Form Letter Of Intent - Land Acquisition (Page 4 of 8) in pdf

Mr.

<Date>

Page 4 of 5

a. Seller shall pay (i) the fees and expenses of Seller’s attorneys, (ii) the Colorado real

estate transfer tax due with respect to the deed by which the Property is conveyed

to the Purchaser (iii) the premium for the standard owner’s title insurance policy

(iv) the commission due Broker and (v) any other costs and expenses actually

incurred by the Seller.

b. Purchaser shall pay (i) the fees and expenses of Purchaser’s attorneys, (ii) any

extended coverage or endorsements to the standard title insurance and (iii) any

other costs and expenses actually incurred by Purchaser.

Purchase and Sale

Agreement:

Upon execution of this Letter of Intent, <Purchaser or Seller> shall cause to be drafted

and the parties shall negotiate and execute a definitive agreement (the “Purchase and

Sale Agreement”) for the sale of the Property reflecting the provisions of this Letter of

Intent. The date of mutual execution of the Purchase and Sale Agreement is the

“Effective Date” of that agreement. Note: Colorado form refers to this as MEC

(mutual execution of contract).

Brokers’ Commission

and Disclosure:

Upon closing, <Seller or Purchaser> shall be responsible for the payment of the

commission to Seller’s Agent

, and Buyer’s agent,

. The

fee to Buyer’s agent shall be

% of the gross purchase price. Buyer and Seller shall

represent and warrant that they have not engaged any other broker or party seeking

any other commissions, finder’s fees or the like.

Per Colorado Real Estate Commission Rules and Regulations the following disclosure is

made:

DIFFERENT WORKING RELATIONSHIPS ARE AVAILABLE WHICH INCLUDE SELLER’S

AGENT, BUYER’S AGENT, TRANSACTION BROKER, CUSTOMER AND CLIENT.

is a Buyer’s Agent for this proposed sale and is not an agent of

Seller. <Alternative language:

is a Transaction Broker and is not an agent of

the Seller or Buyer.> The duties of a

are as identified in Colorado

Real Estate Commission Form No. DD25-5-09, Definitions of Working Relationships. \

Confidentiality:

Purchaser and Seller will treat this Letter of Intent in a confidential manner and will

not disclose its requirements to other parties aside from Buyer’s and Seller’s agents or

consultants. Neither party shall disclose any terms or conditions of this contemplated

transaction without the express written consent of the other.

Form Letter Of Intent - Land Acquisition Page 4