EMR Name

1. EMR Name

2. Legal Disclaimer This document is an interest seeking document only. IT IS NOT ADVICE. IT IS AN OPINION BY THE AUTHORS AND/OR PRESENTERS. No information, forward looking statements, or estimations represent any final determination. While every effort has been made to ensure accuracy in this presentation, numbers are subject to change and are not guaranteed. This document is for general information purposes only and is not to be construed as selling securities or real estate. While the information presented in this investor document has been researched and thought to be reasonable, in general, real estate investment is highly speculative, real estate values can go up but they can also go down, and thus PRESTIGIOUS PROPERTIES, THOMAS BEYER , SCOTTY GRUBB, EMD, EMR, MIKE HAMMERLINDL, RICK LINKLATER, KEITH MCMULLEN, ITS PARTNERS AND/OR ITS AGENTS CANNOT AND DO NOT GUARANTEE ANY RATE OF RETURN OR INVESTED AMOUNT OR INVESTMENT TIMELINE. The reader acknowledges and agrees that Prestigious Properties, Thomas Beyer, its partners and/or its agents do not assume and hereby disclaim any liability to any party for any loss or damage caused by the use of the information contained herein or errors or omissions in the information contained in this investor document to make any investment decision in the venture referred to herein, whether such errors or omissions result from negligence, accident or any other cause. Investors are required to conduct their own investigations, analysis, due diligence, draw their own conclusions, and make their own decisions. Any areas concerning taxes or specific legal or technical situations should be referred to lawyers, accountants, consultants, realtors, or other professionals licensed, qualified or authorized to render such advice. IN NO EVENT SHALL PRESTIGIOUS PROPERTIES THOMAS BEYER, SCOTTY GRUBB, EMD, EMR, MIKE HAMMERLINDL, RICK LINKLATER, KEITH MCMULLEN AND/OR ITS AGENTS BE LIABLE TO ANY PARTY FOR DIRECT, INDIRECT, SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES OF ANY KIND WHATSOEVER ARISING OUT OF THE USE OF THE INFORMATION CONTAINED HEREIN EVEN IF PRESTIGIOUS PROPERTIES, THOMAS BEYER AND/OR ITS AGENTS HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGE. PRESTIGIOUS PROPERTIES, THOMAS BEYER, SCOTTY GRUBB, MIKE HAMMERLINDL, RICK LINKLATER, KEITH MCMULLEN, ITS PARTNERS AND/OR ITS AGENTS (INCL EMR and EMD) SPECIFICALLY DISCLAIM ANY GUARANTEES, INCLUDING, BUT NOT LIMITED TO, STATED OR IMPLIED POTENTIAL PROFITS OR RATES OF RETURN OR INVESTMENT TIMELINES. This is not a solicitation for investments. Investments are sold via offering memorandum or LP agreement only. Please read disclosure and/or due diligence documents carefully. This offering is void where prohibited. Not every potentially interested party is eligible to invest. Minimum investment amounts and hold periods apply. E & OE.

3. Asset Allocation – A Proven Model ! (Stocks, Bonds and Private Equity) Land Development (with mortgages) Second Mortgages (construction) Most penny Stocks Construction Projects (with mortgages) Greek Bonds Private Software Firms Restaurants 10% High Risk 30% Medium Risk Land Development (with no mortgages) Second Mortgages (non-construction) Most large CAP stocks Euro Bonds Gold, Diamonds Commercial Real Estate Construction Projects (with low mortgages or In very high demand locations) Apartment Buildings (with modest mortgages) First mortgages (non-construction) Quality Corp. Bonds Many Municipal Bonds Government Bonds 60% Low Risk Note: RISKY (according to the security commission rules) is an exempt market offering with any of these even if some asset classes are less risky than others ! 3

4. Apartments Prestigious Properties Location

5. Mission Statement: “We build wealth for investors by offering well selected real estate investments in W - Canadian growth markets that provide positive cash flow and/or, tax free equity growth, and hassle free management for the benefit of tenants, communities and investors.”

6. WHY WE LIKE APARTMENT BUILDINGS 4 REASONS YOU SHOULD TOO

7. #1 The Power of Leverage • Cheap Money Available from the Banks • Multiplies your earning power

8. #2 Cash Flow • Revenue – Expenses = Cash-Flow • Sources of Revenue: • - Rents from Tenants • - Vending, Cell Towers • - Parking • Expenses • - Mortgage (Principal and Interest) • - Maintenance and Repairs • - Taxes and Insurance • - Utilities • - Property Manager

9. The larger and safer the revenue stream… • …The more it is worth

10. #3 No New Build • We Buy for $80K - $150K per door • Cost to build new from $150K – $220K per door (not including land)

11. #4 Rental Real Estate – Demand Increase

12. Profit Centers in Real Estate A Three Course Meal ! • Appetizer: Positive Cash-Flow • Main Course: Mortgage Pay-down • Dessert: Value Growth • Improvements • Re-positioning • Reduced expenses / higher rents • Time

13. Investment in Multi Family Buildings Total Return: 11.3% Avg Income Return: 7 .4% Avg Capital Growth: 3.6% Avg

14. vs. Stock market • TSX Index Performance over 10 Years Raw Index and after 2% MER / year Average TSX 10 year average 4% per year After MER of a typical mutual Fund 10 year average 2% per year

15. Macro-Location + Micro-Location + Timing + Upgrades + Hard Work + Impeccable Management = SUCCESS

17. Alberta = OIL & Gas

20. “2011, per capita investment in Alberta was $23,461, more than double the national average of $10,758.” - albertacanada.com • “Cumulative investment in Canada’s oil sands • in the past decade has surpassed $100 billion, • and $364 billion in price-adjusted investment • is expected to take place over the next 25 years.” – CBOC, Fuel For Thought • “In 2011, Alberta had the highest GDP per capita of any state or province in North America.” – albertacanada.com

22. Jobs Jobs Jobs • 50% of all new Jobs created in Canada in 2011 were created in Alberta • Average of 44,000 new jobs generated per year in Oil and Gas alone between 2012 and 2025 Source: Conference Board of Canada – Fuel for thought

25. Migration • 367 people per day moved to Alberta in 2012 • 80% of newcomers to the Province rent for the first 2 years • More people drive up the demand for rental property • Vacancies Decrease and Rents Increase

30. Prestigious Properties

31. Who is Prestigious Properties • Founded in 2000 • Transacted 35 buildings to date valued over $166M (or 1/6th of a billion $s) • Currently own 900 units across 16 buildings under the Prestigious Properties Brand worth over $85M • 600+ investors have invested over $45M so far • Proven, Rock Solid Track Record over 10+ years

32. Assets Under Management • $11.22M per year in revenue • 2012 Mortgage Paydown: approximately $1M

33. Our TEAM Together Everyone Achieves More • 7+ decades of experience • Executives of each LP have no salaries • An expert for each individual business unit • Executives personally invest alongside investors

34. A Proven Business Model • Apartment Buildings – high demand and recession proof • Growth Markets • Cash Flow (year 2 & forward) and Equity Growth • Conservative leverage • Proven & Repeatable • Experienced Management

35. Our Track Record

36. Case Study - Yorkton, SK Portfolio • Four Existing Apartment Buildings • 126 Units Total • Acquisition Overview • Date: May 2007 to September 2009 • Total Purchase Price: Approximately $4.5M • Date: September 2011 • Total Sale Price: $7,771,000 • Return on Investment: • Increase of ~85% in building values • 140%+ on the cash invested • 75%+ ROI for investors • 15%+ per year ROI

37. Case Study 2 – 39 Suites Edmonton • Purchase Price: $1,900,000 – Dec 2004 • Total Cash Investment - $450,000 • Sold: $3,900,000 August 2008 • Investor ROI 50%+ per annum

38. Case Study 3 – 101 Suites Edmonton • Purchase Price: $4.16M – Fall 2005 • Capital Improvements - $300,000 • Total Cash Investment - $1,000,000 • Sold: $9,929000 July 2007 • Investor ROI: 25% per annum LP1 • LP1 Late comers 12.5% per annum

39. Case Study 4 – Campbell River 65 Suiter • Discovery Village – Campbell River, BC • 65 units • Purchased for $4,387,500M (~$67,700/unit) in Sept. 2008 • $687,500 cash to mortgage • Plus approx. $250,000 additional cash since then • $3.7M mortgage (plus 183,000 CMHC fee) – paid down to about $3.325M • Sold for $5.192M on Nov. 26, 2012 (approx. $79,000/unit) • $804,000 gain, plus • Approx. $375,000 mortgage paydown • Total equity gain over $1.1M in about 4 years • 65%+ ROI for investors after GP split and expenses • 16%+ per year ROI

40. How We Add Value Before After

41. In the Suite Value Add • Walls: vanilla / beige • Baseboards: 3 inches, white • Lights: pewter/nickel • Outlets/lights switches: white • Door handles: nickel or pewter • Closet door handles: nickel or pewter • Carpets: like new or new or laminate • Lino: like new or new • Ikea curtains or room dividers • Laminate flooring

42. Before After

43. After

44. Bathroom • Paint closet doors white • New countertop if worn • New sink, or • New vanity • Single lever tap: chrome or nickel • Tubs / toilets / sink: white • One piece tub surround • Towel bar / TP holder: nickel • Check bathroom fans (white cover)

45. The Numbers • Cost: • 1 BR (600 sqft): $2000 to $4000 + appliances + flooring • 2 BR (800 sqft): $3000 to $5000 + appliances + flooring • Increased Rents: • $150 to $450 - depending on market/area • Value Increase of $10,000-$25,0000 on $2,000 to $8,000 investment • ROI: 50% to over 400%

46. BEFORE

47. AFTER

48. After

49. AFTER

50. Prestigious Priorities • Our Priorities • Return OF your money • Return ON your money • Quarterly Cashflow • Other Important Issues • Ethical Management • Open Communication • Transparency with Financial Information • Low overhead, low soft costs, no initial uplift of assets • Win/Win: their profit only after your profit