PLEASANTON JOINT SCHOOL DISTRICT OPTION AGMT

OPTION AGREEMENT PARCELS B1 AND B3 - 121 MAIN STREET PLEASANTON, CALIFORNIA THIS OPTION is given January 21 , 1987, by PLEASANTON JOINT SCHOOL DISTRICT OF ALAMEDA AND CONTRA COSTA COUNTIES ("Owner"), to the CITY OF PLEASANTON, a municipal corporation ("City"). 1. Grant of Option. Owner, in consideration of Five Hundred Thousand and No/100 Dollars ($500,000.00) paid by City to Owner, receipt of which is acknowledged by Owner, grants to City the exclusive right and option to purchase, on the following terms and conditions, that real property in Alameda County, State of California, described in Exhibit "A", attached hereto and incorporated herein by this reference, together with improvements thereon, consisting chiefly of the School Administration Center, 121 Main Street. 2. Option Period. The term of this option shall be 344 days, commencing on the date first above written, but cannot be exercised until June 1, 1987. 3. Purchase Price of Property. The full purchase price of the property is One Million and No/100 Dollars ($1,000,000.00), which amount shall be payable as hereinafter provided if City elects to exercise this option. 4. Application of Consideration to Purchase Price. If City purchases the property described in this option, and under the terms and conditions hereof, Five Hundred Thousand and No/100 Dollars ($500,000.00) , the consideration paid for this option, shall be applied to the purchase price. 5. Exercise of Option. City may exercise this option by giving Owner written notice thereof, signed by City, before the time herein set for expiration. After receipt of City's notice to exercise its option, Owner shall deliver to City, against payment of the purchase price, a grant deed to the property. Tender of City's valid check for the purchase price at close of escrow less the amount already paid by City and to be credited to it, shall constitute a sufficient tender. 6. Assignability of Option by City. This option and all rights hereunder shall be assignable by City as per the Real Property Purchase Contract, executed on January 21, 1987 between the parties hereto, without the consent of Owner, provided that City, within 120 days of such assignment, notifies Owner of the assignment and sends to Owner a copy of the assignment. 7. City's Right to Enter Land for Specified Purposes. On execution hereof, City shall have the right to enter on the land above described and carry out such preliminary work as may be necessary, in a manner such as to cause the least possible disturbance to the possession of Owner. If the option is not - 1 -