Document:

Exhibit 10.2

                               September 27, 2002

Donald Diamond
Diamond Ventures, Inc.
2200 East River Rd., Suite 115
Tucson, AZ 85718-6586

     Re:  CHICAGO TITLE INSURANCE COMPANY ESCROW/TITLE NO. 2213848 46 (OPUS WEST
          CORPORATION TO STRATFORD AMERICAN CORPORATION OF CERTAIN PROPERTY
          ("PROPERTY") LOCATED AT 20225 N. SCOTTSDALE RD., SCOTTSDALE, ARIZONA)

Dear Don:

     This letter  agreement  concerns the following  financial and other aspects
involved  in the  purchase  of the  Property  pursuant  to a  Purchase  and Sale
Agreement,  dated July 17,  2002,  as  amended,  between  Opus West  Corporation
("OPUS"),  as seller,  and  Stratford  American  Corporation  ("STRATFORD"),  as
purchaser:

     1.   TAX-FREE  EXCHANGE(S);  NEW LLC:  In order to  accommodate  a tax-free
exchange(s),  the  Property  will be  conveyed  by Opus to  Stratford,  as to an
undivided 80% tenancy in common  interest,  and certain Diamond Entities (Golden
Gate Apartments,  Ltd., L.P., as to an undivided 13% tenancy in common interest;
Auriga Properties,  Inc., as to an undivided 3% tenancy in common interest;  and
DRD-97 Trust, as to an undivided 4% tenancy in common interest), and immediately
thereafter  conveyed by  Stratford  and the Diamond  Entities to a  to-be-formed
Arizona limited  liability  company ("NEW LLC").  The initial members of New LLC
will be Stratford (which also will act as manager),  as to an 80% interest,  and
the foregoing  Diamond Entities,  as to a total 20% interest.  New LLC will be a
single asset entity with respect to the Property.

     2.   FUNDING: Contemporaneously with the closing of escrow for the purchase
of the Property,  the funds for the payment of the purchase price, closing costs
and other expenses involved in the estimated sum of $25,237,500 will be obtained
as follows:

          (a)  STRATFORD  CONTRIBUTION.  In return for its 80% member  interest,
               Stratford will contribute $750,000.00 cash to New LLC, the source
               of which will  include the  purchase by DRD-97 Trust of 1,800,000
               shares  and by David  Goldstein  of 200,000  shares of  Stratford
               common  stock  at a  price  of $.25  per  share  (for a total  of
               $500,000),   payable  to  Stratford  contemporaneously  with  the
               closing of escrow for the purchase of the Property.
<PAGE>
          (b)  DIAMOND  ENTITIES'  CONTRIBUTION.  In return for their  total 20%
               member interest,  the Diamond Entities will contribute a total of
               $187,500.00 to New LLC.

          (c)  ALLIANZ  LOAN.  Pursuant  to the  attached  copy of a  commitment
               letter  dated  September  ____,  2002,  New LLC will obtain a $20
               million  loan  from  Allianz  Life  Insurance  Company  of  North
               America,  secured  by a  first  lien  on the  Property  ("ALLIANZ
               LOAN").

          (d)  BANK LOAN.  New LLC also will obtain a two year,  unsecured  $2.5
               million loan from a bank ("BANK LOAN") at an interest rate not to
               exceed  10% per  annum.  The  repayment  of the Bank Loan will be
               guaranteed ("GUARANTEED REPAYMENTS") by JDMD Investments,  L.L.C.
               ("JDMD"), as to 50%, and by Diamond Ventures, Inc. ("DVI"), as to
               50%.  The  repayment of the Bank Loan will be pari passu with the
               repayment of the Diamond Loan described below.

          (e)  DIAMOND LOAN. New LLC also will obtain a two year, unsecured $1.8
               million loan bearing interest at 10% per annum from DVI ("DIAMOND
               LOAN"). The repayment of the Diamond Loan will be pari passu with
               the repayment of the Bank Loan described above.

The shortfall amount of any increase in the estimated sum of $25,237,500, or any
reduction  in the  $20  million  Allianz  Loan,  will  be  obtained  either  (at
Stratford's  election)  by (i)  increasing  the $2.5  million  Bank Loan by such
shortfall amount, with the repayment of the shortfall amount to be guaranteed by
Stratford,  or (ii) by a  separate  loan of the  shortfall  amount to New LLC by
Stratford,  bearing  interest  at 10% per annum,  repayable  pari passu with the
repayment of the Bank Loan and the Diamond Loan.

     3.   DEBT/EQUITY  CONVERSION:  In the  unlikely  event of a default  in the
repayment  of the Bank and Diamond  Loans by New LLC,  resulting in JDMD and DVI
making their equally  shared  Guaranteed  Payments of the Bank Loan as described
above,  the  indebtedness  owing to JDMD and DVI will be  converted  to members'
interests in New LLC as follows:

          (a)  JDMD will be added as a member  having a 23.87%  interest  in New
               LLC (calculated by dividing JDMD's Guaranteed  Repayment of $1.25
               million by the total $5.237 million of capital contributions plus
               the Guaranteed Repayments and the Diamond Loan);

          (b)  DVI will be added as a member having a 58.24% interest in New LLC
               (calculated  by dividing  the total of $5.237  million into $3.05
               million, comprised of DVI's Guaranteed Repayment of $1.25 million
               plus its $1.8 million Diamond Loan); and

          (c)  Stratford's  initial 80% interest will be reduced to 14.31%,  and
               the  Diamond  Entities'  total 20%  interest  in New LLC shall be
               reduced to 3.58%.
<PAGE>
     4.   ALLIANZ LOAN NON-RECOURSE  CARVE OUTS: JDMD will guarantee the payment
by New LLC of the non-recourse  exceptions or carve outs under the Allianz Loan.
If JDMD  actually  makes any of its  guaranteed  payments  for the Allianz  Loan
non-recourse  exceptions  or  carve  outs,  the  then  members  of New LLC  will
reimburse JDMD for their  respective pro rata shares (equal to their  respective
member percentage interests in New LLC) of the guaranteed payments made by JDMD.

     5.   JDMD/STRATFORD  STOCK: As part of the  consideration for JDMD agreeing
to guarantee payment of the aforementioned Allianz Loan non-recourse  exceptions
or  carve  outs,  the  guaranty  by  JDMD  of up to 50% of the  Bank  Loan,  the
assignment by JDMD of all its interests in finding and  negotiating the purchase
of the  Property  and the Allianz  Loan and other  financing  involved,  and the
waiver by JDMD of any fees for its efforts in this regard,  Stratford will issue
1,200,000  shares of its common  stock to JDMD,  fully paid and  non-assessable,
contemporaneously with the closing of escrow for the purchase of the Property.

     6.   STRATFORD  LOAN:  Contemporaneously  with the execution of this letter
agreement,  DVI will loan $650  thousand to  Stratford,  secured by  Stratfords'
interest as a member of Raintree  Development  LLC, the repayment of which along
with 10% interest  shall be due at the closing of escrow for the purchase of the
Property.

     7.   GENERAL:  This letter  constitutes a binding agreement with respect to
the matters set forth herein.  The provisions of this letter are not intended to
be  all-inclusive  and may be  superseded  by a mutually  agreed upon  Operating
Agreement of New LLC (with respect to Paragraphs  1-5 above) and by the mutually
agreed upon promissory note and security  agreement (with respect to paragraph 6
above).

     Please  indicate your  acceptance with the matters set forth in this letter
agreement by signing and returning the enclosed copy of this letter to us.

                                        Very truly yours,

                                        /s/ Mel Shultz
                                        ----------------------------------------
                                        Mel Shultz on behalf of JDMD

                                        /s/ David Eaton
                                        ----------------------------------------
                                        David Eaton on behalf of Stratford

ACCEPTANCE:

/s/ Donald Diamond
---------------------------------------
Donald Diamond on behalf of Diamond
Ventures, Inc. and the Diamond Entities

/s/ David Goldstein
---------------------------------------
David GoldsteinExhibit 10.1

                              EMPLOYMENT AGREEMENT

     THIS EMPLOYMENT AGREEMENT executed this 11 day of October, 2002, and
effective as of October 1, 2002, by and between ARIZONA PUBLIC SERVICE COMPANY,
an Arizona corporation (hereinafter referred to as the "Company" or "Employer")
and JAMES M. LEVINE (hereinafter referred to as the "Employee");

                                    RECITALS

     A.   The Company  desires to employ  Employee in the  position of Executive
          Vice President APS Generation.

     B.   The  Company  desires to insure,  insofar  as  possible,  that it will
          continue  to have the  benefit  of the  Employee's  services  over the
          Employment Term and to protect its  confidential  information and good
          will.

     C.   Employer is engaged in the business of generation,  construction,  and
          acquisition of electrical power, and the transmission and distribution
          of electrical power.

     NOW,  THEREFORE,  in  consideration  of the  foregoing  and  of the  mutual
covenants and agreements  hereinafter  set forth,  the parties  hereto  mutually
covenant and agree as follows:

                                   AGREEMENTS

     1. TITLE.  The Company does hereby  employ the  Employee as Executive  Vice
President APS Generation,  and the Employee does hereby accept and agree to such
employment.

     2. EMPLOYMENT TERM.

     (a) The Employee shall be employed by the Company in the position set forth
in Section 1 for a five (5) year period commencing on October 1, 2002 and ending
on October 1, 2007 (the "Employment Term").

     (b) The parties may renew this Employment  Agreement for additional periods
on mutually  acceptable  terms and  conditions,  but neither the Company nor the
Employee is under any obligation to agree to such extensions.

     (c) In the event of a "Change of Control" [as defined in the Employee's Key
Executive  Employment  Severance Agreement ("KEESA")] the terms of the KEESA are
controlling.

     3.  COMPENSATION.  Employer  agrees to pay Employee an annual salary in the
amount of $550,000.00.

     4. BONUSES AND OTHER COMPENSATION.

     All incentive  plans are subject to change or  termination  at the Board of
Director's sole discretion.
<PAGE>
     (a) INCENTIVE PAY.  Employer agrees to award Employee an incentive bonus of
up to 60% of base  salary with a target  level of 40% of base  salary  under the
Officer  Incentive Plan if corporate,  departmental  and individual  targets are
met, all in accordance with the terms of that Plan.

     (b)  PERFORMANCE  SHARES AND STOCK OPTIONS.  Employer agrees to request the
Human Resources Committee ("the Committee") to grant Employee Performance Shares
in an amount  equivalent  to 65% - 85% of the amount  awarded to a member of the
Office of the President under the Stock Incentive Plan. The Employer also agrees
to request the Committee to grant  Performance  Accelerated  Stock Options under
the Stock  Incentive Plan equal to five times the number of  Performance  Shares
granted under this Paragraph (b).

     (c)  ADDITIONAL  PERFORMANCE  SHARES.  In addition  to (b) above,  Employer
agrees to request the Committee to grant Employee 2000  Performance  Shares each
year under the 2002 Stock  Incentive Plan (the "2002 Plan") without any matching
requirement, all in accordance with the terms of the 2002 Plan and as previously
agreed upon by the parties.

     (d) PENSION.  Employee's  pension  benefit  that was agreed upon  effective
January 1, 2002 will remain the same.

     (e) OTHER PAYMENTS.

          i.  Employee is eligible for  incentive  payments  based on Palo Verde
     Nuclear  Generating  Station  maintenance of specified  federal and nuclear
     oversight  program  ratings,  nuclear  safety,  and for  successful  outage
     results.

          ii.  The  Company  agrees to pay for a  Country  Club  membership  for
     Employee's  use. The Company will purchase the membership and Employee will
     assume payment of the monthly dues.

     5. BENEFITS AND OBLIGATIONS.

     (a) The  Employee  shall be included to the extent  eligible in any and all
plans providing  general benefits to the Company's  employees and which shall be
made  available  on the same  terms  and  conditions  as to other  employees  of
comparable status and position.

     (b) The Employee agrees that if, during the Employment  Period, the Company
terminates his employment or he voluntarily quits, the Employee shall not, for a
period  commencing on the date of termination and ending after one (1) year, (i)
directly own, manage, operate, control, be employed by, participate in, finance,
consult,  advise,  or be connected in any manner  whatsoever with the ownership,
management,   operation,   control  or  financing  of  any   business,   person,
corporation,  partnership,  or other entity which directly or indirectly engages
in electric power generation, in competition with the Company, or (ii) engage in
any other  activity  involving  competition  with the  Company in the  foregoing
industry without the prior written approval of the Company's Board of Directors;
provided, however, that nothing in this Section shall prohibit the Employee from
owning stock or other  securities of a competitor  amounting to less than twenty

                                       2
<PAGE>
percent  (20%) of the stated  capital of such  competitor.  For purposes of this
provision,  if a Court of competent jurisdiction should rule that a one (1) year
period is unenforceable then the period shall be six (6) months.

     (c) The Employee covenants and agrees,  during the Employee's employment by
the Company and following his Termination Date, to hold in strict confidence any
and all  information in the Employee's  possession as a result of the Employee's
employment;  provided  that  nothing  in  this  Employment  Agreement  shall  be
construed to prohibit the Employee from  reporting or  disclosing  any suspected
instance of illegal  activity of any nature,  any nuclear safety  concerns,  any
workplace  safety  concerns or any public  safety  concerns to the United States
Nuclear  Regulatory  Commission  ("NRC"),  United  States  Department  of  Labor
("DOL"),  or any federal,  state, or local  governmental  agency or court.  This
Employment  Agreement  shall not be  construed  to prohibit  the  Employee  from
providing   information  to  the  NRC,  DOL,  or  any  other  federal  or  state
governmental  agency or  governmental  officials,  or testifying in any civil or
criminal  proceedings,  even if such  information  or testimony  being  provided
relates to the claims or matters  covered  by this  Employment  Agreement.  This
Employment  Agreement  shall not be construed as a waiver or  withdrawal  of any
safety  concerns  which  Employee has or may have reported to the NRC or DOL, or
withdrawal  of any  participation  by  Employee  in any NRC or DOL  proceedings.
Notwithstanding  anything to the  contrary in this  paragraph,  Employee  hereby
waives and  releases  any right to receive any relief as a result of  Employee's
participation  in any  investigation  or  proceeding  of the  NRC,  DOL,  or any
federal, state or local government agency or court.

     6. TERMINATION.  This Employment Agreement shall automatically terminate on
the expiration of the initial  Employment Term described in Section 2(a) without
any notice from either party,  unless the parties  mutually agree to extend this
Employment  Agreement  in writing for  additional  periods of time.  The Company
retains the right to terminate this Agreement for cause at any time prior to the
expiration of the Employment Term.

     7. ARBITRATION.  All claims, disputes and other matters in question between
the parties  arising under this Employment  Agreement,  other than Sections 5(b)
and (c) which may be enforced by the Company through injunctive relief, shall be
decided by arbitration in accordance with the rules of the American  Arbitration
Association, unless the parties mutually agree otherwise. Such arbitration shall
take  place  in  Phoenix,  Arizona.  The  Company  shall  pay  the  cost of such
arbitration.  The award by the  arbitrator  shall be final,  and judgment may be
entered upon it in accordance  with applicable law in any state or Federal court
having jurisdiction thereof.

     8.  SEVERABILITY.  In the  event  that a court  of  competent  jurisdiction
determines that any portion of this Employment  Agreement is in violation of any
statute or public policy,  then only the portions of this  Employment  Agreement
which violate such statute or public  policy shall be stricken.  All portions of
this  Employment  Agreement  which do not violate  any statute or public  policy
shall continue in full force and effect.  Further,  any court order striking any
portion of this Employment Agreement shall modify the stricken terms as narrowly
as possible to give as much effect as possible to the  intentions of the parties
under this Employment Agreement.

                                       3
<PAGE>
     9.  GOVERNING  LAW.  This  Employment  Agreement  shall be  governed in all
respects,  whether  as to  validity,  construction,  capacity,  performance,  or
otherwise,  by the laws of the State of Arizona,  and no action  involving  this
Employment  Agreement may be brought  except in the Superior Court for the State
of Arizona or the Federal District Court for the District of Arizona, subject to
Section 7.

     10.  AMENDMENT OR  TERMINATION.  This  Employment  Agreement  and the KEESA
embody the entire  agreement of the parties  respecting  the matters  within its
scope and may be modified only in writing.

     11.  ASSIGNMENT.  This  Agreement  may be assigned by Employer and shall be
fully binding on any such assignee and shall not be assignable by Employee.

     IN WITNESS WHEREOF, the parties have executed this Agreement.

                                   ARIZONA PUBLIC SERVICE COMPANY

                                   By: William J. Post
                                       -----------------------------------------
                                       William J. Post
                                       Pinnacle West Capital Corporation
                                       Its Chief Executive Officer and
                                           Chairman of the Board
                                       Date: 10-11-02
                                             -----------------------------------

                                   EMPLOYEE
                                            James M. Levine
                                            ------------------------------------
                                            James M. Levine
                                            Date: 10-11-02
                                                  ------------------------------

                                       4

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