04/18/2008

Multi-Family Loan Programs > $3 Million

Agency Lenders Portfolio Lenders*
Term Leverage Max. Interest Rates Leverage Max. Interest Rates
5 Yr. 80% 5.83% to 5.98% 75% 5.65% to 6.15%
7 Yr. 80% 5.90% to 6.05% 75% 6.25% to 6.75%
10 Yr. 80% 6.09% to 6.33% 75% 6.25% to 6.75%
15 Yr. 80% 6.54% to 6.74% 75% 6.50% to 7.00%
*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% 5.25% to 5.68% 75% 5.50% to 6.00%
5 Yr. 80% 5.60% to 5.98% 75% 5.65% to 6.15%
7 Yr. 80% 5.72% to 6.02% 75% 6.25% to 6.75%
10 Yr. 80% 5.96% to 6.26% 75% 6.25% to 6.75%
15 Yr. 80% 6.53 to 7.42% 75% 6.50% to 7.00%
*Rates based on Act/360
Commercial Loan Programs
Fixed Rate Portfolio Lenders* Index Rate as of 4/18/2008
Variable Rates Fixed Rates
Term Leverage Max. Interest Rates
11th District Cofi: 5.87% 1 Year Treasury (TCM) 2.31%
5 Yr. 75% 5.65% to 6.15%
12 MAT: 3.794% 3 Year Treasury: 2.90%
7 Yr. 75% 6.25% to 6.75%
1 Month LIBOR: 2.87% 5 Year Treasury: 3.75%
10 Yr. 75% 6.25% to 6.75%
3 Month LIBOR: 2.91% 10 Year Treasury: 3.82%
15 Yr. 75% 6.50% to 7.00%
6 Month LIBOR: 3.02% Bank of America Prime: 5.25%
Bridge Floating Leverage Max. Spread Over Libor
Stabilized 75% 225 to 300
Re-Position 90% 275 to 350
(*Proprietary Lenders include Banks, Life Insurance Companies and Credit Unions)
Economic Commentary

4-18-08 Interest rates increased across the board 30 – 50 basis

points this week as investors moved away from government debt in
response to positive news in the capital markets sector as Citigroup
beat its revenue forecast. Swaps declined slightly though not enough
to counter the rise in Treasury yields. Speculation increased that the
Fed will cut its benchmark rate at its next session on April 30.
However, the emergence of long-term inflationary concerns will likely
push interest rates up further. Commercial banks continue to tighten
their underwriting standards with limited availability of non-recourse
debt and leverage of 65 – 70 percent typical.

Recent Transactions
Branford Industrial Broadway Plaza 83 Melrose Avenue Checker Auto
Industrial Retail 11-Unit Apartment Single Tenant
Los Angeles, CA Tempe, AZ Pasadena, CA Aurora, CO
$15,600,000 $3,000,000 $2,000,000 $1,890,000
5.56% Interest Rate 5.83% Interest Rate 5.54% Interest Rate 5.25% Interest Rate
Fixed 10-yr Term/30-yr Amortization 15-yr Term/30-yr Amortization 10-yr Term/30-yr Amortization

For more information, contact:

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