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EXHIBIT 10.4
COMBINED PURCHASE AGREEMENT AND
SETTLEMENT STATEMENT
This Combined Purchase Agreement and Settlement Statement ("the Agreement") made
and entered into this 3rd day of February, 2000, concerning the purchase and
sale of real property between F. Xxxxxxx Xxxxxx, as Trustee of the Xxxxxx-Xxxxxx
Profit Sharing Plan, hereinafter referred to as ("the Seller") and Real Estate
Opportunities, Inc., a Colorado Corporation, hereinafter referred to as ("the
Purchaser").
The Seller and Purchaser agree as follows:
1) Purchaser desires to acquire from the Seller real property known legally as:
OUTLOT A, XXXXXX SUBDIVISION, TOWN OF FIRESTONE, COUNTY OF WELD, STATE OF
COLORADO, INCLUDING BY WAY OF EXAMPLE, BUT NOT LIMITED TO THE FOLLOWING:
The beneficial interest of the Grantor in 19 shares of "Big T" water
pending conveyance to the Town of Firestone upon completion of requirements
of the B 7 Brand Subdivision, pursuant to approved preliminary plat, if not
previously conveyed. ("the Property")
2) Seller desires to sell the Property to Purchaser for the sum of $755,000.00
on the following terms and conditions:
a) The purchase price shall be payable as follows:
i) Initial Cash Payment: $105,260.69 with the understanding that
$40,260.69 of the initial cash payment is being obtained by
financing between the Purchaser and Asset Realization, Inc.,
evidenced by a promissory note of even date herewith to be
secured by a deed of trust of even date herewith and recorded in
second position on the Property. The $40,260.69 in financing is
expected to be paid directly to the Seller by the said Asset
Realization, Inc.
ii) Financing Provided by Seller: $649,739.31 shall be paid by the
Purchaser to the Seller by execution of three promissory notes,
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collectively secured by one deed of trust of even date herewith and
recorded in first position on the Property. The amounts and terms of the
promissory notes described as follows:
(1) $55,000.00 promissory note payable in semi annual payments of
$5,362.50, including principal and interest at 13.5% per annum, with
the said $5,362.50 payments commencing August 1, 2000 and continuing
every six months thereafter until February 3, 2002, whereon the entire
unpaid principal balance shall be due and payable, if not sooner paid.
(2) $65,000.00 promissory note payable in semi annual payments of
$6,337.50, including principal and interest at 13.5% per annum, with
the said $6,337.50 payments commencing August 1, 2000 and continuing
every six months thereafter until February 3, 2002, whereon the entire
unpaid principal balance shall be due and payable, if not sooner paid.
(3) $529,739.31 promissory note payable in semi annual payments of
$39,730.45, including principal and interest at 9.0% per annum, with
the said $39,730.45 payments commencing August 1, 2000 and continuing
every six months thereafter until February 3, 2002, whereon the entire
unpaid principal balance shall be due and payable, if not sooner paid.
iii) Partial Releases: The Deed of Trust securing the above three promissory
notes shall provide the following partial release provision: The
beneficiary shall provide partial releases on the basis of $45,000.00 per
lot, after completion of the improvements to the Property, such that the
Town of Firestone shall allow construction of 19 separate single family
homes on the 19 separate single family building sites. The Purchaser shall
be allowed to select the lot(s) being released.
iv) Due on Sale Clause: The Deed of Trust shall provide that prior to
September 1, 2000, the property may be conveyed to any other party,
provided the three promissory notes are current and the principal balances
are reduced to $500,000.00 collectively at time of transfer of the
Property.
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3) Other terms and conditions:
a) The Seller shall pay for the 1999 real estate taxes and work invoiced
through January 30, 2000, with the Purchaser assuming all further
invoices.
b) The sale of the Property is without recourse, warranty or
representation.
4) This Agreement is binding on the parties hereto and is effective August
19, 1999.
5) The Purchaser and Seller agree to the following Settlement Statement:
Settlement Statement
Total Purchase Price: $755,000.00
Less the following credits:
Purchase financing promissory note: $(55,000.00)
Purchase financing promissory note: $(65,000.00)
Purchase financing promissory note: $(529,739.31)
Cash Received: $(105,260.69)
Balance Due: $0.00
Purchaser: Seller:
Real Estate Opportunities, Inc. Xxxxxx-Xxxxxx Profit Sharing Plan
By: /s/ F. XXXXXXX XXXXXX By: /s/ F. XXXXXXX XXXXXX
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F. Xxxxxxx Xxxxxx, President F. Xxxxxxx Xxxxxx, Trustee
