High Street Real Estate Fund I, L.L.C

Fund I targets real estate product types and market locations where the opportunity for substantial income and price appreciation is apparent.

The High Street Real Estate Fund I, LLC (Fund I) is a Delaware limited liability company formed to make equity investments in institutional grade real estate on a pari passu basis with experienced major institutional real estate investors. Fund I’s real estate acquisitions are financed with moderate amounts of mortgage debt, with the goal of maximizing the risk-adjusted return for its investors.

Fund I targeted real estate product types and market locations where the opportunity for substantial income and price appreciation is apparent. Its acquisitions, range in size from $5 million to $28 million, and feature one or more of the following characteristics:

• Located in established commercial and residential locations with strong demographics and growth potential in East Coast markets of the United States
• Multiple tenants or a single credit-worthy tenant
• Tenants with a demonstrated strong commitment to the market where the property is located
• Leases with rental rates less than those of new Class A space of the same type in the same market
• Potential for expansion of the leased area
• Potential for conversion to higher and better uses
• Diversification based on geographic location, industry concentration, and type

The return to Fund I investors is comprised of distributions of cash flow from operations and proceeds from the sale and refinancing of fund properties. Modest financial leverage in the form of mortgage debt is designed to amplify rates of return on invested equity.

The distinguishing characteristic of Fund I is its innovative co-investment strategy, which allows it to invest with a number of nationally recognized leaders in the U.S. real estate market on a pari passu basis. Each fund investment has an institutional co-investor.

Fund I’s contribution to the equity investment required to acquire each asset is in the range of 10 percent to 50 percent of total equity, with the balance contributed by the institutional investor. Mortgage debt, generally not in excess of 65 percent, provides modest financial leverage, allowing the fund to own, manage, and maximize the value of a large, diversified portfolio of attractive real estate properties carefully selected and subjected to the rigorous underwriting standards of High Street.