AERIAL PHOTOGRAPH OF FULL SAIL’S CAMPUS AT 436 + UNIVERSITY

1. AERIAL PHOTOGRAPH OF FULL SAIL’S CAMPUS AT 436 + UNIVERSITY

2. PARKING LOT AT FULL SAIL’S CAMPUS AT 436 + UNIVERSITY

3. Introduction of Appellant CREC, Steven D. Bell & Company & CREC/Bell University Plaza, LLC CREC - Operates 9 million square feet of commercial property throughout Florida making us the 4th largest commercial management firm in the State CREC exclusively represents some of the Nation’s most well known retailers including Target, Lowes, Kohl’s, Office Max, and Lifetime Fitness to name a few CREC has sold or financed more than $750 million worth of commercial real estate over the past 4 years Steven D. Bell & Company is a North Carolina based real estate investment company founded in 1976. They currently hold an investment portfolio worth more than $3.5 billion consisting of 60,000 apartments, 24 senior living communities and more than 5.6 million square feet of commercial space located in 70 cities throughout the United States

5. OUR PLANS FOR THE CENTER • CREC/BELL UNIVERSITY PLAZA, LLC ACQUIRED THE PROPERTY IN 2004 BEFORE THE MARKET KNEW THAT TARGET WAS GOING TO BUILD ACROSS THE STREET • OUR PLAN HAS ALWAYS BEEN TO REDEVELOP THE CENTER UPON K-MART’S LEASE EXPIRATION IN APRIL 2009 • OUR PLANNED RENOVATION WOULD INVOLVE A NEW FACADE, UPGRADED PARKING LOT AND LANDSCAPING AND RE-TENANTING THE K-MART SPACE WITH ONE OR MULTIPLE NEW ANCHORS • WE HAVE RECEIVED SUBSTANTIAL INTEREST FROM LOWES, KOHL’S, OFFICE MAX, STAPLES AND WAL-MART NEIGHBORHOOD GROCERY. OTHER POTENTIAL CANDIDATES INCLUDE TJ MAXX, HOMEGOODS, MARSHALLS, AND UPSCALE GROCERS SUCH AS FRESH MARKET OR WHOLE FOODS.

6. SCOPE OF REDEVELOPMENT EXAMPLES

7. SCOPE OF PROPOSED REDEVELOPMENT

8. SCOPE OF PROPOSED REDEVELOPMENT

9. CREC/Bell Owns the Parking lot Full Sail owns their building and 23 spaces to the east The entire parking field is owned by CREC/Bell and a cross parking agreement was entered into when the theater was sold due to the fact that the theater and shopping center’s peak demand for parking would occur at different times. You are now burdening us with a substantially more intensive parking use that runs around the clock, which is well outside the logical intention of the original parking agreement. Not only is this clearly in violation of the Orange County Code, but it is obviously not reasonable to think that someone who has parking rights to property they do not own should freely be able to increase those rights to the point where they substantially damage the party that owns that land.

10. PROBLEMS ALREADY OCCURRING WITH EXISTING TENANTS • FULL SAIL’S OCCUPANCY IS ALREADY CAUSING PROBLEMS WITH OUR EXISTING TENANTS • K-MART EXERCISED THEIR RIGHT TO EXCLUSIVELY USE THE FIRST 5 ROWS OF THE PARKING LOT CONTAINING 195 SPACES. IN ADDITION TO FULL SAIL’S OVER INTENSIVE USE, IF K-MART TAKES THE EXCLUSIVE SPACES THEY ARE ENTITLED TO THERE WILL BE INSUFFICIENT PARKING LEFT FOR OUR OTHER TENANTS • FAMILY DOLLAR’S LEASE EXPRESSLY PROHIBITS A SCHOOL IN THIS LOCATION • OUR TENANTS HAVE ALREADY ISSUED THE FOLLOWING COMPLAINTS: • INCREASED CONGESTION ENTERING AND LEAVING THE SHOPPING CENTER • STUDENTS PLAYING FOOTBALL IN THE PARKING LOTS • STUDENTS DOING SKATEBOARDING AND BIKE TRICKS OFF THE SIDEWALKS AND CURBS • STUDENTS DROPPING WRAPPERS,CANS,BOTTLES AND OTHER TRASH • GROUPS OF STUDENTS LOITERING,SMOKING,PLAYING GUITAR • STUDENTS CLOGGING THE SIDEWALKS SO THAT CUSTOMERS ARE FORCED TO WALK AROUND THEM INTO THE PARKING LOTS, IN PARTICULAR DAY CAR CUSTOMERS WITH THEIR SMALL CHILDREN • STUDENTS HARASSING AND USING PROFANITY TOWARDS CUSTOMERS ACCOMPANIED BY CHILDREN • STUDENTS DRINKING ALCOHOL ON THE SIDEWALKS • GROUPS OF STUDENTS TAKING UP SEATS IN THE RESTAURANTS FOR LONG PERIOD OF TIME BUT JUST ORDERING DRINKS OR NOTHING AT ALL RESULTING DECLINING SALES (COSTANZO’S DELI, A TENANT FOR 10 YEARS CLOSED THEIR RESTAURANT DUE TO FULL SAIL LAST WEEK)

11. FULL SAIL USE IS SIMPLY NOT COMPATIBLE WITH RETAIL USES WEBSTER’S DICTIONARY DEFINES RETAIL AS “THE SALE OF GOODS TO ULTIMATE CONSUMERS”. A SCHOOL OBVIOUSLY HAS NOTHING TO DO WITH BRINGING CONSUMERS TO THE SHOPPING CENTER. IT IS A FACT THAT RETAILERS DO NOT LIKE TO OPERATE IN CENTERS WITH SCHOOLS WE HAVE RECEIVED LETTERS FROM LOWES, KOHL’S & OFFICE MAX SPECIFICALLY COMMENTING ON HOW FULL SAIL’S OCCUPANCY WOULD IMPACT THEIR DECISION TO MOVE INTO OUR SHOPPING CENTER WITHIN OUR 9 MILLION SQUARE FEET PORTFOLIO, AND STEVEN D.BELLS PORTFOLIO WE HAVE REVIEWED THE LEASES OR OPERATING AGREEMENT FOR ALL OF THE BEST KNOWN ANCHORS TO SEE HOW THEIR LEASES DEAL WITH SCHOOLS. HERE IS A LIST OF TENANTS WHOSE LEASES PROHIBIT SCHOOLS. WALMART NEIGHBORHOOD GROCER TARGET COSTCO PLUS PETCO WINN DIXIE COMP US MICHAELS OFFICE MAX JOANN’S LOWES TJ MAXX KOHL’S STAPLES PUBLIX FAMILY DOLLAR • KROGER • BEST BUY • OFFICE DEPOT • BED BATH & BEYOND • SWEET BAY • FOOD LION • RITE AIDE • THE TILE SHOP • MARSHALLS • BOOKS A MILLION • HOME GOODS • ROSS • ULTA

12. WHY ARE THESE USES NOT COMPATIBLE? A PICTURE TELLS A 1,000 WORDS: • PICTURES OF FULL SAIL’S PARKING LOT ON 436 AND UNIVERSITY

13. AERIAL OF FULL SAIL’S PARKING LOT ON 436 AND UNIVERSITY

14. TRAFFIC- 180 KIDS LEAVING AND 180 KIDS COMING INTO THE CENTER BETWEEN CLASSES

15. PICTURES OF FULL SAIL STUDENTS LOITERING IN THE CENTER

16. PICTURE VACANT SHOP SPACE IN OTHER CENTER

17. WHAT’S AT STAKE HERE? WE WILL LOSE MANY OF OUR EXISTING TENANTS AND END UP WELL BELOW THE STATUS QUO-COSTANZOS HAS ALREADY GONE OUT OF BUSINESS K-MART HAS EXPRESSED STRONG CONCERN ABOUT FULL SAIL’S USE AND EVEN EXERCISED PARKING RIGHTS TO PROTECT THEIR SPACES. IF THEY AND CANNOT BE REPLACED, WHICH IF YOU LOOK AT THE LIST OF RETAILERS WHO WILL NOT OPERATE WITH SCHOOLS IS A HIGHLY PROBABLE OUTCOME, WE WILL SUFFER SUBSTANTIAL LOSSES. THE VALUE PRIOR TO FULL SAIL TAKING OVER WITH NO REDEVELOPMENT AT A 7% CAPITALIZATION RATE = $8.2 MILLION PROJECTED REDEVELOPMENT VALUE AT 7% CAPITALIZATION RATE = $18.9 MILLION LESS REDEVELOPED COSTS OF APPROXIMATELY $5.4 MILLION = NET VALUE OF $13.5 MILLION IF FULL SAIL OPERATED IN THE CENTER AND K-MART VACATES AND CANNOT BE EFFECTIVELY RE-TENANTED, THE PROPERTY WILL OPERATE AT A NET LOSS AND WILL BE ESSENTIALLY WORTHLESS AS A RETAIL CENTER. AT THAT POINT, WE WOULD BE BACK IN FRONT OF YOU SEEKING APPROVAL FOR SECONDARY USES SUCH AS SCHOOLS,CHURCHES,ETC AND I ASSURE YOU THE VALUE WILL BE A FRACTION OF WHAT IT SHOULD BE.

18. SUMMARY • WHILE THERE ARE STRONG LEGAL ARGUMENTS TO SUPPORT OUR CASE, I BELIEVE OUR POSITION IS EVEN STRONGER IF YOU JUST TAKE A COMMON SENSE VIEW AT THIS SITUATION. • WOULD YOU WANT TO SHOP AT A CENTER THAT ESSENTIALLY HAS BEEN CONVERTED INTO A COLLEGE QUAD WITH STUDENTS HANGING AROUND, SMOKING, PLAYING FOOTBALL, RIDING BIKES AND OTHERWISE CREATING AN UNATTRACTIVE ENVIRONMENT? • SINCE THE OBVIOUS ANSWER TO “B” WAS NO, WHO SHOULD HAVE THE PRIORITY RIGHTS, THE NEW USER THAT WANTS TO CHANGE THE WAY THE PROPERTY HAS OPERATED FOR 24 YEARS OR THE EXISTING OWNER THAT ACTUALLY OWNS THE LAND FULL SAIL WANTS TO OVER UTILIZE? • WE KNOW THAT FULL SAIL IS A VALUABLE AND IMPORTANT INSTITUTION IN THIS TOWN AND WE HAVE NOTHING BUT RESPECT FOR THEM. BUT IF YOU GRANT THEIR APPROVAL, THE COUNTY AND FULL SAIL WILL ESSENTIALLY BE TAKING OUR SHOPPING CENTER SINCE IT WILL NO LONGER BE VIABLE FOR RETAIL USE.