August 20, 1996 VIA FACSIMILE MAIL Lakeville Investors The Balcor Company Daniel J. Perlman, Esq. c/o The Balcor Company 2355 Waukegan Road Katten Muchin & Zavis 2355 Waukegan Road Suite A200 Suite 2100 Suite A200 Bannockburn, IL 60015 525 W. Monroe Street Bannockburn, IL 60015 Attn: Al Lieberman Chicago, IL 60661 Attn: Ilona Adams Re: Agreement of Sale, dated as of the 23rd day of April, 1996 (the "Agreement") between Lakeville Investors, as Seller, and ERP Operating Limited Partnership, as Purchaser, for the purchase of Lakeville Apartments, Petaluma, California (the "Property"). Dear Ms. Adams and Messrs. Lieberman and Perlman: Purchaser hereby requests that the Agreement be modified to change "September 3, 1996" in the seventh line of Section 9 thereof to "September 19, 1996". Please acknowledge Seller's acceptance of this modification to the Agreement by executing this letter in the space provided below and returning it via facsimile mail to Purchaser. ERP OPERATING LIMITED PARTNERSHIP, an Illinois limited partnership By: Equity Residential Properties Trust, a Maryland Real Estate Investment Trust, its general partner By: /s/ Shelley L. Dunck -------------------------------- Shelley L. Dunck Vice President Approved and Accepted this 21 day of August, 1996 LAKEVILLE INVESTORS By: Balcor Realty Investors 85-Series III A Real Estate Limited Partnership, a partner By: Balcor Partners-XVIII, an Illinois general partnership, its general partner By: The Balcor Company, a Delaware corporation, a general partner By: /s/ Jerry M. Ogle ------------------------------ Name: Jerry M. Ogle Title: Vice President and Secretary By: Lakeville Partners, an Illinois limited partnership, a partner By: Balcor Partners-XIX, an Illinois general partnership, its general partner By: The Balcor Company, a Delaware corporation, a general partner By: /s/ Jerry M. Ogle ------------------------------ Name: Jerry M. Ogle Title: Vice President and Secretary