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Phasing AgreementPHASING AGREEMENT 1 COMES NOW Sparrow Group, LLC ("Developer") of 619 S.W. Higgins Avenue, Suite E, Missoula, Montana, 59803, and the City of Kalispell, Montana ("City"), and enter this agreement concerning the phased building on real property known as the Spring Creek Apartments, located on Appleway Drive in Kalispell, Montana. Whereas, Developer is developing the Spring Creek Apartments in Kalispell, Montana; Whereas, Developer Intends to first build three (3) buildings ("Phase I") and anticipates building up to an additional three (3) buildings at some time in the future ("'Phase II" ); and Whereas, Developer has received approval by the City's Public Works Department of the Site Plan and upon signing this Agreement will be issued a Building Permit for Phase I. THEREFORE, IT IS AGREED: Before any construction on Phase II of Spring Creek Apartments, Developer unconditionally agrees to submit all development plans, construction plans, and related engineering calculations to the City's Public Works Department, for its review and approval. Dated this ay of August, 2008. DE EL ER. 4im German; Managing Member of SPARROW GROUP, LLC CITE" OF KALISPELL: Printed Name: �:Wv4is Title: C-t..q s