Document:

Exhibit 10.19.1

                                 SALES CONTRACT
                                     between
                            ROBERTS PROPERTIES, INC.,
                        a Georgia corporation, as Seller
                                       and
                      ROBERTS PROPERTIES RESIDENTIAL, L.P.,
                   a Georgia limited partnership, as Purchaser

                              Dated: June 27, 2001

               Property consisting of an approximately 10.930 acre
                parcel and an approximately 2.082 acre parcel of
                            unimproved real property
              located on Northridge Parkway, Fulton County, Georgia

<PAGE>

                                TABLE OF CONTENTS

ARTICLE I -- PROPERTY TO BE CONVEYED.......................................3
------------------------------------

ARTICLE II -- PURCHASE PRICE...............................................3
----------------------------

ARTICLE III -- ITEMS TO BE DELIVERED BY SELLER AT CLOSING..................4
---------------------------------------------------------

ARTICLE IV -- ITEMS TO BE DELIVERED BY PURCHASER AT CLOSING................5
-----------------------------------------------------------

ARTICLE V -- TIME AND PLACE OF CLOSING AND CLOSING COSTS...................5
--------------------------------------------------------

ARTICLE VI -- APPORTIONMENTS...............................................5
----------------------------

ARTICLE VII -- PURCHASER'S CONDITIONS PRECEDENT............................6
-----------------------------------------------

ARTICLE VIII -- EMINENT DOMAIN.............................................6
------------------------------

ARTICLE IX -- SELLER'S REPRESENTATIONS AND WARRANTIES......................7
-----------------------------------------------------

ARTICLE X -- DEFAULT AND REMEDIES..........................................8
---------------------------------

ARTICLE XI -- NOTICES......................................................8
---------------------

ARTICLE XII -- SETTLEMENT ITEMS............................................9
-------------------------------

ARTICLE XIII -- ACCESS.....................................................10
----------------------

ARTICLE XIV -- BROKERS.....................................................10
----------------------

ARTICLE XV -- MISCELLANEOUS................................................10
---------------------------

<PAGE>

                                 SALES CONTRACT

        THIS AGREEMENT is made and entered into this 27th day of June, 2001 by
and between ROBERTS PROPERTIES, INC., a Georgia corporation (hereinafter
referred to as the "Seller") and ROBERTS PROPERTIES RESIDENTIAL, L.P., a Georgia
limited partnership (hereinafter referred to as the "Purchaser").

                      ARTICLE I -- PROPERTY TO BE CONVEYED

         A. Seller shall sell to Purchaser, and Purchaser shall purchase from
Seller, upon the terms and conditions hereinafter set forth, that certain parcel
of land (hereinafter referred to as the "Land") described on Exhibit A attached
hereto with the buildings and improvements, if any, on the Land (hereinafter
referred to as the "Improvements") and the machinery and equipment, attached
thereto, if any (all of the foregoing real and personal property is hereinafter
collectively referred to as the "Property").

         B. The Property shall include all right, title and interest, if any, of
Seller in and to any land lying in the bed of any street, road, highway or
avenue, open or proposed, in front of or adjoining all or any part of the Land
and in all strips, gores or rights-of-way, riparian rights and easements, and
all right, title and interest of Seller, if any, in and to any award or payment
made or to be made (i) for any taking in condemnation or eminent domain of land
lying in the bed of any street, road, highway or avenue, open or proposed, in
front of or adjoining all or any part of the Land, (ii) for damage to the
Property or any part thereof by reason of change of grade or closing of any such
street, road, highway or avenue, (iii) for any taking in condemnation or eminent
domain of any part of the Property.

         C. The Property consists of approximately 10.930 acres of unimproved
real property located in Land Lots 25 and 26 of the 17th District and in Land
Lots 385 and 386 of the 18th District and approximately 2.082 acres of
unimproved property located in Land Lot 25 of the 17th District, Fulton County,
Georgia, fronting on Northridge Parkway.

                          ARTICLE II -- PURCHASE PRICE

                The purchase price (hereinafter referred to as the "Purchase
Price") for the Property shall be Five Million, Three Hundred Thirty-Seven
Thousand, Four Hundred Ninety-One and 12/100 Dollars ($5,337,491.12), and
subject to all prorations and adjustments provided herein, shall be paid as
follows:

         A. Concurrently with the execution of this Agreement, Purchaser shall
pay to Seller $100.00 (the "Deposit") by check subject to collection or by wire
transfer, such amount to be deposited in a non-interest bearing account. The
Deposit shall be applied toward the Purchase Price due at Closing (as
hereinafter defined) only if the Closing contemplated hereby is

                                       3
<PAGE>

consummated as herein provided, or shall otherwise be applied as elsewhere
provided in this Agreement.

         B. The amount (which amount includes the amount of the Deposit) of
$5,337,491.12 shall be paid by Purchaser at Closing by certified, cashier or
federal funds check drawn to the order of Seller or by wire-transfer of
immediately available cash to Seller, out of which Seller shall pay off and have
cancelled all deeds to secure debt and similar instruments affecting the
Property.

         C. Purchaser and Seller hereby expressly acknowledge and agree that
Purchaser is to acquire the Property in an "as-is" condition and that Seller
shall have no obligation or liability whatsoever to Purchaser in respect to the
quality, integrity, nature or condition of construction or merchantability or
habitability of the Improvements or any particular use which may be made
thereof. The substance of this Section II C shall survive the consummation of
the transaction contemplated herein and shall be included in the Special
Stipulations to the Closing Statement to be executed by Purchaser and Seller at
Closing.

            ARTICLE III -- ITEMS TO BE DELIVERED BY SELLER AT CLOSING

         At Closing Seller agrees to deliver the following items to Purchaser.
Drafts of all documents to be delivered at Closing as specified in this
Agreement shall be prepared by Seller's counsel.

         A. Title to the Land shall be conveyed by a limited warranty deed
(herein called the "Deed") which will (i) contain a limited warranty of title to
the effect that Seller will warrant title to the Purchaser as against any claim
by any person owning, holding or claiming by, through or under Seller, but not
otherwise, and (ii) be subject only to those title exceptions contained on
Exhibit B attached hereto and made a part hereof (herein called the "Permitted
Exceptions").

         B. A Title Affidavit of a corporate officer of Seller (in a form
customarily utilized in Atlanta, Georgia) showing that all debts for labor and
materials in respect of the Property have been paid in full and that there are
no outstanding claims, suits, debts, liens or judgments against the Property,
except for the Permitted Exceptions.

         C. A FIRPTA Affidavit and an Affidavit of Seller's Residence as
respects O.C.G.A.ss.48-7-128.

         D. An IRS form 1099, and a Designation of Reporting Agent and
Transferor Identification form.

         E. Such evidence as is required by the title insurance company (the
"Title Company") insuring the title to the Property for Purchaser as is required
by the Title Company to

                                       4

<PAGE>

delete any and all security deeds encumbering the Property from the title
insurance commitment to be marked at Closing.

         F. Such evidence as is required by the Title Company as to the
authority of those acting on behalf of the Seller in connection with the
transaction contemplated in this Agreement, which such evidence shall include a
current certificate of existence from the Secretary of State of Georgia and a
corporate resolution and incumbency certificate.

         G. Any other documents referred to or specified in this Agreement.

           ARTICLE IV -- ITEMS TO BE DELIVERED BY PURCHASER AT CLOSING

         At Closing, Purchaser agrees to deliver the following items to Seller:

         A. The Purchase Price as required by and in the manner specified in
Section II B hereof.

         B. Any other documents referred to or specified in this Agreement.

            ARTICLE V -- TIME AND PLACE OF CLOSING AND CLOSING COSTS

         A. The consummation of the transaction contemplated herein shall take
place on June 28, 2001 (the date such consummation occurs being herein referred
to as the "Closing" or "Closing Date") at the offices of Holt Ney Zatcoff &
Wasserman, LLP, Atlanta, Georgia commencing at 10:00 A.M.

         B. At Closing, Purchaser shall pay the transfer tax and recording fees
incident to the Deed, and all other closing expenses with respect to the closing
of the transaction contemplated herein, including, without limitation, survey
costs, recording fees, the premium incident to any title insurance policy to be
issued to Purchaser, except that Seller and Purchaser will each pay their own
attorney's fees.

         C. Possession of the Property will be delivered by Seller to Purchaser
on the Closing Date.

                          ARTICLE VI -- APPORTIONMENTS

         The following items shall be apportioned at Closing and as of the
Closing Date:

         A. All real property taxes, including the current installment for any
assessment (special, bond, or otherwise), and personal property ad valorem
taxes, if any. Seller shall be entitled to receive a return of all utility
deposits placed with any utility company, and Purchaser

                                       5

<PAGE>

shall be responsible to place its own deposit with any such utility company.
Seller shall be entitled to receive all income in respect of the Property and
shall be obligated to pay all expenses, including utility charges, in respect of
the Property for all time periods prior to and including the day prior to the
Closing Date. Purchaser shall be entitled to receive all such income and shall
be obligated to pay all such expenses, including utility charges, for all time
periods commencing with the Closing Date. In the event that any income or any
expense item relating to the period prior to the Closing Date is received or
appears after the Closing, such item(s) shall be adjusted between the Seller and
the Purchaser within ten (10) days after such is discovered. This Section VI A
shall survive the Closing of the transaction contemplated herein, but only for a
period of thirty (30) days after which all prorations and adjustments shall be
final as between Seller and Purchaser, except that because the proration for
real property taxes in respect of the Property shall be based on 2000 taxes
because the 2001 tax bill will not be available at Closing, taxes for 2001 shall
be reprorated between Seller and Purchaser immediately upon demand being made by
one party upon the other in the event there is any difference in the 2000 amount
of real property taxes with respect to the Property and the 2001 amount of such
taxes when the 2001 tax bill is available.

                 ARTICLE VII -- PURCHASER'S CONDITIONS PRECEDENT

                Purchaser shall not be required to purchase the Property unless
the following conditions precedent have been satisfied:

         A. The physical condition of the Property shall be substantially the
same on the Closing Date as on the date of full execution hereof, normal wear
and tear excepted.

         B. As of the Closing Date there shall be no administrative agency
action, litigation or other governmental proceeding of any kind pending or
threatened against the Seller or the Property which after the Closing would
materially, adversely affect the value of the Property.

                         ARTICLE VIII -- EMINENT DOMAIN

         A. If, prior to the Closing Date, all of the Property is taken by
condemnation or eminent domain or same is pending, this Agreement shall
terminate as of the day title to the Property or possession thereof vests in the
condemning authority, the Deposit shall be returned by Seller to Purchaser, and
upon such return this Agreement shall terminate and be null and void and of no
further force or effect and neither Purchaser nor Seller shall have any further
rights, remedies, duties, liabilities or obligations to the other hereunder. If,
prior to the Closing Date, there shall be any condemnation or eminent domain
proceedings instituted or pending against less than all of the Property, and
same would interfere with Purchaser's ability to develop the Property for
Purchaser's intended use, then Purchaser may elect to terminate this Agreement
by written notice given to Seller within three (3) days after Purchaser has
received notice from Seller of such proceedings. Upon such notice to Seller the
Deposit shall immediately be returned

                                       6

<PAGE>

to Purchaser by Seller, and upon such return this Agreement shall terminate and
be null and void and of no further force or effect and neither Purchaser nor
Seller shall have any further rights, remedies, duties or obligations to the
other hereunder. Failure of the Purchaser to so notify Seller within said three
(3) days that Purchaser has elected to terminate this Agreement shall be deemed
to mean that Purchaser has elected not to terminate this Agreement. If Purchaser
does not so elect to terminate this Agreement, then the Closing shall take place
as provided herein without abatement of the Purchase Price, and there shall be
assigned to the Purchaser at the Closing, all interest of the Seller in and to
any condemnation awards which may be payable to the Seller on account of such
occurrence.

              ARTICLE IX -- SELLER'S REPRESENTATIONS AND WARRANTIES

                Seller represents and warrants to Purchaser that:

         A. Seller has all requisite power and authority to execute this
Agreement, the closing documents listed in Article III hereof, and any other
documents required to be delivered by the Seller.

         B. To the best of Seller's knowledge, the conveyance of the Property to
Purchaser pursuant to this Agreement will not be a violation by Seller of any
applicable statute, ordinance, governmental restriction, or regulation, or any
private restriction or agreement.

         C. To the best of Seller's knowledge, as of the date of full execution
hereof, there is no administrative agency action, litigation or other
governmental proceeding of any kind pending or threatened against the Seller or
the Property which after the Closing would materially, adversely affect the
value of the Property.

         D. To the best of Seller's knowledge, no special assessments of any
kind (special, bond or otherwise) are levied against the Property which are
outstanding and unpaid.

         E. Seller has no knowledge of any pending or contemplated condemnation
proceedings affecting the Property or any part thereof. Seller will not sell,
assign or convey any right, title or interest whatever in or to the Property or
create or permit to exist any lien, encumbrance, or charge thereon without
promptly discharging the same, except as otherwise expressly provided for
herein.

         F. Seller will not willfully take any action, or willfully omit to take
any action, which action or omission would have the effect of violating any of
its representations, warranties, covenants and agreements contained herein.

         Seller's warranties and representations contained in this Agreement
shall not survive the Closing and shall be merged into the Deed and other
documents to be executed and delivered in connection with the transaction
contemplated herein.

                                       7

<PAGE>

                        ARTICLE X -- DEFAULT AND REMEDIES

         A. In the event that the transaction contemplated herein is not closed
and consummated because of Purchaser's failure or breach to perform its
obligations hereunder, Seller shall retain the Deposit as agreed-upon liquidated
damages and not a penalty, it being otherwise difficult or impossible to
estimate Seller's actual damages, and which liquidated damages shall be in lieu
of any other damages or the right to specific performance, and, upon such event,
this Agreement shall terminate and be null and void and of no further force or
effect, and neither Seller nor Purchaser shall have any further rights,
remedies, duties, liabilities or obligations to the other hereunder. Seller
hereby waives any right to specific performance, injunctive relief or any other
relief to cause Purchaser to perform its obligations under this Agreement, and
Seller hereby waives any right to damages in excess of said liquidated damages
occasioned by Purchaser's breach of this Agreement. Seller and Purchaser
acknowledge that it is impossible to estimate the actual damages Seller would
suffer from Purchaser's breach hereof, but that the liquidated damages provided
herein represent a reasonable pre-estimate of such damages and Seller and
Purchaser therefor intend to provide for liquidated damages as herein specified,
and that the agreed-upon liquidated damages are not punitive or penalties and
are just, fair and reasonable, all in accordance with O.C.G.A. ss. 13-6-7.

         B. In the event that the transaction contemplated herein is not closed
and consummated because of Seller's failure or breach to perform its obligations
hereunder or because of a breach by Seller of any of the representations and
warranties made herein by Seller, Purchaser shall have the right only (i) to
terminate this Agreement by giving notice thereof to Seller, and upon receipt of
such notice Seller shall return the Deposit to Purchaser and thereafter this
Agreement shall terminate and be null and void and of no further force or
effect, and neither Seller nor Purchaser shall have any further rights,
remedies, duties, liabilities or obligations to the others hereunder, or (ii) to
sue Seller for specific performance of its obligations under this Agreement;
which remedies specified in (i) and (ii) shall be in lieu of any other rights or
remedies for Purchaser, including, without limitation, any right or claim for
damages. If Purchaser consummates the transaction contemplated in this Agreement
it shall be conclusively deemed to have waived any breach by Seller of any
covenant, representation or warranty under this Agreement (but not under any of
the documents executed at Closing which shall continue in accordance with their
terms) which the Purchaser knew existed prior to the Closing.

                              ARTICLE XI -- NOTICES

                Whenever any notice, demand, or request is required or permitted
hereunder, such notice, demand or request shall be in writing and shall be
hand-delivered in person or sent by United States mail, registered, certified or
Express Mail, postage prepaid, or by Federal Express or similar expedited
delivery service, to the addresses set forth below:

                                       8
<PAGE>

                         To Seller:
                         ---------

                         Roberts Properties, Inc.
                         8010 Roswell Road
                         Suite 120
                         Atlanta, Georgia 30350

                         To Purchaser:
                         ------------

                         Roberts Properties Residential, L.P.
                         c/o Roberts Properties, Inc.
                         8010 Roswell Road
                         Suite 120
                         Atlanta, Georgia 30350

                         With a Copy to:
                         --------------

                         Sanford H. Zatcoff, Esq.
                         Holt Ney Zatcoff & Wasserman, LLP
                         100 Galleria Parkway
                         Suite 600
                         Atlanta, Georgia  30339

Any notice, demand, or request which shall be served upon any of the parties in
the manner aforesaid shall be deemed sufficiently given for all purposes
hereunder (i) at the time such notice, demand or request is hand-delivered in
person, or (ii) on the day such notices, demands or requests are deposited in
the United States Mail or with such expedited delivery service in accordance
with the preceding portion of this Article XI. Either Purchaser or Seller shall
have the right from time to time to designate by written notice to the other
such other person or persons and at such other places in the United States as
Purchaser or Seller desires written notices, demands, or requests to be
delivered or sent in accordance herewith; provided, however, at no time shall
either party be required to send more than an original and two (2) copies of any
such notice, demand or request required or permitted hereunder.

                         ARTICLE XII -- SETTLEMENT ITEMS

                In addition to the items specifically mentioned in this
Agreement to be delivered at the Closing, Seller shall deliver the following
items to Purchaser at the Closing: any sewer, water and other utility bills and
assessment bills any part of which is to be paid by Purchaser; and a complete
and accurate statement setting forth the necessary information upon which any
adjustment shall be made at the Closing.

                                       9
<PAGE>

                             ARTICLE XIII -- ACCESS

                Purchaser and its agents and representatives shall have the
right to enter upon the Property at any reasonable time prior to the Closing
Date, for any lawful purpose, including, without limitation, investigations,
tests and studies, structural inspection, and survey purposes; provided,
however, Purchaser shall pay for all such work performed on the Property and
shall not permit the creation of any lien in favor of any contractor,
subcontractor, materialman, mechanic, surveyor, architect or laborer, and
Purchaser hereby expressly agrees to indemnify and hold Seller harmless with
respect thereto; and provided further, however, that Purchaser hereby expressly
agrees to indemnify and hold Seller harmless against any claim, damage or injury
to either persons or property arising out of Purchaser's or its agent's,
employees' or representatives' actions under this Article XIII. This Article
XIII shall survive the Closing of the transaction contemplated herein or any
other termination of this Agreement.

                             ARTICLE XIV -- BROKERS

         A. Purchaser and Seller hereby represent to each other that no real
estate broker or agent was involved in negotiating the transaction contemplated
herein. In the event any claim(s) for real estate commissions, fees or
compensation arise in connection with this Agreement and the transaction
contemplated herein, the party so incurring or causing such claim(s) shall
indemnify, defend and hold harmless the other party from any loss, claim or
damage which the other party suffers because of said claim(s).

                           ARTICLE XV -- MISCELLANEOUS

         A. This Agreement constitutes the entire agreement between the parties
hereto and cannot be changed or modified other than by a written agreement
executed by both Purchaser and Seller.

         B. There shall also be executed and delivered at Closing all other
documents and instruments reasonably required or necessary to effect the
transaction contemplated herein.

         C. Irrespective of the place of execution or performance, this
Agreement shall be governed by and construed in accordance with the laws of the
State of Georgia. This Agreement shall be construed without regard to any
presumption or other rule requiring construction against the party causing this
Agreement to be drafted. If any words or phrases in this Agreement shall have
been stricken out or otherwise eliminated, whether or not any other words or
phrases have been added, this Agreement shall be construed as if the words or
phrases so stricken out or otherwise eliminated were never included in this
Agreement and no implication or inference shall be drawn from the fact that said
words or phrases were so stricken out or otherwise eliminated. All terms and
words used in this Agreement regardless

                                       10

<PAGE>

of the number or gender in which they are used, shall be deemed to include any
other number and any other gender as the context may require.

         D. This Agreement may be executed in more than one counterpart, each of
which shall be deemed an original.

         E. The captions of this Agreement are inserted for convenience or
reference only and do not define, describe or limit the scope or intent of this
Agreement or any of the terms hereof.

         F. Time is of the essence of this Agreement and each term and provision
hereof.

         G. If any term, covenant or condition of this Agreement or the
application thereof to any person or circumstance shall, to any extent, be
invalid or unenforceable, the remainder of this Agreement and the application of
such terms, covenants and conditions to persons or circumstances other than
those as to which it is held invalid or unenforceable, shall not be affected
thereby and each term, covenant and condition of this Agreement shall be valid
and be enforced to the fullest extent permitted by law.

         H. All rights, powers and privileges conferred hereunder upon the
parties unless otherwise provided shall be cumulative and not restricted to
those given by law.

         I. No failure of any party to exercise any power given such party
hereunder or to insist upon strict compliance by any other party to its
obligations hereunder, and no custom or practice of the parties in variance with
the terms hereof, shall constitute a waiver of any party's right to demand exact
compliance with the terms hereof.

         J. Purchaser shall have the right to waive any condition or contingency
herein in Purchaser's favor and Seller shall have the right to waive any
condition or contingency herein in Seller's favor.

         K. Anything contained in this Agreement to the contrary
notwithstanding, (i) except as specifically set forth in this Agreement to the
contrary, the terms and provisions of this Agreement shall not survive Closing
and shall be merged into the Deed; and (ii) except as specifically set forth in
this Agreement to the contrary, Seller does not make any warranties or
representations of any kind or character, expressed or implied, with respect to
the Property, its physical condition, income to be derived therefrom or expenses
to be incurred with respect thereto, or any other matter or thing relating to or
affecting the Property, and there are no oral or written agreements, warranties
or representations with respect to the Property, except as otherwise expressly
set forth in this Agreement.

         L. The provisions of this Agreement shall extend to, bind and inure to
the benefit of the parties hereto and their respective successors, assigns and
the legal representatives of their estates.

                                       11
<PAGE>

         M. Purchaser is acquiring the Property as replacement property and this
Agreement is entered into pursuant to the terms and provisions of a certain
Exchange Agreement dated January 4, 2001 between Purchaser and LandAmerica
Exchange Company, as Exchangor. Purchaser is acquiring the Property as
replacement property in connection with an exchange by Purchaser of relinquished
property of like kind in order to have the transaction qualify as an exchange
pursuant to Section 1031 of the United States Internal Revenue Code, as amended,
and the Regulations promulgated thereunder. Seller agrees to cooperate with
Purchaser in effecting such an exchange, including through the use of a
qualified intermediary to which Purchaser shall have the right to assign its
rights under this Agreement, provided that such cooperation shall be at no cost
or expense whatsoever to Seller, and such exchange shall not delay Seller in the
Closing of its sale of the Property, nor excuse Purchaser from performing its
obligations under this Agreement in the event that Purchaser is unable to or is
delayed in effecting such an exchange.

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed, sealed and delivered the day and year first above written.

                                 SELLER:

                                 ROBERTS PROPERTIES, INC., a Georgia
                                 corporation

                                 By:  /s/ Charles S. Roberts
                                    ---------------------------
                                      Charles S. Roberts,
                                      President

                                                (CORPORATE SEAL)

                                 PURCHASER:

                                 ROBERTS PROPERTIES RESIDENTIAL, L.P.,
                                 a Georgia limited partnership

                                 By:   Roberts Realty Investors, Inc., a Georgia
                                       corporation, its sole general partner

                                         By:  /s/ Charles R. Elliott
                                            --------------------------
                                             Charles R. Elliott,
                                             Secretary and Treasurer

                                                     (CORPORATE SEAL)

                                       12Exhibit 10.19.2

                                 PROMISSORY NOTE

$3,000,000.00                                                     JUNE 28, 2001

         FOR VALUE RECEIVED, the undersigned ROBERTS PROPERTIES RESIDENTIAL,
L.P., Georgia limited partnership ("Borrower"), unconditionally promises to pay
to the order of SOUTHTRUST BANK, an Alabama banking corporation ("Lender"), the
principal sum of Three Million and No/100 Dollars ($3,000,000.00), together with
interest and other charges as provided herein.

         1. Payment Terms.

         (a) On August 10, 2001, and on the tenth (10th) day of each successive
calendar month thereafter until the Maturity Date (as defined below), Borrower
shall pay to Lender all accrued but unpaid interest on the outstanding principal
of this Note. On July 10, 2002 (the "Maturity Date"), Borrower shall pay to
Lender the entire principal amount outstanding under this Note, together with
all accrued but unpaid interest thereon and any other charges due hereunder.

         (b) All payments, fees, charges, and other sums due hereunder shall be
paid in lawful money of the United States of America, and shall be remitted to
Lender at the following address:

        Mailing Address:                   Courier Address:

        SouthTrust Bank                    SouthTrust Bank
        P. O. Box 830776                   6434 First Avenue North
        Birmingham, Alabama 35283-0776     Birmingham, Alabama 35212
        Attn: McCracken Loan Servicing     Attn:    McCracken Loan Servicing
                                                    Libba Smith

or at such other address as Lender or any subsequent holder of this Note may
from time to time designate in writing. All payments made as scheduled on this
Note shall be applied, to the extent thereof, to accrued but unpaid interest,
unpaid principal, and any other sums due and unpaid to Lender under this Note
and the other Loan Documents in such manner and order as Lender may elect in its
discretion, any instructions from Borrower or anyone else to the contrary
notwithstanding. Any payment received by Lender before the date it is due shall
be deemed to have been received on the due date solely for the purpose of
calculating interest due. If at any time Lender receives, from Borrower or
otherwise, any amount applicable to the indebtedness under this Note that is
less than all amounts due and payable at such time, Lender may apply that
payment to amounts then due and payable in any manner and in any order
determined by Lender, in Lender's discretion. Borrower agrees that neither
Lender's acceptance of a payment from Borrower in an amount that is less than
all amounts then due and payable nor Lender's application of such payment shall
constitute or be deemed to constitute either a waiver of the unpaid amounts or
an accord and satisfaction. All payments made by check or draft shall be
accepted subject to the condition that any such check or draft may be handled
for collection in accordance with the practice of the collecting bank or banks.

<PAGE>

         (c) Borrower will pay to Lender a late charge equal to five percent
(5%) of the amount of any payment that is not received by Lender within ten (10)
days after the date such payment is due under the terms of this Note. In no case
will any such late charge be less than $0.50 or more than the maximum amount
allowed by applicable law. Collection or acceptance by Lender of such late
charge will not constitute a waiver of any rights or remedies of Lender provided
in this Note or in any other Loan Document. The late charge provided for herein
represents a fair and reasonable estimate by Borrower and Lender of a fair
average compensation for the loss that might be sustained by Lender due to the
failure of Borrower to make timely payments hereunder, the parties recognizing
that the damages caused by such extra administrative expenses and loss of the
use of funds is impracticable or extremely difficult to ascertain or estimate.

         2. Interest Rate.

         (a) The principal of this Note outstanding from time to time shall bear
interest at the Eurodollar Rate (as defined below). The rate of interest on this
Note shall increase or decrease on the first day of each Interest Period (as
defined below) by an amount equal to the difference, if any, between the
Eurodollar Rate applicable to the Interest Period just commenced and the
Eurodollar Rate applicable to the preceding Interest Period.

         (b) Borrower agrees that, notwithstanding anything to the contrary
herein, if at any time Lender determines, in accordance with reasonable and
ordinary commercial standards, that its acquisition of funds in the London
Interbank Market would be in violation of any law, regulation, guideline, or
order, Lender may so notify Borrower in writing or by telephone, and upon the
giving of such notice, this Note will immediately cease bearing interest at the
Eurodollar Rate, and the outstanding principal of this Note shall thereupon
commence to bear interest at the Alternate Rate (as defined below). Borrower
further agrees that, notwithstanding the fact that Lender has based the interest
rate applicable hereunder upon Lender's cost of funds in the London Interbank
Market, Lender shall not be required actually to obtain funds from such source
at any time.

         (c) Upon the occurrence of any Event of Default hereunder, the
principal amount of this Note shall automatically, without notice to or demand
upon Borrower, bear interest at the Default Rate (as defined below). Borrower
agrees that the Default Rate represents a fair and reasonable estimate by
Borrower and Lender of a fair average compensation for the risk of loss that
Lender will experience due to the occurrence of an Event of Default and for the
cost and expenses that might be incurred by Lender by reason of the occurrence
of an Event of Default, with the parties agreeing that the damages caused by
such increased risk and extra cost and expenses are impracticable or extremely
difficult to ascertain or estimate. The payment by Borrower of interest at the
Default Rate will not prejudice the rights of Lender to collect any other
amounts required to be paid by Borrower hereunder or under any of the other Loan
Documents.

         (d) All interest on the principal of this Note, whether accruing at the
Eurodollar Rate, the Alternate Rate, or the Default Rate, will be calculated on
the basis of a 360-day year by multiplying the outstanding principal amount by
the applicable per annum rate, multiplying the product thereof by the actual
number of days elapsed, and dividing the product so obtained by 360.

                                       2

<PAGE>

         (e) As used in this Section or elsewhere in this Note, the following
terms shall have the following meanings:

                  "Adjusted LIBOR" shall mean a per annum rate of interest
         (expressed as a percentage and rounded upwards, if necessary, to the
         nearest 0.0625%) equal to the quotient of (i) the "London Interbank
         Offered Rate (LIBOR)" at which U.S. Dollar deposits for a maturity
         comparable to the Interest Period are offered to Lender in immediately
         available funds in the London Interbank Market, as quoted in the Money
         Rates section of The Wall Street Journal as effective for contracts
         entered into on the first day of the applicable Interest Period,
         divided by (ii) 1.00 minus any applicable Reserve Requirement for such
         Interest Period required by Regulation D (expressed as a decimal).

                  "Alternate Rate" means the variable rate of interest equal to
         the Base Rate plus or minus the Alternate Rate Spread. The Alternate
         Rate shall fluctuate as and when the Base Rate changes.

                  "Alternate Rate Spread" means, the positive or negative
         difference, stated as a percentage, between (i) the Eurodollar Rate as
         of the last day on which interest on this Note accrues at the
         Eurodollar Rate and (ii) the Base Rate as of such day. For example, if
         on such date the Eurodollar Rate is 6.75% and the Base Rate is 6.25%,
         then the Alternate Rate Spread shall be +0.50% or, if on such date the
         Base Rate is 7.50%, then the Alternate Rate Spread shall be -0.75%.

                  "Applicable Eurodollar Rate Spread" means one and six-tenths
         percent (1.6%), provided that if any time during the term of this Note
         the collected balance of the Deposit Account is less than $500,000.00,
         the Applicable Eurodollar Rate Spread will increase to one and
         three-quarters percent (1.75%).

                  "Base Rate" shall mean the per annum rate of interest
         periodically designated and announced to the public by Lender as its
         "Base Rate". The Base Rate is not necessarily the lowest rate charged
         by Lender.

                  "Business Day" shall mean a day which is not a public holiday
         and on which banks in Atlanta, Georgia, are customarily open for
         business.

                  "Default Rate" shall mean a per annum rate of interest equal
         to two percentage points (2%) in excess of the rate of interest
         otherwise applicable hereunder on the date the Default Rate takes
         effect.

                  "Deposit Account" means collectively each demand deposit
         account or time account established and maintained by Borrower with
         Lender during the term of thisNote.

                  "Eurodollar Rate" shall mean the rate per annum equal to
         Adjusted LIBOR plus the Applicable Eurodollar Rate Spread. Each
         component of the Eurodollar Rate (i.e., Adjusted LIBOR and the
         Applicable Eurodollar Rate Spread) will be determined by Lender on the
         first day of each Interest Period.

                                       3
<PAGE>

                  "Interest Period" shall mean each successive period of one (1)
         Month following the date of this Note, provided that (i) no Interest
         Period may extend beyond the Maturity Date and (ii) if any such
         Interest Period would otherwise end on a day that is not a Business
         Day, that Interest Period shall be extended to the next succeeding
         Business Day unless the result of such extension would be to extend
         such Interest Period beyond the maturity of this Note, in which event
         such Interest Period shall end on the immediately preceding Business
         Day.

                  "Month" shall mean, with respect to an Interest Period, the
         interval commencing on a Monthly Payment Date and ending on the day
         before the next Monthly Payment Date, inclusive; provided that the
         first Month of the initial Interest Period shall commence on the date
         of this Note and end on the day before the first Monthly Payment Date.

                  "Monthly Payment Date" means the day on which the monthly
         installment of interest or principal is due hereunder.

                  "Regulation D" shall mean Regulation D of the Board of
         Governors of the Federal Reserve System from time to time in effect and
         shall include any successor or other regulation or official
         interpretation of said Board of Governors relating to reserve
         requirements applicable to member banks of the Federal Reserve System.

                  "Reserve Requirement" shall mean with respect to any Interest
         Period, the weighted average during such Interest Period of the maximum
         aggregate reserve requirement (including all basic, supplemental,
         marginal, and other reserves and taking into account any transitional
         adjustments or other scheduled changes in reserve requirements during
         the Interest Period), if any, that is imposed under Regulation D and
         that is applicable to the class of banks of which Lender is a member on
         "eurocurrency liabilities," as that term is defined in Regulation D.
         Lender acknowledges that, as of the date hereof, the Reserve
         Requirement is zero, provided that the Reserve Requirement may increase
         from time to time during the term of this Note.

         3. Prepayment. Borrower may prepay the outstanding principal of this
Note, or any part thereof, from time to time without penalty. Partial
prepayments will be applied to principal installments coming due under this Note
in their inverse order of maturity. Lender shall not be obligated to adjust any
monthly payment due hereunder on account of any partial prepayment of principal.
Amounts prepaid may not be reborrowed.

         4. Collection Costs. Lender shall be entitled to recover all costs of
collecting, securing, or attempting to collect or secure this Note, or defending
any action seeking the avoidance or rescission of any payment of or security for
this Note, including, without limitation, court costs and reasonable attorneys'
fees actually incurred, including attorneys' fees on any appeal by either
Borrower or Lender.

         5. Loan Documents. The Note is secured by a Deed To Secure Debt,
Assignment of Leases and Rents, and Security Agreement of even dated herewith
from Borrower to Lender (the

                                       4

<PAGE>

"Security Instrument"), pursuant to which Borrower grants to Lender a first
priority security title and interest in a parcel of real estate located in
Fulton County, Georgia. This Note is guaranteed by Roberts Realty Investors,
Inc., a Georgia corporation ("Guarantor"), pursuant to the terms and conditions
of a Guaranty Agreement of even date herewith (the "Guaranty"). This Note is
entitled to all of the benefits and security of the Security Instrument, the
Guaranty, and all of documents executed by Borrower or Guarantor at any time
with respect to the indebtedness evidenced by this Note (collectively, the "Loan
Documents"), as the same might hereafter be amended, extended, supplemented,
replaced, or restated pursuant to the applicable provisions thereof.

         6. Events of Default. The occurrence or existence of an Event of
Default pursuant to, and as defined in, the Security Instrument, including,
without limitation, Borrower's failure to pay any installment of principal or
interest on this Note or any other sum due hereunder on the due date thereof,
which failure continues beyond any cure period and notice requirement set forth
in the Security Instrument, will constitute an event of default under this Note
(an "Event of Default"). Lender, at its option, upon or at any time after the
occurrence of an Event of Default, may (i) declare the then outstanding
principal amount of this Note, together with all accrued interest thereon and
all other agreed or permitted charges owing by Borrower hereunder, to be, and
the same will thereupon become, immediately due and payable without notice to or
demand upon Borrower, all of which Borrower hereby expressly waives, and (ii)
pursue all rights and remedies available under the Loan Documents and at law or
in equity. All rights and remedies of Lender under the terms of this Note and
the other Loan Documents and applicable statutes or rules of law will be
cumulative and may be exercised successively or concurrently.

         7. Usury. It is the intent of Borrower and Lender in the execution of
this Note and all other Loan Documents to contract in strict compliance with the
usury laws governing the loan evidenced by this Note. In furtherance thereof,
Lender and Borrower stipulate and agree that none of the terms and provisions
contained in the Loan Documents shall ever be construed to create a contract for
the use, forbearance, or detention of money requiring payment of interest at a
rate in excess of the maximum interest rate permitted to be charged by the laws
governing the loan evidenced by the Note. Borrower or any guarantor (including
Guarantor), endorser, or other party now or hereafter becoming liable for the
payment of the Note shall never be liable for unearned interest on the Note and
shall never be required to pay interest on the Note at a rate in excess of the
maximum interest that may be lawfully charged under the laws governing the loan
evidenced by the Note, and the provisions of this paragraph shall control over
all other provisions of the Note and any other instrument executed in connection
herewith which may be in apparent conflict herewith. In the event any holder of
the Note shall collect monies that are deemed to constitute interest and that
would otherwise increase the effective interest rate on the Note to a rate in
excess of that permitted to be charged by the laws governing the loan evidenced
by the Note, all such sums deemed to constitute interest in excess of the legal
rate shall be applied to the unpaid principal balance of the Note and if in
excess of such balance, shall be immediately returned to the Borrower upon such
determination. All sums paid or agreed to be paid for the use, forbearance or
detention of money payable under this Note shall, to the extent allowed by
applicable law, be amortized, prorated, allocated and spread throughout the full
term of this Note.

         8. Time of Essence. Time is of the essence with respect to this Note
and the performance of all obligations contained herein.

                                        5

<PAGE>

         9. Waiver. Borrower hereby waives, to the fullest extent permitted by
applicable law, (i) all rights of exemption of property from levy or sale under
execution or other process for the collection of debts under the Constitution or
laws of the United States or any state thereof, (ii) demand, presentment,
protest, notice of dishonor, notice of non-payment, diligence in collection, and
all other requirements necessary to charge or hold the Borrower liable on any
obligations hereunder, and (iii) any further receipt for or acknowledgment of
any collateral now or hereafter deposited by Borrower as security for the
obligations hereunder.

         10. Binding Effect. Lender will not by any act, delay, omission, or
otherwise be deemed to have waived any of its rights or remedies under this Note
or the other Loan Documents, and no waiver of any kind will be valid unless in
writing and signed by Lender. The provisions of this Note will be construed
without regard to the party responsible for the drafting and preparation hereof.
Any provision in this Note that might be unenforceable or invalid under any law
will be ineffective to the extent of such unenforceability or invalidity without
affecting the enforceability or validity of any other provision hereof. This
Note and the obligations of Borrower hereunder shall be binding upon and
enforceable against Borrower and its successors and assigns and will inure to
the benefit of Lender and its successors and assigns, including any subsequent
holder of this Note. Borrower agrees that, without releasing or impairing
Borrower's liability hereunder, Lender may at any time release, surrender,
substitute, or exchange any collateral securing this Note and may at any time
release any party primarily or secondarily liable for the indebtedness evidenced
by this Note.

         11. Document Protocols. This Note is governed by the Document Protocols
set forth in Article Eight of the Security Instrument, which Document Protocols
are incorporated by reference into this Note as if fully set forth herein.

            [THE REMAINDER OF THIS PAGE WAS LEFT BLANK INTENTIONALLY]

                                       6
<PAGE>

         IN WITNESS WHEREOF, Borrower has executed this Note on the day and year
first above written, with the intention that this Note to take effect as an
instrument under seal.

                              ROBERTS PROPERTIES RESIDENTIAL, L.P.,
                              a Georgia limited partnership

                              By:      Roberts Realty Investors, Inc.,
                                       a Georgia corporation
                                       Its General Partner

                                       By:      /s/ Charles R. Elliott
                                          --------------------------------------
                                       Name:     Charles R. Elliott
                                       Title:    Secretary and Treasurer

                                                         [Affix corporate seal]

                                       7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00028-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00028-of-00352.parquet"}]]