An Exciting New Master Planned Community brought to you by Shelton/PNL Development.

An Exciting New Master Planned Community brought to you by Shelton/PNL Development. Kirk Laguarta KLaguarta@landadvisors.com Duane Heckmann DHeckmann@landadvisors.com Tel: 7136477800 Fax: 713.647.7830 10497 Town & Country Way Suite 820 Houston, Texas 77024 The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

A 747± Acre Master Planned Community Tamarron Lakes is located south of I10, West of Grand Parkway on FM 1463, Fulshear, Fort Bend County, TX Tamarron Lakes is a 747acre planned community located in the burgeoning Houston Katy Fulshear area of northern Fort Bend County. Tamarron Lakes is ideally situated on FM 1463 between FM 1093/Westheimer (the proposed Westpark Tollway extension) and I10 and offers quick and easy access to these major thoroughfares. Tamarron Lakes is bounded by Firethorne to the north, Cross Creek Ranch to the south, and just west of Cinco Ranch and is located in Houston s Energy Corridor. Tamarron Lakes is designed to accommodate approximately 1,695 homes along with the accompanying retail, educational and residential amenity components. Current planning calls for a dramatic entryway, accented by a stone tower, a river rock waterfall, a fountain with a faux bridge and extensive landscaping. The main boulevard to Tamarron Lakes is planned to be enhanced with decorative water features and a parklike setting. The community amenities are planned to include a spectacular recreation area situated on four acres. These proposed amenities include a 4,700 square foot clubhouse which would include a multipurpose area, locker rooms and a fitness center. An outside water park featuring multiple pools, a water slide and a splash playground are also planned. The 100 acres devoted to hiking trails, parks, green belts and lakes will provide outdoor recreational activities for the residents of the community. The reconstruction and expansion of the nearby Katy Freeway (I10 West) is now nearing completion. When complete, the Katy Freeway will be a model freeway corridor by combining traditional lanes, High Occupancy Vehicle lanes and toll road lanes. The Westpark Tollway is currently being planned to extend westward from the Grand Parkway to just west of FM 1463. This tollway, coupled with the widening of FM 1093 to four lanes, results in an eightlane corridor that greatly improves mobility for the area s residents by creating a new eastwest corridor with access to Highway 6, Sam Houston Tollway (Beltway 8), US 59 and the Galleria area. Shopping is nearby and plentiful at the Katy Mills Mall, Cinco Ranch, other area centers and future shopping sites. Medical care is available at three area hospitals; Memorial Hermann Katy, Christus St. Catherine and Texas Children s Katy. The residential areas of Tamarron Lakes are located within Lamar Consolidated Independent School District. Tamarron Lakes and the surrounding area is greater Houston s strongest singlefamily residential market and the vast majority of this housing is located within the area s numerous and very successful master planned communities. Homes in this market generally sell for higher prices and with greater velocity than any other single family market in the Houston area. A 24acre commercial component is planned for the western boundary of the development. This commercial area will bring retailers and office sites to the community. Additional acreage is planned for an elementary school and a daycare facility. The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

A 747± Acre Master Planned Community Development Plan: Provide a location, amenity and lot price advantage to builders in the fast growing KatyFulshear corridor. Planned as a 1,695 home community located on the west side of FM 1463, Tamarron Lakes is bounded by Firethorne to the north and Cross Creek Ranch to the south. More than $80 million is expected to be spent to develop Tamarron Lakes over the five to seven year build out. 100 acres devoted to hiking trails, parks, green belts and lakes will provide outdoor recreational amenities for residents of the community. A 24acre commercial component has been set aside on the western boundary of the project. Scheduled for the second phase of development, commercial sites will bring retailers and office sites to the community. Fifteen Acres is set aside for a new elementary school and an adjoining three acres is allocated for a daycare facility. Tamarron Lakes is ready for development and construction to begin. It is estimated that construction could begin approximately 65 days after bids are let. Engineering for initial development is completed. The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

A 747± Acre Master Planned Community Size: 747± Acres Price: $28,348,000 / $38,000 per gross acre School District: Lamar Consolidated ISD Comments: Fort Bend County MUD #182 in place with Legislative Road Powers Located within the City of Fulshear ETJ Preliminary plat has been approved Development Agreement with the City of Fulshear is completed 1,695 planned lots 60, 65 and 75 Waste water permit in place Drainage easement in place Agreement in place with adjacent land owners to share in cost of offsite drainage Agreement in place with adjacent property owner to the south for shared cost of FM 1463 roundabout, entryway and entryway landscaping Bond election has been held which authorized $85M in District bonds for water, sewer and drainage Civil engineering for Phase I (four sections) and on & off site drainage is nearing completion. Drainage study is complete Water and waste water plant design is nearing completion Club house design is 50% complete MUD Board is in place Ag lease in place Gas and electric providers are planning their service The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

A 747± Acre Master Planned Community MUD: Fort Bend County MUD #182 Contacts: Land Advisors Organization 10497 Town & Country Way Suite 820 Houston, Texas 77024 Attention: Kirk Laguarta, Agent/Land Specialist Duane Heckmann, Agent/Land Specialist 7136477800 Coats & Rose Legal Council for MUD 3 East Greenway Plaza Suite 2000 Houston, Texas 77046 Attention: Julianne Kugle 7136537318 Schreef & Stone Corporate Legal 5956 Sherry Lane, Ste 1400 Dallas, TX 75225 Attention: Kevin Flynn 2147064203 Costello Engineering Civil Engineering 9990 Richmond Ave Suite 45N Houston, Texas 77042 Attention: Bill Zollman 7137837788 Kerry Gilbert & Associates Planning 15810 Park Ten Place, Suite 160 Houston, TX 77084 Attention: Kerry Gilbert 2815790340 Dain Roescher Financial Advisor for MUD First City Tower, Ste 400 Houston, TX 77002 Attention: Jan Bartholomew 7136513342 Warren Wilke & Associates Club House Design 5080 Spectrum Drive, Ste 105 Addison, TX 75001 Attention: Warren Wilke 9729919600 Cooper Design Works Landscape Architects 8709 Brookhollow Drive Rowlett, TX 75089 Attention: Jim Cooper 9724129519 Steward Marketing Marketing Consultant 25211 Grogan s Mill Road Suite 225 The Woodlands, Texas 77380 Attention: Sherri Morris 2812102452 x 614 The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

Metropolitan Living with Small Town Charm. Amenities: The Recreation Center and clubhouse will provide a focal point for residents. The impressive stone exterior brings a Hill Country feel to the surroundings and will feature a portecochere drivein, dropoff area. Inside, the clubhouse is complete with a fitness center, locker rooms and bathrooms. It also houses an office and a multipurpose room with a kitchen and storage. Sitting areas offer relaxing views of the water park and lake beyond. The outdoor areas of the center include: Water Slide NCAA Lap Pool Tumble Buckets Swim Channel Splash Playground Leisure Pool Pavilion & Perimeter Shade Arbor Recreation Center The information contained herein from sources deemed reliable. We have no reason to doubt its accuracy but do not guarantee it. It is the reponsibility of the person reviewing this information to independently verify it. This package is subject to change, prior sale or complete withdrawal. LAND ADVISORS ORGANIZATION

Tamarron Lakes Fiesta Master Planned Community

Tamarron Lakes Fiesta Master Planned Community

Tamarron Lakes Fiesta Master Planned Community

Tamarron Lakes With Road Powers Summary of Assumptions and Investment Performance PROJECT ASSUMPTIONS COST ASSUMPTIONS FINANCING ASSUMPTIONS Acquisition Date 10/1/07 ACQUISITION Aggregate Per Lot Land Loan to Cost 65% Total Project Size (acres) 747.0 Acquisition Price 28,386,000 16,747 Construction Loan to Cost 75% Sellable School Site (acres) 15.5 Beginning Interest Rate 8.75% Sellable Commercial Land (acres) 25.2 Acquisition Price Per Acre 38,000 Interest Rate Step Every 6 Months 0.25% Interest Rate Cap 9.75% Sellable Residential Lots 1,695 Interest Calculation Basis ACT/360 Loan Fee 1.00% Release Price (% of Net Sales) 90% REVENUE ASSUMPTIONS CONSTRUCTION COST ASSUMPTIONS MUD Reimbursable Costs Aggregate Per Lot Aggregate Per Lot Starting Lot Price Per Front Foot $650 Internal POD WSD 12,179,432 7,186 Acquisition Cost 28,386,000 16,747 Lot Price Escalation Per Year 8.00% Internal POD Roads 12,705,582 7,496 Construction Cost 63,961,197 37,735 Water, Waste Water and Storm Drainage 5,130,812 3,027 Closing Costs & Commissions 1,186,045 700 Starting Roads 4,002,112 2,361 Interest & Fees on Land Loan 5,309,166 3,132 Lot Size Distribution Lots Price 1463 Improvements 1,200,000 708 Interest & Fees on Const. Loan 3,605,990 2,127 60foot Lots 856 51% 39,000 On Site Detention 1,556,160 918 Total Costs 102,448,397 60,442 65foot Lots 345 20% 42,250 Off Site Detention 3,207,160 1,892 75foot Lots 494 29% 48,750 Flewellen Creek Improvements 600,000 354 1,695 100% Water Plant 3,886,720 2,293 Land Loan Proceeds 21,901,858 12,921 Waste Water Plant 3,687,000 2,175 Combined Const. Loan Proceeds 51,564,924 30,422 Erosion Control 50,000 29 Total Loan Proceeds 73,466,781 43,343 Lot Sale Velocity Lots Engineering 5,895,111 3,478 Weighted LTC 71.71% Phase 1 275 Total MUD Reimbursable Costs 54,100,089 31,917 Phase 2 305 Phase 3 325 Land Planning 75,000 44 Total Equity 28,981,616 17,098 Phase 4 350 Platting 265,000 156 Phase 5 325 Legal 162,500 96 Equity CF After Debt Net Phase 6 115 Marketing 1,054,110 622 Equity Outlay Schedule Outlay Avail. as Equity Equity Phase 7 0 HOA Shortfall 405,500 239 Year 1 16,764,471 404,714 16,618,295 Total 1,695 Amenity Center/ Landscaping 3,440,000 2,029 Year 2 3,572,944 601,284 2,713,122 Contingency 1,500,000 885 Year 3 2,591,628 1,586,343 1,005,285 Supervision 1,817,665 1,072 Year 4 2,165,303 9,915,329 290,179 Commercial Price Per SF $2.50 Park Fees 716,333 423 Year 5 2,696,806 16,395,677 Commercial Site Exit Period 6/1/11 Taxes 425,000 251 Year 6 1,190,464 17,369,110 Total Construction Costs 63,961,197 37,735 Year 7 7,125,673 School Site Price Per SF $1.75 Year 8 8,809,320 School Site Exit Period 6/1/09 Total Equity Outlay 28,981,616 20,626,881 Construction Cost Distribution By Phase Phase 1 23,142,869 36% MUD Reimbursement Schedule Aggregate Per Lot Phase 2 3,529,299 6% Year 1 Phase 3 8,607,519 13% Year 2 Phase 4 7,348,311 11% INVESTMENT RETURNS Year 3 7,342,140 4,332 Phase 5 10,445,724 16% Aggregate Per Lot Year 4 7,448,220 4,394 Phase 6 10,887,475 17% Total Lot Sales Revenue 87,065,335 51,366 Year 5 7,980,570 4,708 Phase 7 0% Commercial Sales Revenue 5,619,726 3,315 Year 6 8,401,380 4,957 Total 63,961,197 100% MUD Reimbursement Revenue 54,299,700 32,035 Year 7 8,721,960 5,146 Closing Costs & Commissions (1,186,045) (700) Year 8 8,809,320 5,197 Acquisition Cost (28,386,000) (16,747) Year 9 4,711,590 2,780 Construction Costs (63,961,197) (37,735) Year 10 884,520 522 Sales Cost Financing Costs (8,915,155) (5,260) Year 11 Commissions 847,175 500 LEVERED PROFIT 44,536,364 26,275 Year 12 Closing Cost 338,870 200 Year 13 Total Sales Cost 1,186,045 700 Year 14 UNLEVERED IRR 19.78% Year 15 LEVERED IRR 26.04% Year 16 Total Costs (before financing cost) 93,533,242 55,182 Total MUD Reimbursements 54,299,700 32,035 NET EQUITY MULTIPLE 2.16

APPROVED BY THE TEXAS REAL ESTATE COMMISSION FOR VOLUNTARY USE Texas law requires all real estate licensees to give the following information about brokerage services to prospective buyers, tenants, sellers and landlords. INFORMATION ABOUT BROKERAGE SERVICES: Before working with a real estate broker, you should know that the duties of a broker depend on whom the broker represents. If you are a prospective seller or landlord (owner) or a prospective buyer or tenant (buyer), you should know that the broker who lists the property for sale or lease is the owner s agent. A broker who acts as a subagent represents the owner in cooperation with the listing broker. A broker who acts as a buyer s agent represents the buyer. A broker may act as an intermediary between the parties if the parties consent in writing. A broker can assist you in locating a property, preparing a contract or lease, or obtaining financing without representing you. A broker is obligated by law to treat you honestly. IF THE BROKER REPRESENTS THE OWNER: The broker becomes the owner s agent by entering into an agreement with the owner, usually through a written listing agreement, or by agreeing to act as a subagent by accepting an offer of subagency from the listing broker. A subagent may work in a different real estate office. A listing broker or subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first. The buyer should not tell the owner s agent anything the buyer would not want the owner to know because an owner s agent must disclose to the owner any material information known to the agent. IF THE BROKER REPRESENTS THE BUYER: The broker becomes the buyer s agent by entering into an agreement to represent the buyer, usually through a written buyer representation agreement. A buyer s agent can assist the owner but does not represent the owner and must place the interests of the buyer first. The owner should not tell a buyer s agent anything the owner would not want the buyer to know because a buyer s agent must disclose to the buyer any material information known to the agent. IF THE BROKER ACTS AS AN INTERMEDIARY: A broker may act as an intermediary between the parties if the broker complies with The Texas Real Estate License Act. The broker must obtain the written consent of each party to the transaction to act as an intermediary. The written consent must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker s obligations as an intermediary. The broker is required to treat each party honestly and fairly and to comply with The Texas Real Estate License Act. A broker who acts as an intermediary in a transaction: 1. Shall treat all parties honestly; 2. May not disclose that the owner will accept a price less than the asking price unless authorized in writing to do so by the owner; 3. May not disclose that the buyer will pay a price greater than the price submitted in a written offer unless authorized in writing to do so by the buyer; and 4. May not disclose any confidential information or any information that a party specifically instructs the broker in writing not to disclose unless authorized in writing to disclose the information or required to do so by The Texas Real Estate License Act or a court order or if the information materially relates to the condition of the property. With the parties consent, a broker acting as an intermediary between the parties may appoint a person who is licensed under The Texas Real Estate License Act and associated with the broker to communicate with and carry out instructions of one party and another person who is licensed under that Act and associated with the broker to communicate with and carry out instructions of the other party. If you choose to have a broker represent you, you should enter into a written agreement with the broker that clearly establishes the broker s obligations and your obligations. The agreement should state how and by whom the broker will be paid. You have the right to choose the type of representation, if any, you wish to receive. Your payment of a fee to a broker does not necessarily establish that the broker represents you. If you have any questions regarding the duties and responsibilities of the broker, you should resolve those questions before proceeding. Real estate licensee asks that you acknowledge receipt of this information about brokerage services for the licensee s records. Buyer, Seller, Landlord or Tenant Date Texas Real Estate Brokers and Salespersons are licensed and regulated by the Texas Real Estate Commission (TREC). If you have a question or complaint regarding a real estate licensee, you should contact TREC at P.O. Box 12188, Austin, Texas 787112188 or 5124653960. EQUAL HOUSING OPPORTUNITY. 01A TREC No. OPK EQUAL HOUSING OPPORTUNITY