Archive · Mar 26, 2001, 10:58 AM
Re: Purchase and Sale Agreement

FromPhillip K Allen
To@ ENRON <jacquestc@aol.com>
Jacques,

The agreement looks fine.   My only comment is that George and Larry might

object to the language that "the bank that was requested to finance the

construction of the project declined to make the loan based on the high costs

of the construction of the Project".   Technically, that bank lowered the

loan amount based on lower estimates of rents which altered the amount of

equity that would be required.

Did I loan them $1,300,000?  I thought it was less.

Regarding Exhibit A, the assets include:  the land, architectural plans,

engineering completed, appraisal, and soils study.   Most of these items are

in a state of partial completion by the consultants.  I have been speaking

directly to the architect, engineer, and soils engineer.   I am unclear on

what is the best way to proceed with these consultants. 

The obligations should include the fees owed to the consultants above.  Do we

need to list balances due or just list the work completed as an asset  and

give consideration of $5,875 for the cash paid to the engineer and appraisor.

Phillip