EXPRESS ZONING REPORT

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EXPRESS ZONING REPORT [PROPERTY NAME] [PROPERTY ADDRESS] Denver, Colorado 80000 As of June 17, 2015 Prepared for: [LENDER NAME] Job Reference # 10566 55 Beattie Place, Suite 1510 Greenville, SC 29601 www.ziplinezoning.com www.armadaanalytics.com

Table of Contents Executive Summary... 3 Zoning District and Permitted Use... 4 Building Requirements... 5 Lot Requirements... 6 Parking Requirements... 7 Reconstruction... 8 Reliance... 9 Appendix... 10 Zoning Maps... 11 Municipal Zoning Code... 12 2

Executive Summary Conformance Status: Nonconforming Characteristics: Right to Rebuild: Zoning Jurisdiction: Zoning District: Current Use Permitted: Zoning Ordinance Date: Legal Conforming None; however, setbacks could not be definitively determined without a survey. The Subject may be reconstructed as it was prior to the casualty as long as the construction does not increase nonconformity and use of the structure is not discontinued for a period of longer than 12 months. Denver, CO R-3 (Residential) Yes May 27, 2015 (most recent amendment) Built / Renovated: 2005 Units: 21 *Not definitively determinable without survey; see Page 6 Zoning Ordinance Requirement Summary Conformance Status Required Subject Building Requirements Building height (max.) Y 75 ~30 Size of Dwellings (min.) Y 600 sf 993 sf Lot Requirements Lot size (min.) Y 6,000 sf 34,426 sf Lot width (min.) Y 50 ~200 Front property line setback (min.) Y* 10 >10 Side property line setback (min.) Y* 7.5 ~20 Rear property line setback (min.) Y* 5 >5 Gross Floor Area (max.) Y 103,278 sf 28,177 sf Parking Requirements Parking spaces (min.) Y 32 33 Handicap Parking (min.) Y 1 1 3

Zoning District and Permitted Use Verbal discussions and viewing of the municipality s zoning maps confirm that the Subject is in Denver s R-3 Residential zone district. This district accommodates lots primarily for residential development according to the general standards prescribed in 59-132 of the Denver, Colorado City Code. Conforming: The subject is a multifamily property and is a permitted use within the R-3 Residential District. Overlay District Conditional Use Special Use Permit Variance Yes UO-3 Historic Structure Use Overlay District. The UO-3 Overlay district is established in conjunction with residential districts to allow for certain commercial uses and it has no effect on the subject. No No No 4

Building Requirements Height. Per 59-96.b the height of any building in the R-3 zoning district must not exceed a maximum of 75 feet. Conforming: The apartment buildings are two stories with pitched roofs and are estimated at 30 feet in height. Minimum size of dwellings. Per 59-136.g of the zoning code, any buildings occupied by residential uses shall contain a gross floor area of not less than 600 square feet per unit. Conforming: Per the rent roll, the subject has a minimum dwelling size of 993 SF. 5

Lot Requirements Lot area and width. Per 59-136.a.1 of the zoning code, a multifamily complex in zone R-3 must have a minimum lot area of 6,000 square feet per unit and a minimum lot width of 50 feet. Conforming lot area: The subject is required to have a minimum lot area of 6,000 SF. The appraisal indicates a lot area of 34,426 SF or 0.7903 acres. Conforming lot width: Google Earth views shows a lot width of approximately 200. Property line setback. Per 59-136.c of the zoning code, residential buildings in zone R-3 must be set back a minimum of 10 from the front, 7.5 from the sides, and 5 from the rear. Unknown apartment buildings setbacks: Without a survey, the property lines and setbacks could not be definitively determined; however, via views on Google Earth, it appears the subject is in conformance. Gross Floor Area. Per 59-136.e of the zoning code, the sum of the total of the gross floor area of all structures on a zone lot shall not be greater than three times the area of the zone lot on which the structures are located in the R-3 district. Conforming: The subject shall have a gross floor area of less than 103,278 SF (3 x 34,426 SF). The rent roll provided indicates a gross floor area of 28,177 SF. 6

Parking Requirements Off-street parking. Per 59-582 and 59-586 of the zoning code, the minimum off street parking requirements is based on the property s use. Multifamily uses require 1.5 spaces per unit and requires an additional two percent of the parking to be for disabled persons. Conforming: The subject is required to have a minimum of 32 regular parking spaces (1.5 spaces x 21 units) and 1 parking space for disabled persons (32 regular x.02). The appraisal indicates 33 regular parking spaces and 1 parking space for disabled persons. 7

Reconstruction Nonconforming uses. Any existing land use may be continued in perpetuity unless 1) it is discontinued for a period exceeding one (1) calendar year, after which it may not be re-established for any reason; or 2) the use is extended, expanded or altered except in conformity to current code. Nonconforming buildings and/or structures. Any existing building and/or structure may continue in perpetuity so long as: A) Additions or alterations to any nonconforming building and/or structure, whether residential or non-residential, are made in conformity to code. B) Nonconforming residential buildings and/or structures may have right to operate and maintain any nonconforming structure shall terminate and shall cease to exist whenever the nonconforming structure is accidentally damaged in any manner and from any cause whatsoever and the cost of repairing such accidental damage exceeds seventy-five (75) percent of the replacement cost of such structure on the date of such accidental damage. C) The right to operate and maintain any nonconforming structure shall terminate and shall cease to exist whenever the nonconforming structure becomes obsolete or substandard under any applicable ordinance of the city and the cost of placing such structure in lawful compliance with the applicable ordinance exceeds fifty (50) percent of the replacement cost of such structure on the date that the proper official of the city determines that such structure is obsolete or substandard. The Subject is legal conforming; therefore, it may be reconstructed in its entirety regardless of the level of destruction. 8

Reliance Zoning Report prepared by: Armada Analytics, Inc. 148 River Street, Suite 202 Greenville, SC 29601 www.armadaanalyticsinc.com Prepared By: Kaleb Devier, Zoning Analyst Kaleb.Devier@armadaanalyticsinc.com Reviewed By: Zack Toates, ZIPline Program Manager Zack.Toates@armadaanalyticsinc.com 864-751-9071 Job Reference # 10566 For purposes of this report, Armada Analytics, Inc. has relied on information provided by the following sources: Municipality Appraisal City of Denver Planning & Development, Neighborhood Inspection Services CBRE Dated August 20, 2015 9

Appendix Zoning Maps... 11 Municipal Zoning Code... 12 9.4.4.8 Historic Structure Use Overlay District... 12 59.96 Special limitations on bulk planes and building heights... 15 59-132 Uses allowed in these districts... 16 59-136. Permitted Structures... 17 59-581 Scope of regulations... 21 59-586 Required 0ff-street parking... 23 59-588. Off-street parking classes... 24 59-631. Nonconforming Uses.... 25 59-632. Nonconforming Structures.... 30 10

Zoning Maps 11

Municipal Zoning Code Denver, CO City Code (pertinent sections) 9.4.4.8 Historic Structure Use Overlay District 12

13

14

59.96 Special limitations on bulk planes and building heights 15

59-132 Uses allowed in these districts 16

59-136. Permitted Structures 17

18

] 19

20

59-581 Scope of regulations 21

22

59-586 Required 0ff-street parking 23

59-588. Off-street parking classes 24

59-631. Nonconforming Uses. 25

26

27

28

29

59-632. Nonconforming Structures. 30

31

32