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HOUSE_OVERSIGHT_018816

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General Information 6 , Independence We hereby confirm that we have no conflicts of interest or material involvement in the property which is the subject of this valuation; and that we are acting as unbiased, independent, external valuers. | RICS Valuer Registration We confirm that we are in compliance with the RICS Valuer Registration program, which is mandatory for RICS members in the Caribbean region. ; Currency | Unless otherwise stated, all financial figures in this report are expressed in United States Dollars. ' Scope of Work 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 i concluded scope of work is described below. Valuation Methodology Appraisers usually consider the use of three approaches to value when developing a market value : opinion for real property. These are the cost approach, sales comparison approach, and income capitalization approach. Use of the approaches in this assignment is summarized as follows: Approaches to Value ; Approach Applicability to Subject Usein Assignment ' Cost Approach Not Applicable Not Utilized : Sales Comparison Approach Not Applicable Not Utilized Income Capitalization Approach Applicable Utilized The income capitalization approach is the most reliable valuation method for the subject due to the following: e The probable buyer of the subject would base a purchase price decision primarily on the income generating potential of the property and an anticipated rate of return. ' e Sufficient market data regarding income, expenses, and rates of return, is available for analysis. The sales comparison approach is not applicable to the subject because: ; e This approach does not reflect the primary analysis undertaken by a typical investor- | purchaser. e There are insufficient sales of comparable properties in this market from which to derive a credible

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