Document:

Exhibit

Exhibit 10.4
GUARANTY AND SURETYSHIP AGREEMENT
This Guaranty and Suretyship Agreement (as amended, restated, supplemented or otherwise modified from time to time, this “Guaranty”), dated as of February 29, 2016, is made by ISA Logistics LLC, a Kentucky limited liability company (“ISA Logistics”), ISA Indiana, Inc., an Indiana corporation (“ISA Indiana”), ISA Real Estate, LLC, a Kentucky limited liability company (“ISA Real Estate”), ISA Indiana Real Estate, LLC, a Kentucky limited liability company (“ISA IN Real Estate”), 7021 Grade Lane LLC, a Kentucky limited liability company (“7021 Grade Lane”), 7124 Grade Lane LLC, a Kentucky limited liability company (“7124 Grade Lane”), and 7200 Grade Lane LLC, a Kentucky limited liability company (“7200 Grade Lane”; and together with ISA Logistics, ISA Indiana, ISA Real Estate, ISA IN Real Estate, 7021 Grade Lane, 7124 Grade Lane and any additional Person that at any time after the date hereof becomes a guarantor to this Guaranty, jointly, severally and collectively, “Guarantors” and each a “Guarantor”), in favor of MidCap Business Credit, a Texas limited liability company, as lender (the “Lender”) under that certain Loan and Security Agreement (All Assets) of even date herewith (as the same may be amended, restated, supplemented or otherwise modified from time to time, the “Loan Agreement”) by and among Industrial Services of America, Inc., a Florida corporation (“ISA”), the other Borrowers (as defined in the Loan Agreement), Guarantors and Lender.  Unless otherwise defined herein, capitalized terms shall have their respective meanings as set forth in the Loan Agreement.
1.Guaranty of Obligations.  Each Guarantor hereby absolutely and unconditionally, jointly and severally, guarantees, and becomes surety for, the prompt payment and performance of all Obligations and all costs and expenses, including all court costs and reasonable attorneys’ fees and expenses paid or incurred by Lender in endeavoring to collect all or any part of the Obligations from, or in prosecuting any action against, the Borrowers, the Guarantors or any other obligor (each, an “Obligor”) of all or any part of the Obligations (and such costs and expenses paid or incurred shall be deemed to be included in the Obligations).  If any Event of Default occurs under the Loan Agreement with respect to the Obligations, each Guarantor will pay the amount due to Lender by the procedures set forth in this Guaranty.
2.    Nature of Guaranty; Waivers.  This is a guaranty of payment and not of collection and Lender shall not be required, as a condition of each Guarantor’s liability, to make any demand upon or to pursue any of its rights against any Borrower, or to pursue any rights which may be available to it with respect to any other person who may be liable for the payment of the Obligations.  This is an absolute, unconditional, irrevocable and continuing guaranty and will remain in full force and effect until all of the Obligations have been paid in full in accordance with the terms of the Loan Agreement, and Lender has terminated this Guaranty.  This Guaranty will remain in full force and effect even if there are no Obligations outstanding at a particular time or from time to time until all of the Obligations have been paid in full in accordance with the terms of the Loan Agreement, and Lender has terminated this Guaranty.  This Guaranty will not be affected by any surrender, exchange, acceptance, compromise or release by Lender of any other party, or any other guaranty or any security held by Lender for any of the Obligations, by any failure of Lender to take any steps to perfect or maintain Lender’s lien or security interest in or to preserve Lender’s rights in or to any security or other collateral for the Obligations or any guaranty, or by any irregularity, unenforceability or invalidity of the Obligations or any part thereof or any security therefor or other guaranty thereof.  Each Guarantor’s Obligations hereunder shall not be affected, modified or impaired by any counterclaim, set-off, deduction or defense based upon any claim such Guarantor may have against any Borrower or Lender, except payment or performance of the Obligations in full.  Each Guarantor hereby waives (a) notice of acceptance 

# 2734364  v. 5

of this Guaranty, notice of extensions of credit to Borrowers from time to time, notice of default, diligence, presentment, notice of dishonor, protest, demand for payment, and (b) all defenses based on suretyship or impairment of collateral.  Lender at any time and from time to time, without notice to or the consent of Guarantor, and without impairing or releasing, discharging or modifying each Guarantor’s liabilities hereunder, may (i) change the manner, place, time or terms of payment or performance of or interest rates on, or other terms relating to (including the maturity thereof), any of the Obligations; (ii) renew, substitute, modify, amend or alter, or grant consents, release, or discharge, or waivers relating to the Loan Agreement or any of the other Loan Documents or to the Obligations, any other guaranties, or any security for the Obligations or guaranties or increase (without limit of any kind) or decrease the Obligations (including all loans and extensions of credit thereunder) or modify the terms on which loans and extensions of credit may be made to Borrowers; (iii) apply any and all payments by whomever paid or however realized including any proceeds of any collateral, to any Obligations of Borrowers in such order, manner and amount as Lender may determine in its sole discretion; (iv) settle, compromise or deal with any other person, including Borrowers or any other Guarantor, with respect to the Obligations in such manner as Lender deems appropriate in its sole discretion; (v) substitute, exchange, subordinate or release any security or guaranty for the Obligations; or (vi) take such actions and exercise such remedies hereunder as provided herein. 
3.    Repayments or Recovery from Lender.  If any demand is made at any time upon Lender for the repayment or recovery of any amount received by it in payment or on account of the Obligations and if Lender repays all or any part of such amount by reason of any judgment, decree or order of any court or administrative body or by reason of any settlement or compromise of any such demand, each Guarantor will be and remain liable hereunder for the amount so repaid or recovered to the same extent as if such amount had never been received originally by Lender, as the case may be.  The provisions of this Section 3 will be and remain effective notwithstanding any contrary action which may have been taken by any Guarantor in reliance upon such payment, and any such contrary action so taken will be without prejudice to Lender’s rights hereunder and will be deemed to have been conditioned upon such payment having become final and irrevocable.
4.    Financial Statements.  Unless compliance is waived in writing by Lender or until all of the Obligations have been paid in full, each Guarantor will promptly submit to Lender such information relating to Guarantor’s financial affairs (including but not limited to annual financial statements and tax returns for each Guarantor) or any security for this Guaranty as Lender may reasonably request.
5.    Enforceability of Obligations.  No (i) claim of waiver, release, extension, renewal, settlement, surrender, alteration, or compromise of any of the Obligations, by operation of law or otherwise; (ii) change in the corporate existence, structure or ownership of any Borrower or any Obligor; (iii) insolvency, bankruptcy, reorganization or other similar proceeding affecting any Borrower or any Obligor, or their assets or any resulting release or discharge of any obligation of any Borrower or any Obligor; or (iv) existence of any claim, setoff or other rights which any Guarantor may have at any time against any Borrower, any Obligor, Lender, or any other Person, whether in connection herewith or in any unrelated transactions will affect, modify, limit or discharge such Guarantor’s liability in any manner whatsoever and this Guaranty will remain and continue in full force and effect and will be enforceable against each Guarantor to the same extent and with the same force and effect as if any such proceeding had not been instituted.  Each Guarantor hereby waives all rights and benefits which might accrue to them by reason of any such proceeding and will be liable to the full extent hereunder, irrespective of any modification, limitation or discharge of the Obligations that may result from any such proceeding.
6.    Events of Default.  The occurrence of any of the following shall be an “Event of Default”: (i) any Event of Default (as defined in the Loan Agreement or any of the other Loan Documents); (ii) any 

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Guarantor’s failure to perform any of its obligations hereunder; (iii) the falsity, inaccuracy or material breach by any Guarantor of any written warranty, representation or statement made or furnished to Lender by or on behalf of such Guarantor; or (iv) the termination or attempted termination of this Guaranty.  Upon the occurrence of any Event of Default: (a) Each Guarantor shall pay to Lender the full amount of the Obligations; (b) Lender in its discretion may exercise with respect to any Collateral, including, without limitation, any Pledged Equity, any one or more of the rights and remedies provided a secured party under the applicable version of the Uniform Commercial Code; and (c) Lender in its discretion may exercise from time to time any other rights and remedies available to it at law, in equity or otherwise.  Neither failure to give, nor defect in, any notice of any Event of Default given to any Guarantor shall extinguish or in any way affect the obligations of each Guarantor under this Guaranty.
7.    Collateral.  This Guaranty is secured by the Loan Agreement, each mortgage executed and delivered by Guarantors, as applicable, and the other Loan Documents.
8.    Costs.  To the extent that Lender incurs any costs or expenses in protecting or enforcing its rights with respect to the Obligations under this Guaranty, including reasonable attorneys’ fees and the costs and expenses of litigation, such costs and expenses will be due on demand, will be included in the Obligations and will bear interest from the incurring or payment thereof at the Default Rate.
9.    Waiver of Subrogation.  Until the Obligations are indefeasibly paid in full, each Guarantor waives in favor of Lender any and all rights which each Guarantor may have to (a) assert any claim against any Borrower based on subrogation, indemnification, restitution, reimbursement or contribution rights with respect to payments made hereunder, and (b) any realization on any property of any Borrower, including participation in any marshalling of any Borrower’s assets with respect to payment made hereunder.
10.    Termination.  To the maximum extent permitted by law, each Guarantor hereby waives any right to revoke this Guaranty as to future Obligations.  If such a revocation is effective notwithstanding the foregoing waiver, each Guarantor acknowledges and agrees that (a) no such revocation shall be effective until written notice thereof has been received by Lender, (b) no such revocation shall apply to any Obligations in existence on the date of receipt by Lender of such written notice (including any subsequent continuation, extension, or renewal thereof, or change in the interest rate, payment terms, or other terms and conditions thereof), (c) no such revocation shall apply to any Obligations made or created after such date to the extent made or created pursuant to a legally binding commitment of Lender, and (d) any payment, by any Borrower or from any source other than any Guarantor, made subsequent to the date of such revocation, shall first be applied to that portion of the Obligations as to which the revocation is effective and which are not, therefore, guarantied hereunder.
11.    Guarantor’s Representations and Warranties.  Each Guarantor represents and warrants to Lender as follows:
(a)    Each Guarantor’s execution and performance of this Guaranty will not (i) violate or result in a default or breach (immediately or with the passage of time) under any contract, agreement or instrument to which such Guarantor is a party, or by which such Guarantor is bound, (ii) violate or result in a default or breach under any order, decree, award, injunction, judgment or applicable law, or (iii) cause or result in the imposition or creation of any lien upon any property of such Guarantor other than the liens created in favor of Lender hereunder;
(b)    The execution, delivery and performance of this Guaranty (a) is within each Guarantor’s organizational power, (b) have been duly authorized by all necessary or proper actions of or pertaining to such Guarantor (including the consent of general partners, members or managers, as applicable), 

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and (c) is not in contravention of any Guarantor’s certificate of incorporation or formation (as applicable), limited partnership agreement, limited liability company agreement, bylaws or other governing document (as applicable), or any provision of law;
(c)    No consent, license or approval of, or filing or registration with, any governmental authority is necessary for the execution and performance hereof by any Guarantor;
(d)    This Guaranty constitutes each Guarantor’s valid and binding obligation enforceable in accordance with its terms except as such enforceability may be limited by any applicable bankruptcy, insolvency, moratorium or similar laws affecting creditors’ rights generally;
(e)    This Guaranty promotes and furthers the business and financial interests of  each Guarantor and the creation of the Obligations hereunder will result in direct financial benefit to each Guarantor; and
(f)    Each Guarantor has executed this Guaranty after conducting its own independent review and analysis in the financial condition and operations of the Borrowers, and each Guarantor has not relied upon any representation, statement or information of or from Lender.     
12.    Notices.  Any notices which any party may give to another hereunder shall be given to such party in the manner and by the methods provided for under the Loan Agreement.
13.    Preservation of Rights.  No delay or omission on Lender’s part to exercise any right or power arising hereunder will impair any such right or power or be considered a waiver of any such right or power, nor will Lender’s action or inaction impair any such right or power.  Lender’s rights and remedies hereunder are cumulative and not exclusive of any other rights or remedies which Lender may have under other agreements, at law or in equity.  Lender may proceed in any order against the Borrowers, each Guarantor or any other obligor of, or collateral securing, the Obligations.
14.    Illegality.  In case any one or more of the provisions contained in this Guaranty should be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby.
15.    Changes in Writing.  No modification, amendment or waiver of any provision of this Guaranty nor consent to any departure therefrom will be effective unless made in a writing signed by the party against whom enforcement is sought, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given.  No notice to or demand on any Guarantor in any case will entitle Guarantor to any other or further notice or demand in the same, similar or other circumstance.
16.    Entire Agreement.  This Guaranty (including the documents and instruments referred to herein) constitutes the entire agreement between each Guarantor and Lender and supersedes all other prior agreements and understandings, both written and oral, between each Guarantor and Lender with respect to the subject matter hereof; provided, however, that this Guaranty is in addition to, and not in substitution for, any other guarantees from each Guarantor to Lender.
17.    Successors and Assigns.  This Guaranty will be binding upon and inure to the benefit of each Guarantor, Lender and their respective successors and assigns; provided, however, that no Guarantor may assign this Guaranty in whole or in part without Lender’s prior written consent and Lender at any time may assign this Guaranty in whole or in part.

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18.    Interpretation.  In this Guaranty, unless Lender and each Guarantor otherwise agree in writing, the singular includes the plural and the plural the singular; references to statutes are to be construed as including all statutory provisions consolidating, amending or replacing the statute referred to; the word “or” shall be deemed to include “and/or”, the words “including”, “includes” and “include” shall be deemed to be followed by the words “without limitation”; and references to sections or exhibits are to those of this Guaranty unless otherwise indicated.  Section headings in this Guaranty are included for convenience of reference only and shall not constitute a part of this Guaranty for any other purpose.
19.    Indemnity.  Each Guarantor agrees to indemnify Lender, its directors, officers and employees and each legal entity, if any, who controls Lender, as applicable (the “Indemnified Parties”), and to hold each Indemnified Party harmless from and against any and all claims, damages, losses, liabilities and expenses (including all reasonable fees and charges of external counsel with whom any Indemnified Party may consult and all reasonable expenses of litigation or preparation therefor) which any Indemnified Party may incur or which may be asserted against any Indemnified Party as a result of the execution of or performance under this Guaranty; provided, however, that the foregoing indemnity agreement shall not apply to claims, damages, losses, liabilities and expenses attributable to an Indemnified Party’s gross negligence or willful misconduct.  The indemnity agreement contained in this Section 19 shall survive the termination of this Guaranty.  Each Guarantor may participate at its expense in the defense of any such claim.
20.    Maximum Liability; Contribution.  Notwithstanding any provision herein contained to the contrary, each Guarantor's liability under this Guaranty shall be limited to an amount not to exceed as of any date of determination the amount which could be claimed by Lender from each Guarantor under this Guaranty without rendering such claim voidable or avoidable under Section 548 of the Bankruptcy Code (Title 11, U.S.C.) or under any applicable state Uniform Fraudulent Transfer Act, Uniform Fraudulent Conveyance Act or similar statute or common law (the “Avoidance Provisions”) after taking into account, among other things, each Guarantor's right of contribution and indemnification from each Borrower and each other Obligor.  To the end set forth above, but only to the extent that the Obligations would otherwise be subject to avoidance under the Avoidance Provisions, if a Guarantor is not deemed to have received valuable consideration, fair value, fair consideration or reasonably equivalent value for the  Obligations, or if the Obligations would render such Guarantor insolvent, or leave such Guarantor with an unreasonably small capital to conduct such Guarantor’s business, or cause such Guarantor to have incurred debts (or to have intended to have incurred debts) beyond such Guarantor’s ability to pay such debts as they mature, in each case as of the time any of the Obligations is deemed to have been incurred for the purposes of the Avoidance Provisions, the maximum Obligations for which such Guarantor shall be liable hereunder shall be reduced to that amount which, after giving effect thereto, would not cause the Obligations as so reduced, to be subject to avoidance under the Avoidance Provisions.
21.    Governing Law and Jurisdiction.  THIS GUARANTY SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF CONNECTICUT  APPLICABLE TO CONTRACTS MADE AND TO BE PERFORMED THEREIN WITHOUT REGARD TO CONFLICT OF LAW PRINCIPLES.  FURTHER, THE LAW OF THE STATE OF CONNECTICUT SHALL APPLY TO ALL DISPUTES OR CONTROVERSIES ARISING OUT OF OR CONNECTED TO OR WITH THIS GUARANTY WITHOUT REGARD TO CONFLICT OF LAW PRINCIPLES.
22.    Waiver of Jury Trial.  ANY LEGAL ACTION, SUIT OR PROCEEDING WITH RESPECT TO THIS GUARANTY SHALL BE BROUGHT EXCLUSIVELY IN THE COURTS OF THE STATE OF CONNECTICUT OR IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF CONNECTICUT, AND EACH GUARANTOR HEREBY ACCEPTS FOR ITSELF AND IN RESPECT OF ITS PROPERTY, GENERALLY AND UNCONDITIONALLY, THE JURISDICTION OF THE 

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AFOREMENTIONED COURTS. EACH GUARANTOR HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY OBJECTION, INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, OR BASED ON UPON 28 U.S.C. § 1404, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING AND ADJUDICATION OF ANY SUCH ACTION, SUIT OR PROCEEDING IN ANY OF THE AFOREMENTIONED COURTS AND AMENDMENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY THE COURT.  EACH GUARANTOR HEREBY WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM CONCERNING ANY RIGHTS UNDER THIS GUARANTY OR UNDER ANY AMENDMENT, WAIVER, AMENDMENT, INSTRUMENT, DOCUMENT OR OTHER AGREEMENT DELIVERED OR WHICH IN THE FUTURE MAY BE DELIVERED IN CONNECTION HEREWITH, OR ARISING FROM ANY FINANCING RELATIONSHIP EXISTING IN CONNECTION WITH THIS GUARANTY, AND AGREE THAT ANY SUCH ACTION, PROCEEDING OR COUNTERCLAIM SHALL BE TRIED BEFORE A COURT AND NOT BEFORE A JURY.
23.    Acknowledgment.  Each Guarantor acknowledges that such Guarantor has read and understood all the provisions of this Guaranty, (including the waiver of jury trial) and have been advised by counsel with respect to this Guaranty as necessary or appropriate.
24.    Execution in Counterparts.  This Guaranty may be executed in multiple counterparts, each of which shall be effective upon delivery and, thereafter, shall be deemed to be an original, and all of which shall be taken as one and the same instrument with the same effect as if each party hereto had signed on the same signature page. Any signature page of this Guaranty may be detached from any counterpart of this Guaranty without impairing the legal effect of any signature thereto and may be attached to another part of this Guaranty identical in form hereto and having attached to it one or more additional signature pages.  This Guaranty may be transmitted by facsimile machine or by electronic mail in portable document format (“pdf”) and signatures appearing on faxed instruments and/or electronic mail instruments shall be treated as original signatures.  Any party delivering an executed counterpart of this Guaranty by facsimile or other electronic method of transmission also shall deliver an original executed counterpart of this Guaranty, but the failure to deliver an original executed counterpart shall not affect the validity, enforceability or binding effect hereof.
[SIGNATURES APPEAR ON THE FOLLOWING PAGES.]

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IN WITNESS WHEREOF, this Guaranty has been executed and delivered as of the date first set forth above.
ISA INDIANA INC.,
an Indiana corporation

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

ISA LOGISTICS LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

ISA REAL ESTATE, LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

ISA INDIANA REAL ESTATE, LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

7021 GRADE LANE LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

[SIGNATURES CONTINUED ON THE FOLLOWING PAGE.]

# 2734364  v. 5

[SIGNATURES CONTINUED FROM THE PREVIOUS PAGE.]

7124 GRADE LANE LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

7200 GRADE LANE LLC,
a Kentucky limited liability company

By:    /s/ Sean Garber                
Name:    Sean Garber                    
Title:    President                    

# 2734364  v. 5Exhibit
10.1

 

 

 

February
29, 2016

 

 

	VIA
        OVERNIGHT DELIVERY AND E-MAIL

         

        Plymouth
        Industrial OP, LP (“Borrower”)

        260
        Franklin Street, 19th Floor

        Boston,
        Massachusetts 02110

        Attention:
        Jeffrey E. Witherell

        E-mail:
        Jeff.witherellplymouthrei.com 

         
	 

		Re:	Those
                                         certain loans (collectively, the “Loans”) in the aggregate original
                                         principal amount of $192,000,000.00 as evidenced by that certain Loan Agreement dated
                                         October 28, 2014, by and among Borrower, Guarantor, the Property Guarantors
                                         signatory thereto and Holder’s predecessor in interest (as supplemented and modified
                                         by the Joinder Agreement dated November 20, 2014, the Reaffirmation Agreement
                                         dated April 28, 2015, and the Loan Extension and Modification Agreements dated October 28, 2015,
                                         December 2, 2015 and January 28, 2016, collectively, the “Loan Agreement”),
                                         which Loans are also evidenced by (i) that certain Promissory Note (Tranche A), dated
                                         October 28, 2014, in the principal amount of $71,000,000.00 (plus any Additional Advances)
                                         executed by Borrower, (ii) that certain Promissory Note (Tranche B), dated October 28,
                                         2014, in the principal amount of $101,000,000.00 (plus any Additional Advances) executed
                                         by Borrower, (iii) that certain Promissory Note (Tranche C), dated October 28, 2014,
                                         in the principal amount of $20,000,000.00 (plus any Additional Advances) executed by
                                         Borrower, the foregoing (i) through (iii) referred to herein, collectively, as the “Notes”)
                                         which Notes are currently held by DOF IV REIT HOLDINGS, LLC, a Delaware limited liability
                                         company (“Holder”); initially capitalized terms used herein but not
                                         defined herein shall have the respective meaning ascribed thereto in the Loan Agreement.

 

Dear Borrower:

 

Borrower
has advised Holder that it will be unable to repay the Loans and all other Obligations on the Maturity Date,
February 29, 2016. This letter (this “Letter Agreement”) constitutes an agreement
pursuant to the terms and conditions hereinafter set forth, among Holder, Borrower, Guarantor, and Property Guarantors with respect
to the exercise by Holder of certain rights and remedies afforded Holder by reason of Borrower’s default of its obligations
under the Loan Documents to repay the Loans and other Obligations in full on the Maturity Date.

 

In
consideration for (i) Borrower’s payment of a legal fee deposit in the amount of $7,500.00 (“Legal Fee Deposit”)
by wire transfer using the wire instructions provided by counsel to Borrower, (ii) the execution and delivery of the Guaranty
in form and substance of Exhibit A attached hereto, and (iii) Borrower’s, Guarantor’s and Property
Guarantors’ agreements and covenants contained herein, Holder agrees for the duration of the Forbearance Period to forbear
from exercising its rights and remedies against Borrower, Guarantor, Property Guarantors and the Collateral by reason of the failure
of Borrower to pay to Holder all outstanding Obligations due and payable under the Loan Documents on the Maturity Date. The failure
by Borrower to pay the Required Payments shall render Holder’s agreement to forbear from exercising its remedies in connection
with the Loans as provided herein null and void. For purposes of this Letter Agreement, “Forbearance Period”
shall mean that period of time commencing on the Maturity Date and expiring on April 30, 2016; provided, however, the Forbearance
Period shall automatically terminate, without notice or opportunity to cure, upon Borrower’s failure to timely satisfy any
of the following requirements:

    

     

    

 

		1.	Commencing
                                         on March 15, 2016 and on the fifteenth (15th) day of each calendar month thereafter,
                                         Borrower shall tender the cash flow received from the Collateral after payment of budgeted
                                         operating expenses in accordance with the budget attached hereto as Exhibit B,
                                         plus any other expenses approved by Holder, for the immediately preceding calendar month
                                         (“Excess Cash Flow”), together with certified operating statement(s)
                                         for the Collateral for the immediately preceding calendar month. In the event that budgeted
                                         operating expenses in any given month pursuant to the budget attached hereto as Exhibit B
                                         are in excess of operating expenses actually incurred by Borrower for such month,
                                         then Borrower shall promptly tender such excess amount to Holder. If Holder determines
                                         there is any discrepancy in the amount of Excess Cash Flow tendered by Borrower to Holder
                                         at any time, Holder shall notify Borrower in writing of such discrepancy, and Borrower
                                         shall promptly, and in any event within three (3) Business Days of receipt of such notice,
                                         provide to Holder such additional information and/or documentation as may be requested
                                         by Holder for purposes of resolving such discrepancy and thereafter promptly tender any
                                         deficiency in Borrower’s deposit of Excess Cash Flow identified by Holder.

 

		2.	No
                                         Default or Event of Default shall occur under the Loan Documents (other than the Event
                                         of Default arising from Borrower’s failure to repay the Obligations in full on
                                         Maturity Date).

 

Each
of Borrower, Guarantor and Property Guarantors acknowledges and agrees that as of the Maturity Date, Borrower is indebted and
obligated to Holder pursuant to the provisions of the Loan Documents evidencing and securing the Loans for (i) the unpaid principal
of the Tranche A Loans and Tranche B Loans in the amount of $178,580,156.34 (which amount is comprised of (x) the unpaid principal
balance of the Tranche A Loans and Tranche B Loans in the amount of $177,724,221.41 as of January 31, 2016 plus (y) the
Tranche A Additional Amount of $173,639.36 as of February 29, 2016 plus (z) the Tranche B Additional Amount of $682,295.57
as of February 29, 2016), (ii) the unpaid principal of the Tranche C Loans in the amount of $20,000,000, (iii) accrued and
unpaid interest on the Tranche A Loans in the amount of $405,158.51, (iv) accrued and unpaid interest on the Tranche B Loans in
the amount of $597,008.62, and (v) accrued interest on the Tranche C Loans in the amount of $0. The unpaid principal balances
of the Tranche A Loans, Tranche B Loans and Tranche C Loans, together with all accrued and unpaid interest thereon, are part of
the Obligations. Each of Borrower, Guarantor and Property Guarantors represents that the Obligations (including, without limitation,
the amounts referenced herein) evidenced and secured by the Loan Documents to which it is a party constitutes a valid indebtedness
owing to Holder. Interest at the Default Rate shall continue to accrue on the Loans from and after the Maturity Date; provided,
however, that (I) such default interest and (II) the interest accrued on the Tranche C Loans at the Contract Rate of fifteen
percent (15%) per annum from and after the Maturity Date shall be waived by Holder if Borrower repays the Obligations in full
prior to the expiration of the Forbearance Period. Each Collateral Document creates and constitutes a first and superior lien
in favor of Holder upon the Collateral (including, without limitation, the Collateral Property), which is duly perfected in accordance
with applicable laws, which security interests are hereby reaffirmed by Borrower, Guarantor and Property Guarantors.

 

Borrower,
Guarantor and Property Guarantors understand that the law firm of Kilpatrick Townsend & Stockton LLP (“Legal Counsel”)
has been engaged by Holder to represent Holder in connection with the obligations owed to Holder under the Loan Documents, and
that Borrower, Guarantor and Property Guarantors are required to pay for all legal fees and expenses of Legal Counsel in connection
with this matter. Should the legal fees and expenses of Legal Counsel exceed the amount of the Legal Fee Deposit, Borrower shall
be required to pay such excess (and may be required to post an additional deposit for such purpose). Should the Legal Fee Deposit
exceed the legal fees and expenses of Legal Counsel, the surplus will be refunded to Borrower after subtracting therefrom any
unpaid costs and expenses due Holder.

    

     

    

Holder’s
agreement to forbear from exercising its rights and remedies does not constitute a waiver of the existing or future defaults of
Borrower under the Loan Documents. The parties acknowledge that Holder may exercise all rights and remedies available to it by
reason of such defaults immediately upon the termination of the Forbearance Period. Following and upon the expiration of the Forbearance
Period or earlier termination thereof as provided herein, Borrower, Guarantor and Property Guarantors consent to and agree not
to oppose (a) any foreclosure by Holder of any or all Collateral pledged or conveyed to Lender as security for any of the indebtedness
evidenced by the Note and all other Obligations outstanding under the Loan Documents, or any part thereof, by Holder or (b) any
application by Holder for the appointment of a receiver to manage the Collateral, which receiver shall be vested with all of the
usual powers, rights, and duties of receivers as provided by applicable law, and whose powers shall include, without limitation,
the power to sell the Collateral on such terms and conditions approved in writing by Holder. Borrower hereby irrevocably consents
to the appointment of a receiver for the Collateral Property upon the expiration or earlier termination of the Forbearance Period.

 

Notwithstanding
anything set forth in this Letter Agreement to the contrary, each of the Borrower, Guarantor and Property Guarantors acknowledges,
confirms and agrees that Holder shall not be prohibited from taking actions to preserve and protect all or any part of the Collateral
and/or the interest of Holder therein or the priority of Holder’s interest in the Collateral.

 

No
negotiations, making or acceptance of payments, delay in making demand or enforcing rights or remedies, or other action or inaction
undertaken pursuant to this Letter Agreement or under the Loan Documents shall constitute a waiver of Holder's rights at law or
under the Loan Documents or a waiver of any rights of Holder to collect any additional amounts to which Holder may be lawfully
entitled pursuant to the terms of the Loan Documents, or otherwise at law or in equity.

 

Borrower,
Guarantor and Property Guarantors acknowledge, confirm and agree that in consideration of Holder’s agreement to forbear
from exercising its remedies during the Forbearance Period (subject to the terms and conditions contained herein), if Borrower,
Guarantor or any Property Guarantor shall at any time during the Forbearance Period or thereafter: (a) file with a bankruptcy
court of competent jurisdiction or be the subject of any petition under Title 11 of the United States Code, as amended, (b) be
the subject of any order for relief issued under such Title 11 of the United States Code, as amended, (c) file or be the
subject of any petition seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar
relief under any present or future federal or state act or law relating to bankruptcy, insolvency or other relief for such Borrower
or Guarantor, (d) have sought or consented to or acquiesced in the appointment of any trustee, receiver, conservator or liquidator,
or (e) be the subject of any order, judgment or decree entered by any court of competent jurisdiction approving a petition filed
against Borrower, Guarantor or any Property Guarantor for any reorganization, arrangement, composition, readjustment, liquidation,
dissolution or similar relief under any present or future federal or state act or law relating to bankruptcy, insolvency or relief
of Borrower, Guarantor or such Property Guarantor, then in any such event described in clauses (a) through (e) of this sentence,
Holder shall thereupon be entitled to relief from any automatic stay imposed by Section 362 of Title 11 of the United States Code,
as amended, or otherwise, on or against the exercise of the rights and remedies otherwise available to Holder as provided in the
Loan Documents, this Letter Agreement and any related documents.
Each of Borrower, Guarantor and Property Guarantors further acknowledges and agrees that Holder,
as a material inducement to enter into this Letter Agreement, has specifically bargained for the concessions set forth in this
paragraph and that this Letter Agreement may be deemed conclusive evidence as to such negotiated ongoing intention of Borrower,
Guarantor and Property Guarantors and that it is intending to remain the primary element in determining if cause exists for granting
such concessions.

    

     

    

Borrower,
Guarantor and Property Guarantors hereby expressly acknowledge that (a) Holder has not agreed to, and Holder has no obligation
whatsoever to discuss, negotiate or to agree to, any restructuring of the Obligations, or any portion thereof, or any modification,
amendment, restructuring or reinstatement of the Loan Documents or any related documents, or to forbear from exercising its rights
and remedies under the Loan Documents or any related documents, or at law or in equity, except for the forbearance as expressly
provided for in this Letter Agreement subject to the terms of this Letter Agreement; (b) if there are any future discussions between
Holder and Borrower, Guarantor or Property Guarantors concerning any restructuring, modification, amendment, reinstatement or
forbearance, that (i) there exists no duty or obligation on the part of Holder to conduct any such discussions or negotiations
according to any standard of conduct whatsoever, including without limitation any so-called standards of “good-faith”
or “fair-dealing” or the like; and (ii) no restructuring, modification, amendment, reinstatement, forbearance, compromise,
settlement, agreement or understanding with respect to the Obligations, the Loan Documents or any related documents, or any term,
provision or aspect thereof, shall constitute a legally binding agreement or contract or have any force or effect whatsoever unless
and until reduced to writing and signed by authorized representatives of all parties (including, without limitation, Holder, Borrower,
Guarantor and Property Guarantors), and that none of Borrower, Guarantor or Property Guarantors shall assert or claim in any legal
proceedings or otherwise that any such agreement exists except in accordance with the terms of this Letter Agreement; and (c) the
execution and delivery of this Letter Agreement has not established nor shall be deemed to have established any course of dealing
between the parties hereto or any obligation or agreement of any nature whatsoever on the part of Holder with respect to any future
or further forbearance by Holder from the exercise of rights and remedies under the Loan Documents or any related documents, or
at law or in equity, or any future or additional fundings or extensions of credit by Holder. Without limitation of the foregoing,
Borrower hereby acknowledges and agrees that the Pre-Negotiation Agreement executed in connection with the Loans (the “PNA”)
continues to govern any discussions among Holder, Borrower, Guarantor and Property Guarantors regarding any restructuring, settlement
or compromise of the Loans. The
PNA, this Letter Agreement and the Loan Documents set forth the entire agreement among the parties with respect to the Loans and
supersede all prior and contemporaneous negotiations, understandings and agreements, written or oral, among the parties related
to the subject matter of this Letter Agreement. This Letter Agreement and the Loan Documents cannot be further modified, except
by a written instrument signed by the parties against whom enforcement of the modification is sought.

 

Each
party hereto acknowledges that such party has participated in the negotiation of this Letter Agreement, and no provision of this
Letter Agreement shall be construed against or interpreted to the disadvantage of any party hereto by any court or other governmental
or judicial authority by reason of such party having or being deemed to have structured, dictated or drafted such provision. Each
of Borrower, Guarantor and Property Guarantors acknowledges and agrees that it has at all times had access to an attorney in the
negotiation of the terms of and in the preparation and execution of this Letter Agreement and that Borrower, Guarantor and Property
Guarantors have had the opportunity to review and analyze this Letter Agreement for a sufficient period of time prior to the execution
and delivery thereof. Borrower, Guarantor and Property Guarantors further acknowledge and agree that no representations or warranties
have been made by or on behalf of Holder, or relied upon by Borrower, Guarantor or Property Guarantors, pertaining to the subject
matter of this Letter Agreement, and that all of the terms of this Letter Agreement were negotiated at arm’s-length, and
that this Letter Agreement was prepared and executed without fraud, duress, undue influence or coercion of any kind exerted by
any party upon the other, and that the execution and delivery of this Agreement is the free and voluntary act of Borrower, Guarantor
and Property Guarantors.

    

     

    

Each
of Borrower, Guarantor and Property Guarantors hereby represents and warrants that its execution, delivery and performance of
this Letter Agreement has been authorized by all requisite company action and does not and will not violate its respective corporate
organizational documents. Holder hereby represents and warrants that the execution, delivery and performance of this Letter Agreement
has been authorized by all requisite company action and does not and will not violate Holder’s organizational documents.

 

As
a material inducement to Holder to enter into this Letter Agreement and to grant the concessions to Borrower, Guarantor and Property
Guarantors reflected herein, each Borrower, Guarantor and Property Guarantor, for itself and its past, present or future officers,
directors, employees, agents, attorneys, representatives, participants, heirs, successors or assigns: (i) does hereby remise,
release, acquit, satisfy and forever discharge each of Holder and all of its past, present and future servicers, officers, directors,
employees, agents, attorneys, representatives, participants, successors and assigns (collectively, the “Lender Parties”),
from any and all liabilities, damages, losses, claims, demands, costs, expenses, defenses, set-offs, rights of recoupment, judgments,
executions, causes of action, suits, debts, dues, sums of money, claims for attorneys’ fees or costs, accounts, reckonings,
bonds, bills, specialties, covenants, contracts, controversies, agreements, promises, variances, torts, omissions, representations,
breaches of contract or of obligations to perform, and any type of conduct or misconduct (excluding intentional misconduct), whether
negligent or otherwise, whether in law or in equity, whether matured or unmatured, whether known or unknown, whether liquidated
or unliquidated, whether contingent or non-contingent (collectively, “Claims”) which any Borrower, Guarantor
or Property Guarantor now has or hereafter can, shall or may have by reason of any matter, cause or thing, from the beginning
of the world to and including the date of this Letter Agreement, including specifically, but without limitation, matters arising
out of, in connection with or relating to (A) this Letter Agreement, (B) any obligations under the Loan Documents, (C) the
Loan Documents or the indebtedness evidenced thereby, including, the administration or funding thereof, and (D) any other
relationship, agreement or transaction between any Borrower, Guarantor or Property Guarantor and Holder or any of its subsidiaries,
affiliates or servicers; and (ii) does hereby covenant and agree never to institute or cause to be instituted or continue prosecution
of, and shall indemnify Lender Parties and defend and hold them harmless from, any and all Claims of every kind or character incurred
by or asserted against Holder or any of the other Lender Parties, by reason of or in connection with any of the foregoing matters,
claims or causes of action. Each Borrower, Guarantor and Property Guarantor further agrees and acknowledges that it may hereafter
discover facts different from, or in addition to, those which such Borrower, Guarantor or Property Guarantor now knows or believes
to be true with respect to the Claims released pursuant to this paragraph, and agrees that the foregoing release shall be and
remain effective in all respects notwithstanding such different or additional facts or the discovery thereof.

 

This
Letter Agreement and all issues arising hereunder shall be governed by the laws of the state of New York, without giving effect
to principals of conflict of laws. BORROWER, GUARANTOR AND PROPERTY GUARANTORS EACH IRREVOCABLY WAIVES THE RIGHT TO A JURY TRIAL
AND CONSENTS TO THE JURISDICTION AND VENUE OF THE COURTS OF THE STATE OF NEW YORK AND THE UNITED STATED DISTRICT COURT LOCATED
IN THE BOROUGH OF MANHATTAN IN NEW YORK, NEW YORK, AND AGREES NOT TO OBJECT TO SUCH JURISDICTION OR TO THE LAYING OF VENUE IN
SUCH COURTS.

 

[Remainder
of page intentionally left blank]

    

     

    

 

Time
is of the essence with respect to the terms of this Letter Agreement.

 

Very
truly yours,

 

DOF
IV REIT Holdings, LLC,

a
Delaware limited liability company

 

By:      /s/
Bill Stasiulatis

Name:
Bill Stasiulatis

Title:
Authorized Signatory

 

 

 

[Signatures
continue on following page]

    

     

    

 

Consented
and agreed to this 29th day of February, 2016.

 

BORROWER:

PLYMOUTH
INDUSTRIAL OP, LP,

a
Delaware limited partnership

By:      Plymouth
Industrial REIT, Inc., a Maryland corporation, its sole general partner

By:      /s/
Jeffrey E. Witherell

           Name:
Jeffrey E. Witherell

           Title:
Chief Executive Officer

GUARANTOR:

 

PLYMOUTH
INDUSTRIAL REIT, INC.,

a
Maryland corporation

By:      /s/
Jeffrey E. Witherell       

Name:
Jeffrey E. Witherell

Title:
Chief Executive Officer

PROPERTY
GUARANTORS:

Plymouth
8288 Green Meadows LLC, Plymouth
8273 Green Meadows LLC, Plymouth 7001 Americana LLC, Plymouth
3100 Creekside LLC, Plymouth Shelby LLC, Plymouth
3940 Stern LLC, Plymouth 1875 Holmes LLC, Plymouth
1355 Holmes LLC, Plymouth 189 Seegers LLC, Plymouth
11351 West 183rd LLC, Plymouth 2401 Commerce LLC, Plymouth
210 American LLC, Plymouth 3500 Southwest LLC, PLYMOUTH
32 DART LLC, PLYMOUTH 56 MILLIKEN LLC, PLYMOUTH 1755 ENTERPRISE LLC, PLYMOUTH 7585 EMPIRE LLC, PLYMOUTH 4115 THUNDERBIRD LLC,
PLYMOUTH MOSTELLER LLC, PLYMOUTH 4 EAST STOW LLC, each a Delaware limited liability company

By:      Plymouth
Industrial OP, LP, its sole member

 

By:      PLYMOUTH
INDUSTRIAL REIT, Inc.

            its
sole general partner

By:    /s/
Jeffrey E. Witherell      

        Name:
Jeffrey E. Witherell

        Title:
Chief Executive Officer

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