FCA Partners LLC

Item 5.        Fees and Compensation
FCA is generally compensated for advisory services through asset-based management fees
(“Asset Management Fee”) and performance-based compensation (“Incentive Fee”). The specific
terms of such arrangements are set forth in greater detail in the Clients’ relevant governing
document(s) and are summarized below. Clients should refer to their respective governing
documents for a complete description of fees and compensation and relevant expenses paid by
Clients.

Asset Management Fee

FCA will receive an Asset Management Fee, payable monthly by the Client, equal to the product
of a) 1/12th of the applicable asset management fee percentage for the Client, as defined in the
relevant governing document(s), and b) the average of capital account balances for the Client as of
the end of each day during a month (the Average Daily Outstanding Capital Account Balance or
“ADOCAB”) or the average daily net asset value of the applicable Client accounts (as set forth in
the Clients’ relevant governing document(s)).

Incentive/Promote Fee

The Adviser may receive an incentive or promote fee, calculated and payable as earned in
accordance with the Client’s respective governing documents.

Acquisition Fee

In accordance with the Client’s respective governing documents, the Adviser may be entitled to
receive an acquisition fee upon the acquisition of certain portfolio assets, equal to 0.50% of the
purchase price for the real estate and improvements underlying such asset.

Other Fees and Expenses

Vest may charge the portfolio properties for which they provide property management services a
property management fee, which are charged at market rates.

Generally, the Client may reimburse the Adviser or its affiliates for all ordinary, necessary and
reasonable expenses incurred by the Adviser or its affiliates which are directly related or reasonably
allocable to the portfolio properties’ interests after their acquisition, including, but not limited to (i)
salaries, bonuses, commissions, taxes, insurance and other payroll related benefits for all on-site
personnel (including affiliated personnel from time to time) (i.e., resident manager, assistant
manager, leasing, maintenance, custodial and grounds personnel, etc.); (ii) service bureau charges
for issuing the payroll checks and related reports regarding the on-site personnel referenced in
subparagraph (i); (iii) third party training/educational seminar expenses and professional association
dues for employees referenced in subparagraph (i) together with travel expenses, if any, related to
these activities; (iv) office supplies, equipment, telephone, fax, and postage expenses used on-site
at property offices; (v) allocable portions of salaries, bonuses, commissions, taxes, insurance and
other payroll related benefits for supervisory management, property-related accounting personnel
and support personnel at headquarters or other regional offices, and; (vi) travel expenses related to
property management functions for personnel referenced in subparagraph (v).

The following costs and expenses allocable to the portfolio properties’ interests after their acquisition
are not reimbursable to the Adviser: (a) salaries, bonuses, commissions, taxes, insurance and other
payroll related benefits for Adviser management personnel not referenced in subparagraph (i) or (v)
above; (b) travel expenses related to the Adviser’s management functions for personnel reference
in paragraph (i) above, and; (c) rent, utilities, office supplies, equipment, telephone, fax, and postage
expenses used at the district, regional or corporate offices of the Adviser.

Item 7.         Types of Clients
As of the date of this Brochure, FCA provides discretionary investment advisory services to one
institutional client and may in the future provide such services to additional clients. Currently, the
Company does not have any requirements, such as minimum account size or investment amount, in
order for a Client to open or maintain an account or establish a relationship with the Company.