Genesis Financial Group Inc.

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Corporate Profile

• Company Business Advisor and Service Provider
  to Real Estate Funds for Institutional
  Investors
• Investment Focus Single Tenant Office
  Properties Leased to Agencies of the US
  Federal Government
• Targeted Return Average Overall Yield of over
  7,5
• Services Provided - Acquisition, Leasing and
  Disposition
• - Asset, Property and Construction Management
• - Financing Procurement
• Office Location Grosse Ile, Michigan - USA

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Product Focus

• US Government Leased Occupied Office Properties
• Single-Tenant / Stand Alone Buildings
• Tenants are Agencies of the Federal Government
• General Services Administration (GSA)
• Department of Homeland Security
• Department of Veterans Affairs
• Long-Term Lease Contracts 7-20 years
• Locations throughout the United States
• General Services Administration represents many
  federal US Government
• Agencies including, for example, the Social
  Security Administration, Bureau of
• Land Management, Drug Enforcement Agency, US
  Department of Agriculture,
• Internal Revenue Service and the Federal Bureau
  of Investigation

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Market Opportunity

• US Government owns and occupies over 230 million
  square meters of office related space
• US Government leases 35 million square meters
• Leased Space Growth Rate of 12 over the last
  five years
• 9/11 Impact
• Security and safety issues accelerate new leasing
• New agencies created Transportation Security
  Administration, Homeland Security
• Renovation of existing facilities to meet new
  standards
• Historical US Government lease renewal rate is
  above 80
• Average Government Tenure of over 30 years

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Industry Position Focus

• Genesis focuses exclusively on the Federal
  Government Real Estate market
• Access to proprietary deal flow from strategic
  relationships with
• Government agencies and their databases
• Government approved developer network
• Government experienced broker network
• Over 12 years experience working successfully
  with Government Tenants
• Specialized asset / property management skill set
• Understanding government tenants unique needs
• Consistent top 10 Ranking among GSA service
  providers by independent Gallop Poll surveys
• Reputation with the GSA as a problem solver

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Exit Strategy

• Focus on Exit Strategy during the Acquisition
  Process
• Location / Access / Transportation
• Expansion Capability
• Assessment of local real estate market
  fundamentals
• Realistic Market Forecasts
• Adjust Exit Strategy during Hold Period
• Disposition Options
• Finance / Refinance and Sell
• Redevelop / Expand, Extend Lease, Sell
• Single Asset Third Party Sale
• Bulk Sale / Multiple Properties

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Investment Portfolio Pipeline

• Access to about US 500 million in transactions
  per year
• Portfolio Mix 90 Office / 10 Other
• Deal Size US 20 million - US 200 million
• Deal Delivery Present 24 months (development)
• Diversification across the United States
• Existing and development properties available

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Historic Investment Returns

• Unit Investment Trust Program
• US 225 million invested
• Average (unleveraged) NOI return 9.16 (01/01/99
  - 30/06/06)
• Returns exceed NCREIF Office Index annually for
  4 of the
• last 5 program years (2001-2005)
• Generated by Genesis Financial Group, Inc., an
  affiliated Company
• National Council of Real Estate Investment
  Fiduciaries

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Public Market IPO Experience

• Government Properties Trust, Inc. (NYSE GPT)
• NYSE Listed REIT IPO January 2004
• Acquired initial 11 assets (US 123 million)
  hired management team
• US 192 million raise / 19.3 million shares sold
• Return on Equity 36
• Oversubscribed 11 times
• Generated by Gen-Net Lease Income Trust, Inc.,
  an affiliated Company

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Genesis International Benefits

• Best Credit US Federal Government
• Attractive Risk Adjusted Returns Bond
  Alternative
• Security Long-Term Lease Renewal Rate above 80
  
• Deal Flow Market Growing at 2 per year
• Seasoned Advisor Proven Investment Results
• Experienced Management Team

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Office Location

• Genesis International, LLC
• 8100 Macomb Street
• Grosse Ile, MI 48138
• USA
• 41.79.615 4633
• Thomas Ernst, Managing Partner
• D. James Barton, Managing Partner
• Gregg S. Barton, Managing Partner

• Genesis Financial Group, Inc.
• 8100 Macomb Street
• Grosse Ile, MI 48138
• USA
• 1.734.362.0175
• D. James Barton, President
• Gregg S. Barton, Vice President

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