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Bulk Sale | 36 Blue Top Lots | La Mesa, CA Fully Entitled Ready to Build All Impact Fees Paid Infill Location Ocean & Mountain Views No Mello-Roos FOR SALE La Mesa Hilltop Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.com No warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice. MATT WEAVER 760.448.2458 [email protected] PATRICK MILLER, CCIM 760.929.9700 [email protected] STEVE BRUCE 760.929.7861 [email protected] TREVOR JENSEN 760.929.8134 [email protected]

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Bulk Sale | 36 Blue Top Lots | La Mesa, CA Fully Entitled

Ready to Build

All Impact Fees Paid

Infi ll Location

Ocean & Mountain Views

No Mello-Roos

FOR SALELa Mesa Hilltop

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

2

TABLE OF CONTENTS PAGE

I. AERIALS 3

II. SITE PLAN 6

III. LOCATION MAP 7

IV. NARRATIVE & PROPERTY HIGHLIGHTS 9

V. BULK SALE/PROJECT SUMMARY | OFFERING PROCESS 10

VI. DEFINITION OF A FINISHED LOT 13

VII. PHOTOS 14

VIII. PLAT MAP 17

IX. LOT & HOUSE BREAKDOWN 18

X. COST ESTIMATES (All impact fees already paid) 19

XI LOTS 36 & 37 | ALTERNATIVE GRADING DESIGN 22

XII. COMPARABLE HOME SALES 23

XIII. AVAILABLE PLANS, STUDIES & REPORTS 24

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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Yale Avenue

Yale AvenueOrien AvenueOrien Avenue

Ocean View Way

Ocean View Way

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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SITESITE

SerramarSerramar

University Avenue

University Avenue

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La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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El Cajon BlvdEl Cajon Blvd

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LA MESA

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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DowntownSan Diego

La Mesa

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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DESCRIPTION

La Mesa Hilltop is a 36 lot subdivision for detached single family homes. The property is a prime infi ll site with ocean and mountain views, and fully entitled. Priced well below replacement cost, the project will allow a Builder to sell homes in 2010 and 2011 at a size and price point appealing to middle-income buyers.

LOCATION

Located in the incorporated City of La Mesa in East San Diego County, less than 10 miles east of downtown San Diego. The project is situated between the 94 and 8 freeways and between Massachusetts Ave. and Yale Ave. at the terminus of Orien Ave.

VIEW ORIENTATION

Situated 500-600 feet above sea level, the lots are terraced and off er sweeping views of the surrounding area, expanding all the way to the Pacifi c Ocean.

HISTORY

The property was originally developed by Keystone Communities and is presently owned by a private company.

STATUS

Final Map (FM 14916) was recorded November 30, 2004. The property is presently in blue top condition with graded pads, decorative retaining walls that create the terraces, hillside erosion control measures and roads cut. Utilities are located at the entrance to the project. All fees except building permits are paid. Cost estimates to fi nish the project are enclosed. The hydrology report was recently approved. The revised grading plan for the sewer and storm water is being submitted. Landscape revisions are proposed to save additional costs. An alternative grading design has been prepared by REC Consultants Inc. for Lots 36 and 37 which minimizes the costs to fi nish these pads. This alternative combines the two lots into one pad and a conceptual house plot is enclosed. (see Page 21)

ARCHITECTURAL PRODUCT

Building plans are approved for homes with a weighted average of approximately 2,200 SF each. Revised plans have been discussed conceptually with the City to refl ect homes with a weighted average of 2,520 SF each. Note: Despite the increase in square footage, the revised homes will cost less per square foot to build due to value engineered design changes. The City has been open to these revisions if a Buyer chooses to pursue; however, nothing has been submitted. Buyer to verify all information with the City of La Mesa.

ADJACENT RESIDENTIAL

On an adjacent hilltop with similar views a new development called Serramar has sold all 228 homes. A majority of the homes sold in 2005-2007 for $700,000 - $1,100,000. In 2009 there were 12 total sales in Serramar. The 4 Serramar sales comparable to the La Mesa Hilltop product average 2,240 SF and sold for an average price of $539,125 or $240 per SF (see Comparable Home Sales).

ADJACENT USES

The property is surrounded by local shopping centers, retail amenities, employment centers and major transportation corridors.

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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SS Project: 36 total buildable lots

Lot Sizes: 34 blue top lots (PUD) - 3,400 – 4,767 SF averaging approximately 3,910 SF 2 additional lots partially graded (not in PUD) - Lot 36, approximately 12,145 SF - Lot 37, approximately 10,342 SF

Map #: Final Map 03-01, FM 14916 recorded November 30, 2004

Location: Thomas Bros. 1270F5; Between Massachusetts Avenue and Yale Avenue at the terminus of Orien Avenue in the city of La Mesa.

Existing

Architecture:

Unit Sizes exclude garages and decks.Revised

Architecture: Conceptual architectural revisions possible for homes with a weighted average of approximately 2,520 SF. See Broker for details.

HOA: Estimated to be $180 per month for the 34 lots in the PUD. The HOA is set up and all documentation completed and registered with the State of California. The DRE fi le can be transferred to the Buyer.

The 2 additional lots are not in the association and can be processed with any architectural plans.

Public Assessments: There are no Mello Roos or Assessment Districts

Plan ## of

Units Size# of

Stories Beds/Baths

34-U

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PUD

1 13 2,007 SF 2 4 BR / 3 BA + Optional loft

2 12 2,225 SF 2 3 BR / 3.5 BA + Bonus or Optional 4th BR

3 9 2,421 SF 2 3 BR / 2.5 BA + Loft or 4th BR, Den or Retreat

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Lots 4 2 2,041 SF 2 4 BR / 2 BA

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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SS Aff ordable: There is no aff ordable housing requirement.

Environmental: Approved negative declaration. All mitigation conditions satisfi ed.

School District: Lots 1-34: La Mesa-Spring Valley School District & Grossmont Union High School District Lots 36-37: Lemon Grove School District & Grossmont Union High School District

Tax Rate: 1.15076% for the 34 lots and 1.18101% for the 2 lots.

Existing Grading: Per the Geosoils As-Graded Compaction Report dated November 30, 2007, cut portions of cut/fi ll transition lots or building pad areas that required less than 3 feet of fi ll to achieve their design grades, once remedial removals were complete, were overexcavated to at least 3 feet below fi nish grade. Street areas were overexcavated to at least 1 foot below the lowest utility invert to facilitate utility construction. The exposed subsoils were then scarifi ed, recompacted, and brought to the proposed grade with compacted fi ll. Within building pad areas, the subgrade was constructed at gradients no steeper than 3:1.Estimated

Remaining

Improvements: Approximately $37,986 per lot (based on the 34 lots in the PUD). The enclosed cost estimates are approximately two years old. Seller cannot attest as to their accuracy, however, they are being provided as a courtesy.

Estimated Fees: All city, school, park, transportation and water fees have been paid. See the enclosed letter from the City of La Mesa and a list of all impact fees paid. Building permits were pulled that have subsequently expired. In reviewing the current status with the City, as part of obtaining new building permits, which is mearly an administrative matter, there will be other minor fees associated with obtaining permits for the remaining retaining walls and site grading. They are estimated to be as follows:

Retaining Wall Permit Renewals Approximately $375 Encroachment Permit Renewal Approximately $1,900 Grading Plan Review & Permit Renewal Approximately $28,745

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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Off ers: All off ers to be submitted on a fi nished lot basis. The defi nition of a fi nished lot for the purposes of this sale is on the following page, and will not be negotiated by Seller. Upon the opening of escrow with a prospective Buyer, Seller will obtain hard bids for remaining improvement costs. Buyer is free to independently complete their own analysis. Once the bids have been obtained, Buyer and Seller to mutually agree as to the construction cost amount to be utilized as a credit to the purchase price.

Buyer to disclose before going under contract what contingency factor they would apply to the cost estimates once completed. Buyer to replace or assume all bonds. OFFER DUE DATE JANUARY 12, 2010.

Call Broker with any questions.

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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OT The term “Finished Lot” shall mean, for each Lot comprising the Property, that all applicable fees required from the development of the Lots with residences

have been paid, and all improvements and other obligations, whether on the site of the Property, or outside the boundaries of the Property, have been constructed, installed or completed in order to obtain building permits for the construction of single family residence on the Lots upon the payment of the ordinary building permit fee therefore, so that Buyer will be able to commence construction of its contemplated single family residences on all of the Lots within the Property upon the payment of such fee, and to obtain certifi cates of occupancy upon completion of such residences.

Without limiting the foregoing, the defi nition of “Finished Lot” shall refer to a Lot:

(i) which is graded in accordance with all rough grading plans (but excluding precise grading) approved by all applicable Governmental Agencies, with a pad certifi ed by the civil engineer of record with respect to line and grade and the soils engineer of record with respect to compaction, each licensed and in good standing in California

(ii) with all water, gas, sewer, electricity, telephone, and cable television conduit installed and stubbed into the Lot lines

(iii) with all storm drain, and curb, gutter and paving improvements (including driveway approaches and aprons to the back of sidewalks) to the streets constructed and installed

(iv) with all property corners monumentation, and retaining walls and perimeter walls installed as required by all applicable Governmental Agencies and the plans and specifi cations therefore, (excluding walls to be built as a requirement of house construction)

(v) with all sidewalks, street lights, street signs, street striping and water meters and boxes installed

(vi) with all fees and exactions paid (excluding the typical fee for building permits, architectural and plan check fees), and

(vii) with the completion of any perimeter landscaping, open space, and other improvements as required by the improvement plans as conditions of approval to the Tentative Map or the Final Maps or by any applicable Governmental Agencies, specifi cally excluding, however, (a) front yard landscaping and side and rear yard fencing, (b) pocket park, (c) fi re department plan check and any fi re department inspection, (d) meter deposits, and (e) soils testing other than with respect to rough grade pad certifi cation of lots, at service lateral locations, and at utilities and streets within streets and rights of ways.

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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View from La Mesa Hilltop of Pacifi c Ocean, Downtown San Diego and Point Loma

View of the La Mesa Community to the East

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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View looking Southeast at Serramar

View of property from Serramar View of Serramar

View of Downtown San Diego and Point Loma

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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La Mesa Hilltop Lots

View looking North

La Mesa Hilltop Lots

View of the Pacifi c Ocean View of La Mesa looking North

Entrance Road to La Mesa Hilltop

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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Number Gross Net 1A 1B 2A 2B 3A 3B Sq. Ft.1 4,048 4,017 X 2,007 2 3,663 3,637 X 2,007 3 3,663 3,639 X 2,007 4 3,663 3,663 X 2,007 5 3,663 3,338 X 2,425 6 3,790 3,581 X 2,425 7 3,864 3,660 X 2,425 8 3,905 3,691 X 2,425 9 3,905 3,730 X 2,425 10 3,801 3,801 X 2,425 11 4,027 3,961 X 2,007 12 3,764 3,646 X 2,007 13 3,400 3,400 X 2,425 14 3,400 3,334 X 2,425 15 3,400 3,212 X 2,425 16 3,400 3,278 X 2,425 17 3,400 3,280 X 2,425 18 3,362 3,276 X 2,425 19 4,516 4,001 X 2,007 20 4,569 3,683 X 2,007 21 3,776 3,497 X 2,007 22 3,942 3,866 X 2,425 23 4,079 4,016 X 2,425 24 4,101 4,002 X 2,425 25 4,112 4,112 X 2,425 26 4,007 3,899 X 2,425 27 4,288 4,220 X 2,425 28 3,577 3,475 X 2,425 29 3,644 3,519 X 2,425 30 4,087 4,087 X 2,425 31 4,470 4,440 X 2,007 32 4,440 4,142 X 2,007 33 4,440 4,163 X 2,007 34 4,767 4,616 X 2,007

Total 132,933 127,882 6 7 5 7 4 5 77,016Average 3,910 3,761 2,265

Lot Area House Plan Type

Net lot area excludes sideyard slopes

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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) From: “Jessie Y. Wu” <[email protected]> Date: Mon, 16 Nov 2009 11:36:00 -0800To: <[email protected]>Cc: David E. Witt<[email protected]>; Gregory P. Humora<[email protected]>; Dann Marquardt<[email protected]>

Subject: Permit Status for La Mesa Hilltop Project

Dan:

I am again writing to you to address the status of the building and grading permits for the Hilltop Development in La Mesa. As you know, the permits for the 36 units were initially issued on June 21, 2005, and later extended to January 21, 2007. Due to lack of construction progress, these permits expired as of January 21, 2007. In accordance with Section 14.11.050 of the La Mesa Municipal Code (LMMC), the building permits may be renewed provided that, among other conditions, the expiration has not exceeded three years from the original issuance date. Therefore, the option of permit renewal was no longer available as of June 2008 and that, in order to resume the con-struction, new permits must be obtained. However, as you are aware, based on City Attorney’s advice, City will NOT reassess the sewer connections, Parks (Parkland Dedica-tion In-Lieu & Park Improvement Impact) Fees, nor the Traffi c Impact Fees. In addition, the School Fee Compliance Certifi cates submitted previously continue to be valid and maybe transferred to the new permits when they are re-issued. The applicable fees for the new permits will consist of the plan review and building permit fees only. As to the expired retaining wall and the grading permits (expired September 2007 and May 2009 respectively), they may be renewed at any time. The fees for the renewal retaining wall and grading permits will be based on the remaining work to be permitted.

Please reference the LMMC for further information at the following link http://www.cityofl amesa.com/index.aspx?NID=279. Also, you may visit http://www.cityofl amesa.com/index.aspx?NID=88 to obtain the current plan review and permit fees.

I will be sending you copies of the school compliance certifi cates and original permits separately. I hope this information clarifi ers all permit related issues for the project. Please let me know if you have other questions.

Jessie Y. Wu, PE, CBO Building Offi cial City of La Mesa Voice: 619-667-1159 Fax: 619-667-1380 E-Mail: [email protected]

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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Fee Type Amount Paid

Building Fee $41,941Dwelling Unit Fee $21,960Electrical Fee $4,313Engineering Fee $3,600Fire PC Fee $10,381Helix Water District Meter Fee $470Mechanical Fee $2,435Micro Film Fee $1,737Plan Check Fee $27,262Planning Fee $10,381Plumbing Fee $3,714San Diego County Water Authority $7,383School - Grossmont Union High School District Fee $79,616School - La Mesa-Spring Valley School District Fee $101,234School - Lemon Grove School District Fee $5,691Sewer Lateral $86,400SMIP-Res $659State Energy $6,920Transportation Fee** $72,900Water Meter Fee for 36 Meters $94,176Total $583,173

All fees shown above are pre-paid and locked per the City Letter on the previous page. Fees that would be owed today if not previously “grandfathered” would be substantially higher.

**No cash payment was made for the Transportation Fee, but such imposition on the project was waived per the City Letter on the previous page.

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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* All costs are estimates only. Seller does not warrant as to their accuracy.

La Mesa Hilltop Site DevelopmentCost to Complete - 2007 (with partial 2009 updates)

(Does not include Lots 36 & 37)

Cost to Complete Source of Estimate

Staking $40,000 Contract with Keith Brewer

Encroachment Permit Renewal $1,900 Estimate from the City of La Mesa

Grading $25,000 Keystone Estimate

Grading Plan Review & Permit Renewal $28,745 Estimate from the City of La Mesa

Brow Ditches $23,711 Keystone Estimate

Erosion Control $40,000 Keystone Estimate

Retaining Walls $36,989 UT Construction Estimate (November 20, 2009)

Retaining Wall Permit Renewals $375 Estimate from the City of La Mesa

Retaining Wall Repair $26,118 UT Construction Estimate (November 20, 2009)

Sewer $174,793 Bid from Western Pacifi c (March 22, 2007)

Sewer - Backfl ow Device $9,100 N/A

Storm Drain $59,848 Bid from Western Pacifi c (March 22, 2007)

Water $138,376 Bid from Western Pacifi c (March 22, 2007)

Rock Breaking (for Sewer, Water and Storm Drain) $45,000 Bid from Western Pacifi c (March 22, 2007)

Dry Utility Joint Trench $116,875 Bid from TC construction (April 13, 2007)

Street Paving $175,387 Bid from MGI (April 10, 2007)

Curb & Gutter $123,394 Bid from American Concrete (March 29, 2007)

Landscaping $215,880 Bid from Valley Crest (October 26, 2006) & Howard & Associates Analysis

Bond Premiums $10,055 Current Actual Annual Cost

TOTAL COST TO COMPLETE $1,291,546

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La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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Detached Status: Sold LP: $494,900MLS #: 080054601 Sales Price: $440,000 Orig. Price: $539,900

MT: 192APN: 475-641-15-00 List Date: 08/04/2008 AMT: 187Address: 3815 Milwaukee Ct Court/Lndr Apprvl Needed: NCity: La Mesa, CA PossessionBedrooms: 3 Full Baths: Unit#/Space#:2Optional BR: Half Baths: 1 Zip: 91941 Map Code: 1270G5Total BR: 3 Total Baths: 3 Community: LA MESAEst.SqFt: 2,077 EO: N Neighborhood: SERRAMARYear Built: 2006 LS: N Complex/Park: SERRAMARCBB$: CBB%: 2.00% CVR: N Sign on Property: LO: Discovery Property Group, Inc. (67191) LOP: (858) 922-7725LA: Mark S. Powell (631274) LAP: (858) 922-7725

Media: 10Show: Contact Listing AgeOccupant: Occ.Phone:

Detached Status: Sold LP: $549,000 - $568,000MLS #: 090039467 Sales Price: $538,500 Orig. Price: $585,000

MT: 47APN: 475-631-18-00 List Date: 07/10/2009 AMT: 46Address: 7780 Eastridge Dr Court/Lndr Apprvl Needed: NCity: La Mesa, CA Possession Close of EscrowBedrooms: 3 Full Baths: Unit#/Space#:2Optional BR: Half Baths: 1 Zip: 91941 Map Code: 1270G5Total BR: 3 Total Baths: 3 Community: LA MESAEst.SqFt: 2,077 EO: N Neighborhood: SerramarYear Built: 2006 LS: N Complex/Park:CBB$: CBB%: 2.50% CVR: Y Sign on Property: YLO: Coldwell Banker (25165) LOP: (619) 296-9055LA: George I. Bandak (241183) LAP: (619) 277-2122

Media: 9 - VT: http://www.previewfiShow: Call First. Easy to sOccupant: Mr/Mrs. MoyersOcc.Phone: 619-302-7705

Detached Status: Sold LP: $640,000MLS #: 090001688 Sales Price: $540,000 Orig. Price: $640,000

MT: 116APN: 475-620-04-00 List Date: 01/09/2009 AMT: 115Address: 3985 Sacramento Drive Court/Lndr Apprvl Needed: NCity: La Mesa, CA Possession Close of EscrowBedrooms: 3 Full Baths: Unit#/Space#:2Optional BR: Half Baths: 1 Zip: 91941 Map Code: 1270G5Total BR: 3 Total Baths: 3 Community: LA MESAEst.SqFt: 2,077 EO: N Neighborhood: SerramarYear Built: 2005 LS: N Complex/Park:CBB$: CBB%: 3.00% CVR: N Sign on Property: NLO: LMD Realty Company (14026) LOP: (760) 918-6768LA: Donald W. Fontana (112258) LAP: (760) 918-2825

Media: 7Show: Office at 3995 SacraOccupant: Vacant Occ.Phone: 619-465-1225

Detached Status: Sold LP: $699,000MLS #: 090000852 Sales Price: $638,000 Orig. Price: $699,000

MT: 6APN: 475-640-02-00 List Date: 01/06/2009 AMT: 3Address: 3965 Sacramento Drive Court/Lndr Apprvl Needed: NCity: La Mesa, CA Possession Close of EscrowBedrooms: 3 Full Baths: Unit#/Space#:3Optional BR: Half Baths: 0 Zip: 91941 Map Code: 1270G5Total BR: 3 Total Baths: 3 Community: LA MESAEst.SqFt: 2,728 EO: N Neighborhood: SerramarYear Built: 2005 LS: N Complex/Park:CBB$: CBB%: 3.00% CVR: N Sign on Property: NLO: LMD Realty Company (14026) LOP: (760) 918-6768LA: Donald W. Fontana (112258) LAP: (760) 918-2825

Media: 5Show: Office - 3995 SacramOccupant: Vacant Occ.Phone: 619-465-1225

OMD Status

080054601 3815 Milwaukee Ct 91941 1270G5 3 3 2077 ER 187$494,900 $440,000 $211.84 03/06/09 02/12/09 SOLD

090039467 7780 Eastridge Dr 91941 1270G5 3 3 2077 ER 46$549,000 - $568,000 $538,500 $259.27 09/25/09 08/25/09 SOLD

090001688 3985 Sacramento Drive 91941 1270G5 3 3 2077 ER 115$640,000 $540,000 $259.99 06/30/09 05/04/09 SOLD

090000852 3965 Sacramento Drive 91941 1270G5 3 3 2728 ER 3$699,000 $638,000 $233.87 02/03/09 01/09/09 SOLD

RES

MLS# Address ZIP MAPCD BR Baths ESF LTP AMTLP LP/SF SP SP/SF COE

Note: Weighted Avg. Price of $240.71 PSF

La Mesa Hilltop

Bulk Sale | 36 Blue Top Lots | La Mesa, CA

Lee & Associates-North San Diego County | 5872 Owens Avenue, Suite 200, Carlsbad, CA 92008 | T: 760.929.9700 F: 760.929.9977 | www.lee-associates.comNo warranty or representation is made to the accuracy of the foregoing information. Terms of sale, lease and availability are subject to change or withdrawal without notice.

MATT [email protected]

PATRICK MILLER, [email protected]

STEVE [email protected]

TREVOR [email protected]

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S Alternative Design Study for Lots 36-37 by REC1. Architectural Plans (approved)2. Architectural Revision Plans (conceptual) 3. As-Graded Compaction Report dated 10/30/20094. As-Graded Geotechnical Report dated 11/20/20075. Bids for Cost to Finish Lots6. Biological Resources Report 7. Bond - Helix Water District8. Bond - Monumentation9. Bond - Payment10. Bond - Performance11. Bond List and Agreements12. Bond Amounts and Premiums13. Bond Authorization Transfer Letter from La Mesa 14. Building Permit Extension Letter15. Building Permits16. CAD Files from Morrison Engineering (*Available for review w/ REC)17. CCRs Recorded for La Mesa Hilltop18. City of La Mesa Lien Documents19. Common Maintenance Area Easement Agreement 20. Conditions of Approval 21. Contact List for Project22. DRE White Report 23. Encroachment Permit 24. Erosion Control Plans 25. Evidence of all Paid Building Fees 26. Final Map 27. Geosoils Geotechnical Evaluation dated 7/21/200428.

Grading Permit 29. Grading Plan Fee Calculation30. Grading & Improvement Plans 31. Hilltop Common Area Grant Deed32. HOA Additional Information 33. HOA Articles of Incorporation 34. HOA Budget35. HOA Bylaws36. Hydrology Study / Standard Urban Stormwater Mitigation Plan 37. dated 11/26/2008, revised 10/7/2009Landscape Architecture38. Landscape Plans and Revisions39. Landscape Plans Study (For Cost Reductions) 40. Methane Monitoring Results41. Model Complex Permit Letter 42. Negative Declaration 43. Pad Grading Certifi cation (Lots 3-34)44. Parcel Map 45. Phase 1 Report 46. Post Blast Surveys47. Preliminary Title Report dated 11/12/200948. Property Tax Statements49. Retaining Wall Certifi cation50. Retaining Wall Permit51. School Compliance Fees 52. Subdivision Extension Letter from City Manager53. Subdivision Improvement Agreement54. Subdivision Improvement Agreement Letter55.