Document:

EXHIBIT 10.14.12

                      THE AMERICAN INSTITUTE OF ARCHITECTS

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                             AIA DOCUMENT A117-1987

                      Abbreviated Form of Agreement Between
                              Owner and Contractor

                                       for

                     CONSTRUCTION PROJECTS OF LIMITED SCOPE
                        where the basis of payment is the
                           COST OF THE WORK PLUS A FEE
                   with or without a Guaranteed Maximum Price

                                  1987 EDITION

THIS DOCUMENT HAS IMPORTANT LEGAL CONSEQUENCES; CONSULTATION WITH AN ATTORNEY IS
ENCOURAGED WITH RESPECT TO ITS COMPLETION OR MODIFICATION.

This document  includes  abbreviated  General  Conditions and should not be used
with other general conditions.
It has been  approved  and endorsed by The  Associated  General  Contractors  of
America.

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AGREEMENT

made as of the      15th           day of     August      in the year of
Nineteen Hundred and Ninety-Eight.

BETWEEN the Owner:                  Roberts Properties Residential, L.P.
(Name and address)                  8010 Roswell Road, Suite 120
                                    Atlanta, Georgia  30350

and the Contractor:                 Roberts Properties Construction, Inc.
(Name and address)                  8010 Roswell Road, Suite 120
                                    Atlanta, Georgia  30350

The Project is:                     Abbotts Park Phase II
(Name and location)                 11715 Jones Bridge Road
                                    Alpharetta, Georgia  30005

The Architect is:                   The Preston Phillips Partnership, Inc.
(Name and address)                  9000 Central Park West
                                    Suite 100
                                    Atlanta, Georgia  30328

The Owner and Contractor agree as set forth below.

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Copyright 1979, (C)1987 by The American  Institute of Architects,  1735 New York
Avenue, N.W., Washington, D.C. 20006. Portions of this document are derived from
AIA  Documents  A111,  Standard Form of Agreement  Between Owner and  Contractor
where the basis of  payment  is the Cost of the Work Plus a Fee,  copyright  (C)
1987 and  earlier  years,  and AIA  Document  A201,  General  Conditions  of the
Contract for Construction,  copyright (C)1987 and earlier years. Reproduction of
the material herein or substantial  quotation of its provisions  without written
permission of the AIA violates the copyright  laws of the United States and will
be subject to legal prosecution.

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<PAGE>

                                    ARTICLE 1

                            THE WORK OF THIS CONTRACT

1.1 The  Contractor  shall  execute the entire Work  described  in the  Contract
Documents, except to the extent specifically indicated in the Contract Documents
to be the responsibility of others, or as follows:

All site clearing,  grading, utilities,  paving, curb and gutters,  landscaping,
etc.  associated  with the  construction  of 287 total one, two,  three and four
bedroom units,  one swimming pool, two tennis  courts,  a  maintenance/car  wash
building and trash compactor. The property consists of approximately 29.44 acres
of land located in the northwest  quadrant of the  intersection  of Jones Bridge
Road and  Abbotts  Bridge  Road,  Land  lots  230,  231,  234 and 235 of the 1st
District  of the  1st  Section  of  Fulton  County,  Georgia.  Project  is to be
constructed  in  accordance  with  the  approved  Plans &  Specifications  to be
prepared by The Preston Phillips Partnership, Inc.

Any adverse soil  conditions  that may be encountered  are included in this Cost
Plus Contract;  any costs associated with those conditions shall be borne by the
Owner.

                                    ARTICLE 2

                           RELATIONSHIP OF THE PARTIES

2.1 The Contractor accepts the relationship of trust and confidence  established
by this  Agreement and covenants  with the Owner to cooperate with the Architect
and utilize the Contractor's best skill and judgment in furthering the interests
of the Owner; to furnish efficient business  administration and supervision;  to
make best  efforts  to furnish at all times an  adequate  supply of workers  and
materials;  and to  perform  the Work in the best way and most  expeditious  and
economical  manner  consistent with the interests of the Owner. The Owner agrees
to exercise  best  efforts to enable the  Contractor  to perform the Work in the
best way and most expeditious manner by furnishing and approving in a timely way
information  required by the Contractor and making payments to the Contractor in
accordance with the requirements of the Contract Documents.

                                    ARTICLE 3

                 DATE OF COMMENCEMENT AND SUBSTANTIAL COMPLETION

3.1 The date of  commencement  is the  date  from  which  the  Contract  Time of
Paragraph  3.2 is measured,  and shall be the date of this  Agreement,  as first
written above,  unless a different date is stated below or provision is made for
the date to be fixed in a notice to proceed issued by the Owner.

The Date of  Commencement  shall be the first day after both parties have signed
the original  Agreement or a later date agreed upon by both parties.  Contractor
must file a Notice of  Commencement  per  Georgia  Law. A recorded  copy will be
maintained in the Contractor's file and on the jobsite.

3.2 The Contractor shall achieve  Substantial  Completion of the entire Work not
later than 14 months after the Date of  Commencement,  subject to adjustments of
this Contract Time as provided in the Contract Documents.

                                       2
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

                                    ARTICLE 4

                                  CONTRACT SUM

4.1 The Owner shall pay the  Contractor  in current  funds for the  Contractor's
performance  of the Contract the Contract Sum consisting of the Cost of the Work
as defined in Article 5 and the Contractor's Fee determined as follows:

The Contractor  shall be paid monthly on a cost basis plus the  Contractor's fee
of 10%,  payable on the 10th of each month unless the 10th falls on the weekend,
then payment shall be due on the next business day. The Contractor  shall submit
an  invoice to the Owner no later  than the 1st of the  following  month for all
expenses  incurred in the preceding month. This invoice shall include a detailed
listing of all expenses which shall include invoice numbers,  dates, supplier or
subcontractor  identification and amounts due. The 10% Contractor's Fee shall be
billed as a separate line item on the invoice.

4.2      GUARANTEED MAXIMUM PRICE (IF APPLICABLE)

4.2.1 The sum of the Cost of the Work and the  Contractor's Fee is guaranteed by
the  Contractor  not to exceed N/A Dollars ($ N/A ),  subject to  additions  and
deductions by Change Order as provided in the Contract  Documents.  Such maximum
sum is referred to in the Contract  Documents as the  Guaranteed  Maximum Price.
Costs which would cause the  Guaranteed  Maximum  Price to be exceeded  shall be
paid by the Contractor without reimbursement by the Owner.

                  N/A

4.2.2 The Guaranteed  Maximum Price is based upon the following  alternates,  if
any,  which are described in the Contract  Documents and are hereby  accepted by
the Owner:

                  N/A

4.2.3    The amounts agreed to for unit prices, if any, are:

                  N/A

                                    ARTICLE 5

                             COSTS TO BE REIMBURSED

5.1 The term "Cost of the Work"  shall mean costs  necessarily  incurred  by the
Contractor in the proper  performance of the Work.  Such costs shall be at rates
not higher than the standard paid at the place of the Project  except with prior
consent of the  Owner.  The Cost of the Work  shall  include  only the items set
forth in this Article 5.

5.1.1 Wages of  construction  workers  directly  employed by the  Contractor  to
perform  the  construction  of  the  Work,   including   welfare,   unemployment
compensation, social security and all other benefits.

5.1.2 Costs, including  transportation,  of materials and equipment incorporated
or to be incorporated in the completed construction.  All discounts for cash for
prompt payment shall accrue to the Contractor.

                                        3

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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

5.1.3 Payments made by the Contractor to  Subcontractors  in accordance with the
requirements of the subcontracts.

5.1.4 Costs of all materials, temporary facilities, equipment and hand tools not
customarily  owned  by the  construction  workers,  which  are  provided  by the
Contractor at the site and fully consumed in the performance of the Work.

5.1.5 Reasonable  rental costs for necessary  temporary  facilities,  machinery,
equipment,  and hand tools used at the site of the Work, whether rented from the
Contractor or others.  Rates and quantities of equipment rented shall be subject
to the Contractor's prior approval.

5.1.6 That  portion  directly  attributable  to this  Contract of  premiums  for
insurance and bonds.

5.1.7 Losses and expenses, not compensated by insurance or otherwise,  sustained
by the Contractor in connection with the Work,  provided they have resulted from
causes other than the fault or neglect of the Contractor.

5.1.8    Costs of removal of debris from the site.

5.1.9 Costs incurred in taking action to prevent  threatened  damage,  injury or
loss in case of an emergency affecting the safety of persons and property.

5.1.10 All other  costs  incurred in the  performance  of the Work if and to the
extent approved in advance in writing by the Owner.

                                    ARTICLE 6

                           COSTS NOT TO BE REIMBURSED

6.1      The Cost of Work shall not include:

6.1.1 Salaries and other compensation of the Contractor's personnel stationed at
the Contractor's  principal  office or offices other than the site office,  with
the exception of the Vice President of Estimating.

6.1.2 Expenses of the  Contractor's  principal office and offices other than the
site office.

6.1.3  Overhead and general  expenses,  except as may be  expressly  included in
Article 5.

6.1.4 The Contractor's capital expenses,  including interest on the Contractor's
capital employed for the Work.

6.1.5 Costs due to the fault or  negligence of the  Contractor,  Subcontractors,
anyone directly or indirectly  employed by any of them, or for whose acts any of
them may be liable,  including  but not  limited  to,  costs for  correction  of
damaged,  defective or nonconforming Work, disposal and replacement of materials
and  equipment  incorrectly  ordered  or  supplied,  and making  good  damage to
property not forming part of the Work.

6.1.6    Any cost not specifically and expressly described in Article 5.

6.1.7  Costs  which  would cause the  Guaranteed  Maximum  Price,  if any, to be
exceeded.

                                       4
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

                                    ARTICLE 7

                         DISCOUNTS, REBATES AND REFUNDS

7.1 Cash discounts  obtained on payments made by the Contractor  shall accrue to
the Owner if (1) before making the payment,  the Contractor  included them in an
Application for Payment and received payment therefor from the Owner, or (2) the
Owner has  deposited  funds with the  Contractor  with  which to make  payments;
otherwise,  cash  discounts  shall accrue to the  Contractor.  Trade  discounts,
rebates,  refunds  and  amounts  received  from sales of surplus  materials  and
equipment shall accrue to the Owner, and the Contractor shall make provisions so
that they can be secured.

7.2  Amounts  that  accrue to the Owner in  accordance  with the  provisions  of
Paragraph 7.1 shall be credited to the Owner as a deduction from the Cost of the
Work.

                                    ARTICLE 8

                               ACCOUNTING RECORDS

8.1 The  Contractor  shall keep full and detailed  accounts  and  exercise  such
controls  as may  be  necessary  for  proper  financial  management  under  this
Contract; the accounting and control systems shall be satisfactory to the Owner.
The Owner and the Owner's  accountants  shall be afforded access to Contractor's
records  relating to this Contract.  The Contractor shall preserve these records
for a period of seven years after final  payment,  or for such longer  period as
may be required by law.

                                    ARTICLE 9

                                PROGRESS PAYMENTS

9.1 Based upon  Applications for Payment  submitted to the Owner's  construction
inspector by the Contractor and  Certificates  for Payment issued by the Owner's
construction inspector, the Owner shall make progress payments on account of the
Contract Sum to the Contractor as provided in the Contract Documents. The period
covered by each  Application  for Payment shall be one calendar  month ending on
the last day of the month.

9.2 Payments due and unpaid under the Contract shall bear interest from when the
payment is due at the rate stated below, or in the absence thereof, at the legal
rate prevailing from time to time at the place where the Project is located.

         The prevailing prime rate of First Union National Bank, plus 1%.

                                   ARTICLE 10

                                  FINAL PAYMENT

10.1 Final payment,  constituting the entire unpaid balance of the Contract Sum,
shall be paid by the  Owner to the  Contractor  when (1) the  Contract  has been
fully performed by the Contractor except for the Contractor's  responsibility to
correct  nonconforming  Work and to satisfy other  requirements,  if any,  which
necessarily  survive final payment,  and (2) a final Certificate for Payment has
been issued by the Owner's construction inspector.

                                       5
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

                                   ARTICLE 11

                        ENUMERATION OF CONTRACT DOCUMENTS

11.1  The  Contract   Documents  are  listed  in  Article  12  and,  except  for
Modifications  issued after the execution of this  Agreement,  are enumerated as
follows:

                  N/A

11.1.1 The  Agreement is this  executed  Abbreviated  Form of Agreement  Between
Owner and Contractor, AIA Document A117, 1987 Edition.

11.1.2  The  Supplementary  and  other  Conditions  of the  Contract  are  those
contained in the Project Manual dated N/A , and are as follows:

Document                     Title                           Pages

                  N/A

11.1.3 The  Specifications are those contained in the Project Manual dated as in
Subparagraph 11.1.2, and are as follows:

Section                      Title                           Pages

                  N/A

                                       6
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

11.1.4   The Drawings are listed on:

Number                        Title                           Pages

         Exhibit "A" List of  Drawings  shall be provided  upon  completion  and
         acceptance of approved Plans & Specifications.

11.1.5   The Addenda, if any, are as follows:

Number                        Title                           Pages

                  N/A

Portions  of  Addenda  relating  to  bidding  requirements  are not  part of the
Contract  Documents unless the bidding  requirements are also enumerated in this
Article 11.

11.1.6 Other Documents,  if any,  forming part of the Contract  Documents are as
follows:

         Exhibit "B"  Application  for Payment to follow.  (To be provided  upon
         commencement of construction).

This  Agreement  is entered as of the day and year  first  written  above and is
executed in at least three original  copies,  of which one is to be delivered to
the  Contractor,  one to  the  Owner's  construction  inspector  for  use in the
administration of the Contract, and the remainder to the Owner.

--------------------------------------          --------------------------------
ROBERTS PROPERTIES                              ROBERTS PROPERTIES
RESIDENTIAL, L.P.                               CONSTRUCTION, INC.
a Georgia limited partnership

By:  Roberts Realty Investors, Inc., its sole
     General Partner

/s/ Charles R. Elliott                          /s/ Charles S. Roberts
-------------------------------------------     --------------------------------
Charles R. Elliott, Chief Financial Officer     Charles S. Roberts, President

                                       7
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
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<PAGE>

                          EXHIBIT "A" LIST OF DRAWINGS
                          ----------------------------

The Preston Phillips Partnership, Inc.
Dated  _________  Revised _____________

  ARCHITECTURAL                               MECHANICAL
  -------------                               ----------

  Site Plan                                   HVAC - Unit "B" & "C" Floor Plans
  Structural Notes                            HVAC - Schedules, Details & Legend
  Floor Plan Unite "B"
  Floor Plan Unit "C"                         ELECTRICAL
                                              ----------
  Type I Building Plans
  Type II Building Plans                      Unit "B" & "C" Floor Plans
  Type III Building Plans                     Unit "B" & "C" Floor Plans
  Type III Building Plans                     Unit "B" & "C" Floor Plans
  Type III Building Plans                     Building Floor Plans
  Type III Building Plans
  Type III Building Plans                     PLUMBING
                                              --------
  Bldgs. Type I Foundation Plans
  Bldgs. Type II Foundation Plans             Plum- Unit "B" & "C" Floor Plans
  Bldgs. Type III Foundation Plans            Building Plans - Plumbing
  Bldgs. Type III Foundation Plans            Notes, Schedules & Details
  Unit "B" & "C" Floor Framing Plans
  Building Type I Roof Plan
  Building Type II Roof Plan
  Building Type III Roof Plan
  Building Type III Roof Plan
  Building Type I Elevations
  Building Type II Elevations
  Building Type II Elevations
  Building Type III Elevations
  Building Type III Elevations
  Building Type III Elevations
  Building Type III Elevations
  Stair Sections
  Wall Sections
  Wall Sections
  Deck Section
  Details
  Details
  Details
  Schedules
  Interior Elevations
  Fire
  Carwash/Maintenance
  Carwash/Maintenance
  Trash Compactor

                                       8
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AIA DOCUMENT A117 o ABBREVIATED  COST-PLUS  OWNER-CONTRACTOR  AGREEMENT o SECOND
EDITION o AIA(R) (C)1987 o THE AMERICAN  INSTITUTE OF ARCHITECTS,  1735 NEW YORK
AVENUE, N. W., WASHINGTON, D.C. 20006
--------------------------------------------------------------------------------EXHIBIT 10.15.04
                               LINE OF CREDIT NOTE

$2,000,000

                                                                    June 1, 2000

                                                                Atlanta, Georgia

         FOR VALUE RECEIVED,  the undersigned  ROBERTS  PROPERTIES  RESIDENTIAL,
L.P., a Georgia limited partnership (the "Borrower"),  hereby promises to pay to
the order of COMPASS BANK (the "Lender"), at P.O. Box 10566, Birmingham, Alabama
35296,  or at such other  place as Lender  may  direct,  in lawful  money of the
United States of America  constituting  legal tender in payment of all debts and
dues, public and private,  together with interest thereon calculated at the rate
and in the manner set forth  herein,  the  principal  amount of TWO  MILLION AND
N0/100  DOLLARS  ($2,000,000),  or so  much  thereof  as  may  be  advanced  and
outstanding hereunder.  Payment of principal and interest shall be in accordance
with the following provisions:

         1.       Line of Credit

         Upon the  execution  and  delivery of this Note,  a line of credit (the
"Line of Credit") shall be opened by Lender for the benefit of Borrower so that,
subject to the other terms and conditions hereof,  Borrower may borrow and repay
and re-borrow prior to the maturity hereof up to the maximum aggregate principal
amount   outstanding  at  any  one  time  of  Two  Million  and  No/100  Dollars
($2,000,000).  At the time of making a request for an advance  under the Line of
Credit, Borrower shall advise Lender of the amount of the requested advance, and
the purpose  therefore,  and Borrower shall furnish Lender with such information
as Lender may request  concerning the transaction for which Borrower proposes to
borrow and concerning  Borrower's  financial status at the time of such request.
In no event may any advances be used for personal, family or household purposes.
All  advances to Borrower  under the Line of Credit  shall be  evidenced by this
Note.  Lender,  at its sole  discretion,  is hereby  authorized to make advances
under this Note upon  telephonic  communication  of the  borrowing  request from
Charles S. Roberts or Charles R. Elliott representing himself to be such person.
Each such  telephonic  request for  borrowing  shall be confirmed by Borrower in
writing,  delivered to Lender no later than five (5) days after such  telephonic
request; provided,  however, that the absence of such written confirmation shall
in no way diminish Borrower's liability to repay such advance.

         2.       Interest.

                  (a) The applicable interest rate (the "Applicable Rate") under
         this Note  shall be an  adjustable  rate per  annum  equal to 150 basis
         points (1.50%) in excess of the 30 day "LIBOR" rate (as defined herein)
         from time to time in effect.  "LIBOR"  refers to the  London  Interbank
         Offered  Rate for the stated  period as  published  in the WALL  STREET
         JOURNAL on the date of  determination  of the interest  rate (or in the
         event no such quotation is available on such date, as quoted on the day
         most  immediately  preceding the date of  determination on which such a
         quotation  was  available).  The  Applicable  Rate  payable  under this
         Section  2(a) will be set on the date  hereof,  and shall be subject to

<PAGE>

         change  on the  first  day of  each  month  thereafter  (the  "Interest
         Adjustment  Dates")  while any amount of principal  is unpaid.  On each
         Interest  Adjustment  Date, the interest rate will be raised or lowered
         to  reflect  changes in the LIBOR  Rate.  In the event that at any time
         during the term of this Note,  the LIBOR ceases to be published  and is
         no longer ascertainable,  the term "LIBOR rate" shall mean a substitute
         and comparable rate selected by Lender in its sole discretion.

                  (b) Interest on all principal amounts outstanding from time to
         time  hereunder  shall be  calculated  on the basis of a  360-day  year
         applied  to  the  actual  number  of  days  upon  which   principal  is
         outstanding,  by  multiplying  the  product  of  the  principal  amount
         outstanding and the respective  Applicable Rate set forth herein by the
         actual number of days  elapsed,  and dividing by 360. In no event shall
         the rate of  interest  calculated  hereunder  exceed the  maximum  rate
         allowed by law.  Any  principal  amounts  outstanding  hereunder  after
         maturity or earlier  acceleration of this Note shall bear interest at a
         floating  rate  equal to three  percentage  points  (3%) in  excess  of
         Compass  Bank  Prime  until  paid.  Each  change in the  interest  rate
         resulting from a change in "Compass Bank Prime" shall become  effective
         on the day on  which  such  change  in  "Compass  Bank  Prime"  occurs.
         "Compass Bank Prime",  as used herein,  is a reference rate established
         by the Lender for use in computing and adjusting  interest,  is subject
         to increase,  decrease,  or change at the Lender's  discretion,  and is
         only one of the reference  rates or indices that Lender uses.  Borrower
         acknowledges  that the Lender  may lend to others at rates of  interest
         at, or greater or less than,  "Compass Bank Prime" or the rate provided
         herein.

         3.       Payment.

         (a)      Borrower promises to pay interest quarterly on the first (1st)
                  day of each calendar  quarter,  commencing on July 1, 2000, on
                  the principal amount outstanding  hereunder from time to time,
                  computed  daily in the manner and at the  Applicable  Rate set
                  forth in Section 2 above.

         (b)      All unpaid principal,  interest and other charges shall be due
                  and payable in full on June 1, 2001 (the "Maturity Date").

         4.       Prepayment.

         This Note may be prepaid  in whole or in part  without  penalty.  It is
intended that Borrower shall have the right to borrow, repay and re-borrow funds
under this Note with the maximum amount  outstanding at any time during the term
of the Note of $2,000,000.

         5.       Events of Default.

         Upon the failure to make any payment of the principal of or interest on
this Note when and as the same  becomes due and  payable,  then,  or at any time
thereafter  during the  continuance  of any such event,  the holder may, with or
without  notice to the Borrower,  declare this Note and  indebtedness  evidenced
hereby to be forthwith due and payable, whereupon this Note and the indebtedness
evidenced  hereby shall become  forthwith due and payable,  both as to principal
and

                                       2
<PAGE>

interest, without presentment, demand, protest, or other notice of any kind,
all of which are hereby expressly waived, anything contained herein or in any of
the Loan  Documents or in any other  instrument  executed in connection  with or
securing this Note to the contrary notwithstanding.

         6.       Waivers.

         Borrower  hereby  waives  demand,  presentment  for payment,  notice of
dishonor, protest, and notice of protest and diligence in collection or bringing
suit and agrees that the holder hereof may accept partial payment, or release or
exchange security or collateral, without discharging or releasing any unreleased
collateral or the obligations evidenced hereby.  Borrower further waives any and
all  rights of  exemption,  both as to  personal  and real  property,  under the
constitution  or laws of the United States,  the State of Alabama,  the State of
Georgia, or any other state.

         7.       Late Fee.

         Any scheduled  payment of principal  and or interest  which is not paid
within ten (10) days from the date due will be subject to a late  charge of five
percent (5%) of such scheduled payment.

         8.       Attorneys' Fees.

         Borrower  agrees to pay actual  attorneys'  fees incurred  based on the
attorney's  normal  hourly  rate  and the  number  of hours  worked  and not the
attorneys' fees statutorily defined in O.C.G.A.  ss.13-1-11,  and costs actually
incurred by the holder  hereof in  collecting  to collect this Note,  whether by
suit or otherwise.

         9.       Miscellaneous.

         As used herein,  the terms  "Borrower",  "Lender" and "holder" shall be
deemed  to  include  their  respective  successors,  legal  representatives  and
assigns, whether by voluntary action of the parties or by operation of law. This
Note is given under the seal of all parties hereto, and it is intended that this
Note is and  shall  constitute  and  have  the  effect  of a  sealed  instrument
according  to law.  This Note has been  negotiated,  and is being  executed  and
delivered  in the State of  Georgia,  or if  executed  elsewhere,  shall  become
effective upon the Lender's  receipt and acceptance of the executed  original of
this Note in the State of Georgia; provided, however, that the Lender shall have
no obligation to give, nor shall Borrower be entitled to receive,  any notice of
such  acceptance  for this  Note to  become a binding  obligation  of  Borrower.
Borrower hereby submits to jurisdiction in the State of Georgia. This Note shall
be  governed by and be  construed  in  accordance  with the laws of the State of
Georgia.  It is intended,  and the Borrower and the holder  hereof  specifically
agree, that the laws of the State of Georgia  governing  interest shall apply to
this  Note and to this  transaction.  This  Note may not be  modified  except by
written  agreement  signed by the  Borrower and the holder  hereof,  or by their
respective successors or assigns. Time is of the essence of this Note.

                                       3
<PAGE>

         IN  WITNESS  WHEREOF,  Borrower  has caused  this Note to be  executed,
sealed and delivered as of the date first set forth above.

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

/s/ Lyssa Fagan
-----------------------------
WITNESS                                      By: ROBERTS REALTY INVESTORS,
                                                 INC., a Georgia corporation,
                                                 its general   partner

                                             By: /s/ Charles R. Elliott
                                                 -------------------------------
                                             Title: Chief Financial Officer

                                                      [CORPORATE SEAL]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}]]