REPORT AND VALUATION. 2/54 Graham Street. Highett, VIC, 3190

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1 NPV NATIONAL PROPERTY VALUERS ABN P: E: W: "Liability limited by a scheme approved under Professional Standards Legislation". REPORT AND VALUATION OF 2/54 Graham Street Highett, VIC, 3190 REQUESTED BY: SPE Property Group Ltd C/- Steve Pharr DATE OF VALUATION: 20 th February 2013 OUR REFERENCE: M5001

2 EXECUTIVE SUMMARY PROPERTY ADDRESS: 2/54 GRAHAM STREET, HIGHETT, VIC, 3190 VALUATION FOR: PURPOSE OF VALUATION: SPE PROPERTY GROUP LTD C/- STEVE PHARR PRE SALE ADVICE LEGAL DESCRIPTION: Lot N/S Plan N/S Volume N/S Folio N/S Title not issued yet REGISTERED PROPRIETOR: ENCUMBRANCES: TITLE NOT SUPPLIED/ISSUED The subject title was not made available and not searched this valuation is therefore made subject to the land and title being free of any restrictive encumbrances, covenants, easements or other planning restrictions which might otherwise detrimentally affect the value of the land and secondly that the improvements are correctly located. LOT AREA: DESCRIPTION OF IMPROVEMENTS: PART: 701 SQUARE METRES (PARENT ALLOTMENT). AN ATTACHED DOUBLE STOREY TOWNHOUSE BEING PART OF A 6 TOWNHOUSE DEVELOPMENT, TO BE ERECTED WITHIN THE ESTABLISHED RESIDENTIAL AREA OF HIGHETT. UPON COMPLETION THE TOWNHOUSE WILL COMPRISE THREE BEDROOMS, TWO BATHROOMS AND TWO BASEMENT CAR SPACES. DATE OF INSPECTION AND VALUATION: 20 TH FEBRUARY 2013 INTEREST BEING VALUED: Market Value is the estimated amount for which a property should exchange on the date of valuation between an educated buyer and a reasonably motivated seller in an arms-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently, and without undue influence. This valuation is arrived at on the basis of: AS IF COMPLETE: The value as if complete assessed herein is the market value of the proposed improvements as detailed in this report on the assumption that all construction had been satisfactorily completed in all respects at the date of this report. An orderly marketing campaign in the open market rather than a forced sale. A willing buyer, willing seller. Values remaining constant throughout the marketing period. Consideration has not been given to an additional bid/offer by a special purchaser. In arriving at our valuation we have considered: The location of the property. Sales evidence. The highest and best use of the land.

3 ASSUMPTIONS, DISCLAIMERS, LIMITATIONS & QUALIFICATIONS: The value as if complete assessed herein is the market value of the proposed improvements as detailed in this report on the assumption that all construction had been satisfactorily completed in all respects at the date of this report. The valuation reflects the valuer s view of the market conditions existing at the date of valuation and does not purport to predict future market conditions and the value at the actual completion date of the improvements because of time lag and unknown future market conditions. We further advise that our as if complete valuation is based on the following assumptions: 1. That the proposed dwelling will be fully approved by all relevant authorities and that it will be completed in a professional manner, free from defect and in accordance with the specifications and floor plans provided. 2. That all development conditions by relevant authorities will be met and there would not be any outstanding requisitions or money owed to the Council. 3. That there are no side agreements that would have an adverse effect on the market value of the property. 4. That the contract complies with any requirement of the Regulations as to the contents of domestic building work contracts under the Building Work Contracts Act 1995.That progress payments comply and constitute a genuine progress payment and is of a kind authorized under the regulations pertaining to the Building Work Contracts Act All data provided in this Certificate is wholly reliant on and must be read in conjunction with the information provided in the attached report. It is a synopsis only designed to provide a brief overview and must not be acted on in isolation. This valuation report is provided subject to the assumptions, qualifications, limitations and disclaimers detailed throughout this report which are made in conjunction with those included within this report. Reliance on this report and extension of our liability is conditional upon the reader s acknowledgement and understanding of these statements. This valuation is for the use only of the party to whom it is addressed and for no other purpose. No responsibility is accepted to any third party who may use or rely on the whole or any part of the content of this valuation. The valuer has no pecuniary interest that would conflict with the proper valuation of the property. The undermentioned assessment represents the market value including chattels of the fee simple of the property:- VALUATION: Five Hundred & Sixty Five Thousand Dollars $565,000 Please note: The valuer s liability is limited in respect of this valuation. Neither the valuer, nor National Property Valuers has any pecuniary interest in this property. In conclusion, this report has been prepared for the confidential use of the party to whom it is addressed for the specific purposes to which it refers. No responsibility is accepted to any third party and neither the whole of the report nor any part or reference thereto may be published in any document, statement or circular nor in any communication with third parties without prior written approval from the writer... Angelo Ciancio CPV AAPI 62768

4 Page4 Valuation of 2/54 Graham Street, Highett, VIC, 3190 LAND DETAILS: Shape and Area: The parent allotment is rectangular in shape, located on the south eastern corner of Graham Road and Thistle Grove, having an western frontage to Graham Road of metres, a rear boundary of metres and side and rear boundaries of The total area of the allotment is approximately 701 square metres. The site is gently sloping from street level to the rear boundary of some 1-2 metres. The site appears to provide adequate natural drainage. Topography and Site Drainage: Facilities: GPO 16km Shops 200m Transport 200m School 500m LOCATION/NEIGHBOURHOOD: The subject property is situated on the eastern side of Graham Road on the corner of Thistle Grove, located within the established residential suburb of Highett approximately 16km south east of the Melbourne CBD. The subject property is located within 200m of local shops and amenities. There are several reserves and schools surrounding the subject property both public and private. Main arterial roads include Nepean Highway which provides access between the Melbourne CBD and the bayside suburbs. A location plan is shown below; Source: MAP IT (Reiv) ZONING: Local Authority: Zoning: Overlay/s: Highest and Best Use: ROAD Surface: Road Widening: City of Bayside Residential 1 Nil Single residential holding basis Bitumen sealed with concrete kerbing. We have been advised by the relevant authorities that the property is not subject to road widening (see Valuation Disclaimers, Assumptions, Limitations and Qualifications below). SERVICES AVAILABLE: Scheme Water, Electricity, Telephone, Gas, Deep Sewer. DESCRIPTION OF IMPROVEMENTS: Type: Residential townhouse (As if Complete) Age: TBE. Style: Attached Townhouse. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

5 Page5 Valuation of 2/54 Graham Street, Highett, VIC, 3190 CONSTRUCTION: Footings and Floor: Concrete External Walls: Brick Veneer/Render Roof: Steel Deck Internal Walls: Plasterboard Ceiling: Plasterboard Window Frames: Aluminium AREA (approx): Under Main Roof: Car spaces: sqm ACCOMMODATION PROVIDED: Three bedrooms, kitchen/meals/living area, study nook and European laundry. FIXTURES AND FITTINGS: Kitchen: Double stainless steel sink, hot plates, underbench oven, rangehood, dishwasher, stone bench tops and tiled floor coverings. Bathroom: Shower, vanity (2), toilet and tiled floor coverings. Bathroom 2: Shower, vanity, toilet and tiled floor coverings. Ensuite: Shower, vanity (2), toilet and tiled floor coverings. APPEARANCE AND PRESENTATION: External Appeal: Assumed good on completion. Internal: Assumed good on completion. External Painting: Assumed good on completion. Internal Painting: Assumed good on completion. Interior Layout: Functional design and layout. ANCILLARY IMPROVEMENTS & CONDITION: Fencing: Perimeter fencing around subject allotment. Paving: Concrete. Lawns and Gardens: Front and rear landscaping. Outbuildings: Balcony. SPECIAL FEATURES: Ducted heating, stone bench tops, tile and carpet floor coverings. MINOR NECESSARY REPAIRS & NEGATIVE FEATURES OF THE PROPERTY: As per assumptions noted in the Executive Summary we have assumed the townhouse will be completed to a good standard of workmanship and be readily saleable once complete with an Occupancy Certificate. NB - The valuer is not a building construction and/or structural expert and this report is not a building construction or structural survey report. It is recommended that advice be sought from suitably qualified experts in respect of building construction and/or structural issues. Accordingly, no responsibility can be accepted by the valuer in relation to building construction or structural issues. The valuation assumes the improvements comply with the requirements of the relevant authorities and are structurally sound unless otherwise stated. Should the subject improvements be found to be in breach of any building codes or any improvements to the site being later determined to be structurally unsound, the valuer should be consulted and the right is reserved to review this valuation accordingly. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

6 Page6 Valuation of 2/54 Graham Street, Highett, VIC, 3190 HIGH RISK FLOOD OR LANDSLIP AREA: The subject property does not appear to be situated in a high risk flood or landslip area. (see Valuation Disclaimers, Assumptions, Limitations and Qualifications below). MARKETABILITY & CLASS OF SECURITY (based on a selling period of three months): An attached double storey townhouse being part of a 6 townhouse development, to be erected within the established residential area of Highett. Upon completion the townhouse will comprise three bedrooms, two bathrooms and two basement car spaces. This type of accommodation is becoming more common within the bayside areas surrounding Highett and overall, given the property s accommodation and location we would expect reasonable competition from potential buyers. The current market is best characterised by the importance of strong selling features. Properties that do not contain proximity to amenities, schools, reserves, transport or quality and marketable selling characteristics are struggling to sell. After a period of strong capital growth and good level of buyer activity and clearance rates in , the Melbourne market has been steadily declining ever since with auction numbers down and capital growth decreasing. All price brackets have seen an evident reduction in growth and activity across the market. However, in recent month s market activity and buyer interest has been slightly more buoyant with real estate agents reporting an increase in buyer enquiry and subsequent clearance rates. In terms of price and capital growth however, there is limited evidence of any increase. Housing markets in most locations of Australia experienced subdued activity in 2012 with evidence of reduced transaction volume and uncertain buyer perceptions of the Economic Environment leading into The Reserve Bank s attempts to stimulate the market with Interest rate cuts have been offset by some Australian Banks adjusting rates independently of Reserve Bank movements. The easing of monetary policy in the Australian Economy is generally seen as a positive indicator for Australian Property Markets. However Global volatility together with subdued domestic consumer confidence, slow retail activity, increased household cost of living expenses and a high currency impacting industry continues to have many Economists predict uncertainty in Australian Property Markets for some time to come. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

7 Page7 Valuation of 2/54 Graham Street, Highett, VIC, 3190 VALUATION APPROACHES UTILISED: Comparable sales. PURPOSE OF VALUATION: Pre sale advice. GENERAL COMMENTS: The subject property is an attached townhouse to be erected, located within the established residential suburb of Highett. Accommodation will comprise; Three bedrooms, three bathrooms, kitchen/meals/living area, study nook and European laundry. In providing our assessment for the subject property, regard has been given to the following relevant factors: The location of the property and the surrounding land uses; The area of the land, its configuration and topographical features; The zoning of the land; The availability of utility services; The age, construction and condition of the improvements; The functional design and utility of the improvements; The available comparable sales evidence within reasonable proximity; and The general state of the residential real estate market today, with particular regard to the demand which exists for residential premises of this nature within this locality. As is normal for residential properties of this nature, greatest emphasis has been given to the direct sales comparison approach to determine a current fair, market value. The most recent, relevant sales upon which our valuation is based are detailed below. VALUATION: Our emphasis has been placed on sales of properties which have sold that are similarly located and have similar type accommodation and land size. Accordingly we have assessed the current market value of the property known as 2/54 Graham Street, Highett, and as described herein, as at the 20 th February 2013, subject to an unencumbered fee simple title, exclusive of GST, in the sum of: $565,000 (Five Hundred and Sixty Five Thousand Dollars Only) For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

8 Page8 Valuation of 2/54 Graham Street, Highett, VIC, 3190 VALUATION ASSUMPTIONS, DISCLAIMERS, LIMITATIONS AND QUALIFICATIONS: Our Investigations: This valuation is conducted on the basis that we are not engaged to carry out all possible investigations in relation to the property. We have identified certain limitations to our investigations to enable you to instruct further investigations if you consider this appropriate. National Property Valuers is not liable for any loss occasioned by a decision not to instruct further investigations. Assumptions: Assumptions are a necessary part of this valuation. National Property Valuers adopts assumptions because some matters are not capable of accurate calculation, or fall outside the scope of our expertise, or our instructions. The risk that any of the assumptions adopted in this document may be incorrect should be taken into account. National Property Valuers does not warrant or represent that the assumptions on which this valuation is based, are accurate or correct. Information Supplied by Others: This document contains a significant volume of information which is directly derived from other sources, without verification by us including, but not limited to planning documents, building surveys and environmental or other expert reports. We confirm that we are not instructed to verify that information. Further the information is not adopted by National Property Valuers as our own, even where it is used in our calculations. Where the content of this document has been derived, in whole or in part, from sources other than National Property Valuers, National Property Valuers does not warrant or represent that such information is accurate or correct. Major Defects Observed/Structural Survey We must emphasise that we have not, nor have we been asked to undertake a structural survey and as a consequence we are unable to certify the improvements free from rot, defect or infestation of any kind. The valuer is not a building construction and/or structural expert and this report is not a building construction or structural survey report. It is recommended that advice be sought from other experts in respect of building construction/structural issues related to the improvements located on the property. However, from our inspection, we were not aware of any major structural faults. Comments are made if termites ( white ants ) or evidence of their activity are observed. However we recommend that a current pest inspection and certificate be obtained to ensure the property is free of termites, vermin, etc. Improvements This valuation assumes the improvements comply with the requirements of the relevant authorities and have received the necessary approvals, unless otherwise stated. It is recommended that the party/s requesting this report do their own due diligence to ascertain whether or not the necessary approvals have been obtained. Should the improvements be found to be in breach the valuer should be consulted and the right is reserved to alter the value accordingly. Aboriginal Site Claims, Heritage Or Cultural Listings To the best of our knowledge it is unlikely the subject site would be affected by any of the above. For the purpose of this valuation, we have assumed the property is unaffected. We must emphasise we have not, nor have we been requested to undertake a survey or make enquiries in relation to these matters and, as a consequence, we are unable to guarantee or certify that the value of the subject property would be affected by the above factors. Should subsequent advice indicate the subject property is affected by any of the above, we reserve the right to reassess our valuation. Soil Or Asbestos Contamination and/or Other Environmental Hazards By commencement of the Contaminated Sites Act 2003, a Public Register is now kept in Western Australia of land that has been identified as having past or current site contamination. We have not undertaken a Contaminated Sites Register search and cannot confirm whether or not the land is classified as a site with any past or current contamination issues. We do not accept any responsibility or liability whatsoever if the site is contaminated. In addition, no soil tests or environmental studies or Asbestos Materials Report have been made available for our perusal. Therefore, our valuation has been assessed on the basis that there are no surface or sub-surface soil problems including instability, toxic or hazardous wastes, toxic mould, asbestos or hazardous building material in or on the property that would adversely affect its existing or potential use and/or reduce its marketability. Should any form of site contamination be known or discovered, we reserve the right to review this valuation. It should be noted that an Asbestos Materials Report has not been undertaken. Should any such matters be known or discovered no reliance should be placed on our assessment of value unless we have been advised of these matters and we have confirmed that our assessment is not affected. While comment is made on readily noticeable environmental hazards or contaminations issues. Valuers are not expert in such matters. Any party relying on this report should make their own judgement in relation to these matters and seek appropriate expert advice from a suitably qualified environmental consultant if they consider it necessary. We are advised by the manufacturers of Hardie s Fibre Cement Products that asbestos was phased out of their flat sheeting line (Hardiflex, Villa-Board, Hardiplank, etc) as from the corrugated fencing and roofing products as from White Ant Certificate We advise that we are not experts in white ant damage or infestation and we therefore recommend that a White Ant Certificate be obtained. However, during our inspection we did not note any signs of white ant infestation. Should it be later revealed that the subject property has been or is currently affected by termite or other insect infestation; we reserve the right to review this valuation. Market Movement Clause This valuation is current as at the date of valuation only. The value assessed herein may change significantly and unexpectedly over a relatively short period (including as a result of general market movements or factors specific to the particular property). We do not accept liability for losses arising from such subsequent changes in value. Without limiting the generality of the above comment, we do not assume any responsibility or accept any liability where this valuation is relied upon after the expiration of 3 months from the date of the valuation, or such earlier date if you become aware of any factors that have any effect on the valuation. Lending Disclaimer This valuation is prepared on the assumption that the Lender who relies on this valuation report (and no other) has complied with its own prudential lending guidelines, as well as prudent finance industry lending practices. The guidelines must include the following and the lender must have considered all Prudent aspects of credit risk for any potential borrower, including the borrower s ability to service and repay any mortgage loan. Further, the valuation is prepared on the assumption that the lender is providing mortgage financing using a conservative and prudent loan-to-valuation ratio (LVR). The valuer accepts no liability whatsoever if prudent lending practices fail to be strictly observed and/or if the lender relies solely on this valuation to advance loan funds. Strata Titled Properties For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

9 Page9 Valuation of 2/54 Graham Street, Highett, VIC, 3190 Where the subject property is a Strata Title the property is valued together with a share in any common property as set out on the Strata Plan. Also, where the subject property is a Strata or Community Title the market value of the unit is assessed without knowledge of any order against the Body Corporate and without the benefit of a search of the Body Corporate records or sighting of the corporation By-Laws and on the assumption that there are no such matters which may have an adverse effect on the value and marketability of the subject strata title unit. Any matter or matters having adverse effect on the value or the marketability of the property which is or are revealed by a search of the body corporate records should be referred to the valuer for comment and possible amendment of the valuation. Legal Details, Lot Details, Ownership And Sales Data This valuation relies on information supplied to National Property Valuers by the Government s Department of Land Administration through a private supplier and we reserve the right to amend our report should this information prove incorrect. Further, in relation to sales evidence, we have not made a physical internal inspection of these properties and have had to rely on the information provided by the selling agent and/or the Valuer Generals summary of sales data supplied via RP Data and/or other electronic databases. Town Planning This information is obtained from informal enquiries. If written definition is required it is suggested that you contact the Local Authority. It should be noted that Local Authorities will not confirm the redevelopment potential of a property without a Development Application being lodged. It is incumbent on the client(s) to ensure that such an application is lodged as a condition of, or prior to making an offer to purchase or undertake any financial transaction purely upon the basis of the property s zoning, in the hope that their Development Application is approved at a later time. If the property is reserved for a public purpose under the Metropolitan Regional Planning Scheme it may be necessary to apply for a Clause 42 Certificate from the Ministry of Planning and Infrastructure. GST Implications Unless otherwise stated, all valuation figures supplied in this report are GST exclusive. A Goods and Services Tax (GST) applies to most types of property transactions, the extent of which depends on whether the property is being used for residential, commercial/residential, commercial use. (In addition to a number of other related criteria). The GST under a standard contract is liable at the date of settlement. Due to the nature of the workings of the tax, the purchaser must pay GST requirements and therefore. GST should be included in the sale price amount. Residential property that is newly constructed and sold after the 1 st of July, 2000 attracts a Goods and Services Tax. A tax will not be applicable during the sale of an existing residential property sold after the 1 st of July. Any property having undergone extensive renovations after the 2 nd of December 1998 also attracts a Goods and Services Tax. A tax will not be applicable during the sale of an existing residential property sold after the 1 st of July. We must state that we are not experts in the area of taxation and appropriate professional advice should be sought in relation to taxation and GST. Services Enquiries have been made to the various authorities to ascertain availability and connection of services. Plans of sewerage or drainage systems have not been sought and it may be considered necessary to apply to the Water Authority for location of service lines that may affect future extension or the siting of a swimming pool. Survey The valuer has endeavoured to visually identify the land boundaries and verify dimensions; however, he is not a surveyor. So where there is a doubt about the precise position of the structures it is recommended that you contact a Licensed Surveyor. Due Diligence Our report is not a recommendation and does not contain all of the information required for a proper evaluation of the proposed transaction. It is incumbent upon our client(s) to do their own due diligence, seek professional advice and rely solely on their own assessment before entering into a transaction. National Property Valuers role as an adviser is limited to certain specific areas of expertise. Fixtures and Fittings Appurtenances affixed to structures or land, usually in such manner that they cannot be independently moved without damage to themselves or the property housing, supporting or pertinent to them. These would include items such as stoves, installed dishwashers, hot water heaters etc. Chattels A chattel is a moveable item eg laid carpets, curtains/drapes, television aerials, light fittings, screens etc. The standard of chattels which would transfer with the property in a sale situation was noted at our inspection. Their fair added value is included in the valuation figure. Specific items of sale, however, should be clarified with the vendor or vendor s agent. Sketch Plan/Photographs Where a sketched plan is attached to this report, it does not purport to represent accurate architectural plans. Sketch plans and photographs are provided as general illustrations only. Building Size Building sizes provided are external measurements only. If the property is strata titled, we adopt areas as recorded on the Strata Plan. Sales Evidence Details relating to the sales considered most comparable from the available evidence are included in the report. Unless otherwise stated, this valuation is based on the sales evidence. Details in relation to size of improvements for sales quoted are generally based on visual estimates, or information provided from external sources. As is the standard practice, these improvements have not been physically measured by the valuer. Recommendations The valuation is based on experience and an interpretation of facts as outlined in this report. It is emphasised that fair market levels are established by prudent vendors and purchasers who are willing but not over anxious parties. The advice, which is based on established evidence, is offered to assist you in your careful examination of value. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

10 Page10 Valuation of 2/54 Graham Street, Highett, VIC, 3190 Encumbrances Where the valuer has examined a copy of the Certificate of Title, encumbrances thereon are noted. Where necessary the relevant authority has been contacted to ascertain restrictions or current proposals that may affect this property. Where this has not been done, we reserve the right to reassess our valuation, should the encumbrance be considered to have a deleterious effect on the value property. Unless otherwise stated, this valuation is on the basis of an encumbrance free Certificate of Title (inclusive of encumbrances which are noted on and run with the property). Financial Information Any financial information is based on unaudited or management accounts and may differ from what is subsequently shown when audited accounts are available. Extent of Liability Our report is prepared for the confidential use of the party to whom it is addressed for the specific purposes to which it refers. No responsibility is accepted to any third party and neither the whole of the report nor any part or reference thereto may be published in any document, statement or circular nor in any communication with third parties without prior written approval from the writer. Interpretation Unless otherwise stated within the body of the report the following definitions apply: as if complete valuation means a valuation that assumes the proposed development to be in a completed state as at the date of valuation and reflects current market conditions at the date of valuation; as is valuation means a valuation that provides the current market value of the property as it currently exists rather than the value of the proposed development; professional practice means the publication as amended from time to time of the Australian Property Institute that contains, among other items, Practice Standards and Guidance Notes relating to the valuation of the property; proposed development means any planned development or redevelopment of a property, including building improvements or modifications, which are proposed, approved or under construction on the property (but does not include a planned development or redevelopment of a single dwelling residential property for residential use) where the value of the proposed or planned development will be $50,000 or less when complete. Valuer s Liability It is important to note the valuer s liability is limited in respect of this valuation. Other Any comments in our report are based on observations on site and, where necessary, appropriate verbal enquiries without the benefit necessarily of searches, surveys etc. The valuer reserves the right to review the valuation and the report if the client s own searches and enquiries reveal contrary conditions or matters not addressed herein concerning, but not necessarily limited to the following: Not subject to flooding or landslip. Not affected by main road or other acquisition. No easements of any kind. Not adversely affected by rail. Not affected by pests. Not affected by Heritage issues. Not affected by encroachments. No environmental hazards. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

11 Page11 Valuation of 2/54 Graham Street, Highett, VIC, 3190 SALES EVIDENCE 1. ADDRESS: 6/5-7 Hall Street, Cheltenham SOLD: $490,000 DATE OF SALE: September 2012 LIVING AREA (approx): IMPROVEMENTS: 74sqm A double storey C1994 semi-detached townhouse comprising two bedrooms, one bathroom and single garage. Good condition. Beach side of Nepean Highway. COMMENTS: Inferior accommodation. Older appeal. Inferior overall. 2. ADDRESS: 122 Oak Avenue, Mentone SOLD: $580,000 DATE OF SALE: February 2012 LIVING AREA (approx): IMPROVEMENTS: 163sqm A double storey attached brick veneer townhouse comprising three bedrooms, two bathrooms and single garage. Good condition. COMMENTS: Superior accommodation and size. Similar style design. Superior appeal overall. 3. ADDRESS: 4/55 Chesterville Road, Highett SOLD: $590,000 DATE OF SALE: February 2013 LIVING AREA (approx): IMPROVEMENTS: 166sqm A double storey attached brick veneer townhouse comprising three bedrooms, two bathrooms and single garage. Good condition. Features courtyard and terrace COMMENTS: Larger size. Older appeal. Inferior overall. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

12 Page12 Valuation of 2/54 Graham Street, Highett, VIC, ADDRESS: 5/2-4 Blagdon Street, Cheltenham SOLD: $520,000 DATE OF SALE: May 2012 LIVING AREA (approx): IMPROVEMENTS: 100sqm A three storey townhouse comprising two bedrooms, two bathrooms and single garage. Good condition. Sold off the plan. COMMENTS: Smaller size. Similar style. Inferior overall. 5. ADDRESS: 7/2-4 Blagdon Street, Cheltenham SOLD: $520,000 DATE OF SALE: May 2012 LIVING AREA (approx): IMPROVEMENTS: 100sqm A three storey townhouse comprising two bedrooms, two bathrooms and single garage. Good condition. Sold off the plan. COMMENTS: Smaller size. Similar style. Inferior overall. 6. ADDRESS: 52B Mathieson Street, Highett SOLD: $510,000 DATE OF SALE: December 2012 LIVING AREA (approx): IMPROVEMENTS: 90sqm A single storey brick veneer unit comprising three bedrooms, one bathroom and single garage. Average condition. COMMENTS: Older appeal. Inferior accommodation. Inferior overall. Note 1: Unless specified, improved sales are inspected externally and not measured Note 2 Certain sales information has been obtained from external sources, including RP Data Property Systems and has not been independently verified Note 3: Please note that we have valued the property based upon recent comparable sales evidence, and have determined our assessment accordingly on this basis. However, should interest rates rise or the level of economic activity decline, the current prices being achieved may not be sustainable. This is a possible risk that needs to be taken into consideration before acquisition. National Property Valuers may not be held responsible/liable for a down turn in the economic climate or a decline in property values. For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

13 Page13 Valuation of 2/54 Graham Street, Highett, VIC, 3190 ENCLOSURES 1. Floor plans 2. Elevation Plans 3. Landscaping Plan 4. Specifications For SPE Property Group Ltd C/- Steve Pharr 20 th February 2013

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19 STANDARD SPECIFICATIONS Wall & Roof Framing Pine timber framing & roof trusses to AS mm Ceiling height to ground floor External Façade Brick veneer as denoted by town planning Windows Powder coated: sliding/awning maintenance-free aluminium as denoted by town planning Slim-line Venetians to all windows Fly Screens Aluminum framed screens to all opening windows with fiberglass mesh Roofing Colorbond Metal Fascia and Gutters Concrete Tiles to match décor Kitchen Cupboards Ceasar stone bench tops Cupboard doors are manufactured from builders range of laminate with the interior a white melamine Kitchen Sink 1 ½ bowl European styled stainless steel insert sink with mixer tap Exhaust Fans An exhaust fan is fitted to each bathroom and laundry Vanity Units Laminate bench tops Laminate doors Toilet White pan with ceramic dual flush cistern Mirrors Frameless Mirrors are fitted over each vanity. Sized to vanity below and 1 metre high Laundry Trough 45 litre white laundry trough and cabinets including overflow and bypass Wall tiles Bathroom Shower recess to 2000mm 200mm over vanity Bath edge to floor and 400mm over bath Kitchen 600mm over benches Laundry 200mm over trough Floor Tiling Floor tiling as indicated on working drawings Cooking Appliances Stainless Steel Electric under bench oven Gas cook top Range hood re-circulating Dishwasher Bath/Basin Builder Range moulded acrylic bath Vitreous vanity basins Shower Base 900 x 900 Acrylic Shower Enclosure Pivot type clear laminated glass with aluminium frame, colour to match tiles

20 Taps From builder range to match décor Bathroom Accessories Toilet roll holders / towel rail holders Carpet/Flooring Quality carpets to suit décor Wardrobes Sliding Vinyl doors with powder coated frame and vinyl covered for ease of cleaning Single Melamine shelf and chrome rail Linen Cupboard Linen Cupboard located as per plan Hinged door, four Melamine board shelves Internal Fix 67mm MDF skirting and architrave 55mm cornice throughout dwelling Doors Front Entry solid core entry door with deadlock Internal - Hinged or cavity sliding hardboard, paint finish All external swing doors to have keyed alike locks Garage-Roller door with remote control to front Electrical Light points as shown on the electrical plan fitted with modern recessed lighting Safety circuit breakers to power circuits Para flood lights to rear yard Internal switchboard where able Heating A gas ducted heating system to suit the dwelling How Water Service Natural Gas external supplied and installed by builder Insulation Thermal Ceilings blow-in insulation to comply with energy rating Walls double-sided thermo fail and insulation to comply with energy rating. Paving / Landscaping Concrete paving to veranda is included with pathway and driveway or as shown on endorsed permit plans Crushed stone path from the rear door to clothesline Front yard to include instant turf, established feature tree to centre and shrubs with chip bark to garden beds. All areas to include sprinkler system with timer controls. Door Furniture External Polished chrome with Dead Bolt to front door Internal Lever with polished chrome back plates Door Stops Doorstops to all doors where applicable Painting External Premium grade satin acrylic Colorbond gutter and fascia. Down pipes painted to match brick work Eaves Lining Flat Acrylic White Internal Walls - quality wall paint, one tinted colour Ceilings Flat Acrylic White Internal Trim Semi-Gloss, painted to match wall colour Front Door Semi gloss paint finish with matching colour to timber mould

21 Paving / Landscaping (continued) Rear yard to include low maintenance shrubs with chip bark to garden beds, pavers to rear sliding door with low maintenance screened pebbles or seeded lawns as best suited to residences. Manual sprinkler system. Items also included Working drawings and building permit fees associated with the project Concrete driveway and pathway Fencing - areas facing driveway are finished off with top capping rail Balance of fences to 1.65m treated pine paling fence with hardwood rails and concrete posts Letter boxes Clothes Line Gas reticulation & connection T.V. antenna, T.V. pre-wiring to bedroom one and living room Phone Leave pre-wiring to 2 points in kitchen & bedroom one Public lighting to development on timer controls 2040L water tank at rear of property Note: Continuing product development by the builder may mean some of the above specifications may alter. If this is the case, substitute items will be of similar or greater quality and value. Guarantee: The builder is covered by Residential Builders Warranty as required under Section 135 of the Building Act 1993 (as amended). The builder also carries a policy to cover risks associated with damage to the works and liability to the building site. Copies of Certificates of Currency are available on request. Maintenance: The builder has a three-month after sales service to ensure you complete satisfaction with the construction of your new investment. Disclaimer: All information in this document, regarding the property you are purchasing, is accurate and correct at the time of publishing. Though please ensure to carefully check your contracts for exact detail pertaining to the property as from time to time some discrepancies may occur.