Exhibit 10.5
March 27, 2003
Avatar Holdings Inc.
000 Xxxxxxxx Xxxxxx
Xxxxx Xxxxxx, XX 00000
Attn: Corporate Secretary
Reference is hereby made to that Nonqualified Stock Option
Agreement (the "Option Agreement") dated as of February 13, 1997 between Avatar
Holdings Inc. ("Avatar") and Xxxxxx X. Xxxxxx. I hereby relinquish all right and
interest in the option to purchase 225,000 shares of common stock of Avatar at a
price of $34 per share granted to me pursuant to the Option Agreement. I
acknowledge that the Option Agreement is being terminated without the option
granted thereunder having been exercised.
Sincerely,
/s/ Xxxxxx X. Xxxxxx
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Xxxxxx X. Xxxxxx