees to execute any and all documents (subject to the reasonable approval of Purchaser’s legal counsel) as are
reasonably necessary in connection with such exchange at Seller’s sole expense provided that Purchaser shall not be required to undertake any liability or obligation in so doing and provided that such exchange does not extend the Closing Date.
As part of such exchange, Seller shall convey the Property directly to Purchaser and Purchaser shall not be obligated to acquire or convey any other property as part of such exchange. Seller shall indemnify, hold harmless and defend Purchaser from
and against any and all claims, demands, causes of action, liabilities, losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity)
that may be incurred by Purchaser and arising out of Purchaser’s participation in such exchange for the benefit of Seller, which obligation shall survive the Closing. Notwithstanding the foregoing, should Seller fail to effect a tax deferred
exchange as contemplated in this Section 4.8 for any reason, then the sale by Seller of the Property shall be consummated in accordance with terms and conditions of this Agreement just as though the provisions of this Section 4.8 had been
omitted from this Agreement, except that Purchaser shall be reimbursed and indemnified from resulting costs and expenses as provided in this Section. Nothing contained in this Section 4.8 shall release Seller of any of its obligations or
liabilities under this Agreement, whether accruing before, at or after Closing, nor shall anything contained in this Section 4.8 impose any liability or obligation on Purchaser with respect to the tax consequences of this transaction to
Seller. 
 4.9 Purchaser’s Tax Deferred Exchange. Purchaser may acquire any the Property as part of a tax
deferred exchange for the benefit of Purchaser pursuant to Section 1031 of the Internal Revenue Code. With respect thereto, Purchaser may assign all of Purchaser’s contract rights and obligations hereunder to an exchange accommodation
titleholder or a qualified intermediary, as part of, and in furtherance of, such tax deferred exchange. Seller agrees to assist and cooperate in such exchange for the benefit of Purchaser at no cost, expense or liability to Seller and without
reduction or alteration of the rights of Seller under this Agreement and with respect to Purchaser; and Seller further agrees to execute any and all documents (subject to the reasonable approval of Seller’s legal counsel) as are reasonably
necessary in connection with such exchange at Purchaser’s sole expense provided that Seller shall not be required to undertake any liability or obligation in so doing and provided that such exchange does not extend the Closing Date. As part of
such exchange, Seller shall convey the Property directly to Purchaser and Seller shall not be obligated to acquire or convey any other property as part of such exchange. Purchaser shall indemnify, hold harmless and defend Seller from and against any
and all claims, demands, causes of action, liabilities, losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or

  
 17 

 
in enforcing this indemnity) that may be incurred by Seller and arising out of Seller’s participation in such exchange for the benefit of Purchaser. Notwithstanding the foregoing, should
Purchaser fall to effect a tax deferred exchange as contemplated in this Section 4.9 for any reason, then the purchase by Purchaser of the Property shall be consummated in accordance with terms and conditions of this Agreement just as though
the provisions of this Section 4.9 had been omitted from this Agreement, except that Seller shall be reimbursed and indemnified from resulting costs and expenses as provided in this Section. Nothing contained in this Section 4.9 shall
release Purchaser of any of its obligations or liabilities under this Agreement, whether arising before, at or after Closing, nor shall anything contained in this Section 4.9 impose any liability or obligation on Seller with respect to the tax
consequences of this transaction to Purchaser. 
 ARTICLE 5 

REPRESENTATIONS, WARRANTIES AND COVENANTS 

5.1 Representations and Warranties of Seller. The Seller makes the following representations and warranties to Purchaser
as of the Effective Date and as of Closing. Such representations and warranties are subject to the Permitted Exceptions. 
 (a)
Organization and Authority. The Seller has been duly organized and is validly existing and in good standing under the laws of the State of Delaware and is duly qualified to transact business in the State where the Property is located. Seller has the
full right and authority to enter into this Agreement and to transfer the Property pursuant hereto and to consummate or cause to be consummated the transactions contemplated herein. The person signing this Agreement on behalf of Seller is authorized
to do so. Neither the execution and delivery of this Agreement nor any other documents executed and delivered, or to be executed and delivered, by Seller in connection with the transactions described herein, will violate any provision of
Seller’s organizational documents or of any agreements, regulations, or laws to or by which Seller is bound. This Agreement has been, and each document to be executed and delivered by Seller at Closing shall have been as of Closing, duly
authorized, executed and delivered by Seller, is a valid and binding obligation of Seller and is enforceable against Seller in accordance with its terms subject to (i) applicable bankruptcy, insolvency, reorganization, moratorium, and other
laws affecting the rights of creditors generally; and (ii) the exercise of judicial discretion in accordance with general principles of equity. 

(b) Consents. Seller has obtained all consents and permissions (if any) related to the transactions herein contemplated and required under any
covenant, agreement, encumbrance, law or regulation by which Seller or the Property is bound. 
 (c) Pending Actions. Except as set forth on
Schedule 5.1, Seller has not received written notice of any action, suit, arbitration, administrative or judicial proceeding, or unsatisfied order or judgment against Seller which pertains directly to the Property or the transaction
contemplated by this Agreement, which in either case, if adversely determined, would have a material adverse effect on the use, operation, or the value of the Property. 

  
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 (d) Leases and Rent Roll. Seller is the lessor or landlord under the Leases. The Rent Roll
attached as Schedule 1.1(e) is, and each rent roll hereafter delivered by Seller to Purchaser shall be the rent roll maintained by Seller and relied on by Seller for internal administration and accounting purposes. Notwithstanding
anything to the contrary contained in this Agreement, Seller does not represent or warrant that any particular Lease will be in force or effect at Closing or that the tenants under the Leases will have performed their obligations thereunder. The
termination of any Lease prior to Closing by reason of the tenant’s default or for any other reason not constituting a default by Seller under this Agreement or the Leases shall not affect the obligations of Purchaser under this Agreement in
any manner or entitle Purchaser to an abatement of or credit against the Purchase Price or give rise to any other claim on the part of Purchaser. 

(e) Condemnation. Seller has not received written notice of any pending condemnation proceedings relating to the Property. 

(f) Insurance. Seller has not received prior to the Effective Date any written notice from Seller’s current insurance carrier of any
defects or inadequacies in or on the Property or any part or component thereof that would materially and adversely affect the insurability of the Property or cause any material increase in the premiums for insurance for the Property, that have not
been cured or repaired. 
 (g) Environmental Matters. (i) Seller has received no written notice from any governmental authority
asserting any violation of Environmental Laws related to the Property which has not been cured or corrected as of the Effective Date, and (ii) other than the environmental reports previously delivered to Purchaser, Seller has not commissioned
any study relating to the presence or absence of Hazardous Materials on the Property. The term “Environmental Laws” includes without Limitation the Resource Conservation and Recovery Act and the Comprehensive Environmental Response,
Compensation, and Liability Act and other federal laws governing the environment as in effect on the date of this Agreement together with their implementing regulations as of the date of this Agreement applicable to the Property, and all applicable
state, regional, county, municipal and other local laws, regulations and ordinances that are equivalent or similar to the federal laws recited above or that purport to regulate hazardous or toxic substances and materials. The term “Hazardous
Materials” includes petroleum (including crude oil or any fraction thereof) and any substance, material, waste, pollutant or containment listed or defined as hazardous or toxic under any Environmental Laws, in any case at levels or
concentrations requiring monitoring, reporting, remediation or removal in accordance with Environmental Laws. 
 (h) Service
Contracts. There are no material service, supply, equipment rental or similar agreements (each a “Service Contract” and collectively “Service Contracts”) to which Seller is a party affecting the Property other than
those set forth in Schedule 5.1(h) and to the extent the same are in Seller’s possession, those Service Contracts which have been delivered by Seller to Purchaser are true, correct and complete in all material respects and include
any material amendments or modifications thereto. To Seller’s knowledge, Seller is not in default with respect to its obligations or liabilities under any of the Service Contracts where the failure to cure such default would have a Material
Adverse Effect. “Material Adverse Effect” means, with respect to any fact or circumstance, that such fact or circumstance would individually or in the aggregate have a material adverse effect on title to the Property or any portion
thereof, on Seller’s ability to consummate the transaction contemplated herein, or on the value or operation of the Property. 

  
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 (i) Employees. Seller has no employees which Purchaser shall be obligated to employ following the
Closing. 
 (j) Operating Statements. The operating statements for the Property delivered to Purchaser are the operating statements
maintained by Seller and relied on by Seller for internal administration and accounting purposes; provided, however, that Seller does not and will not represent or warrant that Purchaser will be able to, or should be able to, operate
the Property according to and with similar results as shown in such operating statements. 
 (k) ERISA. Seller is not (i) an
“employee benefit plan” within the meaning of Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), (ii) a “governmental plan” under Section 3(32) of ERISA,
(iii) any plan described in Section 4975 of the Internal Revenue Code, or (iv) an entity whose underlying assets include “plan assets” by reason of the application of the ERISA “plan assets” regulation
(29 C.F.R. 2510.3- 101). 
 (l) Patriot Act and Related Matters. Seller hereby represents, warrants, covenants and agrees, as of the
date hereof and as of the Closing Date, as follows: 
 (A) Seller has been in compliance in all material respects for the
last five years and will continue to be in compliance in all material respects through the Closing Date with (a) the PATRIOT Act, Pub. L. No. 107-56, the Bank Secrecy Act, 31 U.S.C. § 5311 et seq., the Money Laundering
Control Act of 1986, and laws relating to the prevention and detection of money laundering in 18 U.S.C. §§ 1956 and 1957; (b) the Export Administration Act (50 U.S.C. §§ 2401- 2420), the International
Emergency Economic Powers Act (50 U.S.C. § 1701, et seq.), the Arms Export Control Act (22 U.S.C. §§ 2778-2994), the Trading With The Enemy Act (50 U.S.C. app. §§ 1-44), and 13 U.S.C.
Chapter 9; (c) the Foreign Asset Control Regulations contained in 31 C.F.R., Subtitle B, Chapter V; and (d) any other civil or criminal federal or state laws, regulations, or orders of similar import. 

(B) None of the Seller Parties (as defined below) is now or shall be at any time until the Closing Date be a person who has
been listed on (a) the Specially Designated Nationals and Blocked Persons List contained in Appendix A to 31 C.F.R., Subtitle B, Part V; (b) the Denied Persons List, the Entity List, and the Unverified Parties List maintained by the
United States Department of Commerce; (c) the List of Terrorists and List of Debarred Parties maintained by the United States Department of State; and (d) any other similar list maintained by any federal or state agency or pursuant to any
Executive Order of the President of the United States of America. “Seller Parties” means, collectively, (A) Seller, (B) its executive officers, directors, managers, agents and employees, (C) its shareholders, members,
partners, and other investors, or any other person that owns or controls Seller, and (D) any entity on whose behalf Seller acts. 

  
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 (m) Compliance with Law/Notice of Violations or Defects. Seller has not received written notice
from any governmental authority that the Property is not in material compliance with any applicable laws, ordinances and regulations. 

5.2 Knowledge Defined. References to the “knowledge” of Seller shall refer only to the actual knowledge, without
investigation or inquiry, on the Effective Date of the Designated Representatives (as hereinafter defined) of Seller, and shall not be construed, by imputation or otherwise, to refer to the knowledge of any property manager or broker, or to any
other officer, agent, manager, representative or employee of Seller or any affiliate of Seller, or to impose upon such Designated Representatives any duty to investigate the matter to which such actual knowledge, or the absence thereof, pertains. As
used herein, the term “Designated Representatives” shall refer to the following persons: (i) Thomas H. Flournoy and (ii) Jack Lee, Seller’s regional property manager. In no event shall Purchaser have any personal
claim against the above-named individuals as a result of the reference thereto in this Section 5.2 and Purchaser waives and releases all such claims which Purchaser now has or may later acquire against them in connection with the transactions
contemplated in this Agreement. 
 5.3 Survival of Seller’s Representations and Warranties. The
representations and warranties of Seller set forth in Section 5.1, as updated by Seller’s Closing Certificate, shall survive Closing for a period of nine (9) months after Closing. Except with respect to fraudulent misrepresentation
for which the Agreement is terminated under Section 6.2, in which event Section 6.2 shall apply, no claim for a breach of any representation or warranty of Seller shall be actionable or payable (a) If the breach in question results
from or is based on a condition, state of facts or other matter which was known to Purchaser prior to Closing, (b) unless the valid claims for all such breaches collectively aggregate Twenty-Five Thousand and No/100 Dollars ($25,000.00) or
more, in which event the full amount of such valid claims shall be actionable, up to but not exceeding the amount of the Cap (as defined below), and (c) unless written notice containing a description of the specific nature of such breach shall
have been given by Purchaser to Seller prior to the expiration of said nine (9) month period and an action shall have been commenced by Purchaser against Seller within eleven (11) months after Closing. In the event of any breach by Seller
of its representations and warranties contained herein which Purchaser first discovers after Closing and provides timely notice as aforesaid, Seller shall indemnify and hold Purchaser harmless from and against any and all loss, damage, cost or
expense resulting therefrom up to but not exceeding the Cap. Seller shall not be liable to Purchaser to the extent Purchaser’s claim is satisfied from any insurance policy, Service Contract or Lease. As used herein, the term
“Cap” shall mean the total aggregate amount equal to Three Hundred Thousand and No/100 Dollars ($300,000.00). In no event shall Seller’s aggregate liability to Purchaser for any and all breaches of any representation or
warranty of Seller in this Agreement or Seller’ s Closing Certificate exceed the amount of the Cap, and Purchaser hereby waives and disclaims any right to damages or compensation for any and all such breaches in excess of the Cap. 

5.4 Covenants of Seller. Seller hereby covenants with Purchaser, from the Effective Date until the Closing or earlier
termination of this Agreement, as follows: 
 (a) Operation of Property. Seller shall operate and maintain the Property in a manner
generally consistent with the manner in which Seller has operated and maintained the Property prior to the date hereof. 

  
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 (b) Execution of New Leases and Renewals. Seller shall use reasonable efforts to negotiate
new leases for unrented apartment units in the Improvements and/or Lease renewals for rented apartment units in the Improvements and shall maintain an advertising and marketing program for apartment units in the Improvements consistent with
Seller’s past practices at the Property. Except for amendments or leases entered into pursuant to renewal notices mailed prior to the execution of this Agreement, unless Purchaser agrees otherwise in writing, any new leases or renewals of
existing leases for such apartment units entered into by Seller after the Effective Date until the Closing or earlier termination of this Agreement shall be on Seller’s standard apartment lease form for the Property, and shall be for terms of
no less than three (3) months and no more than fifteen (15) months. In all cases, Seller shall retain the discretion to set rent rates, concessions and other terms of occupancy, provided Seller shall only enter into new leases or renewals
in the ordinary course of business taking into account Seller’s then current good faith evaluation of market conditions. Each such new lease or renewal entered into by Seller shall constitute a “Lease” for purposes of this
Agreement. 
 (c) Maintenance of Insurance. Seller shall keep the Improvements insured against loss or damage (including rental loss)
by fire and all risks covered by the Seller’s insurance that is currently in force, provided that Seller may make adjustments in Seller’s insurance coverage for the Property which are consistent with Seller’s general insurance program
for Seller’s other apartment properties as in effect from time to time. 
 (d) Enforcement of Existing Leases. Seller shall perform the
landlord’s material obligations to the tenants under the Leases and enforce the material obligations of the tenants under the Leases, in each case in accordance with the current management standards of Seller for its apartment properties. At or
prior to Closing, Seller shall pay all outstanding finder’s fees resulting from the Leases, if any. 
 (e) Preparation of Vacant Units
for Lease. Seller shall place apartment units that are now vacant or that become vacant into rent-ready condition on or before the Closing Date in accordance with Seller’s current management standards for its apartment properties as though no
sale of the Property were contemplated or, at Seller’s option, provide Purchaser a credit at Closing equal to Eight Hundred and No/100 Dollars ($800.00) per unit for the apartment units that are not in rent-ready condition on the Closing Date;
provided, however, that with respect to apartment units vacated during the five (5)-day period ending on the Closing Date, Seller shall have no obligation either to put such units into rent-ready condition or to give Purchaser a
credit for the cost of doing so. Rent ready as used herein shall refer to rentable condition and equipped with appliances installed in good working condition, maintenance shall be performed, all walls shall be painted as necessary and all carpet
shall be professionally steam cleaned or replaced in accordance with Seller’s current management standards. 
 (f) Removal and
Replacement of Tangible Personal Property. Seller shall not remove any Tangible Personal Property except as may be required for necessary repair or replacement (which repair and replacement shall be of equal quality and quantity as existed as of the
time of the removal), or otherwise in accordance with current inventory and management standards of Seller for its apartment properties, provided that any appliances, leasing office furniture, pool furniture, fitness center equipment, or other
similar items of equipment so removed by Seller are promptly replaced by Seller, at its cost, with items of comparable value and utility. 

  
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 (g) Execution of New Contracts. Seller shall not, without Purchaser’s prior written consent
in each instance (which consent may be withheld in Purchaser’s sole discretion), materially amend or terminate any of the Designated Service Contracts, or enter into any contract or agreement that will be an obligation affecting the Property or
binding on Purchaser after the Closing, except that (i) Seller may enter into, amend or enforce (including enforcement by termination) Service Contracts in the ordinary course of business as reasonably necessary for the continued operation and
maintenance of the Property, provided any new Service Contracts are terminable without cause or penalty on no more than thirty (30) days’ notice, and (ii) Seller may conduct leasing activity as provided in Section 5.4(b) hereof.

 (h) Maintenance of Permits. Seller shall make commercially reasonable efforts to maintain in existence all licenses, permits and approvals
that are now in existence with respect to, and are required for, the ownership, operation or improvement of the Property, and are of a continuing nature. 

(i) Management Contracts. As of Closing any property management contract pertaining to the Property shall have been terminated. 

5.5 Representations and Warranties of Purchaser. Purchaser hereby makes the following representations and warranties to
Seller as of the Effective Date: 
 (a) Organization and Authority. Purchaser has been duly organized and is validly existing as a
limited partnership under the laws of the State of Delaware. Purchaser has the full right and authority to enter into this Agreement and to purchase the Property pursuant hereto and to consummate or cause to be consummated the transactions
contemplated herein. The person signing this Agreement on behalf of Purchaser is authorized to do so. Neither the execution and delivery of this Agreement nor any other documents executed and delivered, or to be executed and delivered, by Purchaser
in connection with the transactions described herein, will violate any provision of Purchaser’s organizational documents or of any agreements, regulations, or laws to or by which Purchaser is bound. This Agreement has been duly authorized,
executed and delivered by Purchaser, is a valid and binding obligation of Purchaser and is enforceable against Purchaser in accordance with its terms subject to (i) applicable bankruptcy, insolvency, reorganization, moratorium, and other laws
affecting the rights of creditors generally; and (ii) the exercise of judicial discretion in accordance with general principles of equity. 

(b) Consents. Purchaser has obtained all consents and permissions (if any) related to the transactions herein contemplated and required under
any covenant, agreement, encumbrance, law or regulation by which Purchaser is bound. 
 (c) Pending Actions. To Purchaser’s knowledge,
there is no action, suit, arbitration, administrative or judicial administrative proceeding, or unsatisfied order or judgment pending or threatened against Purchaser or the transaction contemplated by this Agreement, which, if adversely determined,
could individually or in the aggregate have a material adverse effect on Purchaser’s ability to consummate the transaction contemplated herein. 

  
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 (d) Financial Status. Purchaser is solvent, has not made a general assignment for the benefit of
its creditors, and has not admitted in writing its inability to pay its debts as they become due, nor has Purchaser filed, nor does it contemplate the filing of, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or
any other proceeding for the relief of debtors in general, nor has any such proceeding been instituted by or against Purchaser, nor is any such proceeding to Purchaser’s knowledge threatened or contemplated. The purchase of the Property will
not render Purchaser insolvent. 
 (e) ERISA. Purchaser is not (i) an “employee benefit plan” within the meaning of
Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), (ii) a “governmental plan” under Section 3(32) of ERISA, (iii) any plan described in Section 4975 of the
Internal Revenue Code, or (iv) an entity whose underlying assets include “plan assets” by reason of the application of the ERISA “plan assets” regulation (29 C.F.R. 2510.3-101). 

(f) Patriot Act and Related Matters. Purchaser hereby represents, warrants, covenants and agrees, as of the date hereof and as of the Closing
Date, as follows: 
 (A) Purchaser is familiar with the source of funds for the purchase price of the Property and represents
that all such funds are and will be derived from legitimate business activities within the United States of America and/or from loans from a banking or financial institution chartered or organized within the United States of America. To the extent
Seller is required to obtain such information in order to comply with applicable law, regulation or official government request, and to the extent providing such information does not violate applicable law, regulation or official government request,
Purchaser agrees to provide to Seller such documents, certifications or other evidence as may be reasonably requested from time to time by Seller, confirming the source of funds for the Purchase Price (and that such funds derived from legitimate
business activities). 
 (B) Purchaser has been in compliance in all material respects for the last five years and will
continue to be in compliance in all material respects through the Closing Date with (a) the PATRIOT Act, Pub. L. No. 107-56, the Bank Secrecy Act, 31 U.S.C. § 5311 et seq., the Money Laundering Control Act of 1986, and laws
relating to the prevention and detection of money laundering in 18 U.S.C. §§ 1956 and 1957; (b) the Export Administration Act (50 U.S.C. §§ 2401-2420), the International Emergency Economic Powers Act
(50 U.S.C. § 1701, et seq.), the Arms Export Control Act (22 U.S.C. §§ 2778-2994), the Trading With The Enemy Act (50 U.S.C. app. §§ 1-44), and 13 U.S.C. Chapter 9; (c) the
Foreign Asset Control Regulations contained in 31 C.F.R., Subtitle B, Chapter V; and (d) any other civil or criminal federal or state laws, regulations, or orders of similar import. 

  
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 (C) None of the Purchaser Parties (as defined below) is now or shall be at
any time until the Closing Date be a person who has been listed on (a) the Specially Designated Nationals and Blocked Persons List contained in Appendix A to 31 C.F.R., Subtitle B, Part V; (b) the Denied Persons List, the Entity List,
and the Unverified Parties List maintained by the United States Department of Commerce; (c) the List of Terrorists and List of Debarred Parties maintained by the United States Department of State; and (d) any other similar list maintained
by any federal or state agency or pursuant to any Executive Order of the President of the United States of America. “Purchaser Parties” means, collectively, (A) Purchaser, (B) its executive officers, directors, managers,
agents and employees, (C) its shareholders, members, partners, and other investors, or any other person that owns or controls Purchaser, and (D) any entity on whose behalf Purchaser acts. 

5.6 Survival of Purchaser’s Representations and Warranties. The representations and warranties of Purchaser set forth
in Section 5.5 shall survive Closing for a period of nine (9) months after Closing provided, however, that Purchaser’s representations in Section 5.5(f) shall survive for the applicable statute of limitations. 

5.7 Covenants of Purchaser. 

(a) Purchaser hereby covenants with Seller that, prior to Closing, Purchaser shall upon Seller’s request furnish to Seller copies
of any reports received by Purchaser in connection with any inspection of the Property for the presence of Hazardous Materials (as defined in Section 5.l(g) hereof), Mold or any Mold Condition (as defined below). EXCEPT FOR CLAIMS BASED ON A
BREACH BY SELLER OF THE REPRESENTATIONS AND WARRANTIES CONTAINED IN SECTION 5.1(g), PURCHASER IRREVOCABLY WAIVES ANY CLAIM AGAINST SELLER ARISING FROM THE PRESENCE OF HAZARDOUS MATERIALS OR MOLD OR ANY MOLD CONDITION ON THE PROPERTY OR THE
BREACH OF ENVIRONMENTAL LAWS WITH RESPECT TO THE PROPERTY. Prior to Closing, Purchaser shall also upon Seller’s request furnish to Seller copies of any other non-proprietary or confidential reports received by Purchaser relating to any other
inspections of the Property conducted on Purchaser’s behalf, if any. Any such reports furnished to Seller shall be furnished at Seller’s risk and without representation or warranty, express or implied, of any kind whatsoever.
“Mold” means mold, mildew, fungus or other potentially dangerous organisms. “Mold Condition” means the presence or suspected presence of Mold or any condition(s) that reasonably can be expected to give rise to or
indicate the presence of Mold, including observed or suspected instances of water damage or intrusion, the presence of wet or damp wood, cellulose wallboard, floor coverings or other materials, inappropriate climate control, discoloration of walls,
ceilings or floors, complaints of respiratory ailment or eye irritation by residents, employees or any other occupants or invitees in the Property, or any notice from a governmental agency of complaints regarding the indoor air quality at the
Property. 

  
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 (b) “Designated Service Contracts” means (i) those certain Service
Contracts which are assignable in accordance with their terms (without consent or in which Seller has obtained any required consent to transfer) which Purchaser identifies by written notice delivered to Seller on or before the Inspection Date
as the Service Contracts Purchaser elects Seller to assign to Purchaser at Closing, (ii) those assignable Service Contracts regarding which Purchaser has failed to deliver such written notice on or before the Inspection Date, and
(iii) those Service Contracts (the “Must Take Service Contracts”) attached hereto as Schedule 5.7(b) which are assignable in accordance with their terms (without consent or in which Seller has obtained any required
consent to transfer) and which may not be terminated without cause or penalty, with thirty (30) days (or less) written notice. Purchaser hereby covenants with Seller that on or before the Inspection Date, Purchaser shall deliver written notice
to Seller instructing which of the assignable Service Contracts Purchaser desires for Seller to assign to Purchaser and which it does not. If Purchaser fails to timely deliver such notice, Purchaser shall be deemed to have chosen to have all
assignable Service Contracts assigned to Purchaser, and all such Service Contracts shall be deemed part of the “Designated Service Contracts.” If Purchaser charges any vendor approval fees that would otherwise be payable by a
service provider in connection with the assignment of any Service Contracts (such as Compliance Depot charges), Purchaser agrees to waive and release such fees. At Closing, Seller will cause the Service Contracts which Purchaser has elected not to
have assigned to Purchaser (other than the Must Take Service Contracts), by operation of the aforesaid notice on or before the Inspection Date, to be terminated at Seller’s expense, such termination to be effective within the time period
provided for in the applicable Service Contract (or if no such time period is provided, as promptly as practicable after the Closing Date). The provisions of this Section 5.7(b) shall survive Closing. 

5.8 Special Provisions Concerning Condominium Conversion. 

(a) If Purchaser or any affiliate of Purchaser shall elect to conduct a program of sales of condominium units within the Property, or
otherwise to convert all or any part of a Property to the condominium form of ownership at any time during the ten (10) year period following issuance of the certificate of occupancy for the Property, such party shall provide Seller with copies
of the proposed condominium documentation in advance of submission to any governmental agency with jurisdiction over such sales program, or in advance of any recordation of any such documentation in the real property records. The proposed
condominium documentation shall reflect a “Developer” or “Declarant” (or similar party) other than Seller or any affiliate of Seller and, except as may otherwise be required by law, shall contain no terms or
provisions therein which would permit a proposed unit purchaser to learn that Seller or any affiliate of Seller was involved in or connected with the Property or the proposed condominium in any manner. 

(b) Purchaser agrees that, at all times from and after Closing, it will indemnify, hold harmless and defend Seller and its affiliates, and
their respective officers, partners, members, directors, employees and agents (herein collectively called the “Indemnified Parties”) from and against any and all liabilities, damages, losses, costs and expenses (including
attorneys’ fees and expenses), which any of the Indemnified Parties may suffer, incur or be obligated to perform as a result of Purchaser’s, or any of its affiliates’, and only Purchaser or one of its affiliates, converting the form
of ownership of all or any part of the Property to a condominium form of ownership and/or selling residential condominium units within the Property (hereinafter collectively called the “Condo Claims”), other than those relating to a
breach of Seller’s representations or warranties set forth in this Agreement or the closing 

  
 26 

 
documents. The foregoing indemnity with respect to the Condo Claims shall be in effect regardless of whether the Condo Claims result from actions of condominium unit owners, condominium unit
purchasers or condominium or property owners’ association and regardless of whether such Condo Claims relate to the construction of the Property or any other matter, nature or thing, whatsoever. In the event Purchaser receives notice or
otherwise becomes aware (while having an ownership interest in the Property) of a claim by any unit owner, unit purchasers, or condominium or property owner’s association and/or any other person or entity, whether such claim relates to the
construction of the Property or any other matter, nature or thing, whatsoever, Purchaser agrees to take any and all actions which are reasonably necessary to prevent any claims from being brought against any of the Indemnified Parties. 

(c) Prior to Closing, Purchaser shall not undertake or commence any sales or marketing activities regarding the conversion of all or any part
of the Property to a condominium form of ownership or the marketing or sale of condominium units therein, including, without Limitation, the submittal or recordation of any documentation regarding the conversion of the Property to a condominium form
of ownership or the marketing or sale of condominium units therein. Additionally, and not by way of Limitation, prior to Closing, neither Purchaser nor any affiliate of Purchaser, nor any of their respective partners, members, officers, directors,
shareholders, agents or representatives, shall communicate any information about or concerning the future or potential conversion of all or any part of the Property to a condominium form of ownership, or the sale or marketing of any condominium
units therein, to any existing or potential tenant or occupant of Seller or the Property. Notwithstanding the foregoing provisions or anything contained in this Agreement to the contrary, Purchaser shall be permitted to inspect or review any or all
records of any federal, state or local governmental authority, and shall be permitted to make such inquiries of and obtain such documentation and information related to the Property from any federal, state or local governmental authorities to be
able to confirm the compliance and the condition of the Property with respect to all governmental requirements and Purchaser’s ability to convert the Property to condominium use; provided, however, that this Section 5.8 does not permit the
disclosure of any information concerning the potential conversion of the Property to a condominium form of ownership to any tenant or occupant of the Property or potential purchasers of condominium units prior to Closing. 

(d) This Section 5.8 shall survive the termination, cancellation, rescission or consummation of this Agreement. 

ARTICLE 6 
 DEFAULT

 6.1 Default by Purchaser. If the sale of the Property as contemplated hereunder is not consummated due to
Purchaser’s default hereunder, then Seller shall be entitled, as its sole and exclusive remedy for such default, to terminate this Agreement and receive the Earnest Money as liquidated damages for the breach of this Agreement and not as a
penalty, it being agreed between the parties hereto that the actual damages to Seller in the event of such breach are impractical to ascertain and the amount of the Earnest Money is a reasonable estimate thereof, Seller hereby expressly waiving and
relinquishing any and all other remedies at law or in equity. Seller’s right to receive the Earnest Money is intended not as a penalty, but as full liquidated damages. The right to receive the Earnest Money as full liquidated damages is

  
 27 

 
Seller’s sole and exclusive remedy in the event of default hereunder by Purchaser, and Seller hereby waives and releases any right to (and hereby covenants that it shall not) sue Purchaser:
(a) for specific performance of this Agreement, or (b) to recover any damages of any nature or description other than or in excess of the Earnest Money. Purchaser hereby waives and releases any right to (and hereby covenants that it shall
not) sue Seller or seek or claim a refund of the Earnest Money (or any part thereof) on the grounds it is unreasonable in amount and exceeds Seller’s actual damages or that its retention by Seller constitutes a penalty and not agreed upon and
reasonable liquidated damages. This Section 6.1 is subject to Section 6.4 hereof. 
 6.2 Default by Seller. If
the sale of the Property as contemplated hereunder is not consummated due to Seller’s default hereunder, then Purchaser shall be entitled, as its sole remedy for such default, either (a) to receive the return of the Earnest Money and
reimburse Purchaser expenses not to exceed Fifty Thousand and No/100 Dollars ($50,000.00), which return shall operate to terminate this Agreement and release Seller from any and all liability hereunder, or (b) to seek specific performance of
Seller’s obligation under this Agreement. Purchaser expressly waives and releases its rights to seek damages in the event of Seller’s default hereunder; provided, however, that if Seller’s default constitutes an Intentional Seller
Default (as hereinafter defined) and Purchaser makes the election described in clause (a) above, then Purchaser shall also have the right to sue Seller for money damages, in an amount equal to the lesser of (i) Two Hundred Fifty Thousand
and No/100 Dollars ($250,000.00) in the aggregate, or (ii) the amount of all direct, third-party out-of-pocket costs and expenses actually incurred by Purchaser in connection with this Agreement and the inspection, acquisition and financing of
said Property (“Third-Party Costs”). In no event shall Seller be liable for consequential, speculative, remote or punitive damages, or any other damages other than Third-Party Costs, and Purchaser hereby waives and releases any
right to seek or collect any such consequential, speculative, remote or punitive damages, or any damages other than Third-Party Costs (such Third-Party Costs to be limited in all cases as provided above). Purchaser shall be deemed to have elected to
terminate this Agreement and receive back the Earnest Money if Purchaser fails to file suit for specific performance against Seller in a court having jurisdiction in the county and state in which the Property is located, on or before sixty
(60) days following the date upon which Closing was to have occurred. “Intentional Seller Default” means any one or more of the following: (a) fraudulent or knowing misrepresentation, (b) criminal conduct (i.e.
conduct that constitutes a felony under applicable law), or (c) an intentional and deliberate act of Seller taken on or after the Effective Date that is intended to result in, and does result in, Purchaser’s inability to consummate the
transaction contemplated in this Agreement for a reason other than Purchaser’s default or the failure of any condition to Closing to be satisfied. 

6.3 Notice of Default; Opportunity to Cure. Neither Seller nor Purchaser shall be deemed to be in default hereunder until
and unless such party has been given written notice of its failure to comply with the terms hereof and thereafter does not cure such failure within two (2) business days after receipt of such notice; provided, however, that (i) this
Section 6.3 shall not be applicable to Purchaser’s failure to deliver the Earnest Money or any portion thereof on the date(s) required hereunder, and (ii) there shall be only one (1) cure period (two (2) business days)
allocable to any event of a default (or series of simultaneous defaults) hereunder. 

  
 28 

 By way of example and for the avoidance of doubt, and for the purposes of this Section 6.3
only, notwithstanding the provisions of Section 11.6 hereunder, in the event that (a) Purchaser defaults by falling consummate the transaction contemplated by this Agreement (by falling to deliver the Purchase Price, falling to satisfy any
obligation required to be satisfied by Purchaser pursuant to Section 4.3 hereof or otherwise falling to perform (as required by this Agreement)) prior to 5:00P.M. (Eastern time) on January 15, 2014, and (b) Seller delivers notice of
such event of default to Purchaser by confirmed facsimile (with a copy of such notice deposited with an overnight courier for next business day delivery) prior to 11:59 P.M. on January 15, 2014, Seller shall be obligated to consummate the
transaction contemplated by this Agreement prior to 5:00 P.M. (Eastern time) on January 17, 2014, and Purchaser shall not be entitled to any further cure period pursuant to this Section 6.3, any other provision of this Agreement or
otherwise. 
 6.4 Recoverable Damages. Notwithstanding Sections 6.1 and 6.2 hereof, in no event shall the
provisions of Sections 6.1 and 6.2 limit (i) either Purchaser’s or Seller’s obligation to indemnify the other party, or the damages recoverable by the indemnified party against the indemnifying party due to, a party’s
express obligation to indemnify the other party in accordance with Sections 3.1, 4.8, 4.9, or 8.1(b) of this Agreement or (ii) either party’s obligation to pay costs, fees or expenses under Section 4.5 hereof, or the damages
recoverable by either party against the other party due to a party’s failure to pay such costs. In addition, if this Agreement terminates for any reason, other than a default by Seller hereunder for which Purchaser has elected to pursue the
remedy of specific performance, and Purchaser or any party related to or affiliated with Purchaser asserts any claim or right to the Property that would otherwise delay or prevent Seller from having clear, indefeasible, and marketable title to the
Property, then Seller shall have all rights and remedies available at law or in equity with respect to such assertion by Purchaser and any loss, damage or other consequence suffered by Seller as a result of such assertion. 

ARTICLE 7 
 RISK OF LOSS

 7.1 Damage. In the event of “damage” to the Property or any portion thereof, which is “major” (as
such terms are hereinafter defined) then Seller shall promptly notify Purchaser thereof. In the event of such major damage, Purchaser may elect to proceed with the Closing (subject to the other provisions of this Agreement) or may terminate this
Agreement by delivering written notice thereof to Seller within ten (10) business days after Purchaser’ s receipt of Seller’s notice respecting the damage. If, within ten (10) business days of receipt of Seller’s notice respecting
such major damage, Purchaser delivers written notice of termination of this Agreement to Seller, this Agreement shall terminate, all Earnest Money shall be returned to Purchaser and, except for obligations of the parties which survive termination of
this Agreement, the parties shall have no further obligations hereunder. If Purchaser does not timely elect to terminate this Agreement, Purchaser shall have no further right to terminate this Agreement as a result of the damage and in such event,
Seller shall assign to Purchaser at Closing all insurance proceeds or condemnation awards payable as a result of such damage and pay any non-insured portions and any insurance deductible due under Seller’s insurance policy(ies). If the damage
is not major, Seller shall assign to Purchaser at Closing all insurance proceeds or condemnation awards payable as a result of such damage and pay any insurance deductible due under Seller’s insurance policy(ies). In the event the damage is not
major and prior to Closing sufficient insurance proceeds are not received or committed in writing by the insurance carrier sufficient to 

  
 29 

 
repair any damage, Seller shall repair such damage by Closing or give Purchaser a credit at Closing in an amount sufficient to pay for the cost unpaid as of Closing for repair of the applicable
damage (i.e. to restore the Property to substantially the same condition as immediately before such casualty), such amount to be determined by an architect or other appropriate professional selected by Seller and approved by Purchaser, such approval
not to be unreasonably withheld, conditioned or delayed. Any assignment by Seller to Purchaser of insurance proceeds respecting loss of rental income shall be limited to that portion of such proceeds attributable to periods after Closing. 

7.2 Definition of Major Damage. For purposes of Section 7.1: 

(a) “damage” means (i) physical damage to or destruction of all or part of the Real Property by reason of fire, earthquake,
tornado, flood or other casualty occurring after the Effective Date or (ii) the physical taking of all or part of the Real Property by condemnation or by conveyance in lieu of condemnation occurring after the Effective Date; and 

(b) “major” damage refers to the following: (i) damage such that the cost of repairing or restoring the premises in question to
a condition substantially similar to that of the premises in question prior to the event of damage would in the opinion of an architect selected by Seller licensed in South Carolina and reasonably approved by Purchaser, be equal to or greater than
Five Hundred Thousand and No/100 Dollars ($500,000.00), or (ii) any damage due to a condemnation or conveyance in lieu of condemnation which permanently and materially impairs the current use or value of a Property or access to such Property
from public roads or the number or utility of parking spaces. If Purchaser does not give notice to Seller of Purchaser’s reasons for disapproving an architect within five (5) business days after receipt of notice of the proposed architect,
then Purchaser shall be deemed to have approved the architect selected by Seller. 
 7.3 Seller’s Insurance. If
necessary or appropriate for Purchaser to evaluate its options or enforce its rights under this Article 7 following any damage to the Property, Seller shall promptly provide to Purchaser on request a copy of Seller’s property insurance
policies (or other applicable insurance policies) with respect to the Property. 
 ARTICLE 8 

COMMISSIONS 

8.1 Broker’s Commission. 

(a) The parties acknowledge that Engler Realty Group (“Broker”) has been retained by and represents Seller as broker in
connection with the subject transaction, and is to be compensated for its services by Seller. Seller agrees that Seller shall pay to Broker upon, but only upon, final consummation of the transaction contemplated herein, a brokerage commission
pursuant to a separate written agreement between Seller and Broker. 
 (b) Purchaser and Seller each hereby represents and warrants to
the other that it has not disclosed this Agreement or the subject matter hereof to, and has not otherwise dealt with, any real estate broker, agent or salesman (other than Broker) so as to create any legal right or claim in any such broker, agent or
salesman (other than Broker) for a real estate commission 

  
 30 

 
or similar fee or compensation with respect to the negotiation and/or consummation of this Agreement or the conveyance of the Property by Seller to Purchaser. Purchaser and Seller shall
indemnify, hold harmless and defend each other from and against any and claims and demands for a real estate brokerage commission or similar fee or compensation arising out of any claimed dealings with the indemnifying party and relating to this
Agreement or the purchase and sale of the Property (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity). 

8.2 Survival. This Article 8 shall survive the rescission, cancellation, termination or consummation of this
Agreement. 
 ARTICLE 9 

DISCLAIMERS AND WAIVERS 

9.1No Reliance on Documents. EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES SET FORTH IN THIS AGREEMENT HEREOF OR IN
THE CLOSING DOCUMENTS, SELLER MAKES NO REPRESENTATION OR WARRANTY AS TO THE TRUTH, ACCURACY OR COMPLETENESS OF ANY MATERIALS, DATA OR INFORMATION DELIVERED BY SELLER TO PURCHASER IN CONNECTION WITH THE TRANSACTION CONTEMPLATED HEREBY. PURCHASER
ACKNOWLEDGES AND AGREES THAT ALL MATERIALS, DATA AND INFORMATION DELIVERED BY SELLER TO PURCHASER IN CONNECTION WITH THE TRANSACTION CONTEMPLATED HEREBY ARE PROVIDED TO PURCHASER AS A CONVENIENCE ONLY AND THAT ANY RELIANCE ON OR USE OF SUCH
MATERIALS, DATA OR INFORMATION BY PURCHASER SHALL BE AT THE SOLE RISK OF PURCHASER, EXCEPT AS OTHERWISE EXPRESSLY STATED HEREIN. WITHOUT LIMITING THE GENERALITY OF THE FOREGOING, PURCHASER ACKNOWLEDGES AND AGREES THAT (A) ANY ENVIRONMENTAL OR
OTHER REPORT WITH RESPECT TO THE PROPERTY WHICH IS DELIVERED BY SELLER TO PURCHASER SHALL BE FOR GENERAL INFORMATIONAL PURPOSES ONLY, (B) PURCHASER SHALL NOT HAVE ANY RIGHT TO RELY ON ANY SUCH REPORT DELIVERED BY SELLER TO PURCHASER, BUT RATHER
WILL RELY ON ITS OWN INSPECTIONS AND INVESTIGATIONS OF THE PROPERTY AND ANY REPORTS COMMISSIONED BY PURCHASER WITH RESPECT THERETO, AND (C) NEITHER SELLER, ANY AFFILIATE OF SELLER NOR THE PERSON OR ENTITY WHICH PREPARED ANY SUCH REPORT
DELIVERED BY SELLER TO PURCHASER SHALL HAVE ANY LIABILITY TO PURCHASER FOR ANY INACCURACY IN OR OMISSION FROM ANY SUCH REPORT. 
 9.2
Disclaimers. EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES OF SELLER SET FORTH IN THIS AGREEMENT OR IN THE CLOSING DOCUMENTS, PURCHASER UNDERSTANDS AND AGREES THAT SELLER IS NOT MAKING AND HAS NOT AT ANY TIME MADE ANY WARRANTIES OR
REPRESENTATIONS OF ANY KIND OR CHARACTER, EXPRESSED OR IMPLIED, WITH RESPECT TO THE PROPERTY, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OR REPRESENTATIONS AS TO 

  
 31 

 
HABITABILITY, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE (OTHER THAN SELLER’S LIMITED OR SPECIAL WARRANTY OF TITLE TO BE SET FORTH IN THE DEED AND OTHER CLOSING DOCUMENTS),
ZONING, TAX CONSEQUENCES, LATENT OR PATENT PHYSICAL OR ENVIRONMENTAL CONDITION, UTILITIES, OPERATING HISTORY OR PROJECTIONS, VALUATION, GOVERNMENTAL APPROVALS, THE COMPLIANCE OF THE PROPERTY WITH APPLICABLE LAWS, THE ABSENCE OR PRESENCE OF HAZARDOUS
MATERIALS OR OTHER TOXIC SUBSTANCES (INCLUDING WITHOUT LIMITATION MOLD OR ANY MOLD CONDITION), COMPLIANCE WITH ENVIRONMENTAL LAWS OR ACCESS LAWS, THE TRUTH, ACCURACY OR COMPLETENESS OF THE PROPERTY DOCUMENTS OR ANY OTHER INFORMATION PROVIDED BY OR
ON BEHALF OF SELLER TO PURCHASER, OR ANY OTHER MATTER OR THING REGARDING THE PROPERTY. PURCHASER ACKNOWLEDGES AND AGREES THAT UPON CLOSING SELLER SHALL SELL AND CONVEY TO PURCHASER AND PURCHASER SHALL ACCEPT THE PROPERTY “AS IS, WHERE IS, WITH
ALL FAULTS”, EXCEPT TO THE EXTENT EXPRESSLY PROVIDED OTHERWISE IN THIS AGREEMENT OR IN THE CLOSING DOCUMENTS. PURCHASER HAS NOT RELIED AND WILL NOT RELY ON, AND SELLER IS NOT LIABLE FOR OR BOUND BY, ANY EXPRESSED OR IMPLIED WARRANTIES,
GUARANTIES, STATEMENTS, REPRESENTATIONS OR INFORMATION PERTAINING TO THE PROPERTY OR RELATING THERETO (INCLUDING SPECIFICALLY, WITHOUT LIMITATION, PROPERTY INFORMATION PACKAGES DISTRIBUTED WITH RESPECT TO THE PROPERTY) MADE OR FURNISHED BY SELLER,
THE MANAGER OF THE PROPERTY, OR ANY REAL ESTATE BROKER OR AGENT REPRESENTING OR PURPORTING TO REPRESENT SELLER, TO WHOMEVER MADE OR GIVEN, DIRECTLY OR INDIRECTLY, ORALLY OR IN WRITING, UNLESS SPECIFICALLY SET FORTH IN THIS AGREEMENT OR IN THE
CLOSING DOCUMENTS. 
 PURCHASER REPRESENTS TO SELLER THAT PURCHASER HAS CONDUCTED, OR WILL CONDUCT PRIOR TO CLOSING, SUCH
INVESTIGATIONS OF THE PROPERTY, INCLUDING BUT NOT LIMITED TO, THE PHYSICAL AND ENVIRONMENTAL CONDITIONS THEREOF, AS PURCHASER DEEMS NECESSARY TO SATISFY ITSELF AS TO THE CONDITION OF THE PROPERTY AND THE EXISTENCE OR NONEXISTENCE OR CURATIVE ACTION
TO BE TAKEN WITH RESPECT TO ANY HAZARDOUS MATERIALS OR TOXIC SUBSTANCES ON OR DISCHARGED FROM THE PROPERTY (INCLUDING WITHOUT LIMITATION ANY MOLD OR MOLD CONDITION), OR WITH RESPECT TO ACCESS LAWS, AND WILL RELY SOLELY UPON SAME AND NOT UPON ANY
INFORMATION PROVIDED BY OR ON BEHALF OF SELLER OR ITS AGENTS OR EMPLOYEES WITH RESPECT THERETO, OTHER THAN SUCH REPRESENTATIONS, WARRANTIES AND COVENANTS OF SELLER AS ARE EXPRESSLY SET FORTH IN THIS AGREEMENT. UPON CLOSING, EXCEPT FOR BREACHES OF
SELLER’S REPRESENTATIONS, WARRANTIES OR COVENANTS IN THIS AGREEMENT WHICH SURVIVE CLOSING OR IN THE CLOSING DOCUMENTS, PURCHASER SHALL ASSUME THE RISK THAT ADVERSE MATTERS, INCLUDING BUT NOT LIMITED TO, DESIGN, CONSTRUCTION

  
 32 

 
DEFECTS, ADVERSE PHYSICAL OR ENVIRONMENTAL CONDITIONS, OR NONCOMPLIANCE WITH ACCESS LAWS, MAY NOT HAVE BEEN REVEALED BY PURCHASER’S INVESTIGATIONS, AND PURCHASER, UPON CLOSING, SHALL BE
DEEMED TO HAVE WAIVED, RELINQUISHED AND RELEASED SELLER (AND SELLER’S AND ITS PARTNERS’ RESPECTIVE OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) FROM AND AGAINST ANY AND ALL CLAIMS, DEMANDS, CAUSES OF ACTION (INCLUDING CAUSES OF
ACTION IN TORT OR UNDER ANY ENVIRONMENT AL LAW), LOSSES, DAMAGES, LIABILITIES, FINES, PENALTIES (WHETHER BASED ON STRICT LIABILITY OR OTHERWISE), COSTS AND EXPENSES (INCLUDING ATTORNEYS’ FEES AND COURT COSTS) OF ANY AND EVERY KIND OR CHARACTER,
KNOWN OR UNKNOWN, WHICH PURCHASER MIGHT HAVE ASSERTED OR ALLEGED AGAINST SELLER (AND SELLER’S AND ITS PARTNERS’ RESPECTIVE OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) AT ANY TIME BY REASON OF OR ARISING OUT OF ANY LATENT OR
PATENT CONSTRUCTION DEFECTS OR PHYSICAL CONDITIONS, VIOLATIONS OF ANY APPLICABLE LAWS (INCLUDING, WITHOUT LIMITATION, ANY ENVIRONMENTAL LAWS OR ACCESS LAWS) AND ANY AND ALL OTHER ACTS, OMISSIONS, EVENTS, CIRCUMSTANCES OR MATTERS REGARDING THE
PROPERTY. THE FOREGOING SHALL NOT BE INTERPRETED TO WAIVE ANY CLAIM OF PURCHASER WITH RESPECT TO ANY BREACH BY SELLER OF ANY EXPRESS REPRESENTATIONS AND WARRANTIES MADE BY SELLER IN THIS AGREEMENT THAT EXPRESSLY SURVIVE CLOSING OR IN THE CLOSING
DOCUMENTS. 
 PURCHASER AGREES THAT SHOULD ANY INVESTIGATION, CLEANUP, REMEDIATION OR REMOVAL OF HAZARDOUS SUBSTANCES OR OTHER
ENVIRONMENTAL CONDITIONS (INCLUDING WITHOUT LIMITATION ANY MOLD OR MOLD CONDITION) ON OR RELATED TO THE PROPERTY BE REQUIRED AFTER THE DATE OF CLOSING, SELLER SHALL HAVE NO LIABILITY TO PURCHASER TO PERFORM OR PAY FOR SUCH INVESTIGATION, CLEAN-UP,
REMOVAL OR REMEDIATION, AND PURCHASER EXPRESSLY WAIVES AND RELEASES ANY CLAIM TO THE CONTRARY. PURCHASER FURTHER AGREES THAT SHOULD ANY INVESTIGATION OR CURATIVE ACTION ON OR RELATED TO THE PROPERTY BE REQUIRED AFTER THE DATE OF CLOSING UNDER ANY
ACCESS LAWS, SELLER SHALL HAVE NO LIABILITY TO PURCHASER TO PERFORM OR PAY FOR SUCH INVESTIGATION OR CURATIVE ACTION AND PURCHASER EXPRESSLY WAIVES AND RELEASES ANY CLAIM TO THE CONTRARY. THE FOREGOING SHALL NOT BE INTERPRETED TO WAIVE ANY BREACH BY
SELLER OF ANY EXPRESS REPRESENTATIONS AND WARRANTIES MADE BY SELLER IN SECTION 5.1 THAT EXPRESSLY SURVIVE CLOSING PURSUANT TO SECTION 5.3. 

PURCHASER REPRESENTS AND WARRANTS THAT THE TERMS OF THE RELEASE CONTAINED HEREIN AND ITS CONSEQUENCES HAVE BEEN COMPLETELY READ AND
UNDERSTOOD BY PURCHASER, AND PURCHASER HAS HAD THE OPPORTUNITY TO CONSULT WITH, AND HAS CONSULTED WITH, 

  
 33 

 
LEGAL COUNSEL OF PURCHASER’S CHOICE WITH REGARD TO THE TERMS OF THIS RELEASE. PURCHASER ACKNOWLEDGES AND WARRANTS THAT PURCHASER’S EXECUTION OF THIS RELEASE IS FREE AND VOLUNTARY.

 9.3 Certain Definitions. The term “Access Laws” means the Americans With Disabilities Act, the
Fair Housing Act, the Rehabilitation Act and other federal laws and all applicable state, regional, county, municipal and other local laws, regulations and ordinances governing access to handicapped or disabled persons or the construction or design
of residential dwelling units, places of public accommodation, or common areas which are at or on the Property. 
 9.4
Effect and Survival of Disclaimers. Seller and Purchaser acknowledge that the provisions of this ARTICLE 9 are an integral part of the transactions contemplated in this Agreement and a material inducement to Seller to enter into this
Agreement and that Seller would not enter into this Agreement but for the provisions of this ARTICLE 9. Seller and Purchaser agree that the provisions of this ARTICLE 9 shall survive Closing or any termination of this Agreement.

 ARTICLE 10 

ESCROW AGENT 

10.1 Investment of Earnest Money. Escrow Agent shall invest the Earnest Money pursuant to Purchaser’s directions in
an interest bearing account at a commercial bank whose deposits are insured by the Federal Deposit Insurance Corporation. Escrow Agent shall notify Seller, no later than one (1) business day after Escrow Agent’s receipt thereof, that
Escrow Agent has received the Earnest Money in immediately available funds, and is holding the same in accordance with the terms of this Agreement. However, Escrow Agent shall invest the Earnest Money only in such accounts as will allow Escrow Agent
to disburse the Earnest Money upon no more than one (1) business day’s notice. 
 10.2 Intentionally
Omitted. 
 10.3 Payment on Demand. Upon receipt of any written certification from Seller or Purchaser
claiming the Earnest Money pursuant to the provisions of this Agreement, Escrow Agent shall promptly forward a copy thereof to the other such party (i.e., Purchaser or Seller, whichever did not claim the Earnest Money pursuant to such notice) and,
unless such other party within ten (10) days thereafter notifies Escrow Agent of any objection to such requested disbursement of the Earnest Money in which case Escrow Agent shall retain the Earnest Money subject to Section 10.5 below,
Escrow Agent shall disburse the Earnest Money to the party demanding the same and shall thereupon be released and discharged from any further duty or obligation hereunder. 

10.4 Exculpation of Escrow Agent. It is agreed that the duties of Escrow Agent are herein specifically provided and are
purely ministerial in nature, and that Escrow Agent shall incur no liability whatsoever except for its misconduct or negligence, so long as Escrow Agent is acting in good faith. Seller and Purchaser do each hereby release Escrow Agent from any
liability for any error of judgment or for any act done or omitted to be done by Escrow Agent in  

  
 34 

 
the good faith performance of its duties hereunder and do each hereby indemnify Escrow Agent against, and agree to hold, save, and defend Escrow Agent harmless from, any costs, liabilities, and
expenses incurred by Escrow Agent in serving as Escrow Agent hereunder and in faithfully discharging its duties and obligations hereunder. 

10.5 Stakeholder. Escrow Agent is acting as a stakeholder only with respect to the Earnest Money. If there is any dispute
as to whether Escrow Agent is obligated to deliver the Earnest Money or as to whom the Earnest Money is to be delivered, Escrow Agent may refuse to make any delivery and may continue to hold the Earnest Money until receipt by Escrow Agent of an
authorization in writing, signed by Seller and Purchaser, directing the disposition of the Earnest Money, or, in the absence of such written authorization, until final determination of the rights of the parties in an appropriate judicial proceeding.
If such written authorization is not given, or a proceeding for such determination is not begun, within thirty (30) days of notice to Escrow Agent of such dispute, Escrow Agent may bring an appropriate action or proceeding for leave to deposit
the Earnest Money in a court of competent jurisdiction located in the Atlanta metropolitan area pending such determination. Escrow Agent shall be reimbursed for all costs and expenses of such action or proceeding, including, without limitation,
reasonable attorneys’ fees and disbursements, by the party determined not to be entitled to the Earnest Money. Upon making delivery of the Earnest Money in any of the manners herein provided, Escrow Agent shall have no further liability or
obligation hereunder. 
 10.6 Interest. All interest and other income earned on the Earnest Money deposited with
Escrow Agent hereunder shall be reported for income tax purposes as earnings of Purchaser. Purchaser’s taxpayer identification number is 30-0734476. 

10.7 Execution by Escrow Agent. Escrow Agent has executed this Agreement solely for the purpose of acknowledging and
agreeing to the provisions of this ARTICLE 10. Escrow Agent’s consent to any modification or amendment of this Agreement other than this ARTICLE 10 shall not be required. 

ARTICLE 11 

MISCELLANEOUS 

11.1 Intentionally Deleted. 

11.2 Intentionally Deleted. 

11.3 Assignment. Purchaser may not assign its rights under this Agreement without first obtaining Seller’s written approval,
which approval may be given or withheld in Seller’s sole discretion. Any transfer, directly or indirectly, of any stock, partnership interest or other ownership interest in Purchaser in excess of 49% without Seller’s written approval,
which approval shall not be unreasonably withheld, delayed or conditioned, shall constitute a default by Purchaser under this Agreement, provided, however, (i) Purchaser may assign this Agreement to a Permitted Affiliate without Seller’s
consent, (ii) Seller or Purchaser may assign its rights under this Agreement to a reputable exchange accommodation to facilitate a tax deferred exchange pursuant to Sections 4.8 and 4.9 hereof, and (iii) Seller may assign this Agreement for tax
planning or other purposes as described in Section 2.6. For purposes hereof, the term 

  
 35 

 
“Permitted Affiliate” means an entity that controls, is controlled or managed by, or is under common control with Purchaser and/or those persons controlling and/or managing
Purchaser and is solvent at the time of assignment and at the time of Closing, is not rendered insolvent by such assignment, and has sufficient assets to consummate the transaction contemplated herein. No transfer or assignment by Purchaser shall
release or relieve Purchaser of its obligations hereunder. 
 11.4 Notices. Any notice, request or other
communication (a “notice”) required or permitted to be given hereunder shall be in writing and shall be delivered by email, hand or overnight courier (such as United Parcel Service or Federal Express), sent by facsimile (provided a
copy of such notice is deposited with an overnight courier for next business day delivery) or mailed by United States registered or certified mall, return receipt requested, postage prepaid and addressed to each party at its address as set forth
below or electronically by email addressed to the parties as provided below. Any such notice shall be considered given on the date of such hand or courier delivery, confirmed facsimile transmission or email transmission if received on a business day
(provided a copy of such notice is deposited with an overnight courier for next business day delivery), deposit with such overnight courier for next business day delivery, or deposit in the United States mall, but the time period (if any is provided
herein) in which to respond to such notice shall commence on the date of hand or overnight courier delivery or on the date received following deposit in the United States mall as provided above. Rejection or other refusal to accept or inability to
deliver because of changed address of which no notice was given shall be deemed to be receipt of the notice. By giving at least five (5) days’ prior written notice thereof, any party may from time to time and at any time change its mailing
address hereunder. Any notice of any party may be given by such party’s counsel. 
 The parties’ respective addresses for
notice purposes are as follows. Telephone numbers and email addresses are given for convenience of reference only. Notice by telephone or email shall not be effective. 

If to Seller: 
 Flournoy
Development Company, LLC 
 900 Brookstone Centre Parkway 

Columbus, Georgia 31904 

Attention: Thomas H. Flournoy 

Phone: 706/243-9406 
 Fax:
706/596-2492 
 Email: tom.flournoy@flournoydev.com 

with a copy to: 

Burr & Forman LLP 
 171
17th Street NW 
 Suite 1100 

Atlanta, Georgia 30363 

Attention: Rick Fishman, Esq. 

Telephone: 404/685-4307 

Facsimile: 404/817-3244 
 Email:
rfishman@burr.com 

  
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 If to Purchaser: 

Trade Street Operating Partnership LP 

19950 W. Country Club Drive Suite 801 

Aventura, Florida 33180 
 Attn:
Greg Baumann 
 Telephone No. 786/248-6050 

Facsimile No. 786/248-3679 

Email: gbaumann@trade-street.com 

with a copy to: 

Greenspoon Marder, P.A. 
 100 W.
Cypress Creek Road 
 Suite 700 

Fort Lauderdale, Florida 33309 

Attn: Barry E. Somerstein, Esq. 

Telephone No. 954/527/2405 

Facsimile No. 954/333-4005 

Email: barry.somerstein@gmlaw.com 

If to Escrow Agent: 
 Calloway
Title and Escrow, LLC 
 Attention: S. Marcus Calloway 

4170 Ashford-Dunwoody Road 
 Suite
285 
 Atlanta, Georgia 30319 

Telephone No. 770/698-7969 

Facsimile No. 770/698-7999 

Email: marcus@titlelaw.com 

11.5 Modifications. This Agreement cannot be changed orally, and no agreement shall be effective to waive, change, modify
or discharge it in whole or in part unless such agreement is in writing and is signed by the parties against whom enforcement of any waiver, change, modification or discharge is sought. Signatures inscribed on the signature pages of this Agreement
or any formal amendment which are transmitted by telecopy or email transmission (e.g., PDF files) shall be valid and effective to bind the party so signing. Each party agrees to promptly deliver to the other party an executed original of this
Agreement or any such formal amendment with its actual signature, but a failure to do so shall not affect the enforceability of this Agreement or any such formal amendment, it being expressly agreed that each party to this Agreement or any formal
amendment shall be bound by its own telecopied or emailed signature and shall accept the telecopied or emailed signature of the other party to this Agreement or any formal amendment. 

  
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 11.6 Calculation of Time Periods. Unless otherwise specified, in computing
any period of time described in this Agreement, the day of the act or event after which the designated period of time begins to run is not to be included and the last day of the period so computed is to be included, unless such last day is a
Saturday, Sunday or legal holiday under the laws of the State in which the Property is located, in which event the period shall run until the end of the next day which is neither a Saturday, Sunday or legal holiday. The final day of any such period
shall be deemed to end at 5:00p.m., Eastern time. 
 11.7 Successors and Assigns. Subject to Section 11.3
hereof, the terms and provisions of this Agreement are to apply to and bind the permitted successors and assigns of the parties hereto. 

11.8 Entire Agreement. This Agreement, including the Schedules, contain the entire agreement between the parties
pertaining to the subject matter hereof and fully supersede all prior written or oral agreements and understandings between the parties pertaining to such subject matter. 

11.9 Further Assurances. Each party agrees that it will without further consideration execute and deliver such other
documents and take such other action, whether prior or subsequent to Closing, as may be reasonably requested by the other party to consummate more effectively the purposes or subject matter of this Agreement. Without limiting the generality of the
foregoing, Purchaser shall, if requested by Seller, execute acknowledgments of receipt with respect to any materials delivered by Seller to Purchaser with respect to the Property. The provisions of this Section 11.9 shall survive Closing.

 11.10 Counterparts. This Agreement may be executed in identical counterparts, and all such executed Counterparts
shall constitute the same agreement. It shall be necessary to account for only one such counterpart in proving this Agreement. 

11.11 Severability. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid or
unenforceable, the remainder of this Agreement shall nonetheless remain in full force and effect. 
 11.12 Applicable
Law. This Agreement is performable in the state in which the Property is located and shall in all respects be governed by, and construed in accordance with, the substantive federal laws of the United States and the laws of such state. Seller
and Purchaser hereby irrevocably submit to the jurisdiction of any state or federal court sitting in the state and judicial district in which the Property is located in any action or proceeding arising out of or relating to this Agreement and hereby
irrevocably agree that all claims in respect of such action or proceeding shall be heard and determined in a state or federal court sitting in the state and judicial district in which the Property is located. Purchaser and Seller agree that the
provisions of this Section 11.12 shall survive the Closing of the transaction contemplated by this Agreement. 
 11.13
No Third Party Beneficiary. The provisions of this Agreement and of the documents to be executed and delivered at Closing are and will be for the benefit of Seller and Purchaser only and are not for the benefit of any third party, and
accordingly, no third party shall have the right to enforce the provisions of this Agreement or of the documents to be executed and delivered at Closing. 

  
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 11.14 Intentionally Deleted 

11.15 Seller’s Access to Records after Closing. Purchaser shall reasonably cooperate with Seller for a period of
three (3) years after Closing to make available Purchaser’s employees and Property records in Purchaser’s possession, as Seller may reasonably request, in case of Seller’s need in response to any legal requirement, tax audit, tax
return preparation, securities law filing, or litigation threatened or brought against Seller, by allowing Seller and its agents or representatives access, upon reasonable advance notice (which notice shall identify the nature of the information
sought by Seller), at all reasonable times to examine and make copies of any and all instruments, files and records which predate the Closing; provided, however, that nothing contained in this Section shall require Purchaser to retain any files
or records for any particular period of time. This Section 11.15 shall survive Closing. 
 11.16 Schedules. The
following schedules attached hereto shall be deemed to be an integral part of this Agreement: 
  

					
	Schedule 1.1 (a)	 	–	  	Legal Description of the Land
	Schedule 1.1(d)	 	–	  	Inventory of Tangible Personal Property
	Schedule 1.1(e)	 	–	  	Rent Roll
	Schedule 1.6(a)	 	–	  	Earnest Money Wiring Instructions
	Schedule 2.4(d)	 	–	  	Permitted Exceptions
	Schedule 3.1(a)	 	–	  	Deliveries
	Schedule 4.2(a)	 	–	  	Special Warranty Deed
	Schedule 4.2(b)	 	–	  	Bill of Sale and Assignment
	Schedule 4.2(c)	 	–	  	Tenant Notice
	Schedule 4.2(d)	 	–	  	Seller’s Closing Certificate
	Schedule 5.1	 	–	  	Seller’s Disclosure Statement
	Schedule 5.1(g)	 	–	  	Environmental Disclosures
	Schedule 5.l(h)	 	–	  	Schedule of Service Contracts
	Schedule 5.7(b)	 	–	  	Schedule of Must Take Service Contracts

 11.17 Captions. The section headings appearing in this Agreement are for convenience
of reference only and are not intended, to any extent and for any purpose, to limit or define the text of any section or any subsection hereof. 

11.18 Construction. The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement
and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any schedules or amendments hereto. 

11.19 Termination of Agreement. It is understood and agreed that if either Purchaser or Seller terminates this Agreement
pursuant to a right of termination granted hereunder, such termination shall operate to relieve Seller and Purchaser from all obligations under this Agreement, except for such obligations as are specifically stated herein to survive the termination
of this Agreement. 

  
 39 

 11.20 Survival. The provisions of the following Sections of this Agreement
shall survive Closing and shall not be merged into the execution and delivery of the Deed: 1.7; 3.l(c); 3.3; 4.2(c); 4.4; 4.5; 4.8; 4.9; 5.1; 5.2; 5.3; 5.5; 5.6; 5.7; 5.8; Article 8; Article 9; 11.9; 11.12; 11.15; 11.20; 11.23; 11.24; 11.25;
those additional provisions of Article 11 which govern the administration, interpretation or enforcement of this Agreement; and any other provisions contained herein that by their terms survive the Closing (the “Obligations Surviving
Closing”). Except for the Obligations Surviving Closing, all representations, warranties, covenants and agreements contained in this Agreement shall be merged into the instruments and documents executed and delivered at Closing. The
Obligations Surviving Closing shall survive the Closing; provided, however, that the representations and warranties of Seller contained in Section 5.1, as updated by Seller’ s Closing Certificate,
and the representations and warranties of Purchaser contained in Section 5.5, shall survive for the period, and are subject to the terms, set forth in Sections 5.3 and 5.6 respectively. 

11.21 Time of Essence. Time is of the essence with respect to this Agreement. 

11.22 Covenant Not to Record. Purchaser shall not record this Agreement or any memorandum or other evidence thereof (other
than a lis pendens filed contemporaneously with an action for specific performance as authorized by this Agreement). Any such recording shall constitute a material default hereunder on the part of Purchaser. 

11.23 Limitation of Seller’s Liability. Purchaser shall have no recourse against any of the past, present or future,
direct or indirect, shareholders, partners, members, managers, principals, directors, officers, agents, incorporators, affiliates or representatives of Seller or its general partner or of any of the assets or property of any of the foregoing for the
payment or collection of any amount, judgment, judicial process, arbitral award, fee or cost or for any other obligation or claim arising out of or based upon this Agreement and requiring the payment of money by Seller, other than if Seller
distributes proceeds to such parties and Seller does not have sufficient money to pay all claims owed to Purchaser, whereupon the Purchaser may pursue a claim against such parties for such proceeds. This Section 11.23 shall survive the
Closing. 
 11.24 JURY WAIVER. IN ANY LAWSUIT OR OTHER PROCEEDING INITIATED BY SELLER OR PURCHASER UNDER OR WITH
RESPECT TO THIS AGREEMENT, SELLER AND PURCHASER EACH WAIVE ANY RIGHT IT MAY HAVE TOTRIAL BY JURY. 
 11.25
ATTORNEY’S FEE. In the event of any litigation with respect to this Agreement, the prevailing party shall be entitled to recover reasonable attorney’s fees and costs through all trial and appellate levels from the non-prevailing
party. 
 [Signatures on following pages.] 

  
 40 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the Effective
Date. 
  

					
	SELLER:
	
	THE AVENTINE GREENVILLE, LLC, a Delaware limited liability company
		
	By:	 	Flournoy Development Company, LLC, a Georgia limited liability company, its Manager
			
		 	By:	 	 /s/ Thomas H. Flournoy

		 		 	Thomas H. Flournoy, its President

 [SIGNATURES CONTINUED ON THE FOLLOWING PAGES] 

This is a signature page to, and may be attached to a master counterpart of, the Purchase and Sale Agreement between The Aventine
Greenville, LLC, as Seller, and Trade Street Operating Partnership, LP, as Purchaser, with respect to The Aventine Greenville Apartments. 

Calloway Title and Escrow, LLC, as Escrow Agent is a party to such Purchase and Sale Agreement for the limited purposes set forth therein.

 
							
	PURCHASER:
	
	TRADE STREET OPERATING PARTNERSHIP, LP, Delaware limited partnership
		
	By:	 	Trade Street OP GP, LLC, a Delaware limited liability company, its general partner
			
		 	By:	 	Trade Street Residential, Inc., a
		 	Maryland corporation, its sole member
				
		 		 	By:	 	 /s/ David Levin

		 		 	Name:	 	David Levin
		 		 	Title:	 	President

 [SIGNATURES CONTINUED ON THE FOLLOWING PAGES] 

This is a signature page to, and may be attached to a master counterpart of, the Purchase and Sale Agreement between The Aventine
Greenville, LLC, as Seller, and Trade Street Operating Partnership, LP, as Purchaser, with respect to The Aventine Greenville Apartments. 

Calloway Title and Escrow, LLC, as Escrow Agent is a party to such Purchase and Sale Agreement for the limited purposes set forth therein.

 Escrow Agent has executed this Agreement for the limited purposes set forth herein. 

 

			
	ESCROW AGENT:
	
	CALLOWAY TITLE AND ESCROW, LLC
	a Georgia limited liability company
		
	By:	 	 /s/ S. Marcus Calloway

	Name: S. Marcus Calloway
	Title: Manager

 This is a signature page to, and may be attached to a master counterpart of, the Purchase and Sale
Agreement between The Aventine Greenville, LLC, as Seller, and Trade Street Operating Partnership, LP, as Purchaser, with respect to The Aventine Greenville Apartments. 

Calloway Title and Escrow, LLC, as Escrow Agent is a party to such Purchase and Sale Agreement for the limited purposes set forth therein.

 Schedule 1.1(a) 

LEGAL DESCRIPTION OF THE LAND 
 ALL THAT
TRACT or parcel of land lying and being in Greenville County, South Carolina, being shown as Tract 2 containing 20.42 acres on that certain plat of survey entitled “Summary Plat for Flournoy Development Company” prepared by Precision Land
Surveying, Inc., certified by Richard B. Cook II, S.C. P.L.S. No. 17219, dated October 17, 2008, as more particularly depicted on a plat recorded in Plat Book 1080, Page 98, in the Register of Deeds for Greenville County, South Carolina,
which plat is incorporated herein by reference hereto. 
 TOGETHER WITH those easement rights as may be appurtenant arising under that certain Reciprocal
Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The Aventine Greenville, LLC, a Delaware limited liability company, dated as of December 22, 2011, filed for record December 27, 2011 at
3:28 p.m., recorded in Book 2398, Page 5065, in the Register of Deeds for Greenville County, South Carolina. 
 ALSO TOGETHER WITH those easement rights as
may be appurtenant arising under that certain Temporary Access, Grading and Construction Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The Aventine Greenville, LLC, a Delaware limited
liability company, dated as of December 28, 2011, filed for record January 31, 2012 at 11:07 a.m., recorded in Book 2400, Page 2508, aforesaid Records. 

ALSO TOGETHER WITH those easement rights as may be appurtenant arising under that certain Temporary Construction Staging Easement Agreement by and between
Point Development, LLC, a South Carolina limited liability and The Aventine Greenville, LLC, a Delaware limited liability company, dated January 30, 2012, filed for record February 9, 2012 at 12:48 p.m., recorded in Book 2400, Page 5271,
aforesaid Records. 

 Schedule 1.1(d) 

INVENTORY OF TANGIBLE PERSONAL PROPERTY 

[see attached pages] 
  

 Schedule 1.1(e) 

RENT ROLL 
 [see
attached pages] 

 Schedule 1.6(a) 

EARNEST MONEY WIRING INSTRUCTIONS 

 Schedule 2.4(d) 

PERMITTED EXCEPTIONS 
  

	 	(a)	All general or special taxes and assessments, including Public Service District assessments, if any, for Greenville County, South Carolina for the year 2014 and subsequent years. 

 

	 	(b)	Riparian rights incident to the premises. 

  

	 	(c)	Roll-back taxes as provided under Title 12, Article 3, of the South Carolina Code of Laws, 1976, as amended, Provisions Section 12-43-220(d) and others. 

 

	 	(d)	Rights of tenants in possession under unrecorded leases. 

  

	 	(e)	Easement from John L. Green to Southern Public Utilities Company, dated May 31, 1934, filed for record August 22, 1934 at 1:40 p.m., recorded in Book 166, Page 56, in the Register of Deeds for Greenville
County, South Carolina. 

  

	 	(f)	Deed recorded in Book 56, Page 111, aforesaid Records. 

  

	 	(g)	Easement from J. H. Forrester to Duke Power Company, dated December 16, 1938, filed for record July 1, 1939 at 12:30 p.m., recorded in Book 209, Page 432, aforesaid Records. 

 

	 	(h)	Easement from Mrs. Myrtie J. McCarter to Duke Power Company, dated July 18, 1939, filed for record July 26, 1939 at 10:41 a.m., recorded in Book 212, Page 287, aforesaid Records. 

 

	 	(i)	Easement from Alexander Finlay, Jr., Grady Brown, and E. O. Henderson, Trustees of Flat Rock School to Duke Power Company, dated February 15, 1941, filed for record March 27, 1941 at 10:12 a.m., recorded in
Book 232, Page 75, aforesaid Records. 

  

	 	(j)	Easement from Grady Brown to Duke Power Company, dated March 7, 1941, filed for record May 29, 1941 at 9:27a.m., recorded in Book 233 (top), Page 393, aforesaid Records. 

 

	 	(k)	Easement from Grace Mauldin to Duke Power Company, dated March 17, 1941, filed for record May 29, 1941 at 9:27a.m., recorded in Book 233 (bottom), Page 393, aforesaid Records. 

 

	 	(l)	Easement from Hattie K. Phillips to Duke Power Company, dated March 20, 1941, filed for record May 6, 1941 at 2:47p.m., recorded in Book 233, Page 89, aforesaid Records. 

	 	(m)	Easement from Mary Anderson to Duke Power Company, dated July 6, 1949, filed for record July 13, 1949 at 10:24 a.m., recorded in Book 386, Page 226, aforesaid Records. 

 

	 	(n)	Easement from Flat Rock School to Duke Power Company, dated June 27, 1949, filed for record July 13, 1949 at 10:24 a.m., recorded in Book 386, Page 229, aforesaid Records. 

 

	 	(o)	Easement from W. A. Smith to Duke Power Company, dated November 26, 1949, filed for record December 14, 1949 at 11:00 a.m., recorded in Book 398, Page 88, aforesaid Records. 

 

	 	(p)	Easement from J. H. Forrester to Duke Power Company, dated May 19, 1950, filed for record June 27, 1 950 at 12:00 p.m., recorded in Book 413, Page 213, aforesaid Records. 

 

	 	(q)	Easement from Boyce Miller, Sr. to Duke Power Company, dated November 23, 1956, filed for record December 3, 1956 at 11:30 a.m., recorded in Book 566, Page 332, aforesaid Records. 

 

	 	(r)	Easement from Elizabeth A. Balentine to Duke Power Company, dated November 27, 1957, filed for record December 3, 1957 at 3:13p.m., recorded in Book 588, Page 469, aforesaid Records. 

 

	 	(s)	Easement from Mrs. Janie H. Forrester, H. H. Forrester, et al to Duke Power Company, filed for record November 12, 1958 at 10:01 a.m., recorded in Book 610, Page 215, aforesaid Records. 

 

	 	(t)	Easement from Dallah Forrest to Duke Power Company, dated July 24, 1961, filed for record August 9, 1961 at 1:30 p.m., recorded in Book 679, Page 416, aforesaid Records. 

 

	 	(u)	Easement from Sue S. Forrester to Duke Power Company, dated July 24, 1961, filed for record August 9, 1961 at 1:30 p.m., recorded in Book 679, Page 417, aforesaid Records. 

 

	 	(v)	Easement from Nylon Industries, Inc. a corporation to Duke Power Company, dated November 4, 1964, filed for record December 18, 1964 at 12:28 p.m., recorded in Book 763, Page 503, aforesaid Records.

  

	 	(w)	Easement from Fiber Industries, a corporation to Duke Power Company, dated May 15, 1985, filed for record July 22, 1985 at 9:30a.m., recorded in Book 1244, Page 622, aforesaid Records. 

 

	 	(x)	Easement from Boyce Miller to the State Rural Electrification Authority, a corporation, dated December 6, 1935, filed for record February 11, 1937 at 8:30 a.m., recorded in Book 198, Page 58, aforesaid
Records. 

	 	(y)	General Permit from J. H. Forrester to Southern Bell Telephone and Telegraph Company, (Incorporated), dated April 2, 1946, filed for record April 16, 1946 at 2:00p.m., recorded in Book 293, Page 195, aforesaid
Records. 

  

	 	(z)	Easement by and between Fiber Industries, Inc., a Delaware corporation and Seaboard Coast Line Railroad Company, a Virginia corporation, dated October 23, 1967, filed for record December 18, 1967 at 9:30a.m.,
recorded in Book 834, Page 623, aforesaid Records. 

  

	 	(aa)	Right of Way Agreement from Fiber Industries, Inc. to Duke Power Company, a North Carolina corporation, dated May 14, 1968, filed for record May 29, 1968 at 3:53p.m., recorded in Book 845, Page 93, aforesaid
Records. 

  

	 	(bb)	Easement from Hoechst Celanese Corporation to Duke Power Company, dated November 15, 1990, filed for record December 10, 1990 at 10:30 a.m., recorded in Book 1420, Page 357, aforesaid Records.

  

	 	(cc)	Easement from Hoechst Celanese Corporation to Duke Power Company, dated October 29, 1990, filed for record January 3, 1991 at 12:30 p.m., recorded in Book 1422, Page 576, aforesaid Records. 

 

	 	(dd)	Easement from Hoechst Celanese Corporation to Duke Power Company, dated November 15, 1990, filed for record January 3, 1991 at 12:30 p.m., recorded in Book 1422, Page 578, aforesaid Records. 

 

	 	(ee)	Easement from Hoechst Celanese Corporation to Duke Power Company, a North Carolina corporation, dated October 13, 1993, filed for record March 8, 1994 at 12:06 p.m., recorded in Book 1553, Page 434, aforesaid
Records; as re-recorded March 15, 1995 at 11 :39 a.m., recorded in Book 1605, Page 978, aforesaid Records; as affected by that certain Right of Way Agreement and Release by and between Verandas at the Point II, LLC, a Delaware limited liability
company and Duke Energy Carolinas, LLC, a North Carolina limited liability company, dated August 7, 2009, filed for record August 24, 2009 at 4:34p.m., recorded in Book 2361, Page 967, aforesaid Records. 

 

	 	(ff)	Easement as contained in that certain Special Warranty Deed from HNA Holdings, Inc. (formerly, Hoechst Celanese Corporation), a Delaware corporation to CICC Associates Limited Partnership, a Delaware limited
partnership, dated as of February 10, 1998, filed for record February 25, 1998 at 3:22p.m., recorded in Book 1746, Page 284, aforesaid Records; and contained in that certain Quit Claim Deed from HNA Holdings, Inc. to CICC Associates
Limited Partnership, a Delaware limited partnership, dated February 25, 1998, filed for record February 25, 1998 at 3:24p.m., recorded in Book 1746, Page 293, aforesaid Records. 

 

	 	(gg)	Easement from CICC Associates Ltd Partnership to Duke Power Company, dated April1, 1999, filed for record April20, 1999 at 9:00a.m., recorded in Book 1832, Page 546, aforesaid Records. 

	 	(hh)	Easement from CICC Associates, Ltd. Partnership to Duke Power Company, dated November 8, 1999, filed for record January 21, 2000 at 9:00a.m., recorded in Book 1893, Page 785, aforesaid Records.

  

	 	(ii)	Easement Agreement by and between CICC Associates Limited Partnership and CNA Holdings, Inc., dated September 19, 2001, filed for record October 17, 2001 at 10:32 a.m., recorded in Book 1971, Page 32,
aforesaid Records; as amended by that certain Amendment to Easement Agreement by and between CICC Associates Limited Partnership, Point Development, LLC and The South Financial Group, Inc., dated as of March 17, 2006, filed for record
March 20, 2006 at 1:56 p.m., recorded in Book 2195, Page 348, aforesaid Records. 

  

	 	(jj)	Agreement Concerning Storm Drainage Easement and Right-of- Way for Market Point Drive by and between CICC Associates Limited Partnership, Point Development, LLC and CNA Holdings, Inc., dated February 28, 2005,
filed for record March 3, 2005 at 3:39 p.m., recorded in Book 2133, Page 10, aforesaid Records; as re-recorded March 31, 2005 at 12:45 p.m., recorded in Book 2137, Page 101, aforesaid Records. 

 

	 	(kk)	Right of Way Agreement from CNA Holdings, Inc. to Duke Energy Corporation, dated July 15, 2005, filed for record August 17, 2005 at 9:00 a.m., recorded in Book 2160, Page 1393, aforesaid Records.

  

	 	(ll)	Right of Way Agreement from CNA Holdings, Inc. f/k/a HNA Holdings, Inc., a Delaware corporation to Duke Energy Carolinas, LLC, a NC limited liability company, dated September 1 7, 2007, filed for record
September 20, 2007 at 10:56 a.m., recorded in Book 2290, Page 1148, aforesaid Records. 

  

	 	(mm)	Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and Verandas at the Point II, LLC, a Delaware limited liability company, dated December 31, 2008, filed for record
December 31, 2008 at 3:19p.m., recorded in Book 2351, Page 1690, aforesaid Records; as amended by that certain First Amendment to Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The
Aventine Greenville, LLC (f/k/a “Verandas at the Point II, LLC”), a Delaware limited liability company, dated December 22, 2011, filed for record December 27, 2011 at 3:28 p.m., recorded in Book 2398, Page 5058, aforesaid
Records; as further amended by that certain Second Amendment to Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The Aventine Greenville, LLC (f/k/a “Verandas at the Point II, LLC”), a
Delaware limited liability company, dated March 6, 2012, filed for record March 19,2012 at 10:50 a.m., recorded in Book 2402, Page 4316, aforesaid Records. 

 

	 	(nn)	Temporary Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and Verandas at the Point II, LLC, a Delaware limited liability company, dated December 31, 2008, filed
for record December 31, 2008 at 3:19p.m., recorded in Book 2351, Page 1671, aforesaid Records. 

	 	(oo)	Declaration of Covenants and Restrictions by Verandas at the Point, LLC, a Delaware limited liability company, dated December 31, 2008, filed for record January 29, 2009 at 3:06 p.m., recorded in Book 2352,
Page 2713, aforesaid Records; but omitting any restriction based on race, color, religion, sex, handicap, familial status, or national origin unless and only to the extent that said covenant (a)is exempt under Chapter 42, Section 3607
of the United States Code or (b) relates to handicap but does not discriminate against handicapped persons. 

  

	 	(pp)	Right of Way Agreement and Release by and between Verandas at the Point II, LLC, a Delaware limited liability company and Duke Energy Carolinas, LLC, a North Carolina limited liability company, dated August 7,
2009, filed for record August 24, 2009 at 4:34 p.m., recorded in Book 2361, Page 967, aforesaid Records. 

  

	 	(qq)	Sanitary Sewer Easement from Verandas at the Point II, LLC to the City of Greenville, a municipal corporation and political subdivision of the State of South Carolina, dated December 1, 2009, filed for record
December 7, 2009 at 2:46 p.m., recorded in Book 2365, Page 3285, aforesaid Records. 

  

	 	(rr)	Sanitary Sewer Easement from Verandas at the Point II, LLC to the City of Greenville, a municipal corporation and political subdivision of the State of South Carolina, dated December 1, 2009, filed for record
December 7, 2009 at 2:46 p.m., recorded in Book 2365, Page 3282, aforesaid Records; as affected by that certain Affidavit to Correct Sanitary Sewer Easement by Thomas H. Flournoy, dated January 25, 2010, filed for record February 8,
2010 at 3:08p.m., recorded in Book 2358, Page 528, aforesaid Records; as re-recorded February 19, 2010 at 3:54p.m., recorded in Book 2368, Page 3941, aforesaid Records. 

 

	 	(ss)	Abandonment of sewer line and right of way as contained in that certain QuitClaim Deed from Metropolitan Sewer Subdistrict to Verandas at the Point II, LLC, dated November 30, 2009, filed for record
December 18, 2009 at 4:41p.m., recorded in Book 2366, Page 1076, aforesaid Records. 

  

	 	(tt)	Reciprocal Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The Aventine Greenville, LLC, a Delaware limited liability company, dated as of December 22, 2011,
filed for record December 27, 2011 at 3:28 p.m., recorded in Book 2398, Page 5065, aforesaid Records. 

  

	 	(uu)	Terms, conditions and obligations as contained in that certain Temporary Access, Grading and Construction Easement Agreement by and between Verandas at the Point, LLC, a Delaware limited liability company and The
Aventine Greenville, LLC, a Delaware limited liability company, dated as of December 28, 2011, filed for record January 31, 2012 at 11:07 a.m., recorded in Book 2400, Page 2508, aforesaid Records. 

	 	(vv)	Terms, conditions and obligations as contained in that certain Temporary Construction Staging Easement Agreement by and between Point Development, LLC, a South Carolina limited liability company and The Aventine
Greenville, LLC, a Delaware limited liability company, dated January 30, 2012, filed for record February 9, 2012 at 12:48 p.m., recorded in Book 2400, Page 5271, aforesaid Records. 

 

	 	(ww)	Grant of Easement by and between The Aventine Greenville, LLC and Charter Communications, LLC, dated effective as of March 1, 2012, filed for record May 3, 2012 at 2:03p.m., recorded in Book 2405, Page 945,
aforesaid Records. 

  

	 	(xx)	Easement from The Aventine Greenville, LLC to Commissioners of Public Works of the City of Greenville, South Carolina, a political subdivision of the State of South Carolina, dated May 14, 2012, filed for record
May 16, 2012 at 10:23 a.m., recorded in Book 2405, Page 4358, aforesaid Records. 

  

	 	(yy)	Easement from The Aventine Greenville, LLC to BellSouth Telecommunications, LLC, d/b/a AT&T South Carolina, Georgia corporation, dated June 13, 2012, filed for record July 19, 2012 at 12:25 p.m., recorded
in Book 2409, Page 291, aforesaid Records. 

  

	 	(zz)	Sanitary Sewer Easement from The Aventine Greenville, LLC to the City of Greenville, a municipal corporation and political subdivision of the State of South Carolina, dated December 17, 2012, filed for record
January 9, 2013 at 11:41 a.m., recorded in Book 2417, Page 4149, aforesaid Records. 

  

	 	(aaa)	Right of Way Agreement from The Aventine Greenville, LLC to Duke Energy Carolinas, LLC, dated June 4, 2012, filed for record February 1, 2013 at 9:43 a.m., recorded in Book 2418, Page 4779, aforesaid Records.

  

	 	(bbb)	All those matters as disclosed by that certain plat recorded in Plat Book 1080, Page 98, aforesaid Records. 

  

	 	(ccc)	All those matters as disclosed by that certain plat recorded in Plat Book 1149, Page 56, aforesaid Records. 

  

	 	(ddd)	All those matters as disclosed by that certain plat recorded in Plat Book 1088, Page 84, aforesaid Records. 

  

	 	(eee)	All those matters as disclosed by that certain plat recorded in Plat Book 1096, Page 53, aforesaid Records. 

  

	 	(fff)	Pending completion of contemplated improvement on the land being insured, coverage under this Policy is limited to the purchase price paid for the land. As improvements are completed, coverage shall increase in an
amount equal to the cost of said improvements, but in no event shall liability exceed the insured amount of the Policy. 

	 	(ggg)	Storm water detention pond and monitor wells, together with easements incident thereto, as shown on plat entitled “ALTA/ACSM Land Title Survey for The Aventine Greenville, LLC” dated November 30, 2011 and
prepared by Precision Land Surveying, Inc. 

 Schedule 3.1(a) 

DELIVERIES 
 [see
attached pages] 

 Schedule 4.2(a) 

FORM OF LIMITED WARRANTY DEED 
  

					
	STATE OF SOUTH CAROLINA	  	)	  	
		  	)	  	TITLE TO REAL ESTATE
	COUNTY OF                    	  	)	  	(LIMITED WARRANTY)

 KNOW ALL MEN BY THESE PRESENTS, that
            a             (hereinafter “Grantor”), in the State aforesaid and in consideration of the sum
of One Hundred and No/100ths Dollars ($100.00) and other consideration, to it in hand paid at and before the sealing of these presents by             , a
            (hereinafter “Grantee”) in the State aforesaid, the receipt whereof being hereby acknowledged, has granted, bargained, sold and released and by these presents
does grant, bargain, sell and release unto Grantee and its successors and assigns forever all those pieces, parcels or tracts of real estate more fully described in Exhibit A attached hereto (the “Property”),
together with all and singular rights, privileges, hereditaments, and appurtenances to the said Property belonging or in any wise incident or appertaining thereto. 

The Property is being conveyed subject only to those matters set forth in Exhibit B, attached hereto (the “Permitted
Exceptions”). 
 TO HAVE AND TO HOLD, all and singular the Property before mentioned unto Grantee, its successors
and assigns, forever. 
 And the Grantor does hereby bind itself, and its successors and assigns to warrant and forever defend, all and
singular, the said Property unto the said Grantee, its successors and assigns, against itself and its successors and assigns claiming the same, or any part thereof, by, through or under the Grantor, except for claims arising under and by virtue of
the Permitted Exceptions. 
 [signature page to follow] 

 IN WITNESS WHEREOF, the Grantor has caused this Title to Real Estate (with Limited
Warranty) to be executed under seal by its duly authorized representative this             day of             ,
201    . 
 Signed, sealed and delivered in the presence of: 

 

			
	  

	Witness No. 1	 	
	Print Name:	 	  

	
	  

	Witness No. 2	 	
	Print Name:	 	  

  

			
	 GRANTOR:

	  

	  

		
	By:	 	  

	Name:	 	  

	 Title:
	 	  

  

			
	STATE OF SOUTH CAROLINA	  	)
		  	)
	COUNTY OF	  	)

 I,             , a Notary Public of the County and
State aforesaid, certify that             personally came before me this day and acknowledged that he is the             of
            , a             (the “Company”), that he executed the foregoing instrument, and acknowledged to me that the
same was the act of the Company, and that he executed the same as the act of such Company for the purposes and consideration therein expressed and in the capacity stated therein. 

WITNESS my hand and official stamp or seal, this day of             ,
201    . 
  

			
	
	  

	NOTARY PUBLIC FOR:	 	 
	My Commission Expires:	 	 

 [AFFIX NOTARIAL STAMP OR SEAL] 

 Exhibits To Limited Warranty Deed 

A- Legal Description Of Land 
 [THIS BEING the same property
conveyed to Grantor herein by Title to Real Estate (Limited Warranty) from             dated             ,
20    , and recorded on             , 20    , in the Office of the Register of Deeds for
            County, South Carolina, in Book             , Page
            . ] 
 TMS#
            -            -            -     
       ] 
 B.- Permitted Exceptions 

							
	STATE OF SOUTH CAROLINA	 	)	  		  	Date of Transfer of Title
		 	)	  	AFFIDVIT	  	                , 201            
	COUNTY OF                                     	 	)	  		  	

 PERSONALLY appeared before me the undersigned, who being duly sworn, deposes and says: 

l) I have read the information on this Affidavit and I understand such information. 

2) The property is being transferred BY             , a
            , TO             ON             ,
201    . 
 3) Check one of the following: The DEED is: 

a)     subject to the deed recording fee as a transfer for consideration paid or to be paid in money or money’s worth. 

b)    subject to the deed recording fee as a transfer between a corporation, a partnership, or other entity and a stockholder, partner, or
owner of the entity, or is a transfer to a trust or as a distribution to a trust beneficiary 
 c)    EXEMPT from the deed recording fee
because (exemptions: #             ) 
 (Explanation, if required
                                         
                                       ) 

(If exempt, please skip items 4-6, and go to item 7 of this affidavit). 

4) Check one of the following if either item 3(a) or item 3(b) above has been checked. 

a)    The fee is computed on the consideration paid or to be paid in money or money’s worth in the amount of $
     
 b)    The fee is computed on the fair market value of the realty which is $. 

c)             The fee is computed on the fair market value of the realty as established for
property tax purposes which is $. 
 5) Check YES             or NO
            to the following: A lien or encumbrance existed on the land, tenement, or realty before the transfer and remained on the land, tenement, or realty after the transfer. If YES,
the amount of the outstanding balance of this lien or encumbrance is $            . 
 6) The
DEED Recording Fee is computed as follows: 
 a) $             the amount listed in item 4 above

 b) $             the amount listed in item 5 above (no amount, place zero) 

c) $             Subtract Line 6(b) from Line 6(a) and place the result 

7) As required by Code Section 12-24-70, I state that I am a responsible person who was connected with the transaction as: Grantor, Grantee or Legal
Representative. 
 8) Check if Property other than Real Property is being transferred to this Deed. 

a) Mobile Horne 
 b) Other 

9) DEED OF DISTRIBUTION – ATTORNEY’S AFFIDAVIT: Estate of             , deceased CASE
NUMBER             . Personally appeared before me the undersigned attorney who, being duly sworn, certified that (s)he is licensed to practice law in the State of South Carolina; that
(s)he has prepared the Deed of Distribution for the Personal Rep. in the Estate of             , deceased, and that the grantee(s) therein are correct and conform to the estate file for the
above named decedent. 

 10) I understand that a person required to furnish this affidavit who willfully furnishes a false or fraudulent
affidavit is guilty of a misdemeanor and, upon conviction, must be fined not more than one thousand dollars or imprisoned not more than one year, or both. 
  

					
	SWORN to before me this              day of	 		  	
	                                , 201    .	 		  	
		 		  	  
 Grantor, Grantee or Legal
Representative

	 (L.S.)
	 		  	
	(Notary Public signs here)	 		  	
	Notary Public
for                                        
                        	 		  	  

	My commission expires:	 		  	Print or Type Name here

 Schedule 4.2(b) 

[FORM OF BILL OF SALE AND ASSIGNMENT AND ASSUMPTION OF LEASESAND 

SERVICE CONTRACTS] 
 * *
* 
 BILL OF SALE AND ASSIGNMENT AND ASSUMPTION 

OF LEASESAND SERVICE CONTRACTS 

This Bill of Sale and Assignment and Assumption of Leases and Service Contracts (this “Agreement”) is made and entered
into this             day of             , 201    , by and between
            , a Delaware limited liability company (“Seller”), and             , a
            (“Purchaser”). 
 W I T N E S S E T H: 

WHEREAS, Seller and Purchaser have previously entered into that certain Purchase and Sale Agreement, dated
            , 2013 [DESCRIBE AMENDMENTS, IF APPLICABLE] (the “Contract”), having [NAME OF ESCROW AGENT] as party for the limited purposes set forth therein; 

WHEREAS, concurrently with the execution and delivery of this Agreement and pursuant to the Contract, Seller is conveying to Purchaser,
by Special Warranty Deed, (i) those certain tracts or parcels of real property located in the             ,
            County,             , and more particularly described on Exhibit A, attached hereto and made a part
hereof (the “Land”), (ii) the rights, easements and appurtenances pertaining to the Land (the “Related Rights”), and (iii) the buildings, structures, fixtures and other improvements on and within the Land
(the “Improvements”; and the Land, the Related Rights and the Improvements being sometimes collectively referred to as the “Real Property”); 

WHEREAS, Seller has agreed to convey to Purchaser certain tangible and intangible personal property and assign to Purchaser certain leases and
service contracts as hereinafter set forth; 
 NOW, THEREFORE, in consideration of the receipt of Ten Dollars ($10.00), the assumptions by
Purchaser hereinafter set forth and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller and Purchaser agree as follows: 

1. Bill of Sale: 
 (a) Seller
hereby sells, assigns, transfers and conveys to Purchaser all of Seller’s right, title and interest in, to and under the Tangible Personal Property and the Intangible Property. Seller warrants to Purchaser that Seller owns good title to the
Tangible Personal Property, that the Tangible Personal Property and Intangible Personal Property is free and clear of all liens, charges and encumbrances other than the Permitted Exceptions (as defined in the Contract), and that Seller has full
right, power and authority to sell the Tangible Personal Property and Intangible Personal Property and to make this Bill of Sale. Seller further warrants to Purchaser that Seller has not conveyed to any third party its right, title and interest, if
any, in the Intangible Property. 

 (b) “Tangible Personal Property” means all of Seller’s right, title
and interest in, to and under all tangible personal property upon the Land or within the Improvements, including specifically, without limitation, appliances, equipment, furniture, furnishings, carpeting, draperies and curtains, tools and supplies,
and other items of tangible personal property owned by Seller and used exclusively in connection with the ownership, use, maintenance or operation of the Land and the Improvements, and including those items of tangible personal property identified
on Exhibit B, attached hereto and made a part hereof by this reference; provided, however, that the Tangible Personal Property does not include the following items (“Excluded Items”): (i) cash and cash equivalents
(except to the extent prorated at Closing), (ii) any reserves or other deposits funded or made in connection with any financing encumbering the Property, (iii) computer software and computer files, (iv) any time clock(s),
(v) personal property owned by tenants under the Leases, (vi) any equipment installed by, or in connection with, any telecommunication or utility provider and which is owned by any party other than Seller (excluding any reversionary
interest that Seller may have therein which shall be assigned to Purchaser to the extent assignable), (vii) any items owned by employees of Seller or any property manager, (viii) any items leased to Seller, (ix) any digital voice
receivers used in connection with recorded music at the Property, and (x) all brochures, advertising copy, promotional materials, manuals, reports, portfolios, binders, training materials and other items on which the names “Flournoy”
or “The Aventine Greenville” appear. 
 (c) “Intangible Property” means all of Seller’s right,
title and interest in, to and under (i) the Designated Service Contracts, (ii) all assignable existing warranties and guaranties issued to or inuring to the benefit of Seller in connection with the Improvements or the Tangible Personal
Property, and (iii) all governmental permits, licenses and approvals, if any, belonging to or inuring to the benefit of Seller and pertaining to the Real Property or the Tangible Personal Property, but only to the extent that such permits,
licenses and approvals are assignable and only to the extent that such permits, licenses and approvals relate to the Real Property or the Tangible Personal Property as opposed to other property of Seller or its affiliates; (iv) resident and
tenant files for current residents and tenants as of the Closing Date, (v) architectural and civil plans and specifications (to the extent in Seller’s possession but excluding any right to reproduce, use such plans or specifications for
future development or otherwise restrict Seller or any affiliate of Seller from using such plans for future development); (vi) other non-confidential and non-proprietary records owned by Seller and used in connection with the operation of the
Real Property or any part thereof, and located on-site as of the Closing Date, and (vii) all assignable telephone numbers; but excluding any rights in or to the use of the names “Flournoy”. 

2. Assignment and Assumption of Leases: 

(a) Seller hereby sells, assigns, transfers and conveys to Purchaser all of Seller’s right, title and interest as landlord in, to and
under all rental agreements, leases and other agreements in effect as of the date of this Agreement demising space in or providing for the use or occupancy of the Real Property as described on the Rent Roll attached hereto as Exhibit C (the
“Leases”), together with any and all unapplied refundable tenant security, pet and other unapplied deposits in Seller’s possession with respect to the Leases as of the date of this Agreement (collectively, the
“Deposits”), subject only to the Permitted Exceptions. The assignment of the Deposits has been made by means of a credit or payment on the closing statement executed by Seller and Purchaser. 

 (b) Purchaser hereby assumes, and hereby covenants and agrees to fully and faithfully perform,
observe and comply with, all of the covenants, agreements, conditions and other terms and provisions stated in the Leases which, under the terms of the Leases, are to be performed, observed, and complied with by the landlord for obligations first
arising from and after the date of this Agreement. Purchaser acknowledges that Purchaser shall become solely responsible and liable as landlord under the Leases for obligations first arising or accruing from and after the date hereof. 

(c) Seller shall indemnify, hold harmless and defend Purchaser from and against any and all claims, demands, causes of action, liabilities,
losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity) that may be incurred by Purchaser by reason of the assertion by any
tenant under any of the Leases that Seller has failed to perform, observe and comply with its obligations as landlord under any of the Leases during the period before the date hereof, other than with respect to the Deposits (to the extent paid or
assigned to Purchaser or for which Purchaser has received a credit or payment at Closing). 
 (d) Purchaser shall indemnify, hold harmless
and defend Seller from and against any and all claims, demands, causes of action, liabilities, losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in
enforcing this indemnity) that may be incurred by Seller by reason of the failure of Purchaser to perform, observe and comply with the landlord’s obligations under any of the Leases first arising or accruing during the period from and after the
date hereof, including without limitation, claims made by tenants with respect to the Deposits, whether arising before, on or after the date hereof (to the extent paid or assigned to Purchaser or for which Purchaser has received a credit or payment
at Closing). 
 (e) For purposes of this Paragraph 2, the word “landlord” means the landlord, lessor or other equivalent party
under any of the Leases, and the word “tenant” means the tenant, lessee or other equivalent party under any of the Leases. 
 3.
Assignment and Assumption of Service Contracts: 
 (a) Seller hereby sells, assigns, transfers and conveys to Purchaser all of Seller’s
right, title and interest in, to and under those service, supply, equipment rental and similar agreements set forth on Exhibit D, attached hereto and made part hereof by this reference (the “Service Contracts”), free
and clear of all liens, claims and encumbrances (other than, or as may be provided by, the Permitted Exceptions). 
 (b) Purchaser hereby
assumes, and hereby covenants and agrees to fully and faithfully perform, observe and comply with, all of the covenants, agreements, conditions and other terms and provisions stated in the Service Contracts which, under the terms of the Service
Contracts, are to be first to be performed, observed, and complied with by the property owner from and 

 
after the date of this Agreement. Purchaser acknowledges that Purchaser shall become solely responsible and liable under the Service Contracts for obligations first arising or accruing from and
after the date hereof, including with respect to any and all payments coming due under the Service Contracts for which Purchaser has received a credit or payment on the closing statement executed by Purchaser and Seller (the “Credited
Payments”). 
 (c) Seller shall indemnify, hold harmless and defend Purchaser from and against any and all claims, demands,
causes of action, liabilities, losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity) that may be incurred by Purchaser by
reason of the assertion by any other contract party under any of the Service Contracts that Seller has failed to perform, observe and comply with its obligations under any of the Service Contracts during the period before the date hereof, other than
with respect to the Credited Payments (to the extent paid or assigned to Purchaser or for which Purchaser has received a credit or payment at Closing). 

(d) Purchaser shall indemnify, hold harmless and defend Seller from and against any and all claims, demands, causes of action, liabilities,
losses, costs, damages and expenses (including reasonable attorneys’ fees and expenses and court costs incurred in defending any such claim or in enforcing this indemnity) that may be incurred by Seller by reason of the failure of Purchaser to
perform, observe and comply with its obligations under any of the Service Contracts first arising or accruing during the period from and after the date hereof, including without Limitation, claims made by any other contract party with respect to the
Credited Payments, whether arising before, on or after the date hereof (to the extent paid or assigned to Purchaser or for which Purchaser received a credit or payment at Closing). 

4. Qualifications. This Agreement is subject to the Permitted Exceptions (as defined in the Contract). 

5. Counterparts. This Agreement may be executed in two or more identical counterparts, and it shall not be necessary that any one of the
counterparts be executed by all of the parties hereto. Each fully or partially executed counterpart shall be deemed an original, but all of such counterparts taken together shall constitute one and the same instrument. 

6. Successors and Assigns. This Agreement shall inure to the benefit of, and be binding upon, the successors, executors, administrators,
legal representatives and assigns of the parties hereto. 
 7. Governing Law. This Agreement shall be construed under and enforced in
accordance with the laws of the State of South Carolina. 

 EXECUTED effective as of the date first above written. 

 

									
	SELLER:	 		 	PURCHASER:
			
	 ,
	 	  
	 	  

									
	 a
	 	 	 		 	a	 	 

									
	 By:
	 	 ,
	 	  
	 	  
	 	  

  

											
		 	a	 	  
	 		 	By:	 	 
		 	  
	 		 	Name:	 	  

	By:	 	  
	 		 	Title:	 	  

	Name:	 	  
	 		 		 	
	Title:	 	  
	 		 		 	

 Exhibits to Bill of Sale and Assignment 

A - Legal Description of Land 
 B - Inventory of Tangible
Personal Property 
 C - Leases 
 D - List of Designated
Service Contracts 

 EXHIBIT 4.2(c) 

“TENANT NOTICE” 

                    
         , 20     
 Dear Resident: 

This is to notify you that today, the property located at (street address, city, state, zip), and more
commonly known as (name of property), has been sold by (legal name of property), (“Seller”) to (name of buyer) (“Purchaser”). As of the date hereof, Seller’s
interest in your lease (including without limitation, your security deposit) has been assigned to Purchaser and Purchaser has assumed all obligations as “Landlord” or “Lessor” under your lease. 

Located in (city, state), (name of buyer) was founded in (year). 

Effective today, all rent and other payments due pursuant to your occupancy of the premises, whether pursuant to your lease or otherwise, are
to be paid by check, payable to: 
 (name of property) 

(street address of property) 

(city, state, zip of property) 

On behalf of                     [Name of
Seller], we want to thank you for making (name of property) your home. It has been our pleasure to serve you. Any future inquiries regarding your lease should be directed to the Purchaser at the contact information listed above.

 Very truly yours, 

(legal signature block) 

 Schedule 4.2(d) 

FORM OF SELLER’S CLOSING CERTIFICATE 
  

 
 Seller’s Closing
Certificate 
 THIS CERTIFICATION is made as of
                                , 20    , by
                                ,
                                    a Delaware limited liability
company (“Seller”), in favor of
                                         
   , a
                                    (“Purchaser”). 

Seller hereby certifies to Purchaser that the representations and warranties of Seller set forth in Section 5.1 of that certain
Purchase and Sale Agreement between Seller and
                                         
   [if applicable: as amended] (the “Agreement”) dated as of
                                         
   , 20    , as amended, are true and correct in all material respects as of the date hereof, except as to: 
  

	 	(a)	The Rent Roll attached hereto as Exhibit A replaces the Rent Roll attached to the Agreement as Schedule 1.3; and 

 

	 	(b)	[If applicable: The items disclosed on Exhibit B attached hereto replace Seller’s Disclosure Schedule attached to the Agreement as Schedule 5.1]. 

The representations and warranties set forth in Section 5.1 of the Agreement, as updated by this Certificate of Seller’s
Representations and Warranties, will survive only for a period of
                                        from the
date hereof. 
 This certificate is delivered pursuant to Section 4.2(d) of the Agreement, and Seller’s liability hereunder is
subject to Section 5.3 of the Agreement, including the Cap as defined therein. 
  

			
	A	 	  

		 	
	By:	 	
                  
                                         
                                         
            ,

	a	 	  

		 	

 
			
	By:	 	  

	Name:	 	  

	Title:	 	  

		 	

 Exhibits to Seller’s Closing Certificate 

 

			
		
	Exhibit A —	  	Updated Rent Roll
		
	Exhibit B —	  	Additional Items for Seller’s Disclosure Schedule [if applicable], excluding those within Seller’s control

 Schedule 5.1 

SELLER’S DISCLOSURE STATEMENT 

None. 

 Schedule 5.1(h) 

SCHEDULE OF SERVICE CONTRACTS 

 Schedule 5.7(b) 

SCHEDULE OF MUST TAKE SERVICE CONTRACTS 

AT&T (Resident cable, Internet, Telephone) 

Charter (Resident cable, Internet, Telephone) 

Valet Waste 
 Cort Furniture RentalEX-10.50

 Exhibit 10.50 

FIRST AMENDMENT TO 

PURCHASE AND SALE AGREEMENT 

THIS FIRST AMENDMENT TO PURCHASE AND SALE AGREEMENT (this “First Amendment”) is made and entered into as of
December 11, 2013 (the “Amendment Effective Date”), by and between THE AVENTINE GREENVILLE, LLC, a Delaware limited liability company (“Seller”) and TRADE STREET OPERATING PARTNERSHIP,
LP, a Delaware limited partnership (“Purchaser”). 
 WITNESSETH THAT: 

WHEREAS, Purchaser and Seller entered into that certain Purchase and Sale Agreement dated December 5, 2013 (the
“Contract”), with respect to certain real property located in Greenville County, South Carolina, and being more particularly described in the Contract; and 

WHEREAS, Purchaser and Seller desire to amend the Contract as hereinafter set forth. 

NOW, THEREFORE, for and in consideration of the mutual covenants contained herein, the sum of Ten Dollars ($10.00) and other good and valuable
consideration, paid by each of the parties hereto to the other, the receipt and sufficiency of which are hereby acknowledged, Purchaser and Seller hereby agree as follows: 

1. Definitions. Capitalized terms used herein and not otherwise defined herein shall have the meanings respectively ascribed to
them in the Contract. 
 2. Extension of Inspection Date. The first sentence of Section 3.2 of the Contract is hereby
deleted in its entirety and the following is substituted in lieu thereof: 
 “Seller agrees that in the event Purchaser determines,
in Purchaser’s sole and absolute discretion, that it does not wish to acquire the Property for any reason or no reason, then Purchaser shall have the right to terminate this Agreement by giving written notice of such termination to Seller on or
before December 26, 2013 (the “Inspection Date”).” 
 3. Ratification. Except as amended
hereinabove, the Contract remains unmodified and is hereby ratified and confirmed for all purposes and in all respects. 
 4.
Counterparts. This First Amendment may be executed in multiple, telecopied counterparts, all of which shall constitute one and the same instrument. 

5. Entire Agreement. The Contract, as amended by this First Amendment, constitutes the entire agreement of the parties with
respect to the subject matter thereof and fully supersedes any and all prior or contemporaneous written or oral agreements and understandings between the parties pertaining to such subject matter. 

6. Time of the Essence. Time is of the essence with respect to the Contract and this First Amendment. 

[Signature pages follow] 

 IN WITNESS WHEREOF, Purchaser and Seller have executed this First Amendment as of the Amendment
Effective Date. 
  

			
	 SELLER:
  

 
 THE AVENTINE GREENVILLE, LLC, a Delaware limited liability company

 
  

By:   Flournoy Development Company, LLC,

         a Georgia limited liability company,

         its Manager

 
			
	
		
	By:	 	/s/ Rod Dawson
		 	Rod Dawson, Vice President

  
 [Signatures continued on
following page] 

  
 2 

 [Signatures continued from preceding page] 

 
  
  

 

			
	 PURCHASER:
  

 
 TRADE STREET OPERATING

PARTNERSHIP, LP, a Delaware limited
 partnership

 
  
 By: Trade Street OP
GP, LLC, a Delaware
 limited liability company, its general partner
  

 
 By: Trade Street Residential, Inc., a

Maryland corporation, its sole member

		
	By:	 	/s/ David Levin
	Name:	 	David Levin
	Title:	 	President

 [End of signatures]

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