Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion ( ) and the Structured Product • is as a joint venture between Beekman Capital Partners, LLC (BCP) and • BCP is part of the Beekman family of companies (www.beekmancompanies.com) and is a real estate investment banking firm founded by Anne Corbin • is in the business of acquiring and managing high quality, income producing commercial real estate • is managed, on a day-to-day basis, by Ms. Corbin • was founded on two primary principles: • High quality, private commercial real estate ownership is an exceptional investment tool for increasing returns and reducing risk in an investment portfolio; and, • Real estate sponsors have a need for a conduit which provides low cost, long-term, equity and which obviates the time and cost associated with forming a private REIT

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Investor participation in long-term capital appreciation Asset pools identified in advance A strong alignment of interests between sponsors and investors Stable annual “preferred” cash distributions to investors and high risk-adjusted returns High quality commercial real estate assets “Best in Class” owner/operators with long-term track records of success ( ) and the Structured Product • The key elements of the Structured Product include:

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion BrokerDealer Assemble deal team (Legal, Accounting, etc.) Underwrite Assets Prepare prospectus and marketing materials Develop road show and facilitate distribution Establish database of investors Facilitate “back office” requirements Business Concept • ( ) is a specialty investment banking platform providing underwriting and distribution capabilities to commercial real estate owner/operators seeking to offer high quality commercial real estate investments to the Accredited Investor market • For commercial real estate owner/operators, barriers to entry impede the efficient distribution of high quality real estate investment products to Accredited Investors • For high net worth investors, institutional quality commercial real estate is assuming a greater role in all prudent asset allocation models • Structured Product provides investors with access to high quality commercial real estate and an alignment of interests between sponsors and investors, which provides sponsors with more flexibility in a cost efficient structure • functions as a conduit to low cost, long-term, equity capital Sponsor Accredited Investor(LP Interest) $$$

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Investment Options with Comparable Yields to Private Commercial Real Estate • Risk Profile Yield • High Yield / Junk Bonds High 9.0% • Five Year CD Low 5.0% • CMBS High 8.5* • Public REITs Moderate 4.8%-7.4% • REIT Mutual Funds Low 3.2%-5.1% • Private REITs High 4.5%-7.1% • Closed-End Real Estate Funds Low 6.1%-9.3% • Public REIT Preferreds High 6.1%-8.9% • Structured Product Low 7.0%-10.0% * Double-B rated, 10-year, fixed rate

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion 111 8th Avenue, New York, NY • 21-year history of real estate investing • 25 equity syndications, raising over $2.3 billion • In excess of 36,000 current investors • Acquisitions totaling over $5.5 billion • Focus on high quality commercial real estate assets with annual cumulative preferred returns to investors ranging from 7.0% to 9.4% • Experienced investor in a variety of property types: Office; Retail; Industrial; Hotel; and, Land • Disciplined disposition strategies • Total annual returns for liquidated funds have ranged from 8.6% to 12.7% • Largest syndicator of U.S. real estate investments to German investors • Sponsor for products JAMESTOWN Track Record (since inception) Total # properties acquired: 48 Total capital invested: $5.5 billion Wtd avg preferred return: 7.54% Wtd avg annual total return on realized funds: 10.46%

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Sample Economic Structure: The Waterfall • Investment grade leverage (60%-65%) • Equity component: 100% cumulative preferred equity from limited partners • Preferred annual yield to LPs of 7%-10% • Subordinate GP carried interest • Liquidity reserve established for tenant rollover and payment of the preferred return • Seven- to 10-year projected hold period • Property Level Net Operating Income- Debt service (principal and interest)- 1% Asset Management Fee- Preferred Return to LPs- Liquidity Reserve- Carried Interest to Sponsor • Total Net Disposition Proceeds- Return of LPs’ capital- Catch up Preferred Return to LPs- Catch up Carried Interest to GP • = remaining excess cash flow split 60/40 (LP/GP) • = remaining excess proceeds (including liquidity reserve) split 60/40 (LP/GP)

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Target Investor Market: The Accredited Investor • The Accredited Investor market represents approximately 11 million households and $30 trillion in aggregate net worth • Sophisticated investor pool • Capable of making $100,000+ investments • Significant increase in demand for Alternative Investments, including commercial real estate • Focused more on return than liquidity • More likely to be repeat investors provides Accredited Investors access to an asset class which (i) represents a more significant role in current asset allocation models, and (ii) increases returns and decreases risk in their portfolios

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Target Sponsor Market: “Best in Class” • targets “Best in Class” commercial real estate owners and operators with long-term, successful track records in the acquisition, management and disposition of high quality portfolios of commercial real estate assets • Private real estate companies • Public and private REITs • Core, Core-Plus, Value-Added and Opportunity Funds • Insurance companies enables top quality sponsors to recapitalize equity investments, maintain an ownership position and participate in future capital appreciation

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Target Distribution Channels: Accessing High Quality Investors • There are numerous platforms which provide Alternative Investment options to the Accredited Investor market • Commercial Banks • Private Banks • Retail Brokerage Firms • Trust Companies • Asset Management firms • Registered Investment Advisors/Certified Financial Planners • Family Offices • Hedge Funds • Real Estate Funds of Funds enables distribution sources to meet the increasing demand by their clients for exposure to high quality commercial real estate and in a structure which is superior to existing options

Investment Options with Comparable Yields Target Investors, Sponsors & Distributors Conclusion Conclusion • ( ) is a specialty investment banking platform providing underwriting and distribution capabilities to commercial real estate owner/operators seeking to offer high quality commercial real estate investments to the Accredited Investor market. Specifically, we: • Satisfy increasing investor demand for high quality real estate exposure • Remove barriers to entry for sponsors wanting to access this source of capital • Facilitate the overall process by: • Assembling the deal team (Legal, Accounting, etc.) • Underwriting the properties • Preparing the prospectus and all marketing materials • Developing the roadshow and facilitating the distribution of the LP interests • Establishing a database of the investors and • Facilitating “back office” office requirements • Providing ongoing Investor Relations with Distributors

Addendum 1 Benefits of Private Commercial Real Estate Ownership

Benefits of Private Commercial Real Estate Ownership • Portfolio Risk Reduction and High Risk-Adjusted Returns • Real estate investments increase portfolio returns and decrease overall risk • Returns on real estate investments over time have been competitive with equities while much less volatile • The pie charts below show the increased return/lowered risk dynamic that real estate has on a portfolio Portfolio Diversification to Increase Return and Reduce Risk Average Annual Return: 6.89% 7.79% Standard Deviation (Risk): 9.91% 8.45% Sources: National Council of Real Estate Investment Fiduciaries (NCREIF) Property Index; Standard & Poors (S&P) 500; Lehman Brothers Aggregate Government and Corporate Bond Index; 30-Day US Treasury Notes. (1997-2002)

Public Real Estate Private Real Estate Benefits of Private Commercial Real Estate Ownership • Low Volatility • Compared to virtually all other asset classes, and notably public real estate (defined as publicly-traded REITs), private real estate returns are more stable Public and Private Real Estate Total Returns(1) (1) Private real estate includes investment grade commercial properties acquired on behalf of tax-exempt entities. Source: NAREIT; NCREIF; Prudential Real Estate Investors

Benefits of Private Commercial Real Estate Ownership • Stable cash flow streams with minimal risk • High quality properties typically have long-term leases with high credit quality tenants producing stable current returns • Capital appreciation potential • Total annual returns can exceed preferred annual distributions by a substantial margin when properties are sold at a profit • Hedge against inflation • There is a positive correlation between real estate returns and the rate of inflation • Commercial real estate exposure thus provides a hedge against inflation and offsets the negative impact on other asset classes during rising inflation

Benefits of Private Commercial Real Estate Ownership • Returns are negatively correlated with stocks, bonds and public real estate • Private commercial real estate exposure can stabilize portfolio returns and provide a higher probability of sustained positive returns over time • The table below reflects asset class correlations between private real estate and the other primary asset classes: Sources: National Council of Real Estate Investment Fiduciaries (NCREIF) Property Index; Standard & Poors (S&P) 500; Russell 2000; Lehman Brothers Aggregate Gov't and Corp Bond Index; National Association of Real Estate Investment Trusts (NAREIT); 30-Day US Treasury Notes; Consumer Price Index. (1979 – 2002)

Addendum 2 The Pros and Cons of Commercial Real Estate Investment Options

The Pros and Cons of Commercial Real Estate Investment Options • Pros Cons Yield • Public REITs 4.8%-7.4% • Private REITs 4.5%-7.1% • REIT Mutual Funds 3.2%-5.1% • Broad access to the commercial real estate asset class • Liquid • Public market scrutiny via the analyst community • Management usually holds a significant equity stake in the company • Relatively stable sector (within the broader stock market) • Relatively high dividend yields (within the broader stock market) • Adheres to public market reporting standards • High volatility (vs. privately owned real estate vehicles) • Returns negatively correlated to private real estate returns • Subject to general equity market as well as underlying real estate fundamental fluctuations • Relatively small sector vis-à-vis the entire equity market (ie 2%), amplifying volatility as money flows into and out of the market • Fees include 7% to the underwriter of an IPO plus additional costs associated with the listing • Post investment, you confront the blind pool issue • Access to the commercial real estate asset class • Relatively high current cash yields • Relatively low volatility • Potential capital appreciation • Large upfront fees/loads; all-in cost for raising new funds can be four times what publicly traded REITs incur when making secondary offerings • Poor alignment of interests between the sponsors and the investors • Negative equity: Sponsors not only have little to none of their own money invested in the vehicles but also reap enormous fees upfront • Sponsor affiliates charge above-market ongoing fees • Blind pools • Illiquid • Some have had to borrow to pay their annual dividend due to poor operating results • Poor transparency post investment • Liquid • Highly diversified by number of properties • Professionally and actively managed to maximize returns • End-of-the-day NAV calculation limits intraday liquidity • High-cost structure given daily redemptions and sales • Tax and cost implications to the extent that portfolio trading activity is high

The Pros and Cons of Commercial Real Estate Investment Options • Pros Cons Yield Closed-End Real Estate Funds • Liquid • Highly diversified as to number of properties • Use leverage to boost returns • Professionally and actively managed to maximize returns • Use of leverage amplifies risk • Can trade at prices below NAV • Tax and cost implications to the extent portfolio turnover is high 6.1%-9.3% Real Estate Opportunity Funds • High potential returns • Diversification with respect to properties • High risk • Need to be at least an Accredited Investor and perhaps a Qualified Purchaser in order to invest directly • High minimum investment threshold • Illiquid 12%-15% Direct Ownership (Core) • Control • No conflicts of interest between the Sponsor and the investor (ie one and the same) • Full economic benefits accrue to the owner • Tends to require a high level of time/involvement • Might require recourse indebtedness • If a high percentage of one’s net worth, might prove financially disastrous • Conflicts with property manager/asset manager 7%-9% Public REIT Preferreds • Rated • Publicly traded • Relatively small market • Relatively illiquid • Post investment, you confront the blind pool issue • Minimal upside potential 6.1%-8.9% Structured Product • “Best in Class” owner/operators with long-term track records of success • High quality properties • Predetermined asset pools • Stable annual cash distributions • High risk-adjusted returns • Alignment of interests between sponsors and investors • Capital appreciation participation • Less liquid than publicly-traded real estate options 7.0%-10.0%

Table of Contents