Document:

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                                                                    EXHIBIT 10.4

                         COMBINED PURCHASE AGREEMENT AND
                              SETTLEMENT STATEMENT

This Combined Purchase Agreement and Settlement Statement ("the Agreement") made
and entered into this 3rd day of February, 2000, concerning the purchase and
sale of real property between F. Jeffrey Krupka, as Trustee of the Krupka-Brophy
Profit Sharing Plan, hereinafter referred to as ("the Seller") and Real Estate
Opportunities, Inc., a Colorado Corporation, hereinafter referred to as ("the
Purchaser").

The Seller and Purchaser agree as follows:

1) Purchaser desires to acquire from the Seller real property known legally as:

    OUTLOT A, LAWSON SUBDIVISION, TOWN OF FIRESTONE, COUNTY OF WELD, STATE OF
    COLORADO, INCLUDING BY WAY OF EXAMPLE, BUT NOT LIMITED TO THE FOLLOWING:
    The beneficial interest of the Grantor in 19 shares of "Big T" water
    pending conveyance to the Town of Firestone upon completion of requirements
    of the B 7 Brand Subdivision, pursuant to approved preliminary plat, if not
    previously conveyed. ("the Property")

2)  Seller desires to sell the Property to Purchaser for the sum of $755,000.00
    on the following terms and conditions:

    a) The purchase price shall be payable as follows:

          i)   Initial Cash Payment: $105,260.69 with the understanding that
               $40,260.69 of the initial cash payment is being obtained by
               financing between the Purchaser and Asset Realization, Inc.,
               evidenced by a promissory note of even date herewith to be
               secured by a deed of trust of even date herewith and recorded in
               second position on the Property. The $40,260.69 in financing is
               expected to be paid directly to the Seller by the said Asset
               Realization, Inc.

          ii)  Financing Provided by Seller: $649,739.31 shall be paid by the
               Purchaser to the Seller by execution of three promissory notes,

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     collectively secured by one deed of trust of even date herewith and
     recorded in first position on the Property. The amounts and terms of the
     promissory notes described as follows:

     (1)  $55,000.00 promissory note payable in semi annual payments of
          $5,362.50, including principal and interest at 13.5% per annum, with
          the said $5,362.50 payments commencing August 1, 2000 and continuing
          every six months thereafter until February 3, 2002, whereon the entire
          unpaid principal balance shall be due and payable, if not sooner paid.

     (2)  $65,000.00 promissory note payable in semi annual payments of
          $6,337.50, including principal and interest at 13.5% per annum, with
          the said $6,337.50 payments commencing August 1, 2000 and continuing
          every six months thereafter until February 3, 2002, whereon the entire
          unpaid principal balance shall be due and payable, if not sooner paid.

     (3)  $529,739.31 promissory note payable in semi annual payments of
          $39,730.45, including principal and interest at 9.0% per annum, with
          the said $39,730.45 payments commencing August 1, 2000 and continuing
          every six months thereafter until February 3, 2002, whereon the entire
          unpaid principal balance shall be due and payable, if not sooner paid.

 iii) Partial Releases: The Deed of Trust securing the above three promissory
      notes shall provide the following partial release provision: The
      beneficiary shall provide partial releases on the basis of $45,000.00 per
      lot, after completion of the improvements to the Property, such that the
      Town of Firestone shall allow construction of 19 separate single family
      homes on the 19 separate single family building sites. The Purchaser shall
      be allowed to select the lot(s) being released.

  iv) Due on Sale Clause: The Deed of Trust shall provide that prior to
      September 1, 2000, the property may be conveyed to any other party,
      provided the three promissory notes are current and the principal balances
      are reduced to $500,000.00 collectively at time of transfer of the
      Property.

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   3) Other terms and conditions:

      a)  The Seller shall pay for the 1999 real estate taxes and work invoiced
          through January 30, 2000, with the Purchaser assuming all further
          invoices.

      b)  The sale of the Property is without recourse, warranty or
          representation.

   4) This Agreement is binding on the parties hereto and is effective August
      19, 1999.

   5) The Purchaser and Seller agree to the following Settlement Statement:

                              Settlement Statement

<TABLE>
<S>                                                     <C>
Total Purchase Price:                                     $755,000.00

Less the following credits:
Purchase financing promissory note:                       $(55,000.00)
Purchase financing promissory note:                       $(65,000.00)
Purchase financing promissory note:                      $(529,739.31)

Cash Received:                                           $(105,260.69)

Balance Due:                                                    $0.00
</TABLE>

Purchaser:                                 Seller:

Real Estate Opportunities, Inc.            Krupka-Brophy Profit Sharing Plan

By: /s/ F. JEFFREY KRUPKA                  By: /s/ F. JEFFREY KRUPKA
    --------------------------------           ---------------------------------
    F. Jeffrey Krupka, President               F. Jeffrey Krupka, Trustee<PAGE>   1
                                                                    EXHIBIT 10.5

                        MODIFICATION OF PROMISSORY NOTE

         The parties to this Modification of Promissory Note are Real Estate
Opportunities, Inc., a Colorado Corporation ("Borrower") and F. Jeffrey Krupka,
as Trustee of the Krupka-Brophy Profit Sharing Plan ("Lender").

         In exchange for the mutual promises contained in this Agreement,
Borrower and Lender state and agree as follows:

1. Borrower executed and delivered a Promissory Note (the "Note") payable to the
order of Lender on February 3, 2000, in the principal amount of Five Hundred
Twenty Nine Thousand Seven Hundred Thirty Nine and 31/100ths Dollars
($529,739.31).

2. As of December 15, 2000, the unpaid balance of principal and accrued interest
owed on the Note will be Four Hundred Ninety One Thousand Forty Five and
57/100ths Dollars ($491,045.57).

3. The Note is secured by a Deed of Trust dated February 3, 2000, the original
of which has been recorded in the office of the Clerk and Recorder of Weld
County, State of Colorado, at Reception No. 2750197 and in Book _______ at
Page(s) ________.

4. Lender warrants that it is the holder of the Note.

5. Borrower has requested that Lender modify the Note and Lender is willing to
accommodate Borrower's request upon the terms and conditions set forth below.
In consideration of such terms and conditions, Borrower and Lender agree as
follows:

          a)  As of December 15, 2000 the balance owed is reduced/discounted by
              $70,000.00 and now the new balance owed is $421,045.57 (NO MONEY
              PAID TO REDUCE $70,000.00), and

          b)  The next payment is due August 1, 2001 in the amount of $39,730.45
              since the February 1, 2001 payment was prepaid on October 26,
              2000, and

          c)  The Note will be non-recourse to the Borrower upon reduction to
              $400,000.00 principal balance and the due on sale clause in the
              Note and deed of trust securing same will be then waived, provided
              the other two promissory notes described in the said deed of trust
              are paid in full ($55,000.00 and $65,000.00, respectively).

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         6. All other terms of the Note remain in full force and effect except
as modified by this Modification of Promissory Note. This original Modification
of Promissory Note shall have the same force and effect as if the terms and
conditions were originally incorporated in the Note prior to its execution.

         7. Borrower waives any defenses which they may have to the
enforceability of the Note or to the status of Lender as the holder of the Note.
This waiver only applies to acts, events, or omissions, known or unknown, which
occurred or did not occur through the date of this Modification of Promissory
Note and does not apply to any future acts, events, or omissions which may occur
or not occur which would otherwise constitute a defense to payment of the Note.

         8. Borrower releases and forever discharges Lender, Lender's
predecessors and successors in interest, assigns, agents, attorneys, servants,
employees and all other related persons and entities from any and all claims,
causes of action, demands, and other bases for relief which they may have or
which may hereafter accrue in connection with the negotiations leading up to,
the execution of, and the events which occurred subsequent to the execution of
the Note.

         9. Borrower acknowledges receipt of a fully completed photocopy of this
Modification of Promissory Note.

Real Estate Opportunities, Inc., a         Krupka-Brophy Profit
Colorado Corporation                       Sharing Plan

By  /s/ F. JEFFREY KRUPKA                  By  /s/ F. JEFFREY KRUPKA
   ---------------------------------          ----------------------------------
   F. Jeffrey Krupka, President               F. Jeffrey Krupka, Trustee

NOTARIES ON NEXT PAGE

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STATE OF COLORADO           )
                            )ss.
CITY AND COUNTY OF DENVER   )

         The foregoing instrument was acknowledged before me this 18th day of
December, 2000, by F. Jeffrey Krupka, President of Real Estate Opportunities,
Inc., a Colorado Corporation.

          Witness my hand and official seal.  My Commission Expires May 20, 2004

My commission expires:
                                      /s/ CYNTHIA KETTL
                                    ---------------------------------
                                    Notary Public

STATE OF COLORADO          )
                           )ss.
CITY AND COUNTY OF DENVER  )

         The foregoing instrument was acknowledged before me this 18th day of
December, 2000, by F. Jeffrey Krupka, Trustee of the Krupka-Brophy Profit
Sharing Plan.

          Witness my hand and official seal.  My Commission Expires May 20, 2004

My commission expires:
                                      /s/ CYNTHIA KETTL
                                    ---------------------------------
                                    Notary Public

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