Document:

<PAGE>

                                                                   EXHIBIT 10.23

                                 REAL PROPERTY
                           ASSET PURCHASE AGREEMENT

         THIS REAL PROPERTY ASSET PURCHASE AGREEMENT, made and entered into as
of February 8, 2002, by and among NEW YORK JOB DEVELOPMENT AUTHORITY, d/b/a
EMPIRE STATE DEVELOPMENT CORPORATION (the "Seller"), and DUNKIRK ACQUISITION,
LLC (the "Buyer") provides:

                                   RECITALS

         WHEREAS, Seller is the secured creditor of and has liens on certain
assets owned by EMPIRE SPECIALTY STEEL, INC. ("ESSI") located in Chautauqua
County, New York; and

         WHEREAS, Seller desires to sell to Buyer substantially all of ESSI's
real property which serves as collateral for Seller, and Buyer desires to
purchase such real property all on the terms and conditions set forth below
("Transaction"); and

         NOW THEREFORE, in consideration of the promises and of the mutual
agreements and covenants contained herein, and for other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the
parties hereto, each intending to be legally bound, do hereby agree as follows:

                                   ARTICLE 1

                                  DEFINITIONS

                             INTENTIONALLY OMITTED
<PAGE>

                                   ARTICLE 2

                               PURCHASE AND SALE

        ARTICLE 2.1 AGREEMENT TO PURCHASE AND SELL. Subject to and in accordance
with the terms and conditions of this Agreement, at Closing, Buyer agrees to
purchase, and Seller agrees to sell, transfer, convey and assign all of its
rights, title and interests in and good and marketable title, free and clear of
liabilities, obligations, security interests, liens (including tax liens),
mortgages, leases or leasehold interests, encumbrances and rights of others of
any kind whatsoever (except as permitted in Article 2.4 below) to the following
assets (collectively, the "Assets"):

REAL PROPERTY, all of the mortgaged premises, as described more specifically in
the attached Property Description (EXHIBIT A) and shown on the attached Survey
(EXHIBIT B) that are being foreclosed upon by the Lessor in a mortgage
foreclosure action pending in Chautauqua County under index number 2001-1407,
including but not limited to buildings, structures, improvements, fixtures,
leasehold interests located thereon that have been mortgaged as collateral to
Seller (collectively called the "Premises" or the "Property"). A copy of the
complaint in the foreclosure action attached hereto as EXHIBIT C ("Foreclosure
Action").

     ARTICLE 2.2    PURCHASE PRICE.

               a)   Buyer agrees to pay an aggregate amount to Seller of One
                    Million, One Hundred Thousand and 00/100 Dollars
                    ($1,100,000.00) pursuant to the payment schedule outlined in
                    this Agreement (the "Purchase Price"). All funds payable
                    under this Article shall be paid by means of a wire transfer
                    to an account designated by the recipient, unless otherwise
                    mutually agreed to by Buyer and Seller.

                                       2
<PAGE>

               b)   MANNER OF PAYMENT.

                    (i)  The sum of One Million, One Hundred Thousand and no/100
Dollars ($1,100,000.00) consisting of the entire Purchase Price shall be paid to
Seller at Closing, as set forth herein. A promissory note (the "Note") in the
form of the Attached EXHIBIT D, in the principal amount of One Million, One
Hundred Thousand and no/100 Dollars ($1,100,000.00), which Note shall bear
interest at a rate of five percent per annum. No payments or interest shall
accrue until the first anniversary of the Closing Date (as defined below).
Thereafter, principal and interest shall be paid in one hundred and eight
consecutive equal monthly installments beginning on the first day of the month
following the first anniversary of the Closing Date.

     ARTICLE 2.3    CLOSING ADJUSTMENTS.  Buyer shall pay the Purchase Price at
Closing, as adjusted as follows:

               a)   PRORATIONS.

                    (i)  At Closing, all customary adjustments with respect to
the Assets, and applicable to the period of time before and after Closing, shall
be allocated between Seller and Buyer as of the Closing Date. To the extent
applicable, such amounts shall be shown on the Closing Balance Sheet (as
hereinafter defined), and shall include, without limitation, current and prepaid
real estate taxes, water and sewage charges and other assessments against the
Assets; such amounts owed by Buyer and Seller shall be netted and such net
amount shall be the Purchase Price adjustment at Closing.

                                       3
<PAGE>

                    (ii)  Each party shall pay its own attorney's fees. Seller
shall be responsible for the payment of real property taxes, assessments and
other charges against the Assets which have accrued and relate to the period
prior to the Closing Date or resulting from the transaction; such amounts owed
by Seller shall be netted and such net amount shall be a Purchase Price
adjustment at Closing.

               b)   CLOSING BALANCE SHEET. Buyer and Seller shall prepare a
closing balance sheet (the "Closing Balance Sheet") showing the adjustments to
the Purchase Price. Any dispute as to the Closing Balance Sheet shall be
resolved by a Court.

     ARTICLE 2.3. EXCLUDED ASSETS AND LIABILITIES.  The list of Assets described
in this Agreement as being purchased is exclusive and the Parties agree that all
remaining assets of ESSI and/or Seller are not to be purchased pursuant to this
Agreement and shall be Excluded Assets. It is further agreed that in acquiring
the Assets, Buyer is not assuming or undertaking to assume and shall have no
responsibility for any liabilities whether fixed or contingent, past, present or
future, or direct or indirect, arising out of or in connection with the Assets,
or any other acts or omissions of ESSI and/or Seller in connection therewith
prior to the Closing (collectively referred to as the "Excluded Liabilities"),
including without limitation, (i) any claim arising out of or in connection with
the failure by ESSI or Seller to comply with any applicable government
regulation; (ii) federal, state or local tax liabilities (including any
depreciation, investment tax credit recapture and rollback taxes); (iii) any
claim arising out of or in connection with any Employee Plans of ESSI or Seller
or with the employment by ESSI or Seller of any of its employees or any past
employees or with the termination of any current employees; (iv) any claim

                                       4
<PAGE>

resulting from defective products or workmanship (including any recalls or
returns with respect thereto) related to goods or services invoiced prior to
Closing; (v) any claim arising from environmental liabilities, and (vi) any
claim under any provision of the New York Uniform Commercial Code or bulk sales
law.

     LIMITATIONS ON WARRANTIES. EXCEPT FOR THOSE WARRANTIES EXPRESSLY SET FORTH
IN THIS AGREEMENT, SELLER EXPRESSLY DISCLAIMS AND NEGATES AND BUYER HEREBY
WAIVES, ALL OTHER REPRESENTATIONS AND WARRANTIES, EXPRESS, IMPLIED, STATUTORY OR
OTHERWISE. AS EXAMPLES AND FOR THE AVOIDANCE OF DOUBT, BUT WITHOUT LIMITATION OF
THE FOREGOING, THE ASSETS SHALL BE CONVEYED PURSUANT HERETO WITHOUT ANY WARRANTY
OR REPRESENTATION WHETHER EXPRESS, IMPLIED, STATUTORY OR OTHERWISE, WITH RESPECT
TO THE QUANTITY, PROFITABILITY, COLLECTIBILITY, QUALITY, CONDITION, SIZE,
WEIGHT, SERVICEABILITY, CONFORMITY TO SAMPLES OR ANY OTHER ASPECT OF THE
FIXTURES, EQUIPMENT OR OTHER PERSONAL PROPERTY INCLUDED AMONG THE ASSETS, ALL OF
WHICH SHALL BE CONVEYED TO THE BUYER AS IS, WHERE IS, AND WITH ALL FAULTS AND
DEFECTS AND IN THEIR PRESENT CONDITION AND STATE OF REPAIR AND WITHOUT ANY
WARRANTIES WHATSOEVER OF MERCHANTABILITY OR OF FITNESS FOR A PARTICULAR PURPOSE.
THE BUYER ACKNOWLEDGES THAT THIS WAIVER IS CONSPICUOUS.

     ARTICLE 2.4    SECURITY INTEREST.  At the Closing, Buyer shall grant to
Seller a lien on the Assets to the extent of any unpaid balance on the Note.
Buyer agrees to execute all documents

                                       5
<PAGE>

necessary to grant to Seller such a lien, including but not limited to the
documents ordinarily used by Seller. Copies of such documents that are
applicable to this transaction are attached hereto as EXHIBIT E.

                                   ARTICLE 3

                                    CLOSING

     ARTICLE 3.1.   CLOSING. The Closing of the sale of the Assets contemplated
by this Agreement ("Closing") shall take place as soon as possible according to
the foreclosure process on real property and once contingency items are
resolved, but not later than February 14, 2002 (the "Closing Date") or such
other earlier time and place as the Parties may mutually agree. All funds
transfers to be made and documents to be delivered on the Closing Date shall be
consummated at that time and place. TIME IS OF THE ESSENCE.

     ARTICLE 3.2.   SELLER'S CLOSING DOCUMENTS.  At the Closing, Seller shall
deliver or cause to be delivered to Buyer in form satisfactory to Buyer's
counsel documents necessary to convey good and marketable title to the Assets
into the name of the Buyer, free and clear of all liens and encumbrances,
including a Bargain and Sale deed with covenant against Grantor's acts.
Notwithstanding the foregoing, Buyer acknowledges that there are open mortgage
liens in favor of Korea First Bank and the parties agree that the existence of
these liens do not constitute a defect in marketable title. Buyer agrees that
Seller and Buyer shall cooperate, after the Closing Date, to discharge such
liens of record. This provision shall apply, where applicable, throughout this
Agreement and shall survive the Closing and the termination of this Agreement. A
certificate signed by Seller's authorized officer that the representations and
warranties herein are true as of the Closing Date.

     ARTICLE 3.3.   BUYER'S CLOSING DOCUMENTS.  At the Closing, Buyer shall
deliver or cause to be delivered to Seller in form satisfactory to Seller's
counsel its Note for payment of Purchase Price, including all prorations and
adjustments thereto, a Mortgage, a Security Agreement, a properly executed
financing statement and a guarantee of payment. Copies of such documents are
attached hereto

         A certificate signed by Buyer's authorized officer that the
representations and warranties herein are true as of the Closing Date.

                                       6
<PAGE>

                                   ARTICLE 4

                                   COVENANTS

     ARTICLE 4.1.   COVENANTS OF SELLER.

     a)   The Seller, to the best of its ability and to the extent such books,
records and properties are available from ESSI, will afford Buyer, its advisors
and representatives, and its potential debt and equity financing sources and
their advisors and representatives, immediate and continuing access to such of
the books, records and properties of ESSI as may be necessary in the opinion of
Buyer, its counsel, accountants, environmental consultants and other
representatives to conduct a satisfactory due diligence investigation of all
aspects of ESSI, including, without limitation, the following areas:
environmental, employee obligations, intellectual property, financial, labor
agreements, commercial, operations, utilities, real estate orders and contracts.

                                       7
<PAGE>

     In connection with Buyer's due diligence investigation, the Seller will
permit Buyer and its counsel, financial and other advisors, accountants,
environmental consultants, potential debt and equity financing sources, and
their representatives to conduct such investigation of ESSI's businesses,
assets, liabilities, books and records as Buyer may desire, and will cooperate
fully with Buyer in such investigation. Buyer will be afforded an opportunity to
discuss the environmental status and condition of the Premises with applicable
government authorities.

     b)   Seller shall cause the Transaction contemplated by this Agreement to
be consummated, including without limitation, the bidding of up to the Seller's
upset price in the foreclosure action if necessary to acquire the title to the
Assets at any foreclosure sale, and shall use its reasonable efforts to obtain
all consents and authorizations of third parties and to make all filings with
and give all notices to third parties which may be necessary or reasonably
required in order to effect the transactions contemplated hereby.

     c)   From the date of this Agreement Seller will not sell, exchange, or
compromise its existing claims against ESSI or its property.

     ARTICLE 4.2.   COVENANTS OF BUYER.

     a)   Buyer shall use its reasonable efforts to cause the transactions
contemplated by this Agreement to be consummated, and shall use its reasonable
efforts to obtain all consents and authorizations of third parties and to make
all filings with and give all notices to third parties which may be necessary or
reasonably required in order to effect the transactions contemplated hereby.

                                       8
<PAGE>

     b)   After Closing, Buyer will preserve for a reasonable length of time all
books and records included in the Assets and will give Seller the right, during
normal business hours, to inspect the same and make copies thereof for all
reasonable purposes.

                                   ARTICLE 5

                 MATERIAL TERMS AND CONDITIONS TO TRANSACTION

In addition to the satisfactory completion of due diligence, the Closing is
subject to satisfaction of various conditions, including the following unless
such condition is waived by Buyer in writing if Seller, through no fault of
Buyer, is unable to satisfy:

     a)   DEFINITIVE AGREEMENT AND RELATED DOCUMENTATION

          .    Transfer of clean and unencumbered title to all personal property
               of ESSI, as described in the Personal Property Asset Purchase
               Agreement between the parties, to Buyer.

          .    The negotiation, execution and delivery of all necessary permits,
               and all supply and utility agreements necessary to the respective
               operations of Empire on terms satisfactory to Buyer no later than
               February 12, 2002.

     b)   PROTECTION OF ASSETS

          .    Seller will immediately take all necessary steps to protect the
               Assets from exposure to adverse weather conditions.

          .    There shall have been no material adverse change, in the
               condition of the Assets since June 29, 2001, except as set forth
               in Exhibit F.

                                       9
<PAGE>

     c)   REGULATORY CONSENTS

          .    Obtaining appropriate antitrust and other regulatory permits,
               consents and approvals and the absence of any injunction or
               proceeding which seeks to block the consummation of the
               Transaction or any related transaction.

     d)   ENVIRONMENTAL MATTERS

          .    With respect to any existing environmental condition on or at the
               Premises that may be reasonably expected to impose requirements
               for remediation in order to comply with existing environmental
               laws, obtaining the agreement or approval from applicable federal
               and state regulatory agencies (in the form of a prospective
               purchaser agreement, voluntary remediation agreement, or similar
               arrangement under applicable federal or state environmental laws
               and programs) as to remediation requirements with respect to such
               existing environmental conditions, on terms that are reasonably
               acceptable to Buyer and to Seller. In this regard, Buyer shal1
               have entered into an agreement with the New York DEC regarding
               environmental matters, the terms of which shall be satisfactory
               to Buyer. In this regard, Seller shal1 have entered into an
               agreement with the New York DEC regarding environmental matters,
               the terms of which shall be satisfactory to Seller.

     e)   CORPORATE APPROVALS

          .    The receipt of all required approvals of the Board of Managers of
               Buyer with respect to the consummation of the Transaction and
               related transactions.

                                       10
<PAGE>

          .    The receipt of all required approvals of the Board of Directors
               of the Seller with respect to the consummation of the Transaction
               and related transactions.

     f)   TITLE AND POSSESSION OF PREMISES

          .    Seller, prior to or on the Closing Date, shall have obtained good
               and marketable title to and possession of the Assets free and
               clear of all liens, claims and encumbrances.

                                   ARTICLE 6

                        REPRESENTATIONS AND WARRANTIES

     ARTICLE 6.1    REPRESENTATIONS AND WARRANTIES OF SELLER.  Seller hereby
represents and warrants to Buyer as follows:

          .    Organization and Qualification. Seller is a public benefit
               corporation duly organized, validly existing and in good standing
               under the laws of the State of New York, and has all requisite
               corporate power and authority to own, and lease the properties
               and assets it now owns, or is foreclosing on and to carry on its
               business as presently conducted to execute and deliver this
               Agreement and the other documents and instruments to be executed
               and delivered by Seller hereunder, and to consummate the
               transactions contemplated hereby and thereby. Seller is duly
               licensed or qualified to do business and is in good standing in
               each jurisdiction in which the ownership, operation or lease of
               the Assets by it, except where the failure

                                       11
<PAGE>

               to be so licensed or qualified or in good standing would not have
               a material adverse effect on the business or financial condition
               of Seller taken as a whole. Seller has delivered to Buyer true
               and correct copies of its Amended Articles of Incorporation and
               Regulations, in each case as presently in effect.

          .    Authority Concerning this Agreement.  The execution and delivery
               of this Agreement and the other documents and instruments to be
               executed and delivered by Seller hereunder, the performance by
               Seller of its obligations hereunder and thereunder, and the
               consummation by Seller of the transactions contemplated hereby
               and thereby have been duly authorized by the Board of Directors,
               of Seller. Seller will deliver to Buyer at or prior to the
               Closing a complete and correct copy, certified by its corporate
               secretary or assistant secretary, of all resolutions theretofore
               duly and validly adopted by its Board of Directors evidencing
               such authorization (which resolution will not have been modified
               or rescinded prior to and will be in full force and effect on the
               Closing Date). No other corporate act or proceeding on the part
               of Seller is necessary to approve the execution and delivery of
               this Agreement by Seller, the execution and delivery of the other
               documents and instruments to be executed and delivered by Seller
               hereunder, the performance by Seller of its obligations hereunder
               and thereunder and the consummation of the transactions
               contemplated hereby and thereby.

          .    Execution and Binding Effect.  This Agreement has been duly and
               validly executed and delivered by Seller and constitutes, and the
               other documents

                                       12
<PAGE>

               and instruments to be executed and delivered by Seller hereunder
               upon their execution and delivery by Seller on or prior to the
               Closing Date will constitute (assuming in each case the due and
               valid authorization, execution and delivery thereof by the other
               parties thereto), valid and binding agreements of Seller,
               enforceable against Seller in accordance with their respective
               terms, except that enforceability may be limited by (a)
               bankruptcy, insolvency, reorganization, moratorium or other
               similar laws now or hereafter in effect relating to creditors'
               rights, and (b) the remedies of specific performance or
               injunctive and other forms of equitable relief may be subject to
               certain equitable defenses and to the discretion of the court
               before which any proceeding therefor may be brought.

          .    Absence of Certain Changes or Events. Except as contemplated by
               this Agreement or as set forth on EXHIBIT F attached hereto,
               since June 29, 2001, there has not been:

               a.   Any mortgage or pledge or material lien or other encumbrance
                    which has not been foreclosed on in Seller's mortgage
                    foreclosure action, upon any of the Assets, other than
                    Permitted Liens (as defined in EXHIBIT G hereof);

               b.   Any sale, transfer or other disposition of any assets of
                    ESSI that would be included in this Agreement but for such
                    sale, transfer or other disposition by Seller, and Seller
                    has not entered into any contract or commitment material to
                    the business or operations of ESSI, except in the ordinary
                    course of business with Buyer.

                                       13
<PAGE>

               c.   Any destruction or casualty loss, whether or not covered by
                    insurance, adversely affecting the Assets.

          .    Seller, prior to the Closing Date, has obtained good and
               marketable title to the Assets free and clear of all liens,
               claims and encumbrances.

          .    Seller has legally enforceable debt and lien claims against ESSI
               as follows:

               1.   Note dated January 31, 2001, in the face amount of
                    $3,360,000.00 amount owed: $2,523,971.39 plus interest and
                    other charges from December 14, 2001 secured by: mortgage
                    dated January 31, 2001, executed by Empire Specialty Steel
                    Inc. to New York Job Development Authority, and recorded in
                    the Chautauqua County Clerk's Office on January 31, 2001, in
                    Book 02434 at Page 0372; security agreement in machinery,
                    equipment furniture and fixtures dated January 31, 2001
                    between Empire Specialty Steel Inc. and New York Job
                    Development Authority d\b\a Empire State Development Corp.;
                    security agreement dated October __, 1999 between Dunkirk
                    Specialty Steel Inc. and Atlas Steels Inc. and thereafter
                    assigned to New York Job Development Authority d\b\a Empire
                    State Development Corp. pursuant to a subordination
                    agreement dated January 31, 2001

               2.   Note dated October __, 1999, in the face amount of
                    $2,499.000.00 amount owed: $1,990,666.60 plus interest and
                    other charges from October 31, 2001 secured by: mortgage in
                    the face amount of $10,000,000.00 given by Al Tech Specialty
                    Steel Corporation to New York State, Department of Commerce-
                    Trust Fund 226-01, and recorded in the Chautauqua County
                    Clerk's office on August 2, 1976, in Book 1376 of Mortgages
                    at page 175, as corrected by correction mortgage recorded in
                    the Chautauqua County Clerk's office on January 25, 1979, in
                    Book 1501 of Mortgages at page 186, which was subsequently
                    subordinated to the aforementioned mortgage dated January
                    31, 2001;
                    security agreement in equipment dated October __, 1999
                    between Dunkirk Specialty Steel Inc. and New York Job
                    Development Corp. d\b\a Empire State Development Corp.

                                       14
<PAGE>

               3.   Note dated January 31, 2001, in the face amount of
                    $1,000,000.00 amount owed: $973,395.15 plus interest and
                    other charges from October 31, 2001 secured by:
                    security agreement in machinery, equipment, furniture and
                    fixtures dated January 31, 2001, between Empire Specialty
                    Steel Inc. and New York Job Development Authority d\b\a
                    Empire State Development Corp

     ARTICLE 6.2    REPRESENTATIONS AND WARRANTIES OF BUYER.  Buyer hereby
represents and warrants to Seller as follows:

          .    Organization and Qualification. Buyer is a Limited Liability
               Company duly organized, validly existing and in good standing
               under the laws of the State of Delaware, and has all requisite
               corporate power and authority to own, and lease the properties
               and assets it now owns, or is foreclosing on and to carry on its
               business as presently conducted to execute and deliver this
               Agreement and the other documents and instruments to be executed
               and delivered by Buyer hereunder, and to consummate the
               transactions contemplated hereby and thereby. Buyer is duly
               licensed or qualified to do business and is in good standing in
               each jurisdiction in which the ownership, operation or lease of
               the Assets by it or the conduct of the business of Dunkirk
               requires such licensing or qualification, except where the
               failure to be so licensed or qualified or in good standing would
               not have a material adverse effect on the business or financial
               condition of Buyer taken as a whole. Buyer has delivered to Buyer
               true and correct copies of its Articles of Organization and
               Operating Agreement, in each case as presently in effect.

                                       15
<PAGE>

          .    Authority Concerning this Agreement. The execution and delivery
               of this Agreement and the other documents and instruments to be
               executed and delivered by Buyer hereunder, the performance by
               Buyer of its obligations hereunder and thereunder, and the
               consummation by Buyer of the transactions contemplated hereby and
               thereby have been duly authorized by the Board of Managers, of
               Buyer. Buyer will deliver to Seller at or prior to the Closing a
               complete and correct copy, certified by its corporate secretary
               or assistant secretary, of all resolutions theretofore duly and
               validly adopted by its Board of Managers evidencing such
               authorization (which resolution will not have been modified or
               rescinded prior to and will be in full force and effect on the
               Closing Date). No other corporate act or proceeding on the part
               of Buyer is necessary to approve the execution and delivery of
               this Agreement by Buyer, the execution and delivery of the other
               documents and instruments to be executed and delivered by Buyer
               hereunder, the performance by Buyer of its obligations hereunder
               and thereunder and the consummation of the transactions
               contemplated hereby and thereby.

          .    Execution and Binding Effect. This Agreement has been duly and
               validly executed and delivered by Buyer and constitutes, and the
               other documents and instruments to be executed and delivered by
               Buyer hereunder upon their execution and delivery by Buyer on or
               prior to the Closing Date will constitute (assuming in each case
               the due and valid authorization, execution and delivery thereof
               by the other parties thereto), valid and binding agreements of
               Buyer, enforceable against Buyer in accordance

                                       16
<PAGE>

               with their respective terms, except that enforceability may be
               limited by (a) bankruptcy, insolvency, reorganization, moratorium
               or other similar laws now or hereafter in effect relating to
               creditors' rights, and (b) the remedies of specific performance
               or injunctive and other forms of equitable relief may be subject
               to certain equitable defenses and to the discretion of the court
               before which any proceeding therefor may be brought.

                                   ARTICLE 7

                             CONDITIONS PRECEDENT

     ARTICLE 7.1.   CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER.  Seller's
obligations hereunder are contingent upon the fulfillment of the following
conditions :

          .    Buyer shall not be in default of any of its other Agreements with
               Seller and shall have performed in all material respects its
               obligations hereunder to be performed on or before the Closing
               Date.

               a.   The Seller shall have signed an Agreement (acceptable to
                    Seller) with the New York State Department of Environmental
                    Conservation regarding the environmental condition of the
                    property and release from liabilities.

               b.   Satisfactory completion of Article 5 of the Agreement
                    applicable to Seller.

                                       17
<PAGE>

               c.   Seller to receive Representations and Warranties from Buyer
                    as to the authority to buy the Property.

     ARTICLE 7.2.   CONDITIONS PRECEDENT TO OBLIGATIONS OF BUYER.  Buyer's
obligations hereunder unless waived by Buyer in writing are contingent upon the
fulfillment of the following conditions:

          a)   Seller shall not be in default of any of its other Agreements
               with Buyer and shall have performed in all material respects its
               obligations hereunder to be performed on or before the Closing
               Date.

          b)   The Buyer shall have signed an Agreement (acceptable to Buyer)
               with the New York State Department of Environmental Conservation
               regarding the environmental condition of the property and release
               from liabilities.

          c)   The Buyer shall have received from the New York State Department
               of Environmental Conservation and others all applicable permits
               to operate the facilities.

          d)   Satisfactory completion of Article 5 of the Agreement applicable
               to Buyer.

          e)   Buyer to receive Representations and Warranties from Seller as to
               the Authority to sell the Property.

          f)   On or before the Closing Date, Seller shall have acquired title
               to the Premises, free and clear of any and all liens, claims and
               encumbrances.

                                       18
<PAGE>

                                   ARTICLE 8

                            RISK OF LOSS; INSURANCE

     ARTICLE 8.1    The risk of loss to any of the Assets shall remain with
Seller until Closing, and shall then pass to Buyer and from that time on Buyer
shall be entitled to the proceeds of any insurance obtained by the Buyer and
covering the Assets upon loss due to an insured event or occurrence. In the
event of any material destruction of, or loss or damage to all or any material
portion of the Assets by any casualty prior to the Closing, Buyer may, at its
option, either (i) terminate this Agreement or (ii) waive the foregoing right of
termination and notify Seller of its election to hold the Closing as provided
herein. If Buyer shall so notify Seller, any proceeds of insurance shall be paid
to Seller and Seller, to the extent of insurance proceeds received by Seller,
plus any coinsurance penalty stipulated in the insurance policy promptly, but in
any event not later than thirty (30) days after the casualty, shall replace or
repair that portion of the Assets so damaged such that the Assets are in as good
condition and equivalent value and fit for Buyer's purposes as were the Assets
immediately prior to the casualty, to Buyer's reasonable satisfaction, and the
Purchase Price payable hereunder as to the affected Assets shall not be
adjusted. In the event of any non-material destruction of, or damage or other
casualty to, any of the Assets, or any part thereof, any proceeds of insurance
shall be paid to the Seller, and the Purchase Price payable hereunder as to the
affected Assets shall be appropriately adjusted on the Adjustment Date in
accordance with Article 2.4.

                                   ARTICLE 9

                                  TERMINATION

     ARTICLE 9.1    TERMINATION EVENTS. This Agreement may be terminated by:

                                       19
<PAGE>

     a)   Buyer, upon written notice to Seller prior to the Closing Date, if any
of the conditions in this Agreement have not been satisfied as of the Closing
Date or if satisfaction of such a condition is or becomes impossible (other than
through the failure of Buyer to comply with its obligations under this
Agreement) and Buyer has not waived such condition on or before the Closing
Date; or

     b)   Seller, upon written notice to Buyer prior to the Closing Date, if any
of the conditions in this Agreement have not been satisfied as of the Closing
Date or if satisfaction of such a condition is or becomes impossible (other than
through the failure of Seller to comply with its obligations under this
Agreement) and Seller has not waived such condition on or before the Closing
Date; or

     c)   mutual consent of Buyer and Seller.

                                  ARTICLE 10

                                 MISCELLANEOUS

     ARTICLE 10.1   Deleted.

     ARTICLE 10.2   CONFIDENTIALITY.  This Agreement and any and all discussions
and negotiations related hereto shall be treated as confidential and proprietary
information by each Party, and shall not be disclosed to any third party, except
those parties with a need to know such information to assist such Party in
completing its obligations hereunder, and each Party shall use at least the same
degree of care in protecting such confidential information as it uses in
protecting its own proprietary and confidential information. This obligation of
confidentiality shall terminate with respect to the existence of this Agreement
on the date upon which the Parties

                                       20
<PAGE>

jointly and publicly announce the signing of this Agreement. Any such public
announcement shall be mutually agreed to by Buyer and Seller prior to
dissemination.

     ARTICLE 10.3   EXPENSES AND COMMISSIONS.  Seller and Buyer agree to bear
their own legal, accounting and other expenses in connection with the
preparation and consummation of this Agreement and the transactions contemplated
hereby. In the event of a breach of this Agreement, the prevailing party in a
lawsuit or other dispute resolution procedure shall be entitled to recover its
reasonable attorney's fee, costs and expenses from the other party.

     ARTICLE 10.4   BENEFIT OF AGREEMENT; ASSIGNMENT.  The terms of this
Agreement shall be binding upon and inure to the benefit of the heirs,
successors and assigns of the Parties hereto. No Party shall assign its interest
under this Agreement, by operation of law or otherwise, without the prior
written consent of the other Parties.

     ARTICLE 10.5   NOTICES.  All notices, demands or other communications given
under this Agreement shall be in writing, and shall be sent by certified or
registered mail, postage prepaid, return receipt requested or by personal
delivery or by overnight courier and addressed as follows: if to Buyer at:
Dunkirk Acquisition, LLC, C/O Universal Stainless & Alloy Products, Inc.,
General Counsel, 600 Mayer Street, Bridgeville, Pennsylvania 15017, with a copy
to Buyer's counsel at William J. Brown, Esq., 3400 HSBC Center, Buffalo, New
York 14203; if to Seller at Empire State Development Corporation, Garry Ryan,
633 Third Street, New York, New York 10017 with a copy to Seller's counsel at
McNamee, Lochner, Titus & Williams, P.C. , Attn: Kevin Laurilliard, Esq., 75
State Street, P.O. Box 459, Albany, New York 12201-0459; or to such other
address as may be designated in writing, which notice of change of address shall
be given in the same manner. A notice shall be deemed delivered (a) three (3)
business days after

                                       21
<PAGE>

sending, if sent by certified or registered mail, (b) upon delivery, if
personally delivered, or (c) one (1) business day after sending if sent by
overnight courier.

Notices relating to Article 9, Termination may be made by facsimile, e-mail or
in person and are effective immediately upon sending such notice.

     ARTICLE 10.6   SEVERABILITY.   All agreements and covenants herein are
severable. In the event that any provision of this Agreement should be held to
be unenforceable, the validity and enforceability of the remaining provisions
hereof shall not be affected thereby.

     ARTICLE 10.7   GOVERNING  LAW; JURISDICTION.   This Agreement shall be
enforced, construed and performed in accordance with the laws of the State of
New York as applied to contracts made and fully performed in such state, without
any effect to the choice of law principles thereof. Seller and Buyer hereby
agree that any suit, action or proceeding arising out of or based upon any claim
under this Agreement shall be instituted in the Supreme Court located in
Chautauqua County, New York, and the Seller and Buyer waive any objection which
it may have to the laying of venue of such suit, action or proceeding therein.

     ARTICLE 10.8   COUNTERPARTS.  This Agreement may be executed in any number
of counterparts and by the different parties hereto on separate counterparts (by
facsimile or otherwise), each of which, when so executed and delivered, shall be
an original, but all the counterparts shall together constitute one and the same
instrument.

     ARTICLE 10.9   ENTIRE AGREEMENT.  This Agreement, together with agreements
executed contemporaneously herewith, constitutes the entire agreement among the
Parties in respect of the transactions contemplated hereby and supersedes all
prior agreements, arrangements and

                                       22
<PAGE>

undertakings relating to the subject matter hereof. No covenants or conditions
not expressed in this Agreement or in the agreements executed contemporaneously
herewith shall affect or be effected to interpret, change or restrict this
Agreement. This Agreement may be amended only by a writing specifically amending
the Agreement and signed by all of the Parties hereto.

     ARTICLE 10.10  MODIFICATION;  WAIVER.  This Agreement may not be modified,
terminated, rescinded, discharged or canceled, nor may any provision be waived
without the prior written consent of the Party or Parties against whom such
modification, termination, recision, discharge, cancellation or waiver is or may
be asserted. No delay or omission by any Party to exercise any right or power
shall impair any such right or power or be construed to be a waiver thereof. A
waiver of any provision of this Agreement on any occasion shall not constitute a
waiver of such provision on any succeeding occasion.

     ARTICLE 10.11  CUMULATIVE REMEDIES.  Unless stated otherwise, all remedies
available under this Agreement shall be cumulative and in addition to and not in
lieu of any other remedies available at law, in equity or otherwise. The use of
any one right or remedy by any Party shall not preclude or waive its right to
use any or all other remedies.

     ARTICLE 10.12  HEADINGS.  The section headings and subheadings contained in
this Agreement, Exhibits, and Schedules are for convenient reference only, and
shall not in any way affect the meaning or interpretation of this Agreement.

     ARTICLE 10.13. STRICT  CONSTRUCTION.  The parties agree that this Agreement
was a result of their joint representation and negotiations. IN THE EVENT THAT
ANY PARTY TO THIS AGREEMENT IS NOT REPRESENTED BY AN ATTORNEY, THEY ARE HEREBY
ADVISED THAT THEY SHOULD CONSULT WITH AN ATTORNEY AND THAT THEY

                                       23
<PAGE>

HAVE THE RIGHT TO NEGOTIATE THE TERMS OF THIS AGREEMENT. THIS CONSTITUTES A
VALID AND BINDING AGREEMENT. The parties hereby agree that no provision shall be
construed against a particular party to this Agreement on the basis that this
Agreement or any particular provision in this Agreement was proposed, negotiated
or written by such party. This rule of construction is important so that none of
the parties are discourages from drafting this Agreement.

     ARTICLE 10.14  GUARANTEE.  All of Buyer's obligations under this Agreement
are hereby unconditionally and irrevocably guaranteed by Universal Stainless &
Alloy Products, Inc. upon Closing.

     ARTICLE 10.15  INDEMNITY. Seller shall indemnify and hold each of Universal
Stainless & Alloy Products, Inc. and Dunkirk Acquisition LLC and their
respective officers, employees and related parties harmless from, and against,
any and all liabilities, obligations, losses, damages, penalties, claims,
actions, judgments, suits, costs, expenses, and disbursements of any kind or
nature whatsoever (including without limitation, counsel and special counsel
fees and disbursements in connection with any litigation, investigation, hearing
or other proceeding) (collectively, "Liabilities") in connection with, or with
respect or in any way related to, or arising directly or indirectly from this
Agreement or the Transaction related to Seller's failure to sell, transfer,
convey and assign title and interests in and good and marketable title, free and
clear of liabilities, obligations, security interests, liens (including tax
liens), mortgages, leases or leasehold interests, encumbrances and rights of
others of any kind whatsoever (except as permitted in Article 2.4 herein). This
indemnification shall survive the Closing and the termination of this Agreement.

                                     * * *

[Note:  In accordance with Item 601(b)(2) of Regulation S-K, the registrant has
omitted the exhibits to this Agreement referenced herein. The registrant hereby
agrees to furnish supplementally a copy of any omitted exhibit to the Commission
upon request.]

                                       24
<PAGE>

     IN WITNESS WHEREOF, the Parties have executed, or caused to be executed,
this Agreement in a manner sufficient to bind them as of the day and year first
above written.

<TABLE>
<S>                                                     <C>
STATE OF NEW YORK                                        NEW YORK JOB
COUNTY OF                                                DEVELOPMENT AUTHORITY
          ----------------------------                   d/b/a EMPIRE STATE
                                                         DEVELOPMENT CORPORATION
On this the       day of             , 20   ,
            -----        ------------    ---
Before me                                , the           By: /s/ Garry P. Ryan
          -------------------------------                   ---------------------------------------
undersigned officer, personally appeared, known
to me (or satisfactorily proven) to be the person
whose name is subscribed to the within instrument,       Its: Controller
and acknowledge that he/she executed the same for            --------------------------------------
the purposes therein contained.

In witness whereof, I hereunto set my hand and
Official seals.

-------------------------------------------
Notary Public

COMMONWEALTH OF PENNSYLVANIA                             DUNKIRK ACQUISITION, LLC
COUNTY OF
          ---------------------------------

On this the           day of          , 20   ,
            ---------        --------     ---
Before me                                , the           By: /s/ Paul A. McGrath
          -------------------------------                   ---------------------------------------
undersigned officer, personally appeared, known
to me (or satisfactorily proven) to be the person
whose name is subscribed to the within instrument,       Its: Executive Officer
and acknowledge that he/she executed the same for            --------------------------------------
the purposes therein contained.

In witness whereof, I hereunto set my hand and
Official seals.

---------------------------------------------
Notary Public
COMMONWEALTH OF PENNSYLVANIA                             UNIVERSAL STAINLESS & ALLOY
                                                         PRODUCTS, INC.
COUNTY OF                                                Guarantor pursuant to Article 10.14
          -----------------------------------
On this the         day of              , 20    ,
            -------        -------------    ----
Before me                                   , the        By: /s/ C. M. McAninch
          ----------------------------------                ---------------------------------------
undersigned officer, personally appeared, known
to me (or satisfactorily proven) to be the person
whose name is subscribed to the within instrument,       Its: President and Chief Executive Officer
                                                             --------------------------------------

                                       25
<PAGE>

and acknowledge that he/she executed the same
for the purposes therein contained.

In witness whereof, I hereunto set my hand and
Official seals.

----------------------------------------------
Notary Public
</TABLE>

                                       26<PAGE>

                                                                   EXHIBIT 10.24

                                 PROMISSORY NOTE

$1,900,000.00
                                                            February 13, 2002

          FOR VALUE RECEIVED, the Undersigned, Dunkirk Acquisition, LLC
("Maker") promises to pay to the order of New York Job Development Authority,
d/b/a Empire State Development Corporation, a public benefit corporation created
under Article 8, Title 8 of the New York Public Authorities Law ("JDA") the sum
of One Million Nine Hundred Thousand and 00/100 DOLLARS ($1,900,000.00) together
with interest as follows:

          The rate of interest to be charged commencing on the date that is one
year from the date hereof is five percent (5%) per annum.  Such interest shall
be computed on the basis of a year of twelve, thirty-day months.

          The undersigned promises to pay principal and interest commencing on
the first day of the month after the first year anniversary date of this Note,
and continuing on the first day of each and every month thereafter during the
term of this Note, for a total of 108 equal monthly payments of interest and
principal.  Each payment of principal and interest shall be in the amount of
$21,888.82.  All payments shall be payable at the office of:

                   NEW YORK JOB DEVELOPMENT AUTHORITY
                   633 Third Avenue, 37th Floor
                   New York, New York 10017

          The balance of principal plus accrued interest together with all such
additional charges which may be due and owing under the terms of this Note, and
a certain Security Agreement executed of even date herewith, shall be due and
payable in full on the first day of the month that is the tenth year anniversary
date of this Note.

          This Note is issued pursuant to said Security Agreement between JDA
and Maker under which JDA has been granted a security interest in certain
collateral as described therein.

          Maker expressly agrees to the following additional terms in
consideration of the loan:
<PAGE>

1.        All payments shall be applied first to accrued interest to the date of
payment.  The balance shall be applied toward the reduction of principal.

2.        In the event that any monthly payment of principal and/or interest is
not received within ten (10) days after said payment is due, Maker shall pay to
the holder of this Note on demand, as an administrative charge for late payment,
an amount equal to the lesser of four percent (4%) of the overdue payment, or
the maximum amount permitted by law.

3.        Upon the occurrence of an Event of Default pursuant to the terms,
covenants, conditions, provisions, warranties and agreements of the aforesaid
Security Agreement, or any default pursuant to the terms of this Note, including
but not limited to the failure to make timely payment of any portion of
principal or interest hereon, the unpaid balance of this Note shall become due
and payable at once at the option of the holder hereof.  Upon the occurrence of
an Event of Default pursuant to the terms of any other debt instrument or
security interest given by the Maker to JDA.  Failure to exercise this option
shall not constitute a waiver of any other rights or remedies of holder,
including the right to exercise the same in the event of any subsequent default.

4.        If a suit is brought hereon or any attorney is employed or expenses
are incurred to compel payment of this Note, or any portion of the indebtedness
evidenced hereby, the holder of this Note shall be entitled to its costs,
attorneys' fees, disbursements, and expenses which Maker hereby agrees to pay.

5.        Maker agrees to indemnify JDA for any and all claims against JDA, or
costs, expenses, liabilities or damages incurred by JDA in connection with this
loan and the project financed except to the extent that JDA has indemnified the
Borrower in the parties' written Personal Property Asset Purchase Agreement
dated February 8, 2002 and written Real Property Asset Purchase Agreement dated
February 8, 2002.

          This Note shall be construed in accordance with and governed by the
laws of the State of New York.  This Note may not be changed or terminated
orally.  Maker hereby waives presentment, demand for payment, protest and notice
of nonpayment or dishonor.

                                                     Dunkirk Acquisition, LLC

                                                     By:
                                                        ------------------------
                                                        Name:
                                                             -------------------
                                                        Title:
                                                              ------------------
<PAGE>

STATE OF NEW YORK   )
                          ) ss.:
COUNTY OF ________  )

     On the ____ day of February, in the year 2002, before me, the undersigned,
personally appeared ______________, personally known to me or proved to me on
the basis of satisfactory evidence to be the individual whose name is subscribed
to the within instrument and acknowledged to me that he\she executed the same in
his\her capacity, and that by his\her signature on the instrument, the
individual, or the person upon behalf of which the individual acted, executed
the instrument.

                                    Notary Public

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00035-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00035-of-00352.parquet"}]]