INTRODUCTION

SKYLINE TERRACES - SITE LOCATION

SKYLINE TERRACES - SITE LOCATION

3D FLY-THRU VIDEO

MILESTONES ACHIEVED

Milestones

Skyline Terraces is an exciting new master-planned community, comprising twenty-five architecturally designed townhomes each offering sweeping rooftop terrace views of the downtown skyline.

Situated in the rapidly evolving inner-eastern Ross Ave precinct. It is ideally located just minutes from bustling downtown, and only minutes from the dining, nightlife and cultural offerings of Uptown and Deep Ellum.

With construction due to start immediately, Skyline Terraces will compliment the exciting re-urbanization of this precinct !

Land holdings acquired and closed All disciplinary consultants tendered and procured Branding developed, domain secured, name registered www.skylineterraces.com launched Council approved under PD298 at pre-development meeting held 12/01/16 Phase environmental studies passed Architectural design and development elements completed Structural rating achieved to allow rooftop hot tubs Re-plat approved at CPC meeting held 02/16/2017 Permits filed – Civil / Demolishment / Fire / Landscaping / Paving and Drainage / 311TMarketing firm procured and marketing plan finalized Sales broker procured Architectural construction drawings completed General contractor tendered and hired HOA contracts negotiated Legal risk mitigation plan implemented In the final stages of securing funding

THE TEAM

Code Discipline Contact Role Company Phone Email Status

41-01 Consulting - Project Manager Colin Dooley Company Director Dooley Developments USA, LLC 214 842 2640 colin.dooley@dooleydevelopments.com HIRED

41-02 Consulting - Accounting Kep Kepner Senior CPA Kepner CPA 214 361 5081 kep@kepnercpa.com HIRED

41-03 Consulting - Legal Jeff Matthews Defects Litigation Attorney Winstead 214 745 5634 jmatthews@winstead.com HIRED

Jeanne Katz Defects Litigation Attorney Winstead 214 745 5634 jkatz@winstead.com HIRED

Dean Riddle HOA Attorney Riddle & Williams 214 760 6766 office@riddleandwilliams.com HIRED

Clint Brown HOA Attorney RMWBH Law 512 279 7344 cbrown@rmwbhlaw.com HIRED

41-04 Consulting - Broker - Acquisition Scott Lake Urban Land Director Davidson Bogel Real Estate 214 526 3626 slake@db2re.com HIRED

Jake Milner Urban Land Specialist Davidson Bogel Real Estate 214 526 3626 jmilner@db2re.com HIRED

41-05 Consulting - Title Company - Acquisition Robert Blanshard Commercial Escrow Officer Capital Title 972 682 2700 RBlanshard@ctot.com HIRED

41-06 Consulting - Surveying Josh Edge Branch Manager Dynamic Engineering 214 226 3044 jedge@dynamicec.com HIRED

Warren Hilla Senior Project Manager Dynamic Engineering 732 600 6195 whilla@dynamicec.com HIRED

41-07 Consulting - Platting Josh Edge Branch Manager Dynamic Engineering 214 226 3044 jedge@dynamicec.com HIRED

Warren Hilla Senior Project Manager Dynamic Engineering 732 600 6195 whilla@dynamicec.com HIRED

41-08 Consulting - Town Planning Rob Baldwin Company Director Baldwin Associates 214 824 7949 rob@baldwinplanning.com HIRED

Jennifer Hiromoto Senior Town Planner Baldwin Associates 214 824 7949 jennifer@baldwinplanning.com HIRED

41-09 Consulting - Architect Truett Roberts Principle Architect TKTR Architects 214 855 9344 truett@tktrarchitects.com HIRED

Edward Magee Consulting Architect TKTR Architects 214 855 9344 edward@tktrarchitects.com HIRED

41-10 Consulting - Engineering - Structural Richard Reed Principal President Urban Structure 214 295 5775 rreed@urbanstruct.com HIRED

41-11 Consulting - Engineering - Mechanical David Lippe Principal Lippe and Associates Engineers 972 387 3500 david.lippe@rtmassociates.com HIRED

41-12 Consulting - Engineering - Civil Josh Edge Branch Manager Dynamic Engineering 214 226 3044 jedge@dynamicec.com HIRED

Warren Hilla Senior Project Manager Dynamic Engineering 732 600 6195 whilla@dynamicec.com HIRED

41-13 Consulting - Engineering - Geotechnical Josh Edge Branch Manager Dynamic Engineering 214 226 3044 jedge@dynamicec.com HIRED

Warren Hilla Senior Project Manager Dynamic Engineering 732 600 6195 whilla@dynamicec.com HIRED

41-14 Consulting - Phase Studies Atul Rajani Project Supervisor Envirocare USA 972 768 1235 arajani@envirocare-usa.com HIRED

Rebecca Evans Green Energy Code Inspector Evans Service Company 214 228 2159 Rebecca@EvansServiceCompany.com HIRED

41-15 Consulting - Landscape Josh Edge Branch Manager Dynamic Engineering 214 226 3044 jedge@dynamicec.com HIRED

Warren Hilla Senior Project Manager Dynamic Engineering 732 600 6195 whilla@dynamicec.com HIRED

41-16 Consulting - Acoustic Mark Enersen Acoustic Engineer Acoustic Works 617 3393 2222 menersen@acousticworks.com.au HIRED

41-17 Consulting - Graphic Design Nathan Budde Senior Graphic Renderor Budde Design 614 2042 2580 nathan@buddedesign.com HIRED

Alec Lynch Logo Designer Design Crowd 800 377 6955 support@designcrowd.com HIRED

Michael Potts Senior Graphic Renderor M2 214 320 1696 mpotts@m2studio.net HIRED

Jaycee He General Manager - 3D Design Lifang Vision Technology Co .,Ltd 917 680 5560 hexl@lifang-cg.com HIRED

Dolly Lee Senior Graphic Renderor Lifang Vision Technology Co .,Ltd 917 680 5560 lifanginternational@gmail.com HIRED

41-18 Consulting - General Contractor Rob Leonard President Verge Construction 972 571 2301 rob@vergecon.com HIRED

Stephen Graham Vice President, Project Manager Verge Construction 214 695 9047 stephen@vergecon.com HIRED

Lee Allen Principal Verge Construction 214 629 6050 lee@vergecon.com HIRED

Brent Shockley Lead Superintendent Verge Construction 214 695 9047 stephen@vergecon.com HIRED

Patrick Kirkland Assistant Superintendent Verge Construction 214 695 9047 stephen@vergecon.com HIRED

Devin Wells Estimator Verge Construction 214 695 9047 devin@vergecon.com HIRED

Mark Tutt Warranty / Site Manager Verge Construction 214 695 9047 stephen@vergecon.com HIRED

Deborah Gilbert Procurement Manager Verge Construction 214 695 9047 stephen@vergecon.com HIRED

Tony Ramji President/CEO Victory Group 214 718 0707 tony@vg-re.com HIRED

Bobby Dan Roberts Chief Operating Officer Victory Group 214.707.4495 bdr@vg-re.com HIRED

Kris Ramji Chief Operating Officer Victory Group 214 718 2626 kris@vg-re.com HIRED

Brandon Scott Broker/REALTOR Victory Group 817.703.4653 brandon@vg-re.com HIRED

Michael Johnston Director of Development Victory Group 214.755.5213 mjohnston@vg-re.com HIRED

41-19 Consulting - Finance Pedro Rodriguez Small Business Consultant Bank of America 214 520 3694 parodriguez@bankofamerica.com HIRED

Robert Garza Merrill Edge Consultant Bank of America 214 224 5524 robert.doc.garza@ml.com HIRED

Charlie DiCarlo Merrill Lynch Consultant Bank Of America 214 750 2025 charles.dicarlo@ml.com HIRED

Matthew Craig US Trust Consultant Bank Of America 214 224 5524 robert.doc.garza@ml.com HIRED

Scott Morris Vice President Graham Investments 214 293 4110 SMorris@grahaminvestments.com HIRED

41-20 Consulting - Appraisals Ernie Gatewood Appraisal Consultant Jackson Claborn, Inc 972 725 7755 ernestg@jacksonclaborn.com HIRED

41-21 Consulting - Marketing Christian Adams Marketing Director Dallas Luxury Realty 214 527 7080 christian@luxuryrealtytx.com HIRED

41-22 Consulting - Quantity Surveyor Lender Acquired Lender Acquired Lender Acquired 000 000 0000 tba@lenderaquired.com HIRED

41-23 Consulting - Certifier Truett Roberts Principal Architect TKTR Architects 214 855 9344 truett@tktrarchitects.com HIRED

41-24 Consulting - Staging Nick Nussrallah Interior Designer DW Design Group 817 481 7984 nick@dwdesigngroup.net HIRED

41-25 Consulting - Broker - Sales David Wyrick Senior Realtor Dallas Luxury Realty 214 930 1642 david@luxuryrealtytx.com HIRED

41-26 Consulting - Title Company - Sales Robert Blanshard Commercial Escrow Officer Capital Title 972 682 2700 RBlanshard@ctot.com HIRED

41-27 Consulting - HOA Management John McLaughlin Senior Vice President Real Manage 972 380 3505 john.mclaughlin@realmanage.com HIRED

Jordan Jackson Business Development Manager Real Manage 972 380 3508 jordan.jackson@realmanage.com HIRED

45-01 Insurance - General Liability Philip Lawson General Liability Insurance Patterson & Assoc. Insurance Agency 214 253 2289 philip@piainsure.com HIRED

45-02 Insurance - Directors and Officers Katie Vaughan HOA Insurance CiraConnect Insurance Services 855 877 2472 katie.vaughan@ciraconnect.com HIRED

CONSULTANTS

AREA REGENTRIFICATION

COMPARABLE PROJECTS

$245.00/FOOT

$263.00/FOOT

$296.00/FOOT

MARKET DATA – ZIPCODE 75204

75204 Home Prices & Values

ZILLOW HOME VALUE INDEX 0

$343,700

9.3% 1-year change 4.1% 1-year forecast

Ap 20

_ ............. .. ..... ....

.............

The median home value in 75204 is $343,700.

75204 home values have gone up 9.3% over the past

year and Zillow predicts they will rise 4.1% within the

next year. The median list price per square foot in

75204 is $244, which is higher than the Dallas

average of $205. The median price of homes

currently listed in 75204 is $425,000. The median

rent price in 75204 is $1,972, which is higher than

the Dallas median of $1,625.

Read more

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75204 Market Overview

Data through Apr 30, 2017

$343,]QQ ZHVI 0

@ 4.1% 1 -yrforecast 0(Apr30,2018)

$425,000 Median listing price

No data Median sale price

Zillow Home Value Index

Apr 2017 - 75204 $360K

2008 2009 2010

2 bedroom

2011 2012

1-yr 5-yr Max

$373K

$320K

$267K

$214K

2013 2014 2015 2016 2017

Compare li·i::iil View Data Table

75204 Market Health Data through Apr 30, 2017

@ 8.8/10 Very healthy 9

No data Average days on Zillow

0.1% Homes with negative equity (0.1% US Avg) (Sep 30, 2016)

0.0% Delinquent on mortgage (0.0% US Avg) (Sep 30, 2016)

HOMES FORECLOSED (per 10,000)

l(Aug 31, 2016) 2

-0

7S204 Dallas United States

Homes foreclosed

May 2016 - 75204 2.06

2007 2008 2009

Ill

2 bedroom 1-yr 5-yr Max

24.3

16.21

8.12

0.03

2010 2011 2012 2013 2014 2015 2016

Compare Ii+,;;; View Data Table

Listings & Sales Data through Apr 30, 2017

$244 Median list price/ sq ft

No recent data Median sale price/ sq ft

12.2% Listings with price cut

Median list price / sq ft

Apr 2017 - 75204 $243

2011 2012

2 bedroom

2013

1-yr 5-yr Max

$256

$212

$168

$124

2014 2015 2016 2017

Compare 11\H::iii View Data Table

75204 Rentals

Data through Apr 30, 2017

ZILLOW RENT INDEX 0

$2,181

$1,396

-75204 Dallas

1.8 Breakeven horizon O (Sep 30, 2016)

$1,972 Rent list price

$1.56 Rent list price/ sq ft

$1,421

-Unitc,d States

LI _z_ill_o_w_R_e_n_t_ln_d_e_x _______ ·_.I All homes

Apr 2017 - 75204 $2,181/mo

2011 2012 2013

Ill

2014

1 -yr 5 -yr Max

$2.2K

$1.9K

$1.7K

$1.4K 2015 2016 2017

Compare li-i:,iii View Da ta Table

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Purchase price

1-1 $495,000 I+ I

Down payment

1 $74,250

How much should you put down?

30-yearfixed

Mortgage payment (principal & interest only)

$1,949

�e>�g.ige insurance

Interest rate .........................................

APR1

Points

Closing costs (Bank of America & third-party fees)

$84

3.750%

3.946%

0.992

$10,346

.1 .. ?..�year fixed_

$2,931

$77

3.125%

3.325%

0.612

$8,748

Property ZIP code

115204 1

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5/1 ARM (variable)

$1,718

$84

2.750%1 More >

3.713%

0.714

$9,202

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GENERAL CONTRACTOR

HOA MANAGEMENT

MARKETING

How are we going to promote it? Branding / design: Developer is in charge or Branding and Design, Video Production and Photography. Social Media: Monthly Budget - $900 Potential Reach – 157,000 residents in 75204/75214/75202 We believe our target market to be tech-savvy, and as such will focus our online marketing efforts (outside of MLS syndication) largely on social media platforms. Both Facebook and Instagram now allow extremely specific ad-targeting options, including being able to target by Zip code. We have found that even by setting a very small ad budget of as low as $30 per day, we are able to expand awareness of a property and development purely due to branding reinforcement. Users may not even click on or interact with advertisements (resulting in $0 cost), but they will repeatedly see branding and images of the homes throughout their browsing experience.

The campaign will be designed to elicit excitement but also exclusivity, and will encourage browsers to “get on the list” to get exclusive pricing, bonuses and event invites during a limited time period. We will incorporate a countdown “time to launch” timer into the page to encourage signup and increase anticipation. Users who enter their email will then be put on a select list, and at a pre-determined time receive an email notification that the project “pre-sale” period is open, and that at that time they are eligible for special promotions.

PR: Monthly budget - $300 Potential Reach – 500K readers There is already heavy interest in Ross Ave redevelopment, as proven by numerous recent articles: http://www.bizjournals.com/dallas/news/2016/07/07/city-block-project-on-ross-avenue-on-track-to-get.html http://www.dallasnews.com/business/real-estate/2016/05/12/the-next-uptown-ross-avenue-gets-a-remake-on-downtown-dallas-near-east-side http://www.dallasnews.com/business/real-estate/2016/10/27/trammell-crow-buys-block-ross-avenue-just-east-downtown-dallas http://www.dallasnews.com/business/business/2016/04/29/developers-are-licking-their-chops-to-buy-disds-ross-avenue-properties We plan to use this existing interest to promote the project as the one of the premier developments available to consumers in the neighborhood. We will engage in direct communication with area news publications as well as national real estate portals and local bloggers such as Candy's Dirt to raise awareness of the project. Direct Mail: Monthly budget - $700 Approximate reach – 2000 area renters per month There is already a strong base of multi-family apartment buildings in the area, with the best target option being the Icon at Ross and some higher-end private rental homes. A lot of long-term residents in the area have traditionally been renters as there have not been a lot of residential units available for sale, and tenants have chosen to stay in the area rather than purchase elsewhere. We intend to focus our direct-mail efforts on current tenants in these buildings to raise awareness of alternative living options. We will also focus our event promotions on these buildings, as we believe word-of-mouth about the development will spread faster within the community than outside it.

Signage: One time cost - $500 Location and traffic figures TBD based on placement of sign.

Events & Broker Outreach: Printing Costs (Brochures & Invitations) - $700 (1 time) Event Cost - $1500 (1 time) Skyline Terrace is an urban redevelopment project with a focus on the modern, urban lifestyle, and we believe that potential buyers, and also their agents, need to understand the ethos behind the project to appreciate its value. Nothing could capture that better than the hosting an evening celebration at the development itself. We plan to organize a launch party for Skyline Terrace as soon as an existing model is ready, and host an event on site. We also hope to co-brand the event with already popular bars and eateries in the area, not only to generate neighborhood interest in events and the development itself, but also to raise awareness of potential buyers to the gastronomic availabilities in the area.

MLS and Syndication: We realize that outside of independent marketing efforts, the MLS also plays an important part in informing both agents and the public about new developments and properties. We carefully curate our listing photos and descriptions to evoke a true image of the top selling points of each development, and we are also one of the top-rated Zillow Premier agents in the area. By buying out Zip codes around a development on websites like Zillow and Trulia, we ensure that ALL inquiries for any residential properties go directly to us, which allows us to up-sell your development over any other listing.

Total Proposal cost: Monthly for first 12 months - $1900 p/m One time costs - $2600 Total 12 month budget: $25,400

INVESTMENT OPPORTUNITY

INVESTOR RETURNS

CAPITAL SOURCES

Senior Lender 3,474,729.10$

General Partner (Investors) 700,000.00$ Distribution Waterfall

Limited Partner (Developer) 916,000.00$ Years

5,090,729.10$ Preferred Return - General Partner (Investors) 501,437.45$ 50% 1.5

Preferred Return - Limited Partner (Developer) 501,437.45$ 50% 1.5

BUDGET

Land Acquisition 1,811,928.00$

Hard Costs 2,601,501.10$

Soft Costs 677,300.00$

TOTAL: 5,090,729.10$ Internal Rate of Return

LP - All In 2,618,874.90$

PROFIT Dates 6/15/2017 12/15/2018

Final Value 6,093,604.00$ Equity (1,616,000) 2,618,875

All in costs 5,090,729.10$ IRR 37.93%

TOTAL: 1,002,874.90$ 16.46%

QUESTIONS?