STRATEGIC ADVISORY

1. STRATEGIC ADVISORY Summary of Approach and Process – Four Stage Model STAGE 1 STAGE 2 STAGE 3 STAGE 4 INVESTIGATE PROPERTIES & MARKETS • Inspect properties • Meet asset managers • Undertake due diligence • Identify property specific risks/opportunities: • Occupancy, WAULT, tenant covenants, lease breaks/expiries, over/under-rented, operating costs, building obsolescence, etc • Review planning prospects • Identify specific market risks/opportunities: • Occupational market trends • Investment market trends • Undertake SWOT analysis RECOMMEND STRATEGY • Present CBRE recommended business plan: • Asset management initiatives • Exit pricing and timing • Capex/Revex to achieve exit • Disposal route review • Present strategy report with supporting cash flow analysis • Identify recovery options – consensual vs enforcement • Exit Value Scenarios • *** • For portfolios: • Property outlook scoring • Asset manager/ borrower strategy scoring • Options for portfolios: • Assess compatibility of optimum asset disposal cash flow with debt servicing potential • Identify portfolio disposal synergies REVIEW STRATEGY • Optional review of historic asset management performance • Review asset manager/ borrower business plans in context of risks/ opportunities to include: • Proposed Asset management initiatives • Audit of Exit pricing and timing assumptions • Audit of Capex/Revex costs to achieve Exit price IMPLEMENT STRATEGY • Sales – CBRE Loan & Corporate Recovery can utilise: • CBRE Capital Markets teams • CBRE Auctions teams • Asset Management – CBRE Loan & Corporate Recovery can utilise: • CBRE Property & Asset Management teams • CBRE Leasing teams • Undertake asset management/borrower monitoring • Loan Enforcement – CBRE LPA Receivers covering England and Wales • Debt/Equity/JV Partnership – CBRE Loan and Corporate Recovery can utilise the following teams in order to find consensual solutions: • Debt Advisory • Investment Advisory • Equity Raising • Loan and Special Servicing