SLG Capital Management LLC

Item 5 – Fees and Compensation

Detailed information regarding the fees and expenses charged to each Client is set forth in such
Client’s Offering Documents and/or agreements that govern the operations of the Client (the
“Governing Documents”). The amount, structure and type of fees paid by a Client can vary and
be negotiated. Clients could pay fees that are different from, more, or less than the fees (or types
of fees) set forth in this Brochure, or more or less than similar Clients or Clients invested in similar
strategies with other investment advisers. SLG Capital Management has discretion to reduce
management fees and performance-based compensation in certain situations for certain Investors,
as disclosed in the Offering Documents and Governing Documents of each Client.

Management Fee; Carried Interest

SLG Capital Management or an affiliate thereof generally receives from a Fund (a) an annual
management fee (the “Management Fee”) with respect to each Investor, payable quarterly in
advance, equal to 1.5% of such Investor’s aggregate commitments or, if a Fund is outside of its
investment period, invested capital and (b) a carried interest equal to 20% of distributable proceeds
apportioned to Investors after such Investors have received a 9% per annum return on their
aggregate capital contributions (the “Carried Interest”). The Management Fee is subject to
certain offsets, as further described in a Fund’s Offering Documents and Governing Documents.
An affiliate of SLG Capital Management can, in its sole discretion, reduce, waive or otherwise

modify the Management Fee and/or Carried Interest payable or distributable in respect of any
Investor, and expects to do so for Investors that are affiliates and/or employees of SL Green.

SLG Capital Management deducts the Management Fee and any Carried Interest directly from a
Fund. In the event the investment management agreement(s) between a Fund and SLG Capital
Management are terminated, including in the case of a dissolution or liquidation of a Fund, any
prepaid Management Fees will be reimbursed to a Fund pro-rata based on the portion of the period
for which such fees were paid but for which services were not rendered.

The payment of the Management Fee could give rise to certain conflicts of interest. Management
Fees are asset-based fees payable without regard to the overall success or income earned by the
Clients and therefore creates an incentive for SLG Capital Management to raise or otherwise
increase assets under management, including through leverage, to a higher level than would be the
case if SLG Capital Management was not receiving a Management Fee.

In addition, to the extent the Management Fee is charged on the amount of capital invested by a
Client, the Management Fee amounts will be higher if the advisory account has more capital
invested. As a result, the Management Fee could create an incentive for SLG Capital Management
to seek to draw down and deploy more capital more quickly and/or to retain investments longer
than it would if the Management Fee were calculated based on capital commitments. This creates
an incentive for SLG Capital Management to select and hold investments that could prove to be
less profitable than might be the case absent the incentive to deploy more capital more quickly and
hold investments for longer.

Other Fees and Compensation

SL Green will receive an origination fee equal to 0.25% of the principal amount of each investment
acquired or originated by a Fund (“Origination Fee”). In addition, Green Loan Services, an
affiliate of SL Green, will provide restructuring, special servicing or other services with respect to
some or all of a Fund’s investments and in such cases would be expected to receive customary fees
from the applicable issuers and obligors (“GLS Fees”). In the event that a Fund acquires or makes
an equity investment, or if a debt investment is converted into an equity investment, one or more
affiliates of SL Green will likely be engaged to provide certain services, including construction,
leasing, maintenance and property management services, and receive and retain customary fees
for such services (“RE Fees”). Origination Fees, GLS Fees and RE Fees will not be shared with a
Fund and will not offset or otherwise reduce the Management Fee (to the extent not borne or
reimbursed by a subsidiary or an investment or potential investment). SLG Capital Management,
therefore, has an incentive to select affiliated service providers over third parties providing the
same services. See “Selection of Service Providers” and Item 10, Other Financial Industry
Activities and Affiliations, “Servicing Affiliates” below.

A Fund will pay for its own and its affiliated entities’ (including its general partner’s)
organizational expenses, subject to a $2.5 million cap, and as further described in a Fund’s Offering
Documents and Governing Documents (“Organizational Expenses”). Organizational Expenses
include, without limitation, expenses relating to travel (including commercial and non-commercial
aircraft and ground transportation, meals, entertainment and accommodations), printing, legal, any

depositary, capital raising, accounting, tax, consulting, regulatory compliance, any administrative
or other filings, and any of the foregoing expenses incurred by a placement agent, if any.

Each Fund is generally responsible for paying or reimbursing its general partner and its affiliates
for all other fees, costs, expenses, liabilities and obligations relating to a Fund and/or its activities,
business, subsidiaries or actual or potential investments (to the extent not borne or reimbursed by
a subsidiary or an investment or potential investment) (“Fund Expenses”), as further described in
each Fund’s Offering Documents and Governing Documents. Fund Expenses include, without
limitation, the Management Fee and all fees, costs, expenses, liabilities and obligations relating or
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Item 7 – Types of Clients

SLG Capital Management offers advisory services to the Fund(s) and could in the future provide
advisory or other services to other Clients, which could include other private funds or institutions.
Interests in a Fund and any future Clients will only be sold to Investors who meet qualification
requirements under applicable securities and other laws.

The Offering Documents for each Client will describe any criteria that must be met in order to
invest, including minimum investment amounts and net worth, net assets or other sophisticated
investor qualifications. The minimum capital commitment required for an investment in a Fund is
currently $25 million, although lesser amounts can be accepted by a Fund’s general partner in its
sole discretion.