anent crop farms have participating leases allowing for potentially higher returns than those generally generated by fixed leases. For example, our Golden Eagle Ranch property, which operates under a participating lease. generated income returns of 12.4% through the second quarter of 2015, 13.3% in 2014 and 10.7%

ar ended December 31. 2014, most of which related to Quail Run Vineyard for the reasons stated above, offset by a base rent payable by the tenant of Golden Eagle Ranch whose new lease requires a small base rent. Participating rent for our permanent crop segment increased $1,404,945, or 67.83%, from $2,071,158 for

e farms pledged as collateral. The second revolving credit facility is secured by first lien mortgages on our Sandpiper Ranch, Quail Run Vineyard, Golden Eagle Ranch and Blue Ileron Farms properties, with the loan commitment amount not to exceed 50% of the current appraised value of the farms pledged as collater

our portfolio was most recently appraised as of June 30, 2015 other than Falcon Farms, the second parcel of Kimberly Vineyard, the second parcel of Golden Eagle Ranch and Kingfisher Ranch, all of which were acquired between the fourth quarter of 2014 and the date of this prospectus and are held at cost. Each ful

development capital expenditures from inception through June 30. 2015 were $22.2 million and total costs of the acquisitions of the second parcel of Golden Eagle Ranch and Kingfisher Ranch includes land costs and preliminary closing costs Represents expiring amoractual rent. CONFIDENTIAL - PURSUANT TO FED. R. CRI

rey, Winc glapis wint glapis Monterey. CA CA Aug-l0 S 3,123.614 9,935.748n7 5 4,00.000 9,935,748 81 85 175 3 295_320 20.67901, S 60,420 Golden Eagle Ranch 1 Golden East. Ranch 2 Armand. Almonds Stanislaus. CA Mn-ad. CA Mar-De l2ei leAu s1g-12 Aug-I5 17.275.976 5,212050 Vt9l0.000 5,212,050

e term for an hater:M.120 additional five yearVb 175 5 years Expiration Later of 10/31/19 or one week after the last day of the 2019 harvesO4 Golden Eagle Ranch. 1.195 5 years The lint to occur of 11i30/19 or one week after the last day of the 2019 almond harvest. Quail Run Vineyard: 145 2 years

participating leases that was not recognized in 2014. No other tenant represents greater than 5.0% of our 2014 contractual rent. The tenant at our Golden Eagle Ranch farm represents approximately 57.6% of our 2015 contractual rent received through June 30, 2015, due in large part to the timing of the sale of the