<SEC-DOCUMENT>0000950123-11-045766.txt : 20110505
<SEC-HEADER>0000950123-11-045766.hdr.sgml : 20110505
<ACCEPTANCE-DATETIME>20110505171517
ACCESSION NUMBER:		0000950123-11-045766
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		7
CONFORMED PERIOD OF REPORT:	20110505
ITEM INFORMATION:		Entry into a Material Definitive Agreement
ITEM INFORMATION:		Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20110505
DATE AS OF CHANGE:		20110505

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			HOVNANIAN ENTERPRISES INC
		CENTRAL INDEX KEY:			0000357294
		STANDARD INDUSTRIAL CLASSIFICATION:	OPERATIVE BUILDERS [1531]
		IRS NUMBER:				221851059
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1031

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-08551
		FILM NUMBER:		11815694

	BUSINESS ADDRESS:	
		STREET 1:		110 WEST FRONT STREET
		STREET 2:		PO BOX 500
		CITY:			RED BANK
		STATE:			NJ
		ZIP:			07701
		BUSINESS PHONE:		7327477800

	MAIL ADDRESS:	
		STREET 1:		110 WEST FRONT STREET PO BOX 500
		STREET 2:		110 WEST FRONT STREET  PO BOX 500
		CITY:			RED BANK
		STATE:			NJ
		ZIP:			07701
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>y91162e8vk.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<HTML>
<HEAD>
<TITLE>e8vk</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>








<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>WASHINGTON, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>FORM 8-K</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 12pt"><B>CURRENT REPORT<BR>
PURSUANT TO SECTION 13 OR 15(d) OF THE<BR>
SECURITIES EXCHANGE ACT OF 1934</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>Date of Report (Date of earliest event reported): May&nbsp;5, 2011</B>
</DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B>HOVNANIAN ENTERPRISES, INC.</B>
</DIV>

<DIV align="center" style="font-size: 10pt">
(Exact Name of Registrant as Specified in Charter)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>Delaware</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>1-8551</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>22-1851059</B></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">(State or Other
 Jurisdiction
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(Commission File Number)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(I.R.S. Employer</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">of Incorporation)</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Identification No.)</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">
<B>110 West Front Street<BR>

P.O. Box 500<BR>

Red Bank, New Jersey 07701</B><BR>

(Address of Principal Executive Offices) (Zip Code)</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 12pt">
<B>(732)&nbsp;747-7800</B><BR>

(Registrant&#146;s telephone number, including area code)</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 12pt">
<B>Not Applicable</B><BR>

(Former Name or Former Address, if Changed Since

Last Report)</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the
filing obligation of the registrant under any of the following provisions (see General Instruction
A.2. below):</DIV>

<DIV align="left" style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>

<TR>
    <TD valign="top"><FONT style="font-family: Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Written communications pursuant to Rule&nbsp;425 under the Securities Act (17 CFR 230.425)
</TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>

<TR>
    <TD valign="top"><FONT style="font-family: Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Soliciting material pursuant to Rule&nbsp;14a-12 under the Exchange Act (17 CFR 240.14a-12)
</TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>

<TR>
    <TD valign="top"><FONT style="font-family: Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Pre-commencement communications pursuant to Rule&nbsp;14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
</TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>

<TR>
    <TD valign="top"><FONT style="font-family: Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>Pre-commencement communications pursuant to Rule&nbsp;13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
</TD>
</TR>
</TABLE>
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>











<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">










<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;1.01. <u>Entry Into a Material Definitive Agreement.</u>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>On May&nbsp;4, 2011, K. Hovnanian Enterprises, Inc. (&#147;K.
Hovnanian&#148;), a wholly owned subsidiary of Hovnanian
Enterprises, Inc. (&#147;Hovnanian&#148;), completed an underwritten
public offering of $12,000,000 aggregate principal amount of
10&#8541;% Senior Secured Notes due 2016 (the &#147;Notes&#148;), pursuant to
an underwriting agreement (the &#147;Underwriting Agreement&#148;) dated
April&nbsp;29, 2011, among K. Hovnanian, Hovnanian, as guarantor,
the subsidiary guarantors named therein, and Credit Suisse
Securities (USA)&nbsp;LLC. In connection with the consummation of
the offering of the Notes, K. Hovnanian, Hovnanian, the
subsidiary guarantors party thereto and Wilmington Trust
Company, as trustee, entered into a First Supplemental
Indenture (the &#147;First Lien Supplemental Indenture&#148;), to the
Indenture dated as of October&nbsp;20, 2009 (the &#147;Base Indenture&#148;
and together with the First Lien Supplemental Indenture, the
&#147;Indenture&#148;) among K. Hovnanian, Hovnanian, the other
guarantors party thereto and the Trustee. The Notes were issued
as additional 10&#8541;% Senior Secured Notes due 2016 under the
Indenture.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Hovnanian and most of Hovnanian&#146;s existing and future
restricted subsidiaries are guarantors of the Notes.
Hovnanian&#146;s home mortgage subsidiaries, joint ventures and
subsidiaries holding interests in Hovnanian&#146;s joint ventures,
certain of its title insurance subsidiaries and its foreign
subsidiary are not guarantors. The Notes and the guarantees are
secured, subject to permitted liens and certain exceptions, by
a first-priority lien on substantially all of the assets owned
by K. Hovnanian, Hovnanian and the other guarantors.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Notes bear interest at 10&#8541;% per annum and mature on October
15, 2016. Interest is payable semi-annually on April&nbsp;15 and
October&nbsp;15 of each year, beginning on October&nbsp;15, 2011, to
holders of record at the close of business on April 1 or
October&nbsp;1, as the case may be, immediately preceding each such
interest payment date.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Indenture contains restrictive covenants that limit among
other things, the ability of Hovnanian and certain of its
subsidiaries, including K. Hovnanian, to incur additional
indebtedness, pay dividends and make distributions on common
and preferred stock, repurchase senior secured, senior and
subordinated notes and common and preferred stock, make other
restricted payments, make investments, sell certain assets,
incur liens, consolidate, merge, sell or otherwise dispose of
all or substantially all of its assets and enter into certain
transactions with affiliates. The Indenture also contains
customary events of default which would permit the holders of
the Notes to declare those Notes to be immediately due and
payable if not cured within applicable grace periods, including
the failure to make timely payments on the Notes or other
material indebtedness, the failure to satisfy covenants, the
failure of the documents granting security for the Notes to be
in full force and effect, the failure of the liens on any
material portion of the collateral securing the Notes to be
valid and perfected and specified events of bankruptcy and
insolvency.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The sale of the Notes was made pursuant to Hovnanian&#146;s, K.
Hovnanian&#146;s and the subsidiary guarantors&#146; Registration
Statement on Form S-3 (File No.&nbsp;333-173365) (the &#147;Registration
Statement&#148;) and the prospectus supplement, dated April&nbsp;29,
2011, to the prospectus contained therein dated April&nbsp;18, 2011.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Hovnanian intends to use the net proceeds from the offering of
the Notes together with cash on hand to fund the redemption of
all of K. Hovnanian&#146;s outstanding 11<FONT style="FONT-size: 70%"><SUP>1</SUP></FONT>/<FONT style="FONT-size: 60%">2</FONT>% Senior Secured Notes due
2013 (the &#147;Second Lien Notes&#148;) and 18.0% Senior Secured Notes
due 2017 (the &#147;Third Lien Notes&#148; and, together with the Second
Lien Notes, the &#147;Junior Lien Notes&#148;). As of January&nbsp;31, 2011,
there were approximately $0.5&nbsp;million aggregate principal
amount of Second Lien Notes outstanding and approximately $11.7
million aggregate principal amount of Third Lien Notes
outstanding. On May&nbsp;4, 2011, concurrently with the closing of
the offering, K. Hovnanian issued notices of redemption to
holders of the Junior Lien Notes specifying a redemption date
for the Junior Lien Notes of June&nbsp;3, 2011.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;2.03 <u>Creation of a Direct Financial Obligation or an Obligation
under an Off-Balance Sheet Arrangement of a Registrant.</u>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The information set forth above under Item&nbsp;1.01 is hereby
incorporated by reference into this Item&nbsp;2.03.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;8.01 <u>Other Events.</u>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In connection with the offering of the Notes, K. Hovnanian
entered into an Eighth Supplemental Indenture dated April&nbsp;21,
2011 (the &#147;2017 Notes Supplemental Indenture&#148;), among K.
Hovnanian, Hovnanian, as guarantor, the other guarantors party
thereto, and Deutsche Bank National Trust Company, as successor
trustee (the &#147;2017 Notes Trustee&#148;), pursuant to which K.
Hovnanian amended the Indenture, dated as of November&nbsp;3, 2003,
as supplemented by the Seventh Supplemental Indenture dated as
of June&nbsp;12, 2006, by and among K. Hovnanian, Hovnanian, as
guarantor, the other guarantors party thereto and, the 2017
Notes Trustee, under which K. Hovnanian&#146;s 8&#8541;% Senior Notes Due
2017 were issued.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In addition, in connection with the offering of the Notes, as
described in response to Item&nbsp;1.01 of this Current Report on
Form 8-K, the following exhibits are filed with this Current Report
on Form 8-K and are incorporated by reference herein and into
the Registration Statement: (i)&nbsp;Underwriting Agreement, (ii)
First Lien Supplemental Indenture, (iii)&nbsp;2017 Notes Supplemental
Indenture, (iv)&nbsp;legal opinion of Simpson Thacher &#038; Bartlett
LLP, and related consent, (v)&nbsp;legal opinion of Peter S.
Reinhart, Senior Vice-President and General Counsel of
Hovnanian and K. Hovnanian, and related consent and (vi)
information relating to Part&nbsp;II, Item&nbsp;14 &#147;Other Expenses of
Issuance and Distribution&#148; of the Registration Statement.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;9.01. <U>Financial Statements and Exhibits</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(d) <I>Exhibits.</I></DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="87%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;1.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Underwriting Agreement dated April&nbsp;29, 2011, among Hovnanian, K.
Hovnanian, the subsidiary guarantors named therein and Credit
Suisse Securities (USA)&nbsp;LLC.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;4.26
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Lien Supplemental Indenture dated as of May&nbsp;4, 2011, among
K. Hovnanian, Hovnanian and the other guarantors named therein and
Wilmington Trust Company, as trustee.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;4.27
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">2017 Notes Supplemental Indenture dated as of April&nbsp;21, 2011,
among K. Hovnanian, Hovnanian and the other guarantors named
therein and Deutsche Bank National Trust Company, as trustee.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;5.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Simpson Thacher &#038; Bartlett LLP.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;5.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Peter S. Reinhart, Senior Vice-President and General
Counsel of Hovnanian and K. Hovnanian.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;23.5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Simpson Thacher &#038; Bartlett LLP (included in Exhibit&nbsp;5.3).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;23.6
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Peter S. Reinhart, Senior Vice-President and General
Counsel of Hovnanian and K. Hovnanian (included in Exhibit&nbsp;5.4).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;99.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Information relating to Part II, Item&nbsp;14 &#147;Other Expenses of
Issuance and Distribution&#148; of the Registration Statement (File No.
333-173365).</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>SIGNATURES</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">HOVNANIAN ENTERPRISES, INC.<BR>
(Registrant)<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/          Peter S. Reinhart
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Peter S. Reinhart&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Senior Vice President and General Counsel&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Date: May&nbsp;5, 2011</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>INDEX TO EXHIBITS</U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="87%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;1.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Underwriting Agreement dated April&nbsp;29, 2011, among Hovnanian, K.
Hovnanian, the subsidiary guarantors named therein and Credit
Suisse Securities (USA)&nbsp;LLC.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;4.26
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Lien Supplemental Indenture dated as of May&nbsp;4, 2011, among
K. Hovnanian, Hovnanian and the other guarantors named therein and
Wilmington Trust Company, as trustee.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;4.27
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">2017 Notes Supplemental Indenture dated as of April&nbsp;21, 2011,
among K. Hovnanian, Hovnanian and the other guarantors named
therein and Deutsche Bank National Trust Company, as trustee.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;5.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Simpson Thacher &#038; Bartlett LLP.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;5.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Peter S. Reinhart, Senior Vice-President and General
Counsel of Hovnanian and K. Hovnanian.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;23.5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Simpson Thacher &#038; Bartlett LLP (included in Exhibit&nbsp;5.3).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;23.6
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Peter S. Reinhart, Senior Vice-President and General
Counsel of Hovnanian and K. Hovnanian (included in Exhibit&nbsp;5.4).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;99.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Information relating to Part II, Item&nbsp;14 &#147;Other Expenses of
Issuance and Distribution&#148; of the Registration Statement (File No.
333-173365).</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>




</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-1.2
<SEQUENCE>2
<FILENAME>y91162exv1w2.htm
<DESCRIPTION>EX-1.2
<TEXT>
<HTML>
<HEAD>
<TITLE>exv1w2</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>EXHIBIT 1.2</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>K. HOVNANIAN ENTERPRISES, INC.,<BR>
as Issuer<BR>
HOVNANIAN ENTERPRISES, INC.<BR>
and Certain of its Subsidiaries,<BR>
as Guarantors</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>10.625% Senior Secured Notes due 2016</B>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><U><B>UNDERWRITING AGREEMENT</B></U>
</DIV>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt">April&nbsp;29, 2011
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">CREDIT SUISSE SECURITIES (USA)&nbsp;LLC<BR>
Eleven Madison Avenue<BR>
New York, New York 10010-3629

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Ladies and Gentlemen:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;<I>Introductory</I>. K. Hovnanian Enterprises, Inc., a California corporation (the &#147;<B>Company</B>&#148;),
proposes to issue and sell $12,000,000 principal amount of its 10.625% Senior Secured Notes due
2016 (the &#147;<B>Securities</B>&#148;) to be unconditionally guaranteed on a secured basis as to the payment of
principal and interest (collectively, the &#147;<B>Guarantees</B>&#148;) by Hovnanian Enterprises, Inc., a Delaware
corporation (&#147;<B>Hovnanian</B>&#148;) and the subsidiary guarantors listed on Schedule&nbsp;A hereto (together, with
Hovnanian, the &#147;<B>Guarantors</B>&#148;) and issued under an indenture, dated as of October&nbsp;20, 2009 (the &#147;<B>Base
Indenture</B>&#148;), among the Company, Hovnanian, the other guarantors named therein and Wilmington Trust
Company, as Trustee (the &#147;<B>Trustee</B>&#148;), as supplemented by that certain supplemental indenture, among
the Company, Hovnanian, the other Guarantors and the Trustee, dated as of the Closing Date (the
&#147;<B>First Supplemental Indenture</B>&#148; and, together with the Base Indenture, the &#147;<B>Indenture</B>&#148;). The
Securities and the Guarantees will be secured by a first-priority lien on the Collateral (as
defined in the Time of Sale Information referred to below). As used herein, the term &#147;<B>Security
Documents</B>&#148; has the meaning assigned to it in the Time of Sale Information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company previously issued $785,000,000 in aggregate principal amount of its 10.625% Senior
Secured Notes due 2016 under the Base Indenture (the &#147;<B>Existing Securities</B>&#148;). The Securities
constitute an additional issuance of notes under the Indenture. The Securities will have identical
terms to the Existing Securities, except that interest will accrue on the Securities from their
date of issuance, and will be treated as a single class of notes for all purposes under the
Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company hereby agrees with the several Underwriters named in Schedule&nbsp;B hereto (the
&#147;<B>Underwriters</B>&#148;), for whom you are acting as Representatives (the &#147;<B>Representatives</B>,&#148; which term, to
the extent there are no additional Underwriters listed on Schedule&nbsp;B hereto other than you, shall
be deemed to mean you, as Underwriter, and the term Underwriters shall mean either the singular or
plural as the context requires), as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;<I>Representations and Warranties of the Company and Hovnanian</I>. Each of the Company and
Hovnanian represent and warrant to, and agree with, the several Underwriters that:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A registration statement on Form S-3 (File No.&nbsp;333-173365) relating to the Securities,
including a base prospectus dated April&nbsp;18, 2011 (the &#147;<B>Base Prospectus</B>&#148;), has been filed with the Securities
and Exchange Commission (the &#147;<B>Commission</B>&#148;) under the Securities Act of 1933, as amended (the &#147;<B>Act</B>&#148;)
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">and has been declared effective under the Act. For purposes of this agreement (the
&#147;<B>Agreement</B>&#148;), &#147;<B>Effective Date</B>&#148; means the &#147;effective date of the registration statement&#148;
(within the meaning of Rule 158(c) under the Act) of the Registration Statement or the most
recent post-effective amendment thereto (if any) filed prior to the execution and delivery
of this Agreement. Such registration statement, as amended at the Effective Date, including
the information, if any, deemed pursuant to 430B under the Act to be part of the
registration statement at the time of its effectiveness (&#147;<B>Rule&nbsp;430 Information</B>&#148;), is
hereinafter referred to as the &#147;<B>Registration Statement</B>.&#148; The term &#147;<B>Preliminary Prospectus</B>&#148;
means each preliminary prospectus supplement to the Base Prospectus which is used prior to
filing of the Prospectus (as defined below), together with the Base Prospectus, and the term
&#147;<B>Prospectus</B>&#148; means the prospectus supplement in the form first used (or made available upon
request of purchasers pursuant to Rule&nbsp;173 under the Act) in connection with confirmation of
sales of the Securities, together with the Base Prospectus. Any reference in this Agreement
to the Registration Statement, the Base Prospectus, any Preliminary Prospectus or the
Prospectus shall be deemed to refer to and include the documents incorporated by reference
therein pursuant to Item&nbsp;12 of Form S-3 under the Act, as of the effective date of the
Registration Statement or the date of such Base Prospectus, Preliminary Prospectus or the
Prospectus, as the case may be and any reference to &#147;<B>amend</B>&#148;, &#147;<B>amendment</B>&#148; or &#147;<B>supplement</B>&#148;
with respect to the Registration Statement, Base Prospectus, any Preliminary Prospectus or
the Prospectus shall be deemed to refer to and include any documents filed after such date
under the Securities Exchange Act of 1934, as amended, and the rules and regulations of the
Commission thereunder (collectively, the &#147;<B>1934 Act</B>&#148;) that are deemed to be incorporated by
reference therein. As of the Effective Date, the Company was eligible to use Form S-3 under
the Act. No stop order suspending the effectiveness of the Registration Statement shall
have been issued and no proceedings for that purpose or pursuant to Section&nbsp;8A of the Act
against the Company or related to the offering shall have been instituted or, to the
knowledge of the Company or Hovnanian, shall be contemplated by the Commission.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) At or prior to 11:45&nbsp;A.M. on April&nbsp;29, 2011 (the &#147;<B>Time of Sale</B>&#148;), the Company had
prepared the following information (collectively, the &#147;<B>Time of Sale Information</B>&#148;): a
Preliminary Prospectus dated April&nbsp;29, 2011, and each &#147;free-writing prospectus&#148; (as defined
pursuant to Rule&nbsp;405 under the Act) listed on Annex A hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Time of Sale Information, at the Time of Sale did not, and at the Closing Date
will not, contain any untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in the light of the circumstances under
which they were made, not misleading; <I>provided </I>that the Company makes no representation and
warranty with respect to any statements or omissions made in reliance upon and in conformity
with information relating to any Underwriter furnished to the Company in writing by such
Underwriter through the Representatives expressly for use in such Time of Sale Information.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Other than the Preliminary Prospectus and the Prospectus, the Company (including
its agents and representatives, other than the Underwriters in their capacity as such) has
not made, used, prepared, authorized, approved or referred to and will not prepare, make,
use, authorize, approve or refer to any &#147;<B>written communication</B>&#148; (as defined in Rule&nbsp;405
under the Act) that constitutes an offer to sell or solicitation of an offer to buy the
Securities (each such communication by the Company or its agents and representatives (other
than a communication referred to in clause (i)&nbsp;below) an &#147;<B>Issuer Free Writing Prospectus</B>&#148;)
other than (i)&nbsp;any document not constituting a prospectus pursuant to Section&nbsp;2(a)(10)(a) of
the Act or Rule&nbsp;134 under the Act or (ii)&nbsp;the documents listed on Annex A hereto, each
electronic road show and other written communications approved in writing in advance by the
Representatives. Each such Issuer Free Writing Prospectus complied in all material respects
with the Act, has been filed in accordance with the Act (to the extent required thereby)
and, when taken together with the Time of Sale Information accompanying, or delivered prior
to delivery of, such Issuer Free Writing Prospectus, did not, and at the Closing Date will
not, contain any untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in the light of the circumstances under
which they were made, not misleading; <I>provided </I>that the Company makes no representation and
warranty with respect to any statements or omissions made in each such Issuer Free Writing
Prospectus in reliance upon and in
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">conformity with information relating to any Underwriter furnished to the Company in writing
by such Underwriter through the Representatives expressly for use in any Issuer Free Writing
Prospectus.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) (i)&nbsp;On the Effective Date, the Registration Statement conformed in all material
respects to the requirements of the Act, the Trust Indenture Act of 1939 (the &#147;<B>Trust
Indenture Act</B>&#148;) and the rules and regulations of the Commission under the Act (&#147;<B>Rules and
Regulations</B>&#148;) and did not include any untrue statement of a material fact or omit to state
any material fact required to be stated therein or necessary to make the statements therein
not misleading and (ii)&nbsp;on the date of this Agreement, the Registration Statement conforms,
and at the time of filing of the Prospectus pursuant to Rule 424(b) under the Act, the
Registration Statement and the Prospectus will conform, in all material respects to the
requirements of the Act, the Trust Indenture Act and the Rules and Regulations, and neither
of such documents includes, or will include, any untrue statement of a material fact or
omits, or will omit, to state any material fact required to be stated therein or necessary
to make the statements therein (in the case of the Prospectus, in the light of the
circumstances under which they were made) not misleading except that the foregoing does not
apply to statements in or omissions from the Registration Statement or the Prospectus based
upon written information furnished to the Company by any Underwriter through the
Representatives, if any, specifically for use therein, it being understood and agreed that
the only such information is that described as such in Section 8(b) hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The documents incorporated by reference in the Time of Sale Information and the
Prospectus, at the time they were or hereafter are filed with the Commission and except as
otherwise subsequently disclosed therein, complied and will comply in all material respects
with the requirements of the 1934 Act and, when read together and with the other information
in the Time of Sale Information and the Prospectus, did not and will not contain an untrue
statement of a material fact or omit to state a material fact required to be stated therein
or necessary in order to make the statements therein, in the light of the circumstances
under which they were or are made, not misleading.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Each of the Company, Hovnanian and its subsidiaries has been duly incorporated or
formed, as the case may be, is validly existing as a corporation, limited liability company
or limited partnership, as the case may be, in good standing under the laws of its
jurisdiction of incorporation or organization and has the corporate power, or its equivalent
in the case of a limited partnership or limited liability company, and authority to carry on
its business as described in the Time of Sale Information and the Prospectus and to own,
lease and operate its properties, and each is duly qualified and is in good standing as a
foreign corporation, limited liability company or limited partnership, as the case may be,
authorized to do business in each jurisdiction in which the nature of its business or its
ownership or leasing of property requires such qualification, except where the failure to be
so qualified would not have a material adverse effect on the business, prospects, financial
condition or results of operations of Hovnanian and its subsidiaries, taken as a whole (a
&#147;<B>Material Adverse Effect</B>&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) All outstanding shares of capital stock of the Company and Hovnanian have been duly
authorized and validly issued and are fully paid, non-assessable and except, for the
avoidance of doubt, with respect to the Rights Plan of Hovnanian, as described in the Time
of Sale Information, not subject to any preemptive or similar rights.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) All of the outstanding shares of capital stock of each of Hovnanian&#146;s direct and
indirect subsidiaries have been duly authorized and validly issued and are fully paid and
non-assessable, and are owned by Hovnanian, directly or indirectly through one or more
subsidiaries, free and clear of any security interest, claim, lien, encumbrance or adverse
interest of any nature (each, a &#147;<B>Lien</B>&#148;) other than Liens securing obligations under (A)&nbsp;the
Existing Securities, (B)&nbsp;the Company&#146;s 11<FONT style="FONT-size: 70%"><SUP>1</SUP></FONT>/<FONT style="FONT-size: 60%">2</FONT>% Senior Secured Notes due 2013 issued pursuant to
the indenture, dated as of May&nbsp;27, 2008, by and among the Company, Hovnanian, the other
guarantors named therein and Wilmington Trust Company, as trustee, (C)&nbsp;the Company&#146;s 18%
Senior Secured Notes due 2017 issued pursuant to the indenture, dated as of December&nbsp;3,
2008, by and among the Company, Hovnanian and the other guarantors named therein and
Wilmington Trust Company, as trustee and (D) &#147;Permitted Liens&#148; as defined in the Base
Indenture and such aforementioned indentures.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) This Agreement has been duly authorized, executed and delivered by the Company,
Hovnanian and each other Guarantor.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Base Indenture has been duly authorized, executed and delivered by the Company
and each of the Guarantors and as of the Closing Date the First Supplemental Indenture will
have been validly executed and delivered by the Company and each of the Guarantors that is a
party thereto. When the First Supplemental Indenture has been duly executed and delivered
by the Company and each of the Guarantors that is a party thereto, and, assuming that the
Indenture is a valid and binding obligation of the Trustee, the Indenture will be, a valid
and binding agreement of the Company and each Guarantor that is a party thereto, enforceable
against the Company and each Guarantor in accordance with its terms except as the
enforceability thereof may be limited by the effects of bankruptcy, insolvency, fraudulent
conveyance, reorganization, moratorium and other similar laws relating to or affecting
creditors&#146; rights generally, general equitable principles (whether considered in a
proceeding in equity or at law) and an implied covenant of good faith and fair dealing.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) The Indenture has been duly qualified under the Trust Indenture Act with respect to
the Securities; the Securities have been duly authorized and, on the Closing Date, will have
been validly executed and delivered by the Company. When the Securities have been issued,
executed and authenticated in accordance with the provisions of the Indenture and delivered
to and paid for by the Underwriters in accordance with the terms of this Agreement, will be
entitled to the benefits of the Indenture, and will be valid and binding obligations of the
Company, enforceable in accordance with their terms except as the enforceability thereof may
be limited by the effects of bankruptcy, insolvency, fraudulent conveyance, reorganization,
moratorium and other similar laws relating to or affecting creditors&#146; rights generally,
general equitable principles (whether considered in a proceeding in equity or at law) and an
implied covenant of good faith and fair dealing. On the Closing Date, the Securities will
conform as to legal matters to the descriptions thereof contained in the Time of Sale
Information and Prospectus.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) The Guarantee to be endorsed on the Securities by each Guarantor has been duly
authorized by such Guarantor and, on the Closing Date, will have been duly executed and
delivered by each such Guarantor. When the Securities have been issued, executed and
authenticated in accordance with the Indenture and delivered to and paid for by the
Underwriters in accordance with the terms of this Agreement, the Guarantee of each Guarantor
endorsed thereon will be entitled to the benefits of the Indenture and will be the valid and
binding obligation of such Guarantor, enforceable against such Guarantor in accordance with
its terms, except as the enforceability thereof may be limited by the effects of bankruptcy,
insolvency, fraudulent conveyance, reorganization, moratorium and other similar laws
relating to or affecting creditors&#146; rights generally, general equitable principles (whether
considered in a proceeding in equity or at law) and an implied covenant of good faith and
fair dealing. On the Closing Date, the Guarantees to be endorsed on the Securities will
conform as to legal matters to the description thereof contained in the Time of Sale
Information and Prospectus.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) Each of the Security Documents entered into prior to the date hereof, other than
any such Security Documents released in accordance with the terms of the Indenture (the
&#147;<B>Existing Security Documents</B>&#148;), has been duly authorized by the Company (if it is a party
thereto) and the applicable Guarantors that are parties thereto and has been duly executed
and delivered by the Company (if it is a party thereto) and each Guarantor that is a party
thereto, and constitutes a valid and binding obligation of such parties, enforceable in
accordance with its terms except as the enforceability thereof may be limited by the effects
of bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other
similar laws relating to or affecting creditors&#146; rights generally, general equity principles
(whether considered in a proceeding in equity or at law) and an implied covenant of good
faith and fair dealing; the Existing Security Documents create valid and perfected security
interests or mortgage liens in the Collateral to which they relate, subject to no prior
liens other than Permitted Liens (as defined in the Indenture); and each of the
representations and warranties made by the Company and the Guarantors in each Security
Document to which it is a party is true and correct in all material respects as of the
Closing Date. On the Closing Date, the Security Documents will conform in all material
respects as to legal matters to the descriptions thereof in the Time of Sale Information.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) None of the Company, Hovnanian or any of their direct or indirect subsidiaries is
in violation of its respective charter or by-laws or applicable organizational documents, as
the case may be, or in default in the performance of any obligation, agreement, covenant or
condition contained in any indenture, loan agreement, mortgage, lease or other agreement or
instrument that is material to the Company, or Hovnanian and its subsidiaries, taken as a
whole, to which the Company, Hovnanian or any of its subsidiaries is a party or by which the
Company, Hovnanian or any of its subsidiaries or their respective property is bound.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) The execution, delivery and performance of this Agreement, the Securities, the
Guarantees and the First Supplemental Indenture (collectively, the &#147;<B>Additional Securities
Transaction Documents</B>&#148;) by the Company and each of the Guarantors, as applicable, compliance
by the Company and each of the Guarantors with all provisions hereof and thereof and the
consummation of the transactions contemplated hereby and thereby will not, and the
performance of the Base Indenture and the Existing Security Documents (collectively, the
&#147;<B>Existing Transaction Documents</B>&#148; and, together with the Additional Securities Transaction
Documents, the &#147;<B>Transaction Documents</B>&#148;) by the Company and each of the Guarantors, as
applicable, and compliance by the Company and each of the Guarantors with all provisions
thereof and the consummation of the transactions contemplated by the Additional Securities
Transaction Documents does not (i)&nbsp;require any consent, approval, authorization or other
order of, or qualification with, any court or governmental body or agency (except such
consents as have been obtained under the Act and the Trust Indenture Act and except as may
be required under securities or Blue Sky laws of the various states), (ii)&nbsp;conflict with or
constitute a breach of any of the terms or provisions of, or a default under, the charter,
by-laws or applicable organizational documents of the Company or any Guarantor or any
indenture, loan agreement, mortgage, lease or other agreement or instrument that is material
to the Company or Hovnanian and its subsidiaries, taken as a whole, to which the Company or
the Guarantors is a party or by which the Company or the Guarantors or their respective
property is bound, (iii)&nbsp;violate or conflict with any applicable law or any rule,
regulation, judgment, order or decree of any court or any governmental body or agency having
jurisdiction over the Company, Hovnanian or any of its subsidiaries or their respective
property, (iv)&nbsp;result in the imposition or creation of (or the obligation to create or
impose) a Lien under, any agreement or instrument to which the Company, Hovnanian or any of
its subsidiaries is a party or by which the Company, Hovnanian or any of its subsidiaries or
their respective property is bound (except any filing or recording necessary to perfect the
interest in the Collateral pursuant to the Security Documents), or (v)&nbsp;result in the
termination, suspension or revocation of any Authorization (as defined below) of the
Company, Hovnanian or any of its subsidiaries or result in any other impairment of the
rights of the holder of any such Authorization.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) Except as disclosed in the Time of Sale Information and the Prospectus, there are
no legal or governmental proceedings pending or threatened to which the Company, Hovnanian
or any of its subsidiaries is or could be a party or to which any of their respective
property is or could be subject, which might result, singly or in the aggregate, in a
Material Adverse Effect.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) The Company and each of its subsidiaries maintains insurance covering their
properties, assets, operations, personnel and businesses, and, in the good faith estimate of
management, such insurance is of such type and in such amounts as is in accordance with
customary industry practice in the locations where the Company and each subsidiary conduct
operations, taking into account the costs and availability of such insurance.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) The Company and its officers and directors, in their capacities as such, are in
compliance in all material respects with the provisions of the Sarbanes-Oxley Act of 2002
and the rules and regulations promulgated thereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) Hovnanian maintains a system of &#147;internal control over financial reporting&#148; (as
such term is defined in Rule&nbsp;13a-15(f) under the Exchange Act) that complies with the
requirements of the Exchange Act and has been designed by Hovnanian&#146;s principal executive
officer and principal financial officer, or under their supervision, to provide reasonable
assurance regarding the reliability of the financial reporting and the preparation of
financial statements for external purposes in accordance with generally accepted accounting
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">principles; and Hovnanian&#146;s internal control over financial reporting is effective in all
material respects to perform the functions for which it was established and Hovnanian is not
aware of any material weaknesses in its internal control over financial reporting.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) Hovnanian maintains &#147;disclosure controls and procedures&#148; (as such term is defined
in Rule&nbsp;13a-15(e) under the Exchange Act); such disclosure controls and procedures are
effective in all material respects to perform the functions for which they were established.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Except as disclosed in the Time of Sale Information and the Prospectus, neither the
Company, Hovnanian nor any of its subsidiaries has violated (i)&nbsp;any foreign, federal, state
or local law or regulation relating to the protection of human health and safety, the
environment or hazardous or toxic substances or wastes, pollutants or contaminants
(&#147;<B>Environmental Laws</B>&#148;), (ii)&nbsp;any provisions of the Employee Retirement Income Security Act
of 1974, as amended (&#147;<B>ERISA</B>&#148;), or (iii)&nbsp;any provisions of the Foreign Corrupt Practices Act
or the rules and regulations promulgated thereunder, except with respect to (i)&nbsp;and (ii),
for such violations which, singly or in the aggregate, would not have a Material Adverse
Effect.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Except as disclosed in the Time of Sale Information and the Prospectus, each of the
Company, Hovnanian and its subsidiaries has such permits, licenses, consents, exemptions,
franchises, authorizations and other approvals (each, an &#147;<B>Authorization</B>&#148;) of, and has made
all filings with and notices to, all governmental or regulatory authorities and
self-regulatory organizations and all courts and other tribunals, including without
limitation, under any applicable Environmental Laws, as are necessary to own, lease, license
and operate its respective properties and to conduct its business, except where the failure
to have any such Authorization or to make any such filing or notice would not, singly or in
the aggregate, have a Material Adverse Effect. Each such Authorization is valid and in full
force and effect and each of the Company, Hovnanian and its subsidiaries is in compliance
with all the terms and conditions thereof and with the rules and regulations of the
authorities and governing bodies having jurisdiction with respect thereto; and no event has
occurred (including, without limitation, the receipt of any notice from any authority or
governing body) which allows or, after notice or lapse of time or both, would allow,
revocation, suspension or termination of any such Authorization or results or, after notice
or lapse of time or both, would result in any other impairment of the rights of the holder
of any such Authorization; except where such failure to be valid and in full force and
effect or to be in compliance, the occurrence of any such event or the presence of any such
restriction would not, singly or in the aggregate, have a Material Adverse Effect.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Each of Deloitte &#038; Touche LLP and Ernst &#038; Young LLP, each of which has certified
financial statements incorporated by reference in the Time of Sale Information and the
Prospectus, is an independent registered public accounting firm with respect to the Company
and the Guarantors, as required by the Act and the 1934 Act.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) The historical financial statements, together with related notes, incorporated by
reference from Hovnanian&#146;s Annual Report on 10-K/A in the Prospectus, Time of Sale
Information and the Registration Statement (and any amendment or supplement thereto) present
fairly the consolidated financial position, results of operations and changes in financial
position of Hovnanian and its subsidiaries on the basis stated in the documents incorporated
by reference in the Prospectus, Time of Sale Information and the Registration Statement at
the respective dates or for the respective periods to which they apply; such statements and
related notes have been prepared in accordance with generally accepted accounting principles
consistently applied throughout the periods involved, except as disclosed therein; and the
other financial and statistical information and data set forth or incorporated by reference
in the Prospectus, Time of Sale Information and Registration Statement (and any amendment or
supplement thereto) are, in all material respects, accurately presented and prepared on a
basis consistent with such financial statements and the books and records of Hovnanian; and
the historical financial statements, together with related notes incorporated by reference
in the Prospectus, Time of Sale Information and Registration Statement (and any amendment or
supplement thereto) meet the requirements of the Rules and Regulations and the 1934 Act.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) The Company and Hovnanian are not and, after giving effect to the offering and sale
of the Securities and the application of the net proceeds thereof as described in the Time
of Sale Information and
the Prospectus, will not be, an &#147;investment company,&#148; as such term is defined in the
Investment Company Act of 1940, as amended.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) Neither the Company nor any Guarantor nor any of their respective subsidiaries nor
any agent thereof acting on their behalf has taken, and none of them will take, any action
that might cause this Agreement or the issuance or sale of the Offered Securities to violate
Regulation&nbsp;T, Regulation&nbsp;U or Regulation&nbsp;X of the Board of Governors of the Federal Reserve
System.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) No &#147;nationally recognized statistical rating organization&#148; as such term is defined
under Section&nbsp;3(a)(62) of the 1934 Act has indicated to the Company or Hovnanian that it is
considering (i)&nbsp;the downgrading, suspension, or withdrawal of, or any review for a possible
change that does not indicate the direction of the possible change in, any rating so
assigned or (ii)&nbsp;any change in the outlook (other than a positive change) for any rating of
the Company, any Guarantor or any securities of the Company or Hovnanian.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) No debt of any subsidiary of Hovnanian (other than the Company) is rated by a
nationally recognized statistical organization.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) Since the respective dates as of which information is given in the Prospectus and
Time of Sale Information except as disclosed in the Prospectus and Time of Sale Information
(exclusive of any amendments or supplements thereto subsequent to the date of this
Agreement), (i)&nbsp;there has not occurred any material adverse change or any development
involving a prospective material adverse change in the condition, financial or otherwise, or
the earnings, business, management or operations of the Company, or Hovnanian and its
subsidiaries, taken as a whole, (ii)&nbsp;there has not been any material adverse change or any
development involving a prospective material adverse change in the capital stock or in the
long-term debt of the Company, Hovnanian or any of its subsidiaries and (iii)&nbsp;neither the
Company, Hovnanian nor any of its subsidiaries has incurred any material liability or
obligation, direct or contingent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) The Company is not an ineligible issuer as defined under the Act, at the times
specified in the Act in connection with the offering of the Securities. The Company has
paid the registration fee for this offering as required under the Act.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) Hovnanian is subject to Section&nbsp;13 or 15(d) of the Exchange Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;<I>Purchase, Sale and Delivery of the Securities</I>. On the basis of the representations,
warranties and agreements herein contained, but subject to the terms and conditions herein set
forth, the Company agrees to sell to the Underwriters, the Guarantors agree to guarantee the
Securities and the Underwriters agree, severally and not jointly, to purchase from the Company, at
a purchase price of 103% of the principal amount thereof, the respective principal amounts of
Securities set forth opposite the names of the Underwriters in Schedule&nbsp;B hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company will cause to be delivered against payment of the purchase price by the
Underwriters the Securities in the form of one or more permanent Global Securities in definitive
form (&#147;<B>Global Securities</B>&#148;) deposited with the Trustee as custodian for The Depository Trust Company
(&#147;<B>DTC</B>&#148;) and registered in the name of Cede &#038; Co., as nominee for DTC. Interests in any permanent
Global Securities will be held only in book-entry form through DTC, except in the limited
circumstances described in the Prospectus. Payment for the Securities shall be made by the
Underwriters in Federal (same day) funds by wire transfer to an account at a bank acceptable to the
Representatives drawn to the order of K. Hovnanian Enterprises, Inc. or as the Company specifies at
the office of Davis Polk &#038; Wardwell LLP at 10:00&nbsp;A.M., (New York time), on May&nbsp;4, 2011, or at such
other time not later than three full business days thereafter as the Representatives and the
Company determine, such time being herein referred to as the &#147;<B>Closing Date</B>,&#148; against delivery to
the Trustee as custodian for DTC of the Global Securities representing all of the Securities. The
Global Securities will be made available for checking at the above office of Davis Polk &#038; Wardwell
LLP at least 24 hours prior to the Closing Date.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;<I>Offering by Underwriters</I>. (a)&nbsp;It is understood that the several Underwriters propose to
offer the Securities for sale to the public as set forth in the Prospectus.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Underwriter, severally and not jointly, represents and warrants to the Company
and the Guarantors that, in relation to each Member State of the European Economic Area
which has implemented the Prospectus Directive (each, a &#147;<B>Relevant Member State</B>&#148;), with
effect from and including the date on which the Prospectus Directive is implemented in that
Relevant Member State (the &#147;<B>Relevant Implementation Date</B>&#148;) it has not made and will not make
an offer of Securities to the public in that Relevant Member State prior to the publication
of a prospectus in relation to the Securities which has been approved by the competent
authority in that Relevant Member State or, where appropriate, approved in another Relevant
Member State and notified to the competent authority in that Relevant Member State, all in
accordance with the Prospectus Directive, except that it may, with effect from and including
the Relevant Implementation Date, make an offer of Securities to the public in that Relevant
Member State at any time: (A)&nbsp;to any legal entity which is a qualified investor as defined
in the Prospectus Directive; (B)&nbsp;to fewer than 100 or, if the Relevant Member State has
implemented the relevant provision of the 2010 PD Amending Directive, 150, natural or legal
persons (other than qualified investors as defined in the Prospectus Directive), as
permitted under the Prospectus Directive, subject to obtaining the prior consent of the
Representatives for any such offer; or (C)&nbsp;in any other circumstances falling within Article
3(2) of the Prospectus Directive, <I>provided </I>that no such offer of Securities shall require
the Company or any Underwriter to publish a prospectus pursuant to Article&nbsp;3 of the
Prospectus Directive. For the purposes of this provision, the expression an &#147;offer of
Securities to the public&#148; in relation to any Securities in any Relevant Member State means
the communication in any form and by any means of sufficient information on the terms of the
offer and the Securities to be offered so as to enable an investor to decide to purchase or
subscribe for the Securities, as the same may be varied in that Member State by any measure
implementing the Prospectus Directive in that Member State, the expression &#147;Prospectus
Directive&#148; means Directive 2003/71/EC (and amendments thereto, including the 2010 PD
Amending Directive, to the extent implemented in the Relevant Member State), and includes
any relevant implementing measure in the Relevant Member State and the expression &#147;2010 PD
Amending Directive&#148; means Directive 2010/73/EU.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Underwriter, severally and not jointly, represents and warrants to the Company
and the Guarantors that: (i)&nbsp;it has only communicated or caused to be communicated and will
only communicate or cause to be communicated an invitation or inducement to engage in
investment activity (within the meaning of Section&nbsp;21 of the FSMA) received by it in
connection with the issue or sale of the Securities in circumstances in which Section&nbsp;21(1)
of the FSMA does not apply to the Company or the Guarantors; and (ii)&nbsp;it has complied and
will comply with all applicable provisions of the FSMA with respect to anything done by it
in relation to the Securities in, from or otherwise involving the United Kingdom. For
purposes of this provision, &#147;FSMA&#148; means the Financial Services and Markets Act 2000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;<I>Certain Agreements of the Company and Hovnanian</I>. The Company and Hovnanian agree with the
several Underwriters that:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Hovnanian will file the Prospectus with the Commission pursuant to and in
accordance with subparagraph (2)&nbsp;of Rule 424(b) under the Act not later than the second
business day following the execution and delivery of this Agreement) (or, if applicable,
subparagraph (5)) and will file any Issuer Free Writing Prospectus pursuant to and in
accordance with Rule&nbsp;433 under the Act within the required time period. The Company or
Hovnanian will advise the Representatives promptly of any such filing pursuant to Rule
424(b) or 433 under the Act.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company or Hovnanian will advise the Representatives promptly of any proposal
to amend or supplement the Registration Statement, Time of Sale Information or the
Prospectus and will not effect such amendment or supplement without the Representatives&#146;
consent (such consent not to be unreasonably withheld); and the Company or Hovnanian will
also advise the Representatives promptly of the effectiveness of any amendment or supplement
of the Registration Statement, Time of Sale Information or the Prospectus and of the
institution by the Commission of any stop order proceedings in respect of the Registration
Statement, as it may be amended or supplemented, proceeding under Section&nbsp;8A of the Act,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">and
will use its reasonable best efforts to prevent the issuance of any such stop order or
objection and to obtain as soon as possible its lifting or withdrawal, if issued.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Before preparing, using, authorizing, approving, referring to or filing any Issuer
Free Writing Prospectus, and before filing any amendment or supplement to the Registration
Statement or the Prospectus, whether before or after the time that the Registration
Statement becomes effective, the Company will furnish to the Representatives and counsel for
the Underwriters a copy of the proposed Issuer Free Writing Prospectus, amendment or
supplement for review and will not prepare, use, authorize, approve, refer to or file any
such Issuer Free Writing Prospectus or file any such proposed amendment or supplement to
which the Representatives reasonably object.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If, at any time when a prospectus relating to the Securities is required to be (or
but for the exemption in Rule&nbsp;172 under the Act would be required to be) delivered under the
Act in connection with sales by any Underwriter or dealer, any event occurs as a result of
which the Time of Sale Information, Prospectus or any Free Writing Prospectus as then
amended or supplemented would include an untrue statement of a material fact or omit to
state any material fact necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading, or if it is necessary at any time
to amend the Time of Sale Information, Prospectus or any Free Writing Prospectus to comply
with the Act, the Company or Hovnanian will promptly notify the Representatives of such
event and will promptly prepare and file with the Commission, at the Company&#146;s or
Hovnanian&#146;s own expense, an amendment or supplement that will correct such statement or
omission or an amendment that will effect such compliance. Neither the Representatives&#146;
consent to, nor the Underwriters&#146; delivery of, any such amendment or supplement shall
constitute a waiver of any of the conditions set forth in Section&nbsp;7 hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) As soon as practicable, but not later than the Availability Date (as defined
below), the Company will make generally available to its securityholders an earnings
statement (which need not be audited) covering a period of at least 12&nbsp;months beginning
after the Effective Date that will satisfy the provisions of Section 11(a) of the Act. For
the purpose of the preceding sentence, &#147;<B>Availability Date</B>&#148; means the 40th day after the end
of the fourth fiscal quarter following the fiscal quarter that includes such Effective Date,
except that, if such fourth fiscal quarter is the last quarter of the Hovnanian&#146;s fiscal
year, &#147;<B>Availability Date</B>&#148; means the 75th day after the end of such fourth fiscal quarter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Company or Hovnanian will furnish to the Representatives copies of the
Registration Statement (one of which will be signed and will include all exhibits), if
requested by the Representatives, each related Preliminary Prospectus, and, so long as a
prospectus relating to the Securities is required to be delivered under the Act in
connection with sales by any Underwriter or dealer, the Prospectus and all amendments and
supplements to such documents and each Free Writing Prospectus, in each case in such
quantities as the Representatives reasonably request. The Prospectus shall be so furnished
as soon as practicable but in no event later than the second business day following the
execution and delivery of this Agreement. All other documents shall be so furnished as soon
as available. The Company will pay the expenses of printing and distributing to the
Underwriters all such documents.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Company will cooperate with the Underwriters and counsel to the Underwriters in
connection with the qualification of the Securities for sale and the determination of their
eligibility for investment under the laws of such jurisdictions as the Representatives
designate and will continue such qualifications in effect so long as required for the
distribution; <I>provided, however, </I>that neither the Company nor any Guarantor shall
be required in connection therewith to qualify as a foreign corporation in any jurisdiction
in which it is not now so qualified or to take any action that would subject it to general
consent to service of process or taxation other than as to matters and transactions relating
to the Registration Statement and the Prospectus, in any jurisdiction in which it is not now
so subject.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) So long as any Securities remain outstanding, the Company or Hovnanian will furnish
to the Representatives and, upon request, to each of the other Underwriters, if any, as soon
as practicable after the end of each fiscal year, a copy of the annual report to
stockholders for such year; and so long as any Securities remain outstanding, the Company or
Hovnanian will furnish to the Representatives (i)&nbsp;during
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">any period in which the Company and
the Guarantors are not subject to Section&nbsp;13 or 15(d) of the 1934 Act, as soon as
practicable, a copy of each report and any definitive proxy statement of Hovnanian filed
with the
Commission under the 1934 Act or mailed to stockholders, and (ii)&nbsp;from time to time, such
other information concerning the Company or Hovnanian as the Representatives may reasonably
request.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company or Hovnanian will pay or cause to be paid all expenses incident to the
performance of the obligations of the Company and the Guarantors under this Agreement and
the Transaction Documents, including any filing fees and other expenses (including fees and
disbursements of counsel to the Company and the Guarantors) incurred in connection with
qualification of the Securities for sale under the securities or blue sky laws of the
various states, the fees and expenses of the Collateral Agent (as defined in the Indenture)
and its professional advisers, any costs relating to the creation or perfection of the liens
under the Security Documents (including, to the extent that counsel paid by the Purchasers
performs work in connection with such creation or perfection of liens, the fees,
disbursements and expenses of such counsel in an amount not in excess of $50,000), any fees
charged by investment rating agencies for the rating of the Securities, any travel expenses
of the Company&#146;s or any Guarantor&#146;s officers and employees and any other expenses of the
Company or the Guarantors in connection with attending or hosting meetings with prospective
purchasers of the Securities and expenses incurred in distributing the Prospectus, any Free
Writing Prospectus and any Time of Sale Information (including any amendments and
supplements thereto) to the Underwriters.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) During the period beginning on the date hereof and continuing to and including the
date 10&nbsp;days following the Closing Date, not to offer, sell, contract to sell or otherwise
transfer or dispose of any debt securities of the Company or any Guarantor or any warrants,
rights or options to purchase or otherwise acquire debt securities of the Company or any
Guarantor substantially similar to the Securities and the Guarantees (other than (A)&nbsp;the
Securities and the Guarantees or (B)&nbsp;debt facilities or commercial paper issued in the
ordinary course of business), without the prior written consent of Credit Suisse Securities
(USA)&nbsp;LLC.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Company will, pursuant to reasonable procedures developed in good faith, retain
copies of each Issuer Free Writing Prospectus that is not filed with the Commission in
accordance with Rule&nbsp;433 under the Act.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) To deliver, or cause to be delivered, within the time period set forth in the
Indenture, any Security Document required pursuant to the Transaction Documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;<I>Certain Agreements of the Underwriters</I>. Each Underwriter hereby represents and agrees that:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) It has not and will not use, authorize use of, refer to, or participate in the
planning for use of, any &#147;free writing prospectus&#148;, as defined in Rule&nbsp;405 under the Act
(which term includes use of any written information furnished to the Commission by the
Company and not incorporated by reference into the Registration Statement and any press
release issued by the Company) other than (i)&nbsp;a free writing prospectus that contains no
&#147;issuer information&#148; (as defined in Rule&nbsp;433(h)(2) under the Act) that was not included
(including through incorporation by reference) in the Preliminary Prospectus or a previously
filed Issuer Free Writing Prospectus, (ii)&nbsp;any Issuer Free Writing Prospectus listed on
Annex A or prepared pursuant to Section 2(e) or Section 5(d) above, or (iii)&nbsp;any free
writing prospectus prepared by such underwriter and approved by the Company in advance in
writing (each such free writing prospectus referred to in clauses (i)&nbsp;or (iii), an
&#147;Underwriter Free Writing Prospectus&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) It has not and will not distribute any Underwriter Free Writing Prospectus referred
to in clause (a)(i) in a manner reasonably designed to lead to its broad unrestricted
dissemination.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) It has not and will not, without the prior written consent of the Company, use any
free writing prospectus that contains the final terms of the Securities unless such terms
have previously been included in a free writing prospectus filed with the Commission;
<I>provided </I>that Underwriters may use a term sheet substantially in the form of Annex B hereto
without the consent of the Company; <I>provided further </I>that any
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">Underwriter using such term
sheet shall notify the Company, and provide a copy of such term sheet to the Company, prior
to, or substantially concurrently with, the first use of such term sheet.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) It is not subject to any pending proceeding under Section&nbsp;8A of the Act with
respect to the offering (and will promptly notify the Company if any such proceeding against
it is initiated during the Prospectus Delivery Period).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;<I>Conditions of the Obligations of the Underwriters</I>. The obligations of the several
Underwriters to purchase and pay for the Securities on the Closing Date will be subject to the
accuracy when made and on the Closing Date of the representations and warranties on the part of the
Company and Hovnanian herein, to the accuracy of the statements of the Company and Guarantor
officers made pursuant to the provisions hereof, to the performance by the Company and each
Guarantor in all material respects of its respective obligations hereunder and to the following
additional conditions precedent:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Representatives shall have received, on the date hereof and on the Closing
Date, a letter dated such date, in form and substance satisfactory to you, from each of
Deloitte &#038; Touche LLP and Ernst &#038; Young LLP, each an independent registered public
accounting firm with respect to Hovnanian, containing the information and statements of the
type ordinarily included in accountants&#146; &#147;comfort letters&#148; to underwriters with respect to
the financial statements and certain financial information contained in or incorporated by
reference into the Registration Statement, the Prospectus and the Time of Sale Information.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Prospectus shall have been filed with the Commission in accordance with the
Rules and Regulations and Section 5(a) hereof. No stop order suspending the effectiveness
of the Registration Statement shall have been issued and no proceedings for that purpose or
pursuant to Section&nbsp;8A under the Act shall have been instituted or, to the knowledge of the
Company, Hovnanian or any Underwriter, shall be contemplated by the Commission.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subsequent to the execution and delivery of this Agreement, there shall not have
occurred (i)&nbsp;any change, or any development or event involving a prospective change, in the
condition (financial or other), business, properties or results of operations of Hovnanian
and its subsidiaries taken as one enterprise that, in the reasonable judgment of a majority
in interest of the Underwriters including the Representatives, is material and adverse and
makes it impractical or inadvisable to proceed with completion of the public offering or the
sale of and payment for the Securities; (ii)&nbsp;any downgrading in the rating of any debt
securities of Hovnanian or the Company by any &#147;nationally recognized statistical rating
organization&#148; (as defined in Section&nbsp;3(a)(62) of the 1934 Act), or any public announcement
that any such organization has under surveillance or review its rating of any debt
securities of Hovnanian or the Company (other than an announcement with positive
implications of a possible upgrading, and no implication of a possible downgrading, of such
rating) or any announcement that Hovnanian or the Company has been placed on negative
outlook; (iii)&nbsp;any change in U.S. or international financial, political or economic
conditions or currency exchange rates or exchange controls as would, in the reasonable
judgment of a majority in interest of the Underwriters including the Representatives, be
likely to prejudice materially the success of the proposed issue, sale or distribution of
the Securities, whether in the primary market or in respect of dealings in the secondary
market; (iv)&nbsp;any material suspension or material limitation of trading in securities
generally on the New York Stock Exchange, or any setting of minimum prices for trading on
such exchange, or any suspension of trading of any securities of Hovnanian or the Company on
any exchange or in the over-the-counter market; (v)&nbsp;any banking moratorium declared by U.S.
Federal or New York authorities; (vi)&nbsp;any major disruption of settlements of securities or
clearance services in the United States if, in the reasonable judgment of a majority in
interest of the Underwriters including the Representatives, the effect of such disruption
makes it impractical or inadvisable to proceed with completion of the public offering or the
sale of and payment for the Securities; or (vii)&nbsp;any attack on, outbreak or escalation of
hostilities or act of terrorism involving, the United States, any declaration of war by
Congress or any other national or international calamity or emergency if, in the reasonable
judgment of a majority in interest of the Underwriters including the Representatives, the
effect of any such attack, outbreak, escalation, act, declaration, calamity or emergency
makes it impractical or inadvisable to proceed with completion of the public offering or the
sale of and payment for the Securities.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Representatives shall have received an opinion of Peter S. Reinhart, Esq.,
Senior Vice President and General Counsel of the Company, dated the Closing Date,
substantially to the effect as set forth in Exhibit&nbsp;A.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Representatives shall have received an opinion and a negative assurance
statement, dated the Closing Date, of Simpson Thacher &#038; Bartlett LLP, counsel for the
Company, substantially to the effect as set forth in Exhibits B-1 and B-2, respectively.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Representatives shall have received from Davis Polk &#038; Wardwell LLP, counsel for
the Underwriters, an opinion, dated the Closing Date, in form and substance reasonably
satisfactory to the Underwriters.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Representatives shall have received a certificate, dated the Closing Date and
signed by J. Larry Sorsby, in his capacity as Executive Vice President and Chief Financial
Officer of Hovnanian, (i)&nbsp;confirming the matters set forth in Sections&nbsp;2(bb),
2(cc) and 2(dd), (ii)&nbsp;confirming that all the representations and warranties of the Company,
Hovnanian and its subsidiaries herein contained are true and correct on the Closing Date
with the same force and effect as if made on and as of the Closing Date (iii)&nbsp;that, in all
material respects, the Company and Hovnanian have complied with all of the agreements and
satisfied all of the conditions herein contained and required to be complied with or
satisfied by the Company and Hovnanian on or prior to the Closing Date, (iv)&nbsp;to his
knowledge, no stop order suspending the effectiveness of the Registration Statement has been
issued and no proceedings for that purpose or pursuant to Section&nbsp;8A under the Act have been
instituted or are contemplated by the Commission.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Representatives shall have received such evidence as they may reasonably
require of the effectiveness of the security contemplated by the Security Documents and the
perfection of the security interest created thereby.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Representatives shall have received a counterpart, conformed as executed, of
the First Supplemental Indenture which shall have been entered into by the Company,
Hovnanian, the other Guarantors and the Trustee.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company will furnish the Representatives with such conformed copies of such opinions,
certificates, letters and documents as the Representatives reasonably request. The Representatives
may in their sole discretion waive on behalf of the Underwriters compliance with any conditions to
the obligations of the Underwriters hereunder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;<I>Indemnification and Contribution</I>. (a)&nbsp;The Company and each of the Guarantors will jointly
and severally indemnify and hold harmless each Underwriter, its partners, directors and officers
and each person, if any, who controls any Underwriter within the meaning of Section&nbsp;15 of the Act,
against any losses, claims, damages or liabilities, joint or several, to which any Underwriter may
become subject, under the Act or the 1934 Act or otherwise, insofar as such losses, claims, damages
or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement
or alleged untrue statement of any material fact contained in the Registration Statement, the
Prospectus, or any amendment or supplement thereto, any Issuer Free Writing Prospectus or any Time
of Sale Information, or arise out of or are based upon the omission or the alleged omission to
state therein a material fact required to be stated therein or necessary in order to make the
statements therein (in the case of the Prospectus, any Issuer Free Writing Prospectus or any Time
of Sale Information, in the light of the circumstances under which they were made) not misleading,
and will reimburse each Underwriter for any legal or other expenses reasonably incurred by such
Underwriter in connection with investigating or defending any such loss, claim, damage, liability
or action as such expenses are incurred; <I>provided</I>, <I>however</I>, that the Company and the Guarantors
will not be liable in any such case to the extent that any such loss, claim, damage or liability
arises out of or is based upon an untrue statement or alleged untrue statement in or omission or
alleged omission from any of such documents made in reliance upon and in conformity with written
information furnished to the Company or Hovnanian by any Underwriter through the Representatives
specifically for use therein, it being understood and agreed that the only such information
furnished by any Underwriter through the Representatives consists of the information described as
such in Section 8(b) hereof.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Each Underwriter will severally and not jointly indemnify and hold harmless the Company,
each Guarantor, their respective directors and officers and each person, if any, who controls the
Company or any Guarantor within the meaning of Section&nbsp;15 of the Act, against any losses, claims,
damages or liabilities to which the Company or the Guarantors may become subject, under the Act or
the 1934 Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in
respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of
any material fact contained in the Registration Statement, the Prospectus, or any amendment or
supplement thereto, any Issuer Free Writing Prospectus or any Time of Sale Information, or arise
out of or are based upon the omission or the alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein (in the case of the
Prospectus, any Issuer Free Writing Prospectus or any Time of Sale Information, in the light of the
circumstances under which they were made) not misleading, in each case to the extent, but only to
the extent, that such untrue statement or alleged untrue statement or omission or alleged omission
was made in reliance upon and in conformity with written information furnished to the Company or
Hovnanian by such Underwriter through the Representatives specifically for use therein, and will
reimburse any legal or other expenses reasonably incurred by the Company in connection with
investigating or defending any such loss, claim, damage, liability or action as such expenses are
incurred, it being understood and agreed that the only such information furnished by any
Underwriter through the Representatives consists of the following information in the Prospectus:
the third paragraph, the first and second sentences of the fifth paragraph, the ninth paragraph and
the tenth paragraph under the caption &#147;Underwriting&#148;; <I>provided, however</I>, that the Underwriters
shall not be liable for any losses, claims, damages or liabilities arising out of or based upon the
Company&#146;s or Hovnanian&#146;s failure to perform its obligations under Section 5(f) of this Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Promptly after receipt by an indemnified party under this Section of notice of the
commencement of any action, such indemnified party will, if a claim in respect thereof is to be
made against the indemnifying party under Section 8(a) or 8(b) hereof, notify the indemnifying
party of the commencement thereof; but the failure to notify the indemnifying party shall not
relieve it from any liability that it may have under Section 8(a) or 8(b) hereof except to the
extent that it has been materially prejudiced (through the forfeiture of substantive rights or
defenses) by such failure; and <I>provided further </I>that the failure to notify the indemnifying party
shall not relieve it from any liability that it may have to an indemnified party otherwise than
under Section 8(a) or 8(b) hereof. In case any such action is brought against any indemnified party
and it notifies the indemnifying party of the commencement thereof, the indemnifying party will be
entitled to participate therein and, to the extent that it may wish, jointly with any other
indemnifying party similarly notified, to assume the defense thereof, with counsel satisfactory to
such indemnified party (who shall not, except with the consent of the indemnified party, be counsel
to the indemnifying party), and after notice from the indemnifying party to such indemnified party
of its election so to assume the defense thereof, the indemnifying party will not be liable to such
indemnified party under this Section, for any legal or other expenses subsequently incurred by such
indemnified party in connection with the defense thereof other than reasonable costs of
investigation. No indemnifying party shall, without the prior written consent of the indemnified
party, effect any settlement of any pending or threatened action in respect of which any
indemnified party is or could have been a party and indemnity could have been sought hereunder by
such indemnified party unless such settlement (i)&nbsp;includes an unconditional release of such
indemnified party from all liability on any claims that are the subject matter of such action and
(ii)&nbsp;does not include a statement as to, or an admission of, fault, culpability or a failure to act
by or on behalf of any indemnified party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;If the indemnification provided for in this Section&nbsp;8 is unavailable or insufficient to
hold harmless an indemnified party under Section 8(a) or 8(b) hereof, then each indemnifying party
shall contribute to the amount paid or payable by such indemnified party as a result of the losses,
claims, damages or liabilities referred to in Section 8(a) or 8(b) hereof (i)&nbsp;in such proportion as
is appropriate to reflect the relative benefits received by the Company and the Guarantors on the
one hand and the Underwriters on the other from the offering of the Securities or (ii)&nbsp;if the
allocation provided by clause (i)&nbsp;above is not permitted by applicable law, in such proportion as
is appropriate to reflect not only the relative benefits referred to in clause (i)&nbsp;above but also
the relative fault of the Company and the Guarantors on the one hand and the Underwriters on the
other in connection with the statements or omissions that resulted in such losses, claims, damages
or liabilities as well as any other relevant equitable considerations. The relative benefits
received by the Company and the Guarantors on the one hand and the Underwriters on the other shall
be deemed to be in the same proportion as the total net proceeds from the offering (before
deducting expenses) received by the Company and the Guarantors bear to the total underwriting
discounts
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">and commissions received by
the Underwriters from the Company under this Agreement. The relative fault shall be determined
by reference to, among other things, whether the untrue or alleged untrue statement of a material
fact or the omission or alleged omission to state a material fact relates to information supplied
by the Company and the Guarantors or the Underwriters and the parties&#146; relative intent, knowledge,
access to information and opportunity to correct or prevent such untrue statement or omission. The
amount paid by an indemnified party as a result of the losses, claims, damages or liabilities
referred to in the first sentence of this Section 8(d) shall be deemed to include any legal or
other expenses reasonably incurred by such indemnified party in connection with investigating or
defending any action or claim that is the subject of this Section&nbsp;8(d). Notwithstanding the
provisions of this Section&nbsp;8(d), no Underwriter shall be required to contribute any amount in
excess of the amount by which the total price at which the Securities underwritten by it and
distributed to the public were offered to the public exceeds the amount of any damages that such
Underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement
or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Act) shall be entitled to contribution from any person who was not
guilty of such fraudulent misrepresentation. The Underwriters&#146; obligations in this Section 8(d) to
contribute are several in proportion to their respective underwriting obligations and not joint.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;The obligations of the Company and the Guarantors under this Section&nbsp;8 shall be in
addition to any liability that the Company and the Guarantors may otherwise have and shall extend,
upon the same terms and conditions, to each person, if any, who controls any Underwriter within the
meaning of the Act; and the obligations of the Underwriters under this Section&nbsp;8 shall be in
addition to any liability that the respective Underwriters may otherwise have and shall extend,
upon the same terms and conditions, to each director and officer of the Company and each Guarantor
and to each person, if any, who controls the Company or any Guarantor within the meaning of the Act
or the 1934 Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;<I>Default of Underwriters</I>. If any Underwriter or Underwriters default(s) in its or their
obligations to purchase Securities hereunder on the Closing Date and the aggregate principal amount
of Securities that such defaulting Underwriter or Underwriters agreed but failed to purchase does
not exceed 10% of the aggregate principal amount of Securities that the Underwriters are obligated
to purchase on the Closing Date, the Representatives may make arrangements satisfactory to the
Company for the purchase of such Securities by other persons, including any of the Underwriters,
but if no such arrangements are made by the Closing Date, the non-defaulting Underwriters shall be
obligated severally, in proportion to their respective commitments hereunder, to purchase the
Securities that such defaulting Underwriter or Underwriters agreed but failed to purchase on the
Closing Date. If any Underwriter or Underwriters so default(s) and the aggregate principal amount
of Securities with respect to which such default or defaults occur(s) exceeds 10% of the aggregate
principal amount of Securities that the Underwriters are obligated to purchase on the Closing Date
and arrangements satisfactory to the Representatives, the Company and Hovnanian for the purchase of
such Securities by other persons are not made within 48 hours after such default, this Agreement
will terminate without liability on the part of any non-defaulting Underwriter, the Company and
Hovnanian, except as provided in Section&nbsp;10 hereof. As used in this Agreement, the term
&#147;Underwriter&#148; includes any person substituted for an Underwriter under this Section. Nothing herein
will relieve a defaulting Underwriter from liability for its default.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;<I>Survival of Certain Representations and Obligations</I>. The respective
indemnities, contribution agreements, representations, warranties and other statements of the
Company, Hovnanian and the several Underwriters set forth in or made pursuant to this Agreement
shall remain operative and in full force and effect, and will survive delivery of and payment for
the Securities, regardless of (i)&nbsp;any investigation, or statement as to the results thereof, made
by or on behalf of any Underwriter, the officers or directors of any Underwriter, any person
controlling any Underwriter, the Company or Hovnanian, the officers or directors of the Company or
Hovnanian or any person controlling the Company or Hovnanian, (ii)&nbsp;acceptance of and payment for
the Securities hereunder and (iii)&nbsp;termination of this Agreement. If for any reason the Securities
are not delivered by or on behalf of the Company as provided herein (other than as a result of any
termination of this Agreement pursuant to Section&nbsp;7(c)(iii), (iv) (only to the extent there is a
material suspension or material limitation of trading of securities generally on the New York Stock
Exchange or any setting of minimum prices for trading on such exchange), (v), (iv)&nbsp;or (vii)), the
Company and Hovnanian, jointly and severally, agree to reimburse the several Underwriters for all
out-of-pocket expenses (including the fees and disbursements of counsel) incurred by them.
Notwithstanding any termination of this Agreement, the Company and Hovnanian, jointly and
severally, shall be liable for all expenses
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">which they have agreed to pay pursuant to Section 5(i)
hereof. The Company and Hovnanian, jointly and severally, also agree to
reimburse the several Underwriters, their directors and officers and any persons controlling
any of the Underwriters for any and all fees and expenses (including, without limitation, the fees
disbursements of counsel) incurred by them in connection with enforcing their rights hereunder
(including, without limitation, their rights under Section&nbsp;8 hereof).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.&nbsp;<I>Arm&#146;s Length Relationship; No Fiduciary Duty</I>. The Company acknowledges and agrees that
the Representatives are acting solely in the capacity of arm&#146;s length contractual counterparties to
the Company with respect to the Securities (including in connection with determining the terms of
the offering contemplated by this Agreement) and not as a financial advisor, agent or fiduciary to
the Company or any other person. Additionally, the Representatives are not advising the Company or
any other person as to any legal, tax, investment, accounting or regulatory matters in any
jurisdiction. The Company shall consult with its own advisors concerning such matters and shall be
responsible for making their own independent investigation and appraisal of the transactions
contemplated by this Agreement, and the Representatives shall have no responsibility or liability
to the Company with respect thereto. Any review by the Representatives of the Company, the
transactions contemplated by this Agreement or other matters relating to such transactions will be
performed solely for the benefit of the Representatives and shall not be on behalf of the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.&nbsp;<I>Notices</I>. All communications hereunder will be in writing and, if sent to the Underwriters,
will be mailed, delivered or telegraphed and confirmed to the Representatives c/o Credit Suisse
Securities (USA)&nbsp;LLC, Eleven Madison Avenue, New York, New York 10010-3629, fax no. 212-325-8278
and confirmation number 212-538-0661, Attention: Transactions Advisory Group, or, if sent to the
Company or any Guarantor, will be mailed, delivered or telegraphed and confirmed to Hovnanian
Enterprises, Inc., 110 West Front Street, P.O. Box 500, Red Bank, New Jersey 07701, fax no.
732-747-6835 and confirmation number 732-747-7800, Attention: General Counsel; <I>provided, however</I>,
that any notice to an Underwriter pursuant to Section&nbsp;8 hereof will be mailed, delivered or
telegraphed and confirmed to such Underwriter as set forth in Exhibit&nbsp;C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.&nbsp;<I>Successors</I>. This Agreement will inure to the benefit of and be binding upon the parties
hereto and their respective successors and the officers and directors and controlling persons
referred to in Section&nbsp;8 hereof, and no other person will have any right or obligation hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.&nbsp;<I>Representation of Underwriters</I>. The Representatives will act for the several Underwriters
in connection with this financing, and any action under this Agreement taken by the Representatives
will be binding upon all the Underwriters.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.&nbsp;<I>Counterparts</I>. This Agreement may be executed in any number of counterparts, each of which
shall be deemed to be an original, but all such counterparts shall together constitute one and the
same Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>16.&nbsp;</B><B><I>Applicable Law</I></B><B>. This Agreement shall be governed by, and construed in accordance with, the
laws of the State of New York.</B>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the foregoing is in accordance with the Representatives&#146; understanding of our agreement,
kindly sign and return to the Company one of the counterparts hereof, whereupon it will become a
binding agreement between the Company, Hovnanian, the other Guarantors and the several Underwriters
in accordance with its terms.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Very truly yours,
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">K. HOVNANIAN ENTERPRISES, INC.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left" nowrap>By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">Vice President Finance
and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">HOVNANIAN ENTERPRISES, INC.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD align="left">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">Vice President Finance
and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">On behalf of each entity named in<BR>
Schedule&nbsp;A hereto<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD align="left">By&nbsp;&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">Vice President Finance
and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;<I>Signature page to Underwriting Agreement</I>&#093;
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The foregoing Underwriting Agreement is hereby confirmed<BR>
and accepted as of the date first above written.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">By: CREDIT SUISSE SECURITIES (USA)&nbsp;LLC
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="63%">&nbsp;</TD>
</TR>
<TR>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Eric Anderson
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">Eric Anderson&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD colspan="0" align="left">Vice Chairman&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;<I>Signature page to Underwriting Agreement</I>&#093;
</DIV>






<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE A</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Guarantors</B>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">AUDDIE ENTERPRISES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">BUILDER SERVICES NJ, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">BUILDER SERVICES NY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">BUILDER SERVICES PA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">DULLES COPPERMINE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">EASTERN NATIONAL TITLE AGENCY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">EASTERN TITLE AGENCY, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">F&#038;W MECHANICAL SERVICES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">FOUNDERS TITLE AGENCY OF MARYLAND, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">FOUNDERS TITLE AGENCY, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">GOVERNOR&#146;S ABSTRACT CO., INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOMEBUYERS FINANCIAL SERVICES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN DEVELOPMENTS OF FLORIDA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF CALIFORNIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF FLORIDA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF GEORGIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF MARYLAND, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF NEW JERSEY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF NORTH CAROLINA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF TEXAS LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP OF VIRGINIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN LAND INVESTMENT GROUP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOV INTERNATIONAL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOV IP, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOV IP, II, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN ACQUISITIONS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT 4S, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ACQUA VISTA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ALISO, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ALLENTOWN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ALMOND ESTATES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ANDALUSIA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ARBOR HEIGHTS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT AVENUE ONE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BAKERSFIELD 463, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BARNEGAT I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BARNEGAT II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BELLA LAGO, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BENSALEM, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BERKELEY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BERNARDS V, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BLUE HERON PINES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BRANCHBURG, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BRIDGEPORT, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BRIDGEWATER I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT BROAD AND WALNUT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CALABRIA, INC.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CAMDEN I, L.L.C.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CAMERON CHASE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CAMP HILL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CAPISTRANO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CARLSBAD, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CARMEL DEL MAR, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CARMEL VILLAGE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CASTILE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CEDAR GROVE III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CEDAR GROVE V, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CHAPARRAL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CHARTER WAY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CHESTER I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CHESTERFIELD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CIELO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CLIFTON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT COASTLINE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CORTEZ HILL, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CRANBURY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CRESTLINE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT CURRIES WOODS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT DENVILLE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT DEPTFORD TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT DOMINGUEZ HILLS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT DOVER, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EAST BRANDYWINE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EASTLAKE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EDGEWATER II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EDGEWATER, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EGG HARBOR TOWNSHIP II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EGG HARBOR TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EL DORADO RANCH II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EL DORADO RANCH, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ELK TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ENCINITAS RANCH, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EVERGREEN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EWING, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT EWING II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FAIR OAKS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FIDDYMENT RANCH, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FIFTH AVENUE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FLORENCE I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FLORENCE II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FOREST MEADOWS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FRANKLIN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FRANKLIN II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FREEHOLD TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT FRESNO, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT GASLAMP SQUARE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT GILROY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT GREAT NOTCH, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT GRIDLEY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT GUTTENBERG, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HACKETTSTOWN II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HAMBURG CONTRACTORS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HAMBURG, L.L.C.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HAWTHORNE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HAZLET, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HERSHEY&#146;S MILL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HIGHLAND SHORES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HIGHLAND VINEYARDS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HILLTOP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HOWELL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT HUDSON POINTE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT JACKSON I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT JACKSON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT JAEGER RANCH, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT JERSEY CITY IV, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT JERSEY CITY V URBAN RENEWAL COMPANY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT KEYPORT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT KING FARM, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA COSTA GREENS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA COSTA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA HABRA KNOLLS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA LAGUNA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA PAZ, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LA TERRAZA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LAFAYETTE ESTATES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LAKE RANCHO VIEJO, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LAKE TERRAPIN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LANDMARK, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LARKSPUR, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LAWRENCE V, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LEE SQUARE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LINWOOD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LITTLE EGG HARBOR CONTRACTORS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LITTLE EGG HARBOR III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LITTLE EGG HARBOR TOWNSHIP II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LITTLE EGG HARBOR, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LIVE OAK II, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LONG BRANCH I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MAKEFIELD TOWNSHIP I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MORELAND I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MORELAND II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT LOWER MORELAND III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MACUNGIE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MAHWAH VI, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MALAN PARK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MANALAPAN III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MANSFIELD I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MANSFIELD II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MANSFIELD III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MANTECA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MAPLE AVENUE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MARLBORO TOWNSHIP IX, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MARLBORO TOWNSHIP V, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MARLBORO TOWNSHIP VIII, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MARLBORO VI, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MARLBORO VII, L.L.C.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MATSU, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MELANIE MEADOWS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MENDHAM TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MENIFEE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MIDDLE TOWNSHIP II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MIDDLE TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MIDDLETOWN II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MILLVILLE I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MILLVILLE II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MONROE II, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MONROE IV, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MONROE NJ, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MONTVALE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MONTVALE II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MOSAIC, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MT. OLIVE TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT MUIRFIELD, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NEW BRUNSWICK URBAN RENEWAL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NEW WINDSOR, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH BERGEN. L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH BRUNSWICK VI, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH CALDWELL II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH CALDWELL III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH CALDWELL IV, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH CALDWELL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH HALEDON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTH WILDWOOD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTHAMPTON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTHERN WESTCHESTER, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTHFIELD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT NORTHLAKE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT OCEAN TOWNSHIP, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT OCEAN WALK, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT OCEANPORT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT OLD BRIDGE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT OLDE ORCHARD, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PACIFIC BLUFFS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PARAMUS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PARK LANE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PARKSIDE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PARSIPPANY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PARSIPPANY-TROY HILLS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PERKIOMEN II, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PHILADELPHIA II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PHILADELPHIA III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PHILADELPHIA IV, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PIAZZA D&#146;ORO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PIAZZA SERENA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PITTSGROVE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL IV, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL V, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VI, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VII, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VIII, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT POSITANO, LLC
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT PRADO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RANCHO 79, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RANCHO CRISTIANITOS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RANCHO SANTA MARGARITA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RANDOLPH I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RAPHO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT READINGTON II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RED BANK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RIDGEMONT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RIVERBEND, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RIVERCREST, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT RODERUCK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ROSEMARY LANTANA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT ROWLAND HEIGHTS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SAGE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SAN SEVAINE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SANTA FE SPRINGS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SANTA NELLA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SARATOGA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SAWMILL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SAYREVILLE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SHELDON GROVE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SHREWSBURY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SCOTCH PLAINS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SIERRA ESTATES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SILVER SPRING, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SKYE ISLE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SMITHVILLE III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SMITHVILLE, INC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SOMERS POINT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SOUTH BRUNSWICK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SOUTH BRUNSWICK II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SPARTA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SPRINGCO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT STANTON, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT STATION SQUARE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT STONE CANYON, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SUNRIDGE PARK, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SUNSETS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT SYCAMORE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT TEANECK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THE CLIFFS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THE CROSBY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THE GABLES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THE MONARCH, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THE PRESERVE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THOMPSON RANCH, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT THORNBURY, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT TRAIL RIDGE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT TRENTON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT TROVATA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UNION TOWNSHIP I, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP III, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UPPER MAKEFIELD I, INC.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UPPER UWCHLAN II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT UPPER UWCHLAN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VAIL RANCH, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VALLE DEL SOL, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VERONA URBAN RENEWAL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VICTORVILLE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VINELAND, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT VISTA DEL SOL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WANAQUE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WARREN TOWNSHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WASHINGTON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WATERSTONE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WAYNE IX, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WAYNE, VIII, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WEST BRADFORD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WEST VIEW ESTATES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WEST WINDSOR, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WESTSHORE, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WHEELER RANCH, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WILDROSE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WILDWOOD BAYSIDE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WILLOW BROOK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WINCHESTER, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WOODCREEK WEST, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WOODHILL ESTATES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN AT WOOLWICH I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CAMBRIDGE HOMES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CENTRAL ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CLASSICS CIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CLASSICS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMMUNITIES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES METRO D.C. NORTH, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES NORTHEAST, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF CALIFORNIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF MARYLAND, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF NEW YORK, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF PENNSYLVANIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF SOUTHERN CALIFORNIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES OF VIRGINIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN COMPANIES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CONNECTICUT ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CONSTRUCTION II, INC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CONSTRUCTION III, INC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CONSTRUCTION MANAGEMENT, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN CRAFTBUILT HOMES OF SOUTH CAROLINA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DELAWARE ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF ARIZONA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF CALIFORNIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF CONNECTICUT, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF D.C., INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF DELAWARE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF GEORGIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF ILLINOIS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF INDIANA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF KENTUCKY, INC.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF MARYLAND, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF MICHIGAN, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF MINNESOTA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY II, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF NEW YORK, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF NORTH CAROLINA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF OHIO, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF PENNSYLVANIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF SOUTH CAROLINA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF TEXAS, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF VIRGINIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN DEVELOPMENTS OF WEST VIRGINIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN EASTERN PENNSYLVANIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN FIRST HOMES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN FLORIDA REALTY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN FOUR SEASONS @ HISTORIC VIRGINIA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN FOUR SEASONS AT GOLD HILL, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN GREAT WESTERN BUILDING COMPANY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN GREAT WESTERN HOMES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HAMPTONS AT OAK CREEK II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOLDINGS NJ, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES &#151; DFW, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT CAMERON STATION, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT CAMP SPRINGS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT FAIRWOOD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT FOREST RUN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT GREENWAY FARM PARK TOWNS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT GREENWAY FARM, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT JONES STATION 1, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT JONES STATION 2, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT MAXWELL PLACE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT PAYNE STREET, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT RENAISSANCE PLAZA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT RUSSETT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES AT THE HIGHLANDS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES NORTHERN CALIFORNIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF D.C., L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF DELAWARE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF GEORGIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF HOUSTON, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF INDIANA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF MARYLAND, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF MINNESOTA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF NORTH CAROLINA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF PENNSYLVANIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF SOUTH CAROLINA, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF VIRGINIA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN HOMES OF WEST VIRGINIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN LIBERTY ON BLUFF CREEK, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN NORTH CENTRAL ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN NORTH JERSEY ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN NORTHEAST SERVICES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN OF HOUSTON II, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN OHIO REALTY, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN OSTER HOMES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN PA REAL ESTATE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN PENNSYLVANIA ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN PORT IMPERIAL URBAN RENEWAL, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN PROPERTIES OF RED BANK, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SHORE ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SOUTH JERSEY ACQUISITIONS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SOUTHERN NEW JERSEY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN STANDING ENTITY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOLDINGS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOMES OF KENTUCKY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOMES OF MICHIGAN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOMES OF PENNSYLVANIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOMES OF WEST VIRGINIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN SUMMIT HOMES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN T&#038;C HOMES AT FLORIDA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN T&#038;C HOMES AT ILLINOIS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN T&#038;C INVESTMENT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN T&#038;C MANAGEMENT CO., L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN TIMBRES AT ELM CREEK, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN VENTURE I, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN WINDWARD HOMES, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT ASHBURN VILLAGE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAILEY&#146;S GLENN, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAKERSFIELD, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BEAUMONT, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT CHARLOTTESVILLE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY CONDOMINIUM, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT HEMET, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND CONDOMINIUMS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT LOS BANOS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT MORENO VALLEY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT NEW KENT VINEYARDS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT PALM SPRINGS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RENAISSANCE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK II, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT ST. MARGARETS LANDING, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS AT VINT HILL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S FOUR SEASONS, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S PARKSIDE AT TOWNGATE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN&#146;S PRIVATE HOME PORTFOLIO, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KHIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">LANDARAMA, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">M&#038;M AT CHESTERFIELD, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">M&#038;M AT CRESCENT COURT, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">M&#038;M AT WEST ORANGE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">M&#038;M AT WHEATENA URBAN RENEWAL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MATZEL &#038; MUMFORD AT EGG HARBOR, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MATZEL &#038; MUMFORD AT SOUTH BOUND BROOK URBAN RENEWAL, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MCNJ, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF KENTUCKY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF MICHIGAN, L.L.C.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF PENNSYLVANIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF WEST VIRGINIA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">MMIP, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">NATOMAS CENTRAL NEIGHBORHOOD HOUSING, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">NEW LAND TITLE AGENCY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">PADDOCKS, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">PARK TITLE COMPANY, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">PINE AYR, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">RIDGEMORE UTILITY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">SEABROOK ACCUMULATION CORPORATION
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">STONEBROOK HOMES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">TERRAPIN REALTY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">THE HIGHLANDS CONDOMINIUMS AT METROSQUARE, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">THE MATZEL &#038; MUMFORD ORGANIZATION, INC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WASHINGTON HOMES AT COLUMBIA TOWN CENTER, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WASHINGTON HOMES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WESTMINSTER HOMES OF ALABAMA, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WESTMINSTER HOMES OF MISSISSIPPI, LLC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WESTMINSTER HOMES OF TENNESSEE, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WESTMINSTER HOMES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WH LAND I, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WH PROPERTIES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WH/PR LAND COMPANY, L.L.C.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WOODLAND LAKE CONDOMINIUMS AT BOWIE NEW TOWN, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE B</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amount of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD style="border-bottom: 1px solid #000000"><B>Underwriter</B>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Securities</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Credit Suisse Securities (USA)&nbsp;LLC</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">12,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Total</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">12,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-4.26
<SEQUENCE>3
<FILENAME>y91162exv4w26.htm
<DESCRIPTION>FX-4.26
<TEXT>
<HTML>
<HEAD>
<TITLE>exv4w26</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>EXHIBIT 4.26</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">FIRST SUPPLEMENTAL INDENTURE
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">dated as of May&nbsp;4, 2011
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">among
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN ENTERPRISES, INC.
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN ENTERPRISES, INC.
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">The Other Guarantors Party Hereto
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">and
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">WILMINGTON TRUST COMPANY
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">as Trustee
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="FONT-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">10&#8541;% Senior Secured Notes due 2016
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS FIRST SUPPLEMENTAL INDENTURE (this &#147;<B>First Supplemental Indenture</B>&#148;), entered into as of
May&nbsp;4, 2011 (the &#147;<B>Additional Securities Issue Date</B>&#148;), among K. Hovnanian Enterprises, Inc., a
California corporation (the &#147;<B>Issuer</B>&#148;), Hovnanian Enterprises, Inc. (the &#147;<B>Company</B>&#148;), each of the
other guarantors listed on Schedule&nbsp;I hereto (the &#147;<B>Subsidiary Guarantors</B>&#148; and, together with the
Company, the &#147;<B>Guarantors</B>&#148;) and Wilmington Trust Company, a Delaware banking corporation, as Trustee
(the &#147;<B>Trustee</B>&#148;).
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RECITALS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Issuer, the Company, the subsidiary guarantors party thereto and the Trustee
entered into an indenture, dated as of October&nbsp;20, 2009 (the &#147;<B>Indenture</B>&#148;), providing for the
issuance of the Issuer&#146;s 105/8% Senior Secured Notes due 2016 (the &#147;<B>Notes</B>&#148;),
initially in the aggregate principal amount of $785,000,000;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the issuance and sale of Additional Notes in the aggregate principal amount of
$12,000,000 (the &#147;<B>Additional Securities</B>&#148;) and the execution and delivery of this First Supplemental
Indenture have been authorized by resolutions adopted by the Board of Directors of the Issuer and
all things necessary to make this First Supplemental Indenture a valid agreement of the Issuer, in
accordance with its terms, have been done, and the Issuer has done all things necessary to make the
Additional Securities, when duly issued and executed by the Issuer and authenticated and delivered
by the Trustee, the valid obligations of the Issuer as hereinafter provided;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the guarantees of the Additional Securities and the execution and delivery of this
First Supplemental Indenture by the Company and the Subsidiary Guarantors have been duly authorized
by the Boards of Directors of the Company and such Subsidiary Guarantors (or the ultimate managing
member or sole member of such Subsidiary Guarantors, as applicable) and all things necessary to
make this First Supplemental Indenture a valid agreement of each Guarantor, in accordance with its
terms, have been done, and each Guarantor has done all things necessary to make the Guarantees of
the Additional Securities when duly issued and executed by each Guarantor and when the Additional
Securities have been authenticated and delivered by the Trustee, the valid obligation of such
Guarantor as hereinafter provided;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, Sections&nbsp;2.02 and 9.01 of the Indenture provide that the Issuer, the Company, the
Subsidiary Guarantors and the Trustee are authorized to execute and delivery this First
Supplemental Indenture to provide for the issuance of the Additional Securities without notice to
or the consent of any Holder;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Issuer and the Company have complied with all conditions precedent provided for
in the Indenture relating to this First Supplemental Indenture;
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Additional Securities and the Notes shall vote together and shall be treated as a
single class for all purposes under the Indenture (as supplemented by this First Supplemental
Indenture, including, without limitation, waivers, amendments, redemptions and offers to purchase);
and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the Issuer and the Company have requested that the Trustee execute and deliver this
First Supplemental Indenture.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>AGREEMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the Issuer, the
Company, the Subsidiary Guarantors and the Trustee mutually covenant and agree for the equal and
ratable benefit of the holders of the Additional Securities as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 1. Capitalized terms used herein and not otherwise defined herein are used
as defined in the Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 2. The following terms relating to the Additional Securities are hereby
established:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;The aggregate principal amount of the Additional Securities that may be authenticated and
delivered under this First Supplemental Indenture shall be $12,000,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;The issue price of the Additional Securities shall be 105.500% of the aggregate principal
amount of the Additional Securities plus accrued interest from April&nbsp;15, 2011 to the Additional
Securities Issue Date, and the issuance date of the Additional Securities shall be the Additional
Securities Issue Date. The date from which interest shall accrue on the Additional Securities
shall be April&nbsp;15, 2011.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;The Additional Securities shall have the other terms set forth in the form of global note
attached hereto as Exhibit&nbsp;A and shall be issued as one or more Global Notes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;The Additional Securities shall be considered Additional Notes issued pursuant to Section
2.02 of the Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 3. The Additional Securities and the Trustee&#146;s certificate of authentication
shall be substantially in the form of Exhibit&nbsp;A attached hereto. The Additional Securities shall
be executed on behalf of each of the Issuer, the Company and the Subsidiary Guarantors and
authenticated by the Trustee pursuant to Section&nbsp;2.02 of the Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 4. The Issuer and each Guarantor shall take all appropriate steps to cause
the Liens on all their property (other than Excluded Property) to be
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">perfected first-priority liens (subject to Permitted Liens) with respect to the Additional
Securities, pursuant to, and to the extent required by, the Security Documents and the Indenture as
supplemented by this First Supplemental Indenture. Without limiting the generality of the
foregoing, as soon as commercially reasonable following the Additional Securities Issue Date, but
in no event later than 120&nbsp;days following the Additional Securities Issue Date, the Issuer and each
Guarantor shall execute and deliver to the Trustee, and cause to be recorded, one or more mortgage
amendments or modifications in any jurisdiction where local counsel in such jurisdiction advises
that without recording amendments or modification in the real property records, the Additional
Securities will not be secured by the existing mortgage(s) recorded in such jurisdiction, together
with Opinions of Counsel delivered to the Trustee in respect of the enforceability and validity of
such amendments or modifications (as applicable) addressing customary matters (and containing
customary exceptions). The Trustee shall not be responsible for filing any financing or
continuation statements or recording any documents or instruments in any public office at any time
or times or otherwise perfecting or maintaining the perfection of any security interest.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 5. This First Supplemental Indenture shall be governed by and construed in
accordance with the laws of the State of New York.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 6. This First Supplemental Indenture may be signed in various counterparts
which together will constitute one and the same instrument.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 7. This First Supplemental Indenture is an amendment supplemental to the
Indenture (as amended and supplemented to the date hereof) and the Indenture and this First
Supplemental Indenture will henceforth be read together.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 8. Except as expressly provided herein, all of the terms, provisions and
conditions of the Indenture and the Notes shall remain in full force and effect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 9. If any provision of this First Supplemental Indenture limits, qualifies
or conflicts with another provision of this First Supplemental Indenture or the Indenture that is
required to be included by the Trust Indenture Act of 1939 as in force at the date as of which this
First Supplemental Indenture is executed, the provision required by said Act shall control.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="FONT-variant: SMALL-CAPS">Section</FONT> 10. The Trustee shall not be responsible in any manner whatsoever for or in
respect of the validity or sufficiency of this First Supplemental Indenture or for or in respect of
the Recitals contained herein, all of which are made solely by the Issuer, the Company and each of
the Subsidiary Guarantors.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;<I>Signature page follows</I>&#093;
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the parties hereto have caused this First Supplemental Indenture to be
duly executed as of the date first above written.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">K. HOVNANIAN ENTERPRISES, INC., <BR>
as Issuer<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President Finance and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">HOVNANIAN ENTERPRISES, INC.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President Finance and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">On behalf of each of the entities listed on Schedule&nbsp;I hereto<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President Finance and Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">WILMINGTON TRUST COMPANY, as Trustee<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Joshua C. Jones
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Joshua C. Jones&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Financial Services Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;<I>Signature page to First Supplemental Indenture</I>&#093;
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>SCHEDULE I</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>Subsidiary Guarantors</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 0pt">AUDDIE ENTERPRISES, L.L.C.<BR>
BUILDER SERVICES NJ, L.L.C.<BR>
BUILDER SERVICES NY, L.L.C.<BR>
BUILDER SERVICES PA, L.L.C.<BR>
DULLES COPPERMINE, L.L.C.<BR>
EASTERN NATIONAL TITLE AGENCY, LLC<BR>
EASTERN TITLE AGENCY, INC.<BR>
F&#038;W MECHANICAL SERVICES, L.L.C.<BR>
FOUNDERS TITLE AGENCY OF MARYLAND, L.L.C.<BR>
FOUNDERS TITLE AGENCY, INC.<BR>
GOVERNOR&#146;S ABSTRACT CO., INC.<BR>
HOMEBUYERS FINANCIAL SERVICES, L.L.C.<BR>
HOVNANIAN DEVELOPMENTS OF FLORIDA, INC.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF CALIFORNIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF FLORIDA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF GEORGIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF MARYLAND, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF NEW JERSEY, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF NORTH CAROLINA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF TEXAS LLC<BR>
HOVNANIAN LAND INVESTMENT GROUP OF VIRGINIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP, L.L.C.<BR>
K. HOV INTERNATIONAL, INC.<BR>
K. HOV IP, INC.<BR>
K. HOV IP, II, INC.<BR>
K. HOVNANIAN ACQUISITIONS, INC.<BR>
K. HOVNANIAN AT 4S, LLC<BR>
K. HOVNANIAN AT ACQUA VISTA, LLC<BR>
K. HOVNANIAN AT ALISO, LLC<BR>
K. HOVNANIAN AT ALLENTOWN, L.L.C.<BR>
K. HOVNANIAN AT ALMOND ESTATES, LLC<BR>
K. HOVNANIAN AT ANDALUSIA, LLC<BR>
K. HOVNANIAN AT ARBOR HEIGHTS, LLC<BR>
K. HOVNANIAN AT AVENUE ONE, L.L.C.<BR>
K. HOVNANIAN AT BAKERSFIELD 463, L.L.C.<BR>
K. HOVNANIAN AT BARNEGAT I, L.L.C.<BR>
K. HOVNANIAN AT BARNEGAT II, L.L.C.<BR>
K. HOVNANIAN AT BELLA LAGO, LLC<BR>
K. HOVNANIAN AT BENSALEM, LLC

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BERKELEY, L.L.C.<BR>
K. HOVNANIAN AT BERNARDS V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BLUE HERON PINES, L.L.C.<BR>
K. HOVNANIAN AT BRANCHBURG, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BRIDGEPORT, INC.<BR>
K. HOVNANIAN AT BRIDGEWATER I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BROAD AND WALNUT, L.L.C.<BR>
K. HOVNANIAN AT CALABRIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMDEN I, L.L.C.<BR>
K. HOVNANIAN AT CAMERON CHASE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMP HILL, L.L.C.<BR>
K. HOVNANIAN AT CAPISTRANO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARLSBAD, LLC<BR>
K. HOVNANIAN AT CARMEL DEL MAR, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARMEL VILLAGE, LLC<BR>
K. HOVNANIAN AT CASTILE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CEDAR GROVE III, L.L.C.<BR>
K. HOVNANIAN AT CEDAR GROVE V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHAPARRAL, INC.<BR>
K. HOVNANIAN AT CHARTER WAY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHESTER I, L.L.C.<BR>
K. HOVNANIAN AT CHESTERFIELD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CIELO, L.L.C.<BR>
K. HOVNANIAN AT CLIFTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT COASTLINE, L.L.C.<BR>
K. HOVNANIAN AT CORTEZ HILL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CRANBURY, L.L.C.<BR>
K. HOVNANIAN AT CRESTLINE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CURRIES WOODS, L.L.C.<BR>
K. HOVNANIAN AT DENVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DEPTFORD TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT DOMINGUEZ HILLS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DOVER, L.L.C.<BR>
K. HOVNANIAN AT EAST BRANDYWINE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EASTLAKE, LLC<BR>
K. HOVNANIAN AT EDGEWATER II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EDGEWATER, L.L.C.<BR>
K. HOVNANIAN AT EGG HARBOR TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EGG HARBOR TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT EL DORADO RANCH II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EL DORADO RANCH, L.L.C.<BR>
K. HOVNANIAN AT ELK TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ENCINITAS RANCH, LLC<BR>
K. HOVNANIAN AT EVERGREEN, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EWING, L.L.C.<BR>
K. HOVNANIAN AT EWING II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FAIR OAKS, L.L.C.<BR>
K. HOVNANIAN AT FIDDYMENT RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FIFTH AVENUE, L.L.C.<BR>
K. HOVNANIAN AT FLORENCE I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FLORENCE II, L.L.C.<BR>
K. HOVNANIAN AT FOREST MEADOWS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FRANKLIN, L.L.C.<BR>
K. HOVNANIAN AT FRANKLIN II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FREEHOLD TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT FRESNO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GASLAMP SQUARE, L.L.C.<BR>
K. HOVNANIAN AT GILROY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GREAT NOTCH, L.L.C.<BR>
K. HOVNANIAN AT GRIDLEY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GUTTENBERG, L.L.C.<BR>
K. HOVNANIAN AT HACKETTSTOWN II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAMBURG CONTRACTORS, L.L.C.<BR>
K. HOVNANIAN AT HAMBURG, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAWTHORNE, L.L.C.<BR>
K. HOVNANIAN AT HAZLET, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HERSHEY&#146;S MILL, INC.<BR>
K. HOVNANIAN AT HIGHLAND SHORES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HIGHLAND VINEYARDS, INC.<BR>
K. HOVNANIAN AT HILLTOP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HOWELL, L.L.C.<BR>
K. HOVNANIAN AT HUDSON POINTE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JACKSON I, L.L.C.<BR>
K. HOVNANIAN AT JACKSON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JAEGER RANCH, LLC<BR>
K. HOVNANIAN AT JERSEY CITY IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JERSEY CITY V URBAN RENEWAL COMPANY, L.L.C.<BR>
K. HOVNANIAN AT KEYPORT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT KING FARM, L.L.C.<BR>
K. HOVNANIAN AT LA COSTA GREENS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA COSTA, LLC<BR>
K. HOVNANIAN AT LA HABRA KNOLLS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA LAGUNA, L.L.C.<BR>
K. HOVNANIAN AT LA PAZ, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA TERRAZA, INC.<BR>
K. HOVNANIAN AT LAFAYETTE ESTATES, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAKE RANCHO VIEJO, LLC
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->S-3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAKE TERRAPIN, L.L.C.<BR>
K. HOVNANIAN AT LANDMARK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LARKSPUR, LLC<BR>
K. HOVNANIAN AT LAWRENCE V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LEE SQUARE, L.L.C.<BR>
K. HOVNANIAN AT LINWOOD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR CONTRACTORS, L.L.C.<BR>
K. HOVNANIAN AT LITTLE EGG HARBOR III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT LITTLE EGG HARBOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LIVE OAK II, LLC<BR>
K. HOVNANIAN AT LONG BRANCH I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP I, L.L.C.<BR>
K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MAKEFIELD TOWNSHIP I, L.L.C.<BR>
K. HOVNANIAN AT LOWER MORELAND I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MORELAND II, L.L.C.<BR>
K. HOVNANIAN AT LOWER MORELAND III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MACUNGIE, L.L.C.<BR>
K. HOVNANIAN AT MAHWAH VI, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MALAN PARK, L.L.C.<BR>
K. HOVNANIAN AT MANALAPAN III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANSFIELD I, L.L.C.<BR>
K. HOVNANIAN AT MANSFIELD II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANSFIELD III, L.L.C.<BR>
K. HOVNANIAN AT MANTECA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MAPLE AVENUE, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO TOWNSHIP IX, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO TOWNSHIP V, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO TOWNSHIP VIII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO VI, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO VII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MATSU, L.L.C.<BR>
K. HOVNANIAN AT MELANIE MEADOWS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MENDHAM TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT MENIFEE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MIDDLE TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT MIDDLE TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MIDDLETOWN II, L.L.C.<BR>
K. HOVNANIAN AT MILLVILLE I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MILLVILLE II, L.L.C.<BR>
K. HOVNANIAN AT MONROE II, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONROE IV, L.L.C.<BR>
K. HOVNANIAN AT MONROE NJ, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONTVALE, LLC<BR>
K. HOVNANIAN AT MONTVALE II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MOSAIC, LLC<BR>
K. HOVNANIAN AT MT. OLIVE TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MUIRFIELD, LLC<BR>
K. HOVNANIAN AT NEW BRUNSWICK URBAN RENEWAL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NEW WINDSOR, L.L.C.<BR>
K. HOVNANIAN AT NORTH BERGEN. L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH BRUNSWICK VI, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL III, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL, L.L.C.<BR>
K. HOVNANIAN AT NORTH HALEDON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH WILDWOOD, L.L.C.<BR>
K. HOVNANIAN AT NORTHAMPTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHERN WESTCHESTER, INC.<BR>
K. HOVNANIAN AT NORTHFIELD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHLAKE, INC.<BR>
K. HOVNANIAN AT OCEAN TOWNSHIP, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OCEAN WALK, INC.<BR>
K. HOVNANIAN AT OCEANPORT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OLD BRIDGE, L.L.C.<BR>
K. HOVNANIAN AT OLDE ORCHARD, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PACIFIC BLUFFS, LLC<BR>
K. HOVNANIAN AT PARAMUS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARK LANE, LLC<BR>
K. HOVNANIAN AT PARKSIDE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARSIPPANY, L.L.C.<BR>
K. HOVNANIAN AT PARSIPPANY-TROY HILLS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PERKIOMEN II, INC.<BR>
K. HOVNANIAN AT PHILADELPHIA II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PHILADELPHIA III, L.L.C.<BR>
K. HOVNANIAN AT PHILADELPHIA IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PIAZZA D&#146;ORO, L.L.C.<BR>
K. HOVNANIAN AT PIAZZA SERENA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PITTSGROVE, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL V, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VI, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VII, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VIII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT POSITANO, LLC<BR>
K. HOVNANIAN AT PRADO, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANCHO 79, LLC<BR>
K. HOVNANIAN AT RANCHO CRISTIANITOS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANCHO SANTA MARGARITA, LLC<BR>
K. HOVNANIAN AT RANDOLPH I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RAPHO, L.L.C.<BR>
K. HOVNANIAN AT READINGTON II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RED BANK, L.L.C.<BR>
K. HOVNANIAN AT RIDGEMONT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RIVERBEND, LLC<BR>
K. HOVNANIAN AT RIVERCREST, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RODERUCK, L.L.C.<BR>
K. HOVNANIAN AT ROSEMARY LANTANA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ROWLAND HEIGHTS, LLC<BR>
K. HOVNANIAN AT SAGE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAN SEVAINE, INC.<BR>
K. HOVNANIAN AT SANTA FE SPRINGS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SANTA NELLA, LLC<BR>
K. HOVNANIAN AT SARATOGA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAWMILL, INC.<BR>
K. HOVNANIAN AT SAYREVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SHELDON GROVE, LLC<BR>
K. HOVNANIAN AT SHREWSBURY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SCOTCH PLAINS, L.L.C.<BR>
K. HOVNANIAN AT SIERRA ESTATES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SILVER SPRING, L.L.C.<BR>
K. HOVNANIAN AT SKYE ISLE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SMITHVILLE III, L.L.C.<BR>
K. HOVNANIAN AT SMITHVILLE, INC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SOMERS POINT, L.L.C.<BR>
K. HOVNANIAN AT SOUTH BRUNSWICK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SOUTH BRUNSWICK II, L.L.C.<BR>
K. HOVNANIAN AT SPARTA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SPRINGCO, L.L.C.<BR>
K. HOVNANIAN AT STANTON, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT STATION SQUARE, L.L.C.<BR>
K. HOVNANIAN AT STONE CANYON, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SUNRIDGE PARK, LLC<BR>
K. HOVNANIAN AT SUNSETS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SYCAMORE, INC.<BR>
K. HOVNANIAN AT TEANECK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE CLIFFS, LLC<BR>
K. HOVNANIAN AT THE CROSBY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE GABLES, LLC<BR>
K. HOVNANIAN AT THE MONARCH, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE PRESERVE, LLC<BR>
K. HOVNANIAN AT THOMPSON RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THORNBURY, INC.<BR>
K. HOVNANIAN AT TRAIL RIDGE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TRENTON, L.L.C.<BR>
K. HOVNANIAN AT TROVATA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UNION TOWNSHIP I, INC.<BR>
K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP III, L.L.C.<BR>
K. HOVNANIAN AT UPPER MAKEFIELD I, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER UWCHLAN II, L.L.C.<BR>
K. HOVNANIAN AT UPPER UWCHLAN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VAIL RANCH, INC.<BR>
K. HOVNANIAN AT VALLE DEL SOL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VERONA URBAN RENEWAL, L.L.C.<BR>
K. HOVNANIAN AT VICTORVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VINELAND, L.L.C.<BR>
K. HOVNANIAN AT VISTA DEL SOL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WANAQUE, L.L.C.<BR>
K. HOVNANIAN AT WARREN TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WASHINGTON, L.L.C.<BR>
K. HOVNANIAN AT WATERSTONE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WAYNE IX, L.L.C.<BR>
K. HOVNANIAN AT WAYNE, VIII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WEST BRADFORD, L.L.C.<BR>
K. HOVNANIAN AT WEST VIEW ESTATES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WEST WINDSOR, L.L.C.<BR>
K. HOVNANIAN AT WESTSHORE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WHEELER RANCH, LLC<BR>
K. HOVNANIAN AT WILDROSE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WILDWOOD BAYSIDE, L.L.C.<BR>
K. HOVNANIAN AT WILLOW BROOK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WINCHESTER, LLC<BR>
K. HOVNANIAN AT WOODCREEK WEST, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WOODHILL ESTATES, L.L.C.<BR>
K. HOVNANIAN AT WOOLWICH I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CAMBRIDGE HOMES, L.L.C.<BR>
K. HOVNANIAN CENTRAL ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CLASSICS CIP, L.L.C.<BR>
K. HOVNANIAN CLASSICS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMMUNITIES, INC.<BR>
K. HOVNANIAN COMPANIES METRO D.C. NORTH, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES NORTHEAST, INC.<BR>
K. HOVNANIAN COMPANIES OF CALIFORNIA, INC.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF MARYLAND, INC.<BR>
K. HOVNANIAN COMPANIES OF NEW YORK, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF PENNSYLVANIA, INC.<BR>
K. HOVNANIAN COMPANIES OF SOUTHERN CALIFORNIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF VIRGINIA, INC.<BR>
K. HOVNANIAN COMPANIES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONNECTICUT ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN CONSTRUCTION II, INC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONSTRUCTION III, INC<BR>
K. HOVNANIAN CONSTRUCTION MANAGEMENT, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CRAFTBUILT HOMES OF SOUTH CAROLINA, L.L.C.<BR>
K. HOVNANIAN DELAWARE ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF ARIZONA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF CALIFORNIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF CONNECTICUT, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF D.C., INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF DELAWARE, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF GEORGIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF ILLINOIS, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF INDIANA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF KENTUCKY, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF MARYLAND, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF MICHIGAN, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF MINNESOTA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY II, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NEW YORK, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NORTH CAROLINA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF OHIO, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF PENNSYLVANIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF SOUTH CAROLINA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF TEXAS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF VIRGINIA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF WEST VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN EASTERN PENNSYLVANIA, L.L.C.<BR>
K. HOVNANIAN FIRST HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FLORIDA REALTY, L.L.C.<BR>
K. HOVNANIAN FOUR SEASONS @ HISTORIC VIRGINIA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FOUR SEASONS AT GOLD HILL, LLC<BR>
K. HOVNANIAN GREAT WESTERN BUILDING COMPANY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN GREAT WESTERN HOMES, LLC<BR>
K. HOVNANIAN HAMPTONS AT OAK CREEK II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOLDINGS NJ, L.L.C.<BR>
K. HOVNANIAN HOMES &#151; DFW, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT CAMERON STATION, LLC<BR>
K. HOVNANIAN HOMES AT CAMP SPRINGS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT FAIRWOOD, L.L.C.<BR>
K. HOVNANIAN HOMES AT FOREST RUN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT GREENWAY FARM PARK TOWNS, L.L.C.<BR>
K. HOVNANIAN HOMES AT GREENWAY FARM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT JONES STATION 1, L.L.C.<BR>
K. HOVNANIAN HOMES AT JONES STATION 2, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT MAXWELL PLACE, L.L.C.<BR>
K. HOVNANIAN HOMES AT PAYNE STREET, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT RENAISSANCE PLAZA, L.L.C.<BR>
K. HOVNANIAN HOMES AT RUSSETT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT THE HIGHLANDS, LLC<BR>
K. HOVNANIAN HOMES NORTHERN CALIFORNIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF D.C., L.L.C.<BR>
K. HOVNANIAN HOMES OF DELAWARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF GEORGIA, L.L.C.<BR>
K. HOVNANIAN HOMES OF HOUSTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF INDIANA, L.L.C.<BR>
K. HOVNANIAN HOMES OF MARYLAND, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF MINNESOTA, L.L.C.<BR>
K. HOVNANIAN HOMES OF NORTH CAROLINA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF PENNSYLVANIA, L.L.C.<BR>
K. HOVNANIAN HOMES OF SOUTH CAROLINA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF VIRGINIA, INC.<BR>
K. HOVNANIAN HOMES OF WEST VIRGINIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN LIBERTY ON BLUFF CREEK, LLC<BR>
K. HOVNANIAN NORTH CENTRAL ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN NORTH JERSEY ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN NORTHEAST SERVICES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN OF HOUSTON II, L.L.C.<BR>
K. HOVNANIAN OHIO REALTY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN OSTER HOMES, L.L.C.<BR>
K. HOVNANIAN PA REAL ESTATE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PENNSYLVANIA ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN PORT IMPERIAL URBAN RENEWAL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PROPERTIES OF RED BANK, INC.<BR>
K. HOVNANIAN SHORE ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SOUTH JERSEY ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN SOUTHERN NEW JERSEY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN STANDING ENTITY, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOLDINGS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF KENTUCKY, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF MICHIGAN, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF PENNSYLVANIA, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF WEST VIRGINIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES, L.L.C.<BR>
K. HOVNANIAN T&#038;C HOMES AT FLORIDA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C HOMES AT ILLINOIS, L.L.C.<BR>
K. HOVNANIAN T&#038;C INVESTMENT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C MANAGEMENT CO., L.L.C.<BR>
K. HOVNANIAN TIMBRES AT ELM CREEK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN VENTURE I, L.L.C.<BR>
K. HOVNANIAN WINDWARD HOMES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT ASHBURN VILLAGE, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT BAILEY&#146;S GLENN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAKERSFIELD, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT BEAUMONT, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT CHARLOTTESVILLE, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY CONDOMINIUM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT HEMET, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND CONDOMINIUMS, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT LOS BANOS, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT MORENO VALLEY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT NEW KENT VINEYARDS, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT PALM SPRINGS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RENAISSANCE, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK II, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT ST. MARGARETS LANDING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT VINT HILL, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S PARKSIDE AT TOWNGATE, L.L.C.<BR>
K. HOVNANIAN&#146;S PRIVATE HOME PORTFOLIO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">KHIP, L.L.C.<BR>
LANDARAMA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT CHESTERFIELD, LLC<BR>
M&#038;M AT CRESCENT COURT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT WEST ORANGE, L.L.C.<BR>
M&#038;M AT WHEATENA URBAN RENEWAL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MATZEL &#038; MUMFORD AT EGG HARBOR, L.L.C.<BR>
MATZEL &#038; MUMFORD AT SOUTH BOUND BROOK URBAN RENEWAL, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MCNJ, INC.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF KENTUCKY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF MICHIGAN, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF WEST VIRGINIA, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MMIP, L.L.C.<BR>
NATOMAS CENTRAL NEIGHBORHOOD HOUSING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">NEW LAND TITLE AGENCY, L.L.C.<BR>
PADDOCKS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">PARK TITLE COMPANY, LLC<BR>
PINE AYR, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">RIDGEMORE UTILITY, L.L.C.<BR>
SEABROOK ACCUMULATION CORPORATION

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">STONEBROOK HOMES, INC.<BR>
TERRAPIN REALTY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">THE HIGHLANDS CONDOMINIUMS AT METROSQUARE, L.L.C.<BR>
THE MATZEL &#038; MUMFORD ORGANIZATION, INC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WASHINGTON HOMES AT COLUMBIA TOWN CENTER, L.L.C.<BR>
WASHINGTON HOMES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES OF ALABAMA, L.L.C.<BR>
WESTMINSTER HOMES OF MISSISSIPPI, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES OF TENNESSEE, INC.<BR>
WESTMINSTER HOMES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WH LAND I, INC.<BR>
WH PROPERTIES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WH/PR LAND COMPANY, L.L.C.<BR>
WOODLAND LAKE CONDOMINIUMS AT BOWIE NEW TOWN, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->S-11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>EXHIBIT A</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;FACE OF NOTE&#093;
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY,
A NEW YORK CORPORATION (&#147;DTC&#148;), TO THE ISSUER OR ANY OF ITS SUBSIDIARIES OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF
CEDE &#038; CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE &#038; CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO
ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE &#038; CO., HAS A BENEFICIAL
INTEREST HEREIN.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS NOTE IS A GLOBAL NOTE WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED.
TRANSFERS OF THIS GLOBAL NOTE ARE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, BY DTC TO A
NOMINEE OF DTC OR BY A NOMINEE OF DTC TO DTC OR ANOTHER NOMINEE OF DTC OR BY DTC OR ANY SUCH
NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY AND TRANSFERS OF
PORTIONS OF THIS GLOBAL NOTE ARE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE TRANSFER
PROVISIONS OF THE INDENTURE.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS NOTE HAS BEEN ISSUED WITH &#147;ORIGINAL ISSUE DISCOUNT&#148; (WITHIN THE MEANING OF SECTION 1273
OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED). A HOLDER MAY OBTAIN THE ISSUE PRICE, AMOUNT OF
ORIGINAL ISSUE DISCOUNT, ISSUE DATE AND YIELD TO MATURITY FOR SUCH NOTE BY SUBMITTING A WRITTEN
REQUEST FOR SUCH INFORMATION TO K. HOVNANIAN ENTERPRISES, INC. AT THE FOLLOWING ADDRESS: 110 WEST
FRONT STREET, P.O. BOX 500, RED BANK, NEW JERSEY 07701, ATTENTION: CORPORATE CONTROLLER.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->A-1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">K. HOVNANIAN ENTERPRISES, INC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">10&#8541;% Senior Secured Notes Due 2016
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="48%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">CUSIP No.: 442488BH4</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">No.&nbsp;3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;$12,000,000, or such other amount as is provided in the schedule of
exchanges of interests in global notes attached hereto</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;K.&nbsp;Hovnanian Enterprises, Inc., a California corporation (the &#147;<B>Issuer</B>,&#148; which term includes
any successor under the Indenture hereinafter referred to), for value received, promises to pay to
Cede &#038; Co., or its registered assigns, the principal sum of TWELVE MILLION DOLLARS ($12,000,000),
or such other amount as is provided in the schedule of exchanges of interests in global notes
attached hereto, on October&nbsp;15, 2016.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest Rate: 10&#8541;% per annum.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest Payment Dates: April&nbsp;15 and October&nbsp;15, commencing October&nbsp;15, 2011.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Record Dates: April 1 and October 1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reference is hereby made to the further provisions of this Note set forth on the reverse
hereof, which will for all purposes have the same effect as if set forth at this place.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->A-2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the Issuer has caused this Note to be signed manually or by facsimile by
its duly authorized officer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dated: May&nbsp;4, 2011
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">K. HOVNANIAN ENTERPRISES, INC.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->A-3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Trustee&#146;s Certificate of Authentication
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This is one of the 10&#8541;% Senior Secured Notes Due 2016 described in the
Indenture referred to in this Note.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">WILMINGTON TRUST COMPANY, as Trustee<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Authorized Signatory&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>






<P align="center" style="font-size: 10pt"><!-- Folio -->A-4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;REVERSE SIDE OF NOTE&#093;<BR>
<BR style="font-size: 6pt">
K. HOVNANIAN ENTERPRISES, INC.<BR>
<BR style="font-size: 6pt">
10&#8541;% Senior Secured Notes Due 2016
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capitalized terms used herein are used as defined in the Indenture referred to below unless
otherwise indicated.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">1. <I>Principal and Interest.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;K.&nbsp;Hovnanian Enterprises, Inc. (the &#147;<B>Issuer</B>,&#148; which term includes any successor under the
Indenture hereinafter referred to), a California corporation, promises to pay the principal of this
Note on October&nbsp;15, 2016.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Issuer promises to pay interest on the principal amount of this Note on each interest
payment date, as set forth on the face of this Note, at the rate of 10&#8541;% per
annum.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest will be payable semiannually (to the holders of record of the Notes at the close of
business on the April 1 or October 1 immediately preceding the interest payment date) on each
interest payment date, commencing October&nbsp;15, 2011.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest on this Note will accrue from the most recent date to which interest has been paid on
this Note or the Note surrendered in exchange for this Note (or, if there is no existing default in
the payment of interest and if this Note is authenticated between a regular record date and the
next interest payment date, from such interest payment date) or, if no interest has been paid, from
April&nbsp;15, 2011. Interest will be computed on the basis of a 360-day year of twelve 30-day months.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">2. <I>Paying Agent and Registrar.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Initially, Wilmington Trust Company (the &#147;<B>Trustee</B>&#148;) will act as Paying Agent and Registrar.
The Issuer may change or appoint any Paying Agent, Registrar or co-Registrar without notice to any
Holder. The Issuer or any of its Subsidiaries may act as Paying Agent, Registrar or co-Registrar.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">3. <I>Indenture; Liens; Guarantees.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This is one of the Notes issued under an Indenture dated as of October&nbsp;20, 2009, among the
Issuer, the Guarantors party thereto and the Trustee (the &#147;<B>Base Indenture</B>&#148;), as amended and
supplemented by the First Supplemental Indenture dated as of May&nbsp;4, 2011, among the Issuer, the
Guarantors party thereto and the Trustee (the &#147;<B>First Supplemental Indenture</B>&#148; and, together with the
Base
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indenture, the &#147;<B>Indenture</B>&#148;). The terms of the Notes include those stated in the Indenture and
those made part of the Indenture by reference to the Trust Indenture Act. The Notes are subject to
all such terms, and Holders are referred to the Indenture and the Trust Indenture Act for a
statement of all such terms. To the extent permitted by applicable law, in the event of any
inconsistency between the terms of this Note and the terms of the Indenture, the terms of the
Indenture will control.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Notes are general obligations of the Issuer, secured by first-priority Liens on the
Collateral as described in the Indenture and the Security Documents. The Base Indenture limits the
original aggregate principal amount of the Notes issued thereunder to $785,000,000, and the First
Supplemental Indenture limits the aggregate principal amount of the Notes issued thereunder to
$12,000,000, but Additional Notes may be issued pursuant to the Indenture (subject to the
conditions stated therein), and the Notes issued as of the date hereof and all such Additional
Notes vote together for all purposes as a single class. This Note is guaranteed by the Guarantors
as set forth in the Indenture and the Guarantee endorsed hereon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reference is hereby made to the Indenture for a statement of the respective rights, duties and
obligations thereunder of the Issuer, the Guarantors, the Trustee and the Holders.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">4. <I>Optional Redemption; Redemption with Proceeds of Equity Offering.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At any time and from time to time on or after October&nbsp;15, 2012, the Issuer may redeem the
Notes, in whole or in part, at a redemption price equal to the percentage of principal amount set
forth below plus accrued and unpaid interest and Additional Interest thereon, if any, to the
applicable redemption date.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percentage</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">October&nbsp;15, 2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">107.969</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">October&nbsp;15, 2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">105.313</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">October&nbsp;15, 2014</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">102.656</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">October&nbsp;15, 2015 and thereafter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.000</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At any time and from time to time prior to October&nbsp;15, 2012, the Issuer may redeem Notes with
the net cash proceeds received by the Issuer from any Equity Offering at a redemption price equal
to 110.625% of the principal amount plus accrued and unpaid interest to the redemption date, in an
aggregate principal amount for all such redemptions not to exceed 35% of the original aggregate
principal amount of the Notes (including Additional Notes), <I>provided </I>that:
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(i)&nbsp;in each case the redemption takes place not later than 60&nbsp;days after the closing of the related
Equity Offering, and
</DIV>





<P align="center" style="font-size: 10pt"><!-- Folio -->R-2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(ii)&nbsp;not less than 65% of the original aggregate principal amount of the Notes (including
Additional Notes) remains outstanding immediately thereafter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If less than all of the Notes are to be redeemed at any time, the Trustee will select Notes
for redemption on a <I>pro rata </I>basis, by lot or by such other method as the Trustee in its sole
discretion shall deem appropriate and fair.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No Notes of $2,000 in original principal amount or less shall be redeemed in part. Notices of
redemption may not be conditional.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any Note is to be redeemed in part only, the notice of redemption that relates to that Note
shall state the portion of the principal amount thereof to be redeemed. A new Note in principal
amount equal to the unredeemed portion of the original Note will be issued in the name of the
Holder thereof upon cancellation of the original Note. Notes called for redemption become due on
the date fixed for redemption. On and after the redemption date, interest ceases to accrue on
Notes or portions thereof called for redemption.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>5. Repurchase Provisions.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If a Change of Control occurs, each Holder shall have the right, at such Holder&#146;s option, to
require the Issuer to purchase all or any part (equal to $2,000 principal amount or any multiple of
$1,000 in excess thereof of such Holder&#146;s Notes on a date that is no later than 90&nbsp;days after
notice of the Change of Control, at a purchase price equal to 101% of the principal amount thereof,
plus accrued and unpaid interest and Additional Interest, if any, to the date of repurchase as
provided in, and subject to the terms of, the Indenture.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">6. <I>Mandatory Redemption</I>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There is no sinking fund for, or mandatory redemption of, the Notes.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>7. Discharge and Defeasance.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Issuer deposits with the Trustee money and/or U.S. Government Obligations sufficient to
pay the then outstanding principal of, premium, interest and Additional Interest, if any, and
accrued interest on the Notes to redemption or maturity, as the case may be, the Issuer, the
Company and the Guarantors may in certain circumstances be discharged from the Indenture, the
Notes, the Guarantees and the Security Documents or may be discharged from certain of their
obligations under certain provisions of the Indenture.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">8. <I>Registered Form; Denominations; Transfer; Exchange.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Notes are in registered form only without coupons in denominations of $2,000 principal
amount and any multiple of $1,000 in excess thereof. A
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Holder may register the transfer or exchange of Notes in accordance with the Indenture. The
Trustee may require a Holder, among other things, to furnish appropriate endorsements and transfer
documents and to pay any taxes and fees required by law or permitted by the Indenture. Pursuant to
the Indenture, there are certain periods during which the Trustee will not be required to issue,
register the transfer of, or exchange any Note or certain portions of a Note.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">9. <I>Persons Deemed Owners.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The registered Holder of this Note shall be treated as the owner of it for all purposes.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">10. <I>Defaults and Remedies.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If an Event of Default occurs and is continuing, the Trustee or the Holders of at least 25% in
principal amount of the Notes may declare all the Notes to be due and payable immediately. If a
bankruptcy or insolvency default with respect to the Issuer or the Company occurs and is
continuing, the Notes automatically become immediately due and payable. Holders may not enforce
the Indenture or the Notes except as provided in the Indenture. The Trustee may require indemnity
satisfactory to it before it enforces the Indenture or the Notes. Subject to certain limitations,
Holders of a majority in principal amount of the Notes then outstanding may direct the Trustee in
its exercise of remedies.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">11. <I>Amendment, Supplement and Waiver.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to certain exceptions, the Indenture, the Notes, the Guarantees and the Security
Documents may be amended or supplemented, or future compliance therewith may be waived, with the
consent of the Holders of a majority in principal amount of the outstanding Notes. Without notice
to or the consent of any Holder, the Company, the Issuer, the Guarantors and the Trustee, and with
respect to the Security Documents, the Collateral Agent and Wilmington Trust Company (as Mortgage
Tax Collateral Agent), may amend or supplement the Indenture, the Notes, the Guarantees or the
Security Documents to, among other things, cure any ambiguity, defect or inconsistency or if such
amendment or supplement does not adversely affect the legal rights of any Holder.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">12. <I>Trustee Dealings With Issuer.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Trustee, in its individual or any other capacity, may become the owner or pledgee of Notes
and may otherwise deal with the Issuer or its affiliates, with the same rights as if it were not
Trustee; <I>however</I>, if it acquires any conflicting interest (as defined in the Trust Indenture Act),
it must eliminate such conflict, apply to the Commission for permission to continue or resign.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">13. <I>No Recourse Against Others.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An incorporator, and any past, present or future director, officer, partner, employee or
stockholder, as such, of the Issuer, the Company or the Guarantors shall not have any liability for
any obligations of the Issuer, the Company or the Guarantors under the Notes, the Indenture or the
Guarantees or for any claim based on, in respect of, or by reason of, such obligations or their
creation. Each Holder by accepting a Note waives and releases all such liability. The waiver and
release are part of the consideration for the issue of the Notes.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">14. <I>Governing Law.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">15. <I>CUSIP Numbers.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to a recommendation promulgated by the Committee on Uniform Note Identification
Procedures, the Issuer has caused CUSIP numbers to be printed on the Notes, and the Trustee may use
CUSIP numbers in notices as a convenience to Holders. No representation is made as to the accuracy
of such numbers either as printed on the Notes or as contained in any notice and reliance may be
placed only on the other identification numbers placed thereon.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">16. <I>Authentication.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Note is not valid until the Trustee (or Authenticating Agent) manually signs the
certificate of authentication on the other side of this Note.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">17. <I>Abbreviations.</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Customary abbreviations may be used in the name of a Holder or an assignee, such as: TEN COM
(= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with right of
survivorship and not as tenants in common), CUST (= Custodian) and U/G/M/A/ (= Uniform Gifts to
Minors Act).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Issuer will furnish a copy of the Indenture to any Holder upon written request and without
charge.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;FORM OF TRANSFER NOTICE&#093;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">FOR VALUE RECEIVED the undersigned registered holder hereby sell(s), assign(s) and transfer(s) unto
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Insert Social Security or Taxpayer Identification No.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 1px solid #000000; FONT-size: 1px">&nbsp;</DIV>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 1px solid #000000; FONT-size: 1px">&nbsp;</DIV>
Please print or typewrite name and address, including zip code, of assignee
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 1px solid #000000; FONT-size: 1px">&nbsp;</DIV>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 1px solid #000000; FONT-size: 1px">&nbsp;</DIV>
the within Note and all rights thereunder, hereby irrevocably constituting and appointing
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 1px solid #000000; FONT-size: 1px">&nbsp;</DIV>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">agent to transfer this Note on the books of the Issuer with full power of substitution in the
premises.
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>

    <TD width="46%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" nowrap><DIV style="margin-left:0px; text-indent:-0px">Dated:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>Signed:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">(sign exactly as name appears on the
other side of this Note)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="98%">&nbsp;</TD>
</TR>
<TR></TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="white-space: nowrap">Signature Guarantee<SUP style="FONT-size: 85%; vertical-align: text-top">1</SUP>:</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96%"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="FONT-size: 85%; vertical-align: text-top">1</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Signatures must be guaranteed by an &#147;<B>eligible
guarantor institution</B>&#148; meeting the requirements of the Registrar, which
requirements include membership or participation in the Note Transfer Agent
Medallion Program (&#147;<B>STAMP&#148;</B>) or such other &#147;<B>signature guarantee program</B>&#148; as may
be determined by the Registrar in addition to, or in substitution for, STAMP,
all in accordance with the Securities Exchange Act of 1934, as amended.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->R-6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="center" style="font-size: 10pt; margin-top: 18pt">OPTION OF HOLDER TO ELECT PURCHASE
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you wish to have all of this Note purchased by the Issuer pursuant to Section&nbsp;4.10 or
Section&nbsp;4.12 of the Indenture, check the box: 9
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you wish to have a portion of this Note purchased by the Issuer pursuant to Section&nbsp;4.10 or
Section&nbsp;4.12 of the Indenture, state the amount (in original principal amount) below:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Date:&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Your Signature:&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(Sign exactly as your name appears on the other side of this Note)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Signature Guarantee:<SUP style="FONT-size: 85%; vertical-align: text-top">2</SUP> &#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96%"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="FONT-size: 85%; vertical-align: text-top">2</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Signatures must be guaranteed by an &#147;<B>eligible
guarantor institution&#148; </B>meeting the requirements of the Trustee, which
requirements include membership or participation in the Note Transfer Agent
Medallion Program (&#147;<B>STAMP</B>&#148;) or such other &#147;<B>signature guarantee program</B>&#148; as may
be determined by the Trustee in addition to, or in substitution for, STAMP, all
in accordance with the Securities Exchange Act of 1934, as amended.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->R-7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="center" style="font-size: 10pt; margin-top: 18pt">SCHEDULE OF EXCHANGES OF INTERESTS IN GLOBAL NOTES
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following exchanges of a part of this Global Note for Certificated Notes or an interest in
another Global Note, or exchanges of a part of another Global Note or Certificated Note for an
interest in this Global Note, have been made:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="16%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal amount</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Amount of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Amount of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>of this Global Note</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>decrease in</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>increase in</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>following such</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Signature of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>principal amount</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>principal amount</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>decrease or</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>authorized officer</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Date of Exchange</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>of this Global Note</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>of this Global Note</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>increase</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>of Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">GUARANTEE
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned (the &#147;<B>Guarantors</B>&#148;) have unconditionally guaranteed, jointly and severally
(such guarantee by each Guarantor being referred to herein as the &#147;<B>Guarantee</B>&#148;) (i)&nbsp;the due and
punctual payment of the principal of and interest and Additional Interest, if any, on the Issuer&#146;s
105/8% Senior Secured Notes due 2016 (the &#147;<B>Notes</B>&#148;), whether at maturity or on an
interest payment date, by acceleration or otherwise, on the Notes, to the extent lawful, and of all
other obligations of the Issuer to the Holders or the Trustee all in accordance with the terms set
forth in Article&nbsp;6 of the Indenture and (ii)&nbsp;in case of any extension of time of payment or renewal
of any Notes or any of such other obligations, that the same will be promptly paid in full when due
or performed in accordance with the terms of the extension or renewal, whether at stated maturity,
by acceleration or otherwise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No past, present or future stockholder, officer, director, employee, partner or incorporator,
as such, of any of the Guarantors shall have any liability under the Guarantee evidenced hereby by
reason of such person&#146;s status as stockholder, officer, director, employee, partner or
incorporator. Each Holder of a Note by accepting a Note waives and releases all such liability.
This waiver and release are part of the consideration for the issuance of the Guarantee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Holder of a Note by accepting a Note agrees that any Guarantor named below shall have no
further liability with respect to its Guarantee if such Guarantor otherwise ceases to be liable in
respect of its Guarantee in accordance with the terms of the Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Guarantee evidenced hereby shall not be valid or obligatory for any purpose until the
certificate of authentication on the Notes upon which the Guarantee is noted shall have been
executed by the Trustee under the Indenture by the manual signature of one of its authorized
officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Guarantee shall be governed by, and construed in accordance with, the laws of the State
of New York.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN ENTERPRISES, INC.<BR>
AUDDIE ENTERPRISES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">BUILDER SERVICES NJ, L.L.C.<BR>
BUILDER SERVICES NY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">BUILDER SERVICES PA, L.L.C.<BR>
DULLES COPPERMINE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">EASTERN NATIONAL TITLE AGENCY, LLC<BR>
EASTERN TITLE AGENCY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">F&#038;W MECHANICAL SERVICES, L.L.C.<BR>
FOUNDERS TITLE AGENCY OF MARYLAND, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">FOUNDERS TITLE AGENCY, INC.<BR>
GOVERNOR&#146;S ABSTRACT CO., INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOMEBUYERS FINANCIAL SERVICES, L.L.C.<BR>
HOVNANIAN DEVELOPMENTS OF FLORIDA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF CALIFORNIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF FLORIDA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF GEORGIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF MARYLAND, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF NEW JERSEY, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF NORTH CAROLINA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF TEXAS LLC<BR>
HOVNANIAN LAND INVESTMENT GROUP OF VIRGINIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP, L.L.C.<BR>
K. HOV INTERNATIONAL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOV IP, INC.<BR>
K. HOV IP, II, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN ACQUISITIONS, INC.<BR>
K. HOVNANIAN AT 4S, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ACQUA VISTA, LLC<BR>
K. HOVNANIAN AT ALISO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ALLENTOWN, L.L.C.<BR>
K. HOVNANIAN AT ALMOND ESTATES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ANDALUSIA, LLC<BR>
K. HOVNANIAN AT ARBOR HEIGHTS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT AVENUE ONE, L.L.C.<BR>
K. HOVNANIAN AT BAKERSFIELD 463, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BARNEGAT I, L.L.C.<BR>
K. HOVNANIAN AT BARNEGAT II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BELLA LAGO, LLC<BR>
K. HOVNANIAN AT BENSALEM, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BERKELEY, L.L.C.<BR>
K. HOVNANIAN AT BERNARDS V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BLUE HERON PINES, L.L.C.<BR>
K. HOVNANIAN AT BRANCHBURG, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BRIDGEPORT, INC.<BR>
K. HOVNANIAN AT BRIDGEWATER I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BROAD AND WALNUT, L.L.C.<BR>
K. HOVNANIAN AT CALABRIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMDEN I, L.L.C.<BR>
K. HOVNANIAN AT CAMERON CHASE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMP HILL, L.L.C.<BR>
K. HOVNANIAN AT CAPISTRANO, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARLSBAD, LLC
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->R-10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARMEL DEL MAR, INC.<BR>
K. HOVNANIAN AT CARMEL VILLAGE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CASTILE, INC.<BR>
K. HOVNANIAN AT CEDAR GROVE III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CEDAR GROVE V, L.L.C.<BR>
K. HOVNANIAN AT CHAPARRAL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHARTER WAY, LLC<BR>
K. HOVNANIAN AT CHESTER I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHESTERFIELD, L.L.C.<BR>
K. HOVNANIAN AT CIELO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CLIFTON, L.L.C.<BR>
K. HOVNANIAN AT COASTLINE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CORTEZ HILL, LLC<BR>
K. HOVNANIAN AT CRANBURY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CRESTLINE, INC.<BR>
K. HOVNANIAN AT CURRIES WOODS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DENVILLE, L.L.C.<BR>
K. HOVNANIAN AT DEPTFORD TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DOMINGUEZ HILLS, INC.<BR>
K. HOVNANIAN AT DOVER, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EAST BRANDYWINE, L.L.C.<BR>
K. HOVNANIAN AT EASTLAKE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EDGEWATER II, L.L.C.<BR>
K. HOVNANIAN AT EDGEWATER, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EGG HARBOR TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT EGG HARBOR TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EL DORADO RANCH II, L.L.C.<BR>
K. HOVNANIAN AT EL DORADO RANCH, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ELK TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT ENCINITAS RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EVERGREEN, L.L.C.<BR>
K. HOVNANIAN AT EWING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EWING II, L.L.C.<BR>
K. HOVNANIAN AT FAIR OAKS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FIDDYMENT RANCH, LLC<BR>
K. HOVNANIAN AT FIFTH AVENUE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FLORENCE I, L.L.C.<BR>
K. HOVNANIAN AT FLORENCE II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FOREST MEADOWS, L.L.C.<BR>
K. HOVNANIAN AT FRANKLIN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FRANKLIN II, L.L.C.<BR>
K. HOVNANIAN AT FREEHOLD TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FRESNO, LLC<BR>
K. HOVNANIAN AT GASLAMP SQUARE, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GILROY, LLC<BR>
K. HOVNANIAN AT GREAT NOTCH, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GRIDLEY, LLC<BR>
K. HOVNANIAN AT GUTTENBERG, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HACKETTSTOWN II, L.L.C.<BR>
K. HOVNANIAN AT HAMBURG CONTRACTORS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAMBURG, L.L.C.<BR>
K. HOVNANIAN AT HAWTHORNE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAZLET, L.L.C.<BR>
K. HOVNANIAN AT HERSHEY&#146;S MILL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HIGHLAND SHORES, L.L.C.<BR>
K. HOVNANIAN AT HIGHLAND VINEYARDS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HILLTOP, L.L.C.<BR>
K. HOVNANIAN AT HOWELL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HUDSON POINTE, L.L.C.<BR>
K. HOVNANIAN AT JACKSON I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JACKSON, L.L.C.<BR>
K. HOVNANIAN AT JAEGER RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JERSEY CITY IV, L.L.C.<BR>
K. HOVNANIAN AT JERSEY CITY V URBAN RENEWAL COMPANY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT KEYPORT, L.L.C.<BR>
K. HOVNANIAN AT KING FARM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA COSTA GREENS, L.L.C.<BR>
K. HOVNANIAN AT LA COSTA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA HABRA KNOLLS, LLC<BR>
K. HOVNANIAN AT LA LAGUNA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA PAZ, LLC<BR>
K. HOVNANIAN AT LA TERRAZA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAFAYETTE ESTATES, L.L.C.<BR>
K. HOVNANIAN AT LAKE RANCHO VIEJO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAKE TERRAPIN, L.L.C.<BR>
K. HOVNANIAN AT LANDMARK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LARKSPUR, LLC<BR>
K. HOVNANIAN AT LAWRENCE V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LEE SQUARE, L.L.C.<BR>
K. HOVNANIAN AT LINWOOD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR CONTRACTORS, L.L.C.<BR>
K. HOVNANIAN AT LITTLE EGG HARBOR III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT LITTLE EGG HARBOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LIVE OAK II, LLC<BR>
K. HOVNANIAN AT LONG BRANCH I, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP I, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->R-12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT LOWER MAKEFIELD TOWNSHIP I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MORELAND I, L.L.C.<BR>
K. HOVNANIAN AT LOWER MORELAND II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MORELAND III, L.L.C.<BR>
K. HOVNANIAN AT MACUNGIE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MAHWAH VI, INC.<BR>
K. HOVNANIAN AT MALAN PARK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANALAPAN III, L.L.C.<BR>
K. HOVNANIAN AT MANSFIELD I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANSFIELD II, L.L.C.<BR>
K. HOVNANIAN AT MANSFIELD III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANTECA, LLC<BR>
K. HOVNANIAN AT MAPLE AVENUE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO TOWNSHIP IX, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO TOWNSHIP V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO TOWNSHIP VIII, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO VI, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO VII, L.L.C.<BR>
K. HOVNANIAN AT MATSU, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MELANIE MEADOWS, LLC<BR>
K. HOVNANIAN AT MENDHAM TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MENIFEE, LLC<BR>
K. HOVNANIAN AT MIDDLE TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MIDDLE TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT MIDDLETOWN II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MILLVILLE I, L.L.C.<BR>
K. HOVNANIAN AT MILLVILLE II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONROE II, INC.<BR>
K. HOVNANIAN AT MONROE IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONROE NJ, L.L.C.<BR>
K. HOVNANIAN AT MONTVALE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONTVALE II, L.L.C.<BR>
K. HOVNANIAN AT MOSAIC, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MT. OLIVE TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT MUIRFIELD, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NEW BRUNSWICK URBAN RENEWAL, L.L.C.<BR>
K. HOVNANIAN AT NEW WINDSOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH BERGEN. L.L.C.<BR>
K. HOVNANIAN AT NORTH BRUNSWICK VI, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL II, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL IV, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH HALEDON, L.L.C.<BR>
K. HOVNANIAN AT NORTH WILDWOOD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHAMPTON, L.L.C.<BR>
K. HOVNANIAN AT NORTHERN WESTCHESTER, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHFIELD, L.L.C.<BR>
K. HOVNANIAN AT NORTHLAKE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OCEAN TOWNSHIP, INC.<BR>
K. HOVNANIAN AT OCEAN WALK, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OCEANPORT, L.L.C.<BR>
K. HOVNANIAN AT OLD BRIDGE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OLDE ORCHARD, LLC<BR>
K. HOVNANIAN AT PACIFIC BLUFFS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARAMUS, L.L.C.<BR>
K. HOVNANIAN AT PARK LANE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARKSIDE, LLC<BR>
K. HOVNANIAN AT PARSIPPANY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARSIPPANY-TROY HILLS, L.L.C.<BR>
K. HOVNANIAN AT PERKIOMEN II, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PHILADELPHIA II, L.L.C.<BR>
K. HOVNANIAN AT PHILADELPHIA III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PHILADELPHIA IV, L.L.C.<BR>
K. HOVNANIAN AT PIAZZA D&#146;ORO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PIAZZA SERENA, L.L.C.<BR>
K. HOVNANIAN AT PITTSGROVE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL IV, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VI, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VIII, L.L.C.<BR>
K. HOVNANIAN AT POSITANO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PRADO, L.L.C.<BR>
K. HOVNANIAN AT RANCHO 79, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANCHO CRISTIANITOS, INC.<BR>
K. HOVNANIAN AT RANCHO SANTA MARGARITA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANDOLPH I, L.L.C.<BR>
K. HOVNANIAN AT RAPHO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT READINGTON II, L.L.C.<BR>
K. HOVNANIAN AT RED BANK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RIDGEMONT, L.L.C.<BR>
K. HOVNANIAN AT RIVERBEND, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RIVERCREST, LLC<BR>
K. HOVNANIAN AT RODERUCK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ROSEMARY LANTANA, L.L.C.<BR>
K. HOVNANIAN AT ROWLAND HEIGHTS, LLC

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAGE, L.L.C.<BR>
K. HOVNANIAN AT SAN SEVAINE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SANTA FE SPRINGS, LLC<BR>
K. HOVNANIAN AT SANTA NELLA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SARATOGA, INC.<BR>
K. HOVNANIAN AT SAWMILL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAYREVILLE, L.L.C.<BR>
K. HOVNANIAN AT SHELDON GROVE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SHREWSBURY, LLC<BR>
K. HOVNANIAN AT SCOTCH PLAINS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SIERRA ESTATES, LLC<BR>
K. HOVNANIAN AT SILVER SPRING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SKYE ISLE, LLC<BR>
K. HOVNANIAN AT SMITHVILLE III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SMITHVILLE, INC<BR>
K. HOVNANIAN AT SOMERS POINT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SOUTH BRUNSWICK, L.L.C.<BR>
K. HOVNANIAN AT SOUTH BRUNSWICK II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SPARTA, L.L.C.<BR>
K. HOVNANIAN AT SPRINGCO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT STANTON, LLC<BR>
K. HOVNANIAN AT STATION SQUARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT STONE CANYON, INC.<BR>
K. HOVNANIAN AT SUNRIDGE PARK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SUNSETS, LLC<BR>
K. HOVNANIAN AT SYCAMORE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TEANECK, L.L.C.<BR>
K. HOVNANIAN AT THE CLIFFS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE CROSBY, LLC<BR>
K. HOVNANIAN AT THE GABLES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE MONARCH, L.L.C.<BR>
K. HOVNANIAN AT THE PRESERVE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THOMPSON RANCH, LLC<BR>
K. HOVNANIAN AT THORNBURY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TRAIL RIDGE, LLC<BR>
K. HOVNANIAN AT TRENTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TROVATA, INC.<BR>
K. HOVNANIAN AT UNION TOWNSHIP I, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER MAKEFIELD I, INC.<BR>
K. HOVNANIAN AT UPPER UWCHLAN II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER UWCHLAN, L.L.C.<BR>
K. HOVNANIAN AT VAIL RANCH, INC.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VALLE DEL SOL, LLC<BR>
K. HOVNANIAN AT VERONA URBAN RENEWAL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VICTORVILLE, L.L.C.<BR>
K. HOVNANIAN AT VINELAND, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VISTA DEL SOL, L.L.C.<BR>
K. HOVNANIAN AT WANAQUE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WARREN TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT WASHINGTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WATERSTONE, LLC<BR>
K. HOVNANIAN AT WAYNE IX, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WAYNE, VIII, L.L.C.<BR>
K. HOVNANIAN AT WEST BRADFORD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WEST VIEW ESTATES, L.L.C.<BR>
K. HOVNANIAN AT WEST WINDSOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WESTSHORE, LLC<BR>
K. HOVNANIAN AT WHEELER RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WILDROSE, INC.<BR>
K. HOVNANIAN AT WILDWOOD BAYSIDE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WILLOW BROOK, L.L.C.<BR>
K. HOVNANIAN AT WINCHESTER, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WOODCREEK WEST, LLC<BR>
K. HOVNANIAN AT WOODHILL ESTATES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WOOLWICH I, L.L.C.<BR>
K. HOVNANIAN CAMBRIDGE HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CENTRAL ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN CLASSICS CIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CLASSICS, L.L.C.<BR>
K. HOVNANIAN COMMUNITIES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES METRO D.C. NORTH, L.L.C.<BR>
K. HOVNANIAN COMPANIES NORTHEAST, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF CALIFORNIA, INC.<BR>
K. HOVNANIAN COMPANIES OF MARYLAND, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF NEW YORK, INC.<BR>
K. HOVNANIAN COMPANIES OF PENNSYLVANIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF SOUTHERN CALIFORNIA, INC.<BR>
K. HOVNANIAN COMPANIES OF VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES, LLC<BR>
K. HOVNANIAN CONNECTICUT ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONSTRUCTION II, INC<BR>
K. HOVNANIAN CONSTRUCTION III, INC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONSTRUCTION MANAGEMENT, INC.<BR>
K. HOVNANIAN CRAFTBUILT HOMES OF SOUTH CAROLINA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DELAWARE ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN DEVELOPMENTS OF ARIZONA, INC.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF CALIFORNIA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF CONNECTICUT, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF D.C., INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF DELAWARE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF GEORGIA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF ILLINOIS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF INDIANA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF KENTUCKY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF MARYLAND, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF MICHIGAN, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF MINNESOTA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY II, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NEW YORK, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NORTH CAROLINA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF OHIO, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF PENNSYLVANIA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF SOUTH CAROLINA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF TEXAS, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF WEST VIRGINIA, INC.<BR>
K. HOVNANIAN EASTERN PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FIRST HOMES, L.L.C.<BR>
K. HOVNANIAN FLORIDA REALTY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FOUR SEASONS @ HISTORIC VIRGINIA, LLC<BR>
K. HOVNANIAN FOUR SEASONS AT GOLD HILL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN GREAT WESTERN BUILDING COMPANY, LLC<BR>
K. HOVNANIAN GREAT WESTERN HOMES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HAMPTONS AT OAK CREEK II, L.L.C.<BR>
K. HOVNANIAN HOLDINGS NJ, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES &#151; DFW, L.L.C.<BR>
K. HOVNANIAN HOMES AT CAMERON STATION, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT CAMP SPRINGS, L.L.C.<BR>
K. HOVNANIAN HOMES AT FAIRWOOD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT FOREST RUN, L.L.C.<BR>
K. HOVNANIAN HOMES AT GREENWAY FARM PARK TOWNS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT GREENWAY FARM, L.L.C.<BR>
K. HOVNANIAN HOMES AT JONES STATION 1, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT JONES STATION 2, L.L.C.<BR>
K. HOVNANIAN HOMES AT MAXWELL PLACE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT PAYNE STREET, L.L.C.<BR>
K. HOVNANIAN HOMES AT RENAISSANCE PLAZA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT RUSSETT, L.L.C.<BR>
K. HOVNANIAN HOMES AT THE HIGHLANDS, LLC

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES NORTHERN CALIFORNIA, INC.<BR>
K. HOVNANIAN HOMES OF D.C., L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF DELAWARE, L.L.C.<BR>
K. HOVNANIAN HOMES OF GEORGIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF HOUSTON, L.L.C.<BR>
K. HOVNANIAN HOMES OF INDIANA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF MARYLAND, L.L.C.<BR>
K. HOVNANIAN HOMES OF MINNESOTA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF NORTH CAROLINA, INC.<BR>
K. HOVNANIAN HOMES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF SOUTH CAROLINA, LLC<BR>
K. HOVNANIAN HOMES OF VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF WEST VIRGINIA, L.L.C.<BR>
K. HOVNANIAN LIBERTY ON BLUFF CREEK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN NORTH CENTRAL ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN NORTH JERSEY ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN NORTHEAST SERVICES, L.L.C.<BR>
K. HOVNANIAN OF HOUSTON II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN OHIO REALTY, L.L.C.<BR>
K. HOVNANIAN OSTER HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PA REAL ESTATE, INC.<BR>
K. HOVNANIAN PENNSYLVANIA ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PORT IMPERIAL URBAN RENEWAL, INC.<BR>
K. HOVNANIAN PROPERTIES OF RED BANK, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SHORE ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN SOUTH JERSEY ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SOUTHERN NEW JERSEY, L.L.C.<BR>
K. HOVNANIAN STANDING ENTITY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOLDINGS, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF KENTUCKY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF MICHIGAN, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF WEST VIRGINIA, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C HOMES AT FLORIDA, L.L.C.<BR>
K. HOVNANIAN T&#038;C HOMES AT ILLINOIS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C INVESTMENT, L.L.C.<BR>
K. HOVNANIAN T&#038;C MANAGEMENT CO., L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN TIMBRES AT ELM CREEK, LLC<BR>
K. HOVNANIAN VENTURE I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN WINDWARD HOMES, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT ASHBURN VILLAGE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAILEY&#146;S GLENN, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT BAKERSFIELD, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BEAUMONT, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT CHARLOTTESVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY CONDOMINIUM, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT HEMET, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND CONDOMINIUMS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT LOS BANOS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT MORENO VALLEY, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT NEW KENT VINEYARDS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT PALM SPRINGS, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT RENAISSANCE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK II, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT ST. MARGARETS LANDING, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT VINT HILL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS, LLC<BR>
K. HOVNANIAN&#146;S PARKSIDE AT TOWNGATE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S PRIVATE HOME PORTFOLIO, L.L.C.<BR>
KHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">LANDARAMA, INC.<BR>
M&#038;M AT CHESTERFIELD, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT CRESCENT COURT, L.L.C.<BR>
M&#038;M AT WEST ORANGE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT WHEATENA URBAN RENEWAL, L.L.C.<BR>
MATZEL &#038; MUMFORD AT EGG HARBOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MATZEL &#038; MUMFORD AT SOUTH BOUND BROOK URBAN RENEWAL, L.L.C.<BR>
MCNJ, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF KENTUCKY, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF MICHIGAN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF PENNSYLVANIA, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF WEST VIRGINIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES, L.L.C.<BR>
MMIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">NATOMAS CENTRAL NEIGHBORHOOD HOUSING, L.L.C.<BR>
NEW LAND TITLE AGENCY, L.L.C.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->R-19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">PADDOCKS, L.L.C.<BR>
PARK TITLE COMPANY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">PINE AYR, LLC<BR>
RIDGEMORE UTILITY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">SEABROOK ACCUMULATION CORPORATION<BR>
STONEBROOK HOMES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">TERRAPIN REALTY, L.L.C.<BR>
THE HIGHLANDS CONDOMINIUMS AT METROSQUARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">THE MATZEL &#038; MUMFORD ORGANIZATION, INC<BR>
WASHINGTON HOMES AT COLUMBIA TOWN CENTER, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WASHINGTON HOMES, INC.<BR>
WESTMINSTER HOMES OF ALABAMA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES OF MISSISSIPPI, LLC<BR>
WESTMINSTER HOMES OF TENNESSEE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES, INC.<BR>
WH LAND I, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WH PROPERTIES, INC.<BR>
WH/PR LAND COMPANY, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WOODLAND LAKE CONDOMINIUMS AT BOWIE NEW TOWN, L.L.C.
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Authorized Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This Guarantee relates to K. Hovnanian&#146;s 10&#8541;% Senior Secured Notes due 2016&#151;
CUSIP No.: 442488BH4
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->R-20<!-- /Folio -->
</DIV>



</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-4.27
<SEQUENCE>4
<FILENAME>y91162exv4w27.htm
<DESCRIPTION>EX-4.27
<TEXT>
<HTML>
<HEAD>
<TITLE>exv4w27</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>EXHIBIT 4.27</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>EIGHTH SUPPLEMENTAL INDENTURE</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">dated as of April&nbsp;21, 2011
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">among
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">K. HOVNANIAN ENTERPRISES, INC.
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">HOVNANIAN ENTERPRISES, INC.
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">The Other Guarantors Party Hereto
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">and
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">DEUTSCHE BANK NATIONAL TRUST COMPANY
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">as Trustee
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="FONT-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">8&#8541;% Senior Notes due 2017
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS EIGHTH SUPPLEMENTAL INDENTURE</B>, dated as of April&nbsp;21, 2011 (this &#147;Eighth Supplemental
Indenture&#148;), to the Indenture dated as of November&nbsp;3, 2003 (the &#147;Base Indenture&#148;), among K.
Hovnanian Enterprises, Inc., a California corporation (the &#147;Issuer&#148;), Hovnanian Enterprises, Inc.
(the &#147;Company&#148;), each of the entities listed on Schedule&nbsp;I hereto (each an &#147;Undersigned&#148; or
&#147;Guarantor&#148;) and Deutsche Bank National Trust Company, as successor trustee (the &#147;Trustee&#148;) (the
Base Indenture as amended and supplemented to the date hereof, the &#147;Indenture&#148;).
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>W I T N E S S E T H:</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Issuer, the Company, the Guarantors and the Trustee have heretofore entered into
the Seventh Supplemental Indenture dated as of June&nbsp;12, 2006 (the &#147;Seventh Supplemental Indenture&#148;)
to the Indenture, and the 8&#8541;% Senior Notes due 2017 (the &#147;Notes&#148;) of the Issuer have been issued
pursuant thereto;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Issuer has solicited consents (each a &#147;Consent&#148; and collectively the &#147;Consents&#148;)
of Holders to the amendment of the Indenture and to the Notes set forth in Section&nbsp;2 of this Eighth
Supplemental Indenture (the &#147;Amendment&#148;) upon the terms and subject to the conditions set forth in
the Consent Solicitation Statement, dated April&nbsp;12, 2011 (the &#147;Statement&#148;), and in the related
Consent Form (the &#147;Consent Form&#148; and, together with the Statement, the &#147;Consent Documents&#148;);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, Section&nbsp;8.2 of the Base Indenture provides that the Issuer, the Company, the
Guarantors and the Trustee may amend or supplement the Indenture, the Notes and the Guarantees with
the written consent of the Holders of a majority in principal amount of the outstanding Notes;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Issuer has received and delivered to the Trustee written evidence of the Consents
from Holders of more than a majority of the outstanding aggregate principal amount of the Notes to
effect the Amendment;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, the Issuer, the Company and the Guarantors have been authorized by a resolution of
their respective Board of Directors, or the Board of Directors of their ultimate sole or managing
member, as the case may be, to enter into this Eighth Supplemental Indenture; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>WHEREAS</B>, all other acts and proceedings required by law, by the Indenture and by the
organizational documents of the Issuer, the Company and the Guarantors to make this Eighth
Supplemental Indenture a valid and binding agreement for the purposes expressed herein, in
accordance with its terms, have been duly done and performed;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>NOW, THEREFORE</B>, in consideration of the premises and the covenants and agreements contained
herein, and for other good and valuable consideration, the receipt of which is hereby acknowledged,
the Issuer, the Company, the Guarantors and the Trustee hereby agree as follows:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 1. </B><U>Definitions</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capitalized terms used herein and not otherwise defined herein are used as defined in the
Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 2. </B><U>Modification of Certain Definitions in Article&nbsp;2</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Article&nbsp;2 of the Seventh Supplemental Indenture is amended by adding, after the end of
clause (x)&nbsp;of the definition of &#147;Permitted Liens,&#148; a new clause (y)&nbsp;as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#148;(y)&nbsp;Liens securing Indebtedness permitted to be incurred under the Indenture (and all
obligations in respect thereof); <I>provided</I>, that the amount of Indebtedness secured by Liens
incurred pursuant to this clause (y)&nbsp;shall not exceed $12.2&nbsp;million and <I>provided</I>, <I>further </I>that the
amount of Indebtedness secured by Liens incurred pursuant to this clause (y)&nbsp;shall be used to pay
the redemption and/or repurchase price of the Issuer&#146;s 11<FONT style="FONT-size: 70%"><SUP>1</SUP></FONT>/<FONT style="FONT-size: 60%">2</FONT>% Senior Secured Notes due 2013 issued
pursuant to the indenture, dated as of May&nbsp;27, 2008, by and among the Issuer, Hovnanian, the other
guarantors named therein and Wilmington Trust Company, as trustee and the Issuer&#146;s 18% Senior
Secured Notes due 2017 issued pursuant to the indenture, dated as of December&nbsp;3, 2008, by and among
the Issuer, Hovnanian and the other guarantors named therein and Wilmington Trust Company, as
trustee.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 3. </B>This Eighth Supplemental Indenture will become effective immediately upon its
execution and delivery but the Amendment set forth in Section&nbsp;2 of this Eighth Supplemental
Indenture will not become operative unless and until payment of the Consent Consideration (as
defined in the Consent Documents) in respect of all Consents that were validly delivered (and not
revoked) on or prior to the Expiration Date (as defined in the Consent Documents).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 4. </B>This Eighth Supplemental Indenture shall be governed by and construed in accordance
with the laws of the State of New York.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 5. </B>This Eighth Supplemental Indenture may be signed in various counterparts, which
together will constitute one and the same instrument.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 6. </B>This Eighth Supplemental Indenture is an amendment supplemental to the Indenture,
and the Indenture and this Eighth Supplemental Indenture will henceforth be read together.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 7. </B>Except as expressly provided herein, all of the terms, provisions and conditions
of the Indenture and the Notes shall remain in full force and effect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 8. </B>If any provision of this Eighth Supplemental Indenture limits, qualifies or
conflicts with another provision of this Eighth Supplemental Indenture or the Indenture that is
required to be included by the Trust Indenture Act of 1939 as in force at the date as of which this
Eighth Supplemental Indenture is executed, the provision required by said Act shall control.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SECTION 9. </B>The Trustee shall not be responsible in any manner whatsoever for or in respect of
the validity or sufficiency of this Eighth Supplemental Indenture or for or in respect of the
Recitals contained herein, all of which are made solely by the Issuer, the Company and each of the
undersigned.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;<I>Signature Pages Follow</I>&#093;
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF</B>, the parties hereto have caused this Eighth Supplemental Indenture to
be duly executed as of the date first above written.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><B>K. HOVNANIAN ENTERPRISES, INC.</B>,<BR>
as Issuer<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President - Finance and Treasuer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><B>HOVNANIAN ENTERPRISES, INC.</B><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President - Finance and Treasuer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">On behalf of each of the entities listed on Schedule&nbsp;I hereto<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ David G. Valiaveedan
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">David G. Valiaveedan&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President - Finance and Treasuer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><B>DEUTSCHE BANK NATIONAL TRUST COMPANY</B>, as Trustee<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ George F. Kubin
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">George F. Kubin&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">  /s/ Victoria Y. Douyon
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Victoria Y. Douyon&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;8 5/8% Senior Notes due 2017 Supplemental Indenture&#093;
</DIV>





<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SCHEDULE I</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 0pt">AUDDIE ENTERPRISES, L.L.C.<BR>
BUILDER SERVICES NJ, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">BUILDER SERVICES NY, L.L.C.<BR>
BUILDER SERVICES PA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">DULLES COPPERMINE, L.L.C.<BR>
EASTERN NATIONAL TITLE AGENCY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">EASTERN TITLE AGENCY, INC.<BR>
F&#038;W MECHANICAL SERVICES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">FOUNDERS TITLE AGENCY OF MARYLAND, L.L.C.<BR>
FOUNDERS TITLE AGENCY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">GOVERNOR&#146;S ABSTRACT CO., INC.<BR>
HOMEBUYERS FINANCIAL SERVICES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN DEVELOPMENTS OF FLORIDA, INC.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF CALIFORNIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF FLORIDA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF GEORGIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF MARYLAND, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF NEW JERSEY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF NORTH CAROLINA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP OF TEXAS LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">HOVNANIAN LAND INVESTMENT GROUP OF VIRGINIA, L.L.C.<BR>
HOVNANIAN LAND INVESTMENT GROUP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOV INTERNATIONAL, INC.<BR>
K. HOV IP, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOV IP, II, INC.<BR>
K. HOVNANIAN ACQUISITIONS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT 4S, LLC<BR>
K. HOVNANIAN AT ACQUA VISTA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ALISO, LLC<BR>
K. HOVNANIAN AT ALLENTOWN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ALMOND ESTATES, LLC<BR>
K. HOVNANIAN AT ANDALUSIA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ARBOR HEIGHTS, LLC<BR>
K. HOVNANIAN AT AVENUE ONE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BAKERSFIELD 463, L.L.C.<BR>
K. HOVNANIAN AT BARNEGAT I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BARNEGAT II, L.L.C.<BR>
K. HOVNANIAN AT BELLA LAGO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BENSALEM, LLC<BR>
K. HOVNANIAN AT BERKELEY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BERNARDS V, L.L.C.<BR>
K. HOVNANIAN AT BLUE HERON PINES, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BRANCHBURG, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BRIDGEPORT, INC.<BR>
K. HOVNANIAN AT BRIDGEWATER I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT BROAD AND WALNUT, L.L.C.<BR>
K. HOVNANIAN AT CALABRIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMDEN I, L.L.C.<BR>
K. HOVNANIAN AT CAMERON CHASE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CAMP HILL, L.L.C.<BR>
K. HOVNANIAN AT CAPISTRANO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARLSBAD, LLC<BR>
K. HOVNANIAN AT CARMEL DEL MAR, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CARMEL VILLAGE, LLC<BR>
K. HOVNANIAN AT CASTILE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CEDAR GROVE III, L.L.C.<BR>
K. HOVNANIAN AT CEDAR GROVE V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHAPARRAL, INC.<BR>
K. HOVNANIAN AT CHARTER WAY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CHESTER I, L.L.C.<BR>
K. HOVNANIAN AT CHESTERFIELD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CIELO, L.L.C.<BR>
K. HOVNANIAN AT CLIFTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT COASTLINE, L.L.C.<BR>
K. HOVNANIAN AT CORTEZ HILL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CRANBURY, L.L.C.<BR>
K. HOVNANIAN AT CRESTLINE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT CURRIES WOODS, L.L.C.<BR>
K. HOVNANIAN AT DENVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DEPTFORD TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT DOMINGUEZ HILLS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT DOVER, L.L.C.<BR>
K. HOVNANIAN AT EAST BRANDYWINE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EASTLAKE, LLC<BR>
K. HOVNANIAN AT EDGEWATER II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EDGEWATER, L.L.C.<BR>
K. HOVNANIAN AT EGG HARBOR TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EGG HARBOR TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT EL DORADO RANCH II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EL DORADO RANCH, L.L.C.<BR>
K. HOVNANIAN AT ELK TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ENCINITAS RANCH, LLC<BR>
K. HOVNANIAN AT EVERGREEN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT EWING, L.L.C.<BR>
K. HOVNANIAN AT EWING II, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FAIR OAKS, L.L.C.<BR>
K. HOVNANIAN AT FIDDYMENT RANCH, LLC

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FIFTH AVENUE, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FLORENCE I, L.L.C.<BR>
K. HOVNANIAN AT FLORENCE II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FOREST MEADOWS, L.L.C.<BR>
K. HOVNANIAN AT FRANKLIN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FRANKLIN II, L.L.C.<BR>
K. HOVNANIAN AT FREEHOLD TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT FRESNO, LLC<BR>
K. HOVNANIAN AT GASLAMP SQUARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GILROY, LLC<BR>
K. HOVNANIAN AT GREAT NOTCH, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT GRIDLEY, LLC<BR>
K. HOVNANIAN AT GUTTENBERG, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HACKETTSTOWN II, L.L.C.<BR>
K. HOVNANIAN AT HAMBURG CONTRACTORS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAMBURG, L.L.C.<BR>
K. HOVNANIAN AT HAWTHORNE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HAZLET, L.L.C.<BR>
K. HOVNANIAN AT HERSHEY&#146;S MILL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HIGHLAND SHORES, L.L.C.<BR>
K. HOVNANIAN AT HIGHLAND VINEYARDS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HILLTOP, L.L.C.<BR>
K. HOVNANIAN AT HOWELL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT HUDSON POINTE, L.L.C.<BR>
K. HOVNANIAN AT JACKSON I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JACKSON, L.L.C.<BR>
K. HOVNANIAN AT JAEGER RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT JERSEY CITY IV, L.L.C.<BR>
K. HOVNANIAN AT JERSEY CITY V URBAN RENEWAL COMPANY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT KEYPORT, L.L.C.<BR>
K. HOVNANIAN AT KING FARM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA COSTA GREENS, L.L.C.<BR>
K. HOVNANIAN AT LA COSTA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA HABRA KNOLLS, LLC<BR>
K. HOVNANIAN AT LA LAGUNA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LA PAZ, LLC<BR>
K. HOVNANIAN AT LA TERRAZA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAFAYETTE ESTATES, L.L.C.<BR>
K. HOVNANIAN AT LAKE RANCHO VIEJO, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LAKE TERRAPIN, L.L.C.<BR>
K. HOVNANIAN AT LANDMARK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LARKSPUR, LLC<BR>
K. HOVNANIAN AT LAWRENCE V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LEE SQUARE, L.L.C.<BR>
K. HOVNANIAN AT LINWOOD, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR CONTRACTORS, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR III, L.L.C.<BR>
K. HOVNANIAN AT LITTLE EGG HARBOR TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LITTLE EGG HARBOR, L.L.C.<BR>
K. HOVNANIAN AT LIVE OAK II, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LONG BRANCH I, L.L.C.<BR>
K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MACUNGIE TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT LOWER MAKEFIELD TOWNSHIP I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MORELAND I, L.L.C.<BR>
K. HOVNANIAN AT LOWER MORELAND II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT LOWER MORELAND III, L.L.C.<BR>
K. HOVNANIAN AT MACUNGIE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MAHWAH VI, INC.<BR>
K. HOVNANIAN AT MALAN PARK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANALAPAN III, L.L.C.<BR>
K. HOVNANIAN AT MANSFIELD I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANSFIELD II, L.L.C.<BR>
K. HOVNANIAN AT MANSFIELD III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MANTECA, LLC<BR>
K. HOVNANIAN AT MAPLE AVENUE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO TOWNSHIP IX, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO TOWNSHIP V, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO TOWNSHIP VIII, L.L.C.<BR>
K. HOVNANIAN AT MARLBORO VI, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MARLBORO VII, L.L.C.<BR>
K. HOVNANIAN AT MATSU, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MELANIE MEADOWS, LLC<BR>
K. HOVNANIAN AT MENDHAM TOWNSHIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MENIFEE, LLC<BR>
K. HOVNANIAN AT MIDDLE TOWNSHIP II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MIDDLE TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT MIDDLETOWN II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MILLVILLE I, L.L.C.<BR>
K. HOVNANIAN AT MILLVILLE II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONROE II, INC.<BR>
K. HOVNANIAN AT MONROE IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONROE NJ, L.L.C.<BR>
K. HOVNANIAN AT MONTVALE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MONTVALE II, LLC<BR>
K. HOVNANIAN AT MOSAIC, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT MT. OLIVE TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT MUIRFIELD, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NEW BRUNSWICK URBAN RENEWAL, L.L.C.<BR>
K. HOVNANIAN AT NEW WINDSOR, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH BERGEN. L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH BRUNSWICK VI, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL III, L.L.C.<BR>
K. HOVNANIAN AT NORTH CALDWELL IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH CALDWELL, L.L.C.<BR>
K. HOVNANIAN AT NORTH HALEDON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTH WILDWOOD, L.L.C.<BR>
K. HOVNANIAN AT NORTHAMPTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHERN WESTCHESTER, INC.<BR>
K. HOVNANIAN AT NORTHFIELD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT NORTHLAKE, INC.<BR>
K. HOVNANIAN AT OCEAN TOWNSHIP, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OCEAN WALK, INC.<BR>
K. HOVNANIAN AT OCEANPORT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT OLD BRIDGE, L.L.C.<BR>
K. HOVNANIAN AT OLDE ORCHARD, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PACIFIC BLUFFS, LLC<BR>
K. HOVNANIAN AT PARAMUS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARK LANE, LLC<BR>
K. HOVNANIAN AT PARKSIDE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PARSIPPANY, L.L.C.<BR>
K. HOVNANIAN AT PARSIPPANY-TROY HILLS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PERKIOMEN II, INC.<BR>
K. HOVNANIAN AT PHILADELPHIA II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PHILADELPHIA III, L.L.C.<BR>
K. HOVNANIAN AT PHILADELPHIA IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PIAZZA D&#146;ORO, L.L.C.<BR>
K. HOVNANIAN AT PIAZZA SERENA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PITTSGROVE, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL IV, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL V, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VI, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VII, L.L.C.<BR>
K. HOVNANIAN AT PORT IMPERIAL URBAN RENEWAL VIII, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT POSITANO, LLC<BR>
K. HOVNANIAN AT PRADO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANCHO 79, LLC<BR>
K. HOVNANIAN AT RANCHO CRISTIANITOS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RANCHO SANTA MARGARITA, LLC<BR>
K. HOVNANIAN AT RANDOLPH I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RAPHO, L.L.C.<BR>
K. HOVNANIAN AT READINGTON II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RED BANK, L.L.C.<BR>
K. HOVNANIAN AT RIDGEMONT, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RIVERBEND, LLC
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT RIVERCREST, LLC<BR>
K. HOVNANIAN AT RODERUCK, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT ROSEMARY LANTANA, L.L.C.<BR>
K. HOVNANIAN AT ROWLAND HEIGHTS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAGE, L.L.C.<BR>
K. HOVNANIAN AT SAN SEVAINE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SANTA FE SPRINGS, LLC<BR>
K. HOVNANIAN AT SANTA NELLA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SARATOGA, INC.<BR>
K. HOVNANIAN AT SAWMILL, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SAYREVILLE, L.L.C.<BR>
K. HOVNANIAN AT SHELDON GROVE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SHREWSBURY, LLC<BR>
K. HOVNANIAN AT SCOTCH PLAINS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SIERRA ESTATES, LLC<BR>
K. HOVNANIAN AT SILVER SPRING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SKYE ISLE, LLC<BR>
K. HOVNANIAN AT SMITHVILLE III, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SMITHVILLE, INC<BR>
K. HOVNANIAN AT SOMERS POINT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SOUTH BRUNSWICK, L.L.C.<BR>
K. HOVNANIAN AT SOUTH BRUNSWICK II, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SPARTA, L.L.C.<BR>
K. HOVNANIAN AT SPRINGCO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT STANTON, LLC<BR>
K. HOVNANIAN AT STATION SQUARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT STONE CANYON, INC.<BR>
K. HOVNANIAN AT SUNRIDGE PARK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT SUNSETS, LLC<BR>
K. HOVNANIAN AT SYCAMORE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TEANECK, L.L.C.<BR>
K. HOVNANIAN AT THE CLIFFS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE CROSBY, LLC<BR>
K. HOVNANIAN AT THE GABLES, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THE MONARCH, L.L.C.<BR>
K. HOVNANIAN AT THE PRESERVE, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT THOMPSON RANCH, LLC<BR>
K. HOVNANIAN AT THORNBURY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TRAIL RIDGE, LLC<BR>
K. HOVNANIAN AT TRENTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT TROVATA, INC.<BR>
K. HOVNANIAN AT UNION TOWNSHIP I, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP II, L.L.C.<BR>
K. HOVNANIAN AT UPPER FREEHOLD TOWNSHIP III, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER MAKEFIELD I, INC.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT UPPER UWCHLAN II, L.L.C.<BR>
K. HOVNANIAN AT UPPER UWCHLAN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VAIL RANCH, INC.<BR>
K. HOVNANIAN AT VALLE DEL SOL, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VERONA URBAN RENEWAL, L.L.C.<BR>
K. HOVNANIAN AT VICTORVILLE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT VINELAND, L.L.C.<BR>
K. HOVNANIAN AT VISTA DEL SOL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WANAQUE, L.L.C.<BR>
K. HOVNANIAN AT WARMINSTER, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WARREN TOWNSHIP, L.L.C.<BR>
K. HOVNANIAN AT WASHINGTON, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WATERSTONE, LLC<BR>
K. HOVNANIAN AT WAYNE IX, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WAYNE, VIII, L.L.C.<BR>
K. HOVNANIAN AT WEST BRADFORD, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WEST VIEW ESTATES, L.L.C.<BR>
K. HOVNANIAN AT WEST WINDSOR, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WESTSHORE, LLC<BR>
K. HOVNANIAN AT WHEELER RANCH, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WILDROSE, INC.<BR>
K. HOVNANIAN AT WILDWOOD BAYSIDE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WILLOW BROOK, L.L.C.<BR>
K. HOVNANIAN AT WINCHESTER, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WOODCREEK WEST, LLC<BR>
K. HOVNANIAN AT WOODHILL ESTATES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN AT WOOLWICH I, L.L.C.<BR>
K. HOVNANIAN CAMBRIDGE HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CENTRAL ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN CLASSICS CIP, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CLASSICS, L.L.C.<BR>
K. HOVNANIAN COMMUNITIES, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES METRO D.C. NORTH, L.L.C.<BR>
K. HOVNANIAN COMPANIES NORTHEAST, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF CALIFORNIA, INC.<BR>
K. HOVNANIAN COMPANIES OF MARYLAND, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF NEW YORK, INC.<BR>
K. HOVNANIAN COMPANIES OF PENNSYLVANIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES OF SOUTHERN CALIFORNIA, INC.<BR>
K. HOVNANIAN COMPANIES OF VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN COMPANIES, LLC<BR>
K. HOVNANIAN CONNECTICUT ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONSTRUCTION II, INC<BR>
K. HOVNANIAN CONSTRUCTION III, INC

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CONSTRUCTION MANAGEMENT, INC.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN CRAFTBUILT HOMES OF SOUTH CAROLINA, L.L.C.<BR>
K. HOVNANIAN DELAWARE ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF ARIZONA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF CALIFORNIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF CONNECTICUT, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF D.C., INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF DELAWARE, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF GEORGIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF ILLINOIS, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF INDIANA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF KENTUCKY, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF MARYLAND, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF MICHIGAN, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF MINNESOTA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY II, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NEW JERSEY, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF NEW YORK, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF NORTH CAROLINA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF OHIO, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF PENNSYLVANIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF SOUTH CAROLINA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF TEXAS, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN DEVELOPMENTS OF VIRGINIA, INC.<BR>
K. HOVNANIAN DEVELOPMENTS OF WEST VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN EASTERN PENNSYLVANIA, L.L.C.<BR>
K. HOVNANIAN FIRST HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FLORIDA REALTY, L.L.C.<BR>
K. HOVNANIAN FOUR SEASONS @ HISTORIC VIRGINIA, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN FOUR SEASONS AT GOLD HILL, LLC<BR>
K. HOVNANIAN GREAT WESTERN BUILDING COMPANY, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN GREAT WESTERN HOMES, LLC<BR>
K. HOVNANIAN HAMPTONS AT OAK CREEK II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOLDINGS NJ, L.L.C.<BR>
K. HOVNANIAN HOMES &#151; DFW, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT CAMERON STATION, LLC<BR>
K. HOVNANIAN HOMES AT CAMP SPRINGS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT FAIRWOOD, L.L.C.<BR>
K. HOVNANIAN HOMES AT FOREST RUN, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT GREENWAY FARM PARK TOWNS, L.L.C.<BR>
K. HOVNANIAN HOMES AT GREENWAY FARM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT JONES STATION 1, L.L.C.<BR>
K. HOVNANIAN HOMES AT JONES STATION 2, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT MAXWELL PLACE, L.L.C.<BR>
K. HOVNANIAN HOMES AT PAYNE STREET, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT RENAISSANCE PLAZA, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES AT RUSSETT, L.L.C.<BR>
K. HOVNANIAN HOMES AT THE HIGHLANDS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES NORTHERN CALIFORNIA, INC.<BR>
K. HOVNANIAN HOMES OF D.C., L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF DELAWARE, L.L.C.<BR>
K. HOVNANIAN HOMES OF GEORGIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF HOUSTON, L.L.C.<BR>
K. HOVNANIAN HOMES OF INDIANA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF MARYLAND, L.L.C.<BR>
K. HOVNANIAN HOMES OF MINNESOTA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF NORTH CAROLINA, INC.<BR>
K. HOVNANIAN HOMES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF SOUTH CAROLINA, LLC<BR>
K. HOVNANIAN HOMES OF VIRGINIA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN HOMES OF WEST VIRGINIA, L.L.C.<BR>
K. HOVNANIAN LIBERTY ON BLUFF CREEK, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN NORTH CENTRAL ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN NORTH JERSEY ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN NORTHEAST SERVICES, L.L.C.<BR>
K. HOVNANIAN OF HOUSTON II, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN OHIO REALTY, L.L.C.<BR>
K. HOVNANIAN OSTER HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PA REAL ESTATE, INC.<BR>
K. HOVNANIAN PENNSYLVANIA ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN PORT IMPERIAL URBAN RENEWAL, INC.<BR>
K. HOVNANIAN PROPERTIES OF RED BANK, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SHORE ACQUISITIONS, L.L.C.<BR>
K. HOVNANIAN SOUTH JERSEY ACQUISITIONS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SOUTHERN NEW JERSEY, L.L.C.<BR>
K. HOVNANIAN STANDING ENTITY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOLDINGS, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF KENTUCKY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF MICHIGAN, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN SUMMIT HOMES OF WEST VIRGINIA, L.L.C.<BR>
K. HOVNANIAN SUMMIT HOMES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C HOMES AT FLORIDA, L.L.C.<BR>
K. HOVNANIAN T&#038;C HOMES AT ILLINOIS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN T&#038;C INVESTMENT, L.L.C.<BR>
K. HOVNANIAN T&#038;C MANAGEMENT CO., L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN TIMBRES AT ELM CREEK, LLC<BR>
K. HOVNANIAN VENTURE I, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN WINDWARD HOMES, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT ASHBURN VILLAGE, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAILEY&#146;S GLENN, L.L.C.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT BAKERSFIELD, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT BEAUMONT, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT CHARLOTTESVILLE, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY CONDOMINIUM, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT DULLES DISCOVERY, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT HEMET, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND CONDOMINIUMS, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT KENT ISLAND, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT LOS BANOS, LLC<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT MORENO VALLEY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT NEW KENT VINEYARDS, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT PALM SPRINGS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RENAISSANCE, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK II, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT RUSH CREEK, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS AT ST. MARGARETS LANDING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S FOUR SEASONS AT VINT HILL, L.L.C.<BR>
K. HOVNANIAN&#146;S FOUR SEASONS, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">K. HOVNANIAN&#146;S PARKSIDE AT TOWNGATE, L.L.C.<BR>
K. HOVNANIAN&#146;S PRIVATE HOME PORTFOLIO, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">KHIP, L.L.C.<BR>
LANDARAMA, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT CHESTERFIELD, LLC<BR>
M&#038;M AT CRESCENT COURT, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">M&#038;M AT WEST ORANGE, L.L.C.<BR>
M&#038;M AT WHEATENA URBAN RENEWAL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MATZEL &#038; MUMFORD AT EGG HARBOR, L.L.C.<BR>
MATZEL &#038; MUMFORD AT SOUTH BOUND BROOK URBAN RENEWAL, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MCNJ, INC.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF KENTUCKY, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF MICHIGAN, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF PENNSYLVANIA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES OF WEST VIRGINIA, L.L.C.<BR>
MIDWEST BUILDING PRODUCTS &#038; CONTRACTOR SERVICES, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">MMIP, L.L.C.<BR>
NATOMAS CENTRAL NEIGHBORHOOD HOUSING, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">NEW LAND TITLE AGENCY, L.L.C.<BR>
PADDOCKS, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">PARK TITLE COMPANY, LLC<BR>
PINE AYR, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">RIDGEMORE UTILITY, L.L.C.<BR>
SEABROOK ACCUMULATION CORPORATION

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">STONEBROOK HOMES, INC.
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 0pt">TERRAPIN REALTY, L.L.C.<BR>
THE HIGHLANDS CONDOMINIUMS AT METROSQUARE, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">THE MATZEL &#038; MUMFORD ORGANIZATION, INC<BR>
THE RESIDENCE AT DULLES PARKWAY CORPORATE CENTER, LLC

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">THE RESIDENCE AT GREENFIELD CROSSING, L.L.C.<BR>
WASHINGTON HOMES AT COLUMBIA TOWN CENTER, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WASHINGTON HOMES, INC.<BR>
WESTMINSTER HOMES OF ALABAMA, L.L.C.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES OF MISSISSIPPI, LLC<BR>
WESTMINSTER HOMES OF TENNESSEE, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WESTMINSTER HOMES, INC.<BR>
WH LAND I, INC.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WH PROPERTIES, INC.<BR>
WH/PR LAND COMPANY, L.L.C.

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 0pt">WOODLAND LAKE CONDOMINIUMS AT BOWIE NEW TOWN, L.L.C.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>


</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-5.3
<SEQUENCE>5
<FILENAME>y91162exv5w3.htm
<DESCRIPTION>EX-5.3
<TEXT>
<HTML>
<HEAD>
<TITLE>exv5w3</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;5.3</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;Simpson Thacher &#038; Bartlett Letterhead&#093;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left: 55%; margin-top: 6pt">May&nbsp;5, 2011
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Hovnanian Enterprises, Inc.<BR>
110 West Front Street<BR>
P.O. Box 500<BR>
Red Bank, New Jersey 07701

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. Hovnanian Enterprises, Inc.<BR>
110 West Front Street<BR>
P.O. Box 500<BR>
Red Bank, New Jersey 07701

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Ladies and Gentlemen:

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have acted as counsel to Hovnanian Enterprises, Inc., a Delaware corporation (&#147;Hovnanian&#148;),
and to K. Hovnanian Enterprises, Inc., a California corporation and a wholly-owned subsidiary of
Hovnanian (&#147;K. Hovnanian&#148;), and to certain other subsidiaries of Hovnanian (the &#147;Subsidiary
Registrants&#148;) in connection with the Registration Statement on Form S-3 (File No.&nbsp;333-173365) (the
&#147;Registration Statement&#148;) filed by Hovnanian, K. Hovnanian and the Subsidiary Registrants with the
Securities and Exchange Commission (the &#147;Commission&#148;) under the Securities Act of 1933, as amended
(the &#147;Securities Act&#148;), and the issuance thereunder by K. Hovnanian of $12,000,000 aggregate
principal amount of 10&#8541;% Senior Secured Notes due 2016 (the &#147;Notes&#148;), unconditionally guaranteed
(each a &#147;Guarantee,&#148; and collectively, the &#147;Guarantees&#148;) on a senior secured basis by Hovnanian and
the Subsidiary Registrants (together, in such capacity, the &#147;Guarantors&#148;), pursuant to the
Underwriting Agreement dated April&nbsp;29, 2011, among K. Hovnanian, the Guarantors and the underwriter
named therein (the &#147;Underwriting Agreement&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have examined the Registration Statement as it became effective under the Securities Act;
K. Hovnanian&#146;s and Hovnanian&#146;s prospectus dated April&nbsp;18, 2011 (the &#147;Base Prospectus&#148;),
as supplemented by the prospectus supplement dated April&nbsp;29, 2011 (together with the Base
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Prospectus, the &#147;Prospectus&#148;), filed by K. Hovnanian and Hovnanian pursuant to Rule 424(b) of the
rules and regulations of the Commission under the Securities Act; the Indenture dated as of October&nbsp;20, 2009 (the &#147;Base Indenture&#148;), among K. Hovnanian,
Hovnanian, the other Guarantors party thereto and Wilmington Trust Company, a Delaware banking
corporation, as trustee (the &#147;Trustee&#148;), as supplemented by the First Supplemental Indenture dated
as of May&nbsp;4, 2011 (the &#147;First Supplemental Indenture&#148; and, together with the Base Indenture, the
&#147;Indenture&#148;), among K. Hovnanian, Hovnanian, the other Guarantors party thereto and the Trustee; a
duplicate of the global note representing the Notes; a duplicate of the Guarantees annexed to the
Notes; and the Underwriting Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also have examined the originals, or duplicates or certified or conformed copies, of such
corporate and other records, agreements, documents and other instruments and have made such other
investigations as we have deemed relevant and necessary in connection with the opinions hereinafter
set forth. As to questions of fact material to this opinion, we have relied upon certificates or
comparable documents or statements of public officials and of officers and representatives of
Hovnanian and K. Hovnanian.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In rendering the opinions set forth below, we have assumed the genuineness of all signatures,
the legal capacity of natural persons, the authenticity of all documents submitted to us as
originals, the conformity to original documents of all documents submitted to us as duplicates or
certified or conformed copies and the authenticity of the originals of such latter documents.
We also have assumed that the Indenture is the valid and legally binding obligation of the Trustee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based upon the foregoing, and subject to the qualifications, assumptions and limitations
stated herein, we are of the opinion that:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Assuming the Notes have been duly authorized, executed and issued by K.
Hovnanian and, assuming due authentication thereof by the Trustee, the Notes
constitute valid and legally binding obligations of K. Hovnanian enforceable
against K. Hovnanian in accordance with their terms.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Assuming the Guarantees have been duly authorized, executed and issued
by the Subsidiary Registrants, and assuming due authentication of the
Notes by the Trustee, the Guarantees constitute valid and legally binding
obligations of the Guarantors enforceable against the Guarantors in accordance with
their terms.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our opinions set forth above are subject to (i)&nbsp;the effects of bankruptcy, insolvency,
fraudulent conveyance, reorganization, moratorium and other similar laws relating to or affecting
creditors&#146; rights generally, (ii)&nbsp;general equitable principles (whether considered in a proceeding
in equity or at law) and (iii)&nbsp;an implied covenant of good faith and fair dealing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We do not express any opinion herein concerning any law other than the law of the State of New
York, the federal Law of the United States and the Delaware General Corporation Law (including the
statutory provisions, all applicable provisions of the Delaware Constitution and reported judicial
decisions interpreting the foregoing).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We hereby consent to the filing of this opinion letter as Exhibit&nbsp;5.3 to the Current Report on
Form 8-K of Hovnanian filed with the Commission in connection with
the closing of the offering of the Notes
and to the use of our name under the caption &#147;Legal Matters&#148; in the Prospectus.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Very truly yours,<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Simpson Thacher &#038; Bartlett
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">SIMPSON THACHER &#038; BARTLETT LLP&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-5.4
<SEQUENCE>6
<FILENAME>y91162exv5w4.htm
<DESCRIPTION>EX-5.4
<TEXT>
<HTML>
<HEAD>
<TITLE>exv5w4</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;5.4</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;Hovnanian Enterprises, Inc. Letterhead&#093;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-left: 55%; margin-top: 6pt">May&nbsp;5, 2011
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Hovnanian Enterprises, Inc.<BR>
110 West Front Street<BR>
P.O. Box 500<BR>
Red Bank, New Jersey 07701

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">K. Hovnanian Enterprises, Inc.<BR>
110 West Front Street<BR>
P.O. Box 500<BR>
Red Bank, New Jersey 07701

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Ladies and Gentlemen:

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I am Senior Vice President and General Counsel of Hovnanian Enterprises, Inc., a Delaware
corporation (&#147;Hovnanian&#148;), and of K. Hovnanian Enterprises, Inc., a California corporation and a
wholly-owned subsidiary of Hovnanian (&#147;K. Hovnanian&#148;). Hovnanian, K. Hovnanian and certain other
subsidiaries of Hovnanian (the &#147;Subsidiary Registrants&#148;) have filed a Registration Statement on
Form S-3 (File No.&nbsp;333-173365) (the &#147;Registration Statement&#148;) with the Securities and Exchange
Commission (the &#147;Commission&#148;) under the Securities Act of 1933, as amended (the &#147;Securities Act&#148;),
pursuant to which K. Hovnanian has issued $12,000,000 aggregate principal amount of 10&#8541;% Senior
Notes due 2016 (the &#147;Notes&#148;), unconditionally guaranteed (each a &#147;Guarantee,&#148; and collectively, the
&#147;Guarantees&#148;) on a senior secured basis by Hovnanian and the Subsidiary Registrants (together, in
such capacity, the &#147;Guarantors&#148;), pursuant to the Underwriting Agreement dated April&nbsp;29, 2011,
among K. Hovnanian, the Guarantors and the underwriter named therein (the &#147;Underwriting Agreement&#148;)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I have examined the Registration Statement as it became effective under the Securities Act; K.
Hovnanian&#146;s and Hovnanian&#146;s prospectus dated April&nbsp;18, 2011 (the &#147;Base Prospectus&#148;), as
supplemented by the prospectus supplement dated April&nbsp;29, 2011 (together with the Base
Prospectus, the &#147;Prospectus&#148;), filed by K. Hovnanian and Hovnanian pursuant to Rule 424(b) of
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the rules and regulations of the Commission under the Securities Act;
the Indenture dated as of October&nbsp;20, 2009 (the &#147;Base Indenture&#148;), among K.
Hovnanian, Hovnanian, the other Guarantors party thereto and Wilmington Trust Company, a Delaware
banking corporation, as trustee (the &#147;Trustee&#148;), as supplemented by the First Supplemental
Indenture dated as of May&nbsp;4, 2011 (the &#147;First Supplemental Indenture&#148; and, together with the Base
Indenture, the &#147;Indenture&#148;), among K. Hovnanian, Hovnanian, the other Guarantors party thereto and
the Trustee; a duplicate of the global note representing the Notes; a duplicate of the Guarantees
annexed to the Notes; and the Underwriting Agreement. I also have examined the originals, or
duplicates or certified or conformed copies, of such corporate and other records, agreements,
documents and other instruments and have made such other investigations as I have deemed relevant
and necessary in connection with the opinions hereinafter set forth. As to questions of fact
material to this opinion, I have relied upon certificates or comparable documents or statements of
public officials and of officers and representatives of Hovnanian and K. Hovnanian.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In rendering the opinions set forth below, I have assumed the genuineness of all signatures,
the legal capacity of natural persons, the authenticity of all documents submitted to me as
originals, the conformity to original documents of all documents submitted to me as duplicates or
certified or conformed copies and the authenticity of the originals of such latter documents.
I also have assumed that the Indenture is the valid and legally binding obligation of the Trustee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based upon the foregoing, and subject to the qualifications, assumptions and limitations
stated herein, I am of the opinion that:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Notes have been duly authorized, executed and issued by K.
Hovnanian.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Guarantees have been duly authorized, executed and issued
by the Subsidiary Registrants.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I am a member of the Bar of the State of New Jersey, and I do not express any opinion herein
concerning any law other than the law of the State of New Jersey and the State of California.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I hereby consent to the filing of this opinion letter as Exhibit&nbsp;5.4 to the Current Report on
Form 8-K of Hovnanian filed with the Commission in connection with
the closing of the offering of the Notes and to the use of my name under the caption &#147;Legal Matters&#148;
in the Prospectus.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Very truly yours,<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Peter S. Reinhart
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Peter S. Reinhart <BR>
Senior Vice President and&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">General Counsel&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>7
<FILENAME>y91162exv99w1.htm
<DESCRIPTION>EX-99.1
<TEXT>
<HTML>
<HEAD>
<TITLE>exv99w1</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;99.1</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Information Relating to Part II, Item&nbsp;14 &#151; Other Expenses of Issuance and Distribution</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The expenses in connection with the issuance and distribution by K. Hovnanian Enterprises,
Inc. (&#147;K. Hovnanian&#148;), a wholly-owned subsidiary of Hovnanian Enterprises, Inc. (&#147;Hovnanian&#148;) of
$12,000,000 aggregate principal amount of 10&#8541;% Senior Secured Notes due 2016 (the &#147;Notes&#148;),
registered pursuant to Hovnanian&#146;s and K. Hovnanian&#146;s Registration Statement on Form S-3 (File No.
333-173365) filed on April&nbsp;7, 2011, other than underwriting discounts and commissions, are set
forth in the following table. All amounts are estimated except the Securities and Exchange
Commission registration fee.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Securities and Exchange Commission Registration Fee(1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Trustee&#146;s Fees and Expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Legal fees and expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accounting fees and expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">125,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Printing and duplicating expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Miscellaneous expenses (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">380,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">864,260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96%"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Registration fee previously paid in connection with the registration by Hovnanian and K.
Hovnanian of an indeterminate amount of securities with an aggregate initial offering price
not to exceed $200,000,000 or the equivalent thereof in one or more foreign currencies
pursuant to the Registration Statement.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes, among other expenses, certain fees and expenses payable in connection with K.
Hovnanian&#146;s solicitation of consents to amend the indenture governing K. Hovnanian&#146;s 8&#8541;%
Senior Notes due 2017, in order to permit the issuance of the Notes.</TD>
</TR>

</TABLE>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



</BODY>
</HTML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
