1. 2005 Mid-Year Investment Report

2. Expect a Strong & Sustainable Real Estate Market Through 2006 Waikiki Gentrification and Investment Waikiki Gentrification and Investment Sustainable Military Spending Sustainable Military Spending Safe Harbor Safe Harbor Geographic Diversification Geographic Diversification Institutional Capital: Hawaii is a Sweet Spot Institutional Capital: Hawaii is a Sweet Spot Baby Boomers Investing in Hawaii Baby Boomers Investing in Hawaii Lifestyle Investment Lifestyle Investment Low Interest Rates Low Interest Rates International Buyers: Cheap U.S. Dollar International Buyers: Cheap U.S. Dollar

3. Dollar’s Devaluation Helps International Buyers 2001-2005 Dollar Slides @ 20% Source: exchangerate.com

4. Source: Fannie May & Economagic.com

9. Total Annual Home Sales Oahu MLS – 1985 to June 2005 Information obtained from the Honolulu Board of Realtors MLS Service. Information is deemed reliable but not guaranteed.

10. Total Monthly Inventory of Listings Oahu MLS 1987 – June 2005 Information obtained from the Honolulu Board of Realtors MLS Service. Information is deemed reliable but not guaranteed.

11. Percent Homes Sold Above List Price Oahu MLS 2000 – June 2005 Information obtained from the Honolulu Board of Realtors MLS Service. Information is deemed reliable but not guaranteed.

12. Hotel Occupancy Index – July 2005 Source: Smith Travel Research

13. Average Daily Rate – July 2005 Source: Smith Travel Research

14. Hotel Condominium Conversions

17. Self Storage Market Supply (SF/Capita) Hawaii is Undersupplied Source: Mini Storage Association Rentable SF/Capita

18. No. of beds Assisted Living Market