Re: San Marcos

Darrell,

Today I let the builder/developer know that I would not proceed with his
excessively high cost estimates. As he did not have the funds to take on the
land himself, he was agreeable to turning over the land to me. I would like
to proceed and develop the property.

My thought is to compare the financing between Bank One and FHA. I would
also like to compare construction and development services between what you
can do and a local builder in San Marcos that I have been speaking with.
Making a trip to meet you and take a look at some of your projects seems to
be in order. I am trying to get the status of engineering and architectural
work to date. Once again the architect is Kipp Florres and the engineer is
Quattro Consultants out of Buda. Let me know if you have an opinion about
either.

I look forward to working with you. Talk to you tomorrow.

Phillip