Document:

<PAGE>
                                                                    EXHIBIT 10.4

                          PURCHASE AND SALE AGREEMENT

                                 BY AND BETWEEN

                             KIRCO ACQUISITION LLC,
                                  AS PURCHASER

                                      AND

                       MEADOWBROOK INSURANCE GROUP, INC.,
                                   AS SELLER

<PAGE>

                                TABLE OF CONTENTS
                                                                     PAGE NO.

1.     AGREEMENT TO SELL AND PURCHASE..................................1

2.     CONSIDERATION...................................................1

3.     EARNEST MONEY...................................................2

4.     SELLER'S REPRESENTATIONS AND WARRANTIES.........................2

5.     LIMITATIONS ON SELLER'S REPRESENTATIONS AND WARRANTIES..........3

6.     TITLE EVIDENCE..................................................4

7.     ACTIONS PRIOR TO CLOSING/DUE DILIGENCE..........................4

8.     CLOSING.........................................................6

9.     PRORATIONS, ADJUSTMENTS AND EXPENSES............................7

10.    OPERATION AND MAINTENANCE OF THE PROPERTY.......................8

11.    CASUALTY LOSS...................................................8

12.    CONDEMNATION....................................................8

13.    FAILURE TO CLOSE; DEFAULT.......................................9

14.    NOTICES.........................................................10

15.    BROKERS.........................................................11

16.    ASSIGNMENT......................................................11

17.    BINDING EFFECT..................................................11

18.    ENTIRE AGREEMENT................................................11

19.    GOVERNING LAW...................................................11

20.    TIME............................................................11

21.    CONSTRUCTION....................................................11

22.    SEVERABILITY....................................................12

23.    PARAGRAPH HEADINGS..............................................12

24.    COUNTERPARTS....................................................12

<PAGE>

EXHIBIT A DESCRIPTION OF TOTAL DEVELOPMENT PARCEL......................1

EXHIBIT B DESCRIPTION OF PROPERTY......................................1

EXHIBIT C LAND CONTRACT FORM...........................................1

EXHIBIT D APPROVED SITE PLAN...........................................1

EXHIBIT E SUMMARY OF TERMS OF RECIPROCAL EASEMENT AGREEMENT ...........1

                                       ii

<PAGE>

                           PURCHASE AND SALE AGREEMENT

         THIS PURCHASE AND SALE AGREEMENT (the "Agreement") is entered into as
of this 4th day of December, 2003 (the "Effective Date"), by and between Kirco
Acquisition LLC, a Michigan limited liability company ("Purchaser"), and
Meadowbrook Insurance Group, Inc., a Michigan corporation ("Seller").

                                   WITNESSETH:

         WHEREAS, Seller is the owner of the real property, containing
approximately nine (9) acres of land, located in the American Commerce Center in
the City of Southfield, Oakland County, Michigan (the "Total Development
Parcel"), all as legally described in EXHIBIT A attached hereto and made a part
hereof.

         WHEREAS, Seller proposes to construct an office building on a portion
of the Total Development Parcel and to sell a portion to Purchaser. The portion
to be sold to Purchaser comprises approximately 4.5 acres including a portion of
land now owned by the City of Southfield which is expected to be conveyed as
part of the City Transactions (defined below), together with all rights,
privileges and appurtenances pertaining thereto, including, but not limited to,
all right, title and interest of Seller in and to all easements and
rights-of-way and all improvements situated thereon and further including, but
not limited to, all rights, privileges and easements of, appurtenant to and for
the benefit thereof are herein referred to as the "Property", a legal
description of which is attached hereto as EXHIBIT B.

         WHEREAS, Purchaser desires to acquire the Property, pursuant to the
terms and conditions hereinafter set forth herein for the purpose of
constructing an office building on the Property.

         WHEREAS, the parties have agreed to construct their respective office
buildings pursuant to a jointly agreed site plan and harmonious architectural
plans, including a four-story connector building connecting their two proposed
office buildings (the "Connector"). The parties have agreed upon a site plan and
architectural plans and elevations prepared by Rossetti and Associates, Job No.
   ("Rossetti Plans"). Seller's building and the Connector are now under
construction pursuant to a Development Agreement dated December 3, 2003, between
Seller and Kirco Development LLC (the "Development Agreement"). At such time as
Purchaser shall determine, Purchaser will construct a building materially in
conformity with the Rossetti Plans.

         NOW, THEREFORE, in consideration of the mutual undertakings hereinafter
set forth and other good and valuable consideration, the receipt and sufficiency
of which are hereby expressly acknowledged, the parties hereto agree as follows:

         1. Agreement to Sell and Purchase. Subject to the terms and conditions
contained herein, Seller hereby agrees to transfer and convey to Purchaser, and
Purchaser agrees to accept from Seller all right, title and interest to the
Property on the terms set forth herein.

         2. Consideration. Purchaser shall pay to Seller the sum ("Purchase
Price") of [TO BE DETERMINED DURING THE DILIGENCE PERIOD BASED ON (i) $10.75 PER
SQUARE FOOT OF LAND

                                       1

<PAGE>

COMPRISING THE PROPERTY, INCLUDING PARKING, DRIVEWAYS, SET BACK AREAS, BUILDING
ENVELOPE AND A SHARE OF THE CONNECTOR FOOTPRINT, PLUS (ii) ONE MILLION TWO
HUNDRED THIRTY-NINE THOUSAND THREE HUNDRED TEN DOLLARS ($1,239,310) AS
PURCHASER'S SHARE OF THE COST OF CONSTRUCTING THE CONNECTOR.] Purchaser's share
of the Connector footprint shall be in proportion to the square leasable square
footage of the two buildings to be constructed on the Total Development Parcel.

                   (a) At Closing (hereafter defined), Purchaser shall pay
         Seller twenty percent (20%) of the Purchaser Price.

                   (b) The balance of the Purchase Price will be payable
         pursuant to the terms of a land contract to be delivered to Seller by
         Purchaser at the Closing (the "Land Contract"). The Land Contract will
         provide for interest to accrue on the unpaid principal balance at:

                           (i)   The rate of seven percent (7%) per annum.

                           (ii)  The Land Contract will mature in thirty-six
                                 (36) months from the date of its execution.

                           (iii) Interest only shall be payable during the term
                                 of the Land Contract in monthly installments.
                                 The principal balance of the Land Contract will
                                 be payable in a single lump-sum payment, which
                                 will be due and payable three (3) years after
                                 the date of execution of the Land Contract. The
                                 unpaid principal balance of the Land Contract
                                 may be prepaid at any time, without penalty or
                                 premium. However, the Land Contract will
                                 provide that Purchaser must prepay the unpaid
                                 balance prior to commencing any construction of
                                 improvements. The Land Contract will be in the
                                 form attached hereto as EXHIBIT C.

p         3. Earnest Money. Upon full execution and delivery of this Agreement,
Seller and Purchaser shall open an escrow ("Escrow") with Philip R. Seaver Title
Company, 42651 Woodward Avenue, Bloomfield Hills, Michigan ("Escrow Agent")
pursuant to a standard title company escrow agreement (the "Escrow Agreement").
Purchaser shall deposit with the Escrow Agent the sum of One and no/100 Dollars
($1.00) no later than three (3) days following the Effective Date. On or before
the end of the Diligence Period, Purchaser shall deposit with the Escrow Agent
the sum of Fifty Thousand and no/100 Dollars ($50,000.00) ("Earnest Money). The
Earnest Money shall be held in an interest bearing account with the Escrow
Agent. All interest on the Earnest Money shall accrue to the benefit of
Purchaser, unless the Earnest Money is forfeited to Seller as provided in
PARAGRAPH 13(c) hereof. If the transaction contemplated by this Agreement closes
in accordance with the terms hereof, the Earnest Money and all accrued and
unpaid interest thereon shall be applied against the cash portion of the
Purchase Price. In the event this Agreement is not so terminated, and the
transaction does not close, the provisions of PARAGRAPH 13 hereof shall govern
the disposition of the Earnest Money.

         4. Seller's Representations and Warranties. Seller hereby represents
and warrants to Purchaser as follows:

                                       2
<PAGE>
         (a) Seller is the legal fee simple titleholder of the Property subject
to matters of record and matters that would be disclosed by a survey or visual
inspection of the property.

         (b) Neither the terms of this Agreement nor anything provided to be
done hereunder, including, but not limited to, the conveyance and transfer of
the Property, will violate any contract, agreement or instrument to which Seller
is a party or which affects the Property.

         (c) To Seller's best knowledge, there is no threatened or pending
litigation or proceeding, including, but not limited to, proceedings involving
any building code proceedings, condemnation proceedings or proceedings alleging
the violation of any environmental, health or safety law, rule or regulation,
pending or threatened, by third parties which affects or may affect the
Property.

         (d) The execution and delivery of this Agreement by the signatories
hereto on behalf of Seller, and the performance of this Agreement by Seller,
have been duly authorized.

5. Limitations in Seller's Warranties and Representations.

         (a) Seller makes no representation or warranty whatsoever with respect
to the environmental condition of the Property, except that Seller (i) has
delivered all environmental reports in Seller's possession which relate to the
Property, (ii) shall deliver copies of any and all notices Seller has received
from any governmental or regulatory authority relating to the Property, and
(iii) has no knowledge of any environmental conditions, which are not disclosed
in those reports.

         (b) With the exception of the representations and warranties expressly
contained herein and the conditions to closing also expressly contained herein,
Purchaser agrees to accept the Property "as-is, where-is", without any warranty
of habitability, fitness for a particular purpose or other such warranty. As
used herein, knowledge of Seller shall mean the actual knowledge of Douglas
Young, of Meadowbrook Insurance Group, Inc., whom the Seller represents, acting
in good faith, is the officer of Seller most likely to have such knowledge, and
all knowledge attributable to property level personnel whom Seller represents,
in good faith, are the people most likely to have such knowledge.

         (c) If any event shall occur after the Effective Date, and before the
Closing Date, which is not caused by Seller, or, if after the Effective Date and
before the Closing Date, Seller learns that information in Seller's possession
was not disclosed to Purchaser ("Changed Circumstance"), which in either event
renders untrue any such representation or warranty of Seller hereunder, it shall
not constitute a breach by Seller of such representation or warranty, and
Seller's reaffirmation of such representation or warranty at Closing may be
qualified by such Changed Circumstance. If Seller shall obtain knowledge of any
Changed Circumstance, Seller shall provide notice thereof to Purchaser within a
reasonable period of time. In the event Purchaser receives actual notice of any
material Changed Circumstance, whether from Seller or any other source,
including its

                                       3
<PAGE>

own investigations, then Purchaser shall have the right to terminate this
Agreement, in which event both parties shall be relieved from any further
obligation under this Agreement, and the Deposit shall be returned to Purchaser.

         (d) Any claims made regarding the representations and warranties shall
be made in writing within six (6) months following Closing and shall thereafter
expire and be of no force or effect.

6. Title Evidence.

         (a) Seller shall, as soon as possible after executing this Agreement,
order a current commitment (the "Title Commitment") for an owner's title
insurance policy on the Property in the amount of the Purchase Price issued by
Philip R. Seaver Title Company ("Title Company"), together with Seller's
existing survey of the Property and copies of all documents giving rise to the
exceptions raised in the Title Commitment. Within thirty (30) days (the "Title
Inspection Period") after actual receipt of the Title Commitment, Purchaser
shall- notify Seller of Purchaser's objections to the state of facts disclosed
by the Title Commitment and survey. Seller shall have five (5) days after
receipt of Purchaser's objection to remedy the title or to obtain title
insurance as Purchaser requires; or if Seller fails to remedy the title within
the specified time, then by notice given in writing within ten (10) days,
Purchaser may (i) elect to waive its objections and proceed toward Closing, or
(ii) to terminate this Agreement and receive the Deposit in full. Any mortgage
or lien shall be discharged as to the Property upon Purchaser's payment in full
of the Land Contract, and Purchaser shall not be required to object to the same.

         (b) Seller shall, within five (5) business days of the Effective Date,
deliver to Purchaser a survey (the "Survey") of the Property. At Purchaser's
sole cost and expense, Purchaser may have the Survey updated to a date after the
date of this Agreement.

7. Actions Prior to Closing/Due Diligence/Conditions.

         (a) Prior to the signing of this Agreement, Seller has furnished
Purchaser with true copies of all reports and other documents in its possession
to assist Purchaser in its review of the Property. Purchaser shall have until
the forty-fifth (45th) day following the Effective Date (the "Diligence Period")
to perform its due diligence, including, without limitation:

                  (i) Purchaser's physical inspection of the Property including
         its review of any soils reports and environmental reports, and
         Purchaser's review of zoning, utility availability, survey and any such
         other due diligence it as Purchaser deems necessary to complete its
         review of the Property.

                  (ii) Purchaser's review of the Title Commitment and Survey as
         set forth above.

         (b) Purchaser shall indemnify, defend and hold harmless Seller from any
condition, liability, damages, costs, losses and expenses of every kind or
nature arising

                                       4
<PAGE>

from or attributable to the due diligence activities of Purchaser, its officers,
employees, agents, attorneys, accountants, architect, engineer and any other
persons acting on behalf of Purchaser. To the extent that Purchaser or its
agents engage any third party to undertake any investigation of the Property,
including without limitation, any appraisal, environmental audit or assessment,
property condition report or other investigation, Purchaser agrees to use
commercially reasonable efforts to ensure that (i) any written report or other
work product generated by such third parties shall be certified to both
Purchaser and Seller and (ii) Purchaser shall deliver copies of all such reports
or work product to Seller promptly upon receipt.

         (c) If Purchaser gives written notice to Seller on or before the
expiration of the Diligence Period that, in its sole discretion, Purchaser
elects to proceed with this Agreement, PARAGRAPH 13(a) and PARAGRAPH 7(d) of
this Agreement shall govern the rights and obligations of both Seller and
Purchaser hereunder. If Purchaser notifies Seller of its election to proceed as
provided above, the Earnest Money shall become nonrefundable, except in the
event of a material default by Seller hereunder or a material failure of a
condition listed below in PARAGRAPH 7(d). Notwithstanding the foregoing
sentences of this PARAGRAPH 7, in the event the Purchaser fails to notify the
Seller of the Purchaser's election to proceed with this Agreement prior to the
expiration of the Diligence Period, the Earnest Money shall be returned to the
Purchaser and PARAGRAPH 13(a) shall govern as though Purchaser terminated this
Agreement prior to the expiration of the Diligence Period. Purchaser shall
notify Seller by the date of the expiration of the Diligence Period of those
Contracts, if any, which Seller shall assign to Purchaser at the applicable
Closing ("Assigned Contracts") and those Contracts which Seller shall terminate
on or before the Closing (the "Terminated Contracts").

         (d) The obligations of the parties to close shall be subject to the
following conditions precedent. If these conditions are not satisfied or waived
by both parties within forty-five (45) days after the Effective Date, then
either party may terminate this Agreement and Purchaser's deposit shall be
returned; provided, however, notwithstanding the foregoing, if prior to the
expiration of the Diligence Period, the parties have agreed to the terms of an
amendment to the master deed, a reciprocal easement agreement and a legal
description of the Property, but the City of Southfield has not completed the
City Transactions, the parties will proceed to Closing. Following the Closing,
the parties shall be obligated to cooperate in the completion of the City
Transactions.

                  x(i) Seller shall complete its proposed transaction with the
         City of Southfield pursuant to which (A) land adjacent to the Total
         Development Parcel, including the currently existing road to Pebble
         Creek Park, will be conveyed to Seller and become part of the Total
         Development Parcel, and (B) Seller will grant an easement to the City
         of Southfield as a replacement means of access to Pebble Creek Park.
         The added land and proposed access easement are shown in the site plan
         attached hereto as EXHIBIT D. The above-described transactions are
         referred to as the "City Transactions".

                                       5
<PAGE>

                  (ii) The Total Development Parcel will be divided by
         recordation of an amendment to the master deed such that the Property
         will henceforth be taxed as a separate tax parcel and the Property may
         be conveyed to Purchaser.

                  (iii) Seller will obtain an amendment to the master deed
         governing the Total Development Parcel if and to the extent necessary
         to accomplish the site modifications described above. Any applicable
         local parcel division ordinances will be satisfied.

                  (iv) The parties shall agree to the terms of a reciprocal
         easement agreement ("REA") governing the maintenance of certain common
         facilities and establishing certain architectural controls. A summary
         of the terms is attached hereto as Exhibit E.

         (e) Seller has obtained site plan approval for the Total Development
Parcel. The site plan attached hereto as Exhibit D is acceptable to the parties,
but the parties will not unreasonably withhold their consent to changes required
by the City of Southfield or other governing agencies whose approval is required
by law.

     8. Closing. The closing shall occur on the date which is thirty (30) days
following the date on which the conditions described in PARAGRAPH 7(d) have been
waived or satisfied (the "Closing Date"), at the Seller's offices in Southfield,
Michigan (the "Closing"). The Closing shall be accomplished through a customary
closing escrow, the cost of which shall be divided equally between Seller and
Purchaser except as described below.

         (a) Seller shall, at or prior to Closing, at its sole cost and expense,
deliver or cause to be delivered to Purchaser the following:

                  (i) An ALTA Owner's Policy of Title Insurance on the amount of
         the Purchase Price, insuring Purchaser as land contract vendee without
         "standard exceptions" in the full amount of the Purchase Price, subject
         only to easements and restrictions of record, including the REA and any
         matters not objected to or waived by Purchaser pursuant to PARAGRAPH
         7(a)(ii).

                  (ii) The customary title company affidavit executed by Seller
         in favor of the Title Company as needed to obtain title insurance
         without standard exceptions. (iii) A completed IRS Section 1445
         affidavit executed by Seller in favor of Purchaser.

                  (iv) Evidence of Seller's entity existence and due authority
         to sign and deliver the closing documents.

         (b) Purchaser shall, at the Closing, at its sole cost and expense,
deliver or cause to be delivered to Seller the following:

                                       6
<PAGE>

                  (i) Evidence of Purchaser's entity existence and due authority
         to sign and deliver the closing documents.

         (c) Each party shall at the Closing deliver to the other party the
following documents in form and substance reasonably satisfactory to the other
party:

                  (i) The Land Contract and a memorandum of land contract for

                  (ii) The Reciprocal Easement Agreement in the form attached
         hereto as EXHIBIT E, which shall be recorded prior to recording the
         memorandum of land contract.

                  (iii) A Closing statement setting forth the adjustments and
         prorations provided for in this Agreement.

                  (iv) Transfer and transaction tax declarations.

                  (v) The Development Agreement drafted and approved by the
         parties pursuant to PARAGRAPH 7(d).

         (d) Seller shall deliver possession of the Property to Purchaser at
Closing.

     9. Payment, Prorations. Adjustments and Expenses.

         (a) Purchaser shall pay the down payment on the Purchase Price subject
to customary adjustments, including, without limitation, those specifically set
forth herein.

         (b) Prorations shall be determined as follows:

                  (i) General real estate taxes and special assessments (if any)
         payable by Seller shall be prorated on a due date basis as of the
         Closing Date, based on the most recently issued real estate tax bill
         for the Property. Any special assessments for public improvements
         existing on the date of this Agreement shall be paid in full by Seller.
         All other special assessments shall be assumed by Purchaser. If
         separate tax bills for the current year for the two parcels are not
         available, the real estate taxes and special assessments shall be
         allocated between the parcels in proportion to the square footages of
         the parcels, including the parties' respective shares of the connector
         footprint.

                  (ii) Unless provided otherwise hereinabove, such other items
         which are customarily prorated in a purchase and sale of the type
         contemplated hereunder shall be prorated as of the Closing Date.

         (c) Seller shall pay the following expenses:

                  (i) the cost of the title premium for Purchaser's title policy
         (but not including the cost of extended coverage or any endorsements);

                                       7
<PAGE>

                  (ii) one-half (1/2) of the Title Company's customary closing
         charges and fees;

                  (iii) the state transfer taxes required with respect to the
         Land Contract, if any; and

                  (iv) the recording fees for recording any release of lien on
         the Property whose release is required to convey title in the manner
         provided herein.

         (d)     Purchaser shall pay the following expenses:

                  (i)the cost of extended coverage and any endorsements to the
         Title Policy;

                  (ii) and fees; one-half (1/2) of the Title Company's customary
         closing charges

                  (iii) the cost of any new or updated ALTA Survey of the
         Property ordered by Purchaser; and

                  (iv) the recording fees for recording the deed to the
         Purchaser and all fees and charges relating to any mortgage or other
         financing by Purchaser.

         (e) Purchaser shall receive credit for the Deposit and interest, and
the same shall be paid to Seller.

     10. Exchange. Either or both parties shall have the right, at its option,
to structure the purchase of the Property as a part of a like-kind exchange,
pursuant to Section 1031 of the Internal Revenue Code. Each agrees to cooperate
with the other in connection with any such exchange, provided that the same does
not increase the other's costs or delay the closing of the transaction
contemplated under this Agreement.

     11. Casualty Loss. The Property is now and at Closing will be unimproved
except to the extent Seller has commenced grading, underground improvements and
the connector improvements.

     12. Condemnation. In the event all or any portion of the Property is taken
by the exercise of the power of eminent domain (or Seller receives notice of any
threatened condemnation) prior to Closing, Seller shall give Purchaser written
notice of such taking or threatened taking, as the case may be, and Purchaser
may, within twenty (20) business days after receipt of such notice, elect to
terminate this Agreement by delivery of written notice to that effect to Seller,
in which event PARAGRAPH 13(a) of this Agreement shall govern the rights and
obligations of Seller and Purchaser. If Purchaser does not elect to exercise its
option to terminate this Agreement as aforesaid, this Agreement shall remain in
full force and effect and Purchaser shall be entitled to negotiate for, settle
and receive any award relating to such taking, and Seller shall assign to
Purchaser all its rights relating thereto.

                                       8
<PAGE>

     13. Failure to Close, Default. The following provisions shall govern the
rights of the parties in the event the transaction contemplated hereby fails to
close pursuant to the terms hereof

                  (a) In the event either Seller or Purchaser has terminated
         this Agreement pursuant to a right to do so contained in this Agreement
         (including any termination pursuant to PARAGRAPH 7(e) of this
         Agreement) and Purchaser is not in default hereunder beyond any
         applicable notice and cure period (a "Permitted Termination"), this
         Agreement shall be of no further force or effect, neither party hereto
         shall have any further obligation or liability to the other (after
         return of the Earnest Money to Purchaser, if applicable, and the due
         diligence material to Seller). Notwithstanding the foregoing, the
         Earnest Money shall be non-refundable except in the event of Seller's
         default or the failure of an express condition precedent under this
         Agreement.

                  (b) In the event any of the representations and warranties of
         Seller contained herein shall be materially untrue and incorrect, or if
         Seller fails to perform a material obligation under this Agreement in
         accordance with their terms for any reason, except for a Permitted
         Termination or by reason of a default on the part of Purchaser, Seller
         shall be in default under this Agreement, and Purchaser shall be
         entitled to a return of the Earnest Money, together with any and all
         interest earned thereon, as Purchaser's sole and exclusive remedy.

                  (c) In the event Purchaser fails to perform all of its
         material obligations under this Agreement in accordance with their
         terms for any reason, except for a Permitted Termination or by reason
         of a default on the part of Seller, Purchaser shall be in default under
         this Agreement, and Seller shall be entitled to the Earnest Money
         together with any and all interest earned thereon as its sole remedy as
         liquidated damages and not as a penalty. The foregoing limitation on
         remedies shall not in any way affect or limit Purchaser's
         indemnification obligations set forth in PARAGRAPH 7(b) of this
         Agreement.

                  (d) If Seller has failed to deliver the Land Contract for the
         Property to Purchaser at Closing for a reason not attributable to
         Purchaser's fault (excluding the failure of any condition), Purchaser
         shall be entitled to specific performance unless specific performance
         is not available for any reason not attributable to Purchaser's fault,
         or, at Purchaser's election, Seller shall pay to Purchaser liquidated
         damages in an amount equal to Purchaser's out-of-pocket expenses
         evidenced by paid invoices or other reasonable evidence not to exceed
         $25,000. In addition, in the event that Seller fails to convey the
         Property to Purchaser for a reason not attributable to the Purchaser's
         fault, and Purchaser elects to terminate the Agreement for Seller's
         non-performance, the Earnest Money and any sums paid by Purchaser shall
         be returned to the Purchaser.

                  (e) Both Seller and Purchaser acknowledge and agree that the
         foregoing provisions are reasonable in light of the intent of the
         parties and the circumstances surrounding the execution of this
         Agreement, and they hereby expressly agree that their respective rights
         and remedies shall be limited as hereinabove set forth.

                                       9

<PAGE>
         (f) Notwithstanding anything contained herein to the contrary, neither
party shall be deemed to be in default under this Agreement for any failure to
comply with its obligations hereunder, including any failure to close within the
time provided, and this Agreement shall not expire nor shall the aggrieved party
terminate nor take any action to terminate this Agreement, until the
non-performing party has first been given written notice of such default
hereunder and has failed to cure such default within fifteen (15) days after the
non-performing party's receipt of such notice in the event of a payment default,
or within thirty (30) days after the non-performing party's receipt of such
notice in the event of a failure to timely close or any other non-payment
default; provided, if the default is other than a failure to close when required
or to fulfill a monetary obligation such that it cannot be cured within thirty
(30) days, then the non-performing party shall not be in default so long as the
non-performing party commences efforts to cure within thirty (30) days and
thereafter continues to diligently pursue the cure to completion.

           14. Notices. Any notices or consents required or permitted to be
given under the terms of this Agreement shall be deemed delivered when actually
received if personally delivered; upon actual receipt at the addressee's fax
machine (with confirmation of successful transmission) if telecopied; or one (1)
business day after delivery of a copy to a nationally recognized overnight
delivery service which provides a receipt of service (other than an overnight
delivery service offered by the United States Postal Service), addressed to the
respective parties as follows:

                             If to Seller:

                                     Meadowbrook Insurance Group, Inc.
                                     26600 Telegraph Road
                                     Southfield, Michigan 48034-2438
                                     Attn: General Counsel
                                     Fax: (248) 358-1614

                                     with a copy to:

                                     Edward F. Kickham, Esq.
                                     26862 Woodward Avenue, Suite 100
                                     Royal Oak, Michigan 48067-0958
                                     Fax: (248) 414-9906

                             If to Purchaser:

                                     Kirco Acquisition, LLC
                                     Columbia Center - Suite 200
                                     101 West Big Beaver Road
                                     Troy, Michigan 48084-5255
                                     Attn: Clifford D. Aiken
                                           Matthew Kiriluk
                                     Fax: (248)680-7181

                                       10

<PAGE>

                                     with a copy to:

                                     Butzel Long
                                     32270 Telegraph Road
                                     Birmingham, Michigan 48025-2457
                                     Attn: D. Stewart Green
                                     Fax: (248) 258-1439

or to such other party or address as shall be specified by like notice.

         15.  Brokers.  Seller hereby represents and warrants to Purchaser that,
other than GVA Strategis, as Seller's broker, it has not dealt with any broker,
finder or any other similar person in connection with the sale of the Property.
Purchaser hereby represents and warrants to Seller that it has not dealt with
any broker, finder or other similar person in connection with the purchase of
the Property. Seller and Purchaser shall each indemnify the other party from any
claims for commissions or fees which may arise from this transaction as a result
of any breach of the foregoing representations and warranties to include
reimbursement of all costs and fees including legal fees incurred to defend such
claims. Seller shall pay all fees due GVA Strategis.

         16.  Assignment.  Purchaser may not assign this Agreement except to an
entity controlled and substantially owned by Kirco Acquisition or its
principals.

         17.  Binding Effect.  This Agreement and all of the provisions
contained herein shall survive the Closing and be binding upon and inure to the
benefit of the parties hereto and their respective permitted successors and
assigns.

         18.  Entire Agreement.  This Agreement, including the attached
exhibits, embodies the complete agreement of the parties hereto with respect to
the subject matter hereof, and cannot be altered, amended or modified except by
their subsequent written agreement.

         19.  Governing Law.  This Agreement shall be governed by and construed
in accordance with the laws of the State of Michigan.

         20.  Time.  Time is of the essence of this Agreement and each and every
provision hereof. If the performance of any obligation required hereunder or the
last day of any time period determined in accordance with the terms and
provisions of this Agreement is to occur on a Saturday, Sunday or legal holiday
under the laws of the State of Michigan, then the day on which the performance
of any such obligation is to occur or the last day of any such time period, as
the case may be, shall be extended to the next succeeding business day.

         21.  Construction.  This Agreement shall not be construed more strictly
against one party hereto than against the other party merely by virtue of the
fact that it may have been prepared primarily by counsel for one of the parties.
It is understood and recognized that both parties have contributed substantially
and materially to the preparation of this Agreement.

                                       11
<PAGE>

         22.        Severability.    In the event any of the covenants,
agreements, terms or provisions contained in this Agreement shall be invalid,
illegal or unenforceable in any respect, the validity of the remaining
covenants, agreements, terms and provisions contained herein shall not in any
way be affected, prejudiced or disturbed thereby.

         23.      Paragraph Headings.   The paragraph headings contained herein
are for convenience of reference only, and shall not affect in any way the
interpretation of any of the provisions contained herein.

         24.      Counterparts.    This Agreement may be executed in any number
of counterparts (and by facsimile), any or all of which may contain the
signature of only one of the parties, and all of which shall be construed
together as a single instrument.

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the date first above written.

                                     SELLER:

                                     MEADOWBROOK INSURANCE GROUP, INC.,
                                     a Michigan corporation

                                     By: /s/ Merton J. Segal
                                        ---------------------------------

                                       Name: Merton J. Segal
                                            -----------------------------

                                       Its:  Chairman
                                            -----------------------------

                                     PURCHASER:

                                     KIRCO ACQUISITION LLC, a Michigan limited
                                     liability company

                                     By: /s/ A. Mathew Kiriluk II
                                        ---------------------------------

                                       Name: A. Mathew Kiriluk II
                                             ----------------------------

                                       Its:  President
                                             ----------------------------

                                       12

<PAGE>

                                    EXHIBIT A
                    DESCRIPTION OF TOTAL DEVELOPMENT PARCEL

Unit 3, American Commerce Centre, according to the recorded Master Deed recorded
in Liber 18714, Pages 477 through 520, inclusive, Oakland County Records, and
designated as Oakland County Condominium Subdivision Plan No. 1121, together
with rights in general common elements and limited common elements, as set forth
in the above Master Deed, as amended, and as described in Act 59 of the Public
Acts of 1978, as amended.

<PAGE>

                                    EXHIBIT B
                            DESCRIPTION OF PROPERTY

                  To be determined during the Diligence Period.

<PAGE>

                                    EXHIBIT C

                              FORM OF LAND CONTRACT

Land Contract
47-040-023 (10/21/03)                       Philip R. Seaver Title Company, Inc.

THIS CONTRACT, made this_______day of ________ , 2004, between Meadowbrook
Insurance Group, Inc., a Michigan corporation, hereinafter referred to as
"SELLER", whose address is 26600 Telegraph Road, Southfield, Michigan
48034-2438, and Kirco Acquisition LLC, a Michigan limited liability company,
hereinafter referred to as "PURCHASER", whose address is 101 West Big Beaver
Road, Suite 200, Troy, Michigan 48084-5255.

        WITNESSETH:

1. SELLER AGREES AS FOLLOWS:

         (a) To sell and convey to Purchaser land in the City of Southfield,
Oakland County, Michigan, the Property ("Property") described as:

                            See Attached Exhibit "A"

         Tax Parcel No.:                          Common Address:

         Tax Parcel ID# ______________            Vacant Property

together with all tenements, hereditaments, improvements and appurtenances now
on the Property, and subject to all applicable building and use restrictions,
easements, and other matters of record, if any, affecting the Property as of the
date hereof, but free of liens and mortgages other than liens created by
Purchaser.

         (b) That the consideration for the sale of the above described Property
to Purchaser is _________________Dollars ($ ________________), [TO BE INSERTED.]
of which the sum of [INSERT 20% OF PURCHASE PRICE.] ($        ) Dollars, has
heretofore been paid to Seller, the receipt of which is hereby acknowledged, and
the balance of ___________________________ ($ _______________) Dollars, is to be
paid to Seller, with interest on any part thereof at any time unpaid at the rate
of seven percent (7%) per annum, simple interest. This balance of purchase money
and interest shall be paid in a balloon payment prior to, but in no event later
than thirty-six (36) months after the effective date of this Land Contract.

         (c) Upon receiving payment in full of all sums owing herein, less the
amount then due on any existing mortgage or mortgages, and the surrender of the
duplicate of this contract, to execute and deliver to Purchaser or Purchaser's
assigns, a good and sufficient Warranty Deed, subject to aforesaid restrictions,
easements, and matters of record as of the date hereof, and free from all other
encumbrances, except such as may be herein set forth, and except such
encumbrances as shall have accrued or attached since the date hereof through the
acts or omissions of persons other than Seller or its assigns.

         (d) To deliver to Purchaser as evidence of title, a Policy of Title
Insurance insuring Purchaser, the effective date of the policy to be the date of
this contract, and issued by PHILIP R. SEAVER TITLE COMPANY in the amount of the
purchase price without standard exceptions.

2. PURCHASER AGREES AS FOLLOWS:

         (a) To purchase said land and pay Seller the sum aforesaid, with the
Interest thereon as above provided.

         (b) To use, maintain and occupy said Property in accordance with any
and all restrictions thereon.

         (c) To keep the Property in accordance with all police, sanitary and
other regulations imposed by any governmental authority.

         (d) To pay all taxes and assessments hereafter levied on said Property
before any penalty for non-payment attaches thereto.  Seller will provide to
Purchaser a notice of taxes due, in a timely manner after the taxing authority
has issued the bill to Seller.  Seller shall reasonably calculate the taxes due
from Purchaser based on the square footage of the Property and the cost of any
improvements if separate tax bills are not available.  During the term of the
Land Contract, Purchaser shall procure and maintain public liability Insurance
with commercially reasonable coverage amounts.  Said Insurance policy shall name
Seller as an additional Insured and shall have policy limits of not less than
Three Million Dollars ($3,000,000) per occurrence.  Proof of such Insurance
shall be delivered to Seller annually and upon request.  The Insurance
certificate shall state that it shall not be terminated without at least thirty
(30) days' prior notice to Seller.

         (e)  That it has examined a Title Insurance Commitment date effective
_______________________, covering the above described Property, and is
satisfied with the marketability of the title shown thereby.

                                  Page 1 of 5
<PAGE>
        (f) To keep and maintain the Property in as good condition as it is at
the date hereof and not to commit waste, remove or demolish any improvements
thereon, or otherwise diminish the value of Seller's security, without the
written consent of Seller. Construction of improvements to the Property will not
constitute waste.

3. SELLER AND PURCHASER MUTUALLY AGREE AS FOLLOWS:

        (a) That Seller may, at any time during the continuance of this contract
encumber said land by mortgage or mortgages, provided, at no time shall the sum
secured by the mortgage exceed eighty percent (80%) of the unpaid balance of
this land contract.

        (b) That if Seller's interest in the land is now or hereafter encumbered
by mortgage, Seller shall meet the payments of principal and interest thereon as
they mature and produce evidence thereof to Purchaser on demand, and in default
of Seller, said Purchaser may pay the same. Such payments by Purchaser shall be
credited on the sums first maturing hereon, with interest at the rate provided
in paragraph 1(b) on payments so made. If proceedings are commenced to recover
possession or to enforce the payment of such contract or mortgage because of
Seller's default, Purchaser may, at any time thereafter while such proceedings
are pending, encumber said land by mortgage, securing such sum as can be
obtained, upon such terms as may be required, and with the proceeds, pay and
discharge such mortgage, or purchase money line. Any mortgage so given shall be
a first lien upon the land superior to the rights of Seller therein and
thereafter Purchaser shall pay the principal and interest on such mortgage so
given as they mature, which payments shall be credited on the sums matured or
first maturing hereon. Seller shall be responsible for payment of any prepayment
premium due under Seller's mortgage or the note it secures.

        (c) That if default is made by Purchaser in the payment of any taxes,
assessments or insurance premiums, or in the delivery of any policy as
hereinbefore provided, and if Purchaser fails to cure the same within fifteen
(15) days after Seller serves notice reasonably describing Purchaser's default,
Seller may pay such taxes or premiums or procure such insurance and pay the
premium or premiums thereon, and any sum or sums so paid shall be a further lien
on the land and promises, payable by Purchaser to Seller forthwith with interest
at the rate as set forth in paragraph I(b) hereof.

        (d) No assignment or conveyance by Purchaser shall create any liability
whatsoever against Seller until a duplicate thereof, duly witnessed and
acknowledged, together with the residence address of such assignee, shall be
delivered to Seller. Purchaser's liability hereunder shall not be released or
affected in any way by delivery of such assignment, or by Seller's endorsement
of receipt and/or acceptance thereon.

        (e) Purchaser shall have the right to possession of the Property. During
the term of the Land Contract, Purchaser and its agents shall have possession of
the property and shall be permitted to conduct construction activities as
necessary for Purchaser's development of the property in conformity with all
recorded restrictions, including, but not limited to, those restrictions
reflected in the Master Deed recorded in Liber 18714, Pages 477-520, inclusive,
provided, however, Purchaser assumes all liability for Purchaser's acts and
omissions and the acts and omissions of any of its agents who enter the Property
and shall indemnify, defend and hold Seller harmless from any loss, cost, damage
or expense incurred by Seller as a result of such acts. Purchaser shall maintain
appropriate builders' risk insurance and workman's compensation insurance and
shall exhibit such to Seller upon request. In the event Purchaser defaults under
the Land Contract and the property is forfeited back to Seller, Purchaser agrees
that title to all improvements shall be vested in Seller.

        (f) If Purchaser shall fail to perform this contract or any part
thereof, Seller immediately after such default shall have the right to declare
the same forfeited and void by written notice in the form described below, and
retain whatever may have been paid hereon, and all improvements that may have
been made upon the Property, together with additions and accretions thereto, and
consider and treat Purchaser as its tenant holding over without permission and
may take immediate possession of the Property, and Purchaser and each and every
other occupant remove and put out. Every notice of forfeiture relied upon by
Seller to terminate rights hereunder shall specify all unpaid monies and other
breaches of this contract and shall declare forfeiture of this contract to be
effective fifteen (15) days after service, unless such money is paid and any
other breaches of this contract are cured within that time. The parties have
signed and recorded a memorandum of this Agreement, and Purchaser shall be
deemed to be in actual and constructive possession of the Property for all
purposes including the Michigan Summary Proceedings Act.

        (g) If default is made by Purchaser and such default continues for a
period of fifteen (15) days or more after Seller notifies Purchaser in writing
of the nature of the default and states Seller's intention to foreclose, and
Seller desires to foreclose this contract in equity, then Seller shall have, at
its option, the right to declare the entire unpaid balance hereunder to be due
and payable forthwith, notwithstanding anything herein contained to the
contrary.

        (h)    Time shall be deemed to be of the essence of this contract.

        (i) The individual parties hereto represent themselves to be of full
age, and the corporate parties hereto represent themselves to be valid existing
corporations with their charters in full force and effect.

        (j) Any declarations, notices or papers necessary or proper to
terminate, accelerate or enforce this contract shall be presumed conclusively to
have been served upon Purchaser if such instrument is enclosed in an envelope
with first class postage fully prepaid, if said envelope is addressed to
Purchaser at the address set forth in the heading of this contract or at the
latest other address which may have been specified by Purchaser and receipted
for in writing by Seller, and if said envelope is deposited in a United States
Post Office Box.

        (k) From and after the thirty-sixth (36th) month due date maturity of
this Land Contract, the principal and interest accrued as of the date of such
maturity shall bear interest at eleven percent (11%) simple interest per annum.

                                   Page 2 of 5

<PAGE>

        (1) If any action is brought by either party to enforce its rights
hereunder, the losing party shall pay the prevailing party's attorney fees and
court costs.

        (m) Purchaser and Seller's interest in this Land Contract may be
recorded in the form of a Memorandum of Land Contract.

        (n) No breach of any express or implied warranty shall entitle Purchaser
to any delay or set off with regard to payments due under the Land Contract
unless and until a judgment based upon such breach has been rendered by a court
of competent jurisdiction and has become unappealable.

        (o) Purchaser is acquiring the Property "As-Is" with all faults and
defects, and Purchaser acknowledges and agrees that Seller has not made, does
not make and specifically disclaims any representations, warranties, promises,
covenants, agreements or guarantees of any kind or character whatsoever whether
express or implied, oral or written, past, present or future, as to, concerning
or with respect to (A) the nature, quality or condition of the Property,
including, without limitation, the water, soil and geology, or the presence or
absence of any pollutant, hazardous waste, gas or substance or solid waste on or
about the Property, (B) the suitability of the Property for any and all
activities and uses which Purchaser may intend to conduct thereon, (C) the
compliance of or by the Property or its operation with any laws, rules,
ordinances or regulations of any governmental authority or body having
jurisdiction, including, without limitation, all applicable zoning laws, (D) the
habitability, merchantability or fitness for a particular purpose of the
Property, or (E) any other matter related to or concerning the Property, except
as expressly set forth in this Agreement; and Purchaser shall not seek recourse
against Seller on account of any loss, cost or expense suffered or incurred by
Purchaser with regard to any of the matters described in Clauses (A) through (E)
above. Purchaser acknowledges that Purchaser, having been given the opportunity
to inspect the Property, is relying solely on its own investigation of the
Property and not on any information provided or to be provided by or on behalf
of Seller. Purchaser further acknowledges that no independent investigation or
verification has been or will be made by Seller with respect to any information
supplied by or on behalf of Seller concerning the Property, and Seller makes no
representation as to the accuracy or completeness of such information, it being
intended by the parties that Purchaser shall verify the accuracy and
completeness of such information itself. Purchaser acknowledges that the
disclaimers, agreements and other statements set forth in this paragraph are an
integral portion of this Agreement and that Seller would not agree to sell the
Property to Purchaser for the purchase price without the disclaimers, agreements
and other statements set forth in this paragraph.

        (p) If required by any governmental authorities as a condition of
Purchaser's development of the Property as contemplated in the reciprocal
easement agreement signed simultaneously with this land contract or as shown in
the site plan approved by the parties prior to the date hereof, the parties will
join in the granting of easements to such governmental authorities for access
and public utilities.

        (q) Any notices or consents required or permitted to be given under the
terms of this Agreement shall be deemed delivered when actually received if
personally delivered; upon actual receipt at the addressee's fax machine. (with
confirmation of successful transmission) if telecopied; or one (1) business day
after delivery of a copy to a nationally recognized overnight delivery service
which provides a receipt of service (other than an overnight delivery service
offered by the United States Postal Service), addressed to the respective
parties as follows:

             If to Seller:

                    Meadowbrook Insurance Group, Inc.
                    26600 Telegraph Road
                    Southfield, Michigan 48034-2438
                    Attn: General Counsel
                    Fax: (248) 358-1614

                    with a copy to:

                    Edward F. Kickham, Esq.
                    26862 Woodward Avenue, Suite 100
                    Royal Oak, Michigan 48067-0958
                    Fax: (248) 414-9906

               If to Purchaser:

                    Kirco Acquisition, LLC
                    Columbia Center - Suite 200
                    101 West Big Beaver Road
                    Troy, Michigan 48084-5255
                    Attn: Clifford D. Aiken
                          Matthew Kiriluk
                    Fax: (248) 680-7181

                      with a copy to:

                      Butzel Long
                      32270 Telegraph Road
                      Birmingham, Michigan 48025-2457
                      Attn: D. Stewart Green
                      Fax (248) 258-1439

or to such other party or address as shall be specified by like notice.

                                   Page 3 of 5

<PAGE>

        Nouns and pronouns will be deemed to refer to the masculine, feminine,
neuter, singular and plural, as the identity of the person or persons, firm or
corporation may in the context require. The covenants herein shall bind the
heirs, devisees, legatees, assigns, and successors of the respective parties.

        IN WITNESS WHEREOF, the parties hereto have executed this contract in
duplicate the day and year first above written.

SELLER:

Meadowbrook Insurance Group, Inc., a Michigan
corporation

By:
    ---------------------------------

Its:

    ---------------------------------

PURCHASER:

Kirco Acquisition LLC, a Michigan limited liability
company

By:
    ---------------------------------

Its:

    ---------------------------------

State of Michigan           )
                            )  ss
County of __________________)

        The foregoing instrument was acknowledged before me this _______ day of
_______ , 2004, by ______________, ______________ of Meadowbrook Insurance
Group, Inc., a Michigan corporation, on behalf of said corporation.

                                     ___________________________________________

                                     ____________________________ Notary Public

                                     _________________________ County, Michigan
                                     My commission expires______________________

State of Michigan           )
                            )  ss
County of __________________)

        The foregoing instrument was acknowledged before me this _______ day of
_______ , 2004, by ______________, ______________ of Kirco Acquisition LLC, a
Michigan limited liability company, on behalf of said company.

                                     ___________________________________________

                                     ____________________________ Notary Public

                                     _________________________ County, Michigan
                                     My commission expires______________________

DRAFTED BY:

Edward F. Kickham
WASINGER KICKHAM and HANLEY
26862 Woodward Avenue, Suite 100
Royal Oak, Michigan 48067-0958
(248) 414-9900
(248) 414-9906 (fax)

                                  Page 4 of 5

<PAGE>

                                   EXHIBIT "A"
                              [LEGAL DESCRIPTION]

                                  Page 5 of 5

<PAGE>

                                    EXHIBIT D
                               APPROVED SITE PLAN

                                To Be Determined

<PAGE>
                                    EXHIBIT E
                                SUMMARY OF TERMS
                                       OF
                         RECIPROCAL EASEMENT AGREEMENT

        The reciprocal easement agreement ("REA") will be agreed to prior to the
expiration of the Diligence Period defined in PARAGRAPH 7 of the Agreement. The
REA will require Purchaser to construct improvements on the Property only in
accordance with the Site Plan and Elevations prepared by Rossetti and Associates
and previously approved by the parties as Job No.                      .
The REA will also provide that (i) each party will maintain in a good state of
repairs all the parking areas and driveways located on such party's land, and
(ii) the parties will share the cost of maintaining common areas in the
Connector between their two buildings and the shared driveway and drop off area
in front of the Connector. The shared costs will be allocated in proportion to
the respective square footages of each party's condominium unit building,
excluding common elements.<PAGE>
                      STANDARD OFFER, AGREEMENT AND ESCROW
                    INSTRUCTIONS FOR PURCHASE OF REAL ESTATE
                                (Non-Residential)
                  American Industrial Real Estate Association

                                                          April 26, 2004
                                                   -----------------------------
                                                   (Date for Reference Purposes)

1. BUYER

         1.1 Sung Ho Choi and/or his assignee, ("BUYER") hereby offers to
purchase the real property, hereinafter described, from the owner thereof
("SELLER") (collectively, the "PARTIES" or individually, a "PARTY"), through an
escrow ("ESCROW") to close on or before 60 days from the date of purchase
agreement ("EXPECTED CLOSING DATE") to be held by ___________________ ("ESCROW
HOLDER") whose address is 19191 S Vermont Ave., Suite 1010, Torrance, CA 80502,
Phone No. 310-769-8648, Facsimile No. 310-789-5821 upon the terms and conditions
set forth in this agreement ("AGREEMENT"). Buyer shall have the right to assign
Buyer's rights hereunder, but any such assignment shall not relieve Buyer of
Buyer's obligations herein unless Seller expressly releases Buyer.

         1.2 The term "DATE OF AGREEMENT" as used herein shall be the date when
by execution and delivery (as defined in paragraph 20.2) of this document or a
subsequent counteroffer thereto, Buyer and Seller have reached agreement in
writing whereby Seller agrees to sell, and Buyer agrees to purchase, the
Property upon terms accepted by both Parties.

2. PROPERTY

         2.1 The real property ("PROPERTY") that is the subject of this offer
consists of (insert a brief physical description) an approximately 18,700 square
feet of office building situated on approximately 50,400 square feet of land, is
located in the City of Cerritos, County of Los Angeles, State of California, is
commonly known by the street address of 12641 166th, St. Cerritos, CA 90700 and
is legally described as: to be furnished in escrow (APN: 7010-016-048).

         2.2 If the legal description of the Property is not complete or is
inaccurate, this Agreement shall not be invalid and the legal description shall
be completed or corrected to meet the requirements of Lawyer's Title-Grey Colley
("TITLE COMPANY"), which shall issue the title policy hereinafter described.

         2.3 The Property includes, at no additional cost to Buyer, the
permanent improvements thereon, including those items which pursuant to
applicable law are a part of the Property, as well as the following items, if
any, owned by Seller and at present located on the Property: electrical
distribution systems (power panel, fuse ducting, conduits, disconnects, lighting
fixtures); telephone distribution systems (lines, jacks and connections only);
space heaters; heating, ventilating, air conditioning equipment ("HVAC"); air
lines; fire sprinkler systems; security and fire detection systems; carpets;
window coverings; wall coverings; and NA (collectively, the "IMPROVEMENTS").

         2.4 The fire sprinkler monitor: [X] is owned by Seller and included in
the Purchase Price, or [ ] is leased by Seller, and Buyer will need to negotiate
a new lease with the fire monitoring company.

         2.5 Except as provided in Paragraph 2.3, the Purchase Price does not
include Seller's personal property, furniture and furnishings, and __________
_____________________________ all of which shall be removed by Seller prior to
Closing.

3. PURCHASE PRICE

         3.1 The purchase price ("PURCHASE PRICE") to be paid by Buyer to Seller
for the Property shall be $2,942,000.00, payable as follows:

<Table>
<S>                 <C>   <C>                                                                           <C>
                    (a)   Cash down payment, including the Deposit as defined in
                          paragraph 4.3 (or if an all cash transaction, the
                          Purchase Price):                                                              $ 1,000,000.00
                                                                                                        --------------

(Strike if not
applicable)         (b)   Amount of "New Loan" as defined in paragraph 5.1, if any:                     $ 1,942,000.00
                                                                                                        --------------

                    (c)   Buyer shall take title to the Property subject to and/or
                          assume the following existing deed(s) of trust ("EXISTING DEED(S)
                          OF TRUST") securing the existing promissory note(s)
                          ("EXISTING NOTE(S)"):

                          (i)  An Existing Note ("FIRST NOTE") with an unpaid principal
                               balance as of the Closing of approximately:                              $
                               Said First Note is payable at $ _________ per month,                     --------------
(Strike if not                 including interest at the rate of _______% per annum
applicable)                    until paid (and/or the entire unpaid balance is
                               due on  _____________) .

                          (ii) An Existing Note ("SECOND NOTE") with an unpaid
                               principal balance as of the Closing of approximately:                    $
                               Said Second Note is payable at $ ________ per                            --------------
                               month, including interest at the rate of _____% per annum
                               until paid (and/or the entire unpaid balance is due
                               on _______________) .

                    (d)   Buyer shall give Seller a deed of trust ("PURCHASE MONEY
                          DEED OF TRUST") on the Property, to secure the
                          promissory note of Buyer to Seller described in Paragraph 5
                          ("PURCHASE MONEY NOTE") in the amount of:                                     $
                                                                                                        --------------
                           Total Purchase Price:                                                        $  2,942,00.00
                                                                                                        --------------

</Table>

         3.2 If Buyer is taking title to the Property subject to, or assuming,
an Existing Deed of Trust and such deed of trust permits the beneficiary to
demand payment of fees including, but not limited to, points, processing fees,
and appraisal fees and condition to the transfer of the Property. Buyer agrees
to pay such fees up to a maximum of 1.5% of the unpaid principal balance of the
applicable Existing Note.

---------                                                            -----------
---------                                                            -----------
INITIALS                                                               INITIALS

                                     PAGE 1

(C)  2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION         FORM OFA-
<PAGE>
4. DEPOSITS.

         4.1 [ ] Buyer has delivered to Broker a check in the sum of $ N/A,
payable to Escrow Holder, to be held by Broker until both Parties have executed
this Agreement and the executed Agreement has been delivered to Escrow Holder,
or [x] Buyer shall deliver to Escrow Holder a check in the sum of $50,000.00
when both Parties have executed this Agreement and the executed Agreement has
been delivered to Escrow Holder. When cashed, the check shall be deposited into
the Escrow's trust account to be applied toward the Purchase Price of the
Property at the Closing. Should Buyer and Seller not enter into an agreement for
purchase and sale, Buyer's check or funds shall, upon request by Buyer, be
promptly returned to Buyer.

         4.2 Additional deposits:

              (a) Within 5 business days after the Date of Agreement, Buyer
shall deposit with Escrow Holder the additional sum of $ N/A to be applied to
the Purchase Price at the Closing.

              (b) Within 5 business days after the contingencies discussed in
paragraph 9.1 (a) through (k) are approved or waived, Buyer shall deposit with
Escrow Holder the additional sum of $ N/A to be applied to the Purchase Price at
the Closing.

         4.3 Escrow Holder shall deposit the funds deposited with it by Buyer
pursuant to paragraphs 4.1 and 4.2 (collectively the "DEPOSIT"), in a State or
Federally chartered bank in an interest-bearing account whose term is
appropriate and consistent with the timing requirements of this transaction. The
interest therefrom shall accrue to the benefit of Buyer, who hereby acknowledges
that there may be penalties or interest forfeitures if the applicable instrument
is redeemed prior to its specified maturity. Buyer's Federal Tax Identification
Number is to be furnished in escrow. NOTE: Such interest bearing account cannot
be opened until Buyer's Federal Tax Identification Number is provided.

5. FINANCING CONTINGENCY. (Strike if not applicable)

         5.1 This offer is contingent upon Buyer obtaining from an insurance
company, financial institution or other lender, a commitment to lend to Buyer a
sum equal to at least 65% of the Purchase Price, at terms reasonably acceptable
to Buyer. Such loan ("NEW LOAN") shall be secured by a first deed of trust or
mortgage on the Property. If this Agreement provides for Seller to carry back
junior financing, then Seller shall have the right to approve the terms of the
New Loan. Seller shall have 7 days from receipt of the commitment setting forth
the proposed terms of the New Loan to approve or disapprove of such proposed
terms. If Seller fails to notify Escrow Holder, in writing, of the disapproval
within said 7 days it shall be conclusively presumed that Seller has approved
the terms of the New Loan.

         5.2 Buyer hereby agrees to diligently pursue obtaining the New Loan. IF
BUYER SHALL FAIL TO NOTIFY ITS BROKER, ESCROW HOLDER AND SELLER, IN WRITING
WITHIN 50 DAYS FOLLOWING THE DATE OF AGREEMENT, THAT THE NEW LOAN HAS NOT BEEN
OBTAINED, IT SHALL BE CONCLUSIVELY PRESUMED THAT BUYER HAS EITHER OBTAINED SAID
NEW LOAN OR HAS WAIVED THIS NEW LOAN CONTINGENCY.

         5.3 If, after due diligence, Buyer shall notify its Broker, Escrow
Holder and Seller, in writing, within the time specified in paragraph 5.2
hereof, that Buyer has not obtained said New Loan, this Agreement shall be
terminated, and Buyer shall be entitled to the prompt return of the Deposit,
plus any interest earned thereon, less only Escrow Holder and Title Company
cancellation fees and costs, which Buyer shall pay.

6. SELLER FINANCING (Purchase Money Note). (Strike if not applicable)

         6.1 The Purchase Money Note shall provide for interest on unpaid
principal at the rate of N/A% per annum, with principal and interest payable as
follows: N/A.

The Purchase Money Note and Purchase Money Deed of Trust shall be on the current
forms commonly used by Escrow Holder, and be junior and subordinate only to the
Existing Note(s) and/or the New Loan expressly called for by this Agreement.

         6.2 The Purchase Money Note and/or the Purchase Money Deed of Trust
shall contain provisions regarding the following (see also paragraph 10.3 (b)):

              (a) Prepayment. Principal may be prepaid in whole or in part at
any time without penalty, at the option of the Buyer.

              (b) Late Charge. A late charge of 6% shall be payable with respect
to any payment of principal, interest, or other charges, not made within 10 days
after it is due.

              (c) Due On Sale. In the event the Buyer sells or transfers title
to the Property or any portion thereof, then the Seller may, at Seller's option,
require the entire unpaid balance of said Note to be paid in full.

         6.3 If the Purchase Money Deed of Trust is to be subordinate to other
financing, Escrow Holder shall, at Buyer's expense prepare and record on
Seller's behalf a request for notice of default and/or sale with regard to each
mortgage or deed of trust to which it will be subordinate.

         6.4 WARNING: CALIFORNIA LAW DOES NOT ALLOW DEFICIENCY JUDGEMENTS ON
SELLER FINANCING. IF BUYER ULTIMATELY DEFAULTS ON THE LOAN, SELLER'S SOLE REMEDY
IS TO FORECLOSE ON THE PROPERTY.

7. REAL ESTATE BROKERS.

         7.1 The following real estate broker(s) ("BROKERS") and brokerage
relationships exist in this transaction and are consented to by the parties
(check the applicable boxes):

[x]  GVA Strategis represents Seller exclusively ("SELLER'S BROKER");

[x]  Coldwell Banker Commercial - JM Properties, Inc. represents Buyer
exclusively ("BUYER'S BROKER"); or

[ ]  ________ represents both Seller and Buyer ("DUAL AGENCY").

The Parties acknowledge that Brokers are the procuring cause of this Agreement.
See paragraph 24 regarding the nature of a real estate agency relationship.
Buyer shall use the services of Buyer's Broker exclusively in connection with
any and all negotiations and offers with respect to the Property for a period of
1 year from the Date of Agreement.

         7.2 Buyer and Seller each represent and warrant to the other that
he/she/it has had no dealings with any person, firm, broker or finder in
connection with the negotiation of this Agreement and/or the consummation of the
purchase and sale contemplated herein, other than the Brokers named in paragraph
7.1, and no broker or other person, firm or entity, other than said Brokers
is/are entitled to any commission or finder's fee in connection with this
transaction as the result of any dealings or acts of such Party. Buyer and
Seller do each hereby agree to indemnify, defend, protect and hold the other
harmless from and against any costs, expenses or liability for compensation,
commission or charges which may be claimed by any broker, finder or other
similar party, other than said named Brokers by reason of any dealings or act of
the indemnifying Party.

8. ESCROW AND CLOSING.

         8.1 Upon acceptance hereof by Seller, this Agreement, including any
counteroffers incorporated herein by the Parties, shall constitute not only the
agreement of purchase and sale between Buyer and Seller, but also instructions
to Escrow Holder for the consummation of the Agreement through the Escrow.
Escrow Holder shall not prepare any further escrow instructions restating or
amending the Agreement unless specifically so instructed by the Parties or a
Broker herein. Subject to the reasonable approval of the Parties, Escrow Holder
may, however, include its standard general escrow provisions.

         8.2 As soon as practical after the receipt of this Agreement and any
relevant counteroffers, Escrow Holder shall ascertain the Date of Agreement as
defined in paragraphs 1.2 and 20.2 and advise the Parties and Brokers, in
writing, of the date ascertained.

         8.3 Escrow Holder is hereby authorized and instructed to conduct the
Escrow in accordance with this Agreement, applicable law and custom and practice
of the community in which Escrow Holder is located, including any reporting
requirements of the Internal Revenue Code. In the event of a conflict between
the law of the state where the Property is located and the law of the state
where the Escrow Holder is located, the law of the state where the Property is
located shall prevail.

                                     PAGE 2
-----------                                                         -----------
INITIALS                                                              INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION           FORM OFA
<PAGE>
         8.4 Subject to satisfaction of the contingencies herein described,
Escrow Holder shall close this escrow (the "CLOSING") by recording a general
warranty deed (a grant deed in California) and the other documents required to
be recorded, and by disbursing the funds and documents in accordance with this
Agreement.

         8.5 Buyer and Seller shall each pay one-half of the Escrow Holder's
charges and Seller shall pay the usual recording fees and any required
documentary transfer taxes. Seller shall pay the premium for a standard coverage
owner's or joint protection policy of title insurance.

         8.6 Escrow Holder shall verify that all of Buyer's contingencies have
been satisfied or waived prior to Closing. The matters contained in paragraphs
9.1 subparagraphs (b), (c), (d), (e), (g), (l), (n), and (o), 9.4, 9.5, 12, 13,
14, 16, 18, 20, 21, 22, and 24 are, however, matters of agreement between the
Parties only and are not instructions to Escrow Holder.

         8.7 If this transaction is terminated for non-satisfaction and
non-waiver of a Buyer's Contingency, as defined in paragraph 9.2, then neither
of the Parties shall thereafter have any liability to the other under this
Agreement, except to the extent of a breach of any affirmative covenant or
warranty in this Agreement. In the event of such termination, Buyer shall be
promptly refunded all funds deposited by Buyer with Escrow Holder, less only
Title Company and Escrow Holder cancellation fees and costs, all of which shall
be Buyer's obligation.

         8.8 The Closing shall occur on the Expected Closing Date, or as soon
thereafter as the Escrow is in condition for Closing; provided, however, that if
the Closing does not occur by the Expected Closing Date and said Date is not
extended by mutual instructions of the Parties, a Party not then in default
under this Agreement may notify the other Party, Escrow Holder, and Brokers, in
writing that, unless the Closing occurs within 5 business days following said
notice, the Escrow shall be deemed terminated without further notice or
instructions.

         8.9 Except as otherwise provided herein, the termination of Escrow
shall not relieve or release either Party from any obligation to pay Escrow
Holder's fees and costs or constitute a waiver, release or discharge of any
breach or default that has occurred in the performance of the obligations,
agreements, covenants or warranties contained therein.

         8.10 If this Escrow is terminated for any reason other than Seller's
breach or default, then at Seller's request, and as a condition to the return of
Buyer's deposit, Buyer shall within 8 days after written request deliver to
Seller, at no charge, copies of all surveys, engineering studies, soil reports,
maps, master plans, feasibility studies and other similar items prepared by or
for Buyer that pertain to the Property. Provided, however, that Buyer shall not
be required to deliver any such report if the written contract which Buyer
entered into with the consultant who prepared such report specifically forbids
the dissemination of the report to others.

9. CONTINGENCIES TO CLOSING.

         9.1 The Closing of this transaction is contingent upon the satisfaction
or waiver of the following contingencies. IF BUYER FAILS TO NOTIFY ESCROW
HOLDER, IN WRITING, OF THE DISAPPROVAL OF ANY OF SAID CONTINGENCIES WITHIN THE
TIME SPECIFIED THEREIN, IT SHALL BE CONCLUSIVELY PRESUMED THAT BUYER HAS
APPROVED SUCH ITEM, MATTER OR DOCUMENT. Buyer's conditional approval shall
constitute disapproval, unless provision is made by the Seller within the time
specified therefore by the Buyer in such conditional approval or by this
Agreement, whichever is later, for the satisfaction of the condition imposed by
the Buyer. Escrow Holder shall promptly provide all Parties with copies of any
written disapproval or conditional approval which it receives. With regard to
sub-paragraphs (a) through (l) the pre-printed time periods shall control unless
a different number of days is inserted in the spaces provided.

                  (a) Disclosure. Seller shall make to Buyer, through escrow,
all of the applicable disclosures required by law (See American Industrial Real
Estate Association ("AIR") standard form entitled "Seller's Mandatory Disclosure
Statement") and provide Buyer with a completed Property Information Sheet
("Property Information Sheet") concerning the Property, duly executed by or on
behalf of Seller in the current form or equivalent to that published by the AIR
within 10 or _______ days following the Date of Agreement. Buyer has 10 days
from the receipt of said disclosures to approve or disapprove the matters
disclosed.

                  (b) Physical Inspection. Buyer has 10 or 15 days from the
receipt of the Property Information Sheet or the Date of Agreement, whichever is
later, to satisfy itself with regard to the physical aspects and size of the
Property.

                  (c) Hazardous Substance Conditions Report. Buyer has 30 or 45
days from the receipt of the Property Information Sheet or the Date of
Agreement, whichever is later, to satisfy itself with regard to the
environmental aspects of the Property. Seller recommends that Buyer obtain a
Hazardous Substance Conditions Report concerning the Property and relevant
adjoining properties. Any such report shall be paid for by Buyer. A "HAZARDOUS
SUBSTANCE" for purposes of this Agreement is defined as any substance whose
nature and/or quantity of existence, use, manufacture, disposal or effect,
render it subject to Federal, state or local regulation, investigation,
remediation or removal as potentially injurious to public health or welfare. A
"HAZARDOUS SUBSTANCE CONDITION" for purposes of this Agreement is defined as the
existence on, under or relevantly adjacent to the Property of a Hazardous
Substance that would require remediation and/or removal under applicable
Federal, state or local law.

                  (d) Soil Inspection. Buyer has 30 or 45 days from the receipt
of the Property Information Sheet or the Date of Agreement, whichever is later,
to satisfy itself with regard to the condition of the soils on the Property.
Seller recommends that Buyer obtain a soil test report. Any such report shall be
paid for by Buyer. Seller shall provide Buyer copies of any soils report that
Seller may have within 10 days of the Date of Agreement.

                  (e) Governmental Approvals. Buyer has 30 or _______ days from
the Date of Agreement to satisfy itself with regard to approvals and permits
from governmental agencies or departments which have or may have jurisdiction
over the Property and which Buyer deems necessary or desirable in connection
with its intended use of the Property, including, but not limited to, permits
and approvals required with respect to zoning, planning, building and safety,
fire, police, handicapped and Americans with Disabilities Act requirements,
transportation and environmental matters.

                  (f) Conditions of Title. Escrow Holder shall cause a current
commitment for title insurance ("TITLE COMMITMENT") concerning the Property
issued by the Title Company, as well as legible copies of all documents referred
to in the Title Commitment ("UNDERLYING DOCUMENTS") to be delivered to Buyer
within 10 or _______ days following the Date of Agreement. Buyer has 10 days
from the receipt of the Title Commitment and Underlying Documents to satisfy
itself with regard to the condition of title. The disapproval of Buyer of any
monetary encumbrance, which by the terms of this Agreement is not to remain
against the Property after the Closing, shall not be considered a failure of
this contingency, as Seller shall have the obligation, at Seller's expense, to
satisfy and remove such disapproved monetary encumbrance at or before the
Closing.

                  (g) Survey. Buyer has 30 or 45 days from the receipt of the
Title Commitment and Underlying Documents to satisfy itself with regard to any
ALTA title supplement based upon a survey prepared to American Land Title
Association ("ALTA") standards for an owner's policy by a licensed surveyor,
showing the legal description and boundary lines of the Property, any easements
of record, and any improvements, poles, structures and things located within 10
feet of either side of the Property boundary lines. Any such survey shall be
prepared at Buyer's direction and expense. If Buyer has obtained a survey and
approved the ALTA title supplement, Buyer may elect within the period allowed
for Buyer's approval of a survey to have an ALTA extended coverage owner's form
of title policy, in which event Buyer shall pay any additional premium
attributable thereto.

                  (h) Existing Leases and Tenancy Statements. Seller shall
within 10 or _______ days of the Date of Agreement provide both Buyer and Escrow
Holder with legible copies of all leases, subleases or rental arrangements
(collectively, "EXISTING LEASES") affecting the Property, and with a tenancy
statement ("ESTOPPEL CERTIFICATE") in the latest form or equivalent to that
published by the AIR, executed by Seller and/or each tenant and subtenant of the
Property. Seller shall use its best efforts to have each tenant complete and
execute an Estoppel Certificate. If any tenant fails or refuses to provide an
Estoppel Certificate then Seller shall complete and execute an Estoppel
Certificate for that tenancy. Buyer has 10 days from the receipt of said
Existing Leases and Estoppel Certificates to satisfy itself with regard to the
Existing Leases and any other tenancy issues.

-----------                                                          -----------
INITIALS                                                                INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION           FORM OFA-

                                     PAGE 3

<PAGE>

                  (i) Other Agreements. Seller shall within 10 or _______ days
of the Date of Agreement provide Buyer with legible copies of all other
agreements ("OTHER AGREEMENTS") known to Seller that will affect the Property
after Closing. Buyer has 10 days from the receipt of said Other Agreements to
satisfy itself with regard to such Agreements.

                  (j) Financing. If paragraph 5 hereof dealing with a financing
contingency has not been stricken, the satisfaction or waiver of such New Loan
contingency.

                  (k) Existing Notes. If paragraph 3.1(c) has not been stricken,
Seller shall within 10 or _______ days of the Date of Agreement provide Buyer
with legible copies of the Existing Notes, Existing Deeds of Trust and related
agreements (collectively, "LOAN DOCUMENTS") to which the Property will remain
subject after the Closing. Escrow Holder shall promptly request from the holders
of the Existing Notes a beneficiary statement ("BENEFICIARY STATEMENT")
confirming: (1) the amount of the unpaid principal balance, the current interest
rate, and the date to which interest is paid, and (2) the nature and amount of
any impounds held by the beneficiary in connection with such loan. Buyer has 10
or _______ days from the receipt of the Loan Documents and Beneficiary
Statements to satisfy itself with regard to such financing. Buyer's obligation
to close is conditioned upon Buyer being able to purchase the Property without
acceleration or change in the terms of any Existing Notes or charges to Buyer
except as otherwise provided in this Agreement or approved by Buyer, provided,
however, Buyer shall pay the transfer fee referred to in paragraph 3.2 hereof.

                  (l) Personal Property. In the event that any personal property
is included in the Purchase Price, Buyer has 10 or _______ days from the Date of
Agreement to satisfy itself with regard to the title condition of such personal
property. Seller recommends that Buyer obtain a UCC-1 report. Any such report
shall be paid for by Buyer. Seller shall provide Buyer copies of any liens or
encumbrances affecting such personal property that it is aware of within 10 or
_______ days of the Date of Agreement.

                  (m) Destruction, Damage or Loss. There shall not have occurred
prior to the Closing, a destruction of, or damage or loss to, the Property or
any portion thereof, from any cause whatsoever, which would cost more than
$10,000.00 to repair or cure. If the cost of repair or cure is $10,000.00 or
less, Seller shall repair or cure the loss prior to the Closing. Buyer shall
have the option, within 10 days after receipt of written notice of a loss
costing more than $10,000.00 to repair or cure, to either terminate this
transaction or to purchase the Property notwithstanding such loss, but without
deduction or offset against the Purchase Price. If the cost to repair or cure is
more than $10,000.00, and Buyer does not elect to terminate this transaction,
Buyer shall be entitled to any insurance proceeds applicable to such loss.
Unless otherwise notified in writing, Escrow Holder shall assume no such
destruction, damage or loss has occurred prior to Closing.

                  (n) Material Change. Buyer shall have 10 days following
receipt of written notice of a Material Change within which to satisfy itself
with regard to such change. "MATERIAL CHANGE" shall mean a change in the status
of the use, occupancy, tenants, or condition of the Property that occurs after
the date of this offer and prior to the Closing. Unless otherwise notified in
writing, Escrow Holder shall assume that no Material Change has occurred prior
to the Closing.

                  (o) Seller Performance. The delivery of all documents and the
due performance by Seller of each and every undertaking and agreement to be
performed by Seller under this Agreement.

                  (p) Warranties. That each representation and warranty of
Seller herein be true and correct as of the Closing. Escrow Holder shall assume
that this condition has been satisfied unless notified to the contrary in
writing by any Party prior to the Closing.

                  (q) Brokerage Fee. Payment at the Closing of such brokerage
fee as is specified in this Agreement or later written instructions to Escrow
Holder executed by Seller and Brokers ("BROKERAGE FEE"). It is agreed by the
Parties and Escrow Holder that Brokers are a third party beneficiary of this
Agreement insofar as the Brokerage Fee is concerned, and that no change shall be
made with respect to the payment of the Brokerage Fee specified in this
Agreement, without the written consent of Brokers.

         9.2 All of the contingencies specified in subparagraphs (a) through (p)
of paragraph 9.1 are for the benefit of, and may be waived by, Buyer, and may be
elsewhere herein referred to as "BUYER'S CONTINGENCIES."

         9.3 If any Buyer's Contingency or any other matter subject to Buyer's
approval is disapproved as provided for herein in a timely manner ("DISAPPROVED
ITEM"), Seller shall have the right within 10 days following the receipt of
notice of Buyer's disapproval to elect to cure such Disapproved Item prior to
the Expected Closing Date ("SELLER'S ELECTION"). Seller's failure to give to
Buyer within such period, written notice of Seller's commitment to cure such
Disapproved Item on or before the Expected Closing Date shall be conclusively
presumed to be Seller's Election not to cure such Disapproved Item. If Seller
elects, either by written notice or failure to give written notice, not to cure
a Disapproved Item, Buyer shall have the election, within 10 days after Seller's
Election to either accept title to the Property subject to such Disapproved
Item, or to terminate this transaction. Buyer's failure to notify Seller in
writing of Buyer's election to accept title to the Property subject to the
Disapproved Item without deduction or offset shall constitute Buyer's election
to terminate this transaction. Unless expressly provided otherwise herein,
Seller's right to cure shall not apply to the remediation of Hazardous Substance
Conditions or to the Financing Contingency. Unless the Parties mutually instruct
otherwise, if the time periods for the satisfaction of contingencies or for
Seller's and Buyer's said Elections would expire on a date after the Expected
Closing Date, the Expected Closing Date shall be deemed extended for 3 business
days following the expiration of: (a) the applicable contingency period(s), (b)
the period within which the Seller may elect to cure the Disapproved Item, or
(c) if Seller elects not to cure, the period within which Buyer may elect to
proceed with this transaction, whichever is later.

         9.4 Buyer understands and agrees that until such time as all Buyer's
Contingencies have been satisfied or waived, Seller and/or its agents may
solicit, entertain and/or accept back-up offers to purchase the Property.

         9.5 The Parties acknowledge that extensive local, state and Federal
legislation establish broad liability upon owners and/or users of real property
for the investigation and remediation of Hazardous Substances. The determination
of the existence of a Hazardous Substance Condition and the evaluation of the
impact of such a condition are highly technical and beyond the expertise of
Brokers. The Parties acknowledge that they have been advised by Brokers to
consult their own technical and legal experts with respect to the possible
presence of Hazardous Substances on the Property or adjoining properties, and
Buyer and Seller are not relying upon any investigation by or statement of
Brokers with respect thereto. The Parties hereby assume all responsibility for
the impact of such Hazardous Substances upon their respective interests herein.

10. DOCUMENTS REQUIRED AT OR BEFORE CLOSING:

         10.1 Five days prior to the Closing date Escrow Holder shall obtain an
updated Title Commitment concerning the Property from the Title Company and
provide copies thereof to each of the Parties.

         10.2 Seller shall deliver to Escrow Holder in time for delivery to
Buyer at the Closing:

                  (a) Grant or general warranty deed, duly executed and in
recordable form, conveying fee title to the Property to Buyer.

                  (b) If applicable, the Beneficiary Statements concerning
Existing Note(s).

                  (c) If applicable, the Existing Leases and Other Agreements
together with duly executed assignments thereof by Seller and Buyer. The
assignment of Existing Leases shall be on the most recent Assignment and
Assumption of Lessor's Interest in Lease form published by the AIR or its
equivalent.

                  (d) If applicable, Estoppel Certificates executed by Seller
and/or the tenant(s) of the Property.

                  (e) An affidavit executed by Seller to the effect that Seller
is not a "foreign person" within the meaning of Internal Revenue Code Section
1445 or successor statutes. If Seller does not provide such affidavit in form
reasonably satisfactory to Buyer at least 3 business days prior to the Closing,
Escrow Holder shall at the Closing deduct from Seller's proceeds and remit to
Internal Revenue Service such sum as is required by applicable Federal law with
respect to purchases from foreign sellers.

                  (f) If the Property is located in California, an affidavit
executed by Seller to the effect that Seller is not a "nonresident" within the
meaning of California Revenue and Tax Code Section 18662 or successor statutes.
If Seller does not provide such affidavit in form reasonably satisfactory to
Buyer at least 3 business days prior to the Closing, Escrow Holder shall at the
Closing deduct from Seller's proceeds and remit to the Franchise Tax Board such
sum as is required by such statute.

                  (g) If applicable, a bill of sale, duly executed, conveying
title to any included personal property to Buyer.

-----------                                                          -----------
INITIALS                                                                INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION           FORM OFA-

                                     PAGE 4
<PAGE>
                  (h) If the Seller is a corporation, a duly executed corporate
resolution authorizing the execution of this Agreement and the sale of the
Property.

         10.3 Buyer shall deliver to Seller through Escrow:

                  (a) The cash portion of the Purchase Price and such additional
sums as are required of Buyer under this Agreement shall be deposited by Buyer
with Escrow Holder, by federal funds wire transfer, or any other method
acceptable to Escrow Holder as immediately collectable funds, no later than 2:00
P.M. on the business day prior to the Expected Closing Date.

                  (b) If a Purchase Money Note and Purchase Money Deed of Trust
are called for by this Agreement, the duly executed originals of those
documents, the Purchase Money Deed of Trust being in recordable form, together
with evidence of fire insurance on the improvements in the amount of the full
replacement cost naming Seller as a mortgage loss payee, and a real estate tax
service contract (at Buyer's expense), assuring Seller of notice of the status
of payment of real property taxes during the life of the Purchase Money Note.

                  (c) The Assignment and Assumption of Lessor's Interest in
Lease form specified in paragraph 10.2(c) above, duly executed by Buyer.

                  (d) Assumptions duly executed by Buyer of the obligations of
Seller that accrue after Closing under any Other Agreements.

                  (e) If applicable, a written assumption duly executed by Buyer
of the loan documents with respect to Existing Notes.

                  (f) If the Buyer is a corporation, a duly executed corporate
resolution authorizing the execution of this Agreement and the purchase of the
Property.

         10.4 At Closing, Escrow Holder shall cause to be issued to Buyer a
standard coverage (or ALTA extended, if elected pursuant to 8.1(g)) owner's form
policy of title insurance effective as of the Closing, issued by the Title
Company in the full amount of the Purchase Price, insuring title to the Property
vested in Buyer, subject only to the exceptions approved by Buyer. In the event
there is a Purchase Money Deed of Trust in this transaction, the policy of title
insurance shall be a joint protection policy insuring both Buyer and Seller.
IMPORTANT: IN A PURCHASE OR EXCHANGE OF REAL PROPERTY, IT MAY BE ADVISABLE TO
OBTAIN TITLE INSURANCE IN CONNECTION WITH THE CLOSE OF ESCROW SINCE THERE MAY BE
PRIOR RECORDED LIENS AND ENCUMBRANCES WHICH AFFECT YOUR INTEREST IN THE PROPERTY
BEING ACQUIRED. A NEW POLICY OF TITLE INSURANCE SHOULD BE OBTAINED IN ORDER TO
ENSURE YOUR INTEREST IN THE PROPERTY THAT YOU ARE ACQUIRING.

11. PRORATIONS AND ADJUSTMENTS.

         11.1 Taxes. Applicable real property taxes and special assessment bonds
shall be prorated through Escrow as of the date of the Closing, based upon the
latest tax bill available. The Parties agree to prorate as of the Closing any
taxes assessed against the Property by supplemental bill levied by reason of
events occurring prior to the Closing. Payment of the prorated amount shall be
made promptly in cash upon receipt of a copy of any supplemental bill.

         11.2 Insurance. WARNING: Any insurance which Seller maintained will
terminate on the Closing. Buyer is advised to obtain appropriate insurance to
cover the Property.

         11.3 Rentals, Interest and Expenses. Scheduled rentals, interest on
Existing Notes, utilities, and operating expenses shall be prorated as of the
date of Closing. The Parties agree to promptly adjust between themselves outside
of Escrow any rents received after the Closing.

         11.4 Security Deposit. Security Deposits held by Seller shall be given
to Buyer as a credit to the cash required of Buyer at the Closing.

         11.5 Post Closing Matters. Any item to be prorated that is not
determined or determinable at the Closing shall be promptly adjusted by the
Parties by appropriate cash payment outside of the Escrow when the amount due is
determined.

         11.6 Variations in Existing Note Balances. In the event that Buyer is
purchasing the Property subject to an Existing Deed of Trust(s), and in the
event that a Beneficiary Statement as to the applicable Existing Note(s)
discloses that the unpaid principal balance of such Existing Note(s) at the
closing will be more or less than the amount set forth in paragraph 3.1(c)
hereof ("Existing Note Variation"), then the Purchase Money Note(s) shall be
reduced or increased by an amount equal to such Existing Note Variation. If
there is to be no Purchase Money Note, the cash required at the Closing per
paragraph 3.1(a) shall be reduced or increased by the amount of such Existing
Note Variation.

         11.7 Variations in New Loan Balance. In the event Buyer is obtaining a
New Loan and the amount ultimately obtained exceeds the amount set forth in
paragraph 5.1, then the amount of the Purchase Money Note, if any, shall be
reduced by the amount of such excess.

12. REPRESENTATION AND WARRANTIES OF SELLER AND DISCLAIMERS.

         12.1 Seller's warranties and representations shall survive the Closing
for a period of 3 years, and, are true, material and relied upon by Buyer and
Brokers in all respects. Seller hereby makes the following warranties and
representations to Buyer and Brokers:

                  (a) Authority of Seller. Seller is the owner of the Property
and/or has the full right, power and authority to sell, convey and transfer the
Property to Buyer as provided herein, and to perform Seller's obligations
hereunder.

                  (b) Maintenance During Escrow and Equipment Condition At
Closing. Except as otherwise provided in paragraph 9.1(m) hereof, Seller shall
maintain the Property until the Closing in its present condition, ordinary wear
and tear excepted. The HVAC, plumbing, elevators, loading doors and electrical
systems shall be in good operating order and condition at the time of Closing.

                  (c) Hazardous Substances/Storage Tanks. Seller has no
knowledge, except as otherwise disclosed to Buyer in writing, of the existence
or prior existence on the Property of any Hazardous Substance, nor of the
existence or prior existence of any above or below ground storage tank.

                  (d) Compliance. Seller has no knowledge of any aspect or
condition of the Property which violates applicable laws, rules, regulations,
codes or covenants, conditions or restrictions, or of improvements or
alterations made to the Property without a permit where one was required, or of
any unfulfilled order or directive of any applicable governmental agency or
casualty insurance company requiring any investigation, remediation, repair,
maintenance or improvement be performed on the Property.

                  (e) Changes in Agreements. Prior to the Closing, Seller will
not violate or modify any Existing Lease or Other Agreement, or create any new
leases or other agreements affecting the Property, without Buyer's written
approval, which approval will not be unreasonably withheld.

                  (f) Possessory Rights. Seller has no knowledge that anyone
will, at the Closing, have any right to possession of the Property, except as
disclosed by this Agreement or otherwise in writing to Buyer.

                  (g) Mechanics' Liens. There are no unsatisfied mechanics' or
materialmens' lien rights concerning the Property.

                  (h) Actions, Suits or Proceedings. Seller has no knowledge of
any actions, suits or proceedings pending or threatened before any commission,
board, bureau, agency, arbitrator, court or tribunal that would affect the
Property or the right to occupy or utilize same.

                  (i) Notice of Changes. Seller will promptly notify Buyer and
Brokers in writing of any Material Change (see paragraph 9.1(n)) affecting the
Property that becomes known to Seller prior to the Closing.

                  (j) No Tenant Bankruptcy Proceedings. Seller has no notice or
knowledge that any tenant of the Property is the subject of a bankruptcy or
insolvency proceeding.

                  (k) No Seller Bankruptcy Proceedings. Seller is not the
subject of a bankruptcy, insolvency or probate proceeding.

                  (l) Personal Property. Seller has no knowledge that anyone
will, at the Closing, have any right to possession of any personal property
included in the Purchase Price nor knowledge of any liens or encumbrances
affecting such personal property, except as disclosed by this Agreement or
otherwise in writing to Buyer.

-----------                                                          -----------
INITIALS                                                                INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION            FORM OFA-

                                     PAGE 5

<PAGE>
         12.2 Buyer hereby acknowledges that, except as otherwise stated in this
Agreement, Buyer is purchasing the Property in its existing condition and will,
by the time called for herein, make or have waived all inspections of the
Property Buyer believes are necessary to protect its own interest in, and its
contemplated use of, the Property. The Parties acknowledge that, except as
otherwise stated in this Agreement, no representations, inducements, promises,
agreements, assurances, oral or written, concerning the Property, or any aspect
of the occupational safety and health laws, Hazardous Substance laws, or any
other act, ordinance or law, have been made by either Party or Brokers, or
relied upon by either Party hereto.

         12.3 In the event that Buyer learns that a Seller representation or
warranty might be untrue prior to the Closing, and Buyer elects to purchase the
Property anyway then, and in that event, Buyer waives any right that it may have
to bring an action or proceeding against Seller or Brokers regarding said
representation or warranty.

         12.4 Any environmental reports, soils reports, surveys, and other
similar documents which were prepared by third party consultants and provided to
Buyer by Seller or Seller's representatives, have been delivered as an
accommodation to Buyer and without any representation or warranty as to the
sufficiency, accuracy, completeness, and/or validity of said documents, all of
which Buyer relies on at its own risk. Seller believes said documents to be
accurate, but Buyer is advised to retain appropriate consultants to review said
documents and investigate the Property.

13. POSSESSION.

         Possession of the Property shall be given to Buyer at the Closing
subject to the rights of tenants under Existing Leases.

14. BUYER'S ENTRY.

         At any time during the Escrow period, Buyer, and its agents and
representatives, shall have the right at reasonable times and subject to rights
of tenants, to enter upon the Property for the purpose of making inspections and
tests specified in this Agreement. No destructive testing shall be conducted,
however, without Seller's prior approval which shall not be unreasonably
withheld. Following any such entry or work, unless otherwise directed in writing
by Seller, Buyer shall return the Property to the condition it was in prior to
such entry or work, including the recompaction or removal of any disrupted soil
or material as Seller may reasonably direct. All such inspections and tests and
any other work conducted or materials furnished with respect to the Property by
or for Buyer shall be paid for by Buyer as and when due and Buyer shall
indemnify, defend, protect and hold harmless Seller and the Property of and from
any and all claims, liabilities, losses, expenses (including reasonable
attorneys' fees), damages, including those for injury to person or property,
arising out of or relating to any such work or materials or the acts or
omissions of Buyer, its agents or employees in connection therewith.

15. FURTHER DOCUMENTS AND ASSURANCES.

         The Parties shall each, diligently and in good faith, undertake all
actions and procedures reasonably required to place the Escrow in condition for
Closing as and when required by this Agreement. The Parties agree to provide all
further information, and to execute and deliver all further documents,
reasonably required by Escrow Holder or the Title Company.

16. ATTORNEYS' FEES.

         If any Party or Broker brings an action or proceeding (including
arbitration) involving the Property whether founded in tort, contract or equity,
or to declare rights hereunder, the Prevailing Party (as hereafter defined) in
any such proceeding, action, or appeal thereon, shall be entitled to reasonable
attorneys' fees. Such fees may be awarded in the same suit or recovered in a
separate suit, whether or not such action or proceeding is pursued to decision
or judgment. The term "PREVAILING PARTY" shall include, without limitation, a
Party or Broker who substantially obtains or defeats the relief sought, as the
case may be, whether by compromise, settlement, judgment, or the abandonment by
the other Party or Broker of its claim or defense. The attorneys' fees award
shall not be computed in accordance with any court fee schedule, but shall be
such as to fully reimburse all attorneys' fees reasonably incurred.

17. PRIOR AGREEMENTS/AMENDMENTS.

         17.1 This Agreement supersedes any and all prior agreements between
Seller and Buyer regarding the Property.

         17.2 Amendments to this Agreement are effective only if made in writing
and executed by Buyer and Seller.

18. BROKER'S RIGHTS.

         18.1 If this sale is not consummated due to the default of either the
Buyer or Seller, the defaulting Party shall be liable to and shall pay to
Brokers the Brokerage Fee that Brokers would have received had the sale been
consummated. If Buyer is the defaulting party, payment of said Brokerage Fee is
in addition to any obligation with respect to liquidated or other damages.

         18.2 Upon the Closing, Brokers are authorized to publicize the facts of
this transaction.

19. NOTICES.

         19.1 Whenever any Party, Escrow Holder or Brokers herein shall desire
to give or serve any notice, demand, request, approval, disapproval or other
communication, each such communication shall be in writing and shall be
delivered personally, by messenger or by mail, postage prepaid, to the address
set forth in this Agreement or by facsimile transmission.

         19.2 Service of any such communication shall be deemed made on the date
of actual receipt if personally delivered. Any such communication sent by
regular mail shall be deemed given 48 hours after the same is mailed.
Communications sent by United States Express Mail or overnight courier that
guarantee next day delivery shall be deemed delivered 24 hours after delivery of
the same to the Postal Service or courier. Communications transmitted by
facsimile transmission shall be deemed delivered upon telephonic confirmation of
receipt (confirmation report from fax machine is sufficient), provided a copy is
also delivered via delivery or mail. If such communication is received on a
Saturday, Sunday or legal holiday, it shall be deemed received on the next
business day.

         19.3 Any Party or Broker hereto may from time to time, by notice in
writing, designate a different address to which, or a different person or
additional persons to whom, all communications are thereafter to be made.

20. DURATION OF OFFER.

         20.1 If this offer is not accepted by Seller on or before 5:00 P.M.
according to the time standard applicable to the city of _____________________
on the date of _____________________, it shall be deemed automatically revoked.

         20.2 The acceptance of this offer, or of any subsequent counter offer
hereto, that creates an agreement between the Parties as described in paragraph
1.2, shall be deemed made upon delivery to the other Party or either Broker
herein of a duly executed writing unconditionally accepting the last outstanding
offer or counteroffer.

21. LIQUIDATED DAMAGES. (This Liquidated Damages paragraph is applicable only if
initialed by both Parties).

         THE PARTIES AGREE THAT IT WOULD BE IMPRACTICABLE OR EXTREMELY DIFFICULT
TO FIX, PRIOR TO SIGNING THIS AGREEMENT, THE ACTUAL DAMAGES WHICH WOULD BE
SUFFERED BY SELLER IF BUYER FAILS TO PERFORM ITS OBLIGATIONS UNDER THIS
AGREEMENT. THEREFORE, IF, AFTER THE SATISFACTION OR WAIVER OF ALL CONTINGENCIES
PROVIDED FOR THE BUYER'S BENEFIT, BUYER BREACHES THIS AGREEMENT, SELLER SHALL BE
ENTITLED TO LIQUIDATED DAMAGES IN THE AMOUNT OF $50,000.00. UPON PAYMENT OF SAID
SUM TO SELLER, BUYER SHALL BE RELEASED FROM ANY FURTHER LIABILITY TO SELLER, AND
ANY ESCROW CANCELLATION FEES AND TITLE COMPANY CHARGES SHALL BE PAID BY SELLER.

                   ---------------          ---------------
                   BUYER INITIALS           SELLER INITIALS

-----------                                                          -----------
INITIALS                                                                INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION           FORM OFA

                                     PAGE 6
<PAGE>

22. ARBITRATION OF DISPUTES. (This Arbitration of Disputes paragraph is
applicable only if initialed by both parties.)

         22.1 ANY CONTROVERSY AS TO WHETHER SELLER IS ENTITLED TO THE LIQUIDATED
DAMAGES AND/OR BUYER IS ENTITLED TO THE RETURN OF DEPOSIT MONEY, SHALL BE
DETERMINED BY BINDING ARBITRATION BY, AND UNDER THE COMMERCIAL RULES OF THE
AMERICAN ARBITRATION ASSOCIATION ("COMMERCIAL RULES"). ARBITRATION HEARINGS
SHALL BE HELD IN THE COUNTY WHERE THE PROPERTY IS LOCATED. ANY SUCH CONTROVERSY
SHALL BE ARBITRATED BY 3 ARBITRATORS WHO SHALL BE IMPARTIAL REAL ESTATE BROKERS
WITH AT LEAST 5 YEARS OF FULL TIME EXPERIENCE IN BOTH THE AREA WHERE THE
PROPERTY IS LOCATED AND THE TYPE OF REAL ESTATE THAT IS THE SUBJECT OF THIS
AGREEMENT. THEY SHALL BE APPOINTED UNDER THE COMMERCIAL RULES. THE ARBITRATORS
SHALL HEAR AND DETERMINE SAID CONTROVERSY IN ACCORDANCE WITH APPLICABLE LAW, THE
INTENTION OF THE PARTIES AS EXPRESSED IN THIS AGREEMENT AND ANY AMENDMENTS
THERETO, AND UPON THE EVIDENCE PRODUCED AT AN ARBITRATION HEARING.
PRE-ARBITRATION DISCOVERY SHALL BE PERMITTED IN ACCORDANCE WITH THE COMMERCIAL
RULES OR STATE LAW APPLICABLE TO ARBITRATION PROCEEDINGS. THE AWARD SHALL BE
EXECUTED BY AT LEAST 2 OF THE 3 ARBITRATORS, BE RENDERED WITHIN 30 DAYS AFTER
THE CONCLUSION OF THE HEARING, AND MAY INCLUDE ATTORNEYS' FEES AND COSTS TO THE
PREVAILING PARTY PER PARAGRAPH 18 HEREOF. JUDGMENT MAY BE ENTERED ON THE AWARD
IN ANY COURT OF COMPETENT JURISDICTION NOTWITHSTANDING THE FAILURE OF A PARTY
DULY NOTIFIED OF THE ARBITRATION HEARING TO APPEAR THEREAT.

         22.2 BUYER'S RESORT TO OR PARTICIPATION IN SUCH ARBITRATION PROCEEDINGS
SHALL NOT BAR SUIT IN A COURT OF COMPETENT JURISDICTION BY THE BUYER FOR DAMAGES
AND/OR SPECIFIC PERFORMANCE UNLESS AND UNTIL THE ARBITRATION RESULTS IN AN AWARD
TO THE SELLER OF LIQUIDATED DAMAGES, IN WHICH EVENT SUCH AWARD SHALL ACT AS A
BAR AGAINST ANY ACTION BY BUYER FOR DAMAGES AND/OR SPECIFIC PERFORMANCE.

         22.3 NOTICE: BY INITIALING IN THE SPACE BELOW YOU ARE AGREEING TO HAVE
ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN THE "ARBITRATION OF DISPUTES"
PROVISION DECIDED BY NEUTRAL ARBITRATION AS PROVIDED BY CALIFORNIA LAW AND YOU
ARE GIVING UP ANY RIGHTS YOU MIGHT POSSESS TO HAVE THE DISPUTE LITIGATED IN A
COURT OR JURY TRIAL. BY INITIALING IN THE SPACE BELOW YOU ARE GIVING UP YOUR
JUDICIAL RIGHTS TO DISCOVERY AND APPEAL, UNLESS SUCH RIGHTS ARE SPECIFICALLY
INCLUDED IN THE "ARBITRATION OF DISPUTES" PROVISION. IF YOU REFUSE TO SUBMIT TO
ARBITRATION AFTER AGREEING TO THIS PROVISION, YOU MAY BE COMPELLED TO ARBITRATE
UNDER THE AUTHORITY OF THE CALIFORNIA CODE OF CIVIL PROCEDURE. YOUR AGREEMENT TO
THIS ARBITRATION PROVISION IS VOLUNTARY.

         WE HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT DISPUTES
ARISING OUT OF THE MATTERS INCLUDED IN THE "ARBITRATION OF DISPUTES" PROVISION
TO NEUTRAL ARBITRATION.

              --------------      ---------------
              BUYER INITIALS      SELLER INITIALS

23. MISCELLANEOUS.

         23.1 BINDING EFFECT. This Agreement shall be binding on the Parties
without regard to whether or not paragraphs 21 and 22 are initialed by both of
the Parties. Paragraphs 21 and 22 are each incorporated into this Agreement only
if initialed by both Parties at the time that the Agreement is executed.

         23.2 APPLICABLE LAW. This Agreement shall be governed by, and paragraph
22.3 is amended to refer to, the laws of the state in which the Property is
located.

         23.3 TIME OF ESSENCE. Time is of the essence of this Agreement.

         23.4 COUNTERPARTS. This Agreement may be executed by Buyer and Seller
in counterparts, each of which shall be deemed an original, and all of which
together shall constitute one and the same instrument. Escrow Holder, after
verifying that the counterparts are identical except for the signatures, is
authorized and instructed to combine the signed signature pages on one of the
counterparts, which shall then constitute the Agreement.

         23.5 WAIVER OF JURY TRIAL. THE PARTIES HEREBY WAIVE THEIR RESPECTIVE
RIGHTS TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING INVOLVING THE PROPERTY OR
ARISING OUT OF THIS AGREEMENT.

         23.6 CONFLICT. Any conflict between the printed provisions of this
Agreement and the typewritten or handwritten provisions shall be controlled by
the typewritten or handwritten provisions.

24. DISCLOSURES REGARDING THE NATURE OF A REAL ESTATE AGENCY RELATIONSHIP.

         24.1 The Parties and Brokers agree that their relationship(s) shall be
governed by the principles set forth in the applicable sections of the
California Civil Code, as summarized in paragraph 24.2.

         24.2 When entering into a discussion with a real estate agent regarding
a real estate transaction, a Buyer or Seller should, from the outset, understand
what type of agency relationship or representation it has with the agent or
agents in the transaction. Buyer and Seller acknowledge being advised by the
Brokers in this transaction, as follows:

              (a) Seller's Agent. A Seller's agent under a listing agreement
with the Seller acts as the agent for the Seller only. A Seller's agent or
subagent has the following affirmative obligations: (1) To the Seller: A
fiduciary duty of utmost care, integrity, honesty, and loyalty in dealings with
the Seller. (2) To the Buyer and the Seller: a. Diligent exercise of reasonable
skills and care in performance of the agent's duties. b. A duty of honest and
fair dealing and good faith. c. A duty to disclose all facts known to the agent
materially affecting the value or desirability of the property that are not
known to, or within the diligent attention and observation of, the Parties. An
agent is not obligated to reveal to either Party any confidential information
obtained from the other Party which does not involve the affirmative duties set
forth above.

              (b) Buyer's Agent. A selling agent can, with a Buyer's consent,
agree to act as agent for the Buyer only. In these situations, the agent is not
the Seller's agent, even if by agreement the agent may receive compensation for
services rendered, either in full or in part from the Seller. An agent acting
only for a Buyer has the following affirmative obligations. (1) To the Buyer: A
fiduciary duty of utmost care, integrity, honesty, and loyalty in dealings with
the Buyer. (2) To the Buyer and the Seller: a. Diligent exercise of reasonable
skills and care in performance of the agent's duties. b. A duty of honest and
fair dealing and good faith. c. A duty to disclose all facts known to the agent
materially affecting the value or desirability of the property that are not
known to, or within the diligent attention and observation of, the Parties. An
agent is not obligated to reveal to either Party any confidential information
obtained from the other Party which does not involve the affirmative duties set
forth above.

              (c) Agent Representing Both Seller and Buyer. A real estate agent,
either acting directly or through one or more associate licenses, can legally be
the agent of both the Seller and the Buyer in a transaction, but only with the
knowledge and consent of both the Seller and the Buyer. (1) In a dual agency
situation, the agent has the following affirmative obligations to both the
Seller and the Buyer: a. A fiduciary duty of utmost care, integrity, honesty and
loyalty in the dealings with either Seller or the Buyer. b. Other duties to the
Seller and the Buyer as stated above in their respective sections (a) or (b) of
this paragraph 24.2. (2) In representing both Seller and Buyer, the agent may
not without the express permission of the respective Party, disclose to the
other Party that the Seller will accept a price less than the listing price or
that the Buyer will pay a price greater than the price offered. (3) The above
duties of the agent in a real estate transaction do not relieve a Seller or
Buyer from the responsibility to protect their own interests. Buyer and Seller
should carefully read all agreements to assure that they adequately express
their understanding of the transaction. A real estate agent is a person
qualified to advise about real estate. If legal or tax advice is desired,
consult a competent professional.

-----------                                                          -----------
INITIALS                                                                INITIALS

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION            FORM OFA-4-6/00

                                     PAGE 7
<PAGE>
         (d) Further Disclosures. Throughout this transaction Buyer and Seller
may receive more than one disclosure, depending upon the number of agents
assisting in the transaction. Buyer and Seller should each read its contents
each time it is presented, considering the relationship between them and the
real estate agent in this transaction and that disclosure. Brokers have no
responsibility with respect to any default or breach hereof by either Party. The
liability (including court costs and attorneys' fees), of any Broker with
respect to any breach of duty, error or omission relating to this Agreement
shall not exceed the fee received by such Broker pursuant to this Agreement;
provided, however, that the foregoing limitation on each Broker's liability
shall not be applicable to any gross negligence or willful misconduct of such
Broker.

         24.3 Confidential Information. Buyer and Seller agree to identify to
Brokers as "Confidential" any communication or information given Brokers that is
considered by such Party to be confidential.

25. Construction of Agreement. In construing this Agreement, all headings and
titles are for the convenience of the parties only and shall not be considered a
part of this Agreement. Whenever required by the context, the singular shall
include the plural and vice versa. Unless otherwise specifically indicated to
the contrary, the word "days" as used in this Agreement shall mean and refer to
calendar days. This Agreement shall not be construed as if prepared by one of
the parties, but rather according to its fair meaning as a whole, as if both
parties had prepared it.

26. ADDITIONAL PROVISIONS:

         Additional provisions of this offer, if any, are as follows or are
attached hereto by an addendum consisting of paragraphs 26.1 through 26.5. (If
there are no additional provisions write "NONE".)

26.1 Seller shall lease back the subject property at $11.80 per square feet NNN
per year for ten (10) years.

    The monthly rent shall be increased 1.5% annually.

26.2 The transaction is subject to execution of the new lease. Both parties
shall execute the Lease before close of escrow.

26.3 Buyer's Agent shall prepare the Lease to recognition with Seller's agent
within (15) days after the Date of Agreement.

    Both parties shall mutually agree the terms and conditions of the Lease
within thirty (30) days after the Date of Agreement.

26.4 (See Addendum).

26.5 Seller shall have two (2) five (5) year options to extend the Lease with
the same 1.5% annual increase.

ATTENTION: NO REPRESENTATION OR RECOMMENDATION IS MADE BY THE AMERICAN
INDUSTRIAL REAL ESTATE ASSOCIATION OR BY ANY BROKER AS TO THE LEGAL SUFFICIENCY,
LEGAL EFFECT, OR TAX CONSEQUENCES OF THIS AGREEMENT OR THE TRANSACTION TO WHICH
IT RELATES. THE PARTIES ARE URGED TO:

1. SEEK ADVICE OF COUNSEL AS TO THE LEGAL AND TAX CONSEQUENCES OF THIS
AGREEMENT.

2. RETAIN APPROPRIATE CONSULTANTS TO REVIEW AND INVESTIGATE THE CONDITION OF THE
PROPERTY. SAID INVESTIGATION SHOULD INCLUDE BUT NOT BE LIMITED TO: THE POSSIBLE
PRESENCE OF HAZARDOUS SUBSTANCES, THE ZONING OF THE PROPERTY, THE INTEGRITY AND
CONDITION OF ANY STRUCTURES AND OPERATING SYSTEMS, AND THE SUITABILITY OF THE
PROPERTY FOR BUYER'S INTENDED USE.

WARNING: IF THE PROPERTY IS LOCATED IN A STATE OTHER THAN CALIFORNIA, CERTAIN
PROVISIONS OF THIS AGREEMENT MAY NEED TO BE REVISED TO COMPLY WITH THE LAWS OF
THE STATE IN WHICH THE PROPERTY IS LOCATED.

NOTE:

         1. THIS FORM IS NOT FOR USE IN CONNECTION WITH THE SALE OF RESIDENTIAL
PROPERTY.

         2. IF THE BUYER IS A CORPORATION, IT IS RECOMMENDED THAT THIS AGREEMENT
BE SIGNED BY TWO CORPORATE OFFICERS.

The undersigned Buyer offers and agrees to buy the Property on the terms and
conditions stated and acknowledges receipt of a copy hereof.

<Table>
<S>                                                  <C>
BROKER:                                              BUYER:

Coldwell Banker Commercial-JM Properties                   Sung Ho Choi and/or his assignee
-----------------------------------------                  -------------------------------------------
                                                           /s/
-----------------------------------------                  -------------------------------------------
Attn: Brian Park                                     By:                            Date: 5-6-04
     ------------------------------------                  -------------------------     -------------
Title: Associate VP                                  Name Printed: Sung Ho Choi
      -----------------------------------                         ------------------------------------
Address: 1125 W 190th St., Suite 260                 Title:
        ---------------------------------                  -------------------------------------------
         Gardena, CA 80246                           Telephone:(   )
        ---------------------------------                      ---------------------------------------
Telephone:(310) 787-5800
          -------------------------------
Facsimile:(310) 767-5601                             By:                            Date:
          -------------------------------              -----------------------------     -------------
Email:                                               Name Printed:
        ---------------------------------                         ------------------------------------
Federal ID No.                                       Title:
              ---------------------------                  -------------------------------------------
                                                     Address:
                                                             -----------------------------------------
                                                     Telephone:(  )
                                                               ---------------------------------------
                                                     Facsimile:(  )
                                                               ---------------------------------------
                                                     Email:
                                                           -------------------------------------------
                                                     Federal ID No.
                                                                   -----------------------------------
</Table>

27.  Acceptance.

         27.1 Seller accepts the foregoing offer to purchase the Property and
hereby agrees to sell the Property to Buyer on the terms and conditions therein
specified.

         27.2 Seller acknowledges that Brokers have been retained to locate a
Buyer and are the procuring cause of the purchase and sale of the Property set
forth in this Agreement. In consideration of real estate brokerage service
rendered by Brokers, Seller agrees to pay Brokers a real estate Brokerage Fee in
a sum equal to 6 % of the Purchase Price divided in such shares as said Brokers
shall direct in writing. This Agreement shall serve as an irrevocable
instruction to Escrow Holder to pay such Brokerage Fee to Brokers out of the
proceeds accruing to the account of Seller at the Closing.

         27.3 Seller acknowledges receipt of a copy hereof and authorizes
Brokers to deliver a signed copy to Buyer.

(C)2000 - AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION           FORM OFA-

                                     PAGE 8
<PAGE>
NOTE: A PROPERTY INFORMATION SHEET IS REQUIRED TO BE DELIVERED TO BUYER BY
SELLER UNDER THIS AGREEMENT.

<Table>
<S>                                                 <C>
BROKER: GVA Strategis                               SELLER:

Attn:  Michael Ziecik                               By:
      -------------------------------                  -----------------------------------
Title:  Principle                                   Date:
      -------------------------------                    ---------------------------------
Address: 26100 American Drive Ste 600               Name Printed:
        -----------------------------                            -------------------------
          Southfield, MI 48034                      Title:
        -----------------------------                     --------------------------------
Telephone:(248) 262-8000                             Telephone:(  )
           --------------------------                         ---------------------------
Facsimile:(248) 262-8013                             Facsimile:(  )
      -------------------------------                         ----------------------------
Email:
      -------------------------------
Federal ID No.                                      By:
              -----------------------                  -----------------------------------
                                                    Date:
                                                         ---------------------------------
                                                    Name Printed:
                                                                 -------------------------
                                                    Title:
                                                          --------------------------------
                                                    Address:
                                                         ---------------------------------
                                                    Telephone:(  )
                                                                  ------------------------
                                                    Facsimile:(  )
                                                                  ------------------------
                                                    Email:
                                                          --------------------------------
                                                    Federal ID No:

</Table>

THESE FORMS ARE OFTEN MODIFIED TO MEET CHANGING REQUIREMENTS OF LAW AND NEEDS OF
THE INDUSTRY. ALWAYS WRITE OR CALL TO MAKE SURE YOU ARE UTILIZING THE MOST
CURRENT FORM: AIR COMMERCIAL REAL ESTATE ASSOCIATION, 700 SOUTH FLOWER STREET,
SUITE 600, LOS ANGELES, CA 90017. (213) 687-8777.

(C) COPYRIGHT 2003 BY AIR COMMERCIAL REAL ESTATE ASSOCIATION. ALL RIGHTS
RESERVED. NO PART OF THESE WORKS MAY BE REPRODUCED IN ANY FORM WITHOUT
PERMISSION IN WRITING.

                                   PAGE 8 OF 8

--------                                                             ---------
--------                                                             ---------
INITIALS                                                             INITIALS

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00069-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00069-of-00352.parquet"}]]