Confidential Instructions to Pat

• Carefully read and internalize the confidential information provided for your role as Pat. Make
sure you understand every aspect of your character's position and motivations.
• Do not discuss your role, goals, or any confidential details with anyone before completing the
negotiation. Maintain secrecy to ensure a realistic negotiation experience.
• Be well-versed in all facts related to your role before you begin the negotiation. This knowledge
will help you make informed decisions and drive persuasive arguments during the negotiation.
• Embody your role and immerse yourself in the character. Avoid referring to the role sheet or
saying, "The role says I should do this." Instead, act as if you are truly in your character's shoes,
responding naturally to the negotiation as it unfolds.
• Feel free to introduce new, relevant facts as the negotiation progresses, but ensure they do not
conflict with or change any existing facts in your role. These additions should enhance the
negotiation without altering your character's core objectives.
• The negotiation has a 60-minute time limit. Cease negotiations once the time is up, whether or
not you've reached an agreement. The time constraint adds a sense of urgency and realism to
the negotiation process.
• If you reach an agreement before the time limit expires, use the remaining time to disclose your
roles' confidential information to each other. With this new knowledge, explore potential
improvements to the agreement that would benefit both parties.
• During the negotiation, consider the company's interests and specific requests, as well as your
own interests, while aiming to strike a balance between the two. Keep in mind the importance
of maintaining a positive relationship with Tracy and finding a solution that satisfies everyone.
• Be prepared to think creatively and adapt to new information or unexpected proposals from
Tracy. Flexibility and open-mindedness can lead to mutually beneficial outcomes.
• Reflect on your negotiation strategies and communication skills throughout the process, and
apply any lessons learned to improve future negotiations.
• Remember, the primary goal is to reach an agreement that satisfies the company's
requirements and benefits both parties, all while keeping the company's interests and future
plans in mind.

You (Pat) work at a bank and have recently met with Chris, a senior manager for a small US company
that is owned by a large, multinational company based in India. This company specializes in constructing
and selling apartments for the elderly. Two years ago, you were involved in financing the construction of
a large apartment building for senior citizens in your community, which impressed you. The construction
cost for each apartment was around $150,000, and the company planned to sell the apartments for at
least $200,000.

In your recent meeting, Chris updated you on the project. Although only half of the apartments in the
building have been sold, the company remains optimistic about future sales due to the rising number of
elderly residents in the area. In fact, they are planning to construct a second apartment building. The
company has decided to base its operations in your area, which is why Chris wanted to meet with you.

Chris informed you that the company has acquired an ideal site for its headquarters, a vacant storage
building that will be converted into offices. The building is located east of Main Street, at the corner of
Oak Street. However, they recently learned that local law requires them to add additional parking space
before they can convert the building from storage to offices. Because there is no parking space available
near the building on the east side of Main Street, the company has decided to acquire property west of
Main Street, across the street from the building.

The lots on the west side of Main Street are exceptionally long, with depths of almost 150 feet (46
meters). The back yards alone are nearly 75 feet (23 meters) deep. The company needs to purchase only
two of these lots for parking and has selected Lots A and B, which are nearly identical properties. See
the attached diagram, which is not drawn to scale.

Lot B and the eastern 1/3 of Lot A would be sufficient to meet the company's additional parking needs.
Unlike the neighboring houses, the beautiful, old Victorian houses on these two lots are run down and
need expensive repairs. The company plans to tear them down when the parking lot is built and will
develop landscaping (with attractive trees and shrubs) on the areas of the property not used for parking,
which will shield the parking lot from neighbors.

The company has already signed a contract to purchase Lot B (which is directly across the street from
the storage building) for $245,000, and the property transfer will be finalized in two weeks. The contract
includes a “confidentiality agreement,” where the owner agrees not to disclose the buyer's name or the
price to anyone until the property transfer is completed.

There is limited information about property values. The neighborhood is very stable and homes sell
infrequently. The company did learn that Lot D—across the street from Lot A and with a house in
excellent condition—sold six years ago for $135,000. As it discovered when purchasing Lot B for
$245,000, real estate values have increased considerably over the past six years. The company also
knows that Lot A is assessed for tax purposes at $140,000, but tax assessments are well below market
values.

Acquiring Lot A might be difficult for the company. The neighborhood to the west of Main Street is
entirely residential with no businesses, although the law does allow business use (including parking lots).
Several years ago, the owner of Lot A formed a homeowners' association to fight businesses that
attempt to buy property in the neighborhood. As a result, the owner of Lot A might refuse to sell the
property to the company at any price. Even if he did sell, the owner would expect a higher price from a
large, multinational company than from an individual buyer. The company learned this the hard way
when it had to pay $245,000 to the owner of Lot B

Given these problems, Chris told you that the company wants to hire you as a secret agent to acquire
the property. In this role, you would attempt to purchase the property without disclosing to the owner
that you are working for this company until after the contract is signed. The company would authorize
you to pay up to $250,000 for Lot A, which is slightly more than it paid for Lot B. Chris hopes that the
purchase price will be lower than $250,000. However, if the owner learns that you are a secret agent for
a large multinational company, he might demand a much higher amount than $250,000.

Assume that in this area, the use of secret agents is legal unless the agent lies about being a secret
agent. For example, if the seller asks you whether you are buying the property on behalf of someone
else and you lie by answering "no," the seller could cancel the contract when the true facts become
known. But if the question does not arise, or if you avoid answering the question, the contract is
binding.
The bank has given you permission to work as a secret agent for the company, an important customer of
the bank. The company will pay you a fee, which the bank has approved.

You accept Chris's offer. The extra money would be especially welcome, as salaries at your bank are low.
You have a new baby (your fourth child) and live in a small house. Your car needs expensive repairs, and
you must repay large college loans. Because you get along well with Chris, you hope that, if you do a
good job, you might receive a job offer from the company, which pays much higher salaries than the
bank.

The bank has already agreed to finance the company’s purchase of Lot A, which would be a cash sale.
The company wants to sign a contract with the owner of Lot A as soon as possible. It wants to schedule
the transfer of possession within one month after the contract is signed, so that it can immediately
demolish the two houses and begin work on the parking lot.

If you are not successful in your negotiation, the company will purchase Lot C, where there is a large,
well-maintained house. Through confidential negotiations with the owner, the company learned that Lot
C can be purchased for $265,000. This is higher than the $250,000 that it is willing to pay for Lot A, but
Lot C would give the company additional property on Main Street. The company has not explored the
purchase of other lots. It is afraid that, if rumors begin to circulate about the company's interest in
buying real estate, prices will rise, and some homeowners will organize protests because they want to
keep the west side residential.

Immediately after your conversation with Chris, you called the owner of Lot A and discovered that he is
willing to consider a sale. He asked you to meet with his relative, Tracy. You remember Tracy from high
school. Tracy was two years behind you in school, and you married one of Tracy's classmates.

Given the time pressure, you hope that during your meeting with Tracy, you can reach an agreement
regarding the purchase of Lot A. Prepare to negotiate with Tracy.

You have been working at the bank for eight years and has developed a reputation for excellent
customer service and attention to detail. Pat's background in finance and real estate has made them a
valuable asset to the bank and its customers. In the past, Pat has successfully facilitated several property
purchases for other clients, which has increased their expertise in negotiations.

Pat is also an active member of the community and volunteers at a local food bank on weekends. This
involvement has allowed Pat to build strong relationships with many residents, making it easier to
navigate potentially sensitive transactions.

In their personal life, Pat is a dedicated parent, often seen cheering on their children at various sporting
events and school activities. Pat's spouse is a teacher at the local elementary school, which also helps in
staying connected with the community.

Pat's ability to empathize with others and find common ground in negotiations is one of their strengths.
They are known for their ability to remain calm under pressure and find creative solutions to challenging
situations.

Additionally, Pat has a keen interest in preserving the neighborhood's historical charm and understands
the concerns that may arise from the company's plans to tear down the old Victorian houses. This
insight will be valuable in addressing any potential objections from Tracy or other homeowners in the
area.