appraisal eastpark one

7/29/2019 Appraisal EastPark One

1/73UW MADISON REAL ESTATEAPPRAISAL REAL ESTATE APPRAISERS AND CONSULTANTS 1

Market Value AppraisaClass-A Office Comple

Elizabeth BreitloMorgan WhitelRobert Anders

Timothy Balcerz

Appraisers:

USA Bank Co2 East Mifflin StreMadison, WI 537

East Park O4600 American Parkw

Madison, Wisconsin 537

October 11, 20

UW Madison Real Estate Apprais

UW MADISON REAL ESTATE APPRAISALGRAINGER HALL

975 UNIVERSITY AVENUEMADISON, WISCONSIN

Prepared for

Property Appraised

Date of Valuation

Prepared by



- Subject Photo -

East Park One4600 American Parkway

Madison, Wisconsin

Located in:

The American Center Business Park



UW Madison Real Estate AppraisalReal Estate Appraisers and Consultants

975 University AvenueMadison, Wisconsin 53706

December 15, 2012

Mr. PresidentUSA Bank Corp2 East Mifflin StreetMadison, WI 53703

Re: East Park One4600 American ParkwayMadison, Wisconsin 53718

UW Madison Real Estate AppraisalMarket Value Appraisal of East Park One

Dear Mr. President:

We have prepared the following Appraisal Report of the above referenced property forthe purpose of estimating the As Is market value of the leased fee interest as of October11, 2012.This report has been prepared based on the scope of work outlined in the following pages.

This report is intended for the use of USA Bank Corp, with the purpose being to estimate

the As Is market value of the subject property for commercial mortgage underwriting asof October 11, 2012, the last date of inspection. No additional intended users areidentified or intended by the appraisers. Thus, no other persons or entities should rely onthis appraisal other than those noted herein. The subject was inspected by and the reportprepared and written by Elizabeth Breitlow, Morgan Whiteley, Robert Anderson, andTimothy Balcerzak.

The subject property is located in the American Center Business Park, within DaneCounty, in Madison Wisconsin, just off highway 151, north of its intersection with I-90/94. The American Center Business Park is approximately 88 years old but is onlyabout 50% developed to date, leaving room for future development. The subject property,

EastPark One, consisting of 74,736 Sq. Ft. improved office space on a 5.08 acre lot, islocated on the west side of American Parkway, a two-way, six-lane asphalt paved roadwith moderate traffic. EastPark One is a Class-A office building with some currenttenants as well as open units throughout the building. Today, vacancy is at approximately44%.



The property is asking a current rental rate of around $13 per square foot NNN ofproperty tax, building insurance, and building maintenance (among others). This rentalrate appears to be reasonable under current market conditions.

In order to prepare the analysis, the following items were supplied:

A.

Building Specifications (MGL Commercial)B. Floor Plans & Site Plan (MGL Commercial)C. Photographs (Mike Hershberger)D. East Park One Rental Information (Mike Hershberger)E. Tax Payment History (Mike Hershberger)

Any deviation from the information supplied and assumptions used herein will likelyresult in a change of value. Therefore, observations and conclusions made in thisappraisal report may vary from those previously made if actual conditions differsignificantly from the assumptions made in earlier reports.

As a result of our investigation and analysis of the subject property, it is our opinion thatthe As Is market value of the leased fee interest as of October 11, 2012 is:

$ 6,100,000

Respectfully submitted,

Elizabeth BreitlowGeneral Appraiser

Morgan WhiteleyGeneral Appraiser

Robert AndersonGeneral Appraiser

Timothy BalcerzakGeneral Appraiser



Table Of Contents

CERTIFICATE OF VALUE ........................................................................................................................ 8

GENERAL ASSUMPTIONS AND LIMITING CONDITIONS ........................................................... 10

SUMMARY OF SALIENT FACTS AND CONCLUSIONS .................................................................. 11SUMMARY OF SUBJECT PROPERTY ..................................................................................................................... 11CONCLUSIONS OF VALUE...................................................................................................................................... 12

APPRAISAL ASSIGNMENT .................................................................................................................. 13APPRAISAL PROCESS............................................................................................................................................. 13PURPOSE OF THE APPRAISAL .............................................................................................................................. 13SCOPE OF WORK.................................................................................................................................................... 13CLIENT,INTENDED USER AND USE OF THE APPRAISAL REPORT ................................................................. 14IDENTIFICATION OF THE PROPERTY................................................................................................................... 14OWNERSHIP HISTORY .......................................................................................................................................... 14DEFINITION OF INTEREST BEING APPRAISED .................................................................................................. 14

DEFINITION OF MARKET VALUE ........................................................................................................................ 15TAXES &ASSESSMENTS ....................................................................................................................................... 16DATE OF APPRAISAL ............................................................................................................................................. 16

MARKET AREA DESCRIPTION AND ANALYSIS ............................................................................ 17IDENTIFICATION OF MSA,COUNTY,CITY,NEIGHBORHOOD AND SUB-DISTRICTS.................................... 17DEMOGRAPHIC TRENDS AND ANALYSIS............................................................................................................ 17ECONOMIC TRENDS............................................................................................................................................... 18TRANSPORTATION INFRASTRUCTURE ............................................................................................................... 19LOCAL AND REGIONAL GOVERNMENT ............................................................................................................... 19SOCIAL CHARACTERISTICS ................................................................................................................................... 19NEIGHBORHOOD ANALYSIS ................................................................................................................................. 20OFFICE MARKET ANALYSIS ................................................................................................................................. 20

PROPERTY DESCRIPTION AND ANALYSIS SITE ANALYSIS .................................................. 22SITE ANALYSIS AND PHYSICAL CHARACTERISTICS .......................................................................................... 22LOCATION ............................................................................................................................................................... 23ADJACENT PROPERTIES AND LAND USES.......................................................................................................... 23OWNERSHIP AND TITLE ....................................................................................................................................... 23GOVERNMENTAL RESTRICTIONS AND NEIGHBORHOOD PLANNING ............................................................. 24UTILITIES AND SERVICES ..................................................................................................................................... 24OTHER SITE CHARACTERISTICS .......................................................................................................................... 24SITE IMPROVEMENTS ........................................................................................................................................... 24

PROPERTY DESCRIPTION AND ANALYSIS IMPROVED PROPERTY ANALYSIS ............. 25PROPERTY DESCRIPTION ..................................................................................................................................... 25PHYSICAL CONDITION .......................................................................................................................................... 27FUNCTIONAL UTILITY........................................................................................................................................... 27SPECIAL CHARACTERISTICS ................................................................................................................................. 27

HIGHEST AND BEST USE ANALYSIS ................................................................................................ 28HIGHEST AND BEST USE FOR IMPROVED PARCEL ........................................................................................... 28

As Improved ............................................................................................................................................................ 28As Vacant .................................................................................................................................................................. 29

HIGHEST AND BEST USE FOR VACANT PARCEL ............................................................................................... 29



INCOME APPROACH ............................................................................................................................. 31OPERATING INCOME ............................................................................................................................................. 31

Market Rent Analysis .......................................................................................................................................... 31Market Rent Changes ......................................................................................................................................... 31Broker Analysis ...................................................................................................................................................... 32Market Leasing Assumptions .......................................................................................................................... 32Rent Roll

Existing Tenants ........................................................................................................................... 34

Expense Recoveries .............................................................................................................................................. 35Miscellaneous Income ........................................................................................................................................ 35

VACANCY AND COLLECTION LOSS ...................................................................................................................... 35OPERATING EXPENSES AND CAPITAL IMPROVEMENTS .................................................................................. 36RATE ANALYSIS ..................................................................................................................................................... 37

Capitalization Rate .............................................................................................................................................. 37Terminal Cap Rate ............................................................................................................................................... 38Discount Rate ......................................................................................................................................................... 38Growth Rates .......................................................................................................................................................... 39Discounted Cash Flow analysis ...................................................................................................................... 39

DIRECT SALES COMPARISON APPROACH .................................................................................... 44PROPERTY VALUATION ........................................................................................................................................ 44COMPARABLE SALES............................................................................................................................................. 45SALES COMPARISON ADJUSTMENTS................................................................................................................... 47MARKET VALUE CONCLUSION ............................................................................................................................ 48

COST APPROACH ................................................................................................................................... 49LAND COMPARISON .............................................................................................................................................. 49

Site Valuation ......................................................................................................................................................... 49Comparables ........................................................................................................................................................... 49Land Sale Comparison Adjustments ............................................................................................................ 51Market Value Conclusion .................................................................................................................................. 51

IMPROVEMENT ANALYSIS.................................................................................................................................... 52Hard Costs ................................................................................................................................................................ 52Soft Costs .................................................................................................................................................................. 52Site Improvements ............................................................................................................................................... 52Depreciation ........................................................................................................................................................... 52

REPLACEMENT COST SUMMARY......................................................................................................................... 53DEPRECIATION ANALYSIS.................................................................................................................................... 54SITE IMPROVEMENT ANALYSIS........................................................................................................................... 55SUMMARY OF FINAL VALUE ................................................................................................................................ 56

RECONCILIATION AND FINAL VALUE CONCLUSIONS ............................................................... 57INCOME APPROACH .............................................................................................................................................. 57DIRECT SALES COMPARISON APPROACH .......................................................................................................... 57

COST APPROACH ................................................................................................................................................... 57SUMMARY ............................................................................................................................................................... 57

APPENDICES & OTHER INFORMATION ......................................................................................... 59APPENDIX A:MAPS............................................................................................................................................... 59

Location of Subject Property ........................................................................................................................... 59AERIAL PHOTOGRAPH.......................................................................................................................................... 59APPENDIX B:TRANSPORTATION ........................................................................................................................ 60

Madison Metro Transit Route 25- Capital Square to American Center ...................................... 60


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12.The valuation herein does not include any fixtures, furniture or equipment relatedto the operation of business. The valuation herein does not include a value for anybusiness entity, or entities occupying the subject property;

13.The estimated market value of the As Is market value of the fee simple interest asof October 11, 2012 is:

$ 6,100,000

Elizabeth BreitlowGeneral Appraiser

Morgan WhiteleyGeneral Appraiser

Robert AndersonGeneral Appraiser

Timothy BalcerzakGeneral Appraiser

Date of Report: December 15, 2012



General Assumptions and Limiting Conditions

This appraisal report has been made with the following general assumptions:

1. No responsibility is assumed for the legal description or for matters pertaining tolegal or title considerations. Title to the property is assumed to be good andmarketable unless otherwise stated;

2. The property is appraised free and clear of any or all liens or encumbrances unlessotherwise stated;

3. Responsible ownership and competent property management are assumed;4. The information supplied by others is believed to be reliable but no warranty is

given for its accuracy;

5. Plot plans and illustrative materials in this report are included only to help thereader visualize the property;

6. It is assumed that there are no hidden or unapparent conditions of the property,subsoil, or structures that render it more or less valuable. The values estimatedherein are subject to typical building inspections;

7. It is assumed that the property conforms to all applicable zoning and useregulations and restrictions unless a non-conformity has been identified,described, and considered in the appraisal;

8. It is assumed that the use of the land and improvements is confined within theboundaries or property lines of the property described and considered in theappraisal;

9. The physical condition of the improvements, if any, described herein was basedon visual inspection.

10.Neither all nor any part of this appraisal report shall be disseminated to thegeneral public using the appraisers name or appraisal designation, without priorwritten consent of the appraisers signing this appraisal report

Limiting Conditions

1. The allocation of total value between land and improvements applies only underthe described utilization. The separate valuations for land and improvements mustnot be used in conjecture with any other appraisal and are invalid is so used;

2. This appraisal contains no extraordinary assumptions or hypothetical conditions.



Summary of Salient Facts and Conclusions

Summary of Subject Property

Property Name EastPark One

Legal Description FIRST ADDITION TO THE AMERICANCENTER PLAT, LOT 14

Location The subject property is located on the Eastside of Madison in the West side of theAmerican Center Business Park, locatedoff highway 151, just north of itsintersection with I-90/94.

Rights and Type of Property Appraised Leased Fee Interest

Municipality Madison, City of

Address 4600 American Parkway

Madison, WI 53718Parcel Identification Number (PIN) 0810-221-0203-2

Type of Use Multi-Tenant Office

Property consists of both leased and vacantClass-A office space

Year Built 1994

Shape Irregular / Corner

Site Size 221,250 sqft (5.08 acres)

Gross Building Area 86,098

1stFloor 24,559

2ndFloor 24,559

3rdFloor 25,618

Basement 11,362

Rentable Building Area 74,7361stFloor 24,559

2ndFloor 24,559

3rdFloor 25,618

Zoning 0-4; Administrative Office and Researchand Development District

Date of Appraisal Report November 21, 2012Effective Date of Appraisal October 11, 2012

Highest and Best Use as Vacant Commercial office

Highest and Best Use as Improved Present use, commercial office

Improvements A three-story multi-tenant Class A office



building constructed in 1994. Fullyimproved 2nd generation space available.The exterior is finished with brick, precastmasonry, glass windows and large pillarstyle columns at the main entrance. The

interior features marble, terrazzo flooringand high-end finishes with a large atriumstyle lobby featuring dramatic floor toceiling windows. The three floors arepartitioned into eighteen rentable suiteswith access to a spacious commonconference and training room, which seatsup to 45. Additionally amenities onsiteinclude showers and vending areas inaddition to rentable storage spaces fortenant use.

CONCLUSIONS OF VALUEIncome Approach $ 4,850,270.00

Price per Square foot 86,098 $ 56.33

Direct Sales Comparison Approach $ 7,650,000.00Price per Square Foot $ 88.85

Cost Approach $ 10,525,000.00Price per Square Foot $ 122.24

Final Value Estimate $ 6,100,000.00Price per Square Foot $ 79.85



Appraisal Assignment

Appraisal Process

According to the Appraisal Institute, the standardized Appraisal Process is a procedureused to formulate an opinion on the value of a property. When appraising a property,there are many methods in which one can derive a value estimate. The three mostcommon include the income approach, sales comparison approach, and the cost approach.Another analysis used in appraisal to determine the appropriate use for which a propertyshould be valued is called highest and best use analysis (or most probable use). Thisreport has examined all three approaches to value, which were then reconciled to derive afinal estimate of value for the subject property, 4600 American Parkway.

Purpose of the Appraisal

The purpose of this appraisal report is to estimate the As Is market value for the leasedfee interest as of October 11, 2012 to be used for commercial mortgage underwriting.

Scope of Work

The appraisal problem herein is to estimate the As Is market value of the leased feeinterest as of October 11, 2012. To arrive at an accurate value conclusion, we conductedsite inspections, performed analysis of comparable properties, analyzed physical andfinancial characteristics of the property and applied various approaches to value to theappraisal problem.

The approaches used herein are considered sufficient to develop credible assignmentresults in solving the appraisal problem. For this assignment, all typical approaches tovaluethe cost approach, the sales comparison approach, and the income capitalizationapproachare considered.

Data on the subject property is derived from various sources, including but not limited to,the property owner, the county property appraisers office, surveys, and building plans.Data should be confirmed through a second source whenever possible. Land size isstrictly based on surveys (when available), public records, and recorded plats. The partieswho perform the appraisal do not perform Land measurements.

Description of the improvements is based on visual inspection and/or plans.Consequently, appraisers cannot attest to the soundness of a structure. Only thoseproblems that are evident by visual inspection are considered in the valuation, and suchare noted within the body of the report.


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Generally, a leased fee provides the lessor with the following:

Rent to be paid by the lessee under stipulated terms The right of repossession at the termination of the lease Default provisions The right of disposition, including the right to sell, mortgage, or bequeath the

property, subject to the lessees rights, during the lease period

Source: Appraisal of Real Estate, 13th Edition, Appraisal Institute

Definition of Market Value

Market Value is a major part of appraisal assignments. Therefore, it must be an ordinarilyunderstood and agreed upon concept. One of the current agreed upon definitions used forMarket Value in the United States is as follows:

The most probable price, as of a specified date, in cash, or in terms equivalent tocash, or in other precisely revealed terms, for which the specified property rightsshould sell after reasonable exposure in a competitive market under all conditionsrequisite to a fair sale, with the buyer and seller each acting prudently,knowledgeably, and for self-interest, and assuming that neither is under undueduress.

Implicit in this definition are the consummation of a sale as of a specified dateand the passing of title from seller to buyer under conditions whereby:

1. Buyer and seller are typically motivated;2. Both parties are well informed or well advised and acting in what they

consider their own best interest;3. A reasonable time is allowed for exposure to the open market;4. Payment is made in terms of cash in US dollars or in terms of financial

arrangements comparable thereto; and5. The price represents a normal consideration for the property sold

unaffected by special or creative financing or sales concessions granted byanyone associated with the sale.

Source: Appraisal of Real Estate, 13th Edition, Appraisal Institute



Taxes & Assessments

The subject property, parcel 081022102032, is assessed by the following jurisdictions:Wisconsin, Dane County, The City of Madison, MATC, & SCH Sun Prairie.

Assessment Year: 2011

Source: Access DaneTreasurer Tax Information

Source: Access DaneTreasurer Tax Information

Average assessment ratio for 2011 was 98.196%

Date of Appraisal

The date of our value estimate isOctober 11, 2012

TAX ASSESSMENT:4600AMERICAN PARKWAY

Parcel NumberSize

(acres) Land Improvements Total2011

Estate Taxes0810-221-0203-2 5.08 $ 774,500 $ 5,676,400 $ 6,450,900 $ 159,068.23

First Dollar Credit ($ 85.81)

Net property Tax $ 158,982.42

TAX BREAKDOWN

Taxing Jurisdiction 2010 Net Tax 2011 Net Tax % ChangeWisconsin 1,119.23 1,116.01 - .3%Dane County 16,736.86 17,611.6 5.4%City of Madison 54,424.95 56,884.04 4.5%MATC 9,727.96 11,238.76 15.5%SCH Sun Prairie 69,484.58 72,217.82 3.9%Total 151,493.58 159,068.23 5.0%First Dollar Credit -83.64 -85.81 2.6%Lottery & Gaming

Credit0 0 0%

Net Property Tax 151,409.94 158,982.42 5%



Market Area Description and Analysis

Identification of MSA, County, City, Neighborhood and Sub-Districts

East Park One is located at 4600 American Parkway in the metropolitan statistical area ofMadison in Dane County, Wisconsin. The building is part of the American Center, whichis located off highway 151, just north of its intersection with I-90/94. The property is partof the 24thward in the 17thaldermanic district on the eastern side of the city of Madison.

Demographic Trends and Analysis

According to the U.S. Census Bureau, the city of Madison, Wisconsin had an estimatedpopulation of 236,901 residents as of 2011. This shows a population increase of 1.6%from the previous year (2010), and a 12.2% increase from the past eleven years (2000).

There has also been an increase in population across the entire Dane County of about16.3%. From the three decades ranging from 2000-2030, it is predicted that Madison willgrow its population by 27.3%, which shows that future growth is estimated at 5.1% overthe next two decades. This shows there will need to be an increase in various types of realestate to support this increase in population. Lastly, the city of Madison has its meanpopulation within the usual working age, which shows a demand for jobs, businesses andoffice space.

THE CITY OF MADISON AND DANE COUNTY POPULATION

2000 2010 2011% Changesince 2010

% Changesince 2000

Est. % Change2000-2030

Madison 208,054 233,209 236,901 1.6% 12.2% 27.3%Dane Co. 426,526 488,073 495,959 1.6% 16.3% 36%

Source: US Bureau of Census, 2010 Census of Population

The city of Madison has a population gender, age and race breakdown as follows:

Source: 2010 U.S. Census Bureau

BREAKDOWN OF MADISON POPULATION (%)

GenderMales 49.2%Females 50.8%

AgeUnder 18 17.9%18-24 21.4%25-44 32.2%45-64 19.3%65 and older 9.2%Median Age 31.1 years

Race/ EthnicityWhite 78.9%Black/ African American 7.3%

Asian 7.4%Hispanic 6.8%Native American 0.4%


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Transportation Infrastructure

The subject property is located on the east side of the city of Madison off of the northeastintersection of highway 151 and interstate 90/94, the two major highways in the area.This gives the property great accessibility for Madison and Dane County residents, as

well as easy accessibility for commuters.

The Madison Metro Transit provides a widespread bus service across the whole city.There are two routes, which provide a commuter service for the American Centerresidents. Route 25 on the transit will provide a limited-stop transportation between theAmerican Center and Capitol Square. Also, route 26 on the transit, will provide hourlytransportation between the American Center and East Town Mall. In addition to the busservice, there are also approximately 10 cab companies servicing the city.

The Dane County Regional Airport is approximately 7 miles, or a 15-minute drive, fromthe subject property. The airport services Madison as well as all of south central

Wisconsin. The close proximity to the airport makes the region very accessible to largerCities such as Minneapolis, Chicago, St. Louis, Milwaukee etc. For additional air traveloptions, the Mitchell International Airport, located in Milwaukee, is approximately anhour drive away.

Local and Regional Government

The city of Madison has a mayor-council system of government, known as the CommonCouncil. The Common Council of Madison has 20 aldermen, each of whom representone of the 20 districts in Madison. Each council member serves a two-year term.Currently, the mayor of Madison is Paul Soglin, who is serving for his third time. The

subject property is located in the 17 th district, which is represented by alderJoseph Clausius. The city of Madison is a part of Dane County, which is overseen byExecutive Joe Parisi. The subject property is part of the 21st district of Dane County andDavid Wiganowsky is the Dane County supervisor.

Social Characteristics

As a top Midwestern city, Madison is consistently ranked for being one of the best placesto live, work and raise a family. Last year in 2011, Mens Health magazinerankedMadison the most educated city in America, Forbes ranked Madison the 3rd best city for

young professionals, and Outside magazine ranked it the 10th

best town to live. The cityhas three lakes (Lake Mendota, Lake Monona, and Lake Wingra) with the downtownarea located on an isthmus between Lakes Mendota and Monona. These locationalcharacteristics provide the community with beautiful scenery, walking/ biking paths andmany other outdoor activities.



In the heart of downtown resides the University of Wisconsin- Madison, which is one ofthe top ranked schools in the nation. The campus is merged within the downtown area,bringing energy and spirit to the city. In addition to being home to the Badgers, the socialscene in Madison is filled with shopping, various types of cuisine, and multiple art andmusic venues. Residents can also enjoy spending time exploring the Henry Vilas Zoo,

the botanical gardens, the arboretum, or attending a show at the Overture Center.

Neighborhood Analysis

The subject property resides in the American Center Business Park, developed byAmerican Family Mutual Insurance, and the home to their headquarters. Currently thepark is about 50% developed and around 88 years old. The park consists of buildingswith tenants in the financial, medical, legal, and technical fields. The area offers 3 milesof biking and walking paths that wind though the parks mixture of greenspace, pondsand wooden hills.

Two major highways surround the park: highway 151 and interstate 90/94. Both thesehighways are major commuter roads and provide quick access to Madisons other subdistricts. Across interstate 90/94 from the American Center is a strip of retail stores,restaurants, hotels, and various other businesses, in addition to one of the areas two majorindoor malls, East Towne Mall. The Madison Metro Transit has a bus departing every 30minutes from American Center to the East Towne Mall area, making the office parkeasily accessible to an array of retail, food and other activities.

Office Market Analysis

In spite of the economic recession that has swept the country the past five years, Madisonhas been able to hold fairly stable economic and employment levels. Over this period, thecity has not only experienced an unemployment rate below the national average, but hasactually seen an increase in population, labor force and per capital personal income.Theoretically these positive economic indicators should lead to an increase in and greaterdemand for jobs, which would subsequently create a greater demand for commercialspace; notwithstanding this theory, office market activity in Madison has remained inrecovery mode with little growth over the last five years. Although Madisons officemarket has been relatively stagnant due to the depressed economic state of the entirecounty, Grubb & Ellis assert that the market is slowly easing into recovery and willcontinue to see more and more improvements this year and in future years as economic

wellbeing returns. They expect Madison to experience a rise in absorption rates toaround 200,000 square feet, a decrease in vacancy of around 1.0-1.4 percentage pointsand an overall increase in Class A rental rates. In 2011, Madison experienced a 1.0percentage point increase in overall average gross rent. Historically, it has been notedthat rental rates are one of the last key metrics to signal improvement, giving hope thatimpending recovery in Madisons office market will continue for the remainder of 2012and increase in years to come.


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Governmental Restrictions and Neighborhood Planning

EastPark One is in zone 0-4, or Office-Administrative Office and Research andDevelopment District. After reviewing the Zone 0-4 Requirements in the MadisonZoning Code, section 28.085(5), there is no evidence of any zoning violations by theEastPark One property.

EastParkOne is included in the City of Madison Planning and Development UnitsRattman Neighborhood Development Plan. The American Park composes approximately60% of the neighborhoods area. The plans details are focused on providing wide usageof the land for office and retail uses. The neighborhood is reliant upon American Familyfor the continued development of the area. There is also discussion of futuredevelopment eastward into the suburban city of Sun Prairie, which may be a positiveforecast for the future of the subject property. In summary, there do not seem to be anyreasonably foreseeable issues from this development plan for the subject property.

Utilities and Services

All public utilities, including sewer, water, electricity, and telephone, are provided andaccessible to EastPark One. These utilities are all functional.

Other Site Characteristics

Almost the entire EastPark One property is developed, with the exception of surrounding

landscaping and lawn. There does not seem to be the prospect of surplus land orsecondary land uses, unless the parking area is deemed excessive or the aesthetics of thesite are sacrificed.

Site Improvements

One of the major site improvements is an asphalt parking lot surrounding the building.Included in this lot are 300 parking spaces equating to around 4 spots per 1,000 squarefeet. The parking lot is lit by 25-foot pillar lights and features concrete pathways that leadto all entrances in addition to the west-wing loading dock. American Family alsoprovides approximately 4 miles of cement walking trails throughout the American Park,with the 1.4-mile Highland Loop accessible from the subject property. The property hasexpansive landscaping directly surrounding the building, as well as planted treesthroughout the parking lot. The border of the property along EastPark Boulevard andAmerican Parkway is also lined with trees and shrubs. One ground-planted stone sign islocated on the southeast corner of the building, facing the intersection of EastParkBoulevard and American Parkway.



Property Description and AnalysisImproved Property Analysis

Property Description

Size: 3 story office building with basement

Gross Building Area:Rentable Area: 86,098 square feet74,736 square feet

Layout: The 86,000 sq. ft. property is made up of three floors; eachfloor plate is approximately 21,000-22,000 sq. ft., and isdivided into rentable suites. Additionally there is a commonconference room and rentable storage space in the basement.Floor one has an open, atrium style two story lobby with floorto ceiling windows. Elevators in the center of the lobby lead tothe second and third floor and the basement. Stairwells on eachend of building provide access to all floors. Floors 1-3 are

entirely filled with rentable suites that can be combined orconnected to meet tenant needs. Suites are of differing layoutsand sizes. Floors 1-3 each have their own common areabathroom. Basement also has bathroom that contains showers.

Parking Structure: None

ArchitecturalCharacteristics:

The building has 10-foot high ceilings throughout with uniqueshape at endcaps.

Lot Characteristics: Irregular2 (Land & Building)Corner1 (Land)

Street Paved, Curb-gutter, No Sidewalk, No alley

Frontage Primary: 418.37 ft. American Pkwy.

Secondary: 318.5 ft. EastPark Blvd.

No water frontage

Framing: Steal

Foundation: Poured Concrete

Roof: Type: StealFrame: concreteCover: Built Up

Floor: Type: TileFrame: StealDeck: ConcreteBasement: Part

Wall Finish: DrywallCeiling: Acoustical Ceiling (Ac) Tile


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Highest and Best Use Analysis

Highest and best use, as defined by The Appraisal of Real Estate, is, "the reasonablyprobable and legal use of vacant land or an improved property, which is physicallypossible, appropriately supported, financially feasible, and that results in the highest

value." The four filtering criteria used in HBU analysis are physically possible, legallypermissible, financially feasible, and maximally productive (i.e. highest price). In usingthis set of criteria to analyze the subject property as improved and as vacant, we candetermine the highest and best use of the property.

Highest and Best Use for Improved Parcel

As Improved

Legally PermittedThe property is currently used as office space, which conforms to the Dane CountyZoning Ordinance for which the property resides. The property conforms to all basicdevelopment standards, building setbacks, building standards, landscaping, parking andloading area standards, outdoor storage standards, and utilities standards. Thesurrounding area is developed with office space. We are unaware of any restrictions thatmay interfere with the current use.

Physically PossibleThe site is improved with a multi-tenant office building. The building consists of 74,736Sq. Ft and has a 33% Land Coverage Ratio. All land not used for the building is used forparking. The topography of the site provides a stable construction environment. The

parcel has good visibility within the American Parkway and easy access to two majorhighways. The surrounding area includes other office space.

Financially FeasibleFinancially feasible analyzes uses which would be the most profitable while conformingto the legally permitted and physically possible tests. As improved, it is profitable for thesite to be used as office space. The current rents generate more income than the expensesof the office.

Maximally ProductiveThe maximally productive use is the use that provides the highest possible return. In

order to find the highest use all possible uses allowed by the zoning code must beconsidered. Currently, this is only office so this is the maximally productive use.



As Vacant

Legally PermittedSeveral legal factors can limit a site highest and best use. Some of these restrictionsinclude zoning, deed restrictions, building codes, and environmental regulations. The

subject site currently conforms to all standards and restrictions of the current zoning. Thesite is currently zoned under Madisons O-4 office and research and development district.This district allows for large administrative offices and research and developmentactivities and testing laboratories all of which are integrated in a planned development.

Physically PossibleThe shape, size, and physical characteristics, as well as locational attributes andCharacteristics of the surrounding area are factors that determine the physically possibleuses of the site as vacant. The rectangular shape, the square footage, access from majorhighways and graded topography of the site make it desirable for the legally permitteduses. The subject site has water, sewer and all public utilities in place. Its location makes

it desirable for office buildings because of its proximity to the highways.

Financially FeasibleFinancial feasibility is analyzed after determining the legally permissible and physicallypossible uses. A use that generates a positive return is financially feasible. Income mustbe sufficient to cover all operating expenses and financial obligations of owning theproperty. Office is the only legally permitted type of building allowed on this property soit would be financially feasible for it to be used for office space.

Maximally ProductiveA site is maximally productive if it generates the highest possible return for that site. Thistest builds off the legally permitted, physically possible and financially feasible test toeliminate other potential uses of the site. Considering the propertys current NOI we donot expect any other use to provide a higher return, especially considering office space isthe only legally permitted use.

Highest and Best Use for Vacant Parcel

Legally PermittedThe zoning for the improved parcel is the same as the vacant parcel. The parcel conformsto all standards and restrictions of the current zoning. The zoning permits largeadministrative offices and research and development activities and testing laboratories.

Physically PossibleConsidering the legal restrictions of the zoning of the site the only physically possible useof the site would be office space.


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Rate Analysis

Capitalization Rate

In order to determine a capitalization rate for the subject property, we analyzed twosurveys carried out by Pricewaterhouse Coopers in addition to a transaction analysis forthe Midwest region, which was done by REIS, Inc.

The tables below summarize cap rate information gathered from various investor andbroker surveys over the past year. Note that some surveys are on a national basis, whileothers are regional and centered near or within the subject property. A detailed analysisof the data is offered after the tables.

SURVEY OF OARCAP RATES2010 - National Suburban Office

Range Average

Q3 6.011.5% 8.40%

Q4 6.011.5% 8.17%

2011 - National Suburban OfficeRange Average

Q1 5.511.5% 8.04%Q2 5.511.0% 7.60%Q3 5.011.0% 7.47%Q4 NA NA

2012National Suburban OfficeRange Average

Q1 5.011.0% 7.52%Q2 5.011.5% 7.57%

Q3 5.011.5% 7.53%

Overall Average 7.79%

Source: Pricewaterhouse Coopers

REISMIDWEST NON-CBDMARKET REPORTCap Rates 2012 Q3

Mean 8.4%Median 8.3%

Current RangeMidwest 7.312.4%

USA 4.413.4%Mean Overall Cap Regional Non-CBD By Class

2011 Year 7.60% 8.50% 8.20%2012 YTD 8.20% 8.10% 7.60%Average 8.20% 8.10% 7.60%

Source: REIS



Over the past couple of years the capitalization rates in the US and most comparablemajor cities around the Midwest, have been declining. The national average for suburbanoffice markets is 7.54% down from 7.70 % last year. Nationally there is also morevariability in market capitalization rates. This is likely a product of the rapidly changingconfidence in todays real estate market. Over the next few years we can expect

consumer and investor confidence to slowly rise, which will cause a rise in the propertyselling prices. However, because these surveys were based off of larger areas thanMadison, and to err on the side of conservatism, we used an 8% capitalization rate for ourvaluation.

Terminal Cap RateTerminal cap rate information was obtained from PwC and the averages for suburbanoffice space are listed below:

TERMINAL/GOING OUT CAP RATES (%)PwC

3 Q 2011 7.934 Q 2011 N/A1 Q 2012 7.522 Q 2012 7.413 Q 2012 7.38

Terminal cap rates have been falling slightly over the past few quarters. Madison is notfirst tier so our estimate is 8%. The spread between the cap rate and terminal cap rate isexplained by the difference in actual cap rates now and assumptions for the future.

Discount RateWe estimate a discount rate of 9.5%. Discount rates have been rising over the past fewquarters and we expect this to continue into this quarter.

DISCOUNT RATES (%)PwC

3 Q 2011 8.614 Q 2011 N/A1 Q 2012 8.332 Q 2012 8.323 Q 2012 9.38

The difference between the going in cap rate and the discount rate is about 1%, which canbe explained by the expected growth rate, which equals Discount Rate-Cap Rate.


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Direct Sales Comparison Approach

Property Valuation

The direct sales comparison approach is a frequently used appraisal method used to valuereal estate assets. Based on the principle of substitution, this method uses the One PriceRule, which declares equivalent goods tend to sell for equivalent prices, to derive anestimate of value based on other comparable sales in the market area. Additionally, asales comparison should reflect the same highest and best use as the subject property.This is important since the true value of a real estate asset is not necessarily its currentuse, but the best use that is physically possible, legally permissible, maximally productiveand financially feasible.

Although this approach can be used to value nearly any real estate asset, it is moreapplicable to some assets than others. A direct sales comparison yields the most accurate

results when used to reflect buyers and sellers analysis, such as in single-family housing,or when sales data of similar properties is plentiful. When buyers and sellers do nottypically use the property being appraised, such as is the case with income producingproperties, or if the data for comparable sales is sparse and/or outdated; this approach canproduce a heavily erred value estimate.

In executing this approach to valuation, there are two steps; the first step is to identifysales of similar properties in the same or a similar market, the next and final step iscritical to deriving a reasonably accurate result from this approach to valuationadjusting sale prices to reflect differences from the subject property. Since real estate is aunique asset, which would normally make it one that is not comparable, the adjustments

made to each individual sale, in essence, eliminate the unique traits of each comparable;putting all comps on a level playing field. These adjustments consist of both transactional(property rights, financing terms, conditions of sale, expenditures at sale, and marketconditions) and property adjustments (location, physical characteristics, and economiccharacteristics), all of which are reconciled at the end in the final adjustment.Adjustments can be made one of two ways; by dollar amount or percentage pointsbothwill produce the same end result.

Data for comparable properties can be found in a variety of ways, the most commonmethod is through sources such as CoStar Group, Xceligent and Loopnet. These onlinelisting sites often provide most, if not all, of the data needed for an accurate salescomparison. To fill in the gaps and determine how to make adjustments, it is common touse data found in market reports or talk to local real estate professionals to get a sense ofhow the market is functioning.

In our sales comparison for EastPark One, we used all of the above-mentioned listingsites to identify our comparable properties, and based our adjustments on information wegathered during the brokers panel as well as from the Grubb & Ellis Office TrendsReport for the fourth quarter of 2011.


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COMPARABLE SALES GRIDSubject Sale 1 Sale 2 Sale 3

Address 5133 W Terrace Dr. 744 Heartland Trail 8413 Excelsior DSale Price N/A $ 7,300,000 $ 6,860,000 $ 9,590,000

Transactional AdjustmentsReal Property Rights Fee Simple Fee Simple Fee Simple Fee Simple

Adjustment -- 0% 0% 0%

Financing Terms Cash Cash Cash Cash


Conditions of Sale Market Market Market Market


Expenditures at Sale None None None None

Adjustment 0% 0% 0% 0%

Market Conditions N/A 2007 October 2005 July 2006Adjustment -- -10% -10% -10%

Property Adjustments

Proximity ----------- .8 Miles North 21 Miles West 21 Miles West

Adjustment -- 0% -15% -15%

Locational Features Hwy 151 & 90/94 Hwy 151 & 90/94 W Beltline Hwy W Beltline Hwy


Accessibility/Visibility Excellent Excellent Average Average

Adjustment -- 0% -5% -5%

Site Size 221,250 SF 334,410 SF 312,315 SF 215,836 SFAdjustment -- 10% 10% 0%

Stories 3 4 3 1


Building Size 86,098 SF 76,257 SF 84,345 SF 60,024


Age/Condition 1994 Ave+ 1998Ave+ 1988Ave 2000Excellen

Adjustment -- 0% 5% -15%

Parking Paved Paved Paved Paved


Sales Price/SF ----------- $ 95.73 $ 81.33 $ 159.77

Net Adjustments -- 0% -15%12.2

-45%71.89

Adjusted Unit Price -- $ 95.73 $ 69.13 $ 87.88



Sales Comparison Adjustments

Real Property Rights: all of the sales are leased fee and do not require any adjustments.

Financing Terms: it was assumed that all financing was cash to seller and did not require

adjustments

Conditions of Sale: all sales were arms length and under typical market conditions,therefore they do not require adjustments.

Expenditures of Sale: all sales were made in absence of expenditures at sale and do notrequire any adjustments.

Market Conditions: in light of the 2008 financial crisis and subsequent economicdownturn, there real estate market has seen significant declines in value. All sales wereexecuted prior to the 2008 financial crisis; based on comparative market analysis on

inflation rates and other key market indicators discussed in the brokers panel, a 10%downward adjustment was applied all sales.

Proximity to Subject Site: sale 1 is in the same business park as the subject site andtherefore does not require any adjustments. Sales 2 and 3 were located in the Westsubmarket where prices ten to be higher. A 15% downward adjustment was applied dueto the superior locations. This adjustment was determined by looing at sales data for theWest submarket in addition to our discussion on this submarket during the brokers panel.

Locational Features: all of the sales are located off of a major arterial and do not requireany adjustments.

Accessibility/Visibility: all sales are easily accessible from well-maintained arterials, butSale 1 and the Subject have greater visibility as compared to sales 2 and 3. A 5%downward adjustment was applied to sales 2 and 3 to compensate for their inferiorlocations.

Site Size: sale 3 is comparable in size to the subject and required no adjustment. Sales 1and 2 however, are both significantly larger than the subject. Historically, smaller sitestend to sell at a higher price per square foot, so a 10% upward adjustment was applied toboth of these properties due to the larger site size.

Stories: sales 1 and 2 are both comparable to the subject, as they are 3 and 4 storiesrespectively. Sale 3 is only 1 story however, historically, building height has had littleimpact on value so no adjustments were applied to any of the sales comps.

Building Size: all of the comparable sales were similar in size to the subject and requiredno adjustments.


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COMPARISON LAND SALES GRIDSubject Land Sale 1 Land Sale 2 Land Sale 3

Address American Parkway Buttomwood Court Tradewinds Parkway Deming WaySale Price N/A $715,419 $646,886 $1,010,692

Transactional Adjustments

Real Property Rights Fee Simple Fee Simple Fee Simple Fee SimpleAdjustment -- 0% 0% 0%

Financing Terms ----------- Cash Cash Cash


Conditions of Sale Market Market Market Market


Market Conditions ----------- 2012 2012 2012


Property Adjustments

Property Size (Acres) 5.97 3.04 2.97 3.2

Adjustment -- -5% -5% -5%

Zoning O-4 O-1 M-1 PDD


Location East Far East South East Far West


Frontage Decent Similar Similar Similar


Access Excellent Excellent Good Excellent


Topography Level, Clear Level, Clear Level, Clear Level, Clear


Street Improvement In Place In Place In Place In Place


Sales Price/Sq Ft ----------- $5.40 $5.00 $7.46

Net Adjustments -- -5% 10% -20%

Adjusted Unit Price -- $5.13 $5.5 $5.97


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Replacement Cost Summary

Below is the proposed valuation of the subject site at replacement cost if new:

STRUCTURAL IMPROVEMENTS

EastPark OneType of Building Office BuildingBuilding Class Class AAbove Average

Base Square Foot Cost $129.90

Square Foot RefinementsHeating & Cooling ($6.20)Sprinklers $1.90

Total Cost $125.60Height & Size Refinements

Number of Stories 1.000

Height per Story 1.000Floor Area-Perimeter Multiplier .918

Total Multiplier .918Refined Square Foot cost $115.300

Final RefinementsCurrent Cost Multiplier 1.030Local Multiplier 1.020

Total Multiplier 1.051

Final Square Foot Cost $121.18Building Area (Sq. Ft.) 86,098

Total Hard Cost $10,433,356

Lump Sum AdjustmentsBasement Parking $0

Total Replacement Cost New $10,433,3556



Depreciation Analysis

Below is the calculation of the physical depreciation of the subject site:

PHYSICAL DEPRECIATION

EastPark OneI. Physical Curable Depreciation East Park OneCost To Cure

Carpet Replacement 50,000ADA Compliance 0HVAC Replacement 50,000Roof Repairs 200,000Others: 0

0Total Curable Depreciation 300,000

II. Physical Incurable DepreciationShort Life Items

Total Physical Incurable Short Term Depreciation 0

III. Physical Incurable DepreciationLong Life Items

Total Replacement Cost NewBldg. 13,078,211

Less: RCN of Physical Curable Items 300,000

Less: RCN of Physical IncurableShort Life Items 0

Replacement Cost NewLong Life Items 12,778,211

Life Expectancy of Long Life Items (Years) 50

Effective Age of Long Life Items (Years) 18.0

Long Life Depreciation Percentage 36.0%

Long Life Depreciation 36.0% $4,600,156

Total Physical Depreciation $4,900,156


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UW MADISON REAL ESTATEAPPRAISAL REAL ESTATE APPRAISERS AND CONSULTANTS 55

Site Improvement Analysis

Below is the analysis of site improvements for the subject:

SITE IMPROVEMENT ANALYSIS

EastPark OneMultipliers

DescriptionUnitCost($)

No. ofUnits

UnitSubtotal

($)Current

CostLocalCost

TotalMult.

Total RCNCost ($)

Soft CostMult.

Total RCNCost ($)

Age LifeDep.(%)

RCN Deprec

Parking & Drives-Asphalt 1.89 85,000 SF 160,650 1.040 1.020 1.061 170,450 1.090 185,791 6.0 8.0 75.0%

Concrete Sidewalk 3.34 1500 SF 5,010 1.040 1.020 1.061 5,316 1.090 5,794 8.0 13.0 61.5%

Landscaping 3.35 124,836 SF 418,199 1.030 1.020 1.051 439,527 1.090 479,084 6.0 10.0 60% 1

Concrete Curbs 6.50 2,500 LF 16,250 1.030 1.020 1.051 17,079 1.090 18,616 8.0 13.0 61.5%

Exterior LightingFlood Lights (Mercury)

760.00 20 Ea. 15,200 1.030 1.020 1.051 15,975 1.090 17,413 8.0 13.0 61.5%

Exterior Lighting5 Poles

765.00 20 Ea. 15,300 1.030 1.020 1.051 16,080 1.090 17,527 8.0 13.0 61.5%

Parking Lot Striping 4.50 300 Ea. 1,350 1.030 1.020 1.051 1,419 1.090 1,547 3.0 5.0 60.0% Other 39,500 0 Ea. ---- 1.030 1.020 1.051 ---- 1.100 ---- 5.0 10.0 50.0%

Replacement Cost New Site Improvements $665,846 $725,772 $2

Rounded $2



Summary of Final Value

In order to move forward with this procedure, we must be given some direction in regardsto determining depreciation. Also, we would utilize Marshall Valuation ServicesBuilding Cost Manual in order to value the buildings improvements more accurately.The Final Replacement Cost Summary is shown below. We estimated soft costs as 12%and entrepreneurial profit as 6.5% of hard costs, which are both in line with the averagemarket rates for commercial office properties.

COST APPROACH SUMMARYEast Park One

Replacement Cost New (Hard Costs) $10,433,356Soft Cost @ 9% 939,002Total Soft and Hard Costs $11,372,358Entrepreneurial (Developers) Profit 15% 1,705,854Total Improvement Costs New $13,078,211

Less: Accrued DepreciationPhysical Depreciation

Curable $300,000Incurable $4,708,156

Total Physical Depreciation $5,008,156

Functional ObsolescenceCurable $0Incurable $0

Total Functional Obsolescence $0

External Obsolescence (@ 0%) $0Total Accrued Depreciation $5,008,156

Depreciation Replacement Cost $8,070,055

Plus: Depreciated Cost of Site Improvements $262,000Plus: Site Value $980,000

Indicated Value Via Cost Approach $9,312,055

Rounded $9,300,000

The table above is a final summary of the analysis done in the Cost Approach. Afterestimating hard costs, site improvements, soft costs, and depreciation, our final opinion ofvalue is:

$9,300,000



Reconciliation and Final Value Conclusions

4600AMERICAN PARKWAY FINAL VALUATIONS

Income Approach $ 4,850,270.00Direct Sales Comparison Approach $ 7,650,000.00

Cost Approach $ 10,525,000.00

Note: Cost approach final value includes value of land ($1,225,000)

Income Approach

The strength of the income approach is that it projects the future income of the property,and takes future cash flows into consideration when arriving at a final value conclusion.However, because it projects a value in the future, it does not account for fluctuations in

the market and unforeseeable circumstances. Also, the utilization of cap rates leaves itvulnerable to manipulation.

Direct Sales Comparison Approach

The direct sales comparison approach is beneficial to valuation because it uses recentsales data to reflect current market conditions to determine a value. However, it can bevery difficult to make adjustments to compensate for differences in location, tenantquality, and attributes of the building. It is a very subjective analysis, and leaves a lot ofdiscretion to the appraiser. Also, if a building is unique, it makes this comparison very

difficult, if not impossible.

Cost Approach

The cost approach takes into consideration the current cost to build a replacement of thebuilding on the site. It also accounts for physical depreciation and functional andexternal obsolescence. Because this approach doesnt put any weight into marketconditions or overall demand, it is not typically the best measure for appraisal.

Summary

We felt it was necessary to incorporate all three approaches into one final value. The costof construction, current market trends, and future cash considerations are all componentsof a propertys worth.

For our final value, however, we weighted the amount towards the income approach.This approach focuses on the long-term investment value, which is the most applicablefor real estate professionals. The direct sales comparison approach gives an insight into



the current market conditions; however, if there are no recent sales or if the recently soldproperties are not similar to the subject, this valuation can be very volatile. In this case,the lack of Class A office buildings sold in Madison made the valuation difficult. Thereplacement cost approach is the least applicable, as it doesnt take into consideration thefuture market demand or future pricing of building construction materials. The cost relies

heavily on the Marshall Valuation to estimate replacement costs, which are assumptionsabout every Class A building and may not be applicable to the subject.

In the recovering market on the east side of Madison, we feel the appraised value shouldfocus on the propertys long term investment outlook and income producing potentialrather than the current prices. Potential buyers are most interested in the cash flows thesubject property can produce. Therefore, we weighted the appraised value as displayed inthe following table:

FINAL ESTIMATION OF IMPROVED PARCEL

Approach Value Estimate Weight Weighted Value

Income $ 4,850,270.00 65% $ 3,152,675.50Sales Comparison $ 7,650,000.00 25% $ 1,912,500.00

Cost $ 10,525,000.00 10% $ 1,052,500.00

Total $ 6,117,675.50

Total Rounded $ 6,100,000.00

FINAL ESTIMATION OF VACANT PARCEL

Approach Value Estimate

Vacant Site Total $ 1,225,000



Appendices & Other Information

Appendix A: Maps

Location of Subject Property

Source: Google Maps

Aerial Photograph

Source: Google Maps


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Appendix C: Overall Map of Comparable Sales

OverallMao

ComarableSales

Source:GoogleMaps;MyPlac

es



RENTAL A

Name of Property

Address5133 West Terrace DriveMadison, Wisconsin

Property TypeOfficeCommercial

Recording Information

Sale Price: 7,300,000Sale Date: -Prior Sale: N/A

Units of ComparisonPrice Per Rentable Sq.Ft.: $95.73Overall Capitalization Rate:

Rentable Area Size Sq. Ft. Land:Bldg Parking Space81,593 - 0


Year Built: 1999No. Stories: 4Land Size: 334,310Zoning: O-4Condition: Ave+Parking Spaces: 0Legal Description: CERTIFIED SURVEY MAP NO 9547 AS RECORDED IN

DANE COUNTY REGISTER OF DEEDS IN VOL 54 PAGE278 OF CERTIFIED SURVEYS, LOT 1.

Parcel Number: 081022406012

Comments A four story multi-tenant office building located in American

Center Business Park, 0.6 miles south of the subject property.The property sits on a 7.68 acre lot and consists of 76,257square feet of office space. The building was built in 1999 byAmerican Family Insurance Corp Real Estate. It has ahistorical sale listing in 2007 of $7,300,000 or $95.73/SF.This property is comparable to our subject property since it islocated in the same office park, therefore including a majorityof the same amenities.



RENTAL B

Name of PropertyThe 5100 Building

Address5100 EastPark BlvdMadison, Wisconsin


Recording Information

Sale Price: 7,100,000Sale Date: -Prior Sale: -

Units of ComparisonPrice Per Rentable Sq.Ft.: $12.95Overall Capitalization Rate: -



Year Built: 2003No. Stories: 3Land Size: 160,687Zoning: O-4Condition: AverageParking Spaces: 0Legal Description: THE AMERICAN CENTER PLAT EASTPARK ADDITION,

LOT 38.Parcel Number: 081022106068

Comments > American Center Business Park> Expenses: Tenant responsible for all additional operating

expenses on a pro-rata share basis, which includes real estatetaxes, insurance, common area maintenance, utilities andjanitorial services (3-10 year lease terms - Load factor 12%)



RENTAL C

Name of Property

Address8401 Excelsior DriveMadison, Wisconsin


Recording InformationSale Price: 5,600,000

Sale Date: -Prior Sale: -

Units of ComparisonPrice Per Rentable Sq.Ft.: $19.5Overall Capitalization Rate: -


Property DescriptionYear Built: 2002

No. Stories: 3Land Size: 91,163Zoning: RPSMCondition: AverageParking Spaces: 0Legal Description: OLD SAUK TRAILS PARK FIRST ADDITION, LOT 13Parcel Number: 070815403096

Comments



Appendix D: Flood Insurance Rate

Below is the Flood Insurance Rate Map, effective January 2009, for the area around 4600American Parkway. The EastPark One property is designated by the black rectangle.

FLOOD INSURANCE RATE MAP(FIRM)

Source: FEMA



Appendix E: Photos of Subject Site and Improvements

BUILDING EXTERIOR


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OFFICE SUITES


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LOBBY &ACCESS



Appendix F: The American Center Pedestrian Trail System - Map


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Appendix G: Site Plan & Map

appraisal eastpark one

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