Document:

Exhibit 10.1

 

PURCHASE
AND SALE AGREEMENT

 

THIS
DOCUMENT IS MORE THAN A RECEIPT FOR MONEY. IT IS INTENDED TO BE A LEGALLY BINDING AGREEMENT. READ IT CAREFULLY.

 

This
Purchase and Sale Agreement (the “Agreement”) is entered into between MJ Holdings, Inc., a Nevada corporation, and/or
Assignee (Subject to the Sellers final approval of any Assignee as hereinafter set forth) as “Buyer,” and John T.
Jacobs and Teresa D. Jacobs  (collectively referred to as “Seller”). Buyer shall deliver to Seller as defined in Paragraph
3 the sum of thirty thousand and no/100th dollars ($30,000.00) in the form of a wire transfer, check or cash as acceptable to
Seller payable and delivered directly to Seller within three (3) business days after mutual execution of this Agreement. This
sum is a non-refundable deposit (“Deposit”) to be applied to the purchase price of that certain real and personal property
(collectively referred to as the “Property”) located in the City of Amargosa, County of Nye, State of Nevada, and more
particularly described as follows:

 

4295
Hwy. 373

Amargosa,
Nevada 89020

(APN:
019-421-10; 019-421-11) Water Rights Permit Numbers # 81588 and #66395

Seventeen
(17) mobile home trailers

 

Personal
Property transferred with this sale shall be referenced on Exhibit “1” attached, which Exhibit is to be supplied by
Seller within 5 business days after the Effective Date of this Agreement.

 

TERMS
AND CONDITIONS

Seller
agrees to sell the Property, and Buyer agrees to purchase the Property, on the following terms and conditions:

 

		1.	PURCHASE
                                         PRICE: The purchase price for the Property is six hundred thousand and no/100th dollars
                                         ($600,000.00). Buyer’s Deposit shall be delivered to Seller within three (3) business
                                         days from the Effective date of this Agreement, as provided in Paragraph 3 below. The
                                         balance of the purchase price shall be payable at close of escrow pursuant to the terms
                                         stated below.

 

		2.	DOWN
                                         PAYMENT: At closing, Buyer shall make a cash down payment of three hundred fifty thousand
                                         and no/100th dollars ($350,000.00), which amount, less the Deposit sum paid shall be
                                         deposited with escrow no less than one business day prior to the Closing Date.

 

		3.	ESCROW:
                                         Within one (1) business day after the Effective Date (as defined in Paragraph 27 below)
                                         Buyer shall open escrow with Fidelity National Commercial (Escrow Number 420-43206) (the
                                         “Escrow Holder”) by the deposit of a copy of this Agreement with the Escrow
                                         Holder. Seller and Buyer agree to prepare and execute such escrow instructions as may
                                         be necessary and appropriate to close the transaction. Should said instructions fail
                                         to be executed as required, Escrow Holder shall and is hereby directed to close escrow
                                         pursuant to the terms and conditions of this Agreement. Close of escrow (or the “Closing
                                         Date”, which shall mean the date on which the deed transferring title is recorded)
                                         shall occur on or before twenty (20) days after the expiration of the Buyers Contingency
                                         Period. Escrow fees shall be paid by Buyer. County transfer taxes shall be paid by Buyer.
                                         All other closing costs shall be paid as follows as customary in the state of Nevada.

 

		4.	PRORATIONS:
                                         Real property taxes, premiums on insurance acceptable to Buyer, and any other expenses
                                         of the Property shall be prorated as of the Closing Date. Security deposits, advance
                                         rentals, and the amount of rents received by Seller but applicable to the period after
                                         the Closing Date shall be credited to Buyer. Buyer assumes all obligations of the security
                                         deposits received and shall indemnify, defend and hold Seller harmless for any claim
                                         related to same or the leases with tenants on the Property, which claims accrue after
                                         the Closing Date. Buyer shall be assigned and assume the tenant leases with an assignment
                                         of leases document at the Closing. Buyer acknowledges that Seller owns or controls three
                                         propane gas tanks located on the Property which shall be removed by Seller prior to the
                                         Closing Date. Seller is entitled to payment at closing for any remaining propane gas
                                         in tanks located on the property that has not been otherwise paid for by the tenants.
                                         Buyer shall cause all utilities to be transferred in its name no later than the Closing
                                         Date.

 

     

     

    

 

		5.	TITLE:
                                         Within five (5) calendar days after the Effective Date of this Agreement, Buyer shall
                                         procure a preliminary title report issued by Fidelity National Title (the “Title
                                         Company”) on the Property. Within five (5) calendar days following receipt thereof,
                                         Buyer shall either approve in writing the exceptions contained in said title report or
                                         specify in writing any exceptions to which Buyer reasonably objects. If Buyer objects
                                         to any exceptions, Seller shall, within five (5) calendar days after receipt of Buyer’s
                                         objections, deliver to Buyer written notice that either (i) Seller will, at Seller’s
                                         expense, attempt to remove the exception(s) to which Buyer has objected before the Closing
                                         Date or (ii) Seller is unwilling or unable to eliminate said exception(s). If Seller
                                         fails to so notify Buyer or is unwilling or unable to remove any such exception by the
                                         Closing Date, Buyer may elect to terminate this Agreement and forfeit the entire Deposit
                                         previously paid to Seller, in which event Buyer and Seller shall have no further obligations
                                         under this Agreement; or, alternatively, Buyer may waive its objections and elect to
                                         purchase the Property subject to such exception(s).

 

Seller
shall convey by grant deed to Buyer (or to such other person or entity as Buyer may specify) marketable fee title subject only
to the exceptions approved by Buyer in accordance with this Agreement. Title shall be insured by a standard American Land Title
Association policy of title insurance issued by the Title Company in the amount of the purchase price with premium paid by Buyer.

 

		6.	FINANCING
                                         OF THE BALANCE OF THE PURCHASE PRICE:

 

6.1
SELLER CARRIES BACK FIRST: The balance of the purchase price shall be paid as follows: The balance of the purchase price in the
amount of two hundred fifty thousand and no/100ths dollars ($250,000.00) shall be evidenced by Buyer’s delivery to escrow
of a promissory note secured by a first deed of trust to be executed by Buyer in favor of Seller and delivered to escrow and recorded
prior to the Closing Date. Said note shall bear interest at the rate of six and one half percent (6.50%) per year, fixed rate,
with a ten percent (10%) default rate per annum, and shall be payable as follows: principal and interest installments of two thousand
one hundred seventy seven dollars and 77/100th’s ($2177.77), payable on the first day of every month, commencing thirty
days from the close of escrow and continuing on the same day of each consecutive month thereafter, until one year from the Closing
Date, upon or before such date the Buyer/Payor shall pay a principal reduction payment of fifty thousand and no/100th’s
($50,000.00). Upon the principal reduction, the payments under the note shall be re-amortized as per the same terms hereinabove
(15-year amortization, 6.5%, principal and interest monthly installments on the remaining balance). On or before the second anniversary
of the closing Buyer/Payor shall make an additional principal reduction payment of fifty thousand and no/100th’s ($50,000.00).
Upon the principal reduction, the payments under the note shall be re-amortized as per the same terms hereinabove (i.e. 15-year
amortization, 6.5%, principal and interest monthly installments on the remaining balance) and shall continue on the same day of
each month thereafter until three (3) years from the close of escrow at which time the entirety of any accrued interest and the
principal balance shall be all due and payable. In the event that an installment or principal reduction is not paid within 10
days of its due date, Buyer shall pay a fee of five percent (5%) of the payment due. Said form of Promissory Note incorporating
the foregoing terms shall be reasonably acceptable to Seller and its counsel.

 

    2

     

    

 

Said
note may be prepaid, either principal and/or interest, at any time, and from time to time, in whole or in part, without premium,
notice, or penalty. The deed of trust shall contain a “Due on Sale Provision” and “Due on Encumbrance”
clauses (restricting transfer of the Property and further restricting any further liens being recorded against the Property).
The Note shall be secured by a First Deed of Trust and shall be on standard title company forms, with Seller receiving a policy
of title insurance in first lien position, the premiums for which shall be paid by Buyer at the closing. For its casualty policies,
Buyer shall obtain a loss payee endorsement in favor of Seller, providing that in the event of a loss, the proceeds of the policy
will be payable to Seller, until the Note is paid in full.

 

		7.	PROPERTY
                                         PURCHASED “AS-IS” WITH ALL FAULTS. The possession of the Property shall be
                                         delivered to Buyer at closing “AS IS” and “WITH ALL FAULTS.” Other
                                         than as expressly provided in this Agreement, Seller does not make any representations,
                                         warranties, or covenants of any kind or character whatsoever, whether express or implied,
                                         with respect to the environmental soundness, acceptability, and suitability of the Property
                                         for Buyer’s intended use of such Property; the square footage of the Property; the boundaries
                                         to the Property, the quality or condition of the Property conveyed to Buyer; water rights
                                         and use; the presence of pests or vermin; the suitability of the Property for any and
                                         all activities and uses which Buyer may conduct thereon; compliance by Seller and/or
                                         the Property with any laws, rules, ordinances, or regulations of any applicable governmental
                                         authority; or the habitability, merchantability, or fitness of the Property for a particular
                                         purpose.

 

Buyer
is advised and admonished by Seller to conduct, and has the right to conduct, at its own cost, risk, and liability, its own environmental
inspection, studies, and non-destructive tests concerning the Property, as Buyer reasonably deems necessary, including such studies
as Buyer deems necessary to determine the environmental soundness and suitability of the Property for Buyer’s intended use. The
studies are invited by Seller so that Buyer can fully learn all material facts about the Property and the improvements, if any,
located thereon, about the history and the makeup of the Property, and so Buyer can fully satisfy itself as to the environmental
soundness, acceptability, and suitability of the Property for Buyer’s intended use of the Property.

 

Buyer
acknowledges that if the studies as provided by the reputable consultants indicate the presence of an adverse condition pertaining
to any asbestos, underground storage tanks, and other environmentally hazardous materials, as same are defined under the Comprehensive
Environmental Response, Compensation and Liability Act (“CERCLA”), and/or the underground storage tank regulations as
per 40 C.F.R. Section 280.10 and 280.12, or any other environmental problems or other problems with the condition of the Property,
Buyer has the right to terminate this Agreement by written notice to Seller, provided such termination is given within the Due
Diligence Period (defined below). Buyer also acknowledges that if Buyer does not terminate this Agreement based on the studies
and investigations during the Due Diligence period, Buyer accepts all liability, as between Seller and Buyer, for the condition
of the Property, including the presence or possibility of environmentally hazardous material located on, about, or under the Property.
Buyer hereby agrees to indemnify, defend, and hold harmless Seller, its employees, agents, heirs, and assigns, from and against
any and all damage, claim, liability or loss, including reasonable attorneys fees and other fees arising out of or in any way
connected to such condition, if any.

 

Buyer
agrees that it is relying solely on its own investigations, examinations and inspections in making the decision to purchase the
Property. Buyer will require all persons or firms assisting Buyer in the Studies to make their reports in writing. At closing,
Buyer shall furnish copies of all reports of the studies (if any) to Seller.

 

Buyer
acknowledges that Seller has disclosed a boundary discrepancy between the Property and the adjoining land owned by the United
States Department of the Interior, Bureau of Land Management (the “BLM”) , which includes part of the sewer ponds
and lift station that are located on BLM land and that said discrepancy will need to be remedied and resolved by Buyer.

 

    3

     

    

 

To
the maximum extent permitted by law, Buyer is purchasing the Property in its AS IS condition WITH ALL FAULTS and specifically
and expressly without any warranties, representations, or guaranties of any kind, oral or written, express or implied, concerning
the Property or this Agreement, from or behalf of Seller.

 

Seller
has not, does not, and will not make any representations or warranties with regard to compliance with any environmental protection,
pollution, or land use laws, rules, regulations, orders or requirements including but not limited to those pertaining to the handling,
generating, treating, storing, or disposing of any hazardous waste or substance. The provisions of this Section shall survive
the close of escrow.

 

Seller’s
Initials JJ/TJ

 

		8.	INSPECTION
                                         CONTINGENCY:

 

8.1BOOKS
AND RECORDS: Seller agrees to provide Buyer, within Sellers possession, with itemsa. through d. listed below within five (5)
calendar days following the Effective Date:

 

		a.	Buyer
                                         acknowledges receipt of all rental agreements, leases, rent rolls, deposits and prepaid
                                         rent schedules, service contracts, insurance policies, latest tax bill(s) and other written
                                         agreements or notices which affect the Property.

 

		b.	The
                                         operating statements of the Property for the last twenty-four (24) calendar months immediately
                                         preceding the Effective Date hereof.

 

		c.	A
                                         written inventory of all items of Personal Property to be conveyed to Buyer at close
                                         of escrow to be attached as Exhibit “1” hereto.

 

		d.	The
                                         following items, if readily available to Seller:building and site plans, if any.

 

8.1
DUE DILIGENCE. Buyer shall acknowledge receipt of these items in writing (via e-mail shall be acceptable). Buyer shall have
twenty-one (21) calendar days following the Effective Date thereof (the “Due Diligence Period” or
“DDP”) to (i) review and approve in writing each of these items, (ii) and conduct any studies it deems
necessary in accordance with Section 7 above, (c) investigate State and local laws to determine whether the Property must be
brought into compliance with minimum energy conservation or safety standards or similar retrofit requirements as a condition
of sale or transfer and the cost thereof (if approved by Buyer, Buyer shall comply with and pay for these requirements), and
(d) any other investigation it deems necessary to investigate the Property. If Buyer fails to approve of the foregoing in
writing to the Seller and escrow within the DDP, this Agreement shall be rendered null and void and Buyer and Seller shall
have no further obligations hereunder, and the Seller shall retain the Deposit as consideration for Buyer’s review
of the Property. Buyer understands and acknowledges that the Deposit is non-refundable, even where Buyer does not
approve of the Property and terminates this Agreement.

 

Buyer
hereby agrees to indemnify, defend, protect and hold harmless Seller and its members, managers, agents, employees and officers
of and from any claims, liens, damages and expenses (including attorneys’ fees) arising from or in connection with such
entry on the Property by Buyer or its agents. The provisions of this Section 8.1 shall survive the Closing Date or termination
of this Agreement.

 

    4

     

    

 

Prior
to any entry by Buyer or any person at Buyer’s request coming onto the Property for the Inspections, Buyer shall provide
to Seller evidence satisfactory to Seller that Buyer and any contractor retained by Buyer has in force commercial general liability
and worker’s compensation insurance with a coverage limit of not less than One Million Dollars ($1,000,000.00), with the
commercial general liability policy naming Seller as an additional insured and protecting Seller against any and all liability,
claims, demands, damages and costs (including but not limited to attorneys’ fees and expenses) which may occur as a result
of any activity of Buyer, Buyer Representatives or Buyer’s contractors on the Property. Buyer shall indemnify, defend and
hold Seller harmless for any damage or claims of Seller or third parties related to Buyer’s activities on the Property.
The foregoing shall not limit, or release Buyer’s indemnification obligations contained above.

 

		9.	LEASED
                                         PROPERTY PRORATIONS: Rents actually collected (prior to closing) will be prorated as
                                         of the Closing Date and rent collected thereafter applied first to rental payments then
                                         owed the Buyer and their remainder paid to the Seller. All free rent due any tenant at
                                         the close of escrow for rental periods after the closing shall be a credit against the
                                         Purchase Price. Other income and expenses shall be prorated as follows: N/A.

 

		10.	PERSONAL
                                         PROPERTY: Title to any personal property to be conveyed to Buyer in connection with the
                                         sale of the Property shall be conveyed to Buyer by Bill of Sale on the Closing Date free
                                         and clear of all encumbrances (except those approved by Buyer as provided above). The
                                         price of these items shall be included in the Purchase Price for the Property, and Buyer
                                         agrees to accept all such personal property in “as is” condition. Buyer and
                                         Seller agree that this is inclusive of all trailers and/or mobile homes listed on Appendix
                                         A attached hereto and made a part hereof. Trailer titles shall be endorsed and delivered
                                         to escrow prior to the Closing Date.

 

		11.	RISK
                                         OF LOSS: Risk of loss to the Property shall be borne by Seller until title has been conveyed
                                         to Buyer. In the event that the improvements on the Property are destroyed or materially
                                         damaged (agreed to be damage in excess of $50,000) between the Effective Date of this
                                         Agreement and the date title is conveyed to Buyer, Buyer shall have the option of demanding
                                         and receiving back the entire Deposit and being released from all obligations hereunder,
                                         or alternatively, taking such improvements as Seller can deliver and being assigned any
                                         insurance proceeds payable to Buyer attributable to any such loss. Upon Buyer’s physical
                                         inspection and approval of the Property, Seller shall maintain the Property through close
                                         of escrow in the same condition and repair as approved, reasonable wear and tear excepted.

 

		12.	POSSESSION:
                                         Possession of the Property shall be delivered to Buyer on the Closing Date.

 

		13.	LIQUIDATED
                                         DAMAGES: By placing their initials immediately below, Buyer and Seller agree that it
                                         would be impracticable or extremely difficult to fix actual damages in the event of a
                                         default by Buyer, that the amount of Buyer’s Deposit hereunder (as same may be increased
                                         by the terms hereof) is the parities’ reasonable estimate of Seller’s damages in the
                                         event of Buyer’s default, and that upon Buyer’s default in its purchase obligations under
                                         this agreement, not caused by any breach by Seller, Seller shall be released from its
                                         obligations to sell the Property and shall retain Buyer’s Deposit (as same may be increased
                                         by the terms hereof) as liquidated damages, which shall be Seller’s sole and exclusive
                                         remedy in law or at equity for Buyer’s default.

 

Buyer’s
Initials PB__Seller’s Initials_JJ/TJ

 

		14.	SELLER
                                         EXCHANGE: Buyer agrees to cooperate should Seller elect to sell the Property as part
                                         of a like-kind exchange under IRC Section 1031. Seller’s contemplated exchange shall
                                         not impose upon Buyer any additional liability or financial obligation, and Seller agrees
                                         to hold Buyer harmless from any liability that might arise from such exchange. This Agreement
                                         is not subject to or contingent upon Seller’s ability to acquire a suitable exchange
                                         property or effectuate an exchange. In the event any exchange contemplated by Seller
                                         should fail to occur, for whatever reason, the sale of the Property shall nonetheless
                                         be consummated as provided herein.

 

    5

     

    

 

		15.	BUYER
                                         EXCHANGE: Seller agrees to cooperate should Buyer elect to purchase the Property as part
                                         of a like-kind exchange under IRC Section 1031. Buyer’s contemplated exchange shall not
                                         impose upon Seller any additional liability or financial obligation, and Buyer agrees
                                         to hold Seller harmless from any liability that might arise from such exchange. This
                                         Agreement is not subject to or contingent upon Buyer’s ability to dispose of its exchange
                                         property or effectuate an exchange. In the event any exchange contemplated by Buyer should
                                         fail to occur, for whatever reason, the sale of the Property shall nonetheless be consummated
                                         as provided herein.

 

		16.	MOLD/ALLERGEN
                                         ADVISORY AND DISCLOSURE: Buyer is advised of the possible presence within properties
                                         of toxic (or otherwise illness-causing) molds, fungi, spores, pollens and/or other botanical
                                         substances and/or allergens (e.g. dust, pet dander, insect material, etc.). These substances
                                         may be either visible or invisible, may adhere to walls and other accessible and inaccessible
                                         surfaces, may be embedded in carpets or other fabrics, may become airborne, and may be
                                         mistaken for other household substances and conditions. Exposure carries the potential
                                         of possible health consequences. Agent strongly recommends that Buyer contact the State
                                         Department of Health Services for further information on this topic.

 

Buyer
is advised to consider engaging the services of an environmental or industrial hygienist (or similar, qualified professional)
to inspect and test for the presence of harmful mold, fungi, and botanical allergens and substances as part of Buyer’s physical
condition inspection of the Property, and Buyer is further advised to obtain from such qualified professionals information regarding
the level of health-related risk involved, if any, and the advisability and feasibility of eradication and abatement, if any.
Notwithstanding the foregoing, Buyer is accepting the Property in its “AS-IS” condition as reflected in Section 7
above.

 

		17.	SUCCESSORS
                                         & ASSIGNS: This Agreement and any addenda hereto shall be binding upon and inure
                                         to the benefit of the heirs, successors, agents, representatives and assigns of the parties
                                         hereto. This Agreement may be assigned, but only to a party who or which is controlled
                                         by the principals of the Buyer listed above. Upon any assignment, Buyer shall provide
                                         organizational documentation establishing the nexus between Buyer and any assignee.

 

		18.	ATTORNEYS’
                                         FEES: In any litigation, arbitration or other legal proceeding which may arise between
                                         any of the parties hereto, including Agent, the prevailing party shall be entitled to
                                         recover its costs, including costs of arbitration, and reasonable attorneys’ fees in
                                         addition to any other relief to which such party may be entitled.

 

		19.	TIME:
                                         Time is of the essence of this Agreement.

 

		20.	NOTICES:
                                         All notices required or permitted hereunder shall be given to the parties in writing
                                         (with a copy to Agent) at their respective addresses as set forth below. Should the date
                                         upon which any act required to be performed by this Agreement fall on a Saturday, Sunday
                                         or holiday, the time for performance shall be extended to the next business day.

 

		21.	FOREIGN
                                         INVESTOR DISCLOSURE: Seller and Buyer agree to execute and deliver any instrument, affidavit
                                         or statement, and to perform any act reasonably necessary to carry out the provisions
                                         of this Foreign Investment in Real Property Tax Act and regulations promulgated thereunder.

 

		22.	ADDENDA:
                                         Any addendum attached hereto and either signed or initialed by the parties shall be deemed
                                         a part hereof. This Agreement, including addenda, if any, expresses the entire agreement
                                         of the parties and supersedes any and all previous agreements between the parties with
                                         regard to the Property. There are no other understandings, oral or written, which in
                                         any way alter or enlarge its terms, and there are no warranties or representations of
                                         any nature whatsoever, either express or implied, except as set forth herein. Any future
                                         modification of this Agreement will be effective only if it is in writing and signed
                                         by the party to be charged.

 

    6

     

    

 

		23.	ACCEPTANCE
                                         AND EFFECTIVE DATE: Buyer’s signature hereon constitutes an offer to Seller to purchase
                                         the Property on the terms and conditions set forth herein. Unless acceptance hereof is
                                         made by Seller’s execution of this Agreement and delivery of a fully executed copy to
                                         Buyer, either in person or by mail at the address shown below, on or before January 25,
                                         2019, this offer shall be null and void, and neither Seller nor Buyer shall have any
                                         further rights or obligations hereunder. Delivery shall be effective upon personal delivery
                                         to Buyer or Buyer’s agent or, if by mail, on the next business day following the date
                                         of postmark. The “Effective Date” of this Agreement shall be the later of (a)
                                         the date on which Seller executes this Agreement, or (b) the date of or written acceptance
                                         (by either Buyer or Seller) of the final counter-offer submitted by the other party.
                                         Parties may consent in writing (via e-mail) to notices being received by e-mail.

 

		24.	GOVERNING
                                         LAW: This Agreement shall be governed by and construed in accordance with the laws of
                                         the State of Nevada.

 

		25.	OTHER
                                         TERMS AND CONDITIONS:

 

Paragraph
6.1 above (Seller Carries Back First):

 

Buyer/Payor
under the terms of the note described herein, shall pay a principal sum (balloon) payment in the amount of fifty thousand and
no/100th’s ($50,000.00) on or before the one-year anniversary of said Note, and Buyer/Payor shall pay a principal sum (balloon)
payment in the amount of fifty thousand and no/100th’s ($50,000.00) on or before the second anniversary of said Note.

 

As
additional consideration for Seller carrying back the first mortgage hereunder, Buyer shall cause to be transferred to Seller
or their assign, common stock in MJ Holdings, Inc. (“MJNE”) in the amount of $50,000.00 based upon the closing price
of MJNE common stock on the day immediately preceding the closing. Seller hereby acknowledges that the stock pledged hereunder
shall be “restricted stock” as that term is defined pursuant to Rule 144 of the Securities Act of 1933. Buyer shall
cause the certificate of stock in MJNE evidencing the shares with the valuation above no later than two days prior to the Closing
Date. Such delivery to escrow shall be a condition to the closing. 

 

Water
Rights:

 

Reference
is made herein to certain “Water Rights” evidenced by Permit Numbers # 81588 and #66395, consisting of a collective
and approximate 71 acre feet. Said rights are conveyed by deed, which deed and other permits evidencing the Water Rights shall
not be transferred to Buyer until such time as all payments of accrued interest and outstanding principal has been fully paid
to the Seller under the terms of the Note. As of the Closing Date, Seller grants a license to Buyer for use of the Water Rights
to service the Property, which license may be revoked after written notice for any default under the Note, or any act or neglect
of Buyer which affects or impairs the Water Rights interests of Seller. As for the transfer of the Water Rights, Buyer shall be
responsible for the administration of transfer, inclusive of any costs therefor, and Seller shall be required to cooperate in
the execution of any transfer documents. Buyer accepts the water quality and the water distribution system on an as-is basis.
Buyer shall indemnify, defend and hold Seller harmless for any post-closing claims arising from the use of the water and systems
distributing same. Buyer assumes all repair, maintenance and replacement requirements (when needed) the water systems on the Property
and implement, provide for and bear any costs for any water quality correction, if any is required by the water quality authorities.
Further, Buyer shall cooperate with Seller in the administration of the water permits on file with the State of Nevada Engineer’s
Office and provide for the costs therefor pending transfer of the Water Rights to Buyer. The foregoing license in Buyer’s
favor may not be assigned to any other party. This clause shall survive the closing.

 

    7

     

    

 

Easement:

 

Seller has installed a 2” water
line running from APN; 019-441-03 (“Lot 3”) running easterly through the southerly ten feet of APN 019-421-011 (“Lot
11”), and exiting Lot 11 at the north boundary of the adjoining APN: 019-451-03 (“Lot 3A”). On or prior to the
Closing Date, Seller may record an easement for line placement, access, service and maintenance within the southerly 10 feet of
Lot 11. Said easement may either be recorded by Seller prior to the Closing Date, or the parties may arrange for recording after
the Closing Date. In the event that said easement is not recorded by the Closing Date, Buyer agrees to grant such easement and
record same after the Closing Date. Said easement shall run with the land and be granted in favor of the lot 3 and 3A owners and
their successors and assigns. Said easement shall be a permitted exception to the title of Lot 11. 

 

Removal of Personal Property:

 

Seller shall have 45 days from the Closing
Date in which to remove all personal or other property belonging to Seller not otherwise included in the sale of the real property
from the Community Center, Pool Changing Room, Compound Area, Office and related areas and Space 14 of the Storage Building, and
all other personal property not listed on Exhibit “1” to be attached.

 

THE PARTIES ARE ADVISED TO CONSULT THEIR
RESPECTIVE ATTORNEYS WITH REGARD TO THE LEGAL EFFECT AND VALIDITY OF THIS PURCHASE AGREEMENT.

 

The undersigned Buyer hereby offers and agrees to purchase the
above described Property for the price and upon the terms and conditions herein stated.

 

This offer is made by Buyer to Seller on this 31st day of January,
2019.

 

	BUYER: 	 
	 	 	 
	MJ HOLDINGS, INC., 	 
	a Nevada corporation,	 
	 	 	 
	By:	/s/ Paris Balaouras	 
	 	Paris Balaouras, CEO	 
	 	 	 
	Accepted: January 31, 2019	 
	 	 	 
	SELLERS:	 
	 	 	 
	By:	/s/ John
T. Jacobs	 
	 	John T. Jacobs 	 
	 	 	 
	By:	/s/ Teresa
D. Jacobs	 
	 	Teresa D. Jacobs	 

 

 

8Exhibit 10.2

   

PURCHASE AND SALE AGREEMENT

 

FOR REAL PROPERTY

 

This Purchase and Sale
Agreement for Real Property (the “Agreement”) dated as of the 30th day of May, 2019 (the “Effective
Date”), is entered into between COACHILL-INN, LLC, a California limited liability company, whose address is 71713
Hwy 111, Suite 103, Rancho Mirage, CA 92270, or its assigns (the “Buyer”), and Coachillin
Holdings LLC, a California limited liability company, whose address is 71713 Hwy 111, Suite 100, Rancho Mirage, CA 92270
(the “Seller”).

 

RECITALS

 

A. WHEREAS,
Seller is the owner of certain real property consisting of approximately 256,132 square feet of land in Riverside County, California
(Parcel # 30 APN: 666-340-037) (the “Land”) and legally described on Exhibit A attached hereto;

 

B. WHEREAS,
the Land, together with any and all (i) rights, title, tenements, privileges, easements, licenses, hereditaments, entitlements
and appurtenances thereto; (ii) water rights and mineral rights of every kind; and (iii) any right, title and interest of Seller
in and to adjacent streets, roads, alleys and rights-of-way, all improvements located thereon and all entitlements associated therewith,
are referred to herein as the “Subject Property”; and

 

C. WHEREAS,
Seller desires to sell, transfer and convey the Subject Property to Buyer and Buyer desires to purchase the Subject Property in
accordance with the provisions hereinafter set forth.

 

AGREEMENT

 

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

 

		1.	Purchase
                                         Price. The consideration to be paid by Buyer to Seller for the Subject Property is
                                         TWENTY AND 01/100 DOLLARS ($20.01) per net square foot within the Subject Property (“Purchase
                                         Price”), as determined by the Survey (as defined below). Based on an anticipated
                                         256,132 net square feet within the Subject Property, the estimated Purchase Price is
                                         FIVE MILLION ONE HUNDRED TWENTY FIVE THOUSAND AND NO/100 DOLLARS ($5,125,000.00). The
                                         Purchase Price payable to Seller shall be: (a) a Membership Interest in Coachill-Inn,
                                         LLC, a California limited liability company (the “Company”) equal
                                         to THREE MILLION AND NO/100 DOLLARS ($3,000,000.00), said Membership Interest to be evidenced
                                         by a fully executed operating agreement among the Company, Coachillin’ Holdings,
                                         LLC, a California limited liability company (“CH”), Alternative Hospitality,
                                         Inc., a Nevada corporation (“AHI”) TVK, LLC, a Florida limited liability
                                         company and Cal-Vegas Ltd., a Nevada corporation or its assigns (collectively, the “Hotel
                                         Operator”) dated on or before the Closing (as defined below); (b) the Earnest
                                         Money Deposit (as defined below), which shall be applied as a credit to the Purchase
                                         Price at Closing; and (c) TWO MILLION ONE HUNDRED TWENTY FIVE THOUSAND AND NO/100 DOLLARS
                                         ($2,125,000.00) in cash or other immediately available funds; provided, however,
                                         such cash portion of the Purchase Price shall be adjusted, plus or minus prorations and
                                         adjustments provided for in this Agreement. The Purchase Price shall be paid through
                                         the escrow held by the Escrow Holder (as defined below). Buyer shall have until ninety
                                         (90) calendar days after the Effective Date to secure equity or debt financing in the
                                         amount of TWO MILLION ONE HUNDRED TWENTY FIVE THOUSAND AND NO/100 DOLLARS ($2,125,000.00)
                                         in order to consummate this transaction.

 

    1

     

    

 

		2.	Survey. Within thirty (30) days after the Effective Date, Buyer shall, at Buyer’s
sole cost and expense, deliver to Seller a current ALTA/ACSM Land Title Survey of the Subject Property in accordance with the 2016
Minimum Standard Detail Requirements for ALTA/ACSM Land Title Surveys jointly established and adopted by ALTA, ACSM and NSPS prepared
by a California licensed surveyor reasonably acceptable to Seller (the “Survey”). Upon approval of the Survey
by Seller, the metes and bounds description of the Subject Property reflected in the Survey shall automatically be substituted
for the legal description of the Subject Property and will be used in the deed and any other documents requiring a legal description
of the Subject Property.

 

		3.	Appraisal. Within thirty (30) days after the Effective Date, Buyer shall, at Buyer’s
sole cost and expense, deliver to Seller an appraisal prepared by an MAI designated appraiser (the “Appraisal”)
showing that the fair cash market value of the Subject Property as of the Effective Date is within five percent (5%) of the Purchase
Price. Should the Appraisal differ by more than five percent (5%) of the Purchase Price, either higher or lower, the Buyer and
Seller agree to negotiate in good faith a mutually acceptable adjustment to the Purchase Price.

 

		4.	Earnest Money. Within two (2) Business Days after the Effective Date, Buyer will deliver
to Escrow Holder (as defined below) the earnest money via a check payable to Escrow Holder or cash in the amount of ONE HUNDRED
FIFTY THOUSAND NO/100 ($150,000.00) (the “Earnest Money”). At Buyer’s request and sole cost and expense,
Escrow Holder may be required to hold the Earnest Money in an interest-bearing account, and said interest shall accrue to the party
receiving the benefit of the escrowed funds. The amount of funds held by Escrow Holder as provided for herein, including accrued
interest, will be collectively referred to as the “Earnest Money Deposit.” In the event the Buyer elects not
to proceed with the purchase of the Property and provides the Seller with written notice of such election, no later than thirty
(30) days after the Effective Date, that the Buyer elects to terminate this Agreement, then the Buyer will receive a full refund
of the Earnest Money Deposit (in such event, Escrow Holder will return the Earnest Money Deposit to Buyer without execution of
any release or consent by Seller).In the event the Buyer elects not to proceed with the purchase of the Property but fails to provide
the Seller with written notice of such election by the date that is thirty (30) days after the Effective Date, then the Buyer will
not receive a refund of any part of the Earnest Money Deposit (in such event, Escrow Holder will deliver all of the Earnest Money
Deposit to Seller without execution of any release or consent by Buyer).

 

		5.	Escrow. 

 

		a)	Upon execution and delivery of this Agreement by both
parties, Seller will open an escrow account for the purchase and sale of the Subject Property with The Escrow Connection, 1111
E. Tahquitz Canyon Way, #101, Palm Springs, CA 92262, Attn: Kathy Kleindienst, Escrow Officer (“Escrow Holder”).

 

		b)	Escrow Holder shall be protected in relying upon the accuracy, acting in reliance upon the contents,
and assuming the genuineness of any notice, demand, certificate, signature, instrument, or other document which is given to Escrow
Holder without verifying the truth or accuracy of any such notice, demand, certificate, signature, instrument, or other document.

 

    2

     

    

 

		6.	Title Matters.

 

		a)	Within ten (10) days of the Effective Date, Seller will cause a title commitment for a standard
Owner’s Title Insurance Policy to be issued by First American Title Company (the “Title Company”), for
the Subject Property and in the amount of the Purchase Price, with legible copies of all documents referred to as exceptions therein
(the “Title Commitment”). Within thirty (30) days after Buyer’s receipt of the Title Commitment and all
copies of all exceptions, Buyer may raise any objections to title, which objections will be made to Seller in writing (“Title
Objections”). Within ten (10) days after Buyer’s receipt of the supplemental Title Commitment, Buyer may raise
any Title Objections as to new matters contained in the supplemental Title Commitment, which objections will be made to Seller
in writing. Within thirty (30) days after receipt of Buyer’s Title Objections, Seller shall remove and/or cure the Title
Objections, or to commit to remove and/or cure said objections on or before Closing. Seller will have no obligation to remove or
cure any Title Objections. If Seller is unable or unwilling to remove and/or cure such Title Objections, or commits to remove and/or
cure and thereafter fails to timely do so, Buyer will have the right to (i) cure the Title Objections itself and close this transaction,
(ii) close this transaction notwithstanding the Title Objections or (iii) terminate this Agreement and receive a full refund of
the Earnest Money Deposit (in such event, Escrow Holder will return the Earnest Money Deposit to Buyer without execution of any
release or consent by Seller).

 

		b)	At Closing, Seller will convey to Buyer good and marketable title to the Subject Property, which
will be free and clear of all liens, leasehold interests and tenancies, encumbrances, and other exceptions to title, except the
liens of taxes and assessments not yet due and payable and those exceptions approved in writing by Buyer or otherwise deemed approved
as provided herein ("Permitted Exceptions").

 

		c)	At Closing, the Escrow Holder must be prepared to obtain or issue from the Title Company designated
herein a standard coverage Owner’s Policy of Title Insurance at Seller’s expense.

 

		7.	Documents and Information on the Subject Property. Within ten (10) days after the Effective
Date, Seller will deliver to Buyer all documents in its possession or reasonably available to Seller with respect to the Subject
Property that have not been previously provided to Buyer, including but not limited to land surveys, soil surveys, geotechnical
and environmental reports, traffic studies, site plan reviews, zoning information and any entitlements information relating to,
or concerning the Subject Property.

 

    3

     

    

 

		8.	License and Permission for Entry and Inspection. Seller hereby grants Buyer a license and
permission to enter upon the Subject Property, during business hours and upon reasonable advance notice to Seller, with Seller
or Seller’s representatives having the right to be present during such times, for all purposes reasonably related to a full
and adequate determination of the suitability of the Subject Property for use the Subject Property as a hotel and related uses
, including, without limitation, the right to conduct surveys, soils tests, engineering studies, and environmental tests and audits
(the “Inspections”). Buyer agrees to indemnify, defend and hold harmless Seller from any and all liability,
claims, damages, expenses, judgments, liens, proceedings and causes of action of any kind whatsoever, arising out of Buyer's exercise
of the license and permission granted herein, unless caused by the willful or negligent act or omission of Seller, its agents,
contractors or employees. In the event that Buyer does not close on the purchase of the Subject Property, Buyer, at Buyer’s
sole cost and expense, will (i) restore the Subject Property substantially to its condition existing immediately prior to such
tests as is reasonably feasible; and (ii) deliver to Seller a copy of all surveys, reports, test results, and other information
obtained by Buyer in its inspection of the Subject Property, subject to execution by Seller of a hold-harmless agreement with respect
to such surveys, reports, test results and other information delivered to Seller by Buyer.

 

		9.	Feasibility Review Period. Buyer will complete all of its Inspections and feasibility analyses,
investigations and any other reviews of the Subject Property (the “Due Diligence”) no later than one hundred
twenty (120) days following the Effective Date (“Feasibility Review Period”). All Due Diligence undertaken by
Buyer will be at Buyer’s sole cost and expense, and the scope of the Due Diligence will be at the sole discretion of Buyer.
In the event the Buyer determines, in Buyer's sole discretion, that the Subject Property is suitable for use as a hotel and related
uses and gives written notice of same to Seller during the Feasibility Review Period, then this Agreement will remain in full force
and effect and the transaction will continue to Closing (as defined below), subject to the terms of the Agreement. In the event
Buyer (a) determines the Subject Property is not suitable for use as a hotel and related uses and Buyer elects not to proceed with
the purchase and provides Seller with written notice that Buyer elects to terminate this Agreement, or (b) Buyer fails to provide
any written notice of its election on or before 5:00 p.m. Pacific Standard Time on the last day of the Feasibility Review Period,
then this Agreement will be deemed terminated.

 

		10.	Warranties.

 

a) Seller
makes the following representations and warranties to Buyer:

 

		i)	Seller has full power and lawful authority to execute, enter into and perform this Agreement and
any person or entity executing this Agreement on behalf of Seller has the authority to execute same;

 

		ii)	Seller, after reasonable investigation, has no knowledge of any Hazardous Waste or Hazardous Material
having been produced, released, stored or deposited over, under, or upon the Subject Property by any person whatsoever. As used
herein, the term Hazardous Waste or Hazardous Material will be defined pursuant to all applicable local, state and federal rules
and regulations, and will include without limitation, asbestos, underground storage tanks, pollutants, contaminants or hazardous
wastes, PCBs, petroleum and petroleum products, and urea-formaldehyde;

 

		iii)	There are no agreements (written or oral) in the nature of leases, rental agreements, licenses,
concessions or occupancy agreements affecting the Subject Property.

 

		iv)	Seller owns good and marketable title to the Subject Property and has the right to convey such
title free and clear of all encumbrances except for the Permitted Exceptions and Seller, after reasonable investigation, has no
knowledge of any work, labor or materials bestowed upon the Subject Property for which a lien or assessment may be filed.

 

    4

     

    

 

		v)	There is no pending condemnation or other proceedings in eminent domain commenced, or to the knowledge
of Seller, threatened against the Subject Property.

 

		vi)	Seller has not received any written notice of any violation of or noncompliance with any applicable
law with respect to the Subject Property which has not been cured or dismissed, including any notice or claim of a release of Hazardous
Materials on the Subject Property or noncompliance with any applicable environmental requirements.

 

		vii)	Seller has received preliminary government approval for the development of a 175-unit hotel on
the Subject Property, and such approval does not require off site improvements in excess of FIFTEEN THOUSAND AND NO/100 DOLLARS
($15,000.00).

 

		viii)	Seller has not (i) been served with any filing in any litigation, arbitration or administrative
proceeding with respect to the Subject Property in which Seller or the Subject Property is named a party; (ii) received written
notice of any charge or complaint from any governmental authority or other person or entity pursuant to any administrative, arbitration
or similar proceeding with respect to the Subject Property which has not been settled or dismissed; and (iii) Seller has no knowledge
of any such claims by third persons.

 

		b)	Seller agrees to indemnify, defend and hold harmless Buyer from any and all liability, claims,
damages, expenses, judgments, proceedings and causes of action of any kind whatsoever arising out of or in any way connected with
Seller’s breach of the warranties and representations set forth in this Section; and the warranties and representations set
forth in this Section will constitute continuing warranties and representations, will be deemed to be true and correct as of the
Closing Date, and will survive the Closing Date. In the event prior to Closing Buyer becomes aware that there is a breach of Seller’s
warranties and representations set forth in this Section, Buyer may by written notice to Seller terminate this Agreement and receive
a full refund of the Earnest Money Deposit (in such event, Escrow Holder will return the Earnest Money Deposit to Buyer without
execution of any release or consent by Seller).

 

		c)	Buyer makes the following representations and warranties to Seller:

 

		i)	Buyer has full power and lawful authority to execute, enter into and perform this Agreement and
any person or entity executing this Agreement on behalf of Buyer has the authority to execute same;

 

		ii)	The execution, delivery, and performance of this Agreement by Buyer and all agreements, instruments,
and documents herein provided to be executed by Buyer in order to close on the transaction: (1) do not violate the operating agreement
of Buyer, or any contract, agreement, commitment, lease, order, judgment, or decree to which Buyer is a party; and (2) have been
duly authorized by the resolution or consent of the MEMBERS of Buyer and the appropriate and necessary action has been taken by
such MEMBERS on the part of Buyer. This Agreement is valid and binding upon Buyer, subject to bankruptcy, reorganization, and other
similar laws affecting the enforcement of creditor’s rights generally.

 

    5

     

    

 

		iii)	There are no actions, lawsuits, litigation, or proceedings pending or threatened in any court or
before any governmental or regulatory agency that affect Buyer’s power or authority to enter into or perform this Agreement.
There are no judgments, orders, or decrees of any kind against Buyer on paid or unsatisfied of record, or, to the best of Buyer’s
knowledge, threatened against Buyer, which would have any material adverse effect on the business or assets or the condition, financial
or otherwise, of Buyer or the ability of Buyer to consummate the transaction contemplated by this Agreement.

 

		11.	Closing and Related Matters.

 

		a)	Closing Date. Closing will be the date on which a statutory warranty deed acceptable to
Buyer is recorded (“Closing Date”) or (“Closing”) and will occur on or before ten (10) days
after the expiration of the Feasibility Review Period. Seller will deliver to Buyer possession of the Subject Property on the Closing
Date, in an “As-Is” physical condition.

 

		b)	Seller’s Closing Deliverables. At the Closing, Seller shall deliver or cause to be
delivered to Escrow Holder or Buyer, the following, duly executed, certified, and acknowledged by Seller, as appropriate:

 

		i)	One (1) original statutory warranty deed (the “Deed”), subject only to Permitted
Exceptions, together with instructions to deliver the Deed when the Escrow Holder is in a position to deliver the balance of the
cash portion of the Purchase Price to Seller. The delivery of the Deed by Seller, and the acceptance by Buyer, shall be deemed
the full performance and discharge of every obligation on the part of Seller to be performed pursuant to this Agreement, except
those obligations of Seller which are expressly stated in this Agreement to survive the Closing.

 

		ii)	A certification that Seller is not a “foreign person” as such term is defined in Section
1445 of the Internal Revenue Code, as amended in the regulations thereunder and a California FTB Form 593-C or FTB Form 593-E,
as applicable.

 

		iii)	An original owner’s affidavit in a form reasonably acceptable to Seller and the Title Company.

 

		iv)	A unanimous consent of the Members of Seller authorizing the transaction contemplated hereby and
the execution and delivery of the documents required to be executed and delivered hereunder.

 

		v)	A counterpart of the closing statement jointly prepared by Seller and Buyer reflecting the prorations
and adjustments required under this Agreement and the balance of the Purchase Price due Seller.

 

		vi)	All other documents reasonably necessary or otherwise required by the Escrow Holder and Title Company
to consummate the transaction contemplated by this Agreement.

 

		c)	Buyer’s Closing Deliverables. On the Closing Date, Buyer shall deliver or cause to
be delivered to Seller, the following executed, certified, and acknowledged by Buyer, as appropriate:

 

		i)	The Purchase Price as set forth in Section 2 of this Agreement.

 

		ii)	The fully executed operating agreement among the Company, CH, MJNE and the Hotel Operator, dated
on or before the Closing.

 

    6

     

    

 

		iii)	A unanimous consent of the Members of Buyer authorizing the transaction contemplated hereby and
the execution and delivery of the documents required to be executed and delivered hereunder.

 

		iv)	One (1) original statutory warranty reconveyance deed (the “Reconveyance Deed”),
together with instructions for Seller to record the Reconveyance Deed in the event Buyer has not obtained building permits necessary
to construct and develop the Subject Property into a hotel and related uses and commenced construction on said development by the
date that is eighteen (18) months after the Closing Date pursuant to Section 16 of this Agreement.

 

		v)	All other documents reasonably necessary or otherwise required by the Escrow Holder and Title Company
to consummate the transaction contemplated by this Agreement.

 

		d)	Closing Costs. Seller will pay for and provide Buyer with a standard coverage Owner’s
Title Insurance Policy from Title Company. Extended title coverage, if any, or any endorsements requested by Buyer, will be paid
by Buyer. Seller will pay any California tax on transfer of real property. Buyer will pay the cost of recording the deed. The escrow
fee and other customary closing costs (tax or flood plain certificates, government search fees, copy charges, etc.) will be shared
equally by Buyer and Seller. Any cost directly attributable to a party (courier costs, wire transfer fees, etc.) will be charged
to such party. Real property taxes will be prorated as of the Closing Date.

 

		e)	Closing Statement. At least two (2) Business Days prior to the Closing Date, the parties
shall agree upon all of the prorations to be made and submit a statement to Escrow Holder setting forth the same. In the event
that any prorations, apportionments, or computations made pursuant to this Agreement require final adjustment, then the parties
shall make the appropriate adjustments promptly when accurate information becomes available in either party hereto shall be entitled
to an adjustment to correct the same, but in no event shall such final adjustment occur later than the date which is one hundred
eighty (180) days after the Closing Date. Any corrected adjustment or prorations shall be paid in cash to the party entitled thereto.
The provisions of this Section 12, e) shall survive the Closing.

 

		12.	Broker’s. Buyer and Seller each represent and warrant to each other that they dealt
with no broker in connection with, nor has any broker had any part in bringing about, this transaction other than Brown Nester
Hospitality Services, Inc. (the "Broker") who is Buyer’s broker. Buyer shall pay the brokerage commission
due Broker in accordance with the terms and conditions of a separate written agreement. Seller and Buyer shall each indemnify,
defend, and hold harmless the other from and against any claim of any broker or other person for any brokerage commissions, finder's
fees, or other compensation in connection with this transaction if such claim is based in whole or in part by, through, or on account
of, any acts of the indemnifying party or its agents, employees, or representatives and from all losses, liabilities, costs, and
expenses in connection with such claim, including without limitation, reasonable attorneys' fees, court costs, and interest.

 

    7

     

    

 

		13.	Escrow Holder’s Duties and Responsibilities.

 

		a)	The parties acknowledge that Escrow Holder is acting solely as a stakeholder at their request and
for their convenience, that the duties of the Escrow Holder hereunder are purely ministerial in nature and shall be expressly limited
to the safekeeping and disposition of the Earnest Money Deposit in accordance with the provisions of this Agreement. Escrow Holder
shall not be liable for any action taken or omitted by Escrow Holder in good faith and believed by Escrow Holder to be authorized
or within its rights or powers conferred upon it by this Agreement, except for any damage caused by Escrow Holder's own gross negligence
or willful default. Escrow Holder shall not have any liability or obligation for loss of all or any portion of the Deposit by reason
of the insolvency or failure of the institution of depository with whom the escrow account is maintained. Upon the disbursement
of the Earnest Money Deposit in accordance with this Agreement, Escrow Holder shall be relieved and released from any liability
under this Agreement, except in connection with Escrow Holder's gross negligence or willful misconduct.

 

		b)	In the event that a dispute shall arise in connection with this Agreement, or as to the rights
of the parties in and to, or the disposition of, the Earnest Money Deposit, Escrow Holder shall have the right to: (i) refuse to
comply with any claims or demands on it and continue to hold the Earnest Money Deposit until Escrow Holder receives written notice
signed by Seller and Buyer directing the disbursement of the Earnest Money Deposit, in which case Escrow Holder shall promptly
disburse the Earnest Money Deposit in accordance with such direction, and Escrow Holder shall not be or become liable in any way
or to any person for its refusal to comply with such claims or demand; provided, however, Escrow Holder shall disburse the
Earnest Money Deposit pursuant to Section 1, Section 7, a), Section 10 and Section 11, b) of this Agreement without the need to
receive written notice of consent or release signed by Seller; or (ii) take such affirmative steps as it may, at its option, elect
in order to deposit the Earnest Money Deposit in a court of competent jurisdiction and commence an action for interpleader or to
substitute another impartial party to hold the Earnest Money Deposit.

 

		c)	Seller and Buyer hereby agree to, jointly and severally, indemnify, defend, and hold harmless Escrow
Holder from and against any liabilities, damages, losses, costs, or expenses incurred by, or claims or charges made against Escrow
Holder (including reasonable attorneys' fees and disbursements) by reason of Escrow Holder acting or failing to act in connection
with any of the matters contemplated by this Agreement or in carrying out the terms of this Agreement, except for those matters
arising as a result of Escrow Holder's gross negligence or willful misconduct.

 

		d)	This Section shall survive the Closing or the termination of this Agreement.

 

		14.	Default, Termination, and Expiration:

 

		a)	If this transaction fails to close due to a default by Seller under this Agreement, Buyer will
be entitled to any remedies for breach of contract that may be available under applicable law, including without limitation the
remedy of specific performance and the right to recover its actual and consequential damages.

 

		b)	In the event that this transaction fails to close due to a default by Buyer under this Agreement,
Seller's sole and exclusive remedy shall be to retain the Earnest Money Deposit plus any accrued interest thereon, if any, as and
for full and complete liquidated and agreed damages for Buyer’s default, and the parties shall be released from further liability
to each other hereunder, except for those obligations and liabilities that are expressly stated to survive termination of this
Agreement. SELLER AND BUYER AGREE THAT IT WOULD BE IMPRACTICAL AND EXTREMELY DIFFICULT TO ESTIMATE THE DAMAGES WHICH SELLER
MAY SUFFER UPON A BUYER DEFAULT AND THAT THE EARNEST MONEY DEPOSIT REPRESENTS A REASONABLE ESTIMATE OF THE TOTAL NET DETRIMENT
THAT SELLER WOULD SUFFER UPON A BUYER’S DEFAULT. SUCH LIQUIDATED AND AGREED DAMAGES ARE NOT INTENDED AS A FORFEITURE OR A
PENALTY WITHIN THE MEANING OF APPLICABLE LAW, BUT IS INTENDED TO CONSTITUTE LIQUIDATED DAMAGES TO SELLER PURSUANT TO CALIFORNIA
CIVIL CODE SECTIONS 1671, 1676, AND 1677.

 

    8

     

    

 

		15.	Reconveyance Deed.

 

		a)	On or prior to the Closing Date, Seller shall execute and deliver to Escrow Holder a statutory
warranty reconveyance deed for the Subject Property in recordable form naming Seller as grantee (the “Reconveyance Deed”),
substantially in the form attached hereto as Exhibit B, for possible recording in accordance with this Section 16.

 

		b)	In the event Buyer has not obtained building permits necessary to construct and develop the Subject
Property into a hotel and related uses and commenced construction on said development by the date that is eighteen (18) months
after the Closing Date, then Seller shall have the right to revest title to the Subject Property, or any portion thereof in Seller
or its assigns by notifying Escrow Holder to record the Reconveyance Deed; provided, however, Seller’s right of reverter
shall be limited by, and shall not defeat, render invalid, or limit in any way, the lien of any mortgage authorized for the development
of the hotel and related uses on the Subject Property. In the event the Reconveyance Deed is recorded, Buyer shall be responsible
for all real estate taxes and assessments which accrued during the period of time that the Subject Property was owned by Buyer,
and shall cause the release of all liens or encumbrances placed on the Subject Property during the period of time that the Subject
Property was owned by Buyer. Buyer agrees to cooperate with Seller to ensure that if the Seller records the Reconveyance Deed,
such recording shall be effective for the purposes of transferring title to the Subject Property, or any portion thereof, to Seller
by executing any customary transfer documents. The provisions of this Section shall survive the Closing of this Agreement.

 

		16.	Notices. All notices given pursuant to this Agreement will be in writing and will be given
by personal delivery, by United States Mail (via certified mail, postage prepaid, return receipt requested) or by an established
express delivery service (such as Federal Express) (delivery charge prepaid), addressed to the appropriate party at the address
set forth below:

 

	 	If to Buyer: 	Coachill-Inn, LLC
	 	 	1300 S Jones Blvd.
	 	 	Las Vegas, NV 89146
	 	 	Attn.: Terrence M. Tierney

 

    9

     

    

 

	 	If to Seller:	Coachllin Holdings LLC
	 	 	71713 Hwy 111
	 	 	Suite 100
	 	 	Rancho Mirage, CA 92270
	 	 	Attn: Kenny Dickerson, Managing Member

 

The person and address to which notices
are to be given may be changed at any time by any party upon written notice to the other party. The notice will be deemed given
(i) upon receipt, if given by personal delivery; or (ii) one day after deposit with the postal service or express delivery service
if sent my mail or established express delivery service.

 

		17.	Captions and Headings. The captions and headings in this Agreement are for reference only
and will not be deemed to define or limit the scope or intent of any of the terms, covenants, conditions, or agreements contained
herein.

 

		18.	Entire Agreement. This Agreement contains the entire agreement between the parties hereto
with respect to the subject matter contained herein and supersedes all prior and contemporaneous agreements, oral or written, with
respect to the subject matter hereof. This Agreement is entered into after full investigation. No party is relying upon any statement
or representation, not set forth in this Agreement, made by any other party. The provisions of this Agreement shall be construed
as a whole and in their entirety.

 

		19.	Construction and Governing Law. In construing the provisions of this Agreement and whenever
the context so requires, the use of a gender shall include all other genders, the use of the singular shall include the plural,
and the use of the plural shall include the singular. This Agreement will be construed and interpreted in accordance with the laws
of the state in which the Subject Property is located. This Agreement will not be construed more strictly against one party 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 being recognized that both Buyer and Seller have contributed substantially and materially to the preparation of this Agreement.

 

		20.	Joint and Several Obligations. In the event any party hereto is composed of more than one
person, the obligations of said party are joint and several.

 

		21.	Limitation of Liability. 

 

		a)	No Member or Manager of Seller shall have any personal liability, directly or indirectly, under
or in connection with this Agreement or any agreement made or entered into under or pursuant to the provisions of this Agreement
or any amendment or amendments to any of the foregoing made at any time or times, heretofore and hereafter, and Buyer and its successors
and assigns and, without limitation all other persons and entities, shall look solely to Seller's assets for the payment of any
claim or for any performance and Buyer, on behalf of itself and its successors and assigns, hereby waives any and all such personal
liability.

 

    10

     

    

 

		b)	No Member or Manager of Buyer shall have any personal liability, directly or indirectly, under
or in connection with this Agreement or any agreement made or entered into under or pursuant to the provisions of this Agreement
or any amendment or amendments to any of the foregoing made at any time or times, heretofore and hereafter, and Seller and its
successors and assigns and, without limitation all other persons and entities, shall look solely to Buyer's assets for the payment
of any claim or for any performance and Seller, on behalf of itself and its successors and assigns, hereby waives any and all such
personal liability.

 

		22.	Fax and Counterparts. This Agreement may be executed by facsimile, digitally (.pdfs) or
in multiple counterparts, each of which will be deemed to be an original, but all of which, together, will constitute one and the
same instrument.

 

		23.	Cooperation with 1031 Exchange. Seller and Buyer each agree that both parties will have
the right on or prior to the Closing Date to enter such assignments of the rights under this Agreement necessary to allow such
party to enter into a transaction intended to qualify as a tax deferred exchange under Internal Revenue Code §1031 or applicable
Opportunity Zone IRS Code. Such party will be allowed to assign all of its right, title and interest under this Agreement, if necessary,
to effectuate the exchange provided that said assignment will not relieve such party of its obligations under this Agreement. The
parties agree to execute and deliver such documents that may be reasonably required to complete the transaction contemplated by
the like-kind exchange and cooperate in all reasonable respects to affect the like-kind exchange, but without any obligation for
fees, costs or expenses in connection with said exchange.

 

		24.	Severability.  In the event one or more provisions (or portions thereof) of this Agreement
are determined to be invalid, illegal or unenforceable, the remainder of this Agreement will not be affected so long as the basic
intent of this Agreement is not frustrated, and each remaining provision or portion thereof will continue to be valid and effective
and will be enforceable to the fullest extent permitted by law.

 

		25.	Time of Essence. The parties hereto acknowledge and agree that, except as otherwise expressly
provided in this Agreement, TIME IS OF THE ESSENCE for the performance of all actions (including, without limitation, the giving
of notices, the delivery of documents, and the funding of money) required or permitted to be taken under this Agreement.

 

		26.	No Joint Venture.  It is not intended by this Agreement to, and nothing contained in this
Agreement will, create any partnership, joint venture or other joint or equity type agreement between Buyer and Seller. No term
or provision of this Agreement is intended to be, or will be, for the benefit of any person, firm, organization, or corporation
not a party hereto, and no such other person, firm, organization or corporation will have any right or cause of action hereunder.

 

		27.	No Waivers. No waiver by either party of any of the provisions of this Agreement shall be
effective unless given in the form of a written instrument signed by such party providing the waiver, and no such waiver will be
implied from any omission by such party to take action with respect to such default. No express written waiver of any default will
affect any other default or cover any period of time other than the default and/or period of time specified in such express waiver.
One or more written waivers of any default under any provision of this Agreement will not be deemed to be a waiver of any subsequent
default in the performance of the same provision or any other term or provision contained in this Agreement.

 

		28.	Execution and Change. It is understood and agreed that until this Agreement is fully executed
and delivered by the authorized corporate officers or individuals, as applicable, of the parties hereto, there is not and will
not be an agreement of any kind between the parties hereto upon which any commitment, undertaking or obligation can be founded.
It is further agreed that in executing this Agreement, the parties do not rely upon any statement, promise, or representation not
herein expressed and this Agreement once executed and delivered will not be modified, changed or altered in any respect except
by a writing executed and delivered in the same manner as required for this Agreement.

 

    11

     

    

 

		29.	Days. Unless otherwise expressly stated, all time periods referred to herein will be deemed
to mean calendar days. In the event any date for performance by either party of any obligation hereunder required to be performed
by such party falls on a Saturday, Sunday or holiday recognized in the State of California, the time for performance of such matter
will be deemed extended until the next Business Day immediately following such date. As used herein, the term "Business
Day" shall mean any day other than a Saturday, a Sunday, or a legal holiday on which national banks are not open for general
business in the State of California.

 

		30.	Further Assurances. Each party will, at the request and expense of the other, execute, acknowledge
(if appropriate) and deliver whatever additional documents, and do such other acts, as may be reasonably required in order to accomplish
the intent and purposes of this Agreement.

 

		31.	Successors and Assigns; Assignment. This Agreement will bind and inure to the benefit of
Seller and Buyer and their respective heirs, executors, administrators, personal and legal representatives, successors and assigns.
Buyer will not assign Buyer’s rights under this Agreement without the prior written consent of Seller, which consent may
not be unreasonably withheld; provided, however, Buyer may assign this Agreement (i) to a subsidiary or an affiliate of
Buyer; or (ii) to a qualified intermediary in a 1031 exchange; without the consent of Seller.

 

		32.	Attorney’s Fees. In the event either party to this Agreement employs legal counsel
to protect its rights under this Agreement or to enforce any term or provision hereof (including a suit for specific performance)
the prevailing party will be entitled to its reasonable attorney’s fees (including any fees on appeal), costs and expenses
incurred in connection with its claim, including, without limitation, all fees, taxes, costs, and expenses incident to appellate,
bankruptcy, and post-judgment proceedings.

 

		33.	Survival. All warranties, representations and covenants in this Agreement will survive the
closing of this transaction.

 

SIGNATURE PAGE FOLLOWS

 

    12

     

    

 

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

 

	Buyer:	 	Seller:
	COACHILL-INN, LLC, a California limited liability company	 	COACHILLIN HOLDINGS, LLC, 
	 	 	a California limited liability company
	 	 	 
	/s/ ROGER BLOS	 	/s/ KENNY DICKERSON
	Roger Bloss, Manager	 	Kenny Dickerson, Managing Member

 

    13

     

    

 

EXHIBIT A

 

LEGAL DESCRIPTION OF SUBJECT PROPERTY

 

PARCEL NO. 30 of Parcel Map No.
37158, in the Northwest quarter (NW 1⁄4 ) of Section 14, T. 3. S., R. 4. E., S. B. M., city of Desert Hot Springs, county
of Riverside, state of California, as recorded MB 244, pgs. 28-33 on 22 day of December year 2017.

 

    1

     

    

 

EXHIBIT B

 

FORM OF RECONVEYANCE DEED

 

    1

     

    

 

RECORDING REQUESTED BY

 

WHEN RECORDED MAIL TO

AND MAIL TAX STATEMENTS TO

 

NAME

 

ADDRESS

 

CITY

STATE & ZIP

 

GRANT
DEED

 

	TITLE ORDER NO.	ESCROW NO.	APN NO. 666-340-037

 

THE UNDERSIGNED GRANTOR(s) DECLARE(s)

DOCUMENTARY TRANSFER
TAX is $_____________________________ CITY TAX $______________________________

 

☐ computed
on full value of property conveyed, or ☐ computed
on full value less value of liens or encumbrances remaining at time of sale, 

 

☐ Unincorporated
area: ☐ City of __________________________________________________________, and

 

FOR A VALUABLE CONSIDERATION, receipt
of which is hereby acknowledged, COACHILL-INN, LLC, a corporationCalifornia limited liability company, whose address is 71713
Hwy 111, Suite 103, Rancho Mirage, CA 92270, hereby GRANT(s) to COACHILLIN HOLDINGS LLC, a California limited liability
company, whose address is 71713 Hwy 111, Suite 100, Rancho Mirage, CA 92270 the following described real property in the
County of Riverside, State of California:

 

PARCEL NO. 30 of Parcel Map No. 37158,
in the Northwest quarter (NW 1⁄4 ) of Section 14, T. 3. S., R. 4. E., S. B. M., city of Desert Hot Springs, county of Riverside,
state of California, as recorded MB 244, pgs. 28-33 on 22 day of December year 2017.

 

	Dated	 	 	
	 	 	 	 
	 	 	 	 

 

	A
notary public or other officer completing this certificate verifies only the identity of the individual who signed the document
to which this certificate is attached and not the truthfulness, accuracy, or validity of that document.

                                                                                           
	 

 

State of California

 

County of ____________

 

On __________________before me,___________________________________________________________________
(here insert name and title of the officer), personally appeared __________________, who 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.

 

I certify under PENALTY OF PERJURY under
the laws of the State of California that the foregoing paragraph is true and correct. 

 

WITNESS my hand and official seal.

 

Signature ____________________________________________
(Seal)

 

	DOCUMENT PROVIDED BY STEWART TITLE	OF CALIFORNIA, INC.	GRNTDEED.DOC

 

 

2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}]]