L E A S E

Exhibit 10.8

L  E  A  S  E

**************************

1400 WESTGATE ASSOCIATES, L.L.C.

(Lessor)

and

BANK OF NORTH CAROLINA

(Lessee)

TABLE OF CONTENTS

This Lease, dated as of the          day of June 2005, by and between 1400 WESTGATE ASSOCIATES, L.L.C., a North Carolina Limited Liability Company with offices at 16 South Main Street; Post Office Box 1066; Lexington, North Carolina 27293-1066 (the “Lessor”) and Bank of North Carolina (the “Lessee”).

RECITALS/STATEMENT OF PURPOSE

Lessor is the owner of Suite 90 in the office building in Winston-Salem, North Carolina, at 1551 Westbrook Plaza Drive and being known as GreenTree Centre II, said Suite containing 2,639 square feet, which includes both the Suite and the proportionate share of undivided common area allocated thereto, all as more particularly described on Exhibit “A” attached hereto and made a part hereof (the “Leased Premises”). Lessee wishes to lease from Lessor, and Lessor wishes to lease to Lessee the Leased Premises, together with a non-exclusive right to use the common areas of GreenTree Centre, upon the terms and conditions set forth herein. The purpose of this instrument is to set forth the terms and conditions upon which the parties will deal with each other as a result of Lessee’s having leased the Leased Premises from Lessor.

NOW, THEREFORE, in consideration of the mutual promises contained herein, the Lessor hereby leases the Leased Premises to Lessee and Lessee leases the Leased Premises from Lessor upon the following terms and conditions:

1. UPFITTING. Lessor agrees that it shall construct the upfit plan for Suite 90 substantially in accordance with the Plans & Specifications attached hereto as Exhibit B, which Plans & Specifications are hereby incorporated herein by reference. Lessor warrants that the construction of the Suite and other improvements shall be completed in good and workman-like manner.

2. LEASE TERM.

(a) The initial term of this Lease shall commence immediately and continue for a period of two (2) Lease Years (as defined below) after the Rental Commencement Date. The term “Lease Year” as referred to herein shall mean the period beginning on the Rental Commencement Date and ending on the day prior to the anniversary of such date in the next year, and each such period thereafter during the term of this Lease. Lessor will notify Lessee 30 days prior to the date that the Leased Premises are expected to be ready for occupancy. Upon Substantial Completion of the Leased Premises (as defined in Exhibit B “Plans and Specifications” attached hereto) Lessor and Lessee agree to execute a Certificate of Rental Commencement reflecting the Rental Commencement Date.

(b) Provided Lessee is not in default hereunder, the term of this Lease may be extended at the option of the Lessee for one (2) two-year period. Such option shall be exercised by written notice to Lessor on or before six months prior to the expiration of the initial term of this Lease. The renewal shall be upon the same terms, covenants, and conditions as the initial lease term, including the provisions for annual adjustments to Base Rental. Any termination of this Lease during the initial term shall automatically terminate this option to renew.

3. RENTAL.

(a) The rental for the first Lease Year shall be $43,543.50 per year (or $3,628.63 per month), hereinafter referred to as the “Base Rental,” which annual Base Rental shall be increased as hereinbelow provided in Subparagraph 3(b). Base Rental shall be payable in equal monthly installments in advance on the first day of every calendar month during the term of this Lease and shall be increased from time to time pursuant to the provisions of Subparagraph 3(b) below. The first monthly payment of Base Rental shall be due on the Rental Commencement Date.

(b) The Base Rental shall be increased after the end of each Lease Year during the term of this Lease in accordance with increases in the Consumer Price Index (hereinafter called the “Price Index”). The Price Index shall mean the “U.S. City Average for Urban Wage Earners and Clerical Workers, all items, groups, subgroups and special groups if items” as promulgated by the Bureau of Labor Statistics of the U.S. Department of Labor, using the years 1982-1984 as a base of 100.

The Base Rental shall be increased in accordance with the following provisions:

(1) At the beginning of the second Lease Year and of each Lease Year thereafter, the Base Rental shall be increased by an amount determined by multiplying the Base Rental for a previous Lease Year by the percentage increase in the Price Index from the first month of the previous Lease Year to the first month of the new Lease Year, provided that in no event shall the increase provided for hereby be less than 3% per year nor more than 5% per year.

(2) The Lessor will notify the Lessee as soon as computation of the adjusted Base Rental has been made, which shall be no later than ninety (90) days after the commencement of a Lease Year. The adjusted Base Rental shall be due from the first month of the Lease Year in which it applies, and the adjusted Base Rental for those months for which it was owed before Lessee is notified of the amount thereof shall be paid with the first Base Rental payment made after Lessee has received the notice of the adjustment.

All dates and rents shall be adjusted to reflect the beginning of the initial “Lease Year” and will be incorporated into the Lease Modification Agreement provided for in Section 2(a) of this Lease Agreement.

The Lessee will pay the foregoing rent to 1400 WESTGATE ASSOCIATES, L.L.C., Post Office Box 1066, 16 South Main Street, Lexington, North Carolina 27293-1066, or to such other person or at such other place as the Lessor may designate in writing.

4. MAINTENANCE RESPONSIBILITIES.

(a) Lessor Maintenance. As between Lessor and Lessee, Lessor shall be responsible for maintenance of the roof and structural portions of the Leased Premises; provided, the Lessor shall not be responsible for any damage thereto caused by the negligence of Lessee, its employees, agents, invitees, subtenants, licensees, assignees, or contractors, in which event such damage shall be promptly repaired by Lessee. Lessor shall commence any repairs for which it is responsible promptly after notification by Lessee and shall complete same diligently.

(b) Additional Lessor Maintenance. Lessor shall also be responsible for all maintenance, upkeep, and repair of any kind and nature with respect to the Leased Premises, such to be accomplished regularly and routinely by Lessor so as to keep the Leased Premises at all times in first-class condition; provided, the Lessor shall not be obligated to repair any damage to the Leased Premises or perform any maintenance or upkeep of any kind thereto caused or necessitated by the negligence of Lessee, its employees, agents, invitees, subtenants, licensees, assignees, or contractors, in which event such damage shall be promptly repaired by Lessee. By way of example and not limitation, Lessor shall keep and maintain all plumbing, heating, electrical, and air conditioning systems in the Leased Premises in good working order. Lessee shall not be entitled to any abatement of rent and Lessor shall not be liable for any loss or damage occasioned by any breakdown or interruption in the operation of such systems.

5. TAXES & ASSESSMENTS. Lessor shall pay when due all real property taxes and assessments which are now or which may hereafter be imposed upon the Leased Premises, and Lessee shall pay when due all taxes and assessments of any kind or nature imposed or assessed upon Lessee’s improvements, trade fixtures, equipment, merchandise or other property installed in or brought onto the Leased Premises by or for Lessee. Upon Lessor’s request, the Lessee shall furnish Lessor copies of paid receipts for all said taxes and assessments forthwith after payment of same.

6. SERVICES BY LANDLORD. Provided that Tenant is not then in default, Landlord shall cause to be furnished to the Building, or as applicable, the Leased Premises, in common with other tenants, during business hours of 7:00 A.M. to 7:00 P.M. Monday through Friday (excluding National and State holidays), the following services: janitorial services (five (5) days a week after normal working hours, as more particularly set forth on Exhibit C), water (if available from city mains) for drinking, lavatory and toilet purposes, operatorless elevator service, gas and heating and air conditioning for the reasonably comfortable use and occupancy of the Leased Premises, provided heating and cooling conforming to any governmental regulation prescribing limitations thereon shall be deemed to comply with this service. Landlord shall furnish the Leased Premises with electricity for the maintenance of building standard fluorescent lighting composed of 2’ x 4’ fixtures and keep such lighting in good repair and replace bulbs as needed. Incandescent fixtures, table lamps, all lighting other than the aforesaid building standard fluorescent lighting, dimmers and all lighting controls other than controls for the aforesaid building standard fluorescent lighting shall be serviced, replaced and maintained at Tenant’s expense. Landlord shall also furnish the Leased Premises with electricity for lighting for the aforesaid building standard fluorescent lighting and for the operation of general office machines, such as electric typewriters, desk top computers, word processing

equipment, dictating equipment, adding machines and calculators, telecommunication equipment and network servers and office copy machines. Landlord shall provide electricity as necessary for the normal operation of convenience outlets serving the Leased Premises. After hours heating and air conditioning will be available at a charge of fifty dollars ($50.00) per hour, or part thereof, per floor, with a minimum charge of two (2) hours per occurrence. All additional costs resulting from Tenant’s extraordinary usage of heating, air conditioning or electricity shall be paid by Tenant upon demand as Additional Rent for each month or portion thereof, and Tenant shall not install equipment with unusual demands for any of the foregoing without Landlord’s prior written consent, which Landlord may withhold if it determines that in its opinion such equipment may not be safely used in the Leased Premises or that electrical service is not adequate therefor. If heat generating machines or equipment other than those contemplated by the foregoing language of this Section 6 or other intensive activities shall be used or carried on in the Leased Premises by Tenant which materially adversely affect the temperature, the heating and air conditioning systems, or utility usage thereof, Landlord shall have the right to install supplemental air conditioning units in the Leased Premises and the actual cost thereof, including the cost of engineering and installation, and the actual cost of operation and maintenance thereof, shall be paid by Tenant upon demand by Landlord.

7. ALTERATIONS. Any alterations, additions or improvements permitted herein except as otherwise provided in Section1 and the Workletter shall be made at the expense of the Lessee. The Lessee agrees that it will make no alterations, additions or improvements to the Leased Premises without the written consent of the Lessor. All alterations, additions, improvements, cabinetry or other fixtures made or attached to the Building or the Leased Premises by and for the Lessee, including but not limited to, any and all subdividing partitions, walls or railings of whatever type, material or height (but excepting movable office furniture and equipment and modular cabinetry paid for by Lessee and not permanently attached to the Building, which may be removed by the Lessee at the end of the term of this Lease, if such termination is not the result of Lessee default hereunder) shall be the property of the Lessor and shall remain upon and be surrendered with the Leased Premises as a part thereof at the expiration or earlier termination of this Lease. The Lessor, however, reserves the right to require the Lessee to remove any paneling, decorations, partitions, walls or railings, floor coverings, booths, or fixtures installed by or at the request of the Lessee, by giving notice of such election to the Lessee at any time prior to, or not later than ten (10) days after the expiration or earlier termination of the Lease; in which event the Lessee, at the Lessee’s sole cost and expense, shall remove the property so specified on or before the date of expiration or earlier termination of this Lease or a date five (5) days after the receiving of such notice, whichever shall be the later, and shall promptly restore the Leased Premises to their original condition, reasonable wear and tear excepted; if Lessee fails to perform the necessary restorations within ten days after removing the property, or if Lessee is in default under this Lease, Lessor may undertake the restoration of the Leased Premises to their original condition after the removal of the specified property, in which event Lessee shall promptly reimburse Lessor for the cost of such restoration.

8. USE AND OCCUPANCY.

(a) The Lessee agrees that the Leased Premises will be used only for general office use and for the purpose of conducting Lessee’s business therefrom (the “Permitted Use”); that no

unlawful use of the Leased Premises will be made; that no sign, name, legend, notice or advertisement of any kind will be fixed, painted or displayed on any part of the Leased Premises, except with the consent of Lessor, which consent shall not be unreasonably withheld; and that upon the termination of this Lease, Lessee will vacate and surrender possession of the Leased Premises to the Lessor in as good condition as the Leased Premises were at the commencement of this Lease, ordinary wear and tear excepted.

(b) Lessee will use and operate the Leased Premises and the common areas of the GreenTree Centre in compliance with the rules and regulations attached hereto as Exhibit D and any other rules established by Lessor and approved by a majority of the tenants in the Building and with all laws, rules and regulations of any agency having jurisdiction over the Leased Premises. Lessee will not use, and will not permit or suffer anyone else to use, the Leased Premises for the production, storage or disposal of any hazardous substance, as now or hereafter defined by any agency having jurisdiction over the premises, or any petroleum product. Lessee hereby indemnifies and agrees to hold harmless Lessor from any cost, obligation, fine, penalty, charge, loss or damage, including attorney’s fees, arising out of the use or operation of the leased Premises or the storage or disposal of any material thereon, during the time that Lessee is in possession of said premises.

9. INSURANCE.

(a) Lessor agrees that it will keep the Leased Premises and the building in which the Leased Premises are located insured against loss or damage by fire with extended coverage to the full fair insurable value thereof. Lessee shall not be liable to repair damage caused by accidental fire or other casualty covered by such insurance. Lessee shall not use or permit upon the premises anything that will invalidate or will increase the rate of any policy of insurance now or hereafter carried on the Leased Premises or the building(s) of which said Leased Premises are a part.

Lessee agrees that it will keep its trade fixtures, equipment, and other property of Lessee located in, on or about the demised premises insured against loss or damage by fire with extended coverage to the full fair insurable value thereof. Lessee agrees that all personal property in, about or on the demised premises shall be at the risk of Lessee only and that Lessor shall not be liable for damage thereto or theft thereof under any circumstances.

(b) The Lessor and the Lessee agree that if the Leased Premises or any furniture, fixtures, machinery, equipment or other personal property located therein are damaged or destroyed by fire or other insured casualty, the rights, if any, of either party against the other with respect to such damage or destruction are hereby waived if and to the extent permitted by any applicable insurance policies. The parties agree to use their best efforts to insure that the policies of insurance obtained by them permit such waivers of subrogation and shall furnish evidence of such, each to the other.

(c) At all times subsequent to the commencement of this Lease and during its full term, the Lessee, at its sole cost and expense, shall provide general public liability insurance for personal injury and property damage in an amount of $1,000,000.00 per occurrence.

(d) Lessor shall provide Lessee and Lessee shall provide Lessor with certificates evidencing the coverages hereinabove described. All such policies provided by Lessee shall name Lessor and, with respect to insurance covering the Leased Premises, any lender of Lessor which maintains a mortgage on the Leased Premises, as additional insureds and shall provide that Lessor and such lender must receive at least 20 days’ written notice before any cancellation or material change in terms. Lessor shall name Lessee as additional named insured with respect to the leased premises.

10. FIRE OR OTHER CASUALTY.

(a) The Lessor agrees that if during the first five years of the initial term of this Lease or the first five years of the renewal term if this Lease is renewed, the Leased Premises shall be damaged by fire or other casualty, to such an extent that the cost of repairs will be less than 50% of the fair market value thereof at the time of such casualty, provided Lessor’s lender permits, Lessor will employ the proceeds of insurance policies referred to in Section 9 to repair the Leased Premises after a casualty with reasonable dispatch after notice to Lessor of damage, due allowance to be made for delay resulting from any cause beyond the Lessor’s reasonable control; provided, however, that the Lessor shall not be required to expend funds in excess of the insurance proceeds or repair or replace any property which the Lessee may be entitled to remove or which the Lessor may require the Lessee to remove from the Leased Premises upon the termination or expiration of this Lease, and provided further, that during the time that the Leased Premises are unfit for occupancy by Lessee, the rent shall abate in proportion to the extent the premises are unfit for occupancy, so long as the damage was not occasioned by the act or omission of Lessee or Lessee’s agents, servants, employees or invitees.

(b) If the Leased Premises are damaged during the last two years of the initial Lease term or renewal term or to such extent that the cost of repairs will be 50% or more of the fair market value, as above described, then the Lessor in his sole discretion may choose not to repair and restore the Leased Premises, whereupon the Lessor may terminate this Lease by notifying the Lessee in writing, within a reasonable time after such damage, of the Lessor’s election to terminate this Lease. In the event of the giving of such notice during the term of this Lease, this Lease shall expire and all interests of the Lessee in the Leased Premises shall terminate on the date specified in such notice, and the rent shall be apportioned and paid up to the time of such fire or other casualty if the Leased Premises are damaged, or up to the specified date of termination.

(c) Any insurance proceeds from the fire and extended coverage insurance furnished by the Lessee shall be made payable to the Lessor to effect the required repairs. Lessee will cooperate with and coordinate with Lessor in insuring that such proceeds are at the Lessor’s disposal on a timely basis in order that Lessor may proceed with the repairs with reasonable dispatch.

11. CONDEMNATION. If the whole of the Leased Premises or such part thereof as shall make the Leased Premises unsuitable for the purpose leased shall be taken for any public or any quasi-public use under any statute or by right of eminent domain, or by private purchase by

condemning authority in lieu thereof, then this Lease shall automatically terminate as of the date the title shall be taken, and the rent shall be apportioned as of that date. Such termination shall be without prejudice to the rights of either party to recover compensation from the condemning authority for any loss or damage caused by the taking. Neither party shall have any rights in or to any award made to the other by the condemning authority.

12. CONDITION AT COMMENCEMENT AND TERMINATION. The Lessor warrants that the Leased Premises and all its systems including heating, plumbing, wiring, lighting, air conditioning, water and sewer shall be in good working order at the beginning of the term of this Lease. At the termination of this Lease, Lessee shall deliver up possession of the Lease Premises to Lessor in as good condition as the same are at the beginning of the lease term, excepting only reasonable wear and tear.

13. INDEMNITY. The Lessee agrees to defend, indemnify and save harmless the Lessor and the agents, servants and employees of the Lessor against and from any and all claims made or liability, loss, cost, damage and expenses (including reasonable attorneys’ fees) assessed against Lessor by or on behalf of any person, firm or corporation arising by reason of injury to person or property occurring on the Leased Premises, occasioned in whole or in part by any act or omission of Lessee (including any acts or omission involving radioactive or hazardous substance on the part of the Lessee or an employee [whether or not acting within the scope of employment], agent, visitor, assign or sub-tenant of the Lessee), or by reason of any unlawful use of the Leased Premises or any breach, violation or nonperformance of any covenant in this Lease on the part of the Lessee to be observed or performed, and also for any matter or thing growing out of the occupancy or use of the Leased Premises by the Lessee or any one holding or claiming to hold through or under the Lessee. Lessee agrees to pay for all damage to the Leased Premises, as well as all damage to licensees or invitees thereof, caused by Lessee’s misuse or neglect of the Leased Premises, its apparatus or appurtenances. Lessor shall not be liable to Lessee for any loss or damage incurred by Lessee as the result of any act of negligence of any occupant of the Building (or such occupant’s guests, invitees, contractors and/or employees) or by any owner or occupant of property adjoining or contiguous to the Land.

Lessor agrees to defend, indemnify, and save harmless the Lessee, and the agents, servants, and employees of the Lessee, against and from any and all claims made or liability, loss, cost, damage, and expenses (including reasonable attorneys’ fees) assessed against Lessee by or on behalf of any person, firm, or corporation arising by reason of injury to person or property occurring on the Leased Premises, occasioned in whole or in part by any act or omission, including any acts or omissions regarding radioactive or hazardous substances, on the part of the Lessor or an employee or agent of the Lessor.

14. QUIET ENJOYMENT. The Lessor agrees that the Lessee on paying the stipulated rental and keeping and performing the agreement and covenants herein contained, shall hold and enjoy the Leased Premises for the term aforesaid, free from interference by the Lessor or by any one claiming by, through or under the Lessor, subject, however, to the terms of this Lease.

15. ASSIGNMENT AND SUBLETTING. Except as set forth below, Lessee shall not assign or sublease the Leased Premises without Lessor’s prior written consent, which consent shall not be unreasonably withheld. Consent to any assignment or sublease by Lessor shall not release the Lessee from its obligations and liabilities hereunder. Notwithstanding the above, Lessee may assign this Lease or sublease the Leased Premises to any legal entity controlled by or under common control with the Lessee without Lessor’s consent, provided that prior to any such assignment Lessee must notify Lessor in writing of any such assignment.

16. DEFAULT.

(a) In the event of default in the payment of rent or any other sum payable hereunder for five days after the due date, or in the event of three monetary defaults in any Lease Year, the Lessor, without prejudice to any other rights or remedies that it may have, shall have the right, immediately or any time thereafter, to re-enter the Leased Premises and remove all persons and property from the Leased Premises. In the event the Lessee shall neglect to keep or perform any other covenant, agreement or condition of this Lease, the Lessor shall give written notice of such default to the Lessee; and in the event that such default is not rectified within twenty (20) days from the date of such notice, then the Lessor shall have the right to enter the Leased Premises immediately or at any time thereafter and remove the Lessee therefrom, without prejudice to any other remedies of the Lessor. In the event of such re-entry, the Lessee hereby waives all claims for damages which may be caused by the re-entry of the Lessor and will save the Lessor harmless from any loss, cost or damages occasioned Lessor thereby (including reasonable attorneys’ fees and other expenses incurred by reason of such re-entry), and no such re-entry shall be considered or construed to be a forcible entry.

(b) The Lessor shall also have the right, at its option, to cure any of Lessee’s defaults and charge the cost of such cure to Lessee as additional rent.

(c) Should the Lessor elect to re-enter the Leased Premises as herein provided, or should he take possession pursuant to legal proceedings, it may either terminate this Lease or it may, from time to time, without terminating this Lease, re-let the Leased Premises or any part thereof on Lessee’s account for such time or times and at such rental or rentals and upon such other terms and conditions as the Lessor in its reasonable discretion may deem advisable, with the right to make alterations and repairs to the Leased Premises, and the Lessee shall pay the amount of rent due under this Lease to the date of the beginning of payment or rent pursuant to any such re-letting, together with the cost of such re-letting, including attorneys’ fees occasioned by such re-letting, brokers commissions, tenant improvement costs and the cost of any repairs to the Leased Premises necessitated by damage caused by Lessee, and the Lessee will thereafter pay m