Document:

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                                                                   Exhibit 10.50
                                                                   -------------

                                   AGREEMENT

     THIS AGREEMENT is made and entered into as of this 6th day of November,
2000 by and among PINNACLE ENTERTAINMENT, INC. ("PINNACLE") and FULL HOUSE, LLC
("FULL HOUSE"), with reference to the following facts:

                                  WITNESSETH

     WHEREAS, Pinnacle and Full House are the sole members of Belterra Resort
Indiana, LLC, a Nevada limited liability company ("Belterra") and are parties to
the Operating Agreement of Belterra dated on or about December22, 1995, as
amended (the "Operating Agreement");

     WHEREAS, Belterra is currently constructing a casino project located in
Switzerland County, Indiana (the "Project");

     WHEREAS, the Project consists primarily of a riverboat casino (the "Miss
Belterra"), a 200,000 square foot landbased pavilion (including all restaurants,
retail areas, showroom and other facilities contained therein), a 308-room
hotel, and a championship golf course (the "Project Components");

     WHEREAS, Full House has expressed a desire to sell its membership interest
in Belterra to Pinnacle and extinguish all of its rights and obligations in
respect of Belterra or its affiliates of any kind or nature, whether arising
under the Operating Agreement or otherwise, and Pinnacle is willing to extend to
Full House an option to sell its interest to Pinnacle, upon the terms and
conditions contained herein;

     WHEREAS, Pinnacle has expressed a desire to acquire Full House's membership
interest in Belterra, and Full House is willing to extend to Pinnacle an option
to acquire Full House's interest, upon the terms and conditions contained
herein;

     WHEREAS, Pinnacle caused Belterra to guarantee certain corporate debt of
Pinnacle; Full House asserts that Pinnacle should not have caused Belterra to
guarantee such debt but is willing to give its consent to Belterra's guarantees

                                     Page 1
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of both existing and future debt of Pinnacle in exchange for the consideration
payable to Full House under the terms and conditions contained hereof.

     NOW, THEREFORE, in consideration of the mutual covenants contained herein,
and for other good and valuable consideration, the receipt and adequacy of which
are hereby acknowledged, Pinnacle and Full House incorporate the foregoing
recitals in their agreement and further agree as follows:

                                   AGREEMENT
                                   ---------
     1.  FULL HOUSE'S OPTION TO SELL.
         ---------------------------
          (a) Option.  From and after January 1, 2001, Full House shall have an
              ------
option to require Pinnacle to purchase Full House's entire existing 3%
membership interest in Belterra (the "Interest"), on the terms that are
hereafter set forth, and at a price determined pursuant to Section 1(b) below
(the "Put Option").  Full House may exercise the Put Option by tendering written
notice to Pinnacle of its exercise of the Put Option.  The notice may be given
within twenty (20) days after Full House receives a monthly or quarterly
financial statement provided as specified in Section 4 hereof.  If a monthly or
quarterly statement is not received by the 45th day following the end of the
period to which it relates (a "Due Date"), such written notice may be given from
the Due Date of a statement through the date which is twenty (20) days after
Full House receives the statement.

          (b) Purchase Price.  Subject to the adjustments set forth below, the
              --------------
price ("Purchase Price") that Pinnacle shall pay for the Interest shall be (x)
assumption of all of Full House's obligations under the Operating Agreement and
under that certain Agreement among Full House, Hilton Gaming (Switzerland
County) Corporation, and Boomtown Hoosier, Inc., dated as of May 16, 1996, and
as to which Pinnacle is the successor in interest to the parties other than Full
House, including but not limited to any notes, instruments or evidences of
indebtedness issued pursuant to either of such Agreements plus (y) the dollar
amount determined by the following formula:

                                     Page 2
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               .03 X [(6.45 X EBITDA) - Total Project Cost + Undistributed
Income
               where:
               (i)  6.45 is the EBITDA Multiple.
               (ii) EBITDA means an amount computed for the twelve (12) full
months immediately preceding the date on which Full House gives notice of its
exercise of the Put Option, derived from the net income of Belterra (including
operations of the Ogle Haus property) as disclosed on its financial statements
provided pursuant to Section 4, below. EBITDA is calculated by adding income
taxes, minority interests, net interest expense, depreciation and amortization
and all non-recurring items to net income (loss) as determined under generally
accepted accounting principles (GAAP) and reported by Pinnacle to its board of
directors and lenders. An example of the calculation of EBITDA is set forth in
Exhibit B, below. Notwithstanding the foregoing, if the Put Option is exercised
at any time prior to January 1, 2002, EBITDA shall be deemed to be Forty-Five
Million Dollars ($45,000,000), regardless of Belterra's actual operating
results.

               (iii) Total Project Cost means the total net cost of developing
and constructing the Project Components, including pre-opening expenses, land
acquisition costs, all furniture, fixtures and equipment (including gaming
equipment), infrastructure costs, organizational expenses, community grants,
capitalized lease obligations not in excess of $1.5 million for financial
reporting purposes, acquisition and operational cost of the Ogle Haus motel
property through the opening date of the Project , additional costs (net of
insurance proceeds) generated by the recent accident affecting the Miss
Belterra, if any, plus simple interest ("Imputed Interest") on the Total Project
Cost (excluding Imputed Interest) from the date of expenditure through August

                                     Page 3
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31, 2000 at a per annum rate of 10%, and from September 1, 2000 through the
opening date of the Project at a per annum rate of 7%. Total Project Cost is
currently estimated to be approximately $215,000,000. Anything in this Agreement
to the contrary notwithstanding, Total Project Cost shall not include charges
relating to Pinnacle's corporate overhead or items that did not directly relate
to the Project. Total Project Cost shall be computed based on the cost
accounting methods and principles employed in calculating "Property plant and
equipment CIP" as shown in the Consolidated Balance Sheet prepared as of August
31, 2000 and attached hereto as Exhibit C, except that capitalized interest
shall not be considered in view of the above allowance for Imputed Interest and
no maintenance capital expenditures shall be included in the determination of
Total Project Cost. No changes to the items included in determining Total
Project Cost from the items set forth in such consolidated balance sheet and
accompanying trial balance shall be made without the prior written consent of
Full House. Full House shall have the right to audit the books and records of
Belterra and its affiliates, including but not limited to accountants' work
papers, to confirm that the Total Project Cost figure provided by Belterra does
not include Pinnacle's corporate overhead or other amounts not properly
chargeable to Belterra and that it has been determined consistently with the
August 31, 2000 consolidated balance sheet and accompanying trial balance;
provided, however, that such audit or review to be conducted at the sole expense
of Full House and during reasonable business hours. Such audits shall be
completed, and any disputes relating to the computation of Total Project Cost
communicated in writing to Pinnacle, not later than one year following the date
on which Pinnacle certifies to Full House the amount of the Total Project Cost.

               (iv) Undistributed Income shall be an amount equal to the
accumulated income of Belterra, determined in accordance with GAAP applied

                                     Page 4
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consistently between periods, before deducting minority interests and interest
expense, and without regard to positive or negative nonrecurring items, through
the effective date of the exercise of the Put Option or the Call Option, as
applicable, reduced by all distributions made to the Members by Belterra through
such effective date (whether for tax payments or otherwise) provided however,
that (x) in lieu of any actual interest paid, accrued or recorded by Belterra,
Imputed Interest shall be deducted at the rate of seven percent (7%) per annum
on Total Project Cost, (y) in lieu of any deductions for depreciation,
maintenance capital expenditures, as determined in accordance with customary and
reasonable practice in the gaming industry, shall be deducted and (z) as of the
beginning of each calendar quarter commencing January 1, 2001, the Undistributed
Income amount shall be increased by a credit equal to seven percent (7%) per
annum simple interest, determined on the outstanding balance of Undistributed
Income at the beginning of the preceding calendar quarter less the cash
distributions made to Full House during such calendar quarter, such
distributions to be taken into account if, as and when made. Notwithstanding the
foregoing, Undistributed Income shall not be reduced by any items of corporate
overhead, and shall be reduced by charges for common services and facilities
rendered by any other member of the Pinnacle Group only in accordance with the
principles and procedures set forth in Exhibit D, below. Full House shall have
the right to audit the books and records of Belterra and its affiliates,
including but not limited to accountants' work papers, to confirm that the
Undistributed Income figures provided by Belterra do not include Pinnacle's
corporate overhead or other amounts not properly chargeable to Belterra,
provided, however, that such audit or review to be conducted at the sole expense
of Full House and during reasonable business hours. An example of the
determination of Undistributed Income is attached as Exhibit B annexed hereto
and made a part of this Agreement.

                                     Page 5
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               (vi) By way of example, assume that Full House exercises its Put
Option in July, 2002 having received the June 30, 2002 financial statement of
Belterra. The financial statements show trailing 12-month EBITDA at $47,500,000.
Total Project Cost through June 30, 2002 has been determined to be $215,000,000.
Undistributed Income from opening through second quarter 2002, computed with all
adjustments required by clause (iv), above, but before deducting distributions,
totals $35,000,000, of which $14,000,000 has been distributed to the members,
leaving Undistributed Income at $21,000,000. Full House will be entitled to
receive a Purchase Price determined as follows: .03 x [(6.45 x 47,500,000) -
$215,000,000 + $21,000,000]; the Purchase Price is therefore 3 percent of
$112,375, 000, or $3,371,250. Assuming that Full House has received the deposit
of $200,000 as described in Sections 1 and 2(c), the final balance due would be
$3,171,250.

               (vii) If Full House's exercise of a Put Option occurs on a date
when a monthly or quarterly financial statement of Belterra is due but has not
been delivered, the price payable under the exercise shall be the higher of (x)
the price calculated using the data disclosed in the most recently delivered
statements or (y) the price calculated using the data disclosed in the
delinquent financial statements when they are delivered.

          (c) Payment of Purchase Price.  The Purchase Price shall be paid as
              -------------------------
follows:  (i) a deposit of $200,000 shall be payable $50,000 upon execution of
this Agreement and an additional $50,000 on or before March 1, 2001, September
1, 2001 and March 1, 2002; and (ii) the balance in cash (including any unpaid
portion of the deposit) within thirty (30) days after receipt by Pinnacle of
Full House's notice of its exercise of the Put Option, and upon receipt of an
assignment of Full House's entire membership interest in Belterra, in the form
annexed hereto as Exhibit A.  There shall be no other conditions precedent to
Pinnacle's obligation to pay the Purchase Price.

                                     Page 6
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          (d) The parties recognize that Belterra is now undertaking the
construction and future operation of a golf course as part of the Project, and
that such golf course will probably not be ready for revenue-producing operation
for a number of months.  If either the Put Option or the Call Option described
in Section 2, below, is exercised at a time when the financial statements from
which 12-month trailing EBITDA and Total Project Cost are computed do not
reflect a full 12 months' period of operation of the golf course, then Total
Project Cost and EBITDA shall be determined without regard to the cost or
results of operations of the golf course.  All computations required by this
paragraph shall be made in accordance with the principles and criteria set forth
in the foregoing provisions of this Section 1 and in accordance with Exhibit D,
below.

          (e) The parties further recognize that Belterra and Pinnacle may
desire to make capital expenditures for improvements, additions and betterments
(collectively "Improvements") to the Project following the Opening Date that do
not constitute maintenance capital expenditures, including, by way of example,
an expansion of the existing hotel facility.  Both the costs and the operations
attributable to such Improvements shall be taken into account in determining
Total Project Cost, EBITDA, and Undistributed Income, in accordance with the
foregoing provisions of this Section 2; provided, however, that (i) the capital
expenditures attributable to the Improvements shall not be reflected in Total
Project Cost until the Improvements are actually placed in service (ii) if
either the Put Option or the Call Option is exercised at a time when the
financial statements provided pursuant to Section 1(a), above, do not reflect a
full twelve months' operation of the Improvements, a fraction of Total Project
Cost shall be taken into account, the numerator of which is the number of months
of operation of the Improvements reflected in the financial statements, and the
denominator of which is twelve (12).

     2.  PINNACLE'S OPTION TO ACQUIRE.
         ----------------------------

                                     Page 7
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          (a) Option.  From and after the Operative Date set forth in the next
              ------
sentence, Pinnacle shall have an option to require Full House to sell Full
House's entire existing 3% membership interest in Belterra to Pinnacle (the
"Call Option").  Pinnacle may exercise the Call Option by tendering written
notice to Full House of its exercise of the Call Option within ten (10) days
after delivery to Full House of the quarterly financial statement specified in
Section 4 hereof.  The Operative Date shall be January 1, 2004 unless prior to
January 1, 2004 legislation is enacted by the State of Indiana authorizing the
conduct of full dockside gaming, in which event the Operative Date shall be the
later of (i) January 1, 2004 or (ii) the end of the calendar quarter in which
occurs the second anniversary of the effective date of such legislation.

          (b) Price.  The Purchase Price shall be determined in accordance with
              -----
the provisions of Sections 1(b)(i) and (ii) hereof.

          (c) Payment of Purchase Price.  The Purchase Price shall be paid as
              -------------------------
follows:  (i) a deposit of $200,000 shall be payable $50,000 upon execution of
this Agreement and an additional $50,000 on or before March 1, 2001, September
1, 2001 and March 1, 2002; and (ii) the balance in cash (including any unpaid
portion of the deposit) within thirty (30) days after receipt by Full House of
Pinnacle's notice of its exercise of the Call Option, and upon receipt of an
assignment of Full House's entire membership interest in Belterra, in the form
annexed hereto as Exhibit A.  There shall be no other conditions precedent to
Pinnacle's obligation to pay the Purchase Price.

     3.  BELTERRA'S GUARANTEE OF PINNACLE CORPORATE DEBT.
         -----------------------------------------------
          (a) On and subject to the terms hereof, Full House hereby ratifies and
consents to the guarantee by Belterra of the following corporate debt of
Pinnacle in existence as of the date hereof:

               (i) Bank Credit Facility in the amount of $200,000,000 (with an
option to increase to $300,000,000), expiring in 2003;
               (ii) 350,000,000 of 9.25% Senior Subordinated Notes due 2007;

                                     Page 8
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               (iii)  $125,000,000 of 9.5% Senior Subordinated Notes due 2007.

          (b) Full House further agrees that such ratification and consent shall
extend to Pinnacle causing Belterra to guarantee (as well as provide a pledge of
or security interest in any of the assets of Belterra) any and all modifications
of the foregoing debt, any replacements of such debt and any and all future
corporate debt of Pinnacle (and/or the debt of its affiliated companies or
entities, including without limitation, Harveys Casino Resorts ("Harveys") and
its affiliates, assuming the proposed merger of Pinnacle and Harveys is
consummated) regardless of amount, provided that such debt is at generally
prevailing market rates and is duly approved by the issuing entity's board of
directors, as certified by the secretary or president of the company; provided,
however, in the event that Full House determines, in its sole and unreviewable
discretion, that any additional debt to be incurred by Pinnacle and guaranteed
by Belterra is not in the best interests of Belterra, then Full House's sole
remedy shall be to immediately exercise the Put Option granted to it pursuant to
Section 1 hereof.  In order to assure Full House's ability to fully enjoy its
right to immediately exercise the Put Option, as provided above, it is
understood and agreed that the January 1, 2001 initial date set forth in Section
1 hereof shall not apply to any exercise by Full House of the Put Option
following notice to Full House of additional debt to be incurred by Pinnacle and
guaranteed by Belterra which Full House determines, in its sole and unreviewable
discretion, not to be in the best interests of Belterra.  It is further
understood and agreed that future lenders to Pinnacle may and will rely upon the
provisions set forth herein without the necessity of obtaining any further
consent or approval from Full House.

     4.  FINANCIAL STATEMENTS.
         --------------------
          From and after the opening of the Project, Belterra shall provide to
Full House unaudited monthly and quarterly financial statements of Belterra
including a balance sheet and a profit and loss statement, prepared in
accordance with generally accepted accounting principles, substantially

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identical to, consistent with, and included in the consolidated financial
statements of Pinnacle provided to Pinnacle's Board of Directors and lenders.

     5.  EFFECT ON OPERATING AGREEMENT.
         -----------------------------
          Upon the effective date of the exercise of either the Put Option or
the Call Option provided above, Full House's economic interest in the profits
and losses of Belterra shall cease and terminate, except with respect to the
rights to payment specifically provided in this Agreement.  However, unless
otherwise provided herein, the Operating Agreement shall remain in full force
and effect, and unmodified in accordance with its terms.

     6.  MISCELLANEOUS PROVISIONS.
         ------------------------
          (a) Notice.  All notices, requests, demands and other communications
              ------
required or permitted hereunder, shall be in writing and shall be deemed to have
been duly given when received.  Notice shall be delivered either by hand,
facsimile (with appropriate confirmation of receipt), certified mail return
receipt requested with postage prepaid, or overnight courier service, addressed
to the recipient party at the addresses specified on the signature page hereto,
or such other address as may be designated by notice given in accordance with
the provisions of this Section.

          (b) Entire Agreement; Further Assurances.  This Agreement constitutes
              ------------------------------------
the entire agreement between the parties hereto with respect to the specific
subject matter herein and supersedes all prior agreements and undertakings, both
written and oral, with respect to the specific subject matter hereof.  Each of
the parties hereby mutually agrees to deliver all such other documents and to do
and perform all such other acts as may reasonably be required from time to time
in connection with this Agreement or to implement or carry out the terms hereof.

          (c) Representations and Warranties.  To induce each party hereto to
              ------------------------------
enter into this Agreement, each party represents and warrants to the other party

                                    Page 10
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(i) that it is duly authorized to enter into and perform each of its promises
and agreements, as herein set forth ("Promises and Agreements"); and (ii) that
said Promises and Agreements are valid and existing obligations of such party
which are enforceable in accordance with the terms hereof.

          (d) Amendment.  This Agreement may be amended, superseded, canceled,
              ---------
renewed or extended, and the terms hereof may be waived, only by a written
instrument signed by each of the parties hereto, and it shall not be reasonable
for any party to rely on any oral statements or representations made by any
other party.

          (e) No Admission.  The execution of this Agreement shall not be deemed
              ------------
an admission of any wrongdoing, liability or unlawful conduct on the part of
Pinnacle, Belterra, Full House or House, or their respective affiliates,
divisions, officers, employees, agents, successors or assigns.

          (f) Successors and Assigns.  This Agreement shall inure to the benefit
              ----------------------
of, and be binding upon, Full House and its respective successors and permitted
assigns and Pinnacle, and its respective successors and assigns.  In the event
that Pinnacle engages in any corporate reorganization, merger, spin-off or other
transaction which results in an assumption of its obligations by operation of
law or contract, or the loss of its corporate existence or results in the
Project being operated by an entity other than Belterra, it shall take all
appropriate steps to inform the successor entity of the existence and nature of
this Agreement.

          (g) Waiver.  No waiver of any term or condition of this Agreement
              ------
shall be construed as a waiver of any other term or condition; nor shall the
waiver of any default under this Agreement be construed as a waiver of any other
default; nor, unless otherwise provided in this Agreement as to timing, shall
any delay or omission of any party to exercise any right hereunder in any manner
waive such right or impair the exercise of such right thereafter.

          (h) Headings.  The headings contained in this Agreement are for
              --------

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reference purposes only and shall not affect in any way the meaning or
interpretation of this Agreement.

          (i) Counterparts.  This Agreement may be executed in one or more
              ------------
counterparts, each of which when executed shall be deemed to be an original, but
all of which when taken together shall constitute one and the same agreement.

          (j) Legal Fees.  Each party to this Agreement agrees to be solely
              ----------
responsible for its respective legal fees and disbursements and other expenses
incurred by such party in connection with the negotiation and preparation of
this Agreement and in connection with any disputes, claims, litigation and other
matters relating to this Agreement.

          (k) Disputes.  Any controversy or claim arising out of or relating to
              --------
this agreement, or the breach thereof (collectively, "disputes"), shall be
settled by arbitration administered by the American Arbitration Association in
accordance with its Commercial Arbitration Rules, and judgment on the award
rendered by the arbitrator(s) may be entered in any court having jurisdiction
thereof.  The place of arbitration shall be Cincinnati, Ohio.   In addition to,
and not in limitation of, any and all rights that the parties may have under the
Commercial Arbitration Rules to conduct discovery prior to the hearing or trial
of the dispute, the parties hereby agree that they shall have the same rights of
pretrial discovery that would be accorded to them under the Federal Rules of
Civil Procedure, and the Local Rules of the United States District Court in
Cincinnati, Ohio, if the disputes were the subject of a civil action pending in
that United States District Court; provided, however, that all disputes
regarding discovery, or the relevance or scope thereof, shall be determined by
the arbitrator(s), which determination shall be conclusive.  In the absence of
actual fraud, the determinations of the arbitrators with regard to matters of
both fact and law shall be conclusive.

          (l) Governing Law.  The rights of the parties to this agreement shall
              -------------
be governed by, and it shall be construed and interpreted in accordance with,

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the internal laws of the State of Indiana, without regard to any principles of
conflict of laws.

          (m) Mutual General Release.  The parties shall execute a mutual
              ----------------------
general release, in the form annexed hereto as Exhibit E, upon the execution of
this Agreement.

          (n) Indemnification of Full House, etc.  Pinnacle shall indemnify and
              ----------------------------------
hold harmless Full House and all of its officers, directors, members,
subsidiaries, affiliates, insurers, servants, employees, attorneys, agents,
assigns, representatives, and successors, and anyone claiming under or through
them, or any of them, directly or indirectly, including without limitation, John
M. House, Barbara P. House, Michael P. House, John M. House, Jr. and Edward N.
House (collectively, the "Indemnified Parties") from all or any manner of
claims, liabilities, losses, damages or expenses (collectively "Losses") arising
out of the execution, performance, or asserted breach by any of the Indemnified
Parties of (i) the Operating Agreement, as amended through the Closing Date,
(ii) that certain Agreement among Full House, Hilton Gaming (Switzerland County)
Corporation, and Boomtown Hoosier, Inc., dated as of May 16, 1996, or (iii) the
planning, development, construction, and operation of the Project, and any
contract, promise, agreement or understanding relating thereto and (iv) any
actions in the nature of consulting services undertaken by John M. House,
whether before or after the execution and delivery of this Agreement, at the
request of Pinnacle, except for gross negligence or willful misconduct with
respect to any of the matters described in clauses (i) through (iv) that has
occurred on or before or will occur after the date of this Agreement.  Pinnacle
shall reimburse the Indemnified Parties for any legal or other expenses
reasonably incurred by them in connection with investigating or defending any
such Losses.  The obligations of Pinnacle under this Section 6(n) shall not be
terminated or modified in any manner that would adversely affect any Indemnified
Party without the consent of each affected Indemnified Party, it being expressly
understood and agreed that each Indemnified Party is a

                                    Page 13
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third-party beneficiary of this Section.  In the event Pinnacle or any
of its successors or assigns (i) consolidates with or merges into any other
person and is not the continuing or surviving entity following such
consolidation or merger or (ii) transfers all or substantially all of its assets
to any person, then in each such case proper provision shall be made so that the
successors and assigns of Pinnacle shall assume the obligations set forth in
this Section.

                                    Page 14
<PAGE>

     IN WITNESS WHEREOF, the parties hereto have entered into this Agreement as
of the date first above written.

330 N. Brand Boulevard, Suite 1100  PINNACLE ENTERTAINMENT, INC.
Glendale, California  91203-2308
Attn:  President
Facsimile No.:  818-662-5901        By: /s/ Paul R. Alanis
                                        ---------------------
                                    Its:President
                                        ---------------------

1015 W. 116th Street                FULL HOUSE, LLC
Carmel, Indiana  46032
Facsimile No.:  317-575-1155
                                    By:/s/John M. House
                                       ----------------------
                                    Its: Member
                                         --------------------

                                    Page 15<PAGE>

                                                                   Exhibit 10.51
                                                                   -------------

                                   AGREEMENT
                         AND JOINT ESCROW INSTRUCTIONS

     This Agreement and Joint Escrow Instructions ("Agreement") is made and
entered into as of January 24, 2001, by and between Crystal Park Hotel and
Casino Development Company, LLC, a California limited liability company
("Crystal Park"), and The Community Redevelopment Agency of the City of Compton,
a public body, corporate and politic (the "Agency"), with reference to the
following facts:

     A.  Crystal Park and the Agency are parties to that certain Amended and
Restated Disposition and Development Agreement, Agreement of Purchase and Sale,
and Lease with Option to Purchase, dated April 4, 1995, as amended (the "DDA"),
pursuant to which Agency owns and leases certain real property in the City of
Compton (the "City"), County of Los Angeles (the "County"), State of California,
as more particularly described on Exhibit A attached hereto (collectively,
                                  ---------
"Property").  For the purposes of this Agreement, the Property consists of the
(i) "Owned Property"; (ii) "Option Property" also described as the Hotel and
Parking Property in the DDA; and (iii) "Relinquished Property," as identified on

Exhibit A.  Crystal Park and the Agency are also parties to those agreements
---------
described on Exhibit B attached hereto (the "Related Agreements").
             ---------

     B.  The terms and conditions of this Agreement and the instructions to
First American Title Company ("Escrow Holder") with regard to the escrow
("Escrow") created hereby are as set forth below.

     NOW, THEREFORE, for and in consideration of the mutual covenants and
agreements contained in this Agreement, and other good and valuable
consideration, Crystal Park and the Agency hereby agree as follows:

1.  DEFINED TERMS.  Capitalized terms used herein but not defined herein shall
    -------------
have the meanings ascribed to such terms in the DDA.

2.  PURCHASE AND SALE.
    -----------------

    2.1  Exercise of Option. Crystal Park hereby exercises its option to
         ------------------
purchase the Option Property pursuant to paragraph 30 of DDA. Agency shall sell
and convey to Crystal Park and Crystal Park shall acquire and purchase from
Agency, the Option Property.

    2.2  Purchase Price.
         --------------

         2.2.1  Purchase Price. The Purchase Price for the Option Property shall
                --------------
be Three Million Four Hundred Thousand Dollars ($3,400,000.00), all cash (the
"Purchase Price").

3.  TERMINATION OF DDA.  Effective on the Closing Date, as hereinafter defined,
    ------------------
the DDA, including, without limitation, Crystal Park's lease of the Relinquished
Property,
<PAGE>

shall terminate and be of no further force and effect. On the Closing Date,
Crystal Park shall pay to the Agency a termination fee ("Termination Fee") in
the amount of Six Hundred Thousand Dollars ($600,000.00). Concurrently
therewith, the parties respective obligations under the Related Agreements shall
also terminate and be of no further force and effect. Notwithstanding the
foregoing, the parties respective obligations under Sections 10(b) and 10(c) of
the DDA shall survive the termination of the DDA:

     DDA Section 10(b): Environmental Conditions of Property Prior to
     ----------------------------------------------------------------
     Commencement of Lease. Agency shall be solely responsible for the costs of
     ---------------------
     clean up or remediation of any deposit or discharge of Hazardous Materials
     on or from the Property which occurred prior to the Effective Date, and
     Agency shall indemnify, hold harmless and defend Redeveloper against any
     and all loss, cost or obligation with respect thereto (including attorneys
     fees and costs), provided, however, that Agency shall not be liable to
     Redeveloper for any consequential damages suffered by Redeveloper by reason
     of the existence of any Hazardous Waste on the Property which existed prior
     to the Effective Date and which could have reasonably been discovered by a
     competent environmental assessment of the Property.

     DDA Section 10(c):  Environmental Condition of the Property During Lease
     ------------------------------------------------------------------------
     Term. Redeveloper shall indemnify, protect, defend and hold harmless Agency
     ----
     from and against any and all claims, liabilities, suits, losses, costs,
     expenses and damages, including but not limited to attorneys' fees and
     costs, arising out of any claim for loss or damage to any property,
     including the Property (including both the Convention Center Parcel and the
     Leasehold Parcels), injuries to or death of persons, or for the cost of
     cleaning up the Property, and removing hazardous or toxic substances,
     materials and waste therefrom, by reason of contamination or adverse
     effects on the environment, or by reason of any statutes, ordinances,
     orders, rules or regulations of any governmental entity or agency requiring
     the clean-up of the Property caused by or resulting any hazardous material,
     substance or waste introduced to the Property during the Term of this
     Lease.  The foregoing indemnity shall survive the expiration or termination
     of this Lease, and the close of escrow in the event of Redeveloper's
     exercise of the option to purchase the Leasehold Parcels set forth below.
     Moreover, upon the expiration of this Lease, if Redeveloper has not
     purchased the Leasehold Parcels, then Redeveloper shall not thereafter be
     liable on account of this indemnity as a result of hazardous or toxic
     substances, materials, or waste that were located on the Leasehold Parcels
     prior to the Effective Date, except to the extent such hazardous or toxic
     substances, materials, or waste were deposited on the Property prior to the
     Effective Date by Redeveloper or Redeveloper's agents, officers, employees,
     contractors, sublessees, or assignees.

4.  COVENANT TO OPERATE.  Notwithstanding the provisions of Section 3 hereof,
    -------------------
Crystal Park agrees and covenants that all current uses and operations,
including, without limitation, the card club casino and related uses, will be
operated on the Option Property and the Owned Property until and through June
30, 2001 (the "Continued Operations Date"), when such restriction shall
automatically expire without the need for any further action under the DDA.
Further, Crystal Park agrees and covenants that if it ceases operating the card
club casino and related uses, in whole or in part, prior to the Continued
Operations Date, that Crystal Park shall pay to City an amount equal to the
gaming tax that would be

                                      -2-
<PAGE>

due on the discontinued operations through the Continued Operations Date, based
on the previous year's receipts for the same time period. It is understood,
however, that Crystal Park shall remain subject to all other laws, regulations
and policies governing land use in the City through and after the Continued
Operations Date. Crystal Park shall not be obligated to pay or shall be entitled
to receive a refund or rebate of that portion of any possessory interest taxes
or real property taxes allocable to the Owned Property and Option Property, to
the extent payable or allocable to the Agency or the City during the period from
the Closing through the earlier of (i) the date a card club casino ceases to be
operated on the Owned Property and Option Property; and (ii) August 2, 2005.

5.  MEMORANDUM OF UNDERSTANDING.  Pursuant to that certain Memorandum of
    ---------------------------
Understanding dated September 30, 1996, between the Agency and Crystal Park,
Crystal Park has usage rights to that certain sign owned by the City located
between the east and westbound lanes of the 91 Freeway between Acacia Avenue and
Alameda Street (the "Sign").  The parties agree that the Memorandum of
Understanding shall continue to govern Crystal Park's use of the Sign after the
Close of Escrow for so long as a casino is operated on the Owned Property and
the Option Property.  At Closing, the parties shall execute an Amendment of
Memorandum of Understanding, a copy of which is attached as Exhibit C, to
                                                            ---------
provide for Crystal Park's continued right to use the Sign after card club
casino and hotel  uses cease on the Owned Property and Option Property (the "MOU
Amendment").

6.  ESCROW AND CLOSING.
    ------------------

     6.1  Opening of Escrow. For purposes of this Agreement, the Escrow shall be
          -----------------
deemed opened on the date Escrow Holder shall have received a mutually executed
copy of this Agreement. Escrow Holder shall promptly notify Crystal Park and
Agency, in writing, at the addresses noted in Section 11.14, of the date Escrow
is opened ("Opening of Escrow"). In addition, Crystal Park and Agency agree to
execute, deliver and be bound by any reasonable and customary supplemental
escrow instructions of Escrow Holder or other instruments as may reasonably be
required by Escrow Holder in order to consummate the transaction contemplated by
this Agreement. Any such supplemental instructions shall not conflict with,
amend or supercede any portions of this Agreement. If there is any conflict or
inconsistency between such supplemental instructions and this Agreement, this
Agreement shall control.

          6.1.1  Costs and Prorations.
                 --------------------

                 a)  Costs. Costs in connection with the Close of Escrow shall
                     -----
be allocated as follows:

                    i)  Agency shall pay:

                        (1)  the cost of a CLTA Policy of Title Insurance (as
    defined below),

                        (2)  one-half ( 1/2) of the Escrow holder's fees,

                        (3)  the documentary transfer taxes, if any.

                                      -3-
<PAGE>

                    ii)  Crystal Park shall pay

                         (1)  one-half ( 1/2) of the Escrow Holder's fees, and

                         (2)  if elected by Crystal Park, the increased cost of
     obtaining an ALTA Policy of Title Insurance and any endorsements thereto
     requested by Crystal Park (over and above the CLTA Policy of Title
     Insurance that Agency is required to pay for).

                         (3)  recording fees payable in connection with the
     Recordable Documents, as hereinafter defined, and

                    iii)  All other costs related to the transaction shall be
paid by the parties in the manner consistent with common practice in the County
of Los Angeles, California.

                b)  Prorations. All real and personal property taxes and special
                    ----------
assessments, if any, assessed against the Option Property and the Relinquished
Property for the period of time prior to the Closing Date, whether payable in
installments or not, shall be paid by Crystal Park as of the Closing Date.

                    i)  Other Items.  Except as otherwise provided in this
                        -----------
Paragraph 6.1.2(b), all other items as are normally prorated and adjusted in the
sale of property similar to the Option Property and the Relinquished Property
shall be prorated as of the Closing Date in the manner consistent with common
practice in the County of Los Angeles, California.

    6.2  Closing Date.
         ------------

         6.2.1  The Close of Escrow shall occur on or before the date that is
ten (10) days after the effective date of this Agreement (the "Closing Date").

         6.2.2  As used in this Agreement, the "Close of Escrow" shall mean the
date the Recordable Documents are recorded in the Official Records of the
County. The Close of Escrow shall take place on the Closing Date at the offices
of the Escrow Holder.

    6.3  Conditions Precedent to Close of Escrow.
         ---------------------------------------

         6.3.1  Conditions to Crystal Park's Obligations. The Close of Escrow
                ----------------------------------------
and Crystal Park's obligation to purchase the Option Property, are subject to
the satisfaction of the following conditions or Crystal Park's written waiver of
such conditions on or before the Closing Date.

                a) As of the Closing Date, Agency shall have performed all of
the material obligations required to be performed by Agency under this
Agreement;

                b) All representations made by Agency to Crystal Park in this
Agreement shall be true and correct in all material respects as of the Closing
Date;

                                      -4-
<PAGE>

                c) The Title Company shall be committed to issue to Crystal
Park, as of the Closing Date, the Title Policy (defined below) covering the
Option Property subject only to the Permitted Exceptions (defined below);

                d) Old Republic Title shall be committed to issuing the
endorsements described in Section 7 below;

                e) As of the Closing Date, Agency shall have delivered to
Crystal Park written certification (the "Certification") that the Property has
all necessary land use entitlements, including without limitation zoning
permits, development permits, conditional use permits, and subdivision approvals
required for the development and operation of the hotel and casino thereon,
including ancillary facilities which may include, without limitation,
restaurants, a night club, a sports bar and other entertainment facilities, as a
lawfully permitted conforming use under all applicable City laws, including,
without limitation, the current City of Compton General Plan, Community
Redevelopment Plan, and Zoning Code;

                f) As of the Closing Date, the City Council of the City of
Compton shall have adopted an Ordinance amending Section 9-10 of the Compton
Municipal Code relative to the regulation of card clubs reasonably acceptable to
Crystal Park and California Casino Management, Inc. ("CCM").

         6.3.2  Conditions to Agency's Obligations. The Close of Escrow and
                ----------------------------------
Agency's obligation to consummate the transactions contemplated by this
Agreement are subject to the satisfaction of the following conditions:

               a) As of the Closing Date, Crystal Park shall have performed all
of the material obligations required to be performed by Crystal Park under this
Agreement; and

               b) All representations made by Crystal Park to Agency in this
Agreement shall be true and correct in all material respects as of the Closing
Date.

         6.4  Closing Documents. The parties shall deposit the following with
              -----------------
Escrow Holder prior to the Close of Escrow:

              6.4.1  Crystal  Park shall deposit:

                     a)  the Purchase Price;

                     b)  the Termination Fee;

                     c) Crystal Park's Escrow and other cash charges required in
Section 6.1.2;

                     d) a Preliminary Change of Ownership Statement in form
suitable for filing with the tax collector for the County; provided, however,
that the delivery of this instrument shall not be a condition precedent to the
Close of Escrow nor a default by Crystal Park;

                                      -5-
<PAGE>

                     e) a Quitclaim Deed ("Quitclaim Deed") for the Relinquished
Property, executed by Crystal Park, with Crystal Park's signature acknowledged,
the form of which is attached hereto as Exhibit D;
                                        ---------

                     f) a counterpart Termination of Reciprocal Easement
Agreement and Amended and Restated Disposition and Development Agreement,
Agreement of Purchase and Sale and Lease with Option to Purchase, the form of
which is attached hereto as Exhibit E (the "REA/DDA Termination"), executed by
                            ---------
Crystal Park with Crystal Park's signature acknowledged, with respect to that
certain Reciprocal Easement Agreement, dated as of January 30, 1997, and
recorded as Instrument No. 97-574466 in the office of the County Recorder for
the County of Los Angeles, California (the "REA") and the DDA; and

                     g)  a counterpart MOU Amendment executed by Crystal Park.

              6.4.2  Agency shall deposit:

                     a) a Grant Deed conveying fee title to the Option Property,
the form of which is attached hereto as Exhibit F ("Grant Deed"), subject only
                                        ---------
to the Permitted Exceptions, executed by Agency with Agency's signature
acknowledged;

                     b) an affidavit or qualifying statement, which satisfies
the requirements of Paragraph 1445 of the Internal Revenue Code of 1986, as
amended, and the regulations thereunder, and a Form 590(RE) to satisfy the
requirements of California Revenue and Taxation Code Sections 18662(e) and 18668
(collectively, the "Non-Foreign Affidavits");

                     c) a counterpart REA/DDA Termination, executed by Agency,
with Agency's signature acknowledged;

                     d) a Quitclaim Deed ("CC&R Termination"), in form attached
hereto as Exhibit G, eliminating the covenants, conditions and restrictions
          ---------
described in that certain Grant Deed recorded on August 3, 1995 as Instrument
Number 95-1265413 (the "Casino Parcel Deed"), executed by Agency, with Agency's
signature acknowledged;

                     e) a Reconveyance of that certain Deed of Trust, Assignment
of Rents, Security Agreement and Fixture Filing, dated as of July 31, 1995,
recorded as Instrument No. 95-1265414 (the "Deed of Trust"), executed by the
trustee thereunder, the form of which is attached as Exhibit H (the
                                                     ---------
"Reconveyance");

                     f) a UCC-2 Termination of Financing Statement terminating
the UCC-1 Financing Statement dated July 31, 1995, recorded as Instrument No.
95-1265415 (the "UCC-1 Financing Statement"), executed by Agency ; and

                     g) a counterpart MOU Amendment executed by Agency.

    The "Recordable Documents" shall mean the documents described in Sections
6.4.1(e), (f) and Sections 6.4.2(a), (c), (d), (e) and (f).

                                      -6-
<PAGE>

              6.4.3 Additional Documents. Agency and Crystal Park shall each
                    --------------------
deposit such other instruments as are reasonably required by Escrow Holder or
otherwise required to proceed to the Close of Escrow and consummate the sale of
the Option Property and release of the Relinquished Property, in accordance with
the terms of this Agreement.

        6.5  Close of Escrow.
             ---------------

             6.5.1 On the Close of Escrow, Escrow Holder shall (a) record the
Recordable Documents in the Office of the County Recorder of the County, (b) pay
any transfer taxes, (c) instruct the County Recorder to return the Grant Deed,
the REA/DDA Termination, the CC&R Termination and the Reconveyance to Crystal
Park, (d) instruct the County Recorder to return the Quitclaim Deed to the
Agency, (e) deliver to Agency the Purchase Price and the Termination Fee, less
Agency's escrow and cash charges, and an original MOU Amendment executed by
Crystal Park, and (f) deliver to Crystal Park the Non-Foreign Affidavit and the
Title Policy covering the Option Property subject only to the Permitted
Exceptions, and an original MOU Amendment executed by Agency.

             6.5.2 Upon the Close of Escrow, title to the Option Property shall
be conveyed to Crystal Park, subject only to the Permitted Exceptions, free and
clear of any rights of parties in possession, other than CCM, pursuant to that
certain Amended and Restated Lease dated February 14, 2000, between Crystal Park
and CCM.

7.  TITLE POLICY.  It shall be a condition to Crystal Park's obligations
    ------------
hereunder that, on the Closing Date, (i) the Title Company be prepared and
committed to issue to Crystal Park an ALTA Policy of Title Insurance (the "Title
Policy") in the amount of the Purchase Price, showing fee title vested in
Crystal Park, subject only to a lien to secure payment of taxes, not delinquent,
the Title Company's standard and customary exceptions set forth in said Title
Policy, matters affecting the condition of title created by or with the consent
of Crystal Park or as a result of Crystal Park's (or any party on behalf of
Crystal Park) acts or omissions, and those title matters described on Exhibit I
                                                                      ---------
hereto ("Permitted Exceptions"); and (ii) Old Republic Title Insurance Company
shall be prepared and committed to issue such endorsements to Crystal Park's
Title Insurance Policy No. SV 2205382, eliminating the REA, DDA, the Memorandum
of Lease dated July 31, 1995, the restrictive covenants set forth in the Casino
Parcel Deed (other than the nondiscrimination covenants), the Deed of Trust and
the UCC-1 Financing Statement from Schedule B thereto.

8.  REPRESENTATIONS, WARRANTIES AND COVENANTS.
    -----------------------------------------

    8.1  Agency's Representations, Warranties.  Agency hereby represents and
warrants as follows:

         8.1.1 Valid. This Agreement constitutes a valid and binding obligation
               -----
of Agency and is enforceable against Agency in accordance with its
terms;

         8.1.2 Authorization. The execution and delivery of all instruments and
               -------------
documents required hereunder to be obtained or authorized by Agency in order to
consummate this transaction have been or will be obtained and authorized as so
required;

                                      -7-
<PAGE>

         8.1.3  Governmental Records. Agency has received no written notice of
                --------------------
any governmental proceeding or investigation pending against the Option Property
which has not been disclosed to Crystal Park. Agency has delivered to Crystal
Park all files in the possession of the City and/or Agency planning, zoning and
building and safety departments applicable to the Option Property and on the
Closing Date, the zoning applicable to the Owned Property and the Option
Property shall be M-H (Heavy Manufacturing); and

         8.1.4 Foreign Person. Agency is not a "foreign person" within the
               --------------
meaning of the Internal Revenue Code of 1954, as amended (the "Code"), the
transaction contemplated hereby does not constitute a disposition of a U.S. real
property interest by a foreign person, and at the Close of Escrow no person,
including, without limitation, Crystal Park, its counsel and the Title Company,
will be subject to the withholding requirements of Section 1445 of the Code;

         8.1.5 Eminent Domain. To Agency's actual knowledge, there are no
               --------------
actions, litigation or proceedings pending to take all or a portion of the
Option Property, or any interest therein, by eminent domain;

         8.1.6 Acquire Property. To Agency's actual knowledge, there are no
               ----------------
persons or entities claiming, through Agency, any rights to acquire the Option
Property;

         8.1.7 Entitlements. The Property has all necessary land use
               ------------
entitlements, including without limitation, zoning approvals, development
permits, conditional use permits, and subdivision approvals required for the
development and operation of the hotel and casino thereon, including ancillary
facilities which may include, without limitation, restaurants, a night club, a
sports bar and other entertainment facilities, as a lawfully permitted
conforming use under all applicable City laws, including without limitation, the
current City of Compton General Plan, Community Redevelopment Plan, and Zoning
Code.

     The representations and warranties of Agency set forth in this Agreement
shall be true on and as of the Close of Escrow as if those representations and
warranties were made on and as of such time, subject to any qualifications
thereof made by Agency in a written notice delivered to Crystal Park within ten
(10) days after Agency obtains new knowledge during Escrow of information with
respect thereto that would cause Agency to change such representation or
warranty.

     8.2 Crystal Park's Representations and Warranties. Crystal Park represents
         ---------------------------------------------
and warrants to Agency as follows, all of which shall survive the Close of
Escrow:

         8.2.1 Valid. This Agreement constitutes a valid and binding obligation
               -----
of Crystal Park and is enforceable against Crystal Park in accordance with its
terms;

         8.2.2  Authorization. The execution and delivery of all instruments and
                -------------
documents required hereunder to be obtained or authorized by Crystal Park in
order to consummate this transaction have been or will be obtained and
authorized as so required; and

     The representations and warranties of Crystal Park set forth in this
Agreement shall be true on and as of the Close of Escrow as if those
representations and warranties were

                                      -8-
<PAGE>

made on and as of such time, subject to any qualifications thereof made by
Crystal Park in a written notice delivered to Agency within ten (10) days after
Crystal Park obtains new knowledge during Escrow of information with respect
thereto that would cause Crystal Park to change such representation or warranty.

9.  CONDEMNATION.  If prior to the Close of Escrow the Option Property is taken
    ------------
by any entity by condemnation or with the power of eminent domain, or if the
access thereto is reduced or restricted thereby (or is the subject of a pending
taking which has not yet been consummated), Agency shall immediately notify
Crystal Park of such fact.  In such event, Crystal Park shall have the right, in
Crystal Park's sole discretion, to (a) terminate this Agreement and the Escrow
upon written notice to Agency and Escrow Holder not later than seven (7) days
after receipt of Agency's notice thereof or (b) Crystal Park may proceed to
consummate the transaction provided for herein at Crystal Park's sole election,
in which event Agency shall assign and turn over, and Crystal Park shall be
entitled to receive and keep, any and all awards made or to be made in
connection with such condemnation or eminent domain proceeding, and the parties
shall proceed to the Close of Escrow pursuant to the terms hereof, without any
reduction in the Purchase Price.

10.  BROKERS.  Agency and Crystal Park each represents and warrants to the other
     -------
that they have not dealt with or been represented by any brokers or finders in
connection with this Agreement.  Crystal Park and Agency each agree to indemnify
and hold harmless the other against any loss, liability, damage, cost, claim or
expense (including reasonable attorneys' fees) incurred by reason of any
brokerage fee, commission or finder's fee which is payable or alleged to be
payable to any broker or finder, by the indemnifying party.  Notwithstanding
anything to the contrary contained herein, the representations, warranties,
indemnities and agreements contained in this Section 10 shall survive the Close
of Escrow or earlier termination of this Agreement.

11.  GENERAL PROVISIONS.
     ------------------

     11.1  Counterparts. This Agreement may be executed in counterparts, each of
           ------------
which shall be deemed an original, but all of which, taken together, shall
constitute one and the same instrument.

     11.2 Further Assurances. Each of the parties agrees to execute and deliver
          ------------------
such other instruments and perform such acts, in addition to the matters herein
specified, as may be appropriate or necessary to effectuate the agreements of
the parties, whether the same occurs before or after the Close of Escrow.

     11.3 Entire Agreement. This Agreement, together with all Exhibits hereto
          ----------------
and documents referred to herein, to which Agency and Crystal Park are parties,
constitute the entire agreement among the parties hereto with respect to the
subject matter hereof and supersede all prior understandings or agreements. This
Agreement may be modified only by a writing signed by both parties. All exhibits
to which reference is made in this Agreement are deemed incorporated in this
Agreement whether or not actually attached.

                                      -9-
<PAGE>

     11.4  Headings.  Headings used in this Agreement are for convenience or
           --------
reference only and are not intended to govern, limit, or aid in the construction
of any term or provision hereof.

     11.5  Choice of Law. This Agreement and each and every related document are
           -------------
to be governed by, and construed in accordance with, the laws of the State of
California.

     11.6  Severability.  If any term, covenant, condition or provision of this
           ------------
Agreement, or the application thereof to any person or circumstance, shall to
any extent be held by a court of competent jurisdiction or rendered by the
adoption of a statute by the State of California or the United States invalid,
void or unenforceable, the remainder of the terms, covenants, conditions or
provisions of this Agreement, or the application thereof to any person or
circumstance, shall remain in full force and effect and shall in no way be
affected, impaired or invalidated thereby.

     11.7  Waiver of Covenants, Conditions or Remedies. The waiver by one party
           -------------------------------------------
of the performance of any covenant, condition or promise, or of the time for
performing any at, under this Agreement shall not invalidate this Agreement nor
shall it be considered a waiver by such party of any other covenant, condition
or promise, or of the time for performing any other act required, under this
Agreement. The exercise of any remedy provided in this Agreement shall not be a
waiver of any other remedy provided by law, and the provisions of this Agreement
for any remedy shall not exclude any other remedies unless they are expressly
excluded.

     11.8  Legal Advice. Each party has received independent legal advice from
           ------------
its attorneys with respect to the advisability of executing this Agreement and
the meaning of the provisions hereof. The provisions of this Agreement shall be
construed as to the fair meaning and not for or against any party based upon any
attribution to such party as the sole source of the language in question.

     11.9  Time of the Essence. Time shall be of the essence as to all dates and
           -------------------
times of performance, whether they are contained herein or contained in any
escrow instructions to be executed pursuant to this Agreement, and all escrow
instructions shall contain a provision to this effect. Any obligation that falls
due on a Saturday, Sunday or legal holiday, shall be deemed to fall due on the
next business day.

     11.10  Relationship of Parties. The parties agree that their relationship
            -----------------------
is that of seller and buyer, and that nothing contained herein shall constitute
either party the agent or legal representative of the other from any purpose
whatsoever, nor shall this Agreement be deemed to create any form of business
organization between the parties hereto, nor is either party granted the right
or authority to assume or create any obligation or responsibility on behalf of
the other party, nor shall either party be in any way liable for any debt of the
other.

     11.11  No Obligations to Third Parties. Except as otherwise expressly
            -------------------------------
provided herein, the execution and delivery of this Agreement shall not be
deemed to confer any rights upon, nor obligate any of the parties hereto, to any
person or entity other than the parties hereto.

                                     -10-
<PAGE>

     11.12 Successors and Assigns. This Agreement shall be binding upon and
           ----------------------
shall inure to the benefit of the respective successors and assigns of the
parties hereto (as permitted pursuant to the provisions of this Agreement).

     11.13  Attorneys' Fees. If any party hereto institutes an action or
            ---------------
proceeding for a declaration of the rights of the parties under this Agreement,
for injunctive relief, for an alleged breach or default of, or any other action
arising out of, this Agreement, or the transactions contemplated hereby, or if
any party is in default of its obligations pursuant thereto, whether or not suit
is filed or prosecuted to final judgment, the non-defaulting party or prevailing
party shall be entitled to its actual attorneys' fees and to any court costs
incurred, in addition to any other damages or relief awarded.

     11.14  Notices.  All notices and demands which either party is required or
             -------
desires to give to the other shall be given in writing by U.S.  certified mail,
return receipt requested with appropriate postage paid, by personal delivery, by
facsimile or by private overnight courier service to the address or facsimile
number set forth below for the respective party, provided that if any party
gives notice of a change of name or address or number, notices to that party
shall thereafter be given as demanded in that notice.  All notices and demands
so given shall be effective upon receipt by the party to whom notice or demand
is being given, except that any notice given by certified mail shall be deemed
delivered three (3) days after deposit in the United States mail.

     If to Crystal Park:  Crystal Park Hotel and Casino Development Company, LLC
                          c/o Pinnacle Entertainment, Inc
                          330 N.  Brand Blvd., Suite 1100
                          Glendale, CA 9 1203-2308
                          Attention:  G. Michael Finnigan

     With a copy to:      Irell & Manella LLP
                          1800 Avenue of the Stars, Suite 900
                          Los Angeles, CA 90067
                          Attention:  Sandra G. Kanengiser

     If to Agency:        The Community Redevelopment Agency
                             of the City of Compton
                          205 South Willowbrook Avenue
                          Compton, CA 90220
                          Attention:  Executive Director

     With a copy to:      William Strausz, Esq.
                          Richards, Watson & Gershon
                          333 S. Hope Street, 38th Floor
                          Los Angeles, CA 90071

     11.15  Cooperation in Exchange.  Agency acknowledges that Crystal Park may
            -----------------------
acquire the Property from Agency as part of a tax-deferred exchange by Crystal
Park pursuant to Section 1031 of the Internal Revenue Code of 1986 ("Code"), and
that Crystal Park has the right to restructure all or a part of the within
transaction as provided in Internal

                                     -11-
<PAGE>

Revenue Code (S) 1031 as a concurrent or delayed (non-simultaneous) tax deferred
exchange for the benefit of Crystal Park. Agency agrees to cooperate, and if
requested by Crystal Park, to accommodate Crystal Park in any such exchange,
provided that (i) such cooperation and/or accommodation shall be at no further
cost or liability to Agency and Crystal Park hereby indemnifies Agency in
connection therewith; and (ii) the restructuring of the within transaction shall
not prevent or delay the Closing Date. Crystal Park, in electing to structure
the sale as an exchange, shall have the right to substitute another entity or
person, in Crystal Park's place and stead. Agency and Crystal Park acknowledge
and agree that such substitution will not relieve the herein named Crystal Park
of any liability or obligation hereunder, and Agency shall have the right to
look solely to said herein named Crystal Park with respect to the obligations of
Crystal Park under this Agreement.

                              [Signatures follow]

                                     -12-
<PAGE>

     IN WITNESS WHEREOF, the parties have executed this Agreement as of the day
and year first above written.

<TABLE>
<S>                                             <C>
ATTEST:                                         "AGENCY"

                                                The Community Redevelopment Agency of the
                                                City of Compton, a public body, corporate
___________________________________________     and politic
CLERK OF THE AGENCY

APPROVED AS TO FORM AND LEGALITY:               By:_________________________________________

                                                Title:______________________________________

____________________________________________    "CRYSTAL PARK"
CITY ATTORNEY

                                                Crystal Park Hotel and Casino
                                                Development Company, LLC,
                                                a California limited liability company

                                                By: HP/Compton, Inc.,
                                                its sole member

                                                       By:__________________________________

                                                       Title:_______________________________

</TABLE>

                                     -13-
<PAGE>

                                   EXHIBIT A
                                   ---------

                              PROPERTY DESCRIPTION

          (Owned Property, Option Property and Relinquished Property)

                                     -14-
<PAGE>

                                   EXHIBIT B
                                   ---------

1.  Assignment, Assumption and Consent Agreement dated as of July 31, 1995.

2.  Deed of Trust, Assignment of Rents, Security Agreement and Fixture Filing
    dated as of July 31, 1995 and recorded August 3, 1995 as Instrument No. 95-
    1265414 ("Agency Deed of Trust").

3.  Offset Agreement dated as of July 31, 1995.

4.  Reciprocal Easement Agreement dated as of January 30, 1997 and recorded
    April 16, 1997 as Instrument No. 97-574466.

5.  Representations and Warranties Agreement dated as of August 2, 1995.

6.  Assignment, Assumption and Consent Agreement, dated July 18, 1996.

7.  Memorandum of Understanding, dated as of September 30, 1996.

8.  Memorandum of Lease and Option to Purchase recorded August 3, 1995 as
    Instrument No. 95-1265412

9.  Financing Statement Recorded August 3, 1995 as Instrument No. 95-1265415

                                     -15-
<PAGE>

                                   EXHIBIT C
                                   ---------

                             Form of MOU Amendment

                                     -16-
<PAGE>

                                   EXHIBIT D
                                   ---------

                             Form of Quitclaim Deed

                                     -17-
<PAGE>

RECORDING REQUESTED BY:

WHEN RECORDED MAIL TO:

Irell & Manella LLP
1800 Avenue of the Stars
9th Floor
Los Angeles, CA 90067
Attention: Sandy Kanengiser
<TABLE>
<S>                                                <C>
--------------------------------------------------------------------------------
                                                   SPACE ABOVE THIS LINE FOR RECORDER'S USE
DOCUMENTARY TRANSFER TAX IS $______0__________

____  computed on full value of interest orproperty
conveyed, or

____  computed on full value less value of lienor
 encumbrances remaining at time of sale

-------------------------------------------------------------------------------
</TABLE>
                                QUITCLAIM DEED

      FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,

             CRYSTAL PARK HOTEL and CASINO DEVELOPMENT COMPANY,LLC,
             a California limited liability company

      does hereby REMISE, RELEASE AND FOREVER QUITCLAIM to

             THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF COMPTON,
             a public body, corporate and politic

      the real property in the City of Compton, County of Los Angeles, State of
      California, described in Exhibit A attached hereto and incorporated herein
                               ---------
      by this reference.

                                          CRYSTAL PARK HOTEL and CASINO
                                          DEVELOPMENT COMPANY, LLC
                                          a California limited liability company

      Dated _________________             By:   HP/Compton, its sole member
                                                By: ____________________________
                                                Its:____________________________

      MAIL TAX STATEMENTS TO:
<PAGE>

STATE OF CALIFORNIA       )
                          )  ss.
COUNTY OF LOS ANGELES     )

     On ______________________ before me, _____________________________________,
a notary public for the State of California, personally appeared
___________________________ _________________________________, personally known
to me (or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s) or the entity upon behalf of which the person(s) acted,
executed the instrument.

     WITNESS my hand and official seal.

Signature ____________________________________
          Notary Public
<PAGE>

                                   EXHIBIT E
                                   ---------

                          Form of REA/DDA Termination

                                     -18-
<PAGE>

RECORDING REQUESTED BY AND
WHEN RECORDED RETURN TO:

Irell & Manella LLP
1800 Avenue of the Stars
9th Floor
Los Angeles, CA 90067
Attention: Sandy Kanengiser

--------------------------------------------------------------------------------
                                             SPACE ABOVE LINE FOR RECORDER'S USE

TERMINATION OF RECIPROCAL EASEMENT AGREEMENT AND AMENDED AND RESTATED
 DISPOSITION AND DEVELOPMENT AGREEMENT, AGREEMENT OF PURCHASE AND SALE AND LEASE
                            WITH OPTION TO PURCHASE

A.  This Termination of Reciprocal Easement Agreement and Amended and Restated
    Disposition and Development Agreement, Agreement of Purchase and Sale and
    Lease with Option to Purchase (this "Termination Agreement") is made and
    entered into as of ________________, 2001, by and between Crystal Park Hotel
    and Casino Development Company, LLC ("Crystal Park") and The Community
    Redevelopment Agency of the City of Compton ("Agency") with reference to
    the following facts.

B.  Crystal Park is the owner in fee simple of that certain parcel of real
    property located in the City of Compton, State of California, more
    particularly described on Exhibit A attached hereto and incorporated herein
                              ---------
    by this reference ("Crystal Park Property").

C.  Agency is the owner in fee simple of those certain parcels of real property
    located in the City of Compton, State of California, more particularly
    described on Exhibit B attached hereto and incorporated herein by this
                 ---------
    reference ("Agency Property").

D.  The Crystal Park Property and a portion of the Agency Property are subject
    to that certain Reciprocal Easement Agreement, dated as of January 30, 1997,
    and recorded as Instrument No. 97-574466 in the office of the County
    Recorder for the County of Los Angeles (the "REA"), pursuant to which the
    Crystal Park Property and the Agency Property are subject to certain
    easements.

E.  Crystal Park and Agency are parties to that certain Amended and Restated
    Disposition and Development Agreement, Agreement of Purchase and Sale, and
    Lease with Option to Purchase dated as of April 4, 1995 (the "DDA") and
    referenced in that certain Memorandum of Lease and Option to Purchase
    recorded August 3, 1995 as Instrument No. 95-1265412.

F.  Crystal Park and Agency are parties to that certain Agreement and Joint
    Escrow Instructions dated January __, 2001, between Crystal Park and the
    Agency (the "Agreement"), whereby Crystal Park agreed to purchase a portion
    of the Agency Property. Pursuant to the Agreement, the parties agreed to
    terminate the REA and the DDA as of the Closing Date (as defined in the
    Agreement).
<PAGE>

NOW THEREFORE, for good and valuable consideration, Crystal Park and Agency
hereby agree as follows.

1.  Effective as of the date hereof, the REA and the DDA shall terminate and be
    of no further force and effect.

2.  Agency and Crystal Park each agree, upon the other party's request at any
    time and from time to time after the date hereof and without further
    consideration, to execute and deliver such other instruments and perform
    such acts, in addition to the matters herein specified, as may be reasonably
    considered by the requesting party as appropriate or necessary to better
    effectuate the agreements of the parties to terminate the REA and the DDA.

3.  This Termination Agreement may be executed in counterparts, each of which
    shall be deemed an original, but all of which, taken together, shall
    constitute one and the same instrument.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and
year first written above.

Crystal Park Hotel and Casino Development Company,
LLC,
a California limited liability company

By: HP/Compton, Inc., its sole member

       By:______________________

       Title:___________________

The Community Redevelopment Agency of the             ATTEST:
City of Compton,
a public body, corporate and politic                  __________________________
                                                      CLERK OF THE AGENCY

By:______________________________                     APPROVED AS TO FORM
                                                      AND LEGALITY
Title:____________________________
                                                      __________________________
                                                      CITY ATTORNEY

                                      -2-

<PAGE>

STATE OF CALIFORNIA       )
                          )  ss.
COUNTY OF LOS ANGELES     )

     On ______________________ before me, _____________________________________,
a notary public for the State of California, personally appeared
___________________________ _________________________________, personally known
to me (or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s) or the entity upon behalf of which the person(s) acted,
executed the instrument.

     WITNESS my hand and official seal.

Signature _________________________________
          Notary Public

STATE OF CALIFORNIA       )
                          )  ss.
COUNTY OF LOS ANGELES     )

     On ______________________ before me, _____________________________________,
a notary public for the State of California, personally appeared
___________________________ _________________________________, personally known
to me (or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s) or the entity upon behalf of which the person(s) acted,
executed the instrument.

     WITNESS my hand and official seal.

Signature ________________________________
          Notary Public
<PAGE>

                                   EXHIBIT F
                                   ---------

                               Form of Grant Deed

                                     -19-

<PAGE>

RECORDING REQUESTED BY:

WHEN RECORDED MAIL TO:

Irell & Manella LLP
1800 Avenue of the Stars
9th Floor
Los Angeles, CA 90067
Attention: Sandy Kanengiser
<TABLE>
<S>                                                 <C>
--------------------------------------------------------------------------------
                                                   SPACE ABOVE THIS LINE FOR RECORDER'S USE
DOCUMENTARY TRANSFER TAX IS $3740.00

___X_ computed on full value of interest or property conveyed, or

____  computed on full value less value of liens or encumbrances
remaining at time of sale

--------------------------------------------------------------------------------
</TABLE>
                                   GRANT DEED

FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,

      THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF COMPTON,
      a public body, corporate and politic ("Grantor")

hereby GRANTS to

       CRYSTAL PARK HOTEL and CASINO DEVELOPMENT COMPANY, LLC,
       a California limited liability company ("Grantee")

the real property in the City of Compton, County of Los Angeles, State of
California, described in Exhibit A attached hereto and incorporated herein by
                         ---------
this reference.

          The Grantee herein covenants by and for himself, his heirs, executors,
administrators and assigns, and all persons claiming under or through them, that
there shall be no discrimination against or segregation of, any person or group
of persons on account of sex, marital status, race, age, handicaps, color,
religion, creed, national origin or ancestry in the sale, lease, sublease,
transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor
shall Grantee himself or any person claiming under or through him, establish or
permit any such practice or practices of discrimination or segregation with
reference to the selection, location, number, use or occupancy of tenants,
lessees, sublessees or vendees in the land herein conveyed.  The foregoing
covenant shall run with the land.

       Moreover, Grantee shall refrain from restricting the rental, sale or
lease of the Property, or any portion thereof, on the basis of sex, age,
handicap, marital status, race, color, religion, creed, ancestry or national
origin of any person.  All deeds, leases or contracts of sale shall contain or
be subject to substantially the following nondiscrimination or nonsegregation
clauses:

     1.    In deeds: "The grantee herein covenants by and for himself, his
heirs, executors, administrators and assigns, and all persons claiming under or
through them, that there shall be no discrimination against or segregation of,
any person or group of persons on account of sex, marital status, race, age,
handicaps, color, religion, creed, national origin or ancestry in the sale,
lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land
<PAGE>

herein conveyed, nor shall the grantee himself or any person claiming under or
through him, establish or permit any such practice or practices of
discrimination or segregation with reference to the selection, location, number,
use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the
land herein conveyed. The foregoing covenants shall run with the land."

     2.    In leases: "The lessee herein covenants by and for himself, his
heirs, executors, administrators and assigns, and all persons claiming under or
through him, and this lease is made and accepted upon and subject to the
following conditions:

     "That there shall be no discrimination against or segregation of any person
or group of persons on account of sex, marital status, race, age, handicap,
color, religion, creed, national origin or ancestry, in the leasing, subleasing,
transferring, use, or enjoyment of the land herein leased, nor shall the lessee
himself, or any person claiming under or through him, establish or permit any
such practice or practices of discrimination or segregation with reference to
the selection, location, number, use or occupancy, of tenants, lessees,
sublessees, subtenants or vendees in the land herein leased."

3.    In contracts relating to the sale or transfer of the Property or any
interest therein: "There shall be no discrimination against or segregation of
any person or group of persons on account of sex, marital status, race, age,
handicap, color, religion, creed, national origin or ancestry in the sale,
lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor
shall the transferee himself or any person claiming under or through him,
establish or permit any such practice or practices of discrimination or
segregation with reference to the selection, location, number, use or occupancy,
of tenants, lessees, subtenants, sublessees or vendees of the land."

                                          THE COMMUNITY REDEVELOPMENT AGENCY
                                          OF THE CITY OF COMPTON,
                                          a public body, corporate and politic

Dated __________________________          By:___________________________________
                                          Its:__________________________________

ATTEST:                                   APPROVED AS TO FORM AND LEGALITY

________________________________          ________________________________
CLERK OF THE AGENCY                       CITY ATTORNEY

<PAGE>

STATE OF CALIFORNIA      )
                         )  ss.
COUNTY OF LOS ANGELES    )

     On ______________________ before me, _____________________________________,
a notary public for the State of California, personally appeared
___________________________ _________________________________, personally known
to me (or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s) or the entity upon behalf of which the person(s) acted,
executed the instrument.

     WITNESS my hand and official seal.

Signature _______________________________
       Notary Public
<PAGE>

assign, and all persons claiming under or through them, that there shall be no
discrimination against or aegregation of, any person or group of persons on
account of sex, marital status, race, age, handicaps, color, religion, creed,
national origin or ancestry in the sale, lease, sublease, transfer, use,
occupancy, tenure or enjoyment of the land herein conveyed, nor shall the
grantee himself or any person claiming under or through him, establish or permit
any such practice or practices of discrimination or segregation with reference
to the selection, location, number, use or occupancy of tenants, lessees,
subtenants, sublessees or vendees in the land herein conveyed. The foregoing
covenants shall run with the land."

     2. In leases: "The lessee herein covenants by and for himself, his heirs,
executors, administrators and assigns, and all persons claiming under or
through him, and this lease is made and accepted upon and subject to the
following conditions:

     "That there shall be no discrimination against or segregation of any person
or group of persons on account of sex, marital status, race, age, handicap,
color, religion, creed, national origin or ancestry, in the leasing, subleasing,
transferring, use, or enjoyment of the land herein leased, nor shall the lessee
himself, or any person claiming under or through him, establish or permit any
such practice or practices of discrimination or segregation with reference to
the selection, location, number, use or occupancy, of tenants, lessees,
sublessees, subtenants or vendees in the land herein leased."

          3.    In contracts relating to the sale or transfer of the Property or
any interest therein: "There shall be no discrimination against or segregation
of any person or group of persons on account of sex, marital status, race, age,
handicap, color, religion, creed, national origin or ancestry in the sale,
lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor
shall the transferee himself or any person claiming under or through him,
establish or permit any such practice or practices of discrimination or
segregation with reference to the selection, location, number, use or occupancy,
of tenants, lessees, subtenants, sublessees or vendees of the land."

                                          THE COMMUNITY REDEVELOPMENT AGENCY
                                          OF THE CITY OF COMPTON,
                                          a public body, corporate and politic

Dated __________________________          By:___________________________________
                                          Its:__________________________________

ATTEST:                                   APPROVED AS TO FORM AND LEGALITY

________________________________          _________________________________
CLERK OF THE AGENCY                       CITY ATTORNEY

                                      -2-
<PAGE>

STATE OF CALIFORNIA      )
                         )  ss.
COUNTY OF LOS ANGELES    )

     On ______________________ before me, _____________________________________,
a notary public for the State of California, personally appeared
___________________________ _________________________________, personally known
to me (or proved to me on the basis of satisfactory evidence) to be the
person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s) or the entity upon behalf of which the person(s) acted,
executed the instrument.

     WITNESS my hand and official seal.

Signature ________________________________
          Notary Public
<PAGE>

                                   EXHIBIT H
                                   ---------

                             Form of Reconveyance

                                     -21-
<PAGE>

                                   EXHIBIT I
                                   ---------

                              PERMITTED EXCEPTIONS

     The following exceptions as identified in Schedule B-Section 2 of the Title
Commitment No. 2027230-21 dated November 28, 2000 shall be "Permitted
Exceptions":

     2    Easement for flood control recorded March 28, 1931

     3    Easement for pipe lines recorded December 8, 1953

     4    The fact that the said land is within the Walnut Industrial Park
 Redevelopment Area as recorded May 20, 1977 as Instrument No. 77-531842

     5    Easement for public utilities recorded September 25, 1987 as
 Instrument No. 87-1545340

     6    Easement for public utilities recorded October 29, 1987 as Instrument
 No. 87-1726586

     7    Certificate of Exemption recorded August 3, 1995 as Instrument No.
 95-1265416

     9    Only that Unrecorded Lease dated December 19, 1997 between Crystal
 Park Hotel and Casino Development Company, LLC and California Casino Management

                                     -22-

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