SEC Contract Filing

Filing Date: 2015-05-27

Document Content:
<DOCUMENT>
<TYPE>EX-10.8
<SEQUENCE>9
<FILENAME>v411726_ex10-8.htm
<DESCRIPTION>EXHIBIT 10.8
<TEXT>
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<P STYLE="margin: 0">&nbsp;</P>

<P STYLE="margin: 0; text-align: right"><B>Exhibit 10.8</B></P>

<P STYLE="margin: 0; text-align: right">&nbsp;</P>

<P STYLE="margin: 0"></P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><U>ENVIRONMENTAL AND HAZARDOUS SUBSTANCES
INDEMNITY AGREEMENT</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Property Commonly Known As<BR>
&quot;Whetstone Apartments&quot;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">This Environmental
and Hazardous Substances Indemnity Agreement (this &quot;<B><U>Indemnity Agreement</U></B>&quot;) is executed and delivered as
of the 20<SUP>th</SUP> day of May, 2015, by <B>BR-TBR WHETSTONE OWNER, LLC</B>, a Delaware limited liability company (&quot;<B><U>Borrower</U></B>&quot;),
and <B>BLUEROCK RESIDENTIAL GROWTH REIT, INC.</B>, a Maryland corporation (&quot;<B><U>Guarantor</U></B>&quot;) to and for the
benefit of <B>KEYBANK NATIONAL ASSOCIATION</B>, a national banking association, its successors and assigns (&quot;<B><U>Lender</U></B>&quot;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 51.15pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><U>RECITALS</U>:</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">A.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
or about the date hereof, Borrower and Lender entered into that certain Loan Agreement (as amended from time to time, the &quot;<B><U>Loan
Agreement</U></B>&quot;) whereby Lender agreed to make a secured loan (the &quot;<B><U>Loan</U></B>&quot;) available to Borrower
in the maximum aggregate amount at any time outstanding not to exceed the sum of Twenty-Five Million One Hundred Forty-Seven Thousand
Five Hundred Dollars ($25,147,500.00), to finance that certain 204-unit multifamily property known as &quot;Whetstone Apartments&quot;
located at 501 Willard Street in Durham, Durham County, North Carolina 27701 (the &quot;<B><U>Property</U></B>&quot;). A legal
description of the land included in the Property is set forth on <U>Exhibit A</U> attached hereto.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.3pt; text-align: justify; text-indent: 31.7pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.3pt; text-align: justify; text-indent: 31.7pt">B.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
connection with the Loan, Borrower has executed and delivered to Lender a Promissory Note in favor of Lender of even date herewith
(as amended from time to time, the &quot;<B><U>Note</U></B>&quot;) in the principal amount of the Loan, payment of which is secured
by (i) a Deed of Trust made by Borrower in favor of Lender on the Property (as amended from time to time, the &quot;<B><U>Deed
of Trust</U></B>&quot;) and (ii) the other Loan Documents.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.3pt; text-align: justify; text-indent: 31.7pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.3pt; text-align: justify; text-indent: 31.7pt">C.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Borrower
and Guarantor will derive financial benefit from the Loan evidenced and secured by the Note, the Deed of Trust and the other Loan
Documents.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.5pt; text-align: justify; text-indent: 31.5pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.5pt; text-align: justify; text-indent: 31.5pt">D.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Borrower
and Guarantor are referenced to individually herein as an &quot;<B><U>Indemnitor</U></B>&quot; and collectively, jointly and severally,
as &quot;<B><U>Indemnitors</U></B>.&quot; As a condition to making the Loan, Lender requires the Indemnitors to indemnify Lender
upon the occurrence of certain events.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.5pt; text-align: justify; text-indent: 31.5pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 4.5pt; text-align: justify; text-indent: 31.5pt">E.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lender
has relied on the statements and agreements contained herein in agreeing to make the Loan.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 51.1pt; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><U>AGREEMENTS</U>:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">In consideration of
the Recitals set forth above and hereby incorporated herein, and for other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, Indemnitors hereby agree as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 51.15pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times