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HomeMy WebLinkAbout06-17-14 TSHA Agenda Packet Page 1 of 2 AGENDA BOARD OF DIRECTORS OF THE TEXAS STUDENT HOUSING AUTHORITY (AN INSTRUMENTALITY OF THE TOWN OF WESTLAKE) June 17, 2014 6:00 PM COUNCIL CHAMBERS 3 VILLAGE CIRCLE WESTLAKE, TEXAS 1. CALL TO ORDER 2. REVIEW AND APPROVE MINUTES FOR THE MEETING ON JANUARY 21, 2014. 3. DISCUSS AND CONSIDER APPROVAL OF THE CAMBRIDGE ANNUAL BUDGET FOR FY 2014-2015. 4. DISCUSS AND CONSIDER APPROVAL OF THE TOWN LAKE, AUSTIN ANNUAL BUDGET FOR FY 2014-2015. 5. DISCUSS AND CONSIDER APPROVAL OF THE BALLPARK, AUSTIN ANNUAL BUDGET FOR FY 2014-2015. 6. DISCUSS AND CONSIDER APPROVAL OF THE TSHA ANNUAL BUDGET FOR FY 2014-2015. 7. DISCUSS AND CONSIDER APPROVAL AUTHORIZING THE EXECUTIVE DIRECTOR TO SIGN DOCUMENTS RELATED TO THE PENDING FORECLOSURE FOR THE BALLPARK, AUSTIN PROPERTY. 8. EXECUTIVE DIRECTOR’S REPORT Page 2 of 2 9. ADJOURN ANY ITEM ON THIS POSTED AGENDA COULD BE DISCUSSED IN EXECUTIVE SESSION AS LONG AS IT IS WITHIN ONE OF THE PERMITTED CATEGORIES UNDER SECTIONS 551.071 THROUGH 551.076 AND SECTION 551.087 OF THE TEXAS GOVERNMENT CODE. CERTIFICATION I certify that the above notice was posted at the Town Hall of the Town of Westlake, 3 Village Circle, Westlake, Texas, on June 11, 2014 , by 5:00 p.m. under the Open Meetings Act, Chapter 551 of the Texas Government Code. _____________________________________ Kelly Edwards, Secretary If you plan to attend this public meeting and have a disability that requires special needs, please advise the Town Secretary 48 hours in advance at 817-490-5710 and reasonable accommodations will be made to assist you. TSHA Min 01/21/14 Page 1 of 3 MINUTES OF THE BOARD OF DIRECTORS OF THE TEXAS STUDENT HOUSING AUTHORITY (AN INSTRUMENTALITY OF THE TOWN OF WESTLAKE) January 21, 2014 PRESENT: President Jim Carter, Directors, Scott Bradley, and Tracy Schornack. ABSENT: George Ledak and Gregg Malone. OTHERS PRESENT : Executive Director Pete Ehrenberg and Secretary Kelly Edwards. 1. CALL TO ORDER President Carter called the meeting to order at 6:10 p.m. 2. WELCOME NEW MEMBER LIZ GARVIN. 3. REVIEW AND APPROVE MINUTES FOR THE MEETING ON OCTOBER 22, 2013. MOTION: Director Bradley made a motion to approve the minutes. Director Schornack seconded the motion. The motion carried by a vote of 3-0-1. Director Garvin abstained. 4. DISCUSS AND CONSIDER APPROVAL OF TSHA, CAMBRIDGE, TOWN LAKE, AND AUSTIN BALLPARK ANNUAL AUDITS FOR FY 2012-2013 PRESENTED BY PATTILLO BROWN & HILL, L.L.P. Mr. John Manning provided an overview of each audit. MOTION: Director Schornack made a motion to approve the TSHA audit. Director Garvin seconded the motion. The motion carried by a vote of 4-0. TSHA Min 01/21/14 Page 2 of 3 MOTION: Director Schornack made a motion to approve the Austin Ballpark audit. Director Bradley seconded the motion. The motion carried by a vote of 4-0. MOTION: Director Schornack made a motion to approve the Town Lake audit. Director Garvin seconded the motion. The motion carried by a vote of 4-0. Discussion ensued regarding the disclosure statement regarding the Westlake and Brazos County lawsuit. MOTION: Director Bradley made a motion to approve the Cambridge audit. Director Schornack seconded the motion. The motion carried by a vote of 4-0. President Carter recessed the meeting at 6:43 p.m. President Carter reconvened the meeting at 7:00 p.m. 5. DISCUSSION AND CONSIDERATION AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AN AGREEMENT WITH MORRIS SCHORSCH & STAPLETON PC LAW FIRM TO RETAIN MR. JIM MORRIS AS LEGAL COUNSEL FOR LITIGATION SERVICES REGARDING TEXAS STUDENT HOUSING AUTHORITY v. BRAZOS COUNTY APPRAISAL DISTRICT AND APPRAISAL REVIEW BOARD FOR BRAZOS COUNTY APPRAISAL DISTRICT. Executive Director Ehrenberg provided an overview of the item. Director Bradley acting as General Counsel recommends that the board continue to use Mr. Jim Morris as legal counsel for this lawsuit. MOTION: Director Schornack made a motion to authorize the Executive Director to execute an agreement. Director Garvin seconded the motion. The motion carried by a vote of 4-0. 6. DISCUSSION REGARDING PENDING LITIGATION - TEXAS STUDENT HOUSING AUTHORITY v. BRAZOS COUNTY APPRAISAL DISTRICT AND APPRAISAL REVIEW BOARD FOR BRAZOS COUNTY APPRAISAL DISTRICT. Discussion ensued regarding the use of Baker-Botts in conjunction for Attorney Morris’ new law firm. TSHA Min 01/21/14 Page 3 of 3 7. DISCUSS AND CONSIDER THE NUMBER OF FULL SCHOLARSHIPS TO OFFER FOR THE 2014-2015 SCHOOL YEAR. Discussion ens ued regarding the number of scholarships and the cost per property. MOTION: Director Bradley made a motion to authorize the Executive Director to issue twenty (20) full scholarships. Director Schornack seconded the motion. The motion carried by a vote of 4-0. 8. EXECUTIVE DIRECTORS REPORT. Purchase of Bonds at Town Lake from Muni Mae to Bank of America/Merril Lynch, TL payables, the cost of the scholarships and meal plan at Cambridge, rental rates, Asset Campus Housing, Ballpark bonds, signed a Forbearance Agreement for an additional six (6) months allowing TSHA to keep the scholarship program. 9. ADJOURN President Carter asked for a motion to adjourn. MOTION: Director Schornack made a motion to adjourn the meeting. Director Garvin seconded the motion. The motion carried by a vote of 4-0. There being no further business before the board, President Carter declared the meeting adjourned at 7:24 p.m. THE TEXAS STUDENT HOUSING AUTHORITY BOARD OF DIRECTORS ON JUNE 17, 2014. __________________________________ Jim Carter, President ATTEST _______________________________ Kelly Edwards, Secretary 6/5/2014 Page 1of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed Unit Projected Beds-->525 525 525 525 525 525 525 525 525 5 5 525 OCCUPANCY %99.00%99.00%99.00%99.00%99.00%99.00%99.00%99.00%99.00%1.00%1.00%99.00%82.67% OPERATING INCOME Gross Potential Rent Gross Market Rent 5005-0000 440,546 440,546 440,546 440,546 440,546 440,546 440,546 440,546 440,546 440,546 440,546 440,546 5,286,549 9,975 30,037 Food Revenue 5005-0100 187,012 187,012 187,012 187,012 187,012 187,012 187,012 187,012 187,012 187,012 187,012 187,012 2,244,147 4,234 12,751 Contract Gain (Loss) to Lease 5010-0000 (27,021) (27,021) (27,021) (27,021) (27,021) (27,021) (27,021) (27,021) (27,021) - - (27,021) (270,207) (510) (1,535) Total Gross Potential Rent 600,537 600,537 600,537 600,537 600,537 600,537 600,537 600,537 600,537 627,558 627,558 600,537 7,260,489 13,699 41,253 Economic Variances Concessions - New Leases 5030-0200 (6,000) (6,000) (6,000) (6,000) (6,000) (6,000) (6,000) (6,000) (6,000) - - (6,000) (60,000) (113) (341) Bad Debt 5025-0000 (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (4,978) (59,738) (113) (339) TSHA Incremental Scholarship 5064-0000 (19,050) (19,050) (19,050) (19,050) (19,050) (19,050) (19,050) (19,050) (19,050) - - (19,050) (190,500) (359) (1,082) Vacancy Loss 5065-0000 (30,021) (30,021) (30,021) (30,021) (30,021) (30,021) (30,021) (30,021) (30,021) (621,282) (621,282) (30,021) (1,542,771) (2,911) (8,766) Total Economic Variances (60,049) (60,049) (60,049) (60,049) (60,049) (60,049) (60,049) (60,049) (60,049) (626,261) (626,261) (60,049) (1,853,009) (3,496) (10,528) 86.37%86.37%86.37%86.37%86.37%86.37%86.37%86.37%86.37%-42.16%-42.16%86.37%64.95% NET RENTAL INCOME 540,489 540,489 540,489 540,489 540,489 540,489 540,489 540,489 540,489 1,297 1,297 $540,489 $5,407,481 $10,203 $30,724 74.5% Other Operating Income Application Fees 5220-0000 - - - 500 500 1,000 2,000 5,000 5,000 - - - 14,000 26 80 Banquet/Catering Income 5227-0000 - - - - - - - - - - - - - - - Camp - Food 5231-0100 - - - - - - - - - 95,000 95,000 - 190,000 358 1,080 Camp - Room 5231-0200 - - - - - - - - - 101,500 101,500 - 203,000 383 1,153 Cancellation Fees 5232-0000 - - - - - - - - - - - - - - - Damages Income 5260-0000 350 350 350 250 350 350 350 300 4,500 2,500 1,000 350 11,000 21 63 Carport/Garages/Parking Income 5235-0000 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 - - 3,500 35,000 66 199 Key & Access Card Income 5290-0000 - - - - - - - - - - - - - - - Laundry Income 5300-0000 1,300 1,300 900 900 1,000 1,100 900 500 500 - - 1,600 10,000 19 57 Legal & Collections 5310-0000 - - - - - - - - - - - - - - - Late Charges 5295-0000 225 225 225 225 225 225 225 225 - - 225 225 2,250 4 13 Meals - Transient 5312-0000 2,000 1,250 1,250 1,250 1,250 1,250 1,250 1,250 2,000 250 100 20,000 33,100 62 188 Meals - Others 5313-0000 - - - - - - - - - - - - - - - NSF Check Fees 5325-0000 25 25 25 25 25 25 25 25 - - 25 25 250 0 1 Outside Board Sales 5327-0000 - - - - - - - - - - - - - - - Premium Fees 5335-0000 - - - - - - - - - - - - - - - Relet/Cancellation Fees 5340-0000 - - - 2,250 1,500 750 - - - - 1,500 6,750 12,750 24 72 Storage Income 5365-0000 - - - - - - - - - - - - - - - Transfer Fees 5375-0000 - - - - - - - - - - - - - - - Vending Income 5390-0000 50 - 50 - 50 - 50 - - 100 100 100 500 1 3 Miscellaneous Income 5315-0000 510 510 510 510 510 510 510 510 510 510 510 510 6,120 12 35 RUBS Income - Electric 5370-0100 - - - - - - - - - (0) 0 - (0) (0) (0) RUBS Income - Water 5370-0300 - - - - - - - - - (0) 1,028 - 1,028 2 6 Telephone Income 5372-0000 - - - - - - - - - - - - - - - Transient Income 5374-0000 - - - - - - - - - - - - - - - Interest Income 5285-0000 90 200 190 140 - - - 100 100 100 100 - 1,020 2 6 Total Other Operating Income 8,050 7,360 7,000 9,550 8,910 8,710 8,810 11,410 16,110 199,960 201,088 33,060 520,018 981 2,955 7.2% EFFECTIVE GROSS INCOME 548,539 547,849 547,489 550,039 549,399 549,199 549,299 551,899 556,599 201,257 202,385 573,549 5,927,498 11,184 33,679 Account Descriptions 6/5/2014 6/5/2014 Page 2of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 81.6% OPERATING EXPENSES General & Administrative Audit 6002-0200 - - 7,500 3,500 - - - - - - - - 11,000 21 63 Legal 6002-0300 18,500 18,500 18,500 18,500 18,500 18,500 18,500 18,500 18,500 18,500 18,500 18,500 222,000 419 1,261 Bank Charges/Fees 6005-0000 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 19,583 37 111 Data Processing/Computer Expense 6030-0000 662 662 662 662 662 1,212 662 882 662 662 662 662 8,714 16 50 Collection & Eviction Processing 6020-0000 - - - - - - - - - - - - - - - Resident Screening 6095-0000 - - - 500 500 600 600 600 600 600 500 500 5,000 9 28 Dues & Subscriptions 6035-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 7 Equipment & Supplies 6045-0000 900 900 900 900 500 500 900 900 900 900 900 900 10,000 19 57 Postage & Delivery 6070-0000 150 150 600 600 600 600 600 600 600 600 600 300 6,000 11 34 Licenses, Fees & Permits 6060-0000 - - - 500 200 200 200 200 200 200 200 200 2,100 4 12 Professional Fees 6080-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 7 Rent Refunds - Residents 6090-0000 1,000 - - 1,000 - - - - - - 1,000 1,000 4,000 8 23 Telephone 6105-0000 1,200 1,200 1,200 1,200 1,200 1,300 1,500 1,500 1,500 1,300 1,400 1,300 15,800 30 90 Telephone-Answering Service 6110-0000 - - - - - - - - - - - - - - - Training 6115-0000 649 199 49 49 699 49 49 199 649 49 199 49 2,891 5 16 Travel 6120-0000 500 150 500 150 500 500 150 500 150 150 150 500 3,900 7 22 Uniforms 6135-0000 - - - - 500 - - - - - - 4,500 5,000 9 28 Miscellaneous 6065-0000 200 200 200 200 200 200 200 200 200 200 200 200 2,400 5 14 Total General & Administrative 25,593 23,793 31,943 29,593 25,893 25,493 25,193 25,913 25,793 24,993 26,143 30,443 320,789 605 1,823 5.4% Food Department Accompaniments 6155-0000 10,390 9,087 8,692 5,235 5,455 8,620 7,142 8,824 4,881 6,812 7,024 5,385 87,547 165 497 Baked Goods 6156-0000 2,808 2,456 2,349 1,415 1,474 2,330 1,930 2,385 1,319 1,841 1,898 1,455 23,660 45 134 Beverages 6157-0000 5,054 4,421 4,229 2,547 2,654 4,194 3,475 4,293 2,375 3,314 3,417 2,620 42,593 80 242 Dairy 6158-0000 4,774 4,175 3,994 2,405 2,506 3,961 3,282 4,054 2,243 3,130 3,228 2,474 40,226 76 229 Food Cost 6159-0000 - - - - - - - - - - - - - - - Frozen Goods 6160-0000 6,065 5,305 5,074 3,056 3,185 5,032 4,169 5,151 2,850 3,977 4,100 3,144 51,108 96 290 Ice Cream 6161-0000 - - - - - - - - - - - - - - - Meats 6162-0000 19,656 17,191 16,445 9,905 10,321 16,309 13,512 16,694 9,235 12,888 13,288 10,187 165,631 313 941 Milk 6163-0000 1,966 1,719 1,644 990 1,032 1,631 1,351 1,669 924 1,289 1,329 1,019 16,563 31 94 Produce 6164-0000 5,448 4,764 4,558 2,745 2,860 4,520 3,745 4,627 2,559 3,572 3,683 2,823 45,904 87 261 China/Glass/Silver 6171-0000 1,000 - - - 1,000 - - - - 500 - 1,000 3,500 7 20 Contract Cleaning 6172-0000 450 350 300 500 1,000 300 100 250 400 500 500 1,350 6,000 11 34 Decorations 6173-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 7 Equipment Rental 6174-0000 225 225 225 225 225 225 225 225 225 225 225 225 2,700 5 15 Kitchen Equipment Repair 6175-0000 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 14,400 27 82 Linen Laundry/Rental 6176-0000 350 350 350 255 170 350 350 350 255 350 350 255 3,735 7 21 Other Expense 6178-0000 425 425 425 425 750 425 425 425 425 425 750 425 5,750 11 33 Linen Replacement 6177-0000 - - - - - - - - - - - - - - - Paper 6179-0000 500 500 500 250 250 500 500 500 350 500 500 350 5,200 10 30 Supplies 6180-0000 - - - - - - - - - - - - - - - Supplies - Cleaning 6180-0100 1,350 1,200 1,000 600 935 800 800 800 1,200 750 750 900 11,085 21 63 Supplies - Dining Room 6180-0200 1,200 350 350 350 350 350 350 350 350 350 350 650 5,350 10 30 Supplies - Kitchen 6180-0300 600 450 450 100 600 450 300 450 100 450 450 400 4,800 9 27 Uniforms 6185-0000 - - - - 1,250 - - - - - - 1,250 2,500 5 14 Supplies - Laundry 6190-0000 - - - - - - - - - - - - - - - Total Food Department 63,561 54,268 51,885 32,303 37,317 51,297 42,956 52,347 30,991 42,173 43,142 37,212 539,452 1,018 3,065 9.1% Payroll & Benefits Office Salaries 6205-0000 15,250 15,250 15,250 22,875 15,250 15,250 15,250 15,250 15,250 15,250 22,875 15,274 198,272 374 1,127 Commissions 6265-0000 - - - - - - - - - - - - - - - Bonuses 6260-0000 - - 12,000 - - - - - - - - - 12,000 23 68 Maintenance 6225-0000 8,702 8,702 8,702 13,052 8,702 8,702 8,702 8,702 9,702 9,702 14,052 11,602 119,020 225 676 Food Service 6225-0700 34,459 32,984 33,480 43,592 16,727 33,456 37,476 33,394 33,103 36,028 35,019 33,984 403,699 762 2,294 Payroll Taxes 6270-0100 7,009 6,832 8,332 9,542 4,881 6,889 7,371 6,881 6,966 7,317 8,633 7,303 87,959 166 500 6/5/2014 Page 3of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 Worker's Compensation 6270-0200 3,966 3,866 4,714 5,399 2,762 3,898 4,171 3,894 3,942 4,140 4,885 4,132 49,770 94 283 Group Insurance 6280-0000 7,350 7,350 7,350 7,350 7,350 7,350 7,350 7,350 7,350 7,350 7,350 7,350 88,200 166 501 Employee Recruiting 6290-0000 - - - - - - - - - - - - - - - Employee Relations 6295-0000 - - - - - - - - - - - - - - - Total Payroll & Benefits 76,735 74,983 89,827 101,810 55,672 75,544 80,319 75,470 76,312 79,787 92,814 79,645 958,920 1,809 5,448 16.2% Contract Services Contract-Alarm/Monitoring-Intrusion/Fire 6305-0000 - - - - - - - - - - - - - - - Contract-Bus Service 6310-0000 125,000 - - - - - - - - - - - 125,000 236 710 Contract-Cleaning 6315-0000 11,000 10,500 10,500 10,500 10,500 10,500 10,500 10,500 10,500 10,500 10,500 11,000 127,000 240 722 Contract-Elevator 6325-0000 2,000 625 625 2,000 625 625 2,000 625 625 2,000 625 625 13,000 25 74 Contract - HVAC 6335-0000 - - - - - - - - - - - - - - - Contract - Fire/Safety 6327-0000 - - - - - - - - - - - - - - - Contract-Landscape Maintenance 6340-0000 2,000 2,000 2,000 2,000 2,000 3,000 2,000 2,000 2,000 2,000 2,000 2,500 25,500 48 145 Contract-Other Contract Services 6345-0000 1,250 1,000 2,000 1,300 2,500 1,000 1,500 2,000 1,850 1,200 1,100 1,850 18,550 35 105 Contract-Parking 6348-0000 - - - - - - - - - - - - - - - Contract-Security/Patrol/Courtesy Officer 6365-0000 4,200 4,200 4,200 5,300 4,800 4,150 4,150 4,150 5,100 4,200 4,200 4,200 52,850 100 300 Contract-Pest Control 6350-0000 400 400 400 400 400 400 400 400 400 400 400 400 4,800 9 27 Contract-Pool 6360-0000 - - - - - - - - - - - - - - - Contract-Snow Removal 6370-0000 - - - - - - - - - - - - - - - Contract-Trash Removal 6375-0000 1,330 1,330 1,330 1,330 1,330 1,330 1,330 1,330 1,330 1,330 1,330 1,530 16,160 30 92 Total Contract Services 147,180 20,055 21,055 22,830 22,155 21,005 21,880 21,005 21,805 21,630 20,155 22,105 382,860 722 2,175 6/5/2014 Page 4of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 6.5% Repairs & Maintenance Appliances 6410-0000 175 175 175 175 175 175 175 175 175 175 175 175 2,100 4 12 Blind/Drapes 6415-0000 - - - - - - - - - - - - - - - Boilers 6420-0000 500 500 1,000 1,000 1,000 1,000 1,000 500 500 500 500 1,000 9,000 17 51 Building - Interior 6425-0100 2,000 275 275 275 275 275 275 275 2,000 2,000 2,000 200 10,125 19 58 Building - Exterior 6425-0200 - - - - - - - - - - - - - - - Common Areas 6440-0000 - - - - - - - - - - - - - - - Doors/Windows 6450-0000 - - - - - - - - - - - - - - - Electrical 6455-0000 - - - - - - - - - - - - - - - Elevators 6460-0000 - - - - - - - - - - - - - - - Fencing & Gates 6470-0000 - - - - - - - - - - - - - - - Fire/Safety 6475-0000 2,300 150 150 150 150 150 150 2,500 150 150 150 150 6,300 12 36 Furniture 6478-0000 - - - - - - - - 2,250 2,250 1,250 - 5,750 11 33 Generator 6483-0000 - - - - - - - - - - - - - - - Glass/Mirrors/Screens 6485-0000 - - - - - - - - - - - - - - - HVAC 6495-0000 4,000 2,200 1,000 1,000 1,000 1,400 1,100 1,100 2,400 3,000 3,000 4,000 25,200 48 143 Keys & Locks 6500-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 7 Landscaping 6510-0000 - - - - - - - - - - - - - - - Lights, Fixtures, Light Bulbs 6520-0000 750 350 350 350 350 350 350 350 750 750 750 550 6,000 11 34 Miscellaneous 6525-0000 40 40 40 40 40 40 40 40 40 40 40 40 480 1 3 Painting 6530-0000 100 100 100 100 1,000 100 100 100 5,500 5,500 5,500 100 18,300 35 104 Parking Lots & Sidewalks 6535-0000 100 100 100 100 100 100 100 100 100 4,500 100 100 5,600 11 32 Plumbing 6540-0000 300 300 300 300 300 300 300 300 300 300 300 300 3,600 7 20 Pools 6545-0000 800 400 400 400 400 400 400 400 800 400 400 800 6,000 11 34 Recreation 6550-0000 200 500 200 500 200 500 200 500 200 500 200 500 4,200 8 24 Roofs 6555-0000 - - - - - - - - - - - - - - - Signs 6560-0000 - - - - - - - - - - - - - - - Supplies 6570-0000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000 23 68 Tools 6575-0000 175 175 175 175 175 175 175 175 175 175 175 175 2,100 4 12 Water Treatment 6580-0000 - - - - - - - - - - - - - - - Total Repairs & Maintenance 12,540 6,365 5,365 5,665 6,265 6,065 5,465 7,615 16,440 21,340 15,640 9,190 117,955 223 670 2.0% Make-Ready Maintenance Contract Services Carpet Cleaning/Repairs 6610-0000 500 - 500 - 500 - 500 - - - 5,000 10,000 17,000 32 97 Cleaning 6615-0000 - - - - - - - - - - - - - - - Painting 6635-0000 - - - - - - - - - - - - - - - Total Make-Ready Contract Services 500 - 500 - 500 - 500 - - - 5,000 10,000 17,000 32 97 Supplies Interior Repairs 6630-0000 - - - - - - - - - - - - - - - Appliance Supplies 6652-0000 - - - - - - - - - - - - - - - Cleaning Supplies 6655-0000 900 850 1,100 1,100 1,100 750 1,100 750 2,650 2,650 2,650 900 16,500 31 94 Paint Supplies 6660-0000 - - - - - - - - - - - - - - - Sheetrock 6665-0000 - - - - - - - - - - - - - - - Total Make-Ready Supplies 900 850 1,100 1,100 1,100 750 1,100 750 2,650 2,650 2,650 900 16,500 31 94 Total Make-Ready Maintenance 1,400 850 1,600 1,100 1,600 750 1,600 750 2,650 2,650 7,650 10,900 33,500 63 190 6/5/2014 Page 5of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 0.6% Marketing Advertising Print 6705-0200 - - - - - - - - - - - - - - - Publications 6730-0000 - - - 1,000 1,000 2,000 2,000 1,000 - - - - 7,000 13 40 Direct Mail 6715-0000 - - - - - - 14,000 14,000 - - - - 28,000 53 159 Radio 6705-0300 - - - - - 3,500 500 - - - - - 4,000 8 23 Signs 6735-0000 500 - - - - - 2,500 - - - - - 3,000 6 17 Internet Ads 6720-0000 586 586 586 692 586 586 586 586 586 586 586 786 7,338 14 42 Other 6748-0000 30,000 - - - - 3,500 - - - - - - 33,500 63 190 Total Advertising 31,086 586 586 1,692 1,586 9,586 19,586 15,586 586 586 586 786 82,838 156 471 Other Marketing Brochures 6750-0000 1,000 - - 15,000 - 1,500 - - - - - - 17,500 33 99 Locator Fees 6760-0000 - - - - - - - - - - - - - - - Portal Expense 6770-0000 - - - - - - - - - - - - - - - Referral Fees 6780-0000 - - - - - - - - - - - - - - - Promotion & Events 6775-0000 - - - - - 7,500 - - - - - - 7,500 14 43 Resident Activities/Tenant Relations 6790-0000 2,250 1,500 1,500 2,250 5,000 1,500 1,500 1,500 2,250 - - 1,750 21,000 40 119 Websites 6740-0000 500 500 500 500 500 500 500 500 500 500 500 500 6,000 11 34 Total Other Marketing 3,750 2,000 2,000 17,750 5,500 11,000 2,000 2,000 2,750 500 500 2,250 52,000 98 295 Total Marketing 34,836 2,586 2,586 19,442 7,086 20,586 21,586 17,586 3,336 1,086 1,086 3,036 134,838 254 766 2.3% Cable & Internet Cable TV 6805-0000 5,500 5,500 5,500 5,500 5,500 5,500 5,500 5,500 5,500 5,500 5,500 5,500 66,000 125 375 Internet 6825-0000 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 74,400 140 423 Total Cable / Internet 11,700 11,700 11,700 11,700 11,700 11,700 11,700 11,700 11,700 11,700 11,700 11,700 140,400 265 798 2.4% Utilities Electricity Elec-Common Area 6910-0100 30,000 25,800 24,500 12,800 10,500 15,200 16,400 20,123 20,492 26,400 23,200 28,900 254,315 480 1,445 Elec-Residential Units 6910-0200 17,368 11,097 9,460 7,404 7,346 9,219 8,621 9,917 10,541 13,157 8,911 13,060 126,100 238 716 Elec-Vacant Units 6910-0900 - - - - - - - - - - - - - - - Total Electricity 47,368 36,897 33,960 20,204 17,846 24,419 25,021 30,040 31,033 39,557 32,111 41,960 380,415 718 2,161 Other Utilities - - Gas 6920-0000 4,450 4,450 4,450 4,000 3,000 5,000 5,000 3,350 3,350 3,750 3,750 4,450 49,000 92 278 Water / Sewer 6930-0000 7,136 7,136 7,346 6,407 6,296 6,926 6,506 6,506 6,506 6,360 6,360 6,034 79,520 150 452 Utility Billing Fee 6950-0000 - - - - - - - - - - - - - - - Total Other Utilities 11,586 11,586 11,796 10,407 9,296 11,926 11,506 9,856 9,856 10,110 10,110 10,484 128,520 242 730 Total Utilities 58,953 48,483 45,756 30,610 27,142 36,345 36,527 39,896 40,890 49,667 42,221 52,444 508,935 960 2,892 8.6% Management Fees 6990-0000 23,400 23,400 23,400 23,400 23,400 23,400 23,400 23,400 23,400 23,400 23,400 23,400 280,800 23,400 23,400 6/5/2014 Page 6of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 4.7% Taxes Property Taxes 7005-0000 - - - - - - - - - - - - - - - Personal Property Taxes 7010-0000 - - - - - - - - - - - - - - - Property Tax Consultant 7020-0000 - - - - - - - - - - - - - - - Franchise Taxes 7060-0000 - - - - - - - - - - - - - - - Total Taxes - - - - - - - - - - - - - - - 0.0% Insurance Ins-Property & Casualty Insurance 7105-0100 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 66,420 125 377 Total Insurance 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 5,535 66,420 125 377 1.1% TOTAL OPERATING EXPENSES 461,434 272,019 290,653 283,988 223,765 277,720 276,162 281,218 258,852 283,961 289,486 285,610 3,484,868 29,445 41,605 58.8% 87,104 275,830 256,836 266,050 325,633 271,478 273,137 270,681 297,746 (82,704) (87,101) 287,939 2,442,631 4,609 13,879 41.2% Debt Service Interest Expense 7210-0000 - - - - - - - - - - - - - - - Ground Lease 7270-0000 - - - - - - - - - - - - - - - Mortgage Principal 2900-0000 - - - - - - - - - - - - - - - Total Interest / Financing Costs - - - - - - - - - - - - - - - 0.0% Capital Improvements Washer/Dryer 8315-0280 - - - - - - - - - - - - - - - Blinds 8315-0400 - - - - - - - - - - - - - - - Carpet/Vinyl/Tile 8315-1000 - - - - - - - - - - - 4,000 4,000 8 23 Furniture 8315-5000 112,000 - - - - - - - - - - - 112,000 211 636 Total Recurring Capital 112,000 - - - - - - - - - - 4,000 116,000 219 659 NET OPERATING INCOME (LOSS) BEFORE DEBT SERVICE & CAPITAL 6/5/2014 Page 7of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 2.0% Capital Improvements - Non Recurring Alarms/Access Systems 8315-0100 - - - - - - - - - - - - - - - Bldg Impr - Bathroom Renovations 8315-0300 - - - - - - - - - - - - - - - Boilers 8315-0500 - - - - - - - - - - - - - - - Building 8315-0600 - - - - - - - - - - - - - - - Building - Exterior 8315-0700 - - - - - - - - - - - - - - - Building - Interior 8315-0800 - - - - - - - - - - - - - - - Building - Structural 8315-0900 - - - - - - - - - - - - - - - Clubhouse/Model 8315-1200 - - - - - - - - - - - - - - - Carports 8315-1100 - - - - - - - - - - - - - - - Computers 8315-4000 - - - - - - - - - - - - - - - Countertop/Sink/Cabinets 8315-1400 - - - - - - - - - - - - - - - Doors & Related Hardware 8315-1500 - - - - - - - - - - - - - - - Electrical 8315-1600 - - - - - - - - - - - - - - - Elevators 8315-1700 - - - - - - - - - - - - - - - Equipment (Office & Maintenance)8315-5100 - - - - - - - - - - - - - - - Fencing & Gates 8315-1800 - - - - - - - - - - - - - - - Fire/Safety 8315-1900 - - - - - - - - - - - - - - - Glass, Mirrors & Screens 8315-2000 - - - - - - - - - - - - - - - Golf Cart 8315-8100 - - - - - - - - - - - - - - - HVAC 8315-2100 - - - - - - - - - - - - - - - Keys & Locks 8315-2200 - - - - - - - - - - - - - - - Landscaping 8315-2300 - - - - - - - - - - - - - - - Light Fixtures 8315-2500 - - - - - - - - - - - - - - - Miscellaneous 8315-2700 - - - - - - - - - - - - - - - Painting (Exterior)8315-2900 - - - - - - - - - - - - - - - Parking Lot & Sidewalks 8315-3000 - - - - - - - - - - - - - - - Personal Property 8315-8000 - - - - - - - - - - - - - - - Plumbing 8315-3100 - - - - - - - - - - - - - - - Pools 8315-3200 - - - - - - - - - - - - - - - Pool Furniture 8315-5900 - - - - - - - - - - - - - - - Recreation/Amenity Areas 8315-3300 - - - - - - - - - - - - - - - Renovations (Units)8315-3400 - - - - - - - - - - - - - - - Roofs 8315-3600 - - - - - - - - - - - - - - - Signage 8315-3700 - - - - - - - - - - - - - - - Site Improvements 8315-3800 - - - - - - - - - - - - - - - Tenant Improvements 8315-3900 - - - - - - - - - - - - - - - Tubs/Showers 8315-3950 - - - - - - - - - - - - - - - Total Non Recurring Capital - - - - - - - - - - - - - - - 0.0% Escrow Accounts Tax Reserve 1080-0100 - - - - - - - - - - - - - - - Tax Funding 1080-0100 - - - - - - - - - - - - - - - Insurance Reserve 1080-0300 - - - - - - - - - - - - - - - Insurance Reserve Funding 1080-0300 - - - - - - - - - - - - - - - Replacement Reserve 1080-0400 - 88,485 - - 50,000 - - - - - - - 138,485 261 787 Replacement Reserve Reimb.1080-0400 - - - - - - - - - - - - - - - Net Escrow Activity - 88,485 - - 50,000 - - - - - - - 138,485 261 787 6/5/2014 Page 8of8 Cambridge at CS College Station, TX 77840 2014-2015 Cambridge at CS Budget 176 = Units $0 530 = Beds 131,164 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 2.3% Other Expenses Accounting / Audit / Tax 8905-0000 - - - - - - - - - - - - - - - Administrative Expense 8910-0000 - - - - - - - - - - - - - - - Prior Year Operating Expenses 8965-0000 - - - - - - - - - - - - - - - Legal/LLC fees 8950-0000 - - - - - - - - - - - - - - - Travel 8995-0000 - - - - - - - - - - - - - - - Start Up Cost 8983-0000 - - - - - - - - - - - - - - - Miscellaneous 8960-0000 - - - - - - - - - - - - - - - Asset Management 8915-0000 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 128,640 243 731 Total Other Expenses 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 10,720 128,640 243 731 2.2% INCOME (LOSS) Before Depr / Amort (35,616) 176,625 246,116 255,330 264,913 260,758 262,417 259,961 287,026 (93,424) (97,821) 273,219 2,059,506 3,886 11,702 Distribution Payments 4201-0000 - - - - - - - - - - - - - - - 0.0% MONTHLY CASH FLOW (35,616) 176,625 246,116 255,330 264,913 260,758 262,417 259,961 287,026 (93,424) (97,821) 273,219 2,059,506 3,886 11,702 34.7% Cumulative Cash Flow Estimate (35,616) 141,009 387,125 642,456 907,369 1,168,127 1,430,544 1,690,505 1,977,532 1,884,108 1,786,287 2,059,506 2,059,506 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed Unit Projected Beds-->635 635 635 635 635 635 635 635 635 633 633 635 OCCUPANCY %97.99%97.99%97.99%97.99%97.99%97.99%97.99%97.99%97.99%97.69%97.69%97.99%97.94% OPERATING INCOME Gross Potential Rent Gross Market Rent 5005-0000 283,140 283,140 283,140 283,140 283,140 283,140 283,140 283,140 283,140 283,140 283,140 283,140 3,397,680 5,243 15,730 Contract Gain (Loss) to Lease 5010-0000 2,248 2,248 2,248 2,248 2,248 2,248 2,248 2,248 2,248 2,248 (10,922) (10,922) 636 1 3 Total Gross Potential Rent 285,388 285,388 285,388 285,388 285,388 285,388 285,388 285,388 285,388 285,388 272,218 272,218 3,398,316 5,244 15,733 Economic Variances Concessions - New Leases 5030-0200 (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (9,570) (114,840) (177) (532) Concessions - Renewals 5030-0400 (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (5,710) (68,520) (106) (317) Employee Units 5045-0000 (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (7,559) (90,710) (140) (420) Model Units 5055-0000 - - - - - - - - - - - - - - - Bad Debt 5025-0000 (4,247) (2,831) (2,831) (2,831) (4,955) (2,831) (2,831) (2,831) (2,831) (2,831) (2,831) (5,663) (40,347) (62) (187) Vacancy Loss 5065-0000 (5,680) (5,680) (5,680) (5,680) (5,680) (5,680) (5,680) (5,680) (5,680) (6,554) (6,554) (5,680) (69,911) (108) (324) Total Economic Variances (32,767) (31,351) (31,351) (31,351) (33,474) (31,351) (31,351) (31,351) (31,351) (32,225) (32,225) (34,182) (384,328) (593) (1,779) 88.43%88.93%88.93%88.93%88.18%88.93%88.93%88.93%88.93%88.62%88.62%87.93%88.69% NET RENTAL INCOME 252,621 254,037 254,037 254,037 251,914 254,037 254,037 254,037 254,037 253,163 239,993 $238,036 $3,013,988 $4,651 $13,954 88.7% Other Operating Income Accelerated Rent 5205-0000 - - - - - - - - - - - - - - - Administrative Fees 5210-0000 75 75 75 75 75 75 75 75 75 75 75 75 900 1 4 Application Fees 5220-0000 - - - - - - - - - - - - - - - Bad Debt Recovery 5225-0000 - - - - - - - - - - - - - - - Clubhouse Rental 5240-0000 - - - - - - - - - - - - - - - Damages Income 5260-0000 2,500 1,500 500 500 500 500 500 500 500 500 500 5,500 14,000 22 65 Deposit Forfeitures 5265-0000 1,050 - - - - - - - - - - - 1,050 2 5 Carport/Garages/Parking Income 5235-0000 960 960 960 960 960 960 960 960 960 960 960 960 11,520 18 53 Key & Access Card Income 5290-0000 - - - - - - - - - - - - - - - Legal & Collections 5310-0000 - - - - - - - - - - - - - - - Late Charges 5295-0000 2,650 2,650 2,650 2,600 2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650 31,750 49 147 Month-to-Month Fees 5320-0000 200 250 200 250 200 250 200 250 200 - - - 2,000 3 9 NSF Check Fees 5325-0000 90 60 60 90 90 60 30 60 60 60 60 60 780 1 4 Pet Fees 5330-0000 400 200 - 200 200 - 200 - 200 - - 600 2,000 3 9 Premium Fees 5335-0000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000 19 56 Relet/Cancellation Fees 5340-0000 800 400 400 800 1,200 800 400 800 1,600 1,200 1,600 3,200 13,200 20 61 Reservation Fees 5350-0000 - - - - - - - - - - - - - - - Sublease Fee 5366-0000 - - - - - - - - - - - - - - - Storage Income 5365-0000 - - - - - - - - - - - - - - - Transfer Fees 5375-0000 - - - - - - - - - - - - - - - Vending Income 5390-0000 - - - - - - - - - - - - - - - Miscellaneous Income 5315-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 RUBS Income - Electric 5370-0100 - - - - - - - - - - - - - - - RUBS Income - Water 5370-0300 - - - - - - - - - - - - - - - Interest Income 5285-0000 - - - - - - - - - - - - - - - Total Other Operating Income 9,825 7,195 5,945 6,575 6,975 6,395 6,115 6,395 7,345 6,545 6,945 14,145 90,400 140 419 2.7% EFFECTIVE GROSS INCOME 262,446 261,232 259,982 260,612 258,889 260,432 260,152 260,432 261,382 259,708 246,938 252,181 3,104,388 4,791 14,372 Account Descriptions 6/5/2014 6/5/2014 Page 1of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 91.4% OPERATING EXPENSES General & Administrative Legal 6002-0300 - 300 - - 300 - - 300 - - 300 - 1,200 2 6 Bank Charges/Fees 6005-0000 454 454 454 454 454 454 454 454 454 454 454 454 5,447 8 25 Data Processing/Computer Expense 6030-0000 467 467 467 467 467 467 467 687 467 467 467 467 5,824 9 27 Collection & Eviction Processing 6020-0000 - 716 - 116 - 116 - 116 - 116 - 116 1,296 2 6 Resident Screening 6095-0000 600 600 600 600 600 600 600 600 600 600 600 600 7,200 11 33 Dues & Subscriptions 6035-0000 - - - - - - - - - - - - - - - Equipment & Supplies 6045-0000 750 750 750 750 750 750 750 750 750 750 750 750 9,000 14 42 Postage & Delivery 6070-0000 315 315 315 315 315 315 315 315 315 315 315 315 3,780 6 18 Licenses, Fees & Permits 6060-0000 - 800 - 50 500 - - 400 - 400 400 - 2,550 4 12 Professional Fees 6080-0000 260 260 260 260 260 260 260 260 260 260 260 260 3,120 5 14 Rent - Water Cooler 6085-0500 - - - - - - - - - - - - - - - Rent Refunds - Residents 6090-0000 5,000 - - - - - - - - - - - 5,000 8 23 Supplies 6100-0000 - - - - - - - - - - - - - - - Telephone 6105-0000 900 900 900 900 900 900 900 900 900 900 900 900 10,800 17 50 Telephone-Answering Service 6110-0000 165 165 165 165 165 165 165 165 165 165 165 165 1,980 3 9 Training 6115-0000 660 210 60 60 210 1,610 60 210 660 60 210 60 4,076 6 19 Travel 6120-0000 210 210 210 210 210 210 210 210 210 210 210 210 2,520 4 12 Uniforms 6135-0000 200 200 200 200 200 200 200 200 200 200 200 200 2,400 4 11 Miscellaneous 6065-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 Total General & Administrative 10,081 6,447 11,981 4,647 8,931 6,147 4,481 5,667 5,081 4,997 5,331 4,597 78,393 121 363 2.5% Payroll & Benefits Office Salaries 6205-0000 9,331 8,331 8,331 8,331 12,497 8,331 8,331 8,331 8,331 8,331 8,331 12,753 109,565 169 507 Commissions 6265-0000 6,500 - - - - 1,500 1,500 1,500 500 - - - 11,500 18 53 Bonuses 6260-0000 - 6,500 - - - - - - - - - - 6,500 10 30 Maintenance 6225-0000 8,716 7,216 7,216 7,216 10,825 7,216 7,216 7,216 7,216 7,216 7,216 10,825 95,312 147 441 Payroll Taxes 6270-0100 2,933 2,635 1,858 1,858 2,787 2,037 2,037 2,037 1,918 1,858 1,858 2,818 26,634 41 123 Worker's Compensation 6270-0200 2,713 2,436 1,718 1,718 2,577 1,884 1,884 1,884 1,773 1,718 1,718 2,605 24,628 38 114 Group Insurance 6280-0000 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 2,100 25,200 39 117 Employee Recruiting 6290-0000 - 50 - 50 - 50 - 50 - 50 - 50 300 0 1 Employee Relations 6295-0000 - - - - - - - - - - - - - - - Total Payroll & Benefits 32,294 29,269 21,224 21,274 30,786 23,119 23,069 23,119 21,839 21,274 21,224 31,151 299,639 462 1,387 9.7% Contract Services Contract-Alarm/Monitoring-Intrusion/Fire 6305-0000 175 175 175 175 175 175 175 175 175 175 175 175 2,100 3 10 Contract-Bus Service 6310-0000 - - - - - - - - - - - - - - - Contract-Cleaning 6315-0000 - - - - - - - - - - - - - - - Contract-Elevator 6325-0000 - - - - - - - - - - - - - - - Contract - HVAC 6335-0000 - - - - - - - - - - - - - - - Contract - Fire/Safety 6327-0000 - - - - - - - - - - - - - - - Contract-Landscape Maintenance 6340-0000 2,675 2,675 2,675 2,675 2,675 2,675 2,675 2,675 2,675 2,675 2,675 2,675 32,100 50 149 Contract-Other Contract Services 6345-0000 300 300 300 300 300 300 300 300 300 300 300 300 3,600 6 17 Contract-Parking 6348-0000 - - - - - - - - - - - - - - - Contract-Security/Patrol/Courtesy Officer 6365-0000 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 15,600 24 72 Contract-Pest Control 6350-0000 600 1,050 600 600 1,050 600 600 1,050 600 600 1,050 600 9,000 14 42 Contract-Pool 6360-0000 - - - - - - - - - - - - - - - Contract-Snow Removal 6370-0000 - - - - - - - - - - - - - - - Contract-Trash Removal 6375-0000 3,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 3,350 20,200 31 94 Total Contract Services 8,400 6,850 6,400 6,400 6,850 6,400 6,400 6,850 6,400 6,400 6,850 8,400 82,600 127 382 6/5/2014 Page 2of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 2.7% Repairs & Maintenance Appliances 6410-0000 450 450 450 450 450 450 450 450 450 450 450 450 5,400 8 25 Blind/Drapes 6415-0000 - - - - - - - - - - - - - - - Boilers 6420-0000 - - - - - - - - - - - - - - - Building - Interior 6425-0100 500 200 200 200 200 200 200 200 200 200 200 700 3,200 5 15 Building - Exterior 6425-0200 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 Common Areas 6440-0000 75 75 75 75 75 75 75 75 75 75 75 75 900 1 4 Doors/Windows 6450-0000 - - - - 300 - - - 300 - - 500 1,100 2 5 Electrical 6455-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 Elevators 6460-0000 - - - - - - - - - - - - - - - Fencing & Gates 6470-0000 - 400 - - 400 - - 400 - - 2,400 - 3,600 6 17 Fire/Safety 6475-0000 300 2,600 300 300 300 300 2,900 300 300 300 300 2,800 11,000 17 51 Generator 6483-0000 - - - - - - - - - - - - - - - Glass/Mirrors/Screens 6485-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 HVAC 6495-0000 1,000 1,000 400 400 800 400 600 1,200 800 800 1,400 1,000 9,800 15 45 Keys & Locks 6500-0000 100 100 100 100 100 100 100 100 100 100 100 1,100 2,200 3 10 Landscaping 6510-0000 5,000 4,500 - - - - - - - - - - 9,500 15 44 Lights, Fixtures, Light Bulbs 6520-0000 200 200 200 700 200 200 200 200 700 200 200 1,200 4,400 7 20 Miscellaneous 6525-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 Painting 6530-0000 50 50 50 50 50 50 50 50 50 50 50 50 600 1 3 Parking Lots & Sidewalks 6535-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 6 Plumbing 6540-0000 825 175 175 425 175 175 425 175 175 175 175 3,825 6,900 11 32 Pools 6545-0000 425 425 425 425 425 425 425 425 425 425 425 425 5,100 8 24 Recreation 6550-0000 - - - - - - - - - - - - - - - Roofs 6555-0000 - 500 - - 500 - - 500 - - 500 - 2,000 3 9 Signs 6560-0000 - - - - - - - - - - - - - - - Supplies 6570-0000 100 100 100 100 100 100 100 100 100 100 100 1,600 2,700 4 13 Tools 6575-0000 125 125 125 125 125 125 125 125 125 125 125 125 1,500 2 7 Water Treatment 6580-0000 - - - - - - - - - - - - - - - Total Repairs & Maintenance 9,650 11,400 3,100 3,850 4,700 3,100 6,150 4,800 4,300 3,500 7,000 14,350 75,900 117 351 2.4% Make-Ready Maintenance Contract Services Carpet Cleaning/Repairs 6610-0000 11,785 10,785 - - 450 - 600 - 450 - - - 24,070 37 111 Cleaning 6615-0000 14,875 14,875 - - - - - - - - - - 29,750 46 138 Painting 6635-0000 24,000 24,000 - - 300 - - - 300 - - - 48,600 75 225 Total Make-Ready Contract Services 50,660 49,660 - - 750 - 600 - 750 - - - 102,420 158 474 Supplies Interior Repairs 6630-0000 3,500 - - - - - - - - - 1,000 1,000 5,500 8 25 Appliance Supplies 6652-0000 - - - - - - - - - - - 500 500 1 2 Cleaning Supplies 6655-0000 `1,000 100 100 100 100 100 100 100 100 100 100 100 2,100 3 10 Paint Supplies 6660-0000 4,000 4,000 25 25 25 25 25 25 25 25 25 25 8,250 13 38 Sheetrock 6665-0000 1,250 - - - - - - - 500 - - 500 2,250 3 10 Total Make-Ready Supplies 9,750 4,100 125 125 125 125 125 125 625 125 1,125 2,125 18,600 29 86 Total Make-Ready Maintenance 60,410 53,760 125 125 875 125 725 125 1,375 125 1,125 2,125 121,020 187 560 6/5/2014 Page 3of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 3.9% Marketing Advertising Print 6705-0200 150 150 150 150 150 150 150 150 150 150 150 150 1,800 3 8 Publications 6730-0000 - 500 1,500 500 - 500 - - 500 1,500 500 - 5,500 8 25 Direct Mail 6715-0000 - - 1,500 - - 1,500 - - - - - - 3,000 5 14 Radio 6705-0300 - - - - - - 2,500 - - - - - 2,500 4 12 Signs 6735-0000 - 300 - - 300 - - 1,000 - - 300 - 1,900 3 9 Internet Ads 6720-0000 1,006 1,006 1,006 1,112 1,006 1,006 1,006 1,006 1,006 1,006 1,006 1,206 12,378 19 57 Other 6748-0000 - - - - - - - - - - - - - - - Total Advertising 1,156 1,956 4,156 1,762 1,456 3,156 3,656 2,156 1,656 2,656 1,956 1,356 27,078 42 125 Other Marketing Brochures 6750-0000 - - 2,250 - 4,250 - - - - - - - 6,500 10 30 Locator Fees 6760-0000 7,500 7,500 - - - - - - - - - - 15,000 23 69 Portal Expense 6770-0000 50 50 50 50 50 50 50 50 50 50 50 50 600 1 3 Referral Fees 6780-0000 - - - - - - - - - - - - - - - Promotion & Events 6775-0000 17,500 - - - - - - - - - - - 17,500 27 81 Resident Activities/Tenant Relations 6790-0000 1,000 1,000 1,000 500 500 500 500 500 500 200 200 200 6,600 10 31 Websites 6740-0000 500 500 500 500 500 500 500 500 500 500 500 500 6,000 9 28 Total Other Marketing 26,550 9,050 3,800 1,050 5,300 1,050 1,050 1,050 1,050 750 750 750 52,200 81 242 Total Marketing 27,706 11,006 7,956 2,812 6,756 4,206 4,706 3,206 2,706 3,406 2,706 2,106 79,278 122 367 2.6% Cable & Internet Cable TV 6805-0000 6,480 6,480 6,480 6,480 6,480 6,480 6,480 6,480 6,480 6,480 6,480 6,480 77,760 120 360 Internet 6825-0000 8,424 8,424 8,424 8,424 8,424 8,424 8,424 8,424 8,424 8,424 8,424 8,424 101,088 156 468 Total Cable / Internet 14,904 14,904 14,904 14,904 14,904 14,904 14,904 14,904 14,904 14,904 14,904 14,904 178,848 276 828 5.8% Utilities Electricity Elec-Common Area 6910-0100 3,120 2,903 4,008 1,981 4,377 3,830 2,426 2,342 2,885 3,628 4,886 5,740 42,126 65 195 Elec-Residential Units 6910-0200 - - - - - - - - - - - - - - - Elec-Vacant Units 6910-0900 13,000 1,950 - - 650 - - - - - - - 15,600 24 72 Total Electricity 16,120 4,853 4,008 1,981 5,027 3,830 2,426 2,342 2,885 3,628 4,886 5,740 57,726 89 267 Other Utilities - - Gas 6920-0000 103 196 158 100 227 192 185 404 312 235 126 160 2,398 4 11 Water / Sewer 6930-0000 36,830 35,560 34,290 33,020 33,020 34,290 34,290 36,195 37,465 39,246 39,879 40,640 434,725 671 2,013 Utility Billing Fee 6950-0000 - - - - - - - - - - - - - - - Total Other Utilities 36,933 35,756 34,448 33,120 33,247 34,482 34,475 36,599 37,777 39,481 40,005 40,800 437,123 675 2,024 Total Utilities 53,053 40,609 38,456 35,101 38,274 38,312 36,901 38,941 40,662 43,109 44,891 46,540 494,849 764 2,291 15.9% Management Fees 6990-0000 10,498 10,449 10,399 10,424 10,356 10,417 10,406 10,417 10,455 10,388 9,878 10,087 124,176 192 575 6/5/2014 Page 4of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 4.0% Taxes Property Taxes 7005-0000 - - - - - - - - - - - - - - - Personal Property Taxes 7010-0000 - - - - - - - - - - - - - - - Property Tax Consultant 7020-0000 - - - - - - - - - - - - - - - Franchise Taxes 7060-0000 - - - - - - - - - - - - - - - Total Taxes - - - - - - - - - - - - - - - 0.0% Insurance Ins-Property & Casualty Insurance 7105-0100 5,815 5,815 5,815 - - - - - 9,021 14,474 5,815 5,815 52,570 81 243 Total Insurance 5,815 5,815 5,815 - - - - - 9,021 14,474 5,815 5,815 52,570 81 243 1.7% TOTAL OPERATING EXPENSES 232,811 190,509 120,360 99,537 122,432 106,730 107,742 108,029 116,743 122,578 119,724 140,075 1,587,272 2,449 7,348 51.1% 29,635 70,723 139,622 161,075 136,457 153,702 152,410 152,403 144,639 137,131 127,215 112,105 1,517,115 2,341 7,024 48.9% Debt Service Interest Expense 7210-0000 - - - - - - - - - - - - - - - Ground Lease 7270-0000 - - - - - - - - - - - - - - - Mortgage Principal 2900-0000 - - - - - - - - - - - - - - - Total Interest / Financing Costs - - - - - - - - - - - - - - - 0.0% Capital Improvements Washer/Dryer 8315-0280 - - - - - - - - - - - - - - - Blinds 8315-0400 3,000 - - - - - - - - - - 500 3,500 5 16 Carpet/Vinyl/Tile 8315-1000 23,062 - - - - - - - - - - - 23,062 36 107 Furniture 8315-5000 24,000 - - - - - - 24,000 - - - - 48,000 74 222 Total Recurring Capital 53,062 1,500 500 500 500 500 500 24,500 500 500 500 2,500 85,562 132 396 NET OPERATING INCOME (LOSS) BEFORE DEBT SERVICE & CAPITAL 6/5/2014 Page 5of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 2.8% Capital Improvements - Non Recurring Alarms/Access Systems 8315-0100 - - - - - - - - - - - - - - - Bldg Impr - Bathroom Renovations 8315-0300 - - - - - - - - - - - - - - - Boilers 8315-0500 - - - - - - - - - - - - - - - Building 8315-0600 - - - - - - - - - - - - - - - Building - Exterior 8315-0700 - - - - - - - - - - - - - - - Building - Interior 8315-0800 - - - - - - - - - - - - - - - Building - Structural 8315-0900 - - - - - - - - - - - - - - - Clubhouse/Model 8315-1200 - - - - - - - - - - - - - - - Carports 8315-1100 - - - - - - - - - - - - - - - Computers 8315-4000 - - - - - - - - - - - - - - - Countertop/Sink/Cabinets 8315-1400 - - - - - - - - - - - - - - - Doors & Related Hardware 8315-1500 - - - - - - - - - - - - - - - Electrical 8315-1600 - - - - - - - - - - - - - - - Elevators 8315-1700 - - - - - - - - - - - - - - - Equipment (Office & Maintenance)8315-5100 3,000 300 - - - - - - - - - - 3,300 5 15 Fencing & Gates 8315-1800 3,000 - - - - - - - - - - - 3,000 5 14 Fire/Safety 8315-1900 - - - - - - - - - - - - - - - Glass, Mirrors & Screens 8315-2000 - - - - - - - - - - - - - - - Golf Cart 8315-8100 - - - - - - - - - - - - - - - HVAC 8315-2100 200 1,000 - - - - 1,000 1,000 1,000 1,000 1,000 1,000 7,200 11 33 Keys & Locks 8315-2200 - - - - - - - - - - - - - - - Landscaping 8315-2300 - - - - - - - - - - - - - - - Light Fixtures 8315-2500 - - - - - - - - - - - - - - - Miscellaneous 8315-2700 - - - - - - - - - - - - - - - Painting (Exterior)8315-2900 - - - - - - - - - - - - - - - Parking Lot & Sidewalks 8315-3000 - - - - - - - - - - - - - - - Personal Property 8315-8000 - - - - - - - - - - - - - - - Plumbing 8315-3100 - - - - - - - - - - - - - - - Pools 8315-3200 - - - - - - - - - - - - - - - Pool Furniture 8315-5900 10,000 - - - - - - - - - - - 10,000 15 46 Recreation/Amenity Areas 8315-3300 - - - - - - - - - - - - - - - Renovations (Units)8315-3400 - - - - - - - - - - - - - - - Roofs 8315-3600 - - - - - - - - - - - - - - - Signage 8315-3700 - - - - - - - - - - - - - - - Site Improvements 8315-3800 - - - - - - - - - - - - - - - Tenant Improvements 8315-3900 - - - - - - - - - - - - - - - Tubs/Showers 8315-3950 - - - - - - - - - - - - - - - Total Non Recurring Capital 16,200 1,300 - - - - 1,000 1,000 1,000 1,000 1,000 1,000 23,500 36 109 0.8% Escrow Accounts Tax Reserve 1080-0100 - - - - - - - - - - - - - - - Tax Funding 1080-0100 - - - - - - - - - - - - - - - Insurance Reserve 1080-0300 - - - - - - - - - - - - - - - Insurance Reserve Funding 1080-0300 - - - - - - - - - - - - - - - Replacement Reserve 1080-0400 - - - - - - - - - - - - - - - Replacement Reserve Reimb.1080-0400 - - - - - - - - - - - - - - - Net Escrow Activity - - - - - - - - - - - - - - - 6/5/2014 Page 6of10 Town Lake Austin, TX 78741 2014-2015 Town Lake Budget 216 = Units $0 648 = Beds 208,080 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 0.0% Other Expenses Accounting / Audit / Tax 8905-0000 - - - - - - - - - - - - - - - Administrative Expense 8910-0000 - - - - - - - - - - - - - - - Prior Year Operating Expenses 8965-0000 - - - - - - - - - - - - - - - Legal/LLC fees 8950-0000 - - - - - - - - - - - - - - - Travel 8995-0000 - - - - - - - - - - - - - - - Start Up Cost 8983-0000 - - - - - - - - - - - - - - - Miscellaneous 8960-0000 - - - - - - - - - - - - - - - Asset Management 8915-0000 - - - - - - - - - - - - - - - Total Other Expenses - - - - - - - - - - - - - - - 0.0% INCOME (LOSS) Before Depr / Amort (39,627) 67,923 139,122 160,575 135,957 153,202 150,910 126,903 143,139 135,631 125,715 108,605 1,408,053 2,173 6,519 Distribution Payments 4201-0000 - - - - - - - - - - - - - - - 0.0% MONTHLY CASH FLOW (39,627) 67,923 139,122 160,575 135,957 153,202 150,910 126,903 143,139 135,631 125,715 108,605 1,408,053 2,173 6,519 45.4% Cumulative Cash Flow Estimate (39,627) 28,296 167,418 327,993 463,950 617,151 768,061 894,964 1,038,103 1,173,733 1,299,448 1,408,053 1,408,053 6/5/2014 Page 7of10 2014-2015 Exp 2013-2014 2014-2015 $ Ratio Reforcast Budget $ Variance % Variance Per Bed to NRI REVENUE Gross Potential Rent 3,302,271 3,398,316 96,045 2.91%5,244 Economic Losses (339,919)(384,328)(44,409)13.06%(593)X 9 more TSHA scholarships and greater renewal concessions due to early renewal velocity Net Rental Income 2,962,352 3,013,988 51,636 1.74%4,651 Other Income 99,064 90,400 (8,664)-8.75%140 X Less late fees due to on-time payments by residents EFFECTIVE GROSS INCOME 3,061,416 3,104,388 42,972 1.40%4,791 CONTROLLABLE OPERATING EXPENSES General & Administration 76,305 78,393 2,088 2.74%121 2.6% Payroll & Benefits 272,544 299,639 27,095 9.94%462 9.9%X Was not fully staffed entire 2013-2014 year Contract Services 56,191 82,600 26,409 47.00%127 2.7%X Did not have landscape for 2013-2014 Repairs & Maintenance 82,557 75,900 (6,657)-8.06%117 2.5%X The rentention ponds had to be redone in 2013-2014. Not anticipating expenses this large in 2014-2015 Make Ready 92,398 121,020 28,622 30.98%187 4.0%X Not as many renewals for 2014 Turn Marketing 48,932 79,278 30,346 62.02%122 2.6%X Anticipating more difficult market conditions due to competition renovations Utilities Expense 404,034 494,849 90,815 22.48%764 16.4%X Water rates increased 15% Cable & Internet 163,162 178,848 15,686 9.61%276 5.9%X increase in rates Management Fees 122,527 124,176 1,649 1.35%192 4.1% TOTAL CONTROLLABLE OPERATING EXPENSES 1,318,650 1,534,702 216,052 16.38%2,368 50.9% NON-CONTROLLABLE OPERATING EXPENSES Taxes 0 0 0 0.00%0 0.0% Insurance 43,195 52,570 9,375 21.70%81 1.7%X insurance increase 0.0% TOTAL NON-CONTROLLABLE OPERATING EXPENSES 43,195 52,570 9,375 21.70%81 1.7% CASH FLOW FROM OPERATIONS 1,699,571 1,517,115 (182,456)-10.74%2,341 DEBT SERVICE Interest and Principal 0 0 0 0.00%0 TOTAL DEBT SERVICE 0 0 0 0 CASH FLOW AFTER DEBT SERVICE 1,699,571 1,517,115 (182,456)-10.74%2,341 Escrow Activity 0 0 0 0.00%0 Non-Operating Partnership Costs 0 0 0 0.00%0 Capital Expenditures 129,619 109,062 (20,557)-15.86%168 Distributions 0 0 0 0.00%0 NET CASH FLOW 1,569,952 1,408,053 (161,899)-10.31%2,173 DEBT COVERAGE RATIO 0.00 0.00 - all marked by red X. Town Lake Budget Comparisons 2014-2015 Enter Explanation for Variances over +/- 3% 2014-2015 Exp 2013-2014 2014-2015 $ Ratio Reforcast Budget $ Variance % Variance Per Bed to NRI - all marked by red X. Town Lake Budget Comparisons 2014-2015 Enter Explanation for Variances over +/- 3% Units 216 # Paychecks/Month 2 2 2 2 3 2 2 2 2 2 2 3 52 Bi-Weekly Pay %7.69%7.69%7.69%7.69%11.54%7.69%7.69%7.69%7.69%7.69%7.69%11.54%100.00% Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Manager Sheil Lopez FT 40 $21.15 $44,000 100%1 12 $3,385 $3,385 $3,385 $3,385 $5,077 $3,385 $3,385 $3,385 $3,385 $3,385 $3,385 $5,077 $44,000 Assistant Manager Conner Nobles FT 40 $14.42 $30,000 100%1 12 $2,308 $2,308 $2,308 $2,308 $3,462 $2,308 $2,308 $2,308 $2,308 $2,308 $2,308 $3,462 $30,000 Asst. Leasing Mgr.100%1 12 TBD 100%1 12 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $42.69 $2,220 100%$256 $256 Overtime - Management ----------------------------------------------------------------$0 Management Total $5,692 $5,692 $5,692 $5,692 $8,538 $5,692 $5,692 $5,692 $5,692 $5,692 $5,692 $8,795 $74,256 Leasing Manager Bryce Brinkley FT 40 $12.00 $24,960 100%1 12 $1,920 $1,920 $1,920 $1,920 $2,880 $1,920 $1,920 $1,920 $1,920 $1,920 $1,920 $2,880 $24,960 Resident Director 100%1 12 Receptionist 100%1 12 TBD 100%1 12 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $14.40 $749 100%1 12 $58 $58 $58 $58 $86 $58 $58 $58 $58 $58 $58 $86 $749 Overtime - Office Salaries ----------------------------------------------------------------$0 Office Salaries Total $1,978 $1,978 $1,978 $1,978 $2,966 $1,978 $1,978 $1,978 $1,978 $1,978 $1,978 $2,966 $25,709 Leasing Agent 100%1 12 Leasing Agent 100%1 12 Leasing Agent Lillian Situ PT 14 $4.40 $3,200 100%1 12 $246 $246 $246 $246 $369 $246 $246 $246 $246 $246 $246 $369 $3,200 CA #1 Norma Acosta PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #2 Joe Benjarano PT 14 $0.82 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #3 Jose Villapando PT 13 $0.89 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #4 Garrett Jackson PT 13 $0.89 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #5 Christine Alcaraz PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #6 Walida Hassan PT 12 $0.96 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #7 Vincente Rangle PT 13 $0.89 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #8 Denise Marquez PT 13 $0.89 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #9 Marcela Amaro PT 13 $0.89 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #10 100%1 12 CA #11 100%1 12 CA #12 100%1 12 CA #13 100%1 12 CA #14 100%1 12 CA #15 100%1 12 CA #16 100%1 12 Overtime - Leasing ----------------------------------------------------------------$1,000 $1,000 Leasing Total $1,662 $662 $662 $662 $992 $662 $662 $662 $662 $662 $662 $992 $9,600 Lead Maintenance Terry Wilburn FT 40 $20.19 $42,000 100%1 12 $3,231 $3,231 $3,231 $3,231 $4,846 $3,231 $3,231 $3,231 $3,231 $3,231 $3,231 $4,846 $42,000 Maintenance Ben Flouer FT 40 $13.50 $28,080 100%1 12 $2,160 $2,160 $2,160 $2,160 $3,240 $2,160 $2,160 $2,160 $2,160 $2,160 $2,160 $3,240 $28,080 Porter Victor Valdez FT 40 $10.10 $21,000 100%1 12 $1,615 $1,615 $1,615 $1,615 $2,423 $1,615 $1,615 $1,615 $1,615 $1,615 $1,615 $2,423 $21,000 Maintenance 100%1 12 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $52.55 $2,732 100%1 12 $210 $210 $210 $210 $315 $210 $210 $210 $210 $210 $210 $315 $2,732 Overtime - Maintenance ----------------------------------------------------------------$1,500 $1,500 Maintenance Total $8,716 $7,216 $7,216 $7,216 $10,825 $7,216 $7,216 $7,216 $7,216 $7,216 $7,216 $10,825 $95,312 Turn Help TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 Overtime - Turn Help ----------------------------------------------------------------$0 Contract Labor Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 62600000 Bonuses Admin Bonuses NA --------------------------------------------------------$0 $6,500 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $6,500 62650000 Leasing Cmmssns Leasing Bonuses NA --------------------------------------------------------$6,500 $0 $0 $0 $0 $1,500 $1,500 $1,500 $500 $0 $0 $0 $11,500 Other Payroll Costs Total $6,500 $6,500 $0 $0 $0 $1,500 $1,500 $1,500 $500 $0 $0 $0 $18,000 TOTAL PAYROLL COSTS $24,548 $22,048 $15,548 $15,548 $23,322 $17,048 $17,048 $17,048 $16,048 $15,548 $15,548 $23,578 $222,877 62700100 Payroll Taxes 11.95%----------------------------------------1 12 $2,933 $2,635 $1,858 $1,858 $2,787 $2,037 $2,037 $2,037 $1,918 $1,858 $1,858 $2,818 $26,634 62700200 Worker's Comp 11.05%----------------------------------------1 12 $2,713 $2,436 $1,718 $1,718 $2,577 $1,884 $1,884 $1,884 $1,773 $1,718 $1,718 $2,605 $24,628 62800000 Group Insurance $350 --------6 ------------------------1 12 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $25,200 TOTAL BENEFITS COSTS $7,746 $7,171 $5,676 $5,676 $7,464 $6,021 $6,021 $6,021 $5,791 $5,676 $5,676 $7,523 $76,462 TOTAL PAYROLL & BENEFITS COSTS $32,294 $29,219 $21,224 $21,224 $30,786 $23,069 $23,069 $23,069 $21,839 $21,224 $21,224 $31,101 $299,339 Cost per door $1,386 Cost per bed $462 Contract Labor or Additional Maintenance Total 62050000 Management 62050000 Office Salaries 62050000 Leasing Month End Interval 2014-2015 62250000 Maintenance MRI Code Department JOB TITLE/ POSITION 62250000 Town Lake Hours worked per week Annual Salary % of Salary Alloc. to First Month Start STATUS FT/PT Hourly Rate EMPLOYEE NAME Payroll 2014-2015 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed Unit Projected Beds-->756 756 756 756 756 756 756 756 756 756 756 756 OCCUPANCY %98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41%98.41% OPERATING INCOME Gross Potential Rent Gross Market Rent 5005-0000 389,260 389,260 389,260 389,260 389,260 389,260 389,260 389,260 389,260 389,260 389,260 389,260 4,671,120 6,082 16,564 Contract Gain (Loss) to Lease 5010-0000 1,968 1,968 1,968 1,968 1,968 1,968 1,968 1,968 1,968 1,968 (23,089) (23,089) (26,498) (35) (94) Total Gross Potential Rent 391,228 391,228 391,228 391,228 391,228 391,228 391,228 391,228 391,228 391,228 366,171 366,171 4,644,622 6,048 16,470 Economic Variances Concessions - New Leases 5030-0200 (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (12,816) (153,792) (200) (545) Concessions - Renewals 5030-0400 (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (5,667) (68,004) (89) (241) Employee Units 5045-0000 (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (6,697) (80,362) (105) (285) Model Units 5055-0000 - - - - - - - - - - - - - - - Bad Debt 5025-0000 (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (3,893) (46,711) (61) (166) Vacancy Loss 5065-0000 (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (6,182) (74,181) (97) (263) Total Economic Variances (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (35,254) (423,050) (551) (1,500) 90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94%90.94% NET RENTAL INCOME 355,974 355,974 355,974 355,974 355,974 355,974 355,974 355,974 355,974 355,974 330,917 $330,917 $4,221,572 $5,497 $14,970 90.9% Other Operating Income Accelerated Rent 5205-0000 - - - - - - - - - - - - - - - Administrative Fees 5210-0000 - - - - - - - - - - - - - - - Application Fees 5220-0000 - - - - - - - - - - - - - - - Bad Debt Recovery 5225-0000 - - - - - - - - - - - - - - - Clubhouse Rental 5240-0000 - - - - - - - - - - - - - - - Damages Income 5260-0000 1,500 - - - 500 - - 500 - - 150 8,500 11,150 15 40 Deposit Forfeitures 5265-0000 - - - - - - - - - - - - - - - Carport/Garages/Parking Income 5235-0000 740 740 740 740 740 740 740 740 740 740 740 740 8,880 12 31 Key & Access Card Income 5290-0000 50 50 50 50 50 50 50 50 50 50 50 50 600 1 2 Legal & Collections 5310-0000 - - - - - - - - - - - - - - - Late Charges 5295-0000 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 3,500 42,000 55 149 Month-to-Month Fees 5320-0000 600 600 600 600 450 450 450 450 450 - - 600 5,250 7 19 NSF Check Fees 5325-0000 80 80 80 80 80 80 80 80 80 80 80 80 960 1 3 Pet Fees 5330-0000 350 350 - - - - - - - - - 2,100 2,800 4 10 Premium Fees 5335-0000 500 500 500 500 500 500 500 500 500 500 500 500 6,000 8 21 Relet/Cancellation Fees 5340-0000 2,000 800 1,200 3,000 2,000 1,400 800 800 3,600 2,400 1,600 4,000 23,600 31 84 Reservation Fees 5350-0000 - - - - - - - - - - - - - - - Sublease Fee 5366-0000 - - - - - - - - - - - - - - - Storage Income 5365-0000 10 10 10 10 10 10 10 10 10 10 10 10 120 0 0 Transfer Fees 5375-0000 - - - - - - - - - - - - - - - Vending Income 5390-0000 - - - - - - - - - - - - - - - Miscellaneous Income 5315-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 4 RUBS Income - Electric 5370-0100 - - - - - - - - - - - - - - - RUBS Income - Water 5370-0300 - - - - - - - - - - - - - - - Interest Income 5285-0000 - - - - - - - - - - - - - - - Total Other Operating Income 9,430 6,730 6,780 8,580 7,930 6,830 6,230 6,730 9,030 7,380 6,730 20,180 102,560 134 364 2.2% EFFECTIVE GROSS INCOME 365,404 362,704 362,754 364,554 363,904 362,804 362,204 362,704 365,004 363,354 337,647 351,097 4,324,132 5,630 15,334 Account Descriptions 6/5/2014 6/5/2014 Page 1of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 93.1% OPERATING EXPENSES General & Administrative Legal 6002-0300 150 150 150 150 150 150 150 150 150 150 150 150 1,800 2 6 Bank Charges/Fees 6005-0000 340 340 340 340 340 340 340 340 340 340 340 340 4,079 5 14 Data Processing/Computer Expense 6030-0000 604 604 604 604 604 604 604 824 604 604 604 604 7,468 10 26 Collection & Eviction Processing 6020-0000 250 250 250 250 250 250 250 250 250 250 250 250 3,000 4 11 Resident Screening 6095-0000 390 390 390 390 390 390 390 390 390 390 390 390 4,680 6 17 Dues & Subscriptions 6035-0000 - - - - - - - - - - - - - - - Equipment & Supplies 6045-0000 700 700 700 700 700 700 700 700 700 700 700 700 8,400 11 30 Postage & Delivery 6070-0000 200 500 200 200 500 200 200 200 200 500 200 200 3,300 4 12 Licenses, Fees & Permits 6060-0000 - - - - - - - - 460 - - - 460 1 2 Professional Fees 6080-0000 145 145 145 145 145 145 145 145 145 145 145 145 1,740 2 6 Telephone 6105-0000 945 945 945 945 945 945 945 945 945 945 945 945 11,340 15 40 Telephone-Answering Service 6110-0000 125 125 125 125 125 125 125 125 125 125 125 125 1,500 2 5 Training 6115-0000 679 229 79 79 229 1,579 79 229 679 79 229 79 4,248 6 15 Travel 6120-0000 200 200 200 200 200 200 200 200 200 200 200 200 2,400 3 9 Uniforms 6135-0000 250 250 250 250 250 250 250 250 250 250 250 250 3,000 4 11 Miscellaneous 6065-0000 200 200 200 200 200 200 200 200 200 200 200 200 2,400 3 9 Total General & Administrative 5,178 5,028 12,578 4,578 7,928 6,078 4,578 6,948 5,638 4,878 4,728 4,578 72,715 95 258 1.7% Payroll & Benefits Office Salaries 6205-0000 11,558 10,058 10,058 10,058 15,087 10,058 10,058 10,058 10,058 10,058 10,058 15,494 132,658 173 470 Commissions 6265-0000 8,500 - - - 500 500 500 - - - - 10,000 13 35 Bonuses 6260-0000 - 8,200 - - - - - - - - - - 8,200 11 29 Maintenance 6225-0000 10,634 9,134 9,134 9,134 13,701 9,134 9,134 9,134 9,134 9,134 9,134 14,112 120,651 157 428 Payroll Taxes 6270-0100 3,668 3,273 2,293 2,293 3,440 2,353 2,353 2,353 2,293 2,293 2,293 3,538 32,445 42 115 Worker's Compensation 6270-0200 3,391 3,027 2,121 2,121 3,181 2,176 2,176 2,176 2,121 2,121 2,121 3,271 30,002 39 106 Group Insurance 6280-0000 2,450 2,450 2,450 2,450 2,450 2,450 2,450 2,450 2,450 2,450 2,450 2,450 29,400 38 104 Employee Recruiting 6290-0000 - 50 - 50 - 50 - 50 - 50 - 50 300 0 1 Employee Relations 6295-0000 - - - - - - - - - - - - - - - Total Payroll & Benefits 40,201 36,192 26,056 26,106 37,858 26,721 26,671 26,721 26,056 26,106 26,056 38,915 363,656 474 1,290 8.4% Contract Services Contract-Alarm/Monitoring-Intrusion/Fire 6305-0000 260 260 260 260 260 260 260 260 260 260 260 260 3,120 4 11 Contract-Bus Service 6310-0000 - - - - - - - - - - - - - - - Contract-Cleaning 6315-0000 - - - - - - - - - - - - - - - Contract-Elevator 6325-0000 - - - - - - - - - - - - - - - Contract - HVAC 6335-0000 - - - - - - - - - - - - - - - Contract - Fire/Safety 6327-0000 - - - - - - - - - - - - - - - Contract-Landscape Maintenance 6340-0000 2,900 2,900 2,900 2,900 2,900 2,900 2,900 2,900 2,900 2,900 2,900 2,900 34,800 45 123 Contract-Other Contract Services 6345-0000 300 300 300 300 300 300 300 300 300 300 300 300 3,600 5 13 Contract-Parking 6348-0000 - - - - - - - - - - - - - - - Contract-Security/Patrol/Courtesy Officer 6365-0000 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 15,600 20 55 Contract-Pest Control 6350-0000 700 550 550 550 550 550 550 550 550 700 550 550 6,900 9 24 Contract-Pool 6360-0000 - - - - - - - - - - - - - - - Contract-Snow Removal 6370-0000 - - - - - - - - - - - - - - - Contract-Trash Removal 6375-0000 3,900 1,800 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 7,000 26,200 34 93 Total Contract Services 9,360 7,110 6,810 6,810 6,810 6,810 6,810 6,810 6,810 6,960 6,810 12,310 90,220 117 320 6/5/2014 Page 2of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 2.1% Repairs & Maintenance Appliances 6410-0000 1,000 500 500 500 500 500 500 500 500 800 800 1,000 7,600 10 27 Blind/Drapes 6415-0000 20 20 20 20 20 20 20 20 20 20 20 20 240 0 1 Boilers 6420-0000 - - - - - - - - - - - - - - - Building - Interior 6425-0100 200 100 100 100 100 100 200 200 200 200 200 200 1,900 2 7 Building - Exterior 6425-0200 150 150 150 75 75 75 150 150 150 150 150 150 1,575 2 6 Common Areas 6440-0000 - - - - - - - - - - - - - - - Doors/Windows 6450-0000 250 50 50 50 50 50 50 50 50 50 250 500 1,450 2 5 Electrical 6455-0000 400 50 50 50 50 50 50 250 50 50 50 400 1,500 2 5 Elevators 6460-0000 - - - - - - - - - - - - - - - Fencing & Gates 6470-0000 150 150 750 150 150 750 150 150 150 150 2,500 750 5,950 8 21 Fire/Safety 6475-0000 - - - - - - - - 3,500 - - 400 3,900 5 14 Generator 6483-0000 - - - - - - - - - - - - - - - Glass/Mirrors/Screens 6485-0000 200 200 200 200 200 200 200 200 200 200 200 200 2,400 3 9 HVAC 6495-0000 2,000 1,500 500 500 500 500 750 750 1,000 1,500 2,000 2,000 13,500 18 48 Keys & Locks 6500-0000 1,500 50 50 50 50 50 50 50 50 50 50 1,500 3,500 5 12 Landscaping 6510-0000 50 50 50 50 50 50 50 50 50 50 50 50 600 1 2 Lights, Fixtures, Light Bulbs 6520-0000 2,600 100 100 100 100 100 100 100 100 300 300 2,000 6,000 8 21 Miscellaneous 6525-0000 100 100 100 100 100 100 100 100 100 100 100 100 1,200 2 4 Painting 6530-0000 300 50 50 100 100 100 100 100 100 100 300 100 1,500 2 5 Parking Lots & Sidewalks 6535-0000 - - - - - - - - - - - 1,500 1,500 2 5 Plumbing 6540-0000 1,000 200 200 200 200 200 200 200 200 200 200 1,000 4,000 5 14 Pools 6545-0000 750 200 200 200 300 300 700 700 700 700 700 700 6,150 8 22 Recreation 6550-0000 125 125 125 125 125 125 125 125 125 125 125 125 1,500 2 5 Roofs 6555-0000 750 - - 750 - - 750 - - 750 - - 3,000 4 11 Signs 6560-0000 - - - - - - - - - - 500 500 1,000 1 4 Supplies 6570-0000 250 150 150 100 150 250 250 250 250 250 250 250 2,550 3 9 Tools 6575-0000 50 50 50 50 50 50 50 50 50 50 50 50 600 1 2 Water Treatment 6580-0000 - - - - - - - - - - - - - - - Total Repairs & Maintenance 11,845 3,795 3,395 3,470 2,870 3,570 4,545 3,995 7,545 5,795 8,795 13,495 73,115 95 259 1.7% Make-Ready Maintenance Contract Services Carpet Cleaning/Repairs 6610-0000 14,730 14,730 60 60 210 60 420 60 60 60 60 - 30,510 40 108 Cleaning 6615-0000 20,345 20,345 - - 385 - - - 1,250 - - - 42,325 55 150 Painting 6635-0000 22,800 22,800 - - 780 - - - 720 - - - 47,100 61 167 Total Make-Ready Contract Services 57,875 57,875 60 60 1,375 60 420 60 2,030 60 60 - 119,935 156 425 Supplies Interior Repairs 6630-0000 7,500 - - - - - - - - - 1,500 2,500 11,500 15 41 Appliance Supplies 6652-0000 1,500 - - - - - - - - - 1,000 1,000 3,500 5 12 Cleaning Supplies 6655-0000 `2,500 - - - - - - - - - - 100 2,600 3 9 Paint Supplies 6660-0000 11,000 - - - - - - - - - - - 11,000 14 39 Sheetrock 6665-0000 - - - - - - - - - - - 250 250 0 1 Total Make-Ready Supplies 22,500 - - - - - - - - - 2,500 3,850 28,850 38 102 Total Make-Ready Maintenance 80,375 57,875 60 60 1,375 60 420 60 2,030 60 2,560 3,850 148,785 194 528 6/5/2014 Page 3of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 3.4% Marketing Advertising Print 6705-0200 300 300 300 300 150 150 150 800 150 - - 500 3,100 4 11 Publications 6730-0000 1,500 - 750 1,000 200 1,000 - 750 - 1,500 500 - 7,200 9 26 Direct Mail 6715-0000 - - - - - 1,000 1,000 - - - - - 2,000 3 7 Radio 6705-0300 - - - - - - 1,000 1,000 1,000 1,000 - - 4,000 5 14 Signs 6735-0000 - 250 - - - - - - 250 - - - 500 1 2 Internet Ads 6720-0000 1,039 1,039 1,039 1,145 1,039 1,039 1,039 1,039 1,039 1,039 1,039 1,239 12,774 17 45 Other 6748-0000 - - - - - - - - - - - - - - - Total Advertising 2,839 1,589 2,089 2,445 1,389 3,189 3,189 3,589 2,439 3,539 1,539 1,739 29,574 39 105 Other Marketing Brochures 6750-0000 - - 3,000 - - 8,100 - - - 3,000 - - 14,100 18 50 Locator Fees 6760-0000 5,000 10,000 2,000 1,000 1,000 - - - - - - - 19,000 25 67 Portal Expense 6770-0000 - - - - - - - - - - - - - - - Referral Fees 6780-0000 - - - - - - - - - - - - - - - Promotion & Events 6775-0000 15,000 - - - - - - - - - - - 15,000 20 53 Resident Activities/Tenant Relations 6790-0000 1,000 1,200 1,000 800 750 1,000 1,000 800 800 800 500 500 10,150 13 36 Websites 6740-0000 500 500 500 500 500 500 500 500 500 500 500 500 6,000 8 21 Total Other Marketing 21,500 11,700 6,500 2,300 2,250 9,600 1,500 1,300 1,300 4,300 1,000 1,000 64,250 84 228 Total Marketing 24,339 13,289 8,589 4,745 3,639 12,789 4,689 4,889 3,739 7,839 2,539 2,739 93,824 122 333 2.2% Cable & Internet Cable TV 6805-0000 6,768 6,768 6,768 6,768 6,768 6,768 6,768 6,768 6,768 6,768 6,768 6,768 81,216 106 288 Internet 6825-0000 10,752 10,752 10,752 10,752 10,752 10,752 10,752 10,752 10,752 10,752 10,752 10,752 129,024 168 458 Total Cable / Internet 17,520 17,520 17,520 17,520 17,520 17,520 17,520 17,520 17,520 17,520 17,520 17,520 210,240 274 746 4.9% Utilities Electricity Elec-Common Area 6910-0100 3,250 3,250 3,000 2,750 2,750 2,750 2,750 2,750 2,750 3,000 3,000 3,000 35,000 46 124 Elec-Residential Units 6910-0200 - - - - - - - - - - - - - - - Elec-Vacant Units 6910-0900 7,684 - - - - - - - - - - - 7,684 10 27 Total Electricity 10,934 3,250 3,000 2,750 2,750 2,750 2,750 2,750 2,750 3,000 3,000 3,000 42,684 56 151 Other Utilities - - Gas 6920-0000 125 125 125 125 125 125 125 125 125 125 125 125 1,500 2 5 Water / Sewer 6930-0000 32,500 32,500 32,500 32,500 32,500 32,500 32,500 32,500 32,500 32,500 32,500 32,500 389,995 508 1,383 Utility Billing Fee 6950-0000 - - - - - - - - - - - - - - - Total Other Utilities 32,625 32,625 32,625 32,625 32,625 32,625 32,625 32,625 32,625 32,625 32,625 32,625 391,495 510 1,388 Total Utilities 43,558 35,875 35,625 35,375 35,375 35,375 35,375 35,375 35,375 35,625 35,625 35,625 434,178 565 1,540 10.0% Management Fees 6990-0000 14,616 14,508 14,510 14,582 14,556 14,512 14,488 14,508 14,600 14,534 13,506 14,044 172,965 225 613 6/5/2014 Page 4of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 4.0% Taxes Property Taxes 7005-0000 - - - - - - - - - - - - - - - Personal Property Taxes 7010-0000 - - - - - - - - - - - - - - - Property Tax Consultant 7020-0000 - - - - - - - - - - - - - - - Franchise Taxes 7060-0000 - - - - - - - - - - - - - - - Total Taxes - - - - - - - - - - - - - - - 0.0% Insurance Ins-Property & Casualty Insurance 7105-0100 - - - - - - - - 59,134 - - - 59,134 77 210 Total Insurance - - - - - - - - 59,134 - - - 59,134 77 210 1.4% TOTAL OPERATING EXPENSES 246,992 191,191 125,142 113,245 127,931 123,434 115,095 116,825 178,446 119,316 118,138 143,076 1,718,832 2,238 6,095 39.7% 118,412 171,513 237,612 251,309 235,973 239,370 247,109 245,879 186,558 244,038 219,509 208,021 2,605,300 3,392 9,239 60.3% Debt Service Interest Expense 7210-0000 - - - - - - - - - - - - - - - Ground Lease 7270-0000 - - - - - - - - - - - - - - - Mortgage Principal 2900-0000 - - - - - - - - - - - - - - - Total Interest / Financing Costs - - - - - - - - - - - - - - - 0.0% Capital Improvements Washer/Dryer 8315-0280 - - - - - - - - - - - - - - - Blinds 8315-0400 - - - - - - - - - - 3,000 - 3,000 4 11 Carpet/Vinyl/Tile 8315-1000 114,150 - - - - - - - - - - 21,100 135,250 176 480 Furniture 8315-5000 91,037 - - - - - - 70,000 - - - - 161,037 210 571 Total Recurring Capital 211,687 2,500 1,500 1,500 3,500 1,500 1,500 71,500 1,500 1,500 5,000 24,600 327,787 427 1,162 NET OPERATING INCOME (LOSS) BEFORE DEBT SERVICE & CAPITAL 6/5/2014 Page 5of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 7.6% Capital Improvements - Non Recurring Alarms/Access Systems 8315-0100 - - - - - - - - - - - - - - - Bldg Impr - Bathroom Renovations 8315-0300 - - - - - - - - - - - - - - - Boilers 8315-0500 - - - - - - - - - - - - - - - Building 8315-0600 - - - - - - - - - - - - - - - Building - Exterior 8315-0700 - - - - - - - - - - - - - - - Building - Interior 8315-0800 - - - - - - - - - - - - - - - Building - Structural 8315-0900 - - - - - - - - - - - - - - - Clubhouse/Model 8315-1200 - - - - - - - - - - - - - - - Carports 8315-1100 - - - - - - - - - - - - - - - Computers 8315-4000 - - - - - - - - - - - - - - - Countertop/Sink/Cabinets 8315-1400 - - - - - - - - - - - - - - - Doors & Related Hardware 8315-1500 - - - - - - - - - - - - - - - Electrical 8315-1600 - - - - - - - - - - - - - - - Elevators 8315-1700 - - - - - - - - - - - - - - - Equipment (Office & Maintenance)8315-5100 - - - - - - - - - - - - - - - Fencing & Gates 8315-1800 - - - - - - - - - - - - - - - Fire/Safety 8315-1900 - - - - - - - - - - - - - - - Glass, Mirrors & Screens 8315-2000 - - - - - - - - - - - - - - - Golf Cart 8315-8100 - - - - - - - - - - - - - - - HVAC 8315-2100 3,500 1,500 1,000 - - - 1,000 1,000 1,500 2,000 2,500 5,500 19,500 25 69 Keys & Locks 8315-2200 - - - - - - - - - - - 900 900 1 3 Landscaping 8315-2300 - - - - - - - - - - - - - - - Light Fixtures 8315-2500 - - - - - - - - - - - - - - - Miscellaneous 8315-2700 - - - - - - - - - - - - - - - Painting (Exterior)8315-2900 - - - - - - - - - - - - - - - Parking Lot & Sidewalks 8315-3000 - - - - - - - - - - - - - - - Personal Property 8315-8000 - - - - - - - - - - - - - - - Plumbing 8315-3100 - - - - - - - - - - - - - - - Pools 8315-3200 - - - - - - - - - - - - - - - Pool Furniture 8315-5900 - - - - - - - - - - - - - - - Recreation/Amenity Areas 8315-3300 - - - - - - - - - - - - - - - Renovations (Units)8315-3400 75,000 75,000 - - - - - - - - - - 150,000 195 532 Roofs 8315-3600 - - - - - - - - - - - - - - - Signage 8315-3700 - - - - - - - - - - - - - - - Site Improvements 8315-3800 - - - - - - - - - - - - - - - Tenant Improvements 8315-3900 - - - - - - - - - - - - - - - Tubs/Showers 8315-3950 2,500 - - - - - - - - - - - 2,500 3 9 Total Non Recurring Capital 81,000 76,500 1,000 - - - 1,000 1,000 1,500 2,000 2,500 6,400 172,900 225 613 4.0% Escrow Accounts Tax Reserve 1080-0100 - - - - - - - - - - - - - - - Tax Funding 1080-0100 - - - - - - - - - - - - - - - Insurance Reserve 1080-0300 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 59,134 77 210 Insurance Reserve Funding 1080-0300 - - - - - - - - - - - - - - - Replacement Reserve 1080-0400 - - - - - - - - - - - - - - - Replacement Reserve Reimb.1080-0400 - - - - - - - - - - - - - - - Net Escrow Activity 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 4,928 59,134 77 210 6/5/2014 Page 6of10 Ballpark Austin, TX 78741 2014-2015 Ballpark Budget 282 = Units $0 768 = Beds 250,272 = Sq Ft G/L 2014-2015 Cost per Cost per Codes Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Forecast Bed UnitAccount Descriptions 6/5/2014 1.4% Other Expenses Accounting / Audit / Tax 8905-0000 - - - - - - - - - - - - - - - Administrative Expense 8910-0000 - - - - - - - - - - - - - - - Prior Year Operating Expenses 8965-0000 - - - - - - - - - - - - - - - Legal/LLC fees 8950-0000 - - - - - - - - - - - - - - - Travel 8995-0000 - - - - - - - - - - - - - - - Start Up Cost 8983-0000 - - - - - - - - - - - - - - - Miscellaneous 8960-0000 - - - - - - - - - - - - - - - Asset Management 8915-0000 - - - - - - - - - - - - - - - Total Other Expenses - - - - - - - - - - - - - - - 0.0% INCOME (LOSS) Before Depr / Amort (179,203) 87,585 230,184 244,881 227,545 232,942 239,681 168,451 178,630 235,610 207,081 172,093 2,045,479 2,663 7,253 Distribution Payments 4201-0000 - - - - - - - - - - - - - - - 0.0% MONTHLY CASH FLOW (179,203) 87,585 230,184 244,881 227,545 232,942 239,681 168,451 178,630 235,610 207,081 172,093 2,045,479 2,663 7,253 47.3% Cumulative Cash Flow Estimate (179,203) (91,618) 138,566 383,447 610,992 843,934 1,083,614 1,252,065 1,430,695 1,666,305 1,873,386 2,045,479 2,045,479 6/5/2014 Page 7of10 2014-2015 Exp 2013-2014 2014-2015 $ Ratio Reforcast Budget $ Variance % Variance Per Bed to NRI REVENUE Gross Potential Rent 4,255,102 4,644,622 389,521 9.15%6,048 Economic Losses (318,951)(423,050)(104,099)32.64%(551)X Greater number of TSHA Scholarships, Greater expected Vacancy Loss of 1.6%, more Renewal Concessions due to early Renewal velocity Net Rental Income 3,936,151 4,221,572 285,421 7.25%5,497 X Due to unit upgrades at higher rents Other Income 111,176 102,560 (8,616)-7.75%134 X Less than expected late fees EFFECTIVE GROSS INCOME 4,047,327 4,324,132 276,805 6.84%5,630 CONTROLLABLE OPERATING EXPENSES General & Administration 74,897 72,715 (2,182)-2.91%95 1.7% Payroll & Benefits 353,280 363,656 10,376 2.94%474 8.6% Contract Services 87,715 90,220 2,505 2.86%117 2.1% Repairs & Maintenance 74,775 73,115 (1,660)-2.22%95 1.7% Make Ready 135,396 148,785 13,389 9.89%194 3.5%X Less renewals than previous year due to unit upgrades raising rates Marketing 66,044 93,824 27,780 42.06%122 2.2%X larger number of gift cards, locator fees, and publications Utilities Expense 387,036 434,178 47,142 12.18%565 10.3%X Water rates increased 15% Cable & Internet 203,610 210,240 6,630 3.26%274 5.0%X Current rates Management Fees 159,960 172,965 13,006 8.13%225 4.1%X Greater rental income TOTAL CONTROLLABLE OPERATING EXPENSES 1,542,712 1,659,698 116,986 7.58%2,161 39.3% NON-CONTROLLABLE OPERATING EXPENSES Taxes 0 0 0 0.00%0 0.0% Insurance 0 59,134 59,134 #DIV/0!77 1.4%#####No longer paid by Trustee 0.0% TOTAL NON-CONTROLLABLE OPERATING EXPENSES 0 59,134 59,134 #DIV/0!77 1.4% CASH FLOW FROM OPERATIONS 2,504,615 2,605,300 100,685 4.02%3,392 DEBT SERVICE Interest and Principal 0 0 0 0.00%0 TOTAL DEBT SERVICE 0 0 0 0 CASH FLOW AFTER DEBT SERVICE 2,504,615 2,605,300 100,685 4.02%3,392 Escrow Activity 0 59,134 59,134 0.00%77 Non-Operating Partnership Costs 0 0 0 0.00%0 Capital Expenditures 519,801 500,687 (19,114)-3.68%652 Distributions 0 0 0 0.00%0 NET CASH FLOW 1,984,814 2,045,479 60,665 3.06%2,663 DEBT COVERAGE RATIO 0.00 0.00 - all marked by red X. Ballpark Budget Comparisons 2014-2015 Enter Explanation for Variances over +/- 3% 2014-2015 Exp 2013-2014 2014-2015 $ Ratio Reforcast Budget $ Variance % Variance Per Bed to NRI - all marked by red X. Ballpark Budget Comparisons 2014-2015 Enter Explanation for Variances over +/- 3% Units 282 # Paychecks/Month 2 2 2 2 3 2 2 2 2 2 2 3 52 Bi-Weekly Pay %7.69%7.69%7.69%7.69%11.54%7.69%7.69%7.69%7.69%7.69%7.69%11.54%100.00% Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Manager Belita Gill FT 40 $25.48 $53,000 100%1 12 $4,077 $4,077 $4,077 $4,077 $6,115 $4,077 $4,077 $4,077 $4,077 $4,077 $4,077 $6,115 $53,000 Assistant Manager Phyllis Lawson FT 40 $19.11 $39,750 100%1 12 $3,058 $3,058 $3,058 $3,058 $4,587 $3,058 $3,058 $3,058 $3,058 $3,058 $3,058 $4,587 $39,750 Leasing Manager Alex Juarez FT 40 $12.02 $25,000 100%1 12 $1,923 $1,923 $1,923 $1,923 $2,885 $1,923 $1,923 $1,923 $1,923 $1,923 $1,923 $2,885 $25,000 TBD 100%1 12 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $67.93 $3,533 100%$408 $408 Overtime - Management ----------------------------------------------------------------$0 Management Total $9,058 $9,058 $9,058 $9,058 $13,587 $9,058 $9,058 $9,058 $9,058 $9,058 $9,058 $13,994 $118,158 Leasing Manager #DIV/0!$1 100%1 12 Resident Director 100%1 12 Receptionist 100%1 12 TBD 100%1 12 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $0.00 $0 100%1 12 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Overtime - Office Salaries ----------------------------------------------------------------$0 Office Salaries Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Leasing Agent N/A 100%1 12 Leasing Agent N/A 100%1 12 Leasing Agent N/A 100%1 12 CA #1 1 PT 18 $6.20 $5,800 100%1 12 $446 $446 $446 $446 $669 $446 $446 $446 $446 $446 $446 $669 $5,800 CA #2 2 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #3 3 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #4 4 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #5 5 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #6 6 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #7 7 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #8 8 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #9 9 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #10 10 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #11 11 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #12 12 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #13 13 PT 18 $0.64 $600 100%1 12 $46 $46 $46 $46 $69 $46 $46 $46 $46 $46 $46 $69 $600 CA #14 100%1 12 CA #15 100%1 12 CA #16 100%1 12 Overtime - Leasing ----------------------------------------------------------------$1,500 $1,500 Leasing Total $2,500 $1,000 $1,000 $1,000 $1,500 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,500 $14,500 Lead Maintenance Fidel Gonzalez FT 40 $21.59 $44,900 100%1 12 $3,454 $3,454 $3,454 $3,454 $5,181 $3,454 $3,454 $3,454 $3,454 $3,454 $3,454 $5,181 $44,900 Maintenance Humberto Olais FT 40 $15.00 $31,200 100%1 12 $2,400 $2,400 $2,400 $2,400 $3,600 $2,400 $2,400 $2,400 $2,400 $2,400 $2,400 $3,600 $31,200 Porter Hortencia Martinez FT 40 $11.00 $22,880 100%1 12 $1,760 $1,760 $1,760 $1,760 $2,640 $1,760 $1,760 $1,760 $1,760 $1,760 $1,760 $2,640 $22,880 Houskeeper Magali Torres FT 40 $9.50 $19,760 100%1 12 $1,520 $1,520 $1,520 $1,520 $2,280 $1,520 $1,520 $1,520 $1,520 $1,520 $1,520 $2,280 $19,760 TBD 100%1 12 TBD 100%1 12 Salary Adjustments 3.0%PT 1 $68.50 $3,562 100%$411 $411 Overtime - Maintenance ----------------------------------------------------------------$1,500 $1,500 Maintenance Total $10,634 $9,134 $9,134 $9,134 $13,701 $9,134 $9,134 $9,134 $9,134 $9,134 $9,134 $14,112 $120,651 Turn Help TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 TBD TBD 100%1 12 Overtime - Turn Help ----------------------------------------------------------------$0 Contract Labor Total $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 62600000 Bonuses Admin Bonuses NA --------------------------------------------------------$8,200 $8,200 62650000 Leasing Cmmssns Leasing Bonuses NA --------------------------------------------------------$8,500 $500 $500 $500 $10,000 Other Payroll Costs Total $8,500 $8,200 $0 $0 $0 $500 $500 $500 $0 $0 $0 $0 $18,200 TOTAL PAYROLL COSTS $30,692 $27,392 $19,192 $19,192 $28,787 $19,692 $19,692 $19,692 $19,192 $19,192 $19,192 $29,606 $271,509 62700100 Payroll Taxes 11.95%----------------------------------------1 12 $3,668 $3,273 $2,293 $2,293 $3,440 $2,353 $2,353 $2,353 $2,293 $2,293 $2,293 $3,538 $32,445 62700200 Worker's Comp 11.05%----------------------------------------1 12 $3,391 $3,027 $2,121 $2,121 $3,181 $2,176 $2,176 $2,176 $2,121 $2,121 $2,121 $3,271 $30,002 62800000 Group Insurance $350 --------7 ------------------------1 12 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $2,450 $29,400 TOTAL BENEFITS COSTS $9,509 $8,750 $6,864 $6,864 $9,071 $6,979 $6,979 $6,979 $6,864 $6,864 $6,864 $9,259 $91,847 TOTAL PAYROLL & BENEFITS COSTS $40,201 $36,142 $26,056 $26,056 $37,858 $26,671 $26,671 $26,671 $26,056 $26,056 $26,056 $38,865 $363,356 Cost per door $1,288 Cost per bed $473 Contract Labor or Additional Maintenance Total 62050000 Management 62050000 Office Salaries 62050000 Leasing Month End Interval 2014-2015 62250000 Maintenance MRI Code Department JOB TITLE/ POSITION 62250000 Ballpark Hours worked per week Annual Salary % of Salary Alloc. to First Month Start STATUS FT/PT Hourly Rate EMPLOYEE NAME Payroll 2014-2015 Sep '14 - Aug 15 Ordinary Income/Expense Income 2000 · Scholarship Value 372,500.00 4200 · Austin Ballpark Fees 4201 · Basic Administration 36,528.00 4204 · Asset Management 0.00 Total 4200 · Austin Ballpark Fees 36,528.00 4220 · Cambridge Fees 4224 · Asset Management 102,084.00 Total 4220 · Cambridge Fees 102,084.00 4230 · Denton Fees 4234 · Asset Management 42,000.00 Total 4230 · Denton Fees 42,000.00 4290 · Administrative Scholarship Fees 4291 · Austin Ballpark 0.00 4292 · Austin Townlake 85,100.00 4293 · Cambridge 12,500.00 4294 · Denton 72,000.00 Total 4290 · Administrative Scholarship Fees 169,600.00 Total Income 722,712.00 Expense 7002 · FUTA 420.00 7001 · Texas Unemployment 2,340.00 7000 · Payroll Taxes 6,660.00 4400 · Scholarships 372,500.00 4500 · Scholarship Expense 4501 · Austin Ballpark 0.00 4502 · Austin Town Lake 50,000.00 4503 · Cambridge 21,500.00 4504 · Denton 30,000.00 Total 4500 · Scholarship Expense 101,500.00 6000 · Contract Labor 42,000.00 6121 · CC Merchant Expense 1,600.00 6180 · Insurance 6181 · D&O 11,500.00 Total 6180 · Insurance 11,500.00 6240 · Miscellaneous 1,200.00 6250 · Postage and Delivery 3,050.00 6260 · Printing and Reproduction 3,000.00 6270 · Professional Fees 6274 · Audit Fees 7,000.00 Total 6270 · Professional Fees 7,000.00 6290 · Rent 6,900.00 6350 · Travel 2,880.00 6385 · Board Meetings 400.00 6550 · Office Supplies 600.00 6560 · Payroll Expenses 87,000.00 6800 · Contingency Fund 100,000.00 Total Expense 750,550.00 Net Ordinary Income -27,838.00 Net Income -27,838.00 2:52 PM TEXAS STUDENT HOUSING AUTHORITY 06/11/14 Profit & Loss Budget Overview Accrual Basis September 2014 through August 2015 Page 1 Page 1 of 6 TERMINATION AGREEMENT This TERMINATION AGREEMENT (“Agreement”) is executed effective June _____, 2014 (the “Effective Date”) between Austin Ballpark Lender, LLC, a Delaware limited liability company (“Bondholder”), and Texas Student Housing Authority, a higher education authority duly organized and existing under the Higher Education Authority, Chapter 53, Texas Education Code, as amended (the “Act ”) (the “Issuer”). R E C I T A L S: WHEREAS, the Issuer issued its Student Housing Revenue Bonds (Austin, Texas Project), Senior Series 2001A (the “Senior Bonds”), Junior Series 2001B (the “Series 2001B Bonds”), and Subordinate Series 2001C (the “Series 2001C Bonds”) (collectively, the Senior Bonds, the Series 2001B Bonds, and the Series 2001C Bonds shall be referred to as the “Bonds”) for the purpose of financing the acquisition and equipping of Jefferson Commons at the Ballpark, a student housing facility with 282 apartment units and related amenities located at 4600 Elmont Drive, Austin, Texas, near the campus of the University of Texas (the “Project”), paying the expenses of authorizing and issuing the Bonds and funding certain reserves; and WHEREAS, contemporaneously with the issuance of the Bonds, the Issuer and The Bank of New York, as trustee (and its successors, as trustee, the “Indenture Trustee”) entered into a Trust Indenture, dated as of December 1, 2001 (the “Indenture”) and the Issuer executed a Deed of Trust, Security Agreement and Fixture Filing dated as of December 1, 2001 (“Deed of Trust”) (collectively, the Indenture and the Deed of Trust shall be referred to as the “Bond Documents”) for the benefit of the Indenture Trustee for the purposes of effecting the issuance of the Bonds, furthering the public purposes of the Act, and securing to the owners of the Bonds the payment of the amounts required to be paid to the owners pursuant to the Bond Documents; and WHEREAS, the MBIA Insurance Corporation (“MBIA”), concurrently with the issuance of the Bonds, issued its financial guaranty insurance policy No. 371220 (the “Policy”) with respect to the Senior Bond and National Public Finance Guarantee Corporation, a stock insurance corporation, was the reinsurer of the Policy pursuant to the Quota Share Reinsurance Agreement, effective as of January 1, 2009 (t he “Reinsurance Agreement”), by and between MBIA and MBIA Insurance Corp, of Illinois, now known as National Public Finance Guarantee Corporation (“National”); and WHEREAS, pursuant to the Reinsurance Agreement, MBIA assigned all of its right and obligatio ns under the Policy to National; and WHEREAS, the Issuer failed to punctually pay principal of and interest on the Bonds when due and National exercised its rights to accelerate the maturity of the Bonds and has purchased all of the Senior Bonds on the acceleration date under the Indenture, all of which occurred on December 21, 2012 (the “Acceleration Date”); and WHEREAS, National and Bondholder enter into an agreement pursuant to which National, on behalf of itself and MBIA, transferred and assigned 100% of its interest in the Senior Bonds to the Bondholder, and acknowledged and agreed that as a result of the acceleration and payment of the Page 2 of 6 Senior Bonds, its rights as Bond Insurer (including, without limitation, its subrogation rights with respect to certain prior payments of $203,664.50 made on January 1, 2011 and $349,848.09 made on January 1, 2012 under the Policy) were transferred to the Majority of the Bondholders; and WHEREAS, as the transferee of National’s rights as the Bond Insurer, Bondholder has all of the rights of the “Bond Insurer” under the Bond Documents; and WHEREAS, Bondholder and Issuer entered into a Forbearance Agreement dated January 15, 2013 (the “Forbearance Agreement”) pursuant to which, subject to the satisfaction of certain conditio ns, Bondholder agreed to forbear from directing the Indenture Trustee under the Bond Documents, during a period which has been extended to July 15, 2014, from exercising remedies under the Bond Documents as a result of the payment default resulting from the failure of the Issuer to pay the Bonds in full upon the Acceleration Date (the “Existing Maturity Default ”); and WHEREAS, notwithstanding the Issuer’s best effort to comply with the covenants contained in the Bond Documents and to find alternative sources of funds to refinance the Bonds, the Issuer has been unable to refinance the Project or otherwise come up with the funds necessary to cure the Existing Maturity Default and thereby pay off all of the Bonds in full since the date of the Forbearance Agreement; and WHEREAS, due to the performance of the Project and the resulting acknowledged inability of the Issuer to cure the Existing Maturity Default on or prior to July 15, 2014, the Issuer and the Bondholder wish to irrevocably terminate the Forbearance Agreement as of the Effective Date set forth above, to agree to cooperate with a foreclosure sale of the Project pursuant to the Bond Documents (the “Foreclosure”), and to provide for certain awarded scholarships and asset management fee payments to survive such termination. A G R E E M E N T: In consideration of the mutual covenants and agreements contained herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties hereto agree as follows: 1. Recitals. The foregoing recitals are confirmed by the parties as true and correct and are incorporated herein by reference. 2. Termination of Forbearance Agreement. The Forbearance Agreement will irrevocably terminate on the Effective Date set forth above and the Bondholder shall be under no further obligation to forbear from directing the Indenture Trustee to exercise any remedies under the Bond Documents. 3. Scholarships Survival Provision. The Bondholder agrees to cause to be included in any foreclosure proceeding, as part of the leases that are elected to be protected from termination upon foreclosure of the Deed of Trust and/or made the subject of an attornment agreement following such foreclosure in order to preserve the existing tenant rights thereunder, a schedule of Project units and related lease agreements for which scholarships have been awarded to students for the 2014-2015 Page 3 of 6 academic year and to expressly provide that such lease agreements shall either survive any foreclosure proceeding or be attorned to by the purchaser following such foreclosure proceeding. 4. Asset Management Fee Survival. The Bondholder agrees that if the Project is acquired by the Indenture Trustee, or its designee, on behalf of the Bondholder, or directly by the Bondholder or its designee (each a “Bondholder Purchaser”), as the successful bidder at a foreclosure sale of the Project under the Deed of Trust, the Bondholder or the Bondholder Purchaser shall pay, or cause to be paid, the Issuer a monthly asset management fee of $3,044 for each of the 12 months immediately following the foreclosure date. In the event the Project is sold by the Bondholder Purchaser within such 12-month period, the Bondholder agrees to pay or cause to be paid to the Issuer on the sale date an amount equal to the product of $3,044 multiplied by the remaining number of months in such 12-month period. 5. Borrower’s Cooperation with Foreclosure. (a) Subject to the terms and conditions of this Agreement, Bondholder may, at any time after the Effective Date, elect to cause the Indenture Trustee to proceed, in Bondholder’s sole and absolute discretion, with the Foreclosure, including, without limitation, the appointment of one or more lawyers selected by the Bondholder as the substitute and foreclosing trustee under the Deed of Trust (the “Substitute Trustee”). Subject to the terms and conditions of this Agreement, Borrower, on behalf of it self and its affiliates, covenants and agrees: (1) that they will not (A) interfere with, contest, oppose, delay, hinder, prevent, or avoid, or collude with any person to do any of the same, with respect to the Foreclosure, including, without limitation, the appointment of the Substitute Trustee, or file any objection thereto or to the manner in which the Foreclosure takes place, (B) challenge the validity of this Agreement, the Foreclosure, any deed or other transfer document conveying any of Borrower’s right, title and interest in and to the Project, or any documents delivered pursuant to subsection (b) below (collectively, “Transfer Documents”), (C) seek any legal or equitable remedy to prevent, delay, contest, or avoid the Foreclosure, (D) institute any insolvency proceeding in the name of Borrower that includes the Project (or acquiesce in or fail to contest any involuntary insolvency proceeding), (E) otherwise directly or indirectly attempt to hinder or delay the Foreclosure, (F) assert or claim in any manner whatsoever, or assist or collude with any person to assert or claim, that this Agreement, the Foreclosure or the Transfer Documents are invalid or unenforceable in whole or in part, or that any of the transactions contemplated by this Agreement, the Foreclosure or the Transfer Documents are void or voidable, or are or should be delayed, enjoined, overturned, set aside, revoked or rescinded in whole or in part, or (G) collude or conspire with any person to do any of the foregoing; and (2) that they shall cooperate, at no out-of-pocket expense to Borrower and upon Bondholder’s request, with Bondholder to effectuate all transactions contemplated by this Agreement, including but not limited to any action to quiet title which may be instituted by Bondholder or the Indenture Trustee to perfect its or any Bondholder Purchaser’s right, title, and interest in the Project , provided that no such document and no action required under this clause (2) shall materially increase Borrower’s liability in excess of their obligations under the Bond Documents. Page 4 of 6 (b) Borrower agrees to reasonably cooperate, at no out-of-pocket expense to Borrower and upon Bondholder’s request, with Bondholder or any designee of Bondholder, including, without limitation, any management or brokerage company designated by Bondholder, to facilitate an orderly transfer of the ownership, management and leasing of the Project or any portions thereof whether pursuant to this Agreement or otherwise, including, without limitation, executing such documents as are reasonably required to further confirm or assure the transfer of the Project, and the transfer of domain names, web addresses, websites and other intellectual property rights with respect to the Project and the consummation of the Foreclosure. From and after the Effective Date, during normal business hours and upon reasonable advance notice and so as not to unreasonably disrupt the business of the Project (except in the case of an emergency, in which event entry shall not be limited to normal business hours and no advance notice shall be necessary), Borrower shall permit Bondholder and any person or entity designated by Bondholder to visit and inspect the Project. After the date that a trustee’s deed is filed of record vesting title to the Project in the name of a Bondholder Purchaser pursuant to the Foreclosure, Borrower and the Bondholder Purchaser shall reasonably cooperate with each other in order to effectuate an orderly, lawful, and timely transfer of the ownership, management and leasing of the Project. 6. Representations and Warranties. In order to induce Bondholder to execute, deliver, and perform this Agreement, Issuer warrants and represents to Bondholder (each of which shall be deemed independently material, and each of which shall survive the execution and delivery hereof and any independent investigation by Bondholder or its representatives) that: (a) the execution of this Agreement by Issuer and the performance by the Issuer of Issuer's obligations hereunder will not violate or result in a breach or constitute a default under any agreements to which Issuer is a party; (b) all information provided by Issuer to Bondholder prior to the date hereof, including, without limitation, all financial statements, balance sheets, and cash flow statements, was, at the date of delivery, and is, as of the date hereof, true and correct in all respects. Issuer recognizes and acknowledges that Bondholder is entering into this Agreement based in part on the financial information provided to Bondholder and that the truth and correctness of that financial information is a material inducement to Bondholder in entering into this Agreement; and (c) Issuer acknowledges Bondholder has relied on the confirmations, representations, acknowledgements, warranties, and agreements made by Issuer in this Section 5 as an inducement to Bondholder's execution and delivery of, and performance under, this Agreement. 7. Additional Issuer Acknowledgment. Issuer hereby acknowledges and agrees that it (i) has read and understands the contents of this Agreement, (ii) has had the opportunity to consult with counsel of its choice respecting this Agreement and the matters contained herein and contemplated hereby, and (iii) has acted voluntarily and without duress in connection with the execution and delivery of this Agreement. Page 5 of 6 8. Miscellaneous. (a) This Agreement may be executed in multiple counterparts, each of which shall constitute an original instrument, but all of which shall constitute one and the same agreement. An executed counterpart received by facsimile or by electronic mail shall be treated as an original executed counterpart. (b) Any amendment to this Agreement must be in writing, be executed and delivered by Bondholder , and must expressly refer to this Agreement. (c) The provisions of this Agreement shall be binding upon, and shall inure to the benefit of, the respective successors and assigns of Bondholder, and the respective heirs, legal representatives, successors and assigns of the Issuer; provided, however, that Issuer shall have no right to assign any of its rights or obligations hereunder without the prior written consent of Bondholder and any attempt to effect such assignment by Issuer witho ut such consent shall be null and void. (d) The headings of paragraphs in this Agreement are for convenience of reference only and shall not in any way affect the interpretation or construction of this Agreement. (e) THIS AGREEMENT SHALL BE GOVERNED BY THE LAWS OF THE STATE OF TEXAS AND FEDERAL LAW, AS APPLICABLE. (f) The recitals, warranties and representations of the parties, and the provisions of Section 3 and Section 4 in this Agreement shall survive the expiration or termination of the Forbearance Agreement. (g) Time is of the essence to each and every term of this Agreement. (h) Each and every term hereof shall be deemed material except as provided herein. Any breach of any conditions herein shall be deemed a material breach. No waiver on any one occasion shall be deemed a waiver in any subsequent occasion. No waiver shall be enforceable except in writing signed by the party to be charged. (i) In the event that any time period provided herein or hereunder ends on a Saturday, Sunday or legal holiday then the time period shall be extended to the first business day thereafter. (j) No language on any check, draft or other instrument of payment nor upon any correspondence accompanying such check, draft or other instrument of payment shall create an accord and satisfaction, rather any acceptance thereof by Bondholder shall be deemed an endorsement under protest or such similar language as to negate such accord and satisfaction. (k) All notices, demands and requests which may be given or which are required to be given by either party to the other, and any exercise of a right of termination provided by this Agreement, shall be in writing and shall be given in accordance with and governed by the terms of the Indenture. Page 6 of 6 THIS AGREEMENT REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES WITH RESPECT TO THE SUBJECT MATTER HEREOF AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS BETWEEN THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. EXECUTED as of the day and year first above written. BONDHOLDER: AUSTIN BALLPARK LENDER, LLC By: Name: Title: ISSUER: TEXAS STUDENT HOUSING AUTHORITY By: Name: Pete Ehrenberg Title: Executive Director Texas Student Housing Authority Item # 8 Executive Director’s Report Texas Student Housing Authority Item # 9 - Adjournment