Western Sky Townhomes November 2015

Project Summary Project Name: Western Sky Townhomes Project Location: Las Vegas, Nevada 280 Condominium Units built to V A / FHA Specification. One building, with central entrance, total 280 units. 4 stories very attractive modern design.

Project Summary Amenities: Will include swimming pool, club house with offices, workout room, tennis courts, handball, designated and enclosed covered parking. Also playground, gated community, special security system, park like setting with special landscaping, pet friendly and modern appearance. Each condominium apartment unit will have a balcony, gas fireplace, and name brand appliances including washer/dryer. Acreage: 9.6 acres Unit Size and Type – 280 Units, 1380 to 1500 square feet

Project Description The project is a “planned development” in Clark County consisting of one phase with 280 condominium units. The property provides owners with an excellent location with access to the “Strip”. The property also provides direct access to the two new sport stadiums. The developer has been able to negotiate a reasonable purchase price for the land which enhances return on investment. The new growth and major turnaround in the economy throughout Clark County and Las Vegas has opened the door for new moderate price point development like Western Sky Condominiums /Apartments.

Project Description Residential demand has never been more apparent as condominium development in recent years has diminished significantly. 48 million tourists visit Las Vegas each year and are served by local residents. As tourism grows so does the number of new residents working in the service sector. Selling Cost: $370,000 per unit. The development supports the current demographics of Clark County and Las Vegas and fills a void in the real estate market at these entry level price points. There will be one building with elevators, that will contain 280 units. This attractive building will have a two section design with central entrance. Each unit will own two covered, parking spots. The project will be enclosed with a 10 foot wall and green belt surrounding the development.

Western Sky Townhomes Pro Forma

Western Sky Townhomes - Pro Forma Apartment Rentals 280 Units will be developed in 1 Phase 280 Units X $2400. per month X 12 months Projected Income $ 8,064,000 Land Cost $ 11,500,000. Hard Construction 110./per sq. ft. X 1340 sq. ft. X 280 Units $ 42,504,000. Soft Costs Arch/Eng. 1,500,000. Legal 250,000. County Permits 540,000. Bond 400,000. Insurance 380,000. CPA 125,000. Supervision Oversite Supervision Required Studies 160,000. Marketing 560,000. Amenities Developers Fee Hookup Fees 1,120,000. Maintenance Reserve 300,000. Models 70,000. Clubhouse 500,000 Office & Administration 320,000. Contingency 300,000 Soft Cost Total 9,065,000 Land plus Hard and Soft Costs $ 63,069,000

Marketing information letter supporting current and growth

Western Sky Townhomes - Pro Forma Condominiums 280 Units will be developed 1380 sq. ft. per Unit @ 370,000./per unit Projected Sales $ 103,600,000.00 Land Cost $ 11,500,000. Hard Cost Construction 110./per sq. ft. x 1,340 sq. ft. x 280 units $ 42,504,000. Soft Costs Arch/Eng. $ 1,500,000. Legal $ 250,000. County Permits $ 540,000. Bond $ 400,000. Insurance $ 380,000. CPA $ 125,000. Supervision Oversite Supervision Required Studies $ 160,000. Marketing $ 560,000. Amenities Developers Fee Hookup Fees $ 1,120,000. Homeowners Association $ 300,000. Models $ 70,000. Clubhouse $ 500,000. Office Administration $ 320,000. Contingency Soft Cost Total $ 9,065,000 Land plus hard and soft costs $ 63,069,000 Interest X 10% X .65 $ 4,019,000 Sales Commisions 3% $ 3,108,000 Profit $33,324,000

THIS IS THE VIEW FROM OUR LOCATION

Marketing

Fred Victorson - Experience Involved in the real estate industry for over thirty five years A developer, a consultant and also as a university level instructor in this industry Developed shopping centers, townhome condominium projects, car washes, restaurants and movie theaters Lead developer on other development projects, such as entertainment shopping promenades and country club high-rise condominiums projects totaling well over $175,000,000 A consultant for other projects such as shopping centers, mixed used office projects, high-rise golf course mixed used properties, golf course conversion, and value-add production purchases

Involved in trades of valuable land with the Bureau of Land Management for development projects and consummated these opportunities His experiences are hands-on and are invaluable as a source of information for teaching and explaining details of these transactions Taught advanced courses in development at the University of Nevada, Las Vegas as was retained by The Development Factor to teach seminars to industry professionals Bullish on the current state of development in the United States and has identified numerous locations in the USA that are in need for new development growth as the economy dictates various new business growth to those areas

Recent Projects Developed by Fred Victorson 2007 - New office complex for joint venture for doctors with possible hospital addition (Value $30,000,000 Developer equity $250,000) 2004 - Purchased a major 55 acre property in Las Vegas for development and processed development requirements at Clark County and received zoning for mixed use and commercial use (Value $150,000,000/land only Loan $65,000,000 Developer equity $3,240,000) 2003 - Developed two apartment groups in Florida and created conversion arrangement to condominium in a joint venture. (Value $2,800,000) 2002 - Made contract for two parcels owned by Whitehall Fund. He negotiated these terms for the joint venture with multi golf course fund/owner for development to enhance cash flow. This developed membership interest and profit. He also entered into a purchase arrangement for this development in Davie, Florida.

Taylor International Corp. Formed in 1940 Most Recent Projects include: Rampart Bingo Hall - Summerlin, NV Mercadito - Summerlin, NV Serendipity 3 - Las Vegas, NV Hershey’s @ New York New York - Las Vegas, NV Embassy Suites - Salt Lake/West Valley, UT The Martin Lobby Remodel - Las Vegas, NV