RESERVE STUDY LIBERTY PARK CONDOMINIUM ASSOC IATION ATLANTA, GEORGIA ZUMBRUNNEN, INC. PROJECT # SEPTEMBER 21, PDF Free Download

RESERVE STUDY LIBERTY PARK CONDOMINIUM ASSOCIATION ATLANTA, GEORGIA ZUMBRUNNEN, INC. PROJECT #2018-116 SEPTEMBER 21, 2018 THIS REPORT IS PREPARED EXCLUSIVELY FOR MS. ARLENE ALVAREZ ASSOCIATION MANAGER OF LIBERTY PARK CONDOMINIUM ASSOC IATION ATLANTA, GEORGIA

November 3, 2018 Ms. Arlene Alvarez Property Manager 1260 way Atlanta, GA 30318 Re: Condominium Association 1260 way, Atlanta, Georgia Subj: Reserve Study zumbrunnen, Inc. Project #2018-116 Dear Ms. Alvarez: Attached for your use is our Reserve Study (Report) for the common real property for the abovereferenced Property. The scope of this Report is limited to the National Reserve Study Standards "Update, With-Site-Visit/On-Site Review-Level 2" as it pertains to Property owned or maintained by a common interest realty association (CIRA). Inspection, analysis, budgeting, or reporting, pertaining to privately owned components of the Property are not a part of the scope of this Report. The comments, conclusions, and recommendations contained in this Report are based on information gathered in accordance with industry standards. This information is presumed to be complete. However, should additional information be required, please contact this office. Sincerely, zumbrunnen, Inc. Rob Milam Senior Project Manager Enclosures

Table of Contents 1. Introduction...4 1.01 Scope... 4 1.02 Project Description... 6 1.03 Date of Site Visit, Site Conditions, Personnel Interviewed, and Inspector... 6 1.04 Executive Summary... 7 2. Reserve Funding Plans...9 2.01 Reserve Funding Plans Scope and Methods... 9 2.02 Updating Reserve Funding Plan Requirements/Recommendations... 9 2.03 Rate of Interest and Inflation... 10 2.04 Reserve Term of the Reserve Funding Plans... 10 2.05 Funding Plan Summary Table V-A: See Exhibit A... 10 2.06 Current Funding Plan Table and Chart V-B: See Exhibit A... 11 2.07 Fully Funded Plan Table and Chart V-C Using the Component Method: See Exhibit A... 11 2.08 Baseline Funding Plan Table and Chart V-D Using the Cash Flow Method: See Exhibit A... 11 2.09 Threshold Funding Plan Table and Chart V-E - Using the Cash Flow Method: See Exhibit A... 12 2.10 Minimum Funded: Table and Chart V-F - Using the Cash Flow Method: (Not Included)... 13 2.11 Modified Funding Plan Table and Chart V-G: (Not Included)... 13 2.12 Immediate Repair and Improvement Report Table C and Comment Reports Table VII- B: (Not Included)... 13 3. Replacement Reserve Inventory and Annual Schedules...15 3.01 Individual Budget Reports Table VII-A and Individual Years Table VIII... 15 3.02 Inventory Exclusions... 16 Exhibits Exhibit A NRSS Reserve Funding Plans; Funding Table and Chart Reports V Exhibit B Immediate Repair and Improvement Budgets Table C with Item Comments (Not Used) Exhibit C Inventory Reports and Replacement Schedules; Annual Budget Totals Table VII-A Item Comments Report Table VII-B, and Individual Years Table VIII Exhibit D Area Maps Exhibit E Inspector's Qualifications Exhibit F Industry Terms and Definitions Exhibit G Pre-Survey Questionnaire (completed by the Client) (Not Used) Exhibit H Site Photographs copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 3

1. Introduction 1.01 Scope Level of Service: zumbrunnen, Inc. ("zumbrunnen") was retained by Ms. Arlene Alvarez with Liberty Park Condominium Association (the "Client") to provide a Reserve Study (the "Report") for the common interest real property for Condominiums (the "Property") located at 1260 way, Atlanta, GA maintained or owned by a common interest realty association (CIRA). This Report is in accordance with the National Reserve Study Standards ("NRSS") as adopted by the Community Associations Institute ("CAI") and the site visit process per ASTM E2018-15, Standard Guide for Property Condition Assessments: Baseline Property Condition Assessment Process. The NRSS provides three levels of service: Reserve Study - Level 1: A Reserve Study in which the following five Reserve Study Tasks are performed: o Component Inventory o Condition Assessment (based upon on-site visual observations) o Life and Valuation Estimates o Fund Status o Funding Plan Update, With-Site-Visit/On-Site Review - Level 2: A Reserve Study update in which the following five Reserve Study tasks are performed: o Component Inventory (verification only, not quantification) o Condition Assessment (based upon on-site visual observations) o Life and Valuation Estimates o Fund Status o Funding Plan Update, No-Site-Visit/Off-Site Review - Level 3: A Reserve Study update with no on-site visual observations in which the following three Reserve Study tasks are performed: o Life and Valuation Estimates o Fund Status o Funding Plan The ASTM guide, published in July 2015 by ASTM Committee E50 on Environmental Assessment, Risk Management, and Corrective Action, is the direct responsibility of Subcommittee E50.02 on Real Estate Assessment and Management. The limited scope of the guide and this Report is discussed in further detail in the next section of this Report titled "Disclosure". The scope of this Report is limited to NRSS Update, With-Site-Visit/On-Site Review - Level 2 as it pertains to only the common real property of the Property, for a term of years as defined as the Reserve Term; see Section 2.04. Inspection, analysis, budgeting, copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 4

or reporting, pertaining to privately owned real property of the Property, are not a part of the scope of this Report. Disclosure: This Report is limited in scope based on a walk-through survey as defined in ASTM E2018-15. The Report contains results of document reviews, research, and interviews to augment the walk-through survey to assist in identifying and determining the physical condition of common real property for the Property from which to prepare various reports in accordance with the above-referenced ASTM standard for the benefit of the common interest realty association (CIRA). No invasive or destructive testing was performed, and no HVAC, electrical equipment, systems, or appliances were started or operated. No site visits are conducted for NRSS Level 3 update service. zumbrunnen's reviews and actions were conducted with due diligence and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing in this area under similar budget and time constraints. Information provided by the Client and/or other official representatives of the CIRA regarding financial, physical, quantity, or historical issues will be deemed reliable by zumbrunnen. The Report will reflect information provided to zumbrunnen and assembled for use by the CIRA, and not for the purpose of performing an audit, quality/forensic analyses, or background checks of historical records. The actual or projected totals presented in this Report were based upon information provided, and were not audited. Any on-site site visit should not be considered a project audit or quality inspection. zumbrunnen has no other involvement with the Client beyond the scope of this Report that could result in actual or perceived conflicts of interest. It is understood that copies of this Report may be made available to other parties, such as investors, lenders, owners, participants, and others. zumbrunnen has no obligation to any other such parties or agents thereof. Furthermore, it is understood that zumbrunnen neither assumes nor accepts responsibility for the design, construction, code compliance, interpretations of this Report or recommendations contained herein, nor implies any warranties or guarantees. Not included in the scope of this Report is the review of any termite infestation, geotechnical, or environmental reports, or evaluation of the privately-owned areas of the Property, nor is the scope of this Report intended to address or discover construction defects, asbestos, mold, water or moisture intrusion, or lead paint. Photographs of the site improvements, building exteriors and interiors, and miscellaneous details, with their locations noted on a site Key Plan, are enclosed as part of Exhibit H. Where pricing has been included in this Report, estimates are based on CIRA or Clientprovided data, construction costs developed by construction sources such as local contractors or vendors, R.S. Means, Xactimate construction cost estimating software by Xactware, zumbrunnen's experience with past costs for similar expenses, city cost indexes, and assumptions regarding future economic conditions. Please note that pricing copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 5

comparisons can vary significantly depending on interpretations of recommendations, and on the method chosen to perform the work, i.e., competitive bidding, work performed by in-house maintenance personnel, work covered under warranties, and other methods. Components considered routine maintenance are not included. Project design, construction, or project management costs are not included unless otherwise noted. The effective and remaining useful life estimates of this Report assume normal weather conditions and do not make allowances for damage from storms, floods, wind, earthquakes, or insurable events. The useful life estimates assume proper design, construction, installation, and preventive maintenance in accordance with manufacturers recommendations. Improper design, construction, installation, or failure to properly maintain, repair, or replace will lead to shortened useful lives of the components and related systems. Since the intent of this Report is to assist the Client in establishing an appropriate Reserve Funding Plan for capital (reserve expenses) and certain operating expenses (repairs), the Client has been consulted regarding the parameters defining capital reserve and operating expenses. Therefore, the use of the term "capital" associated with an item or budget in this Report is not to infer the capital expense item(s) will meet the requirements for a depreciable capital expense as may be defined by state or federal tax codes, state statute, the CIRA covenants, NRSS, CAI, AICPA, or other various applicable industry organizations, institutes, or associations. Terms and definitions used in this Report are summarized and defined per the Terms and Definitions document in Exhibit F. 1.02 Project Description The Property is described as a 32-building, 433-townhome residential community, constructed between 2005 and 2018, and located at 1260 way in Atlanta, GA. See Exhibit D for area maps. 1.03 Date of Site Visit, Site Conditions, Personnel Interviewed, and Inspector The site visit was conducted on September 21, 2018. Rob Milam, with zumbrunnen, conducted the site visits. The inspector s qualifications are enclosed as Exhibit E. In the process of conducting the site visit, the following personnel were interviewed: Name Arlene Alvarez Company Association Manager copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 6

1.04 Executive Summary Based on the requirements of NRSS, a series of Reserve Funding Plans have been prepared that report the capital expense components of the common real property projected to be repaired, replaced, or have significant maintenance performed over the Client-specified Report Term. Summary Data: See Exhibit A o Reserve Term: 50 years o Number of Units: 433 o Percent Occupancy: 100%; units occupied on which to base annual contributions o Interest Rate: 1.46%; earnings on the annual reserve balance and deposits o Inflation Rate: 3%; compounded annually for both expenses and annual contributions o Fiscal Year Start and End: January 1 st to December 31 st o Fiscal Year: 2019 o Starting Reserve Balance as the beginning of the fiscal year: $734,503. o Expenses Included: Only capital expenses; excludes immediate repair operating expenses and improvements o Comments: None Current Reserve Funding Plan: See Exhibit A The Client has provided the reserve funding cost data for the Current Funding Plan Table and Chart Reports V-B; the initial reserve balance at the beginning of the fiscal year, and the current annual contributions for the next year. For the purpose of this report, this annual contribution is projected out for the full term of the report, and where applicable adjusted for inflation. o Current plan reserve contributions per year for future years starting in 2019 are: $25,883. o A significant shortfall occurs starting in year 2020. Fully Funded Plan: See Exhibit A o The annual contribution starting in 2019 is $1,616,996 o Annual contributions to be adjusted for the inflation rate as specified above for years 2020 through 2048. o The recommended total contribution over the specified Reserve Term in future dollars: $32,132,220. Baseline Funding Plan: See Exhibit A o The annual contribution starting in 2019 is $902,915. o Annual contributions to be adjusted for the inflation rate as specified above for years 2020 through 2048 o The recommended total contribution over the specified Reserve Term in future dollars: $28,591,993. Threshold Funding Plan: See Exhibit A o Minimum threshold percentage: 4.0% copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 7

o The annual contribution starting in 2020 is $958,317. o Annual contributions to be adjusted for the inflation rate as specified above for years 2020 through 2048 o The recommended total contribution over the specified Reserve Term in future dollars: $29,076,473. Minimum Funding Plan: Not included with this Report Modified Funding Plan: Not included with this Report Immediate Repair & Improvement Report Table C: Not included with this Report Red Flag Items: Contributions required to support capital replacements shown in the attached Annual Budget are significantly higher than in our original reserve study performed in 2014. This increase is due to these and other factors: o Twenty-three condominium units have been constructed since our previous study. o We have included roof replacements using a price provided by the property manager. We believe this price is extraordinarily high; significant savings may be realized by shopping the price for competitive bids. o In our previous study, we significantly underestimated costs involved in remediating settled soil and repair and maintenance of the gabion wall. Costs for these items in this Report were provided by the property manager. o Costs for many other items in this Report were adjusted upward in the interest of erring on the conservative side. At newly constructed condominium units, we observed wood decks using untreated LVL (laminated veneer lumber) beams. This material is not suitable for weather exposure and will rot if it is allowed to remain wet. Chemically treated lumber should be used for all elements at wood decks. We consider this to be a warranty issue that should be remedied by the developer at no cost to the homeowner s association. Associated costs are not included in the attached budget. copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 8

2. Reserve Funding Plans 2.01 Reserve Funding Plans Scope and Methods The various NRSS Reserve Funding Plans discussed in this Report include only those budget items to be: (i) CIRA responsibility; (ii) have limited and predictable useful life requiring replacement, major repairs, renovations, tune-ups, or overhauls; (iii) life expectancy of more than one year; (iv) minimum value of $1,000; and (v) are required to maintain current Property in par condition. Any item classified as an operating expense or considered to be an improvement (discretionary item) expense is excluded from the funding reports. NRSS and Community Association Institute (CAI) establish the parameters for the following Reserve Funding Plans and methods; see Sections 2.06-2.10 for details pertaining to these funding reports: Current Reserve Funding Plan Table and Chart Reports V-B Fully Funded Plan using the Component Method Table and Chart Reports V-C Baseline Funding Plan using the Cash Flow Method Table and Chart Reports V-D Threshold Funding Plan using the Cash Flow Method Table and Chart Reports V-E Statutory Funding Plan: Either the Fully Funded Plan Table and Chart Reports V-B, Minimum Funding Plan Table and Chart Reports V-F, or the Modified Funding Plan Table and Chart Reports V-G 2.02 Updating Reserve Funding Plan Requirements/Recommendations Per NRSS, the Reserve Funding Plans should be reviewed and updated by the CIRA every year, and by an independent consultant every three years (this may vary depending on issues identified or on the age and condition of the property). Budgets will require adjustment for changes in asset lives and replacement costs based on current conditions, and actual costs of completed replacements. Each year prior to review of the budget the CIRA should consider the following: Will common area ownership be transferred from a developer to the CIRA during the next year? Are any critical warranties provided by a developer, contractor, or major equipment or systems manufacturer set to expire during the next year? Have any significant environmental or geological events occurred on or near the property that may have a negative impact? Have there been any new mandated changes made to the building codes? Has the CIRA received any building code citations? Have any significant building system components been added or replaced? Has there been any extreme wear and tear to major components? Have there been any new technological changes or product development that may result in a change to a major component? copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 9

Have any major components become obsolete? Has any maintenance been deferred or life cycles changed? Has local pricing or inflation been significantly impacted? Did reserve income and expenses occur as planned? Have the reserves deviated from the desired percent-funded goal? Has there been significant turn over in the CIRA board membership? Has the CIRA changed property managers? If the answer to any one or more questions is "yes", the CIRA may find it prudent to commission the Consultant to provide a new Level-1 Report or provide a Level-2 update of the current Report. 2.03 Rate of Interest and Inflation Interest and inflation factors are included and compounded annually, unless otherwise noted. Inflation has historically averaged approximately 3% annually. All reports are in dollars adjusted for interest earnings and inflation as directed by the Client and noted in above Section 1.04 Executive Summary and in the Funding Plan Summary Table V-A. 2.04 Reserve Term of the Reserve Funding Plans The Reserve Term used in this Report meets NRSS and the Association-specified minimum reserve, and as a minimum is equivalent to one complete replacement cycle for each item or system. This ensures funding for all components during this specified term of years. The Reserve Term is as noted in above Section 1.04 Executive Summary and the title blocks of each report. 2.05 Funding Plan Summary Table V-A: See Exhibit A The first part of this summary report is a listing of the Client-provided funding parameter data used in the various NRSS Reserve Funding reports. This includes the following data: Fiscal year Number of Units Initial Reserve Balance Annual Interest Rate Annual Inflation Rate Estimated Percent Occupancy Threshold Percentage Total Replacement Cost The remaining five (5) sections of this summary report summarize the funding requirements for just the current fiscal year for each of the six (6) NRSS Reserve Funding Plans, which include any statutory requirement or the Client s directives in a modified funding model. The object of this summary report is to provide the reader with a oneyear snapshot comparison of the 4-5 funding plans; see Exhibit A. copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 10

2.06 Current Funding Plan Table and Chart V-B: See Exhibit A The current reserve fund balance, along with the historical or current planned annual reserve contributions, are provided by the Client, reviewed by zumbrunnen, and presented in the following Current Funding Plan reports: Table V-B.1: This table reports the Current Funding Plan based on projected capital expenses from Table VII-A. The object of this report is to determine if this is an effective plan and to identify any years the current plan may be underfunded. The report includes the required fully funded balance, actual reserve balance, percent funded, current plan annual contributions, interest income, Table VII-A capital expenses, and the funding requirement on a per unit per year and per month basis. Chart V-B: A bar chart of the Current Funding Plan Table V-B.1 for each year s current annual contribution, Table VII-A capital expenses, and the reserve balance. This report will identify the possible shortfall of the Client s current funding model within the specified reporting term. 2.07 Fully Funded Plan Table and Chart V-C Using the Component Method: See Exhibit A HUD developed the Fully Funded Plan Component Method in the early 1980s. This plan requires the separate funding accounts for each individual component every year, amortized over the component s remaining life. For properties other than new properties, the initial years require the accelerated funding based on the remaining life of those components, as well as the amortized balance for each item to be replaced in future years. Any budget shortfall is funded from savings or special assessment. For those properties more than one year old, a Fully Funded Plan will result in higher initial contributions and a more conservative reserve balance than the Baseline and Threshold Funding Plans presented in Sections 2.08 and 2.09 of this Report. Table V-C.1: The goal of a Fully Funded plan is to fund 99+% of the accumulated depreciation. The report includes for each year the required NRSS fully funded balance based on depreciation schedules, reserve balance, percent funded, NRSS annual contributions based on remaining life amortization schedules, interest income, Table VII-A capital expenses, and annual contributions calculated on a per unit per year and per month basis. Chart V-C: A bar chart of the Fully Funded Plan Table V-C.1, for each year s NRSS required annual contribution, Table VII-A capital expenses, and the reserve balance. 2.08 Baseline Funding Plan Table and Chart V-D Using the Cash Flow Method: See Exhibit A The goal of this funding plan is to identify the minimum annual contribution requirements so the reserve balance does not drop below zero dollars during the specified Reserve Term. This is achieved by testing different levels of annual contributions against the anticipated expenses until the annual funding level keeps the reserve balance at zero dollars in critical peak years (years of highest expense) over the specified reserve term. copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 11

Table V-D.1: This report includes for each year the required NRSS fully funded balance based on depreciation schedules, reserve balance, percent funded, required NRSS annual contributions based on critical year amortization, interest income, Table VII-A capital expenses, and annual contributions calculated on a per unit per year and per month basis. Chart V-D: A bar chart of the Baseline Funding Plan Table V-D.1 for each year s required NRSS annual contribution, Table VII-A capital expenses, and the reserve balance. Please note the following limitation associated with the Baseline Funding Plan method: this plan assures, as a minimum, adequate reserve funds only for the Reserve Term years. After the first critical peak year, annual contribution levels will decline; the exception to this is if there is only one critical year falling on the last year of the specified Reserve Term. Most funding plans will have more than one critical year. In these cases, the Baseline Funding Plan will report reductions to annual contribution level, so the Reserve Fund does not grow beyond the annual contribution necessary to maintain a cash balance at or above zero dollars in these subsequent critical years. This is the case in this Report. Note that extending the specified Reserve Term may result in increases to any or all of the annual contributions over the specified Report Term. This can occur when another critical year with higher funding requirements occurs in a year beyond the specified Reserve Term. 2.09 Threshold Funding Plan Table and Chart V-E - Using the Cash Flow Method: See Exhibit A The Client is advised that all expenses may not have been readily apparent or were missed, and that interpretations, means, and methods beyond the control of the Consultant, or pricing changes or variations, may be encountered, life cycles may vary, etc. These types of costs generally are not accounted for in the Fully Funded or Baseline Funding Plans. Therefore, it is recommended that a contingency (minimum threshold percentage) be added to help assure that critical replacements are not deferred or that the potential for special assessments is minimized. The threshold percentage is a recommendation made by the Consultant based solely on his experience when considering the risk variables associated with this Property. The Threshold Funding Plan is the Baseline Funding Plan with the minimum reserve balance of zero dollars adjusted up by the threshold amount, including inflation adjustments. The threshold dollar amount is calculated by taking the threshold percentage of the total one-time replacement cost of all capital expenses; this total is listed in the Funding Plan Summary Table V-A in Exhibit A. Table V-E.1: This report includes for each year the NRSS required fully funded balance based on depreciation schedules, actual reserve balance, percent funded, required NRSS annual contributions based on the critical year(s) amortization plus the threshold amount, interest income, Table VII-A capital expenses, and annual contributions calculated on a per unit per year and per month basis. Chart V-E: A bar chart of the Threshold Funding Plan Table V-E.1 for each year copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 12

required NRSS annual contribution, Table VII-A capital expenses, and the reserve balance. 2.10 Minimum Funded: Table and Chart V-F - Using the Cash Flow Method: (Not Included) The minimum funding plan is provided when the Client desires or is required by State statutes to maintain a minimum balance in the reserve account equal to a specified percentage of the fully funded balance for any given year. This plan will ensure that the reserve account never falls below the minimum percent funded. Table V-F.1: This report includes for each year the required NRSS fully funded balance based on depreciation schedules, reserve balance, percent funded, required NRSS annual contributions based on critical year amortization plus an additional amount to maintain a minimum percent funding of the fully funded balance, interest income, Table VII-A capital expenses, and annual contributions calculated on a per unit per year and per month basis. Chart V-F: A bar chart of the Minimum Funding Plan Table V-F.1 for each year s required NRSS annual contribution, Table VII-A capital expenses, and the reserve balance. This series of Minimum Funding Plan reports has not been included. 2.11 Modified Funding Plan Table and Chart V-G: (Not Included) This plan sets aside reserves required by various federal, state, or local statutes, CIRA covenants, or per the directives of the Client. Some statutes or covenants require funding per one of the above NRSS funding plans. However, when the statutes, covenants, or Client directives vary from any of the above plans, then the Modified Funding Plan Table and Chart Reports V-G are used. Table V-G.1: Reports the directed annual contribution and the projected Table VII capital expenses. The report includes the required NRSS fully funded balance, actual reserve balance, percent funded, the directed (modified) annual contributions, interest income, Table VII-A capital expenses, and annual contributions calculated on a per unit per year and per month basis. Chart V-G: This is a bar chart of the Modified Funding Plan Table V-G.1 for the directed annual contribution, Table VII-A capital expenses, and the reserve balance. The Modified Funding Plan is based solely on the directives of others, while using NRSS methods to determine the results. This series of Modified Funding Plan reports has not been included. 2.12 Immediate Repair and Improvement Report Table C and Comment Reports Table VII-B: (Not Included) Some items contained in this Report may not meet the definition of a NRSS, CIRA, or the Client Reserve Funding capital expense. However, the Consultant deems them necessary to report. Such items are defined as operating or improvement expenses. copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 13

Necessary minor, annual, normal, or expected repairs, overhauls, tune-ups, and deferred maintenance, non-compliance, and substandard construction, are generally defined as "operating" expenses and reported here as "immediate repairs". These repairs are prioritized, and if time is not critical, are scheduled to be completed within a one- to twoyear period. If the Consultant concludes an operating expense has not been included in the current budget, and the expense is (i) necessary to improve projected useful life, efficiency, or marketability; (ii) required for current life safety codes or deems it a life safety issue; (iii) damage possibly covered by insurance; or (iv) is a deficiency of design, code violation, or non-compliant construction, then the item will be included as an operating expense in a separate budget titled Immediate Repair and Improvement Budget; see Exhibit B. It is assumed these expenses will be funded from the annual operating expense budget or other fund sources, such as insurance or recourse from other parties. Recommendations pertaining to making discretionary changes to the Property, regardless of cost or life cycle, are classified as improvements. All improvements are reported in a separate budget report titled Immediate Repair and Improvement Budget, whether they can be classified as a depreciable (capital) expense or an operating expense; see Exhibit B. These costs are not included in any of the above Reserve Funding Plans and if found acceptable, the costs should be included in the appropriate budget or funded by special assessment. Comments and photo references associated with the Immediate Repair and Improvement Budget are a part of the report. Comments and photo references associated with any budget item (including the Immediate Repair and Improvement Budget) may be viewed in the Item Comments Report Table VII-B; see Exhibit C. Digital color photographs with narratives are provided, when deemed necessary at the sole discretion of the Consultant. The Consultant will generally document repairs with photographs. See Exhibit H for the photo reports and site location plan when applicable. All expenses identified during our evaluation are deemed capital replacements and are included as such in Table VII-A Annual Budget. Therefore, no Immediate Repair and Improvement Budget is included with this Report. Captioned photos of issues worthy of the Client s attention are included in Exhibit H. An Item Comments Report (Table VII-B) is included showing notes and clarification for certain budget items. copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 14

3. Replacement Reserve Inventory and Annual Schedules 3.01 Individual Budget Reports Table VII-A and Individual Years Table VIII Reserve Inventory and Annual Schedules: see Exhibit C The individual Budget Report(s) Table VII-A provides the budget item inventory, schedule for replacements, and the annual expenses for each. Budget Reports can be set for any number of years, filtered by Cost Category or Item Classification, and subtotaled by total budget, Group, Division, or Cost Category. Multiple Budget Reports can be combined in any combination. The total annual expense data for each year provides the annual expense data for the Reserve Funding Reports. For the purpose of this Report, each individual Budget Report Table VII-A is published separately and only capital replacement budget items are included. Filters have been applied for all other Item Classification such as Repairs, Operating Expenses, and Improvements. These filtered budget items are included in the Immediate Repair and Improvement Budget, see Exhibit B. Each individual Budget Report is published for the Reserve Term as specified in Section 1.04 Executive Summary, and contains all projected budget items related to the Budget Report and includes the following data: Item Number: The sequential numbering assigned to each budget item intended to use to quick reference a budget item within the Budget Report viewed. Category Number: The standard "Cost Category" numbering format used for all reports of the various cost centers. The numbers organize "like" budget items in a systematic order from which they can then be cross-referenced, subtotaled, and totaled, and allows for another level of filtering data. Item Description: The description of a budget item(s). Begin Date: The date an item(s): (i) was placed into service; (ii) will be placed into service for the first time, or (iii) is the next scheduled replacement date. EUL: Effective useful life is the number of years an item(s) is anticipated to last, assuming proper installation and maintenance. This can be industry-published data based on the average useful life for the industry, or it may be the actual EUL for a specific locale or Client. For this Report, the estimated EUL for this Client and locale is used when available. RUL (Year): This is the number of estimated years remaining before the item is scheduled for replacement, counting from the year indicated in parenthesis. Quantity: The number of items associated with a specific budget item. Unit: These are standard abbreviations used to identify the unit measurement of a budget item. Unit Cost: The current year per unit cost of a quantity of one (1) of the budget items; pricing based on the specified pricing method. Estimated Cost: Total cost of a budget item calculated by multiplying the current year unit cost by the quantity. This estimated cost is then entered in the year(s) the budget item is scheduled to be replaced or repaired, calculated from the Begin Year and per the selected forecasting method and adjusted for inflation. Pricing Method: This refers to the description of the pricing criteria used to develop the unit cost estimate. Pricing Methods include "Contract", which would include all copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 15

labor and materials and other project-related costs, or "In-house", which would include only material cost, shipping, and handling, not installation. Item Class: This is an abbreviation for Item Classification, a description of an expense item. The most frequently used are capital replacement, operating, repair, and improvement expenses. This allows for another level of filtering data. Year 1 Year x: These are the years that budget items are scheduled for replacement, and the "x" number of years is the specified Reserve Term. The dollar values displayed are the estimated costs for the budget items adjusted for compounded inflation. Totals: The total replacement cost including adjustments for inflation for the specified Report Term. Individual Years Report Table VIII provides a series of one-year reports of the forecasted expenses. Each report lists the description and cost adjusted for inflation of just those expenses that occur in the one year. When the Table VIII includes two or more budgets, then an additional column identifies the budget related to each expense. This Report includes the first 3 years of a Combined-Single budget Table VIII report; it is assumed the CIRA will comply with the NRSS recommendations to update the Reserve Funding Plan annually and to have it reviewed and updated by an independent consultant every 3 years. 3.02 Inventory Exclusions The following common and privately-owned real property and operating expenses are excluded from this Report and the Reserve Funding Plans, unless otherwise noted: Interior stairs and railings Waste drain and vent service and piping Domestic water meters, backflow preventers, service, and piping Electrical meters, service, and wiring Gas meters, service, and piping Trash chute and container Dumpsters, trash and recycle bins, and trash compactors owned by others Site improvements, such as storm drainage and control structures, streets and curbing, traffic control signage and devices, sidewalks and paths, fencing and gates, and other site improvements maintained by governing authorities or others Leased equipment and fixtures including site lighting fixtures owned and maintained by the utility company Resident unit interior finishes and systems, and related equipment and systems, such as HVAC equipment and systems, paint, doors, windows, walls, light fixtures, steps, balconies, rails, and all other improvements as excluded by the CIRA covenants Annual operating expenses, including service agreements Natural disasters copyright zumbrunnen, Inc. 2010, all rights reserved Condominium Association zumbrunnen, Inc. Project #2018-024 Page 16

EXHIBIT A

2018-116:, Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Funding Plan Summary Table V-A Client Provided Data and General Information 2019 For Fiscal Year Only 433 Number of Units 734,503 Initial Reserve Balance 1.46% Assumed Annual Interest Rate 3.00% Assumed Annual Inflation Rate Additional Contribution Adjustment Rate 100.00% Estimated Percent Occupancy 4.00% Threshold Minimum of Total One Time Replacement Cost Minimum Percent Fully-Funded 7,060,568 Total One Time Replacement (only expenses with an ongoing replacement cycle) Table V-B.1: Current Funding Plan for This Fiscal Year 4.98 Per Unit Monthly Contribution 6.69% Percent Funded 2020 Lowest Reserve Balance Year Table V-C.1: Fully Funding Plan (Component Method) for This Fiscal Year 311.20 Per Unit Monthly Contribution 60.44% Percent Funded 2049 First Year at +99% Funded Table V-D.1: Baseline Funding Plan (Cash Flow Method) for This Fiscal Year 173.77 Per Unit Monthly Contribution 36.32% Percent Funded 2047 First Year Reserve Balance at $0 2047 Lowest Reserve Balance Year (projecting the Annual Contribution from the final year) Table V-E.1: Threshold Funding Plan (Cash Flow Method) for This Fiscal Year 184.43 Per Unit Monthly Contribution 38.19% Percent Funded 282,423 Minimum Reserve in Current Year Dollars 2026 First Year Reserve Balance at Specified Threshold Minimum 2026 Lowest Reserve Balance Year (projecting the Annual Contribution from the final year) Note: Funding plan calculations are based on the data entered for the entire term of years studied, the "File Term." It is recommended the File Term be sufficient enough to include a minimum one-time replacement cycle (and major repairs) of all equipment and building systems and the year with the greatest total expense. FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:31 Page 1 of 1

FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos & FF\2018-116 update.faf Printed: 04 Nov 2018 17:30 Page 1 of 2 2018-116:, Current Funding Plan Table V-B.1 Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Year Fully-Funded Balance - 100% Funded Reserve Fund Balance Percent Funded Reserve Fund Interest Earnings Net Expenses/Income Required Annual Contributions Per Unit Per Year at 100 % Occup Per Unit Per Month at 100 % Occup % Change in Required Annual Contribution 2019 2,981,467 199,363 6.69% 6,768 567,791 25,883 59.78 4.98 2020 2,867,960 (883,629) -30.81% 1,109,652 26,659 61.57 5.13 3.00% 2021 3,018,819 (1,731,341) -57.35% 875,171 27,459 63.42 5.28 3.00% 2022 2,817,788 (2,960,900) -105.08% 1,257,841 28,283 65.32 5.44 3.00% 2023 2,046,892 (4,696,522) -229.45% 1,764,754 29,132 67.28 5.61 3.00% 2024 1,886,498 (5,726,400) -303.55% 1,059,884 30,005 69.30 5.77 3.00% 2025 1,827,173 (6,619,204) -362.26% 923,710 30,906 71.38 5.95 3.00% 2026 1,839,382 (7,423,223) -403.57% 835,851 31,833 73.52 6.13 3.00% 2027 2,400,040 (7,663,778) -319.32% 273,343 32,788 75.72 6.31 3.00% 2028 2,960,962 (7,921,226) -267.52% 291,219 33,771 77.99 6.50 3.00% 2029 2,996,341 (8,728,768) -291.31% 842,327 34,785 80.33 6.69 3.00% 2030 3,355,479 (9,237,389) -275.29% 544,449 35,828 82.74 6.90 3.00% 2031 3,732,176 (9,754,485) -261.36% 553,999 36,903 85.23 7.10 3.00% 2032 3,901,959 (10,505,308) -269.23% 788,833 38,010 87.78 7.32 3.00% 2033 4,281,208 (11,074,283) -258.67% 608,126 39,150 90.42 7.53 3.00% 2034 4,909,810 (11,422,352) -232.64% 388,393 40,325 93.13 7.76 3.00% 2035 4,922,933 (12,410,032) -252.09% 1,029,215 41,535 95.92 7.99 3.00% 2036 5,738,686 (12,625,107) -220.00% 257,856 42,781 98.80 8.23 3.00% 2037 6,288,207 (13,137,192) -208.92% 556,149 44,064 101.76 8.48 3.00% 2038 6,298,671 (14,215,567) -225.69% 1,123,760 45,386 104.82 8.73 3.00% 2039 6,922,295 (14,706,857) -212.46% 538,038 46,748 107.96 9.00 3.00% 2040 6,907,699 (15,864,010) -229.66% 1,205,304 48,150 111.20 9.27 3.00% 2041 6,297,979 (17,646,810) -280.20% 1,832,394 49,595 114.54 9.54 3.00% 2042 5,674,766 (19,455,847) -342.85% 1,860,119 51,082 117.97 9.83 3.00% 2043 4,883,151 (21,444,896) -439.16% 2,041,664 52,615 121.51 10.13 3.00% 2044 3,586,139 (23,952,161) -667.91% 2,561,459 54,193 125.16 10.43 3.00% 2045 3,281,946 (25,484,617) -776.51% 1,588,275 55,819 128.91 10.74 3.00% 2046 3,404,020 (26,604,543) -781.56% 1,177,420 57,494 132.78 11.06 3.00% 2047 3,777,280 (27,501,518) -728.08% 956,193 59,218 136.76 11.40 3.00% 2048 4,684,004 (27,899,079) -595.62% 458,557 60,995 140.87 11.74 3.00% Average 4,016,391 (12,636,589) -320.71% 226 995,725 41,046 95 8 2.90%

2018-116:, Current Funding Plan Chart V-B Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Cost per Year $4,000,000 $2,000,000 $0 $-2,000,000 $-4,000,000 $-6,000,000 $-8,000,000 $-10,000,000 $-12,000,000 $-14,000,000 $-16,000,000 $-18,000,000 $-20,000,000 $-22,000,000 $-24,000,000 $-26,000,000 $-28,000,000 $-30,000,000 2019 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 Expenses Annual Contribution Reserve Balance Note: Funding plan calculations are based on the data entered for the entire term of years studied, the "File Term." It is recommended the File Term be sufficient enough to include a minimum one-time replacement cycle (and major repairs) of all equipment and building systems and the year with the greatest total expense. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos...\2018-116 update.faf Printed: 04 Nov 2018 17:31 Page 1 of 1

FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos & FF\2018-116 update.faf Printed: 04 Nov 2018 17:30 Page 1 of 2 2018-116:, Fully-Funded Funding Plan (Component Method) Table V-C.1 Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Year Fully-Funded Balance - 100% Funded Reserve Fund Balance Percent Funded Reserve Fund Interest Earnings Net Expenses/Income Required Annual Contributions Per Unit Per Year at 100 % Occup Per Unit Per Month at 100 % Occup % Change in Required Annual Contribution 2019 2,981,467 1,802,091 60.44% 18,383 567,791 1,616,996 3,734.40 311.20 2020 2,867,960 2,061,536 71.88% 28,000 1,109,652 1,341,096 3,097.22 258.10-17.06% 2021 3,018,819 2,436,549 80.71% 32,598 875,171 1,217,587 2,811.98 234.33-9.21% 2022 2,817,788 2,439,612 86.58% 35,338 1,257,841 1,225,566 2,830.41 235.87 0.66% 2023 2,046,892 1,783,673 87.14% 30,607 1,764,754 1,078,208 2,490.09 207.51-12.02% 2024 1,886,498 1,699,713 90.10% 25,244 1,059,884 950,679 2,195.56 182.96-11.83% 2025 1,827,173 1,686,987 92.33% 24,544 923,710 886,440 2,047.21 170.60-6.76% 2026 1,839,382 1,727,772 93.93% 24,747 835,851 851,889 1,967.41 163.95-3.90% 2027 2,400,040 2,298,612 95.77% 29,180 273,343 815,003 1,882.23 156.85-4.33% 2028 2,960,962 2,866,433 96.81% 37,432 291,219 821,609 1,897.48 158.12 0.81% 2029 2,996,341 2,908,918 97.08% 41,855 842,327 842,957 1,946.78 162.23 2.60% 2030 3,355,479 3,269,701 97.44% 44,777 544,449 860,455 1,987.19 165.60 2.08% 2031 3,732,176 3,648,091 97.75% 50,134 553,999 882,255 2,037.54 169.80 2.53% 2032 3,901,959 3,819,619 97.89% 54,119 788,833 906,242 2,092.94 174.41 2.72% 2033 4,281,208 4,200,665 98.12% 58,124 608,126 931,048 2,150.23 179.19 2.74% 2034 4,909,810 4,831,118 98.40% 65,454 388,393 953,393 2,201.83 183.49 2.40% 2035 4,922,933 4,846,148 98.44% 70,132 1,029,215 974,113 2,249.68 187.47 2.17% 2036 5,738,686 5,663,864 98.70% 76,167 257,856 999,405 2,308.09 192.34 2.60% 2037 6,288,207 6,215,395 98.84% 86,090 556,149 1,021,590 2,359.33 196.61 2.22% 2038 6,298,671 6,227,930 98.88% 90,178 1,123,760 1,046,117 2,415.97 201.33 2.40% 2039 6,922,295 6,853,686 99.01% 94,804 538,038 1,068,990 2,468.80 205.73 2.19% 2040 6,907,699 6,841,286 99.04% 99,249 1,205,304 1,093,655 2,525.76 210.48 2.31% 2041 6,297,979 6,233,828 98.98% 94,757 1,832,394 1,130,179 2,610.11 217.51 3.34% 2042 5,674,766 5,612,945 98.91% 85,855 1,860,119 1,153,381 2,663.70 221.97 2.05% 2043 4,883,151 4,823,697 98.78% 75,635 2,041,664 1,176,782 2,717.74 226.48 2.03% 2044 3,586,139 3,529,124 98.41% 60,534 2,561,459 1,206,352 2,786.03 232.17 2.51% 2045 3,281,946 3,227,443 98.34% 48,965 1,588,275 1,237,628 2,858.26 238.19 2.59% 2046 3,404,020 3,352,105 98.47% 47,683 1,177,420 1,254,399 2,897.00 241.42 1.36% 2047 3,777,280 3,728,029 98.70% 51,310 956,193 1,280,806 2,957.98 246.50 2.11% 2048 4,684,004 4,637,498 99.01% 60,626 458,557 1,307,400 3,019.40 251.62 2.08% Average 4,016,391 3,842,469 94.16% 54,751 995,725 1,071,074 2,474 206-0.55%

2018-116:, Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Fully-Funded Funding Plan (Component Method) Chart V-C Cost per Year $7,500,000 $7,000,000 $6,500,000 $6,000,000 $5,500,000 $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $0 2019 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 Expenses Annual Contribution Reserve Balance Note: Funding plan calculations are based on the data entered for the entire term of years studied, the "File Term." It is recommended the File Term be sufficient enough to include a minimum one-time replacement cycle (and major repairs) of all equipment and building systems and the year with the greatest total expense. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos...\2018-116 update.faf Printed: 04 Nov 2018 17:31 Page 1 of 1

FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos & FF\2018-116 update.faf Printed: 04 Nov 2018 17:29 Page 1 of 2 2018-116:, Baseline Funding Plan (Cash Flow Method) Table V-D.1 Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Year Fully-Funded Balance - 100% Funded Reserve Fund Balance Percent Funded Reserve Fund Interest Earnings Net Expenses/Income Required Annual Contributions Per Unit Per Year at 100 % Occup Per Unit Per Month at 100 % Occup % Change in Required Annual Contribution 2019 2,981,467 1,082,797 36.32% 13,170 567,791 902,915 2,085.25 173.77 2020 2,867,960 917,645 32.00% 14,497 1,109,652 930,002 2,147.81 178.98 3.00% 2021 3,018,819 1,014,377 33.60% 14,002 875,171 957,902 2,212.25 184.35 3.00% 2022 2,817,788 756,005 26.83% 12,830 1,257,841 986,639 2,278.61 189.88 3.00% 2023 2,046,892 13,063 0.64% 5,574 1,764,754 1,016,238 2,346.97 195.58 3.00% 2024 1,886,498 95 1,059,884 1,046,726 2,417.38 201.45 3.00% 2025 1,827,173 923,710 923,710 2,133.28 177.77-11.75% 2026 1,839,382 835,851 835,851 1,930.37 160.86-9.51% 2027 2,400,040 459,827 19.16% 3,332 273,343 729,837 1,685.54 140.46-12.68% 2028 2,960,962 930,416 31.42% 10,075 291,219 751,733 1,736.10 144.68 3.00% 2029 2,996,341 875,461 29.22% 13,087 842,327 774,285 1,788.19 149.02 3.00% 2030 3,355,479 1,143,154 34.07% 14,629 544,449 797,513 1,841.83 153.49 3.00% 2031 3,732,176 1,429,236 38.29% 18,642 553,999 821,439 1,897.09 158.09 3.00% 2032 3,901,959 1,507,769 38.64% 21,285 788,833 846,082 1,954.00 162.83 3.00% 2033 4,281,208 1,795,043 41.93% 23,936 608,126 871,464 2,012.62 167.72 3.00% 2034 4,909,810 2,334,183 47.54% 29,925 388,393 897,608 2,073.00 172.75 3.00% 2035 4,922,933 2,262,819 45.96% 33,315 1,029,215 924,536 2,135.19 177.93 3.00% 2036 5,738,686 2,995,342 52.20% 38,106 257,856 952,272 2,199.24 183.27 3.00% 2037 6,288,207 3,466,866 55.13% 46,832 556,149 980,841 2,265.22 188.77 3.00% 2038 6,298,671 3,403,159 54.03% 49,788 1,123,760 1,010,266 2,333.18 194.43 3.00% 2039 6,922,295 3,959,050 57.19% 53,355 538,038 1,040,574 2,403.17 200.26 3.00% 2040 6,907,699 3,882,365 56.20% 56,827 1,205,304 1,071,791 2,475.27 206.27 3.00% 2041 6,297,979 3,205,280 50.89% 51,365 1,832,394 1,103,945 2,549.53 212.46 3.00% 2042 5,674,766 2,523,743 44.47% 41,519 1,860,119 1,137,063 2,626.01 218.83 3.00% 2043 4,883,151 1,683,745 34.48% 30,492 2,041,664 1,171,175 2,704.79 225.40 3.00% 2044 3,586,139 343,287 9.57% 14,690 2,561,459 1,206,310 2,785.94 232.16 3.00% 2045 3,281,946 2,488 1,588,275 1,242,499 2,869.51 239.13 3.00% 2046 3,404,020 1,177,420 1,177,420 2,719.22 226.60-5.24% 2047 3,777,280 956,193 956,193 2,208.30 184.02-18.79% 2048 4,684,004 69,108 1.48% 501 458,557 527,164 1,217.47 101.46-44.87% Average 4,016,391 1,401,791 29.04% 20,479 995,725 953,066 2,201 183-1.13%

2018-116:, Baseline Funding Plan (Cash Flow Method) Chart V-D Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 Cost per Year $2,000,000 $1,500,000 $1,000,000 $500,000 $0 2019 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 Expenses Annual Contribution Reserve Balance Note: Funding plan calculations are based on the data entered for the entire term of years studied, the "File Term." It is recommended the File Term be sufficient enough to include a minimum one-time replacement cycle (and major repairs) of all equipment and building systems and the year with the greatest total expense. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos...\2018-116 update.faf Printed: 04 Nov 2018 17:31 Page 1 of 1

FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos & FF\2018-116 update.faf Printed: 04 Nov 2018 17:29 Page 1 of 2 2018-116:, Threshold Funding Plan (Cash Flow Method) Table V-E.1 Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Year Fully-Funded Balance - 100% Funded Reserve Fund Balance Percent Funded Reserve Fund Interest Earnings Net Expenses/Income Required Annual Contributions Per Unit Per Year at 100 % Occup Per Unit Per Month at 100 % Occup % Change in Required Annual Contribution 2019 2,981,467 1,138,604 38.19% 13,575 567,791 958,317 2,213.20 184.43 2020 2,867,960 1,031,748 35.97% 15,729 1,109,652 987,067 2,279.60 189.97 3.00% 2021 3,018,819 1,189,353 39.40% 16,097 875,171 1,016,679 2,347.99 195.67 3.00% 2022 2,817,788 994,517 35.29% 15,827 1,257,841 1,047,179 2,418.43 201.54 3.00% 2023 2,046,892 317,869 15.53% 9,511 1,764,754 1,078,595 2,490.98 207.58 3.00% 2024 1,886,498 327,405 17.36% 4,676 1,059,884 1,064,743 2,458.99 204.92-1.28% 2025 1,827,173 337,227 18.46% 4,817 923,710 928,716 2,144.84 178.74-12.78% 2026 1,839,382 347,344 18.88% 4,961 835,851 841,007 1,942.28 161.86-9.44% 2027 2,400,040 817,592 34.07% 8,442 273,343 735,148 1,697.80 141.48-12.59% 2028 2,960,962 1,298,913 43.87% 15,339 291,219 757,202 1,748.74 145.73 3.00% 2029 2,996,341 1,255,013 41.88% 18,509 842,327 779,918 1,801.20 150.10 3.00% 2030 3,355,479 1,534,093 45.72% 20,213 544,449 803,316 1,855.23 154.60 3.00% 2031 3,732,176 1,831,903 49.08% 24,394 553,999 827,415 1,910.89 159.24 3.00% 2032 3,901,959 1,922,516 49.27% 27,209 788,833 852,238 1,968.22 164.02 3.00% 2033 4,281,208 2,222,233 51.91% 30,037 608,126 877,805 2,027.26 168.94 3.00% 2034 4,909,810 2,774,188 56.50% 36,210 388,393 904,139 2,088.08 174.01 3.00% 2035 4,922,933 2,716,025 55.17% 39,788 1,029,215 931,263 2,150.72 179.23 3.00% 2036 5,738,686 3,462,144 60.33% 44,774 257,856 959,201 2,215.25 184.60 3.00% 2037 6,288,207 3,947,672 62.78% 53,700 556,149 987,977 2,281.70 190.14 3.00% 2038 6,298,671 3,898,389 61.89% 56,861 1,123,760 1,017,617 2,350.15 195.85 3.00% 2039 6,922,295 4,469,137 64.56% 60,640 538,038 1,048,145 2,420.66 201.72 3.00% 2040 6,907,699 4,407,754 63.81% 64,332 1,205,304 1,079,589 2,493.28 207.77 3.00% 2041 6,297,979 3,746,431 59.49% 59,094 1,832,394 1,111,977 2,568.08 214.01 3.00% 2042 5,674,766 3,081,128 54.30% 49,480 1,860,119 1,145,336 2,645.12 220.43 3.00% 2043 4,883,151 2,257,853 46.24% 38,692 2,041,664 1,179,696 2,724.47 227.04 3.00% 2044 3,586,139 934,618 26.06% 23,136 2,561,459 1,215,087 2,806.21 233.85 3.00% 2045 3,281,946 609,070 18.56% 11,187 1,588,275 1,251,540 2,890.39 240.87 3.00% 2046 3,404,020 627,342 18.43% 8,960 1,177,420 1,186,732 2,740.72 228.39-5.18% 2047 3,777,280 646,163 17.11% 9,229 956,193 965,784 2,230.45 185.87-18.62% 2048 4,684,004 734,656 15.68% 10,007 458,557 537,043 1,240.28 103.36-44.39% Average 4,016,391 1,829,297 40.53% 26,514 995,725 969,216 2,238 187-1.28%

2018-116:, Threshold Funding Plan (Cash Flow Method) Chart V-E Begin Year: 2019 File Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 Cost per Year $2,000,000 $1,500,000 $1,000,000 $500,000 $0 2019 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 Expenses Annual Contribution Reserve Balance Note: Funding plan calculations are based on the data entered for the entire term of years studied, the "File Term." It is recommended the File Term be sufficient enough to include a minimum one-time replacement cycle (and major repairs) of all equipment and building systems and the year with the greatest total expense. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos...\2018-116 update.faf Printed: 04 Nov 2018 17:30 Page 1 of 1

EXHIBIT B NOT USED

EXHIBIT C

2018-116:, Annual Budget Totals Table VII-A Begin Year: 2019 Report Term: 20 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Units: 433 Condos Area: Year: 2005 Modified: 04 Nov 2018 Catg. Item Description Begin Date EUL RUL (2019) Quantity Unit Unit Cost Estimated Cost Pricing Method Item Class 2019 Year 1 2020 Year 2 2021 Year 3 2022 Year 4 2023 Year 5 2024 Year 6 2025 Year 7 2026 Year 8 2027 Year 9 2028 Year 10 2029 Year 11 2030 Year 12 2031 Year 13 2032 Year 14 2033 Year 15 2034 Year 16 2035 Year 17 2036 Year 18 2037 Year 19 2038 Year 20 Totals 2.01 Landscape & Hardscape 1 2.01 Tree removal along Bolton Drive 2019 3 1 Allowance 20,000.00 20,000 Contract CAP 20,000 21,855 23,881 26,095 28,515 31,159 34,049 185,554 2 2.01 Remedial compaction and sinkhole repair as needed (1.1 million paid over previous 7 years; expense expected to taper off as problem is corrected) 2018 1 1 Allowance 50,000.00 50,000 Contract CAP 50,000 51,500 53,045 54,636 56,275 265,457 3 2.01 Routine clearing of overgrown slopes are operating cost; not included in Capital budget 2005 Contract CAP Expense Landscape & Hardscape Subtotal 70,000 51,500 53,045 76,491 56,275 23,881 26,095 28,515 31,159 34,049 451,011 2.03 Paving 4 2.03 Permaflex asphalt overlay (Phs: 3 yr) 5 2.03 Seal and stripe asphalt paved areas 2.04 Site Concrete 6 2.04 Repair sidewalks, curbs, concrete flumes, and other site concrete as needed 7 2.04 Repair concrete parking areas as needed 2022 15 3 18,414 sy 16.00 294,624 Contract CAP 107,315 110,534 113,850 167,193 172,208 671,099 2019 3 18,414 sy 1.30 23,938 Contract CAP 23,938 26,158 28,583 31,234 34,130 37,295 40,753 222,092 Expense Paving Subtotal 23,938 133,472 110,534 113,850 28,583 31,234 34,130 37,295 207,946 172,208 893,191 2020 2 1 1 Allowance 10,000.00 10,000 Contract CAP 10,300 10,927 11,593 12,299 13,048 13,842 14,685 15,580 16,528 17,535 136,337 2018 5 4 1 ls 7,500.00 7,500 Contract CAP 8,441 9,786 11,344 13,151 42,723 Expense Site Concrete Subtotal 10,300 10,927 8,441 11,593 12,299 22,834 13,842 14,685 11,344 15,580 16,528 30,686 179,060 2.05 Retaining Walls 8 2.05 Repair gabion walls as needed 2020 3 1 1 ls 200,000.00 200,000 Contract CAP 206,000 225,102 245,975 268,783 293,707 320,941 350,701 1,911,209 9 2.05 Clear trees and other growth out of gabion walls 2019 1 1 ls 18,000.00 18,000 Contract CAP 18,000 18,540 19,096 19,669 20,259 20,867 21,493 22,138 22,802 23,486 24,190 24,916 25,664 26,434 27,227 28,043 28,885 29,751 30,644 31,563 483,667 10 2.05 Repair cracked brick retaining wall near front entry 2019 1 1 Allowance 30,000.00 30,000 Contract CAP 30,000 30,000 Replace wood retaining wall with 11 2.05 Concrete modular block ("Forix") 2018 35 34 1 ls 327,990.00 327,990 Contract CAP behind units 1841 through 1881 12 2.05 Replace retaining wall behind 1200 to 1280 2023 35 4 1,500 sf 80.00 120,000 Contract CAP 135,061 135,061 13 2.05 Replace retaining wall behind 1304 through 1328 2023 35 4 800 sf 80.00 64,000 Contract CAP 72,033 72,033 14 2.05 Replace retaining wall behind 1552 through 1560 2023 35 4 128 sf 80.00 10,240 Contract CAP 11,525 11,525 15 2.05 Replace retaining wall behind 1360 to 1380 2023 35 4 400 sf 80.00 32,000 Contract CAP 36,016 36,016 16 2.05 Replace retaining wall behind 1769 through 1837 2023 35 4 675 sf 80.00 54,000 Contract CAP 60,777 60,777 Replace all small wood retaining 17 2.05 walls with modular block walls (Phs: 5 yr) 2020 1 400 sf 80.00 32,000 Contract CAP 6,592 6,790 6,993 7,203 7,419 7,642 42,640 Replace retaining wall by unit 1041 18 2.05 (wood wall installed 2018; replace with modular concrete block) 2028 35 9 120 sf 80.00 9,600 Contract CAP 12,526 12,526 Expense Retaining Walls Subtotal 48,000 231,132 25,886 26,663 567,977 28,286 29,135 268,113 22,802 36,012 292,974 24,916 25,664 320,140 27,227 28,043 349,826 29,751 30,644 382,264 2,795,454 2.06 Site Rails, Fencing & Gates 19 2.06 Dwelling Live call box/scanner 2021 5 2 1 ls 6,500.00 6,500 Contract CAP 6,896 7,994 9,267 10,744 34,901 20 2.06 Replace vehicle gates, painted aluminum, per pair (Phs: 2 yr) 2021 12 2 2 2 7,500.00 15,000 Contract CAP 7,957 8,195 11,344 11,685 39,181 21 2.06 Gate openers: front entry (Phs: 2 yr) 2019 3 4 ea 3,000.00 12,000 Contract CAP 6,000 6,180 6,556 6,753 7,164 7,379 7,829 8,063 8,555 8,811 9,348 9,628 10,215 10,521 113,003 22 2.06 Access control gate arms (replace 4 times / year due to vehicle 2019 1 4 ea 500.00 2,000 Contract CAP 2,000 2,060 2,122 2,185 2,251 2,319 2,388 2,460 2,534 2,610 2,688 2,768 2,852 2,937 3,025 3,116 3,209 3,306 3,405 3,507 53,741 impact) 23 2.06 Access control gate arm operators (Phs: 3 yr) 2019 3 3 ls 3,000.00 9,000 Contract CAP 3,000 3,090 3,183 3,278 3,377 3,478 3,582 3,690 3,800 3,914 4,032 4,153 4,277 4,406 4,538 4,674 4,814 4,959 5,107 5,261 80,611 24 2.06 Aluminum fence near front entry and at pool 2005 20 6 665 lf 35.00 23,275 Contract CAP 27,792 27,792 25 2.06 Replace bollards at gate area as needed 2019 1 1 Allowance 1,200.00 1,200 Contract CAP 1,200 1,236 1,273 1,311 1,351 1,391 1,433 1,476 1,520 1,566 1,613 1,661 1,711 1,762 1,815 1,870 1,926 1,983 2,043 2,104 32,244 FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. 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2018-116:, Annual Budget Totals Table VII-A Catg. Item Description Begin Date EUL RUL (2019) Quantity Unit Unit Cost Estimated Cost Pricing Method Item Class 2019 Year 1 2020 Year 2 2021 Year 3 2022 Year 4 2023 Year 5 26 2.06 Key pad access control at pedestrian gate at main entry and at pool 2020 5 1 2 ls 500.00 1,000 Contract CAP 1,030 1,194 1,384 1,605 5,213 27 2.06 Replace chain link fence (Phs: 3 yr) 2005 20 6 7,700 lf 19.00 146,300 Contract CAP 58,230 59,977 61,776 179,983 28 2.06 Replace cedar split rail fence 2019 15 175 ls 28.57 5,000 Contract CAP 5,000 7,789 12,789 29 2.06 Replace wood dog ear fence behind unit 1761 2019 10 75 lf 41.70 3,128 Contract CAP 3,128 4,203 7,331 Expense Site Rails, Fencing & Gates Subtotal 20,327 13,596 21,430 21,527 13,731 7,187 101,783 82,975 69,630 15,918 20,599 9,966 26,662 17,916 20,722 38,481 21,182 20,991 20,770 21,393 586,789 2024 Year 6 2025 Year 7 2026 Year 8 2027 Year 9 2028 Year 10 2029 Year 11 2030 Year 12 2031 Year 13 2032 Year 14 2033 Year 15 2034 Year 16 2035 Year 17 2036 Year 18 2037 Year 19 2038 Year 20 Totals 2.07 Site Lighting 30 2.07 Light poles, lantern style, owned and maintained by GA Power - lease is an operating expense; not included in Capital Budget 2005 Contract CAP Expense Site Lighting Subtotal 2.08 Storm Drainage 31 2.08 Remove and replace concrete flumes to accommodate heavy storm flow 32 2.08 Replace/restore downspout drain leader pipe as necessary 33 2.08 Replace broken catch basin tops as needed Clean out detention pond; will 34 2.08 require rappel, chain saws, lots of hand work due to poor access Clean out detention pond: Routine 35 2.08 maintenance of detention pond is an operating cost; not in Capital budget 2019 1 6,000 lf 20.00 120,000 Contract CAP 120,000 120,000 2019 2 1 ls 3,500.00 3,500 Contract CAP 3,500 3,713 3,939 4,179 4,434 4,704 4,990 5,294 5,616 5,959 46,328 2016 5 2 1 ea 1,500.00 1,500 Contract CAP 1,591 1,845 2,139 2,479 8,054 2019 1 1 ls 75,000.00 75,000 Contract CAP 75,000 75,000 2019 Contract CAP Expense Storm Drainage Subtotal 198,500 5,305 3,939 4,179 1,845 4,434 4,704 7,129 5,294 5,616 2,479 5,959 249,382 2.09 Site Utilities 36 2.09 Repair underground utilities as needed 2016 1 1 allowance 1,500.00 1,500 Contract CAP 1,500 1,545 1,591 1,639 1,688 1,739 1,791 1,845 1,900 1,957 2,016 2,076 2,139 2,203 2,269 2,337 2,407 2,479 2,554 2,630 40,306 Expense Site Utilities Subtotal 1,500 1,545 1,591 1,639 1,688 1,739 1,791 1,845 1,900 1,957 2,016 2,076 2,139 2,203 2,269 2,337 2,407 2,479 2,554 2,630 40,306 2.10 Signage 37 2.10 Rebuild brick monument sign at Marietta Blvd Replace termite eaten wood 38 2.10 outriggers at monument sign at Marietta Blvd 39 2.10 Stop signs / road signs; parking and directional signage 2005 25 11 1 ls 20,000.00 20,000 Contract CAP 27,685 27,685 2019 5 1 Allowance 2,000.00 2,000 Contract CAP 2,000 2,319 2,688 3,116 10,122 2019 10 1 Allowance 26,000.00 26,000 Contract CAP 26,000 34,942 60,942 Expense Signage Subtotal 28,000 2,319 37,630 27,685 3,116 98,749 2.13 Amenities 40 2.13 Resurface pool deck - Kook Dek or acrylic surface (grind and seal slab cracks) 2025 10 6 3,800 sf 9.00 34,200 Contract CAP 40,837 54,881 95,718 41 2.13 Resurface pool interior, replace waterline tile 2019 12 2,875 sf 9.50 27,313 Contract CAP 27,313 38,941 66,254 Replace expansion joint material in 42 2.13 pool deck; replace damaged linear drains as needed 2020 10 1 300 lf 2.00 600 Contract CAP 618 831 1,449 43 2.13 Pool equipment 2023 10 4 1 ls 4,000.00 4,000 Contract CAP 4,502 6,050 10,552 44 2.13 Pet waste stations 2018 5 4 15 ls 200.00 3,000 Contract CAP 3,377 3,914 4,538 5,261 17,089 45 2.13 Gas grill at unit 1260 2014 8 3 1 ls 800.00 800 Contract CAP 874 1,107 1,403 3,384 46 2.13 Mail box posts 2020 10 1 215 ea 225.00 48,375 Contract CAP 49,826 66,962 116,789 47 2.13 Mail boxes 2020 10 1 433 ea 30.00 12,990 Contract CAP 13,380 17,981 31,361 Expense Amenities Subtotal 27,313 63,824 874 7,879 40,837 3,914 86,881 38,941 10,588 54,881 6,663 342,595 3.04 Thermal & Moisture Protection Systems 48 3.04 Roof at pool house 2005 20 6 18 sq 400.00 7,200 Contract CAP 8,597 8,597 49 3.04 Replace roof at guardhouse 2005 25 11 1.5 sq 400.00 600 Contract CAP 831 831 50 3.04 Replace roofs (Phs: 3 yr) 2020 20 1 88 ea 7,500.00 660,000 Contract CAP 226,600 233,398 240,400 700,398 51 3.04 Replace roofs (Phs: 3 yr) 2021 20 2 86 ea 7,500.00 645,000 Contract CAP 228,094 234,936 241,984 705,014 52 3.04 Replace roofs (Phs: 3 yr) 2022 20 3 69 ea 7,500.00 517,500 Contract CAP 188,495 194,150 199,975 582,620 53 3.04 Replace roofs (Phs: 3 yr) 2023 20 4 71 ea 7,500.00 532,500 Contract CAP 199,778 205,771 211,944 617,493 54 3.04 Replace roofs (Phs: 3 yr) 2024 20 5 96 ea 7,500.00 720,000 Contract CAP 278,226 286,573 295,170 859,968 55 3.04 Replace roofs 2018 20 19 23 ea 7,500.00 172,500 Contract CAP 302,480 302,480 56 3.04 Roof tune-up, roof repairs 2019 2 367,000 sf 0.07 24,956 Contract CAP 24,956 26,476 28,088 29,799 31,614 33,539 35,581 37,748 40,047 42,486 330,334 Replace gutters and downspouts at 57 3.04 pool house 2005 15 1 250 lf 7.00 1,750 Contract CAP 1,803 2,808 4,611 Replace gutters and downspouts 58 3.04 (2018 units) 2018 15 14 23 ea 1,060.00 24,380 Contract CAP 36,877 36,877 Replace gutters on front sides of 59 3.04 buildings (2005 through 2009 units) 2014 15 10 410 ea 526.00 215,660 Contract CAP 289,829 289,829 Replace gutters on back sides of 60 3.04 buildings (2005 through 2009 units) 2005 15 1 410 ea 526.00 215,660 Contract CAP 222,130 346,071 568,201 61 3.04 Repair / re-pitch gutters as needed 2019 1 1 Allowance 5,000.00 5,000 Contract CAP 5,000 5,150 5,305 5,464 5,628 5,796 5,970 6,149 6,334 6,524 6,720 6,921 7,129 7,343 7,563 7,790 8,024 8,264 8,512 8,768 134,352 Expense Thermal & Moisture Protection Systems Subtotal 29,956 455,682 493,272 669,295 669,628 689,768 542,883 301,319 37,947 6,524 330,087 7,752 42,710 7,343 82,188 7,790 396,950 8,264 50,998 311,247 5,141,604 3.05 Exterior Finish & Wall Systems FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. 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2018-116:, Annual Budget Totals Table VII-A Catg. 62 3.05 63 3.05 64 3.05 65 3.05 Item Description Replace / repair siding, exterior trim as needed (including paint as needed) (Phs: 7 yr) Gatehouse: Replace / repair siding, exterior trim, etc, as needed Repair rotten damaged wood components at rear decks as needed (Phs: 5 yr) Repair rotten damaged wood components at front stairs and stoops as needed (Phs: 5 yr) Begin Date EUL RUL (2019) Quantity Unit Unit Cost Estimated Cost Pricing Method Item Class 2019 Year 1 2020 Year 2 2021 Year 3 2022 Year 4 2023 Year 5 2024 Year 6 2025 Year 7 2019 7 433 unit 400.00 173,200 Contract CAP 24,743 25,485 26,250 27,037 27,848 28,684 29,544 30,431 31,344 32,284 33,252 34,250 35,277 36,336 37,426 38,549 39,705 40,896 42,123 43,387 664,850 2020 5 1 1 Allowance 2,000.00 2,000 Contract CAP 2,060 2,388 2,768 3,209 10,426 2019 5 433 ea 190.00 82,270 Contract CAP 16,454 16,948 17,456 17,980 18,519 19,075 19,647 20,236 20,843 21,469 22,113 22,776 23,459 24,163 24,888 25,635 26,404 27,196 28,012 28,852 442,125 2019 5 125 ea 400.00 50,000 Contract CAP 10,000 10,300 10,609 10,927 11,255 11,593 11,941 12,299 12,668 13,048 13,439 13,842 14,258 14,685 15,126 15,580 16,047 16,528 17,024 17,535 268,704 2026 Year 8 2027 Year 9 Expense Exterior Finish & Wall Systems Subtotal 51,197 54,793 54,315 55,944 57,623 59,351 63,520 62,966 64,855 66,800 68,804 73,637 72,994 75,184 77,440 79,763 85,365 84,621 87,159 89,774 1,386,105 2028 Year 10 2029 Year 11 2030 Year 12 2031 Year 13 2032 Year 14 2033 Year 15 2034 Year 16 2035 Year 17 2036 Year 18 2037 Year 19 2038 Year 20 Totals 3.07 Doors, Windows & Hardware 66 3.07 Replace exterior doors at office - unit 1260 67 3.07 Replace windows at office - unit 1260 68 3.07 Replace guardhouse windows and door 2020 20 1 2 ea 750.00 1,500 Materials CAP 1,545 1,545 2020 20 1 12 ea 450.00 5,400 Contract CAP 5,562 5,562 2025 20 6 1 ls 1,800.00 1,800 Contract CAP 2,149 2,149 Expense Doors, Windows & Hardware Subtotal 7,107 2,149 9,256 3.09 Exterior Paint & Caulk 69 3.09 Paint vehicle gates, bollards, etc, at main entry 2020 5 1 1 Allowance 3,000.00 3,000 Contract CAP 3,090 3,582 4,153 4,814 15,639 70 3.09 Exterior paint pool house 2005 10 6 1 ls 5,000.00 5,000 Contract CAP 5,970 8,024 13,994 71 3.09 Stain / paint rear decks on new (2018) units 2019 5 23 ea 700.00 16,100 Contract CAP 16,100 16,100 72 3.09 Stain rear decks (Phs: 5 yr) 2019 5 433 ea 600.00 259,800 Contract CAP 51,960 53,519 55,124 56,778 58,481 60,236 62,043 63,904 65,821 67,796 69,830 71,925 74,083 76,305 78,594 80,952 83,381 85,882 88,458 91,112 1,396,185 73 3.09 Exterior paint condo units 2020 10 1 96 ea 1,600.00 153,600 Contract CAP 158,208 212,618 370,826 74 3.09 Exterior paint condo units 2021 10 2 88 ea 1,600.00 140,800 Contract CAP 149,375 200,747 350,122 75 3.09 Exterior paint condo units 2022 10 3 115 ea 1,600.00 184,000 Contract CAP 201,062 270,210 471,272 76 3.09 Exterior paint condo units 2023 10 4 111 ea 1,600.00 177,600 Contract CAP 199,890 268,636 468,526 77 3.09 Exterior paint condo units 2024 10 5 23 ea 1,600.00 36,800 Contract CAP 42,661 57,333 99,994 78 3.09 Exterior paint at guardhouse 2018 10 9 1 ls 1,500.00 1,500 Contract CAP 1,957 2,630 4,587 Expense Exterior Paint & Caulk Subtotal 68,060 214,817 204,499 257,840 258,372 102,897 71,595 63,904 65,821 69,753 69,830 288,696 274,830 346,515 347,230 138,285 96,218 85,882 88,458 93,742 3,207,246 3.10 Specials 79 3.10 Replace toilet partitions in pool house restrooms 2015 10 6 1 ls 3,000.00 3,000 Materials CAP 3,582 4,814 8,396 Expense Specials Subtotal 3,582 4,814 8,396 4.01 HVAC 80 4.01 Split DX HVAC system at office - unit 1260 2017 20 18 1 ls 4,300.00 4,300 Contract CAP 7,320 7,320 81 4.01 Window unit AC at guardhouse 2020 8 1 1 ls 300.00 300 Contract CAP 309 391 496 1,196 Expense HVAC Subtotal 309 391 496 7,320 8,517 4.02 Plumbing & Plumbing Fixtures 82 4.02 Drinking fountains at pool 2022 15 3 2 ea 700.00 1,400 Contract CAP 1,530 2,383 3,913 83 4.02 Water heater at office - unit 1260 2017 10 8 1 ea 650.00 650 In-house CAP 823 1,107 1,930 84 4.02 Water heater at clubhouse - 66 gallon electric 2020 10 1 1 ea 650.00 650 In-house CAP 670 900 1,569 Expense Plumbing & Plumbing Fixtures Subtotal 670 1,530 823 900 3,490 7,412 4.04 Electrical 85 4.04 Flood light fixtures at guard house and at pool house 2020 10 1 5 ea 400.00 2,000 Contract CAP 2,060 2,768 4,828 Expense Electrical Subtotal 2,060 2,768 4,828 5.01 Common Area Finishes Allowance 86 5.01 Paint pool house interior - bathrooms 2005 12 10 1 ls 1,000.00 1,000 Materials CAP 1,344 1,344 87 5.01 Remodel pool house bathrooms 2006 20 7 1 ls 30,000.00 30,000 Materials CAP 36,896 36,896 88 5.01 Interior paint office - unit 1260 2022 12 3 1 ls 1,200.00 1,200 Contract CAP 1,311 1,870 3,181 89 5.01 Remodel office interior - unit 1260 2024 20 5 1,150 sf 25.00 28,750 Contract CAP 33,329 33,329 Expense Common Area Finishes Allowance Subtotal 1,311 33,329 36,896 1,344 1,870 74,750 7.02 Furnishings 90 7.02 Replace furniture at office - unit 1260 2018 5 4 1 ls 7,500.00 7,500 Materials CAP 8,441 9,786 11,344 13,151 42,723 91 7.02 Benches at dog park and cul-de-sac 2005 15 1 3 ea 750.00 2,250 Materials CAP 2,318 3,611 5,928 92 7.02 Pool furniture - Chaise 2013 8 2 36 ea 145.00 5,220 Materials CAP 5,538 7,015 8,887 21,440 93 7.02 Pool furniture - Chair 2013 8 2 30 ea 115.00 3,450 Materials CAP 3,660 4,637 5,873 14,170 94 7.02 Pool furniture - Table 2013 8 2 4 ea 200.00 800 Materials CAP 849 1,075 1,362 3,286 95 7.02 Pool furniture - Umbrella 2013 8 2 4 ea 50.00 200 Materials CAP 212 269 340 821 Expense Furnishings Subtotal 2,318 10,259 8,441 9,786 12,996 11,344 3,611 16,463 13,151 88,368 7.06 Entertainment, Communication & Security Systems 96 7.06 All items below are located at the gate house 2005 Materials CAP 97 7.06 Surge protection at gate house 2018 3 2 1 ls 600.00 600 Contract CAP 637 696 760 831 908 992 4,822 98 7.06 DVR 2015 3 2 1 ls 300.00 300 Contract CAP 318 348 380 415 454 496 2,411 99 7.06 Modem 2015 2 1 ls 200.00 200 Contract CAP 200 212 225 239 253 269 285 303 321 340 2,647 FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. 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2018-116:, Annual Budget Totals Table VII-A Catg. Item Description Begin Date EUL RUL (2019) Quantity Unit Unit Cost Estimated Cost Pricing Method Item Class 2019 Year 1 2020 Year 2 2021 Year 3 2022 Year 4 2023 Year 5 100 7.06 Router 2015 3 2 1 ls 200.00 200 Contract CAP 212 232 253 277 303 331 1,607 101 7.06 Gate pass printer 2015 3 2 1 ls 1,500.00 1,500 Contract CAP 1,591 1,739 1,900 2,076 2,269 2,479 12,055 102 7.06 Gate pass (drivers license) scanner 2015 3 2 1 ls 500.00 500 Contract CAP 530 580 633 692 756 826 4,018 103 7.06 Desktop computer 2015 3 2 1 ls 750.00 750 Contract CAP 796 869 950 1,038 1,134 1,240 6,027 104 7.06 Security cameras (9 each) 2015 10 6 1 ls 5,000.00 5,000 Contract CAP 5,970 8,024 13,994 Expense Entertainment, Communication & Security Systems Subtotal 200 4,297 225 4,463 6,209 5,130 269 5,329 285 6,126 8,344 6,363 340 47,582 2024 Year 6 2025 Year 7 2026 Year 8 2027 Year 9 2028 Year 10 2029 Year 11 2030 Year 12 2031 Year 13 2032 Year 14 2033 Year 15 2034 Year 16 2035 Year 17 2036 Year 18 2037 Year 19 2038 Year 20 Totals 7.08 Vehicles 105 7.08 Golf carts (Phs: 3 yr) 2016 8 5 3 ea 3,000.00 9,000 Materials CAP 3,478 3,582 3,690 4,406 4,538 4,674 24,367 Expense Vehicles Subtotal 3,478 3,582 3,690 4,406 4,538 4,674 24,367 7.09 Common Area Appliances 106 7.09 Replace TV at office - unit 1260 2019 10 1 ea 500.00 500 Materials CAP 500 672 1,172 107 7.09 Microwave oven - unit 1260 2002 10 3 1 ea 300.00 300 Materials CAP 328 441 768 108 7.09 Top freezer refrigerator - unit 1260 2009 15 5 1 ea 900.00 900 Materials CAP 1,043 1,043 109 7.09 Microwave - unit 1260 2009 10 1 ea 300.00 300 Materials CAP 300 403 703 110 7.09 Electric range - unit 1260 2009 15 5 1 ea 500.00 500 Materials CAP 580 580 111 7.09 Dishwasher - unit 1260 2009 12 2 1 ea 400.00 400 Materials CAP 424 605 1,029 112 7.09 Washing machine - unit 1260 2009 12 2 1 ea 400.00 400 Materials CAP 424 605 1,029 113 7.09 Clothes dryer - unit 1260 2009 12 2 1 ea 400.00 400 Materials CAP 424 605 1,029 Expense Common Area Appliances Subtotal 800 1,273 328 1,623 1,075 441 1,815 7,355 Expense Total 567,791 1,109,652 875,171 1,257,841 1,764,754 1,059,884 923,710 835,851 273,343 291,219 842,327 544,449 553,999 788,833 608,126 388,393 1,029,215 257,856 556,149 1,123,760 15,652,323 Inflation: 3.00% 6.09% 9.27% 12.55% 15.93% 19.41% 22.99% 26.68% 30.48% 34.39% 38.42% 42.58% 46.85% 51.26% 55.80% 60.47% 65.28% 70.24% 75.35% FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos & FF\2018-116 update.faf Printed: 04 Nov 2018 17:28 Page 4 of 4

2018-116:, Annual Budget Totals Total Property Chart VII-A.1 Begin Year: 2019 Report Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Units: 433 Condos Area: Year: 2005 Modified: 04 Nov 2018 $2,600,000 $2,400,000 $2,200,000 $2,000,000 $1,800,000 $1,600,000 Cost per Year $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 Average = 995,725 2019 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 RS-2\Photos...\2018-116 update.faf Printed: 04 Nov 2018 17:29 Page 1 of 1

2018-116:, Item Comments Report Table VII-B Begin Year: 2019 Report Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Expense Catg. Budget Description Forecast Method Quantity Unit Cost Install Comments 2.05 Retaining Walls 1 2.05 LibertyPk Repair cracked brick retaining wall near front entry L-Cycle 1 30,000 2019 Replace isolated damaged area only. Also, includes replacement of substrate concrete ret. wall assumed to be damaged. 2 2.05 LibertyPk Replace wood retaining wall with Concrete modular block ("Forix") behind units 1841 through L-Cycle 1 327,990 2018 Contractor quote 1881 3 2.05 LibertyPk Replace retaining wall behind 1200 to 1280 L-Cycle 1,500 80 2023 Price based on Contractor quote for tall wall behind 1881 to 1841 4 2.05 LibertyPk Replace retaining wall behind 1304 through 1328 L-Cycle 800 80 2023 Price based on Contractor quote for tall wall behind 1881 to 1841 5 2.05 LibertyPk Replace retaining wall behind 1552 through 1560 L-Cycle 128 80 2023 Price based on Contractor quote for tall wall behind 1881 to 1841 6 2.05 LibertyPk Replace retaining wall behind 1360 to 1380 L-Cycle 400 80 2023 Price based on Contractor quote for tall wall behind 1881 to 1841 7 2.05 LibertyPk Replace retaining wall behind 1769 through 1837 L-Cycle 675 80 2023 Price based on Contractor quote for tall wall behind 1881 to 1841 8 2.05 LibertyPk Replace all small wood retaining walls with modular block walls (Phs: 5 yr) L-Cycle 400 80 2020 Price based on Contractor quote for tall wall behind 1881 to 1841 2.06 Site Rails, Fencing & Gates 9 2.06 LibertyPk Replace cedar split rail fence L-Cycle 175 28.57 2019 cost per quote provided by client 3.04 Thermal & Moisture Protection Systems 10 3.04 LibertyPk Replace roofs (Phs: 3 yr) L-Cycle 88 7,500 2020 price from property manager: contractor quote from Roof Depot. (original install: 2005) 11 3.04 LibertyPk Replace roofs (Phs: 3 yr) L-Cycle 86 7,500 2021 price from property manager: contractor quote from Roof Depot. (original install: 2006) 12 3.04 LibertyPk Replace roofs (Phs: 3 yr) L-Cycle 69 7,500 2022 price from property manager: contractor quote from Roof Depot. (original install 2007) 13 3.04 LibertyPk Replace roofs (Phs: 3 yr) L-Cycle 71 7,500 2023 price from property manager: contractor quote from Roof Depot. (Original install: 2008) 14 3.04 LibertyPk Replace roofs (Phs: 3 yr) L-Cycle 96 7,500 2024 price from property manager: contractor quote from Roof Depot. (original install 2009) 15 3.04 LibertyPk Replace roofs L-Cycle 23 7,500 2018 price from property manager: contractor quote from Roof Depot. (original install 2018) FacilityForecast Technology and Software Patent Pending 1998-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Li...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 1 of 1

2018-116:, Individual Year Table VIII Begin Year: 2019 Report Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Catg. Item Description Budget Estimated Cost Item Class 2019 Year 1 2.01 Landscape & Hardscape 1 2.01 Tree removal along Bolton Drive LibertyPk 20,000 CAP 20,000 2 2.01 Remedial compaction and sinkhole repair as needed (1.1 million paid over previous 7 years; expense expected to taper off as problem is corrected) LibertyPk 50,000 CAP 50,000 Expense Landscape & Hardscape Subtotal 70,000 2.03 Paving 3 2.03 Seal and stripe asphalt paved areas 2.05 Retaining Walls 4 2.05 Clear trees and other growth out of gabion walls 5 2.05 Repair cracked brick retaining wall near front entry LibertyPk 23,938 CAP 23,938 Expense Paving Subtotal 23,938 LibertyPk 18,000 CAP 18,000 LibertyPk 30,000 CAP 30,000 Expense Retaining Walls Subtotal 48,000 2.06 Site Rails, Fencing & Gates 6 2.06 Gate openers: front entry (Phs: 2 yr) LibertyPk 12,000 CAP 6,000 7 2.06 Access control gate arms (replace 4 times / year due to vehicle LibertyPk 2,000 CAP 2,000 impact) 8 2.06 Access control gate arm operators (Phs: 3 yr) LibertyPk 9,000 CAP 3,000 9 2.06 Replace bollards at gate area as needed LibertyPk 1,200 CAP 1,200 10 2.06 Replace cedar split rail fence LibertyPk 5,000 CAP 5,000 11 2.06 Replace wood dog ear fence behind unit 1761 LibertyPk 3,128 CAP 3,128 Expense Site Rails, Fencing & Gates Subtotal 20,327 2.08 Storm Drainage 12 2.08 Remove and replace concrete flumes to accommodate heavy storm flow 13 2.08 14 2.08 Replace/restore downspout drain leader pipe as necessary Clean out detention pond; will require rappel, chain saws, lots of hand work due to poor access LibertyPk 120,000 CAP 120,000 LibertyPk 3,500 CAP 3,500 LibertyPk 75,000 CAP 75,000 Expense Storm Drainage Subtotal 198,500 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 1 of 2

2018-116:, Individual Year Table VIII 15 2.09 Catg. Item Description Budget 2.09 Site Utilities Repair underground utilities as needed Estimated Cost Item Class 2019 Year 1 LibertyPk 1,500 CAP 1,500 Expense Site Utilities Subtotal 1,500 2.10 Signage 16 2.10 Replace termite eaten wood outriggers at monument sign at Marietta Blvd 17 2.10 Stop signs / road signs; parking and directional signage LibertyPk 2,000 CAP 2,000 LibertyPk 26,000 CAP 26,000 Expense Signage Subtotal 28,000 2.13 Amenities 18 2.13 Resurface pool interior, replace waterline tile LibertyPk 27,313 CAP 27,313 Expense Amenities Subtotal 27,313 3.04 Thermal & Moisture Protection Systems 19 3.04 Roof tune-up, roof repairs LibertyPk 24,956 CAP 24,956 20 3.04 Repair / re-pitch gutters as needed LibertyPk 5,000 CAP 5,000 Expense Thermal & Moisture Protection Systems Subtotal 29,956 3.05 Exterior Finish & Wall Systems 21 3.05 Replace / repair siding, exterior trim as needed (including paint as needed) (Phs: 7 yr) LibertyPk 173,200 CAP 24,743 22 3.05 23 3.05 Repair rotten damaged wood components at rear decks as needed (Phs: 5 yr) LibertyPk 82,270 CAP 16,454 Repair rotten damaged wood components at front stairs and stoops as needed (Phs: 5 yr) LibertyPk 50,000 CAP 10,000 Expense Exterior Finish & Wall Systems Subtotal 51,197 3.09 Exterior Paint & Caulk 24 3.09 Stain / paint rear decks on new (2018) units LibertyPk 16,100 CAP 16,100 25 3.09 Stain rear decks (Phs: 5 yr) LibertyPk 259,800 CAP 51,960 Expense Exterior Paint & Caulk Subtotal 68,060 7.06 Entertainment, Communication & Security Systems 26 7.06 Modem LibertyPk 200 CAP 200 Expense Entertainment, Communication & Security Systems Subtotal 200 7.09 Common Area Appliances 27 7.09 Replace TV at office - unit 1260 LibertyPk 500 CAP 500 28 7.09 Microwave - unit 1260 LibertyPk 300 CAP 300 Expense Common Area Appliances Subtotal 800 Expense Total 567,791 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 2 of 2

2018-116:, Individual Year Table VIII Begin Year: 2019 Report Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Catg. Item Description Budget Estimated Cost Item Class 2020 Year 2 2.01 Landscape & Hardscape 1 2.01 Remedial compaction and sinkhole repair as needed (1.1 million paid over previous 7 years; expense expected to taper off as problem is corrected) LibertyPk 50,000 CAP 51,500 Expense Landscape & Hardscape Subtotal 51,500 2.04 Site Concrete 2 2.04 Repair sidewalks, curbs, concrete flumes, and other site concrete as needed LibertyPk 10,000 CAP 10,300 Expense Site Concrete Subtotal 10,300 2.05 Retaining Walls 3 2.05 Repair gabion walls as needed LibertyPk 200,000 CAP 206,000 4 2.05 Clear trees and other growth out of gabion walls LibertyPk 18,000 CAP 18,540 5 2.05 Replace all small wood retaining walls with modular block walls (Phs: 5 yr) LibertyPk 32,000 CAP 6,592 Expense Retaining Walls Subtotal 231,132 2.06 Site Rails, Fencing & Gates 6 2.06 Gate openers: front entry (Phs: 2 yr) Access control gate arms (replace 7 2.06 4 times / year due to vehicle impact) 8 2.06 Access control gate arm operators (Phs: 3 yr) 9 2.06 Replace bollards at gate area as needed 10 2.06 LibertyPk 12,000 CAP 6,180 LibertyPk 2,000 CAP 2,060 LibertyPk 9,000 CAP 3,090 LibertyPk 1,200 CAP 1,236 Key pad access control at pedestrian gate at main entry and at pool LibertyPk 1,000 CAP 1,030 Expense Site Rails, Fencing & Gates Subtotal 13,596 2.09 Site Utilities 11 2.09 Repair underground utilities as needed 2.13 Amenities 12 2.13 Replace expansion joint material in pool deck; replace damaged linear drains as needed LibertyPk 1,500 CAP 1,545 Expense Site Utilities Subtotal 1,545 LibertyPk 600 CAP 618 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 1 of 3

2018-116:, Individual Year Table VIII Catg. Item Description Budget Estimated Cost Item Class 2020 Year 2 13 2.13 Mail box posts LibertyPk 48,375 CAP 49,826 14 2.13 Mail boxes LibertyPk 12,990 CAP 13,380 Expense Amenities Subtotal 63,824 3.04 Thermal & Moisture Protection Systems 15 3.04 Replace roofs (Phs: 3 yr) LibertyPk 660,000 CAP 226,600 16 3.04 Replace gutters and downspouts at pool house LibertyPk 1,750 CAP 1,803 17 3.04 Replace gutters on back sides of buildings (2005 through 2009 units) LibertyPk 215,660 CAP 222,130 18 3.04 Repair / re-pitch gutters as needed LibertyPk 5,000 CAP 5,150 Expense Thermal & Moisture Protection Systems Subtotal 455,682 3.05 Exterior Finish & Wall Systems 19 3.05 Replace / repair siding, exterior trim as needed (including paint as needed) (Phs: 7 yr) 20 3.05 21 3.05 Gatehouse: Replace / repair siding, exterior trim, etc, as needed Repair rotten damaged wood components at rear decks as needed (Phs: 5 yr) LibertyPk 173,200 CAP 25,485 LibertyPk 2,000 CAP 2,060 LibertyPk 82,270 CAP 16,948 22 3.05 Repair rotten damaged wood components at front stairs and stoops as needed (Phs: 5 yr) LibertyPk 50,000 CAP 10,300 Expense Exterior Finish & Wall Systems Subtotal 54,793 3.07 Doors, Windows & Hardware 23 3.07 Replace exterior doors at office - unit 1260 LibertyPk 1,500 CAP 1,545 24 3.07 Replace windows at office - unit 1260 LibertyPk 5,400 CAP 5,562 Expense Doors, Windows & Hardware Subtotal 7,107 3.09 Exterior Paint & Caulk 25 3.09 Paint vehicle gates, bollards, etc, at main entry LibertyPk 3,000 CAP 3,090 26 3.09 Stain rear decks (Phs: 5 yr) LibertyPk 259,800 CAP 53,519 27 3.09 Exterior paint condo units LibertyPk 153,600 CAP 158,208 Expense Exterior Paint & Caulk Subtotal 214,817 4.01 HVAC 28 4.01 Window unit AC at guardhouse LibertyPk 300 CAP 309 Expense HVAC Subtotal 309 4.02 Plumbing & Plumbing Fixtures 29 4.02 Water heater at clubhouse - 66 gallon electric LibertyPk 650 CAP 670 Expense Plumbing & Plumbing Fixtures Subtotal 670 4.04 Electrical 30 4.04 Flood light fixtures at guard house and at pool house LibertyPk 2,000 CAP 2,060 Expense Electrical Subtotal 2,060 7.02 Furnishings FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 2 of 3

2018-116:, Individual Year Table VIII 31 7.02 Catg. Item Description Budget Benches at dog park and cul-de-sac Estimated Cost Item Class 2020 Year 2 LibertyPk 2,250 CAP 2,318 Expense Furnishings Subtotal 2,318 Expense Total 1,109,652 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 3 of 3

2018-116:, Individual Year Table VIII Begin Year: 2019 Report Term: 30 years Repair Begin Year: 2019 Repair Report Term: 1 year Inflation: 3.00% Area Type: Gross SF Expenses: CAP Prepared by: zumbrunnen, Inc. Divisions: All Min. cost: 0.00 Catg. Item Description Budget Estimated Cost Item Class 2021 Year 3 2.01 Landscape & Hardscape 1 2.01 Remedial compaction and sinkhole repair as needed (1.1 million paid over previous 7 years; expense expected to taper off as problem is corrected) LibertyPk 50,000 CAP 53,045 Expense Landscape & Hardscape Subtotal 53,045 2.05 Retaining Walls 2 2.05 Clear trees and other growth out of gabion walls 3 2.05 Replace all small wood retaining walls with modular block walls (Phs: 5 yr) LibertyPk 18,000 CAP 19,096 LibertyPk 32,000 CAP 6,790 Expense Retaining Walls Subtotal 25,886 2.06 Site Rails, Fencing & Gates 4 2.06 Dwelling Live call box/scanner LibertyPk 6,500 CAP 6,896 5 2.06 Replace vehicle gates, painted aluminum, per pair (Phs: 2 yr) LibertyPk 15,000 CAP 7,957 6 2.06 Access control gate arms (replace 4 times / year due to vehicle LibertyPk 2,000 CAP 2,122 impact) 7 2.06 Access control gate arm operators (Phs: 3 yr) LibertyPk 9,000 CAP 3,183 8 2.06 Replace bollards at gate area as needed LibertyPk 1,200 CAP 1,273 Expense Site Rails, Fencing & Gates Subtotal 21,430 2.08 Storm Drainage 9 2.08 Replace/restore downspout drain leader pipe as necessary 10 2.08 Replace broken catch basin tops as needed 2.09 Site Utilities 11 2.09 Repair underground utilities as needed LibertyPk 3,500 CAP 3,713 LibertyPk 1,500 CAP 1,591 Expense Storm Drainage Subtotal 5,305 LibertyPk 1,500 CAP 1,591 Expense Site Utilities Subtotal 1,591 3.04 Thermal & Moisture Protection Systems 12 3.04 Replace roofs (Phs: 3 yr) LibertyPk 660,000 CAP 233,398 13 3.04 Replace roofs (Phs: 3 yr) LibertyPk 645,000 CAP 228,094 14 3.04 Roof tune-up, roof repairs LibertyPk 24,956 CAP 26,476 15 3.04 Repair / re-pitch gutters as needed LibertyPk 5,000 CAP 5,305 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 1 of 2

2018-116:, Individual Year Table VIII Catg. Item Description Budget Estimated Cost Item Class 2021 Year 3 Expense Thermal & Moisture Protection Systems Subtotal 493,272 16 3.05 17 3.05 18 3.05 3.05 Exterior Finish & Wall Systems Replace / repair siding, exterior trim as needed (including paint as needed) (Phs: 7 yr) Repair rotten damaged wood components at rear decks as needed (Phs: 5 yr) LibertyPk 173,200 CAP 26,250 LibertyPk 82,270 CAP 17,456 Repair rotten damaged wood components at front stairs and stoops as needed (Phs: 5 yr) LibertyPk 50,000 CAP 10,609 Expense Exterior Finish & Wall Systems Subtotal 54,315 3.09 Exterior Paint & Caulk 19 3.09 Stain rear decks (Phs: 5 yr) LibertyPk 259,800 CAP 55,124 20 3.09 Exterior paint condo units LibertyPk 140,800 CAP 149,375 Expense Exterior Paint & Caulk Subtotal 204,499 7.02 Furnishings 21 7.02 Pool furniture - Chaise LibertyPk 5,220 CAP 5,538 22 7.02 Pool furniture - Chair LibertyPk 3,450 CAP 3,660 23 7.02 Pool furniture - Table LibertyPk 800 CAP 849 24 7.02 Pool furniture - Umbrella LibertyPk 200 CAP 212 Expense Furnishings Subtotal 10,259 7.06 Entertainment, Communication & Security Systems 25 7.06 Surge protection at gate house LibertyPk 600 CAP 637 26 7.06 DVR LibertyPk 300 CAP 318 27 7.06 Modem LibertyPk 200 CAP 212 28 7.06 Router LibertyPk 200 CAP 212 29 7.06 Gate pass printer LibertyPk 1,500 CAP 1,591 30 7.06 Gate pass (drivers license) scanner LibertyPk 500 CAP 530 31 7.06 Desktop computer LibertyPk 750 CAP 796 Expense Entertainment, Communication & Security Systems Subtotal 4,297 7.09 Common Area Appliances 32 7.09 Dishwasher - unit 1260 LibertyPk 400 CAP 424 33 7.09 Washing machine - unit 1260 LibertyPk 400 CAP 424 34 7.09 Clothes dryer - unit 1260 LibertyPk 400 CAP 424 Expense Common Area Appliances Subtotal 1,273 Expense Total 875,171 FacilityForecast Technology and Software Patent Pending 2012-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\2018-116 Liberty Par...\2018-116 update.faf Printed: 04 Nov 2018 17:32 Page 2 of 2

EXHIBIT D

DeLorme Street Atlas USA 2015 Data use subject to license. DeLorme. DeLorme Street Atlas USA 2015. www.delorme.com MN (5.3 W) TN Scale 1 : 1,200,000 0 6 12 18 24 30 mi km 0 10 20 30 40 50 1" = 18.94 mi Data Zoom 7-4

DeLorme Street Atlas USA 2015 Data use subject to license. DeLorme. DeLorme Street Atlas USA 2015. www.delorme.com MN (5.3 W) TN Scale 1 : 100,000 0 ½ 1 1½ 2 mi km 0 1 2 3 4 1" = 1.58 mi Data Zoom 11-0

DeLorme Street Atlas USA 2015 Data use subject to license. DeLorme. DeLorme Street Atlas USA 2015. www.delorme.com MN (5.3 W) TN Scale 1 : 11,200 0 200 400 600 800 1000 ft m 0 100 200 300 400 500 1" = 933.3 ft Data Zoom 14-2

Atlanta, Georgia 2018 Google 900 ft N

EXHIBIT E

J. Robert Milam, Jr. Senior Project Manager Education and Training: Auburn University - 1993 Bachelor of Science Building Construction Summary of Experience: Rob Milam, Senior Project Manager, has 23 years of experience in multiple markets and all phases of construction management. Since 2007, Rob has effectively performed over 100 Property Condition Assessments, Reserve Studies, and Campus Wide FacilityForecast budget studies. Prior to joining zumbrunnen, Inc., Rob worked for Batson Cook Construction and Choate Construction as Field Engineer and Assistant Project Manager. Rob s industry experience includes residential, multifamily, industrial, office complexes, and healthcare. Rob s range of experience includes: Project construction, as general contractor and sub-contractor Remediation work Site work, concrete placement, structural steel erection, light-gauge metal framing, wood framing, roofing, pre-cast concrete installation, electrical, plumbing, and HVAC, and all finish trades Maintained quality by monitoring dimensions, workmanship, and compliance to drawings and specifications Performed jobsite administration duties including correspondence with architects, owners, and others; organized and implemented contract documents; directed jobsite safety; participated in weekly subcontractor and owner meetings Managed personnel, materials, and subcontractors for timely and under-budget completions of several projects

EXHIBIT F

EXHIBIT F DEFINITIONS Cash Flow Method: A method of developing a Reserve Funding Plan where contributions to the Reserve fund are designed to offset the variable annual expenditures from the Reserve fund. Different Reserve Funding Plans are tested against the anticipated schedule of Reserve expenses until the desired Funding Goal is achieved. Component: The individual line items in the Reserve Study, developed or updated in the Physical Analysis. These elements form the building blocks for the Reserve Study. Components typically are: 1) Association responsibility, 2) with limited Useful Life expectancies, 3) predictable Remaining Useful Life expectancies, 4) above a minimum threshold cost, and 5) as required by local codes. Component Inventory: The task of selecting and quantifying Reserve Components. This task can be accomplished through on-site visual observations, review of association design and organizational documents, a review of established association precedents, and discussion with appropriate association representative(s) of the association or cooperative. Component Method: A method of developing a Reserve Funding Plan where the total contribution is based on the sum of contributions for individual components. See "Cash Flow Method". Condition Assessment: The task of evaluating the current condition of the component based on observed or reported characteristics. Current Replacement Cost: See "Replacement Cost". Deficit: An actual (or projected) Reserve Balance less than the Fully Funded Balance. The opposite would be a Surplus. Effective Age: The difference between Useful Life and Remaining Useful Life. Not always equivalent to chronological age, since some components age irregularly. Used primarily in computations. Effective Useful Life: See Useful Life Financial Analysis: The portion of a Reserve Study where current status of the Reserves (measured as cash or Percent Funded) and a recommended Reserve contribution rate (Reserve Funding Plan) are derived, and the projected Reserve income and expense over time is presented. The Financial Analysis is one of the two parts of a Reserve Study. Fully Funded: 100% Funded. When the actual (or projected) Reserve balance is equal to the Fully Funded Balance. Page 1 of 4

Fully Funded Balance (FFB): Total Accrued Depreciation. An indicator against which Actual (or projected) Reserve balance can be compared. The Reserve balance that is in direct proportion to the fraction of life "used up" of the current Repair or Replacement cost. This number is calculated for each component, then summed together for an association total. Two formulae can be utilized, depending on the provider's sensitivity to interest and inflation effects. Note: Both yield identical results when interest and inflation are equivalent. FFB = Current Cost X Effective Age / Useful Life or FFB = (Current Cost X Effective Age / Useful Life) + [(Current Cost X Effective Age / Useful Life) / (1 + Interest Rate) ^ Remaining Life] [(Current Cost X Effective Age / Useful Life) / (1 + Inflation Rate) ^ Remaining Life] Fund Status: The status of the reserve fund as compared to an established benchmark such as percent funding. Funding Goals: Independent of methodology utilized, the following represent the basic categories of Funding Plan goals: Baseline Funding: Establishing a Reserve funding goal of keeping the reserve cash balance above zero. Full Funding: Setting a Reserve funding goal of attaining and maintaining Reserves at or near 100% funded. Statutory Funding: Establishing a Reserve funding goal of setting aside the specific minimum amount of Reserves required by local statutes. Threshold Funding: Establishing a Reserve funding goal of keeping the Reserve balance above a specified dollar or Percent Funded amount. Depending on the threshold, this may be more or less conservative than "Fully Funding". Funding Plan: A plan to provide annual (or monthly) contributions to a Reserve fund to offset anticipated expenditures from that fund. Funding Principles: Sufficient Funds When Required Stable Contribution Rate over the Years Evenly Distributed Contributions over the Years Fiscally Responsible Life and Valuation Estimates: The task of estimating Useful Life, Remaining Useful Life, and Repair or Replacement Costs for the Reserve components. Percent Funded: The ratio, at a particular point of time (typically the beginning of the Fiscal Year), of the actual (or projected) Reserve Balance to the Fully Funded Balance, expressed as a percentage. Physical Analysis: The portion of the Reserve Study where the Component Inventory, Condition Assessment, and Life and Valuation Estimate tasks are performed. This represents one of the two parts of the Reserve Study. Page 2 of 4

Remaining Useful Life (RUL): Also referred to as "Remaining Life" (RL). The estimated time, in years, that a reserve component can be expected to continue to serve its intended function. Projects anticipated to occur in the initial year have "zero" Remaining Useful Life. Replacement Cost: The cost of replacing, repairing, or restoring a Reserve Component to its original functional condition. The Current Replacement Cost would be the cost to replace, repair, or restore the component during that particular year. Reserve Balance: Actual or projected funds as of a particular pointing time that the association has identified for use to defray the future repair or replacement of those major components, which the association is obligated to maintain. Also known as Reserves, Reserve Accounts, Cash Reserves. Based upon information provided and not audited. Reserve Provider: An individual that prepares Reserve Studies. Reserve Study: A budget planning tool that identifies the current status of the Reserve fund and a stable and equitable Funding Plan to offset the anticipated future major common area expenditures. The Reserve Study consists of two parts: the Physical Analysis and the Financial Analysis. "Our budget and finance committee is soliciting proposals to update our Reserve Study for next year's budget." Responsible Charge: A reserve specialist in responsible charge of a reserve study shall render regular and effective supervision to those individuals performing services, which directly and materially affect the quality and competence rendered by the reserve specialist. A reserve specialist shall maintain such records as are reasonably necessary to establish that the reserve specialist exercised regular and effective supervision of a reserve study of which he was in responsible charge. A reserve specialist engaged in any of the following acts or practices shall be deemed not to have rendered the regular and effective supervision required herein: The regular and continuous absence from principal office premises from which professional services are rendered; except for performance of field work or presence in a field office maintained exclusively for a specific project The failure to personally inspect or review the work of subordinates where necessary and appropriate The rendering of a limited, cursory, or perfunctory review of plans or projects in lieu of an appropriate detailed review The failure to personally be available on a reasonable basis or with adequate advance notice for consultation and inspection where circumstances require personal availability. Special Assessment: An assessment levied on the members of an association in addition to regular assessments. Special Assessments are often regulated by governing documents or local statutes. Surplus: An actual (or projected) Reserve Balance greater than the Fully Funded Balance. Page 3 of 4

Useful Life (UL): Total Useful Life, Effective Useful Life (EUL), or Depreciable Life. The estimated time, in years, that a reserve component can be expected to serve its intended function if properly constructed in its present application or installation. Page 4 of 4

EXHIBIT G NOT USED

EXHIBIT H

2018-116:, Photo Report 2. A cracked brick retaining wall near the front entrance requires repair. 3. Automatic gate operators require immediate attention and ongoing maintenance. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 1 of 9

2018-116:, Photo Report 21. Termites have infested wood outriggers at the monument sign at Bolton Drive. 38. Piecemeal deck repairs are needed throughout the property. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 2 of 9

2018-116:, Photo Report 40. Piecemeal deck repairs needed throughout the property. 45. Advanced wood rot and termite damage at pressure-treated timber retaining wall behind 1236. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 3 of 9

2018-116:, Photo Report 46. Advanced wood rot and termite damage at pressure-treated timber retaining wall behind 1236. 54. Cracks in the concrete pool deck require repair. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 4 of 9

2018-116:, Photo Report 67. Asphalt is damaged near the pool. 70. A cedar rail fence is damaged. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 5 of 9

2018-116:, Photo Report 79. The wood wall behind 1881 is rotten. Replacement is scheduled for 2018. 92. Exterior wood trim is decayed at or near 1628. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 6 of 9

2018-116:, Photo Report 93. Exterior wood trim is decayed at or near 1628. 95. Exterior wood trim is decayed in several locations. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 7 of 9

2018-116:, Photo Report 99. Untreated LVL beams are used on decks at new condo buildings. This material will rot and fail in a short period of time as it is not suited for weather exposure. 102. Untreated LVL beams are used on decks at new condo buildings. This material will rot and fail in a short period of time as it is not suited for weather exposure. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 8 of 9

2018-116:, Photo Report 106. Asphalt is damaged and in need of repair near 1701. 114. Gabion walls will require ongoing repair and maintenance. Brush and trees must be removed regularly to preserve the integrity of the wall. FacilityForecast Technology and Software Patent Pending 1999-2016 FacilityForecast, Inc. All rights reserved. Z:\Shared\Shared\PROJECT MANAGERS\PROJECT FILES\2018\201...\2018-116 update.faf Printed: 04 Nov 2018 20:23 Page 9 of 9

RESERVE STUDY LIBERTY PARK CONDOMINIUM ASSOC IATION ATLANTA, GEORGIA ZUMBRUNNEN, INC. PROJECT # SEPTEMBER 21, 2018