Property Management:

The Donaldson Group provides a comprehensive property management solution for its clients. Our seasoned team of management professionals develops and then recommends to our clients both individual property and portfolio-level:

• Marketing plans and advertising campaigns;
  
• Leasing standards and schedules of rents;
  
• Rent collection policies and bad debt procedures (including instituting legal proceedings for collection of delinquent rents);
  
• Landlord and tenant procedures;
  
• Comprehensive repair and preventive maintenance programs;
  
• Detailed property inspections and physical condition reports;
  
• Purchasing and servicing procedures;
  
• Human relations and employee supervision;
  
• EEO and EHO procedures; and,
• Comprehensive training programs for all levels of employees.
  

The Donaldson Group management team is deep and dedicated. Our Regional Managers boast, on average, well over fifteen years of property management experience and they are all either ARMs, CPMs or CPM candidates with the Institute of Real Estate Management. These devoted professional managers assume a pro-active, hands-on approach to managing their properties. In this regard, our Regional Managers spend virtually all of their time physically located at the properties which comprise their portfolios. As such, they remain in touch and available to the on-site management teams they supervise and support.

We dedicate ourselves to keeping our clients fully informed of the operational and financial results of their assets by constantly striving to make our clients an integral part of the management process. We promote this through:

• Annual strategy and budget meetings to produce a comprehensive budget and business plan for each asset;
  
• Monthly financial, operational and marketing meetings to review each asset's performance;
  
• Weekly meetings during any period of rehabilitation or repositioning of a property to assess construction and leasing progress; and,
• Detailed apring and fall inspections of all assets by senior executives.
  

As professional managers, we continually strive to uphold the highest standards of integrity; professionalism and communication to best serve our clients.

Asset Management:

The Donaldson Group team works closely with our clients to achieve the maximum value for their asset or portfolio. We accomplish this, in part, by reviewing every aspect of the relevant market, from both a macro and micro perspective, and then determining how those factors relate to the specific assets or portfolios. In furtherance thereof, the asset management team develops operating income and expense analyses and produces ten year operating proformas for our clients and to serve as guidance to the management team. We analyze debt structures and advise on refinancing potential and assist our clients in executing any refinancing, restructuring or sale of assets. We also coordinate with lenders regarding debt servicing and replacement reserve refund processes. Additionally, the asset management team carefully examines all property tax assessments and manages any tax appeals on behalf of our clients. We evaluate all insurance coverages and make recommendations and place insurance coverage, when requested by our clients. Based on our financial analyses, we establish appropriate tax, insurance and other balance sheet reserves as part of our risk management function. The asset management team will also assess utility consumption and costs, make recommendations on energy conservation and advise on and place, when required, long term utility contracts on behalf of our clients.

Accounting and Financial Management:

Through our affiliate, TDG Financial, we provide robust cash managment and cash flow projections for each asset we manage on both a cash and an accrual basis (as requested). Through TDG Financial, we also generate appropriate property charts of accounts, develop and administer payable and accounts receivable processing, general ledger administration and bookkeeping services. The members of the TDG Financial team are experts in developing custom financial and marketing report writing for our clients. We generate and format customized individual property and consolidated cash flow statements, balance sheets, general ledgers, and disbursement journals to suit each of our clients' individual requirements. Payroll services, debt collection services, bank statement reconciliations, financial statement analyses, and accounting and financial management training services are also available to fill our clients' needs.

Investment, Underwriting, and Acquisition Analysis/Due Diligence:

Our team works hand in hand with our clients to determine each client's goals and objectives regarding his or her acquisition strategy. We pride ourselves on providing our clients with creative and comprehensive acquisition plans based on thorough market and asset analysis. Our team will prepare and continuously update ten year underwriting proformas for each asset targeted and rank the assets based upon, among other things, projected investment yields. We assist our clients in preparing letters of intent for each targeted asset, advise on negotiations with sellers, and assist the client's attorneys in preparation of purchase and sales contracts for each targeted asset. The acquisition team will also coordinate with mortgage brokers and/or lenders to develop and propose acquisition financing alternatives and assist our clients in the placement of debt financing, including first trusts, mezzanine financing and construction financing.

The Donaldson Group acquisition team also provides its clients with comprehensive due diligence services. These services include:

• Extensive property inspections;
  
• Analysis of all relevant property information;
  
• Thorough market analyses;
  
• Comprehensive financial analyses; and,
  
• Assistance with the closing of the transaction.
  

Among many other things as part of this process, the acquisition team will complete an extensive ten year underwriting proforma based on the client's objectives for the property with projections on gross potential, vacancy, concessions, bad debt, ancillary income (including utility pass-thru options), operating expenses, debt service requirements and trend factors. Our extensive renovation and repositioning experience and knowledge allows us to also quickly make recommendations regarding necessary property upgrades and prepare comprehensive capital improvements programs that will help the client meet its investment objectives for the asset.

Through our affiliate, TDG Capital Partners, we also participate as investors and operating partners in transactions with selected clients and act as sponsors in originating proprietary deals. We have employed numerous partnering acquisition structures with our clients and we remain flexible and open to discussing a broad range of investment ideas and structures with clients and potential clients. Call us at 301-251-8980 to discuss investment structures and opportunities. Ask us about our many recent repositioning and success stories!

Development & Construction Management:

Through our affiliate, TDG Development, our team provides clients with third-party construction contract management, in-house renovation and rehabilitation services, specialized engineering and consulting services, existing property condition evaluations, and zoning and permitting services. Members of our development team:

• Assist our clients in defining relevant scopes of work;
  
• Develop comprehensive budgets and project time-lines for major renovations and capital improvements programs;
  
• Negotiate and advise our clients regarding construction agreements and amendments;
  
• Develop (as appropriate) or review plans and specifications,
  
• Coordinate and direct pre-bid conferences;
  
• Supervise and monitor the performance of contractors, subcontractors, material suppliers and other consultants;
  
• Coordinate with lenders to obtain replacement reserve refunds and lender construction and renovation hold-backs; and,
  
• Develop and provide our clients with highly detailed custom reports tracking all construction and renovation expenses during the life of a project, and coordinate.