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[2]Professional Fees are related to Construction including Contingency DISPOSAL Purchaser's Costs based on Net Capitalisation Purchaser's Costs Deducted from Sale (not Added to Cost) Sales Fees based on Sales plus Net Capitalisation[4]Sales Fees Added to Cost (not Deducted from Sale) INTEREST[1]Single rates of Interest adopted for all Payments/Receipts: Debit Rate 7.25%. Credit Rate 7.25% Interest Compounded Quarterly and Charged Monthly Same rate of interest in each DCF period Interest calculated on items in final DCF period[5]Interest included in IRR calculations[6]Effective Rates of Interest used INFLATION/GROWTH Inflation Sets Set Number Set 1 Infl.Rate % 0.00 CASHFLOW Payments In Arrears Receipts In Advance[3]Initial IRR guess rate 8.00% VALUATION Tables are Annually in Arrears Rent Free Cost method: Defer Tenant's Capital Value by length of Rent Free period RESIDUAL TARGETS Single Land Cost Profit on Cost 20.00% File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL Appraisal Summary for Linked Parts 1 2 3 4 5 6 7 8 9 REVENUE Sales Valuation ft² Rate ft² Grs.Value Hotel Site 1 unit at £1,500,000 1,500,000 Creche 1 unit at £325,000 325,000 1,825,000 Rental Area Summary ft² Rate ft² Grs. Rent pa Tranche A - Guinness Pre-let 155,625 £27.50 4,279,688 Tranche B 115,605 £25.00 2,890,125 Tranche C 103,750 £26.00 2,697,500 Tranche D 77,729 £26.00 2,020,954 Tranche E 173,407 £27.00 4,681,989 Tranche F 155,625 £27.00 4,201,875 Tranche G 115,606 £29.00 3,352,574 Tranche H 103,750 £29.00 3,008,750 Tranche J 77,729 £29.00 2,254,141 1,078,826 29,387,596 Investment Valuation Valuation Rent Yield Factor Cap. Rent Tranche A - Guinness Pre-let 4,279,688 YP @ 6.75% 14.8148 3 mths rent free. PV (3 mths) @ 6.75% 0.9838 62,375,834 Tranche B 2,890,125 YP @ 7.25% 13.7931 12 mths rent free. PV (12 mths) @ 7.25% 0.9324 37,169,038 Tranche C 2,697,500 YP @ 7.25% 13.7931 12 mths rent free. PV (12 mths) @ 7.25% 0.9324 34,691,745 Tranche D 2,020,954 YP @ 7.25% 13.7931 12 mths rent free. PV (12 mths) @ 7.25% 0.9324 25,990,888 Tranche E 4,681,989 YP @ 7.00% 14.2857 12 mths rent free. PV (12 mths) @ 7.00% 0.9346 62,509,866 Tranche F 4,201,875 YP @ 7.00% 14.2857 12 mths rent free. PV (12 mths) @ 7.00% 0.9346 56,099,800 Tranche G 3,352,574 YP @ 6.75% 14.8148 12 mths rent free. PV (12 mths) @ 6.75% 0.9368 46,527,178 Tranche H 3,008,750 YP @ 6.75% 14.8148 12 mths rent free. PV (12 mths) @ 6.75% 0.9368 41,755,573 Tranche J 2,254,141 YP @ 6.75% 14.8148 12 mths rent free. PV (12 mths) @ 6.75% 0.9368 31,283,074 398,402,996 GROSS DEVELOPMENT VALUE 400,227,996 Purchaser's Costs -20,734,925 NET DEVELOPMENT VALUE 379,493,071 ADDITIONAL REVENUE SRB GRANT 12,252,000 12,252,000 NET REALISATION 391,745,071 OUTLAY ACQUISITION COSTS Acquisition Price 14,807,388 Stamp Duty 4.00% 592,296 Acquisition Agent Fees 1.00% 148,074 Acquisition Legal Fees 0.50% 74,037 15,621,795 CONSTRUCTION COSTS Summary ft² Rate ft² Cost Tranche A - Guinness Pre-let 187,500 £167.95 31,490,625 Tranche B 139,283 £137.27 19,119,377 Tranche C 125,000 £137.27 17,158,750 Tranche D 93,650 £139.11 13,027,319 Tranche E 208,924 £138.01 28,833,601 Tranche F 187,500 £138.01 25,876,618 File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL Tranche G 139,285 £137.73 19,183,723 Tranche H 125,000 £137.73 17,216,250 Tranche J 93,650 £139.11 13,027,319 1,299,792 184,933,582 Contingency 4.00% 7,397,343 7,397,343 PROFESSIONAL FEES Architect 3.50% 6,731,582 Quantity Surveyor 3.00% 5,769,928 Structural Engineer 4,010,370 Electrical Egineer 1.00% 1,923,309 Project Management 1.00% 1,923,309 20,358,498 MARKETING Marketing 900,000 Letting Agent Fees 15.00% 4,408,139 Letting Legal Fees 5.00% 1,469,380 6,777,519 DISPOSAL FEES Sales Agent Fees 0.75% 2,846,198 Sales Legal Fees 0.50% 1,897,465 4,743,663 ADDITIONAL COSTS Infrastructure 23,242,000 S106 etc 825,000 Site purchase 58,803 Site Purchase Concorde Zone 1,085,500 Infrastructure 1,504,000 Technical 462,615 S106 etc 615,000 Infrastructure 17,056,000 Technical 9,269,876 S106 etc 1,020,000 Infrastructure 4,002,000 Technical 7,353,490 S106 etc 185,000 Infrastructure 2,866,000 Technical 1,475,893 S106 etc 855,000 Infrastructure 113,000 Technical 596,230 S106 etc 200,000 72,785,407 FINANCE Debit Rate 7.250% Credit Rate 7.250% (Effective) Land 15,667,017 Building -1,830,604 Total Finance Cost 13,836,413 TOTAL COSTS 326,454,221 PROFIT 65,290,850 Performance Measures Profit on Cost% 20.00% Profit on GDV% 16.31% Profit on NDV% 17.20% Development Yield 9.00% Equivalent Yield (Normal) 6.95% Equivalent Yield (True) 7.26% IRR % 17.37% Rent Cover 2 yrs 3 mths Profit Erosion (finance rate 7.250%) 2 yrs 6 mths File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL Appraisal Summary INCOME Sales Income 1,825,000 Annual Rental Income pa 29,387,596 Net Capital Value 398,402,996 Other Income 12,252,000 Less Purchaser's Costs -20,734,925 Net Realisation 391,745,071 OUTLAY Acquisition Site Purchase Cost 14,807,388 Site Purchase Fees 814,406 Total Purchase Cost 15,621,795 Construction Construction Costs 192,330,925 Professional Fees 20,358,498 Total Construction 212,689,424 Marketing/Letting Marketing 900,000 Letting Agent/Legal 5,877,519 Disposal Sales Costs 4,743,663 Miscellaneous Additional Costs 72,785,407 72,785,407 Finance Project Length 117 months Debit Rate 7.250% Credit Rate 7.250% (Effective) Site Finance 15,667,017 Construction Finance -1,830,604 Total Finance 13,836,413 Total Expenditure 326,454,221 Balance 65,290,850 Performance Measures Profit on Cost% 20.00% Profit on GDV% 16.31% Profit on NDV% 17.20% Development Yield 9.00% Equivalent Yield (Normal) 6.95% Equivalent Yield (True) 7.26% IRR % 17.37% Rent Cover 2 yrs 3 mths Profit Erosion (finance rate 7.250%) 2 yrs 6 mths File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL RENT AND CAPITALISATION Areas (Sq Feet) Units Area/Unit Total Net Rent ERV Growth Period % ft² Area ft² £ pf² £ pa Rate % Mths Ded'n Tranche A - Guinness Pre-let Tranche A - Guinness Pre-let 1 155,625 155,625 27.50 4,279,688 0.00 0 0.00 Tranche B Tranche B 1 115,605 115,605 25.00 2,890,125 0.00 0 0.00 Tranche C Tranche C 1 103,750 103,750 26.00 2,697,500 0.00 0 0.00 Tranche D Tranche D 1 77,729 77,729 26.00 2,020,954 0.00 0 0.00 Tranche E Tranche E 1 173,407 173,407 27.00 4,681,989 0.00 0 0.00 Tranche F Tranche F 1 155,625 155,625 27.00 4,201,875 0.00 0 0.00 Tranche G Tranche G 1 115,606 115,606 29.00 3,352,574 0.00 0 0.00 Tranche H Tranche H 1 103,750 103,750 29.00 3,008,750 0.00 0 0.00 Tranche J Tranche J 1 77,729 77,729 29.00 2,254,141 0.00 0 0.00 Heading % Gearing Fixed Total Yield% Term Sinking Tax on YP Gross Cap. R Gr. Rent Gr. Rent (yrs) Fund % SF % Rent Tranche A - Guinness Pre-let Tranche A - Guinness Pre-let 0.00 0 0 6.75 Freehold 14.8148 63,402,785 Tranche B Tranche B 0.00 0 0 7.25 Freehold 13.7931 39,863,793 File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL Heading % Gearing Fixed Total Yield% Term Sinking Tax on YP Gross Cap. R Gr. Rent Gr. Rent (yrs) Fund % SF % Rent Tranche C Tranche C 0.00 0 0 7.25 Freehold 13.7931 37,206,897 Tranche D Tranche D 0.00 0 0 7.25 Freehold 13.7931 27,875,228 Tranche E Tranche E 0.00 0 0 7.00 Freehold 14.2857 66,885,557 Tranche F Tranche F 0.00 0 0 7.00 Freehold 14.2857 60,026,786 Tranche G Tranche G 0.00 0 0 6.75 Freehold 14.8148 49,667,763 Tranche H Tranche H 0.00 0 0 6.75 Freehold 14.8148 44,574,074 Tranche J Tranche J 0.00 0 0 6.75 Freehold 14.8148 33,394,681 Rent Free income loss is calculated by deferring the Capital Value by the Rent Free Period. SALES Tranche A - Guinness Pre-let Areas (Sq Feet) Units Total Net Sales Gross Sales Growth Period % Fixed Area ft² £ pf² £ pa % Mths Ded'n Ded'n Hotel Site 1 0 0.00 1,500,000 0.00 0 0.00 0 Tranche E Areas (Sq Feet) Units Total Net Sales Gross Sales Growth Period % Fixed Area ft² £ pf² £ pa % Mths Ded'n Ded'n Creche 1 0 0.00 325,000 0.00 0 0.00 0 File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL CONSTRUCTION Areas (Sq Feet) Units Total Gross Cost Gross Cost Inflation Period Net Cost Area ft² £ pf² £ Rate % Mths £ Tranche A - Guinness Pre-let Tranche A - Guinness Pre-let 1 187,500 167.95 31,490,625 0.00 0 31,490,625 Tranche B Tranche B 1 139,283 137.27 19,119,377 0.00 0 19,119,377 Tranche C Tranche C 1 125,000 137.27 17,158,750 0.00 0 17,158,750 Tranche D Tranche D 1 93,650 139.11 13,027,319 0.00 0 13,027,319 Tranche E Tranche E 1 208,924 138.01 28,833,601 0.00 0 28,833,601 Tranche F Tranche F 1 187,500 138.01 25,876,618 0.00 0 25,876,618 Tranche G Tranche G 1 139,285 137.73 19,183,723 0.00 0 19,183,723 Tranche H Tranche H 1 125,000 137.73 17,216,250 0.00 0 17,216,250 Tranche J Tranche J 1 93,650 139.11 13,027,319 0.00 0 13,027,319 File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003 Circle Systems FIRST CENTRAL ADDITIONAL REVENUES & COSTS Tranche A - Guinness Pre-let Description Type VAT Starting Ending Total Applied Amount £ SRB GRANT Revenue No May 2000 May 2002 12,252,000 Infrastructure Cost No Nov 2000 Apr 2002 -23,242,000 S106 etc Cost No Nov 2000 Jul 2001 -825,000 Site purchase Cost No May 2001 May 2001 -58,803 Site Purchase Concorde Zone Cost No May 2000 May 2000 -1,085,500 -25,211,303 Tranche B Description Type VAT Starting Ending Total Applied Amount £ Infrastructure Cost No Nov 2001 Jan 2003 -1,504,000 Technical Cost No Nov 2001 Jan 2003 -462,615 S106 etc Cost No Nov 2001 May 2002 -615,000 -2,581,615 Tranche C Description Type VAT Starting Ending Total Applied Amount £ Infrastructure Cost No Nov 2002 Jan 2004 -17,056,000 Technical Cost No Nov 2002 Jan 2004 -9,269,876 S106 etc Cost No Nov 2002 May 2003 -1,020,000 -27,345,876 Tranche D Description Type VAT Starting Ending Total Applied Amount £ Infrastructure Cost No Nov 2003 Jan 2005 -4,002,000 Technical Cost No Nov 2003 Jan 2005 -7,353,490 S106 etc Cost No Nov 2003 May 2004 -185,000 -11,540,490 Tranche E Description Type VAT Starting Ending Total Applied Amount £ Infrastructure Cost No Nov 2004 Apr 2006 -2,866,000 Technical Cost No Nov 2004 Apr 2006 -1,475,893 S106 etc Cost No Nov 2004 May 2005 -855,000 -5,196,893 Tranche F Description Type VAT Starting Ending Total Applied Amount £ Infrastructure Cost No Nov 2005 Apr 2007 -113,000 Technical Cost No Nov 2005 Apr 2007 -596,230 S106 etc Cost No Jan 2006 Jan 2006 -200,000 -909,230 File: C:\WINDOWS\Desktop\New infrastructure & timing & costs.wcfDate: 04/2/2002 Circle Version: 2.06.003