Eagle Ridge brochure full page

Fall 2014 Volume 1

EL agle R idge M H uxury

odular

omes

Investment Guide

Brad McDonald, Sr. Managing Partner 818-279-8236 Direct

Full Sail

Investments

1426 Flower St. Glendale, CA 91201

Executive Summary Project Description Full Sail Investments is proudly offering an exceptional real estate development project. The subject property currently has three vacant parcels totaling just over 5 acres, in Eagle Rock, California.

The open-gated community will consist of nine luxury modular homes. This will be a premier “Green Community” of significant architecturally-designed modular homes. The extraordinarily creative aesthetic exceeds energy and environmental efficiency requirements.

Phase I of the project will consist of a model home, an open-gated community road and infrastructure. The balance of homes (8) will be owner-financed. We have developed a partnership with a commercial lender for our overall project funding as well as two additional lenders to fund individual home purchases.

Property Description The parcels sit atop a flat saddleback ridge above the sleepy town of Eagle Rock, CA. The homes will have beautiful views of the Valley below and Los Angeles, and have easy street and freeway access.

The Eagle Ridge project will create goodwill with our neighbors and the City by rectifying some long standing environmental concerns. c Property contains 9 subdivided lots The tentative site map is approved by the City; our c

efforts will change that tentative status to permanent. c Geology report indicates it as stable with bedrock surface. c Oak trees abound on the lot. Any trees removed will

be replaced at a 4:1 ratio to develop an “Oak Grove.”

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Neighborhood Benefits Neighborhood Eagle Ridge is nestled in the foothills just above Eagle Rock, between Pasadena and Glendale, and near downtown Los Angeles. It gets its name from a massive boulder at the northern edge the city- a bird-shaped shadow appears cast across the rock each sunny day.

This unique urban site resting in the midst of Sandstone outcroppings and oak trees gives you a mountain wilderness feel.

Eagle Ridge boasts distinct evening vistas of city lights from Glendale to Los Angeles and Pasadena punctuated each day with glorious sunrise and sunsets.

Eagle Rock is located between Pasadena and Glendale, at the intersection of the East-West 134 freeway and the North-South 2 freeway. This offers Eagle Ridge owners a commute of only a few minutes to Old Towne Pasadena, downtown Los Angeles and all the major business firms, film studios and social life they have to offer.

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Benefits and Convenience People today associate “community” with greater value and importance.

This has created a glutinous demand for new construction luxury homes.

Los Angles-adjacent communities are now in higher demand which has increased home values dynamically. In the areas surrounding Eagle Ridge, there are homes for sale which are listed as “old, inefficient, or needing repair” that are selling for greater-than-market price, showing the value of this emerging neighborhood location. Full Sail Investments is confident the Eagle Ridge development will set a new standard.

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History and Demographics Demographics Since the 1920s Eagle Rock has been home to writers, artists and filmmakers. The neighborhood brags of its diverse ethnic and socioeconomic groups and is a haven for professionals in the creative and entertainment fields. These people value creativity and uniqueness and a sense of community- an oasis from today’s grinding pace.

Home buyers find many pluses in owning an Eagle Ridge home, including sustainability, cutting-edge green design, easy maintenance, luxury amenities and unparalleled design and construction quality.

Eagle Rock schools boast some of the most involved parents.

They appreciate the diversity in the schools, the eclectic old town commercial district and more modern trendy shops and restaurants.

From an aesthetic and design perspective, Eagle Rock is home to a variety of historic and architecturally significant homes built in the Craftsman, Georgian, Streamline Moderne, and Art Deco and Mission Revival styles. Eagle Ridge aims to add its designs to this distinguished list.

Downtown LA 8 Miles

Minutes to Destinations Eagle Ridge

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Occidental College La Canada Country Club Dodger Stadium Hospital

1 Mile 10 Miles 2 Miles 2 Miles

Warner Bros. Studios 8 Miles Cal Tech 6 Miles Disney Concert Hall 7 Miles Rose Bowl 5 Miles

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Project Expertise Solutions Traditional construction projects commonly fail due to economic downturns or project mismanagement. With Brad McDonald at the helm, these issues will be minimized and/or mitigated to the degree he has control. Three of the biggest ways to impact and control this project are production, construction and inspections. We have handpicked the best site, factory team members and solution providers.

Finishes are done on-site to lower and minimize shipping costs. Once the modules arrive and are lifted into place atop the pre-poured foundation, the walls are bolted directly to the foundation. Then our journeymen finish contractors install the high-end finish materials and custom touches chosen by each home owner.

Construction We have teamed with an industry leader in modular home construction to build the various modules for the Eagle Ridge homes. The construction is done in an enclosed, air-conditioned facility. This helps eliminate toxic fumes and waste from contaminating the new home. As a bonus for the home owner the factory includes the site foundation in their 10-year construction guarantee.

Simultaneously, factory completed; this conprocess schedule and costs.

construction and site preparation work is current effort expedites the helps to control

Production Today there’s a new term in home construction- it’s “Modular. This should not be confused with “Mobile” or “Manufactured.”

Modular homes are built with standard, code-approved methods and materials, including true dimension components like full-size fixtures and materials. The factory’s state-of-the-art equipment mills, cuts, and fabricates components with digital precision. Producing homes more efficiently resulting in unprecedented quality and lower overall costs- these are the biggest advantages of Eagle Ridge Luxury Modular factory built homes.

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Inspections California state law supersedes City approval of a modular construction home. This means the state regulates and inspects construction at the factory. The only City inspections required are for the foundation, site work and the connection to city utilities.

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Modular Built Advantages Throughout our process, we use practices and materials that reduce a home’s burden on the environment. Once finished, these homes will perform so well they will come with an Environment for Living Limited Guarantee. (www.environmentsforliving.com).

Investment protection is the appraisal value modular projects receive.

Ron Smith, Vice President of Sales and Marketing at Land/Home Financial Services, Inc. notes “funding of loans for modular projects consistently appraise for more than acquisition costs, which is a huge selling point in this economy.”

Modular Building Eagle Ridge homes begin life in a modular home factory. Factory construction produces some clear advantages over traditional construction. The “Green factor” is the process that creates less waste and pollution. The factory process all but eliminates mold and moisture infiltration. These conditions are common during traditional on-site construction.

A modular-built home can cost up to 50% per square foot less and is normally built in half the time of traditional on-site constructed homes. Once completed, modular homes consistently appraise for more than acquisition price. The bottom line is, Eagle Ridge luxury modular home designs are built faster, last longer, have a smaller greener footprint making them a greater value all around.

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Strategic Sequence

Design Differences Prior to foundation construction, vacant lots will be identified and a sign placed in the driveway entrance. Once the site work is completed, installation of the architectural foils can begin.

The other lots will be marked with the model’s footprint by an outline of crushed stone. The combination of outline and architectural foil will help the prospective buyers visualize their home and all of its gorgeous vistas.

One complete model will be built, finished and be fully staged, ready for buyer walk-through. In the subterranean theater, a video commercial will loop showing the various design models and available luxury options. There will also be a 3D scale site model on display, showing the various models on their assigned lots.

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Distinctive Features

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Clear Round Pneumatic Elevator Subterranean Theater Room Adjacent Kitchenette Radiant Heated Floors 4 12

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Solar Panels on Roof Gourmet Kitchen Xeriscape Planting Eagle Ridge

Marketing the Differences Understanding the market and why we are different

The real estate sales/marketing efforts will be headed up by seasoned veteran Carol Huston of Sotheby’s International Realty.

Full Sail Investments has pulled together a team of industry leaders and experts to launch a comprehensive sales and marketing campaign.

We believe the location, design and environmental qualities of this project will attract the right buyer for this market. Getting in front of that market falls to our partners at Sotheby’s International Realty and sageCADRE Marketing.

By creating a team of journeymen finish builders with specialties in modular construction, we have positioned ourselves as the definitive industry leaders.

We find no need to compete on quality, speed or sustainability since we set that standard. We confidently predict project completion ahead of a traditional construction schedule.

This combination brings a storied history as both an architectural boutique Realty firm, and an experienced sales team in Carol who will aggressively bring this project the attention it deserves in the Los Angeles and worldwide markets.

Carol Huston

Rik D. Middleton, Principal Thinker for sageCADRE Marketing will develop and deliver the overall strategic marketing plan including: project website, 3D virtual models, public relations and outreach to key real estate offices and professionals who focus on architecturally significant modern luxury home designs.

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Rik Middleton

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Investment Opportunity Opportunities The Eagle Ridge cost is projected at approximately $8,000,000.

This includes excavation, hill remediation, road, driveway, gateway, city utilities and perimeter walls, the construction of a model home and the eight (8) permit-ready lots.

Full Sail Investments is offering a promissory note to private investors.

The funds raised through private investors will be subordinate to construction loans. The Investment is secured in accordance with the private placement memorandum. Full Sail Investments expects to reach a break-even point upon the sale of the 6th home.

Our target is to finalize parcel acquisitions in the fall of 2014 and begin construction in the spring of 2015.

Funding Agreements Full Sail Investments has agreements in place with several major funding sources. Funding sources have come on board to provide commercial project financing. CountryPlace Mortgage is the nation’s premier lender for modular homes and will offer mortgages for buyers.

The team at Land Home Financial Services has pledged its personalized service to our clients and partners, offering homebuyers of modular homes with mortgage options.

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The Team Extended Team List

Brad McDonald- Reveal Studio Brad is a California-licensed architect with global experience. He has headed his own architectural firm, designing and implementing his unique designs for the last 10 years. Brad distinguished himself as the past president of the San Fernando Valley chapter of the American Institute of Architects in which he remains very active.

Accountant HKG Certified Public Accountant Architect Reveal Studio, Inc. Certified Sustainable Building Advisor: Verde Concepts Civil Engineering Barger Engineering Grading Contractor Mallen Excavating & Grading Co. Land Use Consultants Craig Lawson & Co., LLC Lighting Consultant Visual Terrain Pool Consultant Mark L Smith A&E Marketing sageCADRE, Rik D. Middleton Soils & Geotechnical Engineering Mark Kruger Geology, Inc. Structural Engineering RGSE, Inc. Surveyor Chris Nelson Assoc. Inc. Registered Arborist Lisa Smith, RCA # 4645

Brad’s 12 years of experience with Walt Disney Imagineering made him more than competent integrating multiple complex systems into a cohesive design.

With Brad’s experience, you are not getting just an Architect- you are getting someone with the experience to take projects from concept to completion.

Most recently, Brad completed a newly constructed hillside home in Mt. Washington (the “Veil”) as his personal speculative project. This property received an AlA award for its design. It sold in February of 2012 within a week of listing for $200,000 above market and $50,000 above asking. In review of this success, Brad attributes his success to a winning combination of design, features, orientation of the home to the vistas as well as a solid marketing team.

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