Equity Overview: 233-39 N 23rd St UNIT 2 Philadelphia, PA 19103

CASH PURCHASE 5% IO REFI - 98% CASH BACK

Construction Overview Estimates:

Square Footage Est. 2,600 [4th Story Entertainment Suite]

No. of Bedrooms: 4 [3rd Story ROOF DECK Great Views]

No. of Bathrooms: 4.5 [2 Car Garaged Parking!!!]

Finished Basement: Yes [2nd Floor Deck]

New HVAC CAC: Yes [3160 Useable Square Footage]

New Water Service: Yes

New Gas Service: Yes

New Electric Service: Yes

Financial Summary Estimates:

Land Purchase Price $466,667

New Construction $867,806

Closing & Initial Project Mngt $ 10,000

Total Cost Amount $1,344,473

After Built Value (ABV/ARV): $2,029,000

ASAP Built In Equity Profit $684,527

+ Fee Deposit Required $11,900

$22,460 /$37,523 Cash Left In = Equity & Cash to Cash Return = 59.9%

BEFORE $684,527 CASH OUT BONUS at RE- SALE! $710,150 Total Equity In Property for Cash Out

($6,860 per year estimated positive cash flow + $15,600 annual pay down of your mortgage = $22,460 annual economic benefit from rents)

1 Year Retainer to Built-In Equity Return 5,752% CASH REQUIRED: $11,900 Retainer + $0 C-loan payments + $714,168 for CLOSING with 9 Draws = $1,356, 373 with $1,318,850 returned at Refinance! Only $37,523 Stays in! Notes: Homeowners Insurance of about $1,000 will be billed to you by Downie Insurance to insure your home during Construction. Construction sizes, lay outs, and total financial returns are realistic estimates but vary as detailed in your disclosure contract. All Government Licensing, Taxes, & Homeowners Association/Maintenance Fees due to legally own, maintain, or rent your property are Owner responsibilities. Estimates are involved in this project and it can typically vary 2% - 3% - see your disclosures signed for full variable details. Any deposit on the property made by NRIA on your behalf will be refunded on the settlement statement to NRIA at closing. Financing when qualified will be obtained for you, but after underwriting, if you cancel the financing & switch to paying by cash, there will be a $400 financing cancelation fee on your closing settlement statement from the title company.

_____________________________________ Client SIGNATURE of RECEIPT

Date Created 2/20/2015

AnnualGrowth

Property Info SummaryPurchase Price Loan AmountConstructionClosing CostsTotal PurchaseAppraised Value 2.00%Built-in EquityDown PaymentAnnual Taxes 0.00% Closing CostsAnnual Insurance 0.00%Property Mngt Fee Total Initial Investment

Loan Info Fully Indexed RateMortgage TypeMortgage TermInterest Rate Loan to Value % Asap 120-180 Cash OutClosing Cost as % 65.00%

1,318,850$ -$ Equity Remaining

% Equity Remaining 35.00%

Annual Other Info Growth

Rents 3.00%

Year 1 Year 2 Year 3 Year 4 Year 5 TotalMonthly Revenue (Income)

Monthly Rent Revenue $6,500 $6,695 $6,896 $7,103 $7,316Monthly CD Revenue $0 $0 $0 $0 $0

Annual CD Revenue $0 $0 $0 $0 $0 $0Annual Rent Revenue $78,000 $80,340 $82,750 $85,233 $87,790 $414,113Total Annual Revenue $78,000 $80,340 $82,750 $85,233 $87,790 $414,113

Monthly Expenses

First Mortgage Payment $5,495 $5,495 $5,495 $5,495 $5,495Second Mortgage Payment $0 $0 $0 $0 $0

Property Taxes $325 $325 $325 $325 $325

Property Insurance $58 $58 $58 $58 $58

Property Mngt Fee $50 $50 $50 $50 $50

Total Monthly Expenses $5,928 $5,928 $5,928 $5,928 $5,928

Annual Expenses $71,140 $71,140 $71,140 $71,140 $71,140 $355,700

Net Annual Income/Loss $6,860 $9,200 $11,610 $14,093 $16,650 $58,413

Deduct: Annual Depreciation $48,890 $48,890 $48,890 $48,890 $48,890

Taxable Gain or Loss ($42,030) ($39,690) ($37,280) ($34,797) ($32,240)

Economic Impact

Net Annual Rent Income/Loss $6,860 $9,200 $11,610 $14,093 $16,650 $58,413

Year-end Property Value $2,069,580 $2,110,972 $2,153,191 $2,196,255 $2,240,180

Annual Increase to Prop Value $40,580 $41,392 $42,219 $43,064 $43,925 $211,180

less: Total Deferred Interest $0 $0 $0 $0 $0 $0

Tax Rateadd: Tax Benefit 36% $15,131 $14,288 $13,421 $12,527 $11,606 $66,973

Equity Remaining $930,312

Net Economic Gain $1,266,878

5 Year Economic Benefit

Return on initial $11,900 Investment

Second Mort Int Rate 6.000%6%7%First Mort %

Second Mort %

$32,870$3,900$700

$0$684,527

$1,344,473

$867,806$10,000

Realty Wealth Rental Portfolio Business Plan

$1,266,878

1.62%

$466,667

Amount

$11,900$50

Full Cash Out Flex Percentage85%

10646%

Assumptions

30

$2,029,000

$6,500.00

$301,500

5.250%

0.000%

$0

$710,150

Note: Actual results will vary based upon bank margin, realty appreciation, index interest rates, and actual investment rates. Past performance is not a guarantee of future results. See your disclosure documents reviewed and closing documents for loan details. See your tax and investment advisors for actual tax savings and investment review. This illustration does not include tax, investment, or legal advice. For concept illustration purposes only.

615South2ndStreet www.paxmanagement.com Phone:2675192819Philadelphia,PA19147 Fax:2675192820

5YearGuaranteedBreakEvenonExpensesRentAgreement

ThisisanagreementbetweenPremierAccessPropertyManagement,Inc.,615S2ndSt,Philadelphia,PA19147(hereinreferredtoasPropertyManager)and______________________________________(hereinreferredtoasOwner),madeanddated__________________astotheGuaranteedBreakEvenRentalonGAAPExpenseswithin60DaysofrefinanceofthePropertyLocatedat:23339N23rdStUnit2,Philadelphia,PA19103.This5YearGuaranteedRentsAgreementrelatestotheaboveproperty.ThisAgreementofaGuaranteeofBreakEvenonGAAPExpensesRentalbecomeseffectivewhenexecutedbybothpartiesbelowandallconditionshereinaremet.ThePropertyManagerherebyagreestoGuaranteethatatenantshalloccupyandrentthepropertyforaFIVE(5)yearperiodstarting90daysaftertheRefinancedate(thewaitingperiod)andallConstructionloansarepaidoff(thefinishingdate)duetothesizeofthiscomplex.SaidbreakevenrentalguaranteeshallbeataMinimumRentalRate:aguaranteedamountintotalof$5000monthlyherebydefinedasagrandtotalofgrosstenantrentscollectedplusasupplementifrequiredtobepaidbyPremierAccessPropertyManagement,Inc.unlessotherwiseprovidedforherein.IfthegrossrentobtainedfromthetenantislessthanthedefinedMinimumRentalRatewrittenherein,thePropertyManagerherebyagreestopaythedifferencebetweentherentcollectedandtheMinimumRentalRate,asdefinedbelowandafterthewaitingperiod.Oncerented,ifthepropertybecomesvacant,forlongerthanany90dayperiodduringthetermofthisagreementthePropertyManagershallpaythedifferencebetweenzerorentandtheMinimumRentalRateasdefinedbelowuntilatenantisreturnedtothepropertyatwhichtimethePMwillreverttopayingtheincrementaldifferenceforthemonthinvolved(ifanyisrequiredasdefinedbelow)orthefullrentreceivedfromthetenantwhicheverisgreater,exceptasotherwiseprovidedforherein.Onceatenantisreturnedtothepropertyanew90daydeductibleperiodforanynewvacancyisrestoredtothepropertyaswell.Thetermofthisagreementisforfiveyearsfromthefinalconstructionloanpayoffandrefinancedateoftheproperty.ItisunderstoodtheMinimumRentalRate,shallneverexceedthetotaloftheinterestonlyportionofyourpaymentona30yearor25yearfixedratefirstmortgagenotedueonthepropertyduringthetermintheamountyourefinance(includingjumboloanamounts),plusthestartingfirstyearexpensesfor:basepropertytax,homeownersbasicinsurance,andyourPremierpropertymanagementfee.RentGuaranteesarepaidmonthlyatmonthendasdueandmustberequestedbytheOwnerwithacopyofthelatestrefinanced30yearfirstmortgagestatementshowingacurrentgoodstandingstatusalongwiththeinsuranceandpropertytaxbillsabovestated.Onpropertiesbuiltwithoutfinancing,afterthewaitingperiod,a60dayperiodfromfinalNRIAinspectionfinishingwillbecalculatedasthenormalhypotheticaldelayperiodtorefinanceandanamountfora30yearor25yearfixedratefirstmortgagenotecalculatedonthepropertyuptotheamountofthecashpricepaidforthepropertyonyourpurchaseHUD.Three(3)interestrateswillbeaveragedfromtherefinanceHUDsofotherpropertiesrefinancedinthecomplextodeterminetherate

615South2ndStreet www.paxmanagement.com Phone:2675192819Philadelphia,PA19147 Fax:2675192820

fortheguarantee.ThisagreementshallbecomenullandvoidandterminatedwithoutliabilitybetweenthepartiesheretoifOwner:(1)isinbreachofanyBank,Builder,PropertyManagement,RefinancedFirstMortgageNoteorNationalRealtyInvestmentAdvisors(NRIA)agreements;(2)failstoobtainorpayfortherequiredpermitsandlicensesrequiredtolawfullybeaLandlordormaintainthehousewithPremieresrequired3monthand9monthInspectionHomeMaintenanceProcess;(3)failstorefinanceandpayofftheconstructionloanonthepropertywithin60daysoffinishing.4)failstocomplywithrequestsbythePropertyManagertorentthepropertytoausualandcustomarycreditworthytenantthatinthePropertyManagerssoleandexclusivedecisionprocessisthebesttenant(includingwithpets)atthebestpossiblerentatthetime;5)revokestheappointmentofNRIAunderthePowerofAttorneytomanagetheprojectatanytime;6)IfNRIAsrecommendedPropertyManager:PremierAccessPropertyManagement,Inc.isnotusedbytheownerforbothmanagingandsellingtheproperty;7)IfOwnerliststhispropertyforsalewithin5yearsofthedateoftheconstructionrefinanceunlesslistedwithPremierAccess.IfanattachedornearbypropertyissubstantiallydamagedthataffectstherentaloftheOwnersproperty,thisrentguaranteeissuspendeduntilsuchnearbypropertyiscured/repairedandacertificateofoccupancyisreinstatedatthenearbyproperty[Note:inthiscaseyourrentispaidbyyourinsurancesrentlosscoverage].ThisRentGuaranteedoesnotcoveroffsetstorentsmadebytenantsforanyreasonorcausebeingaddressedorworkedonbythePropertyManagernordoesitcoverorguaranteeprincipalorprofits.WhenyousellyourpropertyyouagreetolistyourPropertyforsalefor1yearwithPremierAccessatstandardRealtorslistingfeesinexchangeandconsiderationofthetermsofthisdocument.EstimatedRentalRatepermonth:$5000AgreedtobyPremierAccess: AgreedtobyOwner:__________________________ X____________________________PremierAccessAuthorizedSignature OwnerSignatureTitle:__________Name__________ OwnerName:___________________

On Time - Fast Build Guarantee Addendum to the

FIXED PRICE NEW CONSTRUCTION CONTRACT DATED: ____ _

. For Construction Renovation at the following property address while managed by National Realty & Investment Advisors, LLC (NRIA): 233-39 N 23 rd St Unit 2, Philadelphia, PA 19103 .This addendum hereby supplements, modifies, amends and is made part of the "FIXED PRICE RENOV A TIONINEW CONSTRUCTION CONTRACT" ("Contract") dated =_--::--_____ -" between "Owner": and "Contractor":

----------------

The Contract is hereby amended to include the Contractor's:

X "10 Full Payment Maximum - Fast Build Guarantee" for 100% New Construction from Raw Land for 5 unit and below sites, "IS Full Payments Maximum" for 6 unit and above sites.

and Owner is hereby guaranteed to make only the maximum "out of pocket" full month construction loan payments above from their cash on hand after the closing of the property (partial months accrued closing interest not included). If a subsequent out of pocket full month payment is required by the lender from the Owner after the payments above, the Contractor shall pay a daily penalty late fee to the Owner of $80 until the date of construction finishing which shall be defined as the final appraisal date or final NRIA finishing inspection date whichever is earlier. No penalties shall be paid by the Contactor under any condition for any days past the final finishing date or for any periods affected by public calamity, civil unrest, acts of terrorism, Acts of God, Sundays or National Holidays, excessive inclement weather as defined by American Industry of Architects standards,

,criminal theft of materials that delay or originally issued permits being stayed. After the finishing date, the Contractor shall then immediately cause all Occupancy Permits to be issued and "punch-down" tenant move in final detail lists to occur just prior to tenanting. It is agreed and understood it is the Owners responsibility to then immediately refinance their property within 30 days of said finishing and pay off their construction loan and remain in compliance with all loan and NRIA agreements signed. Any builder Fast Build Guarantee late fees - if any - shall be paid only after the refinance and payoff of all construction loans, receipt of contractors final draws due, and full compliance with the terms of all NRIA agreements. Any penalties due hereunder are paid by the Contractor on or before the 150'" day after Contractor final draws are received or your refinance date.

The above Guarantees are subject to and completely contingent upon the following required terms and conditions remaining in force at all times, and receipt of all banking draws on work completed:

1) Owner and Lender are not in default of any Construction Loan on the above property and said loan has been paid off. This addendum is void ifthe Construction Loan is not paid off within 60 days of home finishing as defined above.

2) Owner and Lender are not in default ofthe Fixed Price Renovation/New Construction Contract. Owner is not in default of any term or condition of the NRIA Project Management Agreement or NRIA Disclosures & Acknowledgements Agreement. Owner has maintained NRIA under Full Power of Attorney to Manage the Refinance and Project Pay Offs.

3) Owner and Lender are not in default of any Escrow Agreement or late or in default of any payments due, including final draw payments due to the Contractor. All authorizations for inspections are authorized and on hand at the NRIA Project Manager's Office with a Power of Attorney mutually agreed to in force by the Owner and Project Manager so that the NRIA Project Manager may timely respond to Contractor's requests for inspection audits and release of draws once work inspections are passed.

4) Owner has closed on said property address above and has made the applicable eight (8) or ten (10) "out of pocket" full construction mortgage payments referenced above on time to the Construction Lender from their cash on hand reserves.

5) Owner has not had a material reduction in their FICO Credit Score during the building period, any late mortgage payments on any mortgage, a substantial diminishment of their cash reserves, or an material increase in their debt to income ratio that in any way will cause them not to timely refinance the property and payoff their construction loan.

Agreed to and Accepted by Owner:

Signature X. _______ _ Printed Name ______ __ Date, ___ _

Agreed to and Accepted by Contractor:

Signature Printed Name _______ _ Date

FIXED PRICE 100% NEW CONSTRUCTION CONTRACT

This agreement made this ~~ day of 20-, by and between _-c-_____________________ ,herein referred to as "Owner or Landowner", and , a Corporation herein referred to as "Contractor or Builder". Construction shall commence no later than five days after closing of the property and issuance of permits. Scope of Work construction budget and detailed fixed "100% New Construction Breakdown Form" of work to be performed is, attached hereto as "Exhibit A", and is hereby made part of this contract. Owner and contractor in consideration ofthe mutual covenants hereinafter set forth agree as follows:

SECTION ONE: STRUCTURE, SITE & ON TIME BUILDER's GUARANTEE

Contractor shall furnish all material, labor, and equipment necessary for the renovation rehabilitation and modernization of the residence and be responsible for hiring and paying all sub-contractors and material used on the job at the property location: 233-39 N 23 rd St Unit 2. Philadelphia. P A 19103 which location Owner warrants he/she owns or will own at the time of work commencement, free and clear of liens that would inhibit Owner's ability to pay contractor.

BUILDER'S "ON TIME GUARANTEE" & FAST BUILD GUARANTEE: said work detailed herein must be completed no later than the due date specified in the Fast Build Guarantee Addendum annexed hereto and a part of this agreement. lfthe project is not completed by the required deadline therein, then a per day penalty shall be paid thereafter from the Contractor to the Owner under the terms specified in the "On Time Fast Bnild Gnarantee Addendnm" - which addendum's terms and conditions govern and control this guarantee section- until project completion and final finishing (see said addendum).

SECTION TWO: PLANS Approved & Project Management Prior to Closing

Contractor shall construct and build the structure in conformance with the plans, specifications, permits, and 100% New Construction Breakdown Form detail of construction costs and tasks to be provided and performed by the Contractor (attached hereto) as the accepted Draw Schedule of Payments to be made by or on behalf of Owner to Contractor for this engagement of work as completed. The 100% New Construction Draw Schedule when signed by Contractor and Owner is made part of and subject to the terms ofthis agreement. It is agreed that prior to closing Contractor shall Project Manage and Architectnrally Expedite and obtain all City Engineering, Geological, Architectural, Zoning, Site Plans, Bnilding Permits and Approvals reqnired as City stamped and approved before closing at Contractor's cost to be reimbnrsed at real estate and constrnction loan/purchase closing. Closing will not take place without zoning permits and project management contracted. All work shall be performed in a professional and workmanlike manner according to all industry, city, state, and federal construction guidelines and codes. Contractor shall have discretionary authority to make changes and modifications on site at the point of construction to plans, layouts, room designs, materials, and square footages up to 5% that in tbe Contractor's sole and exclusive opinion best meet the bank appraisal requirements of the job and maximize the equity value projected for the Owner or that are required by local zoning requirements and contingencies. It is understood and agreed by the Owner the actual measurements on the job site, may require the Contractor to use their discretionary authority herein to revise the layouts, and plans drawn by the architect without new plans being redrawn - as permitted by the City inspector on site. Contractor is responsible for furnishing all improvements to the main structure and land as detailed in the plans such as landscaping, grading, walkways, outside door painting, sewer or water systems, steps, driveways, patios and aprons, etc., as specifically stated in the 100% New Construction Breakdown Form. Contractor agrees and is responsible to with all diligence, reasonableness and in all good faith, to charge only the fixed cost of construction payment amount below which is a firm cost of the total new construction build for the plans and specifications herein on the above listed property

and Contractor agrees it is not to exceed that dollar amount in aggregate except with prior written permission signed by the Owner.

SECTION THREE: FIXED PRICING & PAYMENT

Owner shall pay contractor the FIXED PRlCE SUM of Eight Hundred Sixty Seven Thousand Eight Hundred Six Dollars ($867,806) in installments as set forth herein and broken down in the property draw "Schedule of Draws Contractor Break Out of Fixed Budget" addendum to this construction agreement signed by Owner and Contractor. It is agreed that all payments hereunder are subject to the terms and conditions of the escrow agreement of the Lender and that no amount will be paid until that portion of work is completed and certified as finished by the Lender inspections or if a cash paid method of finance by Owner, 2 draws at all times in advance of any work performed as is provided in the applicable cash draw schedule. It is agreed and understood that 10% of the New Coustructiou Breakdown Form Fixed Price Sum of coutracting budget shall be disbursed at the time of property purchase and closing (from the loan proceeds/escrow) for architectural, project management, aud expeditiug the build out wheu all permits aud drawings are provided. It is uuderstood and agreed that this advauce outlay aud cost is escrowed aud paid by the fiuance company to expedite the immediate excavation and lot clearing of the job directly after c1osiug, speed the build out aud finishing of the property, aud hire professioual Project Management Audit and Control Services over the coutractor's progress aud quality of work performed throughout the build. In the event any installment in the 100% New Construction Draw Breakdown contract schedule is not paid directly after work is performed, including the final draw or retainage due, contractor may stop work until payment is made unless such non-payment is the result of the actions or inactions of the Contractor. In the event any installment is not paid within five (5) days after it is due, contractor may take such action as may be necessary, including legal proceedings, filing of mechanics liens, and declaring the contract in default, and any related agreements in default and void. If contractor in fact is ever over advanced draws prior to the equivalent percentage of work being completed, than either such overdrawn amount shall be repaid by CONTRACTOR within 48 hours of Owners written demand or such work as deficient shall be immediately completed and performed within 21 business days of said demand, and no further draws of the escrow shall be made until this work is accomplished. If the bank does not pay for its site inspections, client shall pay for same.

SECTION FOUR: PREPARATION

During construction, Owner shall provide access to the property lot identified herein with free and clear title ownership to their building lot. Contractor shall correctly confirm and obtain zoning approval with the Project Manager for the structure anticipated, identify, and stake the property boundaries of owner's property by stakes at all comers and within the excavation as well as City Approved. Contractor shall maintain such stakes - if required - in proper position throughout construction. Contractor is also responsible to obtain all necessary zoning and building permits on owner's behalf in order to work within all legal requirements, building codes, and ordinances of the local and State authorities and a s supervised by the Project Manager.

SECTION FIVE: UTILITIES

During construction, on Owner's behalf, Contractor shall activate water, gas, and electrical usage meters and usage services, including 200 amp power to the site at and under Owner's expense and credit line billed to Owner by the given utility for usage and meter set up. Subject to the terms of this Fixed Price Construction Agreement - as detailed in the 100% New Construction Breakdown Form and herein - Contractor shall connect permanent electrical service, gas service or oil service, whichever is

applicable, and water service and lines to the structure upon acceptable inspection and locale approval prior to wall sealing, insulating, and covering and according to local code. Contractor shall, at Contractor expense, connect and bring in sewage disposal and water lines into the structure as well.

SECTION SIX: WARRANTIES

Contractor will be responsible for all claims arising out of improper placement or positioning of boundary stakes or house stakes. Contractor shall inspect and identity any and all potential and existing Environmental Protection issues on the property and include any such issues to be resolved in this construction fixed cost contract for removal and/repair or remediation. If an EPA issue is discovered after construction has commenced taking the project outside of acceptable codes and laws, and said issue is not noted on the scope of work construction budget, than the Contractor will be fully responsible and liable for removal and/or repair of such issues at Contractors own expense. Contractor will be responsible to Owner and its Homeowners Association for all damages to persons or property caused or precipitated by Contractor or his agents, employees, sub-contractors, or third parties, excepting acts of God or other causes beyond Contractor's control. All new systems and constrnction installed or built by Contractor shall be warranted for one year after final appraisal, including Plumbing, Electric, HVAC, CAC and Roofs under the Contractors separate Limited Warrantee Agreement. Roofs iuclude a total 10 year warrautee from roofiug sub-contractor. Appliances shall also be warranted under their respective 1 YEAR manufacturer's warrantees. Structural components shall be warranted by the Contractor one additional year for a total of 2 years under the Contractors Limited Warrantee Agreement. All warrantees are subject to proper home maintenauce being performed annually.

Contractor shall not be responsible for damages to persons or property caused by Owner or his agents including property managers and tenants, third parties, acts of God or other causes beyond Contractor's control. Owner may not visit property during construction without Contractor pre-approval and escort being present due to insurance requirements. Contractor shall not in any case or situation have liability or responsibility to the Owner for loss of rents, loss of tenants, loss of profits or the like of any nature whether due to delay, or repairs, or warrantees or any other cause or alleged cause. Owner shall save and hold Contractor harmless from, and shall indemnity Contractor for, all costs, damages, losses, and expenses, including judgments and attorneys fees, resulting from claims arising from causes enumerated in this paragraph. Owner will procure at Owners Expense and before the commencement of any work hereunder, builders risk, fire insurance and other hazard and liability insurance with course of construction, vandalism and malicious mischief clauses attached naming the Bank and Contractor as additional insured's in such amounts as warranted to protect the interests of the parties hereto and the bank. Contractor shall in no case and under no conditions be responsible for loss of rents, tenants, profits from rents, equity valuation losses or alleged valuation losses or differences of any nature whatsoever-whether at appraisal or final sale - or for reasonable delays in the finalization of the property punch down list after final appraisal for the Owners possession of the premises or rental to a tenant. Contractor is also not responsible for any damages incurred due to basement water or flooding problems - other than to remedy same under its warrantee and to make consistent pro-active and continual efforts to resolve and stop any such problem during the warrantee period. Contractor and Contractor's representatives and subcontractors shall be duly licensed and shall maintain adequate insurance coverage for the scope of work under the terms of this Agreement including without limitation workers compensation coverage. Contractor shall indemnify and hold Owner and owner's agents and Homeowners Association harmless of and from any and all claims, demands, losses and damages of any kind arising from Workers Compensation claims, Mechanics Lien Claims, General Liability Claims, Property Damage Claims and Commercial Auto claims regarding the subject property. Contractor agrees to name Owner and its Homeowners Association as additional insured during this agreement. In the event of a default by Contractor, Owner shall retain any and all rights and remedies available to the Owner at law or in equity.

SECTION SEVEN: POSSESSION & TERMINATION

Owner shall not have possession ofthe structure until such time as all payments or other obligations required by them to the Contractor, as set forth in this agreement, have been fully paid. If possession of the structure is taken by the Owner before the above obligations are met, without the written consent of Contractor, it shall be considered as acceptance of the structure, by the Owner, as 100% completed and 100% satisfactory and there shall be no other obligations remaining between the parties except as written below. In such case, the Contractor shall have no additional recourse of any nature against the property or Owner excepting to be paid for all work performed and contracted for according to the 100% New Construction Breakdown Draw Contract attached hereto and hereby made part of this agreement. Excepting this final payment obligation, this agreement shall then be considered terminated and no further obligation shall exist between the parties excepting warranties. In order to induce Contractor to include the Fixed Price, One Year Warranty and Fast Build "On Time Guarantee" clauses and addendums to this Contract, Owner agrees this contract is non-cancelable by Owner and Contractor except by breach of contract by Contractor or written mutual agreement and release of the parties each to the other. Liquidated damages to the Contractor for breach of this provision are the total payment amount due herein.

SECTION EIGHT: INDEMNIFICA nON and Sub-Contractor Mechanics Liens

To the fullest extent permitted by law, the Contractor shall indemnify and hold harmless the Landowner and the Landowner's agent and employees from and against claims, damages, losses and expenses, including but not limited to attorneys' fees, arising out of or resulting from performance of the Work, provided that such claim, damage, loss or expense is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible property (other than the Work itself) including loss of use resulting therefrom, but only to the extent caused in whole or in part by negligent or intentional acts or omissions of the Contractor, the Contractor's subcontractor, anyone directly or indirectly employed by them or anyone for whose acts they may be liable, regardless of whether or not such claim, damage, loss or expense is caused in part by a party indemnified hereunder. Such obligation shall not be construed to negate, abridge, or reduce other rights or obligations of indemnity which would otherwise exist as to a party or person described in the Section. In claims against any person or entity indemnified under this Section by any employee of the Contractor, the Contractor's subcontractor, anyone directly or indirectly employed by them or anyone whose acts they may be liable, the indemnification obligation under this Section shall not be limited by a limitation on amount or type of damages, compensation or benefits payable by or for the Contractor or the Contractor's subcontractor under workers' or workmen's compensation acts, disability benefits acts or other employee benefit acts.

Contractor agrees to pay for all materials, equipment, labor and instrumentalities used in or in connection with the performance of this contract when and as bills or claims therefore become due and to save harmless and indemnify and protect the premises, Contactor and the Owner from and against any claims and mechanics liens on account thereof, and Contractor may retain monies for such indemnification.

SECTION NINE: GENERAL PROVISIONS

Owner agrees to promptly complete the necessary requirements to obtain financing and to take ownership of the site for to begin construction. There are no understandings or agreements between Contractor and Owner other than those set forth in this agreement and in the documents referred to in Sections Two and Three. No other statement, representation or promise has been made to induce either party to enter into this agreement. This agreement and the documents referred to in Sections Two and

three may not be modified or amended except by written agreement of the parties. In witness whereof, the parties have executed this agreement the day and year first written above. Neither party has any authority to bind the other in any way. This agreement constitutes the entire agreement between the parties relating to the subject matter hereof. Except as expressly provided herein, this agreement shall not be amended except by written agreement between the parties. No oral waiver, amendment or modification shall be effective under any circumstances. If any term, covenant or condition ofthis agreement shall for any reason be held unenforceable by a court of competent jurisdiction, the remainder of the agreement shall remain in full force and effect and shall in no way be affected or impaired. The representations and warranties herein shall survive termination or expiration of this agreement. This agreement shall be governed and constrned under the laws of the State where the property is located, including choice of law rules. Failure to maintain a valid NRIA Project Management Power of Attorney in force and on hand is a breach of this agreement and any "Fast Build Guarantee" addendum signed.

SECTION TEN: BINDING ARBITRA nON REQUIRED

Both parties agree that any dispute resulting from the construction of the property, regardless of when it arises or arose; will be resolved through means of binding arbitration administered by The American Arbitration Association (AAA), 230 S Broad St, Philadelphia, PA (215)732-5260. Any dispute of any nature regarding this agreement or the construction project performed or being performed hereunder shall be included in such arbitration. By signing this agreement this agreement affects important legal rights of both parties and both parties understand and agree that they are waiving their right to a jury trial, before ajudge in a public court. Furthermore, they agree they will not have the right to participate as a representative, or member of any class of claimants, pertaining to any dispute subject to the purchase of this property, or arbitration. The parties hereto agree that that they shall bear individually the costs of their arbitration representation. This will typically include up to $500 of AAA filing fees and any cost of expert witnesses, legal representation, and travel that may be incurred. The arbitrator shall use the application oflaw as its standard in rendering its decision.

SECTION ELEVEN: HIGH LEVEL LUXURY SPEC MATERIALS & WORKMANSHIP

Construction will include the Contractor's Standard Luxury Specifications as detailed below. Please note there may be additional construction changes, features, amenities, and elements added or modified to the property based upon the contractor's design expertise and builder's authorized discretion provided for herein in order to in good faith to meet the Scope of Work Requirements assumed by the Appraiser or your Project Manager. Complete New Construction, Excavation, New Basement, & Three Story Build Up will include the following Required Luxury Specifications:

CONTEMPORARY- NEW CONSTRUCTION CONDITIONAL RATINGS &. DEFINITION:

C1 The improvements feature no deferred maintenance, little or no physical depreciation, and require no repairs. Virtually all building components are new or have been recently repaired, refinished, or rehabilitated. All outdated components and finishes have been updated and/or replaced with components that meet current standards. Dwellings in this category either are almost new or have been recently completely renovated and are similar in condition to new construction.

QUALITY RATINGS &. DEFINITION: Q2 Dwellings with this quality rating are often custom designed for construction on an individual property owner's site. However, dwellings in this quality grade are also found in high-quality tract developments featuring residences constructed from individual plans or from highly modified or upgraded plans. The design features detailed, high-quality exterior ornamentation, high-quality interior refinements, and detail. The workmanship, materials, and finishes throughout the dweillng are generally of high or very high quality.

Civil, Architectural Drawings, CAD Drawings, Engineer Stamped Drawings (as required by code) Expedited Vacant Property Permit, Dumpster Permits, Demo Permit, Zoning Permit, Building Permits

Foundatjon; All foundation walls will be constructed of a solid poured concrete or Precast at a minimum of 1 0"

wide. Finished Basement heights are required to be at a minimum ofT ifapplicable.

Utilities; New Water Service, Sprinkler System, Sewer, Yard DrainlRain Leader, & Curb Trap New 200 Amp Electrical wiring Throughout wi High Hats (All Baths and exterior of properties to have Chrome

Modem Fixtures)

New HV AC Unit

New Plumbing Manifold System

All Appliances & Systems to Run on Gas Framing; All Carpentry to have a standard minimum of: 2x6

Exterior Walls

2x12 Joists

2x4 Interior walls

TGI & L VL Beams where specified by the structural engineer Custom

Built Stained Stairs

.B.w!t...N ew Roof with lOY ear Limited Warranty

veneer; 4" Brick (Manufacturer may vary)

~etal Siding or Hardy Panel Systems (Color and Design to Vary)

Smooth Stucco; Exposed sides of building or rear Kitchen; Dulce Dark Maple Flat Panel Contemporary 42" Custom Cabinets wi Self-close Drawers and Modem Stainless Steel Handles or equivalent

Granite Counter Tops or Quartz(1114" Thick) wi eased Modem Edging (Color to Vary) GE Stainless Steel Appliances or equivalent

Grohe Conchetto Dual Spray Pull Down Stainless Steel Kitchen Faucet- Model # 32655

Master Bath; Ultra Modern European Bath- Covered wi 12" x 24" Modem Porcelain Tile (colors to Vary)

Contemporary Fixtures European Contemporary Shower Grohe Systems with Chrome Handheld Shower Stick and Overhead Rain Shower or equivalent Vanity:

Custom Built Solid Wood Maple Wenge Modem Wall Mount Vanity wi underrnount sink Stainless

Steel Grohe vessel faucet

Tops: Marble Top

Toilet: Kohler Persuade two-piece elongated toilet with Dual Flush Technology K-3654 Secondary baths:

Tile: 16" European Travertine Tile, 12" x 24" Porcelain Tile or equivalent (colors to Vary) Tub:

Kohler Archer 5' bath- Model #K-11230r Equivalent

Kohler Oblo Rite-Temp pressure-balancing bath and shower faucet trim Model # K- Tl0055-9 or Equivalent Vanity: Custom Built Solid Wood Maple Wenge Modern Wall Mount Vanity wi undermount sink

Stainless Steel Grohe vessel faucet

Tops: Marble Top

Toilet: Kohler Persuade two-piece elongated toilet with Dual Flush Technology K-3654

Powder ROOID- If applicable: Tile: 16" European Travertine Tile, 12" x 24" Porcelain Tile or equivalent(colors to Vary) Vanity:

Kohler Reve pedestal lavatory with Grohe Vessel Faucet or equivalent

Toilet: Kohler Persuade two-piece elongated toilet with Dual Flush Technology K-3654

Flooring: Wide Plank Engineered Hard Wood Flooring (Minimum Y:," thick) or equivalent (Species and Color to Vary) Landscape: New Concrete Sidewalk & Rear Patio surrounded by Custom Wood FencinADDITIONAL NOTES: Also included is a 10 year tax abatement Subject will be 100% Complete New Construction Comparable to the highest level of 100% New Construction in the city.

IN WITNESS WHEREOF, the parties have caused this agreement to be executed as of the date set forth below.

For the Owner:

Date x __ ~~ __ ~ __________ __

Owner Siguature

Owner Name & Address

For the Contractor:

Date Contractor Siguature

Firm Address & Telephone: Name & Title

1)

2) 3) 4) 5) 6) 7) 8) 9) 10) 11) 12) 13) 14) 15) 16) 17) 18) 19) 20) 21) 22) 23) 24) 25) 26) 27) 28) 29)

100% NEW CONSTRUCTION CONTRACT - SCHEDULE OF VALUES CONTRACTOR BREAKOUT OF FIXED BUDGET

Borrower/Client: Property Street Address:

Property City, State, Zip:

Contractor Business Name:

Contractor Street Address;

Contractor City, State, Zip:

Contractor Phone:

233-39 N 23 rd St Un'lt 2

Philadelphia, PA 19103

THIS IS THE BREAKOUT DETAIL THE BANK WILL REVIEW AND ACCEPT FOR APPROVAL OF LOAN AND ALL DRAWS.

PROJECT COORDINATION, PROJECT DOCUMENTS, PREPARATION PRELIMINARIES, PROJECT MANAGEMENT, PRE-CONSTRUCTION AND SITE CONTROL

Consists also of Civil 000 Structural Engineering, Geotechnical Services, Environmental Testing. Zoning and Expediting, Zoning and Building Submission Process, and Architectural Services

Site Survey, Stakeouts, Demo, Site Clearing, Site Cuts, and Excavation Foundation Backfill and Rough Grade Rough Carpentry Windows and Exterior Doors Roofing Interior Rough PlUmbing Underground Sewer and Water Service Rough HVAC Rough Electric Brick and Stone Stucco Exterior Cement Board or Metal Sprinkler Systems Insulation Drywalt Trim and MJtlwork Pa'lnt Tite Hardwood Flooring Kitchen Cabinets Kitchen Countertops Bathroom Vanities Final Plumbing Final HVAC Final Electric Appliances Sidewalk, Patio, Yard, and Front Steps

TOTAL UNIT CONTRACT COST:

CONTRACTOR NAME & TITlE PRINTED

AUTHORIZED CONTRACTOR SIGNATURE

PRINT PROPERTY OWNER NAME

PROPERTY OWNER SIGNATURE

*PROPERTY OWNER ACKNOWLEDGES THAT THEY HAVE REVIEWED AND AGREE TO ABOVE

86,780.63 10.00%

93,289.18 10.75% 108,475.79 12.50%

4,339.03 0.50% 99,797.72 11.50% 21,695.16 2.50% 17,356.13 2.00% 56,407.41 6.50% 19,525.64 2.25% 52,068.38 6.00% 47,729.35 5.50% 39,051.28 4.50% 26,034.19 3.00%

6,508.55 0.75% 15,186.61 1.75%

8,678.06 1.00% 23,864.67 2.75% 30,373.22 3.50% 13,017.09 1.50% 21,695.16 2.50% 10,847.58 1.25% 15,186.61 1.75%

8,678.06 1.00% 6,508.55 0.75% 4,339.03 0.50% 4,339.03 0.50% 2,169.52 0.25%

13,017.09 1.50% 10,847.58 1.25%

867,806,30 100.00%

DATE

DATE

COMMERCIAL REALTY PROJECT MANAGEMENT AGREEMENT,

This Agreement is made as of __ day of __ , 201_ by and between National Realty & Investment Advisors, LLC located at 1325 Patterson Plank Rd, Secaucus NJ, 07094 ("Consultant"), and ___ _ ____________ Iocated at (Client),

1, Engagement of Consultant: Consulting Tasks, Client engages Consultant, and Consultant agrees, to advise Client on the following matter & achieve the following objectives and deliver the following work product ("consulting tasks"):

Purchase and Renovation New Construction of the Investment Property Located within the TAX ABATED ZONE with minimum $150,000 of Bank Verified Equity and BREAK EVEN Rents over GAAP Expenses in PHILADELPHIA, PA. or the one at:

233-39N 23 rdSt Unit 2, Philadelp/lia, f'A /9103,

Asset Management & Oversight of this Commercial Realty Investment Project Including:

Project Site Identification and Initial Locating and Contracting of Property & Assignment to Client Due Diligence Review for Investment Potential and Projected Equity Results Projected Site New Construction and After Renovation Value ("ARV") Analysis and Proof of

Sufficient Equity Position and Property Values Appraisal Ordering, Coordination, and Comparable Realty SOLD Property Reviews Final Value Analysis and Investment Projection Results Project Management and 1 year Coordination of all Professionals Including Financiers, Property

Managers, Realtors, Lawyers, Architects, Zoning, Title, and Loan Professionals with $11,900 Deposit of Out of Pocket Cash Required-ONL Y,

o Oversight & Review of Bank Funding, Purchase Closing and Construction Draw Funds Escrow Account Management - Subject to Required Bank Fees, Policies, & Site Inspections

Supervision, Review & Expediting of All Permits, Plans, Drawings, & Zoning Approvals Weekly Review and On Site Audit of General Contractor Construction Progress at Property General Contractor Oversight, Auditing, Communication & Progress Review and Coordination Audit and Payment Approval with the Bank of All Contractor Construction Draws Contracting, Management and Control of Property Manager and Property Management Function On Going Oversight of Property Management Client Results & Project Contingencies Coordination of Property Management Process to Recruit, Credit Review, and Tenant Property Central Communications Coordination Manager for All Professionals Involved including Licensed

Lenders, Realtors, REO Brokers, Title Company, General Contractors and Property Managers

Client understands that the manner and means used by Consultant to accomplish the consulting tasks is in the sole discretion and control of Consultant. However, Consultant will utilize the highest degree of skill and expertise in order to professionally accomplish the consulting tasks in a timely fashion, Client agrees that if the initial subject property located by ConSUltant becomes unavailable for any reason within the term, Consultant will automatically substitute and be obligated to provide up to a maximum of THREE (3) additional property offerings meeting the requirements of Section 1 above, including $150,000 of Built-In Equity Value and Break Even Rent Levels vs, GAAP Expenses so that the client financial goals set and projected are met by the alternate property.

2, Term, Consultant commenced or shall commence work under this Agreement on the date first signed below, This Agreement shall remain effective and in force for one year or until the completion of the consulting tasks, whichever is later unless the Agreement is extended or terminated by mutual written consent of the parties hereto,

3, Time Commitment. Consultant shall devote sufficient time to the consulting tasks to complete them within the time frames agreed by Consultant and Client.

4, Compensation, Client shall pay Consultant a flat fee in the amount of 4,5 % of the amount of the after building appraised value of the property for the above Project Management Services, Client shall also pay their separate check for appraisals and appraisal reviews and property insurance as required, Said fees shall be paid with the signing hereto or at and as part of the initial closing and bank escrow of construction funds during the build if so included,

5, Travel., Consultant shall travel to the site location to perform the consulting tasks where the nature of such tasks so requires or to discuss the consulting tasks with the other professionals involved at its own costs and in time frames it sets in its own discretion, No travel expenses will be paid by Client.

6, Termination, Th'ls Agreement is non-cancelable and may not be terminated except by mutual written agreement of the parties hereto until the consulting tasks detailed above have been completed and the debt evidenced by this instrument paid in full.

X Client Initials

7. Security Instrument. Any debt created by non-payment of the amounts due under this agreement by the Client shall become a debt Secured against the Real Property listed above as an Open Ended Mortgage upon said property or an architectural lien. In such case, Client does hereby mortgage, grant and convey to Consultant an open ended lien position interest in said property. Client hereby authorizes Consultant to file with the County and Local Governments any and all open ended mortgage or lien documents Consultant deems necessary to perfect this security interest in the real property listed above to the extent of any unpaid debt due to Consultant by Client for services performed hereunder. For purposes of this section, Client authorizes Consultant as his Attorney in Fact with full Power of Attorney to perform said filings and other acts that perfects Consultant's security or lien interest therein.

8. Miscellaneous. Consultant shall be considered an independent contractor for all tax, legal, and insurances purposes. This Agreement constitutes the entire agreement between the parties relating to the subject matter hereof. Except as expressly provided for herein, this Agreement shall not be amended and cannot be canceled without written agreement between both parties. No oral waiver, amendment or modification shall be effective under any circumstances. If any term, covenant or condition of this Agreement shall for any reason be held unenforceable by a court of competent jurisdiction, the rest of this Agreement shall remain in full force and shall in no way be affected or impaired. The representations and warranties herein shall survive termination or expiration of this Agreement. Liquidated and forfeited damages under any default of this agreement are equal to the deposit amount paid. This Agreement shall be governed and construed under the laws of the State where the property is located, including choice of law rules. The terms and conditions of service detailed on Consultant's web site and its Disclosure and Acknowledgements Agreement are incorporated herein by reference and are hereby agreed to be made a binding and controlling part of this agreement.

9. Client Responsibilities. Client shall timely and immediately provide 100% of all required financial documents requested to comply with the Construction Financings and Loan Officers requests involved to Consultant within 3 weeks of this engagement signing. Client authorizes Consultant as his Attorney in Fact with full Power of Attorney to perform all duties and other acts required herein during the term. Client shall on an ongoing basis provide supplementary financial data as requested within one week from any request. Failure to comply with timely submission of the required financial documentation listed above or attempts to revoke Consultants blanket Power of Attorney to implement the project constitutes a default by client under this agreement. This specific Power of Attorney from Client to Consultant will be required on hand at all times during the term to ensure that utility installations, construction build, financing, refinancing, and tenanting of the Subject Property occur in a timely and prompt matter by Consultant direction to the Professionals involved.

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of date set forth below.

For: Client For: National Realty & Investment Advisors, LLC

By: X. ________ _ By: ______ _

Name: __________________ ___ Name ____________________ _

Date ____________ _ Date __________ _

POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS this Power of Attorney is made on __ of __ , 201_.

Between the Principal, ' whose address is , __ referred to as "Me", "My" or "Myself',

And the Agent, Rey Grabato, Project Manager of National Realty & Investment Advisors, LLC, whose address is NRIA, LLC 1325 Patterson Plank Rd, Secaucus, New Jersey, 07094 - referred to as "You":

1. Grant of Authority. I appoint You as Attorney in Fact to do each and evelY act which I could personally do for the following uses and purposes and as is only to my best interest:

a. To execute, sign, deliver, hypothecate or pledge, in my name and stead Contracts, First and Second Mortgages as required, Mortgage related documents, Property, Deeds of Trust, Notes, Affidavits, survey affidavits, RESPA, IRS 1099, construction draws, draw approvals, draw wires, order pay offs, construction credit lines and sign all forms and documents as me and on my behalf as is required in connection therewith in the purchase, closing, re-financing and on going re-construction project management by Me of real property located and described as follows:

233-39 N 23 rd St Unit 2, Philadelphia, PA 19103

b. To attend the closing of title and sign and to deliver all closing forms and documents if I cannot attend and sign myself;

c. To represent Me in all respects at the closing, including, but not limited to the negotiation, payment of all fees, costs, points, adjustments, liens, claims and encumbrances as could be reasonably estimated to me in advance; to later after construction is completed of the project represent me and my interests and sign as me and on my behalf all refinance documents and close the refinance of the property if I am not available to do so

d. To activate all gas, electrical, and water utility service, in my name and stead and coordinate the connection and installation of all utility meters where necessary for the property above; Administrate all construction draws and approval of wires after all construction inspections and supplement with photos; Release my personal credit information and authorization to all utility companies for purposes of establishing utility accounts at the property. To open, if required by the transaction, establish and set up any second mortgage funding LLC I may need to act as the vehicle through which I make my property deposit in order to insure the return of my deposit monies put down on the home.

e. To do all acts that I might or could have done in the purchase and on going project management and construction management of the property as described above generally and as specified in all its contractual documents, and your Project Management Agreement with me, as well as coordinating, releasing, and signing all collateral mortgages as me and as required by the bank funding source on any required property I own to expedite and provide 100% financing of the subject property above, and its refinance, construction loan payoff, and maintenance of clear title and lien removals to the property and any collateralliened properties and all other such good faith acts that will protect my investment interests in the above property and perfect its closing and refinance contemplated herein and its related documents;

2. Takes Effect Regardless of Disability. This power of attorney is effective now and remains in effect even if! become disabled as defined in accordance with NJ.S.A. 46:2B-8b. This power of attorney is not affected by subsequent disability or incapacity of the Principal. This Power of Attorney is irrevocable during the term.

3. Signatures & Term. By signing below, I acknowledge that I have received a copy of this Power of Attorney and 1 understand and agree to its terms and authorities given to You. By signing below You as Agent accept this appointment and its obligations. The term of said appointment shall be for 6 months from the date hereof or until the property is completely built and refinanced ..

Agent's Signature of Acceptance:

STATE OF )

COUNTY OF )

58:

x~~~~ __ ~~~~_ Principal's Signature of Authorization

Print Name

BE IT REMEMBERED that on ___ day of , 2011, before me, the subscriber, personally came _-;-; ____ -;-_-;--;--;--;---;-_:---:_-;-;-_-;" who, [ am satisfied, is the person named in and who executed the within instrument, and thereupon acknowledged that he signed, sealed and delivered the same as his free act and deed for the uses and purposes therein expressed.

Notary Public My Commission Expires:

POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS this Power of Attorney is made on __ of __ , 201_.

Between the Principal, , whose address is , __ referred to as "Me", "My" or "Myself',

And the Agent, Rey Grabato, Project Manager of National Realty & Investment Advisors, LLC, whose address is NRIA, LLC 1325 Patterson Plank Rd, Secaucus, New Jersey, 07094 - referred to as "You":

1. Grant of Authority. I appoint You as Attorney in Fact to do each and every act which I could personally do for the following uses and purposes and as is only to my best interest:

a. To execute, sign, deliver, hypothecate or pledge, in my name and stead Contracts, First and Second Mortgages as required, Mortgage related documents, Property, Deeds of Trust, Notes, Affidavits, survey affidavits, RESPA, IRS 1099, construction draws, draw approvals, draw wires, order pay offs, construction credit lines and sign all forms and documents as me and on my behalf as is required in connection therewith in the purchase, closing, re-financing and on going re-construction project management by Me of real property located and described as follows:

233-39 N 23 rd St Unit 2, Philadelphia, PA 19103

b. To attend the closing oftitle and sign and to deliver all closing forms and documents if! cannot attend and sign myself;

c. To represent Me in all respects at the closing, including, but not limited to the negotiation, payment of all fees, costs, points, adjustments, liens, claims and encumbrances as could be reasonably estimated to me in advance; to later after construction is completed of the project represent me and my interests and sign as me and on my behalf all refinance documents and close the refinance of the property if I am not available to do so

d. To activate all gas, electrical, and water utility service, in my name and stead and coordinate the connection and installation of all utility meters where necessary for the property above; Administrate all construction draws and approval of wires after all construction inspections and supplement with photos; Release my personal credit information and authorization to all utility companies for purposes of establishing utility accounts at the property. To open, if required by the transaction, establish and set up any second mortgage funding LLC I may need to act as the vehicle througb which I make my property deposit in order to insure the return of my deposit monies put down on the home.

e. To do all acts that I might or could have done in the purchase and on going project management and construction management of the property as described above generally and as specified in all its contractual documents, and your Project Management Agreement with me, as well as coordinating, releasing, and signing all collateral mortgages as me and as required by the bank funding source on any required property I own to expedite and provide 100% financing of the subject property above, and its refinance, construction loan payoff, and maintenance of clear title and lien removals to the property and any collateralliened properties and all other such good faith acts that will protect my investment interests in the above property and perfect its closing and refinance contemplated herein and its related documents;

2. Takes Effect Regardless of Disability. This power of attorney is effective now and remains in effect even if! become disabled as defined in accordance with N.J.S.A. 46:2B-8b. This power of attorney is not affected by subsequent disability or incapacity of the Principal. This Power of Attorney is irrevocable during the term.

3. Signatures & Term. By signing below, I acknowledge that I have received a copy of this Power of Attorney and I understand and agree to its terms and authorities given to You. By signing below You as Agent accept this appointment and its obligations. The term of said appointment shall be for 6 months from the date hereof or until the property is completely built and refinanced ..

Agent's Signature of Acceptance:

x ____________ ~--~---Principal's Signature of Authorization

STATE OF ) ss:

COUNTY OF ) Print Name

BE IT REMEMBERED that on ___ day of , 20 II, before me, the subscriber, personally came , who, I am satisfied, is the person named in and who executed the within instrument,

and thereupon acknowledged that he signed, sealed and delivered the same as his free act and deed for the uses and purposes therein expressed.

Notary Public My Commission Expires:

National Realty Investment Advisors, LLC Investment & Commercial Property Services Disclosure & Acknowledgements

Agreement Contract The purpose of this Investment Properties Services Disclosure & Acknowledgement Agreement is to verity your (herein referenced as "you" or '''Investor' or "j" or "my" or "me" in this docwnent ) understanding of the project management, architectural, permitting and zoning, and expediting services being offered and agreements made with National Realty Investment Advisors, LLC (herein referenced as "NRIA"). It is important to NRIA to re-disclose here all pertinent information you have been provided on buying, renovating or newly constructing proposed distressed properties and renting them or occupying them. Please review the following statements and initial that you have been made aware of, agree to, understand, and accept all the risks below involved with your participation. Furthermore, it is important that National Realty & Investment Advisors, LLC ("NRIA") convey this information to you as a prospective Owner of raw land, distressed, pre-foreclosed, abandoned, or foreclosed (when available) properties so an informed and intelligent decision on whether or not the services and disclosures contained herein accurately meet your objectives and circumstances can be made by you. If any of the following has not been discussed with you by your Project Manager, please contact National Realty & Investment Advisors, LLC and also please have this information reviewed by your attorney and advisors. General Conditions 1. I understand, agree and acknowledge that as a new construction investment, it is imperative that I seek

the guidance of my financial, tax and legal professionals. I have appointed NRIA as my Project Manager and Attorney in Fact for the purpose of finding, contracting for me, and supervising the architectural, permitting, design, zoning, construction audit and management of such a property for me.

2. I understand, agree and acknowledge that National Realty & Investment Advisors, LLC has explained that such an Investment Property or second home purchase and new construction or renovation rehabilitation project is not a short-term capital gain investment as it has a duration of over 1 year.

3. I understand, agree and acknowledge that I am responsible for the long term performance ofthis investment after tenanting and NRIA completion. National Realty & Investment Advisors, LLC highly recommends that in order to protect the viability of the investment, it must be considered a LONG-TERM investment. NRIA highly discourages a quick re-sale of the property upon refinance, due to risk oflosing projected built in equity if the realty sales market is slow or disrupted and due to the increased transaction costs involved. I understand I am covered by NRIA's "Customer Satisfaction Buy Back Guarantee" protecting my base investment costs if I am dissatisfied for any reason after the home is finished (see agreement attached).

4. I understand, agree and acknowledge that I have been made aware that the term: "After Renovation Value" ("ARV") or After Built Value ("ABV") is defined as the properties estimated future market value after renovation or 100% new construction based on an independent appraisal subject to the completed Scope of Construction Work to be performed by a licensed general contractor. Final actual refinancing value will be based on a lender's independent final appraisal- which could be different. National Realty & Investment Advisors, LLC's opinion, or the Appraisers opinion, or the Banks opinion does not guarantee that the property can be sold for the ARV/ABV, or appraised value.

5. I understand, agree and acknowledge that NRIA has explained that due to the negative effects and connotations of the term "quick flip", which is defined as a short term hold and immediate resale of the property after Refinance, NRIA highly discourages me against such action has substantial transaction costs. I agree before I decide to sell I will validate the sales result price will be enough to satisty my investment requirements or else I will have the property rented or take advantage ofNRIA's Buy Back Guarantee of Satisfaction. I understand I am covered by NRIA's "Customer Satisfaction Buy Back Guarantee" protecting my base investment costs if I am dissatisfied for any reason after the home is finished (see agreement attached).

6. I understand, agree, and acknowledge that NRIA has made it clear to me that investment in real estate is illiquid and subject to market conditions and risks and that projections based on current conditions are not guaranteed and that my purchase is considered to be in the nature of a commercial transaction of a business sole proprietorship and is agreed to be not in an "individual capacity" as defined by or governed by the Real Estate Settlement Procedures Act ("RESPA").

Property Management 7. I understand, agree and acknowledge that NRIA has recommended that I enter into a Property Management

Agreement with an independent third party entity to provide a renter in accordance with the objectives of the property if! decide not to occupy it. This will ensure that I have taken some of the steps to afford the best opportunity to cover mortgage costs and operating expenses. I understand that the level of tenant rent can only be estimated prior to move in. However, I have also been afforded a "5 Year Break Even Rent Guarantee" agreement from my Property Manager.

8. I understand, agree and acknowledge that if! engage and sign a Property Management Agreement with a third party Property Management Company referred to me by NRIA that I have the right to independently investigate any such Company and that I make the decision to engage the Company based on my own investigation and due-diligence. I hereby indemnity, save, and hold harmless National Realty & Investment Advisors, LLC against any subsequent disputes or claims arising between myself and the Property Management firm except for gross negligence or misrepresentation.

9. I understand, agree and acknowledge that I will pay a normal and customary Philadelphia first month's rent fee involved with the marketing of my property from I of the 3 months deposited by the Tenant up front with the Property Management Company. I will also pay a monthly management fee of $50 per month. Said first months fee shall be one of the 3 months deposit paid by the tenant upfront from their minimum 12 month lease. The agreements with the Property manager shall govern my relationship with same.

10. I understand, agree and acknowledge that NRIA recommends that I review any Property Management Agreement in which I may engage my Property Management Company.

11. I understand, agree and acknowledge that NRIA is not a property management organization and has no power, or absolute control over any Property Management Company it is in marketing partnership with. I shall indemnity, save, and hold harmless NRIA against any and all damages, liabilities, actions, suits, proceedings, losses, costs and expenses (including reasonable attorneys' and experts' fees) arising out of or in connection with any act or omission of my Property Management Company except for NRIA gross negligence or misrepresentaion.

Page 1 of 4 Initials X ____ _

12. I understand, agree and acknowledge that I should work with the Property Management Company to ensure that the property remains rented at all times if I am not occupying same or renting it myself. I will pay all business privilege, landlord, or other licensing fees required by the city the property is located in to be a lawful landlord - estimated at $50 per annum. I agree that in larger projects there will be Homeowners Association (HOA) fees and billing for maintenance of the common areas of the townhome development as required by the Planned Unit Development Zoning Approvals ofthe complex. I agree to have NRIA perform and comply with all the requirements of my Units Zoning Approval and Planned Unit Development Zoning Declaration to be in full force at all times. I understand upon sale of my property I may have to come to financial terms with any existing tenant to have them settle their lease and vacate the property upon my sale.

13. I understand, agree and acknowledge that ifno renter is provided, or if a previous rental agreement becomes dissolved, the performance of the purchased investment property is an item of issue between me and the Property Management Company, except to the extent a Property Manager has provided me any rental guarantee supplement. Such guarantee shall be the responsibility of the Property Manager to fulfill and is not insured by any institution or the FDIC.

14. I understand, agree and acknowledge that there is no guarantee of obtaining a renter - unless I have received a written break even rent guarantee to the contrary - and I have made adequate financial arrangements for such a case. I understand that with or without a tenant or fulfillment of any such break even rent guarantee I am still liable to pay any mortgages due on the property and I represent [ have adequate 12 month minimum reserves and monthly cash flow to do so. Break-Even Rent Guarantees do not guarantee profits, principal payments or positive cash flow in any cases. I agree and understand that Rent Guarantees do NOT relieve me from the legal requirement to pay my own mortgage notes at any time to all of my lender(s).

Financial Disclosures & Agreements: IS. I understand, agree and acknowledge that in some cases, there will be negative cash flow on my property.

However, break-even rent agreements will add additional financial support to me each month if applicable. The Property Manager does not guarantee a positive cash flow in the property but does provide a Break even Rent Guarantee on GAAP expenses when signed and accepted by me. I understand that to qualifY for the program I must have, at a minimum, twelve months mortgage payment in arrears. These conditions are a critical condition for lender approval and I understand that if there is no renter, my assets in reserve must be used to keep the mortgage current which is my responsibility. I understand, agree and acknowledge that if there is no income generated from a renter in order to pay the mortgage of the property, or if a rent guarantee exits but I have not received the rent for any reason, I am still responsible to make my monthly mortgage payment. I acknowledge that NRIA requires that I should make every effort to keep my mortgage in good standing at all times and that I must immediately refinance my home to maintain rent guarantees and fast build guarantees on the project in force.

16. I understand, agree and acknowledge that in the event that the mortgage is in arrears I have an obligation to notifY NRIA as such. I understand, agree and acknowledge that my Credit FICO Score and financial circumstances are significant factors when determining the qualifications of prospective Clients ofNRlA, LLC. I understand that any potential lender offer of rates and terms provided and quoted to me by professionals referred to me by NRIA or communicated to me for my convenience by NRIA may change or be cancelled upon any negative change to my credit or based on changing banking market conditions.

17. I understand that distressed properties may come from foreclosures, pre-foreclosures, for sale by owners, discounted multiple listed properties, tax lien, City of Philadelphia Redevelopment Authority, sheriff sales, and other open market sources.

18. I understand, agree and acknowledge that due to the sensitivity of my credit score, I am highly discouraged from taking on any new debt or making any late payments to any creditors while in the process of underwriting or refinancing the property due to the fact that it may cause fluctuations with my score thus affecting my ability to obtain loans or home equity credit/construction payment lines of credit. I understand I am responsible to make all construction payments myself from my asset reserves.

19. I understand, agree and acknowledge that I am receiving a 65% to 80% Hard Money Renovation or New Construction Loan based upon the projected After Renovation Value ("ARV") or After Built Value ("ABC") of the investment property and that the ARV/ABV is not guaranteed and is based upon estimates which may go up or down with real estate market conditions. I understand and agree that such Hard Money Construction "To Specifications" or Future Value based loans are substantially more expensive than any form of Owner Occupied conventional financing and may be up to 10% to 12% interest plus up to 4 points to close and that the cost of said money will be factored into my net profit or loss on the property. Moreover, these rates may vary right up until closing and your estimates will not include accrued interest from the day of closing lowe until the end of the first month's use of capital I borrow from the lender.

20. I understand, agree and acknowledge that in some circumstances, there may be money due at closings and you will do your best to estimate this for me prior to closing. Depending on my personal credit situation, there may be times where more money than originally estimated or anticipated is needed at closing - but generally not more than 2-3% of project costs. In addition, NRIA does not estimate that I will receive money back any at closing although I may. These matters will ultimately be determined by the loan that I receive from my lender and the lending professionals referred to me by NRIA. If I authorize the formation of an LLC or Corporation for my own self-funding "parking" of funds purposes, I will pay all fees and taxes associated with that entity.

21. I understand, agree and acknowledge that there are certain fees attributed to a Hard Money ARVI ABV Construction Loan - if I decide to use same - and these costs will be disclosed to me under the requirements of any laws by the licensed professionals NRIA has referred me to prior to financing or refinancing any property I may decide to proceed with. I acknowledge that NRIA has explained their understanding of the terms and costs of any such loans and has referred me to licensed professionals for the exact terms of any loan I take to purchase and build the property with or to refinance and rent the property with. I understand only the lender directly may disclose to me the exact terms of such financings. NRIA cannot control or predict the day I close or whether the bank will bill me accrued interest for the current month's days of use. I agree I must make myself available for closings. I understand closing dates may change. I agree NRIA fees for Project Management including property locating, permitting, architectural, legal, expediting, investment analysis, construction control audits etc. will be based upon the After Built Value of my investment property and will have its balance paid from the closing and construction escrows.

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22. I understand. agree and acknowledge that after any Hard Money ARV/ABV Loan, I am responsible to pay back the total amount of the principal loan plus accrued interest on that loan within the specified term of the loan. Failure to do so will result in foreclosure on the property by my lender and will damage my credit.

23. I understand, agree and acknowledge that I must remit financial documentation promptly as requested, to National Realty & Investment Advisors, LLC and the Refinance Professionals and Lender I am referred to as it is requested. Failure to do so can delay my closings and result in additional fees and costs accruing to me on all Construction Loans or Refinance loan amounts including late fees or even rejection of approval or breach of my agreements made. I am to be available to National Realty & Investment Advisors, LLC, and the referred licensed banking/mortgage professionals at all times during the purchase or property refinance processes. I also agree and understand that loan terms, conditions, rates and programs can change in the banking industry without advance notice and that there is no guarantee I may ultimately receive any particular program recommended or discussed - including pre-committed fmancings, refinancing, or cash out loans. I understand and agree the ultimate programs utilized there terms and loan conditions will be those I have agreed to take after my own due diligence and independent review of availabilities in the marketplace. I understand that financing non-owner occupied investment property is generally more difficult than owner occupied property. Thus, special requirements such as collateral open ended mortgages on other properties I own or live in may be required in order to gain acceptable financing on purchasing my property or deposits. I understand that NRIA cannot be held responsible for such changing banking industry programs, rules, rates and guidelines. I understand that if! cannot provide full documentation of my income, tax returns, and assets or if I have too much debt or too Iowa credit score I may not qualify for NRIA suggested programs, horne equity lines of credit/cash outs, projected interest rates, or loan to value programs.

24. I understand, agree and acknowledge that once the Construction Loan is completed, and the property is closed and titled to my name, that I am responsible for all utilities and mortgage note payments and my own homeowners insurance. In most cases, N alional Realty & Investment Advisors, LLC will help to facilitate the acquisition of a builders risk homeowners insurance policy which will be billed to me at closing and I can conveli said policy after construction to regular homeowner's landlord insurance. In addition, once the loan closes, National Realty & Investment Advisors, LLC wiIl order and coordinate all utility services in regard to gas, water and electricity, to the property in my name, and I understand I am responsible for such costs including meter installation fees prior to transfer of any such service to a tenant.

25. NRIA will be making recommendations regarding the construction budget, plans, design and general contractor to select for the Scope of Work involved. You agree that if you accept the recommendation ofNRIA you have done so after your own due diligence and independent research review.

26. You understand and agree that construction work is subject to unknown delays and risks during the approval and building process which include but are not limited to zoning delays, permit delays, unknown property hazards discovered during construction, hidden structural and underground issues, obtaining site work permits, architectural and engineering plan postponements, city and state zoning approval requirements or changes and other factors. Fmthermore, you agree and understand the builder will be designing the property and building it according to their contract and architectural plan to attempt to meet the Scope of Work requirements to achieve the values and square footages estimated. You agree that square footages outlined are estimates only within 5% and design issues regarding room layouts, amenities such as decks or parking & square footages may require changes, reductions, or increases, and such decisions reside in the discretion of the builder TO MAINTAIN YOUR HOME VALUE AND BEST HIT ITS FINANCIAL PROJECTIONS WHICH BUILDER COVENANTS TO DO AT BEST EFFORT. Plans may be provided as a courtesy only and are not guaranteed and may change. I understand that multi-year tax abatements are likely but not guaranteed without your remaining a Land Lord in compliance with the law and that I must be in tax and City fee compliance to get and keep them approved. I agree and understand that Builder Late Building Penalties do NOT relieve me from the need to pay my construction note to my construction lender(s).

27. You understand, agree and acknowledge that if you engage and sign a Construction Contract with a third party General Contractor or Builder Company referred to you by National Realty & Investment Advisors, LLC, that you have the right to independently investigate any such Company and make the decision to engage the Company solely based on your own investigation and due-diligence, and you hereby indemnify and hold harmless National Realty & Investment Advisors, LLC against any subsequent issues arising between you and said General Contractor or Builder from such engagement except for NRIA's gross negligence or misrepresentation. NRIA will arrange for me to meet with the Builder if I so request.

28. You authorize NRIA to manage, audit, and release any contractor payment draws from escrow to keep the construction and project management process moving and the contractor selected building at as rapid a pace as possible to fmish the work with good quality performance of the job requirements and adherence to the fixed budget and contract terms. You understand that the Power of Attorney (POA) you sign will further and in addition authorize this draw management authority for release of funds - after inspections are passed with the Bank - to the General Contractor. You understand and agree the Power of Attorney (POA) to your NRIA Project Manager will remain in force until the property is refinanced and the construction lender paid back by you and until thereafter canceled in writing by either party thereto. Any failure to provide and maintain your POA in force is a breach ofthe agreements you sign including any Builders Warrantees or Fast Build Guarantees, special builder's concessions, Rent Guarantees and other agreements.

29. You agree that no information provided herein by NRlA, or any of its shareholders, directors, officers, members, employees, agents, attorneys, accountants, referred mortgage brokers, lenders, or consultants (collectively, the "Associates "), is intended. nor should be construed as securities, economic, tax, investment, legal, or other advice. The Project Management Services you have hired NRIA to perform are understood to be personal Income Producing Realty advisements. All such information, material and content contained herein or supplied by NRIA at any time is believed accurate and reliable but is provided on an "as is" basis without warranty of any kind other than as stated in contracts, either express or implied, including but not limited to the implied warranties of merchantability, or fitness for a particular purpose. Moreover, the information is provided for informational purposes only under the terms of this agreement, the NRIA website, Power of Attorney, and Project Management Agreement and is not intended to be a substitute for your own due diligence and independent research each prospective real estate owner should perform as to any real estate purchase, nor is it claimed to be a complete study of the legal, tax, economic, logistic, geographic, demographic, investment or other matters concerning the real estate opportunities presented. Neither NRIA nor any of its Associates: (i) represent or imply any performance level or guarantee in relation to information provided - except as

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specifically stated in its guarantee agreements - nor do they make any claim that the use ofthe information will result in a profit or prevent any loss for the recipient or that use of the information provided will achieve any particular result or (ii) guarantee the accuracy or completeness of any information or any analysis thereon including future value estimates, property designs, plans, aruenities and ultimate square footages within 5% of plan. NeitherNRlA, nor any of its Associates shall be responsible or liable for the accuracy, usefulness or availability of any information provided, transmitted, uploaded, posted, e-mailed.printed or made available to you during the course of their dealings with you except for its gross negligence or misrepresentation. You agree that any purchase decisions you make will be based solely on your independent evaluation of the real estate presented to you, your financial circumstances, investment objectives, risk tolerance, financial condition, liquid reserves on hand, and on-going liquidity needs, and any other information available to you.

30. In no event shall NRlA, or any of its Associates or any affiliated companies be liable to any party for any damages inc1ucting without limitation, any direct, indirect, special, punitive, incidental or consequential damages (including, but not limited to, daruages for loss of business profits, business interruption, loss of programs or information, or loss of savings), or any other damages arising - in any way - out of the availability, use, or reliance on, the information provided during your relationship with NRIA except for NRIA's gross negligence or misrepresentation. You expressly agree to indemnify, save, and hold NRIA and its Associates harmless from any claim or demand, including reasonable attorneys' and expells' fees, made by any third party due to or arising out of your use of the information except for NRIA's gross negligence or misrepresentation.

31. You are reminded and agree that all real estate used for income or other investment purposes face the risks attendant to such an application, including that real estate values may go down, rents may decrease, and that vacancy rates may rise. Real estate is by its nature illiquid and a ready market may not exist for any particular property once purchased. Past performance is not a guarantee of future performance or results. All projections made are good faith estimates based upon projected values, programs, rates, and conditions which you agree to independently verify and you understand may not be the sarue in the future and can not be actually concluded and known until after the property is sold and all relevant costs and sale prices are actually incurred, and concluded at final re-sale.

32. You understand your deposit paid is refundable up for IS days or up until the time your application is accepted, financing is approved for you, and the property is assigned to you, (whatever is later) if you are not in any breach of the project management or other agreements. Once the property is assigned to you or if you breach the Project Management Agreement any deposits paid for NRlA fees are non-refundable binding and non-cancelable. I also understand that any representations as to past performance do not guarantee future results. I understand there is risk of losing some or all of my investment, and I have sufficient financial resources to make this investment and I find this type of investment suitable to my own investment objectives and goals. I agree and understand that the terms of this agreement hereby amend and are added to all other property documents involved in my transactions with NRIA and my properties purchased.

Agreed Upon on this date: 20 __

By Investor:

x. __ ~~~ __________ _ Investor Signature

Investor Name

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By NRIA, LLC:

x:~ __ ~~~~ __ ~~~~ __ ~ National Realty & Investment Advisors, LLC

NRIA Representative Name

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Full Document Requirements:

1) Latest 2 Years Personal & Bus Federal Tax Returns - All Pages

2) Latest Last 2 Years Matching W-2's- 1099s - & K-l's

3) Latest 30 Days Pay Stubs (2-4 In a row) Showing Year to Date Taxes

4) Latest 2 Months Asset Statements - ALL PAGES with the ending date being the nearest month to today. (If the statement is quarterly, then the latest quarter.)

Include ALL below - all pages - latest:

Checking Savings 401 K's IRA's Stocks

Mutual Funds CDs Investment Funds Bonds

Pension/Profit Sharing Vested Plan Statement

5) Legible Copy of Drivers License and write out DL # and Expiration & Issue Date by hand on copy before e-mailing. Do not fax - copy becomes illegible unless you enlarge it greatly first. You can do this with a passport also.

6) Current Copy of all existing Mortgage Statements -Including HOME EQUITY and HELOC Statements

7) Primary Home PROPERTY TAX BILL 8) Primary Home HOMEOWNERS INSURANCE BILL 9) If not escrowed - ALL OTHER PROPERTIES OWNED

MUST GET P-TAX BILL AND HOMEOWNERS BILL

GOOD FAITH DEPOSIT CHECK FOR $11,900 MADE OUT TO: NRIA. LLC

Assignment Addendum to the STANDARD AGREEMENT FOR THE SALE OF REAL ESTATE

DATED Between:

Seller:

And

Buyer: National Realty & Investment Advisors, LLC ("NRIA, LLC") [Buyer]

Regarding the Property at:

233-39 N 23 rd St Unit 2, Philadelphia, PA 19103

New Buyer by Assignment: (New Buyer)

Buyer, New Buyer, and Seller hereby agree and understand that the Buyer, NRIA, LLC

is exercising it's option to assign this contract to New Buyer, pursuant to Section 25 of

the STANDARD AGREEMENT FOR THE SALE OF REAL ESTATE, (the

"Agreement") between NRIA, LLC.[Buyer]