STATE OF MICHIGAN



STATE OF MICHIGAN

COUNTY OF

,

a Limited Partnership,

Owner, OPTION

-and-

,

a Michigan corporation,

Purchaser.

WITNESS THIS AGREEMENT, made by and between , a Limited Partnership, whose mailing address for the purpose of this option is , herein called the "OWNER"; and , a Michigan corporation, whose address is , herein called the "PURCHASER", as follows:

1. GRANT OF EXCLUSIVE OPTION. In consideration of the payment to it of the sum of $ , the receipt of which is hereby confessed and acknowledged, the Owner hereby grants unto the Purchaser an exclusive option to purchase the property hereinafter described.

2. DESCRIPTION OF PROPERTY. Said property is situated in the Township of , County of , State of , and is more particularly described as follows:

PARCEL # :

3. OPTION PRICE AND METHOD OF EXERCISING OPTION. The option purchase price for said property is the sum of $ , against which the $ paid for this option shall apply, provided that this option is exercised by the Purchaser within the time and in the manner in this agreement provided, and not otherwise.

4. LIMITATIONS ON DUTY TO CONVEY. It is understood and agreed that the lands for which the option to purchase has been granted are subject to a certain sheriff's deed dated , 20 , in the Office of the Register of Deeds for County, , in Liber , on page . It is therefore understood that if the Owner fails to redeem from the said sheriff's deed, it shall not be under any obligation to convey said lands in accordance with this option. This option is expressly conditioned upon the redemption from the said sheriff's deed within the time permitted by law.

5. NOTIFICATION OF ABILITY TO CONVEY. When and if the Owner is prepared to perform this option, it shall notify the Purchaser of that event by notice in writing delivered to the Purchaser at its business address stated in this option.

6. EXERCISE OF OPTION. Within fifteen (15) days after the delivery of the notice provided by paragraph 5 hereof, the Purchaser shall notify the Owner of its election to complete the purchase of said lands in accordance with this option, or of its election to permit this option by lapse. Notice of such election shall be given to the Owner in writing by letter sent first class mail, postage fully prepaid, addressed to the Owner at the mailing address stated in this option. Notice shall be deemed to have been given at the time such notice is mailed. If the Purchaser fails to give notice of its intention to exercise this option within such time, this option shall lapse and terminate.

7. EVIDENCE OF TITLE. If the Purchaser elects to purchase said lands in the manner, within the time, and upon the terms hereinbefore described, and so notifies the Owner, the Owner shall at the Owner's expense within ten (10) days thereafter furnish the Purchaser with a commitment for an Owner's Policy of Title Insurance for the full purchase price, free from judicial restraining orders, if any, and showing a marketable title to be vested in the Owner, free from liens or encumbrances other than those which are to be removed or discharged at closing, but subject to easements and restrictive covenants now of record and the rights of the present tenants.

8. TIME FOR CLOSING. This sale shall be closed within ten (1) days after the receipt by the Purchaser of the commitment for title insurance described in the preceding paragraph.

9. POSSESSION. Possession shall be delivered at closing, subject to the rights of the present tenants.

10. CONVEYANCE. If this option is exercised in the manner in this agreement provided, the conveyance from the Owner to the Purchaser shall be by a warranty deed, containing covenants against liens and encumbrances, excepting only easements and restrictive covenants of record, and the rights of the present tenants.

11. PRORATION OF REAL ESTATE TAXES. SPECIAL ASSESSMENTS. Real estate taxes for all years prior to the year shall be fully paid by the Owner. Real estate taxes for the year shall be prorated to the date possession is delivered. Since the amount of these taxes is not yet known, the total of the taxes due on or about , and , shall be used as an estimate of such taxes for the year . The Owner shall give the Purchaser credit for such tax at the time of closing, at the rate of 1/366ths thereof for each day during the calendar year prior to the date of closing.

All special assessments, if any, which are a lien against said lands on the date of closing shall be paid in full by the Owner, whether payable in installments or otherwise.

12. FAILURE OF PURCHASER TO EXERCISE OPTION. In the event the Purchaser fails to exercise this option in the manner provided for herein, within the time limited therefore, then this option shall expire, and the Owner shall be entitled to retain the sum paid herefore, and it shall be under no obligation to the Purchaser.

Dated:

Executed in the presence of: By

, Partner

By

, Partner

State of Michigan)

County of ) SS.

The foregoing instrument was acknowledged before me this day of , 20 , by , on behalf of , a Limited Partnership.

Notary Public, County, Michigan.

My Commission Expires: , 20

This instrument was drafted by:

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