EXHIBIT 99.1



GPT GIG BOA Portfolio Holdings
LLC

Year Ended December 31, 2013 and Period
From August 17, 2012 (inception) to December 31, 2012

With Report of Independent Auditors







Contents



|Report of Independent Auditors                                              | 1 
|--------------------------------------------------------------------------- | --
|                                                                            |   
|Audited Financial Statements                                                |   
|                                                                            |   
|Consolidated Balance Sheets                                                 | 2 
|Consolidated Statements of Operations and Other Comprehensive Income (Loss) | 3 
|Consolidated Statements of Members’ Equity                                  | 4 
|Consolidated Statements of Cash Flows                                       | 5 
|Notes To Consolidated Financial Statements                                  | 6 
|Schedule III - Real Estate Investments                                      | 21











Report of Independent Auditors



To the Members of GPT GIG BOA Portfolio Holdings LLC



We have audited the accompanying consolidated financial statements
of GPT GIG BOA Portfolio Holdings LLC, which comprise the consolidated balance sheet as of December 31, 2013, and the related
consolidated statement of operations and other comprehensive income, members’ equity and cash flows for the year then ended,
and the related notes to the consolidated financial statements.



Management’s Responsibility for the Financial Statements



Management is responsible for the preparation and fair presentation
of these financial statements in conformity with U.S. generally accepted accounting principles; this includes the design, implementation,
and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free of
material misstatement, whether due to fraud or error.



Auditor’s Responsibility



Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States.
Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements
are free of material misstatement.



An audit involves performing procedures to obtain audit evidence
about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making
those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation
of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose
of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion.
An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial statements.



We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.



Opinion



In our opinion, the financial statements referred to above present
fairly, in all material respects, the consolidated financial position of GPT GIG BOA Portfolio Holdings LLC at December 31, 2013,
and the consolidated results of its operations and its cash flows for the year then ended in conformity with U.S. generally accepted
accounting principles.



Other matter



The accompanying consolidated balance sheet of GPT GIG BOA Portfolio
Holdings LLC as of December 31, 2012 and related consolidated statement of operations and other comprehensive loss, members’
equity and cash flows for the period from August 17, 2012 (inception) through December 31, 2012 were not audited, reviewed, or
compiled by us and accordingly, we do not express an opinion or any other form of assurance on them.





| | /s/ Ernst & Young LLP
| | ---------------------



New York, New York



March 31, 2014



1







GPT GIG BOA Portfolio Holdings LLC
Consolidated Balance Sheets
(Dollar amounts in thousands)



|                                                                                   |  | December 31, |         |   | December 31, |  
|---------------------------------------------------------------------------------- |  | ------------ | ------- | - | ------------ | -
|                                                                                   |  | 2013         |         |   | 2012         |  
|                                                                                   |  |              |         |   | (unaudited)  |  
|Assets:                                                                            |  |              |         |   |              |  
|Real estate investments, at cost:                                                  |  |              |         |   |              |  
|Land                                                                               |  | $            | 68,341  |   |              | $
|Building and improvements                                                          |  |              | 194,836 |   |              |  
|Less: accumulated depreciation                                                     |  |              | (12,811 | ) |              |  
|Total real estate investments, net                                                 |  |              | 250,366 |   |              |  
|                                                                                   |  |              |         |   |              |  
|Cash and cash equivalents                                                          |  |              | 6,836   |   |              |  
|Restricted cash                                                                    |  |              | 8,112   |   |              |  
|Assets held-for-sale, net                                                          |  |              | 10,693  |   |              |  
|Tenant and other receivables, net                                                  |  |              | 6,100   |   |              |  
|Acquired lease assets, net of accumulated amortization of $5,772 and $417          |  |              | 52,400  |   |              |  
|Deferred costs, net of accumulated amortization of $1,229 and $80                  |  |              | 1,082   |   |              |  
|Other assets                                                                       |  |              | 9,340   |   |              |  
|Total assets                                                                       |  | $            | 344,929 |   |              | $
|                                                                                   |  |              |         |   |              |  
|Liabilities and Members' Equity:                                                   |  |              |         |   |              |  
|Liabilities:                                                                       |  |              |         |   |              |  
|Mortgage notes payable                                                             |  | $            | 200,000 |   |              | $
|Total secured debt                                                                 |  |              | 200,000 |   |              |  
|                                                                                   |  |              |         |   |              |  
|Accounts payable and accrued expenses                                              |  |              | 11,374  |   |              |  
|Accrued interest payable                                                           |  |              | 408     |   |              |  
|Deferred revenue                                                                   |  |              | 6,529   |   |              |  
|Below-market lease liabilities, net of accumulated amortization of $5,073 and $453 |  |              | 45,890  |   |              |  
|Liabilities related to assets held-for-sale                                        |  |              | 3,681   |   |              |  
|Derivative instruments, at fair value                                              |  |              | 64      |   |              |  
|Total liabilities                                                                  |  |              | 267,946 |   |              |  
|                                                                                   |  |              |         |   |              |  
|Commitments and contingencies                                                      |  |              | -       |   |              |  
|                                                                                   |  |              |         |   |              |  
|Members' Equity:                                                                   |  |              |         |   |              |  
|Member’s equity - Garrison Investment Group                                        |  |              | 38,520  |   |              |  
|Member’s equity - Gramercy Property Trust Inc.                                     |  |              | 38,520  |   |              |  
|Accumulated other comprehensive loss                                               |  |              | (57     | ) |              |  
|Total GPT GIG BOA Portfolio Holdings LLC members’ equity                           |  |              | 76,983  |   |              |  
|Total members' equity                                                              |  |              | 76,983  |   |              |  
|Total liabilities and members' equity                                              |  | $            | 344,929 |   |              | $



The accompanying notes are an integral
part of these consolidated financial statements.



2







GPT GIG BOA Portfolio Holdings LLCConsolidated Statements of Operations and Other Comprehensive Income (Loss)

(Dollar amounts in thousands)



|                                                |  | Year Ended December 31,
    2013 |        |   | Period From August 12,
    2012 (inception) to December 31, 2012 |  
|----------------------------------------------- |  | -------------------------------- | ------ | - | ---------------------------------------------------------------- | -
|                                                |  |                                  |        |   | (unaudited)                                                      |  
|Revenues                                        |  |                                  |        |   |                                                                  |  
|Rental revenue                                  |  | $                                | 32,105 |   |                                                                  | $
|Interest income                                 |  |                                  | 9      |   |                                                                  |  
|Operating expense reimbursements                |  |                                  | 29,116 |   |                                                                  |  
|Total revenues                                  |  |                                  | 61,230 |   |                                                                  |  
|                                                |  |                                  |        |   |                                                                  |  
|Expenses                                        |  |                                  |        |   |                                                                  |  
|Property operating expenses                     |  |                                  | 27,888 |   |                                                                  |  
|Fees paid to the Gramercy Member and affiliates |  |                                  | 3,193  |   |                                                                  |  
|Interest expense                                |  |                                  | 9,211  |   |                                                                  |  
|Depreciation and amortization                   |  |                                  | 17,301 |   |                                                                  |  
|Management, general and administrative          |  |                                  | 52     |   |                                                                  |  
|Total expenses                                  |  |                                  | 57,645 |   |                                                                  |  
|Net income (loss) from continuing operations    |  |                                  | 3,585  |   |                                                                  |  
|Net loss from discontinued operations           |  |                                  | (2,810 | ) |                                                                  |  
|Net gains from disposals                        |  |                                  | 399    |   |                                                                  |  
|Net loss from discontinued operations           |  |                                  | (2,411 | ) |                                                                  |  
|Net income (loss)                               |  | $                                | 1,174  |   |                                                                  | $
|Other comprehensive income (loss):              |  |                                  |        |   |                                                                  |  
|Unrealized loss on derivative instruments       |  | $                                | (14    | ) |                                                                  | $
|Other comprehensive income (loss)               |  | $                                | 1,160  |   |                                                                  | $



The accompanying notes are an integral
part of these consolidated financial statements.



3







GPT GIG BOA Portfolio Holdings LLCConsolidated Statements of Members’ Equity

(Dollar amounts in thousands)





|                                                                    |  | Members’ Equity             |         |   |                               |   |         |                                                   | 
|------------------------------------------------------------------- |  | --------------------------- | ------- | - | ----------------------------- | - | ------- | ------------------------------------------------- | 
|                                                                    |  | Gramercy Property
    Trust |         |   | Garrison Investment
    Group |   |         | Accumulated Other
    Comprehensive Income (Loss) | 
|Balance at August 17, 2012 (inception) (unaudited)                  |  | $                           | -       |   |                               | $ | -       |                                                   | 
|Net loss (unaudited)                                                |  |                             | (2,415  | ) |                               |   | (2,415  | )                                                 | 
|Contributions (unaudited)                                           |  |                             | 66,013  |   |                               |   | 66,513  |                                                   | 
|Change in net unrealized loss on derivative instruments (unaudited) |  |                             | -       |   |                               |   | -       |                                                   | 
|Balance at December 31, 2012 (unaudited)                            |  | $                           | 63,598  |   |                               | $ | 64,098  |                                                   | 
|Net income                                                          |  |                             | 587     |   |                               |   | 587     |                                                   | 
|Contributions                                                       |  |                             | 1,750   |   |                               |   | 1,250   |                                                   | 
|Distributions                                                       |  |                             | (27,415 | ) |                               |   | (27,415 | )                                                 | 
|Change in net unrealized loss on derivative instruments             |  |                             | -       |   |                               |   | -       |                                                   | 
|Balance at December 31, 2013                                        |  | $                           | 38,520  |   |                               | $ | 38,520  |                                                   | 



The accompanying notes are an integral
part of these consolidated financial statements.



4







GPT GIG BOA Portfolio Holdings LLCConsolidated Statements of Cash Flows(Dollar amounts in thousands)





|                                                          |  | Year Ended December 31, 2013 |         |   | Period From 
August 17,  2012 
(inception) to 
December 31, 2012 |  
|--------------------------------------------------------- |  | ---------------------------- | ------- | - | ---------------------------------------------------------------- | -
|                                                          |  |                              |         |   | (unaudited)                                                      |  
|Operating Activities                                      |  |                              |         |   |                                                                  |  
|Net income (loss)                                         |  | $                            | 1,174   |   |                                                                  | $
|Adjustments to net cash provided by operating activities: |  |                              |         |   |                                                                  |  
|Depreciation and amortization                             |  |                              | 17,218  |   |                                                                  |  
|Amortization of acquired leases to rental revenue         |  |                              | (4,576  | ) |                                                                  |  
|Amortization of acquired leases to rental expense         |  |                              | 67      |   |                                                                  |  
|Amortization of deferred financing costs                  |  |                              | 1,149   |   |                                                                  |  
|Straight-line rent adjustments                            |  |                              | (462    | ) |                                                                  |  
|Non-cash impairment charges                               |  |                              | 3,366   |   |                                                                  |  
|Net gain on sale of properties and lease terminations     |  |                              | (399    | ) |                                                                  |  
|Payment of capitalized leasing costs                      |  |                              | (6      | ) |                                                                  |  
|Changes in operating assets and liabilities:              |  |                              |         |   |                                                                  |  
|Restricted cash                                           |  |                              | (5,849  | ) |                                                                  |  
|Tenant and other receivables                              |  |                              | (4,652  | ) |                                                                  |  
|Prepaid expenses and other assets                         |  |                              | (4,813  | ) |                                                                  |  
|Accounts payable, accrued expenses and other liabities    |  |                              | 7,430   |   |                                                                  |  
|Deferred revenue and tenant security deposits             |  |                              | 5,853   |   |                                                                  |  
|Net cash provided by (used by) operating activities       |  |                              | 15,500  |   |                                                                  |  
|                                                          |  |                              |         |   |                                                                  |  
|Investing Activities                                      |  |                              |         |   |                                                                  |  
|Capital expenditures and leasehold costs                  |  |                              | (1,686  | ) |                                                                  |  
|Payment for acquistions of real estate investments        |  |                              | -       |   |                                                                  |  
|Proceeds from sale of real estate                         |  |                              | 43,284  |   |                                                                  |  
|Change in restricted cash from investing activities       |  |                              | 64      |   |                                                                  |  
|Net cash provided by (used by) investing activities       |  |                              | 41,662  |   |                                                                  |  
|                                                          |  |                              |         |   |                                                                  |  
|Financing Activities                                      |  |                              |         |   |                                                                  |  
|Proceeds from mortgage notes payable                      |  |                              | -       |   |                                                                  |  
|Proceeds from equity contributions                        |  |                              | 3,000   |   |                                                                  |  
|Payment of equity distributions                           |  |                              | (54,830 | ) |                                                                  |  
|Payment of deferred financing costs                       |  |                              | -       |   |                                                                  |  
|Net cash (used by) provided by financing activities       |  |                              | (51,830 | ) |                                                                  |  
|Net increase in cash and cash equivalents                 |  |                              | 5,332   |   |                                                                  |  
|Cash and cash equivalents at beginning of period          |  |                              | 1,504   |   |                                                                  |  
|Cash and cash equivalents at end of period                |  | $                            | 6,836   |   |                                                                  | $
|                                                          |  |                              |         |   |                                                                  |  
|Non-cash activity                                         |  |                              |         |   |                                                                  |  
|Stock received as equity contribution                     |  | $                            | -       |   |                                                                  | $
|                                                          |  |                              |         |   |                                                                  |  
|Supplemental cash flow disclosures                        |  |                              |         |   |                                                                  |  
|Interest paid                                             |  | $                            | 8,821   |   |                                                                  | $



The accompanying notes are an integral
part of these consolidated financial statements.



5







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



1. Business and Organization



GPT GIG BOA Portfolio Holdings LLC, or
the Company, was formed in August 2012 by a wholly owned subsidiary of Gramercy Property Trust Inc., or the Gramercy Member, and
an affiliate of Garrison Investment Group, or the Garrison Member. The Company was formed for the purpose of acquiring, owning
and operating office buildings and bank branches. In December 2012, the Company agreed to purchase and acquire 100% of the membership
interests of 115 office buildings located in 10 states throughout the United States, or the Bank of America Portfolio, from KBS
Real Estate Investment Trust, Inc., or KBS. The Bank of America Portfolio totaled approximately 5,587,000 square feet, of which
approximately 4,516,000 square feet, or approximately 81%, was leased to Bank of America, N.A. for an initial term ending in June
2023. The aggregate purchase price was approximately $467,100, which was comprised of $452,100 paid in cash and the issuance of
6,000,000 shares of certain classes of the Gramercy Member’s common stock, valued by the parties at $15,000. The Gramercy
Member and the Garrison Member each have a 50% equity interest in the Company.



Concurrently with the purchase, two multi-tenant office buildings were sold, generating net proceeds of $143,408. The two buildings sold at closing included a
984,000 square foot multi-tenant office building located in downtown Chicago, Illinois and a 406,000 square foot multi-tenant
office building located in downtown Charlotte, North Carolina.



Also at the time of purchase, the Company
consummated a $200,000 first mortgage loan financing with JPMorgan Chase Bank, National Association. The mortgage is a two-year,
floating rate, interest-only loan with a spread to 30-day LIBOR of 4.15%, collateralized by 67 properties of the portfolio, or
the Core Portfolio. The mortgage contains three one-year extensions, conditional upon the satisfaction of certain terms. The Company
acquired the remaining 46 Bank of America Portfolio properties, or the Non-Core Portfolio, without financing.



As of December
31, 2013, the Company owned 75 properties, including the 67 properties in the Core Portfolio and eight properties in the Non-Core
Portfolio, which were classified as held-for-sale. As of December 31, 2012, the Company owned 113 properties, including the 67
properties in the Core Portfolio and 46 properties in the Non-Core Portfolio, which were classified as held-for-sale. During the
year ended December 31, 2013, the Company disposed of 38 held-for-sale properties for net proceeds of $43,284. During the period
from August 17, 2012 (inception) to December 31, 2012, the Company disposed of two held-for-sale properties for net proceeds of
$143,408.



2. Significant Accounting Policies



Basis of Accounting



The accompanying
financial statements have been prepared in accordance with accounting principles generally accepted in the United States,
or U.S. GAAP. The financial statements are presented as of and for the year ended December 31, 2013 and for the period beginning
on August 17, 2012 (inception) and ending on December 31, 2012.



Principles of Consolidation



The Consolidated Financial Statements
include the Company’s accounts and those of the Company’s subsidiaries which are wholly-owned or controlled by the
Company, or entities which are variable interest entities, or VIEs, in which the Company is the primary beneficiary. The primary
beneficiary is the party that absorbs a majority of the VIE’s anticipated losses and/or a majority of the expected returns.
The Company has evaluated its investments for potential classification as variable interests by evaluating the sufficiency of
each entity’s equity investment at risk to absorb losses.



Entities which the Company does not control
and are considered VIEs, but where the Company is not the primary beneficiary are accounted for under the equity method. All significant
intercompany balances and transactions have been eliminated.



6







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



Real Estate Investments



The Company records acquired real estate
investments as business combinations when the real estate is occupied, at least in part, at acquisition. Costs directly related
to the acquisition of such investments are expensed as incurred. The Company allocates the purchase price of real estate to land,
building, improvements and intangibles, such as the value of above- and below-market leases and origination costs associated with
the in-place leases at the acquisition date. The values of the above- and below-market leases are amortized and recorded as either
an increase in the case of below-market leases or a decrease in the case of above-market leases to rental revenue over the remaining
term of the associated lease. The values associated with in-place leases are amortized to depreciation and amortization expense
over the remaining term of the associated lease. The Company assesses the fair value of the leases at acquisition based upon estimated
cash flow projections that utilize appropriate discount and available market information. Estimates of future cash flows are based
on a number of factors including the historical operating results, known trends, and market/economic conditions that may affect
the property. To the extent acquired leases contain fixed rate renewal options that are below-market and determined to be material,
the Company amortizes such below-market lease value into rental revenue over the renewal period.



Acquired real estate definitions that
do not meet the definition of a business combination are recorded at cost. Certain improvements are capitalized when they are
determined to increase the useful life of the building. Depreciation is computed using the straight-line method over the shorter
of the estimated useful life of the capitalized item or 40 years for buildings, five to ten years for building equipment and fixtures,
and the lesser of the useful life or the remaining lease term for tenant improvements. Maintenance and
repair expenditures are charged to expense as incurred.



In leasing space, the Company may
provide funding to the lessee through a tenant allowance. In accounting for tenant allowances, the Company determines whether
the allowance represents funding for the construction of leasehold improvements and evaluates the ownership of such improvements.
If the Company is considered the owner of the leasehold improvements, the Company capitalizes the amount of the tenant allowance
and depreciates it over the shorter of the useful life of the leasehold improvements or the lease term. If the tenant allowance
represents a payment for a purpose other than funding leasehold improvements, or in the event the Company is not considered the
owner of the improvements for accounting purposes, the allowance is considered to be a lease incentive and is recognized over
the lease term as a reduction of rental revenue. Factors considered during this evaluation usually include (i) who holds legal
title to the improvements, (ii) evidentiary requirements concerning the spending of the tenant allowance, and (iii) other controlling
rights provided by the lease agreement (e.g. unilateral control of the tenant space during the build-out process). Determination
of the accounting for a tenant allowance is made on a case-by-case basis, considering the facts and circumstances of the individual
tenant lease.



The Company also reviews the recoverability
of the property’s carrying value when circumstances indicate a possible impairment of the value of a property. The review
of recoverability is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result
from the property’s use and eventual disposition. These estimates consider factors such as changes in strategy resulting
in an increased or decreased holding period, expected future operating income, market and other applicable trends and residual
value, as well as the effects of leasing demand, competition and other factors. If management determines impairment exists due
to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value
exceeds the estimated fair value of the property for properties to be held and used and for assets held-for-sale, an impairment
loss is recorded to the extent that the carrying value exceeds the fair value less estimated cost to dispose. These assessments
are recorded as an impairment loss in the Statements of Operations and Comprehensive Income (Loss) in the period the determination
is made. The estimated fair value of the asset becomes its new cost basis. For a depreciable long-lived asset to be held and used,
the new cost basis will be depreciated or amortized over the remaining useful life of that asset.



During 2013 and 2012, the Company recorded
$3,366 and $0 of impairment charges for properties classified as held-for-sale within discontinued operations.



Cash and Cash Equivalents



The Company considers all highly liquid
investments with maturities of three months or less when purchased to be cash equivalents.



7







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



Restricted Cash



The Company had restricted cash of $8,112
and $2,362 at December 31, 2013 and 2012, respectively, which includes cash held in escrow in connection with property acquisitions
and reserves for certain capital improvements, leasing, interest and real estate tax and insurance payments as required by certain
mortgage loan obligations.



Assets Held-For-Sale



As of December 31, 2013 and 2012, the
Company had $10,693 and $53,706 assets classified as held-for-sale. These assets represent the assets of the non-core properties
acquired by the Company in its acquisition of the Bank of America portfolio.



Real estate investments to be disposed
of are reported at the lower of carrying amount or estimated fair value, less costs to sell. Once an asset is classified as held-for-sale,
depreciation expense is no longer recorded and current and prior periods are reclassified as discontinued operations. As of December
31, 2013 and 2012, the Company had real estate investments held-for-sale of $7,784 and $53,614, respectively. The Company recorded
impairment charges of $3,366 and $0 during the year ended December 31, 2013 and the period from August 17, 2012 (inception) to
December 31, 2012, respectively, within discontinued operations related to real estate investments classified as held-for-sale.



Tenant and Other Receivables



Tenant and other receivables are derived
from rental revenue and tenant reimbursements.



Rental revenue is recorded on a straight-line
basis over the initial term of the lease. Since many leases provide for rental increases at specified intervals, straight-line
basis accounting requires the Company to record a receivable, and include in revenues, unbilled rent receivables that will only
be received if the tenant makes all rent payments required through the expiration of the initial term of the lease. Tenant and
other receivables also include receivables related to tenant reimbursements for common area maintenance expenses and certain other
recoverable expenses that are recognized as revenue in the period in which the related expenses are incurred.



Tenant and other receivables are recorded
net of the allowances for doubtful accounts, which as of December 31, 2013 and 2012 were $210 and $54, respectively.
The Company continually reviews receivables related to rent, tenant reimbursements, management fees, including incentive fees,
and unbilled rent receivables and determines collectability by taking into consideration the tenant or asset management clients’
payment history, the financial condition of the tenant or asset management client, business conditions in the industry in which
the tenant or asset management client operates and economic conditions in the area in which the property or asset management client
is located. In the event that the collectability of a receivable is in doubt, the Company increases the allowance for doubtful
accounts or records a direct write-off of the receivable.



Intangible Assets and Liabilities



The Company follows the acquisition method
of accounting for business combinations. The Company allocates the purchase price of acquired properties to tangible and identifiable
intangible assets acquired based on their respective fair values. Tangible assets include land, buildings and improvements on
an as-if vacant basis. The Company utilizes various estimates, processes and information to determine the as-if vacant property
value. Estimates of value are made using customary methods, including data from appraisals, comparable sales, discounted cash
flow analyses and other methods. Identifiable intangible assets include amounts allocated to acquired leases for above- and below-market
lease rates and the value of in-place leases. Management also considers information obtained about each property as a result of
its pre-acquisition due diligence in estimating the fair value of the tangible and intangible assets and liabilities acquired.



Above-market and below-market lease values
for properties acquired are recorded based on the present value (using an interest rate which reflects the risks associated with
the leases acquired) of the difference between the contractual amount to be paid pursuant to each in-place lease and management’s
estimate of the fair market lease rate for each such in-place lease, measured over a period equal to the remaining non-cancelable
term of the lease. The above-market lease values are amortized as a reduction of rental revenue over the remaining non-cancelable
terms of the respective leases. The below-market lease values are amortized as an increase to rental revenue over the initial
term of the respective leases. If a tenant terminates its lease prior to its contractual expiration and no future rental payments
will be received, any unamortized balance of the market lease intangibles will be written off to rental revenue.



8







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



The aggregate value of intangible assets
related to in-place leases is primarily the difference between the property valued with existing in-place leases adjusted to market
rental rates and the property valued as-if vacant. Factors considered by management in its analysis of the in-place lease intangibles
include an estimate of carrying costs during the expected lease-up period for each property taking into account current market
conditions and costs to execute similar leases. In estimating carrying costs, management includes real estate taxes, insurance
and other operating expenses and estimates of lost rentals at market rates during the anticipated lease-up period, which is expected
to average six months. Management also estimates costs to execute similar leases including leasing commissions and other related
expenses. The value of in-place leases is amortized to depreciation and amortization expense over the remaining non-cancelable
term of the respective leases. In no event does the amortization period for intangible assets exceed the remaining depreciable
life of the building. If a tenant terminates its lease prior to its contractual expiration and no future rental payments will
be received, any unamortized balance of the in-place lease intangible would be written off to depreciation and amortization expense.



Intangible assets and acquired lease obligations
consist of the following:



|                                                                                               |  | December 31, 2013 |         |   | December 31, 2012 |  
|---------------------------------------------------------------------------------------------- |  | ----------------- | ------- | - | ----------------- | -
|                                                                                               |  |                   |         |   | (unaudited)       |  
|Intangible assets:                                                                             |  |                   |         |   |                   |  
|In-place leases, net of accumulated amortization of $5,560 and $316                            |  |                   | 47,283  |   |                   |  
|Above-market leases, net of accumulated amortization of $83 and $25                            |  |                   | 572     |   |                   |  
|Below-market ground rent, net of accumulated amortization of $129 and $83                      |  |                   | 4,545   |   |                   |  
|Amounts related to assets held for sale, net of accumulated amortization
    of $0 and $7      |  |                   | -       |   |                   |  
|Total intangible assets                                                                        |  | $                 | 52,400  |   |                   | $
|                                                                                               |  |                   |         |   |                   |  
|Intangible liabilities:                                                                        |  |                   |         |   |                   |  
|Below-market leases, net of accumulated amortization of $5,018 and $385                        |  | $                 | (43,866 | ) |                   | $
|Above-market ground rent, net of accumulated amortization of $55 and $76                       |  | $                 | (2,024  | ) |                   | $
|Amounts related to liabilities held for sale, net of accumulated amortization
    of $0 and $8 |  |                   | -       |   |                   |  
|Total intangible liabilities                                                                   |  | $                 | (45,890 | ) |                   | $



The following table provides the weighted-average
amortization period as of December 31, 2013 for intangible assets and liabilities and the projected amortization expense for the
next five years.



|                                                              |  | Weighted-Average Amortization Period |  | 2014 |        |   | 2015 |   |        | 2016 |  |   | 2017   |   |  | 2018 |       
|------------------------------------------------------------- |  | ------------------------------------ |  | ---- | ------ | - | ---- | - | ------ | ---- |  | - | ------ | - |  | ---- | ------
|In-place leases                                               |  | 9.5                                  |  | $    | 5,038  |   |      | $ | 5,007  |      |  | $ | 4,997  |   |  | $    | 4,960 
|Total to be included in depreciation and amortization expense |  |                                      |  | $    | 5,038  |   |      | $ | 5,007  |      |  | $ | 4,997  |   |  | $    | 4,960 
|                                                              |  |                                      |  |      |        |   |      |   |        |      |  |   |        |   |  |      |       
|Above-market lease assets                                     |  | 8.9                                  |  | $    | 76     |   |      | $ | 76     |      |  | $ | 62     |   |  | $    | 55    
|Below-market lease liabilities                                |  | 9.5                                  |  |      | (4,617 | ) |      |   | (4,617 | )    |  |   | (4,617 | ) |  |      | (4,617
|                                                              |  |                                      |  |      |        |   |      |   |        |      |  |   |        |   |  |      |       
|Total to be included in rental revenue                        |  |                                      |  | $    | (4,541 | ) |      | $ | (4,541 | )    |  | $ | (4,555 | ) |  | $    | (4,562
|                                                              |  |                                      |  |      |        |   |      |   |        |      |  |   |        |   |  |      |       
|Below-market ground rent                                      |  | 39.5                                 |  | $    | 119    |   |      | $ | 119    |      |  | $ | 119    |   |  | $    | 119   
|Above-market ground rent                                      |  | 39.9                                 |  |      | (51    | ) |      |   | (51    | )    |  |   | (51    | ) |  |      | (51   
|                                                              |  |                                      |  |      |        |   |      |   |        |      |  |   |        |   |  |      |       
|Total to be included in rental expense                        |  |                                      |  | $    | 68     |   |      | $ | 68     |      |  | $ | 68     |   |  | $    | 68    





The Company recorded $5,244 and $316 of
amortization of intangible assets as part of depreciation and amortization, including $(28) and $28 within discontinued operations
for the year ended December 2013 and the period from August 17, 2012 (inception) to December 31, 2012, respectively. The Company
recorded $4,576 and $360 of amortization of intangible assets and liabilities as an increase to rental revenue, including ($16)
and $16 within discontinued operations for the year ended December 2013 and the period from August 17, 2012 (inception) to December
31, 2012, respectively. The Company recorded $67 and $7 of amortization of intangible assets and liabilities as an increase to
rental expense, including $18 and ($18) within discontinued operations for the year ended December 2013 and the period from August
17, 2012 (inception) to December 31, 2012, respectively.



9







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



Deferred Costs



Deferred costs include deferred financing
costs that represent commitment fees, legal and other third-party costs associated with obtaining commitments for financing which
result in a closing of such financing. These costs are amortized over the terms of the respective agreements and the amortization
is reflected as interest expense. Unamortized deferred financing costs are expensed when the associated debt is refinanced or
repaid before maturity. Costs incurred in seeking financing transactions that do not close are expensed in the period in which
it is determined that the financing will not close.



The Company has deferred certain expenditures
related to the leasing of certain properties and costs related to the acquisition of properties which are considered sale-leasebacks.
Direct costs of leasing, including internally capitalized payroll costs associated with leasing activities, are deferred and amortized
over the terms of the underlying leases.



Other Assets



The Company makes payments for certain
expenses such as insurance and property taxes in advance of the period in which it receives the benefit. These payments are classified
as other assets and amortized over the respective period of benefit relating to the contractual arrangement.



Valuation of Financial Instruments



At December 31, 2013 and 2012, the Company
measured all of its financial instruments, including derivative instruments on a recurring basis.



ASC 820-10, “Fair Value Measurements
and Disclosures,” among other things, establishes a hierarchical disclosure framework associated with the level of pricing
observability utilized in measuring financial instruments at fair value. Considerable judgment is necessary to interpret market
data and develop estimated fair values. Accordingly, fair values are not necessarily indicative of the amounts the Company could
realize on disposition of the financial instruments. Financial instruments with readily available actively quoted prices or for
which fair value can be measured from actively quoted prices generally will have a higher degree of pricing observability and
will require a lesser degree of judgment to be utilized in measuring fair value. Conversely, financial instruments rarely traded
or not quoted will generally have less, or no, pricing observability and will require a higher degree of judgment to be utilized
in measuring fair value. Pricing observability is generally affected by such items as the type of financial instrument, whether
the financial instrument is new to the market and not yet established, the characteristics specific to the transaction and overall
market conditions. The use of different market assumptions and/or estimation methodologies may have a material effect on estimated
fair value amounts.



Fair value is defined as the price that
would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the
measurement date, or an exit price. The level of pricing observability generally correlates to the degree of judgment utilized
in measuring the fair value of financial instruments. The less judgment utilized in measuring fair value financial instruments
such as with readily available active quoted prices or for which fair value can be measured from actively quoted prices in active
markets generally have more pricing observability. Conversely, financial instruments rarely traded or not quoted have less observability
and are measured at fair value using valuation models that require more judgment. Impacted by a number of factors, pricing observability
is generally affected by such items as the type of financial instrument, whether the financial instrument is new to the market
and not yet established, the characteristics specific to the transaction and overall market conditions.



The three broad levels defined are as follows:



Level I — This level is comprised
of financial instruments that have quoted prices that are available in active markets for identical assets or liabilities. The
types of financial instruments included in this category are highly liquid instruments with actively quoted prices.



Level II — This level is comprised
of financial instruments that have pricing inputs other than quoted prices in active markets that are either directly or indirectly
observable. The nature of these financial instruments includes instruments for which quoted prices are available but traded less
frequently and instruments that are fair valued using other financial instruments, the parameters of which can be directly observed.



Level III — This level is comprised
of financial instruments that have little to no pricing observability as of the reported date. These financial instruments do
not have active markets and are measured using management’s best estimate of fair value, where the inputs into the determination
of fair value require significant management judgment and assumptions.



10







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



For a further discussion
regarding the measurement of financial instruments see Note 8, “Fair Value of Financial Instruments.”



Revenue Recognition



Rental revenue from leases is recognized
on a straight-line basis regardless of when payments are contractually due. Certain lease agreements also contain provisions that
require tenants to reimburse the Company for real estate taxes, common area maintenance costs and the amortized cost of capital
expenditures with interest. Such amounts are included in both revenues and operating expenses when the Company is the primary
obligor for these expenses and assumes the risks and rewards of a principal under these arrangements. Under leases where the tenant
pays these expenses directly, such amounts are not included in revenues or expenses.



Deferred revenue represents rental revenue
received prior to the date earned. Deferred revenue also includes rental payments received in excess of rental revenues recognized
as a result of straight-line basis accounting.



Other income includes fees paid by tenants
to terminate their leases, which are recognized when fees due are determinable, no further actions or services are required to
be performed by the Company, and collectability is reasonably assured. In the event of early termination, the unrecoverable net
book values of the assets or liabilities related to the terminated lease are recognized as depreciation and amortization expense
in the period of termination.



The Company recognizes sales of real estate
properties only upon closing. Payments received from purchasers prior to closing are recorded as deposits. Profit on real estate
sold is recognized using the full accrual method upon closing when the collectability of the sale price is reasonably assured
and the Company is not obligated to perform significant activities after the sale. Profit may be deferred in whole or part until
the sale meets the requirements of profit recognition on sale of real estate.



Rent Expense



Rent expense is recognized on a straight-line
basis regardless of when payments are due. Accounts payable and accrued expenses in the accompanying Balance Sheets as of December
31, 2013 and 2012 includes an accrual for rental expense recognized in excess of amounts due at that time. The Company’s
rent expense is related to leasehold interests and is included in property operating expenses.



Derivative Instruments



In the normal course of business, the
Company is exposed to the effect of interest rate changes and limits these risks by following established risk management policies
and procedures including the use of derivatives. The Company uses derivative instruments to manage, or hedge, interest rate risk.
The Company requires that hedging derivative instruments be effective in reducing the interest rate risk exposure that they are
designated to hedge. This effectiveness is essential for qualifying for hedge accounting. Instruments that meet these hedging
criteria are formally designated as hedges at the inception of the derivative contract. The Company employs commonly used derivative
products that are considered “plain vanilla” derivatives. These derivatives typically include interest rate swaps,
caps, collars and floors. The Company expressly prohibits the use of unconventional derivative instruments and using derivative
instruments for trading or speculative purposes. Further, the Company has a policy of only entering into contracts with major
financial institutions based upon their credit ratings and other factors.



To determine the fair value of derivative
instruments, the Company uses a variety of methods and assumptions that are based on market conditions and risks existing at each
balance sheet date. For the majority of financial instruments including most derivatives, long-term investments and long-term
debt, standard market conventions and techniques such as discounted cash flow analysis, option-pricing models, replacement cost
and termination cost are used to determine fair value. All methods of assessing fair value result in a general approximation of
value, and such value may never actually be realized.



The Company recognizes all derivatives
on the Balance Sheets at fair value.



Derivatives that are not hedges must be
adjusted to fair value through income. If a derivative is a hedge, depending on the nature of the hedge, changes in the fair value
of the derivative will either be offset against the change in fair value of the hedged asset, liability or firm commitment through
earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings. The ineffective portion
of a derivative’s change in fair value will be immediately recognized in earnings. Derivative accounting may increase or
decrease reported net income and stockholders’ equity prospectively, depending on future levels of LIBOR, swap spreads and
other variables affecting the fair values of derivative instruments and hedged items, but will have no effect on cash flows, provided
the contract is carried through to full term.



11







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



All hedges held by the Company are deemed
effective based upon the hedging objectives established by the Company’s corporate policy governing interest rate risk management.
The effect of the Company’s derivative instruments on its financial statements is discussed more fully in Note 9.



Income Taxes



No federal or state income taxes are payable
by the Company, and accordingly, no provision for taxes has been made in the accompanying financial statements. The Members include
the Company’s profits or losses in their tax returns.



Concentrations of Credit Risk



Financial instruments that potentially
subject the Company to concentrations of credit risk consist primarily of cash investments and accounts receivable. The Company
places its cash investments in excess of insured amounts with high quality financial institutions.



One tenant, Bank of America, N.A., accounted
for 98% and 97% of the Company’s rental revenue for the year ended December 2013 and the period from August 17, 2012 (inception)
to December 31, 2012, respectively. One state in which the Company’s properties are located accounted for 47% and 45% of
the Company’s rental revenue for the year ended December 2013 and the period from August 17, 2012 (inception) to December
31, 2012, respectively.



Members’ Equity



The Company distributes excess cash as
provided in the Operating Agreement. In addition, the Company may request additional funds in excess of original contributions
as needed to fund short-term working capital requirements of the Company.



Use of Estimates



The preparation of financial statements
in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial
statements and accompanying notes. Actual results could differ from those estimates.



12







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



2. Significant Accounting Policies – (continued)



Recently Issued Accounting Pronouncements



In February 2013, the FASB issued additional
guidance on comprehensive income which requires the provision of information about the amounts reclassified out of accumulated
other comprehensive income by component. This guidance also requires presentation on the Statements of Operations and Comprehensive
Loss or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items
of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety
in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to
net income, a cross-reference must be provided to other disclosures required under U.S. GAAP that provide additional detail about
those amounts. This update is effective for reporting periods beginning after December 15, 2012 with early adoption permitted.
The Company’s adoption resulted did not have a material effect on the Company’s Financial Statements.



3. Dispositions and Assets Held-for-Sale



The Company had eight and 46 properties
classified as held-for-sale as of December 31, 2013 and 2012, respectively, which represent the assets of the Non-Core Portfolio acquired
by the Company in its acquisition of the Bank of America Portfolio. The following table summarizes the assets held-for-sale
as of December 31, 2013 and 2012.



|                                                                |  | December 31, 2013 |        |   | December 31, 2012 |  
|--------------------------------------------------------------- |  | ----------------- | ------ | - | ----------------- | -
|                                                                |  |                   |        |   | (unaudited)       |  
|Assets held-for-sale:                                           |  |                   |        |   |                   |  
|Real estate investments, at cost                                |  | $                 | 7,784  |   |                   | $
|Less:  accumulated depreciation                                 |  |                   | -      |   |                   |  
|Real estate investments held-for-sale, net                      |  |                   | 7,784  |   |                   |  
|Restricted cash                                                 |  |                   | 56     |   |                   |  
|Tenant and other receivables, net                               |  |                   | 107    |   |                   |  
|Acquired lease asets, net of accumulated amortization           |  |                   | -      |   |                   |  
|Deferred costs, net                                             |  |                   | 1      |   |                   |  
|Other assets                                                    |  |                   | 2,745  |   |                   |  
|Total assets held-for-sale                                      |  | $                 | 10,693 |   |                   | $
|                                                                |  |                   |        |   |                   |  
|Liabilities related to assets held-for-sale:                    |  |                   |        |   |                   |  
|Accounts payable and accrued expenses                           |  | $                 | (3,414 | ) |                   | $
|Deferred revenue                                                |  |                   | (267   | ) |                   |  
|Below market lease liabilities, net of accumulated amortization |  |                   | -      |   |                   |  
|Total liabilities related to assets held-for-sale               |  | $                 | (3,681 | ) |                   | $







The following operating results for the
assets held-for-sale and sold for the year ended December 2013 and the period from August 17, 2012 (inception) to December 31,
2012 are included in discontinued operations for all periods presented:



|                                      |  | Year Ended December 31,
    2013 |        |   | Period From
    August 17, 2012 (inception) to December 31, 2012 |  
|------------------------------------- |  | -------------------------------- | ------ | - | ---------------------------------------------------------------- | -
|                                      |  |                                  |        |   | (unaudited)                                                      |  
|Operating Results:                    |  |                                  |        |   |                                                                  |  
|Revenues                              |  | $                                | 6,514  |   |                                                                  | $
|Operating expenses                    |  |                                  | (6,122 | ) |                                                                  |  
|Impairment charges                    |  |                                  | (3,366 | ) |                                                                  |  
|Interest expense                      |  |                                  | 82     |   |                                                                  |  
|Depreciation and amortization         |  |                                  | 82     |   |                                                                  |  
|Net loss from operations              |  |                                  | (2,810 | ) |                                                                  |  
|Net gains from disposals              |  |                                  | 399    |   |                                                                  |  
|Net loss from discontinued operations |  | $                                | (2,411 | ) |                                                                  | $



Discontinued operations have not been segregated
in the Statements of Cash Flows.



13







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



3. Dispositions and Assets Held-For-Sale – (continued)



The Company recorded
impairment charges of $3,366 and $0 for the year ended December 2013 and the period from August 17, 2012 (inception) to December
31, 2012, respectively, to adjust the carrying values to the lower of cost or market. The impairment is calculated by comparing
the results of the Company’s marketing efforts and unsolicited purchase offers to the carrying value of the respective property.



Real Estate Dispositions



During the year ended December 31, 2013,
the Company sold 38 properties for net proceeds of $43,284. During the period from August 17, 2012 (inception) to December 31,
2012, the Company sold two properties for net proceeds of $143,408. The sales transactions resulted in gains totaling $399 and
$0 for the year ended December 2013 and the period from August 17, 2012 (inception) to December 31, 2012, respectively, within
discontinued operations.



Dispositions during the year ended December
31, 2013 are as follows:



|                   |  | For the Year Ended December 31, 2013 |   
|------------------ |  | ------------------------------------ | --
|                   |  | Number of Properties                 |   
|Non-Core Portfolio |  |                                      | 38
|Total              |  |                                      | 38



Dispositions during the period from August
17, 2012 (inception) to December 31, 2012 are as follows:



|                   |  | For the Period From August 17, 2012 (inception) to
    December 31, 2012 |  
|------------------ |  | ------------------------------------------------------------------------ | -
|                   |  | (unaudited)                                                              |  
|                   |  | Number of Properties                                                     |  
|Non-Core Portfolio |  |                                                                          | 2
|Total              |  |                                                                          | 2



The Company separately
classifies properties held-for-sale in the Consolidated Balance Sheets and Consolidated Statements of Operations and
Comprehensive Income (Loss). At the time of acquisition of the Bank of America portfolio, the Company designated the
unencumbered properties in the portfolio as held-for-sale as they were deemed non-strategic assets. Changes in the market may
compel the Company to decide to classify a property held-for-sale or classify a property that was designated as held-for-sale
back to held-for-investment. During the year ended December 31, 2013, the Company did not reclassify any properties
previously identified as held-for-sale to held-for-investment. During the period from August 17, 2012 (inception) to December
31, 2012, the Company did not reclassify any properties previously identified as held-for-sale to held-for-investment.



4. Acquisitions



The Company did not acquire any properties
during the year ended December 31, 2013. During the year ended December 31, 2012, the Company acquired the properties in the Bank
of America Portfolio, which are summarized as follows:



|Holding Type(1)         |  | Number of Properties |     |  | Rentable
    Square Feet |  |           | Leased
    Square Feet |  |  | Occupancy
    % |  |  | Purchase
    Price |      |   | Weighted AverageRemaining Lease Term(2) |  
|----------------------- |  | -------------------- | --- |  | ------------------------ |  | --------- | ---------------------- |  |  | --------------- |  |  | ------------------ | ---- | - | --------------------------------------- | -
|Core Portfolio          |  |                      | 67  |  |                          |  | 3,054,602 |                        |  |  | 2,998,792       |  |  |                    | 98.2 | % |                                         | $
|Non-Core Portfolio      |  |                      | 48  |  |                          |  | 2,532,629 |                        |  |  | 2,112,555       |  |  |                    | 83.4 | % |                                         |  
|Total Property Holdings |  |                      | 115 |  |                          |  | 5,587,231 |                        |  |  | 5,111,347       |  |  |                    | 91.5 | % |                                         | $



| | (1) | The properties are all classified as office/banking
                                         center properties, which is defined as commercial property utilized for professional
                                         activities. Examples include generic office properties, call centers, retail bank branches
                                         or operation centers. The properties that comprise the Core Portfolio serve as collateral
                                         for the Company’s mortgage note. The remaining properties are unencumbered and
                                         classified as held-for-sale.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (2) | The weighted average remaining lease term represents
                                         the average lease term remaining at December 31, 2012 weighted by leased square feet.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



The Company analyzed the fair value of the
leases and real estate assets of the property investments acquired in 2012; and, accordingly, the purchase price allocation is
finalized. The final allocation of the assets includes $458,512 of net real estate assets, $58,172 of intangible assets and
$50,963 of intangible liabilities.



14







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



5. Debt Obligations



The Company’s acquisition of the
Bank of America Portfolio was financed with a $200,000, floating rate, interest-only mortgage note with a spread to 30-day LIBOR
of 4.15%, maturing in December 2014 and collateralized by the 67 properties of the Core Portfolio. The mortgage note has three
one-year extension options conditional upon the satisfaction of certain terms. The remaining properties are unencumbered. The
mortgage note has several covenants that we must comply with under the terms of the financing agreement. We are in compliance
with the covenants at December 31, 2013. The Company has no other outstanding debt obligations as of December 31, 2013. As of
December 31, 2013, the mortgage note had a cumulative outstanding balance of $200,000.



The following is a summary of mortgage
notes payable as of December 31, 2013:



|                             |  | Encumbered
    Properties |    |  | Balance |   |         | Interest Rate |  | Weighted-Average Effective
    Interest Rate |  |  | Weighted-Average
    Maturity Date
|---------------------------- |  | ------------------------- | -- |  | ------- | - | ------- | ------------- |  | -------------------------------------------- |  |  | ----------------------------------
|Variable-rate mortgages      |  |                           | 67 |  |         | $ | 200,000 |               |  | 1 Month LIBOR + 4.15%                        |  |  | 4.32                              
|Total mortgage notes payable |  |                           | 67 |  |         | $ | 200,000 |               |  |                                              |  |  |                                   
|Above/below market interest  |  |                           |    |  |         |   | -       |               |  |                                              |  |  |                                   
|Balance at December 31, 2013 |  |                           | 67 |  |         | $ | 200,000 |               |  |                                              |  |  |                                   



The interest and principal maturities
of the Company's mortgage note as of December 31, 2013 are as follows:

|           |  | Interest Payments |       |  | Principal Payments |   |         | Total | 
|---------- |  | ----------------- | ----- |  | ------------------ | - | ------- | ----- | 
|2014       |  | $                 | 8,754 |  |                    | $ | 200,000 |       | 
|2015       |  |                   | -     |  |                    |   | -       |       | 
|2016       |  |                   | -     |  |                    |   | -       |       | 
|2017       |  |                   | -     |  |                    |   | -       |       | 
|2018       |  |                   | -     |  |                    |   | -       |       | 
|Thereafter |  |                   | -     |  |                    |   | -       |       | 
|Total      |  | $                 | 8,754 |  |                    | $ | 200,000 |       | 



The Company is subject to interest rate
risk through its $200,000 floating rate, interest-only first mortgage note. The Company has an interest rate cap to help manage
its exposure to interest rate changes, as discussed in Note 9.



6. Leasing Agreements



The Company’s properties are leased
and subleased to tenants under operating leases with primary expiration dates extending through the year 2023. These leases generally
contain rent increases and renewal options.



Future minimum rental income under non-cancelable
leases, excluding reimbursements for operating expenses as of December 31, 2013, is as follows:



|                                  |  | Operating Leases |        
|--------------------------------- |  | ---------------- | -------
|2014                              |  | $                | 28,236 
|2015                              |  |                  | 28,102 
|2016                              |  |                  | 27,977 
|2017                              |  |                  | 27,798 
|2018                              |  |                  | 27,072 
|Thereafter                        |  |                  | 123,018
|Total minimum lease rental income |  | $                | 262,203



The Company also has properties that are subject to ground
leases. See Note 12 for discussion of these leases.



15







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



7. Deferred Costs



Deferred costs at December 31, 2013 and
2012 consisted of the following:



|                         |  | 2013 |        |   | 2012        |  
|------------------------ |  | ---- | ------ | - | ----------- | -
|                         |  |      |        |   | (unaudited) |  
|Deferred financing costs |  | $    | 2,310  |   |             | $
|Deferred leasing costs   |  |      | 2      |   |             |  
|                         |  |      | 2,312  |   |             |  
|Accumulated amortization |  |      | (1,229 | ) |             |  
|                         |  |      | 1,083  |   |             |  
|Less: held for sale      |  |      | (1     | ) |             |  
|                         |  | $    | 1,082  |   |             | $



At December 31, 2013, deferred financing
costs relate to the Company’s $200,000 mortgage note payable. These costs are amortized on a straight-line basis, which
approximates effective yield, to interest expense based on the contractual term of the related financing.



Deferred leasing costs include direct costs
incurred to initiate and renew operating leases and are amortized on a straight-line basis over the related lease term.



8. Fair Value of Financial Instruments



The Company discloses fair value information
about financial instruments, whether or not recognized in the statement of financial condition, for which it is practicable to
estimate that value. In cases where quoted market prices are not available, fair values are based upon the application of discount
rates to estimated future cash flows based upon market yields or by using other valuation methodologies. Considerable judgment
is necessary to interpret market data and develop estimated fair value. Accordingly, fair values are not necessarily indicative
of the amounts the Company could realize on disposition of the financial instruments. The use of different market assumptions
and/or estimation methodologies may have a material effect on estimated fair value amounts.



The following table presents the carrying
value in the financial statements, and approximate fair value of financial instruments at December 31, 2013 and 2012:



|                          |  | December 31, 2013 |         |  | December 31, 2012 |  
|------------------------- |  | ----------------- | ------- |  | ----------------- | -
|                          |  | Carrying Value    |         |  | Fair Value        |  
|                          |  |                   |         |  |                   |  
|Financial liabilities:    |  |                   |         |  |                   |  
|Derivative instruments(1) |  | $                 | 64      |  |                   | $
|Mortgage notes payable(1) |  | $                 | 200,000 |  |                   | $



| | (1) | Mortgage notes payable and derivative instruments
                                         are classified as Level III due to significance of unobservable inputs which are based
                                         upon management assumptions.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



The following methods and assumptions were
used to estimate the fair value of each class of financial instruments for which it is practicable to estimate the value:



Cash and cash equivalents,
accrued interest, and accounts payable : These balances in the Financial Statements reasonably approximate their fair values
due to the short maturities of these items.



Derivative instruments
: The Company’s derivative instruments, which include an interest rate cap agreement, are carried at fair value in the Financial
Statements based upon third-party valuations.



Mortgage notes payable :These
obligations are presented in the Financial Statements based on the actual balance outstanding and not at fair value. The fair
value was estimated using discounted cash flows methodology, using discount rates that best reflect current market rates for financing
with similar characteristics and credit quality.



16







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



8. Fair Value of Financial Instruments – (continued)



Disclosure about fair value of financial
instruments is based on pertinent information available to the Company at December 31, 2013 and 2012. Although the Company is
not aware of any factors that would significantly affect the reasonable fair value amounts, such amounts have not been comprehensively
revalued for the purpose of these financial statements since December 31, 2013 and 2012, and current estimates of fair value may
differ significantly from the amounts presented herein.



The following discussion of fair value was
determined by the Company using available market information and appropriate valuation methodologies. Considerable judgment is
necessary to interpret market data and develop estimated fair value. Accordingly, fair values are not necessarily indicative of
the amounts the Company could realize on disposition of the financial instruments. Financial instruments with readily available
actively quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree
of pricing observability and a lower degree of judgment utilized in measuring fair value. Conversely, financial instruments rarely
traded or not quoted will generally have less, or no, pricing observability and a higher degree of judgment utilized in measuring
fair value. The use of different market assumptions and/or estimation methodologies may have a material effect on estimated fair
value amounts. Determining which category an asset or liability falls within the hierarchy requires significant judgment and the
Company evaluates its hierarchy disclosures each quarter.



Fair Value on a Recurring Basis



Assets and liabilities measured at fair
value on a recurring basis are categorized in the table below based upon the lowest level of significant input to the valuations.





|At December 31, 2013    |  | Total |    |  | Level I |   |   | Level II |  |   | Level III | 
|----------------------- |  | ----- | -- |  | ------- | - | - | -------- |  | - | --------- | 
|Financial Liabilities:  |  |       |    |  |         |   |   |          |  |   |           | 
|Derivative instruments: |  |       |    |  |         |   |   |          |  |   |           | 
|Interest rate caps      |  | $     | 64 |  |         | $ | - |          |  | $ | -         | 
|                        |  | $     | 64 |  |         | $ | - |          |  | $ | -         | 
|                        |  |       |    |  |         |   |   |          |  |   |           | 
|At December 31, 2012    |  | Total |    |  | Level I |   |   | Level II |  |   | Level III | 
|(unaudited)             |  |       |    |  |         |   |   |          |  |   |           | 
|Financial Liabilities:  |  |       |    |  |         |   |   |          |  |   |           | 
|Derivative instruments: |  |       |    |  |         |   |   |          |  |   |           | 
|Interest rate caps      |  | $     | 43 |  |         | $ | - |          |  | $ | -         | 
|                        |  | $     | 43 |  |         | $ | - |          |  | $ | -         | 



Derivative instruments: Interest
rate caps were valued with the assistance of a third-party derivative specialist, who uses a combination of observable market-based
inputs, such as interest rate curves, and unobservable inputs which require significant judgment such as the credit valuation
adjustments due to the risk of non-performance by both the Company and its counterparties. The fair value of derivatives classified
as Level III are most sensitive to the credit valuation adjustment as all or a portion of the credit valuation adjustment may
be reversed or otherwise adjusted in future periods in the event of changes in the credit risk of the Company or its counterparties.



Total losses or (gains) from derivatives
for the year ended December 2013 and the period from August 17, 2012 (inception) to December 31, 2012 were $14 and $43, respectively,
in Accumulated Other Comprehensive Income (Loss).



The Company uses the hypothetical derivative method to determine fair value measurements on a recurring
basis for the Company’s interest rate cap as of December 31, 2013. The most significant unobservable Level III input in this
model is the Company’s credit borrowing spread, which management estimated to be within a range of 150 to 250 basis points.



The following roll forward table reconciles
the beginning and ending balances of financial liabilities measured at fair value on a recurring basis using Level III inputs:



|                                |  | Derivative Instruments |   
|------------------------------- |  | ---------------------- | --
|                                |  |                        |   
|Balance as of December 31, 2012 |  | $                      | 43
|Purchase/sale of instruments    |  |                        | - 
|Adjustments to fair value:      |  |                        |   
|Unrealized loss                 |  |                        | 21
|Balance as of December 31, 2013 |  | $                      | 64



17







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



8. Fair Value of Financial Instruments – (continued)



Fair Value on a Non-Recurring Basis



At December 31, 2013 and 2012, the Company
did not measure any assets at fair value on a non-recurring basis.



9. Derivative Instruments



The Company recognizes all derivatives
on the balance sheet at fair value. Derivatives that are not hedges must be adjusted to fair value through income. If a derivative
is a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the
change in fair value of the hedged asset, liability or firm commitment through earnings, or recognized in other comprehensive
income until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value will
be immediately recognized in earnings. Derivative accounting may increase or decrease reported net income and stockholders’
equity prospectively, depending on future levels of LIBOR interest rates and other variables affecting the fair values of derivative
instruments and hedged items, but will have no effect on cash flows, provided the contract is carried through to full term.



The following table summarizes the notional
and fair value of the Company’s derivative financial instruments at December 31, 2013. The notional value is an indication
of the extent of the Company’s involvement in this instrument at that time, but does not represent exposure to credit, interest
rate or market risks:



|                  |  | Benchmark Rate        |  | Notional Value |         |  | Strike Rate |  |      | Effective Date |  | Expiration Date  |  | Fair Value        | 
|----------------- |  | --------------------- |  | -------------- | ------- |  | ----------- |  | ---- | -------------- |  | ---------------- |  | ----------------- | 
|Interest Rate Cap |  | 1 Month USD-LIBOR-BBA |  | $              | 200,000 |  |             |  | 2.25 | %              |  | December 6, 2012 |  | December 15, 2014 | 
|Total Derivatives |  |                       |  | $              | 200,000 |  |             |  |      |                |  |                  |  |                   | 



The Company is hedging exposure to variability
in future interest payments on its debt facility. At December 31, 2013, derivative instruments were reported at their fair value
as a liability of $64. At December 31, 2012, derivative instruments were reported at their fair value as a liability of $43. Over
time, the realized and unrealized gains and losses held in Accumulated Other Comprehensive Income (Loss) will be reclassified
into earnings in the same periods in which the hedged interest payments affect earnings.



10. Related Party Transactions



Pursuant to the joint venture
agreement, the Gramercy Member, including wholly owned subsidiaries, is the asset manager of the Company’s portfolio of
properties. The Gramercy Member and affiliates receive asset management fees as well as a performance based fee for the
management of the portfolio and a fee for dispositions of properties, in addition to a pro-rata share of the
portfolio’s net income (loss). For the year ended December 31, 2013 and the period from August 17, 2012 (inception) to
December 31, 2012, the Gramercy Member and affiliates earned $4,550 and $0, respectively, from management services provided
to the Company, of which $1,278 and $0, respectively, are included in discontinued operations, including $883 and
$0, respectively, of disposition fees included in discontinued operations.



18







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



11. Members’ Equity (Deficit)



The Company’s excess net cash flow
is distributed on a monthly basis to each member pro-rata based upon each partner’s aggregate contributions less distributions,
or their Unreturned Equity. The net cash flow is distributed first to each member as follows:

| | (a) | First, a 10% Return on Equity, or ROE, on Net Equity compounded
                                         monthly. Net Equity is total contributions less total distributions.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (b) | Second, any excess over the 10% in (a) is applied pro-rata
                                         to each partner until each partner’s Unreturned Equity is zero; and,
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (c) | Thereafter, (i) 10% to the Gramercy Member, and then (ii)
                                         90% pro-rata to each partner.
| | --- | --------------------------------------------------------------------------------------------------------------------------------



During the year ended December 2013 and
the period from August 17, 2012 (inception) to December 31, 2012, the Company made distributions of $54,830 and $0, respectively,
to its members. During the year ended December 2013 and the period from August 17, 2012 (inception) to December 31, 2012, the
Company received contributions of $3,000 and $132,526, respectively, from its members.



Accumulated other comprehensive loss



Accumulated other comprehensive loss
for the year ended December 2013 and the period from August 17, 2012 (inception) to December 31, 2012 is comprised of the following:



|                                                                                                     |  | As of December 31, |    
|---------------------------------------------------------------------------------------------------- |  | ------------------ | ---
|                                                                                                     |  | 2013               |    
|                                                                                                     |  |                    |    
|Net realized and unrealized losses on interest rate cap agreements accounted for as cash flow hedges |  | $                  | (57
|Total accumulated other comprehensive loss                                                           |  | $                  | (57



12. Commitments and Contingencies



The Company evaluates litigation contingencies
based on information currently available, including the advice of counsel and the assessment of available insurance coverage.
The Company will establish accruals for litigation and claims when a loss contingency is considered probable and the related amount
is reasonably estimable. The Company will periodically review these contingences which may be adjusted if circumstances change.
The outcome of a litigation matter and the amount or range of potential losses at particular points may be difficult to ascertain.
If a range of loss is estimated and an amount within such range appears to be a better estimate than any other amount within that
range, then that amount is accrued.



The Company has certain properties that
are subject to ground leases, which are accounted for as operating leases. The ground leases have varying ending dates, renewal
options, and rental rate escalations, with the latest leases extending to June 2053. Future minimum rental payments to be made
by the Company under these noncancelable ground leases, excluding increases resulting from increases in the consumer price index,
are as follows:



|                           |  | Ground Leases |       
|-------------------------- |  | ------------- | ------
|2014                       |  | $             | 1,452 
|2015                       |  |               | 1,390 
|2016                       |  |               | 1,317 
|2017                       |  |               | 1,314 
|2018                       |  |               | 1,314 
|Thereafter                 |  |               | 43,428
|Total minimum rent expense |  | $             | 50,215



The Company incurred rent expense on ground
leases of $1,807 and $128 during the year ended December 31, 2013 and the period from August 17, 2012 (inception) to December
31, 2012, respectively, including $328 and $27, respectively, included in discontinued operations.



13. Income Taxes



No federal or state income taxes
are payable by the Company, and accordingly, no provision for taxes has been made in the accompanying financial statements. The
Members include the Company’s profits or losses in their tax returns.



19







GPT GIG BOA Portfolio Holdings LLCNotes To Consolidated Financial Statements(Dollar amounts in thousands)December 31, 2013



14. Environmental Matters



The Company believes that it is in compliance
in all material respects with applicable federal, state and local ordinances and regulations regarding environmental issues. Its
management is not aware of any environmental liability that it believes would have a materially adverse impact on the Company’s
financial position, results of operations or cash flows.



15. Supplemental Disclosure of Non-Cash Investing and Financing
Activities



The following table represents non-cash
activities recognized in other comprehensive loss for the year ended December 31, 2013 and the period from August 17, 2012 (inception)
to December 31, 2012:



|                                       |  | 2013 |    |  | 2012        |  
|-------------------------------------- |  | ---- | -- |  | ----------- | -
|                                       |  |      |    |  | (unaudited) |  
|Deferred losses related to derivatives |  | $    | 14 |  |             | $





16. Selected Quarterly Financial Data (unaudited)



The unaudited interim financial information
for the year ended December 31, 2013 and the period from August 17, 2012 (inception) to December 31, 2012 is as follows:



|2013 Quarter Ended                             |  | December 31 |        |   | September 30 |   |        | June 30 |  |   | March 31 | 
|---------------------------------------------- |  | ----------- | ------ | - | ------------ | - | ------ | ------- |  | - | -------- | 
|Total Revenues                                 |  | $           | 15,624 |   |              | $ | 15,466 |         |  | $ | 15,173   | 
|Net income from continuing operations          |  |             | 735    |   |              |   | 819    |         |  |   | 1,259    | 
|Net income (loss) from discontinued operations |  |             | (3,806 | ) |              |   | 695    |         |  |   | 347      | 
|Net income (loss)                              |  | $           | (3,071 | ) |              | $ | 1,514  |         |  | $ | 1,606    | 



|2012 Quarter Ended                    |  | December 31 |        |   | Period From August 17 (inception) to September 30 |  
|------------------------------------- |  | ----------- | ------ | - | ------------------------------------------------- | -
|Total Revenues                        |  | $           | 5,566  |   |                                                   | $
|Net loss from continuing operations   |  |             | (4,688 | ) |                                                   |  
|Net loss from discontinued operations |  |             | (142   | ) |                                                   |  
|Net loss                              |  | $           | (4,830 | ) |                                                   | $



17. Subsequent Events



Subsequent to December 31, 2013, the Company
closed on the sale of three properties from the Non-Core Portfolio. These properties sold for an aggregate purchase
price of $2,355 and generated net proceeds to the Company of $2,181. The Company has evaluated subsequent events through March
31, 2014, which is the date the financial statements were issued.



20







GPT GIG BOA
Portfolio Holdings LLC

SCHEDULE IIIReal Estate Investments(Dollar amounts in thousands)



|                                 |  |  |       |  |  |                  |  |                                        |    | Initial Costs |      |   |        |                               |  | Gross Carrying Amount 
    December 31, 2013 |                                                       |  |  |      |       |  |                              
|-------------------------------- |  |  | ----- |  |  | ---------------- |  | -------------------------------------- | -- | ------------- | ---- | - | ------ | ----------------------------- |  | -------------------------------------------- | ----------------------------------------------------- |  |  | ---- | ----- |  | -----------------------------
|City                             |  |  | State |  |  | Acquisition Date |  | Encumbrances 
    at December 31, 2013 |    |               | Land |   |        | Building and
    Improvements |  |                                              | Net Improvements
     (Retirements) Since Acquisition |  |  | Land |       |  | Building and
    Improvements
|Assets Held for Investment:      |  |  |       |  |  |                  |  |                                        |    |               |      |   |        |                               |  |                                              |                                                       |  |  |      |       |  |                              
|Phoenix                          |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      | $ | -      |                               |  | $                                            | 6,420                                                 |  |  | $    | -     |  |                              
|Phoenix                          |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | -      |                               |  |                                              | 16,246                                                |  |  |      | 225   |  |                              
|Phoenix                          |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | -      |                               |  |                                              | 3,596                                                 |  |  |      | 17    |  |                              
|Phoenix                          |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | -      |                               |  |                                              | 6,561                                                 |  |  |      | 98    |  |                              
|Mesa                             |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 493    |                               |  |                                              | 1,589                                                 |  |  |      | -     |  |                              
|Phoenix                          |  |  | AZ    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | -      |                               |  |                                              | 11,798                                                |  |  |      | -     |  |                              
|Long Beach                       |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 685    |                               |  |                                              | 518                                                   |  |  |      | 67    |  |                              
|Fresno                           |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 368    |                               |  |                                              | 1,082                                                 |  |  |      | -     |  |                              
|Fresno                           |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 359    |                               |  |                                              | 1,433                                                 |  |  |      | -     |  |                              
|Coronado                         |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 579    |                               |  |                                              | 1,436                                                 |  |  |      | -     |  |                              
|Bakersfield                      |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 456    |                               |  |                                              | 975                                                   |  |  |      | -     |  |                              
|Compton                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 625    |                               |  |                                              | 473                                                   |  |  |      | -     |  |                              
|El Segundo                       |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,233  |                               |  |                                              | 598                                                   |  |  |      | -     |  |                              
|Escondido                        |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 812    |                               |  |                                              | 1,916                                                 |  |  |      | -     |  |                              
|Fresno                           |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 492    |                               |  |                                              | 1,483                                                 |  |  |      | -     |  |                              
|Gardena                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,201  |                               |  |                                              | 897                                                   |  |  |      | -     |  |                              
|Glendale                         |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,548  |                               |  |                                              | 3,065                                                 |  |  |      | -     |  |                              
|Ontario                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,609  |                               |  |                                              | 4,061                                                 |  |  |      | -     |  |                              
|Newport Beach                    |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,481  |                               |  |                                              | 1,509                                                 |  |  |      | -     |  |                              
|Los Angeles                      |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,242  |                               |  |                                              | 633                                                   |  |  |      | -     |  |                              
|Lynwood                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 684    |                               |  |                                              | 607                                                   |  |  |      | -     |  |                              
|North Hollywood                  |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,793  |                               |  |                                              | 1,392                                                 |  |  |      | -     |  |                              
|Sacramento                       |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 838    |                               |  |                                              | 1,107                                                 |  |  |      | -     |  |                              
|Sacramento                       |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 498    |                               |  |                                              | 540                                                   |  |  |      | -     |  |                              
|Los Angeles                      |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 641    |                               |  |                                              | 462                                                   |  |  |      | -     |  |                              
|Pomona                           |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,046  |                               |  |                                              | 2,156                                                 |  |  |      | -     |  |                              
|Riverside                        |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,753  |                               |  |                                              | 2,320                                                 |  |  |      | -     |  |                              
|Salinas                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 941    |                               |  |                                              | 1,120                                                 |  |  |      | -     |  |                              
|San Bernadino                    |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 581    |                               |  |                                              | 1,995                                                 |  |  |      | -     |  |                              
|Santa Barbara                    |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,676  |                               |  |                                              | 1,366                                                 |  |  |      | -     |  |                              
|Santa Maria                      |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 613    |                               |  |                                              | 1,527                                                 |  |  |      | -     |  |                              
|Mission Hills                    |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 583    |                               |  |                                              | 637                                                   |  |  |      | -     |  |                              
|Bakersfield                      |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 765    |                               |  |                                              | 1,121                                                 |  |  |      | -     |  |                              
|Sunnyvale                        |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 2,808  |                               |  |                                              | 1,978                                                 |  |  |      | 51    |  |                              
|Torrance                         |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 882    |                               |  |                                              | 561                                                   |  |  |      | -     |  |                              
|Ventura                          |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 840    |                               |  |                                              | 1,263                                                 |  |  |      | -     |  |                              
|Long Beach                       |  |  | CA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 346    |                               |  |                                              | 621                                                   |  |  |      | -     |  |                              
|Tampa                            |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 3,366  |                               |  |                                              | 6,329                                                 |  |  |      | 245   |  |                              
|Clearwater                       |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 581    |                               |  |                                              | 1,405                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 3,667  |                               |  |                                              | 16,684                                                |  |  |      | 278   |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 2,043  |                               |  |                                              | 6,282                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,961  |                               |  |                                              | 6,357                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 3,068  |                               |  |                                              | 9,661                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,896  |                               |  |                                              | 6,703                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 4,647  |                               |  |                                              | 16,970                                                |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 2,099  |                               |  |                                              | 6,418                                                 |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 403    |                               |  |                                              | 853                                                   |  |  |      | -     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 27     |                               |  |                                              | 225                                                   |  |  |      | 49    |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 425    |                               |  |                                              | 1,202                                                 |  |  |      | -     |  |                              
|Hialeah                          |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 833    |                               |  |                                              | 629                                                   |  |  |      | -     |  |                              
|Port Charlotte                   |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 248    |                               |  |                                              | 749                                                   |  |  |      | 8     |  |                              
|Jacksonville                     |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 444    |                               |  |                                              | 462                                                   |  |  |      | -     |  |                              
|Miami Lakes                      |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 4,992  |                               |  |                                              | 4,872                                                 |  |  |      | 541   |  |                              
|Tampa                            |  |  | FL    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 1,215  |                               |  |                                              | 1,327                                                 |  |  |      | 6     |  |                              
|Savannah                         |  |  | GA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 638    |                               |  |                                              | 1,430                                                 |  |  |      | -     |  |                              
|Overland Park                    |  |  | KS    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 335    |                               |  |                                              | 777                                                   |  |  |      | -     |  |                              
|Annapolis                        |  |  | MD    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 483    |                               |  |                                              | 1,339                                                 |  |  |      | 99    |  |                              
|Baltimore                        |  |  | MD    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 483    |                               |  |                                              | 1,177                                                 |  |  |      | -     |  |                              
|Richland                         |  |  | MO    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 143    |                               |  |                                              | 812                                                   |  |  |      | -     |  |                              
|Springfield                      |  |  | MO    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 648    |                               |  |                                              | 869                                                   |  |  |      | -     |  |                              
|Springfield                      |  |  | MO    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | -      |                               |  |                                              | 704                                                   |  |  |      | 59    |  |                              
|Albuquerque                      |  |  | NM    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 812    |                               |  |                                              | 1,755                                                 |  |  |      | -     |  |                              
|Carrollton                       |  |  | TX    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 543    |                               |  |                                              | 547                                                   |  |  |      | -     |  |                              
|Houston                          |  |  | TX    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 417    |                               |  |                                              | 1,947                                                 |  |  |      | -     |  |                              
|Mission                          |  |  | TX    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 315    |                               |  |                                              | 693                                                   |  |  |      | -     |  |                              
|Bellingham                       |  |  | WA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 661    |                               |  |                                              | 1,519                                                 |  |  |      | -     |  |                              
|Spokane                          |  |  | WA    |  |  | 12/6/2012        |  |                                        | (1 | )             |      |   | 477    |                               |  |                                              | 5,334                                                 |  |  |      | -     |  |                              
|Total Assets Held-for-Investment |  |  |       |  |  |                  |  | $                                      | -  |               |      |   | 68,341 |                               |  |                                              | 193,093                                               |  |  |      | 1,743 |  |                              



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|                           |  |  |       |  |  |                  |  |                                        |   |  | Initial
    Costs |   |        |                                |  |   | Gross Carrying Amount 
    December 31, 2013          |  |  |      |        |   |                               |  
|-------------------------- |  |  | ----- |  |  | ---------------- |  | -------------------------------------- | - |  | ----------------- | - | ------ | ------------------------------ |  | - | ----------------------------------------------------- |  |  | ---- | ------ | - | ----------------------------- | -
|City                       |  |  | State |  |  | Acquisition Date |  | Encumbrances 
    at December 31, 2013 |   |  | Land              |   |        | Building and
     Improvements |  |   | Net Improvements
     (Retirements) Since Acquisition |  |  | Land |        |   | Building and
    Improvements |  
|Assets Held for Sale:      |  |  |       |  |  |                  |  |                                        |   |  |                   |   |        |                                |  |   |                                                       |  |  |      |        |   |                               |  
|Phoenix                    |  |  | AZ    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 627    |                                |  |   | -                                                     |  |  |      | (371   | ) |                               |  
|Palmdale                   |  |  | CA    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 1,045  |                                |  |   | -                                                     |  |  |      | (199   | ) |                               |  
|St. Louis                  |  |  | MO    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 1,662  |                                |  |   | -                                                     |  |  |      | (453   | ) |                               |  
|Florissant                 |  |  | MO    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 665    |                                |  |   | -                                                     |  |  |      | (130   | ) |                               |  
|St. Louis                  |  |  | MO    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 2,660  |                                |  |   | -                                                     |  |  |      | (552   | ) |                               |  
|N. Kansas City             |  |  | MO    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 855    |                                |  |   | -                                                     |  |  |      | (133   | ) |                               |  
|Hampton                    |  |  | VA    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 798    |                                |  |   | -                                                     |  |  |      | (231   | ) |                               |  
|Richland                   |  |  | WA    |  |  | 12/6/2012        |  |                                        | - |  |                   |   | 1,900  |                                |  |   | -                                                     |  |  |      | (412   | ) |                               |  
|Total Assets Held-for-Sale |  |  |       |  |  |                  |  |                                        | - |  |                   |   | 10,212 |                                |  |   | -                                                     |  |  |      | (2,481 | ) |                               |  
|Grand Total                |  |  |       |  |  |                  |  | $                                      | - |  |                   | $ | 78,553 |                                |  | $ | 193,093                                               |  |  | $    | (738   | ) |                               | $



| | (1) | These properties collateralize the Company’s
                                         mortgage facility which had an outstanding balance of $200,000 at December 31, 2013.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (2) | The
                                         aggregate cost basis of land, building and improvements, before depreciation, for Federal
                                         income tax purposes at December 31, 2013 was $278,586
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



Set forth below is a rollforward of the carrying values for
our real estate investments classified as held-for-investment:



|                             |  | 2013 |         |   | 2012 |  
|---------------------------- |  | ---- | ------- | - | ---- | -
|Investment in real estate:   |  |      |         |   |      |  
|Balance at beginning of year |  | $    | 261,605 |   |      | $
|Improvements                 |  |      | 1,686   |   |      |  
|Business acquisitions        |  |      | —       |   |      |  
|Change in held-for-sale      |  |      | 45,830  |   |      |  
|Impairments                  |  |      | (3,366  | ) |      |  
|Property sales               |  |      | (42,578 | ) |      |  
|Balance at end of year       |  | $    | 263,177 |   |      | $
|Accumulated depreciation:    |  |      |         |   |      |  
|Balance at beginning of year |  | $    | 826     |   |      | $
|Depreciation expense         |  |      | 11,972  |   |      |  
|Change in held-for-sale      |  |      | 13      |   |      |  
|Balance at end of year       |  | $    | 12,811  |   |      | $



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