Valuation 2017 - Cushman & Wakefield

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 36

COMPARABLE TRANSACTION INDEX 5

Royal Windsor Drive, Oakville

SALE DATA Final
Sale Status: Royal Windsor Drive, Oakville
Address: South side of Royal Windsor Dr., W. of Winston Churchill Blvd.
Location: October 23, 2015
Sale Date: $2,150,000
Sale Price: $692,432
Sale Price Per Acre: 3.105
Site Area (acres) 100%
Percentage Transferred: Market
Sale Type: Cimerman Developments Inc.
Vendor Name: 2221589 Ontario Inc.
Purchaser Name:

PRICE STRUCTURE $2,150,000 100.00% PROPERTY CHARACTERISTICS Future development land
Cash Down: $0 0.00% General Description: 135,254
VTB/Assumed: $2,150,000 100.00% Site Size (sq.ft.): 3.11
Total Price: Cash Site Size (acres): Employment / E2
Price Notes: Planning (OP/Zoning):

TRANSACTION COMMENTS

The Town of Oakville Official Plan designates the property Employment. The Zoning By-law classifies the property E2. The 4.60 acres (3.105 net acres) of
industrial land, irregular in shape on the south side of Royal WIndsor Drive, the tenth lot west of Winston Churchill Boulevard. The site had a gentle
topography, and appeared to have never been developed. There was a stream running through the middle of the lot. It was located within an industrial area,
where most of the properties allowed for outdoor storage. As of February 2016, no applications had been submitted to the Town of Oakville Planning
Department regarding development of the property. As a result of the land use regulations in place at the time of sale, only a site plan application is
required for development to commence. It is our undering that at the time of the sale, Municipal services were available at the site.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 37

COMPARABLE TRANSACTION INDEX 6

Ninth Line, Mississauga

SALE DATA Final
Sale Status: Ninth Line, Mississauga
Address: East side of Ninth Line, south of Eglinton Avenue West
Location: April 14, 2015
Sale Date: $4,500,000
Sale Price: $900,000
Sale Price Per Acre: 5.000
Site Area (acres) 100%
Percentage Transferred: Market
Sale Type: The Erin Mills Development Corporation
Vendor Name: Sherwood Heights School
Purchaser Name:

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $4,500,000 100.00% General Description: Future development land
Total Price: $0 0.00%
Price Notes: $4,500,000 100.00% Site Size (sq.ft.): 217,800
Cash
Site Size (acres): 5.000

Planning (OP/Zoning): Business Employment / E2

TRANSACTION COMMENTS

The City of Mississauga Official Plan designates the property Business Employment within the Churchill Meadows District Plan. The Zoning By-law
classifies the property E2, an employment zone classification. At the time of sale, the property was vacant and unimproved. As of May 2015, no
applications had been submitted to the City of Mississauga Planning Department regarding development of the property. As a result of the land use
regulations in place at the time of sale, a rezoning application and a site plan application are required for development to commence. It is our
understanding that the Purchaser had acquired the property in order to construct a private school. This was 5.0 acres of land that had been severed
from the original parcel, which was 17.46 acres. The land was vacant and serviced.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 38

ANALYSIS OF COMPARABLE SALES

Since no two properties are completely alike, adjustments must be made to compensate for differences between
the comparable sales and the subject property.

Downward adjustments will be made to those comparables considered superior to the subject. Conversely,
upward adjustment will be made to those comparables considered to be inferior. In this regard a summary of the
relevant details is presented in the following table:

ANALYSIS

Sale Date  Where the market is changing, it may be necessary to adjust prices to reflect the time difference between
the date of sale of a comparable property and the date of valuation. In consideration of the financial
market economy, all real estate asset classes realized some sort of stress in late 2008. In 2009, we saw
very little market activity. Market conditions have improved through 2010 until 2016. It is difficult to apply a
time adjustment for vacant lands due to the infrequency of similar vacant land parcels trading within the
area and the unique features of each parcel. Discussions with brokers have indicated that employment
land rates since the summer of 2016 have increased significantly. Therefore, for the purpose of this
appraisal report, we have applied a rate of 7.50% per annum.

Property Rights Conveyed  When real property rights are sold, they may be the sole subject of the contract or the contract may include
other rights. In the sales comparison analysis, it is pertinent that the property rights of the comparable sale
be similar to the property rights of the subject property. All the sales considered were fee simple transfers,
therefore no adjustments were deemed necessary.

Financing Terms  The transaction price of one property may differ from that of a similar property due to different financing
arrangements. For example, more favourable financing might include a VTB (Vendor Take Back) mortgage
at a lower than market interest rate, which tends to have a positive influence on the price. All of the
comparable sales researched were acquired on an “all cash” basis, or without market based financing.
Index No. 2 was adjusted downwards for VTB financing.

Conditions of Sale  Adjustments for conditions of sale usually reflect the motivations of the purchaser and vendor. In some
cases the conditions of sale significantly affect transaction prices. Sales that reflect unusual situations
require an appropriate adjustment for motivation or sale condition. For example, power-of-sale conditions
involve a certain degree of urgency on part of the lender - leading to a somewhat lower sale price than what
would otherwise be expected. On the other hand, transactions to create a land assembly may result in
higher motivation by the buyer which often leads to a higher sale price than would be expected.

Location  An adjustment for location within a market area may be required when the locational characteristics of a
comparable property are different from those of the subject property. Excessive locational differences may
disqualify a property from use as a comparable. Although no location is inherently desirable or undesirable,
the market recognizes that one location is better than, similar to, or worse than another. Locational
adjustments were based on both geographic and neighbourhood location.

 Based on the Subject site being along the eastern border of Oakville, many of the comparables are
considered to be located within similar areas with other being located in superior areas of Mississauga.
Consequently, a downward adjustment was required for the majority of the comparables researched.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 39

Site Area  The price per acre of site area is expected to vary with the size of the site. Generally the price per acre
Planning decreases as size increases where all other features are similar. This is typically referred to as
Overall Utility diminishing marginal utility. The appropriate adjustments were made with regards to the size difference.
Servicing
 An adjustment for the anticipated time to development may be required when the site requires an official
plan, rezoning amendments or site plan applications. The time required to prepare the site for
development may affect the sale price (a longer development timeline requires a downward adjustment.
Development timeline adjustments were made where necessary.

 This adjustment takes into account site size, configuration, frontage, and other encumbrances that may
impact development. The configuration of the site will impact maximum usable area. Oddly configured
sites tend to have more leakage of usable land. Furthermore, topographically challenged sites such as
the subject will require a fair amount of site work.

 An adjustment for land that has full (sewer, water, natural gas, electricity and phone) municipal servicing
to the site is considered superior than on with only partial services (Electric and phone).

The Appraisal Institute of Canada recommends the use of "paired sales analysis" in the derivation of adjustments.
If the two sales differ in only one key feature, then the difference in sale price can be used as the "market
indicator" for the adjustment for that feature. In practice, this concept usually only applies to newer homes in the
subdivision. Rural, commercial and industrial properties tend to be unique, and therefore in practice it is not
usually possible to find paired sales to derive adjustments. In the absence of paired sales, it is the appraisers'
experience and judgment (based on observation) which is used for adjustments. A table of the relative
adjustments is presented on the following page.

2478 NINTH LINE, OAKVILLE

ADJUSTMENT TABLE

Adjustment Summary Table

Property Description Subject Property Index 1 Index 2
Addr e s s : 2478 Ninth Line,
Sale Date/Effective Date: Oakville Odyssey Drive, 2183 Ninth Line, Oakville
April 24, 2017 Mississauga June 1, 2016

March 16, 2017

Site Area (acres) 6.36 5.120 2.963

Site Area (square feet) 277,042 223,027 129,068

Sale Price: - $6,732,044 $2,600,000

Sale Price Per Acre: - $1,314,852 $877,489

Value Adjustm ents De s cr iption Description Adj. Description Adj.

Property Rights Conveyed - Fee Simple 0.00% Fee Simple 0.00%

Financing Term s - Cash + Other 0.00% Cash + VTB -5.00%

Conditions of Sale - Normal 0.00% Normal 0.00%

Tim e/Market Condition April 24, 2017 Inferior 0.80% Inferior 6.70%

Compound Annual Growth Rate: 7.50%

Tim e/Market Adjusted Price $1,325,371 $892,406
Superior -5.00%
Location Avg Similar 0.00%
5.120 -4.13%
Site Area (acres) 6.360 2.963 -11.32%

5.00% Per 1.5 acre

Planning (OP/Zoning) Approved Inferior 10.00% Inf erior 10.00%

Im provem ents Residential Dw elling Inf erior 2.50% Similar 0.00%
Similar 0.00% Inf erior 5.00%
Overall Utility Average

Se r vicing Unserviced Superior -15.00% Similar 0.00%
-10.83%
Total Net % Adjustm ents 5.38%

Overall Adjusted Rate Based On: Sale Price Per A cre: $1,172,410 $924,669

DIRECT COMPARISON APPROACH – “AS-IS” 40

Index 3 Index 4 Index 5 Index 6

e Platinum Drive, 2037 Ninth Line, Oakville Royal Windsor Drive, Ninth Line, Mississauga
Mississauga October 30, 2015 Oakville
April 25, 2016 April 14, 2015
October 23, 2015

2.951 2.837 3.105 5.000

128,546 123,580 135,254 217,800

$3,541,200 $2,720,000 $2,150,000 $4,500,000

$1,200,000 $958,759 $692,432 $900,000

Description Adj. Description Adj. Description Adj. Description Adj.

Fee Simple 0.00% Fee Simple 0.00% Fee Simple 0.00% Fee Simple 0.00%

Cash 0.00% Cash 0.00% Cash 0.00% Cash 0.00%

Normal 0.00% Normal 0.00% Normal 0.00% Normal 0.00%

Inf erior 7.50% Inf erior 11.30% Inf erior 11.50% Inf erior 15.80%

$1,290,000 $1,067,099 $772,061 $1,042,200

Superior -5.00% Similar 0.00% Inf erior 10.00% Similar 0.00%

% 2.951 -11.36% 2.837 -11.74% 3.105 -10.85% 5.000 -4.53%

Inf erior 10.00% Inf erior 10.00% Inf erior 10.00% Inf erior 10.00%

Inf erior 2.50% Superior -2.50% Inf erior 10.00% Inf erior 5.00%
Similar 0.00% Superior -10.00% Inf erior 5.00% Superior -5.00%

Superior -15.00% Similar 0.00% Superior -15.00% Superior -15.00%
-11.36% 20.65% 6.27%
-2.94%

$1,063,640 $930,540 $835,419 $956,400

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 41

MARKET VALUE ESTIMATE CONCLUSION

A summary of adjustments by sale and category are as follows:

Adjustment Summary

Index 1 Index 2 Index 3 Index 4 Index 5 Index 6 Adjustment Summary

Unadjusted Rate $1,314,852 $877,489 $1,200,000 $958,759 $692,432 $900,000 $1,400,000

Adjustment Items $1,200,000

Property Rights Conveyed 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Financing Terms 0.00% -5.00% 0.00% 0.00% 0.00% 0.00% $1,000,000

Conditions of Sale 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $800,000

Time/Market Condition 0.80% 6.70% 7.50% 11.30% 11.50% 15.80% $psf

Value After Trans Adj $1,325,371 $892,406 $1,290,000 $1,067,099 $772,061 $1,042,200 $600,000

Location -5.00% 0.00% -5.00% 0.00% 10.00% 0.00% $400,000

Site Area (acres) -4.13% -11.32% -11.36% -11.74% -10.85% -4.53%

Overall Utility 0.00% 5.00% 0.00% -10.00% 5.00% -5.00% $200,000

Planning (OP/Zoning) 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% $0 Index 1
Unadjusted Rate $1,314,852
Servicing -15.00% 0.00% -15.00% 0.00% -15.00% -15.00% Adjusted Rate $1,172,410 Index 2 Index 3 Index 4 Index 5 Index 6
$877,489 $1,200,000 $958,759 $692,432 $900,000
Total Net Adjustm ents -10.83% 5.38% -11.36% -2.94% 20.65% 6.27% $924,669 $1,063,640 $930,540 $835,419 $956,400

Adjusted Rate $1,172,410 $924,669 $1,063,640 $930,540 $835,419 $956,400

Subsequent to the adjustment process, the sale prices ranged from $835,419 per acre to $1,172,410 per acre –
an average of $980,513 per acre. The Subject Property consists of a total site area of 10.36 acres (6.36 net
developable acres) located within area along the eastern border of the Town of Oakville that is currently not within
the municipal services boundary. The lands are designated as Employment and Natural Area under the Official
Plan and Secondary Plan. The rear portions of the land that is designated as Natural Area which is an
Environmental Protection designation with limited to no development potential.

Index Nos. 2 and 4 are the most comparable to the Subject when comparing location and municipal servicing.
Both Indexes are improved with detached dwellings. Index 4 has a superior dwelling then the subject. The higher
rate per acre is attributable to the date of sale, site areas that are 100% developable, and overall size of the sites.
These lands have similar land use restrictions as the subject and any future development of either site is likely to
be for Employment uses.

We have chosen the average rate of the range, or $980,000 per acre of land as our market value estimate for the
Subject property’s open space and environmentally protected lands:

6.36 acres of net developable land x $980,000 per acre = $6,232,800

SIX MILLION TWO HUNDRED THIRTY THOUSAND DOLLARS

$6,230,000

In this appraisal, the estimated value is predicated on a reasonable exposure time of six (6) to twelve (12) months.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 42

LANDS WITHIN THE AREA DESIGNATED AS NATURAL AREA

The Subject property contains approximately 4.00 acres of land that is located within a zoning designation known
as Natural Area (Refer to the diagram below outlining the lands located within the Natural Area). This area is the
Subject site is situated at the rear of the parcel and also contains an Environmental Protection Zoning designation
– a highly restrictive designation. Lands located within this area have very restrictive planning designations in
place, therefore future development on this portion of the site is considered speculative and unlikely in nature.
Although the lands are considered non-developable, they will serve as open space uses such as parks,
recreational trails and buffer areas for the long-term future development of the remainder of the property.
Therefore, the lands still have value, albeit minimal in nature. Consequently, we have analyzed the following
sales, some of which are located within the Provincial Greenbelt Plan and some of which were acquired for
environmental protection / conservation uses and have similar restrictive future development prospects – similar to
this component of the Subject property.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 43

COMPARABLE SALES ANALYSIS – OPEN SPACE / EP LANDS

Comparable Land Sales for Open Space / Environmentally Protected Lands

Index Address Location Date of Sale Price Net Area Rate Per Comments
Sale (Acres) Acre
273.96
1 9100 Old Scugog Road Scugog, Durham Region 31-Aug-15 $1,100,000 $4,015 The Town of Clarington Official Plan designates the property
62.84 Environmental Protection Area.

2 7900 Eighteenth Sideroad King, York Region 10-Oct-14 $1,150,000 52.10 $18,300 The Township of King Official Plan designates the property Oak
15-Mar-13 $799,900 Ridges Moraine Natural Linkage Area.
Dundas, Hamilton
3 York Road S/S Region $15,353 Conservation land purchased by the Hamilton Region Conservation
Authority.

4 Conc 8, Part Lots 7-10 Caledon, Peel Region 14-Jul-11 $1,400,000 273.46 $5,120 Conservation land purchased by the TRCA.

5 1500 Heritage Road Kingsville, Essex 10-Jun-11 $1,500,000 153.10 $9,798 Conservation land purchased by the Essex Region Conservation
County 14-Feb-11 $5,372,500 908.30 $5,915 Foundation.
30-Apr-10 $1,060,000 143.87
6 Conc 3, PL 15-18; Conc 4, PL 15 Walsingham, Norfolk Conservation land purchased by the Nature Conservancy of
& 16 and Conc 5, PL 15 County Canada.

7 Conc 7, Part Lots 7 & 8 Uxbridge, Durham $7,368 Conservation land purchased by the TRCA.
Region

8 9784 Columbia Way Caledon, Peel Region 21-Dec-07 $900,000 95.00 $9,474 Conservation land purchased by the TRCA.

9 2499 Regional Road 1 Uxbridge, Durham 19-Oct-06 $950,000 106.10 $8,954 Conservation land purchased by the TRCA.
Region
$799,900 52.10 $4,015
Min. 19-Oct-06 $5,372,500 908.30 $18,300
$1,581,378 229.86 $9,366
Max. 31-Aug-15

Avg. 5-Jun-11

We have researched nine (9) comparable transactions located throughout Ontario and motivated for an open
space / conservation / environmental protection use. The sales range in price from $4,015 per acre to $18,300
per acre, with an average rate of $9,366 per acre.

The Subject property has approximately 4.00 acres of land deemed non-developable due to open space and
conservation uses. The lands are located at the rear of the property and do not contain frontage along any
arterial. However, it must be noted that these lands do provide the community with open space for uses such as
parks, recreation, conservation and buffer zone uses. Therefore, the lands do have some value, although minimal
in nature. We have researched properties purchased for a conservation or open space type of use. Open space
or conservation sales trade very infrequently and are often purchased by conservation authorities to help preserve
and maintain large blocks of land in their natural state. Since these types of lands have virtually no development
potential; regardless of the location, the rates remain relatively constant and have few fluctuations. Therefore, we
have expanded our search parameters to include sales dating back to 2006 and located throughout Ontario.
Further, we have not applied a time adjustment to these sales, since as previously mentioned, the land rates are
not impacted by time. The sales have been analyzed on a per acre basis.

The sales researched represent a good indication of value for the Subject property’s open space and
environmentally protected lands. Consequently, we believe the Subject property will reasonably command market
values within the range of $5,000 to $15,000 per acre for the environmentally protected lands. We have chosen
the mid-point of the range, or $10,000 per acre of land as our market value estimate for the Subject property’s
open space and environmentally protected lands:

4.00 acres of open space land x $10,000 per acre = $40,000

In this appraisal, the estimated value is predicated on a reasonable exposure time of six (6) to twelve (12) months.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 44

CURRENT COST OF IMPROVEMENTS

The subject property is currently in Phase 1 of the construction process. There currently is a bungalow dwelling on
the property and these improvements have been considered in the Direct Comparison Approach previously
completed above. As at the effective date of this report, construction of Phase 1 of the development has
commenced. These costs are to be added to the “As-Is” land value of the subject property to determine the “As-Is”
market value of the subject property. Below is a breakdown of the Phase 1 construction budget along with the
current construction costs incurred/completed for the subject property.

CONSTRUCTION BUDGET

2478 Ninth Line, Oakville

DESCRIPTION OF ITEMS PHASE 1 COST OF WORK
BUDGET
COMPLETED TO
HARD COSTS $401,200
$933,876 DAT E
Construction $645,408
$2,187,972 $165,890
General Requirements $1,998,864 $598,113
Excavation & Backfilling $1,110,010 $328,236
Site Services $304,538 $1,086,967
Concrete Work $1,074,600 $147,209
Steel Structure $430,612 -
Exterior cladding $657,720 -
Roofing $2,115,218 -
Mechanical ( Plumbing & HVAC) $251,100 -
Fire Protection $949,493 -
Electrical $79,920 -
Interior Finishes - -
Domes & Minarets $62,510 -
Doors & Windows $322,394 -
Specialties - -
Gy mnasiums -
Conveying Systems $13,525,436 -
Pav ing -
Landscaping $2,326,415

TOTAL HARD COSTS

SOFT COSTS $460,568 $460,568
$100,000 $52,545
Consultants $15,293 $15,293
$7,060
Architect -Design $7,060 $16,809
Architect -Monitoring $16,809 $16,781
Architectural Printing $16,781 $7,750
Engineer - Electrical $7,750 $32,064
Engineer - Fire Sprinkler System $32,064 $52,535
Engineer - HVAC $52,535 $14,468
Engineer - Site Services $14,468 $15,268
Engineer - Structural $15,268 $6,702
Engineer - Water & Sewer System $6,702 $2,414
Geotechnical & Environmental $2,414 $12,375
Landscape Architect $12,375 $30,580
Planning Officer $30,580 $5,931
Project Monitor $5,931 $11,865
Surv ey or $11,865
Traffic Study $761,007
Tree Expert $808,462
Valuation Officer

TOTAL CONSULTANT CHARGES

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 45

CONSTRUCTION BUDGET

2478 Ninth Line, Oakville

DESCRIPTION OF ITEMS PHASE 1 COST OF WORK
BUDGET COMPLETED TO

DAT E

Financing $11,300 $11,300
Broker $222,081 $222,081
Finance Charge
$233,381 $233,381
TOTAL FINANCE CHARGES

Legal $17,433 $17,433
Legal - Financing $0 $0
Legal - General
Legal - Planning Lawyer $56,081 $56,081

TOTAL LEGAL CHARGES $73,514 $73,514

Permits $1,450 $1,450
$464 $464
Alteration Permit Fee
Alteration Permit Renewal $128,088 $128,088
Application Fee $340,947 $340,947
Development Charge
Fire Route Permit $212 $212
Mortuary Application $392 $392
Permit Fee $5,425 $5,425
Road Expansion Charge $181,539 $181,539
SECURITY DEPOSIT $1,081,042 $1,081,042
Town of Oakville - Misc $1,440 $1,440

TOTAL PERMIT CHARGES $1,740,999 $1,740,999

Site Plan $25,500 $25,500
In Lieu of Sidewalk $12,380 $12,380
Site Application Fee $3,150 $3,150
Site Plan Application Fee $6,505 $6,505
Site Plan Fee
Tree Protection $400 $400

TOTAL SITE PLAN CHARGES $47,935 $47,935

TOTAL SOFT COSTS $2,904,291 $2,856,836

TOTAL GROSS PROJECT COSTS PHASE 1 $16,429,726 $5,183,251

Based on the data provided by the client, approximately $5,183,251 in costs have been incurred by the client in

the development of the project. This amount is factored in as part of a final adjustment to the current market value
“As-Is”.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IS” 46

CURRENT MARKET VALUE “AS-IS”

Based on the valuation of the current subject lands and current construction costs completed, the final market
value “As-Is” of the subject property is estimated to be:

Current Market Value "As-Is" Summary

Direct Comparison (Land Only) $6,272,800
Developable Site Size (ac): 6.36
Unit Rate:
Non-Developable Site Size (ac): $980,000
Unit Rate: 4.00
Completed Contruction Cost:
$10,000
$5,183,251

Final Market Value "As-Is": $11,450,000

ELEVEN MILLION FOUR HUNDRED FIFTY THOUSAND DOLLARS

$11,450,000 (rounded)

The market value “As-Is” is based on the Extraordinary Assumption that the current construction costs incurred
are accurate as provided by the owner. Should the completed cost incurred as of March 24th, 2017 be different,
Cushman & Wakefield reserves the right to amend the value conclusion(s) accordingly.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 47

DIRECT COMPARISON APPROACH – “AS-IF COMPLETE”

The Direct Comparison Approach is a valuation method whereby the property being appraised is compared with
similar properties that have recently been sold or offered for sale. The assumption is that if the subject property
had been exposed to the market, it would have been in competition with the comparable property dealing with the
same type of purchaser under similar market conditions. Since no two properties are completely alike,
adjustments must be made to compensate for differences between the comparables and the subject property. In
arriving at a value conclusion by this method, the greatest weight is given to actual sales of truly comparable
properties made at or nearest the effective date of appraisal in order to reflect comparable economic conditions.

The Direct Comparison Approach is based on the “Principle of Substitution” which implies that a prudent
purchaser will not pay more to buy or rent a property than it will cost them to buy or rent a comparable substitute
property. This approach to value recognizes that the typical buyer will compare properties which constitute the
market for a given type and class.

Within this approach, the property being valued is compared to properties that have sold recently or are currently
listed and are considered to be relatively similar to the subject property. Typically, a unit of comparison (i.e. sale
price per square foot, sale price per acre, price per buildable square foot) is used to facilitate the analysis, typical
investors/purchasers would commonly utilize a price per acre when analyzing value.

In estimating the market value of the subject site we have investigated, and analyzed, recent sales of Places of
Worship buildings located throughout the Greater Toronto area. Relevant details of these sales are presented in
the chart below. Full details of the sales have been retained in our files.

A search in the market for similar type properties indicated seven (7) comparable transactions sold between April
2, 2013 and August 31, 2016. The sale prices ranged from $1,560,000 to $9,500,000 - an average of $4,462,143.
When converted into a unit rate, the sales range from $150 per square foot to $464 per square foot - an average
of $290 per square foot.

Comparable Sales Transactions

No Address Sale Date Sale Price Size Sale Price
(sq.ft.) Per Sq.Ft:

1 2 Simonston Blvd, Markham August 31, 2016 $8,700,000 26,988 $322
2 2515 Weston Road, Toronto July 18, 2016 $1,675,000 9,159 $183
3 40 Pritchard Avenue, Toronto May 5, 2016 $1,560,000 10,400 $150
4 118 Ninth Street, Toronto $3,100,000 9,850 $315
5 383 Jarvis Street, Toronto October 29, 2015 $4,150,000 8,950 $464
6 415 Pickering Crescent, Newmarket October 1, 2015 $2,550,000 10,036 $254
7 83 & 93 Christie Street, Toronto September 18, 2014 $9,500,000 27,950 $340
$1,560,000 8,950 $150
April 2, 2013
$9,500,000 27,950 $464
Minimum: April 2, 2013
$4,462,143 14,762 $290
Maximum: August 31, 2016

Average: August 2, 2015

2478 NINTH LINE, OAKVILLE

COMPARABLE SALES MAP

DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 48

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 49

SALES SHEETS

COMPARABLE TRANSACTION INDEX 1

2 Simonston Blvd, Markham

SALE DATA Final
Sale Status: 2 Simonston Blvd, Markham
Address: North of Steeles Ave E., West of Highway 404
Location: August 31, 2016
Sale Date: $8,700,000
Sale Price: $322
Sale Price Per Sq.Ft: 100%
Percentage Transferred: Market
Sale Type: Shaar Shalom Synagoge
Vendor Name: 1958338 Ontario Corp.
Purchaser Name:

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $8,700,000 100.00% General Description: Place of Worship
Total Price: $0 0.00%
Price Notes: $8,700,000 100.00% Size (sq.ft.) 26,988
Cash
Year Built: 1990

Lot Area (Acres): 1.58

TRANSACTION COMMENTS

The property is improved with a three storey place of worship. The building contains a total gross leasable area of 26,988 square feet. The
building has been constructed using a structural steel frame behind a combination of concrete blocks and clay brick. The remainder of the
property is comprised of an asphalt surface parking lot containing approximately 123 spaces, representing 4.56 stalls per 1,000 square feet
of gross leasable area, with two points of ingress and egress. The property has a coverage ratio of approximately 15%.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 50

COMPARABLE TRANSACTION INDEX 2

2515 Weston Road, Toronto

SALE DATA Final
Sale Status: 2515 Weston Road, Toronto
Address: East side of Weston Road, north of Lawrence Avenue
West
Location: July 18, 2016
$1,675,000
Sale Date: $183
Sale Price: 100%
Sale Price Per Sq.Ft: Market
Percentage Transferred: Church of the Good Sheppard
Sale Type: Victory Assembly International Church
Vendor Name:
Purchaser Name:

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $1,675,000 100.00% General Description: Place of Worship
Total Price: $0 0.00% Size (sq.ft.) 9,159
Price Notes: $1,675,000 100.00% Year Built: 1856
Cash
Lot Area (Acres): 0.41

TRANSACTION COMMENTS

The property is improved with a three storey place or worship. The building contains a total gross leasable area of 9,159 square feet. The
building has been constructed using a structural wood frame behind clay brick. The remainder of the property is comprised of an asphalt
surface parking lot containing approximately 15 spaces, with 1 point of ingress and egress.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 51

COMPARABLE TRANSACTION INDEX 3

40 Pritchard Avenue, Toronto

SALE DATA

Sale Status: Final
Address: 40 Pritchard Avenue, Toronto
Location: North of St. Clair Avenue West, east of Jane Street

Sale Date: May 5, 2016
Sale Price: $1,560,000

Sale Price Per Sq.Ft: $150
Percentage Transferred: 100%

Sale Type: Market
Vendor Name: Church of the Advent
Purchaser Name: Kunphen Buddhist Centre

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $1,560,000 100.00% General Description: Place of Worship
Total Price: $0 0.00%
Price Notes: $1,560,000 100.00% Size (sq.ft.) 10,400
Cash
Year Built: 1923

Lot Area (Acres): 0.26

TRANSACTION COMMENTS

The property is improved with a single storey, single tenant place of worship building. The building contains a total gross leasable area
of 10,400 square feet. The building has been constructed using a structural wood frame behind a combination of clay brick and stucco.
The remainder of the property is comprised of an asphalt surface parking lot containing approximately 15 spaces, representing 1.44
stalls per 1,000 square feet of gross leasable area, with one point of ingress and egress. The property has a coverage ratio of
approximately 92%.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 52

COMPARABLE TRANSACTION INDEX 4

118 Ninth Street, Toronto

SALE DATA

Sale Status: Final

Address: 118 Ninth Street, Toronto

Location: South of Lake Shore Blvd West, east of Kipling Ave

Sale Date: October 29, 2015

Sale Price: $3,100,000

Sale Price Per Sq.Ft: $315

Percentage Transferred: 100%

Sale Type: Market

Vendor Name: The Living Hope Presbyterian Church

Purchaser Name: Ukranian Full Gospel Church

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $3,100,000 100.00% General Description: Place or Worship
Total Price: $0 0.00%
Price Notes: $3,100,000 100.00% Size (sq.ft.) 9,850
Cash
Year Built: 1925

Lot Area (Acres): 0.52

TRANSACTION COMMENTS

The property is improved with a church and was occupied by The Ukrainian Full Gospel Church at the time of sale. The Zoning By-law
classifies the property RM (u3; d0.6), a Residential Multiple Dwelling classification. The property is improved with a church. The building
contains a total gross leasable area of 9,850. The building has been constructed using a structural wood frame behind clay brick. The
remainder of the property is comprised of an asphalt surface parking lot with 1 point of ingress and egress.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 53

COMPARABLE TRANSACTION INDEX 5

383 Jarvis Street, Toronto

SALE DATA Final
Sale Status: 383 Jarvis Street, Toronto
Address: Southeast corner of College St and Jarvis St
Location: October 1, 2015
Sale Date: $4,150,000
Sale Price: $464
Sale Price Per Sq.Ft: 100%
Percentage Transferred: Market
Sale Type: St. Andrew's Estonian Evangelical Lutheran Congregation
in Toronto
Vendor Name: St. Andrew's Evangelical Lutheran Latvian Congregation in
Toronto
Purchaser Name: Grace Toronto Church

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $4,150,000 100.00% General Description: Place of Worship
Total Price: $0 0.00%
Price Notes: $4,150,000 100.00% Size (sq.ft.) 8,950
Cash
Year Built: 1878

Lot Area (Acres): 0.32

TRANSACTION COMMENTS

The property is improved with a church. The building contains a total gross area of 8,950 square feet. The building has been constructed using
a structural wood frame behind stone. The property has a coverage ratio of approximately 65%. At the time of sale, the building was fully
occupied by Saint Andrew's Latvian Lutheran Church.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 54

COMPARABLE TRANSACTION INDEX 6

415 Pickering Crescent, Newmarket

SALE DATA

Sale Status: Final

Address: 415 Pickering Crescent, Newmarket

Location: North of Mulock Drive, West of Leslie St

Sale Date: September 18, 2014

Sale Price: $2,550,000

Sale Price Per Sq.Ft: $254

Percentage Transferred: 100%

Sale Type: Market

Vendor Name: The Governing Council of The Salvation Army in Canada

Purchaser Name: 2425945 Ontario Inc.

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $2,550,000 100.00% General Description: Place of Worship
Total Price: $0 0.00%
Price Notes: $2,550,000 100.00% Size (sq.ft.) 10,036
Cash
Year Built: 1995

Lot Area (Acres): 2.01

TRANSACTION COMMENTS

The property is improved with a single storey, place or worship. The building contains a total gross leasable area of 10,036 square feet.
The building has been constructed using a structural steel frame behind clay brick. The remainder of the property is comprised of an
asphalt surface parking lot, with one point of ingress and egress. The property has a coverage ratio of approximately 12%.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 55

COMPARABLE TRANSACTION INDEX 7

83 & 93 Christie Street, Toronto

SALE DATA Final
Sale Status: 83 & 93 Christie Street, Toronto
Address: East side of Christie St, North of Bloor St. W.
Location: April 2, 2013
Sale Date: $9,500,000
Sale Price: $340
Sale Price Per Sq.Ft: 100%
Percentage Transferred: Market
Sale Type: Urkaining Cultural Centre of Toronto
Vendor Name: Jesus is Lord Church
Purchaser Name:

PRICE STRUCTURE PROPERTY CHARACTERISTICS
Cash Down:
VTB/Assumed: $9,500,000 100.00% General Description: Place of Worship
Total Price: $0 0.00%
Price Notes: $9,500,000 100.00% Size (sq.ft.) 27,950
Cash
Year Built: 1962

Lot Area (Acres): 0.59

TRANSACTION COMMENTS

The property is improved with a three storey, single tenant retail / office building. The building contains a total gross leasable area of
approximately 27,950 square feet. At the time of sale, the building was fully occupied by Ukrainian Cultural Centre Toronto.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 56

In valuing the subject site, comparison was made to each of the index sales. The basis for comparison included
the consideration of the following:

ANALYSIS  Where the market is changing, it may be necessary to adjust prices to reflect the time difference between
Sale Date the date of sale of a comparable property and the date of valuation. Additionally, current listings that have
been on the market for any significant period of time may require adjustments. Adjustments were made
to account for this fact.

Property Rights Conveyed  When real property rights are sold, they may be the sole subject of the contract or the contract may
include other rights. In the sales comparison analysis, it is pertinent that the property rights of the
comparable sale be similar to the property rights of the subject property.

Financing Terms  The transaction price of one property may differ from that of a similar property due to different financing
arrangements. Financing arrangements may include existing mortgages at favourable interest rates or
paying cash to a lender so that a mortgage with a below-market interest rate could be offered.

Conditions of Sale  Adjustments for conditions of sale usually reflect the motivations of the purchaser and vendor. In some
cases the conditions of sale significantly affect transaction prices. Sales that reflect unusual situations
require an appropriate adjustment for motivation or sale condition. For example, power-of-sale conditions
involve a certain degree of urgency on part of the lender - leading to a somewhat lower sale price than
what would otherwise be expected. All the sales considered were normal market transactions with no
undue motivation, no adjustments were necessary.

Location  An adjustment for location within a market area may be required when the locational characteristics of a
comparable property are different from those of the subject property. Excessive locational differences
may disqualify a property from use as a comparable. Although no location is inherently desirable or
undesirable, the market recognizes that one location is better than, similar to, or worse than another.
Locational adjustments were based on both geographic and neighborhood location.

Building Size  The price per square foot of building is expected to vary with the size of the building. Generally the price
per square foot decreases as building size increases where all other features are similar. This is typically
referred to as marginal diminishing utility.

Building Condition/Quality  Adjustments for improvements were considered; where estimated remaining economic life was different;
finished materials (where possible), and over all aesthetic influence.

Overall Utility  Adjustments of Utility were included as part of the adjustment process. Utility includes parking, additional
use such as banquet facility use, office space, and types of use at the time of sale.

The Appraisal Institute of Canada recommends the use of "paired sales analysis" in the derivation of adjustments.
This involves locating two very similar sales that sell in a similar time period. If the two sales differ in only one key
feature, then the difference in sale price can be used as the "market indicator" for the adjustment for that feature.
In practice, this concept usually only applies to newer homes in the subdivision. Rural, commercial and industrial
properties tend to be unique, and therefore in practice it is not usually possible to find paired sales to derive
adjustments. In the absence of paired sales, it is the appraisers' experience and judgment (based on observation)
which is used for adjustments. A table of the relative adjustments is presented on the following page.

2478 NINTH LINE, OAKVILLE

ADJUSTMENT TABLE

Adjustment Summary Table

Property Description Subject Property Index 1 Index 2

Addr e s s : 2478 Ninth Line, 2 Simonston Blvd, 2515 Weston Road, 40
Oakville Markham Toronto
De s c
Sale Date/Effective Date: March 24, 2017 August 31, 2016 July 18, 2016 Fee
C
Land Area: 10.35 1.58 0.41 No
In
Building Area: 54,864 26,988 9,159

Sale Price: - $8,700,000 $1,675,000

Sale Rate $/SF: - $322 $183

Value Adjustm ents De s cr iption Description Adj. Description Adj.

Property Rights Conveyed - Fee Simple 0.00% Fee Simple 0.00%

Financing Term s - Cash 0.00% Cash 0.00%

Conditions of Sale - Normal 0.00% Normal 0.00%

Tim e/Market Condition March 24, 2017 Inferior 2.80% Inferior 3.40%

Compound Annual Growth Rate: 5.00%

Tim e/Market Adjusted Price $331 $189
Similar 0.00%
Location Avg 26,988 -13.94% Inf erior 5.00% S
10
Building Size 54,864 9,159 -22.85%

2.50% Per 5,000 sq.ft

Building Condition/Quality Assumed New Inferior 15.00% Inf erior 15.00% In
Inferior 10.00% In
Overall Utility Banquet/Of f ic es Inf erior 10.00%
13.86%
Total Net % Adjustm ents $367 per sq.ft. 10.55%

Overall Adjusted Rate $202 per sq.ft.

DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 57

Index 3 Index 4 Index 5 Index 6 Index 7

0 Pritchard Avenue, 118 Ninth Street, Toronto 383 Jarvis Street, Toronto 415 Pickering Crescent, 83 & 93 Christie Street,
Toronto New market Toronto

May 5, 2016 October 29, 2015 October 1, 2015 September 18, 2014 April 2, 2013

0.26 0.52 0.32 2.01 0.59

10,400 9,850 8,950 10,036 27,950

$1,560,000 $3,100,000 $4,150,000 $2,550,000 $9,500,000

$150 $315 $464 $254 $340

cription Adj. Description Adj. Description Adj. Description Adj. Description Adj.

e Simple 0.00% Fee Simple 0.00% Fee Simple 0.00% Fee Simple 0.00% Fee Simple 0.00%

Cash 0.00% Cash 0.00% Cash 0.00% Cash 0.00% Cash 0.00%

Normal 0.00% Normal 0.00% Normal 0.00% Normal 0.00% Normal 0.00%

nf erior 4.40% Inf erior 7.10% Inf erior 7.50% Inf erior 13.10% Inf erior 21.40%

$157 $337 $498 $287 $413

Similar 0.00% Superior -5.00% Superior -10.00% Inf erior 10.00% Superior -10.00%

0,400 -22.23% 9,850 -22.51% 8,950 -22.96% 10,036 -22.41% 27,950 -13.46%

nf erior 15.00% Inf erior 15.00% Inf erior 15.00% Inf erior 15.00% Inf erior 15.00%

nf erior 10.00% Inf erior 10.00% Inf erior 10.00% Inf erior 10.00% Inf erior 10.00%

7.17% 4.59% -0.46% 25.69% 22.94%

$161 per sq.ft. $329 per sq.ft. $462 per sq.ft. $319 per sq.ft. $418 per sq.ft.

2478 NINTH LINE, OAKVILLE DIRECT COMPARISON APPROACH – “AS-IF COMPLETE” 58

SUMMARY OF ADJUSTMENTS

Adjustment Summary Adjustment Summary

Index 1 Index 2 Index 3 Index 4 Index 5 Index 6 Index 7 $500

Unadjusted Rate $322 $183 $150 $315 $464 $254 $340 $450

Adjustment Items $400

Property Rights Conveyed 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $350

Financing Terms 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $300

Conditions of Sale 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $250

Time/Market Condition 2.80% 3.40% 4.40% 7.10% 7.50% 13.10% 21.40% $psf $200

Value After Trans Adj $331 $189 $157 $337 $498 $287 $413 $150

Location 0.00% 5.00% 0.00% -5.00% -10.00% 10.00% -10.00% $100

Building Size -13.94% -22.85% -22.23% -22.51% -22.96% -22.41% -13.46% $50

Building Condition/Quality 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% $0

Overall Utility 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Unadjusted Rate Index 1 Index 2 Index 3 Index 4 Index 5 Index 6 Index 7
Adjusted Rate $322 $183 $150 $315 $464 $254 $340
Total Net Adjustm ents 13.86% 10.55% 7.17% 4.59% -0.46% 25.69% 22.94% $367 $202 $161 $329 $462 $319 $418

Adjusted Rate $367 $202 $161 $329 $462 $319 $418

Subsequent to the adjustment process, prices ranged from $161 per ft² to $462 per ft² – an average of $323 per
ft². All transaction comparables were premised on the gross building area and were all located within the Greater
Toronto Area and all of the comparables had a similar use (Place of Worship) as the subject property. The subject
property is new construction and therefore will be in superior condition then all of the comparables. Additionally,
the subject will have superior utility then the comparables due to the banquet facility and office space areas.
Therefore, we estimate the price per square foot of building area of the subject property to be at the higher end of
the range or $400 per square foot of building area.

Based upon the above analysis, it is our opinion that the market value “As-if Complete” of Phase 1 of the subject
property by the Direct Comparison Approach, as at March 24th, 2017 is:

54,324 sq.ft. @ $400 psf = $21,945,600

TWENTY-ONE MILLION NINE HUNDRED FIFTY THOUSAND DOLLARS

$21,950,000 (Rounded)

The current market value “As-If Complete” is premised on the Extraordinary Assumption and Hypothetical
Condition that all construction pertaining to Phase 1 is complete and in accordance to the details within this
appraisal report as provided by the owner(s). Should the construction details differ upon completion, Cushman &
Wakefield Ltd. reserves the right to amend the value conclusion(s) accordingly.

2478 NINTH LINE, OAKVILLE COST APPROACH – “AS IF COMPLETE”” 59

COST APPROACH – “AS-IF COMPLETE”

The Cost Approach is based on the proposition that an informed purchaser would pay no more for the Subject
than the cost to produce a substitute property with equivalent utility. The steps in this approach have been outlined
in the valuation process section of this report.

LAND VALUATION

In the previous section of this report, we have determined that the underlying land value to be $4,810,000. This
amount is factored into our Cost Approach.

REPLACEMENT COST OF IMPROVEMENTS

In estimating the subject’s replacement cost new, we reviewed and employed the Marshall Valuation Service, a
nationally recognized publication containing construction costs of all types of improvements to estimate the
Replacement Cost of the current improvements. Upon completion of the subject property, the improvements will
consists of a total gross floor area of 54,864 square feet mosque. From the total GFA, approximately 10,319
square feet will be prayer halls, 8,321 square feet will be associated to a banquet hall (no kitchens), and 5,796
square feet will be allocated to offices/seminar room. These improvements are all within the Phase 1 of the total
construction.

Using the Marshall Valuation Service’s classification system, we have identified the completed construction as
“Class A – Good, Religious Building”. This classification would correlate to the following picture within the cost
manual.

Please note that the picture above is sourced from the Marshal Valuation Services manual which describes the
general appearance of a Class A religious building. The actual completed improvement may differ in shape, size
and construction details.

Based on the calculations, the adjusted unit cost was $289.68 per square foot. The total replacement cost of the
improvements was calculated to be $15,893,039.

2478 NINTH LINE, OAKVILLE COST APPROACH – “AS IF COMPLETE”” 60

INDIRECT COSTS

Indirect costs are expenditures or allowances for items other than labour and materials that are necessary for
construction but are not typically part of the construction contracts. Indirect costs include:

- Taxes during construction

- Legal and accounting fees

- Leasing / Market Costs

- Loan points and fees

We have factored an Indirect Cost of 1% of the construction into our analysis.

ENTREPRENEURIAL PROFIT

The costs estimate does not include entrepreneurial incentive for overhead or compensation for the time and
effort invested in the project. If the property was sold in the open market, a typical developer would expect a fair
compensation for these services. A typical profit (on cost only) is approximately 7% to 15% and calculated as a
percentage of the cost only (excluding land). Successful self-storage developers are able to garner a high profit
factor as measured against the replace cost because of the difficulty in gathering all the components typical to
development. Absorption costs, rent loss, and profit over time account for the cost of a facility to get to stabilized
occupancy from the time of completion. In some markets, absorption costs are inherent in the profit factors. In
most markets, absorption costs are added to the cost approach to reconcile to the prospective stabilized market
value. For purposes of this appraisal, we have estimated a profit of 7.50%.

ESTIMATE OF ACCRUED DEPRECIATION

Accrued depreciation is the difference between the cost new of the improvements and the current value of those
improvements measured on the appraisal date. Depreciation includes loss in value from three basic categories:

 physical deterioration;

 functional obsolescence; and

 external obsolescence.

PHYSICAL DETERIORATION

Physical depreciation is the result of aging and normal wear and tear on a structure that reduces its value.
Impairments may be curable or incurable in nature. Based on its newly developed basis, we have not estimated a
factor for accrued physical depreciation.

FUNCTIONAL OBSOLESCENCE

Functional obsolescence is the adverse effect on value resulting from design defects that impair the structure’s
usefulness. It can be caused by changes over the years that have made some aspects of the structure, material,

2478 NINTH LINE, OAKVILLE COST APPROACH – “AS IF COMPLETE”” 61

or design obsolete by current standards. The functionality of the subject property and its construction are such
that we have not deducted a rate.

EXTERNAL (ECONOMIC) OBSOLESCENCE

External (economic) obsolescence is the adverse effect on value resulting from influences outside the property
itself. These include changing property or land use patterns and adverse economic climates. It is believed that
the subject property is not impacted by any significant external (economic) obsolescence.

2478 NINTH LINE, OAKVILLE COST APPROACH – “AS IF COMPLETE”” 62

REPLACEMENT COST SUMMARY

The following table summarizes the replacement cost new of the building improvements.

Cost Approach Sum m ary

Market Value Type: Replacem ent Cost New Se ction: 16
Replacem ent Cost New Source: Marshall Valuation Service Page : 9
Im provem ent Type: Aug-15
Religious Buildings Date of Source:

Im provem ent Class: A Average Floor Area: 27,432 sq.ft
Im provem ent Quality: Good
Replacem ent Cost Analysis

GBA (SF) Total Cost Sub-Total Total Cost

Building Improvements 54,864 $233.42 $12,806,355
Base Cost 54,864 $0.00 $0
Heating, Cooling, Ventilation

Sprinklers 54,864 $3.88 $212,872
Elevator

Subtotal 54,864 $237.30 $13,019,227
Multiplier
1.020
Curent Cost 1.280
Local Area

Number of Stories Multiplier Avg Perimeter 1.000
Height Per Storey Multiplier 662.5 lin.ft 1.000
Floor Area/Perimeter Multiplier 0.935

Product Multipliers $289.68 1.221
Adjusted Base Building Cost $15,893,039
Total Direct Costs $15,893,039

Plus Other Indirect Costs (% of Direct Costs) 1.00% $158,930
Subtotal Replacem ent Cost New (RCN) 7.50%
$16,051,970
Plus: Entrepreneurial Profit (% of RCN)

Total Replacem ent Cost New (RCN) $1,203,898 $17,255,867
Per SquareFoot (based on gross area) $314.52

Depreciation Analysis

Less Accrued Depreciation
Physical Deterioration

Effective Age (Years): 0 Years $0
Economic Life: 60 Years
Total Physical Depreciation:
0.00%

Functional Obsolescence 0.00% $0
External Obsolescence
Depreciated Value of the Im provem ents 0.00% $0

$17,255,867

Per SquareFoot (based on gross area) $314.52
Cost Approach Valuation Sum m ary

Depreciated Value of the Im provem ents $17,255,867
Plus: Land Value (Prim ary Site) $6,280,000

Plus: Site Im provem ents Included Above
Indicated Valued by Cost Approach $23,535,867
Rounde d $23,500,000
$428
Per SquareFoot (based on gross area)

2478 NINTH LINE, OAKVILLE COST APPROACH – “AS IF COMPLETE”” 63

The above table summarized the estimated construction costs of $17,255,867 ($314.52 psf) for the “As-If
Complete” building. According to the owner’s construction budget, total construction cost is estimated at
$16,216,111 (see previous section of report). Furthermore, discussions with PelicanWoodcliff – an independent
cost consulting firm indicated that Phase 1 construction would reasonable be constructed with approximately
$14,300,000. However, this cost is solely based on the actual construction costs which does not include Site Plan
Approvals, Legal Costs, etc. We have therefore concluded that the Replacement Cost New of $17,255,867
($314.52 psf) is considered reasonable.

MARKET VALUE “AS-IF COMPLETE”

Upon completion of the proposed development, the subject property will be developed into a one-of-a-kind
mosque located at 2478 Ninth Line, Oakville. According to the analysis above (based on the Marshall & Swift), the
total replacement cost new was concluded to be $17,255,867 (excluding land). We have been provided with the
construction budget (obtained from the current owner(s) and have discussed the reasonableness of the costs with
a third party independent cost consulting firm. We have concluded that the estimate construction cost of Phase 1
is within reasonable market range and have factored it into our conclusion.

It is our opinion that the current market value “As-If Complete” of the subject property via the Cost Approach, as at
the effective date is:

TWENTY-THREE MILLION FIVE HUNDRED THOUSAND DOLLARS

$23,500,000 (rounded)

The current market value “As-If Complete” is premised on the Extraordinary Assumption and Hypothetical
Condition that all construction pertaining to Phase 1 is complete and in accordance to the details within this
appraisal report as provided by the owner(s). Should the construction details differ upon completion, Cushman &
Wakefield Ltd. reserves the right to amend the value conclusion(s) accordingly

2478 NINTH LINE, OAKVILLE RECONCILIATION 64

RECONCILIATION

The current market value “As-Is” is described as land value plus ancillary building(s). For redevelopment lands,
prudent purchasers will typically use only the Direct Comparison Approach. The Income Approach and Cost
Approach is considered irrelevant for the market value “As-Is”.

The market value “As-If Complete” will be a newly constructed mosque with a banquet hall. Place of worship
and/or special purpose built properties are typically analyzed based on its total cost of construction for which the
Cost Approach will be appropriate. Although the “As-If Complete” development will be unique with limited recent
transactions of similar type buildings, we have included transactions of buildings used for banquet use and place
of worships. The Direct Comparison Approach has been included as a “check” to the Cost Approach. The Income
Approach is considered irrelevant as it is not considered an income producing/investment property.

The value conclusions are presented below:

Current Market Value "As-Is" Summary

Direct Comparison (Land Only) $6,272,800
Developable Site Size (ac): 6.36
Unit Rate:
Non-Developable Site Size (ac): $980,000
Unit Rate: 4.00
Completed Contruction Cost:
$10,000
$5,183,251

Final Market Value "As-Is": $11,450,000

Current Market Value "As-If Complete" Summary

Direct Comparison $21,950,000 $400 PSF
Building Area Phase 1 54,864 -
Unit Rate: $400 -

Cost Approach $23,500,000 $428 PSF
Land Value: $6,280,000 -
Depreciated Value Improvements: $17,255,867
$315
Final Market Value "As-If Complete": $23,500,000
$428 PSF

2478 NINTH LINE, OAKVILLE RECONCILIATION 65

CURRENT MARKET VALUE “AS-IS”

It is our opinion that the current market value “As-Is” of 2478 Ninth Line, Oakville, at the effective date of March
24th, 2017 was:

EVELVEN MILLION FOUR HUNDRED FIFTY THOUSAND DOLLARS

$11,450,000

The above market value “As-Is” is based on an exposure time of six to twelve months. In addition, the market
value “As-Is” is based on the Extraordinary Assumption that the current construction costs incurred are accurate
as provided by the owner. Should the completed cost incurred as of March 24th, 2017 be different, Cushman &
Wakefield reserves the right to amend the value conclusion(s) accordingly.

CURRENT MARKET VALUE “AS-IF COMPLETE”

Based on the details of the anticipated development of Phase 1 within this report, it is our opinion that the current
market value “As-If Complete” of Phase 1 located at 2478 Ninth Line, Oakville, at the effective date of March 24th,
2017 was:

TWENTY-THREE MILLION FIVE HUNDRED THOUSAND DOLLARS

$23,500,000

The above market value “As-If Complete” is based on an exposure time of six to twelve months.

The current market value “As-If Complete” is premised on the Extraordinary Assumption and Hypothetical
Condition that all construction pertaining to Phase 1 is complete and in accordance to the details within this
appraisal report as provided by the owner(s). Should the construction details differ upon completion, Cushman &
Wakefield Ltd. reserves the right to amend the value conclusion(s) accordingly.

2478 NINTH LINE, OAKVILLE CERTIFICATION OF APPRAISAL 66

CERTIFICATION OF APPRAISAL

We certify that, to the best of our knowledge and belief:

 The statements of fact contained in this report are true and correct.

 The reported analyses, opinions and conclusions are limited only by the reported assumptions and
limiting conditions, and are our personal, unbiased professional analyses, opinions and conclusions.

 We have no present or prospective interest in the property that is the subject of this report, and we have
no personal interest or bias with respect to the parties involved.

 Our compensation is not contingent upon the reporting of a predetermined value or direction in value that
favours the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or
the occurrence of a subsequent event.

 Our analyses, opinions and conclusions were developed, and this report has been prepared, in
conformity with the Canadian Uniform Standards of Professional Appraisal Practice and with the
requirements of the Code of Professional Ethics and Standards of Professional Practice of the Appraisal
Institute of Canada.

 The Appraisal Institute of Canada reserves the right to review this report.

 Jonathan Dunlap (AIC Candidate) provided significant professional assistance in this report and is a
member in good standing with the Appraisal Institute of Canada.

 Peter Chan and Jonathan Dunlap inspected the property on January 22nd, 2016.

 The value estimate contained in this report applies as at March 24th, 2017. This date may be referred to
as the effective date of valuation.

 The Appraisal Institute of Canada has a Mandatory Recertification Program for designated members. As
of the date of this report, Peter Chan has fulfilled the requirements of the program and is a member in
good standing.

2478 NINTH LINE, OAKVILLE CERTIFICATION OF APPRAISAL 67

CURRENT MARKET VALUE “AS-IS”

It is our opinion that the current market value “As-Is” of 2478 Ninth Line, Oakville, at the effective date of March
24th, 2017 was:

ELEVEN MILLION FOUR HUNDRED FIFTY THOUSAND DOLLARS

$11,450,000

The above market value “As-Is” is based on an exposure time of six to twelve months. In addition, the market
value “As-Is” is based on the Extraordinary Assumption that the current construction costs incurred are accurate
as provided by the owner. Should the completed cost incurred as of March 24th, 2017 be different, Cushman &
Wakefield reserves the right to amend the value conclusion(s) accordingly.

CURRENT MARKET VALUE “AS-IF COMPLETE”

Based on the details of the anticipated development of Phase 1 within this report, it is our opinion that the current
market value “As-If Complete” of Phase 1 located at 2478 Ninth Line, Oakville, at the effective date of March

24th, 2017 was:

TWENTY-THREE MILLION FIVE HUNDRED THOUSAND DOLLARS

$23,500,000

The above market value “As-If Complete” is based on an exposure time of six to twelve months.

The current market value “As-If Complete” is premised on the Extraordinary Assumption and Hypothetical

Condition that all construction pertaining to Phase 1 is complete and in accordance to the details within this

appraisal report as provided by the owner(s). Should the construction details differ upon completion, Cushman &

Wakefield Ltd. reserves the right to amend the value conclusion(s) accordingly.

Digitally signed Digitally signed
by Peter Chan by Jonathan
Dunlap

Peter Chan, AACI, P. App. Jonathan Dunlap, MBA
Senior Vice President Senior Consultant
Valuation & Advisory Valuation & Advisory
[email protected] [email protected]
Phone Office Direct 416.359.2432 Phone Office Direct 416.359.2413
Fax 416.369.2613 Fax 416.359.2613

2478 NINTH LINE, OAKVILLE ADDENDA CONTENTS 68

ADDENDA CONTENTS

ADDENDUM A: ASSUMPTIONS AND LIMITING CONDITIONS
ADDENDUM B: APPRAISAL TERMS AND DEFINITIONS

Assumptions and Limiting Conditions

2478 NINTH LINE, OAKVILLE ASSUMPTIONS AND LIMITING CONDITIONS 69

ASSUMPTIONS AND LIMITING CONDITIONS

"Report" means the appraisal or consulting report and conclusions stated therein, to which these Assumptions and
Limiting Conditions are annexed.

"Property" means the subject of the Report.

"C&W" means Cushman & Wakefield Ltd. or its subsidiary that issued the Report.

"Appraiser(s)" means the employee(s) of C&W who prepared and signed the Report.

The Report has been made subject to the following assumptions and limiting conditions:

 This report has been prepared at the request of Mr. Noorhassen Kausim of World Islamic Mission
Canada for the purpose of providing an estimate of the market value “As-Is” and “As-If Complete” of 2478
Ninth Line, Oakville, Ontario to assist with financing purposes. It is not reasonable for any person
other than the person or those to whom this report is addressed to rely upon this appraisal without first
obtaining written authorization from the client and the author of this report. This report has been prepared
on the assumption that no other person will rely on it for any other purpose and all liability to all such
persons is denied.

 This report has been prepared at the request of Mr. Noorhassen Kausim of World Islamic Mission
Canada and for the exclusive (and confidential) use of the recipients as named herein and for the specific
purpose and function as stated herein. All copyright is reserved to the author and this report is considered
confidential by the author and the client. Possession of this report, or a copy thereof, does not carry with it
the right to reproduction or publication in any manner, in whole or in part, nor may it be disclosed, quoted
from or referred to in any manner, in whole or in part, without the prior written consent and approval of the
author as to the purpose, form and content of any such disclosure, quotation or reference.

 Without limiting the generality of the foregoing, neither all nor any part of the contents of this report shall
be disseminated or otherwise conveyed to the public in any manner whatsoever or through any media
whatsoever or disclosed, quoted from or referred to in any report, financial statement, prospectus, or
offering memorandum of the client, or in any documents filed with any governmental agency without the
prior written consent and approval of the author as to the purpose, form and content of such
dissemination, disclosure, quotation or reference.

 The estimated market value “As-Is” and “As-If Complete” of the real property which is appraised in this
report pertains to the value of the fee simple interest in the real property. The property rights appraised
herein exclude mineral rights, if any.

 The estimate of value contained in this report is founded upon a thorough and diligent examination and
analysis of information gathered and obtained from numerous sources. Certain information has been
accepted at face value; especially if there was no reason to doubt its accuracy. Other empirical data
required interpretive analysis pursuant to the objective of this appraisal. Certain inquiries were outside the
scope of this mandate. For these reasons, the analyses, opinions and conclusions contained in this
report are subject to the following contingent and limiting conditions.

2478 NINTH LINE, OAKVILLE ASSUMPTIONS AND LIMITING CONDITIONS 70

 The property has been valued on the basis that title to the real property herein appraised is good and
marketable.

 The author of this report cannot accept responsibility for legal matters, questions of survey, opinions of
title, hidden or unapparent conditions of the property, toxic wastes or contaminated materials, soil or sub-
soil conditions, environmental, engineering or other technical matters which might render this property
more or less valuable than as stated herein. If it came to our attention as the result of our investigation
and analysis that certain problems may exist, a cautionary note has been entered in the body of the
report.

 The legal description of the property and the area of the site were obtained from GeoWarehouse.ca.
Further, the plans and sketches contained in this report are included solely to aid the recipient in
visualizing the location of the property, the configuration and boundaries of the site and the relative
position of the improvements on the said lands.

 The property has been valued on the basis that the real property is free and clear of all value influencing
encumbrances, encroachments, restrictions or covenants except as any be noted in this report and that
there are no pledges, charges, lien or social assessments outstanding against the property other than as
stated and described herein.

 The property has been valued on the basis that there are no outstanding liabilities except as expressly
noted herein, pursuant to any agreement with a municipal or other government authority, pursuant to any
contract or agreement pertaining to the ownership and operation of the real estate or pursuant to any
lease or agreement to lease, which may affect the stated value or saleability of the subject property or any
portion thereof.

 The interpretation of the leases (if any) and other contractual agreements, pertaining to the operation and
ownership of the property, as expressed herein, is solely the opinion of the author and should not be
construed as a legal interpretation.

 The property has been valued on the basis that the real property complies in all material respects with any
restrictive covenants affecting the site and has been built and is occupied and being operated, in all
material respects, in full compliance with all requirements of law, including all zoning, land use
classification, building, planning, fire and health by-laws, rules, regulations, orders and codes of all federal,
provincial, regional and municipal governmental authorities having jurisdiction with respect thereto. (It is
recognized there may be work orders or other notices of violation of law outstanding with respect to the
real estate and that there may be certain requirements of law preventing occupancy of the real estate as
described in this report. However, such possible circumstances have not been accounted for in the
appraisal process).

 Investigations have been undertaken in respect of matters which regulate the use of land. However, no
inquiries have been placed with the fire department, the building inspector, the health department or any
other government regulatory agency, unless such investigations are expressly represented to have been
made in this report. The subject property must comply with such regulations and, if it does not comply, its
non-compliance may affect the market value of this property. To be certain of such compliance, further
investigations may be necessary.

2478 NINTH LINE, OAKVILLE ASSUMPTIONS AND LIMITING CONDITIONS 71

 The data and statistical information contained herein were gathered from reliable sources and are
believed to be correct. However, these data are not guaranteed for accuracy, even though every attempt
has been made to verify the authenticity of this information as much as possible.

 The estimated market value of the property does not necessarily represent the value of the underlying
shares, if the asset is so held, as the value of the shares could be affected by other considerations.
Further, the estimated market value does not include consideration of any extraordinary market value of
the property, unless the effects of such special conditions, and the extent of any special value that may
arise there from, have been described and measured in this report.

 Should title to the real estate presently be held (or changed to a holding) by a partnership, in a joint
venture, through a co-tenancy arrangement or by any other form of divisional ownership, the value of any
fractional interest associated therewith may be more or less than the percentage of ownership appearing
in the contractual agreement pertaining to the structure of such divisional ownership.

 In the event of syndication, the aggregate value of the limited partnership interests may be greater than
the value of the freehold or Leased Fee interest in the real property, by reason of the possible contributory
value of non-realty interests or benefits such as provision for tax shelter, potential for capital appreciation,
special investment privileges, particular occupancy and income guarantees, special financing or
extraordinary agreements for management services.

 Should the author of this report be required to give testimony or appear in court or at any administrative
proceeding relating to this appraisal, prior arrangements shall be made therefore, including provisions for
additional compensation to permit adequate time for preparation and for any appearances which may be
required. However, neither this nor any other of these contingent and limiting conditions is an attempt to
limit the use that might be made of this report should it properly become evidence in a judicial proceeding.
In such a case, it is acknowledged that it is the judicial body which will decide the use of this report which
best serves the administration of justice.

 Because market conditions, including economic, social and political factors, change rapidly and, on
occasion, without notice or warning, the estimate of market value expressed herein, as of the effective
date of this appraisal, cannot necessarily be relied upon as any other date without subsequent advise of
the author of this report.

 The value expressed herein is in Canadian dollars.

 This report is only valid if it bears the original signature(s) of the author(s).

Appraisal Terms and Definitions

2478 NINTH LINE, OAKVILLE APPRAISAL TERMS AND DEFINITIONS 72

APPRAISAL TERMS AND DEFINITIONS

CAPITALIZATION RATE

Equal to the inverse of a Net Operating Income multiple.

DISCOUNT RATE

Is a measure of risk applied to future income streams used to convert future income into a present value.

EXPOSURE TIME

Exposure time is always presumed to precede the effective date of the appraisal. It may be defined as:

"The estimated length of time the property interest being appraised would have been
offered on the market prior to the hypothetical consummation of a sale at market value on
the effective date of the appraisal. It is a retrospective estimate based upon an analysis of
past events assuming a competitive and open market."

GOING-IN CAPITALIZATION RATE

Capitalization Rate applied forecast Year 1 Net Operating Income.

HIGHEST AND BEST USE

Highest and best use is defined by the Appraisal Institute of Canada as:
“That use which is most likely to produce the greatest net return over a period of
time.”

INTERNAL RATE OF RETURN

Is the rate of return on an investment over a defined holding period with disposition of the asset assured at the end
of the holding period. Stated another way, the IRR is the discount rate that gives a net present value of zero.

MARKET VALUE

The Uniform Standards of Professional Appraisal Practice (USPAP) adopted by the Appraisal Institute of Canada
define market value as:

"The most probable price which a property should bring in a competitive and open market
under all conditions requisite to a fair sale, the buyer and seller each acting prudently and
knowledgeably, and assuming the price is not affected by undue stimulus."

Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to
buyer under conditions whereby:

2478 NINTH LINE, OAKVILLE APPRAISAL TERMS AND DEFINITIONS 73

 Buyer and seller are typically motivated;

 Both parties are well informed or well advised and acting in their own best interests;

 A reasonable time is allowed for exposure in the market; and

 Payment is made in cash in Canadian dollars or in terms of financial arrangements comparable thereto.

The price represents the normal consideration for the property sold, unaffected by special or creative financing or
sales concessions granted by anyone associated with the sale.

MARKETING TIME

The reasonable marketing time is an estimate of the amount of time it might take to sell a property interest in real
estate at the estimated market value level during the period immediately after the effective date of the appraisal.

NET OPERATING INCOME

Income after all operating expenses are deducted from total gross income, excluding debt service and
depreciation.

OVERALL CAPITALIZATION RATE

Refers to the Capitalization Rate being applicable to the total asset value as opposed to the value of the equity
interest in the property. All capitalization rates used in the attached report are “Overall” Capitalization Rates.

STABILIZED CAPITALIZATION RATE

This capitalization rate is the overall rate on stabilized, or adjusted to market income.