CRG Fund Manager LLC

ITEM 5: FEES AND COMPENSATION

Item 5.A. Description of Compensation Arrangements

USLF Funds

Investment Management Fees:

CRG FM is entitled to receive from the USLF Funds, an investment management fee (the “Investment
Management Fee”), payable quarterly in arrears, equal to one and one-half percent (1.5%) of all invested
and unreturned capital. CRG FM will make all securities-related investment decisions on behalf of the
Fund.

Carried Interest:
Distributions of cash flow of the USLF Funds to the Partners will be apportioned pro rata in accordance
with their respective percentage interests (based on the Partners’ respective capital contributions). The
amounts apportioned to the general partner and the affiliated Limited Partners will be distributed to each of
them. The amount apportioned to each other Limited Partner, generally, shall be made in the following
order of priority:

    -   First, to such Limited Partner, in proportion to and to the extent of the accrued and unpaid
        Preferred Return (defined below) of such Limited Partner;

    -   Second, to such Limited Partner, to the extent of its unreturned capital contributions; and
    -   Thereafter, (a) eighty percent (80%) to such Limited Partner and (b) twenty percent (20%) to the
        general partner (the general partner’s “Carried Interest”).

Acquisition Fee:

Upon the closing of each Investment, the USLF Funds will pay CRG FM (or its designee) a real estate
acquisition fee in the amount of one-quarter of one percent (0.25%) of the capital to be invested in such
Investment (determined as of the closing of the Investment) (the “Acquisition Fee”).

Administration Fee:

Upon accepting each Limited Partner’s Commitment, such Limited Partner shall pay CRG FM (or its
designee) a one-time administration fee in the amount determined in accordance with the following
schedule (the “Administration Fee”). CRG FM, or the Fund’s general partner, may waive this fee at their
discretion.

 Commitment Amount                              Administration Fee (as a percentage of Commitment)
 Less than $1,000,000                                                      1.0%
 $1,000,000 and below $5,000,000                                           0.5%
 $5,000,000 or more                                                     Fee waived

Fund Development Fee:

In connection with the development of each Investment, the USLF Fund will cause the entity that owns the
Investment to pay CRG FM (or its designee) a development fee in the amount of one-quarter of one percent
(0.25%) of the hard and managed soft costs of such Investment (determined as of the closing of the
Investment) (the “Fund Development Fee”).

CRG GP Funds:

Investment Management Fees:

CRG FM is entitled to receive from the CRG GP Funds, as compensation for its services, an investment
management fee, payable quarterly in arrears, equal to one and one-half percent (1.5%) per annum based
on (A) Commitments through the expiration or termination of the Investment Period, and (B) thereafter on
each Limited Partner’s Capital Contributions allocable to Investments or Fund reserves and decreased from
time to time (computed on an Investment by Investment basis) to reflect returns of capital relating to
Investments that have been disposed of or and write-offs of capital relating to Investments that have been
permanently written off.

Carried Interest:

Distributable cash representing a return of capital contributions allocable to any investment received by the
CRG GP Funds from any Joint Venture will be distributed by the Fund to the Partners quarterly, subject to
typical discretionary operating reserves and required liquidity covenants. Distributable cash is generally
defined as cash revenues received by the Fund less costs, expenses, capital set aside for follow-on
investments, and working capital.

There will be a negotiated hurdle rate with third-party Joint Venture partners of the CRG GP Funds. Any
promote or Carried Interest payable by the third-party Joint Venture partners will be distributed 25 to 30%
to the non-Affiliated Limited Partners and 70 to 75% to the General Partner, the affiliated Limited Partners
and their designees, depending on the specific Fund in question.

CRG GP Fund II may also make initial acquisitions for one hundred percent (100%) ownership of a property
with the intent to sell partial ownership to a joint venture partner post-closing as a Joint Venture Investment.
Such acquisitions may include real property that, at the time of acquisition (i) requires appropriate
approvals, permitting, zoning and other entitlements prior to commencing the General Partner’s proposed
development (each an “Unentitled Land Investment”), which the General Partner may elect to sell prior
to vertical development, or (ii) is entitled and otherwise has requisite approvals needed for vertical
development (each an “Entitled Land Investment”), which the General Partner may elect to sell prior to
vertical development.

In the event an Unentitled Land Investment is either (i) recapitalized as a Joint Venture Investment, or (ii)
following a determination that the Investment is not suitable as a Joint Venture Investment (a) sold or
otherwise conveyed to a third-party purchaser prior to vertical development thereof, or (b) sold or otherwise
conveyed to an affiliate of the General Partner at fair market value (supported by third-party appraisal or
broker opinion of value), distributable cash allocable to such Unentitled Land Investment will be distributed
by the Funds to the Investors, subject to funding discretionary operating reserves and satisfying any required
liquidity covenants, in the following order of priority:

    -   First, to the Partners, pro rata and pari passu, until the Limited Partners have earned a 1.2x equity
        multiple on their Capital Contributions allocable to the Unentitled Land Investment; and
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ITEM 7: TYPES OF CLIENTS

CRG FM provides discretionary investment management services to pooled investment vehicles in which
interests may be offered to other private funds, high-net worth individuals and institutions, as described in
Item 4.B.