7/11/2008

Multi-Family Loan Programs > $3 Million

Agency Lenders Portfolio Lenders*
Term Leverage Max. Interest Rates Leverage Max. Interest Rates
5 Yr. 80% 5.86% to 6.01% 75% 6.05% to 6.25%
7 Yr. 80% 5.88% to 6.04% 75% 6.40% to 6.65%
10 Yr. 80% 6.05% to 6.27% 75% 6.55% to 6.85%
15 Yr. 80% 6.47% to 7.07% 75% 6.85% to 7.35%
*Rates based on Act/360
Multi-Family Loan Programs < $3 Million
Fixed Rate Agency Lenders Portfolio Lenders*
Term Leverage Max. Interest Rates Leverage Max. Interest Rates
3 Yr. 80% 5.78% to 6.22% 75% 5.90% to 6.25%
5 Yr. 80% 5.76% to 6.14% 75% 6.05% to 6.35%
7 Yr. 80% 5.80% to 6.10% 75% 6.40% to 6.65%
10 Yr. 80% 5.97% to 6.27% 75% 6.55% to 6.85%
15 Yr. 80% 5.53% to 7.44% 75% 6.85% to 7.35%
*Rates based on Act/360
Commercial Loan Programs
Fixed Rate Portfolio Lenders* Index Rate as of 7/11/2008

Term Leverage Max. Interest Rates 5-Year Treasury: 3.28% 10-Year Treasury: 3.96%
5 Yr. 75% 6.13% to 6.28% 5-Year Swap: 4.18% 10-Year Swap: 4.64%
7 Yr. 75% 6.31% to 6.46% Prime: 5.00% LIBOR: 3.12%
10 Yr. 75% 6.59% to 6.84%
15 Yr. 75% 6.90% to 7.40%
Bridge Floating Leverage Max. Spread Over Libor
Stabilized 75% 225 to 300
Re-Position 80% 275 to 350
(*Portfolio Lenders include Banks, Life Insurance Companies and Credit Unions)
Economic Commentary

7-11-08 Interest rates fell an average of 15 basis points as

the U.S. Treasury 5- and 10-year yields fell this week, then
rebounded sharply today as Treasuries fell based on
speculation that the government will not have to bail out
Freddie Mac and Fannie Mae. Overall credit continues to
tighten as commercial banks seek increased liquidity and
apply more restrictive underwriting standards.

Recent Transactions
44th Street Ivy Park Crossing 170th Street 11860 Chandler Blvd.
Office - Class B Retail Center Multi-Family Garden Apt. Multi-Family Mid Rise
Grand Rapids, MI Plano, TX North Miami, FL Valley Village, CA
$9,375,000 $3,400,000 $1,100,000 $2,270,000
5.75% Interest rate 6.20% Interest rate 5.77% Interest rate 5.95% Interest Rate
120-mos. Term/300-mos. Amort. 84-mos. Term/360-mos. Amort. 60-mos. Term/360-mos. Amort. 360-mos. Term/360-mos. Amort.

For more information, contact:

William Hughes
Senior Vice President/Managing Director
Newport Beach, CA
Office: (949) 851-3030
whughes@marcusmillichap.com