| Mike Byrnes: Aberdeen HealthCare Advisors, LLC Aberdeen HealthCare Advisors is a boutique, specialty consulting firm that specialized in the healthcare industry. In the last two years, most of our work has been assisting clients with the analysis of proposed skilled nursing facility acquisitions, assisted living acquisitions and development. We will prepare the financial analysis of the transaction and identify the sources of financing for the specific project. We will prepare the financing packages to go to prospective lenders and then serve as the intermediary between out client and the lender. My experience working with RMC on assisted living development financing involves three different projects. Each project was developed by different owners in New England and greater New York. Degree of complexity of financing By definition, all assisted living development financing is complex in this very tight lending market. HUD insured financing is the only source that is available to developers, as long as they are willing and able to meet all the demands and requirements that are placed on borrowers by HUD. The limitations that HUD will place on a borrower affect the "value" of the project to determine the maximum loan size. It is an intricate process to mesh the needs of the borrower with the HUD requirements and create a capital structure that will allow the borrowers to meet their goals. In the case of Newark, NJ based non-profit borrower, RMC has been instrumental in creating a capital structure that will work for the borrower. Using a mixture of tax-exempt bonds which are credit enhanced with the HUD mortgage insurance to reduce rates, secondary financing, and a creative approach of selling the low interest bonds at a premium to fund lease-up reserves, Rockport has been able to develop a capital structure that will work for this client. Working with a construction management company who is the developer on the above project, we were introduced to another non-profit with plans to build an assisted, Alzheimer's assisted and independent living project in northwest New Jersey. After a period of review and analysis, we were able to determine that this project could not be financed and would never be built. We were able to convince that construction manager to not proceed with the project and helped a good client avoid a significant financial mistake. Sometimes the best advice you can give to a client is not to do something rather than finding a way for it to "work". Rockport provides excellent client service. Their people are all experienced in HUD financing and very knowledgeable in the healthcare industry. They pay very close attention to the details and the time requirements that influence a HUD financing. Having worked with RMC on a number of financings, I have no concerns about introducing them to other clients with whom I am working. | 
