An Alternative Approach to PROPERTY DEVELOPMENT FINANCE

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1 An Alternative Approach to PROPERTY DEVELOPMENT FINANCE

2 Welcome to IPIN Global Capital We are an experienced real estate investment firm that specialises in providing equity and mezzanine funding for real estate developments as well as residential (volume) sales. Our resourceful team has a wide-ranging skill set including real estate development, analysis, private equity, construction, financial modelling, investment banking, accounting, law and asset management. With offices in London, Central Europe and Singapore, the IPIN Global group of companies manages 100,000 investors globally. At IPIN Global Capital (London), we provide project acquisition, origination and asset management services to the IPIN group of companies. We also provide our developer partners with senior debt financing, bridging loans, contractor negotiations, management company selection, hotel operator arrangement, exit strategies, residential off-plan and yielding (volume) sales and professional team recommendations. Finally we offer the IPIN investors creative investment solutions. Since inception, IPIN Global Capital and our group of companies have provided equity for over 60 development projects globally with a 100% funding success rate. This represents over 650,000,000 in real estate development value. RICHARD RIXON DIRECTOR - ENDURANCE LAND IPIN Global Capital assisted us in a major London Hotel deal in 2013, providing finance to secure the asset and take us through design and planning. Once the revised planning was achieved and the institutional presale secured, we were able to forward fund the project and repay IPIN Global Capital s facility ahead of schedule - and thanks to IPIN s flexible terms there was no early redemption penalty after 6 months.

3 OUR SERVICES In a market where conventional funding is typically unavailable or difficult to achieve, many mid-sized developers are unfamiliar with the post-credit Crisis revised criteria, thus finding it exceptionally difficult to secure the required development funding. The combined real estate, financial and investment expertise of our team, coupled with the unique nature of our industry relationships, positions us as a strong JV partner for a wide range of mid-sized developers. Andrew SOUTHERn CEO - SOUTHERN GROVE - DEVELOPERS I have worked closely with IPIN Global Capital over the last 18 months both on our largest development where we borrowed over 6m of equity and other potential property development opportunities. Their understanding of property transactions and the structuring of deals is excellent and they really support the developer in this challenging London market. I have found the whole team to be professional and act with integrity throughout. I look forward to building on our relationship in the future.

4 Equity Funding IPIN Global Capital provides equity funding to development projects in key locations worldwide with a current focus on the United Kingdom. Our typical funding terms are highly competitive and include: Equity Investment Range 2m 20m Average Equity Investment 7m Average Cost of Capital Approx % IRR pa Investment Term Up to 5 years IPIN GLOBAL CAPITAL COMPETITOR Will fund up to 95% of required equity and mezzanine finance IRR Driven (no prepayment penalty) Capped Returns Active JV Partner (will contribute social and intellectual capital to ensure project is built and exited profitably) Will typically not exceed 50% of the required equity Total Return Driven (min. investment period) Hurdle rate plus approx. 50% of the upside Passive Investment We provide more than just equity to our joint venture development equity partners. If a project complies with our criteria, IPIN Global Capital will leverage its relationships and experience to ensure that the project is financed, construction completed under budget and exits provided at a profit within a short time scale. In addition, we offer the following services to our developer partners: Senior Debt Financing Bridging Loans Contractor Negotiations Management Company Selection Hotel Operator Arrangement Exit Strategies JAMES SCOTT INVESTMENT & DEVELOPMENT CONSULTANT JAMES ANDREW INTERNATIONAL I approached IPIN Global Capital on behalf of a client seeking bridge funding for a hotel project in Edinburgh with a very short window that my client had for IPIN Global Capital to perform within. IPIN Global Capital were able to conduct a detailed assessment of the project swiftly and issue draft heads of terms within days, delivering the essential funding well within the tight deadline.

5 Our successful track record, sound reputation and industry understanding uniquely position us to identify and negotiate with an established network of top-tier contractors who are willing to partner with our developers, with preferential terms. BENEFITS WE ARE ABLE TO NEGOTIATE FOR THE DEVELOPER TYPICALLY INCLUDE: Fixed price contract Payment deferral between % of the build costs until project completion THIS PAYMENT DEFERRAL ALLOWS DEVELOPERS TO: Keep contractors accountable to ensuring that the project is built under budget and within its deadline Obtain mezzanine-style funding through our contractor partners at low capital costs MANAGEMENT COMPANY SELECTION IPIN Global Capital is not just a passive equity provider. We contribute substantial social and intellectual capital to ensure the most risk-averse, profitable project with the highest likelihood of success financed, constructed under budget, exited promptly and at profit. RESIDENTIAL (VOLUME) SALES We have fostered strong relationships with an established network of institutional-level contractors who are willing to partner with our developers, and with preferential terms including fixed price contracts and potential payment deferrals. Our experience and reputation allows us to leverage our contacts and obtain terms and conditions usually unavailable to one-off projects. SOPHIE GREGORIOS-PIPPAS DIRECTOr - RED LION LEISURE DEVELOPERS IPIN Global Capital have assisted with our bid for a major new hotel development in an internationally renowned city. They have worked with us through the tender process including presenting at the tender panel and, if successful, have committed to providing bridge funding for the project initially based on a tailored plan that works well for me as a developer and the projects goals. We are currently awaiting the decision from the land owner and if successful will move to discussing the arrangement of equity funding through IPIN Global Capital also.

6 EXIT strategy We arrange two types of exits: Institutions - By arranging leases with institutional grade operators, IPIN Global Capital is able to leverage its relationships to identify funds and insurance companies alike that are seeking long-term income. This is typically done on a forward-funding or a forward-sale basis. IPIN Global Capital will work with its development partner to assess whether forwardfunding or a forward-sale is most profitable for the respective project. Private Investment - In certain circumstances, non-institutional grade operators (with strong balance sheets) are willing to pay far more per key than industry leaders such as Whitbread and other institutional grade operators. Through its partnership with IPIN Global, IPIN Global Capital is able to forward-sell or partially forwardfund developments through private investment seeking a higher yield. This strategy is comprised of a forward-sale with a minimum of a 40% deposit, which can be utilised to subsidise build costs at the applicable yield. SENIOR DEBT FINANCING Other than for arranging bridging finance in limited circumstances, IPIN Global Capital will not contribute its balance sheet to secure the senior debt. We will, however, aid our developer partners in obtaining senior debt through a combination of introductions and resources that will de-risk the transaction for the respective lender (i.e. arrangement of the lease, exit strategy, contractor financing, etc.). As a result of the Credit Crisis, the availability of conventional senior debt lending has significantly decreased. However, IPIN Global Capital has assembled a panel of alternative funding contacts and vehicles that provide us the unique privilege of making previously unfundable transactions fundable. Our organisation is uniquely positioned to compare and assess the forward-funding or forward-sale options and the difference between using institutional and retail capital. paul ellis managing director - THE SKELWITH GROUP Having worked closely with IPIN Global Capital over the past year, I have been impressed with the efficiency, transparency and general expertise that this property investment leader has been able to offer us. Through presenting us with unique investment strategies and really thinking outside the box to help us move forward with our development in especially difficult market conditions, they effectively sold out our initial project with them in the space of just seven months, achieving unit sales in triple figures. A truly impressive performance given that other developers were being left high and dry from the global market fall-out. We will certainly be working closely with them in the future, benefiting from their highly effective sales operation and their innovative, exclusive investment strategies. Providing you are a forward-thinking company which is open to applying unique strategies to achieve sales, I would be confident in recommending IPIN Global Capital service and expertise to anyone who is serious about selling property even in the toughest market conditions.

7 PREFERRED PROJECT CRITERIA IPIN Global Capital seeks to forge long-term partnerships with seasoned developers that have the capacity and track record to develop multiple projects over an extended period of time. HOTELS / HOSTELS - Developments within Greater London, or within UK, US and major Western European city centres close to transport links. The assets will also need to be managed by experienced operators (management contracts or with FRI leases) and benefit from a clear exit strategy. STUDENT ACCOMMODATION - Projects within Russell Group locations, or other UK markets with an identifiable supply/demand imbalance and agreements with strong management companies. RESIDENTIAL - Developments within Greater London, comprising 30 or more non-luxury, private units and within close proximity to transport links. Please do not hesitate to contact us with details of your development project for appraisal. JOHN MACKIE MANAGING DIRECTOR - SEAFORTH DEVELOPMENTS IPIN Global Capital have provided equity funding for two of my recent developments. In a recently completed Student Accommodation block in Glasgow IPIN Global Capital provided the funds through their investors to allow the site purchase and pre-construction costs to be met. IPIN Global Capital then followed this up by assisting in sourcing the senior funding for the construction allowing the project to be completed in time for this academic year. Their investors will be exited earlier than the original terms outlined, which I can do with no early redemption penalty. The second project is a hotel development in Aberdeen. IPIN Global Capital carefully considers each project on merit, providing development funding throughout the UK, from the South East of England right to the North East of Scotland. IPIN Global Capital understands the different requirements of each real estate sector, can quickly assess a project s feasibility and work with developers that they know can and do deliver. Thanks to this we have been able to enter this excellent marketplace directly targeting the needs of the city and have now started on site with project progress going well.

8 Our UK Track Record Our extensive track record over the past decade has included sizeable projects within many key UK cities including: Date & Year UK Project NAME LOCATION Equity Deposit Amount (GBP) GDV (GBP) Units Asset Class Jul 2014 London Stratford Hotel London Stratford 6,000, ,000, Hotel Feb 2014 Urban Villa Aldgate London Aldgate 5,700,000 75,000, Hotel Mar 2013 Brick Lane London 2,000,000 21,500, Hotel Oct 2013 Woolmanhill Aberdeen 4,000,000 27,000, Hotel Feb 2013 Evolution Liverpool 3,000,000 8,500, Hostel Aug 2012 Kelvingrove House Glasgow 3,500,000 12,500, Student Jun 2012 Trinity Lodge Edinburgh 3,000,000 12,000, Care Home Apr 2012 Enterprise House Leicester 6,500,000 28,800, Student Oct 2011 Number One Portsmouth Portsmouth 4,026,108 36,000, Hotel Aug 2011 The Keep Whitby 1,671,000 8,600, Hotel Jul 2011 Aspire Citygate Bradford 4,256,700 27,900, Residential Jul 2011 Jul 2010 Aug 2010 Holiday Inn, Docklands The Raithwaite Hotel The Raithwaite Cottages London 5,484,000 35,000, Hotel Whitby 1,785,275 12,300, Hotel Whitby 715,992 4,200, Hotel Jul 2010 The Woolston Bradford 2,955,276 14,300, Hotel Nov 2009 The Flaxby Country Club Harrogate 3,883,775 73,000, Hotel

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