Alameda City Council
December 6, 2022

development and in‐tract work is underway with anticipated completion in August 2023.

Vertical home construction commenced in August 2022.

Upon completion of the Alameda Marina redevelopment project, it will include an additional 578 housing units, 150,000 square feet of commercial space, and 79 BMR units, as well as 3.45 acres of par ks,  529 boat slips, a 60‐boat dry storage area, public shoreline access and an extension of the Bay Trail and bike path network. The Launch Apartments on the western end of the project is under construction with completion by the end of 2023.

These additional land uses are not part of the a ppraised property.

We have been requested to provide a market value of the appraised properties by ownership, as well as the cumulative, or aggregate, value of the appraised properties, as of the date of value. The estimate of market value accounts for the impact of the lien of the Special Taxes securing the Bonds.

The appraisal conforms to the Uniform Standards of Professional Appraisal Practice (USPAP), the Code of P
rofessional Ethics and Standards of Professional Practice of the Appraisal Institute, and applicable state appraisal regulations. The Appraisal Report is also prepared in accordance with the Appraisal Standards for Land Se cured  Financing published by the California Debt and Investment Advisory Commission (CDIAC) (2004).

Standards Rule 2‐2 (Content of a Real Property Appraisal Report) contained in the Uniform Standards of Professional Appraisal Practice (USPAP) requires each written real property appraisal report to be prepared as either an Appraisal Report or a Restri cted  Appraisal Report. This report is prepared as an Appraisal Report as defined by USPAP under Standards Rule 2‐2(a), and incorporates practical explanation of the data, reasoning, and analysis that were used to develop the opinion of value.

Margaret L. O'Brien
City of Alameda
November 11, 2022

Based on the valuation analysis in the accompanying report, and subject to the definitions, assumptions, and limiting conditions expressed in the report, the concluded opinions of value are as follows:

Value Conclusion
Appra i s a l Premi s e I nteres t  Appra i s ed Date  of Val ue Val ue  Conclusion Market Val ue, Subject to a Hypothetical
Condit ion
Fee Simple September  6, 2022 $58,750,000

Extraordinary Assumptions and Hypothetical Conditions
None

1. We  have been requested to provide  an opinion  of value  of the subje ct property as  of September 6, 2022.  It is  a hypothetical  condition  of the Appraisal  that proceeds  from the Bonds  are available  for rei mburs ements of public i mprovement cost s.

The value  conclusions  are based  on the follow ing hypothetical  conditions  that ma y  affe ct the assignm e nt re sult s. A hypothetical  condition  is  a condition  contrary  to known fact on the effective date of the appraisal  but is  suppose d for the purpose  of analysis.

The value  conclusions  are subject  to the following  extraordinary  assum pt ions that may affect the assignm e nt re sult s. An extraordinary  assum pt ion is  uncertain  in form at ion accepted as  fact. If the assum pt ion is  found to be false  as  of the effective date of the appraisal,  we reserve the right to modi fy our value  conclusions.

Margaret L. O'Brien
City of Alameda
November 11, 2022

If you have any questions or comments, please contact the undersigned. Thank you for the opportunity to be of service.

Respectfully submitted,
Integra Realty Resources ‐ Sacramento

Kevin Ziegenmeyer, MAI
California Certified General Real Estate
Appraiser #AG013567
Telephone: 916.435.3883, ext. 224
Email: [email protected]
Eric Segal, MAI
California Certified General Real Estate
Appraiser #AG026558
Telephone: 916.435.3883, ext. 228
Email: [email protected]

Sara Gilbertson
California Certified General Real Estate
Appraiser #3002204
Telephone: 916.435.3883, ext. 248
Email: [email protected]

Table of Contents
City of Alameda CFD No. 22‐1 (Alameda Marina)
Executive Summary  1
Identification of the Appraisal Problem  2
Subject Description  2
Sale History  2
Pending Transactions  3
Appraisal Purpose  3
Value Type Definitions  3
Appraisal Premise Definitions  4
Property Rights Definitions  4
Client and Intended User(s)  4
Intended Use  5
Applicable Requirements  5
Report Format  5
Prior Services  5
Appraiser Competency  5
Scope of Work  6
Ec
onomic Analysis  8
Area Analysis – Alameda County  8
Surrounding Area Analysis  14
Residential Market Analysis  22
Property Analysis  29
Land Description and Analysis  29
Proposed Improvements Description  35
Real Estate Taxes  45
Highest and Best Use  47
Valuation  49
Valuation Methodology  49
Residential Land Valuatio n  50
Land Residual Analysis  50
Sales Comparison Approach  58
Land Value Conclusion  64
Final Opinion of Value  66
Exposure Time  66
Marketing Time  66
Certification  67
Assumptions and Limiting Conditions  69
Addenda
A. Appraiser Qualifications
B. IRR Quality Assurance Survey
C. Definitions
D. Final Map
E. Preliminary Title Report
F. Comparable Data

Executive Summary  1
City of Alameda CFD No. 22‐1 (Alameda Marina)
Executive Summary
Property Name
Address
Property Type
Owner of Record
Tax ID
Land Area 10.96  acre s; 477,488  SF
Zoning  Designation
Highest and Best Use
Expos ure Ti me; Marketing  Period 12 months; 12 months Date of the Report November 11, 2022
Property Inte re st Appraised
Value Conclusion
Appraisal  Premi s e I nteres t  A ppraised Date  of Val ue Val ue  Conclusion Market Val ue, Subject to a Hypothetical  Condition Fee  Simple September  6, 2022 $58,750,000 Arroyo Cap II‐ 5, LLC, a Delaware  lim it e d liabilit y  company  / LS ‐ Al ameda Marina,  LLC
071‐0291 ‐010
City of Al a meda CFD No. 22‐1 (Alameda  Marina)
NWQ Clement Ave. & Willow  St.

A lame da, Al a meda County, California   94501
Land ‐ Co mmercial
The values  reported  above  are  subject  to the definitions,  assumptions,  and  limiting  conditions  set  forth in the accompanying  report  of which  this  summary  is  a part.

No party  other  than  City of Ala meda and  its  associated  Finance  Team  may use  or rely  on the  information,  opinions,  and  conclusions  contained  in the  re port.  It is assumed  that  the  users  of the report  have  read  the entire  report,  including  all  of the definitions,  assumptions,  and  limiting  conditions  contained  therein.

M‐X & MF, Mixed‐Us e Planned  Development District  & Multi ‐ fam ily Residential  Com bining Zone
Single ‐fam ily residential
Fee Simple

Extraordinary Assumptions and Hypothetical Conditions
None

1. We  have been requested to provide  an opinion  of value  of the subje ct property as  of September 6, 2022.  It is  a hypothetical  condition  of the Appraisal  that proceeds  from the Bonds  are available  for reimbursements  of public im prove m e nt cost s.

The value  conclusions  are based  on the follow ing hypothetical  conditions  that ma y  affect the assignm e nt re sult s. A hypothetical  condition  is  a condition  contrary  to known fact on the effective date of the appraisal  but is  supposed for the purpose  of analysis.

The value  conclusions  are subject  to the following  e xtraordinary  assum pt ions that may affe ct the assignm e nt re sults. An e xtraordinary  assum pt ion is  uncertain  in form at ion accepted as  fact. If the assum pt ion is  found to be false  as  of the effecti ve date of the appraisal,  we reserve the right to modi fy our value  conclusions.

Identification of the Appraisal Problem  2
City of Alameda CFD No. 22‐1 (Alameda Marina)
Identification of the Appraisal Problem
Subject Description
This subject represents an approximately 10.96‐acre parcel within the City of Alameda Community Facilities District No. 22‐1 (Alameda Marina). The subject property is proposed for a total of 182 single family residences (including 25 BMR units) across two product lines. Both product lines, Island View and Waterside, will be con structed  by Landsea Homes. Island View will comprise a total of 98 townhomes with marina views, with seven floor plans ranging from 1,462 to 2,386 square feet, and select homes will include rooftop decks. Waterside is located on the waterfront; these 84 townhomes will include four floor plans ranging from 2,161 to 2, 689  square feet with rooftop decks. The Special Tax will not be levied on the 25 BMR units, and tax‐exempt status will be assigned by the CFD Administrator in the chronological order in which the building permits for such BMR units are issued.

Therefore, the analysis herein considers only the 157 taxable (m arket rate) units. Site development and in‐tract work is underway with anticipated completion in August 2023. Vertical home construction commenced in August 2022.

Upon completion of the Alameda Marina redevelopment project, it will include an additional 578 housing units, 150,000 square feet of commercial space, and 79 BM R  units, as well as 3.45 acres of parks, 529 boat slips, a 60‐boat dry storage area, public shoreline access and an extension of the Bay Trail and bike path network. The Launch Apartments on the western end of the project is under construction with completion by the end of 2023. Th ese additional land uses are not part of the appraised property.

A legal description of the property is provided in the addenda.

Property Identification
Property Name Ci ty  of Al ameda CFD No. 22‐1 (Alameda  Marina) Address NWQ  Cl ement Ave. & Willow  St.

A lame da, California   94501
Tax ID 071‐ 0291 ‐010
Owner of Record Arroyo  Cap II ‐5, LLC, a Delaware  lim it e d liabilit y  company  / LS ‐ Al a meda Marina,  LLC

Sale History
The most recent closed sale of the subject is summarized as follows:

Contract  Date December  4, 2020  (Close  of Es crow May 5, 2021) Se lle r A lam e da  Marina,  LLC, a Claifornia  lim it e d liabilit y  company Buyer Arroyo  Cap  II‐ 5, LLC, a Delaware  limit e d liabilit y  company  / LS ‐ Al a meda Marina,  LLC Sale  Price $51,900,000
Recording  Instrument  Number 2021173713
Identification of the Appraisal Problem  3
City of Alameda CFD No. 22‐1 (Alameda Marina)
The land in the District was acquired by Arroyo CAP II‐5, LLC, a Delaware limited liability company (the “Landbank”), from the Master Developer on May 5, 2021 for $51,900,000, which included the transfer of land supporting 157 market rate units and 25 below market rate units, or $285,165 per unit.

However, the 25 below ma
rket rate units are not subject to the lien of the special taxes securing the CFD No. 22‐1 Bonds and are not part of the subject property herein. Concurrently with its acquisition of the property in the District, the Landbank and Landsea Construction LLC (the “Builder”) entered into an Op
tion Agreement dated May 5, 2021 (“Option Agreement”), and the Landbank and the Builder entered into a Construction Agreement (“Construction Agreement”), pursuant to which the Builder (Landsea Construction LLC), among other things, agreed to develop and install improvements and maintain the property. Arroyo CAP II‐5, LLC is serving as the owner and la ndbank of the subject lots for which Landsea Construction LLC has an option to acquire the lots over time pursuant to a takedown schedule.

The Landbank was formed in 2016 by Oaktree Capital Management, LP, an affiliate of Oaktree Capital Management (“Oaktree”), and provides structured lot options to homebuilders throughou t the United States. The scheduled transfer of lots between the Landbank and the Builder completed via the option agreement, which serves as a financing mechanism, is relatively commonplace for transactions involving national homebuilders, especially within master planned communities such as the subject.

This transaction is not considered an arm’s length tr ansfer of the subject lots, as defined; thus, no further consideration is warranted. For purposes of analysis herein, there is no delineation between the Landbank and the Builder in the determination of market value, in bulk, of the subject property.

Based on our analysis herein, the ini tial  acquisition ($51,900,000) of the subject property and additional land (182 units) that transferred on May 5, 2021, was consistent with market conditions and value at that time. The subject represents a 157 portion of the original 182 units (land area) acquired and the land is under development at this time. The ne t impact of the lower unit count, added value due to on‐going site work, and changes in market conditions is a current value estimate slightly greater than the prior purchase of the subject. To the best of our knowledge there have been no other sales of the subject property wi thin the last three years and the subject is not currently being marketed for sale.

Pending Transactions
Based on discussions with the appropriate contacts, the property is not subject to an agreement of sale or an option to buy, nor is it listed for sale, as of the effective appraisal date.

Appraisal Purpose
The purpose of the appraisal is to develop an opinion of the market value, subject to a hypothetical condition, pertaining to the fee simple interest of certain taxable properties within the boundaries of the City of Alameda Community Facilities District (CFD) No. 22‐1 (Alameda Marina) (“CFD No. 22‐1”).

The date of the report is Nove mber 11, 2022. The appraisal is valid only as of the stated effective date or dates.

Value Type Definitions
The definitions of the value types applicable to this assignment are summarized below.

Identification of the Appraisal Problem  4
City of Alameda CFD No. 22‐1 (Alameda Marina)
Market Value
The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the pas
sing of title from seller to buyer under conditions whereby:

1. Buyer and seller are typically motivated;

2. Both parties are well informed or well advised, and acting in what they consider their own best interests;

3. A reasonable time is allowed for ex posure in the open market;

4. Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and

5. The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. 1 Appraisal Premise Definitions
The definitions of the appraisal premises applicable to this assignment are specified as follows.

As Is Market Value
The estimate of the market value of real property in its current physical condition, use, and zoning as of the appraisal date.2
Property Rights Definitions
The property rights appraised which are applicable to this assignment are defined as follows.

Fee Simple Estate
Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.3 Client and Intended User(s)
The client is City of Alameda. The intended users are City of Alameda and its associated Finance Team.

No party or parties beyond the clients associated finance team may use or rely on the information, opinions, and conclusions contained in this report; however, this appraisal report may be included in the offering doc ument provided in connection with the issuance and sale of the Bonds.

1 Code of Federal Regulations, Title 12, Chapter I, Part 34.42[h]; also Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77472 2Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022) 3 Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th ed. (Chicago: Appraisal Institute, 2015)

Identification of the Appraisal Problem  5
City of Alameda CFD No. 22‐1 (Alameda Marina)
Intended Use
The intended use of the appraisal is for bond underwriting purposes. The appraisal is not intended for any other use.

Applicable Requirements
This appraisal report conforms to the following requirements and regulations:
 Uniform Standards of Professional Appraisal Practice (USPAP);  Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute;  Applicable state appraisal regulations;
 Interagency Appraisal and Evaluation Guidelines issued December 10, 2010;  Appraisal Standards for La nd  Secured Financing published by the California Debt and Investment Advisory Commission (CDIAC) (2004).

Report Format
Standards Rule 2‐2 (Content of a Real Property Appraisal Report) contained in the Uniform Standards of Professional Appraisal Practice (USPAP) requires each written real property appraisal report to be prepared as either an Appraisal Report or a Restricted Appraisal Report. This report is prepared as an Appraisal Report as defined by USPAP u nder  Standards Rule 2‐2(a), and incorporates practical explanation of the data, reasoning, and analysis used to develop the opinion of value.

Prior Services
USPAP requires appraisers to disclose to the client any other services they have provided in connection with the subject property in the prior three years, including valuation, consulting, property management, brokerage, or any other services. We have not performed any services, as an appraiser or in any other capacity, regarding the property that is th e subject of this report within the three‐year period immediately preceding acceptance of this assignment.

Appraiser Competency
No steps were necessary to meet the competency provisions established under USPAP. The assignment participants have appraised several properties similar to the subject in physical, locational, and economic characteristics, and are familiar with market conditions and trends; therefore, appraiser competency provisions are satisfied for this assignment. Appraiser qualifications and state credentials are incl
uded in the addenda of this report.

Scope of Work  6
City of Alameda CFD No. 22‐1 (Alameda Marina)
Scope of Work
Introduction
The appraisal development and reporting processes require gathering and analyzing information about the assignment elements necessary to properly identify the appraisal problem. The scope of work decision includes the research and analyses necessary to develop credible assignment results, given the intended use of the appraisal. Sufficient information includes disclosure of research and analyses performed and m
ight also include disclosure of research and analyses not performed.

To determine the appropriate scope of work for the assignment, we considered the intended use of the appraisal, the needs of the user, the complexity of the property, and other pertinent factors. Our concluded scope of work is describe d below.

Research and Analysis
The type and extent of the research and analysis conducted are detailed in individual sections of the report. Although effort has been made to confirm the arm’s‐length nature of each sale with a party to the transaction, it is sometimes necessary to rely on secondary verification from sources deemed reliable.

Subject Property Data Sources
The legal and physical features of the subject property, including size of the site, flood plain data, seismic zone designation, property zoning, existing easements and encumbrances, access and exposure, and condition of the improvements (as applicable) were confirmed and analyzed.

Inspection
Kevin Ziegenmeyer, MAI, completed an on‐site inspection of the subject property on September 6, 2022.

Valuation Methodology
Three approaches to value are typically considered when developing a market value opinion for real property. These are the cost approach, the sales comparison approach, and the income capitalization approach. Use of the approaches in this assignment is summarized as follows:

Approaches to Value
A pproach A pplicabilit y to Subject Use  in As s i gnment Cost Approach Not A pplicable N ot U t ilize d
Sales  Comparison  A pproach A pplicable U t ilize d
Income Capit alizat ion Approach Not  A pplicable N ot U t ilize d

We will employ the sales comparison approach and land residual analysis to estimate the value of the subject’s residential land. In the land residual analysis (a variation of the cost approach and income Scope of Work  7
City of Alameda CFD No. 22‐1 (Alameda Marina)
capitalization approaches combined), all direct and indirect costs are deducted from an estimate of the anticipated gross sales price of the improved product; the resultant net sales proceeds are then discounted to present value at an anticipated rate over the development and absorption period to indicate the residual value of the lots. In the dire ct sales comparison approach, we adjust the prices of comparable transactions in the region based on differences between the comparable sales and the appraised properties. The values indicated by each approach will then be reconciled into an opinion of market value for the subject’s various lot size categories.

Rising inter
est rates and slowing demand has put downward pressure on home and lot prices throughout California over the last few months. Market participants have noted they believe the top of the market occurred in the first quarter of 2022 and land values have since declined in many area due to the ris ing  interest rates and other economic conditions. While most national builders have not lowered their base prices over the last few months, many have been offering concessions including buying down interest rates and discounts on options.

When ample sales are available, the direct sales comparison approach is generally concluded to be the most reliable indica
tion of land value. However, the scarcity of sales that reflect current market conditions for the subject’s location result in a required upward adjustment for expanding market conditions, which can be difficult to quantify. Given the information cited above, the direct sales comparison approach as an indicator of value is we aker than the land residential analysis that considers the current prices achieved for new home sales.

A typical cost approach is not included in the valuation; however, development costs are analyzed as part of the land residual analysis. In addition, the income approach is not utilized as the in come potential, if any, of the subdivision would not yield a credible indicator of its value.

Area Analysis – Alameda County  8
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Economic Analysis
Area Analysis – Alameda County
Introduction
One of the nine Bay Area counties, Alameda County is located on the eastern shores of the San Francisco Bay, and is bordered on the north by Contra Costa County, on the south by Santa Clara County and on the east by San Joaquin County. It encompasses 821 square miles, featuring a variety of topography an
d geography. A coastal plain stretches some five miles from the Bay to the base of the Berkeley Hills. The county also reaches to the top of the Berkeley Hills on their southwest side. At the south end of the hills, a gap leads to Livermore Valley, which cove rs most of the eastern part of the county. The coastal plain is covered with urban areas, and the cities extend high into the Berkeley Hills. Livermore Valley is less densely populated and includes areas of farmland. Alameda County enjoys a mild coastal climate with little extremes of temperature an d  moderate amounts of rainfall.

Forests cover large areas of the Berkeley Hills, separated by grassy areas. Oakland is the county seat and most populous city in the county.

Population
The population of Alameda County is over 1.65 million, which has grown at an average rate of 0.1% per year over the past five years. The city of Dublin has had the greatest growth, with an average annual growth rate of 4.6% over the last five years. With a population of nearl y  425,000, Oakland represents the largest city in the county, followed by Fremont, Hayward and Berkeley. The following table illustrates population trends for Alameda County.

Population Trends
City 2017 2018 2019 2020 2021 2022 %/Yr
Alameda               80,947 81,195 81,457 81,135 78,262 77,784 ‐0.8% Albany                18,570 18,818 18,932 18,871 20,542 21,648 3.3% Berkeley             121,210 121,763 122,297 122,364 121,269 124,563 0.6% Dublin                59,217 61,488 63,890 65,161 73,209 72,932 4.6% Emeryville           12,087 12,142 12,177 12,448 12,617 12,497 0.7% Fremont              231,713 232,107 232,601 233,132 228,872 229,476 ‐0.2% Hayward              158,799 158,896 159,272 159,266 161,744 160,591 0.2% Livermore            89,877 90,392 90,769 91,082 87,388 86,149 ‐0.8% Newark               45,286 46,765 48,079 48,603 47,157 47,229 0.9% Oakland              427,493 428,750 429,932 432,327 430,100 424,464 ‐0.1% Piedmont             11,354 11,311 11,325 11,297 11,138 10,977 ‐0.7% Pleasanton            76,421 78,244 78,840 78,654 78,924 77,609 0.3% San Leandro          88,877 88,389 88,328 87,840 89,926 88,404 ‐0.1% Union  City           73,301 72,889 73,375 73,248 69,301 68,150 ‐1.4% Unincorporated 149,151 148,611 148,334 147,686 151,921 149,506 0.0% Total 1,644,303 1,651,760 1,659,608 1,663,114 1,662,370 1,651,979 0.1% Source: California Department of Finance
Area Analysis – Alameda County  9
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Transportation
The availability of a broad transportation network has been one of the major factors in the region’s growth. The county is served by a number of Interstate routes and freeways, including Interstates 80, 580 and 880. Interstate 80 connects the western portion of the area to San Francisco to the west and the Sacrame
nto region to the east. Interstate 580 connects the eastern portion of the county to San Joaquin County in the Central Valley to the east. Three bridges connect Alameda County across the Bay, including the Bay, Dumbarton and San Mateo Bridges. Bay Area Rapid Transit (BART) serves a large part of the region. Th e city of Oakland is the terminus of vital interstates and railways and has long been a major West Coast transportation hub for travelers and cargo. The port of Oakland is one of the nation’s major container ports, providing an important connection to global markets. The city of Emeryville is a passenger st
op for Amtrak trains. Oakland International Airport is the main airport serving the region. San Francisco International Airport is also easily accessible.

Employment & Economy
The California Employment Development Department (EDD) has reported the following employment data for Alameda County over the past five years.

Like most areas within the state and nation, Alameda County saw declining unemployment rates in 2004 through 2006, increases from 2007 to 2010, and declines between 2011 and 2019. The average rate jumped to 14.4% in April 2020 after the onset of the pan demic and the average annual rate in
2020 was 9.0%. Improvement through 2021 brought the average annual unemployment rate down to

6.1% in 2021. The California EDD reported an unemployment rate of 2.8% for Alameda County in April 2022, below the rate of 6.9
% a year prior and compared to 3.8% for California and 3.3% for the nation.

Between March and April 2020, 169,400 jobs were lost
in the Oakland‐Hayward‐Berkeley Metropolitan Division
(Alameda and Contra Costa Counties) as a result of the
pandemic. A year later in Marc h  2021, the decline had decreased to 97,800 jobs lost year‐over‐year, while as
of April 2022, jobs have grown year‐over‐year by 45,700 with all but the Construction, Information and Financial Activities sectors showing job growth, as illustrated in the chart to the right. The greatest gain was in the
Leisure/Hospitality sector with 14,900 job
s gained,
followed by the Trade/Transportation/Utilities sector
with a gain of 8,500 jobs.

Employment Trends
2016 2017 2018 2019 2020 2021
Labor Force 831,800 838,200 841,400 842,600 816,800 810,000 Employment 796,000 807,100 815,600 817,400 743,200 760,900 Annual  Employment  Change 16,100 11,100 19,600 10,300 (72,400) (56,500) Unemployment  Rate 4.3% 3.7% 3.1% 3.0% 9.0% 6.1%
Source: California Employment Development Department

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City of Alameda CFD No. 22‐1 (Alameda Marina)
The metro has a diverse economy, as illustrated in the following chart indicating the percentage of total employment for each sector within the county as of April 2022.

The area’s largest employment sectors are Educational and Health Services, accounting for 17.5% of the total employment; Trade/Transportation/ Utilities, which includes retail and wholesale tr ade (17.1%); Professional and Business Services (16.5%) and Government (14.4%). The largest employers in the region are summarized as follows.

Historically, Alameda County businesses, particularly in Oakland and its urban neighbors, were mostly manufacturing (including World War II shipbuilding), warehousing and distribution, food processing, Largest Employers
Employer Industry Employees 1
1K a i s e r  Permanente Medical Group, Inc. Healthcare 34,666 2 Tesla Electric Vehicle Mfr. 13,000
3 Safeway  Inc. Grocery Store 9,731
4C o u n t y  of Alameda Government 9,424
5 Sutter  Health Healthcare 9,377
6J o h n  Muir Health Healthcare 6,300
7P G & E  Corporation Utilities  / Energy Production 5,100 8W o r k d a y E n t e r p r i s e Cloud  Applicatio n 5,098 9C h e v r o n  Corp Utilities  / Energy Production 4,700 10 Wells  Fargo Bank Financial  Services 4,354
Source: County of Alameda, Comprehensive Annual Financial Report, for year ended June 30, 2021 1  The number of employees, except for County of Alameda, include Alameda County and Contra Costa County employees. Total employment within County of Alameda is unavailable.

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City of Alameda CFD No. 22‐1 (Alameda Marina)
and printing and publishing. Though many of these businesses survive today, manufacturing has become a much smaller portion of the economy. Oakland’s relative affordability of land and less traffic congestion compared to other Bay Area locations, coupled with a state‐of‐the‐art fiber‐optic network, have attracted many high‐tech em ployers  to the area. The closure of the many military installations in the county has also led to new commercial and residential uses. The Alameda Naval Air Station, now Alameda Point, offers deep‐water piers, an airport, laboratories and industrial buildings, housing and recreational facilities.

The Port of Oakland, the nation’s seventh bu siest containerized cargo port, remains a powerful economic engine for the county, providing jobs at the seaport and the Oakland International Airport.

The port handles 99% of Northern California’s containerized cargo, and the airport is among the top 20 airports in the nation with regard to air cargo volume.

Scientific res
earch is another Alameda County hallmark. The Lawrence Berkeley National Laboratory and Lawrence Livermore National Laboratory are part of the U.S. Department of Energy and are managed by the University of California. Another facility, Sandia National Laboratories, is operated and managed by Sandia Corporation, a wholly owned subsidiary of Lockheed Martin Corporation, as a contrac
tor for the U.S. Department of Energy. All of these facilities are world‐class research leaders, creating thousands of jobs over the years. Many private technology firms have located nearby to partner with the labs on scientific projects.

The University of California at Berkeley, one of the nat ion’s  top‐ranked research universities, is another major employer. The university provides an academic culture and educated workforce that enhance the entire region and attract new businesses to the area. Further south, California State University Hayward also provides higher education and thousands of jobs.

Household Income
Median household income represents a broad statistical measure of well‐being or standard of living in a community. The median income level divides households into two equal segments with one half of households earning less than the median and the other half earning more. The median income is considered to be a be tter  indicator than the average household income as it is not dramatically affected by unusually high or low values. According to Claritas Spotlight data reporting service, the median household income estimated for Alameda County in 2022 is $121,093, which is higher than the state of California’s median income of $88,967.

Recreation & Culture
Alameda County offers a variety of recreational and cultural opportunities. A number of parks preserve large tracts of land in the Berkeley Hills, including the Redwood Regional Park, Joaquin Miller Park and the Anthony Chabot Regional Park. Excursions to San Francisco are within a short drive and include the Golden Gate Bridge, Alameda Mammal Center, Muir Woods, Alcatraz and Angel Islands, to name a fe
w. Public golf courses, neighborhood parks, community and recreation centers, museums, galleries, restaurants and wineries are located throughout the county. The county is home to the Oakland Athletics (Major League Baseball) professional sports franchise.

Area Analysis – Alameda County  12
City of Alameda CFD No. 22‐1 (Alameda Marina)
Conclusion
Alameda County has experienced moderate population growth, averaging 0.3% per year over the past five years. Most of this growth has been due to in‐migration of businesses and residents from more expensive Bay Area counties. Some of the county’s locational advantages include its proximity to San Francisco, employment opportunities, University pr esence,  good transportation linkages, temperate climate and relative affordability compared to other Bay Area locations.

In recent years, market and economic conditions have been strong, with unemployment rates falling to historic lows. However, employment conditions declined sharply in April 2020 following the onset of the pandemic. Market and economic conditions have since improved, with contin ued recovery anticipated in the near term.

Area Analysis – Alameda County  13
City of Alameda CFD No. 22‐1 (Alameda Marina)
Area Map

Surrounding Area Analysis  14
City of Alameda CFD No. 22‐1 (Alameda Marina)
Surrounding Area Analysis
Boundaries
The subject is part of the Alameda Marina Community, which is located on the east side of the City of Alameda. The city limits include Alameda Island and the northern portion of Bay Farm Island. The City of Alameda is located south of Oakland and east of San Francisco, within the eastern portion of the San Fran
cisco Bay and is shaded on the below map.

A map identifying the location of the property follows this section.

Access and Linkages
Local access to the subject is provided by Clement Avenue, less than a mile west of Park Street.

Although Alameda geographically is an island, it benefits from easy access to and from Oakland, Emeryville, Berkeley, and San Francisco. Access to Oakland and Interstates 580 and 880 are provided via Webster Street/Posey Tube, loca ted  northeast of Alameda Marina. Interstate 580 originates north of the subject in San Rafael and travels south along the eastern edge of Oakland. After reaching Hayward, the 80‐mile stretch of freeway turns east and continues through Dublin and Livermore before returning to a southern direction just outside of Tracy where it conne cts to Interstate 5.

Interstate 880 runs north to south for its entire 45‐mile length between Oakland and San Jose.

The San Francisco Bay Ferry provides year‐round weekday and weekend service, as well as service on select holidays, between Alameda Main Street and Oakland Jack London Sq uare  terminals in the East Bay and San Francisco Ferry Building or Pier 41 terminals.

Surrounding Area Analysis  15
City of Alameda CFD No. 22‐1 (Alameda Marina)
Additionally, Bay Area Rapid Transit (BART) also serves the region. The nearest BART stop to the subject property is located approximately 1.5 miles northeast at the Fruitvale Station.

The Oakland International Airport on the southern end of Bay Farm Island, outside the Alameda city limits.  The airport is owned by the Port of Oakland and is the clos est airport to the San Francisco financial district – both geographically and by public transit. It is one of three international airports in the San Francisco Bay Area (the others including San Francisco International Airport and the San Jose International Airport). The Oakland International Airport provides passenger service to cit ies in the United States, Mexico and Europe, while cargo flights fly to cities in the United States, Canada and Japan.

Demographic Factors
A demographic profile of the surrounding area, including population, households, and income data, is presented in the following table.

As shown above, the current population within a 5‐mile radius of the subject is 479,408, and the average household size is 2.5. Population in the area has grown since the 2010 cens us,  and this trend is projected to continue over the next five years. Compared to Alameda County overall, the population within a 5‐mile radius is projected to grow at a slower rate.

Surrounding Area Analysis  16
City of Alameda CFD No. 22‐1 (Alameda Marina)
Median household income is $95,426, which is lower than the household income for Alameda County.

Residents within a 5‐mile radius have a lower level of educational attainment than those of Alameda County, while median owner occupied home values are lower.

Land Use
Alameda Landing, a recently constructed, mixed use development, is located approximately 2.5 miles northwest of the subject and includes a variety of retail, office, and residential uses. The retail component of Alameda Landing is anchored by Target and Safeway. Other tenants within the retail center include Michaels, Chipotle, Panda Express, Famous Dave’s, and the Habi t Burger Grill. Beyond the Alameda Landing shopping center is Jack London square in Oakland, approximately four miles northwest of the subject. This project includes Cost Plus, Bevmo, Jack London Cinema and Bed Bath & Beyond.

Other notable land uses in the area include Marina Village, a 200‐acre Class A Office, Flex and Tec h campus with 30 buildings and over one million rentable square feet. This project is located approximately one mile east of the subject property.  The College of Alameda, which is part of the Peralta Community College District, is located just south of the subject across Willie St argell Avenue.

This 62‐acre campus opened in 1968.

More details related to new and proposed residential projects in Alameda are discussed in the Residential Market section, presented next. Finally, notable community uses within Alameda are summarized as follows:
 Robert W. Crown Memorial State Beach is named in me mory  of State Assemblyman Robert W. Crown, who campaigned for the site’s preservation as public parkland. Known as Alameda Beach from the 1880s until World War II, it was an amusement center and day‐trip destination for San Francisco and Bay Area residents. The park’s Crab Cove Visitor Center features exhibi ts about the marine life environment of the San Francisco Bay, the history of Alames, and the importance of the Bay. There is an 800‐gallon aquarium system with interactive stations for viewing sea creatures up close. Naturalists offer programs for schools and other groups, and weekend nature programs and lectures.
 Harbo
r Bay Athletic Club is a 10‐acre members‐only health and fitness club with an outdoor 25‐meter heated swimming pool and hot tub, 19 lighted tennis courts, a 25,000 square foot fitness center, full court basketball and volleyball, fitness classes (including yoga, pilates, t’ai chi, tae kwon do, group cy cling, personal training, wellness/nutrition, etc.), a full‐service day spa, children’s center, clubhouse bar and grill.
 Chuck Corica Golf Complex includes two 18‐hole courses, a 9‐hole par‐3 course, driving range, pro shop and restaurant.

Additionally, outside the subject’s neighborhood, the greater San Francisco Bay Area offers many more community uses and attractions.

Surrounding Area Analysis  17
City of Alameda CFD No. 22‐1 (Alameda Marina)
Surrounding Area Land Uses
Character of Area  Suburban
Predominant Housing Age
(Both Ownership and Rental)
New to 5 years
Predominant Quality and Condition  Above Average
Approximate Percent Developed  85%
Infrastructure/Planning  Average
Prevailing Direction of Growth  Infill

Subject’s Immediate Surroundings
North  Brooklyn Basin and Coast Guard Island Alameda
South  Alameda Marina redevelopment project
East  Navy Reserve Center Alameda
West  Single‐family residential development

Development Activity and Trends
There is currently one other actively selling new residential community in Alameda, Alameda Landing.

Alameda Landing is a 218‐acre mixed use development, which was previously part of the Department of Navy’s former Fleet and Industrial Supply Center Oakland, Alameda Facility/Alameda Annex which served as the main supply facility supporting the Depart ment  of Defense operations of military fleets and shore activities in the Pacific Basin during World War II, and remaining an active supply center until its closure in 1998. Upon build‐out Alameda Landing will consist of up to 889 units of market rate and inclusionary housing (including low income housing to be deve loped by the Housing Authority), 300,000 square feet of retail space, up to 400,000 square feet of office space, and an eight‐acre waterfront park or other allowable uses consistent with the approved master plan.

The active projects are located within the Catellus master‐planned Bayport community, which i ncludes 72‐acres and will offer 632 homes, elementary school, and an 11‐acre park.

Surrounding Area Analysis  18
City of Alameda CFD No. 22‐1 (Alameda Marina)

The active projects are located proximate to the “13” on the above map. The four active product lines include one line of detached homes (Breeze), and three lines of attached homes; these include two‐ and three ‐story condominiums (Compass), flats (Landing), and townhomes (Lookout). These projects encompass a total of 357 si ngle ‐family units, including 39 BMR units. These attached projects averaged an absorption rate of 1.56 sales per project per month in the Second Quarter 2022.

Surrounding Area Analysis  19
City of Alameda CFD No. 22‐1 (Alameda Marina)
In addition, the 124‐unit townhome project known as Leeward, which is part of Alameda Point, recently sold out. Alameda Point is part of a former naval air station which closed in 1997. The area includes historic buildings, wildlife habitats, a shoreline on the San Francisco Bay. In June of 2013, the Unit
ed States Navy gave title of approximately 1,400 acres of land and water, which encompasses nearly a quarter of the 10‐square‐mile island’s land mass, to the City of Alameda. Since this time, the city has overseen the redevelopment of the property.

Alameda Point consists of two sites, the 68‐acre Site A and the 82‐acre Si te B. Development of Site A Phase 1 commenced in the first quarter of 2018. The following table summarizes plans for the development of Site A, Phase 1.

Leeward, the market rate residential component of Alameda Pointe, is depicted at Blocks 6 and 7.

Prior to selling out, the pro
ject averaged an absorption rate of 5.1 sales per month over a 12 month period.

Alameda Point ‐ Site A (68 acres) Phase 1 (30 acres)
Block Developer
6 & 7 Trumark
8 70 units  affordable  housing  for fam ilie s, 60 units  affordable housing  for se niors
Eden Housing
92 0 0  apartments,  10,000  SF of commerical  space Cypre ss  Equi ty Inve stment 11 220  apartments  and 15,000  SF of re t ail/com m e rcial space Trammel l Crow Residential  and Cypress  Equi ty Inve stments
Other $10  m illion  for new Seplane La goon Ferry Termi nal Other $1  m illion  for pl anned  sports  complex
Us e
124 townhomes

Surrounding Area Analysis  20
City of Alameda CFD No. 22‐1 (Alameda Marina)
Outlook and Conclusions
The area is in the redevelopment stage of its life cycle and is located in a region characterized by little available land for development. Further, Alameda is a desirable location on the San Francisco Bay with good access to employment centers in the region. Given the history of the area, growth tren ds,  and the plans for the Alameda marina, it is anticipated that property values will increase over the long term.

In comparison to other areas in the region, the area is rated as follows:

Surrounding Area Attribute Ratings
Highway Access  Average
Demand Generators  Average
Convenience to Support Services  Average
Convenience to Public Transportation  Average
Employment Stability  Average
Police and Fire Protection  Average
Property Compatibility  Average
General Appearance of Properties  Average
Appeal to Market  Above Average
Barriers to Competitive Entry  Above Average

Surrounding Area Analysis  21
City of Alameda CFD No. 22‐1 (Alameda Marina)
Surrounding Area Map

Residential Market Analysis  22
City of Alameda CFD No. 22‐1 (Alameda Marina)
Residential Market Analysis
Given prevailing land use patterns and the subject’s zoning, a likely use of the property is for residential development. In the following paragraphs, we examine supply and demand indicators for residential development in the subject’s area.

Submarket Overview
The subject is located in the City of Alameda. The subject is adjacent to newer home construction and planned future development and is considered to have good transportation linkages. The neighborhood is characterized as a suburban area that appeals to both local workers and commuters.

Based on existing surrounding homes and new projects un der development, the subject characteristics best support a project designed for a combination of entry‐level and/or first‐time move‐up home buyers.

Single‐Family Building Permits
Single‐family building permits for the City of Alameda, as well as Alameda County totals are shown in the following table.

Building Permits
Year City of Alameda Alameda  County
2011 24 820
2012 0 1,373
2013 1 1,391
2014 5 1613
2015 118 1,905
2016 59 2,398
2017 46 2,595
2018 31 1,965
2019 61 1,972
2020 81 1,342
2021 198 1,368
Source:  SOCDS Buidling  Permits  Database

Single family permits in the City of Alameda spiked in 2015 with the construction of the first section of Alameda Landing. Alameda County overall saw a steady increase in permits from 2012 through 2017, with a dip in 2018 and 2019. The COVID‐19 pandemic resulted in a lower number of buil ding  permits in 2020. Residential growth is expected to continue to remain strong with healthy demand for new product within the City of Alameda due to the lack of available land.

New Home Pricing and Sales
The Gregory Group surveys active new home projects in California and Nevada. On the following page we present a table containing indicators for residential projects the subject’s market area (Alameda County) for the last 12 quarters. The data include both attached and detached projects, but the majority of units are attached homes.

Residential Market Analysis  23
City of Alameda CFD No. 22‐1 (Alameda Marina)
New Home Sales History
Time Period Average  Price
% Change
Average Price
Average Home
Size (SF)
Average
Price/Avg SF
% Change
Price/SF
Quarter
Sold
Number  of
Projects
Sold Per Proj.

Per Month
3Q 2019 $1,075,224  ‐ ‐ 2,167 $496.18  ‐ ‐ 312 70 1.49
4Q 2019 $1,049,785  ‐ 2.4% 2,154 $487.37  ‐ 1.8% 432 65 2.22 1Q 2020 $1,067,635   1.7% 2,146 $497.50   2.1% 583 68 2.86 2Q 2020 $1,066,987  ‐ 0.1% 2,145 $497.43   0.0% 426 61 2.33 3Q 2020 $1,085,525   1.7% 2,145 $506.07   1.7% 452 61 2.47 4Q 2020 $1,071,927  ‐ 1.3% 2,078 $515.85   1.9% 470 52 3.01 1Q 2021 $1,080,131   0.8% 1,999 $540.34   4.7% 485 45 3.59 2Q 2021 $1,130,032   4.6% 1,991 $567.57   5.0% 398 40 3.32 3Q 2021
$1,116,209  ‐ 1.3% 1,900 $587.48   3.5% 244 36 2.26
4Q 2021 $1,156,151   3.6% 1,897 $609.46   3.7% 465 42 3.69 1Q 2022 $1,209,804   4.6% 1,860 $650.43   6.7% 334 34 3.27 2Q 2022 $1,222,442   1.0% 1,915 $638.35  ‐ 1.9% 231 35 2.20

In terms of the number of home sales in Alameda County, over the last 12 months, the average was

2.86 sales per month per project, which was down from the average for the prior 12‐month period of

3.10 sales per month per project. Absorption in the second quarter of 2022 di pped  due to the rising interest rates and other economic conditions. The first quarter of 2022 saw the largest increase on a price per square foot basis over the reported period. While most national builders have not lowered their base prices over the last few months, many have been offering concessions incl uding buying down interest rates and discounts on options.

Active New Home Projects Pricing and Absorption
There are three active attached projects in Alameda, all of which are in the Alameda Landing community. Therefore, we have included active attached projects in Fremont, Hayward, Newark, and Oakland. These projects are considered to be most competitive with the subject property given their locations and project type. These projects are summarized in the tables on the f ollowing page, based on data from the Second Quarter 2022 (latest available).

Residential Market Analysis  24
City of Alameda CFD No. 22‐1 (Alameda Marina)
Active Projects
Project Master Plan Community Developer Average  Price
Avg. Home
Size (SF)
Avgerage
Price/SF
Units
Planned
Units
Offered
Units
Sold
Units
Unsold
Compass  at Bay 37 Alameda  Landing Alameda Pulte  Homes $1,144,990   1,605 $713   93 63 52 11 Landing  at Bay 37 Alameda  Landing Alameda Pulte  Homes $927,240   1,402 $661   96 87 70 17 Lookout at Bay 37 Alameda  Landing Alameda Pulte  Homes $827,390   1,074 $770   133 58 39 19 Russell  Square Metro  Crossing Fremont Toll  Brothers $1,503,745   2,143 $702   144 144 143 1 Kensington  Station Metro  Crossing Fremont Toll  Brothers $1,483,995   1,928 $770   184 120 110 10 Matrix Innovation Fremont Lennar  Homes $1,388,380   2,100 $661   53 36 31 5 Lumiere Innovation Fremont Lennar  Homes $1,112,380   1, 490 $747   156 31 22 9 Aspect Innovation Fremont Lennar  Homes $1,307,880   1,682 $778   167 42 39 3 Vi ctori a Station Metro  Crossing Fremont Toll  Brothers $1,095,995   1,398 $784   75 75 71 4 Aventura ‐‐ Fremont Nuvera  Homes $1,449,880   1,506 $963   16 16 16 0 Chroma Innovation Fremont Lennar  Homes $794,480   1,003 $792   73 19 14 5 L ine SoHay Hayw ard William  Lyon Homes $809,879   1,420 $570   198 170 162 8 Prim e SoHay Hayw ard William  Lyon Homes $888,756   1,714 $519   122 120 91 29 Hideaway ‐‐ Hayward DR  Horton $1,377,333   1,958 $703   59 59 59 0 Atl a s ‐‐ Hayward KB  Home $914,986   1,906 $480   72 25 25 0 Towns Bridgeway Newark Lennar  Homes $1,163,880   1,808 $644   105 75 72 3 Te rraces Bridgeway Ne wark L e nnar  Homes $1,092,880   1,760 $621   96 49 45 4 Skyview ‐‐ Oakland Discovery  Homes $1,787,302   3,125 $572   60 60 53 7 E llis   Central  Station Oakland Tri  Po nte Homes $722,900   1,525 $474   128 77 65 12 Minimum $722,900  1,003 $474
Maximum $1,787,302   3,125 $963
Average $1,147,067   1,713 $680
Source:  The Gregory Group

Absorption
Project Master  Plan Community Developer
Avg. Home Price
(2Q 22 Only)
Avg. Home Size
(2Q 22 Only) 2Q  2022 1Q  2022 4Q  2021 3Q  2021
12‐Month
Total
Average Per
Quarter
Average Per
Month
Compass  at Bay 37 Alameda  L anding A lam e da Pult e  Homes $1,144,990   1,605 6 10 12 10 38 9.5 3.2 Landi ng at Bay 37 Alameda  L anding A lam e da Pult e  Homes $927,240   1,402 6 27 15 10 58 14.5 4.8 Lookout at Bay 37 Alameda  L anding A lam e da Pult e  Homes $827,390   1,074 2 9 4 6 21 5.3 1.8 Russell  Square Metro  Crossing Fremont Toll  Brothers $1,503,745   2,143 0 0 4 ‐5 ‐1 ‐0. 3 ‐0.1 Kensington  Station Metro  Crossing Fremont Toll  Brothers $1,483,995   1,928 6 23 15 14 58 14.5 4.8 Matri x Innovati on Fremont Lennar  Homes $1,388,380   2,100 5 6 20 ‐‐ 31 10.3 3.4 Lumiere Innovation Fremont Lennar  Homes $1,112,380   1,490 2 13 7 ‐‐ 22 7.3 2.4 Aspect Innovation Fremont Lennar  Homes $1,307,880   1,682 4 15 20 ‐‐ 39 13.0 4.3 Vi ctori a Station Metro  Crossing Fremont Toll  Brothers $1,095,995   1,398 4 0 10 ‐‐ 14 4.7 1.6 Aventura ‐‐ Fremont Nuvera  Homes $1,449,880   1,506 4 2 10 ‐‐ 16 5.3 1.8 Chroma Innovation Fremont Lennar  Homes $794,480   1,003 14 ‐‐ ‐‐ ‐‐ 14 14.0 4.7 L ine SoHay Hayw ard William  Lyon Homes $809,879   1,420 14 25 4 9 52 13.0 4.3 Prim e SoHay Hayw ard William  Lyon Homes $888,756   1,714 0 0 0 2 2 0.5 0.2 Hideaway ‐‐ Hayward DR  Horton $1,377,333   1,958 2 19 11 12 44 11.0 3.7 Atl a s ‐‐ Hayward KB  Home $914,986   1,906 25 ‐‐ ‐‐ ‐‐ 25 25.0 8.3 To
wns Bri dgeway Newark Lennar  Homes $1,163,880   1,808 7 9 16 9 41 10.3 3.4 Terraces Bridgeway Newark Lennar  Homes $1,092,880   1,760 14 1 18 12 45 11.3 3.8 Skyview ‐‐ Oakland Discovery  Homes $1,787,302   3,125 0 1 4 ‐23 0 .80.3 E llis   Central  Station Oakland Tri  Ponte Homes $722,900   1,525 20 6 11 3 40 10.0 3.3 Total 129 156 169 48
No. of Acti ve Projects 18 16 16 7
Quarterly  Pro‐Rata 7.2 9.8 10.6 6.9
Monthly Pro‐Rata 2.4 3.3 3.5 2.3

2.9 Average  Monthly Pro‐Rata

The projects in the above table support an average absorption rate of between approximately 2 to 4 units per month with an average monthly pro rata of 2.9 units per month. It should be noted, several of the projects are nearing sell‐out, skewing the overall monthly data downward for those spe cific projects.

Compass, Landing, and Lookout at Bay 37 are most comparable to the subject, as they are the only other active attached projects located in Alameda. These projects have averaged 3.3 sales per month over the past 12 months. Further data from the Gregory Group on these projects are prese nted below.

Residential Market Analysis  25
City of Alameda CFD No. 22‐1 (Alameda Marina)

Residential Market Analysis  26
City of Alameda CFD No. 22‐1 (Alameda Marina)

It is worth noting the subject property has a waitlist of 131 individual homeowners having no active marketing program in place as of the date of this appraisal report.

Resale Pricing
The following table considers resales within the City of Alameda since January 2022. Attached homes constructed after 2010 were considered.

Resales
Address Sale Date
Living Area
(SF) Sale  Price Last  List Price
Sale Price
/SF Sale/List Year  Built
Days on
Market
2846  Fifth St, A lame da, CA 94501 3/28/2022 1,305 $878,792   $878,792   $200   100.0% 2021 6 2883  Fifth St, A lame da, CA 94501 6/27/2022 1,305 $952,402   $951,952   $201   100.0% 2021 108 2816  Fifth St, A lame da, CA 94501 3/23/2022 1,454 $983,757   $988,597   $202   99.5% 2021 16 2859  Tradewi nd Dr, A lame da, CA 94501 3/8/2022 1,000 $895,416   $885,296   $203   101.1% 2021 84 2665  5th, A lam eda, CA 94501 2/4/2022 2,433 $1,280,000   $1, 295,000   $204   98.8% 2017 22 2657  5th St, A lame da, CA 94501 3/4/2022 2,323 $1,311,500   $1,175,000   $205   111.6% 2017 8 498 Diller  St, A lam eda, CA 94501 3/23/2022 1,937 $1,300,000   $998,000   $206   130.3% 2016 0 412 Mitchel l Ave, A lameda, CA 94501 6/24/2022 1,314 $520,592   $520,592   $207   100.0% 2015 59 471 Mitchel l Ave, A lameda, CA 94501 5/26/2022 1,937 $1,300,000   $999,000   $208   130.1% 2016 7 2105  Eagl e Ave, A lam eda, CA 94501 6/7/2022 1,453 $1,075,000   $1,095,000   $209   98.2% 2019 17 488 Diller  St, A lam eda, CA 94501 6/7/2022 1,784 $1,250,000   $1,300,000   $210   96.2% 2017 8 491 Mitchel l Ave, A lameda, CA 94501 6/27/2022 1,784 $1,220,000   $999,000   $211   122.1% 2016 12 492 Diller  St, A lam eda, CA 94501 8/12/2022 1,937 $1,150,000   $998,000   $212   115.2% 2016 39 483 Diller  St, A lam eda, CA 94501 8/8/2022 1,917 $1,100,000   $1,099,000   $213   100.1% 2016 24 442 Mitchel l Ave, A lameda, CA 94501 8/11/2022 2,454 $1,305,000   $995,000   $214   131.2% 2015 27 2659  5th St, A lame da, CA 94501 8/8/2022 1,077 $888,000   $895,000   $215   99.2% 2017 5 Total Sales 16 1,713 $1,088,154   $1,004,577   $208   108.4% 2018 28 (avg.) (avg.) (avg.) (avg.) (avg.) (avg.) (avg.)

The average home sold for 108% over listing price, with an average time on market of 29 days. Both indicators are positive signs for the Alameda residential market.

Residential Market Analysis  27
City of Alameda CFD No. 22‐1 (Alameda Marina)
Ability to Pay
The Developer plans to construct two product lines, with individual floorplans ranging from 1,462 to 2,689 square feet. In this section, we will examine the ability to pay among prospective buyers for a representative price point of $1,275,000, based on the indicators from the competing projects. First, we will estimate the required annual hou sehold income based on typical mortgage parameters in the subject’s market area. Specifically, we will employ a loan‐to‐value ratio of 80% (down payment of 20%), mortgage interest rate of 6.00%, 360 monthly payments, and a 40% ratio for the housing costs as a percent of monthly income (inclusive of prin cipal, interest, all taxes and insurance).Property tax payments are accounted for in the analysis as well as homeowner’s insurance. The following table shows the estimate of the annual household income that would be required to afford homes priced at the representative price point.

Income Required
Home Price $1,275,000
Loa n % of Price  (Loan to Va l ue) 80%
Loa n Amount $1,020,000
Interest Rate 6.00%
Mortgage Payment $6,115
Ad Val orem Taxes $1,600   Based  on 1.162600% and  direct charges  of $4,374 CFD No. 22‐1 (Alameda  Marina) $583
Property Insurance $266
Total Monthly Obligat ion $8,563
Mortgage Payment % of Income 40%
Monthly Income $21,409
Annua l Income $256,905

We have obtained income data from Spotlight Analytics, for a 10‐mile radius surrounding the subject property, which is considered representative of typical buyers for the subject property. In the following table we show the income brackets within the noted area, along with estimates of the percentage of households able to afford homes price d at the representative price point within each income bracket.

Residential Market Analysis  28
City of Alameda CFD No. 22‐1 (Alameda Marina)
Household Ability
Household Income Households
Percent  of
Households
Percent
Able to Pay Households
Households
Able to Pay
< $15,000 47,456 8.9% 0.0% 0 0.0%
$15,000  ‐ $24,999 33,840 6.3% 0.0% 0 0.0%
$25,000  ‐ $34,999 28,032 5.2% 0.0% 0 0.0%
$35,000  ‐ $49,999 36,796 6.9% 0.0% 0 0.0%
$50,000  ‐ $74,999 56,529 10.6% 0.0% 0 0.0%
$75,000  ‐ $99,999 49,035 9.2% 0.0% 0 0.0%
$100,000  ‐ $124,999 43,586 8.1% 0.0% 0 0.0%
$125,000  ‐ $149,999 38,963 7.3% 0.0% 0 0.0%
$150,000  ‐ $199,999 56,125 10.5% 0.0% 0 0.0%
$200,000  ‐ $249,999 36,673 6.9% 0.0% 0 0.0%
$250,000  ‐ $499,999 51,549 9.6% 97.2% 50,125 9.4%
$500,000 + 56,731 10.6% 100.0% 56,731 10.6%
535,315 100.0% 106,856 20.0%

Generally, interest rates have an inverse relationship on the affordability of a home. In short, all else being equal higher interest rates lower the price point for buyers based on income. Over the past several years, interest rates have remained historically low, often at or below 3.0%. Rates are still low, from a histori
cal perspective, but have recently risen above 5.00%, and there is an expectation of further increases in interest rates over the near term. While some projects seem to be affected more than others, such as those projects targeting entry‐level homebuyers, which tend to be more price and interest rat e  sensitive, there are some buyers who have been motivated by recent events to purchase now rather than wait for any potential future rises in interest rates. Given the continued high inflation numbers, interest rates are expected to climb higher in the near term to try and tamper inflation. Continued hi gh inflation will force prospective homeowners to account for other costs like groceries, gas, etc. over buying a new home at a higher interest rate.

Information from homebuilders over the last few weeks have noted more turmoil from pending buyers dropping out of contract because of rising interest rates. Homebuilders have also noted pa ce of sales have slowed from the historic highs. Further, homebuilders have begun to offer concessions in the form of buying down interest rates and discounted options, instead of decreasing their base prices. In some markets, there has been enough downward pressure on the market for homebuilders to offer concessions as well as drop thei r base prices. In the past several quarters, homebuilders were able to sell homes faster than they were able to construct the homes, but with the rising interest rates this has since moderated. Based on current information and survey responses, recent increases in interest rates have beg un to impact the pace of sales as well as pricing in some markets.

Conclusions
Demand for homes in the subject’s market area is considered to be strong, but moderating at the current time as indicated by the overall trend of new home sales prices and activity in recent quarters, as well as the absorption rate within new home projects in the subject’s area.

Land Description and Analysis  29
City of Alameda CFD No. 22‐1 (Alameda Marina)
Property Analysis
Land Description and Analysis
Location
The property is located on the north side of Clement Avenue, less than one mile west of its intersection with Park Street, within the city of Alameda, Alameda County, California.

Land Area
The following table summarizes the subject’s land area.

Land Area Summary
Tax ID SF Acres
071‐0291 ‐010 477,488 10.96
Total 477,488 10.96

Shape and Dimensions
The site is irregular in shape, yet functional for development under their respective land use and zoning designations.

Topography
The site is generally level and at street grade. The topography does not result in any particular development limitations.

Off‐site Improvements
Off‐site improvements currently consist of streets, concrete curbs and gutters, sidewalks and streetlights. No additional off‐site improvements are requested for development of the subject property.

On‐site Improvements
Development of on‐site improvements and in‐tract development has commenced and is anticipated to the complete in August 2023.

Drainage
No particular drainage problems were observed or disclosed at the time of field inspection. This appraisal assumes that surface water collection, both on‐site and in public streets adjacent to the subject, is adequate.

Land Description and Analysis  30
City of Alameda CFD No. 22‐1 (Alameda Marina)
Flood Hazard Status
The following table provides flood hazard information.

Flood Hazard Status
Community Panel  Number 06001C0088H
Date December  21, 2018
Zone X
Description Outside  of 500‐year floodplain
Insurance  Required? No

Mid‐century sea level rise (“SLR”, in the year 2050) is expected to be between 11 inches (most likely) to 24 inches (the upper end of the range). End of century sea level rise (year 2100) is expected to be between 36 inches (most likely) to 66 inches (upper range).

Approximately 4,009 linear feet of shore line embankments, seawall, bulkheads and revetment slopes have been complete, subject to a hypothetical condition, to accommodate future sea level rise. The elevation range is above special flood hazard areas, typical tidal elevations, and the 100‐year extreme water level in the San Francisco Bay, as defined by th e Federal Emergency Management Agency (FEMA).

Land Description and Analysis  31
City of Alameda CFD No. 22‐1 (Alameda Marina)
Environmental Hazards
An environmental assessment report was not provided for review, and during our inspection, we did not observe any obvious signs of contamination on or near the subject. However, environmental issues are beyond our scope of expertise. It is assumed that the property is not adversely affected by environmental hazards.

Ground Stability
A soils report was not provided for our review. Based on our inspection of the subject and observation of development on nearby sites, there are no apparent ground stability problems. However, we are not experts in soils analysis. We assume that the subject’s soil bearing capacity is sufficient to support the existi ng  improvements.

Seismic Hazards
All properties in California are subject to some degree of seismic risk. The Alquist‐Priolo Earthquake Fault Zoning Act was enacted by the State of California in 1972 to regulate development near active earthquake faults. The Act required the State Geologist to delineate “Earthquake Fault Zones” (formerly known as “Special Studies Zo nes”)  along known active faults in California. Cities and counties affected by the identified zones must limit certain development projects within the zones unless geologic investigations demonstrate that the sites are not threatened by surface displacement from future faulting.

According to information from the California Geological Survey (formerly known as the Division of Mines and Geology), the s
ubject is not located within an Alquist‐Priolo Special Studies Zone. The subject is located in a liquefaction zone, an area “where historical occurrence of liquefaction, or local geological, geotechnical and ground water conditions indicate a potential for permanent ground displacements such that mitigation in Pub lic  Resources Code Section 2693(c) would be required.” Seismic issues are beyond our scope of expertise, and the appraisers have assumed that the subject property meets all seismic requirements and that there are no seismic issues with the subject property.

Streets, Access and Frontage
Details pertaining to street access and frontage are provided in the following table.

Land Description and Analysis  32
City of Alameda CFD No. 22‐1 (Alameda Marina)
Streets, Access and Frontage
Street Cl ement Ave.

Frontage Feet 841
Paving Yes
Curbs Yes
Sidewalks Yes
Lanes 2 way, 1 lane  each way
Direction  of Traffic East ‐West
Condition Average
Traffic  Level s Moderate
Signals/Traffic  Control Stop  sign
Access/Curb  Cuts Average
V isibilit y A ve rage

Utilities
The availability of utilities to the subject is summarized in the following table.

Utilities
Service Provider
Water East  Bay Municipal  U t ilit y District
Sewer City  of Al a meda
E le ct ricit y A lam e da  Municipal  Power
Natural  Gas Pacifi c  Gas  & El ectri c
Local  Phone Various  providers

Zoning
The subject is zoned M‐X & MF, Mixed‐Use Planned Development District & Multi‐family Residential Combining Zone, by City of Alameda. The following table summarizes our understanding and interpretation of the zoning requirements that affect the subject.

Zoning Summary
Zoning  Juri s di cti on Ci ty  of Al a meda
Zoning  Designation M ‐X & MF
De script ion Mixe d ‐Us e Planned  Development District  & Multi ‐family  Residential Combining  Zone
Legal l y Conforming? Appears  to be le gally conforming Zoning  Change Li kel y? No
Permi tted Us es Vari ous  residential  and commerical  uses

We are not experts in the interpretation of zoning ordinances. An appropriately qualified land use attorney should be engaged if a determination of compliance is required.

Land Description and Analysis  33
City of Alameda CFD No. 22‐1 (Alameda Marina)
According to the City of Alameda Planning Department, the subject is zoned MX, Mixed Use Planned Development. According to the City of Alameda Municipal Code, the purpose of the MX district is as follows:
“Encourage the development of a compatible mixture of land uses which may include residential, retail, offices, recreational, entertai nment,  research oriented light industrial, water oriented and other related uses. The compatibility and interaction between mixed uses is to be insured through adoption of Master Plan and development plan site plan, which indicate proper orientation, desirable design character and compatible land uses to provide for:

1. A more pedestrian‐oriented nonau tomotive environment and flexibility in the design of land uses and structures than are provided by single purpose zoning districts, including but not limited to shared parking;

2.  The enhancement and preservation of property and structures with historical or architectural merit, unique topography, landscape or water areas, or other features requiring spe
cial treatment or protection;

3. Recreation areas that are more accessible to both the MX district’s inhabitants and other City residents;

4. Environments that are more conductive to mutual interdependence in terms of living, working, shopping, entertainment and recreation; and

5. Flexibility in the design, layout and timing of build‐out of large‐scale mi xed use projects in order to respond to market demands while ensuring that development is in conformance with adopted standards, procedures and guidelines. In order to accomplish this purpose, the City may establish Development Standards, Procedures and Guidelines (which govern, among other items, processing procedures, project‐ wide desig
n guidelines addressing architecture, site planning, parking, circulation, streetscape, open space, landscaping, lighting, project identification and signage, and specific use design guidelines) as part of the Master Plan to which the Development Plans must then conform.

The MX zoning designation is in conformance with the general plan designation of Mixed Use.

Specifi
cally, according to the City of Alameda General Plan, the areas at Alameda Point and along the Northern Waterfront are designated Priority Development Areas in the regional sustainable communities plan, Plan Bay Area. These diverse areas include a variety of buildings, with residential densities of 10 to 100 units per ac re  and FAR of 0.25 to 4.0. The Mixed‐Use areas permit a wide variety of housing types, including multifamily housing, a wide variety of commercial and business uses and a maximum FAR of 0.25 to 5.0 depending on the sub district and historic district designations.

As previously mentioned, the Island View and Wa terside projects (Alameda Marina Phase II) include 25 BMR units, which the Special Tax will not be levied and, thus, are not appraised herein. However, for the readers reference, the 25 BMR units are inclusive of seven very low‐, seven low‐, and 11 moderate‐income uni ts.

Land Description and Analysis  34
City of Alameda CFD No. 22‐1 (Alameda Marina)
The subject’s final map was approved and recorded on July 22, 2022 (Tract 8610 Alameda Marina Townhomes), which has been included in the addenda. According to the local planning department, there are no pending or prospective zoning changes. It appears that the proposed use of the site is a legally conforming use.

Other Land Use Regulations
We are not aware of any other land use regulations that would affect the property.

Easements, Encroachments and Restrictions
We have reviewed a preliminary title report prepared by First American Title  Company dated June 8, 2022. The report identifies exceptions to title, which include various utility and access easements that are typical for a property of this type. Such exceptions would not appear to have an adverse effect on value. Ou r  valuation assumes no adverse impacts from easements, encroachments or restrictions and further assumes that the subject has clear and marketable title.

Permits and Fees
Based on information provided by the Developer, permits and fees due at building permit are estimated at $25,278 per unit in Island View and $37,392 per unit in Waterside, which is typical for the area.

It should be noted, Landsea Homes has already paid permits and fees for Building 2 (seven units in Island View) and Buildi
ng 11 (four units in Waterside, respectively) of $176,943.96 and $149,567.69, respectively. The value contribution of permits and fees paid will be included in our valuation.

Site Development Costs
According to the horizontal cost budget provided by the merchant builder, total site development costs are estimated at $19,052,799, of which $7,400,000 remain to be incurred.

In addition, eligible CFD infrastructure improvements related to the seawall and Clement Avenue total $30,373,395. Based on information provided by the master developer, $1,723,168 in costs rela ted  to the seawall construction (promenade wharf structural retrofit and seawall handrails) remain, of which the subject’s pro‐rata share is approximately $455,325. Bond proceeds are less than the amount of eligible infrastructure costs spent to day; therefore, the remaining seawall costs will be accounted for in our valuation.

Conclusion of Site Analysis
Overall, the physical characteristics of the site and the availability of utilities result in functional utility suitable for a variety of uses including those permitted by zoning. Uses permitted by zoning include various residential and commercial uses. We are not aware of any other particular restrictions on development.

Proposed Improvements Description  35
City of Alameda CFD No. 22‐1 (Alameda Marina)
Proposed Improvements Description

The following information was reproduced from the Landsea Homes marketing website:

This is the new Alameda Marina—a  vibrant community in a storied locale. Breathing new life into the waterfront, this fresh new home destination will include homes infused with modern flair plus sprawling parks and boat slips—all  among a contemporary maritime aesthetic. Th e townhomes at Island View and Waterside marry elevated living with comforting vibes to create an upgraded vision of home. You’ll thrive in this curated community that’s tailored to fit your lifestyle. The best and newest the Bay Area has to offer—the  reimagined Alameda Marina neighborhoods by Landsea Homes.

Proposed Improvements Description  36
City of Alameda CFD No. 22‐1 (Alameda Marina)
Island View at Alameda Marina
With 98 upgraded townhomes and sweeping views of the marina, a new notion of home awaits at Island View at Alameda Marina. Seven unique floor plans ranging from approximately 1,462 to 2,386 square feet offer you the space to unwind, to work from home or to entertain with ease. Select homes inclu
de rooftop decks—ideal  for those summer days of leisure or even a quick, scenic coffee break.

Proposed Improvements Description  37
City of Alameda CFD No. 22‐1 (Alameda Marina)
Waterside at Alameda Marina
Feel one with the bay at Waterside at Alameda Marina—set  right on the waterfront. These townhomes line the channel connecting Alameda to Oakland, granting full access to all of the lively Bay Area. Four spacious plans with approximately 2,161 to 2,689 square feet include rooftop decks— where you can truly nestle into and pers onalize to match your family’s needs.

Proposed Improvements Description  38
City of Alameda CFD No. 22‐1 (Alameda Marina)
A complete interior finish profile was not provided and is assumed to be of a typical quality for the area, which generally average to good overall quality.

It is noted that the subject property will have a Homeowner’s Association (HOA) that will be responsible for the common areas. The Developer estimates that dues will be a pproximately $404 to $458 per unit per month, to be paid by the future homeowners.

Waterlife Park via Alameda Marina LLC, rendering by Robert Becker

Proposed Improvements Description  39
City of Alameda CFD No. 22‐1 (Alameda Marina)

Alameda Marina future public city park, rendering courtesy of Landsea Homes

Proposed Improvements Description  40
City of Alameda CFD No. 22‐1 (Alameda Marina)

Proposed Improvements Description  41
City of Alameda CFD No. 22‐1 (Alameda Marina)

Proposed Improvements Description  42
City of Alameda CFD No. 22‐1 (Alameda Marina)

Proposed Improvements Description  43
City of Alameda CFD No. 22‐1 (Alameda Marina)

Proposed Improvements Description  44
City of Alameda CFD No. 22‐1 (Alameda Marina)

Real Estate Taxes  45
City of Alameda CFD No. 22‐1 (Alameda Marina)
Real Estate Taxes
The property tax system in California was amended in 1978 by Article XIII to the State Constitution, commonly referred to as Proposition 13. It provides for a limitation on property taxes and for a procedure to establish the current taxable value of real property by reference to a base year value, which is then modifie
d annually to reflect inflation (if any). Annual increases cannot exceed 2% per year.

The base year was set at 1975‐76 or any year thereafter in which the property is substantially improved or changes ownership. When either of these two conditions occurs, the property is to be re‐ appraised at market value, which bec
omes the new base year assessed value. Proposition 13 also limits the maximum tax rate to 1% of the value of the property, exclusive of bonds and direct charges.

Bonded indebtedness approved prior to 1978, and any bonds subsequently approved by a two‐thirds vote of th
e district in which the property is located, can be added to the 1% tax rate.

Real estate taxes and assessments for the current tax year are shown in the following table.

Taxes and Assessments ‐ 2021‐2022
A sse sse d Val ue Taxes and As s es s ments
Tax ID Land Improveme nts Total Tax  Rate
Ad Val orem
Taxes Di rect  As s es s ments Tota l
071‐0291 ‐010 $1,080,654 $0 $1,080,654 1.162600% $12,564 $1,882 $14,445

The existing ad valorem taxes are of nominal consequence in this appraisal, primarily due to the fact these taxes will be adjusted as the infrastructure and property improvements are completed and the property is sold off to individual homeowners.

All of the appraised properties are encumbered by the City of Alameda Com munity Facilities District No. 22‐1 (Alameda Marina). The annual special tax levy on the appraised properties, as of the 2022/23 tax year, are shown in the following table.

Real Estate Taxes  46
City of Alameda CFD No. 22‐1 (Alameda Marina)
In addition, though not listed above, the Special Tax for undeveloped property is $166,589.23 per acre of land area. It is noted there is an annual escalation of 2% for the District.

Highest and Best Use  47
City of Alameda CFD No. 22‐1 (Alameda Marina)
Highest and Best Use
Process
Before a property can be valued, an opinion of highest and best use must be developed for the subject site, both as if vacant, and as improved or proposed. By definition, the highest and best use must be:
 Legally permissible under the zoning regulations and other restrictions that apply to the site.  Physically po
ssible.
 Financially feasible.
 Maximally productive, i.e., capable of producing the highest value from among the permissible, possible, and financially feasible uses.

Highest and Best Use As If Vacant
Legally Permissible
The site is zoned M‐X & MF, Mixed‐Use Planned Development District & Multi‐Family Residential Combining Zone. Permitted uses include various residential and commercial uses. To our knowledge, there are no legal restrictions such as easements or deed restrictions that would effectively limit the use of the pr operty.  The subject property has an approved final map for 182 single‐family homes on individual lots and associated improvements. The subject's present entitlements are the result of significant planning and review, and any rezone or land use different than currently approved is unlikely. Given prevailing land use patterns in the area, only single‐family reside ntial is given further consideration in determining highest and best use of the site, as though vacant.

Physically Possible
The physical characteristics of the site do not appear to impose any unusual restrictions on development. Overall, the physical characteristics of the site and the availability of utili ties  result in functional utility suitable for a variety of uses including single‐family residential.

Financially Feasible
Based on our analysis of the market, there is currently adequate demand for a single‐family residential in the subject’s area. As shown later in this report by the land residual analysis where home construction costs are de
ducted from an estimated current home price, the subject’s land value is positive, which demonstrates that single‐family residential development is financially feasible. Further, buyers are actively buying homes and builders are buying land, reflecting ample demand. Therefore, single‐family residential is considered to be financially feasible.

Maxim
ally Productive
There does not appear to be any reasonably probable use of the site that would generate a higher residual land value than single‐family residential. Accordingly, it is our opinion that single‐family residential, developed to the normal market density level permitted by zoning, is the maximally productive use of th e  property.

Highest and Best Use  48
City of Alameda CFD No. 22‐1 (Alameda Marina)
Conclusion
Development of the site for single‐family residential is the only use that meets the four tests of highest and best use. Therefore, it is concluded to be the highest and best use of the property as if vacant.

As Improved (Proposed)
As of the effective appraisal date, backbone infrastructure is complete and on‐site improvements have commenced, which are necessary for development.  Therefore, a continuation of this use is concluded to be financially feasible. The existing improvements have been constructed according to the subject entitlements and are consistent with the highest and best use of the subje ct as if vacant.

Most Probable Buyer
Taking into account the size and characteristics of the property the probable buyer of the subject property is a builder familiar with the region.

Valuation Methodology  49
City of Alameda CFD No. 22‐1 (Alameda Marina)
Valuation
Valuation Methodology
Appraisers usually consider three approaches to estimating the market value of real property. These are the cost approach, sales comparison approach and the income capitalization approach.

The cost approach assumes that the informed purchaser would pay no more than the cost of producing a substitute property with the same utility. This approach is parti cularly applicable when the improvements being appraised are relatively new and represent the highest and best use of the land or when the property has unique or specialized improvements for which there is little or no sales data from comparable properties.

The sales comparison approach assumes that an informed purchaser would pay no more for a property tha
n the cost of acquiring another existing property with the same utility. This approach is especially appropriate when an active market provides sufficient reliable data. The sales comparison approach is less reliable in an inactive market or when estimating the value of properties fo r which no directly comparable sales data is available. The sales comparison approach is often relied upon for owner‐user properties.

The income capitalization approach reflects the market’s perception of a relationship between a property’s potential income and its market value. This approach converts the anticipated net income from ownership of a prop erty into a value indication through capitalization. The primary methods are direct capitalization and discounted cash flow analysis, with one or both methods applied, as appropriate. This approach is widely used in appraising income‐producing properties.

Additional analyses often undertaken in the valuation of subdivisions include extraction, land re sidual analysis, and the subdivision development method.

Reconciliation of the various indications into a conclusion of value is based on an evaluation of the quantity and quality of available data in each approach and the applicability of each approach to the property type.

The methodology employed in this assignment is summarized as follows:

Approaches to Value
A pproach A pplicabilit y to Subject Use  in As s i gnment Cost Approach Not A pplicable N ot U t ilize d
Sales  Comparison  A pproach A pplicable U t ilize d
Income Capit alizat ion Approach Not  A pplicable N ot U t ilize d Residential Land Valuation  50
City of Alameda CFD No. 22‐1 (Alameda Marina)
Residential Land Valuation
Land Residual Analysis
The land residual analysis is used in estimating land value when subdivision and development are the highest and best use of the land being appraised. All direct and indirect costs are deducted from an estimate of the anticipated gross sales price of the improved product; the resultant net sales proceeds are the n  discounted to present value at an anticipated rate over the development and absorption period to indicate the value of the land. The land residual analysis is conducted on a semiannual (6‐ month) basis. As a discounted cash flow analysis, the land residual analysis consists of four primary components summarized as follows:

Revenue – th
e gross income is based on the individual component values.

Absorption Analysis – the time frame required for sell off. Of primary importance in this analysis is the allocation of the revenue over the absorption period – including the estimation of an appreciation factor (if any).

Expenses – the e xpenses  associated with the sell‐off are calculated in this section – including site development costs, administration, marketing and commission costs, as well as taxes and special taxes.

Discount Rate – an appropriate discount rate is derived employing a variety of data.

Discussions of these four concepts follows below, with th e discounted cash flow analysis offered at the end of this section.

Revenue
The projected sales price for the average unit within the project will vary, as the ultimate sales price is affected by unit size, location within the project, site influences, construction costs, anticipated premiums achievable at the point of retail sale, as well as external influences such as adjacent land uses.

Information in th is  analysis will be based on the Developer’s competitive market analysis, for which portions were provided for our review. Considering the information provided, as well as our analysis in the Residential Market Analysis section, the subject’s proposed product lines will have a typical (representative) home size of approximately 2,050 square feet, an d could achieve a price of $1,275,000. These estimates will be utilized in the following analyses.

It should be noted, the Developer’s proposed pricing presented in the competitive market analysis is structured in such a way that all lots within the projects are assigned lot “premiums”, which range from $10,420 to $15,500 per uni t. While this appraisal will consider lot premiums for features such as water views, we do not assign basic lot premiums on a lot by lot basis. Therefore, it is our opinion the base pricing presented in the competitive market analysis is somewhat understated, and we will utilize a lot pre
mium amount of $12,750 per unit, or 1.0% of base price.

Residential Land Valuation  51
City of Alameda CFD No. 22‐1 (Alameda Marina)
As will be discussed in the expense section that follows, given the proposed product mix, three model homes for each product segment for a total of six model homes. Upgrade amenity costs are projected at $150,000 per model home. Typically, builders capture approximately 50% of the cost through the sale of the mod el  and the furniture. Although furnishings are a real cost of the model improvements, they are personal property, not real estate. Thus, furnishings are not included in the opinion of value for the model home premiums. Given this consideration, the recapture cost for model homes are typically reduced to 25% to 40% of mod el improvement costs. Considering the anticipated foot traffic for the subject property, a recapture amount of 30% is considered reasonable. Using this percentage, a recapture of $45,000 per model (30% x $150,000) is concluded, which will be considered in the estimate of aggregate retail value.

Closing Projections
The typi
cal time required for the construction of units has been approximately three to six months from start to closing. It is assumed that initial closings will occur within three to six months of the date of sale. The premise is that the builder constructs efficiently as homes are sold. These assumptions are reflected in the projected construction schedul
e shown in the land residual models at the end of this
section. Since the land residual analysis is conducted on a semi‐annual basis, closings are reflected in the following period, as most construction will be substantially completed prior to initiation of sales.

Changes in Ma
rket Conditions (Price Increases or Decreases)
The subject’s market area has experienced rapid market appreciation in home prices for the past few years; however, since early 2022 the Federal Reserve Bank began raising the benchmark federal‐funds rate (from near zero in March 2022) in an effort to m anage  rising inflation. The fed‐funds rate is nearing 4%, which has resulted in a substantial rise in mortgage interest rates, which now exceed

5.5%. Market expectations are for additional rate increases. The rise in mortgage interest rates is anticipated to impact the affordability of homes for a certain segment of the h omebuyer  market, which may impact pricing in the near term. Consequently, under current market conditions, forecasting home appreciation during the absorption period is speculative, and several homebuilders surveyed indicate they typically do not trend/forecast home appreciation during the sell‐off period.

Therefore, for purposes of this analysis, the home pri ce  revenue will be held constant during the sell‐ off period.

Absorption
Typically, multiple product lines would be marketed in a subdivision to create characteristics appealing to as many potential purchasers as possible. Offering home products within a subdivision to different market segments is done with the aim of increasing absorption and reducing the overall development holding period for a project. Based on the ty pical  marketing and absorption rate data presented in the Residential Market Analysis section, as a master planned community with limited competition in the area, we estimate an absorption rate of approximately 2.5 units per month for each of the subject projects (Island View and Waterside), which is reflected in the la nd  residual analyses as 30 units per period.

The first two periods are devoted to site development and in‐tract work. Based on discussions with market participates, we do not believe the sale and/or delivery of homes will be impacted by Residential Land Valuation  52
City of Alameda CFD No. 22‐1 (Alameda Marina)
significant labor or material disruptions and home sales begin in Period 2 and sell out in Period 7, with Period 8 needed to complete construction and close escrow.

Expense Projections
As part of an ongoing effort to assemble market information, the table below reflects survey responses and developer budget information for numerous single‐family residential subdivisions throughout the Northern California region.

Information from the survey above will contribute to the estimate of development expenses classified as follows.

General and Administrative
These e xpenses  consist of management fees, liability and fire insurance, inspection fees, appraisal fees, legal and accounting fees and copying or publication costs. This expense category typically ranges from 2.5% to 4.0%, depending on length of project and if all of the categories are included in a builder’s budget. We have used 3.0% for general and administrativ e expenses.

Marketing and Sale
These expenses typically consist of advertising and promotion, closing costs, sales operations, and sales commissions. The expenses are expressed as a percentage of the gross sales revenue. The range of marketing and sales expenses typically found in projects within the subject’s market area is 5.0% to

6.5%. A fi
gure of 5.0%, or 2.5% for marketing and 2.5% for sales, is estimated in the marketing and sales expense category.

Property Taxes (Ad Valorem and Special Taxes)
The subject is located within an area with an effective tax rate of 1.162600%. This amount is a pplied  to the estimated market values and divided by the total number of units to yield an estimate of ad valorem taxes/unit/year. The tax amounts are applied to unclosed inventory over the sell‐off period.

Property taxes are increased by 2% per year.

Attached Residential Budgets
Developer
Classification
Budget
Date
No. of
Unit Quality
Avg. Unit Size
(SF)
G & A % of
Revenue
Mkt & Sales % of
Revenue
Direct
Costs/SF
Indirect % of
Direct Costs
Site
Costs/Unit
Permits  &
Fees/Unit
Cost per
Model
Profit % of
Revenue IRR
Projected
Sales/Mo.

Regional 2021 101 Good 1,586 3.45% 1.20% $171.32 12% $107,339 $42,985   $225,000 8.9% 12.5% 4.8 Local 2021 58 Good 1,540 1.00% 4.90% $294.96 13% N/Av $37,600   N/Av 9.6% N/Av N/Av Local 2021 18 Good 1,841 N/Av N/Av $225.47 21% $33,860 $31,393   N/Av N/Av N/Av 1.5 Regional 2021 15 Good 1,678 4.80% 1.34% $223.00 17% $108,667 $40,000   N/Av 10.9% N/Av 4.0 Regional 2020 29 Good 1,364 N/Av N/Av $210.00   10% $90,074 $49,244 N/Av N/Av N/Av N/Av Regional 2020 102 Average 1,560 2.80% 6.00% $136.00   18% $105,207   $44,282   N/Av 24.5% N/Av 3.0 R
egional 2020 237 Average 1,818 2.49% 0.54% $135.00   6% $78,137   $27,818   N/Av 12.5% 22.2% 5.3 Regional 2020 134 Good 1,707 N/Av N/Av $180.00   16% $187,280   $27,365   $150,000   N/Av N/Av 4.0 Regional 2020 68 Good 2,007 N/Av N/Av $205.00   16% $187,280   $31,645 $150,000   N/Av N/Av 4.0 Regional 2020 64 Good 2,111 N/Av N/Av $205.00 10% $80,058 $31,370 N/Av N/Av N/Av N/Av Regional 2020 60 Good 2,019 N/Av N/Av $188.00 10% $80,058 $30,150 N/Av N/Av N/Av N/Av Regional 2019 22 Average 1,939 3.00% 6.00% $120.00 16% $80,099 $103,149 N/Av N/Av N/Av 4.0 Regional 2019 74 Average 1,519 N/Av 5.8% $143.56 8% $115,000 $37,270 N/Av N/Av N/Av 3.0 Regional 2019 52 Average 1,621 1.80% 1.57% $150.63 8% $68,123 $60,000 $150,000 N/Av N/Av N/Av Local 2019 21 Average/Good 1,593 N/Av N/Av $135.00 9% $47,033 $24,811 N/Av N/Av N/Av N/Av Minimum 15 Average 1,364 1.00% 0.54% $120.00 6% $33,860 $24,811 $150,000   8.9% 12.5% 1.5 Maximum 237 Good 2,111 4.80% 6.00% $294.96 21% $187,280 $103,149 $225,000   24.5% 22.2% 5.3 Average 70 Good 1,727 2.76% 3.42% $181.53 13% $97,730 $41,272 $168,750   13.3% 17.4% 3.7 Residential Land Valuation  53
City of Alameda CFD No. 22‐1 (Alameda Marina)
The subject is within the boundary of the City of Alameda Community Facilities District No. 22‐1 (Alameda Marina). According to the Rate and Method of Apportionment, the annual special taxes applicable to the subject’s facilities are as presented in the table below:

Based on the estimated typical home size (2,050 square feet), Sp ecial Taxes associated with the District, for the most recently available tax year amount to $6,992 per unit, which is utilized in the analysis, in addition to $2,168 of additional direct charges per unit. The total tax expense is gradually reduced over the absorption period, as the land com ponents  are sold off.

HOA
A homeowners association is planned for the subject. According to the Developer the estimated HOA fee applicable to the subject property will be approximately $404 to $458 per unit per month. This analysis utilizes an HOA fee of $430 per unit per month, which is similar to other new home projects in the area.

Remai
ning Site Development Costs
The subject’s remaining site development costs of $7,400,000 have been included in the analysis over the initial period.

Permits and Fees
Permits and fees represent all fees payable upon obtaining building permit for the construction of the proposed uni ts  and include school fees and any impact fees As noted, permits and fees due at building permit are projected to average $31,335 per unit. The value contribution of permits and fees paid will be considered at the end of the valuation section.

Direct and Indirect Construction Costs
Construction costs are ge nerally  classified into direct and indirect costs. Direct costs reflect the cost of labor and materials to build the project. Direct costs generally are lower per square foot for larger floor plans, all else being equal, due to economies of scale. Indirect items are the carrying costs and fees incurred in develop ing  the project and during the construction cycle. Construction quality and

Residential Land Valuation  54
City of Alameda CFD No. 22‐1 (Alameda Marina)
market‐segment are significant factors that affect direct construction costs. In addition, national/public builders, which are able to achieve lower costs due to the larger scale in which orders are placed, routinely achieve lower direct costs.

The Developer has noted total vertical home construction costs applicable to the subject are anticipated to be $81,000,000 in both direc t and indirect costs. Recent conversations with homebuilders confirm construction costs have increased over the last 12 months. Based on the cost comparables and the Developer’s provided costs, and considering the product line proposed for development, a direct cost estimate of $215 per square foot is applied to th e 2,050 square foot home.

Regarding indirect costs, the following list itemizes some of the typical components that generally comprise indirect costs:
• Architectural and engineering fees for plans, plan checks, surveys and environmental studies • Appraisal, consulting, accounting and legal fees
• The cost of carrying the inve stment  in land and contract payments during construction. If the property is financed, the points, fees or service charges and interest on construction loans are considered
• All‐risk insurance
• The cost of carrying the investment in the property after construction is complete, but before sell‐out is achieved
• Developer fee earned by the project co ordinator
• Interest reserve
Conversations with homebuilders indicate the indirect costs generally range anywhere from 10% to 20% of the direct costs (excluding marketing, sales, general and administrative expenses, taxes, which are accounted for separately). An estimate of 15% is considered reasonable for the subject.

Model Co
mplex
Considering the proposed product mix, three model homes for each product segment for a total of six model homes. Model upgrade expenses can vary widely depending upon construction quality, targeted market and anticipated length of time on the market. These upgrades, exterior and interior, including furniture, can range from $20,000 per mod el to over $250,000 per model for executive homes.

Based on the quality of the subject’s proposed improvements and the targeted buyer segment, a model upgrade cost of $150,000 is considered reasonable for the subject’s lots. Of this amount approximately 30% will be recaptured with the sale of the mode ls reflecting a model recapture of $45,000. Model costs will be applied in the second period.

Residential Land Valuation  55
City of Alameda CFD No. 22‐1 (Alameda Marina)
Summary
The following chart summarizes the revenue and expenses discussed on the preceding pages.

Revenue & Expense Summary
Revenue
Floor Plans Units Avg. SF/Unit $/Unit Extension
Typical Market Rate Unit 157 2,050 $1,275,000   $200,175,000 Aggregate Retail Proceeds $200,175,000
Number of Units 157
Weighted  Average Home Size (SF) 2,050
Average Revenue  per Unit $1,275,000
Home Revenue  (Before  Appreciation): $200,175,000
Home Revenue  (After Appreciation): $200,175,000
Home Revenue  (Per Unit ‐ from cash flow): $1,275,000
Lot Premiums $2,001,750  $12,750 (per unit)
Model Recapture (@ 30% of  cost) $270,000
Lot Premium and Model Recapture Revenue: $2,271,750   $14,470 (per unit) Total Revenue (After Appreciation): $202,446,750  $1,289,470 (per unit) Expenses
Non‐Appreciated Expenses Total Over Sell ‐Off Period
General and Administrative 3.0% of  total revenue $6,073,403 Marketing and Sales 5.0% of  total revenue $10,122,338
Ad Valorem Real Estate Taxes  $4,374 /unit/year $1,439,349 (from  cash flow) Direct Real Estate Tax Charges $2,168 /unit/year $713,391 (from  cash flow) CFD No. 22‐1 (Alameda  Marina) $6,992 /unit/year $2,300,753 (from  cash flow) HOA $430 /unit/month $1,674,420 (from  cash flow)
Model Costs 6 models $900,000 $150,000 (per  model)
Site Development  Costs 7,400,000.00$      $47,134 (per  unit) Permits and Fees $4,919,595 $31,335 (per  unit)
Subtotal: $35,543,248
Appreciated Expenses
Direct Constructon Costs (Before  Appeciation) $69,197,750 $440,750 (per  unit) $215 per  SF Direct Constructon Costs (After Appreciation) $69,197,750 $440,750 (per  unit) (from  cash flow) Indirect Constructon Costs (Total) 15% of  Direct Costs $10,379,663 $66,113 (per  unit) (from  cash flow) Subtotal: $79,577,413
Total Expenses: $115,120,661

Developer’s Incentive and Discount Rate
Developer’s Incentive
When employing a land residual analysis, most market participants (homebuilders) analyze projects based on an expected increment of profit and a cost‐of‐funds discount rate. The developer’s profit is expressed as a percent of sales revenue and is included as an expense deduction. The cost‐of‐funds rate is use d  to discount each year of net income to present value. This methodology differs from the subdivision development method, in which most market participants (typically land developers) employ a yield rate or internal rate of return (IRR) inclusive of developer’s profit, and do not deduct profit as a line item ex pense.

According to industry sources, developer’s incentive (profit) historically has ranged anywhere from 5% to 25%, with a predominate range of 5% to 15%. This is consistent with our survey presented earlier in this section, which ranged from 8.9% to 24.5%. Profit is based on the perceived risk associated with the develop
ment. Low profit expectations are typical for projects focused on more affordable product Residential Land Valuation  56
City of Alameda CFD No. 22‐1 (Alameda Marina)
with faster sales rates. Higher profit expectations are common in projects with more risk such as developments where sales rates are slower, project size produces an extended holding period or the product type is considered weak or untested.

Elements affecting profit include location, supply/demand, anticipated risk, construction time frame and project type. An other  element considered in profit expectations is for the development stage of a project. First phases typically generate a lower profit margin due to cautious or conservative pricing, as new subdivisions in competitive areas must become established to generate a fair market share.

Additionally, up front development costs on first ph ases  can produce lower profit margins.

Based on the preceding discussion and developer surveys, we have concluded an estimate of 9% for developer’s incentive.

Discount Rate (Cost of Funds)
A discount rate will be employed to convert future cash flows to present value, thus reflecting the time value of money. An a ppropriate  discount rate should reflect the cost of funds under current market conditions. For a cost of funds index, we will use the 11th District Cost of Funds Index (COFI), which is a standard financial index widely used in U.S. capital markets as a benchmark for adjustable‐ rate loans. Lenders use such an i ndex to adjust interest rates as economic conditions change. Lenders add a certain number of percentage points, or margin, to the index to establish interest rates. The 11th District COFI was 0.22% as of September 2022. A typical margin used by banks is about 250 to 350 basis points, or 2.5% to 3.5% not in cluding additional points or fees. We will employ a discount rate (cost of funds) of 5.0% in the land residual analysis.

Conclusion
The land residual analysis is presented as follows:

Residential Land Valuation  57
City of Alameda CFD No. 22‐1 (Alameda Marina)
Land Residual Analysis
Semi‐Annual: 0 1 2 3 4 5678 T otal
REVENUE AND SALES
Sales ‐ Attached 0 0 30 30 30 30 30 7 0 157
Unsold Inventory 157 157 127 97 67 37 7 0 0
Close of Escrow (COE) 0 0 0 30 30 30 30 30 7 157
Pending/Under  Construction 0 0 30 90 90 90 90 67 14
Under Construction by % 0.0% 6.4% 19.1% 19.1% 19.1% 19.1% 14.2% 3.0% 100.0% Unclosed Inventory 157 157 127 97 67 37 7 0
Contracted Base Revenue  (Before  Appreciation) $0   $38,250,000  $38,250,000  $38,250,000  $38,250,000  $38,250,000  $8,925,000  $0  $200,175,000 Semi‐Annual Appreciation  Factor 1.0000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 Appreciated Contracted Home Revenue $0  $38,250,000  $38,250,000  $38,250,000  $38,250,000  $38,250,000  $8,925,000  $0  $200,175,000 Appreciated Closing Home Revenue $0  $0  $38,250,000  $38,250,000  $38,250,000  $38,250,000  $38,250,000  $8,925,000  $200,175,000 Lot Premium and Model Recapture Revenue $0  $0  $434,092  $434,092  $434,092  $434,092  $434,092  $101,288  $2,271,750 Total Revenue $0  $0  $38,684,092  $38,684,092  $38,684,092  $38,684,092  $38,684,092  $9,026,288  $202,446,750 EXPENSES AND CASH FLOWS
Fixed  or Percentage Expenses
General and Administrative 3% ($759,175) ($759,175) ($759,175) ($759,175) ($759,175) ($759,175) ($759,175) ($759,175) ($6,073,403) Marketing and Sales 5% $0   $0  ($1,934,205) ($1,934,205) ($1,934,205) ($1,934,205) ($1,934,205) ($451,314) ($10,122,338) Ad Valorem Real Estate Taxes  $4,374  ($343,374) ($343,374) ($283,316) ($216,391) ($152,455) ($84,192) ($16,247) $0   ($1,439,349) Direct Real Estate Tax Charges $2,168   ($170,188) ($170,188) ($140,421) ($107,251) ($75,562) ($41,728) ($8,052) $0   ($713,391) CFD No. 22‐1 (Alameda  Marina)v $6,992  ($548,872) ($548,872) ($452,872) ($345,894) ($243,695) ($134,578) ($25,970) $0  ($2,300,753) HOA per Month $430  ($405,060) ($405,060) ($327,660) ($250,260) ($172,860) ($95,460) ($18,060) $0  ($1,674,420) Model Co sts $0  ($900,000) $0  $0  $0  $0  $0  $0  ($900,000) Site Development  Costs ($7,400,000) $0  $0  $0  $0  $0  $0  $0  ($7,400,000) Building  Permits $0  ($940,050) ($940,050) ($940,050) ($940,050) ($940,050) ($219,345) $0  ($4,919,595) Subtotal: ($9,626,669) ($4,066,719) ($4,837,699) ($4,553,226) ($4,278,002) ($3,989,388) ($2,981,054) ($1,210,490) ($35,543,248) Appreciated Expenses
Direct Construction Costs $0  ($4,407,500) ($13,222,500) ($13,222,500) ($13,222,500) ($13,222,500) ($9,843,417) ($2,056,833) ($69,197,750) Semi‐Annual Appreciation  Factor 1.0000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 Appreciated Direct Costs $0  ($4,407,500) ($13,222,500) ($13,222,500) ($13,222,500) ($13,222,500) ($9,843,417) ($2,056,833) ($69,197,750) Indirect Construction Costs 15% $0  ($661,125) ($1,983,375) ($1,983,375) ($1,983,375) ($1,983,375) ($1,476,513) ($308,525) ($10,379,663) Subtotal: $0  ($5,068,625) ($15,205,875) ($15,205,875) ($15,205,875) ($15,205,875) ($11,319,929) ($2,365,358) ($79,577,413) Total Expenses ($9,626,669) ($9,135,344) ($20,043,574) ($19,759,101) ($19,483,877) ($19,195,263) ($14,300,983) ($3,575,848) ($115,120,661) NET INCOME BEFORE DEVELOPER'S INCENTIVE ($9,626,669) ($9,135,344) $18,640,518   $18,924,991  $19,200,215  $19,488,829  $24,383,109  $5,450,440  $87,326,089 Total Project Incentive 9.00% $0  $0  ($3,481,568) ($3,481,568) ($3,481,568) ($3,481,568) ($3,481,568) ($812,366) ($18,220,208) NET INCOME (BEFORE DISCOUNTING) ($9,626,669) ($9,135,344) $15,158,950   $15,443,423  $15,718,647  $16,007,261  $20,901,541  $4,638,074  $69,105,882 Present Value Factors
Discount Rate (Cost of Borrowed Funds) 5.00% 0.97561 0.95181 0.92860 0.90595 0.88385 0.86230 0.84127 0.82075 Discounted Cash Flow ($9,391,872) ($8,695,152) $14,076,592   $13,990,979  $13,892,993  $13,803,011  $17,583,740  $3,806,684  $59,066,973 Net Present Value $59,070,000
Net Present Va lue  Per Unit (Rounded): $376,000
NET INCOME BEFORE DEVELOPER'S INCENTIVE ($9,626,669) ($9,135,344) $18,640,518 $18,924,991 $19,200,215 $19,488,829 $24,383,109 $5,450,440 $87,326,089 Present Value Factor
Internal Rate of Return (IRR) 13.525% 0.93666                  0.87733                  0.82176                  0.76971                  0.72095                  0.67529                  0.63251                  0.59245 Discounted Cash Flow ($9,016,901) ($8,014,703) $15,317,990 $14,566,685 $13,842,433 $13,160,529 $15,422,612 $3,229,102 $58,507,746 Net Present Value $58,507,746

Residential Land Valuation  58
City of Alameda CFD No. 22‐1 (Alameda Marina)
Sales Comparison Approach
In this section of the report, we will utilize the sales comparison approach as further support for the estimate the market value of the subject lots/units. This value estimate assumes the subject property would sell on a bulk, or wholesale, basis. That is, it would transfer in one transaction to a single bu yer.

This approach develops an indication of value by researching, verifying, and analyzing sales of similar properties. Our sales research focused on transactions within the following parameters:
 Location: city of Alameda
 Number of Lots/Units: 50 to 250 lots/units
 Transaction Date: within the last 24 to 48 months
The sale are analyzed on a price per lot/
unit basis. The most relevant sales are summarized in the following table:

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City of Alameda CFD No. 22‐1 (Alameda Marina)
Summary of Comparable Land Sales
No. Name/Addres s
Sale
Date;
Status
Sale  Price;
PV of Spec.

Tax/Lot Number  of Lots $/Lot
1C i t y  of Al a meda CFD No. 2013 ‐01 (Alameda  La ndi ng) Apr ‐22 $22,065,000 106 $208,160 Mosley  Ave.  In‐Contract $0
Al a meda
Tax ID: 74‐1380 ‐ Lots 1 ‐ 18, 74‐1379 ‐ Lots 1 ‐ 18, 74‐1373 ‐10 and 74‐1373 ‐13 Grantor: The Successor  Agency to the former Community Improvement Commi s s i on of th e  City of Al a meda
Grantee: Pulte Home Company, LLC
Document ID:
2C i t y  of Al a meda CFD No. 2013 ‐01 (Alameda  La ndi ng) Jun ‐21 $24,075,000 95 $253,421 Mosley  Ave.  Closed $0
Al a meda
Tax ID: 74‐1380 ‐ Lots 1 ‐ 18, 74‐1379 ‐ Lots 1 ‐ 18, 74‐1373 ‐10 and 74‐1373 ‐13 Grantor: The Successor  Agency to the former Community Improvement C ommi s s i on of the City of Al a meda Grantee: Pulte Home Company, LLC
Document ID:
3C i t y  of Al a meda CFD No. 2022 ‐1 (Alameda  Marina) May ‐21 $51,900,000 182 $285,165 Clement Ave.  Closed $0
Al a meda
Tax ID:

Grantor: Al a meda Marina,  LLC
Grantee: Arroyo Cap II ‐5, LLC
Document ID: 2021173713
Comments: This transaction reflects Phase 3 of Alameda Landing, which includes 106 lots. P ermits  and fees are estimated at $15,590  per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for infrastructure and in‐tracts. Remaining site development costs are estimated at $104,811  per lot.  The proposed homes will include a mix of condominiums and townhomes. Eight of th e  homes will be below market rate. The average home size for Phase 3 is 1,406  square feet.

This is the last of three takedowns to Pulte; all three takedowns were negotiated together in 2020  and included in one purchase agreement. The first and second takedowns closed in August 20 20  and June 2021,  respectively.

Comments: This transaction reflects Phase 2 of Alameda Landing, which includes 95 lots. Permits and fees are estimated at $15,590  per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for infrastructure and in‐tracts. Remaining site development costs at th e  time of sale are estimated at $109,895  per lot.  The proposed homes will include 78 attached homes (mix of townhomes and flats) and 17 detached homes on small lots. Seven of the homes will be below market rate. The average home size for Phase 2 is 1,404  square feet.

Th
is is the second of three takedowns to Pulte; all three takedowns were negotiated together and included in one purchase agreement. The first takedown closed in August 2020  and the third takedown is scheduled for April 2022.

Comments: Homebuilder, Landsea Homes, acquired this 10.96‐ acre property in May 2021  based on th e  December 2020  contract price of $51,900,000,  or approximately $285,165  per townhome unit. The proposed project consists of a total of 182 single family residences, including 25 BMR units. Two product lines will be constructed, Island View and Waterside. Island View will comprise a total of 98 townhomes with marina vi ews,  with seven floor plans ranging from 1,462  to 2,386  square feet, and select homes will include rooftop decks. Waterside is located on the waterfront; these 84 townhomes will include four floor plans ranging from 2,161  to 2,689  square feet with rooftop decks. Vertical home construction commenced in August 2022.

Upon co mpletion  of the Alameda Marina redevelopment project, it will include 760 housing  units, 150,000  square feet of commercial space, and 104 BMR units, as well as 3.45 acres of parks, 529 boat slips, a 60‐boat dry storage area, public shoreline access and an extension of the Bay Trail and bi ke  path network.

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City of Alameda CFD No. 22‐1 (Alameda Marina)
Summary of Comparable Land Sales
No. Na me/Addres s
Sale
Date;
Status
Sale  Price;
PV of Spec.

Tax/Lot Number  of Lots $/Lot
4C i t y  of Al a meda CFD No. 2013 ‐01 (Alameda  Landing) Aug ‐20 $35,110,000 156 $225,064 Mosley  Ave.  Closed $0
Al a meda
Tax ID: 74‐1380 ‐ Lots 1 ‐ 18, 74‐1379 ‐ Lots 1 ‐ 18, 74‐1373 ‐10 and 74‐1373 ‐13 Grantor: The Succe ssor Agency to the former Community Improvement Commission  of th e  City of Al a meda Gra ntee: Pulte Home Company, LLC
5A l a m e d a  Point Block  7J u l ‐19 $15,000,000 60 $250,000 173 W. Seaplane  Pagoon   Closed $0
Al a meda
Tax ID: 74‐1376 ‐4
Grantor: Al a meda Point Partners,  LLC
Gra ntee: TH‐HW Al a meda Pointe, LLC (Trumark)
Document ID: 135321
6A l a m e d a  Point Block  6M a r ‐18 $19,400,000 64 $303,125 173 W. Seaplane  Lagoon  Closed $0
Al a meda
Tax ID: 74‐1376 ‐3
Grantor: Al a meda  Point Partners,  LLC
Gra ntee: TH‐HW Al a meda Pointe, LLC (Trumark)
Comments: This transaction reflects Phase 1 of Alameda Landing, which includes 156 lots. Permits and fees are estimated at $15,590  per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for infrastructure and in‐tr acts.  Remaining site development costs at the time of sale are estimated at $80,032  per lot.  The majority of the proposed homes will reflect attached townhomes and flats (143  homes). The project will also include 13 detached homes on small lots. Twenty‐four of the homes will be below market ra te.  The average home size for Phase 1 is 1,399  square feet.

This is the first of three takedowns to Pulte; all three takedowns were negotiated together and included in one purchase agreement. The second takedown closed in June 2021  and the third takedown is scheduled for April 2022.

Comments: This pr operty  sold with infrastructure obligations  to be completed by the seller to bring the development to paper lot status. Block 7 of Alameda Point is proposed for 60 townhomes ranging from 1,448  to 2,442  square feet. Permits and fees are estimated at $30,150  per unit.

Comments: This property sold with infrastructure obl igations  to be completed by the seller to bring the development to paper lot status. Block 6 of Alameda Point is proposed for 64 townhomes ranging from 1.767  to 3,332  square feet. Permits and fees are estimated at $31,370  per unit.

Residential Land Valuation  61
City of Alameda CFD No. 22‐1 (Alameda Marina)
Comparable Land Sales Map

Residential Land Valuation  62
City of Alameda CFD No. 22‐1 (Alameda Marina)
Adjustment Factors
The sales are compared to the subject and adjusted to account for material differences that affect value. Adjustments are considered for the following factors, in the sequence shown below.

Adjustment Factors
Effective Sale Price  Accounts for atypical economics of a transaction, such as demolition cost, expenditures by the buyer at time of purchase, or other similar factors. Usually applied directly to sale price on a lump sum basis.

Real Property Rights  Fee simple, leased fee, leasehold, partial interest, etc.

Financing Terms  Seller financing, or assumption of existing financing, at non‐market terms.

Conditions of Sale  Extraordinary motivation of buyer or seller, assemblage, forced sale, related parties transaction.

Market Conditions  Changes in the economic environment over time that affect the appreciation and de
preciation of real estate.

Location  Market or submarket area influences on sale price; surrounding land use influences.

Community Appeal  Adjustments are applied where necessary to account for differences in desirability of communities.

Number of Lots/Units  Generally, there is an inverse relationship between the number of lots/units and price per lo t/unit  such that larger projects (with a greater number of lots/units) achieve a lower price per lot/unit and smaller projects (with fewer lots/units) achieve a higher price per lot/unit.

Topography/Site Utility  Differences in contour, drainage, soil conditions, as well as project design, can affect the utility and, therefore, the market value of the properties.

Lot Premiums/ Discounts  Cul‐de‐sac, si
ngle or double‐loaded streets, open space, elevated views, etc.

When considering market conditions, we note that home values have been increasing significantly during the past 18 months; though, some price appreciation has been offset by rising construction costs (materials) and labor shortages during the pandemic. The construction costs have since moderated; though, rising interest rates are beginning to show signs of impa cting pricing and absorption. The comparables transferred between March 2018 and April 2022, and we apply market conditions adjustments those comparables that transferred between 2018 and 2020.

The market data set consists of various sales that are considered reasonable indicators of market value for the fee simple interest in th e  subject property, which reflects an unadjusted range of Residential Land Valuation  63
City of Alameda CFD No. 22‐1 (Alameda Marina)
$208,160 to $303,125 per unit/lot. It is noted, Comparable 3 represents the recent transaction of the subject property.

Based upon the analysis presented herein, a ranking of the subject and the comparable sales is provided in the following table.

Bulk Lot Ranking Summary
Property Sale Date $/Lot  (Unadjusted)
Comparable  6M a r ‐18 $303,125
Comparable  3M a y ‐21 $285,165
Subject Property $285,165
Comparable  5J u l ‐19 $250,000
Comparable  2J u n ‐21 $253,421
Comparable  4A u g ‐20 $225,064
Comparable  1A p r ‐22 $208,160

According to the horizontal cost budget provided by the merchant builder, total site development costs are estimated at $19,052,799, of which $7,400,000 remain to be incurred; therefore, approximately $11,662,798 (or $74,222 per unit) has been spent to date. Considering the costs incurred to date, a value of $360,000 per unit (rounded) is c oncluded via the sales comparison approach.

Residential Land Valuation  64
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Land Value Conclusion
The unit value conclusions indicated by the land residual analysis and sales comparison approach to value are presented below.

Reconciliation
La nd Residual  Analysis $376,000 per  unit
Sales  Comparison  Approach $360,000 per  unit
% Difference 4.4%
Average $368,000
Concluded  Uni t Value $375,000 per  unit

The residential market conditions, in this region and beyond, were experiencing rapid value changes for new homes and near ready for construction lots to support new home expansion over the past 12 to 18 months. In the subject’s submarket the last completed sale contracts were negotiated months prior. We are aware of mo re recent lot sales elsewhere in the region that illustrate a step‐in price for lots in the first quarter of 2022. However, rising interest rates and slowing demand has put downward pressure on home and lot prices over the last few months. Market participants have noted they believe the top of the mar ket occurred in the first quarter of 2022 and land values have since declined due to the rising interest rates and other economic conditions.

When ample sales are available, the direct sales comparison approach is generally concluded to be the most reliable indication of land value. However, the scarcity of sales that reflect current marke t conditions for the subject’s location result in a required upward adjustment for expanding market conditions, which can be difficult to quantify. Given the information cited above, the direct sales comparison approach as an indicator of value is weaker than the land residential analysis th at considers the current prices achieved for new home sales.

It should be noted, Landsea Homes has already paid permits and fees for Building 2 (seven units in Island View) and Building 11 (four units in Waterside, respectively) of $176,943.96 and $149,567.69, respectively. In addition, eligible CFD infrastructure improvements related to the seawall and Clement Avenue total $30,373,395. Based on info
rmation provided by the master developer, $1,723,168 in costs related to the seawall construction (promenade wharf structural retrofit and seawall handrails) remain, of which the subject’s pro‐rata share is approximately $455,325. Bond proceeds are less than the amount of eligible in frastructure  costs spent to day. Therefore, the permits and fees paid to date, as well as remaining seawall costs are accounted for in our final opinion of value, calculated as follows:

Residential Land Valuation  65
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Land Value Conclusion
Indicated  Val ue per Lot $375,000
Subject Lots 157
Indicated  Value $58,875,000
Adj us tments
Les s : Remaining  Infrastructure  Costs ‐$455,325
Plus:  Permits  and Fees Paid $326,512
Total Adj us tments ‐$128,813
Indicated  Value $58,746,187
Rounded $58,750,000

Final Opinion of Value  66
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Final Opinion of Value
Based on the preceding valuation analysis and subject to the definitions, assumptions, and limiting conditions expressed in the report, our opinion of value is as follows:

Value Conclusion
Appra i s a l Premi s e Interes t  Appra i s ed Date  of Va l ue Va l ue  Conclusion Market Val ue, Subject to a Hypothetical
Condit ion
Fee Simple September  6, 2022 $58,750,000

Extraordinary Assumptions and Hypothetical Conditions
None

1. We  have been requested to provide  an opinion  of value  of the subje ct property as  of September 6, 2022.  It is  a hypothetical  condition  of the Appraisal  that proceeds  from the Bonds  are available  for reimbursements  of public im prove m e nt cost s.

The value  conclusions  are based  on the follow ing hypothetical  conditions  that ma y  affect the assignm e nt re sult s. A hypothetical  condition  is  a condition  contrary  to known fact on the effective date of the appraisal  but is  supposed for the purpose  of analysis.

The value  conclusions  are subject  to the following  e xtraordinary  assum pt ions that may affe ct the assignm e nt re sults. An e xtraordinary  assum pt ion is  uncertain  in form at ion accepted as  fact. If the assum pt ion is  found to be false  as  of the effecti ve date of the appraisal,  we reserve the right to modi fy our value  conclusions.

Exposure Time
Exposure time is the length of time the subject property would have been exposed for sale in the market had it sold on the effective valuation date at the concluded market value. Exposure time is always presumed to precede the effective date of the appraisal. Based on our review of recent sales transactions for similar properties and ou
r analysis of supply and demand in the local land market, it is our opinion that the probable exposure time for the subject at the concluded market value stated previously is 12 months.

Marketing Time
Marketing time is an estimate of the amount of time it might take to sell a property at the concluded market value immediately following the effective date of value. As we foresee no significant changes in market conditions in the near term, it is our opinion that a reasonable marketing period for the subject in bul
k is likely to be the same as the exposure time. Accordingly, we estimate the subject’s marketing period at 12 months.

Certification  67
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Certification
We certify that, to the best of our knowledge and belief:

1. The statements of fact contained in this report are true and correct.

2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are our personal, impartial, and unbiased professional analyses, opinions, and conclusions.

3. We have no present or pr
ospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved.

4. We have not performed any services, as an appraiser or in any other capacity, regarding the property that is the subje ct  of this report within the three‐year period immediately preceding acceptance of this assignment.

5. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.

6. Our engagement in this assignment was not contingent upon deve loping  or reporting predetermined results.

7. Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequen
t event directly related to the intended use of this appraisal.

8. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice as well as applicable state appraisal regulations.

9. The reported analyses, opinions, and conclusions wer e  developed, and this report has been prepared, in conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute.

10. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.

11. Kevin Ziegenmeyer, MAI, made a personal inspe ction of the property that is the subject of this report. Eric Segal, MAI, has not personally inspected the subject. Sara Gilbertson has not personally inspected the subject.

12. No one provided significant real property appraisal assistance to the person(s) signing this certification.

13. We have experience in appraising properties similar to the subje ct and are in compliance with the Competency Rule of USPAP.

14. As of the date of this report, Kevin Ziegenmeyer, MAI, and Eric Segal, MAI, have completed the continuing education program for Designated Members of the Appraisal Institute.

Certification  68
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15. As of the date of this report, Sara Gilbertson has completed the Standards and Ethics Education Requirements for Candidates/Practicing Affiliates of the Appraisal Institute.

Kevin Ziegenmeyer, MAI
California Certified General Real Estate Appraiser
California Certificate # AG013567
Eric Segal, MAI
California Certified General Real Estate Appraiser
California Certificate # AG0 26558

Sara Gilbertson
California Certified General Real Estate Appraiser
California Certificate # 3002204

Assumptions and Limiting Conditions  69
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Assumptions and Limiting Conditions
This appraisal and any other work product related to this engagement are limited by the following standard assumptions, except as otherwise noted in the report:

1. The title is marketable and free and clear of all liens, encumbrances, encroachments, easements and restrictions. The property is under responsible ownership and competent management and is available for it s highest and best use.

2. There are no existing judgments or pending or threatened litigation that could affect the value of the property.

3. There are no hidden or undisclosed conditions of the land or of the improvements that would render the property more or less valuable. Fu rthermore, there is no asbestos in the property.

4. The revenue stamps placed on any deed referenced herein to indicate the sale price are in correct relation to the actual dollar amount of the transaction.

5. The property is in compliance with all applicable building, environmental, zoning, and other federal, state and lo
cal laws, regulations and codes.

6. The information furnished by others is believed to be reliable, but no warranty is given for its accuracy.

This appraisal and any other work product related to this engagement are subject to the following limiting conditions, except as otherwise noted in the re port:

1. An appraisal is inherently subjective and represents our opinion as to the value of the property appraised.

2. The conclusions stated in our appraisal apply only as of the effective date of the appraisal, and no representation is made as to the effect of subsequent events.

3. No chan ges  in any federal, state or local laws, regulations or codes (including, without limitation, the Internal Revenue Code) are anticipated.

4. No environmental impact studies were either requested or made in conjunction with this appraisal, and we reserve the right to revise or rescind any of the value opinions based upon any subsequ
ent environmental impact studies. If any environmental impact statement is required by law, the appraisal assumes that such statement will be favorable and will be approved by the appropriate regulatory bodies.

5. Unless otherwise agreed to in writing, we are not required to give testimony, respond to any subpoena or attend any co urt, governmental or other hearing with reference to the property without compensation relative to such additional employment.

6. We have made no survey of the property and assume no responsibility in connection with such matters. Any sketch or survey of the property included in this report is for i llustrative purposes only and should not be considered to be scaled accurately for size. The appraisal

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covers the property as described in this report, and the areas and dimensions set forth are assumed to be correct.

7. No opinion is expressed as to the value of subsurface oil, gas or mineral rights, if any, and we have assumed that the property is not subject to surface entry for the explorati on or removal of such materials, unless otherwise noted in our appraisal.

8. We accept no responsibility for considerations requiring expertise in other fields. Such considerations include, but are not limited to, legal descriptions and other legal matters such as legal title, geologic considerations such as soils and seismic sta bility;  and civil, mechanical, electrical, structural and other engineering and environmental matters. Such considerations may also include determinations of compliance with zoning and other federal, state, and local laws, regulations and codes.

9. The distribution of the total valuation in the report between land and improvements applies only under the reported hi ghest  and best use of the property. The allocations of value for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. The appraisal report shall be considered only in its entirety. No part of the appraisal report shall be utilized separately or out of cont ext.

10. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraisers, or any reference to the Appraisal Institute) shall be disseminated through advertising media, public relations media, news media or any other means of commu nication  (including without limitation prospectuses, private offering memoranda and other offering material provided to prospective investors) without the prior written consent of the persons signing the report.

11. Information, estimates and opinions contained in the report and obtained from third‐party sources are assumed to be reliable and have not bee n  independently verified.

12. Any income and expense estimates contained in the appraisal report are used only for the purpose of estimating value and do not constitute predictions of future operating results.

13. If the property is subject to one or more leases, any estimate of residual value contained in the a
ppraisal may be particularly affected by significant changes in the condition of the economy, of the real estate industry, or of the appraised property at the time these leases expire or otherwise terminate.

14. Unless otherwise stated in the report, no consideration has been given to personal property located on the pre mises  or to the cost of moving or relocating such personal property; only the real property has been considered.

15. The current purchasing power of the dollar is the basis for the values stated in the appraisal; we have assumed that no extreme fluctuations in economic cycles will occur.

16. The values found herein are subje
ct to these and to any other assumptions or conditions set forth in the body of this report but which may have been omitted from this list of Assumptions and Limiting Conditions.

17. The analyses contained in the report necessarily incorporate numerous estimates and assumptions regarding pro perty performance, general and local business and economic Assumptions and Limiting Conditions  71
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conditions, the absence of material changes in the competitive environment and other matters. Some estimates or assumptions, however, inevitably will not materialize, and unanticipated events and circumstances may occur; therefore, actual results achieved during the period covered by our analysis will vary from our estimates, and the variations may be material.

18. The Am
ericans with Disabilities Act (ADA) became effective January 26, 1992. We have not made a specific survey or analysis of the property to determine whether the physical aspects of the improvements meet the ADA accessibility guidelines. We claim no expertise in ADA issues, and render no opinion regarding compliance of the subje ct with ADA regulations.

Inasmuch as compliance matches each owner’s financial ability with the cost to cure the non‐ conforming physical characteristics of a property, a specific study of both the owner’s financial ability and the cost to cure any deficiencies would be needed for the Department of Justice to deter
mine compliance.

19. The appraisal report is prepared for the exclusive benefit of the Client, its subsidiaries and/or affiliates. It may not be used or relied upon by any other party. All parties who use or rely upon any information in the report without our written consent do so at th eir  own risk.

20. No studies have been provided to us indicating the presence or absence of hazardous materials on the subject property or in the improvements, and our valuation is predicated upon the assumption that the subject property is free and clear of any environment hazards including, without li mitation,  hazardous wastes, toxic substances and mold. No representations or warranties are made regarding the environmental condition of the subject property. Integra Realty Resources – Sacramento, Integra Realty Resources, Inc., Integra Strategic Ventures, Inc. and/or any of their respective officers, owners, managers, directors, agents, subcontractors or employees (the “Integra Parties”), shall not be respo nsible for any such environmental conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because we are not experts in the field of environmental conditions, the appraisal report cannot be considered as an environmental assessment of the subje ct  property.

21. The persons signing the report may have reviewed available flood maps and may have noted in the appraisal report whether the subject property is located in an identified Special Flood Hazard Area. We are not qualified to detect such areas and therefore do not guarantee such determinations. The pr esence  of flood plain areas and/or wetlands may affect the value of the property, and the value conclusion is predicated on the assumption that wetlands are non‐ existent or minimal.

22. Integra Realty Resources – Sacramento is not a building or environmental inspector. Integra Sacramento does not guarantee that the subje ct  property is free of defects or environmental problems. Mold may be present in the subject property and a professional inspection is recommended.

23. The appraisal report and value conclusions for an appraisal assume the satisfactory completion of construction, repairs or alterations in a workmanlike manner.

24. It is expressly acknowledged tha t in any action which may be brought against any of the Integra Parties, arising out of, relating to, or in any way pertaining to this engagement, the Assumptions and Limiting Conditions  72
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appraisal reports, and/or any other related work product, the Integra Parties shall not be responsible or liable for any incidental or consequential damages or losses, unless the appraisal was fraudulent or prepared with intentional misconduct.

25. Integra Realty Resources – Sacramento, an independently owned and operated company, has prepared the appraisal for the specific in tended use stated elsewhere in the report. The use of the appraisal report by anyone other than the Client is prohibited except as otherwise provided. Accordingly, the appraisal report is addressed to and shall be solely for the Client’s use and benefit unless we provide our prior written consent. We expressly reser ve the unrestricted right to withhold our consent to your disclosure of the appraisal report or any other work product related to the engagement (or any part thereof including, without limitation, conclusions of value and our identity), to any third parties. Stated again for clarification, unless our pri or  written consent is obtained, no third party may rely on the appraisal report (even if their reliance was foreseeable).

26. The conclusions of this report are estimates based on known current trends and reasonably foreseeable future occurrences. These estimates are based partly on property information, data obtained in public records, intervi ews, existing trends, buyer‐seller decision criteria in the current market, and research conducted by third parties, and such data are not always completely reliable. The Integra Parties are not responsible for these and other future occurrences that could not have reasonably been foreseen on the effective date of this assignment. Fu
rthermore, it is inevitable that some assumptions will not materialize and that unanticipated events may occur that will likely affect actual performance. While we are of the opinion that our findings are reasonable based on current market conditions, we do not represent that these estimates will actually be achieved, as th ey  are subject to considerable risk and uncertainty. Moreover, we assume competent and effective management and marketing for the duration of the projected holding period of this property.

27. All prospective value opinions presented in this report are estimates and forecasts which are prospective in nature and are subject to considerabl e  risk and uncertainty. In addition to the contingencies noted in the preceding paragraph, several events may occur that could substantially alter the outcome of our estimates such as, but not limited to changes in the economy, interest rates, and capitalization rates, behavior of consumers, investors and lenders, fire and other ph ysical  destruction, changes in title or conveyances of easements and deed restrictions, etc. It is assumed that conditions reasonably foreseeable at the present time are consistent or similar with the future.

28. The appraisal is also subject to the following:

Assumptions and Limiting Conditions  73
City of Alameda CFD No. 22‐1 (Alameda Marina)
Extraordinary Assumptions and Hypothetical Conditions
None

1. We  have been requested to provide  an opinion  of value  of the subje ct property as  of September 6, 2022.  It is  a hypothetical  condition  of the Appraisal  that proceeds  from the Bonds  are available  for reimbursements  of public im prove m e nt cost s.

The value  conclusions  are based  on the follow ing hypothetical  conditions  that ma y  affect the assignm e nt re sult s. A hypothetical  condition  is  a condition  contrary  to known fact on the effective date of the appraisal  but is  supposed for the purpose  of analysis.

The value  conclusions  are subject  to the following  e xtraordinary  assum pt ions that may affe ct the assignm e nt re sults. An e xtraordinary  assum pt ion is  uncertain  in form at ion accepted as  fact. If the assum pt ion is  found to be false  as  of the effecti ve date of the appraisal,  we reserve the right to modi fy our value  conclusions.

Addenda
City of Alameda CFD No. 22‐1 (Alameda Marina)
Addendum A
Appraiser Qualifications
Kevin Ziegenmeyer, MAI
I
ntegra Realty Resources -
Sacramento
irr.com
T 916-435-3883
F 916-435-4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Experience
Mr. Ziegenmeyer is a Certified General real estate appraiser and holds the Appraisal Institute's MAI designation. In 1989, Mr. Zie
genmeyer began his career in real estate as a
controller for a commercial and residential real estate development corporation. In 1991 he began appraising and continued to be involved in appraisal assignments covering a wide variety of properties, including office, retail, industrial, residential income and subdivisions throughout the state of California, and Northern Nevada. Mr. Ziegenmeyer handles many of the firm’s master-planned property appraisals and over the past two decades has developed expertise in the valuation of Community Facilities Districts and Assessment Districts.In fact, Mr. Ziegenmeyer was one of five appraisers to collaborate with other professionals in developing the appraisal guidelines for the California Debt and Investment Advisory Commission (Recommended Practices in the Appraisal of Real Estate for Land-Secured Financing - 2004). He has developed the experience and background necessary to deal with complex assignments covering an array of property types, with a particular focus on urban redevelopment in the cities and counties of San Francisco, Dublin, Monterey, Newport Beach, Alameda, Napa and San Mateo. In early 2015, Mr. Ziegenmeyer obtained the Appraisal Institute's MAI designation. Kevin is currently Senior Managing Director of the Integra-San Francisco office and Managing Director of the Integra-Sacramento office.

Licenses
Cali
fornia, Certified General Real Estate Appraiser, AG013567, Expires June 2023 Education
A
cademic:

Bachelor of Science in Accounting, Azusa Pacific University, California

Appraisal and Real Estate Courses:

Standards of Professional Practice, Parts A, B & C
Basic Valuation Procedures
Real Estate Appraisal Principles
Capitalization Theory and Techniques, Part A
Advanced Income Capitalization
Report Writing and Valuation Analysis
Advanced Applications
IRS Valuation Summit I & II
2008, 2009, 2010 & 2011 Economic Forecast
Business Practices and Ethics
Contemporary Appraisal Issues with Small Business Administration Financing General Demonstration Appraisal Report Writing Seminar
7-Hour National USPAP Update Course
Valuation of Easements and Other Partial Interests
2009 Summer Conference
Uniform Appraisal Standards for Federal Land Acquisitions 2008 Economic Update
Valuation of Conservation Easements
Subdivision Valuation
2005 Annual Fall Conference
[email protected] - 916-435-3883 x224

Kevin Ziegenmeyer, MAI
I
ntegra Realty Resources -
Sacramento
irr.com
T 916-435-3883
F 916-435-4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Education (Co nt'd)
General Comprehensive Exam Module I, II, III & IV
Advanced Income Capitalization
Advanced Sales Comparison & Cost Approaches
2004 Central CA Market Update
Computer-Enhanced Cash Flow Modeling
Forecast 2000, 2001, 2002, 2003 & 2004
Land Valuation Assignments
Land Valuation Adjustment Procedures
Highest & Best Use and Market Analysis
Entitlements, Land Subdivision & Valuation
Real Estate Value Cycles
El Dorado Hills Housing Symposium
Federal Land Exchanges
M & S Computer Cost-Estimating, Nonresidential
[email protected] - 916-435-3883 x224

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Sara Gilbertson
I
ntegra Realty Resources -
Sacramento
irr.com
T 916.435.3883
F 916.435.4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Experience
Ms. Gilbertson is a licensed app raiser with Integra Realty Resources, a real estate appraisal firm that engages in a wide variety of real estate valuation and consultation assignments. After completing her bachelor’s degree at California State University, Sacramento, Ms. Gilbertson began her career in real estate as a research analyst/appraiser trainee for Seevers Jordan Ziegenmeyer in 2011. She has experience in writing narrative appraisal reports covering a variety of commercial properties, as well as special use properties including self-storage facilities, hotels and mobile home parks.

She also specialized in the appraisal of residential master planned communities and subdivision, as well as Mello Roos and Assessment Districts for land secured municipal financings. Ms. Gilbertson has developed the experience and background necessary to deal with complex assignments covering an array of property types.

Licenses
Cali
fornia, California Certified General Real Estate Appraiser, 3002204, Expires May 2024 Education
A
cademic:

Bachelor of Science in Business Administration (Concentration in Real Estate and Land Development), California State University, Sacramento
Appraisal Institute Courses:

Basic Appraisal Principles
Basic Appraisal Procedures
Uniform Standards of Professional Appraisal Practice
Real Estate Finance and Statistics and Valuation Modeling Sales Comparison Approach
Report Writing and Case Studies
Market Analysis and Highest and Best Use
Site Valuation and Cost Approach
Basic Income Capitalization
Federal and California Statutory and Regulator Laws
Quantitative Analysis
Business Practices and Ethics
Advanced Market Analysis and Highest and Best Use
Advanced Income Capitalization
Advanced Concepts and Case Studies
[email protected] - 916.435.3883 x248

About IRR
Integra Realty Resources, Inc. (IRR) provides world‐class commercial real estate valuation, counseling, and advisory services. Routinely ranked among leading property valuation and consulting firms, we are now the largest independent firm in our industry in the United States, with local offices coast to coast and in the Caribbean.

IRR offices are led by MAI‐designate d Senior Managing Directors, industry leaders who have over 25 years, on average, of commercial real estate experience in their local markets. This experience, coupled with our understanding of how national trends affect the local markets, empowers our clients with the unique knowledge, access, and historical perspective they ne ed to make the most informed decisions.

Many of  the  nation's top financial institutions, developers, corporations, law  firms, and government agencies rely on our professional real estate opinions to best understand the value, use, and feasibility of real estate in their market.

Local Expertise...Nationally!
irr.com

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Addendum B
IRR Quality Assurance Survey
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IRR Quality Assurance Survey
We welcome your feedback!
At IRR, providing a quality work product and delivering on time is what we strive to accomplish. Our local offices are determined to meet your expectations. Please reach out to your local office contact so they can resolve any issues.

Integra Quality Control Team
Integra  does  have  a  Quality  Control  Team  that  responds  to  escalated  concerns  related  to  a  specific assignment as well as general concerns that are unrelated to any specific assignment. We also enjoy hearing from you when we exceed expectations! You can communicate with this team by clicking on the link below. If you would like a follo w up call, please provide your contact information and a member of this Quality Control Team will call contact you.

Link to the IRR Quality Assurance Survey: quality.irr.com

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Addendum C
Definitions
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City of Alameda CFD No. 22‐1 (Alameda Marina)
Definitions
The source of the following definitions is the Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th ed. (Chicago: Appraisal Institute, 2015), unless otherwise noted.

As Is Market Value
The estimate of the market value of real property in its current physical condition, use, and zoning as of the appraisal date.

Dispositi
on Value
The most probable price that a specified interest in property should bring under the following conditions:

1. Consummation of a sale within a specified time, which is shorter than the typical exposure time for such a property in that market.

2. The property is subjected to market conditions prevai ling  as of the date of valuation.

3. Both the buyer and seller are acting prudently and knowledgeably.

4. The seller is under compulsion to sell.

5. The buyer is typically motivated.

6. Both parties are acting in what they consider to be their best interests.

7. An adequate marketing effort will be mad e during the exposure time.

8. Payment will be made in cash in U.S. dollars (or the local currency) or in terms of financial arrangements comparable thereto.

9. The price represents the normal consideration for the property sold, unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

This defi
nition can also be modified to provide for valuation with specified financing terms.

Effective Date

1. The date on which the appraisal or review opinion applies.

2. In a lease document, the date upon which the lease goes into effect.

Entitlement
In the context of ownershi p, use, or development of real estate, governmental approval for annexation, zoning, utility extensions, number of lots, total floor area, construction permits, and occupancy or use permits.

Entrepreneurial Incentive
The amount an entrepreneur expects to receive for his or her contribution to a project.

Entrepreneurial incentive may be distinguished from entr epreneurial  profit (often called developer’s

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profit) in that it is the expectation of future profit as opposed to the profit actually earned on a development or improvement. The amount of entrepreneurial incentive required for a project represents the economic reward sufficient to motivate an entrepreneur to accept the risk of the project and to invest the ti me  and money necessary in seeing the project through to completion.

Entrepreneurial Profit

1. A market‐derived figure that represents the amount an entrepreneur receives for his or her contribution to a project and risk; the difference between the total cost of a property (cost of development) and its market value (property value after comple tion), which represents the entrepreneur’s compensation for the risk and expertise associated with development. An entrepreneur is motivated by the prospect of future value enhancement (i.e., the entrepreneurial incentive). An entrepreneur who successfully creates value through new development, expansion, renovation, or an innovative change of use is rewarded by entrepr
eneurial profit. Entrepreneurs may also fail and suffer losses.

2. In economics, the actual return on successful management practices, often identified with coordination, the fourth factor of production following land, labor, and capital; also called entrepreneurial return or entrepreneurial reward.

Exposure Time

1. The time a property remains on the ma rket.

2. The estimated length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective opinion based on an analysis of past events assuming a competi tive and open market.

Fee Simple Estate
Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.

Floor Area Ratio (FAR)
The relationship between the above‐ground floor area of a building, as des cribed  by the zoning or building code, and the area of the plot on which it stands; in planning and zoning, often expressed as a decimal, e.g., a ratio of 2.0 indicates that the permissible floor area of a building is twice the total land area.

Highest and Best Use

1. The reasonably probable use of property that results in the highes t value. The four criteria
that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity.

2. The use of an asset that maximizes its potential and that is possible, legally permissible, and financially f
easible. The highest and best use may be for continuation of an asset’s existing use or for some alternative use. This is determined by the use that a market participant would have in mind for the asset when formulating the price that it would be willing to bid. (ISV)

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3. [The] highest and most profitable use for which the property is adaptable and needed or likely to be needed in the reasonably near future. (Uniform Appraisal Standards for Federal Land Acquisitions)
Investment Value

1. The value of a property to a particular investor or class of investors based on the investor’s specific requi
rements. Investment value may be different from market value because it depends on a set of investment criteria that are not necessarily typical of the market.

2. The value of an asset to the owner or a prospective owner for individual investment or operational objectives.

Lease
A contract in which rights to use and occupy land, space, or structures are transf erred by the owner to another for a specified period of time in return for a specified rent.

Leased Fee Interest
The ownership interest held by the lessor, which includes the right to receive the contract rent specified in the lease plus the r eversionary right when the lease expires.

Leasehold Interest
The right held by the lessee to use and occupy real estate for a stated term and under the conditions specified in the lease.

Liquidation Value
The most probable price that a specified interest in real property should bring under the foll owing conditions:

1. Consummation of a sale within a short time period.

2. The property is subjected to market conditions prevailing as of the date of valuation.

3. Both the buyer and seller are acting prudently and knowledgeably.

4. The seller is under extreme compulsion to sell.

5. The buyer is typically motivated.

6. Both parties are acting in what they co
nsider to be their best interests.

7. A normal marketing effort is not possible due to the brief exposure time.

8. Payment will be made in cash in U.S. dollars (or the local currency) or in terms of financial arrangements comparable ther
eto.

9. The price represents the normal consideration for the property sold, unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

This definition can also be modified to provide for valuation with specified financing terms.

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Marketing Time
An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value level during the period immediately after the effective date of an appraisal.

Marketing time differs from exposure time, which is always presumed to precede the effective date of an appraisal.

Market Valu
e
The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consu mmation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:
 buyer and seller are typically motivated;
 both parties are well informed or well advised, and acting in what they consider their own best interests;
 a reasonable time is allowed for ex
posure in the open market;
 payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and
 the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions gran ted by anyone associated with the sale. (Source: Code of Federal Regulations, Title 12, Chapter I, Part 34.42[h]; also Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77472) Prospective Opinion of Value
A value opinion effective as of a specified future date. The term does not define a type of value.

Instead, it ide
ntifies a value opinion as being effective at some specific future date. An opinion of value as of a prospective date is frequently sought in connection with projects that are proposed, under construction, or under conversion to a new use, or those th at  have not yet achieved sellout or a stabilized level of long‐term occupancy.

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Addendum D
Final Map

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Addendum E
Preliminary Title Report

CLTA Preliminary Report Form Order Number: 6797575-2 (RA) (Rev. 11/06) Page Number: 1

First American Title

First American Title Company
1250 Corona Pointe Court, Suite 200
Corona, CA 92879

Customer Reference: Alameda Marina TD2

Order Number: 6797575-2 (RA)

Title Officer: Ryan Achterberg
Phone: (949)299-4950
Fax No.: (714)824-5946
E-Mail: [email protected]

Escrow Officer: Jeanne Gould
Phone: (949)885-2405
Fax No.: (714)913-6372
E-Mail: [email protected]

Buyer:
.

PRELIMINARY REPORT
In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception below or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms.

The printed Exceptions and Exclusions from the coverage and Limitations on Covered Risks of said policy or policies are set forth in Exhibit A attached. The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than that set forth in the arbitration clause, all arbitrable matters shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the parties. Limitations on Covered Risks applicable to the CLTA and ALTA Homeowner's Policies of Title Insurance which establish a Deductible Amount and a Maximum Dollar Limit of Liability for certain coverages are also set forth in Exhibit A. Copies of the policy forms should be read. They are available from the office which issued this report.

Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered.

It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land.

Please be advised that any provision contained in this document, or in a document that is attached, linked or referenced in this document, that under applicable law illegally discriminates against a class of individuals based upon personal characteristics such as race, color, religion, sex, sexual orientation, gender identity, familial status, disability, national origin, or any other legally protected class, is illegal and unenforceable by law.

Order Number: 6797575-2 (RA)
Page Number: 2

First American Title
This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a Binder or Commitment should be requested.

Order Number: 6797575-2 (RA)
Page Number: 3

First American Title

Dated as of June 8, 2022 at 7:30 A.M.

The form of Policy of title insurance contemplated by this report is:

A specific request should be made if another form or additional coverage is desired.

Title to said estate or interest at the date hereof is vested in:

Arroyo Cap II-5, LLC, a Delaware limited liability company The estate or interest in the land hereinafter described or referred to covered by this Report is:

A fee.

The Land referred to herein is described as follows:

(See attached Legal Description)

At the date hereof exceptions to coverage in addition to the printed Exceptions and Exclusions in said policy form would be as follows:

1. General and special taxes and assessments for the fiscal year 2022-2023, a lien not yet due or payable.

2. The lien of special tax assessed pursuant to Chapter 2.5 commencing with Section 53311 of the California Government Code for Community Facilities District No. A/C-3, as disclosed by Notice of Special Tax Lien recorded January 31, 2019 as Instrument No. 2019015593 of Official Records.

3. The lien of special tax assessed pursuant to Chapter 2.5 commencing with Section 53311 of the California Government Code for Community Facilities District 22-2, as disclosed by Notice of Special Tax Lien recorded June 3, 2022
as Instrument No. 2022106134 of Official Records.

4. The lien of special tax assessed pursuant to Chapter 2.5 commencing with Section 53311 of the California Government Code for Community Facilities District 22-1, as disclosed by Notice of Special Tax Lien recorded June 3, 2022 as Instrument No. 2022106135 of Official Records.

5. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code.

6. An unrecorded lease dated May 16, 2012, executed by City of Alameda, a California municipal corporation
as lessor and Pacific Shops, Inc., a California corporation as lessee, as disclosed by a Memorandum of Lease recorded July 19, 2012 as Instrument No. 2012231378 of Official Records.

Order Number: 6797575-2 (RA)
Page Number: 4

First American Title
Defects, liens, encumbrances or other matters affecting the leasehold estate, whether or not shown by the public records.

7. The terms and provisions contained in the document entitled "San Francisco Bay Conservation and Development Commission Permit No. 2018.003.00" recorded September 30, 2020 as Instrument No. 2020254392 of Official Records.
7a. An easement shown or dedicated on the Map as referred to in the legal description

For: Public access, emergency vehicle access, public utility, storm drain and incidental purposes.

7b. An easement shown or dedicated on the Map as referred to in the legal description

For: East Bay Municipal Utility District and incidental purposes.

The terms and provisions contained in the document entitled Acceptance of Water Pipeline Easement recorded
May 31, 2022 as Instrument No. 2022102964 of Official Records.

7c. The terms and provisions contained in the document entitled "Subdivision Improvement Agreement" recorded December 9, 2020 as Instrument No. 2020342863 of Official Records.

8. Any claim that any portion of the Land is below the ordinary high water mark from where it was located prior to any artificial or avulsive changes in the location of the shoreline.

Affects that portion of the Land lying northerly of either the Rancho Peralta Grant line or the Allardt High Tide Survey Line as shown by "Lot 5 Site Plan, Alameda Marina" dated January 29, 2021 by cbg Civil Engineers.

9. Any claim that any portion of the land is or was formerly tidelands or submerged lands.

Affects that portion of the Land lying northerly of either the Rancho Peralta Grant line or the Allardt High Tide Survey Line as shown by "Lot 5 Site Plan, Alameda Marina" dated January 29, 2021 by cbg Civil Engineers.

10. Water rights, claims
or title to water, whether or not shown by the Public Records.

11. Covenants, conditions, restrictions, easements, assessments, liens, charges, terms and provisions in the document entitled, "Master Declaration of Covenants, Conditions and Restrictions of Alameda Marina" recorded May 5, 2021 as Instrument No. 2021173711 of Official Records, but deleting any covenant, condition, or restriction, if any, indicating a preference, limitation, or discrimination based on race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, familial status, marital status, disability, handicap, veteran or military status, genetic information, national origin, source of income as defined in subdivision (p) of Section 12955, or ancestry, to the extent that such covenants, conditions or restrictions violate applicable state or federal laws. Lawful restrictions under state and federal law on the age of occupants in senior housing or housing for older persons shall not be construed as restrictions based on familial status.

Order Number: 6797575-2 (RA)
Page Number: 5

First American Title

12. The terms and provisions contained in the document entitled "Memorandum of Repurchase Option" recorded May 5, 2021 as Instrument No. 2021173713 of Official Records.

The terms and provisions contained in the document entitled Assignment of Option Agreement recorded May 7, 2021 as Instrument No. 2021177119 of Official Records.

13. The terms and provisions contained in the document entitled "Declaration of Development Covenants, Conditions and Restrictions" recorded May 5, 2021 as Instrument No. 2021173714 of
Official Records.

14. The terms and provisions contained in the document entitled "Memorandum of Option Agreement" recorded May 5, 2021 as Instrument No. 2021173715 of Official Records.

15. A deed of trust to secure an original indebtedness of $47,136,992.00 recorded May 7, 2021 as Instrument No. 2021177118 of Official Records.

Dated: May 7, 2021
Trustor: Arroyo Cap II-5, LLC, a Delaware limited liability company Trustee: First American Title Insurance Company
Beneficiary: Western Alliance Bank, an Arizona corporation

16. The terms and provisions contained in the document entitled Consent to Assignments, Subordination and Recognition Agreement recorded May 7, 2021 as Instrument No. 2021177120 of Official Records.

17. The terms and provisions contained in the document entitled Agreement for Decorative Paving Overlying Applicant - Installed Water Main Extension Agreement No. EA21-013A recorded March 16, 2022 as Instrument No. 2022055898 of Official Records.

Order Number: 6797575-2 (RA)
Page Number: 6

First American Title

INFORMATIONAL NOTES

Note: The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than the certain dollar amount set forth in any applicable arbitration clause, all arbitrable matters shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the parties. If you desire to review the terms of the policy, including any arbitration clause that may be included, contact the office that issued this Commitment or Report to obtain a sample of the policy jacket for the policy that is to be issued in connection with your transaction.

1. General and special taxes and assessments for the fiscal year 2021-2022.

First Installment: $7,222.67, PAID
Penalty: $0.00
Second Installment: $7,222.67, PAID
Penalty: $0.00
Tax Rate Area: 21-004
A. P. No.: 071-0291-010

The map attached, if any, may or may not be a survey of the land depicted hereon. First American expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached.

Order Number: 6797575-2 (RA)
Page Number: 7

First American Title

LEGAL DESCRIPTION

Real property in the City of Alameda, County of Alameda, State of California, described as follows:

LOT 5 AS SHOWN ON THE MAP ENTITLED “TRACT 8500”, ALAMEDA MARINA, FILED FOR RECORD ON DECEMBER 9, 2020 IN BOOK 363 OF MAPS, AT PAGES 90 THROUGH 96, ALAMEDA COUNTY RECORDS AND AS AMENDED BY CERTIFICATE OF CORRECTION RECORDED JANUARY 28, 2021 AS INSTRUMENT NO. 2021034934 OF OFFICIAL RECORDS.

APN: 071-
0291-010

Order Number: 6797575-2 (RA)
Page Number: 8

First American Title

NOTICE

Section 12413.1 of the California Insurance Code, effective January 1, 1990, requires that any title insurance company, underwritten title company, or controlled escrow company handling funds in an escrow or sub- escrow capacity, wait a specified number of days after depositing funds, before recording any documents in connection with the transaction or disbursing funds. This statute allows for funds deposited by wire transfer to be disbursed the same day as deposit. In the case of cashier's checks or certified checks, funds may be disbursed the next day after deposit. In order to avoid unnecessary delays of three to seven days, or more, please use wire transfer, cashier's checks, or certified checks whenever possible.

Order Number: 6797575-2 (RA)
Page Number: 9

First American Title

EXHIBIT A

LIST OF PRINTED EXCEPTIONS AND EXCLUSIONS (BY POLICY TYPE)

CLTA STANDARD COVERAGE POLICY – 1990

EXCLUSIONS FROM COVERAGE

The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason of:

1. (a) Any law, ordinance or governmental regulation (including but not limited to building or zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien, or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy.
(b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy.

2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge.

3. Defects, liens, encumbrances, adverse claims or other matters:
(a) whether or not recorded in the public records at Date of Policy, but created, suffered, assumed or agreed to by the insured claimant;
(b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy; or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for the estate or interest insured by this policy.

4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or failure of any subsequent owner of the indebtedness, to comply with the applicable doing business laws of the state in which the land is situated.

5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which arises out of the transaction evidenced by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law.

6. Any claim, which arises out of the transaction vesting in the insured the estate of interest insured by this policy or the transaction creating the interest of the insured lender, by reason of the operation of federal bankruptcy, state insolvency or similar creditors' rights laws.

EXCEPTIONS FROM COVERAGE - SCHEDULE B, PART I
This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which arise by reason of:

1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records.

Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the public, records.

2. Any facts, rights, interests, or claims which are not shown by the public records but which could be ascertained by an inspection of the land or which may be asserted by persons in possession thereof.

3. Easements, liens or encumbrances, or claims thereof, not shown by the public records.

4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records.

5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b) or (c) are shown by the public records.

6. Any lien or right to a lien for services, labor or material unless such lien is shown by the public records at Date of Policy.

Order Number: 6797575-2 (RA)
Page Number: 10

First American Title

CLTA/ALTA HOMEOWNER'S POLICY OF TITLE INSURANCE (12-02-13)

EXCLUSIONS

In addition to the Exceptions in Schedule B, You are not insured against loss, costs, attorneys' fees, and expenses resulting from:

1. Governmental police power, and the existence or violation of those portions of any law or government regulation concerning:
a. building;
b. zoning;
c. land use;
d. improvements on the Land;
e. land division; and
f. environmental protection.

This Exclusion does not limit the coverage described in Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23 or 27.

2. The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes. This Exclusion does not limit the coverage described in Covered Risk 14 or 15.

3. The right to take the Land by condemning it. This Exclusion does not limit the coverage described in Covered Risk 17.

4. Risks:
a. that are created, allowed, or agreed to by You, whether or not they are recorded in the Public Records; b. that are Known to You at the Policy Date, but not to Us, unless they are recorded in the Public Records at the Policy Date; c. that result in no loss to You; or
d. that first occur after the Policy Date - this does not limit the coverage described in Covered Risk 7, 8.e., 25, 26, 27 or 28.

5. Failure to pay value for Your Title.

6. Lack of a right:
a. to any land outside the area specifically described and referred to in paragraph 3 of Schedule A; and b. in streets, alleys, or waterways that touch the Land.

This Exclusion does not limit the coverage described in Covered Risk 11 or 21.

7. The transfer of the Title to You is invalid as a preferential transfer or as a fraudulent transfer or conveyance under federal bankruptcy, state insolvency, or similar creditors' rights laws.

8. Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence.

9. Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances.

LIMITATIONS ON COVERED RISKS

Your insurance for the following Covered Risks is limited on the Owner's Coverage Statement as follows:

For Covered Risk 16, 18, 19, and 21 Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A.

The deductible amounts and maximum dollar limits shown on Schedule A are as follows:

Your Deductible Amount Our Maximum Dollar Limit of Liability

Covered Risk 16: 1% of Policy Amount Shown in Schedule A or $2,500 $10,000 (whichever is less)

Covered Risk 18: 1% of Policy Amount Shown in Schedule A or $5,000 $25,000 (whichever is less)

Covered Risk 19: 1% of Policy Amount Shown in Schedule A or $5,000 $25,000 (whichever is less)

Covered Risk 21: 1% of Policy Amount Shown in Schedule A or $2,500 $5,000 (whichever is less)

2006 ALTA LOAN POLICY (06-17-06)

EXCLUSIONS FROM COVERAGE

The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of:

1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to

(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land;

Order Number: 6797575-2 (RA)
Page Number: 11

First American Title
(iii) the subdivision of land; or
(iv) environmental protection;

or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5.
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6.

2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.

3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 13, or 14); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage.

4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the state where the Land is situated.

5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law.

6. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creating the lien of the Insured Mortgage, is
(a) a fraudulent conveyance or fraudulent transfer, or
(b) a preferential transfer for any reason not stated in Covered Risk 13(b) of this policy.

7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the Insured Mortgage in the Public Records. This Exclusion does not modify or limit the coverage provided under Covered Risk 11(b).

The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:

EXCEPTIONS FROM COVERAGE
[Except as provided in Schedule B - Part II,[ t[or T]his policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees or expenses, that arise by reason of:
[PART I
[The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:

1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records.

2. Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land.

3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records.

4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records.

5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records.

6. Any lien or right to a lien for services, labor or material unless such lien is shown by the Public Records at Date of Policy.

PART II
In addition to the matters set forth in Part I of this Schedule, the Title is subject to the following matters, and the Company insures against loss or damage sustained in the event that they are not subordinate to the lien of the Insured Mortgage:]

2006 ALTA OWNER'S POLICY (06-17-06)

EXCLUSIONS FROM COVERAGE

The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of:

1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to

Order Number: 6797575-2 (RA)
Page Number: 12

First American Title
(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or
(iv) environmental protection;

or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5.
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6.

2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.

3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 9 or 10); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title.

4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction vesting the Title as shown in Schedule A, is
(a) a fraudulent conveyance or fraudulent transfer, or
(b) a preferential transfer for any reason not stated in Covered Risk 9 of this policy.

5. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A.

The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:

EXCEPTIONS FROM COVERAGE

This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees or expenses, that arise by reason of:
[The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage:

1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records.

2. Any facts, rights, interests, or claims that are not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land.

3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records.

4. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records.

5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records.

6. Any lien or right to a lien for services, labor or material unless such lien is shown by the Public Records at Date of Policy.

7. [Variable exceptions such as taxes, easements, CC&R's, etc. shown here.]

ALTA EXPANDED COVERAGE RESIDENTIAL LOAN POLICY (07-26-10)

EXCLUSIONS FROM COVERAGE

The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of:

1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to

(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or
(iv) environmental protection;

or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d),

First American Title
14 or 16.

2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.

3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 16, 17, 18, 19, 20, 21, 22, 23, 24, 27 or 28); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage.

4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing-business laws of the state where the Land is situated.

5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. This Exclusion does not modify or limit the coverage provided in Covered Risk 26.

6. Any claim of invalidity, unenforceability or lack of priority of the lien of the Insured Mortgage as to Advances or modifications made after the Insured has Knowledge that the vestee shown in Schedule A is no longer the owner of the estate or interest covered by this policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11.

7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching subsequent to Date of Policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11(b) or 25.

8. The failure of the residential structure, or any portion of it, to have been constructed before, on or after Date of Policy in accordance with applicable building codes. This Exclusion does not modify or limit the coverage provided in Covered Risk 5 or 6.

9. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction creating the lien of the Insured Mortgage, is
(a) a fraudulent conveyance or fraudulent transfer, or
(b) a preferential transfer for any reason not stated in Covered Risk 27(b) of this policy.

10. Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence.

11. Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances.

Addenda
City of Alameda CFD No. 22‐1 (Alameda Marina)
Addendum F
Comparable Data

Land Sale Profile  Sale No. 1
Location & Property Identification
City of Alameda CFD No.
2013‐01 (Alameda Landing)
Property Name:

Sub‐Property Type:  Residential, Residential
Subdivision
Mosley Ave. Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2753896
Sale Information
$22,065,000 Sale Price:
$22,065,000 Effective Sale Price:
04/01/2022 Sale Date:

Sale Status:  In‐Contract
Eff. Price/Unit:  $208,160 /Approved Lot
$/Acre(Gross):   $5,899,733
$/Land SF(Gross):   $135.44
$/Acre(Usable):  $5,899,733
$/Land SF(Usable):   $135.44
Grantor/Seller:  The Successor Agency to the
former Community
Improvement Commission of
the City of Alameda
Grantee/Buyer:  Pulte Home Company, LLC
Property Rights:  Fe e Simple
% of Interest Conveyed:  100.00
Financing:  Cash to seller
Terms of Sale Comments:  Third of three
takedowns
Verified By:  Laura Diaz
Verification Date:  06/17/2021
Verification Type:  Confirmed‐Other
Improvement and Site Data
MSA:  San
Francisco‐Oakland‐Hayward,
CA
74‐1380‐ Lots 1 ‐ 18,
74‐1379‐ Lots 1 ‐ 18,
74‐1373‐10 and 74‐1373‐13
Legal/Tax/Parcel ID:

3.74/3.74 Acres(Usable/Gross):
162,914/162,914 Land‐SF(Usable/Gross):

Usable/Gross Ratio:  1.00
Year Built:   2021 to 2023
Property Class:   A
M&S Class:   D
Construction Quality:   Good
Improvements Cond.:  New
No. of Units/Unit Ty pe:    106/Approved Lots
Topography:  Level
Corner Lot:  Yes
Frontage Desc.:  Fifth Street
Frontage Type:  2 way, 1 lane each way
Traffic Flow:  Low
Visibility Rating:  Average
Density‐Unit/Gross Acre:   28.34
Density‐Unit/Usable Acre:   28.34
Zoning Code:   MX
Zoning Desc.:  Mixed Use ‐ Planned
Development
Flood Plain:   Yes
Comm. Panel No.:  0600 1C0066H &
City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 1
Improvement and Site Data (Cont'd)
Date:  12/21/2018
Source of Land Info.:  Public Records
Comments
This transaction reflects Phase 3 of Alameda Landing, which includes 106 lots. Permits and fees are estimated at $15,590 per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for
infrastructure and in‐tracts. Remaining site development costs are estimated at $104,811 per lot.  The pr oposed  homes will include a mix of condominiums and townhomes. Eight of the homes will be below market rate. The average home size for Phase 3 is 1,406 square feet.

This is the last of three takedowns to Pulte; all three takedowns were negotiated together in 2020 and included in one pur
chase agreement. The first and second takedowns
closed in August 2020 and June 2021, respectively.

This property represents a portion of the 44‐acre area
annexed into the City of Alameda Community Facilities District No. 13‐1 (Alameda Landing Public Improvements). The
property is subdivided into three phases which ar e  proposed for a total of 357 single family residences (including 39 BMR units) across four product lines and one retail site. Phase 1 will include 156 attached and detached (small lot) single family residences and an approximately 0.16 acre retail site currently used for the sales office. Phase 2 will include 95 atta ched and detached homes, while Phase 3 will include 106 attached homes.

City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 2
Location & Property Identification
City of Alameda CFD No.
2013‐01 (Alameda Landing)
Property Name:

Sub‐Property Type:  Residential, Residential
Subdivision
Mosley Ave. Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2753852
Sale Information
$24,075,000 Sale Price:
$24,075,000 Effective Sale Price:
06/14/2021 Sale Date:

Sale Status:  Closed
$/SF NRA:  $2662.57
Eff. Price/Unit:  $253,421 /Approved Lot
$/Acre(Gross):   $4,005,824
$/Land SF(Gross):   $91.96
$/Acre(Usable):  $4,005,824
$/Land SF(Usable):   $91.96
Grantor/Seller:  The Successor Agency to the
former Community
Improvement Commission of
the City of Alameda
Grantee/Buyer:  Pulte Home Company, LLC
Pr
operty Rights:  Fee Simple
% of Interest Conveyed:  100.00
Financing:  Cash to seller
Terms of Sale Comments:  Second of three
takedowns
Document Type:  Deed
Verified By:  Laura Diaz
Verification Date:  06/17/2021
Verification Type:  Confirmed‐Other
Improvement and Site Data
MSA:  San
Francisco‐Oakland‐Hayward,
CA
74‐1380‐ Lots 1 ‐ 18,
74‐1379‐ Lots 1 ‐ 18,
74‐1373‐10 and 74‐1373‐13
Legal/Tax/Parcel ID:

NRA‐SF:   9,042

6.01/6.01 Acres(Usable/Gross):
261,795/261,795 Land‐SF(Usable/Gross):

Usable/Gross Ratio:  1.00
Year Built:   2021 to 2023
Property Class:   A
M&S Class:   D
Construction Quality:   Good
Improvements Cond.:  Ne w
No. of Units/Unit Type:    95/Approved Lots
Topography:  Level
Corner Lot:  Yes
Frontage Desc.:  Fifth Street
Frontage Type:  2 way, 1 lane each way
Traffic Flow:  Low
Visibility Rating:  Average
Density‐Unit/Gross Acre:   15.81
Density‐Unit/Usable Acre:   15.81
Zoning Code:   MX
City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 2
Improvement and Site Data (Cont'd)
Zoning Desc.:  Mixed Use ‐ Planned
Development
Flood Plain:   Yes
Comm. Panel No.:  06001C0066H &
Date:  12/21/2018
Source of Land Info.:  Public Records
Comments
This transaction reflects Phase 2 of Alameda Landing, which includes 95 lots. Permits and fees are estimated at $15,590 per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for
infrastructure and in‐tracts. Remaining site development costs at the time of sale are es timated  at $109,895 per lot.  The proposed homes will include 78 attached homes (mix of
townhomes and flats) and 17 detached homes on small lots.

Seven of the homes will be below market rate. The average home size for Phase 2 is 1,404 square feet.

This is the second of thr ee  takedowns to Pulte; all three takedowns were negotiated together and included in one
purchase agreement. The first takedown closed in August 2020 and the third takedown is scheduled for April 2022.

This property represents a portion of the 44‐acre area
annexed into the City of Alameda Community Facilities District No. 13‐1 (Alameda Lan
ding Public Improvements). The
property is subdivided into three phases which are proposed for a total of 357 single family residences (including 39 BMR units) across four product lines and one retail site. Phase 1 will include 156 attached and detached (small lot) single family residences and an appr oximately 0.16 acre retail site currently used for the sales office. Phase 2 will include 95 attached and detached homes, while Phase 3 will include 106 attached homes.

City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 3
Location & Property Identification
City of Alameda CFD No. 22‐1
(Alameda Marina)
Property Name:

Sub‐Property Type:  Commercial
Clement Ave. Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2915328
Sale Information
$51,900,000 Sale Price:
$51,900,000 Effective Sale Price:
05/05/2021 Sale Date:

Recording Date:  05/05/2021
Contract Date:  12/04/2020
Sale Status:  Closed
Grantor/Seller:  Alameda Marina, LLC
Grantee/Buyer:  Arroyo Cap II‐5, LLC
Assets Sold:  Real estate only
Property Rights:  Fee Simple
Financing:  Cash to seller
Conditions of Sale:  Arm's‐length
Document Type:  Deed
Recording No.:  2021 173713
Verified By:  Sara Gilbertson
Verification Date:  09/02/2022
Confirmation Source:  Sean P. Murphy
Verification Type:  Confirmed‐Seller
Improvement and Site Data
MSA:  San
Francisco‐Oakland‐Hayward,
CA

0.00 Acres(Gross):
0 Land‐SF(Gross):

Source of Land Info.:  Public Records
Comments
Homebuilder, Landsea Homes, acquired this 10.96‐acre
property in May 2021 based on the December 2020 contract price of $51,900,000, or approximately $285,165 per
townhome unit. The proposed project consists of a total of 182 single family residences, including 25 BMR units. Two product lines will be constructed, Island View and Wa terside.

Island View will comprise a total of 98 townhomes with
marina views, with seven floor plans ranging from 1,462 to 2,386 square feet, and select homes will include rooftop decks. Waterside is located on the waterfront; these 84 townhomes will include four floor plans ranging from 2,161 to 2,689 square fe et  with rooftop decks. Vertical home
construction commenced in August 2022.

Upon completion of the Alameda Marina redevelopment
project, it will include 760 housing units, 150,000 square feet of commercial space, and 104 BMR units, as well as 3.45 acres of parks, 529 boat slips, a 60‐boat dry storage ar ea,  public shoreline access and an extension of the Bay Trail and bike path network.

City of Alameda CFD No. 22‐1 (Alameda Marina)

Land Sale Profile  Sale No. 4
Location & Property Identification
City of Alameda CFD No.
2013‐01 (Alameda Landing)
Property Name:

Sub‐Property Type:  Residential, Residential
Subdivision
Mosley Ave. Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2753849
Sale Information
$35,110,000 Sale Price:
$35,110,000 Effective Sale Price:
08/14/2020 Sale Date:

Sale Status:  Closed
Eff. Price/Unit:  $225,064 /Approved Lot
$/Acre(Gross):   $4,700,134
$/Land SF(Gross):   $107.90
$/Acre(Usable):  $4,700,134
$/Land SF(Usable):   $107.90
Grantor/Seller:  The Successor Agency to the
former Community
Improvement Commission of
the City of Alameda
Grantee/Buyer:  Pulte Home Company, LLC
Property Rights:  Fee Simple
% of In
terest Conveyed:  100.00
Financing:  Cash to seller
Terms of Sale Comments:  First of three
takedowns
Document Type:  Deed
Recording No.:  2020200519
Verified By:  Laura Diaz
Verification Date:  06/17/2021
Verification Type:  Confirmed‐Other
Improvement and Site Data
MSA:  San
Francisco‐Oakland‐Hayward,
CA
74‐1380‐ Lots 1 ‐ 18,
74‐1379‐ Lots 1 ‐ 18,
74‐1373‐10 and 74‐1373‐13
Legal/Tax/Parcel ID:

7.47/7.47 Acres(Usable/Gross):
325,393/325,393 Land‐SF(Usable/Gross):

Usable/Gross Ratio:  1.00
Year Built:   2021 to 2023
Property Class:   A
M&S Class:   D
Construction Quality:   Good
Improvements Cond.:  New
No. of Units/Unit Ty pe:    156/Approved Lots
Topography:  Level
Corner Lot:  Yes
Frontage Desc.:  Fifth Street
Frontage Type:  2 way, 1 lane each way
Traffic Flow:  Low
Visibility Rating:  Average
Density‐Unit/Gross Acre:   20.88
Density‐Unit/Usable Acre:   20.88
Zoning Code:   MX
Zoning Desc.:  Mixed Use ‐ Planned
Development
City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 4
Improvement and Site Data (Cont'd)
Flood Plain:   Yes
Comm. Panel No.:  06001C0066H &
Date:  12/21/2018
Source of Land Info.:  Public Records
Comments
This transaction reflects Phase 1 of Alameda Landing, which includes 156 lots. Permits and fees are estimated at $15,590 per unit. The master developer is responsible for the grading of the parcels, with the homebuilder responsible for
infrastructure and in‐tracts. Remaining site development costs at the time of sale are es timated  at $80,032 per lot.  The majority of the proposed homes will reflect attached
townhomes and flats (143 homes). The project will also
include 13 detached homes on small lots. Twenty‐four of the homes will be below market rate. The average home size for Phase 1 is 1,399 square feet.

This is the fir
st of three takedowns to Pulte; all three
takedowns were negotiated together and included in one
purchase agreement. The second takedown closed in June
2021 and the third takedown is scheduled for April 2022.

This property represents a portion of the 44‐acre area
annexed into the City of Alameda Commu nity Facilities District No. 13‐1 (Alameda Landing Public Improvements). The
property is subdivided into three phases which are proposed for a total of 357 single family residences (including 39 BMR units) across four product lines and one retail site. Phase 1 will include 156 attached and de tached  (small lot) single family residences and an approximately 0.16 acre retail site currently used for the sales office. Phase 2 will include 95 attached and detached homes, while Phase 3 will include 106 attached homes.

City of Alameda CFD No. 2013‐01 (Alameda Landing)

Land Sale Profile  Sale No. 5
Location & Property Identification
Alameda Point Block 7 Property Name:

Sub‐Property Type:  Residential
173 W. Seaplane Pagoon Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2915355
Sale Information
$15,000,000 Sale Price:
$15,000,000 Effective Sale Price:
07/16/2019 Sale Date:

Sale Status:  Closed
$/Acre(Gross):   $6,122,449
$/Land SF(Gross):   $140.55
$/Acre(Usable):  $6,122,449
$/Land SF(Usable):   $140.55
$250,000 /Approved Unit $/Unit:

Grantor/Seller:  Alameda Point Partners, LLC
Grantee/Buyer:  TH‐HW Alameda Pointe, LLC
(Trumark)
Assets Sold:  Real estate only
Property Rights:  Fee Simple
Financing:  Cash to seller
Conditions of Sale:  Arm's‐leng
th
Document Type:  Deed
Recording No.:  135321
Verified By:  Laura Diaz
Verification Date:  07/14/2020
Confirmation Source:  Trumark
Verification Type:  Confirmed‐Seller
Improvement and Site Data
74‐1376‐4 Legal/Tax/Parcel ID:

2.45/2.45 Acres(Usable/Gross):
106,722/106,722 Land‐SF(Usable/Gross):

Usable/Gross Ratio:  1.00
No. of Units (Potential):  60
Zoning Code:   AP‐TC
Zoning Desc.:  Alameda Point ‐ Town Center
Source of Land Info.:  Public Records
Comments
This property sold with infrastructure obligations to be completed by the seller to bring the development to paper lot status. Block 7 of Alameda Point is proposed for 60
townhomes ranging from 1,448 to 2,442 square feet. Permits and fees are estimated at $30,150 per unit.

Alameda Point Block 7

Land Sale Profile  Sale No. 6
Location & Property Identification
Alameda Point Block 6 Property Name:

Sub‐Property Type:  Residential
173 W. Seaplane Lagoon Address:

Alameda, CA 94501 City/State/Zip:

Alameda County:

Suburban Market Orientation:

IRR Event ID:    2915349
Sale Information
$19,400,000 Sale Price:
$19,400,000 Effective Sale Price:
03/15/2018 Sale Date:

Sale Status:  Closed
$/Acre(Gross):   $6,830,986
$/Land SF(Gross):   $156.82
$/Acre(Usable):  $6,830,986
$/Land SF(Usable):   $156.82
$303,125 /Approved Unit $/Unit:

Grantor/Seller:  Alameda Point Partners, LLC
Grantee/Buyer:  TH‐HW Alameda Pointe, LLC
(Trumark)
Assets Sold:  Real estate only
Property Rights:  Fee Simple
Financing:  Cash to seller
Conditions of Sale:  Arm's‐leng
th
Document Type:  Deed
Recording No.:  53373
Verified By:  Laura Diaz
Verification Date:  06/14/2020
Confirmation Source:  Trumark
Verification Type:  Confirmed‐Buyer
Improvement and Site Data
74‐1376‐3 Legal/Tax/Parcel ID:

2.84/2.84 Acres(Usable/Gross):
123,710/123,710 Land‐SF(Usable/Gross):

Usable/Gross Ratio:  1.00
No. of Units (Potential):  64
Zoning Code:   AP‐TC
Zoning Desc.:  Alameda Point ‐ Town Center
Source of Land Info.:  Public Records
Comments
This property sold with infrastructure obligations to be completed by the seller to bring the development to paper lot status. Block 6 of Alameda Point is proposed for 64
townhomes ranging from 1.767 to 3,332 square feet. Permits and fees are estimated at $31,370 per unit.

Alameda Point Block 6

I-1

APPENDIX I

ASSIGNED SPECIAL TAX FOR EACH TOWNHOME

The table below sets forth, for each of the 182 townhomes expected to be constructed in the District, the product line and building number of the building in which it will be located , if the townhome is a below market rate unit exempt from Special Tax levies (see “x” next to the applicable townhome numbers) , the square footage of the townhome, the Land Use Class for the townhome under the Rate and Method, and the fiscal year 2023 -24 Assigned Special Tax for the townhome. The table also shows the total fiscal year 2023 -24 Assigned Special Taxes for the townhomes in each building. Under the Rate and Method, the Assigned Special Tax for each Land Use Class increases each July 1 by an amount equal to two percent of the amount in effect for the prior fiscal year. See “SECURITY FOR THE 2023 BONDS — Summary of Rate and Method” and “THE DEVELOPMENT AND THE DISTRICT— Description of the District” in the body of this Official Statement.

Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Island View Building 1

$44,483.22
Island View 1 2200 3 $7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1768 5 6,212.82

Island View 5 1462 6 5,607.96

Island View 6 x 2105 N/A 0.00

Island View 7 1462 6 5,607.96

Island View 8 2200 3 7,157.34

Island View Building 2

37,325.88
Island View 1 2389 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1768 5 6,212.82

Island View 5 1462 6 5,607.96

Island View 6 x 1483 N/A 0.00

Island View 7 1628 6 5,607.96

Island View Building 3

37,325.88
Island View 1 1628 6 5,607.96

Island View 2 x 1483 N/A 0.00

Island View 3 1462 6 5,607.96

Island View 4 1768 5 6,212.82

Island View 5 2105 4 7,131.84

Island View 6 1462 6 5,607.96

Island View 7 2389 3 7,157.34

I-2
Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Island View Building 4

44,457.72
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1462 6 5,607.96

Island View 5 1768 5 6,212.82

Island View 6 2105 4 7,131.84

Island View 7 1462 6 5,607.96

Island View 8 x 2200 N/A 0.00

Island View Building 5

44,483.22
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 x 2105 N/A 0.00

Island View 4 1768 5 6,212.82

Island View 5 1462 6 5,607.96

Island View 6 2105 4 7,131.84

Island View 7 1462 6 5,607.96

Island View 8 2200 3 7,157.34

Island View Building 6

37,325.88
Island View 1 2389 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1768 5 6,212.82

Island View 5 1462 6 5,607.96

Island View 6 1483 6 5,607.96

Island View 7 x 1628 N/A 0.00

Waterside Building 7

37,485.00
Waterside 1 2744 1 8,100.84

Waterside 2 x 2189 N/A 0.00

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2189 3 7,157.34

Waterside 6 2581 2 7,912.14

Waterside Building 8

36,541.50
Waterside 1 x 2744 N/A 0.00

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2189 3 7,157.34

Waterside 6 2581 2 7,912.14

Waterside Building 9

30,327.66
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2581 2 7,912.14

I-3
Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Waterside Building 10

14,314.68
Waterside 1 2211 3 7,157.34

Waterside 2 x 2211 N/A 0.00

Waterside 3 x 2232 N/A 0.00

Waterside 4 2219 3 7,157.34

Waterside Building 11

23,170.32
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 x 2189 N/A 0.00

Waterside 4 2581 2 7,912.14

Waterside Building 12

37,485.00
Waterside 1 2581 2 7,912.14

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2744 1 8,100.84

Waterside Building 13

29,572.86
Waterside 1 x 2581 N/A 0.00

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2744 1 8,100.84

Waterside Building 14

37,485.00
Waterside 1 2581 2 7,912.14

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2744 1 8,100.84

Waterside Building 15

37,485.00
Waterside 1 2581 2 7,912.14

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2744 1 8,100.84

Waterside Building 16

30,327.66
Waterside 1 2581 2 7,912.14

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 x 2189 N/A 0.00

Waterside 5 2744 1 8,100.84

Island View Building 17

27,054.48
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 x 1462 N/A 0.00

Island View 5 2200 3 7,157.34

I-4
Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Island View Building 18

25,505.10
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1462 6 5,607.96

Island View 5 x 2200 N/A 0.00

Island View Building 19

37,325.88
Island View 1 x 1628 N/A 0.00

Island View 2 1483 6 5,607.96

Island View 3 1462 6 5,607.96

Island View 4 1768 5 6,212.82

Island View 5 2105 4 7,131.84

Island View 6 1462 6 5,607.96

Island View 7 2389 3 7,157.34

Island View Building 20

50,091.18
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 1462 6 5,607.96

Island View 4 1768 5 6,212.82

Island View 5 x 1768 N/A 0.00

Island View 6 1462 6 5,607.96

Island View 7 2105 4 7,131.84

Island View 8 1462 6 5,607.96

Island View 9 2389 3 7,157.34

Island View Building 21

45,402.24
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1462 6 5,607.96

Island View 5 x 1768 N/A 0.00

Island View 6 2105 4 7,131.84

Island View 7 1462 6 5,607.96

Island View 8 2200 3 7,157.34

Island View Building 22

49,146.66
Island View 1 x 2392 N/A 0.00

Island View 2 1459 6 5,607.96

Island View 3 2103 4 7,131.84

Island View 4 1459 6 5,607.96

Island View 5 1768 5 6,212.82

Island View 6 1768 5 6,212.82

Island View 7 1462 6 5,607.96

Island View 8 1462 6 5,607.96

Island View 9 2200 3 7,157.34

I-5
Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Island View Building 23

32,662.44
Island View 1 2200 3 7,157.34

Island View 2 1462 6 5,607.96

Island View 3 2105 4 7,131.84

Island View 4 1462 6 5,607.96

Island View 5 2200 3 7,157.34

Island View Building 24

27,054.48
Island View 1 2200 3 7,157.34

Island View 2 x 1462 N/A 0.00

Island View 3 2105 4 7,131.84

Island View 4 1462 6 5,607.96

Island View 5 2200 3 7,157.34

Waterside Building 25

30,327.66
Waterside 1 2744 1 8,100.84

Waterside 2 x 2189 N/A 0.00

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2581 2 7,912.14

Waterside Building 26

29,572.86
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 x 2581 N/A 0.00

Waterside Building 27

37,485.00
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2581 2 7,912.14

Waterside Building 28

37,485.00
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2581 2 7,912.14

Waterside Building 29

29,572.86
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 x 2581 N/A 0.00

I-6
Product
Building # and
Townhomes in
the Building
Townhome
Square Footage
Rate and
Method Land
Use Class
Fiscal Year
2023/24
Assigned Special
Tax
Total Assigned
Special Taxes
for Units in
the Building
Waterside Building 30

29,572.86
Waterside 1 2744 1 8,100.84

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 x 2581 N/A 0.00

Waterside Building 31

29,384.16
Waterside 1 x 2744 N/A 0.00

Waterside 2 2189 3 7,157.34

Waterside 3 2189 3 7,157.34

Waterside 4 2189 3 7,157.34

Waterside 5 2581 2 7,912.14
Total Fiscal Year 2023-24 Assigned Special Taxes $1,077,239.34 $1,077,239.34