Reagan,

Just wanted to give you an update. I have changed the unit mix to include some 1 bedrooms and reduced the number of buildings to 12. Kipp Flores is working on the construction drawings. At the same time I am pursuing FHA financing. Once the construction drawings are complete I will send them to you for a revised bid. Your original bid was competitive and I am still attracted to your firm because of your strong local presence and contacts.

Phillip