Exhibit a - Letter of Intent

Exhibit a - Letter of Intent

  1. Introduction-Executive Summary
  • The property
  • Market
  • The Borrower
  • Risk/Return

Exhibit A - Letter of Intent

  1. The Property
  1. Introduction
  2. Location
  1. Accessibility/Key Linkages
  2. Neighborhood Demographics
  3. Adjacent Land Uses
  1. The site
  2. Size and shape
  3. Ingress and Egress
  4. Topography
  5. Subsurface Conditions
  6. Environmental/Historic/Cultural Conditions
  7. Zoning/Permitted Land Uses
  8. Utilities
  9. The Improvements
  10. Existing
  11. Proposed
  12. Project Budget/Schedule
  13. Sources and Uses of Funds
  14. Funding Schedule
  15. Conclusion

Exhibit II-1 Regional Location Map

Exhibit II-2 Site Vicinity Map

Exhibit II-3 Site Access Map

Exhibit II-4A Aerial Photograph Looking East

Exhibit II-4B Aerial Photograph Looking South

Exhibit II-5 Site Plan

Exhibit II-6A Building Photograph

Exhibit II-6B Building Photograph

Exhibit II-6C Building Photograph

Exhibit II-6D Building Photograph

Exhibit II-7A Interior Photograph

Exhibit II-7B Interior Photograph

Exhibit II-7C Interior Photograph

Exhibit II-8 Construction Summary

Exhibit II-9 Sources and Uses of Funds

Exhibit II-10 Cross Section Building Elevation

  1. The Market Overview
  1. Introduction
  2. The Area Market/ The Market Overview

1.Regional Market

2.Relevant Submarket for Subject

  1. Competitive Market Survey (Comparables)

3.Rental Rates

4.Occupancies

5.Sales Prices

  1. Conclusion

Exhibit III-1A Summary of Population Growth

Exhibit III-1B Average Household Income

Exhibit III-1C County Employment Forecast

Exhibit III-2A County Apartment Market

Exhibit III-2B Average Monthly Rent for Rental Housing

Exhibit III-3 Competitive property Survey

Exhibit III-4 Competitive property Amenity Matrix

Exhibit III-5 Competitive Property Survey Map

  1. The Borrower/Developer/The Joint Venture Partner
  1. Introduction
  2. The Organization
  3. Rouse & Associate
  1. Company Overview
  2. Rouse& Associates- Delaware
  1. Development Team
  1. Developer/Seller
  2. Leasing/marketing/Sales team
  3. General Contractor
  4. Major Subcontractors
  5. Golf Course Management
  1. Conclusion

Exhibit IV-1 Balance Sheet

Exhibit IV-2 Consolidated Balance Sheet

Exhibit IV-3 NHP Properties in the Metropolitan Washington, D.C. Area

Exhibit IV-4Parkford Companies Track Record

  1. The Risks and Returns
  1. Introduction
  2. Valuation
  1. Pro Forma Income and Expenses
  2. Valuation Methodology
  1. Returns
  1. Projected NOI and Cash Flows From Operations
  2. Projected property Reversions
  3. Base Debt Service
  4. Annual Returns to Equity
  5. Cash Proceeds at Sale to Equity
  6. Additional Interest from Operations
  7. Additional Interest from Sale or Refinancing
  8. Rates of Returns
  9. Annual Returns
  10. Time-Weighted Returns
  11. Yield Analysis
  1. Risk
  1. Market Risk
  2. Operation Risk
  3. Financial Risk
  4. Partnership Risk
  5. Sensitivity Analysis

Exhibit V-1 Pro Forma Income and Expenses

Exhibit V-2A Valuation Summary

Exhibit V-2B Cost of Improvement

Exhibit V-2C Land Valuation

Exhibit V-2D Direct Sales Comparison Approach

Exhibit-V-3 Assumptions Table

Exhibit-V-4 Projected property Cash Flow

Exhibit V-5 investors Yield Summary

Exhibit V-6 Total USF&G Cash Flow

ExhibitV-7A Composition of USF&G’s Proceeds at Sale

ExhibitV-7B Composition of USF&G’s Proceeds at Sale

Exhibit V-8A Sensitivity Analysis CAP Rates and Inflation

Exhibit V-8B Sensitivity Analysis Yield VS Holding Period Yield VS Holding Period

  1. Conclusions and Recommendations
  1. Appendix A-1A Floor Plans

Appendix A-1B

Appendix A-2

Appendix A-3

Appendix B Piedmont Realty Advisors

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