Ascendant Capital Partners LP

Item 5: Fees and Compensation

Ascendant is compensated for its advisory services through a management fee, which is generally
calculated as a percentage of capital committed during the investment period and as a percentage
of capital invested following the investment period. The precise calculation of the management
fee will vary for each Fund. An acquisition fee and a disposition/refinancing fee may be charged

upon the acquisition, refinancing or disposition of an asset, respectively, depending on vehicle
structure and market conditions. Construction oversight and/or asset management fees may also
be charged at the asset level for certain Funds. Investors and prospective investors should refer to
applicable governing documents for more detailed information on all fees charged by Ascendant.
Though fees and payment methods vary by vehicle, management fees generally are charged in
accordance with the governing documents. Depending on the governing documents and
investment vehicle, fees may be deducted from a Fund’s assets or billed directly to the investor. If
an advisory contract is terminated, a pro rata portion of any unearned management fee will be
refunded to the applicable investor. Any acquisition fee and/or disposition/refinancing fees are
collected at the time of the transaction.

Ascendant affiliates also earn a performance-based fee (for more information on performance-
based fees, see Item 6). Generally, both advisory fees and performance-based fees are non-
negotiable. However, the general partner of a Fund may enter into side letters or other similar
agreements with certain investors in connection with their admission to such Fund without the
approval of any other investor that may alter and/or supplement the terms of the Fund’s governing
documents in a manner that makes the terms applicable to such investors more favorable than those
applicable to other investors.

Each Fund will bear expenses related to its organization and operations, including brokerage
commissions, development fees, property management fees, appraisal fees, audit fees, custodial
fees (if applicable), broken deal expenses (if applicable) and other related service provider costs.

Specifically, expenses borne by the Funds vary by vehicle but may include, without limitation:

       (i)     costs and expenses incurred in connection with the acquisition, valuation, or
               disposition of investments, including expenses paid by the Fund with respect to
               potential investments that are not consummated, sales commissions, due diligence,
               appraisal fees, taxes, brokerage fees, travel expenses, and legal, accounting,
               consulting, information services, and professional fees;
       (ii)    costs and expenses incurred in connection with the operation, ownership,
               development, holding and management of each investment (to the extent the same
               are not the responsibility of the respective property manager or development
               manager), including the cost of capital improvements, property insurance
               premiums, operating deficits, leasing costs, real estate and other taxes, and ground
               rents;
       (iii)   any custodial, trustee, record keeping and other administration fees with respect to
               investments, including costs and expenses of delivering communications by
               personal delivery, overnight delivery or registered mail;
       (iv)    any and all expenses incurred in connection with the Fund’s financial statement and
               tax reporting;
       (v)     legal, accounting, auditing, consulting, appraisal, financing, filing expenses;
       (vi)    taxes and other governmental charges that may be incurred or payable by the Fund;
       (vii)   insurance premiums or expenses incurred by the Fund in connection with the
               activities of the Fund, including errors, omissions, fidelity, general partner liability,
               directors’ and officers’ liability;

       (viii)    expenses incurred to comply with any law or regulation related to the activities of
                 the Fund or incurred in connection with any litigation or governmental inquiry,
                 investigation or proceeding involving the Fund;
       (ix)      expenses incurred in connection with the dissolution, winding up or termination of
                 the Fund;
       (x)       expenses related to defaults by a limited partner in the payment of any capital
                 contributions;
       (xi)      out-of-pocket expenses for transactions that are not consummated;
       (xii)     expenses incurred in connection with any amendments, modifications, revisions or
                 restatements to the constituent documents of the Fund or any subsidiary;
       (xiii)    expenses incurred in connection with distributions to the Partners;
       (xiv)     any appraisal expenses incurred by the Fund;
       (xv)      any and all expenses related to the Fund’s indemnification obligations;
       (xvi)     project management fees, property management fees, leasing or sales brokerage
                 fees, and graphic and web design fees;
       (xvii)    any expenses of the advisory committee of a Fund (each, an “Advisory
                 Committee”), including reasonable out-of-pocket travel expenses incurred by
                 Advisory Committee members to attend Advisory Committee meetings;
       (xviii)   expenses incurred in connection with the preparation of or holding an annual
                 meeting of the limited partners (including any services, reasonable entertainment,
                 or food provided thereat).

This list of fees and/or expenses that the Funds may incur or pay directly to third parties is not
intended to be exhaustive; existing investors in the Funds are advised to review the applicable
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Item 7: Types of Clients

Ascendant provides investment advice to pooled funds, including private funds, limited
partnerships, limited liability companies, and side-car/co-investment vehicles. Investment
opportunities are offered privately to high-net-worth individuals and institutional investors
including funds of funds and tax exempt entities. Each investor in an Ascendant Fund is required
to be an accredited investor pursuant to the safe harbor provided under Regulation D under the
Securities Act. In addition, Ascendant pooled investment vehicles rely on exemptions pursuant to
Section 3(c)(7) or other applicable sections of the Investment Company Act.

Unless stated otherwise in the applicable governing documents, the minimum investment amount
in a Fund is $1,000,000. Ascendant has the sole discretion to accept investments of a lesser amount.