Final answer:
Hodges is entitled to compensatory damages meant to cover the breach or to specific performance, which would force Kaye to complete the sale of the building. Punitive damages are typically not awarded in contract breaches without malicious behavior.
Step-by-step explanation:
Hodges is entitled to compensatory damages or specific performance.
In contractual disputes, compensatory damages are the primary form of relief provided to the party that suffered a breach. These damages are designed to put the injured party in the position they would have been in if the contract had been performed as agreed. When monetary damages are inadequate due to the unique nature of the property involved, the non-breaching party may seek specific performance, which is an equitable remedy requiring the breaching party to fulfill their part of the contract. In this case, because Hodges wanted to purchase a specific building and Kaye refused to close the sale,
Hodges may not find another building like the one he intended to purchase, making specific performance an appropriate remedy. Punitive damages are generally not awarded in contract cases unless there is evidence of fraudulent or malicious behavior, which is not indicated here. Consequential damages may be considered if Hodges suffered additional losses as a result of the breach beyond the contract price; however, the question does not provide details suggesting such losses.