PROPERTY CONDITION ASSESSMENT - Tdhca.state.tx.us

Property Condition Assessment Section II: Property Inspection and Evaluation Freddie Mac Loan Number Report Date TBD December 7, 2015 Subject Property Name Brentwood Oaks Seller/Servicer Name Address Berkadia Commercial Mortgage LLC 604 South Eagle Street Seller/Service Number City, State, Zip 154671 Fredericksburg, Texas 78624 Site Complete the estimated useful life, condition, remaining useful life, action and comments for the applicable items listed below. Indicate the condition using the following abbreviations: E excellent, G good, F fair and P poor. Indicate the action required using the following abbreviations: CR Critical Repairs; PR Priority Repairs; PR90 90 day Priority Repairs; OR Operational Repairs and RR reserve for future repair/replacement. See Section V for a complete description of each repair category. The consultant should attach additional information as needed. The consultant must also note any Mold observations on any component in the comment sections. Item Carports Garages Maintenance structures Trash enclosures Roadways/Parking lots Asphaltic concrete Seal coat Concrete paving Other paving: Striping Curb and gutter Interior gutter (swale) Pedestrian paving/hardscape Signage Estimated Useful Life 40 50 20 15 20 5 30 30 5 30 30 30 15 Condition (E, G, F, P) Remaining Useful Life G 15 G G G G G 3 15 15 17 1-15 Action (CR, PR, PR-90, OR, RR) RR Comments/Mold Observations RR: Restriping Routine maintenance; limited / low cost repairs and replacements anticipated Site Utilities Site water lines Site sanitary lines Site lighting Site drainage (storm drainage) 40 50 25 50 G G G G 23 33 14 33 PR PR: Stabilze erosion repair drainage area Landscaping Irrigation Site fences 20 30 50 G G G 13 14 33 PR PR: Repair damaged wood fencing Tennis courts Swimming pool and/or spa Pool and/or spa plaster/liner Pool and/or spa heating equipment Pool and/or spa filtration equipment Pool and/or spa deck surface Sauna Recreation/Play area and equipment Other Other Other 15 G 5 RR RR: Resurface pool G G 5 13 RR RR: Replace pool equipment G 14 Freddie Mac Multifamily Form 1105 (09/2015) 15 10 10 25 15 20 Section II, Page 4 of 13

Freddie Mac Loan Number Report Date Subject Property Name TBD December 7, 2015 Brentwood Oaks Seller/Servicer Name Address Berkadia Commercial Mortgage LLC 604 South Eagle Street Seller/Service Number City, State, Zip 154671 Fredericksburg, Texas 78624 Structural, building envelope and common area furniture, fixtures and equipment Complete the estimated useful life, condition, remaining useful life, action and comments for the applicable items listed below. Indicate the condition using the following abbreviations: E excellent, G good, F fair and P poor. Indicate the action required using the following abbreviations: CR Critical Repairs; PR Priority Repairs; PR90 90 day Priority Repairs; OR Operational Repairs and RR reserve for future repair/replacement. See Section V for a complete description of each repair category. The consultant should attach additional information as needed. The consultant must also note any Mold observations on any component in the comment sections. Estimated Useful Life 50 20 50 50 8 Condition (E, G, F, P) G Remaining Useful Life 33 G G G 33 33 6 Doors and frames Windows and frames Stairs Fire escapes Balconies/Handrails/Guardrails Decks Patio slabs Unit fencing (patio fencing) Roof coverings Roof drainage (gutters, drains, etc.) Building mounted lighting 30 30 25 50 30 50 40 50 25 25 15 G G G 18 16 14 G G G G G G G 16 33 23 33 8 8 1-15 Common area improvements Common area floors 10 G 9 20 25 15 15 G G 20 25 Item Foundation (structural) Foundation (waterproofing) Building slab (structural) Exterior walls/roof (structural) Exterior walls (paint/finish) Community facilities kitchen Community facilities appliances Community washing machines Community clothes dryers Other Other Other Other Other Freddie Mac Multifamily Form 1105 (09/2015) Action (CR, PR, PR-90, OR, RR) Comments/Mold Observations PR, RR PR: Paint gable bargeboards RR: Exterior maintenance/painting RR RR: Roof replacements Included in roof replacements Routine maintenance; limited / low cost repairs and replacements anticipated RR RR: Replace common area flooring Section II, Page 5 of 13

Freddie Mac Loan Number Report Date Subject Property Name TBD December 7, 2015 Brentwood Oaks Seller/Servicer Name Address Berkadia Commercial Mortgage LLC 604 South Eagle Street Seller/Service Number City, State, Zip 154671 Fredericksburg, Texas 78624 Mechanical and electrical Complete the estimated useful life, condition, remaining useful life, action and comments for the applicable items listed below. Indicate the condition using the following abbreviations: E excellent, G good, F fair and P poor. Indicate the action required using the following abbreviations: CR Critical Repairs; PR Priority Repairs; PR90 90 day Priority Repairs; OR Operational Repairs and RR reserve for future repair/replacement. See Section V for a complete description of each repair category. The consultant should attach additional information as needed. The consultant must also note any Mold observations on any component in the comment sections. Estimated Useful Life Condition (E, G, F, P) Remaining Useful Life 50 25 25 15 15 25 G 33 G 1-15 G 20 30 G Cooling System (condensers) Electrical Building power/Wiring Switchgear/Metering Emergency lighting/Generator Smoke and fire detection 20 60 40 10 15 Buzzer/Intercom (security) Fire suppression Elevators Security Other Other Other Other Other 15 50 30 30 Item Mechanical/Plumbing Hot and cold water distribution Domestic water boilers Domestic water boiler peripherals Domestic water heaters Domestic water pumps Sanitary waste and vent (sewer) Mechanical/HVAC Heating System (electric fan coil) Freddie Mac Multifamily Form 1105 (09/2015) Action (CR, PR, PR-90, OR, RR) Comments/Mold Observations RR RR: Replace water heaters 13 RR, limited/early RR: Replace fan coil units, limited/early G 3 RR G G 43 23 G 1-15 RR: Replace condensers Routine maintenance; limited / low cost repairs and replacements anticipated Section II, Page 6 of 13

Freddie Mac Loan Number Report Date Subject Property Name TBD December 7, 2015 Brentwood Oaks Seller/Servicer Name Address Berkadia Commercial Mortgage LLC 604 South Eagle Street Seller/Service Number City, State, Zip 154671 Fredericksburg, Texas 78624 Dwelling units Complete the estimated useful life, condition, remaining useful life, action and comments for the applicable items listed below. Indicate the condition using the following abbreviations: E excellent, G good, F fair and P poor. Indicate the action required using the following abbreviations: CR Critical Repairs; PR Priority Repairs; PR90 90 day Priority Repairs; OR Operational Repairs and RR reserve for future repair/replacement. See Section V for a complete description of each repair category. The consultant should attach additional information as needed. The consultant must also note any Mold observations on any component in the comment sections. Item Unit entry door(s) and frame(s) Patio Doors Smoke/fire detection Buzzer/Intercom (security) Window coverings Flooring Carpet Resilient flooring (vinyl) Other Cabinetry Kitchen Bathrooms Other Countertops and sinks Kitchen Bathrooms Other Appliances Refrigerator Range/Stove Range vent Dishwasher Disposal Microwave Clothes washer Clothes dryer Bathroom improvements Toilet Tub/Shower and enclosures Accessories Gypsum wallboard - Unit 413 Other Freddie Mac Multifamily Form 1105 (09/2015) Estimated Useful Life 30 30 15 Condition (E, G, F, P) G G G Remaining Useful Life 16 14 1-15 15 20 G 1-20 8 15 30 G G 1-8 1-15 25 25 G G 20 20 25 25 G G 20 20 20 25 15 G G G 15 10 Action (CR, PR, PR-90, OR, RR) Comments/Mold Observations Routine maintenance; limited / low cost repairs and replacements anticipated Routine maintenance; limited / low cost repairs and replacements anticipated RR RR RR: Replace carpet RR: Replace vinyl 3 8 1-15 RR RR RR: Replace refrigerators RR: Replace range/stove Routine maintenance; limited / low cost repairs and replacements anticipated G G 1-15 1-10 RR RR: Replace dishwashers Routine maintenance; limited / low cost repairs and replacements anticipated G G G 20 20 20 PR PR: Repair Unit 413 10 15 15 25 25 25 Section II, Page 7 of 13

Property Condition Assessment Section III: Critical and Priority Repairs and Cost Estimates Freddie Mac Loan Number Report Date TBD December 7, 2015 Subject Property Name Brentwood Oaks Seller/Servicer Name Address Berkadia Commercial Mortgage LLC 604 South Eagle Street Seller/Service Number City, State, Zip 154671 Fredericksburg, Texas 78624 List each item that can be categorized as a Critical or Priority Repair. Complete the unit of measure, quantity to be repaired or replaced, per item costs, total costs and comments for each item. Complete the total of the "Per item costs" column and of the "Total costs" column. Repair Type C Critical P Priority PR-90 90 day Item Unit of Measure Quantity to be repaired or replaced Per item costs Total costs Comments SITE Drainage/erosion control Wood stackade fencing P P LS LS 1 1 3,500 1,000 Subtotal 3,500 1,000 Stabilize barren ground areas and provide positive drainage at the concrete pavement at the end of the allee sidewalk Repair damaged wood fencing 4,500 STRUCTURAL, BUILDING ENVELOPE AND COMMON AREA FURNITURE, FIXTURES AND EQUIPMENT Gable bargeboards repaint P SF 4000 1.00 4,000 Subtotal Paint gable bargeboards 4,000 MECHANICAL AND ELECTRICAL Subtotal 0 DWELLING UNITS Bathroom ceiling and walls P Subtotal TOTAL Freddie Mac Multifamily Form 1105 (09/2015) LS 1 750 750 Unit 413 suspect microbial growth and water damage repair 750 9,250 Section III, Page 8 of 13

Property Condition Assessment Section IV: Capital Needs Over the Loan Term Freddie Mac loan number Report date TBD Property name December 7, 2015 Building age Brentwood Oaks Seller/Servicer name 17 Address Berkadia Commercial Mortgage LLC Mortgage term 604 South Eagle Street Seller/Service number 10 City, State, Zip 154671 2 Number of units Fredericksburg, Texas 78624 74 Complete the quantity, unit and per item costs for the applicable items listed below. Indicate the projected expenditures for those items in each year of the loan term plus two years up to a maximum of 12 years. SITE Item Carports Garages Maintenance structures Trash enclosures Roadways/Parking lots Asphaltic concrete Seal coat Concrete paving Other paving: Striping Curb and gutter Interior gutter (swale) Pedestrian paving/hardscape Signage Site Utilities Site water lines Site sanitary lines Site lighting Site drainage (storm drainage) Landscaping Irrigation Site fences Tennis courts Swimming pool and/or spa Pool and/or spa plaster/liner Pool and/or spa heating equipment Pool and/or spa filtration equipment Pool and/or spa deck surface Sauna Recreation/Play area and equipment Other Other Other Freddie Mac Multifamily Form 1105 (09/2015) Quantity Unit of Measure Per Item Cost 266 EA 6.00 1 EA 5,000.00 5,000 5,000 1 EA 1,750.00 1,750 1,750 Year 1 Year 2 Year 3 Year 4 Year 5 798 Year 6 Year 7 Year 8 798 Year 9 Year 10 Year 11 Year 12 Total 1,596 Section IV, Page 9 of 13

Freddie Mac loan number Report date TBD Property name December 7, 2015 Building age Brentwood Oaks Seller/Servicer name 17 Address Berkadia Commercial Mortgage LLC Mortgage term 604 South Eagle Street Seller/Service number 10 City, State, Zip 154671 2 Number of units Fredericksburg, Texas 78624 74 STRUCTURAL, BUILDING ENVELOPE AND COMMON AREA FURNITURE, FIXTURES AND EQUIPMENT Item Foundation (structural) Foundation (waterproofing) Building slab (structural) Exterior walls/roof (structural) Exterior walls (paint/finish) Doors and frames Windows and frames Stairs Fire escapes Balconies/Handrails/Guardrails Decks Patio slabs Unit fencing (patio fencing) Roof coverings Roof drainage (gutters, drains, etc.) Building mounted lighting Common area improvements Common area floors Community facilities kitchen Community facilities appliances Community washing machines Community clothes dryers Other Other Other Other Other Freddie Mac Multifamily Form 1105 (09/2015) Quantity Unit of Measure Per Item Cost 74 UNIT 250.00 36,000 SF 1.25 1,500 SF 1.35 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 18,500 Year 10 Year 11 Year 12 Total 18,500 45,000 45,000 2,025 2,025 Section IV, Page 10 of 13

Freddie Mac loan number Report date TBD Property name December 7, 2015 Building age Brentwood Oaks Seller/Servicer name 17 Address Berkadia Commercial Mortgage LLC Mortgage term 604 South Eagle Street Seller/Service number 10 City, State, Zip 154671 2 Number of units Fredericksburg, Texas 78624 74 MECHANICAL AND ELECTRICAL Item Mechanical/Plumbing Hot and cold water distribution Domestic water boilers Domestic water boiler peripherals Domestic water heaters Domestic water pumps Sanitary waste and vent (sewer) Mechanical/HVAC Heating System (electric fan coil) Cooling System (condensers) Electrical Building power/Wiring Switchgear/Metering Emergency lighting/Generator Smoke and fire detection Buzzer/Intercom (security) Fire suppression Elevators Security Other Other Other Other Other Freddie Mac Multifamily Form 1105 (09/2015) Quantity Unit of Measure Per Item Cost Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Total 60 EA 200.00 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000 12 40 EA EA 650.00 425.00 650 650 650 650 650 650 650 650 650 650 650 650 7,800 1,700 1,700 1,700 1,700 1,700 1,700 1,700 1,700 1,700 1,700 17,000 Section IV, Page 11 of 13

Freddie Mac loan number Report date TBD Property name December 7, 2015 Building age Brentwood Oaks Seller/Servicer name 17 Address Berkadia Commercial Mortgage LLC Mortgage term 604 South Eagle Street Seller/Service number 10 City, State, Zip 154671 2 Number of units Fredericksburg, Texas 78624 74 DWELLING UNITS Item Unit entry door(s) and frame(s) Patio Doors Smoke/fire detection Buzzer/Intercom (security) Window coverings Flooring Carpet Resilient flooring (vinyl) Other Cabinetry Kitchen Bathrooms Other Countertops and sinks Kitchen Bathrooms Other Appliances Refrigerator Range/Stove Range vent Dishwasher Disposal Microwave Clothes washer Clothes dryer Bathroom improvements Toilet Tub/Shower and enclosures Accessories Gypsum wallboard - Unit 413 Other TOTALS Total (uninflated) Quantity Unit of Measure Per Item Cost Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Total 108 60 UNIT UNIT 650.00 100.00 5,850 5,850 5,850 5,850 5,850 5,850 5,850 5,850 5,850 5,850 5,850 5,850 70,200 500 500 500 500 500 500 500 500 500 500 500 500 6,000 40 15 EA EA 325.00 250.00 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 1,300 13,000 750 750 750 750 750 3,750 60 EA 200.00 1,000 1,000 1,000 1,000 1,000 12,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 9,000.00 9,000.00 12,798.00 12,000.00 18,750.00 30,500.00 12,000.00 58,548.00 14,775.00 12,750.00 12,750.00 12,750.00 Inflation factor @ 3% 100.00% 103.00% 106.09% 109.27% 112.55% 115.93% 119.41% 122.99% 126.68% 130.48% 134.39% 138.42% Total inflated 9,000.00 9,270.00 13,577.40 13,112.72 21,103.29 35,357.86 14,328.63 72,006.66 18,716.53 16,635.86 17,134.93 17,648.98 Total expenditures (uninflated) 215,621.00 Total Expenditures per unit per year (uninflated) 242.82 Total expenditures (inflated) 257,892.86 Total expenditures per unit per year (inflated) 290.42 Freddie Mac Multifamily Form 1105 (09/2015) Section IV, Page 12 of 13

Property Condition Assessment Section V: Repair Categories Repair Categories Only Critical Repairs, PR-90 Repairs, Priority Repairs and Operational Repairs should be noted on Form 1105. No other repair items should be listed. Critical Repairs These are repairs and replacements that significantly impact habitability, value, income or marketability and that must be corrected before Freddie Mac will proceed with the transaction. PR-90 Repairs These are corrective actions that must be completed within 90 days, and are limited to: Imminent life safety hazards Ongoing substantive damage to the property Priority Repairs These are repairs and replacements that are significant and must be addressed as soon as possible. Priority Repairs consist of: All non-imminent life safety hazards Violations of any federal, State or local law, ordinance or code relating to zoning, subdivision and use, building and housing accessibility (including the Americans with Disabilities and Fair Housing Acts), health matters or fire safety Material deficiencies * Significant deferred maintenance * * Additional guidance can be found in Section 14.3(b) of the Freddie Mac Multifamily Seller/Servicer Guide Operational Repairs These are repairs and replacements that consist of Minor Deficiencies, Minor Deferred Maintenance and Handicap Accessibility Enhancements that are expected to be completed by the Borrower as part of a repairs and maintenance budget and that cannot be reasonably resolved by Routine Maintenance. Operational Repairs consist of: Minor deficiencies * Minor deferred maintenance * Handicap Accessibility Enhancements * * Additional guidance can be found in Section 14.3(b) of the Freddie Mac Multifamily Seller/Servicer Guide Freddie Mac Multifamily Form 1105 (04/2015) Section V, Page 13 of 13

EXECUTIVE SUMMARY AND PROPERTY DESCRIPTION Partner Engineering and Science, Inc. (Partner) has performed a property condition assessment (PCA) of the parcel and improvements defined in the following table (the “subject property”). The observation was performed in general accordance with ASTM E2018-08 “Standard Guide for Property Condition Assessments: Baseline Property Condition Assessment Process” and the Freddie Mac Engineering and Property Condition Report Requirements. The purpose of this Property Condition Assessment was to observe and document readily-visible materials and building system defects that might significantly affect the value of the property, and determine if conditions exist which may have a significant impact on the continued operation of the facility during the evaluation period. Property Description Property Name Address City, State, Postal Code Property Use Parcel Size (Acres) Number of Apartment Buildings Number of Other Buildings Number of Dwelling Units Stories or Floors Year Built Foundation / Substr

performed on the abovereferenced property. This - was performed in general conformance with the scope and report limitations as set forth by ASTM E2018- 08 "Standard Guide for Property Condition Assessments: Baseline Property Condition Assessment Process" and the Freddie Mac Engineering and Property Condition Report Requirements.