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HAI AdvisorsA nationally known and respected real estate services firm with an open-minded entrepreneurial spirit

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Mission Statement

Our goal is to serve a limited number of clients, placing their interests above all else, and to provide them with a proven quality flow of creative ideas and objective advisory services. We act with discretion, integrity, and an uncompromising sense of responsibility to our clients and their real estate assets.

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Firm Overview

HAI Advisors LLC (“HAI”) provides real estate services in commercial, retail, multi-family, industrial, hospitality, and golf related properties in the field of asset management, investment advisory, project and development management services to principals and institutions on a national and international basis.

The firm was formed in 1993, with the intent of assembling a complementary group of senior real estate executives in order toutilize their collective judgment and skills to create and maximize value through quality property acquisitions, dispositions, receiverships, workouts, asset management, finance, legal and development in all types of real estate.

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Firm Overview…continued

In an industry where skills are typically required in multiple disciplines to engineer the best solution, we understand our strengths and limitations.

We maintain excellent relations and alliances with firms whose services often complement our own including property managers, marketing specialists, contractors, environmental, title services, physical and civil engineers, legal, tax and accounting specialists.

In special situations, only when necessary, we may strategically align ourselves with one or more firms to effectively complete an assignment.

Many of the firm’s Principals are licensed brokers in several states, as well as having strategic relationships at other complementary companies such as Investment Banking Groups, Internationally known Hospitality Management Companies, Registered broker dealers, and International known Commercial real estate firms, all of which provides a range of services used to compliment our own expertise.

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Experience and Value-AddWE HAVE THE:

Ability to operate throughout the U.S. giving clients rapid and responsive action when and where required.

Deep and detailed collective experience in all aspects of real estate properties spanning more than 30 markets in the U.S. and abroad.

Principals who have extensive experience and have been involved in excess of $5 billion in real estate developments, $15 billion in asset management and property management assignments, $4 billion (asset value) in consulting, receiverships, and workout assignments, and $5 billion in acquisitions and dispositions.

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Experience and Value-Add…continued

Principals who are both generalists and specialists and have backgrounds across all real estate product types and service capabilities such as:

Acquisitions and dispositions

Asset management, property management and real estate leasing

Loan restructuring and borrower representation

Joint ventures, financing, private equity, fund management

Valuation

Development, planning, zoning and land use issues, and

Real estate consulting

Receiverships

Licensed NASD – FINRA Professionals

Licensed LEED-AP Professionals

Licensed Real Estate Professionals

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Sample of Contract Assignments

Asset Manager for a New York-based client for a 2,000-room portfolio of chain-affiliated hotels.

Development, pre-opening, and management services for two 5-star resorts in the British West Indies -Cuisinart Resort, Temenos Villas.

Asset Manager for AT&T Corporation on their Hickory Ridge 376-room hotel and conference center in Chicago.

Cuisinart Resort

Temenos Villas

Hickory Ridge

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Asset Manager for a 1.6 million square foot portfolio of Class B office buildings in New York for ING Realty Group.

Sample of Contract Assignments…continued

370 Lexington 485 7th Ave

1450 Broadway

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Asset Manager for a 10 million square foot portfolio of industrial and commercial office properties on a national basis for an international realty fund.

Asset and Development Manager for golf course developed for Lucent Technologies/ATT - Hamilton Farm Golf Club.


Hamilton Farm Golf Club

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Rosewood Hotels and Resorts - Rehab of the Mansion on Turtle Creek, Dallas, Texas; Caneel Bay, U.S. Virgin Islands.


Caneel Bay

Mansion on Turtle Creek

Caneel Bay

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Acquisition, Due Diligence, Management, Asset and Development Manager for a group of Boutique Hotels for CSFB - Roger Williams Hotel, Shoreham Hotel, Wales Hotel, Mansfield Hotel, Franklin Hotel, Beverly Crescent Hotel, Grand Wailea Hawaii.


Beverly Crescent Wales

Roger Williams

Shoreham

Mansfield

Grand Wailea

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Receiverships: Fremont Investment - Peery Hotel, Salt Lake City; Orix Capital -Seaport Suites Hotel, New York City.

Asset Manager for development and operations of The AT&T Learning Center, Basking Ridge, N.J.


Peery Hotel

ATT Learning Center

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Asset Manager/Receiver for development of East Hampton Golf Club and Ocean Trails Golf Club - client CSFB.

Asset Manager for CSFB and their investment in Crenshaw Golf.


Past golf-related asset management/receivership assignments for institutional clients:

Ocean Trails

East Hampton Golf Club

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Team - BiosSTEPHEN M. ABELMANStephen has served in a variety of capacities as a real estate expert and executive with expertise in solving complex issues in asset management, special servicing, debt structuring and restructuring, and mezzanine and preferred equity investments for all real estate product types. Stephen has completed distressed debt assignments in Germany and the UK for clients Crown Northcorp, Credit Suisse and Deutsche Bank. Stephen served as Executive Vice President of Asset management for Criimi Mae, Inc. (“Criimi”, NYSE:CMM). During his tenure at Criimi, Stephen restructured the special servicing and surveillance teams, led the development of new technology programs and platforms, developed and instituted new policies and procedures, led the reduction of $1 billion in Criimi’s balance of specially serviced assets and played a key role in the marketing and disposition of Criimi to CW Capital in 2006. Prior to joining Criimi Stephen was Vice-President of Archon Group (formerly J.E. Robert Companies), a wholly owned subsidiary of Goldman Sachs. During his ten year tenure at Archon he held several positions, all involving the asset management of real estate, debt, mezzanine, and preferred equity investments owned by Goldman and its Whitehall Funds with assets stretching throughout the United States. Stephen held positions for Archon in Washington D.C, New York City, Ft. Lauderdale, Florida, and Dallas, Texas. Stephen also held positions with Ernst and Young and two commercial banks in South Florida. Stephen received a BS in Business Administration, cum laude, from Boston University (1983) and an MBA from Rice University (1989) and holds a real estate salespersons license (Florida).

Westport Plaza St. Louis

1185 6th Ave. NY

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Team - BiosWILLIAM HOWELLBill brings over 30 years experience in real estate development, acquisitions/dispositions, fund management, asset management, receiverships, and management of institutional grade investment property. In addition, he recently served as a fund manager for a nationally recognized registered investment advisor with a variety of real estate in its portfolio. From 1986 through 1992, Bill served as Director of Acquisitions for Mitsui Fudosan in New York. Responsible for property acquisitions, development, and dispositions totaling over $2 billion in value, he also directed all asset management of a diverse multi-billion dollar global real estate portfolio. Prior to joining Mitsui, Bill was a Director of the Saudi Arabian Investment Corporation, where he was involved in the underwriting of investment grade U.S. properties. He has also been involved in real estate investment and development of commercial, hospitality, and multi-family residential properties and land on his own behalf. Bill has a B.S. in Environmental Engineering from Southwestern University (1975) and a Masters in Environmental Engineering from the University of Oklahoma (1976) cum laude.

Exxon Tower NY 601 Figueroa CA

505 Montgomery CA Demonet Bldg DC

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Team - BiosADNAN TAPIAMr. Tapia has worked in the U.S. and India on over 16.0 million square feet or $2.5 billion worth of real estate transactions across all product types and life cycles in areas ranging from private equity, financial consulting and business development to real estate development, project and client relationship management and strategic planning. Until recently, Mr. Tapia, as Vice President, co-managed the west coast office for UrbanAmerica, a real estate private equity firm with over $400 million in committed institutional capital. Mr. Tapia was actively involved in the firm’s investment efforts which included structuring joint-ventures, fund level monitoring and planning, exploring potential strategic investment opportunities, capital raising, underwriting potential acquisition and development opportunities as well as negotiating, managing and coordinating with potential partners, consultants and other stakeholders. Mr. Tapia worked on several key projects, one such being the $485 million acquisition of a 3.1 million square foot office portfolio. Prior to UrbanAmerica, Mr. Tapia was with the Financial Consulting Group at Cushman & Wakefield where he advised clients such as Washington Mutual, O’Melveny Myers, Alaska Airlines, Sempra Energy, Warner Bros., City National Bank and several others on transactions and projects in excess of 11 million square feet or $1 billion. Mr. Tapia holds a MBA in Finance (Beta Gamma Sigma) from Case Western Reserve University, Ohio, Master in Engineering from Cornell University, New York and Bachelor in Civil Engineering from University of Pune, India.

GSA Portfolio

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Team - BiosTOM POITEVENTMr. Poitevent has over 25 years of experience in the construction industry. Prior to joining HAI, he completed the multi-million dollar renovation of the prestigious Mansion on Turtle Creek in Dallas and the construction of The Forrestal Hotel and Conference Center, a $10 million project in Princeton, New Jersey. As the Director of Construction, he has led a project management team during the expansion of The Shoreham Hotel in New York from 84 to 176 guest rooms and the complete renovation of the Hotel Wales (also in Manhattan). The renovation of Five Hotels for the Elegant Hotel Group on the Island of Barbados including The Colony Club, Tamarind Cove, The House, Crystal Cove, and Turtle Beach Hotel. He served as Director of Technical Services and Project Management for Starwood Hotels & Resorts representing the St. Regis & The Luxury Brand Collections in Europe and also on the Island of Bora Bora, and represented UrbanAmerica, LP as Vice President of Project Management to direct the repositioning and renovation of a 1,100 Key, 30 Acre Resort Hotel in Orlando FL, USA. Tom has a B.S. in Business from North State University.

The Forrestal Hotel

Crystal Cove

The Colony Club

International Plaza Resort & Spa

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Team - BiosMASOUD MAHMOUD, PE, MS, MBA, LEED APMasoud brings over 20 years experience in capital deign, construction and facilities renovations with extensive and varied experience in higher education and government organizations. Masoud served as the Associate Vice President for Construction and Campus Planning at Pepperdine University for the past six years and where he was responsible for over $200 million of design and construction work. He oversaw Pepperdine’s magnificent 830-acre Malibu campus of which 290-acres are developed with over 1.3 million square feet of academic, athletic, residential, and support facilities. He was responsible for the management of capital design, master planning, and construction and renovation projects. He successfully completed a $140 million Graduate Campus Development consisting of: Infrastructure and Grading; Academic Buildings; Parking Structure; Student Apartments; and Residential Housing for Faculty and Staff. He also led the university’s 10-year capital master plan for 2008-2018 which included about $350 million of capital improvements encompassing 9 projects adding 1.2 million square feet of new facilities. In 1991, Masoud began his career as a Civil engineer with the Los Angeles County Department of Public Works. During his twelve years of progressive experience at Public Works, Masoud held positions in five different divisions where he took full advantage of the Department’s rotation program for engineers, and thereby gaining highly valuable experience as well as an excellent understanding of the complex responsibilities for horizontal and vertical infrastructure design, construction, operations and maintenance. He also learned contracting rules; building, zoning and fire regulations and codes; and achieved a broad technical understanding of architecture, engineering, and construction for both the public and private sector. Masoud understands the inner workings of different agencies and regulatory bodies and has successfully managed a wide variety of public-works projects, as well as developed successful relationships with different agencies and administrative authorities of the County, City and State.Masoud has successfully guided multiple projects from design through construction and occupancy – developing successful relationships with clients, consultants, construction partners and governmental review and permitting agencies. He understands the challenges of construction and focuses on bringing clarity and vision to projects, solving problems with an optimized project recommendation, enabling owners to make informed choices and realize their project vision. Masoud is a registered Civil Engineer, Certified Plan Examiner and LEED Accredited Professional. He is a graduate of University of Southern California, holds a MS from California State University of Northridge and an MBA from Pepperdine University.


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Team - BiosNICHOLAS T. DOBRONMr. Dobron specializes in the valuation and disposition of distressed retail, residential, mixed use, and senior living opportunities. Formerly as Vice President of Acquisition and Disposition at Innovative Communities, he was directly responsible for over $185 million of land acquisitions and dispositions and managed all physical and analytical due diligence critical for the securitization of over $450 million in debt and equity. Additionally, Mr. Dobron spearheaded Innovative Living, a senior housing division, through an acquisition of a California based portfolio. Mr. Dobron also possesses a sound understanding of land use and entitlements through his prior experience as forward planner at KB Home Coastal, where he managed the entitlement and permitting of multiple tracts in Riverside County. Mr. Dobron graduated from the Marshall School of Business at the University of Southern California with an emphasis in Real Estate Finance and currently holds a Real Estate Broker’s License in the State of California.


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Team - BiosEDWARD A. PROSSERMr. Prosser specializes in the valuation and disposition of distressed retail, residential, mixed use, and multifamily opportunities. Formerly as a Finance & Budget Manager at Innovative Communities, he was responsible for the analysis, investment performance, and budgets for 25 residential communities and was integral in procurement of over $350 million in debt and equity. Additionally, he participated in the creation of work-out, re-entitlement, and repositioning strategies to remedy debt default on numerous projects. Prior, Mr. Prosser was a commercial real estate advisor at Sperry Van Ness Commercial Real Estate with a nationally ranked team where he facilitated the acquisition and disposition of over $240 million of multifamily and infill development opportunities. Mr. Prosser graduated from the Marshall School of Business at the University of Southern California with an emphasis in Real Estate Finance. Furthermore, he holds a Real Estate Broker’s License in California and is an active participant with the Urban Land Institute.

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Team - BiosK.C. PATELMr. Patel is a hospitality expert with more than two decades of experience ranging from property management, asset management, investment sales, acquisitions and development. Having roots in the hospitality business through his family’s company, Mr. Patel experienced all aspects of property management at a young age. Subsequent from graduating from Cornell’s School of Hospitality Management, Mr. Patel endeavored into financial services consulting working with major banking corporations on consumer debt products, including home mortgages and credit cards. After two years of non-hospitality experience, Mr. Patel joined Boutique Hotel Group, in New York, where his responsibilities ranged from asset management, underwriting, to sourcing opportunities. Upon his two years of experience at Boutique Hotel Group, Mr. Patel joined Jones Lang LaSalle Hotels’ investment sales team in New York. At Jones Lang LaSalle Hotels he led a team to oversee all aspects of the investment sales process, including: BOV assessment, due diligence review, property inspections, P&S negotiation, offering memorandum production and debt placement. Following his two and half years at Jones Lang LaSalle, Mr. Patel was asked to join JP Morgan’s newly launched Alternative Property Fund where he served as lead for all hospitality-related acquisitions. At JP Morgan Mr. Patel oversaw a team of analyst and associatesand managed all aspects of the acquisition process, including: underwriting, due diligence, property inspection, third-party reviews, lender negotiations, purchase contract negotiation, JV partnership contract, brand management selection, legal approval, investment committee approval, financial oversight, transition integration, and asset management. Mr. Patel graduated from Cornell University in 1999 and lives with his wife in New York City.

Team - Bios

• GERARD K. CAPPELLO• Gerard K. Cappello is the HAI Advisors, LLC (NASD series 7, 65, and 24 licensed member) and the founder of

Greenside, LLC. He is a LEED - AP (Accredited Professional) and a member of the USGBC (United States Green Building Council) and a Certified Sustainable Building Advisor (NaSBAP - National Sustainable Building Advisor Program). He has been active in real estate development and corporate finance since 1982. He began his career in real estate development and brokerage with McCarter-Burke & Partners, Inc. and Tenneco Realty Development Corp. In 1985 he started a second career in investment banking, specializing in merchant banking, project finance and venture capital. He is currently the President/CEO of Rancho Trio Holdings, Inc. in California and Rancho Trio Holdings, LLC in Colorado. He was formerly President and CEO of Cappello Capital Corp. (member NASD) and President of Euro American Capital Corp. (member NASD). Other financial experience includes Swiss American Financial and Euro American Financial Corp., two merchant and investment banking firms that operated offices in North America, Europe and Asia.

• Mr. Cappello's real estate experience has incorporated development, sustainable design and technology, marketing research, feasibility, finance, management, and construction and brokerage, both as a principal and as consultant. His investment banking expertise has served dozens of companies from sourcing of prospects and deals, financial and marketing analysis, structuring and raising capital, and management at the executive board levels. At Cappello Capital Corp., he pioneered financial structures for public companies that resulted in the placement of over one billion U.S. dollars in private placements as well as transactions of highly complex, customized terms to suit the needs of both investors and issuers. Additionally he has personally managed the transactions of numerous financial negotiations involving venture capital start-up companies and mergers and acquisitions of private and public entities.

• Mr. Cappello currently serves on the board of directors and as advisor to several organizations, municipalities, and growth companies including the City of Malibu - Architectural and Engineering Committee, The Machine Productions, Inc., Coffees of Hawaii, Inc., Fibercomp, Inc., Boutique Hotel Group, and as the organizer of the advisory committee to the Getty Information Institute. He is an active member of the Young Presidents Organization (YPO) where he has served as the founder and past Chairman of the Malibu Chapter and on the Pacific Regional Board of Directors. In the Young Entrepreneurs Organization (YEO) he served on the International Board of Directors for seven years and is a former President of the Los Angeles Chapter. He is also the past Chairman of the Board of Catholic Big Brothers Big Sisters of Los Angeles and is a current Director of the USC Associates of the Marshall School of Business.

• Mr. Cappello earned a Bachelor of Science from the University of Southern California School of Business, majoring in Finance and Business Economics with an emphasis on Real Estate. He is married and enjoys many outside activities with his wife and two children.

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What is Asset Management ?

The role and responsibility of an Asset Manager is to add value by controlling the operations of a property, to conceive and formulate recommendations, and then to successfully implement decisions and plans that are commensurate with the client's risk profile, investment strategies and each asset's investment structure.

Managing a project in today's environment is a very challenging process, demanding a variety of skills and requiring artistic as well as technical expertise in all aspects of real estate. HAI's asset managers are drawn from a variety of backgrounds to provide a mix of abilities and talents to effectively perform these different tasks. We believe that there is no standard way to enhance the profitability of an asset, since all properties are different. In fact, we view each property as a distinct operating business.

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Asset versus Property Management

There are significant differences between Asset Management and Property Management. It is the job of the Asset Manager to actively manage all operating aspects of the asset, with the objective of increasing ongoing profitability and the disposition value of the asset. Strategic planning is at the heart of Asset Management. A short and long-term strategic plan is developed for each property consistent with the owner’s objectives. These plans are updated annually in conjunction with the preparation of the annual business plan and operating budget, to reflect changes in market conditions, the regulatory environment, capital expenditure requirements, competitive factors, and the economy - while keeping a focus on the client’s "risk and return" parameters. The long-term portion of the plan suggests various development and redevelopment schemes along with merchandising or re-positioning strategies. The strategic plan is meant to provide a logical road map for the long-term development of each property, with the goal of efficiently and cost effectively maximizing the cash flow and value of each property.

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Asset versus Property Management

Property Management

Rent Collection

Day to Day Management

Operations

Record Keeping

Financial Reporting

Maintenance

Asset ManagementHiring, Firing, Evaluation of

Property Manager

Developing Goals and Strategic Property Plans

Hold/Sell/Refi Decisions

Cash and Reserve Management

Communicating with Investors

Hiring Professionals

Tenant Relations

Annual Budgeting

Capital Planning

Workouts

Dealing with Regulations and

Obligations

Public Relations

Crisis Management

Security

Source: www.ohiocdc.org

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Key Areas of Asset Management

Property/Facilities Management - overseeing the physical operation and maintenance of the property, as well as customer service. This includes all legal and regulatory matters impacting a property.

Financial Management - overseeing collection and distribution, and implementing strict property level cost controls with the goal of maximizing cash flow and profitability as well as directing any financing, refinancing, restructuring or sales activity, and in some cases providing assistance for preparation of taxes and property tax valuations.

Marketing Management - overseeing the process of leasing and marketing space including commercial-leased space, golf course membership sales, retail and industrial space, hotel rooms and/or apartments and keeping their income potential at optimal rates.

Oversight of the following:

HAI breaks down these elements and establishes priorities according to the strategic plan for each asset, and composes a staffing and operating plan to meet the specific needs of each unique situation and client.

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Our Belief

Market conditions determine a performance range – and the tide of the market place raises and lowers all boats.

Skilled asset management can drive a property's performance to the top of the range.

Within the context of overall portfolio goals, we approach the Asset Management assignment with two fundamental beliefs:

Above all, we act in the best interest of the owner as a fiduciary to maximize the overall performance of the property, and to enhance the tenant, member, or guest relationship.

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Contact InformationWe sincerely believe we are among the best qualified and staffed asset management companies operating in the United States, and would be pleased to review any real estate asset management needs you or your firm may require. Thank you.

Stephen Abelman Tel: 240.396.6107Email: [email protected]

Adnan Tapia Tel: 310.614.7710Email: [email protected]

Tom Poitevent Tel: 917.710.3048Email: [email protected]

William Howell Tel: 310.415.6777Email: [email protected]

Corporate Headquarters700 S. Flower StreetSuite 3305Los Angeles, CA 90017

General InformationTel: 310.642.0480Fax: 310.642.0422Email: [email protected]: www.haiadvisors.com