VILLAS OF TRADITIONS AT GREY OAKS

Report of Turnover Survey VILLAS OF TRADITIONS AT GREY OAKS Grey Oaks Development Naples, Collier County, Florida Forge Engineering Project Number 2907-001.01 March 2015

Richard P..Lundberg, P.E cn=richard P. Lundberg, P.E., o=forge Engineering, Inc., ou=licensed Professional Engineer, email=rlundber g@forgeeng.com, c=us 2015.03.30 '00'04-11:33:11

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 TABLE OF CONTENTS 1.0 EXECUTIVE SUMMARY 2.0 SCOPE OF SERVICES 3.0 PROJECT DESCRIPTION AND OBSERVATIONS OF IMPROVEMENTS General Structures Electrical Systems Pavement and Parking Areas Drainage Painting Irrigation/Landscaping 4.0 CONDITIONS OF REPORT 5.0 CLOSING ATTACHMENTS FIGURE 1: SITE VICINITY AERIAL FIGURE 2: SITE AERIAL TABLE 1: SITE PHOTOGRAPHS TABLE 2: COMMON ELEMENT SUMMARY Page 2 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 1.0 EXECUTIVE SUMMARY Forge Engineering, Inc. (FORGE) has conducted a development turnover survey of the subject property s common elements. Our services include providing a written report that identifies the status of common area elements of the property, the estimated useful life of each element, and the estimated replacement cost for those common elements. The common elements of this Association were not specified; however, we have included elements typical to similar developments to which we have provided similar services. The common elements applicable to this Association are: Structures, Electrical Systems, Pavement and Parking Areas, Drainage, Painting, and Irrigation/Landscaping, FORGE personnel completed physical observations of the subject property on February 26, and 30, and March 19, 2015. Observations of the common elements listed above were made from inspecting the site from the ground level. Our services did not include uncovering ground or building materials, or performing invasive testing for the purposes of verifying in-place or constructed work. Figure 1 in the Appendix depicts the location of the site in relation to its surroundings, while Figure 2 shows an aerial view of the property. Table 1 in the Appendix contains general site photographs along with pictures of various common elements. Table 2 summarizes our findings regarding current required maintenance costs, useful life, and element replacement costs. The following table is a summary of the current condition of each of the common elements included in this report along with our opinions of costs required to repair defective conditions. The Villas of Tradition Homeowners Association is part of the Grey Oaks Development. Development infrastructure, which began construction circa 2008. The subject development contains several elements of which the HOA will be responsible for maintenance, and the developer is in the process of turning over these elements to the HOA. These elements include approximately 3,100 linear feet of brick paver roadways, valley gutters, sidewalks, and other street hardware. There is also irrigation/landscaping system and concrete wall fencing along the north and south ends of the property. Page 3 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 The following aerial photo depicts our understanding of the project area (shaded in yellow). Image from Collier County Property Appraiser Page 4 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 VILLAS OF TRADITION TURNOVER SUMMARY COMMON ELEMENT CURRENT CONDITION CURRENT MAINTENANCE/REPAIR COSTS Structures Fair $12,500 Electrical Systems Fair to Good $1,600 Pavement Poor to Fair $37,500 Drainage Fair to Good $14,450 Painting Poor to Fair $8,000 Irrigation/Landscaping Fair to Good $1,300 REQUIRED MAINTENANCE COSTS TOTAL $75,450 Poor = an item is failing and in need of immediate repairs, Fair = an item requires repair in the near future, Good = an item has been adequately maintained and only routine maintenance is required. **The table does not include items that were considered normal routine maintenance items. Page 5 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 2.0 SCOPE OF SERVICES FORGE has conducted this inspection in general accordance with the scope and limitations of FORGE s proposal number 2907-001.01P dated February 20, 2015 and authorized by Frederick W. London on the same day. Please be advised the scope of our field observations included only a visual examination of property components. It did not include uncovering ground or building materials, or performing invasive testing. It is not possible for FORGE to identify discrepancies, which are likely to occur within concealed spaces. No materials testing or field/equipment testing was performed by this office unless specifically authorized and detailed herein. 3.0 PROJECT DESCRIPTION AND OBSERVATIONS OF IMPROVEMENTS General The VILLAS OF TRADITIONS AT GREY OAKS HOMEOWNER ASSOCIATION is a single-family residential community located north of Golden Gate Parkway and East of Airport-Pulling Road within the Grey Oaks Development in Naples, Collier County, Florida. The property is accessed through Halstatt Drive located on the north side of the development and is comprised of 62 private lots, of which; approximately four are currently under construction. The development has been under construction since circa 2008 and received its first Certificate of Occupancy circa 2010. The Villas of Traditions development contains approximately 3,100 linear feet of concrete paver roadways, paver and concrete sidewalks, drainage features, road signage, monument signs located near the development entrance, metal fencing, pre-cast concrete walls, landscaped areas with irrigation, site lighting, and other components that are included in the scope of this study. Structures Two entrance features (monuments) are located at the north end of Residence Circle near the Villas of Traditions entrance. These monuments appeared to be painted concrete masonry unit (CMU) block covered with a coated cementious exterior finish supported on shallow footings. Villas of Traditions is also responsible for street signage along Traditions Court, Aberdeen Court, and Residence Circle, limited metal fencing located on the north side of the property, as well as maintaining the interior faces of approximately 1,250 linear feet of pre-cast concrete walls that are Page 6 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 located on the north and south ends of the property. In general, this element was observed to be in fair condition. The following item(s) were noted for repair: The perimeter pre-cast concrete wall was observed to be cracked and/or damaged and requires approximately 15 cubic feet of concrete repair, (we understand that wall repair is a development responsibility however painting damaged elements without repair is not advisable.) Metal fencing along the northwest side of the property was noted to have areas of corroding metal, Several hairline cracks were noted on monument signs and decorative columns near the entrance of the development, A street sign was observed to be tilted near the north end of Traditions Court and should be corrected, A monument sign near the entrance of the development was observed to have a partially exposed footing, Electrical Systems Four monument light fixtures, numerous light sconces, lampposts, one exterior electrical outlet in the center island of Traditions Court are the main electrical components located at the subject site. Light sconces and mechanically attached monument light fixtures illuminate the monuments and landscaping at night. The development also has lampposts around the roadways that illuminate the property at night and appear to be in good condition. In general, these items were observed to be in fair to good condition. The following item(s) were noted for repair: The light fixtures attached to the monument signs were observed to be corroding and worn, The exterior electrical outlet located in the center island of Traditions Court is exposed and should be protected with proper covering, Page 7 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 Pavement and Parking Areas The roadways and sidewalks within the development are comprised of interlocking concrete pavers. According to development plans, the roadway pavers are supported on a 12-inch stabilized subgrade, topped with an 8-inch limerock base, and 1-inch of compacted sand. The roadway edges are comprised of either a 24-inch concrete valley gutter or concrete curbing that extending along both sides of the development roadways. Stop signage and stripping were present throughout the development. The pavement at the subject site was observed to be in poor to fair condition. The following item(s) were noted for repair: Cracked, damaged, or stained sections of curbing were noted in approximately 27 locations along the roadside edges throughout the development. Curbs should be repaired or replaced as required. Approximately 1,500 square feet of spalled, cracked, stained, damaged, or settled concrete paver roadways and approximately 55 linear feet of stained or settled sidewalk sections were observed throughout the development. Stained pavers should be cleaned or replaced as needed. Damaged pavers should be replaced. Paver settlement was observed at the following locations and should be corrected: o Around irrigation pipe in roadway at intersection of Traditions Court and Residence Circle, o Around manholes 16-20 and 22 along Residence Circle, o Small area of pavers on sidewalk edge located on southeast side of roundabout near the Traditions entrance, o Small area of pavers located on north side of along Aberdeen Court, Exposed rebar was identified in the concrete parking stop curb located at the parking lot near the entrance of the development, Drainage Systems Development site drainage is accomplished through a connecting series of intergraded concrete curb and gutters, valley gutters, retention ponds, and off site connections. Lot drainage is accomplished by roof gutters directing water to downspouts that extend vertically to the ground level and deposit water onto the driveways, yards, or into underground pipes connected to storm sewers. Runoff is directed towards the roadways or into surrounding lakes located at the subject Page 8 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 site. Once on the roadway, the runoff is directed to valley gutters and that empties into the onsite lakes or into the Grey Oaks master stormwater management system. This element was observed in fair to good condition. The following item(s) were noted for repair: Approximately eight drains throughout the development were observed to be clogged with debris or installed at an improper elevation. The clogged drains should be cleared of debris and cleaned while drain elevations should be corrected, Two manhole covers were observed to be corroding on the south side of the subject site, Several areas of washout were noted along the bank of the lake located on the east side of the development. (We understand that the lake banks are the developments responsibility, however the erosion is extending onto Villas property.) Painting Components requiring paint at the Villas of Traditions development include the interior faces of the perimeter pre-cast concrete walls and monument signs and columns located near the entrance of the development. In general, this item was observed to be in poor to fair condition. The following item(s) were noted for repair: The perimeter pre-cast concrete walls were observed to be stained in numerous areas and are in need of approximately 7,000 square feet of cleaning and painting, Monument signs are stained and have cracks in several areas and are in need of cleaning, patching, and painting, Irrigation/Landscaping Systems Irrigation water is provided to the site via a 4-inch PVC pipe connected to the Grey Oaks CDD metered mainline. The site main irrigation lines are fed via a 3- or 4-inch loop line. Pop-up and stationary spray heads distribute water to the plantings and grass areas throughout the development. Outside vendors perform routine maintenance for the landscaping and irrigation systems. The irrigation system appeared to be in fair to good condition at the time of our site visit and landscaping was observed to be in fair to good condition. The following item(s) were noted for repair: Dozens of stationary sprinklers were observed to be damaged and require repair, Page 9 of 10

Report of Turnover Survey FORGE Project No. 2907-001.01 Villas of Traditions at Grey Oaks Homeowners Association March 28, 2015 Approximately eight irrigation boxes throughout the development were observed to be broken or damaged and should be repaired or replaced, 4.0 CONDITION OF REPORT Due to the observational scope of our services, it may be possible that some repairs have not been identified herein. Costs provided herein are opinions only and are based on our experience with similar projects. Unless stated otherwise, no contractors have provided pricing. Depending upon specific products, actual costs will vary from our estimates. Our services did not include physical assessments for the presence of asbestos, lead paint, pesticides, herbicides, urea-formaldehyde foam insulation, tainted (Chinese) drywall, air quality, molds, or radon. Unless noted herein, the site was not assessed for compliance with State and federal environmental laws or specific building codes. No laboratory analyses were performed on any building materials, soil, surface water, or any other substance as part of this assessment other than those that may be specified in the report. FORGE is not responsible for any independent conclusions, opinions, or recommendations made by others based on the information presented in this report. 5.0 CLOSING Opinions of costs have been provided for each recommendation, and are based on our experience with projects of a similar type, known construction industry averages, or historical cost data. Opinions of cost information are inclusive of labor, material, design fees, appropriate overhead, general conditions, and profit. It is exclusive of any contingencies and local taxes that may be assessed on this project, and it is assumed that outside contractors will perform remedial work. We have not attempted to identify items of routine repair and maintenance such as sprinkler head replacement, lighting repairs, etc. We trust the information contained herein is suitable for your needs and appreciate the opportunity to have been of service to you. Please contact us if you have any questions concerning this report. Page 10 of 10

ATTACHMENTS

FIGURE 1 SITE VICINITY AERIAL VILLAS OF TRADITION AT GREY OAKS Image from Google Earth REPORT OF TURNOVER SURVEY VILLAS OF TRADITIONS AT GREY OAKS Grey Oaks Development Naples, Collier County, Florida Forge Engineering Project Number 2907-001.01

FIGURE 2 SITE AERIAL Image from Google Earth REPORT OF TURNOVER SURVEY VILLAS OF TRADITIONS AT GREY OAKS Grey Oaks Development Naples, Collier County, Florida Forge Engineering Project Number 2907-001.01

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 1: View of main entrance monument sign. Photo 2: General view of concrete brick paver roads and valley gutter system. Page 1 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 3: View of stained area on south perimeter wall. Photo 4: View of damaged section of perimeter wall cap. Page 2 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 5: View of cracked monument column and discolored paint. Photo 6: View of exposed monument footing. Page 3 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 7: View of corroding metal fencing located on north edge of property. Photo 8: View of tilted signage at north end of Traditions Court. Page 4 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 9: View of typical worn monument light fixture. Photo 10: View of uncovered electrical outlet located on center island of Traditions Court. Page 5 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 11: View of typical staining observed on concrete brick pavers. Photo 12: View of paver settlement around a manhole along Residence Circle. Page 6 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 13: View of paver settlement near irrigation pipe at the intersection of Traditions Court and Residence Circle. Photo 14: View of typical cracked pavers observed. Page 7 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 15: View of damaged concrete curb section. Photo 16: View of typical concrete curb staining observed. Page 8 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 17: View of stained sidewalk pavers located on the southeast corner of the property. Photo 18: View of exposed rebar in concrete parking stop located in the north parking lot. Page 9 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 19: View of typical valley gutter drain and damaged brick pavers. Photo 20: View of blocked drain located near the entrance of Residence Circle. Page 10 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 21: View of corroding metal manhole caps located on the south side of the subject site. Photo 22: View of soil washout observed along the lake bank on the east side of the property. Page 11 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 23: View of irrigation mains and equipment. Photo 24: View of irrigation equipment. Page 12 of 13

FORGE Project No.2907-001.01 March 2015 TABLE 1 - SITE PHOTOGRAPHS VILLAS OF TRADITION AT GREY OAKS Photo 25: View of typical damaged sprinkler head. Photo 26: View of typical damaged irrigation box cap. Page 13 of 13

March 2015 1 of 1 Forge Engineering Project No. 2907-001.01 ELEMENT TABLE 1 - COMMON ELEMENT SUMMARY VILLAS OF TRADITIONS AT GREY OAKS Buildings Total: 62 Amenity Buildings: 0 Required Maintenance Costs STRUCTURE $12,500 Repair Perimeter Concrete Walls $8,000 Repair Monument Concrete $500 Repair Corroding Metal Fence $3,000 Repair Exposed Monument Footing $1,000 ELECTRICAL SYSTEMS $1,600 Replace Corroding Monument Light Fixtures $1,600 PAVEMENT AND PARKING SYSTEMS $37,500 Repair Cracked, Chipped, Stained, and Settled Roadway Pavers $23,000 Repair Cracked, Chipped, Stained, and Settled Sidewalk Pavers $2,500 Repair Cracked, Chipped, and Stained Valley Gutters $12,000 DRAINAGE $14,550 Replace Two Manhole Covers $750 Repair Lake Bank Erosion $12,500 Clean Clogged Drains and Correct Drain Elevations $1,300 PAINTING $8,000 Recoat Approximately 7,000 Square Feet of Perimeter Wall Surface $7,000 Recoat Monument Signs and Columns $1,000 IRRIGATION $1,300 Repair Irrigation Boxes and Sprinkler Heads $1,300 Total Units: Building CO'd: Typical Useful Life (years) Estimated Remaining Useful Life (years) 20 13 Estimated Replacement Cost ELEMENT TOTAL $75,450 $1,229,000 Estimated Useful Life assumes that all maintenance is done correctly and in a timely manner. Estimated Replacement Costs are current and not adjusted for future dollars. 25 18 $95,000 40 7 62 2010-2015 30 23 $75,000 33 $651,000 $350,000 0 $8,000 20 13 $50,000