roject $1.2.3.4.5.6.$

Project $1.$

$2.3.$

Timing

Analysis Start: $12/31/23$

Predevelopment: $12$ months

Construction: $24$ months

Lease $1$: Commencing $12$ months after delivery Lease $2$: Commencing $24$ months after delivery Sale Date: Month $72$ or $12/31/29$

Size:

Project GSF: To be determined by applying efficiency below to NRSF Project NRSF: $190,000$ SF

Project Efficiency: $95\%$

Development Assumptions

Land Purchase Price: $$80/$ GSF to be spent at time zero

Soft Costs: $$50/$ GSF to be spent $100\%$ during the predevelopment period

Hard Costs: $$300/$ GSF

$1/3$ to be spent during the first year of construction

$2/3$ to be spent during the second year of construction

Leasing Assumptions

Tenant $1$ i$.$

ii$.$ iii. iv$.$ v$.$ vi$.$

vii.

Tenant $2$ i$.$

ii$.$ iii. iv$.$ v$.$ vi$.$

vii.

Premises: $125,000$ NRSF Rent: $$48/$ SF NNN Free Rent: $12$ months Escalations: $2\mathrm{.}5\%$

Term: $7$ years

Tenant Improvement Allowance: $$150/$ NRSF

$1.$ Paid $100\%$ in lease commencement year Leasing Commissions $6\%$

$1.$ Paid $100\%$ in lease commencement year

Premises: $65,000$ NRSF Rent: $$60/$ SF NNN Free Rent: $12$ months Escalations: $2\mathrm{.}5\%$ Term: $10$ years

Tenant Improvement Allowance: $$180/$ NRSF $1.$ Paid $100\%$ in lease commencement year

Leasing Commissions $6\%$

$1.$ Paid $100\%$ in lease commencement year

Operating Assumptions: The numbers below should be reflected at delivery and escalate thereafter

Opex: $$12/$ SF

Real Estate Taxes: $$15/$ SF

Escalation: $2\mathrm{.}5\%$Sale Assumptions

Residual Cap Rate: $5\mathrm{.}25\%$ to be applied to year $7$ NOI

Sales Costs: $2\mathrm{.}00\%$

Please display the following on a gross dollar and $ $/$ GSF basis:

a$.$ Gross Sales Proceeds

b$.$ Selling Costs

c$.$ Net Sale Proceeds

d$.$ Gross Sales Proceeds de$-$escalated to the commencement date at $2\mathrm{.}75\%$ growth rate

Financing Assumptions: Please assume a traditional bank construction loan for this project. That means equity up$-$front.

Loan to Cost: $65\%$

Interest Rate: $6\mathrm{.}00\%$

Recordation Tax: $2\mathrm{.}50\%$

Financing Fees: $1\mathrm{.}50\%$

Please include the following as part of your model:

Sources and Uses Table

Returns

Unlevered IRR

Levered IRR

Equity Multiple

Stabilized Yield

Stabilized Cash on Cash

Data Tables Measuring IRR at the following:

a$.$ b$.$ c$.$

$4.$ Please a$.$ b$.$ c$.$

d$.$ e$.$

Tenant $1$ rents $($$$1/$SF increments$)$ vs cap rates

Land purchase price $($$$5/$ SF increments$)$ vs debt interest rate $(0\mathrm{.}25\%$ increments$)$ Tenant $2$ rents $($$$2/$ SF increments$)$ vs TI$$s $($$$10/$ SF increments$)$

build a waterfall reflecting the following:

$5\%$ GP Investment $/95\%$ LP Investment

Pari Passu until a $8\%$ return

$20\%$ to the GP and $80\%$ to the LP until a $12\%$ return $30\%$ to the GP and $70\%$ to the LP until a $15\%$ return $40\%$ to the GP and $60\%$ to the LP thereafter