four seasons downtown la

FOUR SEASONSHotel and Residences

TABLE OF CONTENTS

SECTION

I. PROJECT DESCRIPTION

II. PROJECT SUMMARY

III. INVESTMENT HIGHLIGHTS

IV. MARKET OVERVIEW

V. NOTABLE DEVELOPMENT PROJECTS

VI. AMENITIES

VII. REASON THIS PRODUCT WILL SELL

VIII. PROJECT FINANCIALS

IX. DEVELOPMENT TEAM

FOUR SEASONS HOTEL & RESIDENCES

Certain to be ranked among the

most prestigious and recognized

towers in the United States, this

Titan development will be widely

considered as one of the most unique properties of its

kind on the American Pacific Coast. Designed by

architect Richardson Robertson III in the spirit of those

great estates and luxurious mansions of Beverly Hills and

Bel Air for which he has won numerous awards, the

skyscraper tower will fuse the architectural greatness of

the standard of Classicism – the New Beaux Arts – with

all the modern amenities one finds in the world’s most refined landmark

legendary private residences. Located at 1000 Grand Avenue in downtown Los

Angeles, the Four Seasons Hotel and Residences is destined to become the

benchmark address for the City in the ongoing urban renaissance at its vibrant

heart. The Four Seasons Hotel and

Residences will be the newest Five-

Star hotel in Los Angeles. The Los

Angeles iteration of the Four Seasons

Hotel and Residences will be the

world flagship for the Five-Star

trademark on the West Coast.

The Four Seasons Hotel and

Residences is planned to be

developed as a sixty-six story

tower clad with limestone and

capped with wine-colored clay-

tile roofing. The 865-foot tall

skyscraper will contain the 225-

key hotel with an additional 189 residences. The podium base contains the

grand lobby that measures thirty-five feet in height, as well as banquet rooms,

ballroom, all the pre-function rooms, retail space for high-end shops and

restaurants, a private theater, a wine cellar, a destination spa/fitness center, a

nightclub and a premier Classically-

inspired events center that will

undoubtedly become the most

sought-after and celebrated party

venue in Los Angeles. It will

certainly be the place to be seen.

Fronting Grand Avenue, the

premier address for downtown Los

Angeles, the Four Seasons Hotel

and Residences will be a Grand

Avenue landmark as well as a

landmark on the central city skyline.

The skyscraper tower is to be clad

with a golden-hued limestone

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quarried in France and topped with a red-clay tile roof that suggests the

romance of the

Mediterranean climate

and the utopian vision

for Southern California.

A monumental motor

court ties the focus for

the Four Seasons

together with a singular

grand statement. The

motor court is paved with granite cobblestone taken from the streets of lower

Manhattan. The walls, parapets and columns are built of French limestone

blocks. The shop windows are framed in bronze architectural reliefs and are

dressed with emblematic Four Seasons branded

awnings. Orange trees, so much a part of the

heritage of Southern California, line the shop fronts,

and when in bloom the fragrance will bring an

exceptional sense of Los Angeles to the Four

Seasons. Limestone bas-relief and high-relief

sculptural panels line the motor court using the

iconic images of the National Parks of the Western

United States as the central artistic theme. The

arrival within this majestic motor court at the Four Seasons will be unlike any

other in Los Angeles.

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The colonnaded porte cochere entrance facing Grand Avenue that frames the

motor court from the street is the “estate gate” to the hotel and the residences.

This colonnade is about forty feet tall, built of limestone blocks, and is a site

that will not be missed by any passersby. All three surrounding streets – Grand

Avenue, Olympic Boulevard and Olive Street – will be lined with retail and

restaurants, bas-relief sculptural stone panels, bronze shop frames and awnings

giving the Four Seasons Hotel and Residences a very lively urban street

presence. Four Seasons Hotel and Residences is like no other hotel or

residential tower in Los Angeles. It is destined to set new standards.

FOUR SEASONS HOTEL AND RESIDENCES

5

The Four Seasons Hotel and Residences is destined

to become one of the centerpiece landmarks in the

ongoing urban renaissance at its vibrant heart. The

heart of Los Angeles is currently going through a

great gentrification that is being spurred by many

factors. Initially there is the trend for the great

desire of moving back to the urban cores of our

cities across the nation. This is currently happening in Los Angeles. Factors or

reasons for this major shift in population include many amenities that do not

exist in other parts of the City –

including even the Westside that

has long been a bastion of

prestige. More urbane and

sophisticated, the Four Seasons

will bring the essence of Beverly

Hills and Bel Air to Downtown

Los Angeles.

This downtown neighborhood is becoming saturated with sports venues, pop

culture, the cultural scene and special events. LA Live, now under

construction, is slated to become the

West Coast version of New York’s

energetic Times Square. Museums and

theaters (major and local) within a short

walking distance also add immensely to

the spirit of the neighborhood.

Downtown is the new enclave for art

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galleries, great educational institutions from the University of Southern

California to the avant-garde architecture school SCIARC and the Colburn

School of Music. New restaurants and bars from the simple to the very-best-

in-the nation are filling in everywhere. Plans for two more Five-Star hotels –

Ritz-Carlton (under construction) and the Mandarin Oriental – are in the midst

of coming to fruition. Downtown is an international “village” surrounded by

Little Tokyo, Chinatown, the famed Mexican Olvera Street and the Latino

regional retail hub along the

length of Broadway lined with

its old Beaux-Arts building

facades, as well as nearby

Koreatown.

There is the major convention

center within blocks, and the

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Nokia Theater under

construction that is to

be the new home for the

Grammys the Emmys

and ESPN. The

financial district is right

next door. There is the

Grand Market Center

and Macy’s Plaza,

nightclubs; Santee Alley

and the California Market in the garment district, the jewelry, toy and flower

districts are nearby as well.

Griffith Park, Pershing Square, Dodger Stadium, USC and Staples Center are

only minutes away. Other downtown venues include the Music Center and

Disney Concert Hall and the Central Library. Nearby public transportation

includes DASH

and Metro Rail.

This location

offers more and

more variety

than any other

part of the City.

Even a brand

new Ralphs

Market.

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For a city the size of metropolitan Los Angeles at almost nineteen-million

people, Downtown is one of the greatest development opportunities in the

nation, if not the greatest all together. Presently, 589,000 people per day work

in the financial district of Downtown. Downtown Los Angeles is at the

epicenter of the massive freeway system that

Los Angeles is famous for around the world,

and is also at the center of a brand new and

ever expanding mass-transit system including

the $2 billion subway that spreads across all

of Southern California. Within the first few

stations out from downtown are all of the

hoopla of Hollywood, Old Town Pasadena,

and Koreatown, even LAX. There are the

small advantages Downtown has such as

being able to catch a cab on the street,

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something that exists no

where else in the City.

San Francisco with its South

of Market District is

experiencing a very similar

phenomenon as Downtown

Los Angeles, though slightly

ahead in its gentrification.

With a comparable five-star

branded project as with the

Four Seasons in Los Angeles,

it is logical to assume that the

Four Seasons will exceed by a

great margin the average price

per square-foot range for sales

achieved in the Downtown

Los Angeles area.

The Four Seasons Hotel and

Residences is planned as the

most luxurious residential

project on the West Coast. At

865 feet in height the

skyscraper tower will be

paramount, affording

panoramic views that exist no

10

where else at all of the entire Los Angeles Basin, of the surrounding mountains

and the distant Pacific Ocean. The Four Seasons Hotel and Residences will be

recognized as a major Los Angeles landmark, destined to become part of the

tradition, the legacy and heritage of the City.

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Project Summary

Titan (“The Sponsor”) is pleased to present the opportunity to provide joint venture equity for The Four Seasons Los Angeles Hotel & Residences (“The Property”), a premier development located at 1000 Grand Avenue on Olympic Boulevard, in the heart of the South Park District of Los Angeles Designed by acclaimed architect Richardson Robertson III, The Four Seasons Los Angeles Hotel & Residences will be a marquee sixty-story development designed in the Classic New Beaux Arts style and featuring:

• A Five-Star Luxury Hotel with 225 Guest rooms • 189 Luxury Residences • 90,000 Square Feet of Commercial/Retail Space • A 3-Level Parking Garage offering 975 Parking Spaces

Significant developments have recently taken place with this Project: 1. A Refined Plan. The Plan for the Project has been refined and fine-tuned to be fully compatible

with The Four Seasons Los Angeles Hotel & Residences Program and complementary to recent feasibility plans for the hospitality, residential, and retail market trends in Downtown Los Angeles. The Plan now includes 225 Luxury Hotel Rooms, 189 Branded Residences, and abundant Luxury-Class Boutique Retail space.

2. Pre-Construction Planning. Tishman Construction Corp has been actively working with the

Developer to complete the construction cost analysis. Current results are favorable. Construction costs are estimated to be up to 20% less.

3. Downtown Los Angeles - LA Live. The LA Live Project being developed by Anschutz

Entertainment Group (AEG) is three blocks away from the Project. The project is complete. 4. Ritz Carlton Hotel and Residences. The Ritz Carlton Hotel and Residences has broken ground at

LA Live. In pre-sale activity, nearly 65% of the 224 luxury residential units have been sold 5. Strength in the High End Market. The Los Angeles Market, particularly Downtown, remains

supply-constrained, particularly at the upper end of the market. Land Assemblage and Predevelopment The Property consists of an assemblage of three lot parcels located at the south east corner of Olympic Boulevard and Grand Avenue, 1027 S. Olive Street, and a parcel at the south west corner of Olympic Boulevard and S. Olive Street The Sponsor currently owns the parcel located at the southeast corner of Olympic Boulevard and Grand Avenue and is currently under contract to purchase the parcel at 1027 S. Olive Street and the southwest corner of Olympic Boulevard and S. Olive Street.

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Investment Highlights

Strong Project Fundamentals: The sponsor intends to complete construction of the Property by the 2nd Quarter 2013 and may sell the retail, parking, apartments and hotel components of the Property in the first half of 2013. Based on the capitalization, assumptions and projections outlined in this memorandum, the investment will generate a 29.1% Internal Rate of Return.

Sponsor Credentials: Committed to excellence in real estate development and known for their expertise in luxury properties, the founders of Titan each have more than 20 years of experience in commercial and residential real estate investment, development, and management. The founders have been particularly active in southern California and New York City, where they developed numerous hotels, commercial buildings, and residential homes, condominiums, sand apartments. A description of the Developer is enclosed in the Sponsor Resume section of this memorandum.

The Four Seasons Los Angeles Hotel & Residences Brand and Management: The Four Seasons Los Angeles Hotel & Residences will be the newest Four Seasons in Los Angeles, and the Los Angeles addition to The Four Seasons Five-Star family will be the world flagship for The Four Seasons trademark on the West Coast. Considered among the world’s top tier of luxury hotel brands and commanding premium rates for its hotels and residences, The Four Seasons brand has been synonymous with glamorous design, prestige, and the most lavish services.

Strong Market Fundamentals: Los Angeles is enjoying a tourism renaissance as record crowds visit the city leading to a 73% occupancy rate in downtown Los Angeles and an occupancy rate approaching 80% in the 10-county region. Downtown Los Angeles employs over 585,000 workers and has increased its population by 21% over the past two years, due to a shift in tastes among well-to-do professionals who prefer a 24-hour cosmopolitan lifestyle to the commuter culture that has historically characterized Los Angeles. The housing market in Los Angeles is strengthened by a diversified economy that ranks among the world’s largest and is anchored by healthy export industries that include international trade, banking, entertainment, aerospace, technology, petroleum, fashion, apparel, and tourism. The median household income in downtown Los Angeles is $99,600 and approximately 55% of downtown residents work downtown as well, signaling a shift towards

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shorter commutes and gridlock traffic avoidance, a hindrance that has historically ranked among the most frustrating facets of life for Los Angeles residents.

Outstanding Project Team: Titan has assembled an exceptional project development team that includes Robertson Partners Architects, Westerland Partners, Arup Consulting Engineers, and Tishman Construction Corporation. Founded byRichardson Robertson III, Robertson Partners Architects is a recognized leader Classical architecture and the recipient of numerous awards including the prestigious Chevalier de l’order des Arts et des Lettres Award for the design of the 45,000 square-foot Fleur de Lys mansion in the Holmby Hills section of Los Angeles. The sponsor has selected Tishman Construction Corporation to serve as the preconstruction consultant and will likely choose Tishman Construction to serve as the General Contractor for the Property. Founded in 1898, Tishman Construction Corp, is responsible for the construction of more than 425 million square feet of space incorporating facilities of every size and type.

Ideal Location in Downtown Los Angeles: The Property will be constructed on a coveted site along Olympic Boulevard and Grand Avenue. Located just three blocks east of the Staples Center and the LA Live development project and eight blocks south of the Grand Avenue Project by the Related Companies, The Four Seasons Los Angeles Hotel & Residences will offer convenient access to the dining and entertainment venues of downtown Los Angeles in a private location that will appeal to families and buyers seeking a balance of tranquility and cosmopolitan living.

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Market Overview

Recognized as a global center for entertainment, international trade, technology, manufacturing, education, and tourism. Los Angeles is the second largest city in the United States and the economic and financial hub of the western United States. Generating a gross domestic product of $373 billion, the greater Los Angeles economy ranks as the 11th largest in the world and is poised to continue growing due to its critical role as the link between the United States and the economies of China and East Asia.

The addition of Staples Center, the Disney Concert Hall, Los Angeles Center Studios and numerous large-scale office, condominium, and loft development have stimulated a residential and retail construction boom that is transforming downtown Los Angeles into a vibrant “24-hour” urban city whose appeal will continue to grow with the ongoing development of LA Live.

Economic Growth and Job Creation

According to numerous projections, the Los Angeles economy will experience mild growth ranging from 2.4% to 3.0% of GDP in 2007 and generate significant growth ranging from 3.0% to 3.1% of GDP in 2008 and 2009. Over 585,000 people currently work in downtown Los Angeles, and Los Angeles is projected to create approximately 100,000 jobs in 2007, 115,000 jobs in 2008, and 130,000 jobs in 2009, representing percentage growth of 1.4%,1.6% and 1.7% respectively and continuing the pace witnessed in the period from 2004 to 2006.

Los Angeles also has a growing “New Economy” component, comprised of bio-med, digital information technology, and environmental technology sectors that are supported by its nationally recognized trio of universities: UCLA, USC, and CalTech.

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Notable Downtown Development Projects

LA Live

The Anschutz Company is overseeing the development of L.A. Live, a 4 million square foot, $2.5 billion downtown Los Angeles sports & entertainment district that will permanently alter the profile of downtown Los Angeles and provide a critical mass of high-quality entertainment venues as well as residential and office space.

Architects and designers are inspired to create a district that matches the flashiness of NYC’s Times Square and the Ginza District of Tokyo. The Anschutz Company recently broke ground on the Ritz Carlton tower, and, upon completion in 2010, LA Live is expected to invigorate downtown Los Angeles and further increase the appeal of its convention center.

LA Live will feature:

NOKIA Theatre at L.A. Live: A premier mid-size music/theatre venue featuring state-of-the-art acoustics and seating for 7,100 guests

Club NOKIA at L.A. Live: A 2,200 person capacity live music venue hosting music acts, bands and cultural shows as well as private parties and corporate events.

NOKIA Plaza: A 40,000 square-foot open-air plaza providing a broadcast venue featuring giant LED screens as well as a red carpet site for special events and serving as the central meeting place for LA Live.

14-screen Regal Cineplex and as ESPN Broadcast and Restaurant Facility.

JW Marriott Hotel and Ritz Carlton Hotel and Residences: A 54-story, 1000-room convention “headquarters” complex combining the JW Marriott and Ritz Carlton brands and offering 224 Ritz-Carlton brand luxury condominiums.

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Grand Avenue Project

Related Cos. Intends to break ground on its $2 billion Grand Avenue project, which encompasses a 16-acre park in the heart of Bunker Hill, in October 2007. located directly east of the Walt Disney Concert Hall, Related’s Grand Avenue project represents Los Angeles’ most ambitious effort to create a smart growth community of dense, high-rise residential developments and marks the farthest-reaching effort by local leaders to turn downtown into a 24-hour district on par with areas of New York, Chicago, London and Paris.

According to its most recent plans, Phase One of Related’s Grand Avenue Project will encompass an iconic high-rise tower featuring:

A Five-Star Mandarin Oriental Hotel with approx. 275 Hotel Rooms and 200 Condominiums An Equinox Sports Club A Bookstore, Grocery Store, and other Retail/Restaurant venues

The Grand Avenue Project will ultimately include up to 2,600 affordable and market-rate residential units and 400,000 square feet of multi-level retail and entertainment space built around large plazas and public spaces that welcome visitors and pedestrians alike.

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The Four Seasons Los Angeles Hotel & Residences

The Sponsor is designing that hotel component of the Property to conform to the standards and requirements outlined in The Four Seasons Los Angeles Hotel & Residences Operating and Management Agreement. Due to confidentiality requirements, a summary of The Four Seasons Los Angeles Hotel & Residences requirements outlined in the agreement will be provided at a future time.

Retail Component

The Property’s retail space will be leased to high-end retailers whose image is consistent with The Four Seasons Los Angeles Hotel & Residences Brand, and the Sponsor will place special emphasis on leasing space to restaurateurs and retailers that have existing partnerships with the Five-Star Brand.

Amenities

Dave Barton Gym –like High-end Sports Club Three-Star Michelin Restaurant The Shave of Beverly Hills Boutique Jewelry Store Boutique Haute Couture Clothing Store Wine Bar Screening Room Nightclub

TTHHEE FFOOUURR SSEEAASSOONNSS

AMENITIES

DESCRIPTION OF RESIDENCES

Eleven-foot ceilings in all Living Rooms, Dining Rooms and Bedrooms Wood floors in all rooms except baths and kitchen which are stone Marble vanities and walls to the ceiling, a separate shower from the tub, enclosed toilets, two sinks in Bathrooms. Kitchens have all Viking appliances – built-in refrigerator/freezer, commercial-style stove with oven and Viking hood, built-in washer and dryer, granite counters, stone floors, tile walls to the ceiling, Peacock-brand glass cabinets, under-counter lighting. Views from the Second to the 66th floors. All have entry halls. Walk-in closets. All windows are operable and most are nine feet in height.

In addition to the above the penthouse units have: All items that are in the One- and Two-bedroom units are also in the penthouses. Eleven- to fourteen-foot ceilings. Terraces open to the sky. Most are two-story units. Wet bar. Entry hall with staircase These penthouses are at the highest elevation of any residential units in Los Angeles.

THE BUILDING

A grand Motor Court faces Grand Avenue. High-end commercial retail/restaurants on the first two floors facing Grand Avenue and the surrounding streets. Grand lobby is thirty feet in height. The halls in the tower are oversized at seven wide. The tower is 66 stories and 865 feet in height making it the tallest residential building in Los Angeles.The Classical style of the building and the materials – cut limestone, red clay-tile roofing, granite cobblestones and copper finial spire at the top – are the iconic images of luxury buildings from the past.The innovative elevator system – the first time used in the United States – is encapsulated and can be used in the event of fires at the top of the tower.

TTHHEE FFOOUURR SSEEAASSOONNSS

The grand façade faces Grand Avenue, consists of a limestone triumphal colonnade that is the vehicular entrances into the motor court. The statement made by this colonnade and motor court will be landmark material for this city. Grand Avenue is the address of distinction in downtown Los Angeles. The Music Center, MOCA, the Mandarin Oriental Hotel, the Biltmore and the Regent Hotel are all located on Grand Avenue, making it the center of the cultural ventures and five-star hotels. The building taps into the pent-up demand for urbane and sophisticated living in a built-up urban environment, which exists no where else in Los Angeles.

AMENITIES IN THE BUILDING

On-going services with high-end Spa, and private Fitness Center, Stream Room, Sauna, Cold Pool, Lounge Area, similar to a Sports Club/LA. The size is to be determined in concert with Four Seasons Hotels. Indoor Swimming Pool Indoor Basketball Court Two Restaurants offering room service to all residences Theater Screening room Free newspapers and gourmet coffee Maid and Butler services available Free delivery and pick-up of dry cleaning and groceries Valet services such as shoe-shine, pressing, small clothing repairs on-site State of the art security. including 24-hour doormen and 24-hour on-site patrol Limousine service to local events and anything within the downtown area One free parking space per unit, additional spaces for lease Business center on-site High-end retail and sundries on-site State of the art computer system built into every home including wi/fi, individual apartment security system, cable TV, and access to all building services via internet 24-hour concierge 24-hour security team Valet parking within the Motor Court

REASONS THIS PRODUCT WILL SELL:

Building

• The museum quality adds status over other condominium building projects.

• The Classical architecture appears to be more expensive than Modern.

• The building is luxurious. Luxury, priced right, will sell in any economy.

• The building is a landmark.

Buyers

• There is a pent-up demand for sophisticated and urbane product in Downtown Los

Angeles.

Location

• Grand Avenue is the cultural venue street for Los Angeles with the Music Center,

Disney Concert Hall and MOCA located nearby.

• The mass transit system is two blocks away.

• Pop cultural, sports events, restaurants and other events such as Nokia and Staples

Center are all within walking distance.

Economy

• The present economy is caused by a credit crunch, not by a lack of demand.

• There is a housing crisis in Los Angeles.

• When this building is complete in 2012, the economy will be different than today’s.

• The Ritz-Carlton – just two blocks away – is already 65% sold out.

• The Wall Street Journal lists Los Angeles as the most desirable place in the United

States to invest in commercial real estate.

• The Cost of Construction is reduced by as much as 20% off the recent peak.

• The Price of the Units is at today’s market value.

FOUR SEASONS HOTEL & RESIDENCES TITAN

Downtown Los Angeles, California

3/4/2009

Project Name FOUR SEASONS HOTEL & RESIDENCES

Location 1000 Grand Avenue - Olympic Boulevard at Grand Avenue

South Park District, Downtown Los Angeles, California

Program Description-

Project Description ● Mixed Use Hotel, Luxury Residential Condominium, Retail and Parking

Mixed use Podium ● Retail and Hotel/Residence Amenities with a 5 Star Restaurant, a Destination Spa, a Private Screening Theatre, A World Class Wine Bar and Private Function Space

Podium Roof Top ● Roof top (at 5th floor level) pool, gardens, cabanas, outdoor event space and pool-side Bar & Grill

Parking Facility ● Secure, Enclosed Parking Below Grade

Hotel ● Five-Star Hotel at 5th through 28th floors with Amenities in the Podium

Residential ● High-end luxury one and two bedroom Residences from the 2nd through 71st floor. The top twelve floors are multi-story penthouses with terraces.

(NOTE: The condominium count and square foot sizes may be adjusted within the total square footage allotted for condominiums)

Program Summary Monetary Rates Summary

Project Data Monetary Rates

Land and Building Data Land & Construction

Land Area, sq.ft. 113,532 Land Acquisition Per Sq. Ft. 317$

FAR Area, sq.ft., Estimated 728,082 Construction Gross Cost of Main Building Per Sq. Ft. 305$

FAR 6.4 Parking

3 Levels Underground Parking Spaces 975

Main Building Area, sq.ft. 910,456 Cost Per Space Including Ramps & Misc. 42,500$

Motor Court-Roofs-Terraces 103,842 Spaces reserved for Residences 378

Underground Parking 321,750 Leasable/saleable spaces 597

Construction Gross Area, sq.ft. (Including Parking etc.) 1,336,048 Average Daily Rate 40.00$

Net Income 80.0%

Unit Counts Average Capacity 80.0%

1,507 Sq. Ft. Avg. One and Two Bedroom Residences 144 76% Parking Cap Rate On Sale 5%

1,890 Sq. Ft. Avg. Two and Three Bedroom Residences 12 6% Retail Annually

2,864 Sq. Ft. Avg. Penthouse Residences 33 17% Gross Lease Income, Monthly 5.35$ 64.20$

Total Residential Units 189 100% Retail Cap Rate On Sale 5%

Total Hotel Units 225 Residential

Net Saleable/Leasable Areas Blended Sell-out Residential 999$

Residential Net Salable Area, sq.ft. 340,089 47% Sales Commissions/Includes License Fee 8%

Retail Net Leasable Area, sq.ft. 99,686 14%

Hotel Net Leasable Area, sq. ft. 283,485 39% Hotel

Net Leasable/Saleable Area Total 723,260 100% Hotel ADR at Disposition (Stabilized) 457$

Cap Rate 7.0%

Net Leasable/Saleable Efficiency, % 79.4% FF&E 20,500,000$

SELL-OUT REVENUE

Residential & Unit Sales 339,748,911$

Retail 91,730,000$

Parking 111,567,360$ 114,428$ Per Space USES

(Stabilized Value) Hotel 164,105,000$ 729,356$ Per Room 35,989,644$ Land Acquisition

Sales Commission/ Residential (27,180,000) 8.0% 277,689,000$ Hard Cost

Total 679,971,271$ 41,437,500$ Parking Hard Costs

20,500,000$ FF&E

GRAND TOTAL SELL-OUT REVENUE 679,971,271$ 73,330,740$ Soft Cost Not Including Construction Financing

GRAND TOTAL USES INCLUDING INTEREST 477,340,403$ 448,946,884$ Total Uses Before Interest

PROJECT WHOLE DOLLAR PROFIT 202,630,868$

28,393,519$ Interest

CAPITALIZATION 477,340,403$ Total Uses Including Interest

Equity/Developer & Investor 219,000,000$

Construction Loan Including Interest 258,340,403$ 477,340,403$ GRAND TOTAL USES INCLUDING INTEREST

TOTAL CAPITALIZATION 477,340,403$

PROJECT IRR 25.0%

Investment Proforma

CONDOFOUR SEASONS225Rooms DECEMBER 09

FOUR SEASONS HOTEL AND RESIDENCESLOS ANGELES

Cash Flow as of Tue 9/29/09

DEPOSIT Date Required Total GOOD FAITH DEPOSIT FOR LAND 555K 12/1/2009 $555,000.00 GOOD FAITH DEPOSIT FOR EXPENSES 1 MILLION 12/1/2009 $1,000,000.00VINEYARD BANK PAYOFF VINEYARD BANK LOAN 16 MILLION (Buyout existing note) 12/1/2009 $16,000,000.00NEW DEVELOPMENT ENTITY EXPENSES 125 K DEVELOPMENT EXPENSES #1 12/1/2009 $125,000.00 125 K DEVELOPMENT EXPENSES #2 1/1/2010 $125,000.00 125 K DEVELOPMENT EXPENSES #3 2/1/2010 $125,000.00 125 K DEVELOPMENT EXPENSES #4 3/1/2010 $125,000.00 125 K DEVELOPMENT EXPENSES #5 4/1/2010 $125,000.00 125 K DEVELOPMENT EXPENSES #6 5/1/2010 $125,000.00PRE-CONSTRUCTION EXPENSES (To Complete Entitlements) 2 Million to complete MND 12/1/2009 1.1MILLION DUE TO VENDORS PAID 12/1/2009 $1,100,000.00 300K PROCEED W/MND 12/1/2009 $300,000.00 200K PROCEED W/MND 1/1/2010 $200,000.00 200K PROCEED W/MND 2/1/2010 $200,000.00 200K PROCEED W/MND 3/3/2010 $200,000.00 PROPERTY TAXES 430K PAID 12/1/2009 $430,000.00 4 Million Due for Architectural/Engineering Fees 12/1/2009 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #1 12/1/2009 $1,000,000.00 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #2 1/1/2010 $1,000,000.00 400K PROCEED W/ARCHITECTURAL #1 2/1/2010 $400,000.00 400K PROCEED W/ARCHITECTURAL #2 3/1/2010 $400,000.00 400K PROCEED W/ARCHITECTURAL #3 4/1/2010 $400,000.00 400K PROCEED W/ARCHITECTURAL #4 5/3/2010 $400,000.00 400K PROCEED W/ARCHITECTURAL #5 6/1/2010 $400,000.00FUND ADDITIONAL EQUITY 1/1/2010 4.3 MILLION PAID TO MYRON 1/1/2010 $4,257,800.00 2.1 MILLION PAID TO LOMA VISTA 2ND TRUST DEED 1/1/2010 $2,100,000.00 10 MILLION PAID TO CLOSE ON 1001 OLIVE STREET 1/1/2010 $10,000,000.00 4 MILLION PAID TO CLOSE ON 1027 OLIVE STREET LOT 1/1/2010 $4,000,000.00REMAINING FUNDING BALANCE OF INVESTMENT 389.6 MILLION (Actual per month will vary) 6/1/2010 $432,247,503.00

Total $477,340,303.00

ID Task Name

1 DEPOSIT

2 GOOD FAITH DEPOSIT FOR LAND 555K

3 GOOD FAITH DEPOSIT FOR EXPENSES 1 MILLION

4 VINEYARD BANK

5 PAYOFF VINEYARD BANK LOAN 16 MILLION (Buyoutexisting note)

6 NEW DEVELOPMENT ENTITY EXPENSES

7 125 K DEVELOPMENT EXPENSES #1






DEPOSIT

12/1 GOOD FAITH DEPOSIT FOR LAND 555K

12/1 GOOD FAITH DEPOSIT FOR EXPENSES 1 MILLION

VINEYARD BANK

12/1 PAYOFF VINEYARD BANK LOAN 16 MILLION (Buyout existing note)

NEW DEVELOPMENT ENTITY EXPENSES

12/1 125 K DEVELOPMENT EXPENSES #1






Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q22010 2011 2012 2013

FOUR SEASONS HOTEL & RESIDENCESLOS ANGELES

Cash Flow Schedule

Page 1

ID Task Name

13 PRE-CONSTRUCTION EXPENSES (To Complete Entitlements)

14 2 Million to complete MND

15 1.1MILLION DUE TO VENDORS PAID

16 300K PROCEED W/MND




20 PROPERTY TAXES 430K PAID

21 4 Million Due for Architectural/Engineering Fees

22 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #1

23 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #2

24 400K PROCEED W/ARCHITECTURAL #1

PRE-CONSTRUCTION EXPENSES (To Complete Entitlements)

12/1 2 Million to complete MND

12/1 1.1MILLION DUE TO VENDORS PAID

12/1 300K PROCEED W/MND




12/1 PROPERTY TAXES 430K PAID

12/1 4 Million Due for Architectural/Engineering Fees

12/1 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #1

1/1 1 MILLION DUE ARCHITECTURAL/ENGINEERING FEES #2

2/1 400K PROCEED W/ARCHITECTURAL #1

Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q22010 2011 2012 2013

FOUR SEASONS HOTEL & RESIDENCESLOS ANGELES

Cash Flow Schedule

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TITAN

An innovative and visionary real estate development company, Titan has extensive experience developing residential and commercial properties in key domestic markets. Committed to excellence on every project, the principals of Titan assemble the most highly qualified team of professionals and consultants representing a broad spectrum of disciplines. Titan’s team includes experts in design development, architecture, interior design, engineering, and planning, as well as cost, construction, and project management. Known for their expertise in luxury properties and their access to capital, Titan’s distinctive buildings and extreme attention to detail on all projects are the hallmarks of their success.

Titan’s commitment to communities is underscored by their skill in building relationships with public agencies and officials. Entrepreneurial in spirit, Titan is currently generating excitement with their comprehensive planning initiatives and luxurious buildings now being developed as part of the renaissance of downtown Los Angeles. This initiative is presenting an extraordinary opportunity for Titan to shape the future of that neighborhood. Their distinguished and elegant buildings in the New Beaux Arts Style respond perfectly to the historic downtown streetscape and herald a return to the style, grace and luxury of a more glamorous era.

While the work of Titan in Los Angeles is well known, their presence in other markets is significant. The principals of Titan have extensive experience developing added value to sophisticated, investment-quality property.

Relevant Development Experience

The Four Seasons Hotel and Residences:

1. mixed-use project (retail, residences, and hotel)2. Location: Los Angeles, California3. Cost: $560 Million Dollars4. 728,000 sq.ft.5. Date Completed: 2011

Fleur di Lys 1. Estate Residence 2. Holmby Hills/Bel Air, California 3. Cost 70 Million dollars 4. 45,000 sq. ft. 5. Date Completed 2001

Chateau Whittier 1. Retirement Hotel 150 Suites 2. Whittier, California 3. Cost 40 Million dollars 4. 156,000 sq. ft. 5. Date Completed 1989

Delfern Drive 1. Estate Residence 2. Holmby Hills/Bel Air, California 3. Cost 20 Million dollars 4. 23,000 sq. ft. 5. Date Completed 2002

Sarbonne Drive 1. Estate Residence 2. Bel Air, California 3. Cost 20 Million dollars 4. 17,000 sq. ft. 5. Date Completed 2003

Davies Drive 1. Estate Residence 2. Beverly Hills, California 3. Cost 20 Million dollars 4. 20,000 sq. ft. 5. Date Completed 2003

Maple Drive 1. 2 Estate Residence 2. Beverly Hills, California 3. Cost 9 Million dollars 4. 15,000 sq. ft. 5. Date Completed 2001

Beverly Park 1. Estate Residence 2. Beverly Hills, California 3. Cost 20 Million dollars

4. 26,000 sq. ft. 5. Date Completed 2002

Beverly Park 1. Estate Residence 2. Beverly Hills, California 3. Cost 50 Million dollars 4. 55,000 sq. ft. 5. Date Completed 2001

Stradella Drive 1. 2 Estate Residences 2. Bel Air California 3. Cost 12 Million dollars 4. 30,000 sq. ft. 5. Date Completed 2000

Los Alamitos Medical Professional Building (LAMP) 1. Medical Office Building 2. Los Alamitos California 3. Cost 9 Million dollars 4. 50,000 sq. ft. 5. Date Completed 1985

Radisson Hotel 1. Hotel2. Seal Beach California 3. Cost 12 Million dollars 4. 100,000 sq. ft. 5. Date Completed 1986

SeaPalms1. 136 Luxury Apartment Residences 2. Costa Mesa, California 3. Cost 25 Million dollars 4. 170,000 sq. ft. 5. Date Completed 1989

Hesperia Vista 1. 100 Apartments 2. Hesperia California 3. Cost 9 Million dollars 4. 90,000 sq. ft. 5. Date Completed 1988

Developing a sixty six-story mixed use complex in Downtown Los Angeles, California, securing financing, obtaining all government approvals and project sales;

Developed, built, and sold multiple luxury properties ranging in size from 8,000 to 23,000 square feet and , priced from $5 million to $25 million, valued at over $200 million, setting Beverly Hills, California sales records for residential properties;

Developed, built, and sold a 23,000 square foot Estate in the Holmby Hills community of Bel Air, California, the largest speculative residence in the United States at the time;

Developed and built a 50,000 square foot medical building in Los Alamitos California;

Developed and built and later sold a Radisson Hotel in Seal Beach California;

Developed and built a 150-unit/156,000 square foot retirement home in Whittier, California;

Developed and built 136 ocean view apartment community, securing all financing, necessary government approvals, and sales in Costa Mesa California.

Designed – architecture, landscape and interiors – of a Bel Air estate and decorative arts museum marketed at $125 million, which won France’s Highest Cultural Award; the Estate is named Fleur de Lys and is over 45,000 Sq. Ft. with a full commercial kitchen and 250-seat ballroom.

Developed multiple estate residences ranging from 10,000 to 30,000 square feet in Beverly Hills, Bel Air, Beverly Park .

Westerland Partners, LLC

Relevant Development Experience

Condominium Projects:

1. Creeks Edge, Oakmonte, Deerfield Beach, Stratford, Lake Pointe, Hideaway Delaney, and Waterside at Coquina Key

2. Location: Florida, USA 3. Total Cost: $225MM 4. Total Units: 2,210 5. Dates Completed: 2000 – Present

Apartment Projects:

1. Haverstock, Back Bay Tower, Whispering Palms, Spring Creek, and Portofino Villas.

2. Locations: Houston, Texas., Portland, Maine., Phoenix, Arizona., Sacramento, California., Melbourne, Florida

3. Total Costs: $76MM 4. Total Units:1,912 5. Dates Completed: 1998 – 2005

Civic Project:

1. SOMA Square – California Academy of Sciences 2. Location: San Francisco, California 3. Total Cost: $78MM 4. 175,000 sq.ft. 5. Date Completed: 2003

Major Hotel Projects:

1. Beisheim Center – mixed use: Ritz Carlton and Marriott (key total 682), condominiums, office and retail

2. Location: Beisheim, Germany 3. Total Cost (in Euros): 495MM 4. 1,368,000 sq.ft. 5. Date Completed: 2006

1. Hotel Dorint Schweizerhof – 383 Keys 2. Location: Berlin, Germany 3. Total Cost (in Euros): 56MM

four seasons downtown la

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