Jim,

I would appreciate your help in locating financing for the project I
described to you last week. The project is a 134 unit apartment complex in
San Marcos. There will be a builder/developer plus myself and possibly a
couple of other investors involved. As I mentioned last week, I would like
to find interim financing (land, construction, semi-perm) that does not
require the investors to personally guarantee. If there is a creative way to
structure the deal, I would like to hear your suggestions. One idea that has
been mentioned is to obtain a "forward commitment" in order to reduce the
equity required. I would also appreciate hearing from you how deals of this
nature are normally financed. Specifically, the transition from interim to
permanent financing. I could use a quick lesson in what numbers will be
important to banks.

I am faxing you a project summary. And I will have the builder/developer
email or fax his financial statement to you.

Let me know what else you need. The land is scheduled to close mid January.

Phillip Allen