James Register

T I D E M I L L R E S O RT March 1, 2018 SMC funding 9453 De Soto Ave, Suite M Chatsworth, CA 91311 RE: Details on Current Status of Permits, Plans and Timeline for Completion of Tide Mill Resort Repairs Greetings, In this letter you will be presented with a good overview and current status for the permits, plans, and completion of repairs at the Tide Mill Resort, which is managed and being purchased by Tide Mill LLC. We have been given bids for the remodel of the cabins, Lodge, marina and addition of amenities by several contractors and after careful review have selected the General Contractor AQC http://aqcontractors.com/ about-us.html for these repairs, with the marina repair by Maritime Contractor Gibbons http:// gibbonsmarineconstruction.com . Both are licensed and insured for work in the State of Maryland and have good reputations and many satisfied customers for generations on past projects. Please refer to the attached bids for their quotes, as they broke down the project into smaller segments that can be done separately to allow us to rent each completed cabin while they move on to the remaining remodels with minimal site disruptions and keeping the site open during remodel for maximum income production. Also provided is a detailed timeline and cost breakdown of the remodel and site amenity additions, attached. Please review this construction timeline as it has anticipated start dates, cost breakdowns of materials and labor based off the estimates provided by the contractors, and how much has been spent to date. Tide Mill LLC is currently leasing the site and the seller has allowed us to begin the repairs while we obtain funding and complete the closing of the purchase of the site. Some permits have been pulled for the repairs including plumbing and electrical and we have passed the county required inspections and have these inspections posted in each cabin on the electrical panel doors. Site Plans will be drawn and the remainder of permits will be pulled simultaneously once financing is obtained and the property purchase closes. We will use Lorenzi, Dodds & Gunnill http:// www.ldgengineers.com/Services.html for professional engineering and planning services including drawing plans, engineering, environmental, and architectural renderings required for the remodel of the cabins, RV campsites, lodge, piers and boat slips. We will provide you, on an ongoing basis, all plans, permits and entitlements made for the Tide Mill Resort remodel project, as well as the AIA construction draw schedule as soon as possible. Feel free to contact me for further explanation or questions on the Tide Mill Resort project. I look forward to working with you. Sincerely yours, James Register Manager, Tide Mill LLC- 7890 MILL CREEK ROAD, PO Box 314, BENEDICT, MD 20612 - WWW.TIDEMILLRESORT.COM