PROPERTY MANAGEMENT AGREEMENT
Exhibit 10.48
THIS PROPERTY MANAGEMENT AGREEMENT (this “Agreement”) is made and entered into as of January 24, 2007, between TRT Alliance Skokie, LLC, a Delaware limited liability company (hereafter referred to as “Owner”), and Xxxxx Xxxx LaSalle Americas (Illinois) L.P., an Illinois limited partnership (hereinafter referred to as “Property Manager”);
RECITALS:
A. Owner has acquired an approximately 105,924 square foot building located at 00 Xxxxxx Xxxxxxxxx, Xxxxxxxxxx, Xxxxxxxx 00000 (the “Premises”).
B. The Property Manager is experienced in the management, operation and maintenance of properties similar to the Premises;
C. Owner desires to engage the Property Manager as an independent contractor to manage, operate and maintain the Premises and to provide certain financial statements and reports to Owner with respect to the Premises and Property Manager desires to accept such engagement, all subject to the terms and conditions of this Agreement.
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties hereto agree as follows:
ARTICLE 1
APPOINTMENT AND AUTHORITY OF THE PROPERTY MANAGER
The Owner hereby retains the Property Manager as the exclusive property manager for the Premises commencing upon the date hereof, which shall also be the date the Property Manager accepts such appointment on the terms and conditions hereinafter set forth. The Property Manager hereby represents to the Owner that it is properly licensed in the State of Illinois to perform all of the services required of it pursuant to this Agreement.
ARTICLE 2
THE PROPERTY MANAGER’S AGREEMENT
2.1 Duties of Manager. The Property Manager agrees to manage, maintain and operate the Premises so that the improvements thereon shall be operated and maintained in keeping with building structures of its type and age and the Budget (as defined below), to comply with the Owner’s accounting and other instructions, to utilize the Property Manager’s staff as necessary to manage the Premises in the best interests of the Owner, and in connection therewith:
(a) To enter into, make and perform or supervise the performance of such contracts, agreements, and other undertakings, and to do such other acts, as it deems necessary or advisable for the operation, maintenance and management of the Premises pursuant to the terms of this Agreement. All such contracts, agreements and undertakings shall be between the Property Manager, acting as agent for the Owner, and the service provider and shall provide that they are terminable upon the earlier of thirty (30) days notice or a sale of the Premises. Property Manager will not enter into any contract, agreement or undertaking with any entity affiliated with Property Manager unless such contract, agreement or undertaking is on commercially reasonable terms and
the nature of the affiliation has been disclosed in writing to Owner and Owner has approved the contract, agreement or undertaking;
(b) To select, employ, pay, supervise, direct and discharge all employees used in the operation and maintenance of the Premises, and to deduct from their compensation and keep a record of, all withholding and other taxes, contributions and deductions required by law or contract; to carry Employer’s Liability Insurance in an amount not less than $500,000 per occurrence and Worker’s Compensation Insurance covering such employees in an amount sufficient to provide statutory benefits as required by the laws of the State of Illinois or $500,000, whichever is greater, and to use reasonable care in the selection of such employees. All persons employed in connection with the operation and maintenance of the Premises shall be employees of the Property Manager and subject to control by the Property Manager only and any wages, salaries or benefits payable to such employees shall be the responsibility of Property Manager with no right of reimbursement from Owner unless otherwise expressly approved by Owner.
(c) To employ or engage such managers, building engineers, accountants, and other persons necessary or appropriate to manage and operate the Premises and to prepare the Reports (as hereinafter defined), consistent with the Budget; all space, services, equipment and software used, or any part thereof, shall be obtained, employed and paid for by the Property Manager, with no right of reimbursement from the Owner unless otherwise expressly approved by Owner;
(d) At Owner’s request and upon express mutual agreement of the parties as to reasonable compensation to Property Manager therefore, to coordinate, supervise and arrange for the installation of improvements as may be requested by Owner or required by any now or thereafter existing leases of any portion of the Premises (each singly a “Lease” and collectively, the “Leases”) with the tenants thereunder (each singly a “Tenant” and collectively, the “Tenants”) at the inception of each Lease in accordance with plans and specifications approved by the Owner in writing prior to the commencement of such installation; to coordinate, supervise and arrange for the making of ordinary repairs, improvements and alterations and performing other services to the Premises, in accordance with plans and specifications approved by the Owner in writing prior to the commencement of such repairs, improvements and alterations (such installation, making of repairs, improvements and alterations is hereinafter referred to as “Tenant Work”); provided that Owner and Property Manager have not previously agreed to any additional compensation for this work as above set forth and Property Manager desires to do the same, the Property Manager may collect a fee from the Tenant for the supervision of such work, subject to the Owner’s prior written approval, which shall not be unreasonably withheld; and the Property Manager shall hold the Owner harmless from any and all claims which may be advanced by any such Tenant in connection with Tenant Work performed under the Property Manager’s supervision.
(e) Not to perform any Tenant Work unless otherwise agreed between the parties;
(f) Not to employ or otherwise contract with any corporation or other entity in which the Property Manager (or any subsidiary, affiliate, or related corporation) shall have a financial interest for the purpose of performing the Tenant Work (unless otherwise expressly approved by Owner);
(g) To maintain current and accurate records reflecting the status of taxes, assessments, and other charges which are or may become a lien upon any of the Premises, the status of mortgage payments and ground lease payments (if any) and the status of insurance premiums and fire and hazard insurance coverage with respect to any of the Premises; if requested by the Owner, to obtain, from time to time, all bills for the payment of such charges (including renewal premiums); and to pay
all taxes, assessments and other charges which are or may become a lien upon any of the Premises and, if requested by the Owner, all insurance premiums, mortgage payments and ground lease payments, prior to the applicable penalty or termination date, provided that the Property Manager has knowledge of such insurance premiums, mortgages or ground leases;
(h) To handle complaints and requests from Tenants; and to notify the Owner promptly of any significant or repetitive complaint made by Tenants in the Premises, to include all work orders as an attachment to the monthly report and to notify the Owner promptly (together with copies of supporting papers) of any notice of violation of any governmental requirements, any defect in the Premises, any fire or other material damage to the Premises and, in the case of any fire or other material damage within the coverage of any insurance policies thereon, to notify the insurance carrier promptly in accordance with the requirements of the insurance policies and within such time that an insurance adjuster may view the damage before any repairs are started, and to complete customary loss reports in connection with fire or other damage to the Premises;
(i) To notify the Owner promptly of any personal injury or property damage occurring on the Premises and which gives rise to, or might give rise to, a claim by the Owner, any Tenant or a third party; and to immediately forward to the Owner any summons, subpoena, or other legal document served upon the Property Manager relating to actual or alleged potential liability of the Owner, the Property Manager, or the Premises;
(j) To advise the Owner of pertinent covenants in Leases in which the Tenants agree to hold the Owner harmless with respect to liability from any accidents and/or to replace broken glass, and to secure from such Tenants and forward to the Owner any certificates of insurance, and renewals thereof, required to be furnished by the terms of such Leases;
(k) To instruct each Tenant to send all rents, revenues and other payments due or to become due under the Leases directly to the Depository Account, or to such other address as Owner may direct;
(l) To receive and collect rent, revenues and other payments due or to become due to the Owner by all Tenants and licensees in the Premises and all other payments, cash or income of any kind or nature due or to become due to the Owner on account of the Premises which for any reason are not sent by the Tenants to the Depository Account and to deposit the same promptly in the Depository Account, as provided in Section 2.2 hereof, not later than the Business Day (as hereinafter defined) following the receipt thereof. For the purposes of this Agreement “Business Day” shall mean any day other than (i) a Saturday or Sunday, or (ii) a day on which banks generally are authorized or obligated by law or executive order to be closed. In the event state law requires that Tenant security deposits be held in a separate account or if instructed to do so by the Owner, such account shall be established by the Property Manager, as approved by the Owner;
(m) To disburse funds from the Operating Account (as hereinafter defined) to pay costs and expenses incurred in connection with the Premises, subject to the Budget (as hereinafter defined) or otherwise as authorized by the Owner;
(n) To institute with the prior approval of the Owner, all legal actions or proceedings for the collection of rent or other income from the Premises, for the enforcement of any obligations of Tenants, licensees or others, or for the ousting or dispossessing of Tenants or other persons therefrom. The Owner reserves the right to designate counsel and to control litigation of any character affecting or arising out of the leasing or operation of the Premises, the enforcement of rent or other obligations, and the ousting or dispossessing of Tenants or other persons therefrom;
(o) To advise the Owner regarding the need, in the Property Manager’s reasonable opinion, to challenge the real estate taxes for the Premises. The Property Manager shall furnish the Owner with copies of all assessments notices and receipted tax bills;
(p) To notify the Owner immediately of any fire or other casualty, lawsuit or threat thereof involving the Premises, and to notify the Owner of any alleged violations under governmental laws, rules, regulations, ordinances, or like provisions, whether or not relative to the use, repair and maintenance of the Premises; the Property Manager will not bear responsibility for any such violation or noncompliance unless such violation or noncompliance is due to the negligence of the Property Manager or its employees, including the failure of the Property Manager to notify the Owner and to take appropriate action with respect to such violations or noncompliance of which the Property Manager has actual knowledge (to the extent authorized by the approved Budget for such year);
(q) To reasonably comply with (i) all laws, ordinances, orders, rules, regulations and requirements of all federal, state, municipal or other governmental authorities, courts, commissions, boards and officers, and (ii) the provisions of any contract which may be applicable to the Premises and the operation or management thereof and of which the Property Manager has received a copy; and
(r) To make application for all consents, permits and approvals required pursuant to applicable zoning laws as approved by the Owner;
Notwithstanding anything herein to the contrary, the Property Manager may not enter into any Lease or amend, modify, waive or vary the terms of any Lease.
2.2 Bank Accounts. The Owner has established a depository account (the “Depository Account”) at the bank named on Exhibit A attached hereto and made a part hereof (which bank or any replacement bank named by the Owner is the “Bank”), to which Depository Account all Tenants are to send all rents, revenues and payments due or to become due under the Leases. The Owner has instructed the Bank to deposit the funds so received into the Deposit Account; the Owner has further instructed the Bank to transfer sufficient funds from the applicable Deposit Account for the Premises to a separate Operating Account for the Premises (the “Operating Account”), as established by the Owner at the Bank, sufficient to cover the disbursements from the Operating Account. The Owner shall have the right to approve the persons having signing authority with respect to the Operating Accounts; and provided further that any check or withdrawal for an amount of $5,000.00 or more shall require two signatures.
2.3 Reports. The Property Manager agrees to render to the Owner, on or before the fifth (5th) day of each month for the preceding month in a form as reasonably required and detailed in advance from time to time by the Owner, the statements and the other reports listed in Exhibit C attached hereto as to the Premises (the “Reports”).
2.4 Records. The Property Manager agrees to maintain, in its offices in Chicago, Illinois, current and accurate records and accounts of all transactions pertaining to the operation of the Premises and the funds received and disbursed incident thereto, such records and accounts to be maintained on an accrual and cash basis in accordance with generally accepted accounting principles applied on a consistent basis from year to year, using a computerized property management software system approved by the Owner. Such files, books and records shall at all times be the property of Owner. After the termination or expiration of this Agreement, the Property Manager shall retain canceled checks as to the Premises (except canceled checks
forwarded to the Owner in lieu of receipts), all employment records, and all other records with respect to the management or operation of the Premises as provided in Section 6.3 hereof.
At all times and from time to time during the term of this Agreement and at all times and from time to time during the period following the expiration or termination of this Agreement while the records are to be retained by the Property Manager in accordance with Section 6.2 hereof, the Owner and its duly authorized agents, representatives or employees may, upon reasonable prior notice to the Property Manager, examine, audit and copy (at Owner’s expense), during business hours or at such other times as might be reasonable under applicable circumstances, any and all of the books, records, files or other information of the Property Manager, or held by another for the Property Manager or on its behalf, concerning this Agreement, the Premises or the Owner.
This Section 2.4 shall survive the termination or expiration of this Agreement.
2.5 Accounting Controls. The Property Manager shall ensure such control over accounting and financial transactions as is reasonably required to protect the Owner’s assets from loss or diminution due to error or fraudulent activity on the part of the Property Manager’s associates or employees.
2.6 Proposed Operating Budgets. Not later than September 1, as to the succeeding calendar year, the Property Manager shall prepare and submit to the Owner, at the addresses set forth in Exhibit A, a proposed operating budget for the promotion, operation, repair and maintenance of the Premises. It is understood and agreed that, in order to prepare said operating budgets, the Property Manager must have received a budget of leasing expenses from the leasing agent for the Premises and the Owner will cause the leasing agents (other than the Property Manager) to provide to the Property Manager a budget of leasing expenses not later than each August 15th, commencing August 15, 2007, as to the succeeding fiscal year.
2.7 Approved Budget. The Owner will consider the proposed budgets and will then consult with the Property Manager in the ensuing period prior to the commencement of the next succeeding calendar year in order to agree on an approved budget (the “Budget”) for the Premises for the next succeeding calendar year. If by January 1 of each fiscal year, the Owner has not authorized an approved Budget as to the Premises for such year, the Property Manager shall operate and maintain the Premises for which no Budget has been approved pursuant to the Budget for such Premises of the preceding calendar year, except that expenses permitted by the previous year’s Budget for such Premises shall be increased by an additional five percent (5%) of said previous year’s Budget for such Premises for expenses until such approval is obtained.
The Property Manager shall secure the Owner’s prior written approval for any expenditure that would result in an excess of ten percent (10%) over the Budgeted amount for Premises in any one accounting category of the Budget for the Premises; provided, however, in the event the Property Manager reasonably believes that an expenditure in excess of such permitted amounts is necessary to prevent imminent harm to persons or property or to prevent an imminent threat of suspension of services to the Premises, the Property Manager is authorized to incur and pay such sum on behalf of the Owner, in which case the Property Manager shall notify the Owner with reasonable details within 24 hours after the action was taken.
During each calendar year the Property Manager shall promptly inform the Owner of any major increases in costs and expenses that were not foreseen during the budget preparation period and thus were not reflected in the Budget for the Premises and the Owner shall promptly consider in good faith whether the Budget should be amended by reason thereof.
2.8 Tenant Relations. The Property Manager agrees to use the Property Manager’s best efforts to maintain tenant relations and to induce Tenants to renew their Leases for the Premises. Both parties acknowledge that the Property Manager is not performing brokerage or leasing services pursuant to this
Agreement and that the Owner may from time to time engage one or more real estate brokers or leasing agents for this purpose, which may or may not be the Property Manager or an affiliate of the Property Manager, at the sole discretion of the Owner.
ARTICLE 3
THE OWNER’S AGREEMENTS
3.1 Documents and Records. The Owner shall promptly furnish the Property Manager with all documents and records required to properly manage the Premises, including but not limited to Leases, records of rental payments, loan payment information, and copies of existing service contracts, to the extent in the Owner’s possession.
3.2 Direct Payments. The Owner, at its option, and upon notice to the Property Manager, may pay directly all taxes, special assessments, insurance premiums, mortgage payments, ground lease payments and rent for the real property in which the Premises are located.
ARTICLE 4
INSURANCE AND INDEMNITY
4.1 Insurance Coverage. The Property Manager shall consult with the Owner and shall recommend to the Owner insurance companies and policies for such insurance coverage as the Owner and the Owner’s lender or lenders may require. During the term of this Agreement, the Owner will obtain and keep in full force insurance meeting the requirements set forth on Exhibit D attached hereto (or as Owner shall otherwise determine. Such insurance shall be primary in coverage to any similar insurance maintained by property Manager and shall name Property Manager as an additional insured. The Property Manager, at its sole cost and expense, shall procure and maintain the fidelity bond or comprehensive crime insurance and the insurance, as described on Exhibit D, in amounts not less than the amounts set forth on Exhibit D.
4.2 Information. The Property Manager shall furnish whatever information is reasonably requested by the Owner and in Property Manager’s possession for the purpose of determining the proper levels of insurance coverage.
4.3 Owner Indemnity. The Property Manager agrees to use a degree of care that would be exercised by a prudent property manager in the same or similar circumstances in the performance of its duties and obligations hereunder. The Owner agrees to indemnify, defend, and hold Property Manager harmless from and against any and all loss, damage, or expense, including court costs and reasonable attorneys’ fees, arising out of, or resulting from the good faith exercise of Property Manager’s judgment, consistent with said standard of care, with respect to such duties and obligations, and the Owner shall have no claim against the Property Manager (a) by reason of any act or omission in such exercise of such judgment relative to the performance of said duties and obligations, provided the Property Manager was not negligent or guilty of willful misconduct or (b) for any loss for which Owner has otherwise been reimbursed by the insurance required under Section 4.1.
4.4 Property Manager Indemnity. The Property Manager shall indemnify and save harmless the Owner against and from all liability, suits, claims, demands and costs by or on behalf of any third parties, including persons, firms, or corporations, due to or arising out of any negligence or willful misconduct on the part of the Property Manager, its employees, or the Property Manager’s breach of its obligations under this Agreement.
4.5 Waiver of Claims. If any applicable insurance policy is not invalidated by such waiver and release, the Owner and the Property Manager hereby waive and release any claim, demand or right, including
all rights of subrogation, they and all others under them, including any insurer, might otherwise have to recover from the other party, or their contractors or employees, for damage to or destruction of any of their real or personal property situated on the Premises. resulting from the negligence of the other party, or their contractors or employees, to the extent that the Owner or the Property Manager, as the case may be, is compensated by insurance for such damage or destruction and including any deductibles, self insurance or self insured retentions irrespective of the cause thereof. If necessary, the Owner and the Property Manager shall obtain any necessary waiver from their respective insurers.
ARTICLE 5
MANAGEMENT FEES
5.1 Management Fees. As management fees for services to be performed by the Property Manager in managing, operating and maintaining the Premises in accordance with the provisions of this Agreement, the Owner agrees to pay to the Property Manager compensation on the basis specified in Exhibit B.
ARTICLE 6
MISCELLANEOUS
6.1 Termination. Notwithstanding anything herein to the contrary, this Agreement will terminate as to the Premises upon the earlier of: (i) the date on which title to the Premises ceases, for any reason, including without limitation a sale, a foreclosure or a conveyance in lieu of foreclosure, to be owned by the Owner; (ii) the earliest of (A) thirty (30) days after Property Manager receives written notice of a default in its performance of any of the terms and conditions of this Agreement provided that such default is continuing and remains uncured thirty (30) days after receipt of such written notice, of (B) the date on which Property Manager makes any assignment for the benefit of creditors, commits any act of bankruptcy, or files a petition under any bankruptcy or insolvency law, or (C) sixty (60) days after a petition is filed against Property Manager by another party, provided such petition remains undismissed sixty (60) days after such filing, or (iii) thirty (30) days after Owner or Property Manager receives written notice of termination of this Agreement from the other party hereto without cause.
6.2 Record Retention. Upon the expiration or termination of this Agreement for any reason, the parties will cooperate with each other to effect an efficient and smooth transition of responsibility with respect to the management and recordkeeping of the Premises and the Property Manager, as directed by the Owner, either will (i) at the Owner’s expense, immediately deliver all documents, files, books, paper, accounts and computer files and/or software (if such software is owned by the Owner) relating to the Premises that are in the Property Manager’s possession or under the Property Manager’s control (the “Records”) to the control of the Owner, or (ii) at the Owner’s expense, hold the Records for not less than twelve (12) months, provided, however, that (i) if the Property Manager intends to dispose of the Records at any time after twelve (12) months following the expiration or termination of this Agreement, the Property Manager shall first give the Owner written notice of its intent to dispose of the Records and offer to deliver the Records to the Owner; unless the Owner requests that the Property Manager dispose of the Records, by written notice to the Property Manager within thirty (30) days following such notice from the Property Manager, the Property Manager shall deliver the Records to the Owner immediately following the end of such thirty (30) day period; and (ii) at any time while the Property Manager is holding the Records following the expiration or termination of this Agreement, the Property Manager shall deliver the Records to the Owner immediately following written request therefore from the Owner. The Property Manager may make and maintain copies of such records for its files at the Property Manager’s expense. At the Owner’s request, the
Property Manager shall notify all Tenants of any change in payment instructions and all other parties, including but not limited to tax authorities, of any change in billing address.
6.3 Authorized Representatives. The Owner from time to time shall designate to the Property Manager in writing the duly authorized representative or representatives of the Owner (the initial designation being contained in Exhibit A hereto) for the purpose of this Agreement and any statement, notice recommendation, request, demand, consent or approval under this Agreement shall be in writing and shall be deemed given by the Owner when signed by such designated person or persons (as to the Owner) and (a) delivered personally to a representative of the Property Manager (b) when mailed by Certified Mail, Return Receipt Requested, postage prepaid, addressed to the Property Manager at the last designated address given to the Owner or (c) by fax with confirmation of receipt, or if directed to the Owner, it shall be deemed given when (a) delivered personally to,(b) when mailed by Certified Mail, Return Receipt requested, postage prepaid, addressed to the Owner’s designated representative at the last address furnished to the Property Manager or (c) by fax with confirmation of receipt. Either party may, by written notice, from time to time designate a different address or different individuals as its authorized representative or representatives.
6.4 Assignment. This Agreement may not be assigned by either party except upon written consent of the other party and cannot be changed orally, but only by a writing signed by both parties.
6.5 Limited Liability. Each party’s liability hereunder shall be limited to its assets; and no partner, director, officer, agent, servant, employee, representative or affiliate of either party shall have any personal liability in connection with the Agreement. Neither party shall be liable to the other for, and each party hereby waives any and all rights to claims against the other party, any consequential, punitive or exemplary damages in connection with this Agreement, including, but not limited to, lost revenue or profits, even if a party has knowledge of the possibility of such damages; and except for Manager’s indemnification obligations set forth above, in no event shall Manager’s liability to Owner hereunder exceed an amount equal to the greater of annual fees paid to it or One Million Dollars.
6.6 Counterparts. This Agreement may be executed in counterparts, all of which, when taken together, shall constitute one and the same original.
6.7 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Illinois, without giving effect to the conflict of law principles of such state.
[Remainder of Page Intentionally Left Blank]
IN WITNESS WHEREOF, the parties have executed this Master Property Management Agreement as of the date first above written.
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OWNER: |
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TRT Alliance Skokie, LLC, a Delaware limited liability company |
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By: TRT Alliance XX XX GP, a Delaware general partnership |
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Its: sole member |
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By: 40 Skokie Associates,
LLC, a Colorado limited liability |
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Its: managing general partner |
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By: Alliance Real Estate
Value Fund III, LLC, a Delaware limited |
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Its: manager |
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By: AVF Management, LLC, a Colorado limited liability company |
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Its: managing member |
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By: |
/s/ [ILLEGIBLE] |
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Its: |
Member |
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PROPERTY MANAGER: |
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Xxxxx Lang LaSalle Americas (Illinois), L.P., an Illinois limited partnership |
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By: |
/s/ [ILLEGIBLE] |
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Its: |
Managing Director |
EXHIBIT A
1. Name of Bank:
Bank of America
2. The Owner’s representative and address is:
TRT Alliance Skokie, LLC
c/o Alliance Commercial Partners, LLC
160 Xxxxx Xxxxx Xxxxxxxxx, Xxxxx 000
Xxxxxxxx, XX 00000
Attn: Xxxxxxx XxXxxxxxx
Fax: 000-000-0000
3. The Property Manager’s representative and address is:
Xxxxx Lang LaSalle Americas (Illinois), L.P.
200 X. Xxxxxxxx Xxxxx
Xxxxxxx, XX 00000
Attn: Xxxxx Xxxxxxx
Fax: 000-000-0000
With a copy to:
Xxxxx Xxxx LaSalle Americas (Illinois), L.P.
200 Xxxx Xxxxxxxx Xxxxx
Xxxxxxx, XX 00000
Attn: Americas General Counsel
Fax: 000-000-0000
4. Addresses of the Premises:
40 Xxxxxx Xxxxxxxxx
Xxxxxxxxxx, XX 00000
EXHIBIT B
COMPENSATION FOR MANAGEMENT SERVICES
1. Management fees: As full compensation and reimbursement for performing the management services provided for in the Agreement, the Owner agrees to pay the Property Manager during the term of this Agreement, as management fees, a monthly amount equal to two and a half percent (2.5%) of the monthly gross rental collections from the Premises.
2. Construction Management Fees. In the event Owner requests Property Manager to provide construction management and/or construction administrative services in connection with Tenant Work and building capital expenditures, Owner agrees to pay Property Manager a fee as outlined in the following schedule:
For projects between $10,000 and $200,000, a fee of 3.0% of the total construction cost;
For projects between $201,000 and $300,000, a fee of 2.5% of the total construction cost;
For projects between $301,000 and $500,000, a fee of 2.0% of the total construction cost;
For projects above $500,000, a fee to be negotiated by Owner and Property Manager.
EXHIBIT C
List of Reports
All books, records, and reports must be in accordance with U.S. GAAP
PROPERTY NAME
Owner’s Monthly Report Transmittal Form
Property Name
For the Month Ended XX/XX/20XX
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ITEM |
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INCLUDED |
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GAAP (Books on XX/31 basis): |
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Balance Sheet (Accrual Basis) |
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X |
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Summary Income Statement (Accrual Basis) |
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X |
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Detail Income Statement (Accrual Basis) |
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X |
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Trial Balance (MTD & YTD) |
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X |
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General Ledger (Accrual Basis) |
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X |
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Bank Reconciliations |
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X |
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Accounts Receivable Aging |
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X |
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A/R Aging Explanations - Over 90 Days |
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X |
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Allowance for Uncollectible Rent Schedule |
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X |
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Accounts Payable Aging |
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X |
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Security Deposit Report |
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X |
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Rent Roll |
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X |
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Reconciliation of Rent Roll to Billing |
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X |
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Management Fee Calculation |
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X |
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Supporting Schedules for all remaining Balance Sheet Accounts |
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X |
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BUDGET (Books on 12/31 basis): |
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Property Overview |
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X |
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Balance Sheet (Cash Basis) |
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X |
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Summary Income Statement (Cash Basis) |
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X |
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Detail Income Statement (Cash Basis) |
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X |
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General Ledger (Cash Basis) |
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X |
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Variance Analysis |
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X |
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Leasing Report |
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X |
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Lease Expirations |
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X |
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EXHIBIT C-1
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Master Chart of Accounts |
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Version 040903 |
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ASSETS |
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Header |
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CURRENT ASSETS |
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Header |
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1000 |
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Suspense - balance should always be zero |
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1001 |
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Cash - Property Operating Account |
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1002 |
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Cash - Partnership Operating Account |
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1003 |
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Cash - Money Market Investment Account |
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1004 |
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Xxxx - Xxxxx Cash |
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1005 |
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Cash - Payroll |
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1006 |
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Cash - Other Unrestricted Account |
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1000-1010 |
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Total Unrestricted Cash |
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Total |
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1011 |
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Cash - Security Deposits Held |
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1012 |
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Cash - Debt Reserve Account |
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1013 |
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Cash - Replacement Reserve Account |
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1014 |
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Cash - Tax Escrow Account |
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1015 |
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Cash - Insurance Escrow Account |
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1016 |
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Cash - Interest Reserve Escrow |
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1017 |
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Cash - Lockbox Account |
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1018 |
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Cash - Utility Deposits |
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1019 |
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Cash - Other Restricted Account |
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1011-1025 |
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Total Restricted Cash |
|
Total |
|
1026 |
|
Prepaid Sales Taxes |
|
|
|
1027 |
|
Prepaid Property Taxes |
|
|
|
1028 |
|
Prepaid Income Taxes |
|
|
|
1029 |
|
Prepaid Excise Taxes |
|
|
|
1030 |
|
Prepaid Liquor Taxes |
|
|
|
1031 |
|
Prepaid Occupancy Taxes |
|
|
|
1032 |
|
Prepaid County Taxes |
|
|
|
1033 |
|
Prepaid Other Taxes |
|
|
|
1034 |
|
Prepaid State Wage Taxes |
|
|
|
1035 |
|
Prepaid Federal Wage Taxes |
|
|
|
1036 |
|
Prepaid FICA Wage Taxes -Employee |
|
|
|
1037 |
|
Prepaid FICA Wage Taxes -Employer |
|
|
|
1026-1045 |
|
Total Prepaid Taxes |
|
Total |
|
1046-1050 |
|
RESERVED - DO NOT USE |
|
|
|
1051 |
|
Prepaid Casualty Insurance |
|
|
|
1052 |
|
Prepaid Liability Insurance |
|
|
|
1053 |
|
Prepaid Other Insurance |
|
|
|
1051-1060 |
|
Total Prepaid Insurance |
|
Total |
|
1061 |
|
Accounts Receivable - Tenants |
|
|
|
1062 |
|
Asset Manager Defined |
|
|
|
1063 |
|
Asset Manager Defined |
|
|
|
1064 |
|
Asset Manager Defined |
|
|
|
1065 |
|
Under Collection of CAM Costs |
|
|
|
1061-1075 |
|
Total Accounts Receivables (Tenant / Lease Related) |
|
Total |
|
1076 |
|
Allowance for Uncollectable Tenant Receivables |
|
|
|
1076-1080 |
|
Allowance for Uncollectable Tenant Receivables |
|
Total |
|
1081 |
|
Accounts Receivables Others (non related) |
|
|
|
1082 |
|
Accounts Receivable - Property Manager |
|
|
|
1086-1090 |
|
RESERVED - DO NOT USE |
|
|
|
1081-1090 |
|
Other Receivables |
|
Total |
|
1091 |
|
Allowance for Uncollectable Other Receivables |
|
|
|
1091-1095 |
|
Allowance for Uncollectable Other Receivables |
|
Total |
|
1096-1130 |
|
RESERVED - DO NOT USE |
|
|
|
1131-1150 |
|
RESERVED - DO NOT USE |
|
|
|
1151 |
|
Accounts Receivable - Asset Manager |
|
|
|
1152 |
|
Accounts Receivable - Dividend |
|
|
|
1153 |
|
Accounts Receivable - Other Capital Partners |
|
|
|
1151-1160 |
|
Total Accounts Receivables -Related Party |
|
Total |
|
1161 |
|
Prepaid Dues |
|
|
|
1162 |
|
Prepaid Expenses |
|
|
|
1163 |
|
Other Current Assets |
|
|
|
1161-1170 |
|
Total Other Current Assets |
|
Total |
|
1171-1180 |
|
RESERVED - DO NOT USE |
|
|
|
1181-1200 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
Total Current Assets |
|
Total |
|
|
|
|
|
|
|
|
|
Long Term Assets |
|
Header |
|
|
|
Fixed Assets |
|
Header |
|
1201 |
|
Land |
|
|
|
1202 |
|
Site Improvements |
|
|
|
1203 |
|
Air Rights |
|
|
|
1204 |
|
Permanent Impairment in Land Value (Contra Asset) |
|
|
|
1201-1210 |
|
Total Land |
|
Total |
|
1211 |
|
Architect Fees |
|
|
|
1212 |
|
Developer Fees |
|
|
|
1213 |
|
General Contractor Fees |
|
|
|
1214 |
|
Other Professional Fees |
|
|
|
1215 |
|
Capitalized Interest |
|
|
|
1216 |
|
Other Capitalized Lending Costs |
|
|
|
1217 |
|
Appraisal Fees |
|
|
|
1218 |
|
Legal Fees |
|
|
|
1219 |
|
Property Taxes |
|
|
|
1220 |
|
Environment and other Studies |
|
|
|
1221 |
|
Inspections |
|
|
|
1222 |
|
Permits |
|
|
|
1200 |
|
Xxx Xxxx Xxxxxxx |
|
|
|
0000 |
|
Xx Xite Charges |
|
|
|
1225 |
|
Engineering |
|
|
|
1226 |
|
Surveyor |
|
|
|
1227 |
|
Insurance |
|
|
|
1228 |
|
Interior Design |
|
|
|
1229 |
|
Utilities |
|
|
|
1230 |
|
Construction/Sales Trailer |
|
|
|
1231 |
|
Grand Opening Costs |
|
|
|
1232 |
|
Cleaning/Maintenance/Security |
|
|
|
1233 |
|
Marketing Costs |
|
|
|
1234 |
|
Hard Costs - Constructions |
|
|
|
1235 |
|
Hard Costs - Site Work |
|
|
|
1211-1250 |
|
Total Construction In Progress |
|
Total |
|
1251 |
|
Building Costs |
|
|
|
1252 |
|
Permanent Impairment in Building Value(Contra Asset) |
|
|
|
1251-1260 |
|
Building |
|
|
|
1261 |
|
Building Improvements - HVAC Renovation |
|
|
|
1262 |
|
Building Improvements - Common Areas |
|
|
|
1263 |
|
Building Improvements - Model/Spec Space/Landlord Work |
|
|
|
1264 |
|
Building Improvements - Renovations |
|
|
|
1265 |
|
Building Improvements - Parking Area |
|
|
|
1266 |
|
Building Improvements - Roof Replacement |
|
|
|
1267 |
|
Building Improvements - Miscellaneous Improvements |
|
|
|
1261-1275 |
|
Total Building Improvements |
|
Total |
|
1276-1280 |
|
RESERVED - DO NOT USE |
|
|
|
1281 |
|
Computer |
|
|
|
1282 |
|
Furniture and Fixtures |
|
|
|
1283 |
|
Office Equipment |
|
|
|
1284 |
|
Shop Equipment |
|
|
|
1285 |
|
Vehicles |
|
|
|
1281-1290 |
|
Total Furniture Fixtures & Equipment |
|
Total |
|
1291-1300 |
|
RESERVED - DO NOT USE |
|
|
|
1301-1310 |
|
Acquired Leases - Origination Value |
|
|
|
1311-1320 |
|
Capitalized Leasing Commissions |
|
|
|
1321 |
|
Tenant Improvements Completed |
|
|
|
1322 |
|
Tenant Improvements Work in Progress |
|
|
|
1321-1330 |
|
Capitalized Tenant Improvements |
|
Total |
|
1331 |
|
Loan Acquisition Costs |
|
|
|
1332 |
|
Loan Hedge Premiums |
|
|
|
1331-1340 |
|
Capitalized Loan Costs |
|
|
|
1341-1350 |
|
RESERVED - DO NOT USE |
|
|
|
1351-1400 |
|
Investment In Related Real Estate Company |
|
Total |
|
|
|
Total Investments in Related Real Estate Companies |
|
Total |
|
1401 |
|
Investment in Senior Loan-Qualifying |
|
|
|
1402 |
|
Investment in Mezzanine Loan-Qualifying |
|
|
|
1403 |
|
Investment in Debt Securities-Qualifying |
|
|
|
1404 |
|
Investment in Mortgage Pools-Qualifying |
|
|
|
1405 |
|
Investment in Other-Qualifying |
|
|
|
1401-1405 |
|
Investments In Debt Instruments-Qualifying |
|
Total |
|
1406 |
|
Investment in Senior Loan-Non Qualifying |
|
|
|
1407 |
|
Investment in Mezzanine Loan-Non Qualifying |
|
|
|
1408 |
|
Investment in Debt Securities-Non Qualifying |
|
|
|
1409 |
|
Investment in Mortgage Pools-Non Qualifying |
|
|
|
1410 |
|
Investment in Other-Non Qualifying |
|
|
|
1406-1410 |
|
Investments In Debt Instruments-Non Qualifying |
|
Total |
|
1411 |
|
Accrued Interest Senior Loans-Qualifying |
|
|
|
1412 |
|
Accrued Interest Mezzanine Loans-Qualifying |
|
|
|
1413 |
|
Accrued Debt Security Income-Qualifying |
|
|
|
1414 |
|
Accrued Interest Mortgage Pools-Qualifying |
|
|
|
1415 |
|
Accrued Interest Other-Qualifying |
|
|
|
1411-1415 |
|
Accrued Debt Investment Income-Qualifying |
|
Total |
|
1416 |
|
Accrued Interest Senior Loans-Non Qualifying |
|
|
|
1417 |
|
Accrued Interest Mezzanine Loans-Non Qualifying |
|
|
|
1418 |
|
Accrued Debt Security Income-Non Qualifying |
|
|
|
1419 |
|
Accrued Interest Mortgage Pools-Non Qualifying |
|
|
|
1420 |
|
Accrued Interest Other-Non Qualifying |
|
|
|
1416-1420 |
|
Accrued Debt Investment Income-Non Qualifying |
|
Total |
|
1421-1541 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
Accumulated Depreciation and Amortization |
|
Header |
|
1542 |
|
Accum Deprec Site Improvements |
|
|
|
1542-1550 |
|
Accum Deprec Land Improvements |
|
Total |
|
1551 |
|
Accum Deprec Building |
|
|
|
1561 |
|
Accum Deprec HVAC Renovation |
|
|
|
1562 |
|
Accum Deprec Common Areas |
|
|
|
1563 |
|
Accum Deprec Model/Spec/Landlord Work |
|
|
|
1564 |
|
Accum Deprec Renovations |
|
|
|
1565 |
|
Accum Deprec Parking Area |
|
|
|
1566 |
|
Accum Deprec Roof Replacement |
|
|
|
1567 |
|
Accum Deprec Miscellaneous Improvements |
|
|
|
1561-1575 |
|
Accum Depreciation Building Improvements |
|
Total |
|
1576-1580 |
|
RESERVED - DO NOT USE |
|
|
|
1581 |
|
Accum Deprec Computer |
|
|
|
1582 |
|
Accum Deprec Furniture and Fixtures |
|
|
|
1583 |
|
Accum Deprec Office Equipment |
|
|
|
1584 |
|
Accum Deprec Shop Equipment |
|
|
|
1585 |
|
Accum Deprec Vehicles |
|
|
|
1581-1590 |
|
Accum Depreciation FF&E |
|
Total |
|
1591-1600 |
|
RESERVED - DO NOT USE |
|
|
|
1601-1610 |
|
Accum Amortization Acquired Leases - Origination Value |
|
|
|
1611-1620 |
|
Accum Amortization Leasing Commissions |
|
|
|
1621-1630 |
|
Accum Amortization Tenant Improvements |
|
|
|
1631 |
|
Accum Amortization of Loan Acquisition Costs |
|
|
|
1632 |
|
Accum Amortization of Loan Hedge Premiums |
|
|
|
1631-1640 |
|
Accum Amortization of Loan Costs |
|
Total |
|
1641-1645 |
|
RESERVED - DO NOT USE |
|
|
|
1646-1650 |
|
Xxxx to Market Gain on Financing Hedge |
|
|
|
1651-1700 |
|
RESERVED - DO NOT USE |
|
|
|
1701 |
|
Organization Costs -(Call before using this account) |
|
|
|
1702 |
|
Amortization of Organization Costs (Call before using this account) |
|
|
|
1703-1710 |
|
Net Organization Costs - RESERVED |
|
|
|
1701-1710 |
|
Net Organization Costs |
|
Total |
|
1711 |
|
Long Term Receivable (Unrelated Party Qualifying) |
|
|
|
1712 |
|
Long Term Receivable (Related Party Qualifying) |
|
|
|
1711-1712 |
|
Long Term Receivable Qualifying |
|
Total |
|
1713 |
|
Long Term Receivable (Unrelated Party Non Qualifying) |
|
|
|
1714 |
|
Long Term Receivable (Related Party Non Qualifying) |
|
|
|
1713-1714 |
|
Long Term Receivable Non Qualifying |
|
Total |
|
1715 |
|
Other Long Term Assets |
|
|
|
1715 |
|
Other Long Term Assets |
|
Total |
|
1716-1720 |
|
RESERVED - DO NOT USE |
|
|
|
1721 |
|
Deferred Rent - Free Rent |
|
|
|
1722 |
|
Deferred Rent - Straight Line vs. Actual |
|
|
|
1721-1730 |
|
Deferred Rent |
|
Total |
|
1731-1740 |
|
Deferred Market Rent Asset - Acquired Leases |
|
|
|
|
|
Total Long Term Assets |
|
Total |
|
|
|
Total Assets |
|
Total |
|
1741-2000 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
Current Liabilities |
|
|
|
2001 |
|
Accounts Payable -Trade |
|
|
|
2002 |
|
Accounts Payable - Property Manager |
|
|
|
2003 |
|
Accounts Payable - Other |
|
|
|
2004 |
|
Excess Collection of CAM Costs |
|
|
|
2001-2020 |
|
Accounts Payable |
|
Total |
|
2021-2090 |
|
RESERVED - DO NOT USE |
|
|
|
2091 |
|
Accounts Payable - Asset Manager |
|
|
|
2092 |
|
Accounts Payable - Dividend |
|
|
|
2093 |
|
Accounts Payable - Other Capital Partners |
|
|
|
2094 |
|
Accounts Payable/Receivable - Inter-Deal Related Parties |
|
|
|
2095 |
|
Accounts Payable/Receivable - Intra Legal Entity |
|
|
|
2098-2100 |
|
Accounts Payable - Related Parties RESERVED |
|
|
|
2091-2100 |
|
Accounts Payable - Related Parties |
|
Total |
|
2101-2150 |
|
Accrued Expenses Payable |
|
|
|
2151-2190 |
|
RESERVED - DO NOT USE |
|
|
|
2191 |
|
Sales Taxes Payable |
|
|
|
2192 |
|
Property Taxes Payable |
|
|
|
2193 |
|
Federal Income Taxes Payable |
|
|
|
2194 |
|
State Income Taxes Payable |
|
|
|
2195 |
|
Provincial Income Taxes Payable |
|
|
|
2196 |
|
Excise Taxes Payable |
|
|
|
2197 |
|
Liquor Taxes Payable |
|
|
|
2198 |
|
Occupancy Taxes Payable |
|
|
|
2199 |
|
County Taxes Payable |
|
|
|
2200 |
|
Other Taxes Payable |
|
|
|
2200 |
|
Xxxxx Xxxx Xxxxx Xxxxxxx |
|
|
|
0000 |
|
Xxxxxxx Xxxx Xaxes Payable |
|
|
|
2203 |
|
FICA Wage Taxes Payable- Employee |
|
|
|
2204 |
|
FICA Wage Taxes Payable- Employer |
|
|
|
2191-2210 |
|
Taxes Payable |
|
Total |
|
2211-2220 |
|
RESERVED - DO NOT USE |
|
|
|
2221 |
|
Security Deposits Held |
|
|
|
2301-2310 |
|
RESERVED - DO NOT USE |
|
|
|
2311 |
|
Prepaid Rent |
|
|
|
2391-2600 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
Total Current Liabilities |
|
Header |
|
|
|
|
|
|
|
|
|
Long Term Liabilities |
|
Header |
|
2601 |
|
First Mortgage Payable |
|
|
|
2602 |
|
Accrued First Mortgage Interest |
|
|
|
2601-2610 |
|
First Mortgage Obligation |
|
Total |
|
2611 |
|
Second Mortgage Payable |
|
|
|
2612 |
|
Second Mortgage Accrued Interest |
|
|
|
2611-2620 |
|
Second Mortgage Obligation |
|
Total |
|
2621 |
|
Dividend First Loan to Joint Venture |
|
|
|
2622 |
|
Accrued Interest on Dividend First Loan |
|
|
|
2621-2625 |
|
Dividend Loan Obligation - First Mortgage |
|
Total |
|
2626 |
|
Dividend Second Loan to Joint Venture |
|
|
|
2627 |
|
Accrued Interest on Dividend Second Loan |
|
|
|
2626-2630 |
|
Dividend Loan Obligation - Second Mortgage |
|
Total |
|
2631 |
|
Other Claims |
|
|
|
2641-2645 |
|
RESERVED - DO NOT USE |
|
|
|
2646-2650 |
|
Xxxx to Market Loss on Financing Hedge |
|
|
|
2651-2660 |
|
Capital Lease Obligations |
|
|
|
2661-2730 |
|
RESERVED - DO NOT USE |
|
|
|
2731-2740 |
|
Deferred Market Rent Liability - Acquired Leases |
|
|
|
2741-2999 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
Total Long Term Liabilities |
|
Total |
|
|
|
Total Liabilities |
|
Total |
|
3000 |
|
RESERVED - DO NOT USE |
|
|
|
3001 |
|
Other Owner Preferred Equity Contributions |
|
|
|
3002 |
|
Other Owner Preferred Equity Accrual trade-to-date |
|
|
|
3003 |
|
Other Owner Preferred Equity Payments trade-to-date |
|
|
|
3004-3015 |
|
RESERVED - DO NOT USE |
|
|
|
3001-3015 |
|
Other Owner Preferred Equity |
|
Total |
|
3016 |
|
Dividend Preferred Equity Contributions |
|
|
|
3017 |
|
Dividend Preferred Equity Accrual trade-to-date |
|
|
|
3018 |
|
Dividend Preferred Equity Payments trade-to-date |
|
|
|
3019-3020 |
|
RESERVED - DO NOT USE |
|
|
|
3016-3020 |
|
Dividend Preferred Equity |
|
Total |
|
3021 |
|
Other Owner’s # 1 contributed Capital |
|
|
|
3022 |
|
Other Owner’s # 2 contributed Capital |
|
|
|
3023 |
|
Other Owner’s # 3 contributed Capital |
|
|
|
3024 |
|
Other Owner’s # 4 contributed Capital |
|
|
|
3025 |
|
Other Owner’s # 5 contributed Capital |
|
|
|
3026 |
|
Other Owner’s # 6 contributed Capital |
|
|
|
3027 |
|
Other Owner’s # 7 contributed Capital |
|
|
|
3028 |
|
Other Owner’s # 8 contributed Capital |
|
|
|
3029 |
|
Other Owner’s # 9 contributed Capital |
|
|
|
3030 |
|
Other Owner’s # 10 contributed Capital |
|
|
|
3021-3035 |
|
Other Owner’s Contributed Capital |
|
Total |
|
3036-3045 |
|
RESERVED - DO NOT USE |
|
|
|
3046 |
|
Cargill Contributed Capital |
|
|
|
3051 |
|
Other Owner’s #1 Distributions |
|
|
|
3052 |
|
Other Owner’s #2 Distributions |
|
|
|
3053 |
|
Other Owner’s #3 Distributions |
|
|
|
3054 |
|
Other Owner’s #4 Distributions |
|
|
|
3055 |
|
Other Owner’s #5 Distributions |
|
|
|
3056 |
|
Other Owner’s #6 Distributions |
|
|
|
3057 |
|
Other Owner’s #7 Distributions |
|
|
|
3058 |
|
Other Owner’s #8 Distributions |
|
|
|
3059 |
|
Other Owner’s #9 Distributions |
|
|
|
3060 |
|
Other Owner’s #10 Distributions |
|
|
|
3051-3065 |
|
Other Owner’s Distributions |
|
Total |
|
3066 |
|
Cargill Distributions |
|
|
|
3071 |
|
Other Owner’s #1 Retained Earnings |
|
|
|
3072 |
|
Other Owner’s #2 Retained Earnings |
|
|
|
3073 |
|
Other Owner’s #3 Retained Earnings |
|
|
|
3074 |
|
Other Owner’s #4 Retained Earnings |
|
|
|
3075 |
|
Other Owner’s #5 Retained Earnings |
|
|
|
3076 |
|
Other Owner’s #6 Retained Earnings |
|
|
|
3077 |
|
Other Owner’s #7 Retained Earnings |
|
|
|
3078 |
|
Other Owner’s #8 Retained Earnings |
|
|
|
3079 |
|
Other Owner’s #9 Retained Earnings |
|
|
|
3080 |
|
Other Owner’s #10 Retained Earnings |
|
|
|
3071-3085 |
|
Other Owner’s Retained Earnings |
|
Total |
|
3086 |
|
Dividend Retained Earnings |
|
|
|
3091-3098 |
|
RESERVED - DO NOT USE |
|
|
|
3099 |
|
Total Retained Earnings - YE close out entry |
|
|
|
3100 |
|
Retained Earnings OFFSET |
|
|
|
3071-3100 |
|
Retained Earnings |
|
Total |
|
3101 |
|
Past Retained Earnings |
|
|
|
3102 |
|
Other Comprehensive Income |
|
|
|
3103 |
|
Prior Period Adjustment |
|
|
|
3101-3110 |
|
Other Adjustments to Equity |
|
|
|
3111 |
|
Other Owner’s #1 Capital Adjustment |
|
|
|
3112 |
|
Other Owner’s #2 Capital Adjustment |
|
|
|
3113 |
|
Other Owner’s #3 Capital Adjustment |
|
|
|
3114 |
|
Other Owner’s #4 Capital Adjustment |
|
|
|
3115 |
|
Other Owner’s #5 Capital Adjustment |
|
|
|
3116 |
|
Other Owner’s #6 Capital Adjustment |
|
|
|
3117 |
|
Other Owner’s #7 Capital Adjustment |
|
|
|
3118 |
|
Other Owner’s #8 Capital Adjustment |
|
|
|
3119 |
|
Other Owner’s #9 Capital Adjustment |
|
|
|
3120 |
|
Other Owner’s #10 Capital Adjustment |
|
|
|
3111-3125 |
|
Other Owner’s Capital Adjustment |
|
Total |
|
3126 |
|
Dividend Capital Adjustment |
|
|
|
3101-3130 |
|
Total Capital Adjustments |
|
Total |
|
3131 |
|
Other Owner’s #1 Current Earnings |
|
|
|
3132 |
|
Other Owner’s #2 Current Earnings |
|
|
|
3133 |
|
Other Owner’s #3 Current Earnings |
|
|
|
3134 |
|
Other Owner’s #4 Current Earnings |
|
|
|
3135 |
|
Other Owner’s #5 Current Earnings |
|
|
|
3136 |
|
Other Owner’s #6 Current Earnings |
|
|
|
3137 |
|
Other Owner’s #7 Current Earnings |
|
|
|
3138 |
|
Other Owner’s #8 Current Earnings |
|
|
|
3139 |
|
Other Owner’s #9 Current Earnings |
|
|
|
3140 |
|
Other Owner’s #10 Current Earnings |
|
|
|
3131-3145 |
|
Other Owner’s Current Earnings |
|
|
|
|
3146 |
|
Dividend Current Earnings |
|
|
|
|
3150 |
|
Current Earnings OFFSET |
|
|
|
|
3131-3150 |
|
Current Earnings |
|
|
Total |
|
3151-3999 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income |
|
|
Header |
|
|
|
Operating Income |
|
|
Header |
|
4000 |
|
RESERVED - DO NOT USE |
|
|
|
|
4001 |
|
Gross Potential Income |
|
|
|
|
4026 |
|
Vacancy (Contra Revenue) |
|
|
|
|
4051 |
|
Loss to Lease (Contra Revenue) |
|
|
|
|
4141 |
|
Model/Employee Unit (Contra Revenue) |
|
|
|
|
4151 |
|
Base Rent |
|
|
|
|
4241 |
|
Base Rent Abatement (Contra Revenue) |
|
|
|
|
4331 |
|
CPI Rent Adjustments |
|
|
|
|
4001-4420 |
|
Contracted Rent |
|
|
Total or Line Entry |
|
4421-4490 |
|
RESERVED - DO NOT USE |
|
|
|
|
4491 |
|
Deferred Market Rent Revenue - Acquired Leases |
|
|
|
|
4501 |
|
Straight Line adjustments of Rents |
|
|
|
|
4511-4600 |
|
RESERVED - DO NOT USE |
|
|
|
|
4601 |
|
Percent Rents |
|
|
|
|
4641 |
|
Parking Revenue |
|
|
|
|
4731 |
|
Parking Expense (Contra) |
|
|
|
|
4641-4740 |
|
Parking Income |
|
|
|
|
4741 |
|
Late Fee Income |
|
|
|
|
4742 |
|
NSF Fees |
|
|
|
|
4743 |
|
Application Fee Income |
|
|
|
|
4744 |
|
Cable |
|
|
|
|
4745 |
|
Pet Charges |
|
|
|
|
4746 |
|
Vending Income |
|
|
|
|
4747 |
|
Corporate Unit Income |
|
|
|
|
4748 |
|
Laundry Income |
|
|
|
|
4749 |
|
Forfeited Security Deposits |
|
|
|
|
4750 |
|
Rent Refunds (Contra Revenue) |
|
|
|
|
4751 |
|
Sign Rental Income |
|
|
|
|
4752 |
|
Antenna Income |
|
|
|
|
4753 |
|
Storage Income |
|
|
|
|
4754 |
|
Miscellaneous Income |
|
|
|
|
4755 |
|
Tenant Billed Water Income |
|
|
|
|
4756 |
|
Energy Charge |
|
|
|
|
4757 |
|
deleted, can be used |
|
|
|
|
4770-4775 |
|
Other Income RESERVED - DO NOT USE |
|
|
|
|
4741-4775 |
|
Total Other Income |
|
|
Total |
|
4776-4780 |
|
RESERVED - DO NOT USE |
|
|
|
|
4781 |
|
Recoveries - Operating Expenses |
|
|
|
|
4791 |
|
Recoveries - Property Taxes |
|
|
|
|
4801 |
|
Recoveries - Insurance |
|
|
|
|
4806-4949 |
|
RESERVED - DO NOT USE |
|
|
|
|
4950 |
|
Related Real Estate Company Net Income |
|
|
|
|
|
|
Total Property Revenue |
|
Total |
|
|
|
|
|
|
|
|
|
Operating Expenses |
|
Header |
|
5000 |
|
RESERVED - DO NOT USE |
|
|
|
5001 |
|
Gas |
|
|
|
5002 |
|
Electric |
|
|
|
5003 |
|
Water |
|
|
|
5004 |
|
Sewer |
|
|
|
5005 |
|
Gas - Non-Recoverable |
|
|
|
5006 |
|
Electric - Non-Recoverable |
|
|
|
5007 |
|
Water - Non-Recoverable |
|
|
|
5008 |
|
Sewer - Non-Recoverable |
|
|
|
5011-5015 |
|
Utilities - RESERVED - DO NOT USE |
|
|
|
5001-5015 |
|
Utilities |
|
Total |
|
5016 |
|
Plumbing Repair |
|
|
|
5017 |
|
Electrical Repair |
|
|
|
5018 |
|
Structural Repairs |
|
|
|
5019 |
|
Lighting Repairs |
|
|
|
5020 |
|
Doors & Window Repair |
|
|
|
5021 |
|
Floor Repair |
|
|
|
5022 |
|
Roof & Ceiling Repair |
|
|
|
5023 |
|
Pest Control |
|
|
|
5024 |
|
Other Repairs |
|
|
|
5025 |
|
Small Tools and Equipment |
|
|
|
5026 |
|
Elevator Repair |
|
|
|
5027 |
|
Elevator Maintenance Contract |
|
|
|
5028 |
|
HVAC Repairs |
|
|
|
5029 |
|
Parking Lot Repair |
|
|
|
5030 |
|
Painting and Decorating |
|
|
|
5031 |
|
Signs & Directories |
|
|
|
5032 |
|
Non-Recoverable Repair Expenses |
|
|
|
5041-5050 |
|
General Repairs and Maintenance - RESERVED - DO NOT USE |
|
|
|
5016-5050 |
|
General Repairs and Maintenance |
|
Total |
|
5051 |
|
Waste Removal |
|
|
|
5052 |
|
Cleaning Supplies |
|
|
|
5053 |
|
Carpet Cleaning |
|
|
|
5054 |
|
Janitorial Service |
|
|
|
5055 |
|
Window Washer |
|
|
|
5051-5060 |
|
Cleaning |
|
Total |
|
5061 |
|
Landscaping Service Contract |
|
|
|
5062 |
|
Parking Lot Maintenance |
|
|
|
5063 |
|
Parking Lot Sweeping |
|
|
|
5064 |
|
Parking Lot Plowing |
|
|
|
5065 |
|
Landscaping Supplies |
|
|
|
5066 |
|
Ground Sprinklers |
|
|
|
5071-5075 |
|
Grounds/Landscaping/Parking Lot - RESERVED - DO NOT USE |
|
|
|
5061-5075 |
|
Grounds/Landscaping/Parking Lot |
|
Total |
|
5076 |
|
Security Patrol |
|
|
|
5077 |
|
Alarms |
|
|
|
5078 |
|
Locks & Keys |
|
|
|
5079 |
|
Sprinkler System |
|
|
|
|
5080 |
|
Environmental Abatement |
|
|
|
|
5086-5090 |
|
Security/Fire/ Safety - RESERVED - DO NOT USE |
|
|
|
|
5076-5090 |
|
Security/Fire/ Safety |
|
|
Total |
|
5091 |
|
Casualty Insurance |
|
|
|
|
5092 |
|
Liability Insurance |
|
|
|
|
5093 |
|
Earthquake Insurance |
|
|
|
|
5094 |
|
Boiler Insurance |
|
|
|
|
5095 |
|
Other Insurance |
|
|
|
|
5096-5100 |
|
Insurance - RESERVED - DO NOT USE |
|
|
|
|
5091-5100 |
|
Insurance |
|
|
|
|
5101 |
|
Sales Taxes |
|
|
|
|
5102 |
|
Property Taxes |
|
|
|
|
5103 |
|
Income Taxes |
|
|
|
|
5104 |
|
Excise Taxes |
|
|
|
|
5105 |
|
Liquor Taxes |
|
|
|
|
5106 |
|
Occupancy Taxes |
|
|
|
|
5107 |
|
County Taxes |
|
|
|
|
5108 |
|
Other Taxes |
|
|
|
|
5109 |
|
Capital Tax |
|
|
|
|
5110 |
|
QST |
|
|
|
|
5111 |
|
PST |
|
|
|
|
5112 |
|
Real Estate Tax Appeal Fee |
|
|
|
|
5113 |
|
Business Tax |
|
|
|
|
5114 |
|
Local Tax |
|
|
|
|
5115 |
|
Asset Manager Defined |
|
|
|
|
5116 |
|
Asset Manager Defined |
|
|
|
|
5117 |
|
Asset Manager Defined |
|
|
|
|
5118 |
|
Property Tax Refunds (Contra acct #5102) |
|
|
|
|
5119-5125 |
|
Taxes - RESERVED - DO NOT USE |
|
|
|
|
5101-5125 |
|
Taxes |
|
|
Total |
|
5126 |
|
Wages Other |
|
|
|
|
5127 |
|
FICA Wage Taxes - Employer Other |
|
|
|
|
5128 |
|
State Unemployment Taxes Other |
|
|
|
|
5129 |
|
Federal Unemployment Taxes Other |
|
|
|
|
5130 |
|
Employee Health Insurance Other |
|
|
|
|
5131 |
|
Employee Life Insurance Other |
|
|
|
|
5132 |
|
Employee Long Term Disability Insurance Other |
|
|
|
|
5133 |
|
Worker’s Compensation Other |
|
|
|
|
5134 |
|
Bonuses Other |
|
|
|
|
5135 |
|
Employee Inducements Other |
|
|
|
|
5136 |
|
Wages Admin |
|
|
|
|
5137 |
|
FICA Wage Taxes - Employer Admin |
|
|
|
|
5138 |
|
State Unemployment Taxes Admin |
|
|
|
|
5139 |
|
Federal Unemployment Taxes Admin |
|
|
|
|
5140 |
|
Employee Health Insurance Admin |
|
|
|
|
5141 |
|
Employee Life Insurance Admin |
|
|
|
|
5142 |
|
Employee Long Term Disability Insurance Admin |
|
|
|
|
5143 |
|
Worker’s Compensation Admin |
|
|
|
|
5144 |
|
Bonuses Admin |
|
|
|
|
5145 |
|
Employee Inducements Admin Admin |
|
|
|
5161-5200 |
|
Salaries and Benefits - RESERVED - DO NOT USE |
|
|
|
5126-5200 |
|
Salaries and Benefits |
|
Total |
|
5201 |
|
Office Supplies |
|
|
|
5202 |
|
Telephones/Fax/Radios |
|
|
|
5203 |
|
Courier/Postage |
|
|
|
5204 |
|
Dues/Subscriptions |
|
|
|
5205 |
|
Seminars/Training |
|
|
|
5206 |
|
Equipment Leases |
|
|
|
5207 |
|
Travel |
|
|
|
5208 |
|
Uniforms |
|
|
|
5209 |
|
Automobile Expenses |
|
|
|
5210 |
|
Licenses & Permits |
|
|
|
5211 |
|
Property Owners Dues |
|
|
|
5212 |
|
Credit Check Expense |
|
|
|
5213 |
|
Collection Service |
|
|
|
5214 |
|
Meals/Entertainment |
|
|
|
5215 |
|
On-Site Office Rent |
|
|
|
5216 |
|
Cable TV |
|
|
|
5217 |
|
Asset Manager Defined |
|
|
|
5218 |
|
Asset Manager Defined |
|
|
|
5219 |
|
Asset Manager Defined |
|
|
|
5220 |
|
Asset Manager Defined |
|
|
|
5221 |
|
Loan Servicing Fees |
|
|
|
5222-5230 |
|
Administrative - RESERVED - DO NOT USE |
|
|
|
5201-5230 |
|
Administrative |
|
Total |
|
5231 |
|
Property Management Fee |
|
|
|
5241 |
|
Franchise Fee |
|
|
|
5246-5250 |
|
Franchise Fee - RESERVED - DO NOT USE |
|
|
|
5241-5250 |
|
Franchise Fee |
|
Total |
|
5251 |
|
Signage |
|
|
|
5252 |
|
Apartment Locator |
|
|
|
5253 |
|
Advertising |
|
|
|
5254 |
|
Referral Fee |
|
|
|
5251-5260 |
|
Promotion |
|
Total |
|
5261-5270 |
|
Ground Lease |
|
Total |
|
5271-5999 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
Total Operating Expenses |
|
Total |
|
|
|
Net Operating Income |
|
Total |
|
|
|
|
|
|
|
6000 |
|
RESERVED - DO NOT USE |
|
|
|
6001-6006 |
|
Misc Interest Income |
|
Total |
|
6007-6008 |
|
Mortgage Interest Income on Qualifying Assets |
|
Total |
|
6009-6010 |
|
Mortgage Interest Income on Non - Qualifying Assets |
|
Total |
|
6011-6014 |
|
Interest Expense - Non-Dividend - First Mortgage |
|
|
|
6015-6016 |
|
Interest Expense - Non-Dividend - Second Mortgage |
|
|
|
6017-6018 |
|
Interest Expense - Dividend First Mortgage |
|
|
|
6019-6020 |
|
Interest Expense - Dividend Second Mortgage |
|
|
|
6021-6041 |
|
RESERVED - DO NOT USE |
|
|
|
6042 |
|
Site Improvements Depreciation |
|
|
|
6042-6050 |
|
Land Improvement Depreciation |
|
|
|
6051 |
|
Building Depreciation |
|
|
|
6051-6060 |
|
Building Depreciation |
|
|
|
6061 |
|
Building Improvement Depreciation - HVAC |
|
|
|
6062 |
|
Building Improvement Depreciation - Common Areas |
|
|
|
6063 |
|
Building Improvement Depreciation - Model/Spec Space/Landlord Work |
|
|
|
6064 |
|
Building Improvement Depreciation - Renovations |
|
|
|
6065 |
|
Building Improvement Depreciation - Parking Area |
|
|
|
6066 |
|
Building Improvement Depreciation - Roof Replacement |
|
|
|
6067 |
|
Building Improvement Depreciation- Miscellaneous Improvements |
|
|
|
6061-6075 |
|
Building Improvement Depreciation |
|
|
|
6076-6080 |
|
RESERVED - DO NOT USE |
|
|
|
6081 |
|
FF&E Depreciation - Computer |
|
|
|
6082 |
|
FF&E Depreciation - Furniture and Fixtures |
|
|
|
6083 |
|
FF&E Depreciation - Office Equipment |
|
|
|
6084 |
|
FF&E Depreciation - Shop Equipment |
|
|
|
6085 |
|
FF&E Depreciation - Vehicles |
|
|
|
6081-6090 |
|
FF&E Depreciation |
|
|
|
6042-6090 |
|
Depreciation |
|
Total |
|
6091-7000 |
|
RESERVED - DO NOT USE |
|
|
|
7001-7010 |
|
Amortization of Acquired Leases - Origination Value |
|
|
|
7011-7020 |
|
Leasing Cost Amortization |
|
|
|
7021-7030 |
|
Tenant Improvement Amortization |
|
|
|
7031 |
|
Financing Cost Amortization |
|
|
|
7032 |
|
Hedge Premium Amortization |
|
|
|
7033-7040 |
|
Financing Cost Amortization |
|
|
|
7041-7101 |
|
Amortization - RESERVED DO NOT USE |
|
|
|
7102 |
|
Organization Cost Amortization |
|
|
|
7103-7110 |
|
Amortization - RESERVED DO NOT USE |
|
|
|
7001-7110 |
|
Amortization |
|
Total |
|
7111-7125 |
|
RESERVED - DO NOT USE |
|
|
|
7126 |
|
Legal Fees |
|
|
|
7127 |
|
Audit Fees |
|
|
|
7128 |
|
Accounting Fees |
|
|
|
7129 |
|
Other Professional Fees |
|
|
|
7126-7135 |
|
Legal & Professional Fees |
|
Total |
|
7136 |
|
Provision for Bad Debts |
|
|
|
7141 |
|
Sundry Expenses |
|
|
|
7142 |
|
Property Damage |
|
|
|
7143 |
|
Franchise Tax |
|
|
|
7144 |
|
Bank Fees |
|
|
|
7141-7145 |
|
Miscellaneous Expenses |
|
Total |
|
7146-7155 |
|
RESERVED - DO NOT USE |
|
|
|
7156 |
|
Asset Management Fee |
|
|
|
7161 |
|
Incentive Management Fee |
|
|
|
7166 |
|
Disposition Costs |
|
|
|
7176 |
|
Gross Proceeds from Sale of Assets |
|
|
|
7177 |
|
Gross Proceeds of Assets Disposed |
|
|
|
7181 |
|
Gross Cost of Assets Sold |
|
|
|
7182 |
|
Gross Costs of Assets Sold / Disposed |
|
|
|
|
Accum Depreciation of Assets Sold / Disposed |
|
|
|
|
7187 |
|
Accum Amortization of Assets Sold / Disposed |
|
|
|
7161-7190 |
|
Gain/<Loss> on Sale of Assets |
|
Total |
|
7191 |
|
Impairment Loss on Asset Value |
|
|
|
7196 |
|
Unrealized Xxxxx Xxxx to Market Gain/Loss |
|
|
|
|
|
Total Non-Operating Expenses |
|
|
|
7201-9979 |
|
RESERVED - DO NOT USE |
|
|
|
9980 |
|
Cash Adjustments (used for Budget purposes only) |
|
|
|
9981-9989 |
|
RESERVED - DO NOT USE |
|
|
|
|
|
|
|
|
|
|
|
Net GAAP Profit/Loss |
|
Total |
|
9990 |
|
Office/Retail/Industrial/Mixed Use/Land Square Footage |
|
|
|
9991 |
|
Office/Retail/Industrial/Mixed Use/Land Square Footage Occupied |
|
|
|
9992 |
|
Office/Retail/Industrial/Mixed Use/Land Square Footage Sublease |
|
|
|
9993 |
|
Apartment/Self-Storage Units Available |
|
|
|
9994 |
|
Apartment/Self-Storage Units Rented |
|
|
|
9995 |
|
Hotel Room Nights Available |
|
|
|
9996 |
|
Hotel Room Nights Rented |
|
|
|
9997 |
|
Reserved Do Not Use |
|
|
|
9998 |
|
Reserved Do Not Use |
|
|
|
9999 |
|
Unit Offset Account |
|
|
EXHIBIT D
Insurance Requirements
1. At the Owner’s expense, the following insurance (unless otherwise directed by the Owner) shall be maintained by the Owner and shall name Property Manager as an additional insured:
(a) an all risk property insurance policy, including flood, earthquake and boiler and machinery coverages in an amount equal to the full replacement cost of the Premises, subject to a full replacement cost endorsement and deductibles no greater than $50,000.00 per occurrence other than for flood or earthquake;
(b) a commercial general liability policy including broad form contractual and non-owned vehicle liability coverages, which policy shall be written on an occurrence and not a claims made basis, containing policy limits and deductibles acceptable to the Owner, but in no event shall coverage be less than $5 million per occurrence and $50 million annual aggregate or be subject to a per occurrence deductible of more than $50,000.
(c) coverage for rent loss or business interruption and other usual and customary coverages in amounts designated by the Owner;
(d) if requested by the Owner, environmental liability insurance in amounts and with coverages determined by the Owner; and
(e) Such other insurance, coverages or limits as may be required by the Owner.
The Owner or the Property Manager, as the case may be, who maintains the insurance coverages will provide to the other party a certificate of such insurance coverages (which such changes as are approved by the Owner), which certificate shall indicate that at least thirty (30) days prior written notice shall be given to the Owner and the Property Manager of cancellation or of any material changes in policy terms or coverages.
2. At the Property Manager’s expense:
(a) a fidelity bond containing broad form coverage or comprehensive crime insurance policy covering all employees in any capacity for the Premises with respect to the Premises or any handling of funds, money documents or papers related thereto, which bond or policy shall protect and insure the Property Manager and the Owner against losses, including theft, embezzlement and fraud; and
(b) a professional liability or errors and omissions insurance policy to include coverage for all officers or employees of Property Manager acting in any capacity for the management of and with respect to the Premises.. Any such professional liability or errors and omissions policy shall respond to Owner’s claims against losses arising from the rendering of or failure to render professional services as a property manager.
Such bond or crime policy shall be in the amount of at least $2,000,000.00. The professional liability or errors and omissions policy shall have a limit of not less than $1 million .
The Property Manager shall deliver to the Owner a certificate of such insurance coverages indicating that insurers will endeavor to provide at least thirty (30) days prior written notice to the Owner and the Property Manager of cancellation. Any deductibles of Property Manager’s insurance shall be the sole responsibility of Property Manager.
3. Contractors’ Insurance. Property Manager shall require that all contractors brought onto any Premises have insurance coverage, at the contractor’s expense, in the following minimum amounts:
(a) Worker’s Compensation - statutory amount;
(b) Employer’s Liability - minimum of $500,000 each accident; $500,000 disease, policy limit; $500,000 disease, per employee;
(c) Commercial General Liability (naming Owner and Property Manager as additional insureds) - $1,000,000 per occurrence Combined Single Limit; $2,000,000 aggregate (i.e., such insurance shall include contractual liability, personal injury protection and completed operations coverage);
(d) Auto Liability (if deemed appropriate by Manager)(1) - $1,000,000 minimum; and
(e) Property Insurance coverage for tools and equipment brought onto and/or used on any Property by the contractor - an amount equal to the replacement costs of all such tools and equipment.
Property Manager must obtain the Owner’s prior permission to waive any of the above requirements or to accept lower limits. Property Manager shall obtain and keep on file a certificate of insurance for each contractor which shows that such contractor is so insured.
(1) Consult with Risk Management as to when circumstances require auto liability insurance for contractors.
