Smart Ecologies

SMART ECOLOGIESBUILDING A TRULY SUSTAINABLE ECONOMY IN AN ERA OF GREAT COMPLEXITY

2016 // 2017

Smart Ecologies is a framework + platform which provides stable alternatives to evolving

business & economic systems.

evolutionary joint-venture development for ecological innovation

Smart Ecologies /// core model (investable vehicle)

land restoration + development

applied & emerging innovation

regenerative asset creation

hub-and- spoke

zero footprint

renewable materials

intentional communities food water tech edu skills jobs vocations governance

traditional investment structures hybrid investment structures proactive investment structures

advanced vetting rapid capitalization stakeholder design

advanced processing rapid deployment

community design

advanced training adaptive learning

iterative design

risk mitigation asset strengthening market (co)creationa non-linear, interdependent set of methods + attributes:

data

insights

media

awareness

needs operations


Smart Ecologies /// regenerative investment tiers

TIER 1

TIER 2

TIER 3

real estate + land development

regenerative asset creation + I.P.

licensing & shared asset pools

collateralized debt mini-perms equity prefs clawbacks

convertibles equity prefs clawbacks

buyouts bond vehicles

cryptoequities cryptocurrencies

elastic bonds co-licensing

fairshare notes asset transfers

“SAFE”

“FUN”

“ADVENTUROUS”

ASSET THRESHOLDS

managed growth

horizontal scale

debt & capital offsetting

asset & market reinvestment

(cap-outs)

“The most effective means of local self-determination would be a well-developed

local economy based upon the use and protection of local resources, including

local human intelligence and skills. Local resources have little local value when they are industrially produced or extracted and

shipped out. They become far more valuable when they are developed,

produced, processed, and marketed by, and first of all to, the local people - when, that is, they support, and are supported by a local economy. And here we realize that a local economy, supplying local needs so

far as possible from local fields and woodlands, is necessarily diverse.”

- Wendell Berry


INDUSTRIAL ERA ENTERPRISE ERA PLATFORM ERA

cost per transaction + rate of scale

volume of transactions + value creation

(tangible asset threshold)

(technology inflection point)

the economy of the last 300 years at a glance…

(RESTART)

(debt-based inverse yield)


the economy of the last 300 years at a glance…

AXIOMS:

1. scale & growth today are no longer achieved ‘vertically’ due to thresholds in asset classes tied to extreme natural & human resource extraction that is non-regenerative

2. while corporations may sit on piles of cash, they cannot continue to profit at sustainable margins without reinvestment back into local ecologies, thereby (re)generating resources

3. when resources are (re)generated, new skills are created, new job or vocations developed, and new infrastructure in the form of food, water, energy, ideas and education is developed at horizontal scale

an unprecedented opportunity to activate ‘the big middle’

U.S. based ‘unicorns’ with billion-dollar valuations; aggregate market cap of roughly $650bb. approximately 1000

new tech jobs created every year

84

45,508 publiccompanies

147 that control everything

average half-life:

18 years

212mm-1.5bb unemployed or underemployed

people in the western world

65mm

registered small businesses in western markets undercapitalized & poorly operated

$105tt-$140tt untapped global market cap!

the middle market is an enormous investment opportunity for humanity…

(few are making big moves here…)


design practices must be reoriented to accommodate ‘the big middle’

HUMAN

product

service

PLATFORMecology

economy

cultural needs higher purpose

market needs higher utility

sustained solutions

informed participation

WHOLE ECOSYSTEM DESIGN

enriched experience(s)

enriched experience(s)

adaptive learning

practical application

geolocal context

asset scenarios

economic + ecological scenarios can’t just be tested

cognitively, they must be experienced (like reality) and

understood emotionally, physically, spiritually and

transactionally by each and every participant.


Smart Ecologies /// a regenerative economic platform (initiatives)

“FLORIDA MIXED USE PROJECT”

The South Florida project is a 52-acre, $127m true mixed use, zero footprint and renewable energy development that will house a sports team, a full recreational facility, a science wing, a technology wing, as well as vertical

farming and renewable technology components that are all on-site. The project is being developed alongside Palm Beach County’s poorest neighborhoods, with one of the highest unemployment rates in the entire state and country. The plan is to enlist the local community through unique on-boarding processes (via intricate experience design),

co-develop applied agricultural & emerging technology skills, co-design open curricula, and create new jobs. Cisco, Schneider, Siemens & Google have already agreed to be tenants & integrated partners, and will be building

their own presence to test products actively with a number of local segments and cross-county cohorts. A blockchain-based trust and reputation system is being designed to manage, share and build upon active datasets.


“GLOBAL INCUBATOR (SHIFT)”

SHIFT will own & occupy 40k-50k sq. ft. spaces in the select areas around the world that bring complementary stakeholders, SMEs and early stage

companies (startups) together under one roof to operate an ‘innovation lab

environment’. Human, environmental & financial resources will be synthesized

in order to build up the market ecosystem. New ideas, business

models & ecological frameworks will be tested & shared. A new, market-

driven educational system will emerge. SMEs and other larger organizations

will invest in early stage ventures directly, without the encumbrances of

a fund of an LP structure.



“INTEGRAL AGRICULTURE”

Matching intentional communities with agricultural pioneers, holistic bioscientists as well as emerging technologists, this initiative is designed to bring the ultimate security & trust to food production & redistribution. Various forms of data + research bundling are being

developed to improve adaptive processes, and inform more rigid scientific methods. Multiple land restoration sites are being vetted for this specific implementation.



“GREENHAUS”

Greenhaus is Colorado’s largest privately funded cannabis & vertical farming development, located in Commerce City, just 40 minutes outside of Denver. Recognizing the frenzy around cannabis sales (reaching $1b this year in the state alone), Greenhaus endeavors to focus on regenerative uses of the plant, the soil, the water and lighting configurations to maximize energy use in a zero footprint capacity. Four 50 sq. foot allotments will provide turnkey capability to grow, extract and regenerate products, alongside of 21 on-site dispensaries that are outfitted with grow and technology infrastructures such that entrepreneurs who lease the spaces will be enabled to transact and redistribute to local partners seamlessly. Greenhouse is being funded for a total of $35m plus, with roughly an 80/20 debt-to-equity split.



“CORPORATE SELF-MASTERY”

Borrowing upon years of corporate and civic innovation experience, the self-mastery initiative focuses on the inner work that is required to help stakeholders embody the kind of power and endurance that

is necessary to surface and action transformative ideas. Exile is using its STAND :: FOCUS :: CONFRONT :: EVOLVE approach (part of its Adaptive Leadership toolkit) to train people to not only

take on uncertainty in daily ritual and decision-making, but the ability to stand behind what they see as possible, such that ecology-driven, breakthrough innovations occur. The initiative is currently being implemented with several Fortune 100 companies, with the intention and implicit understanding that

these companies will be able to partner in local Smart Ecology projects in the near future.



“INFOCOLOGY PLATFORM”

As can be seen throughout social and digital media realms,

information quality is being challenged on all fronts.

Journalism in particular has been dying a fairly quick death.

Our infocological approach involves a new participatory

framework for sourcing, creating and sharing information with a

variety of contextual formats and ways to develop interaction models that actually allow

multiple participants to monetize their contributions. We see this effort as the linchpin in not only

allowing communities to converge around great ideas,

but to action their thinking through critical discourse.


6 primary initiatives

3 active land developments

8 new developments being vetted

12 new emerging technologies

36 new emerging public & private

processes

$162m of capital activated in the last 9 months



Smart Ecologies /// primary platform partners (co-development)

rapid co-production + blockchain innovation

experience design + rapid prototyping

intentional communities + regenerative wealth

participatory media + content communities

real estate finance + boutique banking

social innovation + participatory education

alternative energy + land development

corporate ecological curricula

REQUIREMENTS + COMMITMENTS:

inclusion integration

trust reputation

productivity imagination

goodwill


Smart Ecologies /// a regenerative economic platform (the what)

place

system

ecosystem

institutions

accelerators

edge funds

WHOLE ECOLOGY

educators

communities

companiesbanks

regulators legislators

incubators

social innovators

private investors

entrepreneurs

REGENERATIVE

RESTORATIVE

ASYMMETRIC


Smart Ecologies /// a regenerative economic platform (the what)

= direct network

= extended network

Exile & its holding company (Exile Holdings) provides merchant banking & related services for transformative

companies, new ventures & emerging markets.

we focus on ecological innovation across the food, education, wellness, money, tech, media and energy domains. this a global marketplace with approximately $123t in untapped market capitalization.

we are cross-disciplinarians, with deep expertise in technology (SaaS, PaaS, data, analytics, NLP, social media, ad tech), business + industry innovation & advanced leadership practices.

we’ve been hands on in over 70 startups, built companies & platforms across 15 industries, worked in senior-level capacities with or for several multinationals, and have experienced an array of transformative moments in living and working around the globe.

the main thing we’ve learned?

develop the human being + understand real market behaviors & the rest will follow.

an evolutionary venture development group

http://exileleadership.com/

Gunther Sonnenfeld [email protected]

310.403.5498 (Palm Beach, Florida)

Andrew Markell [email protected]

503.380.0343 (Portland, Oregon)

CONTACT

https://www.youtube.com/watch?v=S0koiE8H4c8 https://www.youtube.com/watch?v=Ndi-rtcpAgk

Environment

Smart Ecologies