I N V E S T M E N T S U M M A R Y

1 0 5 2 WEST PEACHTREE INVESTMENT SUMMARY 1 0 5 2 W E S T PE A C H T R E E SUNGARD AVAILABILITY SERVICES NET LEASED DATA CENTER - MIDTOWN ATLANTA A...
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1 0 5 2 WEST PEACHTREE

INVESTMENT SUMMARY

1 0 5 2 W E S T PE A C H T R E E SUNGARD AVAILABILITY SERVICES NET LEASED DATA CENTER - MIDTOWN ATLANTA

AC Q U I S I T I O N S, L L C

INVESTMENT SUMMARY

DAN MARKEE 612-850-4609

O F F E R I N G D ISC L OSU R E THIS INVESTMENT SUMMARY IS NOT A SOLICITATION TO INVEST, BUT IS INTENDED AS SUPPORTING INFORMATION TO A CONFIDENTIAL PRIVATE PLACEMENT MEMORANDUM (THE “MEMORANDUM”) WHICH IS BEING FURNISHED TO PROSPECTIVE INVESTORS (INDIVIDUALLY, AN “INVESTOR” AND COLLECTIVELY, “INVESTORS”) ON A CONFIDENTIAL BASIS TO CONSIDER AN INVESTMENT IN FORTERRA MIDTOWN ATLANTA, LLC, A GEORGIA LIMITED LIABILITY COMPANY (THE “COMPANY”), AND MAY NOT BE USED FOR ANY OTHER PURPOSE. THE MEMORANDUM, INCLUDING THIS INVESTMENT SUMMARY, MAY NOT BE REPRODUCED OR PROVIDED TO OTHERS WITHOUT THE PRIOR WRITTEN PERMISSION OF THE COMPANY’S MANAGING MEMBER, FORTERRA ACQUISITIONS, LLC, A GEORGIA LIMITED LIABILITY COMPANY ( “MANAGING MEMBER”). BY ACCEPTING DELIVERY OF THE MEMORANDUM AND/OR THE INVESTMENT SUMMARY, EACH PROSPECTIVE INVESTOR AGREES TO THE FOREGOING. INVESTMENTS DO NOT NECESSARILY ACCRUE INTEREST OR GENERATE ANY RETURNS UPON PAYMENT OF SUBSCRIPTION AMOUNTS TO THE COMPANY, AND CERTAIN EXPENSES ARE EXCLUDED FROM RETURN CALCULATIONS. EACH INVESTOR SHOULD READ THIS MEMORANDUM AND THE OPERATING AGREEMENT (DEFINED BELOW) IN THEIR ENTIRETY BEFORE INVESTING.

[email protected] This confidential Investment Summary is intended solely for your limited use and beneit in determining whether you desire to express further interest in an investment in the Company. Only execution and delivery of the Subscription Agreement which is attached as part of the Memorandum. This Investment Summary contains selected information pertaining to the Property and does not purport to be a representation of the state of affairs of the Property as of this writing. Some of the information contained herein were provided to the Company by the seller of the property or their agents and may have not been independently verified as of the date of this Investment Summary. The Company will use its best efforts during its due diligence to verify all of the information which is material to the Company may require to evaluate a purchase of real property. All inancial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of the Company. Therefore, all projections, assumptions and other information provided and made herein are subject to material variation. All references to acreages, square footages, and other measurements are approximations and will be verified prior to acquistion of the Property by the Company. Additional information in this Investment Summary, including leases and other materials, are described in summary form. These summaries do not purport to be complete descriptions of the full agreements referenced. The Company expressly reserved the right, at its sole discretion, to reject any or all expressions of interest or offers to invest in the Company, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Investment Summary or the Memorandum. The Company shall have no legal commitment or obligation to any entity reviewing this Investment Summary or the Memorandum. By receipt of this Investment Summary or the Memorandum, you agree that thse documents and its contents are of a confi dential nature, that you will hold and treat it in the strictest confidence and that you will not disclose this Investment Summary and the Memorandum or any of its contents to any other entity without the prior written authorization of the Company. You also agree that you will not use this Investment Summary or the Memorandum or any of its contents in any manner detrimental to the interest of the Copmany or Forterra Acquistions, LLC. If after reviewing this Investment Summary and the Memorandum, you have no further interest in investing in the Company, kindly return these documents to Forterra Acquisitions LLC and destroy and and all copies of electronic copies.

AC Q U I S I T I O N S, L L C 4604 IDS Center EightySouthEighthStreet Minneapolis, Minnesota 55402

1052 WEST PEACHTREE Midtown Atlanta

TABLE OF CONTENTS 0 1 0 2 0 3 0 4 0 5 0 6 0 7

INVESTMENT OVERVIEW

TENANT SUMMARY IRREPLACEABLE LOCATION INFRASTRUCTURE – HI-RELY GRID MIDTOWN ATLANTA DATA CENTER SPECS FINANCIAL SUMMARY

0 1 0 9 1 7 2 3 2 7 3 5 3 9

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

INVESTMENT OVERVIEW 01

AC Q U I S I T I O N S, L L C

1052 We st Pe a chtre e offers a n o ppo rtunity ra re ly found in to da y’s inve stme nt la ndsca pe . The building ’s e xtra o rdina ry loca tio n in the he a rt of Midtow n A tla nta is posit ioned in t he pat h of progress. Ca sh flow is secured during the holding period by a net lease with a rated credit tenant allowing for value to build as development occurs throughout this limited high-density area.

SERVICES PROVIDED BY SUNGARD AT 1 0 5 2 WEST PEACHTREE • • •

E nterprise C loud Se rvice s • Ba ckup So lutio ns E nterprise We b • Sto ra g e R eplica tion R e mote Ma na g e d IT Se rvice s • IT D isa ster H o sting R ecove ry

1052 West Peachtree Street

City/State/Zip

Atlanta / Georgia / 30309

Frontage:

West Peachtree St. & Spring St.

Parcel Layout:

Rectangle

Property Type:

Office / Data Center

Parcel ID:

17 0010700050365

Zoning:

SPI-16 (SA1)

Site Size:

1.78 ACRES / 77,537 SF

Building Size:

35,191 SF

Year Built:

1948

Renovated:

1998 & 2010

Raised Floor:

19,500 SF

Watts PSF of Raised Floor (est.):

100 Watts PSF

Occupancy: Tenant:

INVESTMENT OVERVIEW

In 2010, SunGard initiate d an e arly le ase e xte nsion and agre e d to an 82% incre a se in re nt in exchange for extending the lease and allowing the tenant to continue occupancy of the site in which it has heavily invested. Since the renewal, SunGard has contributed a signif i ca nt amount of capital on core infrastructure to boost power capabilities a t the subject and ensure its clients are properly served. The site is connected to 5 major fibe r/ carrie r hote ls, T im e Warne r, A T &T , Ve rizo n Busine ss, Le vel 3, and XO, tha t are loca ted only a mile away and supply the bulk of Atlanta’s fiber needs. To secure the highly valuable site, SunGard has installed two separate modern security systems that are designed to protect the data, systems, and underlying infrastructure.

Address:

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1052 West Peachtree is a fully leased, single-story, 35,191 square foot, drive-up da ta center situa ted in a pristine location at 1052 West Peachtree Street in Midtown, Atlanta. The site benefi ts from fronta ge along two major Midtown roa ds (Spring St. & West Peachtree St.) and immedia te proximity to I-75 and heavily traveled Peachtree Street. The facility is currently 10 0 % le a se d to SunGard A vaila bility Se rvice s LP thro ug h June 20 22 . SunGard has proven itself as a fi rmly entrenched tenant through its continuous occupancy since 20 0 0 and the multi-million dollar improvements it ha s implemented a t the site. In a ddition, the site also benei ts from annual parking income genera ted from 28 secured spa ces leased by SunGard a s well as an a dditional surfa ce lot (41 spaces) fronting West Peachtree Street tha t is operated by a parking mana gement company.

1052 West Peachtree

INVESTMENT OVERVIEW – ASSET DESCRIPTION

100% SunGard Availability Services LP

Guarantor:

SunGard Data Systems, Inc.

Occupied Since: Remaining Term at Closing:

2000 / 14 years 7 Years 6 Months

Current Net Rent:

$36.07 PSF

Public Parking Income (approx.)

$48,000 /yr

2015 NOI:

$1,280,703

AC Q U I S I T I O N S, L L C

02

FORTERRA ACQUISITIONS, LLC is offering membership investments interests in Forterra Midtown Atlanta LLC, a single purpose entity created to hold fee title of 1052 We st Pe a chtre e i n A t l a n t a , G e o r g i a . F o r t e r r a A c q u i s i t i o n s a n d i t s a f f i l i a t e d companies have been provided sponsored investments in commercial real estate and real estate related operating companies since 1995.

INVESTMENT SPONSOR & ASSET MANAGER

1052 West Peachtree

INVESTMENT OVERVIEW – SPONSORSHIP

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INVESTMENT OVERVIEW

FORTERRA ACQUISITIONS, LLC Forterra Acquisitions, LLC is led by Dan Markee who founded the company in 1995 following 7 years of leading a real estate investment team at Northwestern National Life Insurance Company. Forterra places debt and equity into real estate investments on either a direct basis or in partnership with developers. Having managed investments in nearly every property type and in 43 states from coast to coast, Forterra has extensive experience in underwriting, transaction structuring, debt negotiations and origination of compelling real estate investments. Forterra operates as the primary asset manager of projects in which they invest or is an active co-sponsor with its third-party developer partners.

BUSINESS PLAN & INVESTMENT RATIONALE 1 0 5 2 WEST PEACHTREE Our investment in 1052 West Peachtree will provide investors with the security of a financially strong tenant and stable cash flow through the holding period as a vehicle for increasing value over time given its location in the high-rise core of Midtown Atlanta. Possible exit strategies include: • Lease renewal with SunGard at the end of their lease or mid-term; • Possible expansion of the building on adjacent parking lot in concert with a long-term lease extension or re-lease to a new data center operator; • Sale of the building site for development of a new office, hotel, apartment community or condominium project – all of which fall under the current zoning that would provide for as much as 790,000 sf of developed space.

03

Dan Markee 4604 IDS Center 80 S. Eighth Street Minneapolis, MN 55402 612-353-5139

AC Q U I S I T I O N S, L L C

1052 We st Pe a chtre e offers a n o ppo rtunity ra re ly found in to da y’s inve stme nt la ndsca pe . The building ’s e xtra o rdina ry loca tio n in the he a rt of Midtow n A tla nta is posit ioned in t he pat h of progress. Ca sh flow is secured during the holding period by a net lease with a rated credit tenant allowing for value to build as development occurs throughout this limited high-density area.

TRANSACTION STRUCTURE Investment Structure

The Managing Member is currently negotiating debt financing for the project from one of a number of local and region banks in the Atlanta area. The following is a summary of the minimum terms anticipated based on those negotiations:  5 year initial term  Three year extension rights with interest re-set  Fixed interest rate for initialterm of approximately 4.25%  25 year amortization  Non-recourse

USES OF FUNDS Acquisition

Purchase Price Closing Costs

Per RSF

$19,400,000 19,400,000

$551.28 $0.00 $551.28

7,000 7,000 8,000 5,000 35,000 35,000 105,000 150,000 140,000 58,000 550,000 19,950,000

$0.20 $0.20 $0.23 $0.14 $0.99 $0.99 $2.98 $4.26 $3.98 $1.65 $15.63 $566.91

Comments

INVESTMENT OVERVIEW

PROJECT DEBT FINANCING

1052 WEST PEACHTREE - SUNGARD DATA CENTER - ATLANTA, GA 35,191 sq ft SOURCES OF FUNDS Total Acquisition Cost 19,950,000 Less: Loan Proceeds 14,000,000 70% Equity Required 5,950,000

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Forterra Midtown Atlanta, LLC (the “Company”) will consist of Forterra Acquisitions, LLC (Managing Member) and one or more Investor Members (Investors). The Managing Member will invest a minimum of $500,000 of the total equity or a minimum of 8.4%. Closing is scheduled for late December, 2014 Cash distributions will be made as follows: Distributions of Cash From Operations  First, 100% to Investors, including the Managing Member, pro rata until all invested capital has been paid a 7% preferred return; and then  70% pro rata to all invested capital and 30% to the Managing Member. Distributions from the Sale or Refinance of the Property  First, to Investors, including the Managing Member, pro rata until all invested capital has been paid a 10% look-back IRR preferred return; and then  80% pro rata to all invested capital and 20% to the Managing Member.

SOURCES & USES OF FUNDS

1052 West Peachtree

INVESTMENT OVERVIEW TRANSACTION STRUCTURE

Indirect Costs

Appraisal Surveys (Incl. As Built) Environmental Assessment Pre Closing Reimbursables Legal Expenses Title Insurance Lender Fee and Costs Equity Placement Fees Loan Placement Fee Contingency for Working Capital Subtotal: Indirect Costs TOTAL USES OF FUNDS

0.75%

3% of $5m 1% of loan

AC Q U I S I T I O N S, L L C

04

INVESTMENT OVERVIEW

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1052 West Peachtree

HISTORY

05

AC Q U I S I T I O N S, L L C

O riginally constructed in 1948, 1052 West Peachtree Street was developed as a commercial ofi ce building and renovated in 1998 in a dvance of being leased to Inflow, Inc., a large data center operator. Inflow Inc. signed a 10 year lease through 2010 and, a fter taking occupa ncy, initiated a range of capital improvements, tailoring the facility to a specii c data center usa ge. Four years later, in December 20 04, the tenant executed an early renewal, extending the lease term an a dditional 2 years through June 2012. Soon after the 20 04 Amendment extending the term, Inflow Inc. was a cquired by SunGard Availability Services LP (20 05), a wholly-owned subsidiary of 1052 Data Systems, Inc. At the time of the acquisition, SunGard Data Systems was a publicly tra ded company on the New York Stock Exchange tra ding under the ticker SDS (SunGard has since reverted to a private ownership structure). Concurrent with the acquisition, all lease obligations were assigned to SunGard Availability Services, who continued to occupy and operate the facility as a data center. In Februa ry 20 06, the tenant executed a guaranty of the lease naming SunGard Data Systems, Inc. a s guarantor to all lease obligations. Later in February 2006, the property was purcha sed by Novare Group. SunGard initiated early lease renewal conversations and the two parties agreed to extend the term for an additional ten year period through June 2022 in exchange for an initial 82% incre ase in re nt with 3% a nnual e scala tions for the re mainde r of the te rm. Novare was not required to contribute any TI allowance other than providing a credit (applied to base rent throughout the term) for $125,000 in roof improvements that 1052 implemented in order to install new, additional rooftop HVAC units. Including the roof work, SunGard inve ste d an e stimate d $8 million to upgrade and boost infrastructure

and powe r capabilities at the site after this most recent renewal.

1052 West Peachtree |

INVESTMENT OVERVIEW

1052 WEST PEACHTREE ST.

SUNGARD DATA CENTER 3 5 ,191 SF 1.78 A C R E S 06

AC Q U I S I T I O N S, L L C

A T L A N TA D A TA C EN T ER D E MA N D H A S G R OWN 2 0 % 3 0 % A N N U A L L Y FO R T H E PA ST SE V E R A L Y E A R S

1052 West Peachtree

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INVESTMENT OVERVIEW

AC Q U I S I T I O N S, L L C

1 0 5 2 W EST PEACHTREE

1052 West Peachtree |

INVESTMENT OVERVIEW 08

AC Q U I S I T I O N S, L L C

A T L A N TA R A N K ED A S A M E R IC A ’S # 1 C IT Y F OR D A T A C E N T E R S

1052 West Peachtree

ON - SIT E C O N F E R E N C E RO OM F OR S U N G A R D C LIEN T S

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TENANT SUMMARY 09

TENANT SUMMARY

AC Q U I S I T I O N S, L L C

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TENANT SUMMARY 10

AC Q U I S I T I O N S, L L C

TENANT SUMMARY |

1052 West Peachtree

AC Q U I S I T I O N S, L L C

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1052 West Peachtree |

TENANT SUMMARY 12

AC Q U I S I T I O N S, L L C

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AC Q U I S I T I O N S, L L C

TENANT SUMMARY |

1052 West Peachtree

TENANT SUMMARY

41 SPA C E S L E A SE D T O A PA R K IN G MA N A G E ME N T C OMPA N Y

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1052 West Peachtree is improved with 69 total parking spaces that are available for use at the site. 28 of the spa ces are highly secured spa ces leased to 1052 and are only accessed via biometric keycard. The remaining 41 spaces are accessed via West Peachtree Street and are leased to a parking mana gement company.

H IG H L Y SE C U R E D T E N A N T PA R K IN G

1052 West Peachtree

PARKING INCOME

14

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

TENANT SUMMARY 15

IN 2 010, 1052 IN ST A L L E D A 2 N D 2 ,0 0 0 KV A G E N E R A T OR

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

TENANT SUMMARY 16

AC Q U I S I T I O N S, L L C

SE C U R E D L OBBY R E QU I R E S V I SI T OR R E G IST R A T ION & A N ON -SI T E PE R SON N E L E SC OR T

AC Q U I S I T I O N S, L L C

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IRREPLACEABLE LOCATION

1 0 5 2 W E ST PE A C H T R E E

1052 West Peachtree

1052 West Peachtree enjoys sound cash flow from rental operations as well as a pristine location in the Midtown, Atlanta submarket. The site reaps the benei ts of the Hi-Rely Grid by offering outstanding accessibility to SunGard and its customers. In a ddition, the site could easily be reconfi gured for new development. Very fe w lo cations e xist within Midtown that offe r such a size able site with frontage along two major ro ads, imme dia te proximity to I-75, a nd that can be de ve lope d. Provided the a cceleration of current market values, this would allow for a disposition of the property in 2022 at or above premium Midtown land pricing like that attained during the market peak. The residual land value is a key component in value and hedges future investors a gainst any a dverse issues that may arise with 1052 in the future.

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AC Q U I S I T I O N S, L L C

ATLANTA’S MIDTOWN “CORE” CONTAINS TWICE AS MUCH AREA AS CHICAGO’S MAGNIFICENT MILE & NYC’S COMMERCIAL NODES

IRREPLACEABLE LOCATION |

1052 West Peachtree

1052 WE ST PE A C H T R E E IS LOC A T E D IN T H E E PIC E N T E R OF T H E MID T OWN “C OR E ”

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AC Q U I S I T I O N S, L L C

1052 West Peachtree |

1052 WEST PEACHTREE ENJOYS A DESIRABLE SPI-16 (SA1) ZONING THAT ALLOWS FOR ALMOST ANY COMMERCIAL USE.

IRREPLACEABLE LOCATION 20

AC Q U I S I T I O N S, L L C

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AC Q U I S I T I O N S, L L C

IRREPLACEABLE LOCATION |

1052 West Peachtree

1052 West Peachtree

AC Q U I S I T I O N S, L L C

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IRREPLACEABLE LOCATION 22

AC Q U I S I T I O N S, L L C

1052 West Peachtree

1052 West Peachtree

INFRASTRUCTURE: HI-RELY GRID

1052 West Peachtree

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1052 West Peachtree is currently equipped with the most up-toda te, modern technology and is well engineered for the technological services tha t it offers. The facility fea tures 19,50 0 SF of raised floor area tha t has been constructed over a sloped sla b (height of 24 - 36 inches) and wa s designed with estima ted power of 10 0 Wa tts PSF of raised floor. The valuable site also enjoys a prime loca tion along the Hi-Rely G rid, which was installed by G eorgia Power in prepara tion of the 1996 O lympics. 1052 West Peachtree's ability to dra w from the Hi-Rely power grid allows the site to provide tenants access to a colossal uninterrupted source of power. In a ddition, 1052 recently installed a second 2,50 0 kVA transformer, a second 2,0 0 0 kVA genera tor, a second 6,0 0 0 gallon fuel stora ge tank, and just over $50 0,0 0 0 in recent roof work to support the a dditional 10 0 tons of HVAC and cooling systems tha t were a dded in order to effectively operate the servers.

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AC Q U I S I T I O N S, L L C

1052 West Peachtree

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AC Q U I S I T I O N S, L L C

INFRASTRUCTURE: HI-RELY GRID | 1052 West Peachtree

1052 West Peachtree |

INFRASTRUCTURE: HI-RELY GRID 26

AC Q U I S I T I O N S, L L C

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

MIDTOWN ATLANTA 28

AC Q U I S I T I O N S, L L C

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AC Q U I S I T I O N S, L L C

MIDTOWN ATLANTA |

1052 West Peachtree

1052 West Peachtree |

MIDTOWN ATLANTA 30

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AC Q U I S I T I O N S, L L C

MIDTOWN ATLANTA |

1052 West Peachtree

1052 West Peachtree |

MIDTOWN ATLANTA 32

AC Q U I S I T I O N S, L L C

MIDTOWN ATLANTA |

1052 West Peachtree

AC Q U I S I T I O N S, L L C

33

1052 West Peachtree |

MIDTOWN ATLANTA 34

AC Q U I S I T I O N S, L L C

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

DATA CENTER SPECS 36

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DATA CENTER SPECS |

1052 West Peachtree

AC Q U I S I T I O N S, L L C

1052 West Peachtree

1052 AVAILABILITY SERVICES / MIDTOWN DATA CENTER

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DATA CENTER SPECS 38

AC Q U I S I T I O N S, L L C

1052 West Peachtree |

FINANCIAL SUMMARY 40

AC Q U I S I T I O N S, L L C

FINANCIAL SUMMARY |

1052 West Peachtree

AC Q U I S I T I O N S, L L C

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2016

2017

2018

2019

2020

2021

2022

2023

2024

REVENUE Net Rent Revenue Tenant Parking Public Parking Less: Tenant Roof Credit GROSS RENTAL INCOME

1,288,406 17,778 48,000 (12,497) 1,341,687

1,327,053 18,311 49,440 (12,497) 1,382,307

1,366,865 18,861 50,923 (12,497) 1,424,152

1,407,870 19,427 52,451 (12,497) 1,467,251

1,450,107 20,009 54,024 (12,497) 1,511,643

1,493,610 20,610 55,645 (12,497) 1,557,367

1,538,418 21,228 57,315 (12,497) 1,604,463

1,584,571 21,865 59,034 (12,497) 1,652,972

1,632,108 22,521 60,805 (12,497) 1,702,936

1,681,071 23,196 62,629 (12,496) 1,754,400

40,251 (5,103) 10,000 15,836 60,984

41,469 (5,103) 10,000 15,836 62,202

42,725 (5,103) 10,000 15,836 63,457

44,018 (5,103) 10,000 15,836 64,750

45,349 (5,103) 10,000 15,836 66,082

46,721 (5,103) 10,000 15,836 67,454

48,134 (5,103) 10,000 15,836 68,867

49,589 (5,103) 10,000 15,836 70,322

51,088 (5,103) 10,000 15,836 71,821

52,632 (5,103) 10,000 15,836 73,365

1,280,703

1,320,105

1,360,694

1,402,500

1,445,561

1,489,914

1,535,597

1,582,650

1,631,115

1,681,035

(910,120) 370,583

(910,120) 409,985

(910,120) 450,574

(910,120) 492,380

(910,120) 535,441

(1,118,169) 371,745

(1,118,169) 417,428

(1,118,169) 464,482

(1,118,169) 512,947

(1,118,169) 562,867

(416,500) (45,917) (133,257) 370,583 -

(416,500) (6,515) (218,978) 409,985 -

(416,500) 34,074 (144,136) 450,574 -

(416,500) 75,880 (4,433) 434,858 -

(416,500) 118,941 416,500 -

(416,500) (44,755) 416,500 -

(416,500) 928 416,500 -

(416,500) 47,982 416,500 -

(416,500) 96,447 416,500 -

(416,500) 146,367 416,500 -

370,583

409,985

450,574

57,523 40,266 17,257 475,124

118,941 83,259 35,682 499,759

(44,755) (31,329) (13,427) 385,171

928 650 278 417,150

47,982 33,587 14,394 450,087

96,447 67,513 28,934 484,013

146,367 102,457 43,910 518,957

EXPENSES Management Fee (3%) Less: Tenant portion Legal & Accounting Reserves for Roof & Structure TOTAL EXPENSES TOTAL NET INCOME B/F DEBT SVC Debt Service Cash Flow Investor Cash Flow Pref Excess (Shortfall) Cumulative Cash Flow Toward Pref

7.0%

Overage available for Distribution Investor Share in Overage Sponsor Share in Overage TOTAL CASH FLOW TO INVESTORS

70% 30%

AC Q U I S I T I O N S, L L C

FINANCIAL SUMMARY

2015

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Holding Period Cash Flows From Operations Assume Closing December 31, 2014 Year

1052 West Peachtree

PRO FORMA CASH FLOWS

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1052 West Peachtree

PRO FORMA SALE & RETURN ON INVESTMENT EXIT STRATEGIES & RETURN CALCULATIONS Assume Sale December 31, 2024

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Tenant Renewal/Release PER SQ FT

Current Land Value

19,000,000

Annual Growth Rate

3%

$245

PER SQ FT Current Market Lease Rate

per year

Annual Growth Rate

$346

Annual Rent at Sale

1,759,550 3%

Estimated Land Value at Sale

26,801,376

Debt Repayment

(8,946,454)

Cap Rate at Sale

Residual Distributable Cash

17,854,922

Estimated Value at Sale

29,200,224

Success Fee to Sponsor

(1,540,971) *

Debt Repayment

(8,946,454)

Distribution from Sale

16,313,951

Residual Distributable Cash

20,253,770

Success Fee to Sponsor

(2,288,754) *

Distribution from Sale

17,965,016

Total IRR

*20% after a 10% look-back IRR

14.06%

$50

2,482,019

$71

FINANCIAL SUMMARY

Land Sale for Development

8.50%

Total IRR

14.69%

AC Q U I S I T I O N S, L L C

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AC Q U I S I T I O N S, L L C

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