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by and among
Affordable Residential Communities Inc.,
ARC Management Services, Inc.
John G. Sprengle
EMPLOYMENT AGREEMENT (this "Agreement") made this 18 day of February, 2004, by and among Affordable
Residential Communities Inc., a Maryland corporation (the "Company") and ARC Management Services, Inc., a Delaware
corporation ("ARC Management") and John G. Sprengle ("Executive").
WHEREAS, the Company, ARC Management and the Executive desire to enter into an agreement relating to the
employment of the Executive by the Company and ARC Management, which employment shall commence (the "Commencement
Date") as of the consummation of the initial underwritten public offering of shares of common stock of the Company (the "Initial
WHEREAS, the Board of Directors of the Company (the "Board") recognizes that the Executive has and can continue to
contribute significantly to the growth and success of the Company and its subsidiaries (including ARC Management) and
desires to provide for the employment of the Executive and to encourage the attention and dedication to the Company and its
subsidiaries of the Executive as a member of management, in the best interests of the Company and its shareholders;
WHEREAS, the Executive is willing to commit himself to serve the Company and ARC Management on the terms and
conditions herein provided; and
WHEREAS, the Company and ARC Management wish to employ Executive upon the terms hereinafter set forth.
NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements herein contained, the
Company, ARC Management and Executive agree as follows:
1. Employment. The Company and ARC Management hereby agree to employ the Executive, and the Executive hereby
accepts such employment, on the terms and co