June 12, 1996
Balcor Realty Investors 86-I A
Real Estate Limited Partnership
c/o The Balcor Company
Bannockburn Lake Office Plaza
2355 Waukegan Road, Suite A200
Bannockburn, IL 60015
Attention: Ilona Adams
Re: Agreement of Sale dated as of May 6, 1996 between Balcor Realty Investors
86-Series I A Real Estate Limited Partnership (the "Seller") and Security
Capital Pacific Trusts (the "Purchaser"), as amended by a First Amendment to
Agreement of Sale and Escrow Agreement dated May 31, 1996
Gentlemen:
We regret to inform you that, pursuant to paragraph 7.1 of the captioned
document (the "Agreement"), Purchaser hereby terminates the Agreement.
While Purchaser remains interested in acquisition of the subject property,
unfortunately it has not been feasible for us to complete our necessary
inspection and evaluation activities within the time frame set forth in the
Agreement.
While this must necessarily be a formal notice to comport with the requirements
of the Agreement, we would like to express our interests in keeping the
possibility of Purchaser's acquisition of the Property alive. To that end, we
would be happy to discuss the matter with you at your convenience.
Sincerely,
Security Capital Pacific Trust
By: /s/ Anthony R. Arnest
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Printed Name: Anthony R. Arnest
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Title: Vice President
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[copies indicated on attached page]
cc: The Balcor Company
Bannockburn Lake Office Plaza
2355 Waukegan Road
Suite A200
Bannockburn, IL 60015
Att: Alan Lieberman
Facsimile No: 847/317-4462
Katten, Muchin and Zavis
525 West Monroe Street, Suite 1600
Chicago, IL 60606
Att: Daniel J. Perlman, Esq.
Facsimile No: 312-902-1061
Charter Title Insurance Company
4655 Sweetwater Blvd.
Suite 200
Sugar Land, TX 77479
Att: Francis Chetta
Facisimile No: 713-242-1144
Mayer, Brown & Platt
190 South LaSalle Street
Chicago, IL 60603
Att: John F. Edelbrock, Jr. Esq.
Facisimile: 312-701-7711