CRE Proforma Development Project Summary of Before Tax Cash Flows by Year

CRE Proforma Development Project Input Data Marginal Tax Bracket 25.0% Mortgage LTV 75% Developer Cost of Carry 15.0% Depn Recovery Rate 20.0% Amort Term (Years) 30 Going Out Cap Rate 9.0% Capital Gain Rate 12.5% Maturity (Years) 10 Selling Expense 7.0% Equity Hurdle Rate 14.0% Rate 7.000% 7- yr Building Improvement % 12% Depreciation Period 39 Points 2.25% 15-yr Land Improvements 475,000 Prepay Penalty (%) 0.00% Purchase Price 12,965,879 Initial Long term Bldg Basis 8,659,973 Mortgage Amount 9,724,409 Acquisition Costs - Intial 7 yr Bldg Basis 1,180,905 Monthly Pmt 64,696.74 Land Value 2,650,000 Initial Land Improve Basis 475,000 Balance 120 Mo 8,344,747 Summary of Before Tax Cash Flows by Year 0 1 2 3 4 5 6 7 8 9 10 Operations -1,252 359,234 381,310 404,171 427,844 429,859 454,233 479,474 505,612 532,680 Capital -3,460,269 5,471,642 Total CF -3,460,269-1,252 359,234 381,310 404,171 427,844 429,859 454,233 479,474 505,612 6,004,322 Before Tax IRR = 13.3% Before Tax NPV = -145,505 Ratio Analysis Unlevered Return 5.98% 8.76% 8.93% 9.10% 9.29% 9.30% 9.49% 9.69% 9.89% 10.10% Cash on Cash Return -0.04% 10.38% 11.02% 11.68% 12.36% 12.42% 13.13% 13.86% 14.61% 15.39% Debt Coverage Ratio 1.00 1.46 1.49 1.52 1.55 1.55 1.59 1.62 1.65 1.69 Vacancy Collection Loss 26.5% 9.4% 9.4% 9.4% 9.4% 10.4% 10.4% 10.4% 10.4% 10.4% Operating Expense Ratio 46.9% 38.1% 38.2% 38.3% 38.4% 38.9% 39.0% 39.1% 39.1% 39.2% Breakeven Occupancy 73.5% 72.8% 72.1% 71.5% 70.8% 70.1% 69.4% 68.8% 68.1% 67.4% Summary of After Tax Cash Flows by Year 0 1 2 3 4 5 6 7 8 9 10 Operations 51,040 323,309 337,225 351,574 366,366 364,736 379,687 354,668 368,767 382,447 Capital -3,460,269 4,625,941 Total CF -3,460,269 51,040 323,309 337,225 351,574 366,366 364,736 379,687 354,668 368,767 5,008,388 After Tax IRR = 10.9% After Tax NPV = -634,046 Cash Flow From Operations 0 Gross Potential Income 1,985,745 2,026,653 2,068,804 2,112,239 2,156,996 2,203,118 2,250,648 2,299,630 2,350,111 2,402,136 2,455,755 - Vacancy & Collection 527,166 191,446 194,995 198,648 202,408 228,779 233,775 238,923 244,228 249,695 255,330 = Effective Gross Income 1,458,579 1,835,207 1,873,810 1,913,591 1,954,588 1,974,340 2,016,874 2,060,707 2,105,882 2,152,440 2,200,426 - Operating Expense 683,470 699,612 716,139 733,059 750,383 768,120 786,280 804,873 823,909 843,400 863,356 = Net Operating Income 775,109 1,135,595 1,157,671 1,180,532 1,204,205 1,206,220 1,230,594 1,255,835 1,281,973 1,309,041 1,337,070 - Mortgage Payment 776,361 776,361 776,361 776,361 776,361 776,361 776,361 776,361 776,361 776,361 = Before Tax Cash Flow -1,252 359,234 381,310 404,171 427,844 429,859 454,233 479,474 505,612 532,680 - Taxes -52,292 35,925 44,085 52,597 61,479 65,123 74,546 124,806 136,845 150,233 = After Tax Cash Flow 51,040 323,309 337,225 351,574 366,366 364,736 379,687 354,668 368,767 382,447 Income Taxes From Operations End of Year Loan Balance 9,724,409 9,625,628 9,519,705 9,406,126 9,284,335 9,153,741 9,013,706 8,863,547 8,702,534 8,529,881 8,344,747 NOI 775,109 1,135,595 1,157,671 1,180,532 1,204,205 1,206,220 1,230,594 1,255,835 1,281,973 1,309,041 + Capital Reserves 120,000 122,840 125,748 128,725 131,773 134,895 138,090 141,362 144,713 148,143 - Interest Paid 677,579 670,438 662,781 654,571 645,766 636,326 626,203 615,348 603,708 591,227 - Amortized Finance Costs 21,880 21,880 21,880 21,880 21,880 21,880 21,880 21,880 21,880 21,880 - Amortized Leasing Costs - Depreciation (Building) 212,798 222,051 222,051 222,051 222,051 222,051 222,051 222,051 222,051 212,798 - Depreciation (Bldg Impr 7-yr) 161,672 168,701 168,701 168,701 168,701 168,701 168,701 7,029 - Depreciation (Land Impr 15-yr) 30,347 31,667 31,667 31,667 31,667 31,667 31,667 31,667 31,667 30,347 = Taxable Income -209,168 143,699 176,340 210,389 245,914 260,491 298,184 499,223 547,381 600,931 Taxes Due -52,292 35,925 44,085 52,597 61,479 65,123 74,546 124,806 136,845 150,233 Cash flow From Resale EOY 10 Gain on Sale Estimated Sales Price 14,856,333 Net Sales Price 13,816,389 - Sales Expense 1,039,943 - Adjusted Basis 9,268,944 = Net Sales Price 13,816,389 = Gain on Sale 4,547,446 - Mortgage Payoff 8,344,747 = Before Tax Equity Reversion 5,471,642 Depn Recapture 3,696,935 - Taxes on Sale 845,701 Capital Gain 850,511 = After Tax Equity Reversion 4,625,941 DepRecTax 739,387 Cap Gain Tax 106,314 Total Tax on Sale 845,701

Suite Lease and Vacancy Analysis The building summary information is presented first. It is the compilation of the individual rental suites Summary of All Leasable Suites Leasable Square Feet 75000 Weighted Average Lease Rate 20.80 21.21 21.64 22.08 22.53 23.00 23.49 23.99 24.50 25.04 25.59 Applies to retail spaces lease with a stated percentage of gross sales above baseline - See individual Suites for details Weighted Average Vacancy 26.55% 9.45% 9.43% 9.40% 9.38% 10.38% 10.39% 10.39% 10.39% 10.39% 10.40% Contract Rent 1505000 1527950 1551589 1575936 1601014 1626845 1653450 1680854 1709079 1738151 1768096 + Overage (PCT Rent) 40000 48000 56320 64973 73972 83331 93064 103186 113714 124662 136049 + Misc Income 15000 15000 15000 15000 15000 15000 15000 15000 15000 15000 15000 Real Estate Taxes 260000 266100 272345 278737 285281 291980 298838 305858 313045 320403 327935 Common Area Maintenance 63865 65345 66860 68410 69996 71620 73282 74983 76723 78505 80328 Utilities 58500 59873 61278 62716 64188 65695 67239 68818 70435 72091 73785 Insurance 43380 44385 45414 46467 47545 48648 49776 50932 52114 53324 54562 Gross Potential Income 1985745 2026653 2068804 2112239 2156996 2203118 2250648 2299630 2350111 2402136 2455755 Less: Vacancy/Collection Losses 527166 191446 194995 198648 202408 228779 233775 238923 244228 249695 255330 Effective Gross Income 1458579 1835207 1873810 1913591 1954588 1974340 2016874 2060707 2105882 2152440 2200426 Management and Leasing Fees 45150 46213 47301 48415 49555 50722 51918 53141 54394 55676 56989 General and Adminsitrative 15050 15404 15767 16138 16518 16907 17306 17714 18131 18559 18996 Real Estate Taxes 300000 307100 314370 321813 329433 337236 345226 353406 361781 370357 379138 Common Area Maintenance 75865 77645 79467 81333 83242 85197 87198 89247 91344 93491 95689 Utilities 67500 69098 70733 72408 74123 75878 77676 79516 81401 83330 85306 Insurance 52380 53610 54870 56159 57479 58830 60214 61630 63080 64564 66083 Capital Expenditures 120000 122840 125748 128725 131773 134895 138090 141362 144713 148143 151655 Other 7525 7702 7883 8069 8259 8454 8653 8857 9066 9279 9498 Total 683470 699612 716139 733059 750383 768120 786280 804873 823909 843400 863356 Net Operating Income 775,109 1,135,595 1,157,671 1,180,532 1,204,205 1,206,220 1,230,594 1,255,835 1,281,973 1,309,041 1,337,070 Operating Expense Ratio 47% 38% 38% 38% 38% 39% 39% 39% 39% 39% 39% Suite A Leasable Square Feet 30000 Rental Growth Rate 3.0% Rate 18 Cost Growth Rate 2.5% Vacancy /Collection Losses 40% 11% 11% 11% 11% 11% 11% 11% 11% 11% 11% Contract Rent 540000 556200 572886 590073 607775 626008 644788 664132 684056 704578 725715 + Overage + Misc Income Real Estate Taxes 120000 123000 126075 129227 132458 135769 139163 142642 146208 149864 153610 Common Area Maintenance 28620 29336 30069 30821 31591 32381 33190 34020 34871 35742 36636 Utilities 27000 27675 28367 29076 29803 30548 31312 32095 32897 33719 34562 Insurance 19440 19926 20424 20935 21458 21995 22544 23108 23686 24278 24885 Gross Potential Income 735060 756137 777821 800131 823084 846700 870998 895997 921718 948181 975408 Less: Vacancy/Collection Losses 294024 83175 85560 88014 90539 93137 95810 98560 101389 104300 107295 Effective Gross Income 441036 672961 692261 712116 732545 753563 775188 797437 820329 843881 868113 Management and Leasing Fees 16200 16605 17020 17446 17882 18329 18787 19257 19738 20232 20737

General and Adminsitrative 5400 5535 5673 5815 5961 6110 6262 6419 6579 6744 6912 Real Estate Taxes 120000 123000 126075 129227 132458 135769 139163 142642 146208 149864 153610 Common Area Maintenance 28620 29336 30069 30821 31591 32381 33190 34020 34871 35742 36636 Utilities 27000 27675 28367 29076 29803 30548 31312 32095 32897 33719 34562 Insurance 19440 19926 20424 20935 21458 21995 22544 23108 23686 24278 24885 Capital Expenditures 48000 49200 50430 51691 52983 54308 55665 57057 58483 59945 61444 Other 2700 2768 2837 2908 2980 3055 3131 3209 3290 3372 3456 In Total 267360 274044 280895 287917 295115 302493 310056 317807 325752 333896 342243 Net Operating Income 173,676 398,917 411,366 424,199 437,430 451,070 465,133 479,630 494,576 509,985 525,870 Operating Expense Ratio 61% 41% 41% 40% 40% 40% 40% 40% 40% 40% 39% le Suite B Leasable Square Feet 20000 Rental Growth Rate 0.0% Rate 22 Cost Growth Rate 2.0% Vacancy /Collection Losses 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% Contract Rent 440000 440000 440000 440000 440000 440000 440000 440000 440000 440000 440000 + Overage + Misc Income Real Estate Taxes 80000 81600 83232 84897 86595 88326 90093 91895 93733 95607 97520 Common Area Maintenance 23320 23786 24262 24747 25242 25747 26262 26787 27323 27870 28427 Utilities 18000 18360 18727 19102 19484 19873 20271 20676 21090 21512 21942 Insurance 15840 16157 16480 16810 17146 17489 17838 18195 18559 18930 19309 Gross Potential Income 577160 579903 582701 585555 588466 591436 594464 597554 600705 603919 607197 Less: Vacancy/Collection Losses 57716 57990 58270 58556 58847 59144 59446 59755 60070 60392 60720 Effective Gross Income 519444 521913 524431 527000 529620 532292 535018 537798 540634 543527 546478 Management and Leasing Fees 13200 13464 13733 14008 14288 14574 14865 15163 15466 15775 16091 General and Adminsitrative 4400 4488 4578 4669 4763 4858 4955 5054 5155 5258 5364 Real Estate Taxes 80000 81600 83232 84897 86595 88326 90093 91895 93733 95607 97520 Common Area Maintenance 23320 23786 24262 24747 25242 25747 26262 26787 27323 27870 28427 Utilities 18000 18360 18727 19102 19484 19873 20271 20676 21090 21512 21942 Insurance 15840 16157 16480 16810 17146 17489 17838 18195 18559 18930 19309 Capital Expenditures 32000 32640 33293 33959 34638 35331 36037 36758 37493 38243 39008 Other 2200 2244 2289 2335 2381 2429 2478 2527 2578 2629 2682 Total 188960 192739 196594 200526 204536 208627 212800 217056 221397 225825 230341 Net Operating Income 330,484 329,174 327,837 326,474 325,083 323,665 322,218 320,743 319,238 317,702 316,136 Operating Expense Ratio 36% 37% 37% 38% 39% 39% 40% 40% 41% 42% 42% Suite C (Retail) Sales Growth Rate 4.0% Leasable Square Feet 15000 Rental Growth Rate 3.0% Rate 15 Cost Growth Rate 2.5% Base 4000000 Pct Over 4% Estimated Sales 5000000 5200000 5408000 5624320 5849293 6083265 6326595 6579659 6842845 7116559 7401221 Vacancy /Collection Losses 5% 5% 5% 5% 5% 10% 10% 10% 10% 10% 10% Contract Rent 225000 231750 238703 245864 253239 260837 268662 276722 285023 293574 302381

+ Overage 40000 48000 56320 64973 73972 83331 93064 103186 113714 124662 136049 + Misc Income Real Estate Taxes 60000 61500 63038 64613 66229 67884 69582 71321 73104 74932 76805 Common Area Maintenance 11925 12223 12529 12842 13163 13492 13829 14175 14529 14893 15265 Utilities 13500 13838 14183 14538 14901 15274 15656 16047 16448 16860 17281 In Insurance 8100 8303 8510 8723 8941 9164 9394 9628 9869 10116 10369 Gross Potential Income 358525 375613 393282 411553 430445 449982 470186 491080 512688 535036 558150 le Less: Vacancy/Collection Losses 17926 18781 19664 20578 21522 44998 47019 49108 51269 53504 55815 Effective Gross Income 340599 356832 373618 390975 408923 404984 423167 441972 461419 481533 502335 Management and Leasing Fees 6750 6919 7092 7269 7451 7637 7828 8024 8224 8430 8641 General and Adminsitrative 2250 2306 2364 2423 2484 2546 2609 2675 2741 2810 2880 Real Estate Taxes 60000 61500 63038 64613 66229 67884 69582 71321 73104 74932 76805 Common Area Maintenance 11925 12223 12529 12842 13163 13492 13829 14175 14529 14893 15265 Utilities 13500 13838 14183 14538 14901 15274 15656 16047 16448 16860 17281 Insurance 8100 8303 8510 8723 8941 9164 9394 9628 9869 10116 10369 Capital Expenditures 24000 24600 25215 25845 26492 27154 27833 28528 29242 29973 30722 Other 1125 1153 1182 1212 1242 1273 1305 1337 1371 1405 1440 Total 127650 130841.25 134112 137465 140902 144424 148035 151736 155529 159417 163403 Net Operating Income 212,949 225,991 239,506 253,510 268,021 260,560 275,132 290,236 305,890 322,115 338,932 Operating Expense Ratio 37% 37% 36% 35% 34% 36% 35% 34% 34% 33% 33% Suite D Leasable Square Feet 10000 Rental Growth Rate 0.0% Rate 30 Cost Growth Rate 2.5% Vacancy /Collection Losses 50% 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% Contract Rent 300000 300000 300000 300000 300000 300000 300000 300000 300000 300000 300000 + Overage + Misc Income 15000 15000 15000 15000 15000 15000 15000 15000 15000 15000 15000 Real Estate Taxes 0 0 0 0 0 0 0 0 0 0 0 Common Area Maintenance 0 0 0 0 0 0 0 0 0 0 0 Utilities 0 0 0 0 0 0 0 0 0 0 0 Insurance 0 0 0 0 0 0 0 0 0 0 0 Gross Potential Income 315000 315000 315000 315000 315000 315000 315000 315000 315000 315000 315000 Less: Vacancy/Collection Losses 157500 31500 31500 31500 31500 31500 31500 31500 31500 31500 31500 Effective Gross Income 157500 283500 283500 283500 283500 283500 283500 283500 283500 283500 283500 Management and Leasing Fees 9000 9225 9456 9692 9934 10183 10437 10698 10966 11240 11521 General and Adminsitrative 3000 3075 3152 3231 3311 3394 3479 3566 3655 3747 3840 Real Estate Taxes 40000 41000 42025 43076 44153 45256 46388 47547 48736 49955 51203 Common Area Maintenance 12000 12300 12608 12923 13246 13577 13916 14264 14621 14986 15361 Utilities 9000 9225 9456 9692 9934 10183 10437 10698 10966 11240 11521 Insurance 9000 9225 9456 9692 9934 10183 10437 10698 10966 11240 11521 Capital Expenditures 16000 16400 16810 17230 17661 18103 18555 19019 19494 19982 20481 Other 1500 1538 1576 1615 1656 1697 1740 1783 1828 1873 1920 Total 99500 101988 104537 107151 109829 112575 115389 118274 121231 124262 127368 Net Operating Income 58,000 181,513 178,963 176,349 173,671 170,925 168,111 165,226 162,269 159,238 156,132 Operating Expense Ratio 63% 36% 37% 38% 39% 40% 41% 42% 43% 44% 45%

Purchase or Development Cost Detail a) Purchase Detail Purchase Indicator 0 Purchase Price ($) 13,000,000 Non Depr Land Value ($) 2,500,000 Depreciable Land Impr ($) 500,000 Acquisition Costs ($) 45,000 b) Interim Finance and Development Cost For an existing building, enter 1 as the Purchase Indicator, then enter the purchase price of the b (including land) and the estimated land value. T depreciable land improvment is for the estimat cost that can be depreciated. The aquisition co all costs in addition to the purchase price incurr Interim Loan Amount 10000000 Cash Advanced 140,000 Interest Rate 6% Points 2% End of Month Dollars Disburssed Loan Interest Payment Loan Balance 0 140,000 200000 140000 1 420,000 700 700 560000 2 725,000 2800 2800 1285000 3 1,300,000 6425 6425 2585000 4 1,250,000 12925 12925 3835000 5 980,000 19175 19175 4815000 6 1,280,000 24075 24075 6095000 7 1,160,000 30475 30475 7255000 8 940,000 36275 36275 8195000 9 845,000 40975 40975 9040000 10 960,000 45200 45200 10000000 11-50000 50000 10000000 12-50000 50000 10000000 Sums 10000000 519025 Ending Loan Balance 10000000 Sum of Payments 519025 = Total Paid to Lender 10519025 - Total Disbursed by Lender 10000000 = Total Paid to Interest 519025 Total Acquisition plus Construction Cost Land Cost 2200000 Construction Cost 9860000 Interim Loan Interest 519025 Project Cost 12579025 Equity Stake 2579025 Loan to Cost Ratio 79.5%

Construction Budget Month Excavation / Grading Paving / Sewer / Water Sidewalks Landscape Shell HVAC Electrical Plumbing Finish Architect Engineer Legal Fees Permits Total Percent 1 100,000 100,000 100,000 50,000 70,000 420,000 4.3% 2 25,000 100,000 50,000 500,000 50,000 725,000 7.4% 3 100,000 100,000 50,000 1,000,000 50,000 1,300,000 13.2% 4 1,250,000 1,250,000 12.7% 5 750,000 80,000 150,000 980,000 9.9% 6 750,000 120,000 100,000 60,000 250,000 1,280,000 13.0% 7 500,000 170,000 100,000 40,000 350,000 1,160,000 11.8% 8 50,000 250,000 130,000 120,000 40,000 350,000 940,000 9.5% 9 100,000 25,000 80,000 40,000 40,000 500,000 50,000 10,000 845,000 8.6% 10 50,000 75,000 40,000 90,000 600,000 50,000 25,000 30,000 960,000 9.7% 11-0.0% 12-0.0% Total 125,000 300,000 350,000 150,000 5,000,000 500,000 400,000 350,000 2,200,000 300,000 75,000 110,000 9,860,000 100.0%

Development Budget Gross Square Feet 80000 Dollar Cost Percent $/sqft (Gross) A. Land and Site Improvements Site acqusition and closing 2,200,000 17.5% $ 27.50 Site preparation Excavation and grading 125,000 1.0% $ 1.56 Sewer/Water 300,000 2.4% $ 3.75 Paving/Curbs/Sidewalks 350,000 2.8% $ 4.38 Landscaping 150,000 1.2% $ 1.88 Total site costs $ 3,125,000 24.8% $ 39.06 B. Building Construction Costs Hard Costs: Shell structure 5,000,000 39.7% $ 62.50 HVAC 500,000 4.0% $ 6.25 Electrical 400,000 3.2% $ 5.00 Plumbing 350,000 2.8% $ 4.38 Finish Out 2,200,000 17.5% $ 27.50 Total Hard Costs $ 8,450,000 67.2% $ 105.63 Soft Costs: Architect & Engineering 300,000 2.4% $ 3.75 Legal costs 75,000 0.6% $ 0.94 Fees and permits 110,000 0.9% $ 1.38 Construction Interest 519,025 4.1% $ 6.49 Leasing Commissions 0.0% Total Soft Costs $ 1,004,025 8.0% $ 12.55 Total Project Costs $ 12,579,025 100.0% $ 157.24 Total less land and interest costs $ 9,860,000