Usa Courtney Downs October

USA Courtney Downs LeaseCo, LLC Key Variable Analysis 9/30/2008 Number of Units Average Length of Stay (mos.) Renewal Rate Turnover Rate - Current month YTD annualized Current Gross Potential (most recent fin. stmt.) Gross Potential (beg. Budget year) % Increase in GPR (current to beg. budget yr.)

Write-offs as % of Gross Potential Other Income/Unit (excl. Utility Reimb.) Application Fee Per Move In Redec/Admin. Fee Per Move In

Controllable Expenses as % of Total Revenue: Total Expenses as % of Total Revenue:

Average Advertising/Locator Cost per Move-In: Total Resident Retention per Unit: Average Cost per Turn (move-out): % Water/Sewer Recovery - MTD & YTD - Actuals Total Controllable Expenses (/unit/yr.): Total Non-controllable Expenses (/unit/yr.): Total Expenses (/unit/yr.):

Lease Expiration Sep-08

342

68.62%

MTD 0.35%

Actual Jan

Actual Current Month

% Change

$294,410 $2,842 $297,252

$301,250 ($2,719) $298,531

2.32% -195.67% 0.43%

Current Actual

Current Budget

% Variance

$262,493 $29,567 $292,059

$258,661 $23,739 $282,400

$3,832 $5,828 $9,659

Month

Average Occupied Rent

Economic Occupancy

Physical Occupancy

Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08

$824 $820 $849 $829 $827 $818 $827 $836 $832 $836 Err:502 Err:502

86.66% 89.34% 93.88% 89.53% 89.41% 88.72% 89.40% 91.12% 87.93% #DIV/0! Err:502 Err:502

91.40% 94.04% 95.32% 93.18% 93.81% 94.09% 93.94% 94.81% 92.24% 94.21% Err:502 Err:502

Category

Expenses /unit/yr.

2007 IREM Expenses 1

Variance

Salary Expense Operating Expense Advertising Expense Make Ready Expense Maintenance Expense Management Expense Credit Card Fees Service Expense Administrative Expense Utility Expense Taxes & Insurance Capital Expense

$983 $117 $157 $187 $117 $0 $16 $152 $420 $417 $1,233 $314 $4,113

$1,061

$78

Controllable Costs 2 Taxes & Insurance Total 2

$2,566 $1,233 $3,799

$2,654 $747 $3,401

$88 ($486) ($398)

NOI

$6,563

$6,053

$510

Market Rent (MR) LTL as % of MR Gross Potential

YTD 1.00% 1,209.65 Net Rental Income Other Income Total Revenue

24.76% 36.66%

$169

$197

$172 64.65% Actual + Bud 2,565.71 1,232.96 3,798.67

$280 72.83% Budget 2,822.81 1,231.40 4,054.22

20.00

1

Median Expense for the city IREM includes Payroll costs in the following expense catagories : Other Administrative Costs, Security, Gournds, Maintenance, Painting and Decorating-Interior Only and Recrreational Amenities IREM does provide total Payroll Recap of all the payroll components Thus for all purposes comarison by category to IREM category is invalid therefore a comparison in total is used

2

Excludes Capital Expense

IREM City Apt Type Year Built # of Prop reporting # of units Average Prop size

Denver Garden 1978 to Date 50 15,188 304

(Net Rental income) / (total units * occupancy)

USA Courtney Downs LeaseCo, LLC Summary Report

Actual 20 22

22 25

Variance (2) 3

92.24% 7.76% 87.13%

94.42% 5.58% 85.86%

-2.18% -2.18% 1.27%

Move-ins Move-outs Physical Occupancy Vacancy Economic Occupancy

Budget

Prior Month

Current Month

Subsquent Month

at month end (vacancy / market rent) (net rental / market rent)

Annualized Per Unit

Net Rental Revenue Actual / Projected Budget - Original Variance

271,191 261,671 9,520

262,493 258,661 3,832

269,218 254,092 15,126

Other Revenue Actual Budget - Original Variance

28,230 27,910 320

29,567 23,739 5,828

26,882 22,628 4,254

Expenses - Controllable Actual Budget - Original Variance

76,346 83,552 7,206

68,416 79,854 11,438

77,840 87,518 9,678

2,565.71 2,822.81 257.10

Expenses - Taxes & Insurance Actual Budget - Original Variance

35,029 35,095 66

35,222 35,095 (127)

35,257 35,095 (162)

1,232.96 1,231.40 (1.55)

7,400 6,600 (800)

7,228 6,259 (969)

6,885 6,000 (885)

Actual 2,782,500 2,244,612 537,888

Budget 2,782,500 1,984,350 798,150

Expenses - Capital Actual Budget - Original Variance

NOI Goal - Annual NOI Goal @ 7.00% cap Projected NOI Variance

( YTD Actual + Remaining Projected Budget)

Variance 260,262.05

( from disposition analysis ) ( YTD Actual + Remaining Budget )

IREM Comparisons

USA Courtney Downs LeaseCo, LLC % GPI $/ Sq Ft $ / Unit

% GPI

IREM - 2007 1 $/ Sq Ft

$ / Unit

% GPI

Variance $/ Sq Ft

$ / Unit

Payroll

8.60%

1.07

983

10.00%

1.27

1,061

1.40%

0.20

78

Taxes

6.95%

1.15

1,059

5.20%

0.66

555

-1.75%

(0.49)

(504)

Insurance

#N/A

0.19

171

1.30%

0.15

135

#N/A

(0.04)

(36)

Total Controllable Expenses

33.23%

4.14

2,566

26.80%

3.13

1,964

-6.43%

(1.01)

(602)

NOI

57.41%

7.15

6,563

55.10%

6.97

6,053

2.31%

0.18

510

Median Expense for the city IREM's 3 different views of Expenses are compared above The Total IREM for a category may NOT equal the sum of the line items in the category, e.g., Taxes & Insurance 1

2 Jan

3 Feb

4 Mar

5 Apr

6 May

 Property Taxes Monthly YTD

30,188.47 30,188.47

30,188.47 60,376.94

30,188.47 90,565.41

### 30,188.47 ### 150,942.35

 Insurance Monthly YTD

4,840.47 4,840.47

4,815.99 9,656.46

4,840.47 14,496.93

### ###

4,840.47 24,177.87

7 Jun

8 Jul

30,188.47 181,130.82

30,188.47 211,319.29

5,035.65 29,213.52

4,840.47 34,053.99

9 Aug

10 Sep

### 30,188.47 ### 271,696.23

### ###

5,033.51 43,927.97

11 Oct

12 Nov

30,188.47 301,884.70 301,884.70

4,840.47 48,768.44

48,768.44

12 Dec 301,884.70

48,768.44

301,884.70

600.00

### ###

48,768.44 351,253.14

### ###

Courtney Downs Revenue / Operating Expenses / NOI 325,000 300,000 275,000 250,000 225,000 200,000 175,000 150,000 125,000 100,000 75,000 50,000 25,000 0 Jan 2008

Feb 2008

Mar 2008

Apr 2008

Total Revenue

May 2008

Jun 2008

Jul 2008

Total Operating Exp.

Aug 2008

Se

Net Operat

urtney Downs perating Expenses / NOI

2008

220,000 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 Jul 2008

al Operating Exp.

Aug 2008

Sep 2008

Oct 2008

Net Operating Income

Nov 2008

Dec 2008

Lease Expiration USA Courtney Downs LeaseCo, LLC (10600) Month Year = 09/2008 Property

Unit Type

Units

MTM

Sep-08

10600

Arlington(cdc1)

66.00

0.00

2.00

10600

Calder(cda1)

72.00

0.00

9.00

10600

Churchill(cde)

28.00

0.00

1.00

10600

Derby(cda2)

18.00

0.00

1.00

10600

Drysdale (Study)(cdb1)

56.00

0.00

3.00

10600

Lexington(cdd)

36.00

0.00

2.00

10600

Steplechase(cdc)

10600

USA Courtney Downs LeaseCo, LLC (10600)

66.00

0.00

2.00

342.00

0.00

20.00

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

Apr-09

May-09

5.00

3.00

5.00

4.00

7.00

2.00

4.00

5.00

8.00

2.00

5.00

4.00

6.00

3.00

7.00

3.00

3.00

0.00

5.00

1.00

1.00

4.00

1.00

2.00

0.00

2.00

1.00

1.00

3.00

1.00

1.00

1.00

7.00

8.00

2.00

4.00

0.00

6.00

5.00

4.00

2.00

0.00

1.00

2.00

2.00

3.00

4.00

6.00

5.00

7.00

3.00

5.00

7.00

3.00

4.00

5.00

30.00

22.00

22.00

21.00

26.00

22.00

26.00

26.00

Jun-09

Jul-09

Aug-09

Total

8.00

4.00

3.00

52.00

4.00

6.00

7.00

64.00

1.00

3.00

1.00

23.00

2.00

2.00

1.00

16.00

2.00

2.00

5.00

48.00

7.00

1.00

2.00

32.00

7.00

5.00

5.00

58.00

31.00

23.00

24.00

293.00

Courtney Downs Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Move Ins cummulative move in

17 17

16 33

19 52

16 68

28 96

16 112

31 143

25 168

20 188

17 205

205

205

205

Move Outs cummulative move out

17 17

11 28

19 47

21 68

18 86

20 106

33 139

15 154

22 176

17 193

193

193

193

USA Courtney Downs LeaseCo, LLC (10600) 12 Month Occupancy Showing Occupancy Percentage By Property And Month

Year : 2008 Grouped By : Region Calculation by : Unit Count Property

2007 2008

Units

342

Sq Ft

311,852

Jan

Feb

Mar

Apr

May

Jun

July

Aug

Sep

Oct

89.50

88.75

88.09

90.32

93.11

94.95

95.85

94.18

93.98

94.00

91.40

94.04

95.32

93.18

93.81

94.09

93.94

94.81

92.24

94.21

Nov

92.69

Dec

92.10

USA Courtney Downs LeaseCo, LLC (10600)

Budget Period = Jan 2008-Dec 2008 Book = Accrual Jan-08

Feb-08

Mar-08

 INCOME  Market Rent  Loss / Gain to Lease  Gross Potential Rent  Vacancy Loss  Upfront Rent Concessions  Adjustments & W/O  Model Units  Employee Apartment  Guest Suite  Lease Term Concessions  INCOME RENTAL

294,410.00 10,247.00 304,657.00 -28,795.00 -6,000.00 -1,507.00 -1,980.00 -1,935.00 -1,160.00 -17,793.00 245,487.00

294,410.00 10,940.00 305,350.00 -27,074.00 -6,000.00 -1,534.00 -1,980.00 -1,935.00 -1,160.00 -15,707.00 249,960.00

297,830.00 7,880.00 305,710.00 -24,776.00 -3,000.00 -1,586.00 -1,980.00 -1,935.00 -1,160.00 -12,879.00 258,394.00

 OTHER REVENUES  Late Charges & NSF Fees  Month to Month Premium  Storage Fees  Application Fees  Termination Fees & Damages  Miscellaneous Income  Interest Income  Pet Rents & Fees  Garage Income  Cable/Telephone Income  Forfeited Deposits  Administration Fee  Move-Out Charges  Short Term Lease Fees  TOTAL OTHER REVENUES  TOTAL REVENUE

1,463.00 300.00 680.00 1,176.00 0.00 600.00 3,489.00 3,360.00 6,790.00 475.00 300.00 1,820.00 2,400.00 500.00 23,353.00 268,840.00

1,463.00 750.00 720.00 1,323.00 0.00 200.00 0.00 3,360.00 6,790.00 475.00 300.00 2,100.00 2,400.00 375.00 20,256.00 270,216.00

1,771.00 750.00 880.00 1,519.00 2,700.00 1,100.00 0.00 3,360.00 6,790.00 475.00 300.00 2,660.00 2,400.00 500.00 25,205.00 283,599.00

12,689.00 11,403.00 3,005.00 1,720.00 1,000.00 29,817.00

12,689.00 11,403.00 3,425.00 1,720.00 1,000.00 30,237.00

12,689.00 11,403.00 3,665.00 1,720.00 1,000.00 30,477.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 300.00 38.00

 SALARY EXPENSES  Managers Salary  Maintenance Salary  Commissions & Bonus  Group Insurance  Contract Labor  TOTAL SALARY EXPENSES  OPERATING EXPENSES  Office Operations & Supplies  Telephones  Answering Svc. & Pagers  Postage & Delivery  Publications & Subscriptions  Employee Training  Car Expenses

 Credit Checks  Guest Suite Expense  TOTAL OPERATING EXPENSE

288.00 600.00 3,292.00

324.00 550.00 3,278.00

372.00 500.00 3,226.00

 ADVERTISING EXPENSES  Advertising & Promotions  Resident Promotions  Locators  Resident Referrals  TOTAL ADVERTISING EXPENSES

7,500.00 500.00 723.00 500.00 9,223.00

3,500.00 400.00 1,446.00 500.00 5,846.00

3,500.00 500.00 2,025.00 500.00 6,525.00

 MAKE READY EXPENSES  Paint & Drywall  Contract Cleaning Svcs.  Carpet Cleaning & Repairs  Window Coverings  Lock & Keys  Counter & Tub Resurfacing  Cleaning Supplies  TOTAL MAKE READY EXPENSES

207.00 2,859.00 955.00 270.00 85.00 417.00 158.00 4,951.00

225.00 2,859.00 1,038.00 270.00 85.00 417.00 158.00 5,052.00

279.00 2,859.00 1,287.00 270.00 85.00 417.00 158.00 5,355.00

 MAINTENANCE EXPENSES  General Maintenance & Supplies  HVAC Parts & Repairs  Plumbing Parts & Repairs  Electric Parts & Repairs  Roof & Gutter Repairs  Pools & Fountains  Gates & Entrances  Glass & Screens  Appliance Parts & Repairs  Hardware  Exterior Painting  Uniforms  Security & Fire Systems  TOTAL MAINTENANCE EXPENSE

599.00 200.00 120.00 40.00 0.00 100.00 10.00 260.00 300.00 120.00 0.00 0.00 450.00 2,199.00

689.00 100.00 120.00 50.00 0.00 100.00 10.00 0.00 300.00 120.00 0.00 0.00 450.00 1,939.00

1,000.00 100.00 120.00 50.00 0.00 100.00 10.00 260.00 300.00 120.00 0.00 0.00 450.00 2,510.00

 SERVICE EXPENSES  Landscape & Grounds  Trash Removal  Pest Control  Security Patrols  Snow Removal  TOTAL SERVICE EXPENSES

0.00 755.00 205.00 0.00 3,500.00 4,460.00

0.00 755.00 205.00 0.00 3,500.00 4,460.00

0.00 755.00 205.00 0.00 3,500.00 4,460.00

10,754.00 400.00 0.00 11,154.00

10,809.00 200.00 0.00 11,009.00

11,344.00 400.00 0.00 11,744.00

 ADMINISTRATIVE EXPENSES  Management Fees  Legal Fees  Computer Expense  TOTAL ADMINISTRATIVE EXPENSES  UTILITY EXPENSES

 Electricity  Natural Gas  Water & Sewer  Water & Sewer - Resident Reimb  Water - irrigation  Trash Reimbursement  Utility -Vacant Electric  Utility - Vacant Gas  TOTAL UTILITY EXPENSES

3,250.00 1,967.00 20,000.00 -13,600.00 0.00 -2,400.00 1,505.00 903.00 11,625.00

3,250.00 1,967.00 20,000.00 -13,600.00 0.00 -2,400.00 1,415.00 849.00 11,481.00

3,250.00 1,967.00 20,000.00 -13,600.00 0.00 -2,400.00 325.00 768.00 10,310.00

 TAXES & INSURANCE  Property Taxes  Insurance  Tax Consultants  TOTAL TAXES & INSURANCE  TOTAL OPERATING EXPENSES  NET OPERATING INCOME

30,188.00 4,850.00 57.00 35,095.00 111,816.00 157,024.00

30,188.00 4,850.00 57.00 35,095.00 108,397.00 161,819.00

30,188.00 4,850.00 57.00 35,095.00 109,702.00 173,897.00

 TIC RENT EXPENSE  Base Rent - Interest Payment  Base Rent - Principal Payment  Stated Rent  Total TIC Rent Expense

106,587.00 0.00 86,667.00 193,254.00

106,587.00 0.00 86,667.00 193,254.00

106,587.00 0.00 86,667.00 193,254.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 0.00 5,000.00 0.00 0.00 339.00 0.00 5,339.00 -46,019.00

0.00 0.00 5,000.00 0.00 259.00 0.00 2,139.00 7,398.00 -43,283.00

0.00 0.00 5,000.00 0.00 319.00 339.00 2,610.00 8,268.00 -32,075.00

157,024.00

318,843.00

492,740.00

 PARTNERSHIP EXPENSES  Partnership Accounting Fees  Partnership Travel  Asset Management Fees  Investor Administration Fee  TOTAL PARTNERSHIP EXPENSES  CAPITAL EXPENSES  Exterior Rehab  HVAC Replacement  Carpet & Floor Replacement  Refrigerators  Dishwashers & Ranges  Washers / Dryers  Other Capital Improvements  TOTAL CAPITAL EXPENSES  NET INCOME

NOI YTD - Budget

Projected Move-Ins Total Move Outs Resulting Occupancy at Month End Average Monthly Occupancy

13 12 90.44% 90.22%

15 13 91.17% 90.80%

19 16 92.19% 91.68%

Average Scheduled Rent per Unit Average Monthly Occupied Rent

861 894

861 896

871 896

Apr-08

May-08

Jun-08

297,830.00 8,634.00 306,464.00 -21,510.00 -3,000.00 -1,602.00 -1,980.00 -1,935.00 -1,160.00 -14,298.00 260,979.00

297,830.00 8,445.00 306,275.00 -19,986.00 -3,000.00 -1,620.00 -1,980.00 -1,935.00 -1,160.00 -12,717.00 263,877.00

297,830.00 8,157.00 305,987.00 -17,809.00 -3,000.00 -1,621.00 -1,980.00 -1,935.00 -1,160.00 -14,444.00 264,038.00

1,925.00 600.00 840.00 1,813.00 0.00 500.00 0.00 3,360.00 6,790.00 475.00 400.00 3,220.00 2,400.00 375.00 22,698.00 283,677.00

1,925.00 600.00 920.00 1,862.00 2,700.00 500.00 0.00 3,360.00 6,790.00 475.00 400.00 3,220.00 3,600.00 500.00 26,852.00 290,729.00

12,689.00 11,403.00 4,580.00 1,720.00 0.00 30,392.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

Jul-08

Aug-08

Sep-08

301,250.00 4,000.00 305,250.00 -15,591.00 -3,000.00 -1,618.00 -1,980.00 -1,935.00 -1,160.00 -16,316.00 263,650.00

301,250.00 3,881.00 305,131.00 -15,591.00 -3,000.00 -1,606.00 -1,980.00 -1,935.00 -1,160.00 -18,188.00 261,671.00

301,250.00 3,436.00 304,686.00 -16,802.00 -3,000.00 -1,588.00 -1,980.00 -1,935.00 -1,160.00 -19,560.00 258,661.00

1,925.00 750.00 920.00 2,107.00 2,700.00 600.00 0.00 4,200.00 6,790.00 475.00 500.00 3,920.00 2,400.00 625.00 27,912.00 291,950.00

1,925.00 900.00 1,000.00 2,205.00 0.00 800.00 0.00 3,360.00 6,790.00 475.00 500.00 4,200.00 2,400.00 750.00 25,305.00 288,955.00

1,925.00 750.00 1,080.00 2,205.00 2,700.00 800.00 0.00 3,360.00 6,790.00 475.00 600.00 4,200.00 2,400.00 625.00 27,910.00 289,581.00

1,925.00 900.00 1,120.00 1,764.00 0.00 800.00 0.00 3,360.00 6,790.00 475.00 500.00 3,080.00 2,400.00 625.00 23,739.00 282,400.00

12,689.00 11,403.00 3,755.00 1,720.00 0.00 29,567.00

12,689.00 11,403.00 5,305.00 1,720.00 0.00 31,117.00

13,069.00 11,745.00 4,900.00 1,720.00 0.00 31,434.00

13,069.00 11,745.00 4,900.00 1,720.00 0.00 31,434.00

13,069.00 11,745.00 4,158.00 1,720.00 0.00 30,692.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

444.00 500.00 3,348.00

456.00 600.00 3,460.00

516.00 600.00 3,520.00

540.00 600.00 3,544.00

540.00 500.00 3,444.00

432.00 500.00 3,336.00

3,500.00 400.00 1,401.00 500.00 5,801.00

3,500.00 500.00 1,401.00 500.00 5,901.00

3,500.00 400.00 1,705.00 500.00 6,105.00

3,500.00 500.00 1,827.00 500.00 6,327.00

3,500.00 400.00 1,827.00 500.00 6,227.00

3,000.00 500.00 1,340.00 500.00 5,340.00

342.00 2,859.00 1,577.00 270.00 85.00 417.00 158.00 5,708.00

423.00 2,859.00 1,951.00 270.00 85.00 417.00 158.00 6,163.00

405.00 2,859.00 1,868.00 270.00 85.00 417.00 158.00 6,062.00

540.00 2,859.00 2,490.00 270.00 85.00 417.00 158.00 6,819.00

540.00 2,859.00 2,490.00 270.00 85.00 417.00 158.00 6,819.00

446.00 2,859.00 2,054.00 270.00 85.00 417.00 158.00 6,289.00

900.00 100.00 120.00 50.00 0.00 600.00 20.00 0.00 300.00 120.00 155.00 300.00 450.00 3,115.00

720.00 350.00 120.00 50.00 1,500.00 600.00 20.00 260.00 300.00 120.00 0.00 0.00 450.00 4,490.00

720.00 350.00 120.00 50.00 1,500.00 600.00 20.00 0.00 300.00 120.00 100.00 0.00 5.00 3,885.00

900.00 350.00 120.00 50.00 0.00 600.00 20.00 260.00 300.00 120.00 0.00 0.00 200.00 2,920.00

720.00 350.00 120.00 40.00 0.00 600.00 20.00 260.00 300.00 120.00 0.00 0.00 200.00 2,730.00

653.00 100.00 120.00 40.00 0.00 600.00 20.00 260.00 300.00 120.00 100.00 0.00 200.00 2,513.00

8,863.00 755.00 205.00 0.00 3,500.00 13,323.00

5,718.00 755.00 205.00 0.00 0.00 6,678.00

3,000.00 755.00 305.00 925.00 0.00 4,985.00

3,000.00 755.00 305.00 925.00 0.00 4,985.00

3,000.00 755.00 305.00 925.00 0.00 4,985.00

3,000.00 755.00 205.00 0.00 0.00 3,960.00

11,347.00 200.00 0.00 11,547.00

11,629.00 200.00 0.00 11,829.00

11,678.00 200.00 0.00 11,878.00

11,558.00 200.00 3,060.00 14,818.00

11,583.00 200.00 0.00 11,783.00

11,296.00 200.00 0.00 11,496.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,000.00 -2,400.00 1,112.00 667.00 16,246.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,800.00 -2,012.00 1,033.00 620.00 17,308.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,800.00 -2,012.00 920.00 552.00 17,127.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,800.00 -2,012.00 797.00 478.00 16,930.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,000.00 -2,012.00 797.00 478.00 16,130.00

3,500.00 1,967.00 20,000.00 -13,600.00 5,000.00 -2,012.00 858.00 515.00 16,228.00

30,188.00 4,850.00 57.00 35,095.00 124,575.00 159,102.00

30,188.00 4,850.00 57.00 35,095.00 120,491.00 170,238.00

30,188.00 4,850.00 57.00 35,095.00 119,774.00 172,176.00

30,188.00 4,850.00 57.00 35,095.00 122,872.00 166,083.00

30,188.00 4,850.00 57.00 35,095.00 118,647.00 170,934.00

30,188.00 4,850.00 57.00 35,095.00 114,949.00 167,451.00

106,587.00 0.00 86,667.00 193,254.00

106,587.00 0.00 86,667.00 193,254.00

106,586.67 23,565.33 86,667.00 216,819.00

106,474.53 23,677.47 86,667.00 216,819.00

106,361.87 23,790.13 86,667.00 216,819.00

130,152.00 0.00 86,667.00 216,819.00

0.00 200.00 1,000.00 3,250.00 4,450.00

365.00 200.00 1,000.00 3,250.00 4,815.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

2,546.00 0.00 5,000.00 0.00 0.00 0.00 5,000.00 12,546.00 -51,148.00

2,960.00 0.00 6,000.00 690.00 319.00 339.00 2,150.00 12,458.00 -40,289.00

1,215.00 600.00 6,000.00 0.00 259.00 0.00 0.00 8,074.00 -57,167.00

10,125.00 600.00 6,000.00 760.00 319.00 0.00 0.00 17,804.00 -72,990.00

0.00 600.00 6,000.00 0.00 0.00 0.00 0.00 6,600.00 -56,935.00

0.00 0.00 6,000.00 0.00 259.00 0.00 0.00 6,259.00 -60,077.00

651,842.00

822,080.00

994,256.00

1,160,339.00

1,331,273.00

1,498,724.00

30 30 94.82% 94.82%

30 30 94.82% 94.82%

22 25 94.02% 94.42%

23 19 93.36% 92.78%

23 24 93.22% 93.29%

28 23 94.82% 94.02%

871 898

871 897

871 896

881 893

881 893

881 891

Oct-08

Nov-08

Dec-08

Total

301,250.00 3,092.00 304,342.00 -19,995.00 -3,000.00 -1,559.00 -1,980.00 -1,935.00 -1,160.00 -20,621.00 254,092.00

301,250.00 2,867.00 304,117.00 -22,418.00 -3,000.00 -1,539.00 -1,980.00 -1,935.00 -1,160.00 -21,370.00 250,715.00

301,250.00 3,587,640.00 2,704.00 74,283.00 303,954.00 3,661,923.00 -23,078.00 -253,425.00 -3,000.00 -42,000.00 -1,530.00 -18,910.00 -1,980.00 -23,760.00 -1,935.00 -23,220.00 -1,160.00 -13,920.00 -21,994.00 -205,887.00 249,277.00 3,080,801.00

1,848.00 1,500.00 1,080.00 1,470.00 0.00 600.00 0.00 3,360.00 6,790.00 475.00 100.00 2,380.00 2,400.00 625.00 22,628.00 276,720.00

1,848.00 1,050.00 960.00 1,225.00 2,700.00 800.00 0.00 3,360.00 6,790.00 475.00 100.00 1,680.00 2,400.00 625.00 24,013.00 274,728.00

1,848.00 21,791.00 600.00 9,450.00 920.00 11,120.00 1,127.00 19,796.00 0.00 13,500.00 700.00 8,000.00 0.00 3,489.00 3,360.00 41,160.00 6,790.00 81,480.00 475.00 5,700.00 100.00 4,100.00 1,400.00 33,880.00 2,400.00 30,000.00 500.00 6,625.00 20,220.00 290,091.00 269,497.00 3,370,892.00

13,069.00 11,745.00 3,395.00 1,720.00 0.00 29,929.00

13,069.00 11,745.00 3,020.00 1,720.00 1,000.00 30,554.00

13,069.00 11,745.00 2,525.00 1,720.00 1,000.00 30,059.00

154,548.00 138,888.00 46,633.00 20,640.00 5,000.00 365,709.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

850.00 743.00 98.00 211.00 114.00 350.00 38.00

10,200.00 8,916.00 1,176.00 2,532.00 1,368.00 4,150.00 456.00

360.00 500.00 3,264.00

300.00 500.00 3,204.00

276.00 500.00 3,180.00

4,848.00 6,450.00 40,096.00

3,000.00 400.00 1,035.00 250.00 4,685.00

3,000.00 500.00 731.00 500.00 4,731.00

3,000.00 400.00 609.00 250.00 4,259.00

44,000.00 5,400.00 16,070.00 5,500.00 70,970.00

387.00 2,859.00 1,785.00 270.00 85.00 417.00 158.00 5,961.00

234.00 2,859.00 1,079.00 270.00 85.00 417.00 158.00 5,102.00

189.00 2,859.00 872.00 270.00 85.00 417.00 158.00 4,850.00

4,217.00 34,308.00 19,446.00 3,240.00 1,020.00 5,004.00 1,896.00 69,131.00

630.00 100.00 120.00 40.00 0.00 100.00 0.00 0.00 300.00 120.00 0.00 300.00 10,500.00 12,210.00

652.00 100.00 120.00 40.00 0.00 100.00 0.00 260.00 300.00 100.00 0.00 0.00 1,000.00 2,672.00

428.00 100.00 120.00 40.00 0.00 100.00 0.00 0.00 300.00 100.00 0.00 0.00 200.00 1,388.00

8,611.00 2,300.00 1,440.00 540.00 3,000.00 4,200.00 150.00 1,820.00 3,600.00 1,400.00 355.00 600.00 14,555.00 42,571.00

3,000.00 755.00 205.00 0.00 0.00 3,960.00

0.00 755.00 205.00 0.00 3,000.00 3,960.00

0.00 755.00 205.00 0.00 2,500.00 3,460.00

29,581.00 9,060.00 2,760.00 2,775.00 19,500.00 63,676.00

11,069.00 200.00 0.00 11,269.00

10,989.00 200.00 0.00 11,189.00

10,780.00 200.00 0.00 10,980.00

134,836.00 2,800.00 3,060.00 140,696.00

3,250.00 1,967.00 20,000.00 -13,600.00 5,000.00 -2,012.00 1,022.00 613.00 16,240.00

3,250.00 1,967.00 20,000.00 -13,600.00 0.00 -2,012.00 1,145.00 687.00 11,437.00

3,250.00 1,967.00 20,000.00 -13,600.00 0.00 -2,012.00 1,179.00 707.00 11,491.00

40,500.00 23,604.00 240,000.00 -163,200.00 37,400.00 -25,696.00 12,108.00 7,837.00 172,553.00

30,188.00 4,850.00 57.00 35,095.00 122,613.00 154,107.00

30,188.00 4,850.00 57.00 35,095.00 107,944.00 166,784.00

30,188.00 362,256.00 4,850.00 58,200.00 57.00 684.00 35,095.00 421,140.00 104,762.00 1,386,542.00 965,402.00 164,735.00 1,984,350.00

130,152.00 0.00 86,667.00 216,819.00

130,152.00 0.00 86,667.00 216,819.00

130,152.00 1,372,966.07 0.00 71,032.93 86,667.00 1,040,004.00 216,819.00 2,484,003.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

0.00 200.00 1,000.00 3,250.00 4,450.00

365.00 2,400.00 12,000.00 39,000.00 53,765.00

0.00 0.00 6,000.00 0.00 0.00 0.00 0.00 6,000.00 -73,162.00

0.00 0.00 5,000.00 0.00 0.00 0.00 0.00 5,000.00 -59,485.00

0.00 0.00 5,000.00 0.00 0.00 0.00 0.00 5,000.00 -61,534.00

16,846.00 1,800.00 66,000.00 1,450.00 1,734.00 1,017.00 11,899.00 100,746.00 -654,164.00

1,652,831.00

1,819,615.00

1,984,350.00 1,984,350.00 0.00

17 22 92.70% 93.36%

12 13 92.41% 92.56%

10 11 92.27% 92.34%

2,822.81

881 891

881 890

881 889

USA Courtne

Income S

Perio Jan-08

Feb-08

Mar-08

 INCOME  Market Rent  Loss / Gain to Lease  Gross Potential Rent  Residential Rent  Vacancy Loss  Upfront Rent Concessions  Adjustments & W/O  Model Units  Employee Apartment  Guest Suite  Lease Term Concessions  INCOME RENTAL

294,410.00 2,842.00 297,252.00 0.00 -14,979.36 10.00 -11,483.60 -1,980.00 -1,934.80 795.00 -10,079.23 257,600.01

294,410.00 787.00 295,197.00 0.00 -13,515.14 -434.48 -4,730.58 -1,980.00 -1,934.80 -1,160.00 -7,711.00 263,731.00

294,800.00 29.00 294,829.00 0.00 -12,200.56 6,116.84 -331.61 -1,980.00 -2,104.80 -1,160.00 -6,383.35 276,785.52

 OTHER REVENUES  Late Charges & NSF Fees  Month to Month Premium  Storage Fees  Application Fees  Termination Fees & Damages  Miscellaneous Income  Pet Rents & Fees  Garage Income  Cable/Telephone Income  Forfeited Deposits  Administration Fee  Move-Out Charges  Short Term Lease Fees  Corporate Rent  TOTAL OTHER REVENUES  TOTAL REVENUE

2,095.04 455.00 1,217.74 1,800.00 5,090.00 736.40 3,370.97 7,019.83 0.00 0.00 4,050.00 1,600.34 400.00 0.00 27,835.32 285,435.33

2,778.95 666.00 1,270.00 1,500.00 2,500.00 1,318.85 4,806.71 7,091.17 3,113.37 0.00 3,150.00 5,608.70 400.00 0.00 34,203.75 297,934.75

1,558.51 761.61 1,278.56 1,050.00 5,566.26 484.35 2,998.22 7,066.89 0.00 300.00 2,250.00 1,871.78 544.74 325.00 26,055.92 302,841.44

11,795.28 12,801.68 4,717.00 1,490.46 21.23 30,825.65

11,618.56 11,172.74 3,807.35 1,490.46 0.00 28,089.11

11,346.86 10,949.05 3,349.77 195.24 0.00 25,840.92

1,040.43 1,211.63 125.83 288.66 37.00 74.64

0.00 1,200.38 56.83 196.82 84.00 65.00

51.40 796.96 125.83 73.88 0.00 150.17

 SALARY EXPENSES  Managers Salary  Maintenance Salary  Commissions & Bonus  Group Insurance  Contract Labor  TOTAL SALARY EXPENSES  OPERATING EXPENSES  Office Operations & Supplies  Telephones  Answering Svc. & Pagers  Postage & Delivery  Publications & Subscriptions  Employee Training

 Permits & Fees  Credit Checks  Guest Suite Expense  TOTAL OPERATING EXPENSE

0.00 381.95 499.77 3,659.91

0.00 561.00 668.32 2,832.35

0.00 636.65 500.81 2,335.70

 ADVERTISING EXPENSES  Advertising & Promotions  Resident Promotions  Locators  Resident Referrals  TOTAL ADVERTISING EXPENSES

1,051.00 259.91 3,969.81 250.00 5,530.72

1,961.49 80.84 2,591.50 250.00 4,883.83

1,694.00 32.42 2,382.08 0.00 4,108.50

 MAKE READY EXPENSES  Paint & Drywall  Contract Cleaning Svcs.  Carpet Cleaning & Repairs  Window Coverings  Lock & Keys  Counter & Tub Resurfacing  Cleaning Supplies  TOTAL MAKE READY EXPENSES

25.12 2,825.00 320.00 356.36 0.00 50.00 50.88 3,627.36

165.10 2,565.00 120.00 0.00 0.00 323.00 230.41 3,403.51

226.09 1,820.00 2,095.00 260.17 0.00 0.00 21.61 4,422.87

 MAINTENANCE EXPENSES  General Maintenance & Supplies  HVAC Parts & Repairs  Plumbing Parts & Repairs  Electric Parts & Repairs  Pools & Fountains  Glass & Screens  Appliance Parts & Repairs  Hardware  Uniforms  Security & Fire Systems  TOTAL MAINTENANCE EXPENSE

548.03 0.00 286.20 252.62 0.00 0.00 273.05 26.73 0.00 16.20 1,402.83

241.89 52.85 47.36 0.00 169.88 0.00 514.57 1.92 0.00 3,232.75 4,261.22

500.52 98.24 119.76 245.42 -110.84 0.00 475.46 18.61 0.00 1,769.28 3,116.45

 SERVICE EXPENSES  Landscape & Grounds  Trash Removal  Pest Control  Snow Removal  TOTAL SERVICE EXPENSES

0.00 555.73 86.00 6,066.20 6,707.93

0.00 731.92 153.00 330.66 1,215.58

0.00 788.10 86.00 701.86 1,575.96

11,360.56 1,164.90 0.00 0.00 12,525.46

11,917.39 -901.34 0.00 0.00 11,016.05

12,113.66 -1,250.00 0.00 0.00 10,863.66

4,040.14 3,808.88

3,457.01 3,487.42

2,915.98 2,745.36

 ADMINISTRATIVE EXPENSES  Management Fees  Legal Fees  Bank Charges  Computer Expense  TOTAL ADMINISTRATIVE EXPENSES  UTILITY EXPENSES  Electricity  Natural Gas

 Water & Sewer  Water & Sewer - Resident Reimb  Water - irrigation  Trash Reimbursement  Utility -Vacant Electric  Utility - Vacant Gas  TOTAL UTILITY EXPENSES

13,536.27 -16,247.17 74.35 -2,300.14 1,439.86 561.78 4,913.97

16,771.41 -9,812.59 0.00 -2,206.42 886.14 811.79 13,394.76

20,957.09 -8,871.37 0.00 -1,803.54 927.65 443.45 17,314.62

 MANAGEMENT EXPENSES  Property Legal Fees  Credit Card Fees  Bank Charges  TOTAL MANAGEMENT EXPENSES

837.50 578.11 0.00 1,415.61

1,059.00 362.44 0.00 1,421.44

0.00 0.00 0.00 0.00

 TAXES & INSURANCE  Property Taxes  Insurance  Tax Consultants  TOTAL TAXES & INSURANCE  TOTAL OPERATING EXPENSES  NET OPERATING INCOME

30,188.47 4,840.47 0.00 35,028.94 105,638.38 179,796.95

30,188.47 4,815.99 0.00 35,004.46 105,522.31 192,412.44

30,188.47 4,840.47 0.00 35,028.94 104,607.62 198,233.82

 TIC RENT EXPENSE  Base Rent - Interest Payment  Base Rent - Principal Payment  Stated Rent  Total TIC Rent Expense

106,586.67 0.00 86,666.71 193,253.38

106,586.67 0.00 86,666.71 193,253.38

106,586.67 0.00 86,666.71 193,253.38

0.00 518.50 0.00 1,000.00 3,200.00 4,718.50

0.00 237.43 101.53 1,000.00 3,200.00 4,538.96

0.00 354.87 70.74 1,000.00 3,200.00 4,625.61

 CAPITAL EXPENSES  Exterior Rehab  Interior Rehab  HVAC Replacement  Carpet & Floor Replacement  Refrigerators  Dishwashers & Ranges  Washers / Dryers  Other Capital Improvements  TOTAL CAPITAL EXPENSES  NET INCOME

1,993.00 0.00 0.00 2,698.32 0.00 0.00 296.29 4,746.03 9,733.64 -27,908.57

0.00 0.00 0.00 2,700.47 0.00 0.00 0.00 202.76 2,903.23 -8,283.13

859.02 0.00 540.47 9,488.59 0.00 485.32 0.00 192.60 11,566.00 -11,211.17

 TOTAL OF ALL

-27,908.57

-8,283.13

-11,211.17

 PARTNERSHIP EXPENSES  Partnership Accounting Fees  Partnership Travel  Partnership - Meals  Asset Management Fees  Investor Administration Fee  TOTAL PARTNERSHIP EXPENSES

USA Courtney Downs LeaseCo, LLC (10600)

Income Statement (12 months) Apr-08

Period = Jan 2008-Dec 2008 Book = Accrual May-08 Jun-08

Jul-08

Aug-08

Sep-08

295,729.00 -735.00 294,994.00 0.00 -15,565.50 1,884.22 -3,557.59 -1,980.00 -2,104.80 -670.00 -8,906.07 264,094.26

295,510.00 1,148.00 296,658.00 0.00 -15,359.58 0.00 -1,908.23 -1,645.00 -1,955.77 -910.00 -9,644.00 265,235.42

295,420.00 1,233.00 296,653.00 0.00 -16,776.46 0.00 -3,080.11 -1,645.00 -1,950.80 -655.00 -9,354.20 263,191.43

301,250.00 -4,175.00 297,075.00 0.00 -16,864.78 0.00 -1,188.89 -1,685.00 -1,950.80 -910.00 -8,894.19 265,581.34

301,250.00 -3,635.00 297,615.00 -40.00 -14,200.16 195.00 551.53 -1,645.00 -1,950.80 -910.00 -8,425.00 271,190.57

301,250.00 -2,719.00 298,531.00 -40.00 -22,699.25 -95.00 -1,061.08 -1,645.00 -2,139.80 -910.00 -7,448.03 262,492.84

2,075.02 1,696.46 1,122.00 1,970.00 2,550.00 390.21 2,640.66 7,019.55 3,355.82 0.00 3,450.00 6,354.00 400.00 -240.00 32,783.72 296,877.98

2,995.00 1,295.00 1,146.93 1,880.00 85.85 2,115.88 3,709.75 7,006.93 3,387.30 600.00 4,350.00 5,572.48 800.00 0.00 34,945.12 300,180.54

1,736.73 1,815.00 1,100.32 2,600.00 2,500.00 1,476.99 3,901.68 6,829.00 0.00 0.00 4,500.00 5,614.30 800.00 0.00 32,874.02 296,065.45

2,374.45 2,206.80 1,181.51 2,510.00 2,658.06 1,772.95 4,372.75 6,422.57 81.23 0.00 4,200.00 5,659.05 998.00 3,320.83 37,758.20 303,339.54

2,901.82 1,344.01 1,249.73 1,400.00 2,630.53 1,083.14 3,300.01 6,825.03 0.00 150.00 2,400.00 4,378.12 567.74 0.00 28,230.13 299,420.70

1,284.97 500.00 1,200.98 2,070.00 5,943.26 937.02 5,249.60 6,430.48 0.00 300.00 3,900.00 1,352.80 397.43 0.00 29,566.54 292,059.38

11,634.72 12,190.20 2,741.20 97.62 66.88 26,730.62

7,534.97 8,551.40 4,098.56 187.73 781.66 21,154.32

10,294.54 10,707.96 3,543.75 180.22 637.26 25,363.73

17,054.11 16,394.39 8,032.50 270.33 133.76 41,885.09

10,700.81 11,024.72 0.00 180.22 0.00 21,905.75

11,031.53 11,036.48 4,761.13 180.22 0.00 27,009.36

532.19 788.60 251.66 336.06 42.00 391.68

29.34 682.07 0.00 25.74 1,178.08 867.61

1,790.23 795.62 125.83 198.90 157.00 222.58

758.66 781.26 257.00 250.34 175.00 199.82

499.33 787.83 69.00 259.94 0.00 245.27

338.81 706.86 69.00 119.77 0.00 363.08

16.00 381.30 612.82 3,352.31

0.00 628.45 484.36 3,895.65

0.00 601.20 517.26 4,408.62

0.00 835.40 537.40 3,794.88

0.00 855.65 480.82 3,197.84

0.00 521.35 517.28 2,636.15

1,694.00 341.15 495.28 0.00 2,530.43

1,382.43 137.40 2,112.50 0.00 3,632.33

2,571.62 267.20 2,705.65 250.00 5,794.47

3,053.00 152.30 1,381.71 500.00 5,087.01

1,336.00 76.85 4,286.75 500.00 6,199.60

2,311.96 233.52 1,077.00 250.00 3,872.48

1,417.14 3,715.00 1,069.00 472.22 188.24 225.00 181.20 7,267.80

7.83 2,095.00 763.00 436.63 0.00 634.69 67.80 4,004.95

-3.75 3,050.00 2,419.00 278.96 46.85 353.31 370.14 6,514.51

425.39 3,845.00 1,103.00 832.42 26.87 0.00 413.53 6,646.21

1,400.66 3,785.00 1,672.00 317.47 387.65 426.68 77.06 8,066.52

267.63 1,860.00 1,325.00 -61.35 0.00 225.00 170.96 3,787.24

539.45 304.79 395.48 103.95 321.12 0.00 427.94 376.76 0.00 55.41 2,524.90

636.94 12.89 0.00 0.00 325.38 371.84 528.59 27.06 32.32 0.00 1,935.02

834.38 55.39 185.72 50.36 537.57 239.19 915.84 7.18 0.00 0.00 2,825.63

1,331.54 54.23 206.96 0.00 957.57 0.00 744.24 110.99 730.84 487.50 4,623.87

580.18 36.93 161.54 130.38 521.84 0.00 1,468.72 0.00 0.00 810.00 3,709.59

131.34 0.00 150.81 0.00 526.00 0.00 333.40 86.16 0.00 0.00 1,227.71

2,853.04 395.60 94.75 180.00 3,523.39

11,793.40 798.40 86.00 0.00 12,677.80

2,446.05 1,020.75 137.00 0.00 3,603.80

3,235.32 829.87 1,006.00 0.00 5,071.19

2,463.64 609.90 86.00 0.00 3,159.54

2,909.56 806.51 86.00 0.00 3,802.07

11,875.12 457.60 150.00 0.00 12,482.72

12,007.22 -426.10 0.00 53.60 11,634.72

11,830.72 601.90 802.36 0.00 13,234.98

12,133.58 608.49 0.00 2,202.01 14,944.08

11,950.85 -326.00 98.72 0.00 11,723.57

11,682.38 -690.00 -48.54 0.00 10,943.84

3,328.18 683.42

2,968.51 708.63

2,551.94 2,668.28

3,031.00 1,681.68

3,113.96 1,286.63

2,991.16 1,396.90

16,286.33 -16,738.47 0.00 -2,442.50 558.98 275.97 1,951.91

19,834.05 -10,218.36 661.72 -1,966.81 534.66 405.92 12,928.32

17,130.91 -16,985.04 3,178.50 -2,375.40 599.49 362.16 7,130.84

17,770.67 -11,088.94 6,140.50 -2,256.15 1,206.08 328.48 16,813.32

21,460.51 -13,385.44 6,942.70 -2,348.75 927.90 386.24 18,383.75

19,546.95 -13,874.72 6,228.80 -2,274.84 897.02 225.82 15,137.09

0.00 599.10 0.00 599.10

0.00 239.55 0.00 239.55

0.00 191.14 0.00 191.14

0.00 648.68 0.00 648.68

0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00

30,188.47 4,840.47 0.00 35,028.94 95,992.12 200,885.86

30,188.47 4,840.47 600.00 35,628.94 107,731.60 192,448.94

30,188.47 5,035.65 0.00 35,224.12 104,291.84 191,773.61

30,188.47 4,840.47 0.00 35,028.94 134,543.27 168,796.27

30,188.47 4,840.47 0.00 35,028.94 111,375.10 188,045.60

30,188.47 5,033.51 0.00 35,221.98 103,637.92 188,421.46

106,586.67 0.00 86,666.71 193,253.38

106,586.67 0.00 86,666.71 193,253.38

106,586.67 23,565.33 86,666.71 216,818.71

106,474.53 23,677.47 86,666.71 216,818.71

106,361.87 23,790.13 86,666.71 216,818.71

106,248.67 23,903.33 86,666.71 216,818.71

0.00 532.16 55.14 1,000.00 3,200.00 4,787.30

540.00 0.00 0.00 0.00 4,200.00 4,740.00

0.00 255.51 52.40 0.00 4,200.00 4,507.91

0.00 0.00 0.00 0.00 4,200.00 4,200.00

0.00 350.32 32.76 0.00 4,200.00 4,583.08

0.00 0.00 0.00 0.00 -8,400.00 -8,400.00

0.00 0.00 0.00 6,943.49 0.00 0.00 0.00 0.00 6,943.49 -4,098.31

0.00 1,021.68 0.00 2,361.33 651.41 0.00 593.96 3,243.20 7,871.58 -13,416.02

0.00 0.00 0.00 10,149.40 0.00 0.00 0.00 3,657.50 13,806.90 -43,359.91

2,543.08 0.00 0.00 14,854.93 471.71 225.00 0.00 5,021.89 23,116.61 -75,339.05

0.00 0.00 0.00 7,399.81 0.00 0.00 0.00 0.00 7,399.81 -40,756.00

0.00 0.00 0.00 5,204.72 0.00 242.66 0.00 1,780.46 7,227.84 -27,225.09

-4,098.31

-13,416.02

-43,359.91

-75,339.05

-40,756.00

-27,225.09

Oct-08

Nov-08

Dec-08

Total

0.00 0.00 0.00 282,882.99 0.00 0.00 -16.82 -1,645.00 -2,139.80 -740.00 -7,862.00 270,479.37

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 2,674,029.00 0.00 -5,225.00 0.00 2,668,804.00 0.00 282,802.99 0.00 -142,160.79 0.00 7,676.58 0.00 -26,806.98 0.00 -17,830.00 0.00 -20,166.97 0.00 -7,230.00 0.00 -84,707.07 0.00 2,660,381.76

2,863.25 150.00 1,151.53 1,450.00 2,500.00 586.94 4,625.36 7,046.54 0.00 0.00 2,400.00 3,048.08 200.00 0.00 26,021.70 296,501.07

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 22,663.74 0.00 10,889.88 0.00 11,919.30 0.00 18,230.00 0.00 32,023.96 0.00 10,902.73 0.00 38,975.71 0.00 68,757.99 0.00 9,937.72 0.00 1,350.00 0.00 34,650.00 0.00 41,059.65 0.00 5,507.91 0.00 3,405.83 0.00 310,274.42 0.00 2,970,656.18

11,428.79 11,029.61 4,240.00 180.22 0.00 26,878.62

0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00

114,440.17 115,858.23 39,291.26 4,452.72 1,640.79 275,683.17

1,208.62 791.81 69.00 153.74 0.00 28.82

0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00

6,249.01 8,543.02 1,149.98 1,903.85 1,673.08 2,608.67

0.00 676.05 500.82 3,428.86

0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00

16.00 6,079.00 5,319.66 33,542.27

924.17 309.02 1,436.00 0.00 2,669.19

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

17,979.67 1,890.61 22,438.28 2,000.00 44,308.56

143.62 3,840.00 802.00 699.14 0.00 641.25 87.15 6,213.16

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

4,074.83 29,400.00 11,688.00 3,592.02 649.61 2,878.93 1,670.74 53,954.13

620.18 57.33 122.03 0.00 219.38 239.19 23.76 81.14 0.00 8,682.39 10,045.40

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

5,964.45 672.65 1,675.86 782.73 3,467.90 850.22 5,705.57 736.55 763.16 15,053.53 35,672.62

2,282.80 791.20 86.00 0.00 3,160.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

27,983.81 7,327.98 1,906.75 7,278.72 44,497.26

0.00 -380.00 0.00 543.93 163.93

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

106,871.48 -1,140.55 1,002.54 2,799.54 109,533.01

2,713.05 1,175.03

0.00 0.00

0.00 0.00

31,110.93 19,642.23

17,688.69 -14,594.93 6,034.10 -2,244.39 749.42 252.93 11,773.90

0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00

180,982.88 -131,817.03 29,260.67 -22,218.94 8,727.20 4,054.54 119,742.48

0.00 0.00 358.07 358.07

0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00

1,896.50 2,619.02 358.07 4,873.59

30,188.47 4,840.47 0.00 35,028.94 99,720.07 196,781.00

0.00 0.00 0.00 0.00 0.00 0.00

0.00 301,884.70 0.00 48,768.44 0.00 600.00 0.00 351,253.14 0.00 1,073,060.23 0.00 1,897,595.95

106,134.93 24,017.07 0.00 130,152.00

106,020.65 24,131.35 0.00 130,152.00

0.00 1,170,760.67 0.00 143,084.68 0.00 780,000.39 0.00 2,093,845.74

0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00

540.00 2,248.79 312.57 4,000.00 21,200.00 28,301.36

0.00 0.00 0.00 6,104.14 0.00 493.95 286.88 228.50 7,113.47 59,515.53

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -130,152.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

5,395.10 1,021.68 540.47 67,905.20 1,123.12 1,446.93 1,177.13 19,072.94 97,682.57 -322,233.72

59,515.53

-130,152.00

0.00

-322,233.72

1,059.24 169.84

USA Courtney Downs LeaseCo, LLC Balance Sheet Books = Accrual Oct 2008

ASSETS Cash Operating Cash Total Cash

25,184.43 $25,184.43

OTHER ASSETS Accounts Receivable Prepaid Expenses Tax Escrow Cash in Bank-Wrk Cap Reserve Capital / Repair Escrow Total Other Assets

1,692.09 9,443.38 207,691.03 36,088.43 200,000.00 454,914.93

Total ASSETS

480,099.36

LIABILITIES & CAPITAL LIABILITIES Accounts Payable - Trade A/P - Creekstone Partners LLC A/P - US Advisors Accrued Expenses Other Accounts Payable Accrued Taxes Prepaid Rent Security Deposits Total Liabilities

78,169.28 371,758.38 368,476.00 86,666.71 345,285.05 301,884.70 21,841.43 42,780.50 1,616,862.05

CAPITAL Creekstone Partners LLC US Advisors LLC Retained Earnings Total Capital Total LIABILITIES & CAPITAL

50.00 50.00 (1,136,862.69) (1,136,762.69) 480,099.36

USA Courtney Downs LeaseCo, LLC Cash Flow (Actual + Budget) Books = Accrual For the 12 Months Ending Dec 2008 Jan 2008 Actual

Account

Feb 2008 Actual

Mar 2008 Actual

Apr 2008 Actual

May 2008 Actual

Jun 2008 Actual

Jul 2008 Actual

Aug 2008 Actual

Sep 2008 Actual

Oct 2008 Actual

Nov 2008 Budget

Dec 2008 Budget

12 Month Total

$/ Unit 342

$/ Sq. Ft. 313,778

Dec 2006 Reforecast

12 Month Total

$/ Unit 342

$/ Sq. Ft. 313,778

Revenue Gross Potential Rent - Vacancy - Concessions & Disc. - Other Write-offs & Adj. Total Rental Income

297,252 (14,979) (10,069) (14,603) 257,600

295,197 (13,515) (8,145) (9,805) 263,731

294,829 (12,201) (267) (5,576) 276,786

294,994 (15,566) (7,022) (8,312) 264,094

296,658 (15,360) (9,644) (6,419) 265,235

296,653 (16,776) (9,354) (7,331) 263,191

297,075 (16,865) (8,894) (5,735) 265,581

297,575 (14,200) (8,230) (3,954) 271,191

298,491 (22,699) (7,543) (5,756) 262,493

299,261 (15,923) (7,862) (6,258) 269,218

282,337 0 (7,883) (4,542) 269,912

303,954 (13,000) (24,994) (6,605) 259,355

3,554,276 (171,083) (109,907) (84,897) 3,188,388

10,392.62 (500.24) (321.37) (248.24) 9,322.77

11.33 (0.55) (0.35) (0.27) 10.16

364,160 (43,000) (80,000) (6,085) 235,075

4,515,131 (227,584) (223,106) (102,378) 3,962,063

13,202.14 (665.45) (652.36) (299.35) 11,584.98

14.39 (0.73) (0.71) (0.33) 12.63

Other Income Total Revenue

27,835 285,435

34,204 297,935

26,056 302,841

32,784 296,878

34,945 300,181

32,874 296,065

37,758 303,340

28,230 299,421

29,567 292,059

26,882 296,100

24,013 293,925

20,220 279,575

355,368 3,543,755

1,039.09 10,361.86

1.13 11.29

19,000 254,075

419,641 4,381,704

1,227.02 12,812.00

1.34 13.96

30,826 3,660 5,531 3,627 1,403 6,708 12,525 4,914 1,416 35,029

28,089 2,832 4,884 3,404 4,261 1,216 11,016 13,395 1,421 35,004

25,841 2,336 4,109 4,423 3,116 1,576 10,864 17,315 0 35,029

26,731 3,352 2,530 7,268 2,525 3,523 12,483 1,952 599 35,029

21,154 3,896 3,632 4,005 1,935 12,678 11,635 12,928 240 35,629

25,364 4,409 5,794 6,515 2,826 3,604 13,235 7,131 191 35,224

41,885 3,795 5,087 6,646 4,624 5,071 14,944 16,813 649 35,029

21,906 3,198 6,200 8,067 3,710 3,160 11,724 18,384 0 35,029

27,009 2,636 3,872 3,787 1,228 3,802 10,944 15,137 0 35,222

26,879 3,429 2,919 6,213 10,274 3,160 12,170 11,787 1,008 35,257

30,554 3,204 4,731 5,102 2,672 3,960 11,189 11,437 0 35,095

30,059 3,180 4,259 4,850 1,388 3,460 10,980 11,491 0 35,095

336,296 39,926 53,549 63,906 39,961 51,917 143,709 142,684 5,524 421,671

983.32 116.74 156.57 186.86 116.85 151.80 420.20 417.20 16.15 1,232.96

1.07 0.13 0.17 0.20 0.13 0.17 0.46 0.45 0.02 1.34

37,759 3,030 6,885 7,500 2,295 2,395 14,969 10,900 0 37,237

435,653 49,457 69,580 81,545 46,433 61,884 181,267 176,930 5,540 422,906 37,237

1,273.84 144.61 203.45 238.44 135.77 180.95 530.02 517.34 16.20 1,236.57 108.88

1.39 0.16 0.22 0.26 0.15 0.20 0.58 0.56 0.02 1.35 0.12

Total Operating Exp. Net Operating Income

105,638 179,797

105,522 192,412

104,608 198,234

95,992 200,886

107,732 192,449

104,292 191,774

134,543 168,796

111,375 188,046

103,638 188,421

113,097 183,003

107,944 185,981

104,762 174,813

1,299,143 2,244,612

3,798.66 6,563.19

4.14 7.15

122,970 131,106

1,568,431 2,813,272

4,586.06 8,225.94

5.00 8.97

Base Rent Stated Rent Partnership Expense Capital Expense

106,587 86,667 4,719 9,734

106,587 86,667 4,539 2,903

106,587 86,667 4,626 11,566

106,587 86,667 4,787 6,943

106,587 86,667 4,740 7,872

130,152 86,667 4,508 13,807

130,152 86,667 4,200 23,117

130,152 86,667 4,583 7,400

130,152 86,667 (8,400) 7,228

130,152 86,667 4,200 6,885

130,152 86,667 4,450 5,000

130,152 86,667 4,450 5,000

1,443,997 1,040,001 41,401 107,454

4,222.21 3,040.94 121.06 314.19

4.60 3.31 0.13 0.34

193,254 0 3,300

243,677 117,769 3,300

712.50 344.35 9.65

0.78 0.38 0.01

Cash Flow Frm Operations

(27,909)

(8,283)

(11,211)

(4,098)

(13,416)

(43,360)

(75,339)

(40,756)

(27,225)

(51,456)

(388,241)

(1,135.21)

(1.24) 7,159.44

7.80

0

0

0

0

0

0

0

(44,901) (46,316) 0

(40,287)

0

0

0

0

Operating Expenses Salary Expense Operating Expense Advertising Expense Make Ready Expense Maintenance Expense Service Expense Administrative Expense Utility Expense Credit Card Fees Taxes & Insurance

Rental Guarantees Balance Sheet Adjustments Cash - Non Operating Accounts Accounts Receivable Prepaid Assets Escrow Deposits

0 (1,895) (50,394) (35,800)

0 2,740 4,840 (35,800)

0 (9,772) 4,840 (35,800)

Cash Increase (Decreae) From Assets

(88,090)

(28,220)

Accounts Payable Accrued Expenses Other Payables Mortgages Payable

(22,965) 20,453 920 48,905

2,827 31,811 2,385 (6,027)

47,313

(68,685) 15,378

Cash Increase (Decrease) From Liab.

NET CASH FLOW CUMM. NET CASH FLOW

0

0 8,270 4,840 341,933

0 (2,448) 4,840 (37,985)

0 177 4,840 (38,933)

0 2,774 4,840 (38,933)

0 (3,219) 4,840 (38,933)

0 1,043 4,840 19,448

0 981 4,840 (38,933)

0 0 0 (7,125)

0 0 0 (7,125)

(40,732)

355,044

(35,592)

(33,916)

(31,319)

(37,312)

942 51,607 345 (5,836)

207 (345,380) 1,665 (6,064)

69,651 44,376 (1,490) (6,293)

22,994 16,001 (150) (6,064)

45,880 30,188 2,436 (6,064)

83,754 30,188 1,045 (6,064)

30,997

47,058

(349,572)

106,245

32,780

72,440

(5,507) 9,871

(4,886) 4,986

1,374 6,360

57,237 63,597

(44,496) 19,101

(34,218) (15,117)

0 (1,349) (6,830) 46,011

25,331

(33,112)

(7,125)

(7,125)

37,832

1,043 4,840 19,448 0

(46,050) 116,855 900 (2,480)

0 0 0 0

0 0 0 0

158,283 942 27,504 4,012

108,923

25,331

69,225

0

0

190,740

30,855 15,738

23,437 39,175

(8,788) 30,387

(47,412) (17,025)

(58,581) (75,606)

(159,669)

84063.14

$700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $$(100,000) $(200,000) $(300,000) Jan 2008

Feb 2008

Mar 2008

Apr 2008

May 2008

Jun 2008

Row 61

Jul 2008

Aug 2008

Sep 2008

Oct 2008

Nov 2008

Dec 2008

Row 62

Units Sq. Ft. ### 384807 bayclub2 castlep cedar congress jackson lee rem ric parkside polo sat sweet trailapt vlgcrest walnut westo wind usacourt usawalcr

160 356 300 257 247 10 428 5 300 440 440 240 280 120 284 12 346 280 284

146,080 384,807 274,080 254,074 221,730 22,160 398,868 24,952 305,832 403,761 548,750 264,892 286,056 108,276 254,103 48,309 433,196 299,111 254,103

(65,449)

2,448,527

250,000

250,000

0 0 0 (2,951)

(1,349) (6,830) 31,761 (2,951)

(2,951)

20,631

0 0 0 0

942 27,504 4,012 0

0

32,458

181,601 181,601

2,751,616

W31:

administrator: assume insurance increases by 50%

J48:

rssmith: estimated Replacement Reserve draw

W49:

administrator:

replacement reserve + reduction in tax escrow due to overage

USA Courtney Downs LeaseCo, LLC Budget Comparison Books = Accrual For the period ending October 31, 2008

Account Revenue Market Rent Loss / Gain to Lease Gross Potential Rent Prepaid Homeowners Dues Residential Rent Vacancy Loss Upfront Rent Concessions

MTD Actual

MTD Budget

301,250.00 (1,949.00)

301,250.00 3,092.00

299,301.00 0.00 (40.00) (15,922.53)

304,342.00 0.00 0.00 (19,995.00)

0.00

(3,000.00)

Corporate Discount Delinquent Rent Adjustments & W/O Model Units Courtesy Officer Apt. Employee Apartment

0.00 0.00 (1,733.65) (1,645.00) 0.00 (2,139.80)

0.00 0.00 (1,559.00) (1,980.00) 0.00 (1,935.00)

Housekeeping & Maintenance Fee Guest Suite Lease Term Concessions

0.00 (740.00) (7,862.00)

0.00 (1,160.00) (20,621.00)

0.00 0.00 0.00 0.00 $269,218.02

0.00 0.00 0.00 0.00 $254,092.00

0.00 0.00 0.00 3,030.02

0.00 0.00 0.00 1,848.00

150.00

1,500.00

1,108.95 0.00 1,550.00 2,500.00

1,080.00 0.00 1,470.00 0.00

Homeowner's Assn Dues Income Homeowner Dues Paid Model Units Lease Contract Difference Total Rental Income Laundry Income Vending Income Covered Parking Income Late Charges & NSF Fees Month to Month Premium Storage Fees Repair & Maintenance Fees Application Fees Termination Fees & Damages Miscellaneous Income

638.94

600.00

Renters Insurance Interest Income Pet Rents & Fees

0.00 0.00 4,894.77

0.00 0.00 3,360.00

Tower Rent Asset Management Fee Parking Spaces Income Association Assessments Garage Income Water/Sewer Income Cable/Telephone Income

0.00 0.00 0.00 0.00 7,046.54 0.00 164.48

0.00 0.00 0.00 0.00 6,790.00 0.00 475.00

HOA Contributions Developer Developer HOA Dues Forfeited Deposits Developer Contributions Interest Income Other Thunder Income Administration Fee

0.00 0.00 0.00 0.00 0.00 0.00 2,550.00

0.00 0.00 100.00 0.00 0.00 0.00 2,380.00

Move-Out Charges

3,048.08

2,400.00

200.00

625.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 26,881.78

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 22,628.00

Short Term Lease Fees Extra-Ordinary Income Corporate Rent Corporate Units - expense Deferred Revenue HOA Developer Contributions Acquisition Fees Income - Rental Income - C.A.M. Income - Insurance Income - Taxes Income - Interest Income - Other Income - Condo Sales Total Other Income Total Revenue Expense Managers Salary Salaries Maintenance Salary Salary - Administrative Commissions & Bonus Payroll Taxes Group Insurance Disability Insurance 401k Match Contract Labor Workers Comp Total Salary Expense

$296,099.80

$276,720.00

11,428.79

13,069.00

0.00 11,029.61

0.00 11,745.00

0.00 4,240.00

0.00 3,395.00

0.00 180.22

0.00 1,720.00

0.00 0.00 0.00 0.00 26,878.62

0.00 0.00 0.00 0.00 29,929.00

Office Operations & Supplies

1,208.62

850.00

Telephones Answering Svc. & Pagers Postage & Delivery Patrol Services Membership Dues Publications & Subscriptions Conventions/Seminars Employee Training Furniture Rental Car Expenses Permits & Fees Credit Checks

791.81 69.00 153.74 0.00 0.00 0.00 0.00 28.82 0.00 0.00 0.00 676.05

743.00 98.00 211.00 0.00 0.00 114.00 0.00 350.00 0.00 38.00 0.00 360.00

500.82 0.00 3,428.86

500.00 0.00 3,264.00

924.17

3,000.00

Guest Suite Expense Parking Cost Total Operating Expense Advertising & Promotions Resident Promotions

Locators Resident Referrals Total Advertising Expense Paint & Drywall

309.02

400.00

1,436.00

1,035.00

250.00 2,919.19

250.00 4,685.00

143.62

387.00

$ Variance

MTD Variance Comment

0.00 (5,041.00) Variance reflects market rent verses lease rents. (5,041.00) 0.00 (40.00) 4,072.47 Budgeted was 6.5% and actual was 5%. 3,000.00 No upfront concessions offered at this time. 0.00 0.00 (174.65) 335.00 Due to rent price change. 0.00 (204.80) One more employee discount not anticipated on budget. 0.00 420.00 Two days of guest suite rental. 12,759.00 We have been able to reduce the amount of concessions offered due to higher occupancy. 0.00 0.00 0.00 0.00 $15,126.02 0.00 0.00 0.00 1,182.02 We have 27 late fees and 12 insufficient funds collected. (1,350.00) One month to month fee collected and budgeted was five. 28.95 0.00 80.00 2,500.00 One buyout fee collected from #9312 due to buying a house. 38.94 Ten credit card convenience fees collected and 16 utility transfer fees. 0.00 0.00 1,534.77 Five new pet fees collected at $300.00 per pet. 0.00 0.00 0.00 0.00 256.54 0.00 (310.52) Bank rec fee charged from Quest on 9/08 for $94.40 and on 10/08 for $70.08. 0.00 0.00 (100.00) None charged at this time. 0.00 0.00 0.00 170.00 19 administration fees collected and 15 budgeted. 648.08 Apartments left in bad condition at the time of move out resulting in more charges needed. (425.00) One short term fee charged and three was budgeted. 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 4,253.78 $19,379.80

1,640.21 Based on actual payroll expense, and payroll went from semi-monthly to biweekly. 0.00 715.39 Based on actual payroll expense, and payroll went from semi-monthly to biweekly. 0.00 (845.00) More apartments leased than anticipated resulting in more commissions paid out. 0.00 1,539.78 We have less participants for our insurance program than what was anticipated in the budget. 0.00 0.00 0.00 0.00 3,050.38 (358.62) We purchased more offic e supplies then budgeted. (48.81) 29.00 57.26 0.00 0.00 114.00 None used at this time. 0.00 321.18 0.00 38.00 None used at this time. 0.00 (316.05) We had 33 credit check ran this month and budgeted was 17. (0.82) 0.00 (164.86) 2,075.83 Savings due to dropping of Apartment Guide advertising. 90.98 $198.00 has been coded incorrectly and should have been coded to Locators. (401.00) We used four locators and were budgeted for three. 0.00 1,765.81 243.38 Savings due to in house painting and less paint used this month for turns.

YTD Actual

YTD Budget

2,975,279.00 (7,174.00)

2,985,140.00 68,712.00

(9,861.00) (75,886.00)

3,587,640.00 74,283.00

Filter 0.01 6,562,919.00 62,681.00

2,968,105.00 0.00 (120.00) (158,083.32)

3,053,852.00 0.00 0.00 (207,929.00)

(85,747.00) 0.00 (120.00) 49,845.68

$ Variance

Annual Budget

YTD Variance Comment

3,661,923.00 0.00 0.00 (253,425.00)

6,625,600.00 0.00 (160.00) (401,929.85)

7,676.58

(36,000.00)

43,676.58

(42,000.00)

(31,323.42)

0.00 0.00 (28,523.81) (17,830.00) 0.00 (20,166.97)

0.00 0.00 (15,841.00) (19,800.00) 0.00 (19,350.00)

0.00 0.00 (12,682.81) 1,970.00 0.00 (816.97)

0.00 0.00 (18,910.00) (23,760.00) 0.00 (23,220.00)

0.00 0.00 (47,657.46) (41,255.00) 0.00 (43,591.77)

0.00 (7,230.00) (84,707.07)

0.00 (11,600.00) (162,523.00)

0.00 4,370.00 77,815.93

0.00 (13,920.00) (205,887.00)

0.00 (20,730.00) (275,713.07)

0.00 0.00 0.00 0.00 $2,659,120.41

0.00 0.00 0.00 0.00 $2,580,809.00

0.00 0.00 0.00 0.00 $78,311.41

0.00 0.00 0.00 0.00 $3,080,801.00

0.00 0.00 0.00 22,830.51

0.00 0.00 0.00 18,095.00

0.00 0.00 0.00 4,735.51

0.00 0.00 0.00 21,791.00

0.00 0.00 0.00 0.00 5,763,239.43 1.00 0.00 0.00 0.00 45,803.53

10,889.88

7,800.00

3,089.88

9,450.00

20,339.88

11,876.72 0.00 18,330.00 32,023.96

9,240.00 0.00 17,444.00 10,800.00

2,636.72 0.00 886.00 21,223.96

11,120.00 0.00 19,796.00 13,500.00

23,305.67 0.00 38,794.00 45,323.96

10,954.73

6,500.00

4,454.73

8,000.00

0.00 0.00 39,245.12

0.00 3,489.00 34,440.00

0.00 (3,489.00) 4,805.12

0.00 3,489.00 41,160.00

0.00 3,489.00 81,939.89

0.00 0.00 0.00 0.00 68,757.99 0.00 10,102.20

0.00 0.00 0.00 0.00 67,900.00 0.00 4,750.00

0.00 0.00 0.00 0.00 857.99 0.00 5,352.20

0.00 0.00 0.00 0.00 81,480.00 0.00 5,700.00

0.00 0.00 0.00 0.00 150,494.53 0.00 15,491.68

18,693.67

0.00 0.00 1,350.00 0.00 0.00 0.00 34,800.00

0.00 0.00 3,900.00 0.00 0.00 0.00 30,800.00

0.00 0.00 (2,550.00) 0.00 0.00 0.00 4,000.00

0.00 0.00 4,100.00 0.00 0.00 0.00 33,880.00

0.00 0.00 5,350.00 0.00 0.00 0.00 70,530.00

41,059.65

25,200.00

15,859.65

30,000.00

71,707.73

5,507.91

5,500.00

7.91

6,625.00

11,832.91

0.00 3,405.83 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 311,134.50

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 245,858.00

0.00 3,405.83 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 65,276.50

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 290,091.00

$2,970,254.91

$2,826,667.00

$143,587.91

$3,370,892.00

114,440.17

128,410.00

13,969.83

154,548.00

0.00 3,405.83 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 606,502.28 1.00 6,369,741.71 1.00 1.00 267,347.96

0.00 115,858.23

0.00 115,398.00

0.00 (460.23)

0.00 138,888.00

0.00 254,030.84

0.00 39,291.26

0.00 41,088.00

0.00 1,796.74

0.00 46,633.00

0.00 88,014.26

0.00 4,452.72

0.00 17,200.00

0.00 12,747.28

0.00 20,640.00

0.00 23,552.94

0.00 0.00 1,640.79 0.00 275,683.17

0.00 0.00 3,000.00 0.00 305,096.00

0.00 0.00 1,359.21 0.00 29,412.83

0.00 0.00 5,000.00 0.00 365,709.00 10,200.00

0.00 0.00 4,640.79 0.00 637,586.79 1.00 16,807.63

8,916.00 1,176.00 2,532.00 0.00 0.00 1,368.00 0.00 4,150.00 0.00 456.00 0.00 4,848.00

17,507.83 2,296.98 4,378.59 0.00 0.00 2,927.08 0.00 6,437.49 0.00 418.00 16.00 11,387.05 11,770.48 0.00 73,947.13 1.00 59,903.84

6,249.01

8,500.00

2,250.99

8,543.02 1,149.98 1,903.85 0.00 0.00 1,673.08 0.00 2,608.67 0.00 0.00 16.00 6,079.00

7,430.00 980.00 2,110.00 0.00 0.00 1,140.00 0.00 3,450.00 0.00 380.00 0.00 4,272.00

(1,113.02) (169.98) 206.15 0.00 0.00 (533.08) 0.00 841.33 0.00 380.00 (16.00) (1,807.00)

5,319.66 0.00 33,542.27

5,450.00 0.00 33,712.00

130.34 0.00 169.73

6,450.00 0.00 40,096.00

17,979.67

38,000.00

20,020.33

44,000.00

1,890.61

4,500.00

22,438.28

14,730.00

(7,708.28)

2,609.39

16,070.00

39,639.28

2,250.00 44,558.56

4,750.00 61,980.00

2,500.00 17,421.44

5,500.00 70,970.00

4,074.83

3,794.00

7,500.00 114,142.75 1.00 8,399.45

(280.83)

5,400.00

4,217.00

7,099.63

Contract Cleaning Svcs. Carpet Cleaning & Repairs

3,840.00 802.00

2,859.00 1,785.00

Window Coverings

699.14

270.00

Vinyl & Tile Repairs Lock & Keys Counter & Tub Resurfacing

0.00 0.00 641.25

0.00 85.00 417.00

Other Redecorating Cleaning Supplies Total Make Ready Expense

0.00 87.15 6,213.16

0.00 158.00 5,961.00

848.68

630.00

General Maintenance & Supplies

57.33

100.00

Plumbing Parts & Repairs Electric Parts & Repairs Roof & Gutter Repairs Pools & Fountains

HVAC Parts & Repairs

122.03 0.00 0.00 219.38

120.00 40.00 0.00 100.00

Gates & Entrances Glass & Screens

0.00 239.19

0.00 0.00

Appliance Parts & Repairs Hardware Exterior Painting Uniforms Elevator Service & Repairs Security & Fire Systems

23.76 81.14 0.00 0.00 0.00 8,682.39

300.00 120.00 0.00 300.00 0.00 10,500.00

Uninsured Losses Locks & Keys Bulbs & Ballasts Total Maintenance Expense

0.00 0.00 0.00 10,273.90

0.00 0.00 0.00 12,210.00

Landscape & Grounds

2,282.80

3,000.00

Trash Removal Pest Control Security Patrols Window Cleaning Svc. Interior Cleaning Svc. Cable Television Snow Removal Total Service Expense

791.20 86.00 0.00 0.00 0.00 0.00 0.00 3,160.00

755.00 205.00 0.00 0.00 0.00 0.00 0.00 3,960.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

11,830.62

11,069.00

Expenses - CAM - Electric Expenses - CAM - Water/Sewer Expenses - CAM - Gas Expenses - CAM - Grounds Expenses - CAM - Trash Removal Expenses - CAM - Cleaning Svcs Expenses - CAM - Maintenance Expenses - CAM - Insurance Expenses - CAM - R/E Taxes Total CAM Expense Management Fees No Name No Name Legal Fees

0.00 0.00 (380.00)

0.00 0.00 200.00

Accounting Fees Postage & Delivery Bank Charges

0.00 0.00 175.92

0.00 0.00 0.00

Partnership Insurance Other Administrative Expenses Travel Expense Employee Activities Printing Computer Consulting Computer Expense

0.00 0.00 0.00 0.00 0.00 0.00 543.93

0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00

0.00 0.00

Bank Charges Development Cost

(981.00) We turned more units than budgeted. 983.00 We had to replace more carpets this month than anticipated which resulted in less cleans required. (429.14) Replaced 22 blinds in the turns and budgeted was nine. 0.00 85.00 None used at this time. (224.25) Back splashes required for apartment turns. 0.00 70.85 Less supplies used this month. (252.16) (218.68) Ordering of parking violation stickers and more parts needed for apartment turns, disposal stoppers, drip pans, door stops. 42.67 Less supplies needed this month for HVAC repair than budgeted. (2.03) 40.00 None used at this time. 0.00 (119.38) Extra chlorine tabs needed for the pool this month. 0.00 (239.19) Replacement screen door for apartment #9112 needed. 276.24 38.86 0.00 300.00 No uniforms required at this time. 0.00 1,817.61 Anti freeze system repairs still in progress for the fire rooms. 0.00 0.00 0.00 1,936.10 717.20 No repairs on pipes for the winter needed at this time. (36.20) 119.00 No pigeon service needed this month. 0.00 0.00 0.00 0.00 0.00 800.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (761.62) Management fees based on % of collections. 0.00 0.00 580.00 Filed three evictions and collected four payments. 0.00 0.00 (175.92) PostRecr Reimb for Aug 08 Acct Analysis fee of $358.07 by Gilbert 10/08/08. 0.00 0.00 0.00 0.00 0.00 0.00 (543.93) Computer repair needed on Nancy's computer line. System line was in operable. 0.00 0.00

29,400.00 11,688.00

28,590.00 17,495.00

3,592.02

2,700.00

(892.02)

3,240.00

0.00 649.61 2,878.93

0.00 850.00 4,170.00

0.00 200.39 1,291.07

0.00 1,020.00 5,004.00

0.00 1,584.61 8,107.18

0.00 1,670.74 53,954.13

0.00 1,580.00 59,179.00

0.00 (90.74) 5,224.87

0.00 1,896.00 69,131.00

6,192.95

7,531.00

1,338.05

8,611.00

0.00 3,495.89 125,307.29 1.00 15,202.63

672.65

2,100.00

1,675.86 782.73 0.00 3,467.90

1,200.00 460.00 3,000.00 4,000.00

(810.00) 5,807.00

34,308.00 19,446.00

64,689.00 31,770.00 7,261.16

1,427.35

2,300.00

2,929.98

(475.86) (322.73) 3,000.00 532.10

1,440.00 540.00 3,000.00 4,200.00

3,117.89 1,282.73 3,000.00 7,787.28

150.00 709.78

150.00 1,820.00

150.00 2,649.41

3,600.00 1,400.00 355.00 600.00 0.00 14,555.00

9,029.33 2,137.69 355.00 1,663.16 0.00 47,590.92

0.00 0.00 0.00 2,609.88

0.00 0.00 0.00 42,571.00

29,581.00

1,597.19

29,581.00

0.00 0.00 0.00 96,896.02 1.00 62,847.61

7,550.00 2,350.00 2,775.00 0.00 0.00 0.00 14,000.00 56,256.00

222.02 443.25 2,775.00 0.00 0.00 0.00 6,721.28 11,758.74

9,060.00 2,760.00 2,775.00 0.00 0.00 0.00 19,500.00 63,676.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

118,702.10

113,067.00

0.00 850.22

150.00 1,560.00

5,705.57 736.55 0.00 763.16 0.00 15,053.53

3,000.00 1,200.00 355.00 600.00 0.00 13,355.00

(2,705.57) 463.45 355.00 (163.16) 0.00 (1,698.53)

0.00 0.00 0.00 35,901.12

0.00 0.00 0.00 38,511.00

27,983.81 7,327.98 1,906.75 0.00 0.00 0.00 0.00 7,278.72 44,497.26

(5,635.10)

134,836.00

16,424.18 4,547.75 2,775.00 0.00 0.00 0.00 21,278.72 107,873.26 1.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 254,668.72

0.00 0.00 (1,140.55)

0.00 0.00 2,400.00

0.00 0.00 3,540.55

0.00 0.00 2,800.00

0.00 0.00 1,079.45

0.00 0.00 1,178.46

0.00 0.00 0.00

0.00 0.00 (1,178.46)

0.00 0.00 0.00

0.00 0.00 1,354.38

0.00 0.00 0.00 0.00 0.00 0.00 2,799.54

0.00 0.00 0.00 0.00 0.00 0.00 3,060.00

0.00 0.00 0.00 0.00 0.00 0.00 260.46

0.00 0.00 0.00 0.00 0.00 0.00 3,060.00

0.00 0.00 0.00 0.00 0.00 0.00 6,403.47

0.00 0.00

0.00 0.00

0.00 0.00

0.00 0.00

0.00 0.00

Total Admin. Expense Electricity Electricity Gas - Resident Natural Gas

12,170.47 2,713.05

11,269.00 3,250.00

0.00 1,175.03

0.00 1,967.00

17,688.69 (14,589.42) 6,034.10 0.00 (2,236.39)

20,000.00 (13,600.00) 5,000.00 0.00 (2,012.00)

Water - Tenant Reimbursement Utility -Vacant Electric

0.00 749.42

0.00 1,022.00

Utility - Vacant Gas

252.93

613.00

Water & Sewer Water & Sewer - Resident Reimb Water - irrigation Electric - Tenant Reimbursement Trash Reimbursement

Tenant Reimbursement - Gas Total Utility Expense

(901.47) 536.95 Due to higher occupancy we used less electric. 0.00 791.97 Due to higher occupancy we required less gas usage. 2,311.31 989.42 Aggressive collections in house. (1,034.10) 0.00 224.39 We had higher occupancy which resulted in higher reimbursement. 0.00 272.58 Due to higher occupancy used less electric. 360.07 Due to higher occupancy we required less gas usage. 0.00 4,452.59

121,539.55 31,110.93

118,527.00 34,000.00

(3,012.55) 2,889.07

140,696.00 40,500.00

263,506.02 1.00 71,073.98

0.00 19,642.23

0.00 19,670.00

0.00 27.77

0.00 23,604.00

0.00 42,454.26

180,982.88 (131,811.52) 29,260.67 0.00 (22,210.94)

200,000.00 (136,000.00) 37,400.00 0.00 (21,672.00)

19,017.12 (4,188.48) 8,139.33 0.00 538.94

240,000.00 (163,200.00) 37,400.00 0.00 (25,696.00)

418,671.57 (296,000.94) 77,694.77 0.00 (48,131.33)

0.00 8,727.20

0.00 9,784.00

0.00 1,056.80

0.00 12,108.00

4,054.54

6,443.00

2,388.46

7,837.00

21,949.00

0.00 119,755.99

0.00 149,625.00

0.00 29,869.01

0.00 172,553.00

0.00 0.00 1,896.50 3,269.24

0.00 0.00 0.00 0.00

0.00 0.00 (1,896.50) (3,269.24)

0.00 0.00 0.00 0.00

0.00 297,408.40 1.00 0.00 0.00 1,896.50 3,919.46

0.00 20,282.62

358.07

0.00

(358.07)

0.00

716.14

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 5,523.81

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (5,523.81)

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

301,884.70 0.00 48,996.54 600.00 0.00 351,481.24 1,086,437.10 1,883,817.81

301,880.00 0.00 48,500.00 570.00 0.00 350,950.00 1,173,836.00 1,652,831.00

(4.70) 0.00 (496.54) (30.00) 0.00 (531.24) 87,398.90 230,986.81

362,256.00 0.00 58,200.00 684.00 0.00 421,140.00 1,386,542.00 1,984,350.00

0.00 11,787.41

0.00 16,240.00

Management Fees Management Fees-MRLL Property Legal Fees Credit Card Fees

0.00 0.00 0.00 650.22

0.00 0.00 0.00 0.00

Bank Charges

358.07

0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1,008.29

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Property Taxes Franchise Tax Insurance Tax Consultants MIP Total Taxes & Insurance Total Operating Expenses NET OPERATING INCOME

30,188.47 0.00 5,068.57 0.00 0.00 35,257.04 113,096.94 183,002.86

30,188.00 0.00 4,850.00 57.00 0.00 35,095.00 122,613.00 154,107.00

Base Rent - Interest Payment Base Rent - Principal Payment Stated Rent Office Rent Total Rent Expense

106,134.93 24,017.07 86,666.71 0.00 216,818.71

106,134.93 24,017.07 86,667.00 0.00 216,819.00

0.00 0.00 0.29 0.00 0.29

1,064,740.02 118,953.33 866,667.10 0.00 2,050,360.45

1,064,741.67 118,953.33 866,670.00 0.00 2,050,365.00

1.65 0.00 2.90 0.00 4.55

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1,000.00 3,200.00 0.00 4,200.00

0.00 0.00 200.00 0.00 0.00 0.00 0.00 0.00 1,000.00 3,250.00 0.00 4,450.00

0.00 0.00 200.00 None used at this time. 0.00 0.00 0.00 0.00 0.00 0.00 50.00 0.00 250.00

0.00 540.00 2,248.79 312.57 0.00 0.00 0.00 0.00 6,000.00 27,600.00 0.00 36,701.36

0.00 365.00 2,000.00 0.00 0.00 0.00 0.00 0.00 10,000.00 32,500.00 0.00 44,865.00

0.00 (175.00) (248.79) (312.57) 0.00 0.00 0.00 0.00 4,000.00 4,900.00 0.00 8,163.64

0.00 365.00 2,400.00 0.00 0.00 0.00 0.00 0.00 12,000.00 39,000.00 0.00 53,765.00

0.00 0.00 0.00 6,104.14 0.00 493.95

0.00 0.00 0.00 6,000.00 0.00 0.00

5,395.10 1,021.68 540.47 67,905.20 1,123.12 1,446.93

16,846.00 0.00 1,800.00 56,000.00 1,450.00 1,734.00

11,450.90 (1,021.68) 1,259.53 (11,905.20) 326.88 287.07

16,846.00 0.00 1,800.00 66,000.00 1,450.00 1,734.00

286.88 0.00

0.00 0.00

0.00 0.00 0.00 (104.14) Six carpets replaced this month. 0.00 (493.95) Dishwasher needed replaced in apartment #13104. (286.88) Dryer needed for apartment #19305. 0.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 6,532.10 1.00 664,141.17 0.00 107,415.11 1,227.00 0.00 772,783.28 2,495,983.04 3,873,758.67 1.00 2,341,751.55 285,940.80 1,906,670.81 0.00 4,534,363.16 1.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 905.00 4,448.79 312.57 0.00 0.00 0.00 0.00 18,000.00 66,550.00 0.00 90,216.36 1.00 22,241.10 1,021.68 2,340.47 136,009.34 2,573.12 3,674.88

1,177.13 0.00

1,017.00 0.00

(160.13) 0.00

1,017.00 0.00

2,481.01 0.00

Bank Adjustments Other Professional Fees Late Charges HOA Assessment Fees Contributions Fiduciary Fees Custodial Fees Thunder Expense Accounting Fees Total Management Expense

Mortgage Interest Loan Fees Interest Expense Interest Expense Total Debt Service Partnership Legal Fees Partnership Accounting Fees Partnership Travel Partnership - Meals Partnership Fees - Other Partnership Expense Due Diligence Cost Dead Deal Cost Asset Management Fees Investor Administration Fee Partnership Exp- Leaseup Costs Total Partnership Expense Exterior Rehab Interior Rehab HVAC Replacement Carpet & Floor Replacement Refrigerators Dishwashers & Ranges Washers / Dryers Fire Alarm Replacement

0.00 0.00 0.00 (650.22) Credit card fees billed from corporate for the months of 08/08 in the amount of $279.69, 09/08 in the amount of $178.48 and 10/08 in the amount of $92.05. (358.07) PostRecr Reimb for Aug 08 Acct Analysis fee of $358.07 by Gilbert 10/08/08. 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (1,008.29) (0.47) 0.00 (218.57) Based on actual charges. 57.00 None used at this time. 0.00 (162.04) 9,516.06 28,895.86

1,325,045.67 118,953.33 1,040,004.00 0.00 2,484,003.00

Other Capital Improvements Boiler Replacement Roof Replacement Total Capital Expenses Casualty Losses Casualty Recovery Total Casualty Loss Amortization Expense Depreciation Expense Total Depr & Amort NET INCOME (LOSS) Rental Guarantee

0.00 0.00 0.00 6,884.97

0.00 0.00 0.00 6,000.00

0.00 0.00 0.00 (884.97)

18,844.44 0.00 0.00 97,454.07

11,899.00 0.00 0.00 90,746.00

(6,945.44) 0.00 0.00 (6,708.07)

11,899.00 0.00 0.00 100,746.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00

0.00 0.00 0.00 (44,900.82)

0.00 0.00 0.00 (73,162.00)

0.00 0.00 0.00 28,261.18

0.00 0.00 0.00 (300,698.07)

0.00 0.00 0.00 (533,145.00)

0.00 0.00 0.00 232,446.93

0.00 0.00 0.00 (654,164.00)

0.00 (44,900.82)

0.00 (73,162.00)

0.00 28,261.18

0.00 (300,698.07)

0.00 (533,145.00)

0.00 232,446.93

0.00 (654,164.00)

30,743.44 0.00 0.00 201,085.04 1.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (951,905.89) 1.00 0.00 0.00

Courtney Downs Apartments October 08 LEASING & OCCUPANCY NUMBER OF MOVE INS: NUMBER OF MOVE OUTS: NET FOR THE MONTH:

15 17 -2

OCCUPIED/LEASED %:

95%, 96%

SOURCE OF TRAFFIC: APARTMENT GUIDE.COM APARTMENT GUIDE YELLOW PAGES OTHER. NET BLUE BOOK RENT.COM LIVES IN AREA RESIDENT REFERRAL LOCATORS WORD of MOUTH WALK IN SIGNAGE BROCHURE/FLYER TOTALS CLOSING RATIO:

INCOME THIS MONTH: INCOME LAST MONTH: DIFFERENCE:

$296,100.00 $292,059.00 $4,041.00

TOTAL # GARAGES # GARAGES OCCUPIED GARAGES OCCUPIED %

120 111 92%

REASONS WHY PROSPECTS DID NOT LEASE: Traffic 4 0 0 9 6 7 12 4 5 0 0 6 0

Leased 0 0 0 2 2 0 7 1 2 0 0 4 0

53

18

* * * * * * * * * * * * * *

Job Transfer Too expensive. Future/No Availability/Waiting list Just started looking. Waiting for Home to Sell Current Lease to Expire Needs Ground Floor Breed restrictions Will return with roommate or spouse Realtor Looking for Client Undecided Employment pending Location Rented at Competitor TOTALS

0 4 3 9 4 6 2 0 0 0 5 5 2 0 35

34%

MARKETING ACTIVITIES & SOURCES FOR THE MONTH * We waived the security deposit for all preferred employers this month. * Courtney Downs made muffin baskets for Rylan, Richmond and Newland Homes for their short term referrals. * We changed out the flutter flags to the front of the property to keep a fresh look. * Our highest traffic source this month was from lives in area and most leased was from locators. * Updated the locators with brochures and price sheets for the month. * Brochures and donuts were taken to Go Toyota staff. * Continued to network with nextel on new employees coming to the area. * Dropped off muffins and brochures to Wells Fargo bank for the break room. * Took brochures and flyers to the new shopping area Corner Star market featuring Best Buy, sunflower markets, DWS and Target stores. * Took brochures and flyers to King Soopers market for all employees. * We continue to work with Comcast and new employees to the area. * Took gift baskets to Costco Human Resources. OVERVIEW OF COMPARABLE PROPERTIES: Coyote Ranch continues to be our biggest competition closing out at 98.3% leased and 97.2% occupied. They are offering 1 to 2 months off of selected units. Dove Valley and Windrock are offering $500.00 gift cards for gas with any term look and lease. Overall market is 94.2% average occupancy. and rental rate of $805 per month. RESIDENT RETENTION: We had 30 leases expiring in the month of October. 11 renewed leases with a $36.36 increase. Notices received; (3) buying homes, (2) renting houses , (3) out of state, (2) Closer to work, (2) Other property (1) Too expensive, (2) Moving home with parents, (2) Roommate split, (1) closer to work and (1) Skip. INCIDENTS ON THE PROPERTY: N/A

MAINTENANCE:

ROUTINE REPLACEMENTS:

MARKET READY UNITS COMPLETE PAINTS TOUCH UPS WORK ORDERS Pending Misc 0 Electrical 0 Punch 0 HVAC 0 Plumbing Property Ext. Appliances Safety Total ROOF LEAKS

0 0 0 0 0

Completed 7 32 19 37 74 21 13 0 203

PLUMBING LEAKS

Number of: 19 11 8 203 0 7 32 19 37 74 21 13 0 203 0

0

CAPITAL IMPROVEMENTS IN PROGRESS: N/A

PROBLEM AREAS NEEDING ATTENTION: Garage doors are in need of repair. Rock work needed on building edges. Riser rooms needed some repair "up to code" CURRENT STAFF: Manager Assistant Manager Leasing Consultant Leasing Consultant Maintenance Supervisor Assistant Maintenance Maintenance/ Grounds

Nancy Howland Carrie McMillan Adreyanna Black Kate Hawkins Gabriel Tellez Russell Briley Jorge Chavez and Jorge Bernal

ACCOMPLISHMENTS FOR THE MONTH: Repaired breezeways "gypecrete" Fire and sprinkler inspection completed Backflow inspection completed Winterized sprinkler system

REFRIGERATORS DISHWASHERS WINDOWS A/C COMPRESSORS CONDENSING UNITS WATER HEATERS ICE MAKERS GARBAGE DISPOSALS MICROWAVES CARPETS/vinyl CEILING FANS TOILETS A/C FAN MOTORS COUNTER TOPS CABINETS RESURFACED KITCHEN

BLINDS TUBS RESURFACED TUB TILES

Number Replaced 0 0 0 0 0 0 0 0 0 6 0 0 0 0 0

22 0 0

Apt. #

2304, 10310, 7206, 2102, 9305, 6110.

16103-2, 6107-2, 6306-1, 10210-2, 2304-1, 4203-1, 12312-1, 2102-3, 4106-2, 6110-1, 7206-1, 13108-2, 2101-2, 4306-1

MARKET SURVEY Courtney Downs October-08

(Concessions reduced rates) PROPERTY:

Courtney Downs Apt PRICE

Efficiency Efficiency 1B1B (A) 1B1B (B) 1B1B w/study 1B 1B 1B w/loft 1B1B w/study 2B2B (E) 2B2B (F) 2B2B (G) 2B2B (H) 2B2B 2B w/study 2B2B TH 2B2B TH 3B2B 3B2B

% occ /leased Avg PSF Avg Rents Units(Total / Avail)

SIZE

Coyote Ranch

PSF

PRICE

SIZE

Windsor at Meridian

PSF

785 850

779 853

PRICE

1.01 1.00

SIZE

Pinnacle @ the Creek

PSF

PRICE

SIZE

Dove Valley

PSF

PRICE

SIZE

PSF

Cherrywood Village SIZE PSF

PRICE

704 808

1.06 0.95

720 835

627 701

1.15 1.19

710 740

685 705

1.04 1.05

749 799

768 842

0.98 0.95

720 730

707 796

1.02 0.92

910

0.93

899

811

1.11

810

760

1.07

910

992

0.92

815

916

0.89

915 925

956 1044

0.96 0.89

945

1051

990

1120

0.90 0.88

895

977

0.92

955

1105

0.86

905 935

1030 1030

0.88 0.91

1030

1192

0.86

1080 1099

1196 1180

0.90 0.93

1,180

1140

1.04

1155 1485

1398 1398

0.83 1.06

1145

1330

0.86

95 1 897 342

96.20%

0

0% 1.00

95%

96%

0.95 39

Special: Specials on select units and waived security Rates deposit with approved credit. reflect these rates: specials:

Ren: $35 to $75 increase.

0.94 1043 507

12

952 653

Special: Offering one to two Will not give out any months information. free depending on lease term

Ren.: 15% increase on all renewals.

Ren: Info not avail per corporate

1185

1230

95%

95.40%

0.96

20

715 740

763 763

0.94 0.97

949

1115

0.85

900

1033

0.87

835

1037

0.81

999

1220

0.82

935

1093

0.86

850

1037

0.82

1099

1356

0.81

1125 1150

1235 1235

0.91 0.93

999 1195

1257 1257

94.0%

89%

0.98 897 216

Reserve@South Creek SIZE PSF

PRICE

745 770 850

93.0%

94%

0.89 918 312

17

92.1%

34

0

0.79 0.95

94%

0.91 911 360

0.88 889 168

28

Special: Admin waived and Special: One month to two play of Plinko game. Result months free on a 12 to 13 of win will be some kind of month special look and lease discount on the rent only.

Special: Change prices daily depending on availability.

Special: $200 to $700 off 1st months lease.

Ren:Per corporate

Ren: $20 to $40 increas for Ren: Average $25 to $55 12 month lease increase.

Ren: Free carpet cleaning with 12mo.

MARKET SURVEY Courtney Downs October-08 Apartment Name

Address Phone Location # of units Age of Property Application Fee Credit Card Pets Allowed Pet Deposit Sec. Deposit W/D included Covered Parking Garage Cable Tennis Courts # of pools Weight Room Jacuzzi Ceiling Fans Microwaves Mini Blinds FF Freezer Icemakers Fireplaces Access Gates Alarm in Unit Door to Door Aerobics/Kick Box Movie Room Computer Library Indoor Basketball Water Charge

Courtney Downs

Coyote Ranch

15849 E. Jamison Dr16363 E Freemont Ave 720-870-6114 303-693-8787 Englewood, Co Aurora, Co 342 507 5 5 $50.00 $35.00 yes yes yes yes 300 n/r 300-600 150 275-325 Yes yes no yes Detached yes Yes yes no no 1 1 yes yes yes 1 yes yes yes yes yes yes yes yes yes yes yes no no yes Prewired no no no no no no yes yes yes no no yes no

Windsor @ Meridian

Pinnacle @ the Creek

Dove Valley

9875 Jefferson Pkwy 303-256-7700 Englewood, Co 80112 653 7 $40.00 yes yes 150-300 300 Only In Select Units yes yes yes no 1 yes 1 yes yes yes yes yes yes yes yes no no yes yes no yes

6107 S Parker Rd 303-766-2500 Centennial, Co 216 4 $35.00 no yes $100 $100 Only Select Units yes yes yes no 1 yes 1 yes yes yes yes yes yes no yes no no yes yes no yes

7550 S Blackhawk 303-362-2000 Englewood, Co 80112 312 6 $45.00 yes yes 300-500 $199.00 no no yes yes yes 1 yes 1 yes yes yes yes yes yes yes yes no no yes yes no yes

Cherrywood Village

16950 E Carlson Dr 303-805-7200 Parker, Co 80134 360 6 $35.00 no yes $400-500 $200-300 yes no yes yes yes 2 yes 2 yes yes yes yes yes yes yes no no no yes yes no yes

Reserve @ South Creek

15611 E Jamison Dr 303-680-6696 Englewood, Co 80112 168 6 $50.00 yes yes 300 100 no no yes yes yes 1 yes 1 yes yes yes yes yes yes yes yes no no yes yes no yes

Courtney Downs RENTAL SCHEDULE

October 08

UNIT TYPE A1 A1V A2 B1 B1V C C1 C1V CV D DV E EV TOTAL

1BR 1BR 1BR 1BR 1BR 2BR 2BR 2BR 2BR 2BR 2BR 3BR 3BR

#UNITS

SIZE

40 32 18 24 32 42 44 22 24 16 20 24 4

704 704 910 808 808 977 1,030 1,030 977 1,030 1,030 1,140 1,140

TOTAL S/F 28,160 22,528 16,380 19,392 25,856 41,034 45,320 22,660 23,448 16,480 20,600 27,360 4,560

342

917

313,778

MKT RENT PER UNIT 745 755 850 770 780 895 920 930 905 945 955 1180 1180 $888

MKT RENT MONTHLY PER S/F GROSS 1.06 $29,800 1.07 $27,520 0.93 $15,300 0.95 $18,480 0.97 $24,960 0.92 $37,590 0.89 $40,480 0.90 $20,460 0.93 $21,720 0.92 $15,120 0.93 $19,100 1.04 $28,320 1.04 $4,720 $0.97

$303,570

ANNUAL GROSS $357,600 $330,240 $183,600 $221,760 $299,520 $451,080 $485,760 $245,520 $260,640 $181,440 $229,200 $339,840 $56,640 $3,642,840

EFFECTIVE CONCESSION RENTS* 745.00 755.00 850.00 770.00 780.00 895.00 920.00 930.00 905.00 945.00 955.00 1,180.00 1,180.00

CONCESSION PER UNIT

$888 * Net of Concessions

EFFECTIVE PER S/F

1.06 1.07 0.93 0.95 0.97 0.92 0.89 0.90 0.93 0.92 0.93 1.04 1.04 0.97

EFFECTIVE MONTHLY GROSS $29,800 $27,520 $15,300 $18,480 $24,960 $37,590 $40,480 $20,460 $21,720 $15,120 $19,100 $28,320 $4,720 $303,570

Vacants

Vacants Leased

Notice

Notice Leased

Net Available

3 0 0 3 0 0 2 0 0 0 0 2 0

1 0 0 0 0 5 0 0 0 0 0 1 0

5 0 0 7 0 8 8 0 0 3 0 2 0

2 0 1 0 0 1 1 0 0 1 0 1 0

5 0 -1 10 0 2 9 0 0 2 0 2 0

10

7

33

7

29