<PAGE>

                                                                    EXHIBIT 10.2


                                   GUARANTY

        This Guaranty is made by SCHULER HOMES OF CALIFORNIA, INC., a 
California corporation, SCHULER HOMES OF OREGON, INC., an Oregon corporation, 
SCHULER HOMES OF WASHINGTON, INC., a Washington corporation, MELODY HOMES, INC.,
a Delaware corporation, SCHULER REALTY/MAUI, INC., a Hawaii corporation, 
SCHULER REALTY/OAHU, INC., a Hawaii corporation, LOKELANI CONSTRUCTION 
CORPORATION, a Delaware corporation, MELODY MORTGAGE CO., a Colorado 
corporation, SHLR OF WASHINGTON, INC., a Washington corporation, SHLR OF 
COLORADO, INC., a Colorado corporation, and SHLR OF UTAH, INC., a Utah 
corporation (collectively referred to as the "Guarantors", and individually 
referred to as a "Guarantor").

        WHEREAS, (i) Schuler Homes, Inc., a Delaware corporation (the 
"Borrower"), (ii) the banks from time to time party to the Credit Agreement, 
as herein defined (collectively referred to as the "Banks", and individually 
referred to as a "Bank"), (iii) FIRST HAWAIIAN BANK, a Hawaii corporation, as 
administrative and co-syndication agent for the Banks (the "Administrative 
Agent"), and (iv) BANK OF AMERICA NT&SA, a national banking association, as 
documentation and co-syndication agent for the Banks (the "Documentation 
Agent", the Administrative Agent and the Documentation Agent are collectively 
referred to as the "Agents"), entered into that certain Second Amended and 
Restated Credit Agreement dated September 30, 1998 (the "Credit Agreement"), 
relating to a revolving credit facility (the "Credit Facility") in the principal
amount of $90,000,000.00 made available to the Borrower by the Banks; and

        WHEREAS, the Guarantors are subsidiaries of the Borrower and deem it 
to be to the Guarantors' financial benefit that the Banks make the Credit 
Facility available to the Borrower; and

        NOW, THEREFORE, as an essential inducement to the Banks and the 
Agents to make the Credit Facility available to the Borrower pursuant to the 
terms of the Credit Agreement, and as a consideration for so doing, the 
Guarantors hereby agree with the Banks and the Agents, and with each holder 
of the Note evidencing the Credit Facility and each holder of any interest in 
the Note (each holder of the Note and each holder of any interest therein 
being hereinafter collectively and individually called the "Holder"), as 
follows:

        1.  DEFINITIONS  As used herein, the following terms shall have the 
following meanings:

        (a)  "INDEBTEDNESS" shall mean (i) all sums due and payable under the 
Note, including, without limitation, principal, interest, fees and charges 
thereunder; and (ii) any and all other indebtedness or liability of the 
Borrower to the Banks and/or the Agents under or arising out of the Credit 
Facility or the Loan Documents, including, as to (i) and (ii) above, any 
extension, renewal, reduction, compromise, indulgence, variation or 
modification thereof.

        (b)  "OBLIGATIONS" shall mean each and every agreement, covenant and 
condition to be observed or performed by the Borrower under the Loan 
Documents.

        (c)  "EXPENSES" shall mean all costs and expenses, including, but not 
limited to, attorneys' fees, incurred in connection with the enforcement by 
the Banks and the Agents of its rights against 

<PAGE>

the Borrower under the Loan Documents and against the Guarantors hereunder, 
following any default in the due and punctual payment of the Indebtedness, or 
observance and performance of the Obligations, by the Borrower.

        2.  INDEBTEDNESS AND OBLIGATIONS GUARANTEED.  The Guarantors hereby 
jointly and severally, absolutely, irrevocably and unconditionally guarantee 
the payment of the Indebtedness and the observance and performance of the 
Obligations.  In connection therewith, the Guarantors will pay to the Banks 
and the Agents, on demand, all of the Expenses, and will indemnify and hold 
the Banks and the Agents harmless from and against any loss, cost, liability 
or expense which the Banks and/or the Agents may sustain or incur by reason 
of the failure of the Borrower to pay all of the Indebtedness or to observe 
and perform all of the Obligations.

        3.  UNCONDITIONAL AND ABSOLUTE PAYMENT GUARANTY.  This is an 
unconditional and absolute guaranty of payment and not merely a guaranty of 
collection, and if for any reason, any Indebtedness shall not be paid when 
and as due and payable, or any Obligation shall not be observed or performed 
when the same is required to be observed or performed, the Guarantors 
undertake promptly to pay all such Indebtedness, and to observe and perform, 
or to cause the appropriate party to observe and perform, each of such 
Obligations, regardless of any defense or setoff or counterclaim which the 
Borrower may have or assert, and regardless of whether or not any Holder or 
anyone on behalf of any Holder shall have instituted any suit, action or 
proceeding or exhausted its remedies or taken any steps to enforce any rights 
against any of such parties or any other person to collect all or part of any 
such amounts, or to compel any such performance, either pursuant to the Loan 
Documents, or at law or in equity, and regardless of any other condition or 
contingency.

        4.  WAIVER.  The Guarantors hereby unconditionally waive any and all 
statutory and common law suretyship defenses that now or hereafter may be 
available to the Guarantors, including, without limitation (a) any 
requirement that any Holder in the event of any default by the Borrower first 
make demand upon, or seek to enforce remedies against, the Borrower or any 
other guarantor or any security or collateral held by the Banks or the Agents 
at any time, or to pursue any other remedy in its power, before being 
entitled to payment from the Guarantors of the amounts payable by the 
Guarantors hereunder, or before proceeding against the Guarantors; (b) the 
defense of the statute of limitations in any action hereunder or for the 
collection of any Indebtedness or the performance of any Obligation; (c) any 
defense that may arise by reason of (i) the incapacity, lack of authority, 
death or disability of the Borrower, any Guarantor or any other person or 
entity, (ii) the revocation or repudiation of this Guaranty by the 
Guarantors, or the revocation or repudiation of any of the Loan Documents by 
the Borrower or any other person or entity, (iii) the failure of the Banks or 
the Agents to file or enforce a claim against the estate (either in 
administration, bankruptcy or any other proceeding) of the Borrower or any 
other person or entity, (iv) the unenforceability in whole or in part of the 
Loan Documents or any other document, instrument, or agreement referred to 
therein, or any limitation on the liability of the Borrower thereunder, or 
any limitation on the method or terms of payment thereunder, which may now or 
hereafter be caused or imposed in any manner whatsoever, (v) the election by 
the Banks and the Agents, in any proceeding instituted under the federal 
Bankruptcy Code, of the application of Section 1111(b)(2) of the federal 
Bankruptcy Code, or (vi) any borrowing or grant of a security interest under 
Section 364 of the federal Bankruptcy Code; (d) diligence, presentment, 
demand for payment, protest, notice of discharge, notice of 


                                       2

<PAGE>

acceptance of this Guaranty, and indulgences and notices of any other kind 
whatsoever; (e) any defense based upon an election of remedies (including, if 
available, an election to proceed by non-judicial foreclosure) by the Banks 
and the Agents which destroys or otherwise impairs any subrogation rights of 
the Guarantors or the right of the Guarantors to proceed against the Borrower 
for reimbursement, or both; (f) any defense based upon any taking, 
modification or release of any collateral or guaranties for the Indebtedness 
of the Borrower to the Banks and the Agents, or any failure to perfect any 
security interest in, or the taking of any other action or the failure to 
take any other action with respect to any collateral securing payment of the 
Indebtedness or performance of the Obligations; (g) any rights or defenses 
based upon an offset by the Guarantors against any obligation now or 
hereafter owed to the Guarantors by the Borrower; or (h) any right of 
appraisement with regard to the value of any collateral which the Banks may 
apply as a credit to the obligations of the Borrower, through foreclosure or 
otherwise, and agrees that the determination by an independent appraiser 
appointed by the Banks or the Agents of the value of such collateral shall be 
binding upon the Guarantors for all purposes; it being the intention hereof 
that the Guarantors shall remain fully liable, as principal, until the full 
payment of the Indebtedness, full performance of all the Obligations, and 
termination of the obligations of the Banks and the Agents under the Loan 
Documents, notwithstanding any act, omission or thing which might otherwise 
operate as a legal or equitable discharge of the Guarantors.

        5.  NO RELEASE OF GUARANTY.  The obligations, covenants, agreements 
and duties of the Guarantors under this Guaranty shall not be released, 
affected, stayed or impaired, except upon the express written consent of the 
Banks and the Agents, by (a) any assignment, indorsement or transfer, in 
whole or in part, of the Note, although made without notice to or the consent 
of the Guarantors; or (b) any alteration, compromise, modification, 
acceleration, extension or change to or of the time or manner of payment of 
any of the Indebtedness, or the performance or observance of any of the 
Obligations; or (c) any increase or reduction in the rate of interest or 
amount of principal payable on the Note, or any other Indebtedness; or (d) the 
voluntary or involuntary liquidation, sale or other disposition of all or 
substantially all of the assets of the Borrower or the Guarantors; or (e) any 
receivership, insolvency, bankruptcy, reorganization, dissolution or other 
similar proceedings, affecting the Borrower or the Guarantors or any of their 
assets; or (f) any release of any property from the lien and security 
interest created by any of the Loan Documents, the subordination of any such 
lien or security interest, or the acceptance of additional or substitute 
property as security under the Loan Documents; or (g) the release or 
discharge of the Borrower from the observance or performance of any 
agreement, covenant, term or condition contained in the Loan Documents; or 
(h) the foreclosure of any lien or security interest on any property securing 
repayment of the Indebtedness, or the acceptance of a deed or assignment of 
any such property in lieu of foreclosure; or (i) any action which the Holder 
may take or omit to take by virtue of the Loan Documents or through any 
course of dealing with the Borrower; or (j) the release of any existing 
guarantor or the addition of a new guarantor; or (k) the operation of law or 
any other cause, whether similar or dissimilar to the foregoing.

        6.  WAIVER OF SUBROGATION.  The Guarantors hereby waive, release and 
discharge any claim or right the Guarantors may have to be subrogated to the 
rights of the Holder following payment of the Indebtedness and performance of 
the Obligations.  This waiver, release and discharge shall 


                                       3

<PAGE>

continue even after the Indebtedness has been paid in full, the Obligations 
performed, and the obligations of the Banks and the Agents under the Loan 
Documents terminated.

        7.  SUBORDINATION OF INDEBTEDNESS.  Any indebtedness of the Borrower 
now or hereafter held by any Guarantor is hereby subordinated to the 
Indebtedness of the Borrower to the Holder; and, upon the request of the 
Holder, such indebtedness of the Borrower to the Guarantors shall be 
collected, enforced and received by the Guarantors as trustee for the Holder 
and shall be paid over to the Holder on account of the Indebtedness of the 
Borrower to the Holder without reducing or affecting in any manner the 
liability of the Guarantors under the other provisions of this Guaranty.

        8.  CLAIMS IN BANKRUPTCY.  The Guarantors will file all claims 
against the Borrower in any bankruptcy or other proceeding in which the 
filing of claims is required or permitted by law upon any indebtedness of the 
Borrower to any Guarantor or claim against the Borrower by any Guarantor, and 
the Guarantors hereby assign to the Banks and the Agents all rights of the 
Guarantors thereunder.  If the Guarantor does not file any such claim, the 
Banks and the Agents, as attorney-in-fact for such Guarantor, is hereby 
authorized to do so in the name of the Guarantor or, in the discretion of the 
Banks and the Agents, to assign the claim and to cause proof of claim to be 
filed in the name of the nominee of the Banks and the Agents.  The Banks, the 
Agents or their nominee shall have the sole right to accept or reject any 
plan proposed in such proceeding and to take any other action which a party 
filing a claim is entitled to take.  In all such cases, whether in 
administration, bankruptcy or otherwise, the person or persons authorized to 
pay such claim shall pay to the Banks and the Agents the full amount payable 
on such claim up to the amounts due under this Guaranty, and, to the full 
extent necessary for that purpose, the Guarantors hereby assign to the Banks 
and the Agents all of the Guarantors' rights to any such payments or 
distributions to which the Guarantors would otherwise be entitled; provided, 
however, that the Guarantors' obligations hereunder shall not be satisfied 
except to the extent that the Banks and the Agents receive cash by reason of 
any such payment or distribution.  If the Banks and the Agents receive 
anything hereunder other than cash, the same shall be held as collateral for 
the payment of all amounts due under this Guaranty.

        9.  FINANCIAL CAPACITY.

        (a)  The Guarantors hereby agree, as a material inducement to the 
Banks and the Agents to enter into the Second Amendment, to furnish to the 
Banks and the Agents such financial statements, reports and information as 
required by Sections 6.01 and 6.02 of the Credit Agreement.  The Banks and 
the Agents agree to keep confidential all of the financial information which 
it receives in connection herewith, except that such information may be 
provided to any assignee as provided in Section 17 hereof.

        (b)  The Guarantors will promptly notify each Bank through the 
Administrative Agent of the commencement of, or any material development in, 
any litigation or proceeding affecting any Guarantor which, if adversely 
determined, would reasonably be expected to have a Material Adverse Effect 
(as defined in the Credit Agreement); or in which the relief sought is an 
injunction or other stay of the performance of this Guaranty.  Such notice 
shall be accompanied by a written statement by the chief executive officer, 
the president or the chief financial officer of such Guarantor, or any 


                                       4

<PAGE>

other officer having substantially the same authority and responsibility, 
setting forth details of the occurrence referred to therein, and stating what 
action the Guarantors propose to take with respect thereto and at what time.

        10.  CONDITION OF BORROWER.  The Guarantors are fully aware of the 
financial condition of the Borrower and are executing and delivering this 
Guaranty based solely upon the Guarantors' own independent investigation of 
all matters pertinent hereto, and are not relying in any manner upon any 
representation or statement of the Banks or the Agents.  The Guarantors 
represent and warrant that the Guarantors are in a position to obtain and the 
Guarantors hereby assume full responsibility for obtaining, any additional 
information concerning the Borrower's financial condition and any other 
matter pertinent hereto as the Guarantors may desire, and the Guarantors are 
not relying upon or expecting the Banks or the Agents to furnish to the 
Guarantors any information now or hereafter in the possession of the Banks or 
the Agents concerning the same or any other matter.  By executing this 
Guaranty, the Guarantors knowingly acknowledge and accept the full range of 
risks encompassed within a contract of this type.  The Guarantors shall have 
no right to require the Banks or the Agents to obtain or disclose any 
information with respect to the Indebtedness or the Obligations, the 
financial condition or character of the Borrower, the Borrower's ability to 
pay the Indebtedness or perform the Obligations, the existence of any 
collateral or security for any or all of the Indebtedness or the Obligations, 
the existence or non-existence of any other guaranties of all or any part of 
the Indebtedness or the Obligations, or any action or non-action on the part 
of the Banks, the Agents, the Borrower, or any other person, or any other 
matter, fact or occurrence whatsoever.

        11.  REPRESENTATIONS AND WARRANTIES.  Each of the Guarantors represents 
and warrants to the Banks and the Agents that:

        (a)  TAX RETURNS AND PAYMENTS.  All material tax returns and reports 
of each Guarantor required by law to be filed have been duly filed, and all 
taxes, assessments, contributions, fees and other governmental charges the 
liability for which could exceed $100,000 (other than those currently payable 
without penalty or interest and those currently being contested in good 
faith) upon any Guarantor or upon any Guarantor's properties, assets or 
income which are due and payable have been paid.

        (b)  LITIGATION.  There is, to the knowledge of the Guarantors, no 
action, suit, proceeding or investigation pending at law or in equity or 
before any Governmental Authority (as defined in the Credit Agreement), or 
threatened against or affecting any Guarantor, an adverse ruling in which 
would or might materially impair the ability of the Guarantors to observe and 
perform the Guarantors' obligations under this Guaranty or have a material 
adverse effect upon the legality, validity, binding effect or enforceability 
of this Guaranty.

        (c)  COMPLIANCE WITH OTHER INSTRUMENTS; NONE BURDENSOME.  To the best 
of their knowledge, no Guarantor is in violation of or in default with 
respect to any provision of any mortgage, indenture, contract, agreement or 
instrument applicable to such Guarantor, or by which such Guarantor is bound, 
and there is no provision of any mortgage, indenture, contract, agreement or 
instrument applicable to any Guarantor or by which any Guarantor is bound 
which materially adversely affects, or in the future (so far as the 
Guarantors can now foresee) will materially adversely affect, the 


                                       5

<PAGE>

business or prospects or condition (financial or other) of any Guarantor or 
of any Guarantor's properties or assets.

        (d)  FINANCIAL STATEMENTS.  Any financial statements heretofore 
delivered to the Banks and the Agents by the Guarantors are true and correct 
in all respects, and fairly represent the respective financial conditions of 
the subjects thereof as of the respective dates thereof; and no materially 
adverse change has occurred in the financial conditions reflected therein 
since the respective dates thereof.

        12.  BANKRUPTCY.  Until all Indebtedness has been paid to the Banks 
and the Agents, all Obligations have been performed, and the obligations of 
the Banks and the Agents under the Loan Documents have been terminated, the 
Guarantors shall not, without the prior written consent of the Banks and the 
Agents, commence or join with any other person in commencing any bankruptcy, 
reorganization or insolvency proceedings of or against the Borrower.  The 
obligations of the Guarantors under this Guaranty shall not be altered, 
limited or affected by any proceeding, voluntary or involuntary, involving 
the bankruptcy, insolvency, receivership, reorganization, liquidation or 
arrangement of the Borrower or by any defense which the Borrower may have by 
reason of the order, decree or decision of any court or administrative body 
resulting from any such proceeding.  The Guarantors acknowledge and agree 
that any interest on the Indebtedness which accrues after the commencement of 
any such proceeding (or, if interest on any portion of the Indebtedness 
ceases to accrue by operation of law by reason of the commencement of said 
proceeding, such interest as would have accrued on any such portion of the 
Indebtedness if said proceeding had not been commenced) shall be included in 
the Indebtedness, since it is the intention of the parties that the amount of 
the Indebtedness which is guaranteed by the Guarantors pursuant to this 
Guaranty should be determined without regard to any rule of law or order 
which may relieve the Borrower of any portion of such Indebtedness.  The 
Guarantors will permit any trustee in bankruptcy, receiver, debtor in 
possession, assignee for the benefit of creditors or similar person to pay 
the Banks and the Agents, or allow the claim of the Banks and the Agents in 
respect of, any such interest accruing after the date on which such 
proceeding is commenced.  In the event that all or any portion of the 
Indebtedness is paid or all or any part of the Obligations are performed by 
the Borrower, the obligations of the Guarantors hereunder shall continue and 
remain in full force and effect in the event that all or any part of such 
payment or performance is avoided or recovered directly or indirectly from 
the Banks or the Agents as a preference, fraudulent transfer or otherwise in 
such proceeding.

        13.  REMEDIES CUMULATIVE.  The liability of the Guarantors, and all 
rights, powers and remedies of the Banks and the Agents hereunder and under 
any other agreement now or at any time hereafter in force between the Banks, 
the Agents and the Guarantors relating to the Indebtedness or the 
Obligations, shall be cumulative and not exclusive or alternative, and such 
rights, powers and remedies shall be in addition to all other rights, powers 
and remedies given to the Banks and the Agents by law.

        14.  AMENDMENTS; CONTINUING LIABILITY.  The terms of this Guaranty 
may not be modified or amended except by a written agreement executed by the 
Guarantors with the consent in writing of the Holder.  The obligations of the 
Guarantors under this Guaranty shall be continuing obligations and a separate 
cause of action shall be deemed to arise in respect of each default 
hereunder.  The 


                                       6

<PAGE>

Guarantors will from time to time deliver, upon request of the Holder, 
satisfactory acknowledgments of the Guarantors' continued liability hereunder.

        15.  MERGER OR CONSOLIDATION OF GUARANTORS.  No Guarantor will 
consolidate or merge with or into another corporation, person or entity, 
whether or not affiliated with such Guarantor without the written consent of 
the Holder (which consent shall not be unreasonably withheld).  No 
consolidation or merger (with or without the consent of the Holder) shall 
release, affect or impair the continuing liability and obligation of the 
Guarantors under this Guaranty.

        16.  NOTICES.  Any notice or demand to be given or served hereunder 
shall be in writing and personally delivered, or sent by registered or 
certified mail addressed as follows:

        To the Banks and
        the Agents at: 999 Bishop Street
                              Honolulu, Hawaii 96813
                              Attention: Commercial Real Estate Division

        To Guarantors at:     828 Fort Street Mall, 4th Floor
                              Honolulu, Hawaii  96813

Any such address may be changed from time to time by the addressee by serving 
notice to the other party as above provided.  Service of such notice or 
demand shall be deemed complete on the date of actual delivery or at the 
expiration of the second day after the date of mailing if mailed in Hawaii, 
whichever is earlier.

        The Guarantors hereby irrevocably authorize the Agents to accept 
facsimile ("FAX") transmissions of such notices, requests, demands and 
documents, provided such transmission is signed by an officer of any 
Guarantor.  The Guarantors shall and do hereby hold the Agents harmless from, 
and indemnify the Agents against, any loss, cost, expense, claim or demand 
which may be incurred by or asserted against the Agents by virtue of the 
Agents acting upon any such notices, requests, demands or documents 
transmitted in accordance with the above provisions.  Any such FAX 
transmission shall, at the Agents' request, be separately confirmed by 
telephone conference between the Agents and the authorized officer described 
above, and shall be followed by transmission of the actual "hard copy" of the 
notice, request, demand or document in question.

        17.  PARTIES IN INTEREST.  All covenants, agreements, terms and 
conditions contained in this Guaranty shall be binding on the Guarantors and 
the Guarantors' respective successors, successors in trust and assigns, and 
shall bind, inure to the benefit of and be enforceable by the Holder from 
time to time.  This Guaranty is assignable by the Banks and the Agents with 
respect to all or any portion of the Indebtedness or the Obligations without 
notice to or consent of the Guarantor, and when so assigned, the Guarantors 
shall be liable to the assignee as to any such portion, without in any manner 
affecting the liability of the Guarantors with respect to any of the 
Indebtedness or Obligations retained by the Banks or the Agents.


                                       7

<PAGE>

        18.  GOVERNING LAW; CHOICE OF FORUM; SERVICE OF PROCESS.  This 
Guaranty shall be construed and interpreted in accordance with and shall be 
governed by the laws of the State of Hawaii.  The Banks and the Agents may 
bring any action or proceeding to enforce this Guaranty, or any action or 
proceeding arising out of this Guaranty, in any court or courts of the State 
of Hawaii or the United States District Court for the District of Hawaii.  If 
the Banks and the Agents commence such an action in a court located in the 
State of Hawaii, or the United States District Court for the District of 
Hawaii, the Guarantors hereby agree that the Guarantors will submit and does 
hereby irrevocably submit to the personal jurisdiction of such courts; if 
served by mail will acknowledge receipt of a copy of the summons and 
complaint within the statutory time limit and in the manner set forth on the 
notice and summons; and will not attempt to have such action dismissed, 
abated, or transferred on the ground of FORUM NON CONVENIENS or similar 
grounds; provided, however, that nothing contained herein shall prohibit the 
Guarantors from seeking, by appropriate motion, to remove an action brought 
in a Hawaii state court to the United States District Court for the District 
of Hawaii. If such action is so removed, however, the Guarantors shall not 
seek to transfer such action to any other district nor shall the Guarantors 
seek to transfer to any other district any action which the Banks and the 
Agents originally commenced in the United States District Court for the 
District of Hawaii.  Any action or proceeding brought by the Guarantors 
arising out of this Guaranty shall be brought solely in a court of competent 
jurisdiction located in the State of Hawaii or in the United States District 
Court for the District of Hawaii.

        19.  PARAGRAPH HEADINGS.  The headings of paragraphs herein are 
inserted only for convenience and shall in no way define, describe or limit 
the scope or intent of any provision of the Guaranty.

        20.  LIABILITY JOINT AND SEVERAL.  The obligations of each Guarantor 
hereunder shall be joint and several.

        21.  COUNTERPARTS.  This Guaranty may be executed in two or more 
counterparts, each of which shall be deemed an original, but all of which 
shall constitute one and the same instrument, and in making proof of this 
Guaranty, it shall not be necessary to produce or account for more than one 
such counterpart.

        IN WITNESS WHEREOF, the Guarantors have executed this instrument as 
of September 30, 1998.


                                       SCHULER HOMES OF CALIFORNIA, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       SCHULER HOMES OF OREGON, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       8

<PAGE>

                                       SCHULER HOMES OF WASHINGTON, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       MELODY HOMES, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       SCHULER REALTY/MAUI, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       SCHULER REALTY/OAHU, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       LOKELANI CONSTRUCTION CORPORATION

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       MELODY MORTGAGE CO.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       SHLR OF WASHINGTON, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance




                                       9

<PAGE>

                                       SHLR OF COLORADO, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       SHLR OF UTAH, INC.

                                       By /s/ Douglas M. Tonokawa
                                          -------------------------------
                                          Name: Douglas M. Tonokawa
                                          Title: VP Finance


                                       10