August 25th 2019

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UNIVERSITY PARK

University Park Recreation District Board of Supervisors

Dear Board Supervisors,

We understand that you will be considering a settlement proposal with Richard Garrett at your special meeting on August 28th.
The broad terms of the settlement have been outlined to us by Board Supervisor Michael Smith however we have not seen any proposed draft agreement.

Based on what has been described to us we are prepared to support the Recreation District (RD) and the expressed wishes of the majority of University Park residents with the following modifications to the Purchase and Sale Agreement (Contract) dated 11th January 2019, as amended.
Reduction of the Contract purchase price to $16,750,000
Elimination of the monthly .275% purchase price increase which is in effect from June 15th 2019 until closing
Extension of the contract until November 22nd 2019

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These modifications are conditional upon the RD having received a signed settlement agreement from Richard Garrett as described to us by Michael Smith by August 28th, and unanimous approval to the settlement by the RD Board of Supervisors at the planned meeting on August 28th
Our concession in this letter amounts to $501,000. This is in addition to the $700,000+ contribution of working capital in hand and club inventory as set out in the First Amendment to the Contract in February 2019. Our support now constitutes over $1,200,000.

We trust that following the August 28th meeting the Board will be in a position to move forward with the bond validation process and the subsequent issuing of bonds to complete the transaction.

Sincerely yours,

John Neal

CC:	Mark Barnebey Blalock Walters Matthew Lapointe Blalock Walters
J. Michael Hartenstine Williams Parker

Charles Varah