Exhibit 10.57


 


SUBORDINATION OF PROPERTY
MANAGEMENT AGREEMENT


 


THIS
SUBORDINATION OF PROPERTY MANAGEMENT AGREEMENT (this "Agreement") is entered into as of March 21,
2014, by and among BR CARROLL LANSBROOK, LLC, a Delaware limited liability company ("Owner"), CARROLL
MANAGEMENT GROUP, LLC, a Georgia limited liability company ("Manager") and GENERAL ELECTRIC
CAPITAL CORPORATION, a Delaware corporation ("Lender").


 


RECITALS


 


A.           Owner
has applied to Lender for a loan (the "Loan") in accordance with and pursuant to that certain Loan Agreement,
dated as of the date hereof, between Lender and Owner (the "Loan Agreement").


 


B.           The
Loan is to be secured by, among other things, Borrower's interest in and to the Project (the
"Project") as such term is defined in the Loan Agreement.


 


C.           Owner
and Manager have entered into that certain Property Management Agreement, dated as of March 21, 2014 (the "Management
Agreement"), pursuant to which Manager has agreed to manage the Project.


 


D.           Borrower
has collaterally transferred and assigned to Lender all of Borrower's right, title and interest under the Management Agreement.


 


E.           Lender,
as a condition of making the Loan, has required that Owner, Manager and Lender enter into this Agreement.


 


NOW, THEREFORE, in consideration
of the foregoing premises, the parties hereto hereby agree as follows:


 


SECTION 1: Definitions.


 


1.1           Each
capitalized term that is used and not defined in this Agreement shall have the same meaning as defined in the Loan Agreement.


 


SECTION 2: Certification and Acknowledgment.


 


2.1           Owner
and Manager hereby certify to Lender that (a) the copy of the Management Agreement annexed hereto as Exhibit A is a true
and complete copy thereof, (b) the Management Agreement has not been further amended, modified or supplemented, is in full force
and effect and there is no existing default on the part of any party thereunder and (c) none of their rights or interests thereunder
have been assigned or encumbered.


 




    	 



    	 



    

 


2.2           Manager
acknowledges and agrees that any and all rents, profits or other sums (collectively herein called "Project Proceeds")
collected or received by Manager from the Project are subject to a security interest of Lender pursuant to the Loan Documents,
and shall be collected and held by Manager in trust for the benefit of Borrower and Lender. Any such Project Proceeds shall be
deposited into a deposit account in the name of the Project, permitting Manager signing authority, subject to, and in accordance
with, the terms of the Management Agreement. Such Project Proceeds shall be used by Manager for expenses and costs of managing
and operating the Project as permitted under the Management Agreement. Manager hereby disclaims any and all interests in such account
and in any of the Project Proceeds. Upon written notice from Lender that an Event of Default has occurred under the Loan Documents
and that, as a result thereof, Lender has revoked Borrower's license to collect the Project Proceeds pursuant to the terms of the
Loan Documents and thereafter during any such period that the Event of Default continues, Manager agrees (a) not to pay any of
the Project Proceeds to Borrower without the prior written approval of Lender, and (b) to pay the Project Proceeds as instructed
by Lender.


 


SECTION 3: Subordination.


 


3.1           Owner
and Manager agree and confirm that the Management Agreement and all of their rights and interests thereunder are and at all times
will be subject and subordinate to the Loan Documents. Owner shall not pay to Manager any fees or other sums due to Manager under
the Management Agreement if Owner has not paid to Lender all amounts of principal, interest or late fees or charges then due pursuant
to the Loan Agreement or the other Loan Documents or if an Event of Default has occurred and is continuing. If Manager receives
payment of any fees or other sums in violation of the immediately preceding sentence, Manager shall immediately pay, deliver and
assign over to Lender any such payments for application to amounts due and owing under the Loan Documents in accordance with the
terms of the Loan Agreement (and while held by Manager, all such payments so received shall be held in trust by Manager for the
benefit of Lender).


 


3.2           Without
limiting the subordination set forth in Section 3.1 above, upon the foreclosure by Lender of any mortgage affecting the
Project, or upon the acceptance by Lender or Lender's nominee of a deed in lieu of foreclosure with respect to the Project, or
at such time following an Event of Default that a receiver is appointed with respect to the Project, or upon Lender otherwise taking
possession and control of the Project following any such Event of Default, then at Lender's sole option and in Lender's sole discretion
and upon written notice to Manager, the Management Agreement and all of the rights and interests of Manager with respect to the
Project, including without limitation the right to any money or payments for services rendered in the past or services which may
be rendered in the future, shall terminate and be of no further force or effect; and upon written demand from Lender, Manager shall
surrender possession and control of the Project forthwith to Lender (or to any appointed receiver), along with all books, records,
security deposits, accounts, and all other tangible and intangible property relating to the Project.


 




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3.3           If
a receiver is appointed for the Project or if Lender or any affiliate of Lender succeeds to Owner's interest in the Project, Manager
shall, at the request of such receiver or Lender and without regard to any prior default of Owner under the Management Agreement
or Event of Default under the Loan Agreement, continue to perform under the terms of the Management Agreement, so long as Manager
is paid pursuant to the Management Agreement for the services rendered by Manager; and further provided that such receiver or Lender
(or Lender's affiliate) can, without cost or liability to Lender (or its affiliate) and notwithstanding anything in the Management
Agreement to the contrary, terminate the Management Agreement without cause upon thirty (30) days' written notice of such election.
Furthermore, should Lender (or its affiliate, as applicable) determine that it wishes to continue the Management Agreement in full
force and effect, it shall not be liable for any fees, costs or obligations which accrue prior to the time it acquired title to
the Project.


 


SECTION 4: Covenants.


 


4.1           Until
the Loan is repaid in full, (a) the Management Agreement shall not be materially amended, modified, supplemented or terminated
and no material right of Owner thereunder shall be waived by Owner, without the written consent of Lender, such consent not to
be unreasonably withheld or conditioned; (b) Owner and Manager shall promptly notify Lender of any sale or transfer of a controlling
interest in Manager to any Person that is not owned and controlled by the Person(s) that currently own and control Manager, and
any such sale or transfer shall entitle Lender to re-approve Manager (such approval not to be unreasonably withheld or conditioned);
(c) Owner and Manager shall (i) meet with Lender on a quarterly basis (or at such more frequent intervals as Lender shall reasonably
request) to discuss the financial and physical condition of the Project and the management of the Project, including without limitation
personnel, tenant satisfaction, marketing and other issues pertinent to the success of the Project (which meetings shall be conducted
telephonically), and (ii) at Lender's reasonable request, provide Lender with reports relating to any of such matters (no more
often than as required under the Management Agreement, except after the occurrence and during the continuance of an Event of Default);
(d) Lender will have the right to inspect and to make copies of the books, accounts and records of Manager that relate to the Project
and the Management Agreement at all reasonable times and upon reasonable advance notice and in a reasonable fashion; and (e) a
copy of each written notice of default, notice of termination, threat of litigation, or notice of arbitration which any party to
the Management Agreement shall give to any other party thereto shall be given to Lender, and any right or remedy of Manager resulting
from or dependent upon any such notice will take effect only after notice is so given to Lender.


 


4.2           Manager
shall give written notice to Lender of any default of Owner under the Management Agreement at least twenty (20) days prior to suspending
or terminating its obligations under the Management Agreement. Lender shall have the right, but not the obligation, to cure any
default of Owner under the Management Agreement (and any and all sums expended by Lender in curing any such default shall be immediately
due and payable by Owner, shall bear interest at the Default Rate from the date incurred until paid and shall be secured by the
Mortgage). In such event, Manager recognizes that the maximum amount that shall be due and payable under the Management Agreement
is the amount stated therein (such amount being adequate to complete the services called for in the Management Agreement), and
that Manager will not claim any incidental, consequential, or exemplary damages of any nature as a condition to completing its
performance under the Management Agreement.


 




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SECTION 5: Miscellaneous Provisions.


 


5.1          All notices required
or permitted to be given hereunder (each, a "Notice") shall be in writing addressed to the party
to be so notified at its address set forth below, or at such other address as such party may specify by giving at least ten (10)
days' prior written notice of such change of address, and (a) sent by facsimile or electronic mail, in each case with a copy of
the Notice sent concurrently by one of the means described in clauses (b), (c) or (d) below (provided that for electronic mail
delivery, the beginning of the subject line in such electronic mail shall state, in capitalized letters and minimum 12 point font:
"NOTICE PURSUANT TO SUBORDINATION OF PROPERTY MANAGEMENT AGREEMENT SECTION 5.1"), (b) sent by registered or certified
mail, postage prepaid, return receipt requested, (c) delivered by hand, or (d) delivered by reputable overnight commercial courier.
Notices shall be deemed to have been received: (i) if sent by facsimile or electronic mail, upon the earlier of (A) the date that
the sender receives a telephonic response from an employee or representative of the party receiving notice on behalf of such party,
acknowledging receipt (which response shall not be an automatic fax machine-generated or computer-generated response) and (B) the
date of the first attempted delivery on a Business Day of the copy of such Notice delivered in accordance with clause (a), (b)
or (c) above, and (ii) if delivered by hand, sent by registered or certified mail, or sent by overnight commercial courier, on
the date of the first attempted delivery on a Business Day.


 


Addresses for Notices:


 


		If to Borrower:	BR Carroll Lansbrook, LLC



c/o Bluerock Real Estate, L.L.C.


712 Fifth Avenue


9th Floor


New York, New York 10019


Attention: Jordan Ruddy


Facsimile:  (646) 278-4220


E-Mail:       jruddy@bluerockre.com


 


		With a Copy to:	Bluerock Real Estate, L.L.C.



712 Fifth Avenue


9th Floor


New York, New York 10019


Attention: Michael
L. Konig, Esq.


Facsimile:  (646) 278-4220


E-Mail:       mkonig@bluerockre.com


 




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		If to Lender:	General Electric Capital Corporation 

c/o GE Capital Real
Estate



299 Park Avenue


3rd Floor


New York, New York 10171


Attention: Asset Manager/Lansbrook Village


Facsimile:  (917) 902-9863


E-Mail:       liz.madzula@ge.com


 


		With a Copy to:	General Electric Capital Corporation



c/o GE Capital Real Estate - Legal


299 Park Avenue


3rd Floor


New York, New York 10171


Attention: Legal Counsel/Lansbrook Village


Facsimile:  (212) 412-9075


E-Mail:       jillian.joseph@ge.com


 


		And To:	Greenberg Traurig, P.A.



401 East Las Olas Boulevard


Suite 2000


Fort Lauderdale, Florida 33301


Attention: Stephen F. Katz, Esq./Lansbrook
Village


Facsimile:  (954) 765-1477


E-Mail:       katzs@gtlaw.com


 


		If to Manager:	Carroll Management Group, LLC



c/o The Carroll Organization 3343


Peachtree Road, NE


Suite 2250


Atlanta, Georgia 30326


Attention: Ms. Linda Masterson


Facsimile:  (404) 812-8270


E-Mail:       linda.masterson@carrollorg.com


 


5.2           This
Agreement embodies and constitutes the entire understanding among the parties with respect to this Agreement. Neither this Agreement
nor any provision hereof may be waived, amended or terminated except by an instrument signed by the party against whom the enforcement
of such waiver, amendment or termination is sought, and then only to the extent set forth in such instrument. This Agreement shall
not be executed, entered into, altered, amended, or modified by electronic means. Without limiting the generality of the foregoing,
no exchange of electronic correspondence between the parties shall operate to amend, modify or waive any term or provision of this
Agreement.


 


5.3           This
Agreement shall be governed by, and construed in accordance with, the law of the State of Florida.


 




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5.4           This
Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall
constitute a single instrument.


 


5.5           This
Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective assigns, successors in
interest and legal representatives.


 


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IN
WITNESS WHEREOF, this Agreement was executed as of the date first above written.


 


	 	MANAGER:
	 	 	 
	 	CARROLL MANAGEMENT GROUP,
	 	LLC, a Georgia limited liability company
	 	 	 
	 	By:  	/s/ M. Patrick Carroll
	 	 	Name:  M. Patrick Carroll
	 	 	Title:    President
	 	 	 
	 	OWNER:
	 	 	 
	 	BR CARROLL LANSBROOK, LLC, a
	 	Delaware limited liability company
	 	 	 
	 	By:	/s/ Jordan Ruddy
	 	 	Name:  Jordan Ruddy
	 	 	Title:   Chief Executive Officer
	 	 	 
	 	LENDER:
	 	 	 
	 	GENERAL ELECTRIC CAPITAL
	 	CORPORATION, a Delaware corporation
	 	 	 
	 	By:	/s/ Paul Young
	 	 	Name:  Paul Young
	 	 	Title:   Authorized Signatory


 


Signature Page to Subordination of Management Agreement


 




    	 



    	 



    

 


EXHIBIT A


 


Management Agreement


 


(To be attached).


 


EXHIBIT A




    	 



    	 



    

 





 


MANAGEMENT GROUP


 


 



 


PROPERTY MANAGEMENT AGREEMENT


 


dated as of March 21,


 


2014 between


 


BR CARROLL LANSBROOK, LLC


Owner


 


and


 


CARROLL MANAGEMENT GROUP, LLC


Manager


 


 



 




    	 



    	 



    

 


PROPERTY MANAGEMENT AGREEMENT


 


THIS PROPERTY MANAGEMENT
AGREEMENT (this "Agreement") is made as of March 21, 2014, by and between BR CARROLL LANSBROOK, LLC, a
Delaware limited liability company ("Owner"), and CARROLL MANAGEMENT GROUP, LLC, a Georgia limited liability
company ("Manager").


 


RECITALS:


 


A. Owner is the owner
of certain real property more particularly described in Exhibit "A" attached hereto and incorporated herein by
this reference, upon which certain improvements consisting of approximately 572 condominium units (subject to increase based on
future acquisitions of Additional Units) in the 774-unit multi-family complex located in Palm Harbor, Florida and commonly known
as Lansbrook Village, and related amenities, landscaping, parking facilities and other common areas have been constructed (collectively,
the "Project"). Owner and Manager acknowledge that the business plan for the Owner includes the expectation that
certain additional condominium units (the "Additional Units") within Lansbrook Village will be acquired by the
Owner and, upon any such acquisition such units will be automatically added to, and thereafter constitute part of, the Project.


 


B. Manager has
represented to Owner that Manager is experienced in the management, leasing, operation, bookkeeping, reporting, marketing, maintenance
and repair of projects similar to the Project;


 


C. Owner hereby
appoints Manager as sole and exclusive agent of Owner to manage the Project on the terms herein and Manager accepts such appointment
on the terms herein and agrees to use diligent efforts to conduct and enhance the management of the Project, subject to the terms
herein; and


 


D. The relationship
of Manager to Owner shall be that of an independent contractor. Nothing herein shall be construed as creating a partnership, joint
venture, or any other relationship between the parties hereto;


 


NOW, THEREFORE,
in consideration of the premises and the sum of TEN AND N0/100 DOLLARS ($10.00) paid by Owner to Manager, and for other valuable
consideration, including the mutual covenants hereinafter set forth, the receipt, adequacy, and sufficiency of which are acknowledged
by the parties hereto, Owner and Manager covenant and agree as follows:


 


1.          Definitions.


 


"Additional Units" shall
have the meaning set forth in the Recitals.


 


"Affiliate" means any person
that directly or indirectly, through one or more intermediaries, controls or is controlled by or is under common control with a
designated Person.


 


"Annual Business Plan" shall
mean, with respect to calendar year 2014, the Annual Business Plan for the management and operation of the Project
attached hereto as Exhibit "B" and incorporated herein by this reference, as the same may be modified and amended
from time to time to reflect the Additional Units, and for all other years during the term of this Agreement, the Annual Business
Plan for such year established pursuant to Section 5(e) below.


 



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"Applicable Law" shall
mean all building codes, zoning ordinances, laws, orders, writs, ordinances, rules and regulations of any Federal, state, county,
city, borough, or municipality, or of any division, agency, bureau, court, commission or department or of any division, agency,
bureau, court, commission or department thereof, or of any public officer or official, having jurisdiction over or with respect
to the Project.


 


"Approved Operating Expenses"
shall mean, with respect to calendar year 2014, the expenses set forth in the Annual Business Plan attached hereto as Exhibit
"B" and incorporated herein by this reference, as the same may be modified and amended from time to time to reflect
the Additional Units, and for all other years during the term of this Agreement, the expenses contained in the Annual Business
Plan for such year established pursuant to Section 5(e) below, together with all other operating expenses with respect to
the Project which are otherwise approved by Owner or permitted pursuant to the express terms of this Agreement.


 


"Cause" shall have the
meaning set forth in the Operating Agreement. "Claims" shall have the meaning set forth in Section 9(a) below.


 


"Code" means the Internal
Revenue Code of 1986, as amended from time to time, or any corresponding provision or provisions of succeeding law.


 


"Confidential Information"
shall mean the books, records, business practices, methods of operations, computer software, financial models, financial information,
policies and procedures, and all other information relating to Owner and the Project (including any such information relating to
the Project generated by Manager), which is not available to the public.


 


"Controllable Expenses"
shall mean all expenses, other than Uncontrollable Expenses, with respect to the Project.


 


"Depository Accounts" shall
have the meaning set forth in Section 5(c) below.


 


"Emergency" shall mean
an event requiring action to be taken prior to the time that approval could reasonably be obtained from Owner, (i) in order to
comply with Applicable Law, any insurance requirement or this Agreement, or to preserve the Project (or any part thereof), or for
the safety of any Tenants, occupants, customers or invitees thereof, or (iii) to avoid the suspension of any services necessary
to the Tenants, occupants, licensees or invitees thereof.


 


"Emergency Expenditures" shall have the meaning
set forth in Section 5(j) below.


 


"Excluded Items" means:


 


(a)          capital
contributions by Owner or any interest therein;


 




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(b)          the
refinancing of any loan or any voluntary conversion, sale, exchange or other disposition of the Project or any portion thereof;


 


(c)          casualty
insurance proceeds;


 


(d)          proceeds
of condemnation awards;


 


(e)          any
deposits including rental, security, damage, or cleaning deposits;


 


(f)          interest
on investments or otherwise;


 


(g)          abatement
of taxes;


 


(h)          any
utility reimbursements received from Tenants for amounts actually paid by Owner or Manager directly to the utility companies (Owner
acknowledging and agreeing that any revenues, fees, mark-ups and overhead charges received from Tenants in excess of amounts actually
paid to the utility companies shall be included in Monthly Gross Receipts);


 


(i)          discounts
and dividends on insurance policies; and


 


G)          other income not directly derived from Manager's management
of the Project.


 


"Leases" shall have the meaning set forth in
Section 5(f)(ii) below.


 


"Loan Documents" shall mean any and all documents
evidencing or securing any indebtedness obtained by Owner and secured by the Project with respect to which Manager has received
written notice from Owner, as same shall be amended, replaced, refinanced or otherwise modified from time to time during the Term
of this Agreement. Manager acknowledges receipt of the Loan Documents of even date herewith evidencing and securing that certain
Loan in the original maximum principal amount of $48,000,000, more or less, from General Electric Capital Corporation ("Lender")
to Owner.


 


"Management Fee" shall have the meaning set
forth in Section 4(a).


 


"Manager Indemnitees" shall have the meaning
set forth in Section 9(b) below.


 


"Manager's Event of Default" shall have the
meaning set forth in Section 10(a) below.


 


"Master Insurance Program" shall have the meaning
set forth in Section 6(b) below.


 


"Monthly Gross Receipts" shall include the
entire amount of all Rental Income and additional revenues derived from the Project other than the Excluded Items, including all
receipts, determined on a cash basis, from:


 


(a)          Rental
Income;


 


(b)          Owner's
share of vendor income proceeds from vending machines and concessions; and


 




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(c)          All
other income and cash receipts attributable to or derived from the Project other than the Excluded Items.


 


"Operating Agreement" shall mean that certain
Limited Liability Company Agreement for BR Carroll Lansbrook JV, LLC, dated February 12, 2014.


 


"Owner Indemnitees" shall have the meaning
set forth in Section 9(a) below.


 


"Owner's Event of Default" shall have the meaning
set forth in Section l0(c) below.


 


"Person" means any individual, partnership,
corporation, trust, limited liability company or other entity.


 


"Per Unit Controllable Expenses" shall have
the meaning set forth in Section 5(e) below.


 


"Per Unit Revenue" shall have the meaning set
forth in Section 5(e) below.


 


"Project" shall have the meaning set forth
in the recitals above.


 


"Reimbursable Expenses" shall have the meaning
set forth in Section 4(b) below.


 


"Rental Income" means all rent and other charges
due from Tenants, from users of garage spaces, storage closets, parking charges, and from any other lessees of other non-dwelling
facilities, if any, in the Project, from concessionaires in consequence of the authorized operation of facilities in the Project
maintained primarily for the benefit of Tenants, and all other rental fees and other charges otherwise due Owner and collected
by Manager with respect to the Project.


 


"Security Account" shall have the meaning set
forth in Section 5(d) below.


 


"Tenants" shall have the meaning set forth
in Section 5(d) below.


 


"Uncontrollable Expenses" shall mean the following
expenses with respect to the Owner: taxes and insurance; licenses; HOA assessments; utilities; unanticipated material repairs that
are essential to preserve or protect the Project; debt service; and costs due to a change in law.


 


2.          Appointment
of Manager. On and subject to the terms and conditions of this Agreement, Owner hereby retains Manager commencing on March
21, 2014 (the "Commencement Date") to manage and lease the Project.


 


3.          Term.
This Agreement shall commence on the Commencement Date and shall continue for a term of forty-eight (48) months (the "Initial
Term") or until Manager is terminated pursuant to Section 11 of this Agreement.


 


4.          Management
Fee; Other Fees; Reimbursement of Expenses. In consideration of the performance by Manager of its duties and obligations
hereunder:


 




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(a)          Owner
agrees to pay to Manager a fee computed and payable monthly in arrears in an amount equal to two and seventy five hundredths percent
(2.75%) of Monthly Gross Receipts (the "Management Fee"). The Management Fee shall be deducted each month from
the Monthly Gross Receipts to be paid to Owner pursuant to this Agreement.


 


(b)          Subject
to the Annual Business Plan, Owner agrees to reimburse Manager for the aggregate expenses incurred by Manager in connection with
or arising from the ownership, operation, management, repair, replacement, maintenance and use or occupancy of the Project (exclusive
of any common elements or limited common elements owned, controlled, maintained or operated by the Project condominium association),
including, without limitation, those costs expressly set forth in Exhibit "C" attached hereto and incorporated
herein by this reference (all items to be reimbursed pursuant to this Section 4(b) are referred to herein as "Reimbursable
Expenses"). If any such Reimbursable Expenses are a part of the Approved Operating Expenses and are paid by Manager and
not from Monthly Gross Receipts on hand, then Owner agrees to reimburse such amounts to Manager. All other Reimbursable Expenses
which are not a part of Approved Operating Expenses and not contained in the list set forth in Exhibit "C" attached
hereto must be approved by Owner in advance, such approval not to be unreasonably withheld, conditioned or delayed. Manager shall
submit to Owner an invoice detailing the calculation of such Reimbursable Expenses no later than the fifteenth (15th) day of each
month for the immediately preceding month. The Reimbursable Expenses then owed shall be deducted each month from the Monthly Gross
Receipts to be paid to Owner pursuant to this Agreement.


 


(c)          Intentionally
Omitted.


 


(d)          A
construction management fee in the amount of five percent (5.0%) of the rehabilitation and renovation expenses for the Project,
as set forth in the Annual Business Plan, which fee shall be calculated and paid upon each respective draw and within thirty (30)
days of final draw or following completion of the restoration or satisfaction of the claim, whichever is applicable.


 


(e)          A
fee will be charged for the initial takeover of the Project in the amount of $2,000.00 to cover costs for training and marketing
of the Project.


 


(f)          Intentionally
Omitted


 


(g) Upon the termination or expiration of this Agreement other
than for Cause, a close-out fee equal to one hundred percent (100%) of the last month's full management fee (the "Close
Out Fee"). The Close Out Fee shall be deducted from the final month's Monthly Gross Receipts to be paid to Owner.


 


5.          Authority
and Responsibilities of Manager.


 


(a)          Independent
Contractor. In the performance of its duties hereunder, Manager shall be and act as an independent contractor, with the sole
duty to supervise, manage, operate, control, direct and determine the methods of performance of the specified duties and obligations
hereunder. Nothing contained in this Agreement shall be deemed or construed to create a partnership, joint venture, employment
relationship, or otherwise to create any liability for one party with respect to indebtedness, liabilities or obligations of the
other party except as otherwise may be expressly set forth herein.


 




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(b)          Standard
of Care; Acquisition of Additional Units. Manager shall perform its duties and obligations in a professional manner, and shall
maintain the Project in accordance with the applicable Annual Business Plan and in accordance with the standards a reasonably prudent
multifamily property manager would employ with respect to properties of similar age, size, and as the Project in the market area
in which the Project is located. Manager further acknowledges that it shall serve as Owner's primary point of contact with respect
to the Owner's acquisition of Additional Units, and shall act in a commercially reasonable manner to assist Owner to acquire such
Additional Units as efficiently and as promptly as practicable.


 


(c)          Depository
Accounts. All Monthly Gross Receipts from the Project, after deducting Approved Operating Expenses, Reimbursable Expenses and
the Management Fee, shall be deposited by Manager into one or more deposit accounts designated by Owner (each a "Depository
Account"). All Depository Accounts shall be the sole and exclusive property of Owner, and Manager shall retain no interest
therein, except as may be expressly provided in this Agreement. Manager shall not commingle Depository Accounts with any other
funds. Checks may be drawn upon such Depository Accounts only by persons authorized by Owner in writing to sign checks, at least
one of whom shall be a designee of Manager. No loans shall be made from the Depository Account. Depository Accounts shall be established
by and in the name of Manager to be held in trust for Owner.


 


(d)          Security
Deposits. Manager shall deposit and maintain all security deposits in a separate account designated by Owner and insured by
the Federal Deposit Insurance Corporation (the "Security Account"). Manager shall fully fund all security deposits
actually received by Manager from tenants of the Project under written leases (collectively, "Tenants") into the
Security Account, notwithstanding whether Applicable Law requires full funding. The Security Account shall be a segregated account
that is distinct from the Depository Accounts and any other accounts relating to the Project or Manager. The Security Account shall
be the sole and exclusive property of Owner, and Manager shall retain no interest therein, except as may be expressly provided
herein. Manager shall not commingle the Security Account with any other funds. Checks may be drawn upon the Security Account only
by persons authorized by Owner in writing to sign checks, at least one of whom shall be a designee of Manager. No loans shall be
made from the Security Account. Manager shall not use a "standardized clearing account" for the Security Account. The
Security Account shall be established in the name of Manager to be held in trust for Owner.


 




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(e)          Annual
Business Plan. Manager agrees to prepare an Annual Business Plan for the operation of the Project for Owner's review and approval,
no later than November 1 in each year during the term of this Agreement. If final approval of a proposed Annual Business
Plan by Owner has not been given by the beginning of the year to which such proposed Annual Business Plan relates, Property Manager
shall operate the Project on the basis of an Annual Business Plan determined by (i) assuming that the revenue from the Project
will increase to 103% of the revenues collected in the prior year, (ii) assuming that the Controllable Expenses will increase to
103% of the amount of the actual Controllable Expenses incurred in the prior year, (iii) increasing all Uncontrollable Expenses
by any anticipated or known increases in such Uncontrollable Expenses, and (iv) including any Emergency Expenditure (as defined
in Section 5(j) below). In the event that the number of condominium units has increased from the prior year, the Annual Business
Plan established pursuant to the preceding sentence would be further adjusted as follows: (1) the amount of revenues determined
in accordance with clause (i) above shall be calculated on a per-unit basis based on the type of condominium unit ("Per Unit
Revenue"); such Per Unit Revenue shall be applied on a consistent basis to the newly acquired condominium units based on the
type of condominium unit; and the amount of revenues in the Annual Business Plan shall be increased by the revenues associated
with the newly acquired condominium units as determined pursuant to this sentence; (2) the amount of Controllable Expenses determined
in accordance with clause (ii) above shall be calculated on a per-unit basis based on the type of condominium unit ("Per Unit
Controllable Expenses"); such Per Unit Controllable Expenses shall be applied on a consistent basis to the newly acquired
condominium units based on the type of condominium unit; and the amount of Controllable Expenses in the Annual Business Plan shall
be increased by the Controllable Expenses associated with the newly acquired condominium units as determined pursuant to this sentence;
(3) items referenced in clauses (iii) and (iv) above shall likewise apply to the newly acquired condominium units. No material
deviations (as defined herein) from any item in an Annual Business Plan approved in accordance with the terms herein shall be made
by Manager without the prior approval of the "Management Committee" (as defined in the Operating Agreement), to the extent
required by the Operating Agreement. The Manager shall provide quarterly updates to the Annual Business Plan, solely for informational
purposes. Each Annual Business Plan shall include the information set forth in Exhibit "E". Owner (and its sole member)
will consider the proposed Annual Business Plan in accordance with the terms of the Operating Agreement and will consult with Manager
prior to the commencement of the forthcoming calendar year in order to agree on an Annual Business Plan for such calendar year.
The Annual Business Plan for calendar year 2014 is attached hereto at Exhibit "B". Notwithstanding anything herein to
the contrary, the Owner may, at any time and from time to time, in connection with the addition of Additional Units or otherwise,
submit to Manager reasonable modifications to all or any portion of the Annual Business Plan during the course of a calendar year,
which modifications shall be incorporated in the Annual Business Plan then in effect and such Annual Business Plan as modified
shall be deemed to be the Annual Business Plan then in effect, and Owner shall fund into the Disbursement Account any and all amounts
as and when necessary to fund any increases in expenditures which may be required as a result of any such change to the Annual
Business Plan. Notwithstanding the foregoing sentence to the contrary, in no event shall Owner have the right to modify the Annual
Business Plan to reduce the Management Fee or Reimbursable Expenses otherwise due pursuant to Section 4. In no event shall Manager
be deemed in default under this Agreement if such changes by Owner to the Annual Business Plan causes Manager to have insufficient
funds to perform its obligations hereunder. Manager agrees to use commercially reasonable efforts to ensure that the actual costs
of maintaining and operating the Project shall not exceed the amount reasonably necessary and, in any event, will not exceed either
the Annual Business Plan (as modified to reflect any Additional Units) either in total amount or in any one accounting category.
Notwithstanding anything to the contrary, Manager shall secure Owner's prior written approval for any expenditure that will result
in an excess of the annual budgeted amount in any one accounting category by more than $10,000.00 of the Annual Business Plan or
$25,000.00 in the aggregate for all categories (a "material deviation"). Manager shall promptly advise and inform the
Owner of any transaction, notice, event or proposal directly relating to the management and operation of the Project which does
or is likely to significantly affect, either adversely or favorably, the Project, other assets of the Owner or cause a material
deviation from the Annual Business Plan. Nothing contained herein shall in any way diminish the obligations or duties of Manager
hereunder.


 




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(f)          Leasing,
Collection of Rents, Etc.


 


(i)          Manager
shall use commercially reasonable efforts consistent with the standard of care set forth herein to lease apartment units in accordance
with all Applicable Laws, to retain residents and to maximize Rental Income. Manager shall not enter into any Lease which has a
term greater than twelve (12) months, except as may be expressly permitted by any Loan Documents. Manager shall comply in all material
respects with all of the terms and conditions applicable to the leasing of the Project set forth in any Loan Documents.


 


(ii)         Manager
shall sign apartment leases ("Leases") on behalf of Owner in its capacity as property manager hereunder. Manager
shall only sign Leases in the form of lease attached hereto as Exhibit "D".


 


(iii)        Manager
shall collect rents, security deposits and other charges payable by Tenants in accordance with the Leases, and shall collect Monthly
Gross Receipts due Owner with respect to the Project from all other sources, and shall deposit all such monies received promptly
upon receipt in the appropriate accounts as provided herein. If Manager receives Excluded Items, Manager shall promptly deposit
same in an account designated by Owner.


 


(iv)        Manager
shall pay all debt service, monthly bills and insurance premiums on the Project from the Depository Account.


 


(v)         Manager
shall, at Owner's expense, market the Project for rental, terminate Leases, evict Tenants, institute and settle suits for delinquent
payments as Manager, in its reasonable discretion, deems advisable, subject to other provisions of this Agreement. In connection
therewith, Manager may, at Owner's expense, as limited by the provisions of Section 5(k) of this Agreement, consult and retain
legal counsel.


 


(vi)        Manager
shall, at Owner's written request, on the twenty-first (21st) day of each month, pay Owner an amount equal to Monthly Gross Receipts
for such month, less amounts paid for Approved Operating Expenses of the Project in accordance with this Agreement, including,
without limitation, the fees owed to Manager pursuant to Section 4 of this Agreement.


 




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(vii)       The responsibilities
and services included in this Section 5 as part of Manager's duties shall not entitle Manager to any additional compensation
over and above the fees set forth in Section 4 of this Agreement. Except as expressly provided in Section 4, Manager
shall not be entitled to any compensation based upon any Project financing or sale of the Project, unless Manager is engaged pursuant
to a separate agreement with Owner to provide brokerage services in connection therewith, in which case Manager's right to compensation
for Project financing or sale shall be based upon such separate agreement.


 


(g)          Repair,
Maintenance and Service.


 


(i)          Manager
shall maintain the Project in good repair and condition, consistent with the standard of care set forth herein and in accordance
with the Annual Business Plan.


 


(ii)         Subject
to the other terms and conditions of this Agreement, Manager in its capacity hereunder shall, in Owner's name and at Owner's expense,
execute contracts for water, sanitary sewer, electricity, gas, internet service, telephone, trash removal, television, vermin or
pest extermination and any other services which are necessary to properly maintain the Project, except for utility services to
individual apartment units, which shall be each Tenants' respective responsibility to the extent provided in the applicable Leases.
Any such contracts shall not, unless the Owner otherwise approves the terms thereof, materially deviate from the terms of the then
existing approved Annual Business Plan of the Project. Manager shall, in Owner's name and at Owner's expense, out of available
cash flow, hire and discharge independent contractors for the repair and maintenance of the Project. Other than Leases, which Manager
is authorized to execute hereunder, Manager shall not, without the prior written consent of the Owner, enter into any contract
in the name of Owner which may not be terminated without payment of penalty or premium with not more than thirty (30) days' notice.
Except as set forth above, Manager shall be permitted to and shall enter into all other contracts (in the name of and/or as agent
for Owner) in accordance with the standard of care established by this Agreement and as Manager reasonably believes are necessary
to perform Manager's obligations hereunder. Manager shall act at arms' length with all contractors and shall employ no Affiliates
of Manager without the prior written consent of Owner.


 




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(h)          Manager's
Employees. Manager shall have in its employ at all times a sufficient number of employees to enable it to professionally manage
the Project in accordance with the terms of this Agreement, as determined by Manager in its professional discretion and subject
to the Annual Business Plan. Manager shall prepare, execute and file all forms, reports and returns, as applicable, but only to
the extent expressly required by Applicable Laws, and Manager shall be permitted to rely on the advice of counsel and other experts
in making the determination of what is required. Manager is authorized to screen, test, investigate, hire, supervise, discharge,
and pay all personnel necessary in Manager's reasonable discretion to maintain and operate the Project. Owner shall reimburse Manager
for all employee related expenses, liabilities, and administrative burden (including, without limitation, costs for all full-time
and part- time employees such as gross salaries and wages, payroll taxes, health insurance, workers compensation, and other benefits
of Manager's employees including the costs for training, software, and other administrative and processing costs, including without
limitation, Project accounting, payroll processing, risk management, benefits administration, travel, marketing expenses, bank
charges, telephone and answering service [which may be equitably allocated on a prorata basis (based on the gross revenues of each
such property) among the Project and other properties managed by Manager, if applicable]) and all costs related to pre-employment
testing and screening, provided, however, that all of the foregoing costs shall be subject to the then effective Annual Business
Plan or otherwise permitted or approved by Owner pursuant to this Agreement. Owner expressly acknowledges and agrees that Manager
may use employees normally assigned to other work centers and/or part-time employees to properly staff the Project, in which case
wages and related expenses shall be reimbursed on a pro rata basis for the time actually spent for the Project (rather than being
allocated based on the gross revenues of each property); provided, however, Owner shall not pay or reimburse Manager for all or
any part of Manager's general overhead expenses, including salaries and payroll expenses of personnel of Manager, except as otherwise
set forth herein.


 


(i)          Maintenance
of Records. Manager agrees to keep and maintain at all times all necessary books and records relating to the leasing, management
and operation of the Project, and to prepare and render to Owner monthly itemized accounts of receipts and disbursements incurred
in connection with its leasing operation and management by the thirteenth (13th) day of the following month. In particular,
Manager shall furnish Owner with the statements and reports listed on Exhibit "F" attached hereto. An annual audit report
shall be prepared at Owner's expense, showing a balance sheet and an income and expense statement, all in reasonable detail and
certified by an independent certified public accountant approved by Owner in its sole discretion. All books, correspondence and
data pertaining to the leasing, management and operation of the Project shall, at all times, be safely preserved. Such books, correspondence
and data shall be available to Owner at all reasonable times, upon not less than forty-eight (48) hours' advance notice, for Owner's
inspection thereof, and shall, upon the termination of this Agreement be delivered to Owner in their entirety and upon request
of Owner be delivered to Owner within thirty (30) days of such request. Manager shall maintain files of all original documents
relating to Leases, vendors and all other business of the Project in an orderly fashion at the Project, which files shall be the
property of Owner and shall at all times be open to Owner's inspection and available for copying at Owner's request, cost and expense.
On or about the end of each calendar quarter of each year, Manager shall cause to be furnished to BR Lansbrook JV Member, LLC ("Bluerock")
such information as reasonably requested in writing by Bluerock as is necessary for any reporting requirements of the any direct
or indirect members of Bluerock or for any reporting requirements of any REIT Member (as defined in the Operating Agreement) (whether
a direct or indirect owner) to determine its qualification as a real estate investment trust and its compliance with REIT Requirements
(as defined in the Operating Agreement) as shall be reasonably requested by Bluerock. Further, the Manager shall cooperate in a
reasonable manner at the request of Owner and any direct or indirect member of Owner to work in good faith with any designated
accountants or auditors of such party or its Affiliates so that such party or its Affiliate is able to comply with its public reporting,
attestation, certification and other requirements under the Securities Exchange Act of 1934, as amended, applicable to such entity,
and to work in good faith with the designated accountants or auditors of the such party or any of its Affiliates in connection
therewith, including for purposes of testing internal controls and procedures of such party or its Affiliates.


 




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(j) Approved Operating Expenses; Emergency Expenditures.
The Approved Operating Expenses which Manager is authorized to incur and pay on behalf of Owner under this Agreement shall in all
respects be limited to those expenses set forth in the Annual Business Plan for the period during which such expenses are paid;
provided, however, that Manager shall be authorized to incur and pay for all other expenses permitted pursuant to Section
5(e) above, or which are otherwise expressly permitted by this Agreement regardless of whether or not such expenses are within
the limitations set by the Annual Business Plan. Any expenses permitted pursuant to Section 5(e) or otherwise approved in
writing by Owner which were not included in the Annual Business Plan shall be deemed sums permitted to be expended by Manager in
addition to (and not in limitation of) the amounts permitted under the Annual Business Plan. The foregoing notwithstanding, if
an Emergency occurs necessitating repairs the cost of which would have the effect of exceeding the Annual Business Plan by more
than those limitations as provided above (such expenses referred to herein as "Emergency Expenditures"), and
Manager is unable to communicate promptly with Owner, then Manager may order, contract for and pay for such Emergency Expenditures
not to exceed $20,000.00, with the cost thereof being included as a Reimbursable Expense for the purposes of the Agreement, and
Manager shall promptly thereafter notify Owner of any such expenses and the nature of the Emergency.


 


(k)          Legal
Proceedings and Compliance with Applicable Laws.


 


(i)          Manager
shall promptly notify Owner (and each insurance carrier of which Manager is aware and whose policy may cover a related claim) in
writing of the receipt of, or attempted service on Owner or Manager of (A) any demand, notice or legal process, or (B) the occurrence
of any casualty, loss, injury or damage on, at or concerning the Project.


 


(ii)         Manager
acknowledges that it is not authorized to accept service of process or any other notice on behalf of Owner. Manager shall not make
representations or provide information to any Person that is inconsistent with the foregoing.


 


(iii)        Manager
shall promptly provide copies to Owner of all notices and other written communications from Owner's insurance carriers with respect
to accepting coverage, appointing counsel or any other matter related to a claim against Owner.


 


(iv)        Manager
shall promptly provide notice to Owner of any oral or written communication relating to the Project that Manager receives from
a governmental or regulatory agency. Manager shall promptly provide Owner with a complete copy of any such written materials.


 




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(v)         Manager
shall fully comply and cause its employees to fully comply, with all Applicable Laws in connection with this Agreement and the
performance of its obligations hereunder.


 


(vi)        Manager
agrees that it shall not, and shall not permit its employees to, cause any hazardous materials or toxic substances, to be stored,
released or disposed of on or in the Project except as may be incidental to the operation of the Project (e.g., cleaning supplies,
fertilizers, paint, pool supplies and chemicals) and then only in complete compliance with all Applicable Laws, in conformity with
the standard of care established hereby and in accordance with any limitations set forth in in any loan documents evidencing or
securing any financing secured by the Project. If (A) there is a violation of Applicable Laws or a violation of the terms of any
applicable loan documents regarding the storage, release and disposal of such hazardous materials, or toxic substances, or (B)
Manager reasonably believes that the storage, release or disposal of any hazardous material, petroleum product, or toxic substances,
could cause liability to the Owner, including any releases caused by Tenants, third parties or employees, on or affecting the Project,
Manager shall notify Owner promptly.


 


(vii)       Manager agrees
that the Project shall be offered to all prospective tenants on a nondiscriminatory basis without regard to race, color, religion,
sex, family status, handicap or national origin in accordance with Applicable Law.


 


(l) Computers. All computers, hardware, software, computer
upgrades and maintenance in connection therewith shall be at Owner's expense.


 


(m) Insufficient Cash Flow. In the event Manager, at
its sole option, elects to advance funds for Owner's account or Owner is indebted to Manager for services or otherwise arising
out of, and incurred in accordance with the terms of, this Agreement, all monies advanced by Manager or otherwise past-due shall
thereafter be due and payable by Owner upon demand and shall bear interest at the prime rate as set forth in the Wall Street Journal,
plus one percent, per annum, computed on monthly debit balances on Owner's account. At the election of Manager, and upon prior
written notice to Owner, Manager may satisfy any permitted advances made by Manager, together with the interest due thereon, from
the Monthly Gross Receipts of the Project. In the event that the Depository Accounts for the Project do not have sufficient funds
to cover the monetary obligations of Manager or the Project pursuant to this Agreement, Manager shall give Owner prompt written
notice with respect to such shortfall and if Owner has not promptly provided funds, then Manager will have no duty to perform any
such obligations until Owner provides sufficient funding, unless Manager so elects in its sole discretion pursuant to this Section
5(m), and Manager shall not be in default under this Agreement for failure to perform any obligation hereunder as a result
of such lack of funds. If Manager suspects that the cash flow from the Project will not, at any time, be sufficient to cover any
Project related expenses, Manager shall promptly notify Owner, and Manager and Owner shall mutually determine the order in which
the obligations of the Project will be satisfied; provided, however, that Manager and Owner agree that available cash flow will
in any event first be applied to Uncontrollable Expenses that are then due and payable.


 




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6.          Insurance
Requirements.


 


(a)          Manager's
Insurance. With respect to its operations of the Project, Manager shall carry, (i) worker's compensation insurance for compensation
to any person engaged in the performance of any work undertaken under this Agreement, including employer's liability coverage with
limits of not less than as may be required by Applicable Law, (ii) commercial general liability insurance and excess/umbrella liability
insurance policies with combined limits of not less than $3,000,000.00 per occurrence and in the aggregate; such policies shall
be written on an occurrence basis, and include contractual liability and other provisions as Owner shall reasonably require, (iii)
a crime insurance policy including insuring agreement for employee dishonesty, forgery and alteration, theft, disappearance and
destruction, and robbery and safe burglary, with limits of liability for each insuring agreement not less than $100,000.00, with
a maximum deductible of $5,000.00 per claim, and (iv) if the Manager provides services similar to those set forth in this Agreement
to third-party clients with which the Manager has no other affiliation, a professional liability insurance policy covering all
the activities of Manager; such policy shall be written on a "claims made" basis, with limits of at least $1,000,000.00
in the aggregate and with a maximum deductible of $25,000.00. Any loss for less than the amount of the deductibles shall be borne
by Manager. All policies of insurance shall be maintained in effect during the period of this Agreement. Each policy shall be from
an insurance company rated "A" or higher by the A.M. Best Insurance Guide, with a financial size category rating of 12
or higher. The Commercial General Liability insurance policy shall be endorsed to include Owner as an additional insured. Manager
shall furnish Owner with copies Acord certificates evidencing such policies and the renewals thereof.


 


(b)          Owner's
Insurance. As an operating expense of the Project, Owner or Owner's representative shall provide and maintain insurance as
consistent and required by the loan documents relating to the Project, or if there are none applicable, in an amount equal to 100%
of the full replacement value of the Project and the improvements thereon. Alternatively, Manager has arranged, through its insurance
agent, a master insurance program in which owners of property managed by Manager may participate (the "Master Insurance
Program"). If Owner elects to participate in the Master Insurance Program, the Owner shall pay the amount thereof
set forth on the insurance invoice delivered to Owner under the Master Insurance Program, which invoice may include administrative
charges in excess of the actual insurance premiums charged by the underling insurance carriers. All insurance coverage provided
under the Master Insurance Program shall be terminated when this Agreement expires or is sooner terminated without the need for
prior notice of termination of the insurance coverage. Owner acknowledges that Manager is not an expert or consultant regarding
insurance coverages and requirements; accordingly, Owner assumes all risk with respect to the adequacy of insurance coverages,
whether such insurance is provided through the Master Insurance Program or otherwise, and Manager shall have no liability therefor
in any respect. Manager shall be named an additional insured under any policies of insurance carried by Owner with respect to the
Project.


 




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(c)          Annual
Business Plan. Upon Manager's submission of each Annual Business Plan, Manager shall affirmatively and in writing confirm and
set forth the scope of all existing insurance coverage, including confirming coverage for the forthcoming year.


 


7.          Representations
and Duties of Manager. Manager represents, warrants, covenants and agrees that:


 


(a)          Manager
has the authority to enter into and to perform this Agreement, to execute and deliver all documents relating to this Agreement,
and to incur the obligations provided for in this Agreement.


 


(b)          When
executed, this Agreement shall constitute the valid and legally binding obligations of Manager in accordance with its terms.


 


(c)          Manager
has all necessary licenses, consents and permissions to enter into this Agreement, manage the Project, and otherwise comply with
and perform Manager's obligations and duties hereunder. Manager shall comply with any conditions or requirements set out in any
such licenses, consents and permissions, and shall at all times operate and manage the Project in accordance with such conditions
and requirements.


 


(d)          During
the term of this Agreement, Manager will be a valid limited liability company, duly organized under the laws of the State of its
formation, be qualified in the State in which the Project is located and shall have full power and authority to manage the Project,
and otherwise comply with and perform Manager's obligations and duties under this Agreement.


 


(e)          Manager
shall comply with any requirements under applicable environmental laws, regulations and orders which affect the Project.


 


(f)          Manager
shall cause the Project to be operated in a manner so that all requirements shall be met which are necessary to obtain or achieve
issuance of all necessary permanent unconditional certificates of occupancy, including all governmental approvals required to permit
occupancy of all of the apartment units in the Project.


 


8.          Representations
of Owner. Owner represents and warrants, that:


 


(a)          Owner
has the authority to enter into and to perform this Agreement, to execute and deliver all documents relating to this Agreement,
and to incur the obligations provided for in this Agreement;


 


(b)          The
Person executing this Agreement on behalf of Owner has the requisite power and authority to execute this Agreement on behalf of
Owner; and


 




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(c)          When
executed, this Agreement, together with all documents executed pursuant hereto, shall constitute the valid and legally binding
obligations of Owner in accordance with its terms.


 


9.          Indemnification.


 


(a)          Indemnification
of Owner. Manager shall indemnify, protect, defend (with legal counsel approved by Owner) and hold harmless Owner and Owner's
members, managers, partners and Affiliates, together with their respective officers, directors, agents, employees and affiliates
(collectively, "Owner Indemnitees"), from and against any and all claims, demands, actions, liabilities,
losses, costs, expenses, damages, penalties, interest, fines, injuries and obligations, including reasonable attorneys' fees, court
costs and litigation expenses ("Claims") actually incurred by any Owner Indemnitee as a result of (i) any
act by Manager (or any officer, agent, employee or contractor of Manager) outside the scope of Manager's authority hereunder, (ii)
any act or failure to act by Manager (or any officer, agent, employee or contractor of Manager) constituting gross negligence,
willful misconduct, fraud or material breach of this Agreement, other than as covered by Owner's insurance (for negligence or misconduct
only) and to the extent Owner's insurance is available, (iii) Claims made by current or former employees or applicants for employment
arising from hiring, supervising or firing same, or (iv) any act or omission by Manager, its employees, officers, agents or contractors
knowingly in violation of any Applicable Laws.


 


(b)          Indemnification
of Manager by Owner. Owner shall indemnify, protect, defend and hold harmless Manager and its Affiliates, together with their
respective officers, directors, agents, employees and affiliates (collectively, "Manager lndemnitees") from
and against any and all Claims actually incurred by any Manager Indemnitee resulting from performance of its obligations under
this Agreement, except that this indemnification shall not apply with respect to any Claims (i) resulting from any act by Manager,
its employees, officers, agents or contractors outside the scope of Manager's authority hereunder, (ii) resulting from any act
or failure to act by Manager, its employees, officers, agents or contractors constituting gross negligence, willful misconduct,
fraud or material breach of this Agreement, (iii) resulting from Claims made by current, former employees or applicants for employment
arising from hiring, supervising or firing same, or (iv) any act by Manager, its employees, agents or contractors knowingly in
violation of any Applicable Law.


 


(c)          Survival.
The provisions of this Section 9 shall survive the termination of this Agreement.


 


10.         Defaults.


 


(a)          Manager's
Event of Default. Manager shall be deemed to be in default hereunder upon the happening of any of the following ("Manager's
Event of Default"):


 




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(i)          The
failure by Manager to keep, observe or perform any covenant, agreement, term or provision of this Agreement and the
continuation of such failure, in full or in part, for a period of thirty (30) days after written notice thereof by Owner to
Manager, or if such default cannot be cured within such thirty (30) day period, then such additional period as shall be
reasonable (but in no event to exceed an additional sixty (60) days thereafter), provided Manager commences to cure such
default within such thirty (30) day period and proceeds diligently to prosecute such cure to completion;


 


(ii)         The
making of a general assignment by Manager for benefit of its creditors, the filing by Manager with any bankruptcy court of competent
jurisdiction of a voluntary petition under Title 11 of U.S. Code, as amended from time to time, the filing by Manager of any petition
or answer seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under
any present or future federal or state act or law relating to bankruptcy, insolvency, or other relief for debtors, Manager being
the subject of any order for relief issued under such Title 11 of the U.S. Code, as amended from time to time, or the dissolution
or liquidation of Manager;


 


(iii)        The intentional
misapplication, misappropriation or commingling of funds held by Manager for the benefit of Owner, including the payment of fees
to Affiliates of the Manager or the loaning of funds to Affiliates; or


 


(iv)        The occurrence
of any other for Cause event with respect to Manager's Affiliate, Carroll Lansbrook JV Member, LLC.


 


(b)          Remedies
of Owner. Upon a Manager's Event of Default, after expiration of all applicable notice and cure periods, Owner shall be entitled
to (i) terminate in writing this Agreement effective as of the date designated by Owner (which may be the date upon which notice
is given) and/or (ii) pursue an action for the actual compensatory damages incurred by Owner provided the Manager's Event of Default
has not then been cured or such cure has not commenced and is not being diligently pursued. Owner expressly agrees that termination
of this Agreement and compensatory monetary damages are its sole rights and remedies with respect to a Manager's Event of Default
and Owner expressly waives and releases all other rights and remedies, including, without limitation, the right to seek equitable
relief, including specific performance or injunctive relief, and to sue for any consequential or punitive damages.


 


(c)          Owner's
Event of Default. Owner shall be deemed to be in default hereunder upon the happening of any of the following (an "Owner's
Event of Default"):


 


(i)          The
failure by Owner to keep, observe or perform any covenant, agreement, term or provision of this Agreement to be kept, observed
or performed by Owner, and such default shall continue for a period of thirty (30) days after written notice thereof by Manager
to Owner, or if such default cannot be cured within such thirty (30) day period, then such additional period as shall be reasonable,
provided Owner commences to cure such default within such thirty (30) day period and proceeds diligently to prosecute such cure
to completion; or


 




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(ii)         The
making of a general assignment by Owner for benefit of its creditors, the filing by Owner with any bankruptcy court of competent
jurisdiction of a voluntary petition under Title 11 of U.S. Code, as amended from time to time, the filing by Owner of any petition
or answer seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under
any present or future federal or state act or law relating to bankruptcy, insolvency, or other relief for debtors, Owner being
the subject of any order for relief issued under such Title 11 of the U.S. Code, as amended from time to time, or the dissolution
or liquidation of Owner.


 


(d)          Remedies
of Manager. Upon an Owner's Event of Default, Manager shall be entitled to (i) terminate in writing this Agreement effective
as of the date designated by Manager which is at least ten (10) days after receipt of such notice of termination by Owner provided
the Owner's Event of Default has not then been cured or such cure commenced, and/or (ii) pursue an action for the actual compensatory
damages incurred by Manager. Manager expressly agrees that termination and compensatory monetary damages are its sole rights and
remedies with respect to an Owner's Event of Default and Manager expressly waives and releases the right to seek equitable relief,
including specific performance or injunctive relief, and to sue for any consequential or punitive damages.


 


11.         Termination
Rights. In addition to the termination right set forth in Section 3 above, Manager and Owner shall have the following
rights to terminate this Agreement:


 


(a)          Termination
By Owner Upon Manager's Event of Default. Upon a Manager's Event of Default, Owner may terminate this Agreement as specified
in Section 10(b) of this Agreement.


 


(b)          Termination
By Manager Upon Owner's Event of Default. Upon an Owner's Event of Default, Manager may terminate this Agreement as specified
in Section l0(d) of this Agreement.


 


(c)          Termination
Without Cause. Either Owner or Manager may terminate this Agreement on ninety (90) days' prior written notice after the expiration
of the Initial Term, without cause. In addition, upon any sale of the Project, this Agreement shall automatically terminate as
of the closing date of such sale.


 


(d)          Effect
of Termination Upon Payment of Fees. Upon the termination of this Agreement for any reason, Manager shall be entitled to its
earned, but unpaid, fees as set forth in Section 4 of this Agreement, for the period prior to the termination.


 


(e)          Final
Accounting; Delivery of Project Upon Termination.


 


(i)     Within
thirty (30) days after termination of this Agreement for any reason, Manager shall:


 


(1)         deliver
to Owner all funds (less final payroll and applicable fees), checks, keys, Lease files, books and records and other Confidential
Information; and


 




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(2)         Promptly
leave the Project and cause Manager's employees to leave the Project without causing any damage thereto.


 


(ii)     Within
ninety (90) days' after termination of this Agreement, Manager shall deliver to Owner a final accounting for the Project, reflecting
the balance of income and expenses thereon as of the date of termination.


 


(iii)    Termination
of this Agreement under any of the prov1s1ons of this Agreement shall not release either party as against the other from liability
for failure to perform any of its duties or obligations as expressed herein and required to be performed prior to such termination.
Owner agrees to cooperate with Manager in the performance of the obligations set forth in this Section 1l(e).


 


12.         Confidentiality.


 


(a)          Preservation
of Confidentiality. In connection with the performance of its obligations hereunder, Manager acknowledges that it will have
access to Confidential Information. Manager shall treat such Confidential Information as proprietary to Owner and private, and
shall preserve the confidentiality thereof and not disclose, or cause or permit its employees, agents or contractors to disclose,
such Confidential Information. Notwithstanding the foregoing, Manager shall have the right to disclose Confidential Information
if and only to the extent it has become public knowledge, but not due to the actions of Manager, or Manager is required by court
order to disclose any Confidential Information. IfManager or anyone to whom Manager transmits Confidential Information pursuant
to this Agreement becomes legally compelled to disclose any of the Confidential Information, Manager shall provide Owner with prompt
notice thereof so that Owner may seek a protective order or other appropriate remedy or waive compliance with the provisions of
this Agreement. In the event that such protective order or other remedy is not obtained by Owner or Owner waives compliance with
the provisions of this Agreement, Manager shall furnish or cause to be furnished only that portion of the Confidential Information
which Manager is required by Applicable Law to furnish, and will exercise commercially reasonable efforts to obtain reliable assurances
that confidential treatment is accorded the Confidential Information so furnished.


 


(b)          Property
Right in Confidential Information. All Confidential Information shall remain the property of Owner and Manager shall have no
ownership interest therein.


 


13.         Survival
of Agreement. All indemnity obligations set forth herein, all obligations to pay earned and accrued fees and expenses,
all confidentiality obligations, and all obligations to perform accrued prior to the date of termination shall survive the termination
of this Agreement.


 


14.         Enforcement
of Agreement. This Agreement, its interpretation, performance and enforcement, and the rights and remedies of the parties
hereto, shall be governed and construed by and in accordance with the law of the State in which the Project is located. In any
dispute pertaining to, or litigation or arbitration arising from the enforcement or interpretation of the provisions of this Agreement,
the prevailing party shall be entitled to recover its reasonable attorney's fees and costs actually incurred, including those incurred
in connection with all appellate levels, bankruptcy, mediation or otherwise to maintain such action, from the losing party.


 




    	18



    	 



    

 


15.         Assignment. Manager shall not sell, directly
or indirectly, assign or otherwise transfer by operation of law or otherwise all or any part of its rights or obligations under
this Agreement, except, with Owner's consent, to an Affiliate of Manager or to any lender of Manager as collateral security for
any and all borrowings of Manager and/or any of its Affiliates, and any such unauthorized assignment shall be void ab initio and
of no effect. A change in the ownership of Manager shall not constitute an assignment, provided that the Key Individuals (as defined
in the Operating Agreement), or any of them, remain in control of the day to day operations of Manager with respect to the Project.


 


16.         Use of Trademark. If at any time the Project
shall be promoted and branded using the name "ARIUM" (the "Trademark"), as elected by Owner in its sole
discretion, Owner shall grant (or cause to be granted} to Manager a non-exclusive, royalty-free license to use (but not the right
to sublicense) the Trademark for such purpose, until the earlier of (i) the dissolution and termination of the Agreement or (ii)
the date on which Owner elects, in its sole discretion, to brand the Project using a different name. Owner and certain of its Affiliates
retain ownership of and the right to use (and to license) the Trademark in connection with any and all matters. At no time during
the term of the Agreement shall any value be placed upon the Trademark by Manager or the right to its use, or the goodwill, if
any, attached thereto. Upon the dissolution of the Agreement, neither the Trademark nor the right to its use, nor the goodwill,
if any, attached thereto shall be considered as an asset of the Manager, unless otherwise licensed or sublicensed to Manager by
Affiliates of Owner having a right to so license or sublicense the Trademark.


 


17.          Notices. All notices, demands, requests or
other communications to be sent by one party to the other hereunder or required by Applicable Law shall be in writing and shall
be deemed to have been validly given or served by delivery of same in person to the addressee, by depositing same with a nationally
recognized overnight delivery service such as Federal Express for next business day delivery ("Overnight Delivery")
or by sending by facsimile transmission, addressed as follows:


 


		If to Owner:	c/o Bluerock Real Estate, L.L.C.



712 Fifth Avenue,


9th Floor New York,


New York 10019


Attention: Jordan B. Ruddy


Facsimile No. (646) 278-4220


 


		with copies to:	c/o Bluerock Real Estate, L.L.C.



712 Fifth Avenue,


9th Floor New York,


New York 10022


Attention: Michael Konig, Esq.


Facsimile No. (646) 278-4220


 




    	19



    	 



    

 


		And:	c/o Carroll Organization, LLC



3340 Peachtree Road,


Suite 1620


Atlanta,


Georgia 30326


Attention: M. Patrick Carroll


Facsimile No. (404) 523-9372


 


		If to Manager:	Carroll Management Group, LLC.



c/o Carroll Organization,


LLC 3340 Peachtree Rd,


NE Suite 2250


Atlanta,


GA 30326 Attn: Linda Masterson


Facsimile No. 404-806-4266


 


All notices shall· be effective upon such personal delivery,
upon being deposited in Overnight Delivery or upon facsimile transmission as required above. However, with respect to notices so
deposited in Overnight Delivery, the time period in which a response to any such notice, demand or request must be given shall
commence to run from the next business day following any such deposit in Overnight Delivery. Notices delivered via facsimile will
be effective upon sender's receipt of confirmation of transmission. A party may change its address for notice purposes by giving
to the other party hereto at least fifteen (15) days' prior written notice in accordance with the provisions hereof.


 


18.         Miscellaneous.


 


(a)          Captions.
The captions of this Agreement are inserted only for the purposes of convenient reference and do not define, limit or prescribe
the scope or intent of this Agreement or any part hereof.


 


(b)          Amendments.
This Agreement cannot be amended or modified except by another agreement in writing, signed by both Owner and Manager.


 


(c)          Entire
Agreement. This Agreement embodies the entire understanding of the parties, and there are no further agreements or understandings,
written or oral, in effect between the parties relating to the subject matter hereof.


 


(d)          Time
is of Essence. Time is the essence hereof.


 


(e)          Construction
of Document. This Agreement has been negotiated at arms' length and has been reviewed by counsel for the parties. No provision
of this Agreement shall be construed against any party based upon the identity of the drafter.


 


(f)          Severability. If any provision of this Agreement
or the application thereof is held to be invalid or unenforceable, such defect shall not affect other provisions or applications
of this Agreement that can be given effect without the invalid or unenforceable provisions or applications, and to this end, the
provisions and applications of this Agreement shall be severable.


 




    	20



    	 



    

 


(g)          Waiver
of Jury Trial. To the fullest extent permitted by Applicable Law, each party to this agreement severally, knowingly, irrevocably
and unconditionally waives any and all rights to trial by jury in any action, suit or counterclaim brought by any party to this
Agreement arising in connection with, out of or otherwise relating to this Agreement.


 


(h)          No
Continuing Waiver. No waiver by a party hereto of any breach of this Agreement shall be effective unless in a writing executed
by such party. No waiver shall operate or be construed to be a waiver of any subsequent breach.


 


(i)          Terrorism
and Money Laundering: Owner and Manager mutually represent and warrant to each other as follows:


 


(i)          They
are not now nor will they be at any time following the execution of this Agreement a Person with whom a U.S. Person is prohibited
from transacting business of the type contemplated by this Agreement, whether such prohibition arises under U.S. law, regulation,
executive orders and lists published by the Office of Foreign Asset Control ("OFAC") (including those executive
orders and lists published by OFAC with respect to Specially Designated Nationals and Blocked Persons) or otherwise (such persons
being referred to in this Agreement as "Prohibited Persons"); and


 


(ii)         They
have made reasonable inquiry and taken such other steps, consistent with best industry practices (including conducting background
searches and checking published lists of Prohibited Persons) and in any event as required by Applicable Law, to ensure that no
Person who is an employee of their respective organization or who owns an interest in their respective organization is now, or
will be at any time following the execution of the Agreement, a Prohibited Person.


 


(j) Governing Law. It is the express intention of Manager
and Owner that the laws of the State of Florida shall govern the validity, interpretation, construction and performance of this
Agreement, excluding any conflict-of-law rules which would direct the application of the law of another jurisdiction. Each of the
parties hereto irrevocably submits to the jurisdiction of the New York State courts and the Federal courts sitting in the State
of New York and agrees that all matters involving this Agreement shall be heard and determined in such courts. Each of the parties
hereto waives irrevocably the defense of inconvenient forum to the maintenance of such action or proceeding. Each of the parties
hereto designates CT Corporation System, 1633 Broadway, New York, New York 10019, as its agent for service of process in the State
of New York, which designation may only be changed on not less than ten (10) days' prior notice to all of the other parties.


 


[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]


 




    	21



    	 



    

 


IN WITNESS WHEREOF, the parties have executed this Agreement
under seal as of the date first set forth above.


 


	OWNER:	 	 
	 	 	 
	 	BR CARROLL LANSBROOK, LLC, a Delaware
	 	limited liability company
	 	 	 
	 	By:	/s/ Jordan B. Ruddy
	 	Name:	Jordan B. Ruddy
	 	Title:	Chief Executive Officer
	 	 	 
	MANAGER:	 	 
	 	 	 
	 	CARROLL MANAGEMENT GROUP, LLC, a Georgia
	 	limited liability company
	 	 	 
	 	By:	/s/ M. Patrick Carroll
	 	Name: 	M. Patrick Carroll
	 	Title: 	President and CEO


 


Exhibits:


 


Exhibit A - Property Description


Exhibit B -2014 Annual Business Plan


Exhibit C - Reimbursable
Expenses


Exhibit D - Form of Lease


Exhibit E - Additional Business Plan Information


Exhibit F-
Statements and Reports


 




    	22



    	 



    

 


EXHIBIT "A"


 


Project Legal Description


 


[See Attached]


 




    	A-1



    	 



    

 


EXHIBIT A


 


PARCEL I:


 


UNITS as shown on Exhibit ''A" LEGAL DESCRIPTION being
in the following:


 


LANSBROOK VILLAGE CONDOMINIUM, a Condominium according to the
Declaration of Condominium thereof, as recorded in O.R. Book 14696, Pages 673 through 874, inclusive and according to the Plat
thereof recorded in Condominium Book 139, Pages 42 through 62, inclusive and all amendments thereof, of the Public Records of Pinellas
County, Florida, together with an undivided interest in the common elements for each unit described in Exhibit "A" LEGAL
DESCRIPTION.


 


PARCEL 2:


Easements in and to the common areas, as more particularly defined
and described in the Declaration of Covenants, Conditions, Restrictions and Easements for The Villages at Lansbrook (The "Villages
at Lansbrook Declaration, recorded December 17, 1999, in O.R. Book 10758, Page 763, as further supplemented by the document recorded
in O.R. Book I 0758, Page 855, as further supplements by the document recorded in O.R Book 11378, Page 120 and as Amended and Restated
by Amended and Restate Declaration of Covenants, Conditions, Restrictions and Easements for Village of Lansbrook, recorded in O.R.
Book 12489, Page 234 l, Second Amended and Restate Declaration of Covenants, Conditions, Restrictions and Easements for Villages
of Lansbrook recorded October 4, 2004, in 0.R Book 13864, Page 2510, all of the Public Records of Pinellas County, Florida. LESS
and EXCEPT those easement areas created under the aforementioned documentation that are located within Parcel l described above.


 


PARCEL 3:


Drainage and retention easements over the drainage area more
particularly described and defined in the Declaration of Drainage Easements and Maintenance Agreement (the "Drainage Declaration")
recorded October 15, 1993, in O.R Book 8437, Page 1145, as modified by O.R..Book 9109, Page 1086 and as supplemented by document
recorded in O.R. Book 11378, Page 111, all of the Public Records of Pinellas County, Florida.


 




    	2



    	 



    

 


EXHIBIT "A" LEGAL DESCRIPTION


 


PARCEL 1:


 


Cambridge Village "C" Units


 


C1-101 C1-103 C1-104 C1-106 C1-201 C1-202 C1-205 C1-206


C2-101
C2-103 C2-104 C2-201 C2-202 C3-101 C3-102 C3-104 C3-105 C3-


106 C3-201 C3-202 C3-203 C3-204 C3-205 C4-101 C4-102 C4-103
C4-104


C4-201 C4-203 C4-204 C5-104 C5-105 C5-106 C5-202 C5-203 C5-205
C5-


206 C6-101 C6-102 C6-103 C6-104 C6-201 C6-203 C6-204 C7-104
C7-105


C7-106 C7-201 C7-202 C7-204 C7-206 CB-101 CB-104 CB-201 CB-203


CB-204 C9-101 C9-102 C9-103 C9-104 C9-201 C9-202


C9-203 C9-204 C10-102 C10-103 C10-104 C10-105 C10-106 C10-201
C10-202 C10-


203 C10-205 C10-206 C11-101 C11-102 C11-103 C11-201 C11-202
C11-203 C12-101


C12-104 C12-201 C12-203 C13-101 C13-102 C13-104 C13-201 C13-203
C13-204


C14-102 C14-104 C14-201 C14-202 C14-204 C15-101 C15-102 C15-104
C15-201


C15-202 C15-204 C16-101 C16-102 C16-104 C16-201 C16-202 C16-203
C16-204


C17-103 C17-104 C17-201 C17-202 C17-203 C17-204 C18-101 C18-102
C18-103


C18-104 C18-201 C18-202 C18-203 C18-204 C19-104 C19-201 C19-203
C19-204


C20-101 C20-104 C20-201 C20-204 C21-101 C21-102 C21-103 C21-104
C21-201


C21-202 C21-203 C22-103 C22-104 C22-105 C22-106 C22-204 C22-205
C22-206


C23-101 C23-102 C23-103 C23-104 C23-105 C23-106 C23-201 C23-202
C23-203


C23-204 C23-205 C23-206 C24-101 C24-102 C24-103 C24-201 C24-203
C24-204


C25-101 C25-102 C25-104 C25-105 C25-201 C25-203 C25-204 C25-205
C25-206


C26-101 C26-102 C26-104 C26-201 C26-203 C26-204


 


Hampton Village "H" Units


 


H1-102 H1-103 H1-104 H1-106 H1-107 H1-108 H2-101 H2-103 H2-104
H2-


105 H2-106 H2-108 H3-103 H3-104 H3-105 H3-106 H3-107 H4-101
H4-106


H5-103 H5-104 H6-101 H6-102 H6-107 H6-108 H6-201 H6-202 H6.:203


H6-204 H6-207 H6-208 H6-301 H6-302 H6-303 H6-304 H6-305 H6-306
H6-


307 H6-308 H7-102 H7-103 HB-101 HB-103 H9-102 H9-103


H9-104 H9-105 H9-106 H9-107 H9-108 H10-101 H10-102 H10-103 H10-106


H10-107 H10-108 H10-203 H10-204 H10-205 H10-206 H10-207 H10-301
H10-302


H10-304 H10-306 H10-307 H10-308 H11-103 H11-105 H11-106 H11-107
H11-108


H11-109 H12-101 H12-102 H12-103 H12-104 H12-105 H12-106 H12-107
H12-108


H12-201 H12-202 H12-203 H12-205 H12-206 H12-207 H12-208 H12-301
H12-302


H12-304 H12-305 H12-306 H13-103 H13-104 H13-105 H14-101 H14-102
H14-104


H14-105 H15-101 H15-106 H15-108 H16-104 H16-105 H16-106 H16-107
H16-108


H16-201 H16-202 H16-203 H16-204 H16-205 H16-206 H16-207 H16-208
H16-301


H16-302 H16-304 H16-306 H16-307 H16-308 H17-102 H17-104 H17-105
H17-106


H17-107 H18-101 H18-102 H18-103 H18-104 H18-105 H18-106 H18-108
H19-102


H19-103 H19-104 H19-105 H19-106 H20-101 H20-102 H20-103 H20-104
H20-105


H21-103 H21-105 H21-107 H21-108 H21-109 H21-110 H22-103 H22-104
H22-106


H22-107 H22-108 H22-109 H22-110 H23-101 H23-102 H23-103 H23-104
H23-105


H23-106 H24-101 H24-102 H24-103 H24-105 H24-108 H23-109


 


Windsor Village 'W" Units


 


W1-101 W1-204 W2-104 W2-201 W2-203 W3-101 W3-201 W3-202 W3-203
W3-


204 W4-102 W4-104 W4-204 W5-101 W5-104 W6-101 W6-102 W6-104
W6-203


W6-204 W7-101 W7-103 W7-104 W7-201 W7-202 W7-203 W7-204 WB-101
WB-


102 WB-104 WB-201 WB-202 WB-204 W9-104 W9-105 W10-101


W10-103 W10-105 W11-104 W11-106 W12-101 W12-103 W12-104 W12-105
W12-106


 




    	3



    	 



    

 


W13-102 W13-105 W13-106 W14-102 W14-103 W14-104 W15-101 W15-102
W15-103


W15-104 W15-105 W15-106 W16-102 W16-103 W16-104 W16-105 W17-101
W17-103


W18-101 W18-102 W18-103 W18-104 W18-201 W18-202 W18-203 W18-204
W19-101


W19-201 W19-204 W20-102 W20-103 W20-104 W20-203 W21-101 W21-102
W21-103


W21-201 W21-202 W21-204 W22-101 W22-102 W22-103 W22-104 W22-202
W22-203


W22-204 W23-101 W23-102 W23-104 W23-202 W23-203 W24-101 W24-102
W24-103


W24-104 W24-202 W24-203 W24-204 W25-101 W25-102 W25-103 W25-104
W25-203


W26-101 W26-102 W26-103 W26-104 W26-201 W26-202 W27-202 W28-102
W28-103


W28-202 W28-203 W29-102 W29-103 W30-101 W30-102 W30-201 W31-101
W31-103


W31-104 W32-101 W32-103 W33-101 W33-104 W34-101 W34-105 W35-101
W35-102


W35-104 W35-105 W35-106 W36-103 W36-106 W37-101 W37-102 W34-103
W37-104


W37-105 W38-101 W38-104 W38-106 W39-101 W39-105 W40-101 W41-101
W41-102


W41-103 W41-104


 


C19-102 CB-202 C20-103 C25-103 CS-204 CB-103 C10-101 C12-102
C12-


202 C19-103


 


H6-206 H10-201 H10-303 H11-110 H15-102 H15-104 H15-110 H16-305
H22-105 H1-105


HS-101 H6-104 H16-103 H6-106 H17-103 H22-101


 


W3-102 W1-201 WS-201 WS-204 W?-102 W10-104 W12-102 W16-101 W19-102


W19-104 W21-104 W27-203 W28-101 W28-104 W28-204 W29-204 W30-103
W11-101


W10-102 W36-105 W26-204 W27-201 W36-102 WB-203 W20-101 W33-106
W25-204


W27-102


 


C1-102 H10-105 W1-102 W2-102 W10-106 W25-201


H3-101 H23-107 W1-103 W4-203 W21-203 W29-104 W33-103 W34-102
W36-101


 


W2-204


 




    	4



    	 



    

 


EXHIBIT "B"


 


Calendar Year 2014


Annual Business Plan


 


[See Attached]


 




    	B-1



    	 



    

 


	Lansbrook Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May'2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	Dec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	OCCUPANCY PERCENTAGE	 	 	93.17	%	 	 	92.99	%	 	 	93.17	%	 	 	92.64	%	 	 	92.64	%	 	 	92.82	%	 	 	92.99	%	 	 	93.17	%	 	 	93.17	%	 	 	92.99	%	 	 	92.64	%	 	 	92.82	%	 	 	92.94	%	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	REVENUE:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	4310-0000	 	MARKET RENT PER SCHEDULE	 	 	619,266	 	 	 	624,976	 	 	 	628,973	 	 	 	638,680	 	 	 	638,680	 	 	 	638,680	 	 	 	648,387	 	 	 	648,387	 	 	 	648,387	 	 	 	648,387	 	 	 	648,387	 	 	 	648,387	 	 	 	7,679,577	 	 	 	11.60	 	 	 	13,449	 	 	 	102.35	%
	4320-0000	 	LEASES OVER/UNDER SCHEDULE	 	 	(3,940	)	 	 	(8,393	)	 	 	(10,897	)	 	 	(18,878	)	 	 	(16,650	)	 	 	(14,530	)	 	 	(22,365	)	 	 	(20,093	)	 	 	(17,948	)	 	 	(15,987	)	 	 	(14,124	)	 	 	(12,353	)	 	 	(176,159	)	 	 	 	 	 	 	 	 	 	 	-2.35	%
	 	 	GROSS POTENTIAL RENT	 	 	615,326	 	 	 	616,583	 	 	 	618,076	 	 	 	619,802	 	 	 	622,030	 	 	 	624,150	 	 	 	626,022	 	 	 	628,294	 	 	 	630,439	 	 	 	632,400	 	 	 	634,263	 	 	 	636,034	 	 	 	7,503,418	 	 	 	11.33	 	 	 	13,141	 	 	 	100.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5220-0000	 	VACANCY LOSS	 	 	42,028	 	 	 	43,193	 	 	 	42,215	 	 	 	45,590	 	 	 	45,753	 	 	 	44,816	 	 	 	43,854	 	 	 	42,913	 	 	 	43,060	 	 	 	44,301	 	 	 	46,653	 	 	 	45,670	 	 	 	530,047	 	 	 	 	 	 	 	 	 	 	 	7.06	%
	6312-0000	 	ADMINISTRATIVE UNITS	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	3,975	 	 	 	47,700	 	 	 	 	 	 	 	 	 	 	 	0.64	%
	6370-0000	 	BAD DEBT	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	2,054	 	 	 	24,648	 	 	 	 	 	 	 	 	 	 	 	0.33	%
	6370-0001	 	BAD DEBT RECOVERY	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(650	)	 	 	(7,800	)	 	 	 	 	 	 	 	 	 	 	 	 
	5250-0000	 	LOST RENT- CONCESSIONS	 	 	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	 	 	 	 	 	 	 	 	 	 	 	0.19	%
	 	 	TOTAL RENTAL LOSSES	 	 	48,607	 	 	 	49,772	 	 	 	48,794	 	 	 	52,169	 	 	 	52,332	 	 	 	51,395	 	 	 	50,433	 	 	 	49,492	 	 	 	49,639	 	 	 	50,880	 	 	 	53,232	 	 	 	52,249	 	 	 	608,995	 	 	 	0.92	 	 	 	1,067	 	 	 	8.12	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	NET RENTAL 3
    INCOME	 	 	566,720	 	 	 	566,811	 	 	 	569,282	 	 	 	567,633	 	 	 	569,697	 	 	 	572,754	 	 	 	575,589	 	 	 	578,801	 	 	 	580,800	 	 	 	581,520	 	 	 	581,030	 	 	 	583,785	 	 	 	6,894,423	 	 	 	10.41	 	 	 	12,074	 	 	 	91.88	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	OTHER INCOME:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0040	 	GARAGE INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	$	  	 	 	 	<=PER
                                         UNIT PER MONTH	 
	5990-0045	 	STORAGE UNIT INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5910-0010	 	MONTH TO MONTH FEES	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5910-0000	 	LAUNDRY INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	$	  	 	 	 	<=PER
                                         UNIT PER MONTH	 
	5910-0002	 	VENDING INCOME	 	 	 	 	 	 	-	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5910-0004	 	ADMINISTRATIVE FEES	 	 	2,600	 	 	 	2,700	 	 	 	2,900	 	 	 	3,000	 	 	 	3,300	 	 	 	3,500	 	 	 	3,100	 	 	 	3,000	 	 	 	2,900	 	 	 	2,600	 	 	 	2,500	 	 	 	2,800	 	 	 	34,900	 	 	 	 	 	 	 	 	 	 	 	 	 
	5920-0000	 	LATE CHARGES	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	2,177	 	 	 	26,124	 	 	 	 	 	 	 	 	 	 	 	 	 
	5920-0002	 	NSF CHARGES	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	1,800	 	 	 	 	 	 	 	 	 	 	 	 	 
	5920-0003	 	CLEANING &
    DAMAGE FEES	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	250	 	 	 	3,000	 	 	$	8.50	 	 	 	<=PER
                                         UNIT TURNED	 
	 	 	FORFEITED DEPOSIT	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	1,100	 	 	 	13,200	 	 	$	1.93	 	 	 	<=PER
                                         UNIT PER MONTH	 
	5990-0001	 	CORPORATE UNITS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0002	 	LEGAL FEES	 	 	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	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0003	 	PET FEES	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	6,155	 	 	 	73,860	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0004	 	TERMINATION FEES	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	5,000	 	 	 	60,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	GARAGE I
    CARPORT INCOME	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	4,200	 	 	 	50,400	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	STORAGE UNIT INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0005	 	APPLICATION FEES	 	 	1,430	 	 	 	1,485	 	 	 	1,595	 	 	 	1,650	 	 	 	1,815	 	 	 	1,925	 	 	 	1,705	 	 	 	1,650	 	 	 	1,595	 	 	 	1,430	 	 	 	1,375	 	 	 	1,540	 	 	 	19,195	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0006	 	WASHER/DRYER COLLECTIONS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0008	 	UTILITY COLLECTIONS	 	 	5,340	 	 	 	5,320	 	 	 	5,310	 	 	 	5,320	 	 	 	5,290	 	 	 	5,290	 	 	 	5,300	 	 	 	5,310	 	 	 	5,320	 	 	 	5,320	 	 	 	5,310	 	 	 	5,290	 	 	 	63,720	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0009	 	CABLE TV COLLECTIONS	 	 	 	 	 	 	 	 	 	 	11,883	 	 	 	-	 	 	 	 	 	 	 	12,127	 	 	 	 	 	 	 	 	 	 	 	11,669	 	 	 	 	 	 	 	 	 	 	 	11,771	 	 	 	47,450	 	 	 	 	 	 	 	 	 	 	 	 	 
	5990-0099	 	MISCELLANEOUS INCOME	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	500	 	 	 	6,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL OTHER INCOME	 	 	29,902	 	 	 	30,037	 	 	 	42,220	 	 	 	30,502	 	 	 	30,937	 	 	 	43,374	 	 	 	30,637	 	 	 	30,492	 	 	 	42,016	 	 	 	29,882	 	 	 	29,717	 	 	 	41,933	 	 	 	411,649	 	 	 	0.62	 	 	 	721	 	 	 	5.49	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL REVENUE	 	 	596,622	 	 	 	596,848	 	 	 	611,502	 	 	 	598,135	 	 	 	600,634	 	 	 	616,128	 	 	 	606,226	 	 	 	609,293	 	 	 	622,816	 	 	 	611,402	 	 	 	610,747	 	 	 	625,718	 	 	 	7,306,072	 	 	 	11	 	 	 	12,795	 	 	 	97.37	%



 




    	2



    	 



    

 


	Lansbrook Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May-2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	·Dec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF
    GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	PERSONNEL COSTS:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6310-0000	 	SALARIES· ADMINISTRATIVE	 	 	23,916	 	 	 	19,736	 	 	 	19,736	 	 	 	25,424	 	 	 	19,736	 	 	 	23,916	 	 	 	19,736	 	 	 	19,736	 	 	 	19,736	 	 	 	19,736	 	 	 	25,424	 	 	 	23,916	 	 	 	260,748	 	 	 	 	 	 	 	 	 	 	 	 	 
	6330-0000	 	SALARIES ·MANAGER	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6280-0000	 	SALARIES· RECREATIONAL	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6280-0001	 	SALARIES ·NETWORK CENTER	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6540-0000	 	SALARIES· MAINTENANCE	 	 	14,898	 	 	 	14,898	 	 	 	14,898	 	 	 	22,346	 	 	 	14,898	 	 	 	14,898	 	 	 	14,898	 	 	 	14,898	 	 	 	14,898	 	 	 	14,898	 	 	 	22,346	 	 	 	14,898	 	 	 	193,669	 	 	 	 	 	 	 	 	 	 	 	 	 
	6270-0000	 	COMMISSIONS &
    BONUS	 	 	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	 	 	 	15	%	 	 	<=%
                                         OF GROSS SALARIES	 
	6331-0000	 	MANAGER &
    OFFICE APARTMENTS	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6521-0000	 	MAINTENANCE APARTMENTS	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6711-0000	 	PAYROLL TAXES	 	 	6,070	 	 	 	5,482	 	 	 	5,482	 	 	 	7,330	 	 	 	5,482	 	 	 	6,070	 	 	 	5,482	 	 	 	5,482	 	 	 	5,482	 	 	 	5,482	 	 	 	7,330	 	 	 	6,070	 	 	 	71,243	 	 	 	 	 	 	 	 	 	 	 	 	 
	6722-0000	 	WORKERS COMPENSATION	 	 	1,108	 	 	 	1,077	 	 	 	1,077	 	 	 	1,462	 	 	 	1,077	 	 	 	1,112	 	 	 	1,077	 	 	 	1,077	 	 	 	1,077	 	 	 	1,077	 	 	 	1,462	 	 	 	1,112	 	 	 	13,795	 	 	 	 	 	 	 	 	 	 	 	 	 
	6723-0000	 	HEALTH INS &
    OTHER BENEFITS	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	3,740	 	 	 	44,880	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL SALARIES &
    PERSONNEL	 	 	55,231	 	 	 	50,433	 	 	 	50,433	 	 	 	65,802	 	 	 	50,433	 	 	 	55,235	 	 	 	50,433	 	 	 	50,433	 	 	 	50,433	 	 	 	50,433	 	 	 	65,802	 	 	 	55,235	 	 	 	650,334	 	 	 	0.98	 	 	 	1,139	 	 	 	8.67	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ADMINISTRATIVE EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6290-0001	 	DUES AND SUBSCRIPTIONS	 	 	101,466	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	100,966	 	 	 	1,212,096	 	 	$	176.90	 	 	 	<=PER
                                         UNIT PER MONTH	 
	6311-0000	 	OFFICE SUPPLIES	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	570	 	 	 	6,840	 	 	 	 	 	 	 	 	 	 	 	 	 
	6311-0001	 	OFFICE EQUIPMENT	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	603	 	 	 	7,236	 	 	 	 	 	 	 	 	 	 	 	 	 
	6311-0002	 	COURIER SERVICE	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6311-0003	 	ADMINISTRATION-FORMS	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	75	 	 	 	900	 	 	 	 	 	 	 	 	 	 	 	 	 
	6311-0004	 	CREDIT COLLECTION &
    EVICTION	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	1,085	 	 	 	13,020	 	 	$	1.90	 	 	 	<=PER
                                         UNIT PER MONTH	 
	6311-0005	 	UNIFORMS	 	 	3,229	 	 	 	(521	)	 	 	(21	)	 	 	(521	)	 	 	(521	)	 	 	3,229	 	 	 	(521	)	 	 	(521	)	 	 	479	 	 	 	(521	)	 	 	(521	)	 	 	(521	)	 	 	2,748	 	 	 	 	 	 	 	 	 	 	 	 	 
	6311-0006	 	COMMUNICATIONS	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	1,370	 	 	 	16,440	 	 	$	2.40	 	 	 	<=PER
                                         UNIT PER MONTH	 
	6390-0020	 	RENT REVENUE SYSTEM	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	1,568	 	 	 	18,810	 	 	 	 	 	 	 	 	 	 	 	 	 
	6390-0004	 	YARDl/COMPUTER	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	1,020	 	 	 	12,240	 	 	 	 	 	 	 	 	 	 	 	 	 
	6390-0015	 	WEBSITE/RESIDENT PORTAL	 	 	3,127	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	627	 	 	 	10,024	 	 	 	 	 	 	 	 	 	 	 	 	 
	6390-0007	 	TRAINING &
    TRAVEL	 	 	250	 	 	 	550	 	 	 	250	 	 	 	250	 	 	 	550	 	 	 	250	 	 	 	250	 	 	 	550	 	 	 	750	 	 	 	250	 	 	 	550	 	 	 	500	 	 	 	4,950	 	 	 	 	 	 	 	 	 	 	 	 	 
	6390-0099	 	MISCELLANEOUS ADMIN. EXP	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	1,800	 	 	 	 	 	 	 	 	 	 	 	 	 
	6390-0098	 	BANK FEES	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	3,600	 	 	 	 	 	 	 	 	 	 	 	 	 
	5099-0500	 	Shared Office Reimbursement	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	2,985	 	 	 	35,820	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL ADMINISTRATIVE EXP.	 	 	117,848	 	 	 	111,398	 	 	 	111,598	 	 	 	111,098	 	 	 	111,398	 	 	 	114,848	 	 	 	111,098	 	 	 	111,398	 	 	 	112,598	 	 	 	111,098	 	 	 	111,398	 	 	 	111,348	 	 	 	1,347,124	 	 	 	2.03	 	 	 	2,359	 	 	 	17.95	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	MARKETING	 	EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6210-0002	 	OUTDOOR ADVERTISING	 	 	1,100	 	 	 	800	 	 	 	500	 	 	 	500	 	 	 	800	 	 	 	500	 	 	 	1,100	 	 	 	800	 	 	 	500	 	 	 	500	 	 	 	800	 	 	 	500	 	 	 	8,400'	 	 	 	 	 	 	 	 	 	 	 	 	 
	6210-0003	 	INDUSTRY MAG/INTERNET	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	4,715	 	 	 	56,580	 	 	 	 	 	 	 	 	 	 	 	 	 
	6210-0015	 	RESIDENT RELATIONS	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	700	 	 	 	8,400	 	 	 	 	 	 	 	 	 	 	 	 	 
	6210-0099	 	BROCHURES/COLLATERAL	 	 	4,000	 	 	 	1,000	 	 	 	2,000	 	 	 	300	 	 	 	 	 	 	 	2,000	 	 	 	300	 	 	 	 	 	 	 	 	 	 	 	2,000	 	 	 	300	 	 	 	 	 	 	 	11,900	 	 	 	 	 	 	 	 	 	 	 	 	 
	6250-0001	 	REFERRAL FEES	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6251-0000	 	RECREATION EXPENSE	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6260-0001	 	MINI ·MODEL EXPENSE	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	1,200	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL MARKETING EXPENSE	 	 	10,715	 	 	 	7,415	 	 	 	8,115	 	 	 	6,415	 	 	 	6,415	 	 	 	8,115	 	 	 	7,015	 	 	 	6,415	 	 	 	6,115	 	 	 	8,115	 	 	 	6,715	 	 	 	6,115	 	 	 	87,680	 	 	 	0.13	 	 	 	154	 	 	 	1.17	%



 




    	3



    	 



    

 


	Lansbrook Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May-2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	Dec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	REPAIRS &
    MAINTENANCE EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6525-0001	 	INTERIOR DOORS EXPENSE	 	 	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	 	 	 	 	 	 	 	 	 	 	 	 	 
	6536-0000	 	LANDSCAPING SUPPLIES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 
	6541-0001	 	ELECTRICAL SUPPLIES	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	24,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	6541-0002	 	PLUMBING SUPPLIES/REPAIRS	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	24,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	6541-0003	 	APPLIANCE PARTS	 	 	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	 	 	 	 	 	 	 	 	 	 	 	 	 
	6541-0005	 	GLASS\SCREENS/MIRRORS	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	2,000	 	 	 	24,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	6541-0099	 	OTHER MAINTENANCE MATERIALS	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	300	 	 	 	3,600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6542-0001	 	ROOF REPAIRS	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6542-0004	 	FENCE REPAIRS I
    GATES	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	1,800	 	 	 	 	 	 	 	 	 	 	 	 	 
	6542-0005	 	LOCKS &
    KEYS	 	 	910	 	 	 	945	 	 	 	1,015	 	 	 	1,050	 	 	 	1,155	 	 	 	1,225	 	 	 	1,085	 	 	 	1,050	 	 	 	1,015	 	 	 	910	 	 	 	875	 	 	 	980	 	 	 	12,215	 	 	 	 	 	 	 	 	 	 	 	 	 
	6542-0006	 	GUTTER/DOWNSPOUTS/REPAIRS	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6542-0007	 	PAVING/CONCRETE/STRIPING	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	50	 	 	 	600	 	 	 	 	 	 	 	 	 	 	 	 	 
	6546-0001	 	HVAC PARTS &
    SUPPLIES	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	3,020	 	 	 	36,240	 	 	 	 	 	 	 	 	 	 	 	 	 
	6547-0000	 	POOL EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6548-0000	 	SNOW REMOVAL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6570-0000	 	EQUIPMENT VEHICLE EXPENSE	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	350	 	 	 	4,200	 	 	 	 	 	 	 	 	 	 	 	 	 
	6590-0001	 	FIRE PROTECTION	 	 	150	 	 	 	150	 	 	 	150	 	 	 	7,000	 	 	 	150	 	 	 	1,500	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	150	 	 	 	10,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL REPAIRS &
    MAINTENANCE	 	 	13,030	 	 	 	13,065	 	 	 	13,135	 	 	 	20,020	 	 	 	13,275	 	 	 	14,695	 	 	 	13,205	 	 	 	13,170	 	 	 	13,135	 	 	 	13,030	 	 	 	12,995	 	 	 	13,100	 	 	 	165,855	 	 	 	0.25	 	 	 	290	 	 	 	2.21	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	CLEANING AND DECORATING	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6517-0000	 	CLEANING CONTRACT	 	 	2,835	 	 	 	3,045	 	 	 	3,045	 	 	 	3,255	 	 	 	3,045	 	 	 	3,150	 	 	 	3,255	 	 	 	3,150	 	 	 	3,150	 	 	 	2,730	 	 	 	2,625	 	 	 	3,150	 	 	 	36.435	 	 	$	103.22	 	 	 	<=PER
                                         UNIT TURNED	 
	6515-0000	 	CLEANING SUPPLIES	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	100	 	 	 	1,200	 	 	 	 	 	 	 	 	 	 	 	 	 
	6560-0002	 	FLOOR COVERING REPAIRS	 	 	1,360	 	 	 	1,360	 	 	 	1,360	 	 	 	1,360	 	 	 	1,210	 	 	 	1,210	 	 	 	1,210	 	 	 	1,210	 	 	 	1,210	 	 	 	1,360	 	 	 	1,360	 	 	 	1,360	 	 	 	15,570	 	 	$	44.11	 	 	 	<=PER
                                         UNIT TURNED	 
	6560-0003	 	CONTRACT PAINTING - INTERIOR	 	 	5,340	 	 	 	5,730	 	 	 	5,730	 	 	 	6,120	 	 	 	5,730	 	 	 	5,925	 	 	 	6,120	 	 	 	5,925	 	 	 	5,925	 	 	 	5,145	 	 	 	4,950	 	 	 	5,925	 	 	 	68,565	 	 	$	194.24	 	 	 	<=PER
                                         UNIT TURNED	 
	6561-0002	 	PAINTING SUPPLIES	 	 	295	 	 	 	315	 	 	 	315	 	 	 	335	 	 	 	315	 	 	 	325	 	 	 	335	 	 	 	325	 	 	 	325	 	 	 	285	 	 	 	275	 	 	 	325	 	 	 	3,770	 	 	 	 	 	 	 	 	 	 	 	 	 
	6560-0004	 	CARPET CLEANING	 	 	1,350	 	 	 	1,450	 	 	 	1,450	 	 	 	1,550	 	 	 	1,450	 	 	 	1,500	 	 	 	1,550	 	 	 	1,500	 	 	 	1,500	 	 	 	1,300	 	 	 	1,250	 	 	 	1,500	 	 	 	17,350	 	 	$	49.15	 	 	 	<=PER
                                         UNIT TURNED	 
	6561-0001	 	COUNTERTOPS RESURFACED	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	-	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6561-0003	 	TUBS RESURFACED	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6561-0004	 	WALLPAPER &
    SUPPLIES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	$	   	 	 	 	<=PER
                                         UNIT TURNED	 
	6560-0099	 	SHEETROCK REPAIR	 	 	262	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	62	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	262	 	 	 	3,144	 	 	$	8.91	 	 	 	<=PER
                                         UNIT TURNED	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL CLEAN &
    DECORATING	 	 	11,542	 	 	 	12,262	 	 	 	12,262	 	 	 	12,982	 	 	 	12,112	 	 	 	12,472	 	 	 	12,832	 	 	 	12,472	 	 	 	12,472	 	 	 	11,182	 	 	 	10,822	 	 	 	12,622	 	 	 	146,034	 	 	 	0.22	 	 	 	256	 	 	 	1.95	%



 



    	4



    	 



    

 


	Lansbrook
    Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of
    Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable
    SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May-2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	Oec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	CONTRACT SERVICES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6317-0001	 	CONTRACT COMMON AREA CLEANING	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	400	 	 	 	4,800	 	 	 	 	 	 	 	 	 	 	 	 	 
	6460-0000	 	CONTRACT CABLE TV	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6519-0000	 	CONTRACT EXTERMINATING	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	<=PER
                                         UNIT PER MONTH	 
	6530-0002	 	CONTRACT COURTESY PATROL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6531-0000	 	SECURITY RENT FREE APT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6532-0000	 	INTRUSION ALARMS	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	200	 	 	 	2,400	 	 	 	 	 	 	 	 	 	 	 	 	 
	6537-0000	 	CONTRACT YARDS &
    GROUNDS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	<=PER
                                         UNIT PER MONTH	 
	6542-0000	 	CONTRACT REPAIRS	 	 	 	 	 	 	3,000	 	 	 	5,000	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	8,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	6545-0001	 	CONTRACT ELEVATOR	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6546-0002	 	CONTRACT HVAC	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6590-0099	 	LIFT STATION EXPENSE LIFT
    STATION EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL CONTRACT SERVICES	 	 	600	 	 	 	3,600	 	 	 	5,600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	600	 	 	 	15,200	 	 	 	0.02	 	 	 	27	 	 	 	0.20	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	PROFESSIONAL FEES:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6320-0000	 	MANAGEMENT FEES	 	 	16,407	 	 	 	16,413	 	 	 	16,816	 	 	 	16,449	 	 	 	16,517	 	 	 	16,944	 	 	 	16,671	 	 	 	16,756	 	 	 	17,127	 	 	 	16,814	 	 	 	16,796	 	 	 	17,207	 	 	 	200,917	 	 	 	 	 	 	 	<=MONTHLY
                                         MINIMUM	 
	6321-0000	 	MANAGEMENT FEES - OTHER	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	2.75	%	 	 	<=MANAGEMENT
                                         FEE %	 
	6340-0000	 	PROFESSIONAL FEES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6350-0000	 	AUDIT FEES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6351-0000	 	BOOKKEEPING FEES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	<=BK
                                         FEE $/UNIT/MON	 
	6390-0002	 	AD VALOREM TAX SERVICE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6790-0000	 	BUSINESS LICENSES &
    PERMITS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL PROFESSIONAL FEES	 	 	16,407	 	 	 	16,413	 	 	 	16,816	 	 	 	16,449	 	 	 	16,517	 	 	 	16,944	 	 	 	16,671	 	 	 	16,756	 	 	 	17,127	 	 	 	16,814	 	 	 	16,796	 	 	 	17,207	 	 	 	200,917	 	 	 	0.30	 	 	 	352	 	 	 	2.68	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	UTILITIES:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	SQ.FT/YR	 	 	 	UNIT/MO	 	 	 	 	 
	6450-0001	 	ELECTRICITY -VACANT	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	2,850	 	 	 	34,200	 	 	 	0.05	 	 	 	 	 	 	 	 	 
	6450-0003	 	ELECTRICITY - COMMON	 	 	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	 	 	 	0.02	 	 	 	 	 	 	 	 	 
	6451-0000	 	WATER AND SEWER	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	850	 	 	 	10,200	 	 	 	0.02	 	 	 	 	 	 	 	 	 
	6453-0000	 	LAKE TREATMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6452-0001	 	GAS -VACANT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6452-0004	 	GAS - LAUNDRY	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6525-0000	 	TRASH	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL UTILITY EXPENSE	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	4,900	 	 	 	58,800	 	 	 	0.09	 	 	 	103	 	 	 	0.78	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	TAXES &
    INSURANCE:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6710-0001	 	REAL ESTATE TAXES	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	65,766	 	 	 	789,186	 	 	 	1.19	 	 	 	1,382	 	 	 	10.52	%
	6710-0002	 	PERSONAL PROPERTY TAX	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0.00	%
	6720-0000	 	HAZARD INSURANCE	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	13,417	 	 	 	161,000	 	 	 	0.24	 	 	 	282	 	 	 	2.15	%
	6721-0000	 	FIDELITY BOND INSURANCE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL TAXES &
    INSURANCE	 	 	79,182	 	 	 	791182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	79,182	 	 	 	950,186	 	 	 	1.43	 	 	 	1,664	 	 	 	12.66	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	TOTAL OPERATING
    EXPENSES	 	 	309,455	 	 	 	298,668	 	 	 	302,041	 	 	 	317,448	 	 	 	294,832	 	 	 	306,991	 	 	 	295,936	 	 	 	295,325	 	 	 	296,562	 	 	 	295,353	 	 	 	309,210	 	 	 	300,310	 	 	 	3,622,130	 	 	 	5.47	 	 	 	6,343	 	 	 	48.27	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NET OPERATING
    INCOME	 	 	287,166	 	 	 	298,180	 	 	 	309,461	 	 	 	280,687	 	 	 	305,802	 	 	 	309,138	 	 	 	310,290	 	 	 	313,968	 	 	 	326,254	 	 	 	316,049	 	 	 	301,538	 	 	 	325,408	 	 	 	3,683,942	 	 	 	5.56	 	 	 	6,452	 	 	 	49.10	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	FINANCIAL	 	EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6820-0001	 	INTEREST 1ST MORTGAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6820-0002	 	INTEREST 2ND MORTGAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6820-0003	 	INTEREST 3RD MORTGAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6850-0000	 	MORTGAGE INSURANCE PREM.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6890-0000	 	DISTRIBUTION TO OWNER	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	5420-0005	 	INTEREST REDUCTION	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6890-0000	 	MISCELLANEOUS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL FINANCIAL EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	MORTGAGE· REPLACEMENT RESERVE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0001	 	CAPITAL RESERVE WITHDRAWAL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0002	 	REPLACEMENT RESERVE DEP.	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	12,146	 	 	 	145,752	 	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0003	 	REPLACEMENT RESERVE W/D	 	 	 	 	 	 	 	 	 	 	(36,438	)	 	 	 	 	 	 	 	 	 	 	(36,438	)	 	 	 	 	 	 	 	 	 	 	(36,438	)	 	 	 	 	 	 	 	 	 	 	(36,438	)	 	 	(145,752	)	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0004	 	PRINCIPAL 1ST MORTGAGE,	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 





 




    	5



    	 



    

 


	Lansbrook Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May-2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	Dec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF
    GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0005	 	PRINCIPAL 2ND MORTGAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6900-0006	 	PRINCIPAL 3RD MORTGAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL MORTGAGE/RESERVE	 	 	12,146	 	 	 	12,146	 	 	 	(24,292	)	 	 	12,146	 	 	 	12,146	 	 	 	(24,292	)	 	 	12,146	 	 	 	12,146	 	 	 	(24,292	)	 	 	12,146	 	 	 	12,146	 	 	 	(24,292	)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	RETURN TO OWNER	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6901-0000	 	RETURN TO OWNER	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	CASH FLOW BEFORE CAPITAL EXP.	 	 	275,020	 	 	 	286,034	 	 	 	333,753	 	 	 	268,541	 	 	 	293,656	 	 	 	333,430	 	 	 	298,144	 	 	 	301,822	 	 	 	350,546	 	 	 	303,903	 	 	 	289,392	 	 	 	349,700	 	 	 	3,683,942	 	 	 	5.56	 	 	 	6,452	 	 	 	49.10	%
	CAPITAL EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Working Capital Withdraw	 	 	 	 	 	 	 	 	 	 	-11081.17	 	 	 	 	 	 	 	 	 	 	 	-11081.17	 	 	 	 	 	 	 	 	 	 	 	-11081.17	 	 	 	 	 	 	 	 	 	 	 	-11081.17	 	 	 	-44324.68	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0001	 	DISHWASHER	 	 	400	 	 	 	 	 	 	 	400	 	 	 	 	 	 	 	400	 	 	 	 	 	 	 	400	 	 	 	 	 	 	 	400	 	 	 	 	 	 	 	400	 	 	 	 	 	 	 	2,400	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0002	 	STOVES	 	 	 	 	 	 	350	 	 	 	 	 	 	 	350	 	 	 	 	 	 	 	350	 	 	 	.	 	 	 	350	 	 	 	 	 	 	 	350	 	 	 	.	 	 	 	350	 	 	 	2,100	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0003	 	REFRIGERATORS	 	 	900	 	 	 	 	 	 	 	900	 	 	 	 	 	 	 	900	 	 	 	 	 	 	 	900	 	 	 	 	 	 	 	900	 	 	 	 	 	 	 	900	 	 	 	 	 	 	 	5,400	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0005	 	CEILING FANS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0007	 	CARPET	 	 	11,729	 	 	 	11,729	 	 	 	11,729	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	10,827	 	 	 	132,627	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0008	 	TILE	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0009	 	VINYL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0010	 	EQUIPMENT-OFFICE	 	 	13,500	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	13,500	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0011	 	FURNITURE-OFFICE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0012	 	FURNITURE-MODEL/CLUB.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0013	 	FURNITURE-OUTDOOR	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0014	 	HVAC CONDENSING UNITS	 	 	2,750	 	 	 	2,750	 	 	 	2,750	 	 	 	3,850	 	 	 	3,850	 	 	 	3,850	 	 	 	3,300	 	 	 	2,750	 	 	 	'2,200		 	 	1,650	 	 	 	1,650	 	 	 	1,650	 	 	 	33,000	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0015	 	MAJOR WATER LINE REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0016	 	WATER HEATERS	 	 	350	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	350	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	350	 	 	 	1,050	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0017	 	MAJOR SEWER REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0018	 	PARKING AREA	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0019	 	SWIMMING POOL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0020	 	TENNIS COURTS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0021	 	POOL DECKING	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0022	 	PERIMETER FENCING	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0023	 	PLAYGROUND EQUIPMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0024	 	MAINTENANCE EQUIPMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0025	 	GOLF CART	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0026	 	CLUBHOUSE RENOVATIONS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0027	 	BALCONIES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0028	 	GUTTERS/DOWN SPOUTS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0029	 	BATH LIGHT FIXTURES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	CAPITAL EXPENSES CONTINUED	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0030	 	TUB AND TILE WALL REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0031	 	HANDICAP/ADA RENOV	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0032	 	BOILER & PARTS REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0033	 	EXTERIOR LIGHTING & BREAKERS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0034	 	KITCHEN LIGHT FIXTURES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0035	 	COUNTERTOPS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	.	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0036	 	SIGNAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0037	 	ROOF REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0038	 	OTHER BLDG IMPROVEMENTS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0039	 	KITCHEN CABINETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0040	 	BATH VANITIES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0042	 	EXTERIOR DOOR REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0043	 	LIFT STATION PUMPS & ALARMS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0044	 	MINI & VERTICAL BLINDS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL CAPITAL REPLMENT	 	 	29,629	 	 	 	14,829	 	 	 	15,779	 	 	 	15,027	 	 	 	15,977	 	 	 	15,377	 	 	 	15,427	 	 	 	13,927	 	 	 	14,327	 	 	 	12,827	 	 	 	13,777	 	 	 	13,177	 	 	 	190,077	 	 	 	0.29	 	 	 	333	 	 	 	2.53	%
	EXTRAORDINARY EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	REPLACEMENT RESERVE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0010	 	MAJOR LANDSCAPING	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0004	 	PARKING AREA	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	.	 	 	 	 	 	 	 	 	 	 	 	 	 





 




    	6



    	 



    

 


	 Lansbrook
    Village	 	RESIDENTIAL OPERATING BUDGET	 	 	PRINTED 3/21/2014	 	 	 	 
	# of Units	 	571	 	CARROLL MANAGEMENT GROUP	 	 	 	 	 	 	 	 	 	 
	Leasable
    SF	 	662225	 	Mar-2014	 	 	Apr-2014	 	 	May-2014	 	 	Jun-2014	 	 	Jul-2014	 	 	Aug-2014	 	 	Sep-2014	 	 	Oct-2014	 	 	Nov-2014	 	 	Dec-2014	 	 	Jan-2015	 	 	Feb-2015	 	 	TOTAL	 	 	$/SQFT	 	 	$/UNIT	 	 	%OF GROSS	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0043	 	SIGNAGE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0005	 	SIDEWALK REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0008	 	WINDOW REPLACEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-00006	 	ACCESS GATE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0076	 	DOG PARK	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0060	 	POOL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7005-0060	 	FITNESS CENTER EQUIPMENT	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0038	 	INTERIOR UNIT UPGRADES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	7111-0910	 	CONSTRUCTION SUPERVISION
    FEE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL EXTRAORDINARY
    EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	"	 	 	 	 	 	 	 	 	 	 	 	"	 	 	 	0.00	%
	CASH FLOW
    AFTER EXTRAORDINARY	 	 	245,391	 	 	 	271,206	 	 	 	317,974	 	 	 	253,515	 	 	 	277,680	 	 	 	318,053	 	 	 	282,717	 	 	 	287,896	 	 	 	336,220	 	 	 	291,076	 	 	 	275,615	 	 	 	336,524	 	 	 	3,493,865	 	 	 	5.28	 	 	 	6,119	 	 	 	46.56	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	PARTNERSHIP EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	8000-0000	 	PARTNERSHIP EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0	 	 	 	 	 	 	 	 	 	 	 	 	 
	8000-0010	 	PROFESSIONAL FEES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	17500	 	 	 	4500	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	22000	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	TOTAL PARTNERSHIP EXP	 	 	0	 	 	 	0	 	 	 	0	 	 	 	0	 	 	 	0	 	 	 	0	 	 	 	17500	 	 	 	4500	 	 	 	0	 	 	 	0	 	 	 	0	 	 	 	0	 	 	 	22000	 	 	 	0.03	 	 	 	39	 	 	 	0.29	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	NET CASH FLOW	 	 	245,391	 	 	 	271,206	 	 	 	317,974	 	 	 	253,515	 	 	 	277,680	 	 	 	318,053	 	 	 	265,217	 	 	 	283,396	 	 	 	336,220	 	 	 	291,076	 	 	 	275,615	 	 	 	336,524	 	 	 	3,471,865	 	 	 	5.24	 	 	 	61080	 	 	 	46.27	%





 



    	7



    	 



    

 


EXHIBIT "C"


 


Approved Reimbursable Expenses


 


		1.	license and permit fees, homeowner association fees and
assessments, and all other charges of any kind or nature by any governmental or public authority



 


		2.	Management Fees


 


	 	3.	advertising and marketing expenses, and leasing fees and commissions


 


	 	4.	legal, accounting, risk management, engineering, and other professional and consulting fees and disbursements


 


	 	5.	accounts payable to contractors providing labor, materials, services, and equipment to the Project


 


	 	6.	premiums for insurance paid with respect to the Project or the operations thereof and costs and expenses associated with the administration thereof


 


	 	7.	resident improvements and replacements and segregated reserves therefore


 


	 	8.	maintenance and repair of the Project and all property and equipment used in connection with the operation thereof


 


	 	9.	refunds of security or other deposits to residents and contracting parties


 


	 	10.	funds reserved for contingent or contested liabilities, real estate taxes, insurance premiums, or other amounts not payable on a monthly basis


 


	 	11.	service contracts and public utility charges and assessments


 


	 	12.	personnel administration charges and pre-employment screening


 


	 	13.	payroll costs including, without limitation, those set forth in paragraph 5(h) of this Agreement


 


	 	14.	costs of credit reports, bank charges and like matters


 


	 	15.	incidental expenses incurred with respect to the performance of Manager's obligations under this Agreement, including, without limitation: courier services, postage, photocopies, signage, check printing, marketing expenses, bank charges, telephone and answering services (which may be equitably allocated on a prorata basis (based on the gross revenues of all properties against which such charges are allocated) among the other properties managed by Manager).


 




    	C-1



    	 



    

 


EXHIBIT "D"


 


Approved form of Lease


 


[See attached]


 




    	D-1



    	 



    

 


EXHIBIT E


 


Annual Business Plan Information


 


	 	1.	a narrative description of any acquisitions or sales that are planned and any other activities proposed to be undertaken;


 


	 	2.	a projected annual income statement (accrual basis) on a quarter-by-quarter basis;


 


	 	3.	a projected balance sheet as of the end of the next year;


 


	 	4.	a schedule of projected operating cash flow (including itemized operating revenues, project costs and project expenses) for such year on a quarter-by-quarter basis, including a schedule of projected operating deficits, if any;


 


	 	5.	a marketing plan indicating the portions of the Project that Manager recommends be made available for lease and the proposed terms and conditions relating thereto;


 


	 	6.	a detailed budget reflecting on a line by line basis all projected operating expenses and any proposed construction and capital expenditures for the Project, including projected dates for commencement and completion of the foregoing;


 


	 	7.	a description of the proposed investment of any funds of the Owner which are (or are expected to become) available for investment;


 


	 	8.	a description, including the identity of the recipient (if known) and the amount and purpose, of all fees and other payments proposed, expected or projected to be paid for professional services and, if a fee or payment exceeds $25,000, for other services rendered to or on behalf of the Owner by third parties;


 


	 	9.	a projection of the amount of any anticipated additional Capital Contributions (as defined in the Operating Agreement) which may be called for pursuant to Section 5.2(a) of the Operating Agreement and the purposes for which such additional Capital Contributions may be used; and


 


	 	10.	such other information reasonably requested from time to time by Owner.


 




    	D-2



    	 



    

 


EXHIBIT E


 


Annual Business Plan Information


 


	 	1.	a narrative description of any acquisitions or sales that are planned and any other activities proposed to be undertaken;


 


	 	2.	a projected annual income statement (accrual basis) on a quarter-by-quarter basis;


 


	 	3.	a projected balance sheet as of the end of the next year;


 


	 	4.	a schedule of projected operating cash flow (including itemized operating revenues, project costs and project expenses) for such year on a quarter-by-quarter basis, including a schedule of projected operating deficits, if any;


 


	 	5.	a marketing plan indicating the portions of the Project that Manager recommends be made available for lease and the proposed terms and conditions relating thereto;


 


	 	6.	a detailed budget reflecting on a line by line basis all projected operating expenses and any proposed construction and capital expenditures for the Project, including projected dates for commencement and completion of the foregoing;


 


	 	7.	a description of the proposed investment of any funds of the Owner which are (or are expected to become) available for investment;


 


	 	8.	a description, including the identity of the recipient (if known) and the amount and purpose, of all fees and other payments proposed, expected or projected to be paid for professional services and, if a fee or payment exceeds $25,000, for other services rendered to or on behalf of the Owner by third parties;


 


	 	9.	a projection of the amount of any anticipated additional Capital Contributions (as defined in the Operating Agreement) which may be called for pursuant to Section 5.2(a) of the Operating Agreement and the purposes for which such additional Capital Contributions may be used; and


 


	 	10.	such other information reasonably requested from time to time by Owner.


 




    	D-3



    	 



    

 


EXHIBIT F


 


Statements and Reports


 


		(a)	Within thirteen (13) days
following the end of each month, a statement of Monthly Gross Receipts for each month;


 


		(b)	Within thirteen (13) days
following the end of each month, a monthly GAAP balance sheet and GAAP income statement, with a cumulative calendar year GAAP
income statement to date, and a statement of change in the Capital Account for each Member of Owner ("Member") the preceding
month and year to date;


 


		(c)	Within thirteen (13) days
following the end of each month, the monthly and year to date activity which shall be furnished (without notice or demand) as
follows:


 


		1.	Balance Sheet, including
monthly comparison and comparison to year end (if applicable)





		2.	Budget Comparison[*], including month-to-date and year-to-date
variances- Detailed Income Statement, including prior 12 months






		3.	Profit and loss statement compared to budget with narrative
for any large fluctuations compared to budget






		4.	Trial Balance that includes mapping of the accounts to
the financial statements Account 
	 	5.	reconciliations for each balance sheet account within the trial balance. - Detailed support for
each account reconciliation including the following:






		a.	Detail Accounts Payable
Aging Listing - 0-30 days, 31-60 days, 61-90 days and over 90 days





		b.	Detail Accounts Receivable/Delinquency
Aging Report - 0-30 days, 31- 60 days, 61-90 days, over 90 days and prepayments





		c.	Fixed asset roll-forward
and support (invoices and checks) for any new acquisition/additions and/or support for any disposals to fixed assets. Purchases
will be accounted for using Bluerock's capitalization policy.





		6.	Security Deposit Activity






		7.	Mortgage Statement






		8.	Monthly Management Fee
Calculation Monthly






		9.	Distribution Calculation






		10.	General Ledger, with description
and balance detail






		11.	Monthly Check Register
together with a detailed bank reconciliation Market






		12.	Survey, including property
comparison, trends, and concessions Rent Roll






		13.	Variance Report, including
the following:





	 	14.	a.	Cap Ex Summary and Commentary





	 	b.	Monthly Income/Expense Variance with notes





	 	c.	Yearly Income/Expense Variance with notes





	 	d.	Occupancy Commentary


 




    	D-4



    	 



    

 


		e.	Market/Competition Commentary





		f.	Rent Movement/Concessions
Commentary





		g.	Crime Commentary





		h.	Staffing Commentary






		i.	Operating Summary, with
leasing and traffic reporting -Other reasonable reporting, as requested (e.g. Renovation/Rehab report)


 


All reports shall be prepared on an Accrual Basis in accordance
with generally accepted accounting principles, and shall be as of each calendar month end. Manager shall furnish to Owner such
other reports as may be reasonably requested by Members in order for such Members to be able to comply with any reporting requirements
that are applicable to any such Member (or any Affiliate of any such Member) under any applicable organizational or offering documents
affecting such Member or its Affiliates; and


 


Within thirteen (13) days of the end of each quarter of each
year, Manager shall furnish to Owner such information as requested by Owner or its Members or affiliates as is necessary for any
REIT Member of Owner (whether a direct or indirect owner) to determine its qualification as a real estate investment trust (a "REIT")
and its compliance with any requirements for qualifying as a REIT (the "REIT Requirements") as shall be requested by
Owner or its Members. Further, Manager shall cooperate in a reasonable manner at the request of any Member to work in good faith
with any designated accountants or auditors of such Member or its Affiliates so that such Member or its Affiliate is able to comply
with its public reporting, attestation, certification and other requirements under the Securities Exchange Act of 1934, as amended,
applicable to such entity, and to work in good faith with the designated accountants or auditors of the Member or any of its Affiliates
in connection therewith, including for purposes of testing internal controls and procedures of such Member or its Affiliates. The
requesting Member shall bear the cost of any information or reports provided to such Member pursuant to this Exhibit.


 


[*]          Budget Comparison shall include (i) an unaudited income
and expense statement showing the results of operation of the Project for the preceding calendar month and the Fiscal Year to-date;
(ii) a comparison of monthly line item actual income and expenses with the monthly line item income and expenses projected in the
Budget. The balance sheet will show the cash balances for reserves and operating accounts as of the cut-off date for such month.


 



    	D-5