Document:

THIS INSTRUMENT PREPARED BY:
KEVIN R. BURNS
ROSE LAW FIRM
120 EAST FOURTH STREET
LITTLE ROCK, AR  72201

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                    MORTGAGE, SECURITY AGREEMENT, ASSIGNMENT
                           OF RENTS AND FIXTURE FILING

         THIS  MORTGAGE,  SECURITY  AGREEMENT,  ASSIGNMENT  OF RENTS AND FIXTURE
FILING ("Mortgage"), dated as of September 11, 2003 is executed and delivered by
Capitol Development of Arkansas, Inc., an Arkansas corporation, having a mailing
address  of 900  North  Federal  Highway,  Suite  410,  Boca  Raton,  FL  33432,
("Mortgagor")  in favor of Noble  International  Investments,  Inc.,  a  Florida
corporation,  as collateral agent (in such capacity, "Agent") for the purchasers
(collectively,  the "Lenders") of Mortgagor's 8% Senior Notes dated of even date
herewith  (collectively,  as  the  same  may  hereafter  be  renewed,  extended,
converted or modified,  the "Notes")  having a mailing  address of 6501 Congress
Avenue, Suite 100, Boca Raton, FL 33487.

                              W I T N E S S E T H:
                              -------------------

         WHEREAS, pursuant to a Note Purchase Agreement of even date herewith by
and among  Mortgagor,  Capitol  Communities  Corporation,  a Nevada  corporation
("Communities"),  Lenders and Agent (the "Note Purchase  Agreement"),  Mortgagor
and  Communities  have  issued  promissory  notes of even date  herewith  in the
aggregate   principal   amount  of  U.S.   Three  Million  and  no/100   Dollars
($3,000,000.00) (collectively, the "Notes") to the Lenders.

         NOW, THEREFORE,  the undersigned,  in consideration of the indebtedness
arising under the Notes and said premises,  the receipt and sufficiency of which
is hereby  acknowledged  by Mortgagor,  and to secure the prompt payment of said
indebtedness with interest thereon, and all renewals, extensions,  modifications
and replacements thereof, and all obligations,  judgments,  decrees,  awards and
orders in connection therewith, the payment of any further sum or sums for which
Mortgagor may hereafter  become  indebted to the Agent and the Lenders under the
provisions hereof, (all such indebtedness is hereinafter  collectively  referred
to as the "Secured Indebtedness"),  and further to secure the performance of the
covenants,  conditions and  agreements  contained  herein,  in the Note Purchase
Agreement,  the Note  Purchase  Documents  (as such term is  defined in the Note
Purchase  Agreement)  and any other  instruments  now or hereafter  securing the
Notes (collectively, the "Loan Documents"), Mortgagor has bargained and sold and
hereby grants, bargains, sells and conveys to Agent, its successors and assigns,
the following described land, real estate,  buildings,  improvements,  fixtures,
furniture,  and other personal property (which together with any additional such
property  hereinafter  acquired by the Mortgagor and subject to the lien of this

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THE FINAL  MATURITY  DATE OF THE  INDEBTEDNESS  SECURED  HEREBY IS SEPTEMBER 11,
2006.

<PAGE>

Mortgage,  or  intended  to be so,  as  the  same  may  be  from  time  to  time
constituted, hereinafter referred to as the "Mortgaged Property") to wit:

         (a)  All of the  Mortgagor's  interest in the  tract(s) or parcel(s) of
land particularly  described in Exhibit A attached hereto and made a part hereof
(the "Land");

         (b)  All of the Mortgagor's interest in streets, curbs, gutters,  water
systems and lines, water towers, sewer systems and lines, buildings, structures,
and  improvements  of every nature  whatsoever now or hereafter  situated on the
Land,  and all  fixtures,  machinery,  equipment,  furniture,  furnishings,  and
personal  property of every  nature  whatsoever  now or  hereafter  owned by the
Mortgagor and located in, on, or used or intended to be used in connection  with
or with  the  operation  of  said  property,  buildings,  structures,  or  other
improvements,  including all extensions, additions,  improvements,  betterments,
renewals and replacements to any of the foregoing (the "Improvements");

         (c)  All  of  the  Mortgagor's  interest  in  the  building  materials,
equipment,  fixtures, fittings, and personal property of every kind or character
now owned or hereafter  acquired by the  Mortgagor for the purpose of being used
or useful in connection  with the  improvements  located or to be located on the
Land,  whether  such  materials,  equipment,  fixtures,  fittings,  and personal
property are actually  located on or adjacent to the Land or not, and whether in
storage  or  otherwise,  wheresoever  the same may be  located,  including,  but
without limitation, all lumber and lumber products, bricks, building stones, and
building blocks,  sand and cement,  roofing  material,  paint,  doors,  windows,
hardware,  nails, wires and wiring, plumbing and plumbing fixtures,  heating and
air  conditioning  equipment and  appliances,  compressors,  electrical  and gas
equipment and appliances,  pipes and piping, ornamental and decorative fixtures,
furniture,  ranges,  refrigerators,  dishwashers,  disposals, and in general all
building  materials and equipment of every kind and character  used or useful in
connection with said Improvements.

         TOGETHER with all easements, cross easements, rights of way, strips and
gores of land, streets,  ways, alleys,  passages,  sewer rights,  waters,  water
courses, water rights and powers, and all estates,  rights,  titles,  interests,
privileges,  liberties, tenements,  hereditaments, and appurtenances whatsoever,
in  any  way  belonging,  relating  or  appertaining  to  any  of  the  property
hereinabove described,  or which hereafter shall in any way belong, relate or be
appurtenant  thereto,  whether now owned or hereafter acquired by the Mortgagor,
and the reversion and reversions,  remainder and remainders,  rents, issues, and
profits  thereof,  and  all  the  estate,  right,  title,  interest,   property,
possession,  claim, and demand  whatsoever at law, as well as in equity,  of the
Mortgagor of, in and to the same, including but not limited to:

         (a)  All of  Mortgagor's  interest in the rents,  profits,  issues, and
revenues of the  Mortgaged  Property from time to time  accruing,  whether under
leases or tenancies now existing or hereafter  created,  not as  collateral  but
absolutely and directly,  reserving to Mortgagor,  however, so long as Mortgagor
is not in default hereunder,  the right to receive and retain the rents, issues,
and profits thereof; and

         (b)  All of Mortgagor's  interest in the  judgments, awards of damages,
and settlements  hereafter made resulting from  condemnation  proceedings or the

79685-1                                2
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taking of the Land and/or  Improvements  or any part thereof  under the power of
eminent  domain,  or for any damage (whether caused by such taking or otherwise)
to the Land and/or  Improvements  thereon or any part thereof,  or to any rights
appurtenant thereto,  including any award for change of grade or streets.  Agent
may apply all such sums or any part  thereof so  received,  after the payment of
all its expenses,  including  costs and  attorneys'  fees,  on the  indebtedness
secured hereby in such manner as it elects, or at its option,  the entire amount
or any part thereof so received may be released.

         TO HAVE AND TO HOLD the  Mortgaged  Property,  and every part  thereof,
unto Agent, its successors and assigns, forever.

         PROVIDED,  HOWEVER, the foregoing conveyance is given as a mortgage and
lien  for  the  Secured  Indebtedness  and  as  a  mortgage  and  lien  for  the
indebtedness  under  the  Notes  and that if  Mortgagor  shall  pay the  Secured
Indebtedness,  including without  limitation any future payments,  advances,  or
expenditures  made  by the  Lenders  under  the  provisions  of any of the  Loan
Documents and including the  indebtedness  under the Notes,  and shall reimburse
the Lenders,  their respective successors and assigns, for their attorneys' fees
in documenting the Notes and Mortgage and enforcing same, if necessary,  and for
any amounts it may have expended pursuant to any authorizations contained in any
of the Loan Documents,  including,  without limitation, sums spent in payment of
taxes, assessments,  insurance,  other liens, and repairs, and interest thereon,
and  shall  pay any  other  sums  required  to be paid  by it  under  any of the
provisions of any of the Loan Documents  agreed to be done, all of which is part
of the Secured  Indebtedness  then and only then,  shall this conveyance be null
and void (except for provisions  hereof which expressly  survive);  otherwise it
shall remain in full force and effect.

                                    ARTICLE I

         1.01 Performance of Loan Documents. The Mortgagor will perform, observe
and comply with all  provisions of the Loan  Documents  and duly and  punctually
will pay to each Lender the sum of money  expressed in each such  Lender's  Note
with  interest  thereon and all other sums  required to be paid by the Mortgagor
pursuant to the  provisions  of this Mortgage or the other Loan  Documents,  all
without any deductions or credit for taxes or other similar  charges paid by the
Mortgagor.

         1.02  Warranty  of  Title.  The  Mortgagor  is  lawfully  seized  of an
indefeasible  estate in fee simple in the Land. The Mortgagor is lawfully seized
of an undivided indefeasible estate in fee simple in the Improvements. Mortgagor
has good and absolute title to all existing  personal  property  hereby conveyed
and has good right, full power and lawful authority to sell, convey and encumber
its interest in the Mortgaged Property in the manner and form aforesaid.  Except
as otherwise set forth in any title  insurance  policy insuring this Mortgage as
approved by Agent (the "Permitted Encumbrances"),  the same is free and clear of
all liens, charges, and encumbrances  whatsoever,  including, as to the personal
property and fixtures,  conditional sales contracts, chattel mortgages, security
agreements,  financing  statements,  and anything of a similar nature,  and that
Mortgagor  shall and will warrant and forever  defend the title thereto unto the
Lenders, their successors and assigns,  against the lawful claims of all persons
whomsoever.

79685-1                                3
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         1.03 Monthly Tax Deposits.  If requested by Agent after the  occurrence
of an Event of Default,  the Mortgagor  will pay to the Agent for the account of
Mortgagor on the first day of each month in addition to the regular  installment
of  interest,  until the Notes are fully paid,  an amount  equal to  one-twelfth
(1/12th) of the yearly  taxes and  assessments  as  estimated by the Agent to be
sufficient  to enable the Agent to pay,  at least  thirty  (30) days before they
become delinquent, all taxes, assessments, and other similar charges against the
Mortgaged Property or any part thereof. Until taxes become due and payable, such
payments  shall be held in a  segregated  escrow  fund or trust  account  with a
federally  insured  financial  institution,  and no interest shall be payable in
respect thereof.  Upon demand of Agent, the Mortgagor agrees to deliver to Agent
such  additional  moneys as are  necessary  to make up any  deficiencies  in the
amounts  necessary  to enable Agent to pay such taxes,  assessments  and similar
charges.

         1.04     Other Taxes, Utilities and Liens.

         (a)  The Mortgagor will pay promptly,  prior to  delinquency,  and will
exhibit  promptly to Agent  receipts for the payment of all taxes,  assessments,
water rates,  dues,  charges,  fines and impositions of every nature  whatsoever
imposed, levied or assessed or to be imposed, levied or assessed upon or against
the Mortgaged Property or any part thereof, or upon the interest of Agent in the
Mortgaged Property (other than any of the same for which provision has been made
in Section 1.03  hereof),  as well as all income  taxes,  assessments  and other
governmental charges lawfully levied and imposed by the United States of America
or any state, county,  municipality,  borough or other taxing authority upon the
Mortgagor or in respect of the Mortgaged  Property or any part  thereof,  or any
charge  which,  if  unpaid,  would  become a lien or charge  upon the  Mortgaged
Property prior to or equal to the lien of this Mortgage.

         (b)  The Mortgagor will pay promptly all charges by utility  companies,
whether  public  or  private,  for  electricity,  gas,  water,  sewer,  or other
utilities.

         (c)  The  Mortgagor   shall  pay  promptly  and  will  not  suffer  any
mechanic's, laborer's, statutory, or other lien which might or could be prior to
or equal to the lien of this  Mortgage  to  remain  outstanding  upon any of the
Mortgaged  Property,  unless  arrangements  satisfactory  to Agent are made with
respect thereto.

         (d) In the event of the  passage of any state,  federal,  municipal  or
other  governmental  law,  order,  rule or  regulation,  subsequent  to the date
hereof,  in any manner changing or modifying the laws now in force governing the
taxation of mortgages,  deeds of trust or debts secured by deeds of trust or the
manner of collecting taxes so as to affect  adversely Agent or the Lenders,  the
Mortgagor  shall have a period of thirty (30) days from Agent's  demand to make,
or reimburse Agent and the Lenders for, payment of same. If it shall be unlawful
for Mortgagor to pay the same, the entire  Secured  Indebtedness  shall,  at the
option of Agent, become immediately due and payable.

         1.05  Insurance.  The Mortgagor  will procure (or cause to be procured)
for,  deliver to, and maintain  for the benefit of Agent and the Lenders  during
the life of this Mortgage, insurance with responsible insurance companies on the
Mortgaged  Property,  in such amounts and against  such risks as is  customarily
maintained  by similar  businesses  operating  in the same  vicinity,  with such

79685-1                                4
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companies and in such amounts as are  satisfactory to Agent and providing for at
least 30 days prior notice to Agent of any  cancellation  thereof.  Satisfactory
evidence of such  insurance will be supplied to Agent prior to funding under the
Notes  and 30 days  prior  to each  policy  renewal.  Agent  shall  be  named as
mortgagee and loss payee in all casualty insurance policies and as an additional
insured under all liability  policies.  In the event of the  foreclosure of this
Mortgage  or  any  other  transfer  of  title  to  the  Mortgaged   Property  in
extinguishment of the indebtedness secured hereby, all right, title and interest
of the  Mortgagor in and to all  insurance  policies then in force shall pass to
the  purchaser  or  grantee.  The Agent  and the  Lenders  acknowledge  that the
Mortgaged Property is undeveloped real estate and that no Improvements currently
exist on the Mortgaged Property.  Further, as the Improvements Mortgagor intends
to construct on the Mortgaged  Property  consists of roads and  utilities  which
will be  dedicated  for public use, the Agent and the Lenders  acknowledge  that
there will be no Improvement to insure for property casualty coverage. The Agent
and the  Lenders  agree  that the  current  insurance  company  utilized  by the
Mortgagor is an acceptable  insurance company to provide the liability insurance
coverage required by this Section 1.05.

         Upon an Event of Default, Agent is hereby authorized and empowered,  at
its option, to adjust or compromise any loss under any insurance policies on the
Mortgaged Property.  In any event Agent is entitled to receive the proceeds from
any such policy or policies.  Each  insurance  company is hereby  authorized and
directed to make payment for all such losses,  directly to the Agent, instead of
to the Mortgagor and Agent jointly. After deducting from said insurance proceeds
any  reasonable  expenses  incurred by it in the  collection or handling of said
fund, Agent may apply the net proceeds,  at its option,  either toward restoring
the Improvements,  or as a pro-rata credit on the Notes; whether then matured or
to mature in the future,  or at the option of Agent,  such sums either wholly or
in part may be paid over to the Mortgagor to be used to repair such Improvements
or to build new  Improvements  in its place or for any other  purpose  or object
satisfactory  to Agent without  affecting the lien of this Mortgage for the full
amount  secured  hereby before such payment took place.  Agent shall not be held
responsible  for any failure to collect  any  insurance  proceeds  due under the
terms of any policy regardless of the cause of such failure.

         Following Agent's request after an Event of Default, the Mortgagor will
pay to Agent for the  account  of  Mortgagor  on the  first  day of each  month,
together  with and in addition  to the  regular  installment  of  principal  and
interest and monthly tax deposit (as required by Section 1.03 hereof)  until the
Notes are fully  paid,  an amount  equal to  one-twelfth  (1/12th) of the yearly
premiums for insurance.  Until insurance  premiums become due and payable,  such
payments  shall be held in a  segregated  escrow  fund or trust  account  with a
federally  insured  financial  institution,  and no interest shall be payable in
respect thereof.  Upon demand of Agent, the Mortgagor agrees to deliver to Agent
such  additional  moneys as are  necessary  to make up any  deficiencies  in the
amounts  necessary  to enable  Agent to pay such  insurance  premiums.  Upon the
occurrence  of an Event of Default  Agent may apply to the reduction of the sums
secured  hereby,  in such  manner as Agent shall  determine,  any amount paid in
accordance herewith remaining to the Mortgagor's credit.

         1.06  Condemnation.  If all or any part of the Mortgaged Property shall
be damaged or taken through  condemnation (which term when used in this Mortgage
shall  include  any  damage  or taking by any  Governmental  Authority,  and any

79685-1                                5
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transfer by private sale in lieu thereof,  either  temporarily (but only if such
temporary  taking  exceeds  ninety  (90)  days),  or  permanently,   the  entire
indebtedness  secured  hereby shall  become  immediately  due and  payable.  The
Mortgagor,  immediately  upon  obtaining  knowledge  of the  institution  of any
proceeding  for the  condemnation  of the  Mortgaged  Property,  or any  portion
thereof (a "Proceeding"),  will notify Agent immediately of the pendency of such
Proceeding.  Agent  shall be  entitled to all  compensation,  awards,  and other
payments or relief therefor and upon Mortgagor's  consent so long as no Event of
Default exists, is hereby authorized,  at its option, to commence, appear in and
prosecute,  in its own or the Mortgagor's  name, any proceeding and to settle or
compromise any claim in connection  therewith.  All such  compensation,  awards,
damages,  claims, rights of action and proceeds and the right thereto are hereby
assigned by the  Mortgagor to Agent,  and the  Mortgagor  agrees to execute such
further assignments of any compensations,  awards,  damages,  claims,  rights of
action and proceeds as Agent may require.  Agent, after deducting  therefrom all
its reasonable expenses,  including reasonable  attorney's fees, may release any
moneys so received by it from a proceeding  without  affecting  the lien of this
Mortgage or may apply the same in such manner as Agent  shall  determine  to the
reduction of the sums secured hereby  (without  prepayment  premium or penalty),
and any balance of such moneys then remaining shall be paid to the Mortgagor.

         1.07     Care of the Mortgaged Property.

         (a)  The Mortgagor will preserve and maintain the Mortgaged Property in
good  condition  and repair and will not commit or suffer any waste and will not
do or suffer to be done  anything  which will increase the risk of fire or other
hazard to the Mortgaged Property or any part thereof.

         (b)  No Improvements,  buildings, fixtures, personal property, or other
part of the Mortgaged  Property  shall be removed,  demolished or  substantially
altered  without the prior written  consent of Agent.  The Mortgagor may sell or
otherwise  dispose  of,  free  from  the  lien  of  this  Mortgage,   furniture,
furnishings, equipment, tools, appliances, machinery, fixtures or appurtenances,
subject to the lien hereof,  which may become worn out,  undesirable,  obsolete,
disused or unnecessary for use in the operation of the Mortgaged Property,  upon
replacing  the  same  by,  or  substituting   for  the  same,  other  furniture,
furnishings, equipment, tools, appliances, machinery, fixtures, or appurtenances
not  necessarily of the same character but of equal  usefulness in the operation
of the  Mortgagor's  business,  and of at least equal value to the Mortgagor and
costing not less than the amount  realized  from the property  sold or otherwise
disposed of, which shall forthwith  become,  without further action,  subject to
the lien of this Mortgage with the same priority as the replaced property. Agent
hereby  consents to Mortgagor  clearing and grubbing the Mortgaged  Property and
constructing roads, utilities and other infrastructure improvements necessary to
subdivide the Mortgaged Property for sale in individual lots.

         (c) If the Mortgaged Property or any part thereof is damaged by fire or
any other cause, the Mortgagor will give immediate written notice of the same to
Agent.

         (d) Agent is hereby  authorized to enter upon and inspect the Mortgaged
Property at any time during normal business hours.

79685-1                                6
<PAGE>

         (e)  The Mortgagor  will  comply  promptly  with all present and future
laws, ordinances,  rules and regulations of any governmental authority affecting
the Mortgaged Property or any part thereof,  including,  without limitation, all
laws, ordinances,  rules and regulations relating to zoning, building codes, set
back  requirements,  and  environmental  matters,  and all  present  and  future
restrictive covenants affecting the Mortgaged Property.

         1.08 Further  Assurances:  After Acquired  Mortgaged  Property.  At any
time,  and from time to time,  upon request by Agent,  the Mortgagor  will make,
execute and deliver or cause to be made,  executed and delivered,  to Agent and,
where  appropriate,  to cause to be recorded  and/or filed and from time to time
thereafter to be re-recorded and/or refiled at such time and in such offices and
places as shall be deemed  desirable by Agent any and all such other and further
mortgages, instruments of further assurance, certificates and other documents as
may, in the opinion of Agent,  be necessary or desirable in order to effectuate,
complete,  perfect,  or to continue and preserve the obligation of the Mortgagor
under the Notes,  this  Mortgage  and all Loan  Documents,  and the lien of this
Mortgage as a first and prior lien upon all of the Mortgaged  Property,  whether
now owned or  hereafter  acquired  by the  Mortgagor.  Upon any  failure  by the
Mortgagor  so to do,  Agent  may  make,  execute,  and  record  any and all such
mortgages,  instruments,  certificates, and documents for and in the name of the
Mortgagor  as  permitted  by law.  The lien  hereof will  automatically  attach,
without further act, to all after acquired  property  attached to and/or used in
the operation of the Mortgaged Property or any part thereof.

         1.09  Expenses.  The  Mortgagor  will pay or  reimburse  Agent  for all
reasonable  attorney's  fees,  costs,  and  expenses  incurred  by  Agent in any
proceeding involving the estate of a decedent or an insolvent, or in any action,
proceeding, or dispute of any kind in which Agent is made a party, or appears as
party plaintiff or defendant, affecting any of the Loan Documents, Mortgagor, or
the Mortgaged  Property,  including but not limited to the  foreclosure  of this
Mortgage,  any  condemnation  action  involving the Mortgaged  Property,  or any
action to protect the  security  hereof;  and any such  amounts paid by Agent in
connection  therewith  shall bear  interest at the lesser of the maximum  lawful
rate allowed by law (the "Maximum  Lawful Rate") or ten percent (10%) per annum,
which  shall be payable  upon  demand,  and shall be secured by the lien of this
Mortgage.

         1.10  Performance  by Agent of Defaults by Mortgagor.  If the Mortgagor
shall default in the payment of any tax, lien,  assessment,  or charge levied or
assessed against the Mortgaged  Property,  in the payment of any utility charge,
whether  public  or  private,  in  the  payment  of  insurance  premium;  in the
procurement  of insurance  coverage and the delivery of the  insurance  policies
required  hereunder,  or in the  performance  or  observance  of  any  covenant,
condition,  or term of this Mortgage,  then Agent, at its option,  at the end of
any  applicable  cure period may perform or observe the same,  and all  payments
made for costs or incurred by Agent in  connection  therewith,  shall be secured
hereby and shall be, immediately repaid by the Mortgagor to Agent on demand with
interest  thereon at the lesser of the Maximum  Lawful Rate or ten percent (10%)
per annum.  Agent is hereby  empowered to enter and to authorize others to enter
upon the Mortgaged Property or any part thereof for the purpose of performing or
observing  any such  defaulted  covenant,  condition  or term,  without  thereby
becoming  liable to the Mortgagor or any person in possession  holding under the
Mortgagor.  Agent  shall be  responsible  for any grossly  negligent  or willful

79685-1                                7
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misconduct of Agent, its officers,  employees,  agents,  successors,  assigns or
others  authorized  by  Agent  to  enter  the  Mortgaged  Property  while on the
Mortgaged Property and no  indemnification  obligations of Mortgagor in any Loan
Documents shall be applicable thereto.

         1.11  Books and Records.  The Mortgagor  shall keep and maintain at all
times full, true and accurate books of accounts and records, adequate to reflect
correctly  the  results of the  operation  of the  Mortgaged  Property  and will
furnish to Agent such financial and operating  statements as may be requested by
Agent from time to time.

         1.12     Environmental Matters.

         (a) The following definitions are used hereafter:

                  (i)  "Applicable  Environmental  Laws"  shall  mean  any  law,
         statute,  ordinance,  rule,  regulation,  order or determination of any
         Governmental  Authority (as  hereinafter  defined) or any board of fire
         underwriters (or other body exercising  similar  functions),  affecting
         any real or personal property owned, operated or leased by Mortgagor or
         any party affiliated or related to Mortgagor,  in any way pertaining to
         health, safety or the environment,  including,  without limitation, all
         applicable  zoning  ordinances and building codes,  flood disaster laws
         and health, safety and environmental laws and regulations,  and further
         including,  without  limitation,  (a) the  Comprehensive  Environmental
         Response,  Compensation,  and  Liability Act of 1980, as amended by the
         Superfund  Amendments and  Reauthorization Act of 1986 (as amended from
         time to  time,  herein  referred  to as  "CERCLA"),  (b)  the  Resource
         Conservation  and  Recovery  Act of 1976,  as  amended  by the Used Oil
         Recycling Act of 1980, the Solid Waste Recovery Act of 1976, as amended
         by the Solid Waste  Disposal Act of 1980,  and the  Hazardous and Solid
         Waste Amendments of 1984 (as amended from time to time, herein referred
         to as "RCRA"),  (c) the Safe  Drinking  Water Act, as amended,  (d) the
         Toxic  Substances  Control  Act, as amended,  (e) the Clean Air Act, as
         amended,  (f) the  Occupational  Safety  and  Health  Act of  1970,  as
         amended,  (g) the laws,  rules  and  regulations  of any  state  having
         jurisdiction  over any real or  personal  property  owned,  operated or
         leased by Mortgagor or any party  affiliated  or related to  Mortgagor,
         which  relates to  health,  safety or the  environment,  as each may be
         amended  from time to time,  and (h) any  federal,  state or  municipal
         laws,  ordinances  or  regulations  which may now or hereafter  require
         removal of  asbestos  or other  Hazardous  Substances  (as  hereinafter
         defined) or impose any liability related to asbestos or other Hazardous
         Substances.

                  (ii) "Environmental Liability" shall mean any liability, loss,
         fine, penalty,  charge, lien, damage, cost, or expense of any kind that
         results  directly  or  indirectly,  in  whole  or in part  (a) from the
         violation of any Applicable  Environmental Law, (b) from the release or
         threatened  release  of any  Hazardous  Substance,  (c)  from  removal,
         remediation,  or other actions in response to the release or threatened
         release  of any  Hazardous  Substance,  (d) from  actual or  threatened
         damages to natural  resources,  (e) from the  imposition  of injunctive
         relief or other orders,  (f) from personal  injury,  death, or property
         damage which occurs as a result of Mortgagor's or any party  affiliated
         or related to Mortgagor's  use,  storage,  handling,  or the release or
         threatened  release  of  a  Hazardous   Substance,   or  (g)  from  any

79685-1                                8
<PAGE>

         environmental  investigation performed at, on, or for any real property
         owned by Mortgagor or any party affiliated or related to Mortgagor.

                  (iii) "Governmental  Authority" shall mean any nation,  state,
         province,  commonwealth,  country,  parish,  territory,  possession  or
         municipality  or any  court  or  governmental  department,  commission,
         board,  bureau,  agency  or  instrumentality  of any  nation  or of any
         province, state, commonwealth,  nation, territory,  possession, county,
         parish  or  municipality,  whether  now  or  hereafter  constituted  or
         existing.

                  (iv)  "Hazardous  Substance"  shall mean any pollutant,  toxic
         substance,  hazardous  waste,  compound,  element or  chemical  that is
         defined as hazardous,  toxic, noxious, dangerous or infectious pursuant
         to any Applicable  Environmental Law or which is otherwise regulated by
         any Applicable Environmental Law.

         (b)  Mortgagor  represents  and  warrants to Agent and the Lenders that
neither the Mortgaged Property nor Mortgagor has any Environmental  Liability or
is in  violation  of or  subject  to any  existing,  pending,  or to the best of
Mortgagor's knowledge,  threatened  investigation or inquiry by any Governmental
Authority or any remedial  obligations under any Applicable  Environmental  Law.
Mortgagor  further  represents  and warrants  that,  to the best of  Mortgagor's
knowledge,  there are no facts,  conditions or  circumstances  known to it which
could result in any such investigation or inquiry if such facts,  conditions and
circumstances,  if any,  were fully  disclosed  to the  applicable  Governmental
Authority and the  Mortgagor  will  promptly  notify Agent if Mortgagor  becomes
aware of any such facts, conditions,  or circumstances or any such investigation
or  inquiry.  Mortgagor  represents  and  warrants  that it has  obtained,  will
continue to obtain and  maintain,  and will not be in default under any permits,
licenses,  or similar  authorizations to construct,  occupy,  operate or use any
buildings, improvements,  fixtures or equipment in connection with the Mortgaged
Property  or  Improvements  constructed  or to be  constructed  by reason of any
Applicable  Environmental Laws.  Mortgagor  represents and warrants that, to the
best of its knowledge,  no Hazardous  Substance has been disposed of or released
on the Mortgaged  Property,  and Mortgagor agrees that it will not in its use of
the  Mortgaged  Property  dispose of or release any  Hazardous  Substance on the
Mortgaged  Property  in amounts in excess of those  permitted  under  Applicable
Environmental  Law  unless  remediated  promptly  and  in  accordance  with  all
Applicable Environmental Laws.

         1.13 Hazardous  Substances.  Mortgagor  shall  indemnify  Agent and the
Lenders against, and reimburse on demand for, any and all liabilities, costs and
expenses (including without limitation reasonable fees and expenses of attorneys
and other  professional  consultants  and  experts)  of every  kind which may be
incurred by Agent and any Lender as a result of the  presence  of any  Hazardous
Substance  about  the  Mortgaged  Property,  or  the  migration  or  release  or
threatened  migration  or release of any  Hazardous  Substance  on, to,  from or
through  the  Mortgaged  Property,  or any act,  omission  or event  existing or
occurring in connection with the handling,  storage,  removal or disposal of any
such Hazardous  Substance or any violation of any Applicable  Environmental Law,
or the filing or  imposition  of any  environmental  lien or claim  against  the
Mortgaged Property as a result of any of the above  occurrences.  This indemnity
shall survive repayment of the Notes.

79685-1                                9
<PAGE>

         1.14 Security Agreement.  This Mortgage, Security Agreement, Assignment
of Rents and Fixture  Filing shall be  construed as a mortgage on real  property
and it shall also  constitute  and serve as a "Security  Agreement"  on personal
property within the meaning of the Arkansas Uniform  Commercial Code.  Mortgagor
does hereby grant, bargain,  convey, assign,  transfer and set over unto Agent a
security interest in all of Mortgagor's right, title and interest into and under
the Mortgaged  Property to secure any and all of Mortgagor's  obligations  under
this Mortgage,  under the Notes or any judgment as to the same. Mortgagor agrees
to execute  and  deliver  to Agent  such  financing  statements  as Agent  shall
reasonably  require.  Agent shall have all rights,  remedies and recourses  with
respect to any property  that is deemed  personalty  afforded a secured party by
Article IX of the  Arkansas  Uniform  Commercial  Code in  addition  to, and not
limitation  of, the other rights,  remedies and recourses  afforded  Agent under
this Mortgage or any other document providing security for the Notes.

                                   ARTICLE II

         2.01  Events of Default.  The term "Event of Default," wherever used in
the Mortgage, shall mean the occurrence of any one

         (a)  Failure  by the  Mortgagor  to make any  payment  of  interest  or
principal or any other sum due under the Notes, this Mortgage, or any other Loan
Document when due,  whether by acceleration or otherwise and the failure to cure
the same within ten (10) days after notification of agent; or

         (b)  Failure  by the  Mortgagor  duly to  observe  any other  covenant,
condition,  or  agreement of this  Mortgage or any of the Loan  Documents or any
other document or instrument  evidencing,  securing or guaranteeing  the Secured
Indebtedness,  which is not cured within any applicable cure period as set forth
herein or therein; or

         (c) The creation or suffering to exist by the  Mortgagor of any Lien on
the Mortgaged Property without the prior written consent of Agent, other than as
expressly permitted hereby; or

         (d) The  occurrence  of an Event of Default under any Note or under the
Note Purchase Agreement.

         With respect to any of the foregoing wherein a notice is required, such
Event of Default will be deemed to have  occurred  upon the  occurrence  of such
event  without  notice being  required if  Mortgagor or Agent is prevented  from
giving  notice by  bankruptcy  or other  applicable  law.  Nothing  herein shall
require  notice  in any  item of this  Section  where  notice  is not  expressly
required.

         2.02  Acceleration  of  Maturity.  If an Event of Default  should occur
hereunder  or an Event of  Default  or  Default  occurs  under  the  other  Loan
Documents, then notwithstanding any other action Agent may have taken to protect
its interests herein, the whole of the Secured Indebtedness shall, at the option
of the then holder of the Secured  Indebtedness,  be and become  immediately due
and payable without notice or demand, time being of the essence.

79685-1                                10
<PAGE>

         2.03  Agent's  Right to  Collect  Rent.  Subject  to any grace  periods
contained  in Section  2.01 of this  Mortgage  or in the  Notes,  if an Event of
Default shall occur in the  performance of any of the  covenants,  agreements or
conditions  hereof or of any of the other Loan  Documents or if Mortgagor  shall
default in the  prepayment  of any of the  Secured  Indebtedness,  Agent may, in
addition to any other remedies  available at law or in equity to Agent,  proceed
to collect the rent, income and profits from the Mortgaged Property, either with
or  without  the  appointment  of a  receiver.  Any rents,  income  and  profits
collected by Agent prior to foreclosure  of this  Mortgage,  less the reasonable
cost of maintaining and operating the Mortgaged Property and the reasonable cost
of collecting same, including any real estate commissions or attorney's fees and
expenses  incurred,  shall  be  credited  to such  portions  of all the  Secured
Indebtedness in such order as Agent may determine.

         2.04 Right of Agent to Enter and Take  Possession.  Upon the occurrence
of any Event of Default,  irrespective of whether (i) the right to foreclose the
mortgage has accrued to Agent,  (ii) the entire  Secured  Indebtedness  has then
been accelerated,  or (iii) foreclosure  proceedings have been commenced,  Agent
may,  without  notice  to or  demand  upon  Mortgagor,  take  possession  of the
Mortgaged Property.  While in possession of the Mortgaged Property,  Agent shall
have the following rights and powers:

         (a) To  collect  the rents and  manage,  lease,  alter and  repair  the
Mortgaged  Property,  cancel or modify existing leases,  obtain insurance and in
general have all powers and rights customarily  incident to absolute  ownership;
and

         (b) To pay out of the rents so  collected  any  management  and  repair
charges, taxes, insurance,  commissions,  fees and all other expenses and, after
creating  reasonable  reserves,  apply the  balance  (if any) on  account of the
Secured Indebtedness in such order as Agent may determine.

         Agent shall incur no  liability  for,  nor shall  Mortgagor  assert any
claim or setoff as a result of, any action taken while Agent is in possession of
the Mortgaged Property,  except only for Agent's own gross negligence or willful
misconduct.  In the event no foreclosure  proceedings  are commenced,  Agent may
remain in possession as long as there exists an Event of Default.

         2.05 Agent's Power of Enforcement.  If an Event of Default should occur
hereunder  or under any of the other Loan  Documents  Agent may,  either with or
without entry or taking possession as hereinabove provided or otherwise, proceed
by suit or suits at law or in  equity  or any other  appropriate  proceeding  or
remedy (i) to foreclose this Mortgage and to sell, as an entirety or in separate
lots or parcels, the Mortgaged Property,  as provided by law, and (ii) to pursue
any other  remedy  available to it, all as Agent shall deem most  effectual  for
such  purposes.  Agent shall take action  either by such  proceedings  or by the
exercise of its powers with respect to entry or taking possession,  as Agent may
determine.

         2.06  Receiver.  Following an Event of Default,  either before or after
commencement  of foreclosure but after any notice required by the Loan Agreement
or applicable  law, a receiver may be appointed by the court,  without regard to
the solvency or  insolvency  of  Mortgagor,  or the then value of the  Mortgaged

79685-1                                11
<PAGE>

Property. The receiver shall have the power to collect the rents and income from
the Mortgaged  Property during the pendency of the foreclosure  sale and, in the
case of a sale and a deficiency,  during the full statutory period of redemption
(if any),  whether there be redemption or not. The receiver shall have all other
powers for the protection, possession, management and operation of the Mortgaged
Property  which an absolute  owner would have, but the net rents in the hands of
the receiver shall be applied to all the Secured  Indebtedness  in such order as
Agent shall determine and/or to such expenses of the receivership or foreclosure
suit as the court may direct.

         2.07  Power of Sale and  Judicial  Foreclosure.  If an Event of Default
should occur  hereunder,  Agent or the then holder of the  indebtedness  secured
hereby shall have the right to enter upon and take  possession  of the Mortgaged
Property and thereafter, or without taking possession, shall be entitled, at its
option, to elect the following remedies:

         (a) To pursue its remedies  provided by judicial  proceedings at law or
in equity; or

         (b) To foreclose this Mortgage and sell the Mortgaged Property pursuant
to and in compliance with Act 53 of 1987, as amended, codified as Ark. Code Ann.
ss. 18-50-101,  et seq. Notice required under Act 53 of 1987 will be directed to
Mortgagor at the address supplied by Mortgagor on page 1 of this Mortgage.

Election of either  paragraph (a) or (b) by Agent is not  irrevocable  and Agent
may at any time subsequent to  commencement  of the  proceedings  terminate such
proceedings and continue with the other procedure.

         2.08 Application of Foreclosure Proceeds. The proceeds of any such sale
referred to in Section 2.07 shall be applied:  (a) to the  expenses  incurred in
making  the  sale  and  in  all  prior  efforts  to  effect  collection  of  the
indebtedness secured hereby,  including reasonable  attorneys' fees and expenses
for such  services as may be, or have been,  performed in any one or more of (i)
the  foreclosure  of  this  Mortgage,  or (ii)  the  collection  of the  Secured
Indebtedness,  or (iii) the pursuit of any efforts theretofore  directed to that
end,  including,  but  without  limitation  to, the  defense of any  proceedings
instituted  by the  Mortgagor,  or  anyone  liable  for  said  indebtedness,  or
interested in the Mortgaged  Property,  to prevent or delay,  by any means,  the
exercise of said power of sale or the  foreclosure of this Mortgage;  (b) to the
payment of whatever sum or sums Agent may have paid out or become  liable to pay
in  accordance  with the  provisions  of this  Mortgage,  together with interest
thereon at the lesser of the Maximum Lawful Rate or ten percent (10%) per annum;
(c) to the payment and satisfaction of the Secured  Indebtedness;  in such order
of application to the items of  indebtedness  referred to in clauses (b) and (c)
as Agent shall  determine;  and (d) the balance,  if any,  shall be paid over to
Mortgagor,  or Mortgagor's  successors or assigns.  In any event,  the purchaser
under the foreclosure sale, as provided herein,  shall be under no obligation to
see to the proper application of the purchase money.

         2.09 Delay or  Omission  No Waiver.  No delay or  omission  of Agent to
exercise  any  option  herein  given to  declare  the  maturity  of the  Secured
Indebtedness  shall be taken or  construed  as a waiver of its right to exercise
such option or to declare such maturity by reason of any past, present or future
default  on the part of  Mortgagor;  and the  procurement  of  insurance  or the

79685-1                                12
<PAGE>

payment of taxes or other liens, debts or charges by Agent, or the making of any
repairs or the performance of any other agreement, condition or covenant of this
Mortgage  shall  not be  taken or  construed  as a  waiver  of its  right to any
remedies to which Agent may be entitled  including,  without  limitation to, the
right to declare  the  maturity  of the  Secured  Indebtedness  by reason of the
failure of  Mortgagor to procure  such  insurance  or to pay such taxes,  debts,
liens or charges or to perform any such other obligations.

         2.10 Remedies Cumulative.  No right, power, or remedy conferred upon or
reserved to Agent by this  Mortgage is  intended  to be  exclusive  of any other
right,  power or remedy given hereunder or under the other Loan Documents or now
or  hereafter  existing as law or in equity or by  statute,  but each every such
right,  power and remedy  shall be  cumulative  and  concurrent  and shall be in
addition to any other right,  power and remedy given  hereunder or in any of the
other Loan Documents or hereafter existing at law or in equity or by statute.

         2.11 Multiple Sales. Agent may conduct any number of sales from time to
time.  The power of sale or judicial  remedies  allowed and set forth in Section
2.07 hereof  shall not be exhausted by any one or more such sales as to any part
of the Mortgaged  Property which shall not have been sold, nor by any sale which
is not completed or is defective, until the Secured Indebtedness shall have been
paid in full.  Said sales may be as a whole or in part or parcels and  Mortgagor
hereby waives its right to direct the order in which the  Mortgaged  Property or
any parcel that is part thereof is sold.  Any sale may be postponed or adjourned
by public announcement at the time and place appointed for such sale.

         2.12 Additional Provisions as to Remedies In the event that Agent shall
have proceeded to enforce any right or remedy  hereunder by  foreclosure,  sale,
entry or otherwise,  and such  proceeding  shall be  discontinued,  abandoned or
determined  adversely for any reason, then Mortgagor and Agent shall be restored
to their former  positions  and rights  hereunder  with respect to the Mortgaged
Property, subject to the lien hereof.  Notwithstanding anything contained herein
to the contrary,  Agent shall have all rights, remedies and recourses granted in
this  Mortgage and the other Loan  Documents and available at law and equity and
the same, to the extent allowed at law or in equity,  (i) are intended to be and
shall be  nonexclusive,  (ii) shall be cumulative and  concurrent,  (iii) may be
pursued separately, successively or concurrently against Mortgagor; and (iv) the
exercise  thereof by Agent  shall in no event be  construed  as an  election  of
remedy,  or a waiver or  release  of any  right,  remedy or  recourse  as to the
Mortgaged Property.

                                   ARTICLE III

                                  MISCELLANEOUS

         3.01 Notices.  Whenever  notice may  appropriately  be given under this
Mortgage,  such  notice  shall  be  given  as set  forth  in the  Note  Purchase
Agreement.

         3.02  Headings,  etc. The headings of the Articles and sections of this
Mortgage are for  convenience of reference only, are not to be considered a part
hereof,  and shall  not  limit or  otherwise  affect  any of the  terms  hereof.
Singular  or plural  words  used  herein to  designate  the  Mortgagor  shall be
construed to refer to the maker or makers of this Mortgage,  whether one or more

79685-1                                13
<PAGE>

persons or a  corporation,  and all covenants and  agreements  herein  contained
shall bind the successors  and assigns in title of Mortgagor,  and every option,
right and  privilege  herein  reserved  or secured to Agent  shall  inure to the
benefit of its successors and assigns.  All  references  herein to  "Mortgagor,"
"Agent," and "Lender" shall include all such  successors and assigns in title of
Mortgagor and successors and assigns of Agent and each Lender.

         3.03 Severability; Rights and Remedies Cumulative. The unenforceability
or invalidity  of any provision or provisions of this Mortgage  shall not render
any other provision or provisions herein contained  unenforceable or invalid. If
any  application  of  any  term,  restriction  or  covenant  to  any  person  or
circumstance is deemed  unenforceable or invalid,  the application of such term,
restriction,  or  covenant to any other  person or  circumstances  shall  remain
unaffected  to the extent  permitted  by law.  All rights or  remedies  of Agent
hereunder  are  cumulative  and not  alternative,  and are in  addition to those
provided by law.

         3.04  Governing  Law. The  provisions  of this  Mortgage  regarding the
creation,  perfection and enforcement of the liens and security interests herein
granted shall be governed by and construed  under the laws of the state in which
the Mortgaged  Property is located.  All other provisions of this Mortgage shall
be governed by the laws of the State of Florida,  without regard to conflicts of
laws principles.

         3.05 Time of the  Essence.  Time is of the essence with respect to each
and every covenant and obligation of Mortgagor  under this Mortgage,  the Notes,
and the other Loan Documents.

         3.06 Release of  Appraisement  and  Redemption  Rights.  The  Mortgagor
releases all right of  appraisement  hereunder  and also releases unto Agent and
the  Lenders  all  right of  redemption  under the laws of  Arkansas,  including
particularly all rights of redemption under Ark. Code Ann. ss. 18-49-106.

         3.07 Effective as Financing Statement.  The Mortgage shall be effective
as a financing  statement filed as a fixture filing with respect to all fixtures
included within the Mortgaged Property and is to be filed for record in the real
estate  records of each city or county where the Mortgaged  Property  (including
said fixtures) is situated.

         3.08 Entire Agreement; Further Assurances. The Notes and Loan Documents
constitute the entire understanding and agreement between Mortgagor,  Agent, and
the Lenders  with respect to the  transactions  arising in  connection  with the
indebtedness   secured   hereby  and   supersede   all  prior  written  or  oral
understandings  and agreements  between  Mortgagor,  Agent, and the Lenders with
respect to the matters addressed in the Loan Documents. Mortgagor will, promptly
on  Agent's  request,   execute,  deliver,  procure  and/or  file  such  further
documents, and take such further action as is necessary,  desirable or proper to
carry out more  effectively the purposes of the Loan  Documents,  to correct any
defect in the Loan  Documents,  or to more  fully  identify  and  subject to the
Mortgage any property intended to be covered by the Mortgage.

79685-1                                14
<PAGE>

         3.09     Partial Releases.

         (a) If the Mortgagor  sells a portion of the  Mortgaged  Property in an
arms-length  sale at a price not less than fair market value,  Mortgagor will be
entitled to request and receive a release of the lien  created by this  Mortgage
on such portion of the  Mortgaged  Property upon  satisfaction  of the following
conditions:

                  (i)  Each  release  requested  hereunder  must  result  in  an
         aggregate prepayment to the Lenders of at least $1,000,000.00.

                  (ii) No Event of Default  hereunder shall have occurred and be
         continuing.

                  (iii)  (A) For  the  first  year  following  the  date of this
         Mortgage,  Mortgagor  shall  pay the  Lenders,  on a pro  rata  basis a
         redemption release amount equal to the greater of 102% of the net sales
         price;

                           (B) For the second  year  following  the date of this
                  Mortgage,  Mortgagor  shall  pay the  Lenders,  on a pro  rata
                  basis,  a  redemption  release  amount equal to the greater of
                  101% of the net sales price; and

                           (C) For the  third  year  following  the date of this
                  Mortgage,  Mortgagor  shall  pay the  Lenders,  on a pro  rata
                  basis,  a  redemption  release  amount equal to the greater of
                  100% of the net sales price.

                  (iv)  Mortgagor  will pay all costs and  expenses  incurred in
         connection with each release  including  recording  fees,  premiums for
         title insurance endorsements,  Agent's attorneys fees and expenses, and
         escrow and closing fees.

                  (v) For  purposes of this  Section  3.09,  the term "net sales
         price" means the sales price of any portion of the  Mortgaged  Property
         sold,  less any real estate  commissions  or referral  fees  payable to
         unrelated  third  parties  arising  from  such  sale,  title  insurance
         premiums,  tax stamps,  recording fees,  closing costs,  pro-rated real
         estate taxes and similar and related costs of closing such sale.

         (b) At least  fifteen (15) days prior to the  scheduled  funding of the
release  price,  Mortgagor  shall  deliver a written  request for the release to
Agent  containing a description  of the portion of the Mortgaged  Property to be
released and shall request that Agent  deposit  Agent's  partial  release with a
title  insurance  company  selected by Mortgagor  and  reasonably  acceptable to
Agent.  At least one business day prior to the scheduled  funding of the release
price,  Agent shall deposit with the title  insurance  company  Agent's  partial
release together with  instructions  authorizing the title insurance  company to
issue the release upon receipt of the applicable pro rata portion of the release
price by each Lender.

         (c) No release by Agent will affect any of the Mortgagor's  obligations
under any of the Loan  Documents  except to the extent that payment on the Notes
is actually received by the applicable Lender. Any payments made by Mortgagor to

79685-1                                15
<PAGE>

the  Lenders  for the  release  will be  credited  against the Notes only on the
actual  receipt of the funds by the  applicable  Lender;  checks  received  by a
Lender will not be considered as payment until collected.

         3.10   Mortgagee as Agent; Successor Agents.

         (a) Agent has been appointed to act as agent  hereunder by the Lenders.
Agent  shall have the right  hereunder  to make  demands,  to give  notices,  to
exercise or refrain  from  exercising  any rights,  and to take or refrain  from
taking any action (including, without limitation, the release or substitution of
the  Mortgaged  Property)  in  accordance  with the terms of any related  agency
agreement among Agent and the Lenders (collectively, as amended, supplemented or
otherwise  modified or replaced from time to time, the "Agency  Documents")  and
this  Mortgage.  Mortgagor  and all other  persons  shall be entitled to rely on
releases, waivers, consents,  approvals,  notifications and other acts of Agent,
without  inquiry  into the  existence  of required  consents or approvals of the
Lenders therefor.

         (b) The mortgagee  hereunder shall at all times be the same person that
is  designated  as the  agent  under the  Agency  Documents.  Written  notice of
resignation  by Agent  pursuant to the Agency  Documents  shall also  constitute
notice of  resignation  as  mortgagee  under  this  Mortgage.  Removal  of Agent
pursuant to any provision of the Agency Documents shall also constitute  removal
as mortgagee  under this Mortgage.  Appointment of a successor agent pursuant to
the Agency Documents shall also constitute  appointment of a successor mortgagee
under  this  Mortgage.  Upon the  acceptance  of any  appointment  as agent by a
successor agent under the Agency Documents, that successor agent shall thereupon
succeed to and become vested with all the rights, powers,  privileges and duties
of the retiring or removed  mortgagee  under this Mortgage,  and the retiring or
removed  mortgagee  shall  promptly  (i) assign and  transfer to such  successor
mortgagee  all of its right,  title and interest in and to this Mortgage and the
Mortgaged  Property,  and (ii) execute and deliver to such  successor  mortgagee
such assignments and amendments and take such other actions, as may be necessary
or appropriate in connection with the assignment to such successor  mortgagee of
the liens and security interests created under this Mortgage.  After any retired
or removed agent's resignation or removal hereunder as mortgagee, the provisions
of this Mortgage and the Agency  Documents  shall inure to its benefit as to any
actions taken or omitted to be taken by it under this Mortgage  while it was the
mortgagee hereunder.

            [The remainder of this page is left blank intentionally.]

79685-1                                16
<PAGE>

         IN WITNESS WHEREOF, Mortgagor has caused this instrument to be executed
as of the date set forth above.

                                       MORTGAGOR:

                                       Capitol Development of Arkansas, Inc., an
                                       Arkansas corporation

                                       By: /s/ Michael G. Todd
                                       Its: President

79685-1                                17
<PAGE>

                                 ACKNOWLEDGMENT

STATE OF Arkansas
                     ) ss.
COUNTY OF Pulaski

         On this day before me, a Notary Public,  duly commissioned,  qualified,
and acting  within and for the State and County  aforesaid,  appeared in person,
Michael  G.  Todd,  who  stated  that he was an  authorized  officer  of Capitol
Development of Arkansas, Inc., an Arkansas corporation,  and was duly authorized
in his  capacity to execute  the  foregoing  instrument  for and in the name and
behalf of said company;  and further stated that he had so signed,  executed and
delivered  said  instrument  for the  consideration,  uses and purposes  therein
mentioned and set forth.

         IN TESTIMONY  WHEREOF,  I have  hereunto set my hand and official  seal
this 11th day of September 2003.

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

My Commission Expires:

---------------------

79685-1                                18
<PAGE>

                                    EXHIBIT A

         Lands  lying in Section  29 and a part of the East 1/2 of  Section  30,
Township 3 North, Range 13 West, Pulaski County,  Arkansas and more particularly
described as follows:

         Commencing at the Northwest  Corner of said Section 29; thence North 90
degrees 00 minutes 00 seconds  East  2564.28  feet;  thence  South 00 degrees 00
minutes 00 seconds West 611.08 feet to the point of  beginning  which is also on
the south right of way of Odom Boulevard; thence leaving the said South right of
way line of Odom Boulevard along a 143.2394 degree curve to the right 61.20 feet
to a point having a chord bearing and distance of South 81 degrees 31 minutes 11
seconds East 55.40 feet which is also on the west right of way of Naylor  Drive;
thence  continue  along  said  right of way line  South 37 degrees 41 minutes 32
seconds East 30.45 feet;  thence along a 5.6169 degree curve to the right 358.75
feet to a point  having a chord  bearing  and  distance  of South 27  degrees 37
minutes 01  seconds  East  356.90  feet;  thence  South 17 degrees 32 minutes 30
seconds East 251.53 feet;  thence along a 6.1069 degree curve to the left 498.81
feet to a point  having a chord  bearing  and  distance  of South 32  degrees 46
minutes 21  seconds  East  492.96  feet;  thence  South 48 degrees 00 minutes 13
seconds East 642.29 feet; thence along a 5.7569 degree curve to the right 387.16
feet to a point  having a chord  bearing  and  distance  of South 36  degrees 51
minutes 33  seconds  East  384.72  feet;  thence  South 25 degrees 42 minutes 53
seconds  East  31.71  feet;  thence  leaving  said right of way along a 229.1831
degree  curve to the right  38.46  feet to a point  having a chord  bearing  and
distance of South 18 degrees 21 minutes 48 seconds West 34.78 feet which is also
on the west right of way of Millwood Circle; thence continue along said right of
way line South 62 degrees 26 minutes 30 seconds West 22.62 feet;  thence along a
5.7103  degree curve to the left 1492.75 feet to a point having a chord  bearing
and distance of South 16 degrees 40 minutes 41 seconds Wet 1358.84 feet;  thence
South 25 degrees 56 minutes 35 seconds East 441.69  feet;  thence along a 4.2642
degree  curve to the right  385.98  feet to a point  having a chord  bearing and
distance  of South 17 degrees 42 minutes 50 seconds  East  384.65  feet;  thence
leaving  said west right of way South 84  degrees  03  minutes  51 seconds  West
170.32 feet;  thence  North 73 degrees 20 minutes 45 seconds West 1097.68  feet;
thence South 33 degrees 01 minutes 16 seconds West 254.89 feet;  thence South 45
degrees 24  minutes 03 seconds  West  349.34  feet;  thence  South 58 degrees 31
minutes 12  seconds  West  399.77  feet;  thence  North 77 degrees 45 minutes 58
seconds  West  156.73  feet to a point which is also on the east right of way of
Odom  Boulevard;  thence North 77 degrees 45 minutes 58 seconds West 62.24 feet;
thence  along the  centerline  of proposed  Odom  Boulevard  North 11 degrees 57
minutes 24 seconds East 8.19 feet;  thence  along a 20.8347  degree curve to the
left 266.72  feet to a point  having a chord  bearing  and  distance of North 15
degrees 49  minutes 44 seconds  West  256.39  feet;  thence  North 43 degrees 36
minutes 53 seconds West 729.52 feet;  thence along a 9.5492  degree curve to the
left 221.93  feet to a point  having a chord  bearing  and  distance of North 54
degrees 12  minutes 39 seconds  West  220.67  feet;  thence  North 64 degrees 48
minutes 26 seconds West 622.59 feet;  thence along a 6.3661  degree curve to the
left  1607.78  feet to a point  having a chord  bearing and distance of North 13
degrees 37 minutes 48 seconds  West  1402.36  feet;  thence  North 37 degrees 32
minutes 49 seconds East 1031.88 feet;  thence along a 3.3661 degree curve to the
right  517.56 feet to a point  having a chord  bearing and  distance of North 54
degrees 01  minutes 17 seconds  East  510.46  feet;  thence  North 70 degrees 29
minutes 45 seconds East 406.83 feet;  thence leaving said road centerline  South
19 degrees 30 minutes 15 seconds East 60.00 feet to a point on the east right of
way line of Odom  Boulevard;  thence continue along said right of way line North
70 degrees 29 minutes 45 seconds East 914.54 feet;  thence along a 4.5558 degree
curve to the left 347.84 feet to a point having a chord  bearing and distance of
North 62  degrees  34  minutes  34  seconds  East  346.73  feet to the  point of
beginning containing 250.134 acres more or less.

79685-1                                19EXHIBIT 10.6

                             NOTE PURCHASE AGREEMENT
                          INTERFUND INVESTMENTS I, LLC

THE SECURITIES  BEING  SUBSCRIBED  FOR PURSUANT TO THIS NOTE PURCHASE  AGREEMENT
(THIS "AGREEMENT") HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED,  OR THE  SECURITIES  LAWS OF ANY  STATE  AND  THIS  OFFERING  IS  BEING
COMPLETED  BASED UPON  EXEMPTIONS TO THE  SECURITIES  ACT OF 1933 AND APPLICABLE
STATE LAWS. THE SECURITIES  HEREUNDER MAY NOT BE SOLD OR OFFERED FOR SALE IN THE
ABSENCE OF AN EFFECTIVE  REGISTRATION  STATEMENT  FOR THE  SECURITIES  UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, AND SUCH STATE LAWS AS MAY BE APPLICABLE, OR
AN OPINION OF COUNSEL  SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT
REQUIRED. THE COMPANY HAS NO CURRENT INTENTION TO SEEK REGISTRATION.  ADDITIONAL
RESTRICTIONS ON TRANSFER OF THE SECURITIES ARE SET FORTH IN THIS AGREEMENT.

         INTERFUND  INVESTMENT  FUND I, LLC, a Florida  limited  liability  (the
"Company"),  and the  undersigned  subscriber(s)  (singularly or, if applicable,
collectively, the "Purchaser") hereby agree as follows:

                  1. Sale and Purchase of Note.  The Company  agrees to issue to
the  Purchaser,  and the Purchaser  agrees to purchase from the Company,  the 8%
Secured  Promissory  Notes due on December 31, 2006  (collectively,  the "Note")
which has been accepted by the Company in an amount as indicated adjacent to the
Purchaser's name on the last page of this Agreement (the "Purchase Price").  The
form of Note is attached hereto as Exhibit A. The issuance by the Company of any
Note hereunder will be in increments of $50,000.

                  2. Payment by Purchaser.  Simultaneous  with execution of this
Agreement,  the Purchaser shall make payment for Note for which subscription has
been made by delivering the Purchase Price in the form of a check or money order
made payable to "InterFund  Investment Fund I, LLC." to the Company.  Such check
or money order shall be referred to herein as the "Proceeds".  All proceeds will
be held in an  attorney  escrow  account  pending  the  receipt  of a minimum of
$1,000,000 in proceeds.  Once at least $1,000,000 in proceeds is collected,  all
proceeds  will be released  directly to the Company  without  further  notice to
Purchaser.  Should at least  $1,000,000  in proceeds not be received  during the
Offering Period, as defined in the Offering  Memorandum,  then all proceeds will
be returned to Purchaser without interest.

                  3. Closing.  The closing of the sale and purchase described in
Section 2 hereof (the  "Closing")  shall occur upon the Company's  acceptance of
Purchaser's Note Purchase Agreement. The Company may reject Purchaser's offer to
purchase  the  Note,  in whole or in part,  in its sole  discretion  and for any
reason (or for no reason).  Note  purchases are not binding on the Company until
accepted by the Company.  The Company  will refuse any Note  purchases by giving
written  notice to the Purchaser by personal  delivery or  first-class  mail. As
soon as practicable after the Closing, the Company will deliver to the Purchaser
a fully executed copy of this Agreement and a Note, in the form attached  hereto
as Exhibit C, evidencing the Purchaser's ownership of the Note.

                  4.  Representations  and  Warranties  by  the  Purchaser.  The
Purchaser represents and warrants to the Company that:

                           4.1  Knowledge and Experience/Reliance. The Purchaser
has such  knowledge and  experience  in financial and business  matters that the

<PAGE>

Purchaser,  together with the Purchaser's  professional  advisor (the "Purchaser
Representative"), if any, is fully capable of evaluating the merits and risks of
an investment in the Note.  The  Purchaser is an  "Accredited  Investor" as such
term is defined in Rule 501 of Regulation D under the Securities Act of 1993, as
amended (the "Securities  Act"), which definition is set forth on the Noteholder
Questionnaire  made a part of this EXHIBIT "C" attached  hereto.  The  Purchaser
understands that the Note is being offered and sold in reliance on transactional
exemptions from the  registration  requirements of federal and state  securities
laws and  that the  Company  is  relying  upon the  truth  and  accuracy  of the
representations,  warranties, agreements,  acknowledgments and understandings of
such Purchaser set forth herein in order to determine the  applicability of such
exemptions and the suitability of such Purchaser to acquire the Note.

                           4.2  Relationship to Company;  Access to Information.
The Purchaser either has a preexisting  personal or business  relationship  with
the Company or its officers,  directors or controlling persons, or, by reason of
Purchaser's business or financial experience, the Purchaser has the capacity and
has taken all steps  necessary  to protect  the  Purchaser's  own  interests  in
connection with the purchase of the Note. The Purchaser has received and read or
reviewed with his Purchaser  Representative,  if any, and represents  that he is
familiar with this agreement,  the other subscription documents and the Offering
Memorandum  accompanying these documents.  The Company has made available to the
Purchaser  such  information  and  documents  regarding the Company as Purchaser
deems  necessary  to enable  him to make an  informed  decision  concerning  the
purchase  of the  Note  and  the  Company  has  provided  answers  to all of his
questions relating thereto. The Purchaser  acknowledges that no federal or state
agency has made any finding or  determination as to the fairness of the offering
for the purchase of the Note or any recommendation or endorsement of the Note.

                           4.3 Purchaser's Liquidity. The Purchaser has adequate
means of providing for the Purchaser's current needs and personal  contingencies
and has no need for liquidity in connection  with the purchase of the Note.  The
Purchaser  acknowledges  that the Note is illiquid and that the  Purchaser  must
bear the economic  risk of the Note for an indefinite  period of time,  and that
the Purchaser could sustain a loss of the Purchaser's purchase price of the Note
(and expected  yield) without  materially  impairing the  Purchaser's  financial
wherewithal.  The Purchaser's  overall commitment to investments and loans which
are not  readily  marketable  is not  disproportionate  to the net  worth of the
Purchaser,  and the Purchaser's purchase of the Note will not cause such overall
commitment to become excessive.

                           4.4   Restrictions  of  Transfer.  The  Purchaser
acknowledges  and understands  that the Note has not been  registered  under the
Securities  Act of  1933,  as  amended  (the " 1933  Act") or  under  any  state
securities  laws and  agrees  that the Note  cannot  be resold  unless  they are
subsequently  registered  under the 1933 Act or pertinent state  securities acts
unless an exemption from such  registration is available.  The Purchaser  agrees
not to resell or  otherwise  dispose  of all or any part of the Note,  except as
permitted by law. The Purchaser  acknowledges  and understands that the transfer
of the Note is  restricted  by the terms of this  Agreement and that there is no
assurance  that  Rule  144 of the  1933 Act  will be  available  as a basis  for
exemption from registration.  The Purchaser further acknowledges that there will
be no public market for the Note and Purchaser may not be able to sell the Note.
Accordingly,  the  Purchaser  must  bear  the  economic  risk of the Note for an
indefinite period of time.

                           4.5  Nondistributive  Intent.  The  Purchaser  is
purchasing the Note for the account of the Purchaser, not for the account of any
other  person,  and not  with any  present  intention  to  resell  or  otherwise
distribute  the  Note in any  manner  that  would  violate  the  1933 Act or any
applicable state securities laws.

                           4.6   Rescission Right  for  Florida  Residents.  The
Purchaser   hereby  intends  that  his  signature  hereon  shall  constitute  an
irrevocable subscription for the Note specified herein. Notwithstanding, Section
2 and the prior sentence, the Purchaser,  if a Florida resident,  shall have the

                                       2
<PAGE>

right at any time within three (3) days after the  Purchaser  first  tenders the
Purchase  Price or the  date of  execution  of this  Agreement  by the  Company,
whichever is later,  to notify the Company of the  Purchaser's  intent to cancel
this  Agreement.  In such event,  this  Agreement  shall be cancelled  and of no
further force or effect,  and the Company shall promptly cause to be refunded to
the  Purchaser the Purchase  Price paid by the  Purchaser for the Note,  without
interest or deduction.

                           4.7  Accuracy of  Information.  All  of  the  written
information  pertaining  to the Purchaser  which the  Purchaser  has  heretofore
furnished to the Company, and all information  pertaining to the Purchaser which
is set forth in this Note Purchase Agreement,  is correct and complete as of the
date hereof  and, if there  should be any  material  change in such  information
hereafter,  the  Purchaser  shall  promptly  furnish  such  revised or corrected
information to the Company.  Purchaser  otherwise meets any special  suitability
standards applicable to the Purchaser's state of residence.

                           4.8   No Public  Solicitation.  At no time  was  such
Purchaser  presented with or solicited by any general mailing,  leaflet,  public
promotional  meeting,   newspaper  or  magazine  article,  radio  or  television
advertisement,  or any other form of general advertising or general solicitation
in connection with the sale of the Note.

                  5.   Transfer of Notes

                           5.1 Legend. Until the occurrence of one of the events
specified in Section 5.3, the Note shall be stamped or otherwise  imprinted with
a legend substantially in the following form:

THESE  SECURITIES HAVE NOT BEEN REGISTERED  UNDER THE SECURITIES ACT OF 1933 NOR
UNDER ANY STATE SECURITIES ACT. THEY MAY NOT BE SOLD,  OFFERED FOR SALE, PLEDGED
OR  HYPOTHECATED  IN THE  ABSENCE OF A  REGISTRATION  STATEMENT  IN EFFECT  WITH
RESPECT TO THE NOTE UNDER SUCH ACTS OR AN OPINION OF COUNSEL SATISFACTORY TO THE
COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED.

The Purchaser  acknowledges  that the Notes have not been  registered  under the
Securities  Act or the laws of any other  jurisdiction  by reason of a  specific
exemption  or  exemptions  from  registration   under  the  Securities  Act  and
applicable  state  securities  laws,  and that the  Company's  reliance  on such
exemptions  is predicated on the accuracy and  completeness  of the  Purchaser's
representations,  warranties,  acknowledgments  and agreements  herein. The Note
cannot be sold or transferred by Purchaser unless subsequently  registered under
applicable law or an exemption from  registration  is available.  The Company is
not required to register  the Note or to make any  exemption  from  registration
available.  As part of any permitted  transfer of the Note, the transferee shall
also agree to become  bound by this Note  Purchase  Agreement.  The  Company has
attached a Form of Assignment and Assumption  Agreement  (EXHIBIT "B") hereto to
be  executed  by  the  Noteholder  and  Qualified  Transferee  should  Purchaser
determine  it  desires  to  transfer  this  Note.  Any  transfer  of the Note in
violation of this Section shall be void.

                           5.2  Opinion of Counsel.  Prior  to any  transfer  or
attempted transfer of any Notes issued hereunder,  or any interest therein,  the
Purchaser,  or, if the Purchaser is not the person proposing such transfer,  the
holder,  shall give the Company  written  notice of the  Purchaser's or holder's
intention to make such transfer,  describing the manner of the intended transfer
and the proposed  transferee.  Promptly after receiving such written notice, the
Company  shall  present  copies  thereof to counsel  for the  Company and to any
special counsel designated by the Purchaser or by such holder. If in the opinion
of  each  of  such  counsel  the  proposed  transfer  may  be  effected  without
registration of the Note under the applicable  federal or state securities laws,
the  Company,  shall  immediately  notify the  Purchaser  or such holder of such
opinions,  whereupon the Note proposed to be  transferred  shall (subject to the

                                       3
<PAGE>

last sentence of Section 5) be transferred in accordance  with the terms of said
notice.  The Company shall not be required to effect any such transfer  prior to
the receipt of such favorable  opinion(s);  provided,  however,  the Company may
waive the requirement  that the Purchaser  obtain an opinion of counsel,  in its
sole and absolute discretion.  As a condition to such favorable opinion, counsel
for the Company may require an investment  letter to be executed by the proposed
transferee.  Purchaser agrees to pay the reasonable fees and expenses of special
counsel designated by the Purchaser,  and of counsel to the Company in the event
Company  counsel  renders such  opinion,  in  connection  with any such proposed
transfer.

                           5.3  Unrestricted  Transferability.  The restrictions
imposed by Sections 5.1 and 5.2 herein shall  terminate as to some or all of the
Note if:

                  (a) Such Note shall have been effectively registered under the
1933  Act and any  applicable  state  law and  sold  by the  holder  thereof  in
accordance with such registration; or

                  (b) Written  opinions to the effect that such  registration is
no longer  required or necessary under any federal or state law or regulation or
governmental  authority  shall have been  received  from legal  counsel  for the
Company.

Whenever  the  restrictions  imposed  by  Sections  5.1  and  5.2  herein  shall
terminate,  as  provided  above,  any  holder  of  such  Note as to  which  such
requirements  shall  have  terminated  shall be  entitled  to  receive  from the
Company,  without  expense to such holder,  new Note or certificates as the case
may be not bearing the restrictive legend set forth in Section 5.1.

                  6. Indemnification Representations of Purchaser. The Purchaser
represents and warrants that none of the  representations  or warranties made by
the Purchaser herein  ("Purchaser  Statements")  contain any false or misleading
statement or omit to state a material  fact. The Purchaser  shall  indemnify the
Company and Noble Financial  Group,  Inc. (the "Placement  Agent") to the extent
the Company or the Placement Agent incurs or suffers any damage, expenses, loss,
claim,  judgment or liability  resulting  from the  Company's  reliance upon any
Purchaser  Statement  to the  maximum  extent  of the  Purchase  Price  plus any
interest or premium actually paid to the Purchaser by the Company.

                  7.  Additional Representations and Warranties of Purchaser

                  Purchaser  represents  and  warrants to the Company and to the
Placement Agent that:

                  (a) Purchaser has received, has carefully read and understands
the Company's Offering Memorandum  accompanying this Note Purchase Agreement and
specifically  acknowledges  and  understands  all risk factors and  conflicts of
interests disclosed therein;

                  (b) Purchaser has been furnished with all additional documents
and information which Purchaser has requested;

                  (c) Purchaser has had the  opportunity to ask questions of and
received  answers  from the Company  concerning  the Company and the Note and to
obtain  any  additional  information  necessary  to verify the  accuracy  of the
information furnished;

                  (d) Purchaser has relied only on the foregoing information and
documents in determining to make this subscription;

                                       4
<PAGE>

                  (e) The Offering Memorandum and other information furnished by
the Company do not constitute  investment,  accounting,  legal or tax advice and
Purchaser is relying on professional advisers for such advice;

                  (f) All documents, records and books pertaining to Purchaser's
investment  have  been  made  available  for  inspection  by  Purchaser  and  by
Purchaser's   attorney,   and/or   Purchaser's   accountant  and/or  Purchaser's
representative,  and the  relevant  books and  records  of the  Company  will be
available upon reasonable  notice, for inspection by investors during reasonable
business hours at the Company's principal place of business;

                  (g) Purchaser and Purchaser's  Representative  (which advisors
for  all  purposes  herein  do  not  include  the  Company  or  its  principals,
representatives  or  counsel)  have  such  knowledge  and  experience  in legal,
financial  and business  matters as to be capable of  evaluating  the merits and
risks of  investing  in the  Company  and of making an  informed  decision  with
respect to the Notes;

                  (h) Purchaser  understands,  acknowledges  and agrees that the
Company is relying solely upon the representations and warranties made herein in
determining to sell Purchaser the Note;

                  (i) The  Purchaser  has not paid or given  any  commission  or
other  remuneration  in connection  with the purchase of the Note. The Purchaser
has not received any public media  advertisements  and has not been solicited by
any form of mass mailing solicitation;

                  (j)  The   Purchaser   understands   the   meaning  and  legal
consequences  of the foregoing  representations  and  warranties.  The Purchaser
certifies that each of the foregoing  representations and warranties is true and
correct as of the date  hereof and shall  survive the  execution  hereof and the
purchase of the Note;

                  (k) Without  limiting the generality of clause (a) above,  the
Purchaser understands and accepts that the Manager, Capitol Management,  LLC, is
an affiliate of the Company and wholly owned  subsidiary of the parent,  Capitol
First  Corporation,  and the Manager shall be paid a management  fee of 1.5% per
annum of the principal amount of the Note.

                  8.  Subscription  Irrevocable  By  Purchaser  But  Subject  To
Acceptance Or Rejection By The Company/Covenants of the Company.

                  (a) This Note  Purchase  Agreement  is not,  and shall not be,
revocable by Purchaser.

                  (b) The  Company,  in its sole  discretion,  has the  right to
terminate or withdraw the  offering at any time,  to accept or reject  offers to
purchase Notes hereunder in other than the order in which they were received, to
reject any offer to purchase  Notes in whole or in part,  to allot to  Purchaser
less than the dollar amount of the Note  subscribed  for, and to return  without
interest the amount paid by Purchaser.

                  (c) The  Purchaser  understands  and  agrees  that  this  Note
Purchase Agreement is not binding upon the Company until the Company accepts it,
which acceptance is at the sole discretion of the Company and is to be evidenced
by the  Company's  completion,  execution  and  delivery  of this Note  Purchase
Agreement.

                  (d) In the event of  rejection of this  subscription  in whole
(but not in part),  or in the event the sale of the Note  subscribed  for by the
Purchaser is not  consummated by the Company for any reason (in which event this
Note  Purchase  Agreement  shall be deemed to be  rejected),  this Note Purchase

                                       5
<PAGE>

Agreement  and any other  agreement  entered into between the  Purchaser and the
Company relating to this  subscription  shall thereafter have no force or effect
and the  Company  shall  promptly  cause to be  returned  to the  Purchaser  the
Purchase Price remitted by the Purchaser,  without interest thereon or deduction
therefrom.  In the event that this subscription is accepted in part, the Company
shall  promptly  cause to be  returned  to the  Purchaser  that  portion  of the
Purchase Price remitted by the Purchaser which  represents  payment for the Note
for which  this  subscription  was not  accepted,  without  interest  thereon or
deduction therefrom.

                  (e) In the event the  Company  does not  receive a minimum  of
$1,000,000 in proceeds from this Offering during the Offering  Period,  then the
Company shall return all proceeds to Purchaser without interest.

                  (f) The Company will establish an Interest Reserve equal to 12
months interest on the Note. The Interest Reserve shall be maintained at a level
equal to 12 months  interest  for the first 24  months.  For months  24-36,  the
Interest  Reserve  will  decrease by 1/12 per month until it is reduced to zero.
The Company will hold the Interest Reserve in its own accounts.

                  (g) The Company makes no representation or warranty concerning
the financial condition of the Collateral Agent.

                  9.  Notices.  All  notices,   requests,   consents  and  other
communications hereunder shall be in writing (including telex, telefax and other
telegraphic  communication)  and shall be (as elected by the person  giving such
notice) delivered by messenger or courier service, or mailed first-class postage
prepaid registered or certified mail:

                  (a) If to any holder of the Note,  addressed to such holder at
the address set forth below or at the Purchaser or holder's  address as shown on
the books of the Company or the  Purchaser  or  holder's  agent or to such other
address as may from time to time be  furnished  to the Company in writing by any
such holder.

                  (b) If to the  Company,  addressed  to the  Company at 7100 W.
Camino Real Blvd.,  Suite 402, Boca Raton,  FL 33433 or at such other address as
may from time to time be furnished to the Purchaser in writing by the Company.

Each  such  notice  shall be  deemed  delivered  and  received:  (i) on the date
delivered  if by  personal  delivery;  (ii)  on the  date of  transmission  with
confirmed  answer back if by telex,  telefax or other  telegraphic  method;  and
(iii) on the date upon which the return receipt is signed or delivery is refused
or the notice is designated by the postal authorities as not deliverable, as the
case may be, if mailed.

                  10. Indemnification. Purchaser shall indemnify upon demand the
Company  and  the  Placement  Agent,  and  its  partners,   managers,   members,
shareholders,   directors,  officers  employees  and  agents  (the  "Indemnified
Persons") and hold harmless the Indemnified Persons from and against any and all
loss,  cost,  liability,   damages,  penalties,  actions,  suits,  and  expenses
(including  reasonable  attorneys'  fees and other legal  expenses) which may be
imposed upon,  asserted  against,  paid or incurred by the  Indemnified  Persons
(except and only to the extent that the same arises solely from gross negligence
or willful misconduct on the part of an Indemnified  Person) at any time or from
time to time in connection with the  enforcement of the terms hereof,  the Note,
the Security  Agreement or any other documents  related to this transaction (the
"Loan Documents"),  including the prosecution or defense of any suit relating to
or arising  out of this  Agreement  of the Loan  Documents,  or any default by a
Purchaser  under  this  agreement,  including  those  caused  by an  Indemnified
Person's  negligence  (collectively  the  "Indemnified  Liability");   provided,
however,  that no Purchaser  shall be liable for the payment to any  Indemnified

                                       6
<PAGE>

Person of any portion of such  Indemnified  Liability  resulting  from the gross
negligence or willful misconduct on the part of an Indemnified Person; provided,
further,  however, that no action taken in accordance with the directions of the
holders of a majority  of the  aggregate  outstanding  principal  balance of the
Notes shall be deemed to constitute gross  negligence or willful  misconduct for
purposes of this Section.  Without  limitation of the foregoing,  each Purchaser
shall reimburse Agent upon demand for its ratable share of any reasonable  costs
or out of pocket  expenses  (including  reasonable  attorneys fees and expenses)
incurred  by the  Indemnified  Persons in  connection  with the  administration,
modification,  amendment or enforcement  (whether  through  negotiations,  legal
proceedings  or  otherwise)  of,  or  legal  advice  in  respect  of  rights  or
responsibilities  under  this  Agreement  or any of the Loan  Documents,  to the
extent  that the  Indemnified  Persons is not  reimbursed  by the  Company.  The
undertaking  in this  Section  shall  survive  the  payment  of all  obligations
hereunder and under the Loan Documents and the resignation or replacement of the
Indemnified Persons.

                  11.  Miscellaneous  Provisions.  This Agreement represents the
entire   subject  matter   hereof,   and  supersedes  all  other   negotiations,
understandings  and  representations  (if any) made by and between such parties.
All of the terms and provisions of this Agreement,  whether so expressed or not,
shall be  binding  upon,  inure to the  benefit  of, and be  enforceable  by the
parties  and  their   respective   administrators,   personal  and  other  legal
representatives, heirs, successors and permitted assigns.

If any part of this  Agreement  or any other  agreement  entered  into  pursuant
hereto is contrary to,  prohibited by or deemed invalid under  applicable law or
regulation,  such  provision  shall be  inapplicable  and deemed  omitted to the
extent so contrary, prohibited or invalid, but the remainder hereof shall not be
invalidated thereby and shall be given full force and effect so far as possible.
All agreements,  representations and warranties made herein or otherwise made in
writing by any party pursuant hereto shall survive the execution and delivery of
this Agreement and the consummation of the transactions  contemplated hereby. It
is expressly understood that Sections 4, 5, 6, 7 and 8 shall survive the Closing
and any  subsequent  sale or other transfer by the Purchaser of a portion or all
of the Notes.

This Agreement and all  transactions  contemplated  by this  Agreement  shall be
governed by, and  construed  and enforced in  accordance  with,  the laws of the
State of Florida  without regard to principles of conflicts of laws. The parties
acknowledge that a substantial portion of negotiations,  anticipated performance
and  execution of this  Agreement  occurred or shall occur in Palm Beach County,
Florida, and that, therefore,  without limiting the jurisdiction or venue of any
other  federal  or  state   courts,   each  of  the  parties   irrevocably   and
unconditionally:  (a) agrees that any suit,  action or legal proceeding  arising
out of or relating,  to this Agreement may be brought in the courts of record of
the State of  Florida in Palm  Beach  County or the court of the  United  States
District Court covering such county;  (b) consents to the  jurisdiction  of each
such court in any suit,  action or  proceeding;  (c) waives any objection  which
that  party  may  have to the  laying  of  venue of any  such  suit,  action  or
proceeding in any of such courts; and (d) agrees that service of any court paper
may be effected on such party by mail, as provided in this Agreement, or in such
other  manner as may be provided  under  applicable  laws or court rules in said
state

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

                                       7
<PAGE>

Print or Type Below                           Amount of Note subscribed for by
-------------------
                                              Purchaser(s):

-------------------------------------         $
 Name of Purchaser                             ------------------

-------------------------------------
 Name of Co-Purchaser (if any)

-------------------------------------

-------------------------------------
Address of Purchaser(s)

         IN WITNESS WHEREOF, the Purchaser(s) hereby execute this Agreement this
____ day of ___________, 2004.

                                              PURCHASERS:

                                              ----------------------------------

                                              ----------------------------------
                                              Signature of Co-Purchaser (if any)

         AGREED as of this ____ day of ____________________________, 2004.

                                              INTERFUND INVESTMENT FUND I, LLC

                                              By:_______________________________
                                              Its:______________________________

                                       8

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