In addition, Knight received 12,000 shares of restricted stock, scheduled to vest in quarterly increments, beginning on Sept. 15, 2005. He also is entitled to receive a cash bonus, payable quarterly, not to exceed $150,000 aggregate, to be determined by the Compensation Committee of AmeriVest's board.

In addition, as of Aug. 31, the 34,800 shares of unvested portion of those shares of common stock due to Knight under AmeriVest's long-term incentive plan with Knight vested immediately.

Before the new agreement, Knight was entitled to receive in 2005 an annual base salary of $195,000 and would have been eligible to receive a bonus package under AmeriVest's long-term incentive compensation plan. Under that plan, Knight could receive a one-year bonus up to $117,000, based on company performance during 2005 relative to its competitors; a three-year bonus award of up to $351,000, based on company performance relative to its competitors over the three-year period ending Dec. 31; and the third of five annual awards of 11,600 shares of AmeriVest's common stock. These remaining annual awards, totaling 34,800 shares, vested immediately upon execution of the amended agreement with Knight.

If Knight is fired for other than cause prior to June 30, 2006, he will be entitled to receive a severance payment equal to two years base salary, his earned bonus, calculated through the date of termination, and health benefits for a period of 24 months. If AmeriVest opts not to renew Knight's employment contract, he will be entitled to receive a severance payment, equal to one-year base salary, his earned bonus and 12 months of health benefits. Knight will be ineligible to receive either such severance package in the event that he is also entitled to receive severance pursuant to the change of control provisions in the agreement.

Last week, Knight announced that as part of the company's strategic review and analysis of its various markets and submarkets, it will sell properties that do not fit its portfolio as the company moves forward. "The decision to dispose of these particular assets at this time reflects our desire to stabilize and de-leverage our balance sheet and focus our efforts on properties that will be accretive to earnings in the near term, and which are located in improving markets where we can still add value," said Knight upon the announcement.

Following the sale of the buildings, AmeriVest will be left with only three properties in the Denver area. The five buildings it will be selling are: Financial Plaza in Mesa, AZ; AmeriVest Plaza and Panorama Falls in Englewood, CO; Chateau Plaza in Dallas; and Keystone Office Park in Indianapolis.

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