THE DATE OF THIS FREE WRITING PROSPECTUS IS JUNE 12, 2006 The depositor has filed a registration statement (including a prospectus) with the SEC (SEC File No. 333-132746) for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the depositor has filed with the SEC for more complete information about the depositor, the issuing entity and this offering. You may get these documents for free by visiting EDGAR on the SEC web site at www.sec.gov. Alternatively, the depositor, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling 1-877-858-5407 or by emailing Citigroup-DCM-Prospectus@Citigroup.com. CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. DEPOSITOR CITIGROUP COMMERCIAL MORTGAGE TRUST 2006-C4 ISSUING ENTITY COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES, SERIES 2006-C4 CLASS A-1, CLASS A-2, CLASS A-SB, CLASS A-3, CLASS A-1A, CLASS A-M, CLASS A-J, CLASS B, CLASS C AND CLASS D APPROXIMATE TOTAL PRINCIPAL BALANCE AT INITIAL ISSUANCE: $2,082,453,000 We are Citigroup Commercial Mortgage Securities Inc., the depositor with respect to the securitization transaction that is the subject of this offering prospectus. This offering prospectus specifically relates to, and is accompanied by, our base prospectus dated June 8, 2006. This offering prospectus and the accompanying base prospectus are intended to offer and relate only to the classes of commercial mortgage pass-through certificates identified above, and not to the other classes of certificates that will be issued by the Citigroup Commercial Mortgage Trust 2006-C4, which is the issuing entity. The offered certificates are not listed on any national securities exchange or any automated quotation system of any registered securities associations, such as NASDAQ. The sponsors of the subject securitization transaction are Citigroup Global Markets Realty Corp., PNC Bank, National Association and Barclays Capital Real Estate Inc. The offered certificates represent the obligations of the issuing entity only and do not represent the obligations of or interests in either sponsor, the depositor or any of their affiliates. The assets of the issuing entity will include a pool of multifamily and commercial mortgage loans having the characteristics described in this offering prospectus. No governmental agency or instrumentality or private insurer has insured or guaranteed payment on the offered certificates or any of the mortgage loans that back them. The holders of each class of offered certificates will be entitled to receive, to the extent of available funds, monthly distributions of interest, principal or both, commencing on the distribution date in July 2006. The table on page 9 of this offering prospectus contains a list of the respective classes of offered certificates and states the original principal balance, initial interest rate, interest rate description and other select characteristics of each of those classes. Credit enhancement is being provided through the subordination of various other classes, including multiple non-offered classes, of the series 2006-C4 certificates. That same table on page 9 of this offering prospectus also contains a list of the non-offered classes of the series 2006-C4 certificates. -------------- YOU SHOULD FULLY CONSIDER THE RISK FACTORS BEGINNING ON PAGE 41 IN THIS OFFERING PROSPECTUS AND ON PAGE 19 IN THE ACCOMPANYING BASE PROSPECTUS PRIOR TO INVESTING IN THE OFFERED CERTIFICATES. -------------- NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED OF THESE SECURITIES OR PASSED UPON THE ADEQUACY OR ACCURACY OF THIS OFFERING PROSPECTUS OR THE ACCOMPANYING BASE PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE. -------------- Citigroup Global Markets Inc., Barclays Capital Inc., PNC Capital Markets LLC, Deutsche Bank Securities Inc. and Banc of America Securities LLC are the underwriters with respect to the offered certificates. They will purchase their respective allocations, in each case if any, of the offered certificates from the depositor, subject to the satisfaction of specified conditions. We will identify in a final prospectus supplement relating to the offered certificates the amount of proceeds that we will receive from the sale of the offered certificates before deducting expenses payable by us. Each underwriter currently intends to sell its allocation of offered certificates from time to time in negotiated transactions or otherwise at varying prices to be determined at the time of sale. However, not every underwriter will have an obligation to purchase offered certificates from the depositor. See "Method of Distribution" in this offering prospectus. With respect to this offering, Citigroup Global Markets Inc. is acting as co-lead manager and sole bookrunner and Barclays Capital Inc. is acting as co-lead manager. PNC Capital Markets LLC, Deutsche Bank Securities Inc. and Banc of America Securities LLC are co-managers. [CITIGROUP LOGO OMITTED] [BARCLAYS CAPITAL LOGO OMITTED] [BANC OF AMERICA [PNC LOGO OMITTED] [DEUTSCHE BANK SECURITIES LOGO OMITTED] SECURITIES LOGO OMITTED]
CITIGROUP COMMERCIAL MORTGAGE TRUST 2006-C4 Commercial Mortgage Pass-Through Certificates, Series 2006-C4 WASHINGTON 17 properties $111,675,920 4.9% of total OREGON 1 property $5,865,000 0.3% of total NEVADA 5 properties $38,790,000 1.7% of total NORTHERN CALIFORNIA 7 properties $53,789,141 2.4% of total CALIFORNIA 17 properties $354,756,324 15.7% of total SOUTHERN CALIFORNIA 10 properties $300,967,183 13.3% of total IDAHO 8 properties $13,116,728 0.6% of total UTAH 11 properties $15,384,508 0.7% of total MONTANA 4 properties $7,069,314 0.3% of total ARIZONA 5 properties $53,897,357 2.4% of total NEBRASKA 8 properties $17,708,283 0.8% of total COLORADO 2 properties $9,749,074 0.4% of total SOUTH DAKOTA 5 properties $8,365,092 0.4% of total KANSAS 1 property $14,800,000 0.7% of total MISSOURI 2 properties $10,728,000 0.5% of total OKLAHOMA 10 properties $52,350,000 2.3% of total IOWA 2 properties $2,041,002 0.1% of total TEXAS 7 properties $49,682,651 2.2% of total LOUISIANA 2 properties $32,569,087 1.4% of total MINNESOTA 14 properties $29,550,910 1.3% of total WISCONSIN 50 properties $158,437,830 7.0% of total MISSISSIPPI 3 properties $21,833,222 1.0% of total ILLINOIS 9 properties $35,932,582 1.6% of total INDIANA 1 property $5,500,000 0.2% of total TENNESSEE 4 properties $72,585,000 3.2% of total OHIO 5 properties $62,050,323 2.7% of total MICHIGAN 12 properties $71,317,264 3.2% of total KENTUCKY 2 properties $14,074,906 0.6% of total PENNSYLVANIA 12 properties $154,616,061 6.8% of total GEORGIA 12 properties $92,130,874 4.1% of total FLORIDA 11 properties $153,191,482 6.8% of total NEW YORK 10 properties $96,730,000 4.3% of total MARYLAND 3 properties $38,350,000 1.7% of total DELAWARE 1 property $8,000,000 0.4% of total VIRGINIA 8 properties $165,832,836 7.3% of total NORTH CAROLINA 5 properties $45,102,278 2.0% of total SOUTH CAROLINA 4 properties $51,797,978 2.3% of total NEW HAMPSHIRE 1 property $6,132,922 0.3% of total MASSACHUSETTS 5 properties $74,610,132 3.3% of total CONNECTICUT 5 properties $35,602,000 1.6% of total NEW JERSEY 5 properties $69,809,099 3.1% of total % OF INITIAL MORTGAGE POOL BALANCE Office 32.7% Anchored Retail 24.9% Multifamily 17.0% Hospitality 10.7% Industrial 6.5% Unanchored Retail 4.9% Mixed Use 2.4% Land 0.7% Manufactured Housing 0.3% [ ] > $150 MM of Initial Mortgage Pool Balance [ ] $100 - $150 MM of Initial Mortgage Pool Balance [ ] $50 - $100 MM of Initial Mortgage Pool Balance [ ] $0 - $50 MM of Initial Mortgage Pool Balance
TABLE OF CONTENTS IMPORTANT NOTICE ABOUT THE INFORMATION CONTAINED IN THIS OFFERING PROSPECTUS AND THE ACCOMPANYING BASE PROSPECTUS........................ 7 IMPORTANT NOTICE RELATING TO AUTOMATICALLY GENERATED EMAIL DISCLAIMERS............. 7 NOTICE TO NON-U.S. INVESTORS....................................................... 8 EUROPEAN ECONOMIC AREA............................................................. 8 SUMMARY OF OFFERING PROSPECTUS..................................................... 9 Introduction to the Transaction................................................. 9 Transaction Participants........................................................ 11 Relevant Dates and Periods...................................................... 12 Description of the Offered Certificates......................................... 14 The Underlying Mortgage Loans and the Mortgaged Real Properties................. 25 Legal and Investment Considerations............................................. 38 RISK FACTORS....................................................................... 41 The Class A-M, A-J, B, C and D Certificates Are Subordinate to, and Are Therefore Riskier than, the Class A-1, A-2, A-SB, A-3 and A-1A Certificates.. 41 The Offered Certificates Have Uncertain Yields to Maturity...................... 41 The Investment Performance of Your Offered Certificates May Vary Materially and Adversely from Your Expectations Because the Rate of Prepayments and Other Unscheduled Collections of Principal on the Underlying Mortgage Loans Is Faster or Slower than You Anticipated...................... 42 The Interests of the Series 2006-C4 Controlling Class Certificateholders May Be in Conflict with the Interests of the Offered Certificateholders.......... 43 Repayment of the Underlying Mortgage Loans Depends on the Operation of the Mortgaged Real Properties.................................................... 44 Risks Associated with Condominium Ownership..................................... 44 The Mortgaged Real Property Will Be the Sole Asset Available to Satisfy the Amounts Owing Under an Underlying Mortgage Loan in the Event of Default...... 45 In Some Cases, Payments on an Underlying Mortgage Loan Are Dependent on a Single Tenant or on One or a Few Major Tenants at the Related Mortgaged Real Property...................................................... 45 Ten Percent or More of the Initial Mortgage Pool Balance Will Be Secured by Mortgage Liens on the Respective Borrower's Interests in Each of the Following Property Types--Retail, Office, Multifamily and Hospitality........ 45 Ten Percent or More of the Initial Mortgage Pool Balance Will Be Secured by Mortgage Liens on Real Properties Located in the State of California and Five Percent or More of the Initial Mortgage Pool Balance Will Be Secured by Mortgage Liens on Real Properties Located in Each of the Following States--Virginia, Wisconsin, Pennsylvania and Florida........................ 46 The Mortgage Pool Will Include Material Concentrations of Balloon Loans and Loans with Anticipated Repayment Dates............................. 47 The Mortgage Pool Will Include Some Disproportionately Large Mortgage Loans..... 47 The Mortgage Pool Will Include Leasehold Mortgage Loans and Lending on a Leasehold Interest in Real Property is Riskier Than Lending on the Fee Interest in That Property.................................................... 48 Some of the Mortgaged Real Properties Are Legal Nonconforming Uses or Legal Nonconforming Structures..................................................... 48 Some of the Mortgaged Real Properties May Not Comply with All Applicable Zoning Laws and/or Local Building Codes or with the Americans with Disabilities Act of 1990..................................................... 48 Multiple Mortgaged Real Properties Are Owned by the Same Borrower, Affiliated Borrowers or Borrowers with Related Principals or Are Occupied, in Whole or in Part, by the Same Tenant or 3 Affiliated Tenants, Which Presents a Greater Risk to Investors in the Event of the Bankruptcy or Insolvency of Any Such Borrower or Tenant............ 49 Some of the Mortgaged Real Properties Are or May Be Encumbered by Additional Debt and the Ownership Interests in Some Borrowers Have Been or May Be Pledged to Secure Debt Which, in Either Case, May Reduce the Cash Flow Available to the Subject Mortgaged Real Property............................. 49 Conflicting Rights of Tenants May Adversely Affect a Mortgaged Real Property.... 51 Certain Borrower Covenants May Affect That Borrower's Available Cash Flow....... 51 Some Borrowers Under the Underlying Mortgage Loans Will Not Be Special Purpose Entities............................................................. 52 Tenancies in Common May Hinder Recovery......................................... 52 Changes in Mortgage Pool Composition Can Change the Nature of Your Investment... 53 Risks Related to Redevelopment and Renovation at the Mortgaged Properties....... 53 Decisions Made By The Trustee, the Master Servicer or the Special Servicer May Negatively Affect Your Interests......................................... 53 Sponsors May Not Be Able to Make a Required Repurchase or Substitution of a Defective Mortgage Loan...................................................... 53 The Mortgage Loans Have Not Been Reunderwritten by Us........................... 54 Mortgage Loans Secured by Mortgaged Real Properties Subject to Assistance and Affordable Housing Programs are Subject to the Risk That Those Programs May Terminate or Be Altered.................................................. 54 Lending on Income-Producing Real Properties Entails Environmental Risks......... 54 Lending on Income-Producing Properties Entails Risks Related to Property Condition........................................................... 56 Appraisals Performed on Mortgaged Real Properties May Not Accurately Reflect the Respective Values of Those Mortgaged Real Properties............. 56 Terrorism Insurance Coverage on the Mortgaged Properties May Be Expensive and/or Difficult to Obtain......................................... 57 The Absence or Inadequacy of Insurance Coverage on the Mortgaged Properties May Adversely Affect Payments on the Offered Certificates.................... 58 Impact of Recent Hurricane Activity May Adversely Affect the Performance of Underlying Mortgage Loans.................................................... 59 There May be Restrictions on the Ability of a Borrower, a Lender or Any Transferee Thereof to Terminate or Renegotiate Property Management Agreements That are in Existence With Respect to Some of the Mortgaged Real Properties.. 59 The Mortgaged Real Properties that Secure Some Mortgage Loans in the Series 2006-C4 Securitization Transaction Also Secure One or More Related Mortgage Loans That Will Not Be Transferred to the Issuing Entity; The Interests of the Holders of Those Related Mortgage Loans May Conflict with Your Interests............................................................... 60 Conflicts of Interest May Exist in Connection with Certain Previous or Existing Relationships of a Sponsor for the Series 2006-C4 Securitization Transaction or an Affiliate Thereof to Certain of the Underlying Mortgage Loans, Related Borrowers or Related Mortgaged Real Properties....................... 61 Limitations on Enforceability of Cross-Collateralization May Reduce Its Benefits.......................................................... 61 Investors May Want to Consider Prior Bankruptcies............................... 62 Litigation May Adversely Affect Property Performance............................ 63 The Underwritten Net Cash Flow Debt Service Coverage Ratios and/or Loan-to-Value Ratios for Certain of the Underlying Mortgage Loans Have Been Adjusted in Consideration of a Cash Holdback or a Letter of Credit or Based on a Stabilized Appraised Value........................................ 63 CAPITALIZED TERMS USED IN THIS OFFERING PROSPECTUS................................. 64 FORWARD-LOOKING STATEMENTS......................................................... 64 DESCRIPTION OF THE MORTGAGE POOL................................................... 64 General......................................................................... 64 Cross-Collateralized Mortgage Loans and Multiple Property Mortgage Loans........ 66 Cross-Collateralized Mortgage Loan Groups and Multiple Property Mortgage Loans.. 67 4 Substitution and Release of Real Property Collateral............................ 67 Mortgage Loans with Affiliated Borrowers........................................ 70 Mortgage Loans with Affiliated Borrowers........................................ 71 Significant Underlying Mortgage Loans........................................... 72 Terms and Conditions of the Underlying Mortgage Loans........................... 72 Additional Loan and Property Information........................................ 78 The Loan Combinations........................................................... 91 Assignment of the Mortgage Loans; Repurchases and Substitutions................. 98 Representations and Warranties; Repurchases and Substitutions................... 100 Repurchase or Substitution of Cross-Collateralized Mortgage Loans............... 104 Repurchase and Substitution of the ShopKo Portfolio Mortgage Loan............... 105 Changes in Mortgage Pool Characteristics........................................ 105 TRANSACTION PARTICIPANTS........................................................... 106 The Issuing Entity.............................................................. 106 The Depositor................................................................... 106 The Sponsors.................................................................... 107 The Servicers................................................................... 114 The Trustee..................................................................... 118 AFFILIATIONS AND CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS.................... 120 THE SERIES 2006-C4 POOLING AND SERVICING AGREEMENT................................. 120 General......................................................................... 120 Overview of Servicing........................................................... 121 Sub-Servicers................................................................... 122 Servicing and Other Compensation and Payment of Expenses........................ 123 Trustee Compensation............................................................ 128 Advances........................................................................ 129 The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders.................................................................. 133 Replacement of the Special Servicer............................................. 137 Beneficial Owners of the Controlling Class of Series 2006-C4 Certificates....... 139 Enforcement of Due-on-Sale and Due-on-Encumbrance Provisions.................... 139 Certain Litigation Matters...................................................... 140 Modifications, Waivers, Amendments and Consents................................. 141 Required Appraisals............................................................. 144 Maintenance of Insurance........................................................ 145 Fair Value Purchase Option...................................................... 146 Realization Upon Defaulted Mortgage Loans....................................... 148 REO Properties.................................................................. 150 Accounts........................................................................ 151 Securities Backed by a ShopKo Portfolio Non-Trust Loan.......................... 159 Inspections; Collection of Operating Information................................ 159 Evidence as to Compliance....................................................... 160 Events of Default............................................................... 161 Rights Upon Event of Default.................................................... 163 Third-Party Beneficiaries....................................................... 164 DESCRIPTION OF THE OFFERED CERTIFICATES............................................ 165 General......................................................................... 165 Registration and Denominations.................................................. 166 Payments........................................................................ 167 Treatment of REO Properties..................................................... 177 5 Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses.................................... 178 Fees and Expenses............................................................... 181 Reports to Certificateholders; Available Information............................ 190 Voting Rights................................................................... 194 Termination..................................................................... 194 YIELD AND MATURITY CONSIDERATIONS.................................................. 196 Yield Considerations............................................................ 196 Prepayment Models............................................................... 200 Weighted Average Lives.......................................................... 200 LEGAL PROCEEDINGS.................................................................. 201 USE OF PROCEEDS.................................................................... 202 FEDERAL INCOME TAX CONSEQUENCES.................................................... 202 General......................................................................... 202 Discount and Premium............................................................ 203 Prepayment Consideration........................................................ 203 Characterization of Investments in Offered Certificates......................... 204 Prohibited Transactions Tax and Other Taxes..................................... 205 ERISA CONSIDERATIONS............................................................... 205 Exempt Plans.................................................................... 208 Further Warnings................................................................ 209 LEGAL INVESTMENT................................................................... 209 METHOD OF DISTRIBUTION............................................................. 210 LEGAL MATTERS...................................................................... 212 RATINGS............................................................................ 212 GLOSSARY........................................................................... 214 ANNEX A-1--Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties....................................................... A-1-1 ANNEX A-2--Summary Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties....................................................... A-2-1 ANNEX A-3--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 1 and the related Mortgaged Real Properties...................... A-3-1 ANNEX A-4--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 2 and the related Mortgaged Real Properties...................... A-4-1 ANNEX A-5--Characteristics of the Multifamily and Manufactured Housing Mortgaged Real Properties....................................................... A-5-1 ANNEX B--Description of Ten Largest Mortgage Loans and/or Groups of Cross-Collateralized Mortgage Loans............................................. B-1 ANNEX C--Decrement Tables.......................................................... C-1 ANNEX D--Form of Distribution Date Statement....................................... D-1 ANNEX E--Class A-SB Planned Principal Balance Schedule............................. E-1 ANNEX F--Reference Rate Schedule................................................... F-1 ANNEX G--Global Clearance, Settlement And Tax Documentation Procedures............. G-1 6 IMPORTANT NOTICE ABOUT THE INFORMATION CONTAINED IN THIS OFFERING PROSPECTUS AND THE ACCOMPANYING BASE PROSPECTUS The information in this offering prospectus may be amended and/or supplemented prior to the time of sale. The information in this offering prospectus supersedes any contrary information contained in any prior free writing prospectus relating to the subject securities and will be superseded by any contrary information contained in any subsequent free writing prospectus prior to the time of sale. In addition, certain information regarding the subject securities is not yet available and, accordingly, has been omitted from this offering writing prospectus. Information about the offered certificates is contained in two separate documents: o this offering prospectus, which describes the specific terms of the offered certificates; and o the accompanying base prospectus, which provides general information, some of which may not apply to the offered certificates. You should read both this offering prospectus and the accompanying base prospectus in full to obtain material information concerning the offered certificates. We have not authorized any person to give any other information or to make any representation that is different from the information contained in this offering prospectus and the accompanying base prospectus. When reading the accompanying base prospectus in conjunction with this offering prospectus, references in the accompanying base prospectus to "prospectus supplement" should be read as references to this offering prospectus. The annexes attached to this offering prospectus are hereby incorporated into and made a part of this offering prospectus. This offering prospectus and the accompanying base prospectus do not constitute an offer to sell or a solicitation of an offer to buy any security other than the offered certificates, nor does it constitute an offer to sell or a solicitation of an offer to buy any of the offered certificates to any person in any jurisdiction in which it is unlawful to make such an offer or solicitation to such person. In this offering prospectus, the terms "depositor," "we," "us" and "our" refer to Citigroup Commercial Mortgage Securities Inc. IMPORTANT NOTICE RELATING TO AUTOMATICALLY GENERATED EMAIL DISCLAIMERS Any legends, disclaimers or other notices or language that may appear in the text of, at the bottom of, or attached to, an email communication to which this material may have been attached, that are substantially similar to or in the nature of the following disclaimers, statements or language, are not applicable to these materials and should be disregarded: (i) disclaimers regarding accuracy or completeness of the information contained herein or restrictions as to reliance on the information contained herein by investors; (ii) disclaimers of responsibility or liability; (iii) statements requiring investors to read or acknowledge that they have read or understand the registration statement or any disclaimers or legends; (iv) language indicating that this communication is neither a prospectus nor an offer to sell or a solicitation or an offer to buy; (v) statements that this information is privileged, confidential or otherwise restricted as to use or reliance; and (vi) a legend that information contained in these materials will be superseded or changed by the final prospectus, if the final prospectus is not delivered until after 7 the date of the contract for sale. Such legends, disclaimers or other notices have been automatically generated as a result of these materials having been sent via Bloomberg or another email system. NOTICE TO NON-U.S. INVESTORS The distribution of this offering prospectus and the accompanying base prospectus and the offer or sale of the offered certificates may be restricted by law in certain jurisdictions. Persons into whose possession this offering prospectus and the accompanying base prospectus or any of the offered certificates come must inform themselves about, and observe, any such restrictions. Each prospective purchaser of the offered certificates must comply with all applicable laws and regulations in force in any jurisdiction in which it purchases, offers or sells the offered certificates or possesses or distributes this offering prospectus and the accompanying base prospectus and must obtain any consent, approval or permission required by it for the purchase, offer or sale by it of the offered certificates under the laws and regulations in force in any jurisdiction to which it is subject or in which it makes such purchases, offers or sales, and neither we nor any of the underwriters have any responsibility therefor. EUROPEAN ECONOMIC AREA Each underwriter has agreed with us that it will abide by certain selling restrictions with respect to offers of series 2006-C4 certificates to the public in the European Economic Area. See "Method of Distribution" in this offering prospectus. 8 -------------------------------------------------------------------------------- SUMMARY OF OFFERING PROSPECTUS This summary contains selected information regarding the offering being made by this offering prospectus. It does not contain all of the information you need to consider in making your investment decision. To understand all of the terms of the offering of the offered certificates, you should read carefully this offering prospectus and the accompanying base prospectus in full. INTRODUCTION TO THE TRANSACTION The offered certificates will be part of a series of commercial mortgage pass-through certificates designated as the series 2006-C4 commercial mortgage pass-through certificates and consisting of multiple classes. The table below identifies the respective classes of that series, specifies various characteristics of each of those classes and indicates which of those classes are offered by this offering prospectus and which are not offered by this offering prospectus. SERIES 2006-C4 COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES APPROX. TOTAL APPROX. % PRINCIPAL BALANCE APPROX. % OF TOTAL CREDIT OR NOTIONAL INITIAL SUPPORT AT PASS-THROUGH AMOUNT AT INITIAL MORTGAGE POOL INITIAL RATE CLASS ISSUANCE BALANCE((3)) ISSUANCE(4) DESCRIPTION(6) --------------------------- ----------------- ------------- ------------ -------------- Offered Certificates A-1 $ 79,951,000 3.53% 30.000%(5) A-2 $ 152,713,000 6.75% 30.000%(5) A-SB $ 135,184,000 5.97% 30.000%(5) A-3 $ 831,310,000 36.73% 30.000%(5) A-1A $ 385,317,000 17.02% 30.000%(5) A-M $ 226,353,000 10.00% 20.000% A-J $ 164,107,000 7.25% 12.750% B $ 50,929,000 2.25% 10.500% C $ 25,465,000 1.13% 9.375% D $ 31,124,000 1.38% 8.000% Non-Offered Certificates(1) X $2,263,536,038(2) NAP NAP Variable IO E $ 22,635,000 1.00% 7.000% F $ 28,294,000 1.25% 5.750% G $ 28,294,000 1.25% 4.500% H $ 25,465,000 1.13% 3.375% J $ 11,318,000 0.50% 2.875% K $ 8,488,000 0.38% 2.500% L $ 8,488,000 0.38% 2.125% M $ 5,659,000 0.25% 1.875% N $ 5,659,000 0.25% 1.625% O $ 5,659,000 0.25% 1.375% P $ 31,124,038 1.38% NAP WEIGHTED INITIAL AVERAGE PASS-THROUGH LIFE PRINCIPAL RATINGS(11) CLASS RATE (YEARS)(8)(9) WINDOW(9)(10) MOODY'S/FITCH --------------------------- ------------ ------------- ------------- ------------- Offered Certificates A-1 ....................... % 3.24 07/06-04/11 Aaa/AAA A-2 ....................... % 6.61 01/13-03/13 Aaa/AAA A-SB ...................... % 7.15 04/11-08/15 Aaa/AAA A-3 ....................... % 9.62 08/15-04/16 Aaa/AAA A-1A ...................... % 8.78 07/06-04/16 Aaa/AAA A-M ....................... % 9.84 04/16-05/16 Aaa/AAA A-J ....................... % 9.92 05/16-06/16 Aaa/AAA B ......................... % 9.96 06/16-06/16 Aa2/AA C ......................... % 9.96 06/16-06/16 Aa3/AA- D ......................... % 9.96 06/16-06/16 A2/A Non-Offered Certificates(1) X ......................... %(7) NAP NAP Aaa/AAA E ......................... % NAP NAP A3/A- F ......................... % NAP NAP Baa1/BBB+ G ......................... % NAP NAP Baa2/BBB H ......................... % NAP NAP Baa3/BBB- J ......................... % NAP NAP Ba1/BB+ K ......................... % NAP NAP Ba2/BB L ......................... % NAP NAP Ba3/BB- M ......................... % NAP NAP B1/B+ N ......................... % NAP NAP B2/B O ......................... % NAP NAP B3/B- P ......................... % NAP NAP NR/NR ---------- (1) The non-offered classes of the series 2006-C4 certificates will also include the class Y and R certificates. Those classes of series 2006-C4 certificates will not have principal balances, notional amounts or pass-through rates. (2) Notional amount. The total notional amount of the class X certificates will equal the total principal balance of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates outstanding from time to time. The class X certificates do not have principal balances and do not entitle holders to distributions of principal. (3) The initial mortgage pool balance will equal $2,263,536,038, subject to a variance of plus or minus 5%. (4) Structural credit enhancement is provided for the offered certificates through the subordination of more junior classes of series 2006-C4 certificates. The approximate percentage of total credit support at initial issuance shown -------------------------------------------------------------------------------- 9 -------------------------------------------------------------------------------- in the foregoing table with respect to each class of offered certificates represents the total initial principal balance, expressed as a percentage of the initial mortgage pool balance, of all more subordinate classes of the series 2006-C4 certificates. (5) Presented on an aggregate basis for the class A-1, A-2, A-SB, A-3 and A-1A certificates. (6) In the case of any particular class of series 2006-C4 certificates shown in the foregoing table: (a) "Fixed" refers to a pass-through rate that remains fixed at the initial pass-through rate for the subject class; (b) "WAC" refers to a variable pass-through rate equal to the weighted average from time to time of certain net interest rates on the underlying mortgage loans; (c) "WAC Cap" refers to a variable pass-through rate equal to the lesser of the initial pass-through rate for the subject class and the weighted average from time to time of certain net interest rates on the underlying mortgage loans; (d) "WAC-x%" refers to a variable pass-through rate equal to (i) the weighted average from time to time of certain net interest rates on the underlying mortgage loans, minus (ii) x%; (e) "Floating" refers to a variable pass-through rate calculated based on an independent interest rate index; and (f) "Variable IO" refers to a variable pass-through rate equal to the weighted average from time to time of certain strip rates at which interest accrues on the respective components of the total notional amount of a class of interest-only certificates. See "Description of the Offered Certificates--General" and "--Payments--Calculation of Pass-Through Rates" in this offering prospectus. (7) Approximate. (8) The weighted average life of any class of offered certificates refers to the average amount of time that will elapse from the date of their issuance until each dollar to be applied in reduction of the total principal balance of those certificates is paid to the investors. (9) Calculated based on: (a) the assumptions that the related borrower timely makes all payments on each underlying mortgage loan, that each underlying mortgage loan with an anticipated repayment date (see "--The Underlying Mortgage Loans and the Mortgaged Real Properties--Payment and Other Terms" below) is paid in full on that date and that no underlying mortgage loan is otherwise prepaid prior to maturity; and (b) the other maturity assumptions referred to under "Yield and Maturity Considerations" in, and set forth in the glossary to, this offering prospectus. (10) The principal window for any class of offered certificates is the period during which the holders of those certificates will receive payments of principal. The distribution date in the last month of the principal window for any class of offered certificates would be the final principal distribution date for that class. (11) The ratings shown in the foregoing table for the offered certificates are those of Moody's Investors Service, Inc. and Fitch, Inc., respectively. It is a condition to their issuance that the respective classes of the offered certificates receive credit ratings no lower than those shown in the foregoing table. See "Ratings" in this offering prospectus for a discussion of those ratings and the limitations thereof. The governing document for purposes of issuing the series 2006-C4 certificates and forming the issuing entity will be a pooling and servicing agreement to be dated as of June 1, 2006. The series 2006-C4 pooling and servicing agreement will also govern the servicing and administration of the mortgage loans and other assets that back the series 2006-C4 certificates. The parties to the series 2006-C4 pooling and servicing agreement will include us, a trustee, a master servicer and a special servicer. See "The Series 2006-C4 Pooling and Servicing Agreement" in this offering prospectus. A copy of the series 2006-C4 pooling and servicing agreement, including the exhibits thereto, will be filed with the SEC as an exhibit to a current report on Form 8-K under the Securities Exchange Act of 1934, as amended, following the initial issuance of the offered certificates. In addition, if and to the extent that any material terms of the series 2006-C4 pooling and servicing agreement or the exhibits thereto have not been disclosed in this offering prospectus, then the series 2006-C4 pooling and servicing agreement, together with such exhibits, will be filed with the SEC as an exhibit to a current report on Form 8-K on the date of -------------------------------------------------------------------------------- 10 -------------------------------------------------------------------------------- initial issuance of the offered certificates. The SEC will make those current reports on Form 8-K and its exhibits available to the public for inspection. See "Available Information" in the accompanying base prospectus. TRANSACTION PARTICIPANTS ISSUING ENTITY................ The Citigroup Commercial Mortgage Trust 2006-C4 will be the issuing entity for the series 2006-C4 securitization transaction. See "Transaction Participants--The Issuing Entity" in each of this offering prospectus and the accompanying base prospectus. DEPOSITOR..................... We are Citigroup Commercial Mortgage Securities Inc., the depositor for the series 2006-C4 securitization transaction. We are a Delaware corporation. Our address is 388 Greenwich Street, New York, New York 10013 and our telephone number is (212) 816-6000. We are a wholly-owned subsidiary of Citigroup Financial Products Inc. and an affiliate of (a) Citigroup Global Markets Inc., one of the underwriters, and (b) Citigroup Global Markets Realty Corp., one of the sponsors. See "Transaction Participants--The Depositor" in each of this offering prospectus and the accompanying base prospectus. SPONSORS...................... Citigroup Global Markets Realty Corp., PNC Bank, National Association and Barclays Capital Real Estate Inc. will be the sponsors for the series 2006-C4 securitization transaction. Citigroup Global Markets Realty Corp. is our affiliate and an affiliate of Citigroup Global Markets Inc., one of the underwriters. PNC Bank, National Association is an affiliate of (a) PNC Capital Markets LLC, one of the underwriters, and (b) Midland Loan Services, Inc., the master servicer. Barclays Capital Real Estate Inc. is an affiliate of Barclays Capital Inc., one of the underwriters. See "Transaction Participants--The Sponsors" in this offering prospectus and "Transaction Participants--The Sponsor" in the accompanying base prospectus. We will acquire the underlying mortgage loans from the sponsors. Accordingly, they are from time to time referred to in this offering prospectus as mortgage loan sellers. INITIAL TRUSTEE............... LaSalle Bank National Association, a national banking association, will act as the initial trustee on behalf of the series 2006-C4 certificateholders. See "Transaction Participants--The Trustee" in this offering prospectus. Following the transfer of the underlying mortgage loans to the issuing entity, the trustee, on behalf of the series 2006-C4 certificateholders, will become the mortgagee of record under each underlying mortgage loan. The trustee will further be responsible for calculating the amount of principal and interest to be paid to, and making distributions to, the series 2006-C4 certificateholders, as described under "Transaction Participants--The Trustee" and "Description of the Offered Certificates" in this offering prospectus. The trustee will -------------------------------------------------------------------------------- 11 -------------------------------------------------------------------------------- also have, or be responsible for appointing an agent to perform, additional duties with respect to tax administration. INITIAL MASTER SERVICER....... Midland Loan Services, Inc., a Delaware corporation, will act as the initial master servicer with respect to the underlying mortgage loans. Midland Loan Services, Inc. is an affiliate of PNC Bank, National Association, one of the sponsors, and PNC Capital Markets LLC, one of the underwriters. See "Transaction Participants--The Servicers--The Initial Master Servicer" in this offering prospectus. INITIAL SPECIAL SERVICER...... J.E. Robert Company, Inc., a Virginia corporation, will act as the initial special servicer with respect to the underlying mortgage loans. See "Transaction Participants--The Servicers--The Initial Special Servicer" in this offering prospectus. RELEVANT DATES AND PERIODS CUT-OFF DATE.................. References in this offering prospectus to the "cut-off date" mean, individually and collectively, as the context may require: with respect to the 148 underlying mortgage loans having their first due dates in or prior to June 2006, the related due date of each such underlying mortgage loan in June 2006; and with respect to the 18 underlying mortgage loans having their first due dates in July 2006, June 1, 2006. All payments and collections received on each underlying mortgage loan after the cut-off date, excluding any payments or collections that represent amounts due on or before that date, will belong to the issuing entity. ISSUE DATE.................... The date of initial issuance of the offered certificates will be on or about June 29, 2006. DISTRIBUTION FREQUENCY/DISTRIBUTION DATE... Payments on the offered certificates are scheduled to occur monthly, commencing in July 2006. During any given month, the distribution date will be the fourth business day following the related determination date. DETERMINATION DATE............ The 11th day of each month or, if such 11th day is not a business day, the next succeeding business day, commencing in July 2006. Notwithstanding the foregoing, the master servicer may make its determination as to the collections received in respect of certain mortgage loans as of an earlier date during each month. With respect to any calendar month, references in this offering prospectus to "determination date" mean, as to each mortgage loan, the applicable determination date occurring in such month. -------------------------------------------------------------------------------- 12 -------------------------------------------------------------------------------- RECORD DATE................... The record date for each monthly payment on an offered certificate will be the last business day of the prior calendar month. The registered holders of the offered certificates at the close of business on each record date, will be entitled to receive, on the following distribution date, any payments on those certificates, except that the last payment on any offered certificate will be made only upon presentation and surrender of the certificate. COLLECTION PERIOD............. Amounts available for payment on the series 2006-C4 certificates on any distribution date will depend on the payments and other collections received, and any advances of payments due, on or with respect to the underlying mortgage loans during the related collection period. Each collection period: o will relate to a particular distribution date; o will be approximately one month long; o will begin when the prior collection period ends or, in the case of the first collection period, will begin on the day following the cut-off date; and o will end at the close of business on the determination date immediately preceding the related distribution date. However, the collection period for any distribution date for certain mortgage loans may differ from the collection period with respect to the rest of the mortgage pool for that distribution date because the determination dates for those mortgage loans may not be the same as the determination date for the rest of the mortgage pool. Accordingly, there may be more than one collection period with respect to some distribution dates. With respect to any distribution date, references in this offering prospectus to "collection period" mean, as to each mortgage loan, the applicable collection period ending in the month in which that distribution date occurs. INTEREST ACCRUAL PERIOD....... The amount of interest payable with respect to the offered certificates on any distribution date will be a function of the interest accrued during the related interest accrual period. The interest accrual period for the offered certificates for any distribution date will be the calendar month immediately preceding the month in which that distribution date occurs. RATED FINAL DISTRIBUTION DATE.......................... The rated final distribution date with respect to the offered certificates will be the distribution date in March 2049. -------------------------------------------------------------------------------- 13 -------------------------------------------------------------------------------- DESCRIPTION OF THE OFFERED CERTIFICATES REGISTRATION AND DENOMINATIONS................. We intend to deliver the offered certificates in book-entry form in original denominations of $10,000 initial principal balance and in any whole dollar denomination in excess thereof and in any greater whole dollar denominations. You will initially hold your offered certificates, directly or indirectly, through The Depository Trust Company, and they will be registered in the name of Cede & Co. as nominee for The Depository Trust Company. As a result, you will not receive a fully registered physical certificate representing your interest in any offered certificate, except under the limited circumstances described under "Description of the Offered Certificates--Registration and Denominations" in this offering prospectus and under "Description of the Certificates--Book-Entry Registration" in the accompanying base prospectus. PAYMENTS A. GENERAL.................... The trustee will make payments of interest and, except in the case of the class X certificates, principal to the following classes of series 2006-C4 certificateholders, sequentially as follows: 1st.......... A-1, A-2, A-SB, A-3, A-1A and X 2nd.......... A-M 3rd.......... A-J 4th.......... B 5th.......... C 6th.......... D 7th.......... E 8th.......... F 9th.......... G 10th......... H 11th......... J 12th......... K 13th......... L 14th......... M 15th......... N 16th......... O 17th......... P For purposes of allocating payments on the most senior classes of the series 2006-C4 certificates, the mortgage pool will be divided into: o a loan group no. 1 consisting of 134 underlying mortgage loans that are secured by property types other than multifamily; and o a loan group no. 2 consisting of 32 underlying mortgage loans that are secured by multifamily properties. -------------------------------------------------------------------------------- 14 -------------------------------------------------------------------------------- Loan group no. 1 will contain a total of 134 underlying mortgage loans that represent 83.0% of the initial mortgage pool balance, and loan group no. 2 will contain a total of 32 underlying mortgage loans that represent 17.0% of the initial mortgage pool balance. Interest payments with respect to the class A-1, A-2, A-SB, A-3, A-1A and X certificates are to be made concurrently: o in the case of the class A-1, A-2, A-SB and A-3 certificates, on a pro rata basis in accordance with the respective interest entitlements evidenced by those classes of series 2006-C4 certificates, from funds attributable to loan group no. 1; o in the case of the class A-1A certificates, from funds attributable to loan group no. 2; and o in the case of the class X certificates, from funds attributable to loan group no. 1 and/or loan group no. 2; provided that, if the foregoing would result in a shortfall in the interest payments on any of the class A-1, A-2, A-SB, A-3, A-1A and/or X certificates, then payments of interest will be made on those classes of series 2006-C4 certificates, on a pro rata basis in accordance with the respective interest entitlements evidenced thereby, from available funds attributable to the entire mortgage pool; and provided, further, that the "available funds" referred to above in this sentence do not include amounts attributable to any mortgage loan not held by the issuing entity. The class Y and R certificates do not bear interest and do not entitle their respective holders to payments of interest. Allocation of principal payments among the A-1, A-2, A-SB, A-3 and A-1A classes also takes into account loan groups and is described under "--Payments--Payments of Principal" below. The class X, Y and R certificates do not have principal balances and do not entitle their respective holders to payments of principal. See "Description of the Offered Certificates--Payments--Priority of Payments" in this offering prospectus. B. PAYMENTS OF INTEREST...... Each class of series 2006-C4 certificates (other than the class Y and R certificates) will bear interest. In each case, that interest will accrue during each interest accrual period based upon-- o the pass-through rate applicable for the particular class of series 2006-C4 certificates for that interest accrual period, -------------------------------------------------------------------------------- 15 -------------------------------------------------------------------------------- o the total principal balance or notional amount, as the case may be, of the particular class of series 2006-C4 certificates outstanding immediately prior to the related distribution date, and o the assumption that each year consists of twelve 30-day months. On each distribution date, subject to available funds from collections and advances on the underlying mortgage loans, the payment priorities described under "--Payments--General" above, the holders of each class of offered certificates will generally be entitled to receive: o all interest accrued with respect to that class of offered certificates during the related interest accrual period, as described above in this "--Payments--Payments of Interest" subsection; plus o any interest that such class of offered certificateholders was entitled to receive on all prior distribution dates, to the extent not previously received; minus o such class' allocable share of any shortfalls in interest collections due to prepayments on the underlying mortgage loans, to the extent that such interest shortfalls are not offset by certain payments made by the master servicer; minus o such class' allocable share of any reduction in interest paid on any underlying mortgage loan as a result of a modification that allows the reduction in accrued but unpaid interest to be added to the principal balance of the subject mortgage loan. See "Description of the Offered Certificates--Payments--Payments of Interest" in this offering prospectus. C. PAYMENTS OF PRINCIPAL..... Subject to available funds and the payment priority described under "-- Payments--General" above, the holders of each class of offered certificates will be entitled to receive a total amount of principal over time equal to the total principal balance of that particular class. The total payments of principal to be made with respect to the series 2006-C4 certificates on any distribution date will, in general, be a function of-- o the amount of scheduled payments of principal due or, in some cases, deemed due on the underlying mortgage loans during the related collection period, which -------------------------------------------------------------------------------- 16 -------------------------------------------------------------------------------- payments are either received as of the end of that collection period or advanced by the master servicer or the trustee; and o the amount of any prepayments and other unscheduled collections of previously unadvanced principal with respect to the underlying mortgage loans that are received during the related collection period. If the master servicer, the special servicer or the trustee reimburses itself out of general collections on the mortgage pool for any advance that it has determined is not recoverable out of collections on the related underlying mortgage loan, then that advance (together with accrued interest thereon) will be deemed, to the fullest extent permitted, to be reimbursed first out of payments and other collections of principal otherwise distributable on the series 2006-C4 certificates, prior to being deemed reimbursed out of payments and other collections of interest otherwise distributable on the series 2006-C4 certificates. In addition, if payments and other collections of principal on the mortgage pool are applied to reimburse, or pay interest on, any advance that is determined to be nonrecoverable from collections on the related underlying mortgage loan, as described in the prior sentence, then that advance will be reimbursed, and/or interest thereon will be paid, first out of payments or other collections of principal on the loan group (i.e., loan group no. 1 or loan group no. 2, as applicable) that includes the subject underlying mortgage loan as to which the advance was made, and prior to using payments or other collections of principal on the other loan group. The trustee is required to make payments of principal to the holders of the various classes of the series 2006-C4 certificates with principal balances in a specified sequential order, taking account of whether the payments (or advances in lieu thereof) and other collections of principal that are to be distributed were received and/or made with respect to underlying mortgage loans in loan group no. 1 or underlying mortgage loans in loan group no. 2. On any distribution date, subject to the discussion under "--Payments--Amortization, Liquidation and Payment Triggers" below, amounts allocable to distributable principal of loan group no. 1 will be applied to make distributions of principal, first, with respect to the class A-SB certificates, until the total principal balance of that class is paid down to the applicable scheduled principal balance thereof set forth on Annex E to this offering prospectus, and thereafter with respect to the following classes of series 2006-C4 certificates in the following order (in each case until the related total principal balance is reduced to zero): -------------------------------------------------------------------------------- 17 -------------------------------------------------------------------------------- 1. class A-1, 2. class A-2, 3. class A-SB, 4. class A-3, 5. class A-1A, 6. class A-M, 7. class A-J, 8. class B, 9. class C, 10. class D, and 11. classes E, F, G, H, J, K, L, M, N, O and P, in that order. On any distribution date, subject to the discussion under "--Payments--Amortization, Liquidation and Payment Triggers" below, amounts allocable to distributable principal of loan group no. 2 will be applied to make distributions of principal, first, with respect to the class A-1A certificates, until the total principal balance of that class is reduced to zero, second, with respect to the class A-SB certificates, until the total principal balance of that class is paid down to the applicable scheduled principal balance thereof set forth on Annex E to this offering prospectus, and thereafter with respect to the following classes of series 2006-C4 certificates in the following order (in each case until the related total principal balance is reduced to zero): 1. class A-1, 2. class A-2, 3. class A-SB, 4. class A-3, 5. class A-M, 6. class A-J, 7. class B, 8. class C, 9. class D, and 10. classes E, F, G, H, J, K, L, M, N, O and P, in that order. The class X, Y and R certificates do not have principal balances and do not entitle their holders to payments of principal. See "Description of the Offered Certificates--Payments--Payments of Principal" in this offering prospectus. D. AMORTIZATION, LIQUIDATION AND PAYMENT TRIGGERS....... Because of losses on the underlying mortgage loans and/or default-related or other unanticipated expenses of the issuing entity, the total principal balance of the class A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates could be reduced -------------------------------------------------------------------------------- 18 -------------------------------------------------------------------------------- to zero at a time when the class A-1, A-2, A-SB, A-3 and A-1A certificates, or any two or more classes of those certificates, remain outstanding. Under those circumstances, any payments of principal on the outstanding class A-1, A-2, A-SB, A-3 and A-1A certificates will be made among those classes of certificates on a pro rata basis, rather than sequentially, in accordance with their respective total principal balances. Also, specified parties may terminate the issuing entity and cause the retirement of the series 2006-C4 certificates, as and when described under "--Description of the Offered Certificates--Optional Termination" below. E. PAYMENTS OF PREPAYMENT PREMIUMS AND YIELD MAINTENANCE CHARGES........ If any prepayment premium or yield maintenance charge is collected on any of the underlying mortgage loans, then the trustee will pay that amount, net of any liquidation fee payable in connection with the receipt thereof, in the proportions described under "Description of the Offered Certificates--Payments--Payments of Prepayment Premiums and Yield Maintenance Charges" in this offering prospectus, to-- o the holders of the class X certificates; and/or o the holders of any of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G and/or H certificates that are then entitled to receive any principal payments with respect to the loan group that includes the prepaid mortgage loan. -------------------------------------------------------------------------------- 19 -------------------------------------------------------------------------------- F. FEES AND EXPENSES.......... The amounts available for distribution on the series 2006-C4 certificates on any distribution date will generally be net of the following fees and expenses: TYPE / RECIPIENT AMOUNT/SOURCE FREQUENCY ----------------------- ------------------------------------------------ ----------- FEES Master Servicing Fee / Payable with respect to each and every mortgage Monthly Master Servicer loan held by the issuing entity, including each specially serviced mortgage loan, if any, and each mortgage loan, if any, as to which the corresponding mortgaged real property has been acquired as foreclosure property on behalf of the issuing entity. With respect to each such mortgage loan, the master servicing fee will: (a) generally be calculated on the same interest accrual basis as is applicable to the accrual of interest with respect to that mortgage loan; (b) accrue on the same principal amount as interest accrues or is deemed to accrue on that mortgage loan; (c) accrue at an annual rate that ranges, on a loan-by-loan basis, from 0.0300% to 0.1300% per annum; and (d) be payable (i) monthly from amounts allocable as interest with respect to that mortgage loan and/or (ii) if the subject mortgage loan and any related foreclosure property has been liquidated on behalf of the issuing entity, out of general collections on the mortgage pool. Master servicing fees with respect to any underlying mortgage loan will include the primary servicing fees payable by the master servicer to any sub-servicer with respect to that mortgage loan. Special Servicing Fee / Payable with respect to each mortgage loan held Monthly Special Servicer by the issuing entity that is being specially serviced or as to which the corresponding mortgaged real property has been acquired as foreclosure property on behalf of the issuing entity. With respect to each such mortgage loan, the special servicing fee will: (a) generally be calculated on the same interest accrual basis as is applicable to the accrual of interest with respect to that mortgage loan; (b) accrue on the same principal amount as interest accrues or is deemed to accrue from time to time on that mortgage loan; (c) accrue at a special servicing fee rate of 0.25% per annum; and (d) be payable monthly from general collections on the mortgage pool. Special servicing fees incurred by the issuing entity may be offset by default interest and/or late payment charges received with respect to the related underlying mortgage loan. Workout Fee / Special Payable with respect to each specially serviced Time to time Servicer mortgage loan that the special servicer successfully works out. The workout fee will be payable out of, and will be calculated by application of a workout fee rate of 1.0% to, each collection of principal and interest, other than default interest and post-ARD additional interest, received on the subject mortgage loan for so long as it is not returned to special servicing by reason of an actual or reasonably foreseeable default. Workout fees incurred by the issuing entity may be offset by default interest and/or late payment charges received with respect to the related underlying mortgage loan. Liquidation Fee / Subject to the exceptions described under "The Time to time Special Servicer Series 2006-C4 Pooling and Servicing Agreement--Servicing and Other Compensation and Payment of Expenses--Principal Special Servicing Compensation--The Liquidation Fee" in this offering prospectus, payable with respect to: (a) each specially serviced mortgage loan--or any replacement mortgage loan substituted for it--as to which the special servicer obtains a full or discounted payoff from the related borrower; and (b) any -------------------------------------------------------------------------------- 20 -------------------------------------------------------------------------------- TYPE / RECIPIENT AMOUNT/SOURCE FREQUENCY ----------------------- ------------------------------------------------ ----------- specially serviced mortgage loan or foreclosure property as to which the special servicer receives any liquidation proceeds, sale proceeds, insurance proceeds or condemnation proceeds. As to each such specially serviced mortgage loan or foreclosure property, the liquidation fee will be payable from, and will be calculated by application of a liquidation fee rate of 1.0% to, the related payment or proceeds. Liquidation fees incurred by the issuing entity may be offset by default interest and/or late payment charges received with respect to the related underlying mortgage loan. Trustee Fee / Trustee Payable out of general collections on the Monthly mortgage pool and, for any distribution date, will equal one month's interest at 0.0009% per annum with respect to each and every mortgage loan held by the issuing entity, including each specially serviced mortgage loan, if any, and each mortgage loan, if any, as to which the corresponding mortgaged real property has been acquired as foreclosure property on behalf of the issuing entity. EXPENSES Servicing Advances / To the extent of funds available, the amount of Time to time Trustee, Master any servicing advances.(1) Servicer or Special Servicer Interest on Servicing At a rate per annum equal to a published prime Time to time Advances / Master rate, accrued on the amount of each outstanding Servicer, Special servicing advance.(2) Servicer or Trustee P&I Advances / Master To the extent of funds available, the amount of Time to Time Servicer and Trustee any P&I advances.(1) Interest on P&I At a rate per annum equal to a published prime Time to Time Advances / Master rate, accrued on the amount of each outstanding Servicer and Trustee P&I advance.(2) Indemnification Amount to which such party is entitled to Time to time Expenses / Depositor, indemnification under the series 2006-C4 Trustee, Master pooling and servicing agreement.(3) Servicer or Special Servicer and any director, officer, employee or agent of the Depositor, Trustee, Master Servicer or Special Servicer ---------- (1) Reimbursable out of collections on the related mortgage loan, except that advances that are determined not to be recoverable out of related collections will be reimbursable first out of general collections of principal on the mortgage pool and then out of other general collections on the mortgage pool. (2) Payable out of late payment charges and/or default interest on the related mortgage loan or, in connection with or after reimbursement of the related advance, out of general collections on the mortgage pool, although in some cases interest on advances may be payable first out of general collections of principal on the mortgage pool. -------------------------------------------------------------------------------- 21 -------------------------------------------------------------------------------- (3) Payable out of general collections on the mortgage pool. In general, none of the above specified persons are entitled to indemnification for (1) any liability specifically required to be borne by the related person pursuant to the terms of the series 2006-C4 pooling and servicing agreement, or (2) any loss, liability or expense incurred by reason of willful misfeasance, bad faith or negligence in the performance of, or the negligent disregard of, such party's obligations and duties under the series 2006-C4 pooling and servicing agreement, or as may arise from a breach of any representation or warranty of such party made in the series 2006-C4 pooling and servicing agreement. The foregoing fees and expenses will generally be payable prior to distribution on the offered certificates. If any of the foregoing fees and expenses are identified as being payable out of a particular source of funds, then the subject fee or expense, as the case may be, will be payable out of that particular source of funds prior to any application of those funds to make payments with respect to the offered certificates. In addition, if any of the foregoing fees and expenses are identified as being payable out of general collections with respect to the mortgage pool, then the subject fee or expense, as the case may be, will be payable out of those general collections prior to any application of those general collections to make payments with respect to the offered certificates. Further information with respect to the foregoing fees and expenses, as well as information regarding other fees and expenses, is set forth under "Description of the Offered Certificates--Fees and Expenses" in this offering prospectus. REDUCTIONS OF CERTIFICATE PRINCIPAL BALANCES IN CONNECTION WITH LOSSES ON THE UNDERLYING MORTGAGE LOANS AND DEFAULT-RELATED AND OTHER UNANTICIPATED EXPENSES........ As and to the extent described under "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this prospectus supplement, losses on the underlying mortgage loans and default-related and/or otherwise unanticipated expenses of the issuing entity will be allocated to reduce the respective total principal balances of the following classes of series 2006-C4 principal balance certificates, sequentially in the following order: -------------------------------------------------------------------------------- 22 -------------------------------------------------------------------------------- REDUCTION ORDER CLASS --------------- -------------------------- 1st............ P 2nd............ O 3rd............ N 4th............ M 5th............ L 6th............ K 7th............ J 8th............ H 9th............ G 10th........... F 11th........... E 12th........... D 13th........... C 14th........... B 15th........... A-J 16th........... A-M 17th........... A-1, A-2, A-SB, A-3 and A-1A, pro rata by total principal balance See "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this offering prospectus. ADVANCES OF DELINQUENT MONTHLY DEBT SERVICE PAYMENTS......... As and to the extent, and subject to the limitations, described under "The Series 2006-C4 Pooling and Servicing Agreement--Advances--Advances of Delinquent Monthly Debt Service Payments" in this offering prospectus, the master servicer will be required to make, for each distribution date, a total amount of advances of principal and/or interest generally equal to all monthly debt service payments -- other than balloon payments -- and assumed monthly debt service payments, in each case net of related master servicing fees, that: o were due or deemed due, as the case may be, with respect to the underlying mortgage loans during the related collection period; and o were not paid by or on behalf of the respective borrowers or otherwise collected as of the close of business on the last day of the related collection period. In addition, the trustee must make any of those advances that the master servicer is required, but fails, to make. As described under "The Series 2006-C4 Pooling and Servicing Agreement--Advances--Advances of Delinquent Monthly Debt Service Payments" in this offering prospectus, any party that makes an advance will be entitled to be reimbursed for the advance, together with interest at a published prime rate. -------------------------------------------------------------------------------- 23 -------------------------------------------------------------------------------- Notwithstanding the foregoing, neither the master servicer nor the trustee will be required to make any advance that it determines, or that the special servicer determines, will not be recoverable from proceeds of the related underlying mortgage loan. See "The Series 2006-C4 Pooling and Servicing Agreement--Advances" in this offering prospectus and "Description of the Governing Documents--Advances" in the accompanying base prospectus. REPORTS TO CERTIFICATEHOLDERS............ On each distribution date, the trustee will provide or make available to the registered holders of the series 2006-C4 certificates a monthly report substantially in the form of Annex D to this offering prospectus. The trustee's report will detail, among other things, the payments made to the series 2006-C4 certificateholders on that distribution date and the performance of the underlying mortgage loans and the mortgaged real properties. Upon reasonable prior notice, you may also review at the trustee's offices during normal business hours a variety of information and documents that pertain to the underlying mortgage loans and the mortgaged real properties for those loans. See "Description of the Offered Certificates--Reports to Certificateholders; Available Information" in this offering prospectus. OPTIONAL TERMINATION.......... Specified parties to the transaction may terminate the issuing entity by purchasing all of the mortgage loans and any foreclosure properties held by the issuing entity, but only when the outstanding total principal balance of the series 2006-C4 certificates with principal balances is less than 1.0% of the initial total principal balance of the series 2006-C4 certificates with principal balances. In addition, following the date on which the total principal balance of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G and H certificates are reduced to zero, the issuing entity may also be terminated, with the consent of 100 percent of the remaining series 2006-C4 certificateholders and subject to such additional conditions as may be set forth in the series 2006-C4 pooling and servicing agreement, in connection with the exchange of all the remaining series 2006-C4 certificates for all the mortgage loans and foreclosure properties held by the issuing entity at the time of the exchange. See "Description of the Offered Certificates--Termination" in this offering prospectus. -------------------------------------------------------------------------------- 24 -------------------------------------------------------------------------------- THE UNDERLYING MORTGAGE LOANS AND THE MORTGAGED REAL PROPERTIES GENERAL....................... In this section, "--The Underlying Mortgage Loans and the Mortgaged Real Properties," we provide summary information with respect to the mortgage loans that we intend to transfer to the issuing entity. For more detailed information regarding those mortgage loans, you should review the following sections in this offering prospectus: o "Risk Factors;" o "Description of the Mortgage Pool;" o Annex A-1--Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties; o Annex A-2--Summary Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties; o Annex A-3--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 1 and the related Mortgaged Real Properties; o Annex A-4--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 2 and the related Mortgaged Real Properties; o Annex A-5--Characteristics of the Multifamily and Manufactured Housing Mortgaged Real Properties; and o Annex B--Description of Ten Largest Mortgage Loans and/or Groups of Cross-Collateralized Mortgage Loans. For purposes of calculating distributions on the most senior classes of the series 2006-C4 certificates, the pool of mortgage loans backing the series 2006-C4 certificates will be divided into a loan group no. 1 and a loan group no. 2. Loan group no. 1 will consist of 134 mortgage loans, with an initial loan group no. 1 balance of $1,878,218,471 and representing approximately 83.0% of the initial mortgage pool balance, that are secured by the various property types that constitute collateral for those mortgage loans. Loan group no. 2 will consist of 32 mortgage loans, with an initial loan group no. 2 balance of $385,317,567 and representing approximately 17.0% of the initial mortgage pool balance, that are secured by multifamily properties. -------------------------------------------------------------------------------- 25 -------------------------------------------------------------------------------- When reviewing the information that we have included in this offering prospectus, including the Annexes hereto, with respect to the mortgage loans that are to back the offered certificates, please note that-- o All numerical information provided with respect to the underlying mortgage loans is provided on an approximate basis. o References to initial mortgage pool balance mean the aggregate cut-off date principal balance of all the underlying mortgage loans; references to the initial loan group no. 1 balance mean the aggregate cut-off date principal balance of the underlying mortgage loans in loan group no. 1; and references to the initial loan group no. 2 balance mean the aggregate cut-off date principal balance of the underlying mortgage loans in loan group no. 2. We will transfer each of the underlying mortgage loans, at its respective cut-off date principal balance, to the issuing entity. We show the cut-off date principal balance for each of the underlying mortgage loans on Annex A-1 to this offering prospectus. o All weighted average information provided with respect to the underlying mortgage loans reflects a weighting based on their respective cut-off date principal balances. o When information with respect to mortgaged real properties is expressed as a percentage of the initial mortgage pool balance, the initial loan group no. 1 balance or the initial loan group no. 2 balance, the percentages are based upon the cut-off date principal balances of the related underlying mortgage loans or allocated portions of those balances. o If any of the underlying mortgage loans is secured by multiple mortgaged real properties, a portion of that mortgage loan has been allocated to each of those properties for purposes of providing various statistical information in this offering prospectus. o The general characteristics of the entire mortgage pool backing the offered certificates are not necessarily representative of the general characteristics of either loan group no. 1 or loan group no. 2. The yield and risk of loss on any class of offered certificates may depend on, among other things, the composition of each of loan group no. 1 and loan group no. 2. The general characteristics of each such loan group should also be analyzed when making an investment decision. -------------------------------------------------------------------------------- 26 -------------------------------------------------------------------------------- o Whenever we refer to a particular underlying mortgage loan or mortgaged real property by name, we mean the underlying mortgage loan or mortgaged real property, as the case may be, identified by that name on Annex A-1 to this offering prospectus. Whenever we identify a particular underlying mortgage loan by loan number, we are referring to the underlying mortgage loan identified by that loan number on Annex A-1 to this offering prospectus. o Statistical information regarding the underlying mortgage loans may change prior to the date of initial issuance of the offered certificates due to changes in the composition of the mortgage pool prior to that date, and the initial mortgage pool balance may be as much as 5% larger or smaller than indicated. LOAN COMBINATIONS............. The largest mortgage loan that we intend to transfer to the issuing entity has a cut-off date principal balance of $200,000,000, representing 8.8% of the initial mortgage pool balance and 10.6% of the initial loan group no. 1 balance, and is part of an aggregate debt in the amount of $545,655,010, that is evidenced by six (6) promissory notes and secured by liens on the portfolio of mortgaged real properties identified on Annex A-1 to this offering prospectus as ShopKo Portfolio. Those six (6) promissory notes are pari passu in the right of payment to each other. The ShopKo Portfolio underlying mortgage loan is evidenced by two (2) of those promissory notes, one in the unpaid principal amount of $100,000,000 currently held by Citigroup Global Markets Realty Corp. and one in the unpaid principal amount of $100,000,000 currently held by Barclays Capital Real Estate Inc. None of the other four (4) promissory notes will be transferred to the issuing entity. Each of those other four (4) promissory notes represents a debt obligation of the related borrowers and is treated as a separate mortgage loan. The total ShopKo Portfolio debt is presented in this offering prospectus as a loan combination consisting of multiple loans (including the ShopKo Portfolio underlying mortgage loan and the four (4) ShopKo Portfolio mortgage loans not transferred to the issuing entity). The entire ShopKo Portfolio loan combination will be serviced and administered pursuant to the series 2006-C4 pooling and servicing agreement. In addition, the mortgage loan secured by the mortgaged real property identified on Annex A-1 to this offering prospectus as Wimbledon Place Apartments, which has a cut-off date principal balance of $7,750,000, representing 0.3% of the initial mortgage pool balance and 2.0% of the initial loan group no. 2 balance, is part of a loan combination that also includes a $250,000 B-note loan that will not be transferred to the issuing entity. That B-note loan is an obligation of the same borrower, and is secured -------------------------------------------------------------------------------- 27 -------------------------------------------------------------------------------- by the same mortgage instrument encumbering the Wimbledon Place Apartments mortgaged real property, as is the Wimbledon Place Apartments underlying mortgage loan. The Wimbledon Place Apartments underlying mortgage loan is generally senior in right of payment to the corresponding B-note loan. See "Description of the Mortgage Pool--The Loan Combinations" in this offering prospectus for a description of the related co-lender arrangement and the priority of payments among the mortgage loans comprising each of the above-discussed loan combinations, and see "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" in this offering prospectus for a description of certain rights of the holders of the respective mortgage loans in those loan combinations that will not be included in the series 2006-C4 securitization transaction. See also the description of the ShopKo Portfolio underlying mortgage loan on Annex B to this offering prospectus and "Risk Factors--The Mortgaged Real Properties that Secure Some Mortgage Loans in the Series 2006-C4 Securitization Transaction Also Secure One or More Related Mortgage Loans That Will Not Be Transferred to the Issuing Entity; The Interests of the Holders of Those Related Mortgage Loans May Conflict with Your Interests" in this offering prospectus. ACQUISITION OF MORTGAGE LOANS......................... On or prior to the date of initial issuance of the offered certificates, we will acquire the subject mortgage loans from the sponsors and will transfer those mortgage loans to the issuing entity. Each of Citigroup Global Markets Realty Corp. and Barclays Capital Real Estate Inc. holds one of the two promissory notes that together evidence the ShopKo Portfolio underlying mortgage loan. Accordingly, we will acquire one-half of that mortgage loan from each of those sponsors. Following the date of initial issuance of the series 2006-C4 certificates, no party will have the ability to add mortgage loans to the assets of the issuing entity. However, substitutions of underlying mortgage loans as to which there exists a material uncured breach of certain representations and warranties or a material uncured document defect or omission may occur under the circumstances described under "Description of the Mortgage Pool--Representations and Warranties; Repurchases and Substitutions", "--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Repurchase or Substitution of Cross-Collateralized Mortgage Loans" in this offering prospectus. -------------------------------------------------------------------------------- 28 -------------------------------------------------------------------------------- PAYMENT AND OTHER TERMS A. General.................... Each of the mortgage loans that we intend to transfer to the issuing entity is the obligation of a borrower to repay a specified sum with interest. Repayment of each of the mortgage loans that we intend to transfer to the issuing entity is secured by a mortgage lien on the fee simple and/or leasehold interest of the related borrower or another party in one or more commercial or multifamily real properties. Except for limited permitted encumbrances, which we identify in the glossary to this offering prospectus, that mortgage lien will be a first priority lien. All of the mortgage loans that we intend to transfer to the issuing entity are or should be considered nonrecourse. None of those mortgage loans is insured or guaranteed by any governmental agency or instrumentality or by any private mortgage insurer. B. Mortgage Rates............. Each of the mortgage loans that we intend to transfer to the issuing entity currently accrues interest at the annual rate specified with respect to that loan on Annex A-1 to this offering prospectus. Except as otherwise described below with respect to each mortgage loan that has an anticipated repayment date, and further except as described in the next paragraph, the mortgage rate for each mortgage loan that we intend to transfer to the issuing entity is, in the absence of default, fixed for the entire term of the loan. With respect to two (2) mortgage loans secured by mortgaged real properties identified on Annex A-1 to this offering prospectus as Mallard Crossing Apartments and Four Winds Apartments, respectively, representing 1.6% of the initial mortgage pool balance and 9.6% of the initial loan group no. 2 balance, the respective mortgage rates step up annually from the initial mortgage rate through the first seven (7) years of the loan term. C. Balloon Loans.............. One hundred fifty (150) of the mortgage loans that we intend to transfer to the issuing entity, representing 95.7% of the initial mortgage pool balance, of which 118 mortgage loans are in loan group no. 1, representing 94.8% of the initial loan group no. 1 balance, and 32 mortgage loans are in loan group no. 2, representing 100.0% of the initial loan group no. 2 balance, each provide for: o an amortization schedule that is significantly longer than its remaining term to stated maturity or for no amortization prior to stated maturity; and -------------------------------------------------------------------------------- 29 -------------------------------------------------------------------------------- o a substantial balloon payment of principal on its maturity date. Eighty-one (81) of the 150 balloon mortgage loans that we intend to transfer to the issuing entity, representing 54.9% of the initial mortgage pool balance, of which 63 mortgage loans are in loan group no. 1, representing 51.5% of the initial mortgage pool balance, and 18 mortgage loans are in loan group no. 2, representing 71.1% of the initial loan group no. 2 balance, provide for payments of interest only for periods ranging from the first 12 to the first 84 payments following origination. Nine (9) of the 150 balloon mortgage loans that we intend to transfer to the issuing entity, representing 10.5% of the initial mortgage pool balance, of which seven (7) mortgage loans are in loan group no. 1, representing 11.0% of the initial loan group no. 1 balance, and two (2) mortgage loans are in loan group no. 2, representing 7.8% of the initial loan group no. 2 balance, provide for payments of interest only until maturity. D. ARD Loans.................. Sixteen (16) of the mortgage loans that we intend to transfer to the issuing entity, representing 4.3% of the initial mortgage pool balance and 5.2% of the initial loan group no. 1 balance, each provides incentives to the related borrower to pay the subject mortgage loan in full by a specified date prior to maturity. We consider that date to be the anticipated repayment date for each of those mortgage loans. There can be no assurance, however, that these incentives will result in any of those mortgage loans being paid in full on or before its anticipated repayment date. The incentives, which in each case will become effective as of the related anticipated repayment date, may (but need not) include: o the calculation of interest at an annual rate in excess of the initial mortgage rate, which additional interest will be deferred, may be compounded, will be payable only after the outstanding principal balance of the mortgage loan is paid in full and, if collected, will be distributed with respect to the class Y certificates; and o the application of all or a portion of excess cash flow from the mortgaged real property, after debt service payments and any specified reserves or expenses have been funded or paid, to pay the principal amount of the mortgage loan, which payment of principal will be in addition to the principal portion of the normal monthly debt service payment. Eleven (11) of the 16 mortgage loans with anticipated repayment dates that we intend to transfer to the issuing entity, representing 3.0% of the initial mortgage pool balance and 3.6% of the initial loan group no. 1 balance, provide for payments of interest only -------------------------------------------------------------------------------- 30 -------------------------------------------------------------------------------- for the periods ranging from the first 36 payments to the first 60 payments following origination. DELINQUENCY STATUS/LOSS INFORMATION................... None of the mortgage loans that we intend to transfer to the issuing entity was more than 30 days delinquent with respect to any monthly debt service payment at any time since origination of the subject underlying mortgage loan. Further, none of the mortgage loans that we intend to transfer to the issuing entity have experienced any losses of principal or interest (through forgiveness of debt or restructuring) since origination. PREPAYMENT RESTRICTIONS....... As described more fully on Annex A-1 to this offering prospectus, as of the cut-off date, all of the mortgage loans that we intend to transfer to the issuing entity provide for one or more of the following: o a prepayment lock-out period, during which the principal balance of the mortgage loan may not be voluntarily prepaid in whole or in part; o a defeasance period, during which voluntary prepayments are still prohibited, but the related borrower may obtain a full or partial release of the related mortgaged real property through defeasance; and/or o a prepayment consideration period, during which voluntary prepayments are permitted, subject to the payment of a yield maintenance premium or other additional consideration for the prepayment. Notwithstanding the foregoing prepayment restrictions, prepayments may occur in connection with loan defaults, casualties and condemnations in respect of the mortgaged real properties and, in certain cases, out of cash holdbacks where certain conditions relating to the holdback have not been satisfied. Furthermore, prepayment premiums and/or yield maintenance charges may not be payable in connection with prepayments of this type. The prepayment terms of each of the mortgage loans that we intend to transfer to the issuing entity are set forth in Annex A-1 to this offering prospectus. See also "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans--Prepayment Provisions" in this offering prospectus. DEFEASANCE.................... One hundred fifty-two (152) of the mortgage loans that we intend to transfer to the issuing entity, representing 92.1% of the initial mortgage pool balance, of which 123 mortgage loans are in loan group no. 1, representing 93.9% of the initial loan group -------------------------------------------------------------------------------- 31 -------------------------------------------------------------------------------- no. 1 balance, and 29 mortgage loans are in loan group no. 2, representing 83.0% of the initial loan group no. 2 balance, permit the related borrower to defease the mortgage loan and obtain a release of the mortgaged real property from the related mortgage lien by delivering U.S. Treasury obligations or other government securities as substitute collateral, but continue to prohibit voluntary prepayments during the defeasance period. None of those 152 mortgage loans permits defeasance prior to the second anniversary of the date of initial issuance of the series 2006-C4 certificates. ADDITIONAL STATISTICAL INFORMATION................... Set forth below is selected statistical information regarding the mortgage pool, loan group no. 1 and loan group no. 2, respectively. A. GENERAL CHARACTERISTICS.... The mortgage pool, loan group no. 1 and loan group no. 2, respectively, will have the following general characteristics as of the cut-off date: MORTGAGE LOAN GROUP LOAN GROUP POOL NO. 1 NO. 2 -------------- -------------- ------------ Initial mortgage pool/loan group balance......................... $2,263,536,038 $1,878,218,471 $385,317,567 Number of mortgage loans......................................... 166 134 32 Number of mortgaged real properties.............................. 289 256 33 Highest cut-off date principal balance........................... $ 200,000,000 $ 200,000,000 $55,000,000 Lowest cut-off date principal balance............................ $ 721,000 $ 721,000 $ 865,000 Average cut-off date principal balance........................... $ 13,635,759 $ 14,016,556 $ 12,041,174 Highest mortgage rate............................................ 7.5600% 6.6500% 7.5600% Lowest mortgage rate............................................. 4.3750% 5.2300% 4.3750% Weighted average mortgage rate................................... 5.7620% 5.8120% 5.5181% Longest original loan term to maturity or anticipated repayment date.......................................................... 180 months 180 months 180 months Shortest original loan term to maturity or anticipated repayment date.......................................................... 60 months 60 months 60 months Weighted average original loan term to maturity or anticipated repayment date................................................ 117 months 117 months 115 months Longest remaining loan term to maturity or anticipated repayment date.......................................................... 179 months 176 months 179 months Shortest remaining loan term to maturity or anticipated repayment date................................................ 55 months 58 months 55 months Weighted average remaining loan term to maturity or anticipated repayment date................................................ 114 months 114 months 111 months Highest underwritten net cash flow debt service coverage ratio... 2.52x 2.52x 1.94x Lowest underwritten net cash flow debt service coverage ratio.... 1.15x 1.15x 1.15x Weighted average underwritten net cash flow debt service coverage ratio................................................ 1.34x 1.35x 1.27x -------------------------------------------------------------------------------- 32 -------------------------------------------------------------------------------- MORTGAGE LOAN GROUP LOAN GROUP POOL NO. 1 NO. 2 -------------- -------------- ------------ Highest cut-off date loan-to-value ratio......................... 80.08% 80.08% 79.17% Lowest cut-off date loan-to-value ratio.......................... 39.05% 39.05% 48.15% Weighted average cut-off date loan-to-value ratio................ 71.69% 71.81% 71.15% Highest maturity date/ARD loan-to-value ratio.................... 74.37% 74.37% 72.28% Lowest maturity date/ARD loan-to-value ratio..................... 38.07% 38.07% 40.98% Weighted average maturity date/ARD loan-to-value ratio........... 64.03% 63.99% 64.24% When reviewing the foregoing table, please note the following: o The initial mortgage pool balance is subject to a permitted variance of plus or minus 5%. The initial loan group no. 1 balance and the initial loan group no. 2 balance may each also vary. o In the case of many of the mortgage loans that we intend to transfer to the issuing entity, the calculation of underwritten annual net cash flow for the related mortgaged real property or properties -- which is, in turn, used in the calculation of underwritten net cash flow debt service coverage ratios -- was based on various assumptions regarding projected rental income and/or occupancy. Furthermore, in the case of several mortgage loans that we intend to transfer to the issuing entity, the loan-to-value and/or debt service coverage information presented in the foregoing table (a) takes into account various assumptions regarding the financial performance of the related mortgaged real property that are consistent with the respective performance related criteria required to obtain the release of a cash holdback or letter of credit that serves as additional collateral or otherwise covers losses to a limited extent and/or (b) reflects an application of that cash holdback or letter of credit to pay down the subject mortgage loan, with (if applicable) a corresponding reamortization of the monthly debt service payment. In addition, in some cases, the "as-stabilized" appraised value was used to calculate the loan-to-value ratios. o In the case of some mortgage loans that we intend to transfer to the issuing entity, the respective mortgage rates step up annually during a portion of the loan term. With respect to information related to mortgage rates for these underlying mortgage loans, including the weighted average mortgage rate, the mortgage rates in effect as of the cut-off date were used. With respect to information related to the calculation of debt service -------------------------------------------------------------------------------- 33 -------------------------------------------------------------------------------- coverage ratios for these underlying mortgage loans, the maximum mortgage rates were used. o In the case of the ShopKo Portfolio underlying mortgage loan, the loan-to-value and debt service coverage information presented in the foregoing table takes into account each other mortgage loan that is part of the ShopKo Portfolio loan combination. In the case of the Wimbledon Place Apartments underlying mortgage loan, the loan-to-value and debt service coverage information presented in the foregoing table does not reflect the related Wimbledon Place Apartments B-note loan. B. GEOGRAPHIC CONCENTRATION... The table below shows the number of, and percentage of the initial mortgage pool balance, the initial loan group no. 1 balance and the initial loan group no. 2 balance, secured by, mortgaged real properties located in the indicated states or regions: NUMBER OF % OF INITIAL MORTGAGED MORTGAGE % OF INITIAL LOAN % OF INITIAL LOAN GROUP STATE/REGION PROPERTIES POOL BALANCE GROUP NO. 1 BALANCE NO. 2 BALANCE ------------------------------ ---------- ------------ ------------------- ----------------------- California.................... 17 15.7% 15.7% 15.7% Southern California........ 10 13.3 13.1 14.3 Northern California........ 7 2.4 2.6 1.4 Virginia...................... 8 7.3 8.1 3.5 Wisconsin..................... 50 7.0 7.2 6.1 Pennsylvania.................. 12 6.8 6.5 8.6 Florida....................... 11 6.8 8.2 -- Washington.................... 17 4.9 5.2 3.8 New York...................... 10 4.3 5.2 -- Georgia....................... 12 4.1 3.5 6.6 Massachusetts................. 5 3.3 4.0 -- Tennessee..................... 4 3.2 3.1 3.5 Other......................... 143 36.6 33.4 52.2 The reference to "Other" in the foregoing table, insofar as it relates to the entire mortgage pool, includes 29 other states. No more than 3.2% of the initial mortgage pool balance is secured by mortgaged real properties located in any of those other jurisdictions. Northern California includes areas with zip codes of 93906 and above, and Southern California includes areas with zip codes of 92870 and below. -------------------------------------------------------------------------------- 34 -------------------------------------------------------------------------------- C. PROPERTY TYPES............. The table below shows the number of, and percentage of the initial mortgage pool balance, the initial loan group no. 1 balance and the initial loan group no. 2 balance, secured by, mortgaged real properties predominantly operated for each indicated purpose: NUMBER OF % OF INITIAL MORTGAGED MORTGAGE % OF INITIAL LOAN % OF INITIAL LOAN PROPERTY TYPES PROPERTIES POOL BALANCE GROUP NO. 1 BALANCE GROUP NO. 2 BALANCE ------------------------------------ ---------- ------------ ------------------- -------------------- Retail.............................. 158 29.8% 35.9% -- Anchored, Single Tenant.......... 122 11.6 13.9 -- Anchored......................... 17 10.7 12.9 -- Unanchored....................... 11 4.8 5.8 -- Shadow Anchored.................. 4 2.0 2.4 -- Unanchored, Single Tenant........ 2 0.1 0.1 -- Regional Mall.................... 1 0.4 0.5 -- Shadow Anchored, Single Tenant... 1 0.2 0.2 -- Office.............................. 48 32.7 39.4 -- Suburban......................... 35 24.4 29.4 -- Flex............................. 2 0.4 0.4 -- Medical Office................... 8 3.2 3.8 -- CBD.............................. 3 4.8 5.7 -- Multifamily......................... 33 17.0 -- 100.0 Conventional..................... 27 14.4 -- 84.8 Student Housing.................. 5 2.2 -- 12.9 Section 8........................ 1 0.4 -- 2.2 Hospitality......................... 25 10.7 12.9 -- Industrial.......................... 18 6.5 7.8 -- Mixed Use........................... 5 2.4 2.9 -- Land................................ 1 0.7 0.8 -- Manufactured Housing................ 1 0.3 0.3 -- With respect to each of the four (4) mortgaged real properties identified in the foregoing table as "Shadow Anchored" none of the relevant anchor tenants is on any portion of the particular property that is subject to the lien of the related mortgage instrument. -------------------------------------------------------------------------------- 35 -------------------------------------------------------------------------------- D. ENCUMBERED INTERESTS....... The table below shows the number of, and percentage of the initial mortgage pool balance, the initial loan group no. 1 balance and the initial loan group no. 2 balance, secured by, mortgaged real properties for which the whole or predominant encumbered interest is as indicated: NUMBER OF % OF INITIAL MORTGAGED MORTGAGE % OF INITIAL LOAN % OF INITIAL LOAN ENCUMBERED INTERESTS PROPERTIES POOL BALANCE GROUP NO. 1 BALANCE GROUP NO. 2 BALANCE ----------------------- ---------- ------------ ------------------- ------------------- Fee Simple............. 276(1) 96.1% 96.4% 94.8% Leasehold.............. 9(2) 2.1 1.5 5.2 Fee Simple in part and Leasehold in part... 4(3) 1.8 2.1 -- ---------- (1) Two hundred forty-four (244) of these mortgaged real properties secure mortgage loans in loan group no. 1 and 32 of these mortgaged real properties secure mortgage loans in loan group no. 2. (2) Eight (8) of these mortgaged real properties secure mortgage loans in loan group no. 1 and one (1) of these mortgaged real properties secures a mortgage loan in loan group no. 2. (3) All of these mortgaged real properties secure mortgage loans in loan group no. 1. It should be noted that each mortgage loan secured by overlapping fee and leasehold interests is presented as being secured by a fee simple interest in this offering prospectus and is therefore included within the category referred to as "Fee Simple" in the chart above. REMOVAL OF UNDERLYING MORTGAGE LOANS A. REPURCHASE OR SUBSTITUTION DUE TO BREACH OF REPRESENTATION OR WARRANTY OR A DOCUMENT DEFICIENCY... As of the date of initial issuance of the offered certificates, and subject to certain exceptions, each sponsor will make with respect to each underlying mortgage loan (or, in the case of the ShopKo Portfolio underlying mortgage loan, the applicable portion thereof) contributed by it, the representations and warranties generally described under "Description of the Mortgage Pool--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus. If there exists a material uncured breach of any of those representations and warranties, or if there exists a material uncured document defect or omission with respect to any underlying mortgage loan (as discussed under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" in this offering prospectus), then the sponsor that contributed the affected mortgage loan will be required, under certain circumstances, to (1) repurchase the affected mortgage loan at a price generally equal to the sum of (a) the unpaid principal balance of that mortgage loan at the time of purchase, (b) all unpaid interest, other than post-ARD additional interest and default interest, due with respect to that mortgage loan -------------------------------------------------------------------------------- 36 -------------------------------------------------------------------------------- through the due date in the collection period of purchase, (c) all unreimbursed servicing advances with respect to that mortgage loan, (d) all unpaid interest accrued on advances made with respect to that mortgage loan, and (e) certain other amounts payable under the series 2006-C4 pooling and servicing agreement or (2) substitute a qualified substitute mortgage loan and pay the shortfall amount equal to the difference between the amounts set forth in clause (1) above and the stated principal balance of such qualified substitute mortgage loan as of the date of substitution; provided that each sponsor that contributed a portion of the ShopKo Portfolio underlying mortgage loan will only be responsible for repurchasing or replacing that portion. See "Description of the Mortgage Pool--Representations and Warranties; Repurchases and Substitutions," "--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Repurchase or Substitution of Cross-Collateralized Mortgage Loans" in this offering prospectus. B. FAIR VALUE OPTION......... The largest single holder or beneficial owner, as applicable, of certificates of the series 2006-C4 controlling class (which is described under "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Series 2006-C4 Controlling Class" in this offering prospectus) and the special servicer will each have an assignable option to purchase any mortgage loan held by the issuing entity that meets the requisite default criteria, at a price generally equal to either: (1) the sum of (a) the outstanding principal balance of that mortgage loan, (b) all accrued and unpaid interest on that mortgage loan, other than default interest, (c) all unreimbursed servicing advances with respect to that mortgage loan, (d) all unpaid interest accrued on advances made by the master servicer, the special servicer and/or the trustee with respect to that mortgage loan, and (e) any other amounts payable under the series 2006-C4 pooling and servicing agreement; or (2) following the determination thereof, the fair value of that mortgage loan. In addition, each holder of a ShopKo Portfolio mortgage loan that is not transferred to the issuing entity will have a fair value purchase option solely as to the ShopKo Portfolio underlying mortgage loan. See "The Series 2006-C4 Pooling and Servicing Agreement--Fair Value Purchase Option" and "Description of the Mortgage Pool--The Loan Combinations--The ShopKo Portfolio Loan Combination" in this offering prospectus. -------------------------------------------------------------------------------- 37 -------------------------------------------------------------------------------- C. OTHER PURCHASE OPTIONS.... The following third parties or their designees will have the option to purchase one or more underlying mortgage loans from the issuing entity, at no less than the outstanding principal balance thereof plus accrued interest, generally after such mortgage loan has become a specially serviced mortgage loan or otherwise under various default scenarios: o pursuant to a related co-lender agreement, each holder of a ShopKo Portfolio mortgage loan that is not transferred to the issuing entity will have the option to purchase the ShopKo Portfolio underlying mortgage loan from the issuing entity under the default scenarios described under "Description of the Mortgage Pool--The Loan Combinations--The ShopKo Portfolio Loan Combination" in this offering prospectus; o pursuant to a related co-lender, intercreditor or similar agreement, the holder of the Wimbledon Place Apartments B-note loan has been granted the right to purchase the Wimbledon Place Apartments underlying mortgage loan from the issuing entity under the default scenarios described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus; and o a mezzanine lender with respect to the borrower under an underlying mortgage loan may be entitled to purchase a defaulted mortgage loan from the issuing entity upon the occurrence of a default thereunder or upon the transfer to special servicing, pursuant to a purchase right as set forth in the related intercreditor agreement (see "Description of the Mortgage Pool--Additional Loan and Property Information--Additional and Other Financing" in this offering prospectus). LEGAL AND INVESTMENT CONSIDERATIONS FEDERAL INCOME TAX CONSEQUENCES.................. The trustee or its agent will make elections to treat designated portions of the assets of the issuing entity as two (2) real estate mortgage investment conduits, or REMICs, under sections 860A through 860G of the Internal Revenue Code of 1986, as amended, designated as REMIC I and REMIC II. Any assets not included in a REMIC will constitute one or more grantor trusts for U.S. federal income tax purposes. The offered certificates will be treated as regular interests in REMIC II. This means that they will be treated as newly issued debt instruments for federal income tax purposes. You will have to report income on your offered certificates in accordance with the accrual method of accounting even if you are otherwise a -------------------------------------------------------------------------------- 38 -------------------------------------------------------------------------------- cash method taxpayer. The offered certificates will not represent any interest in the grantor trust referred to above. One or more classes of the offered certificates may be issued with more than a de minimis amount of original issue discount. If you own an offered certificate issued with original issue discount, you may have to report original issue discount income and be subject to a tax on this income before you receive a corresponding cash payment. When determining the rate of accrual of original issue discount, market discount and premium, if any, with respect to the series 2006-C4 certificates for federal income tax purposes, the prepayment assumption used will be that following any date of determination: o any underlying mortgage loan with an anticipated repayment date will be paid in full on that date, o no underlying mortgage loan will otherwise be prepaid prior to maturity, and o there will be no extension of maturity for any mortgage loan held by the issuing entity. Some of the offered certificates may be treated as having been issued at a premium. For a more detailed discussion of the federal income tax aspects of investing in the offered certificates, see "Federal Income Tax Consequences" in each of this offering prospectus and the accompanying base prospectus. ERISA......................... We anticipate that, subject to satisfaction of the conditions referred to under "ERISA Considerations" in this offering prospectus, retirement plans and other employee benefit plans and arrangements subject to-- o Title I of the Employee Retirement Income Security Act of 1974, as amended, or o section 4975 of the Internal Revenue Code of 1986, as amended, will be able to invest in the offered certificates without giving rise to a prohibited transaction. This is based upon an individual prohibited transaction exemption granted to a predecessor to Citigroup Global Markets Inc. by the U.S. Department of Labor. If you are a fiduciary of any retirement plan or other employee benefit plan or arrangement subject to Title I of ERISA or section 4975 of the Internal Revenue Code of 1986, as amended, you are encouraged to review carefully with your legal advisors -------------------------------------------------------------------------------- 39 -------------------------------------------------------------------------------- whether the purchase or holding of the offered certificates could give rise to a transaction that is prohibited under ERISA or section 4975 of the Internal Revenue Code of 1986, as amended. LEGAL INVESTMENT.............. The offered certificates will not be mortgage related securities within the meaning of the Secondary Mortgage Market Enhancement Act of 1984, as amended. All institutions whose investment activities are subject to legal investment laws and regulations, regulatory capital requirements or review by regulatory authorities are encouraged to consult with their own legal advisors in determining whether and to what extent the offered certificates will be legal investments for them. See "Legal Investment" in this offering prospectus and in the accompanying base prospectus. INVESTMENT CONSIDERATIONS..... The rate and timing of payments and other collections of principal on or with respect to the underlying mortgage loans may affect the yield to maturity on your offered certificates. In the case of any offered certificate purchased at a discount from its principal balance, a slower than anticipated rate of payments and other collections of principal on the underlying mortgage loans could result in a lower than anticipated yield. In the case of any offered certificate purchased at a premium from its principal balance, a faster than anticipated rate of payments and other collections of principal on the underlying mortgage loans could result in a lower than anticipated yield. The yield on the other offered certificates with variable or capped pass-through rates, could also be adversely affected if the underlying mortgage loans with relatively higher net mortgage interest rates pay principal faster than the underlying mortgage loans with relatively lower net mortgage interest rates. See "Yield and Maturity Considerations" in this offering prospectus and in the accompanying base prospectus. -------------------------------------------------------------------------------- 40 RISK FACTORS The offered certificates are not suitable investments for all investors. You should not purchase any offered certificates unless you understand and are able to bear the risks associated with those certificates. The offered certificates are complex securities and it is important that you possess, either alone or together with an investment advisor, the expertise necessary to evaluate the information contained in this offering prospectus and the accompanying base prospectus in the context of your financial situation. You should consider the following factors, as well as those set forth under "Risk Factors" in the accompanying base prospectus, in deciding whether to purchase any offered certificates. The "Risk Factors" section in the accompanying base prospectus includes a number of general risks associated with making an investment in the offered certificates. THE CLASS A-M, A-J, B, C AND D CERTIFICATES ARE SUBORDINATE TO, AND ARE THEREFORE RISKIER THAN, THE CLASS A-1, A-2, A-SB, A-3 AND A-1A CERTIFICATES. If you purchase class A-M, A-J, B, C and D certificates, then your offered certificates will provide credit support to other classes of series 2006-C4 certificates, including the A-1, A-2, A-SB, A-3, A-1A and X classes. As a result, you will receive payments after, and must bear the effects of losses on the underlying mortgage loans before, the holders of those other classes of series 2006-C4 certificates. When making an investment decision, you should consider, among other things-- o the payment priorities of the respective classes of the series 2006-C4 certificates, o the order in which the principal balances of the respective classes of the series 2006-C4 certificates with balances will be reduced in connection with losses and default-related shortfalls, and o the characteristics and quality of the mortgage loans backing the offered certificates. See "Description of the Mortgage Pool" and "Description of the Offered Certificates--Payments" and "--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this offering prospectus. See also "Risk Factors--The Investment Performance of Your Offered Certificates Will Depend Upon Payments, Defaults and Losses on the Underlying Mortgage Loans; and Those Payments, Defaults and Losses May Be Highly Unpredictable," "--Any Credit Support for Your Offered Certificates May Be Insufficient to Protect You Against All Potential Losses" and "--Payments on the Offered Certificates Will Be Made Solely from the Limited Assets of the Related Trust, and Those Assets May Be Insufficient to Make All Required Payments on Those Certificates" in the accompanying base prospectus. THE OFFERED CERTIFICATES HAVE UNCERTAIN YIELDS TO MATURITY The yields on your offered certificates will depend on-- o the price you paid for your offered certificates, and o the rate, timing and amount of payments on your offered certificates. 41 The rate, timing and amount of payments on your offered certificates will depend on: (a) the pass-through rate for, and other payment terms of, your offered certificates; (b) the rate and timing of payments and other collections of principal on the underlying mortgage loans or, in some cases, a particular group of underlying mortgage loans; (c) the rate and timing of defaults, and the severity of losses, if any, on the underlying mortgage loans or, in some cases, a particular group of underlying mortgage loans; (d) the rate, timing, severity and allocation of other shortfalls and expenses that reduce amounts available for payment on your offered certificates; (e) the collection and payment of prepayment premiums and yield maintenance charges with respect to the underlying mortgage loans or, in some cases, a particular group of underlying mortgage loans; and (f) servicing decisions with respect to the underlying mortgage loans or, in some cases, a particular group of underlying mortgage loans. In general, these factors cannot be predicted with any certainty. Accordingly, you may find it difficult to determine the effect that these factors might have on the yield to maturity of your offered certificates. In the absence of significant losses on the mortgage pool, holders of the class A-1, A-2, A-SB and A-3 certificates should be concerned with the factors described in clauses (b) through (f) of the second preceding paragraph primarily insofar as they relate to the underlying mortgage loans in loan group no. 1. Until the class A-1, A-2, A-SB and A-3 certificates are retired, holders of the class A-1A certificates should, in the absence of significant losses on the mortgage pool, be concerned with the factors described in clauses (b) through (f) of the second preceding paragraph primarily insofar are they relate to the underlying mortgage loans in loan group no. 2. See "Description of the Mortgage Pool," "The Series 2006-C4 Pooling and Servicing Agreement," "Description of the Offered Certificates--Payments" and "--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" and "Yield and Maturity Considerations" in this offering prospectus. See also "Risk Factors--The Investment Performance of Your Offered Certificates Will Depend Upon Payments, Defaults and Losses on the Underlying Mortgage Loans; and Those Payments, Defaults and Losses May Be Highly Unpredictable" and "Yield and Maturity Considerations" in the accompanying base prospectus. THE INVESTMENT PERFORMANCE OF YOUR OFFERED CERTIFICATES MAY VARY MATERIALLY AND ADVERSELY FROM YOUR EXPECTATIONS BECAUSE THE RATE OF PREPAYMENTS AND OTHER UNSCHEDULED COLLECTIONS OF PRINCIPAL ON THE UNDERLYING MORTGAGE LOANS IS FASTER OR SLOWER THAN YOU ANTICIPATED If you purchase any offered certificate at a premium from its principal balance, and if payments and other collections of principal on the underlying mortgage loans occur at a rate faster than you anticipated at the time of your purchase, then your actual yield to maturity may be lower than you had assumed at the time of your purchase. Conversely, if you purchase any offered certificate at a discount from its principal balance, and if payments and other collections of principal on the underlying mortgage loans occur at a rate slower than you anticipated at the time of your purchase, then your actual yield to maturity may be lower than you had assumed at the time of your purchase. 42 Holders of the class A-1, A-2, A-SB and A-3 certificates will be very affected by the rate of payments and other collections of principal on the underlying mortgage loans in loan group no. 1 and, in the absence of significant losses on the mortgage pool, should be largely unaffected by the rate and timing of payments and other collections of principal on the underlying mortgage loans in loan group no. 2. Conversely, holders of the class A-1A certificates will be very affected by the rate and timing of payments and other collections of principal on the underlying mortgage loans in loan group no. 2 and, only after the retirement of the class A-1, A-2, A-SB and A-3 certificates or in connection with significant losses on the mortgage pool, will be affected by the rate and timing of payments and other collections of principal on the underlying mortgage loans in loan group no. 1. You should consider the following factors, as well as those set forth under "Risk Factors" in the accompanying base prospectus, in deciding whether to purchase any offered certificates. The "Risk Factors" section in the accompanying base prospectus includes a number of general risks associated with making an investment in the offered certificates. The yield on the offered certificates with a variable or capped pass-through rate could also be adversely affected if the underlying mortgage loans with relatively higher net mortgage interest rates pay principal faster than the mortgage loans with relatively lower net mortgage interest rates. THE INTERESTS OF THE SERIES 2006-C4 CONTROLLING CLASS CERTIFICATEHOLDERS MAY BE IN CONFLICT WITH THE INTERESTS OF THE OFFERED CERTIFICATEHOLDERS The holders or beneficial owners of series 2006-C4 certificates representing a majority interest in the controlling class of series 2006-C4 certificates will be entitled to: (a) appoint a representative having the rights and powers described and/or referred to under "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" in this offering prospectus; and (b) replace the special servicer under the series 2006-C4 pooling and servicing agreement, subject to satisfaction of the conditions described under "The Series 2006-C4 Pooling and Servicing Agreement--Replacement of the Special Servicer" in this offering prospectus. Among other things, the series 2006-C4 controlling class representative may direct the special servicer under the series 2006-C4 pooling and servicing agreement to take, or to refrain from taking, certain actions with respect to the servicing and/or administration of any specially serviced mortgage loans and foreclosure properties held by the issuing entity that the series 2006-C4 controlling class representative may consider advisable, except to the extent that: (x) a holder or group of holders of ShopKo Portfolio mortgage loans that have not been included in the series 2006-C4 securitization transaction, or a designee or representative thereof, may otherwise do so with respect to the ShopKo Portfolio loan combination; and/or (y) the consent of the holder of the Wimbledon Place Apartments B-note loan and/or the consent of a mezzanine lender may be required with respect to certain modifications of the related underlying mortgage loan. In the absence of significant losses on the underlying mortgage loans, the series 2006-C4 controlling class will be a non-offered class of series 2006-C4 certificates. The series 2006-C4 controlling class certificateholders are therefore likely to have interests that conflict with those of the holders of the offered certificates. You should expect that the series 2006-C4 controlling class representative will exercise its rights and powers on behalf of the series 2006-C4 controlling class certificateholders, and it will not be liable to any other class of series 2006-C4 certificateholders for so doing. 43 REPAYMENT OF THE UNDERLYING MORTGAGE LOANS DEPENDS ON THE OPERATION OF THE MORTGAGED REAL PROPERTIES. The underlying mortgage loans are secured by mortgage liens on fee and/or leasehold interests in the following types of real property: o retail; o office; o multifamily; o hospitality; o industrial; o mixed use; o land; and o manufactured housing. The risks associated with lending on these types of real properties are inherently different from those associated with lending on the security of single-family residential properties. This is because, among other reasons, repayment of each of the underlying mortgage loans is dependent on-- o the successful operation and value of the related mortgaged real property, and o the related borrower's ability to refinance the mortgage loan or sell the related mortgaged real property. See "Risk Factors--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time, and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance" and "--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks" in the accompanying base prospectus. RISKS ASSOCIATED WITH CONDOMINIUM OWNERSHIP Three (3) mortgage loans that we intend to transfer to the issuing entity, secured by the mortgaged real properties identified on Annex A-1 to this offering prospectus as Great Wolf Resorts Portfolio, Mill & Main and Hayden Park Office, respectively, representing 2.8%, 0.2% and 0.2%, respectively, of the initial mortgage pool balance and 3.4%, 0.2% and 0.2%, respectively, of the initial loan group no. 1 balance, are each secured in whole or, in the case of the Great Wolf Resorts Portfolio underlying mortgage loan, in part by the related borrower's interest in a commercial condominium unit. See "Risk Factors--Lending on Condominium Units Creates Risks for Lenders That Are Not Present When Lending on Non-Condominiums" in the accompanying base prospectus, for risks related to lending on a mortgage loan secured by an interest in one or more condominium unit(s). 44 THE MORTGAGED REAL PROPERTY WILL BE THE SOLE ASSET AVAILABLE TO SATISFY THE AMOUNTS OWING UNDER AN UNDERLYING MORTGAGE LOAN IN THE EVENT OF DEFAULT All of the mortgage loans that we intend to transfer to the issuing entity are or should be considered nonrecourse loans. You should anticipate that, if the related borrower defaults on any of the underlying mortgage loans, only the mortgaged real property and any additional collateral for the relevant loan, such as escrows or letters of credit, but none of the other assets of the borrower, is available to satisfy the debt. Even if the related loan documents permit recourse to the borrower or a guarantor, the special servicer may not be able to ultimately collect the amount due under a defaulted mortgage loan or under a guaranty. None of the mortgage loans are insured or guaranteed by any governmental agency or instrumentality or by any private mortgage insurer. See "Risk Factors--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time, and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance--Most of the Mortgage Loans Underlying Your Offered Certificates Will Be Nonrecourse" in the accompanying base prospectus. IN SOME CASES, PAYMENTS ON AN UNDERLYING MORTGAGE LOAN ARE DEPENDENT ON A SINGLE TENANT OR ON ONE OR A FEW MAJOR TENANTS AT THE RELATED MORTGAGED REAL PROPERTY In the case of 188 mortgaged real properties, securing 40.4% of the initial mortgage pool balance and 48.7% of the initial loan group no. 1 balance, the related borrower has leased the property to at least one tenant that occupies 25% or more of the particular property. In the case of 149 of those properties, securing 20.4% of the initial mortgage pool balance and 24.6% of the initial loan group no. 1 balance, and including each of the ShopKo Portfolio underlying mortgaged properties, the related borrower has leased the particular property to a single tenant that occupies 90% or more of the property. Accordingly, the full and timely payment of each of the related underlying mortgage loans is highly dependent on the continued operation of one or more major tenants, which, in some cases, is the sole tenant at the mortgaged real property. See "Risk Factors--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time, and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance--The Successful Operation of a Multifamily or Commercial Property Depends on Tenants," "--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time, and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance--Dependence on a Single Tenant or a Small Number of Tenants Makes a Property Riskier Collateral" and "--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance--Tenant Bankruptcy Adversely Affects Property Performance" in the accompanying base prospectus. TEN PERCENT OR MORE OF THE INITIAL MORTGAGE POOL BALANCE WILL BE SECURED BY MORTGAGE LIENS ON THE RESPECTIVE BORROWER'S INTERESTS IN EACH OF THE FOLLOWING PROPERTY TYPES--RETAIL, OFFICE, MULTIFAMILY AND HOSPITALITY One hundred fifty-eight (158) of the mortgaged real properties, securing 29.8% of the initial mortgage pool balance and 35.9% of the initial loan group no. 1 balance, are primarily used for retail purposes. We consider 145 of the subject retail properties (which include regional malls), securing 24.9% of the initial mortgage pool balance and 30.0% of the initial loan group no. 1 balance, respectively, to be anchored, including shadow anchored; and 13 of the subject retail properties, securing 4.9% of the initial mortgage pool balance and 5.9% of the initial loan group no. 1 balance, respectively, to be unanchored. A number of factors may adversely affect the value and successful operation of a retail property as discussed under "Risk Factors--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks--Retail Properties" in the accompanying base prospectus. 45 Forty-eight (48) of the mortgaged real properties, securing 32.7% of the initial mortgage pool balance and 39.4% of the initial loan group no. 1 balance, respectively, are primarily used for office purposes. Some of those office properties are heavily dependent on one or a few major tenants that lease a substantial portion of the related mortgaged real property. A number of factors may adversely affect the value and successful operation of an office property as discussed under "Risk Factors--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks--Office Properties" in the accompanying base prospectus. Thirty-three (33) of the mortgaged real properties, securing 17.0% of the initial mortgage pool balance and 100.0% of the initial loan group no. 2 balance, respectively, are primarily used for multifamily rental purposes. A number of factors may adversely affect the value and successful operation of a multifamily rental property as discussed under "Risk Factors--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks --Multifamily Rental Properties" in the accompanying base prospectus. Twenty-five (25) of the mortgaged real properties, collectively securing 10.7% of the initial mortgage pool balance and 12.9% of the initial loan group no. 1 balance, respectively, are primarily used for hospitality purposes, such as hotels and motels. Hospitality properties may be operated under franchise agreements. A number of factors may adversely affect the value and successful operation of a hospitality property as discussed under "Risk Factors--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks --Hospitality Properties" in the accompanying base prospectus. In general, if the issuing entity holds a significant concentration of mortgage loans that are secured by mortgage liens on a particular type of income-producing property, then the overall performance of the mortgage pool will be materially more dependent on the factors that affect the operations at and value of that property type. See "Risk Factors--The Various Types of Multifamily and Commercial Properties that May Secure Mortgage Loans Underlying a Series of Offered Certificates May Present Special Risks" in the accompanying base prospectus. TEN PERCENT OR MORE OF THE INITIAL MORTGAGE POOL BALANCE WILL BE SECURED BY MORTGAGE LIENS ON REAL PROPERTIES LOCATED IN THE STATE OF CALIFORNIA AND FIVE PERCENT OR MORE OF THE INITIAL MORTGAGE POOL BALANCE WILL BE SECURED BY MORTGAGE LIENS ON REAL PROPERTIES LOCATED IN EACH OF THE FOLLOWING STATES--VIRGINIA, WISCONSIN, PENNSYLVANIA AND FLORIDA The mortgaged real properties located in each of the following states secure mortgage loans or allocated portions of mortgage loans that represent 5.0% or more of the initial mortgage pool balance: % OF INITIAL % OF INITIAL % OF INITIAL NUMBER OF MORTGAGE% LOAN GROUP LOAN GROUP STATE PROPERTIES POOL BALLANCE NO.1 BALANCE NO.2 BALANCE ----------------------------- ---------- ------------- ------------ ------------ California .................. 17 15.7% 15.7% 15.7% Southern California(1) ... 10 13.3 13.1 14.3 Northern California(1) ... 7 2.4 2.6 1.4 Virginia .................... 8 7.3 8.1 3.5 Wisconsin ................... 50 7.0 7.2 6.1 Pennsylvania ................ 12 6.8 6.5 8.6 Florida ..................... 11 6.8 8.2 -- ---------- (1) Northern California includes areas with zip codes of 93906 and above, and Southern California includes areas with zip codes of 92870 and below. 46 If the issuing entity holds a significant concentration of mortgage loans that are secured by mortgage liens on real properties located in a particular state or jurisdiction, then the overall performance of the mortgage pool will be materially more dependent on economic and other conditions or events in that jurisdiction. See "Risk Factors--Geographic Concentration Within a Trust Exposes Investors to Greater Risk of Default and Loss" in the accompanying base prospectus. The mortgaged real properties located in any given state or jurisdiction may be concentrated in one or more areas within that state. Annex A-1 to this offering prospectus contains the address for each mortgaged real property. THE MORTGAGE POOL WILL INCLUDE MATERIAL CONCENTRATIONS OF BALLOON LOANS AND LOANS WITH ANTICIPATED REPAYMENT DATES One hundred fifty (150) of the mortgage loans that we intend to transfer to the issuing entity, representing 95.7% of the initial mortgage pool balance, of which 118 mortgage loans are in loan group no. 1, representing 94.8% of the initial loan group no. 1 balance, and 32 mortgage loans are in loan group no. 2, representing 100% of the initial loan group no. 2 balance, respectively, are balloon loans. In addition, 16 mortgage loans that we intend to transfer to the issuing entity, representing 4.3% of the initial mortgage pool balance and 5.2% of the initial loan group no. 1 balance, each provides material incentives for the related borrower to repay the loan by an anticipated repayment date prior to maturity. Nine (9) of those balloon loans, representing 10.5% of the initial mortgage pool balance, of which seven (7) mortgage loans are in loan group no. 1, representing 11.0% of the initial loan group no. 1 balance, and two (2) mortgage loans are in loan group no. 2, representing 7.8% of the initial loan group no. 2 balance, respectively, provide for payments of interest-only through maturity. The ability of a borrower to make the required balloon payment on a balloon loan, or payment of the entire principal balance of an interest-only balloon loan, at maturity, and the ability of a borrower to repay a mortgage loan, on or before any related anticipated repayment date, in each case depends upon the borrower's ability either to refinance the loan or to sell the mortgaged real property. Although a mortgage loan may provide the related borrower with incentives to repay the loan by an anticipated repayment date prior to maturity, the failure of that borrower to do so will not be a default under that loan. See "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans" in this offering prospectus and "Risk Factors--The Investment Performance of Your Offered Certificates Will Depend Upon Payments, Defaults and Losses on the Underlying Mortgage Loans; and Those Payments, Defaults and Losses May Be Highly Unpredictable--There Is an Increased Risk of Default Associated with Balloon Payments" in the accompanying base prospectus. THE MORTGAGE POOL WILL INCLUDE SOME DISPROPORTIONATELY LARGE MORTGAGE LOANS The inclusion in the mortgage pool of one or more loans that have outstanding principal balances that are substantially larger than the other mortgage loans in that pool can result in losses that are more severe, relative to the size of the mortgage pool, than would be the case if the total balance of the mortgage pool were distributed more evenly. The 10 largest mortgage loans and/or groups of cross-collateralized mortgage loans that will be transferred to the issuing entity represent 34.1% of the initial mortgage pool balance, the 10 largest mortgage loans and/or groups of cross-collateralized mortgage loans to be included in loan group no. 1 represent 40.0% of the initial loan group no. 1 balance, and the 10 largest mortgage loans and/or groups of cross-collateralized mortgage loans to be included in loan group no. 2 represent 60.7% of the initial loan group no. 2 balance. See "Description of the Mortgage Pool--General" and "--Cross-Collateralized Mortgage Loans and Multiple Property Mortgage Loans" in, and Annex B to, this offering prospectus and "Risk Factors--Loan Concentration Within a Trust Exposes Investors to Greater Risk of Default and Loss" in the accompanying base prospectus. 47 THE MORTGAGE POOL WILL INCLUDE LEASEHOLD MORTGAGE LOANS AND LENDING ON A LEASEHOLD INTEREST IN REAL PROPERTY IS RISKIER THAN LENDING ON THE FEE INTEREST IN THAT PROPERTY. Three (3) mortgage loans, representing 1.3% of the initial mortgage pool balance, of which two (2) mortgaged loans are in loan group no. 1, representing 0.5% of the loan group no. 1 balance, and one (1) of the mortgage loans is in loan group no. 2, representing 5.2% of the initial loan group no. 2 balance, are secured by a mortgage lien on the related borrower's leasehold interest (but not by the underlying fee interest) in all or a material portion of the related mortgaged real property. In addition, six (6) mortgage loans, representing 13.8% of the initial mortgage pool balance and 16.6% of the initial loan group no. 1 balance, respectively, are each secured by a mortgage lien on the related borrower's leasehold interest on a portion of the mortgaged real property and the fee simple interest in the other portion of that property (or, in the case of two (2) of these six (6) mortgage loans, involving portfolios of multiple properties, on the related borrower's leasehold interest in some of the subject mortgaged real properties and the borrower's fee simple interest in the remaining subject mortgaged real properties). Because of possible termination of the related ground lease, lending on a leasehold interest in a real property is riskier than lending on an actual ownership interest in that property notwithstanding the fact that a lender, such as the trustee on behalf of the issuing entity, generally will have the right to cure defaults under the related ground lease. In addition, the terms of certain ground leases may require that insurance proceeds or condemnation awards be applied to restore the property or be paid, in whole or in part, to the ground lessor rather than be applied against the outstanding principal balance of the related mortgage loan. Finally, there can be no assurance that any of the ground leases securing an underlying mortgage loan contain all of the provisions that a lender may consider necessary or desirable to protect its interest as a lender with respect to a leasehold mortgage loan. See "Description of the Mortgage Pool--Additional Loan and Property Information--Ground Leases" in this offering prospectus and "Risk Factors--Lending on Ground Leases Creates Risks for Lenders That Are Not Present When Lending on an Actual Ownership Interest in a Real Property" and "Legal Aspects of Mortgage Loans--Foreclosure--Leasehold Considerations" in the accompanying base prospectus. SOME OF THE MORTGAGED REAL PROPERTIES ARE LEGAL NONCONFORMING USES OR LEGAL NONCONFORMING STRUCTURES Many of the mortgage loans are secured by a mortgage lien on a real property that is a legal nonconforming use or a legal nonconforming structure. This may impair the ability of the related borrower to restore the improvements on a mortgaged real property to its current form or use following a major casualty. See "Description of the Mortgage Pool--Additional Loan and Property Information--Zoning and Building Code Compliance" in this offering prospectus and "Risk Factors--Changes in Zoning Laws May Adversely Affect the Use or Value of a Real Property" in the accompanying base prospectus. SOME OF THE MORTGAGED REAL PROPERTIES MAY NOT COMPLY WITH ALL APPLICABLE ZONING LAWS AND/OR LOCAL BUILDING CODES OR WITH THE AMERICANS WITH DISABILITIES ACT OF 1990 Some of the mortgaged real properties securing mortgage loans that we intend to transfer to the issuing entity may not comply with all applicable zoning or land-use laws and ordinances, with all applicable local building codes or with the Americans with Disabilities Act of 1990. Compliance, if required, can be expensive. Failure to comply could result in penalties and/or restrictions on the use of the subject mortgaged real property, in whole or in part. There can be no assurance that any of the mortgage loans that we intend to transfer to the issuing entity do not have outstanding building code violations. See "Description of the Mortgage Pool--Additional Loan and Property Information--Zoning and Building Code Compliance" in this offering prospectus and "Risk Factors--Compliance with the Americans with Disabilities Act of 1990 May Be Expensive" and "Legal Aspects of Mortgage Loans--Americans with Disabilities Act" in the accompanying base prospectus. 48 For example, with respect to the mortgaged real property identified on Annex A-1 to this offering prospectus as Woodstream Apartments, which secures a mortgage loan representing 1.5% of the initial mortgage pool balance and 8.6% of the initial loan group 2 balance, the related mortgaged real property is currently in violation of building codes with respect to the ventilation of each of the individual apartment units. $400,000 of loan proceeds were escrowed to pay for the cost of remedying such violation and the borrower is required to complete such repairs within 270 days from March 31, 2006 (the closing date of the loan), however, so long as the borrower is diligently pursuing completion, the borrower may obtain a 60 day extension period to complete such repairs. The lender is not required to release the escrowed funds until the borrower provides evidence to lender of satisfactory completion of such repairs, including, a building code compliance letter from the municipality. Further, some of the mortgaged real properties securing mortgage loans that we intend to transfer to the issuing entity may comply currently with applicable zoning or land-use ordinances by virtue of certain contractual arrangements or agreements. However, if those contractual arrangements or agreements are breached or otherwise terminated, then the related mortgaged real property or properties may no longer be in compliance. MULTIPLE MORTGAGED REAL PROPERTIES ARE OWNED BY THE SAME BORROWER, AFFILIATED BORROWERS OR BORROWERS WITH RELATED PRINCIPALS OR ARE OCCUPIED, IN WHOLE OR IN PART, BY THE SAME TENANT OR AFFILIATED TENANTS, WHICH PRESENTS A GREATER RISK TO INVESTORS IN THE EVENT OF THE BANKRUPTCY OR INSOLVENCY OF ANY SUCH BORROWER OR TENANT Twenty-three (23) separate groups of mortgage loans that we intend to transfer to the issuing entity have borrowers that, in the case of each of those groups, are the same or under common control. The four (4) largest of these separate groups represent 9.0%, 2.3%, 2.2% and 2.2%, respectively, of the initial mortgage pool balance. See "Description of the Mortgage Pool--Cross-Collateralized Mortgage Loans and Multiple Property Mortgage Loans" and "--Mortgage Loans with Affiliated Borrowers" in this offering prospectus. In addition, there are tenants who lease space at more than one mortgaged real property securing mortgage loans that we intend to transfer to the issuing entity. Furthermore, there may be tenants that are related to or affiliated with a borrower and, like other contracts with affiliates, leases with tenants who are affiliates of the landlord may not have been negotiated on an arm's-length basis and may contain terms more favorable to the affiliate tenant than might be available to tenants unrelated to the borrower. See Annex A-1 to this offering prospectus for a list of the three most significant tenants at each of the mortgaged real properties used for retail, office and/or industrial/warehouse purposes. The bankruptcy or insolvency of, or other financial problems with respect to, any borrower or tenant that is, directly or through affiliation, associated with two or more of the mortgaged real properties securing the underlying mortgage loans could have an adverse effect on all of those properties and on the ability of those properties to produce sufficient cash flow to make required payments on the subject mortgage loans. See "Risk Factors--Repayment of a Commercial or Multifamily Mortgage Loan Depends Upon the Performance and Value of the Underlying Real Property, Which May Decline Over Time, and the Related Borrower's Ability to Refinance the Property, of Which There Is No Assurance--Tenant Bankruptcy Adversely Affects Property Performance," "--Borrower Concentration Within a Trust Exposes Investors to Greater Risk of Default and Loss" and "--Borrower Bankruptcy Proceedings Can Delay and Impair Recovery on a Mortgage Loan Underlying Your Offered Certificates" in the accompanying base prospectus. SOME OF THE MORTGAGED REAL PROPERTIES ARE OR MAY BE ENCUMBERED BY ADDITIONAL DEBT AND THE OWNERSHIP INTERESTS IN SOME BORROWERS HAVE BEEN OR MAY BE PLEDGED TO SECURE DEBT WHICH, IN EITHER CASE, MAY REDUCE THE CASH FLOW AVAILABLE TO THE SUBJECT MORTGAGED REAL PROPERTY The ShopKo Portfolio underlying mortgage loan, which is the largest mortgage loan that we intend to transfer to the issuing entity and represents 8.8% of the initial mortgage pool balance, and 10.6% of the initial loan group no. 1 balance, is part of a loan combination that includes multiple additional mortgage loans (not 49 included in the series 2006-C4 securitization transaction) that are: (a) pari passu and pro rata in right of payment with, and cross-defaulted with, the subject underlying mortgage loan; and (b) secured by the same mortgage instrument(s) encumbering the same portfolio of mortgaged real properties as is the subject underlying mortgage loan. The entire ShopKo Portfolio loan combination has an unpaid principal balance as of the cut-off date of $545,655,010. See "Description of the Mortgage Pool--The Loan Combinations--The ShopKo Portfolio Loan Combination" in, and the discussion of the ShopKo Portfolio underlying mortgage loan on Annex B to, this offering prospectus. The Wimbledon Place Apartments underlying mortgage loan, which represents 0.3% of the initial mortgage pool balance and 2.0% of the initial loan group no. 2 balance, is part of a loan combination that includes an additional mortgage loan (not included in the Series 2006-C4 securitization transaction) that is: (a) subordinate in right of payment with, and cross-defaulted with, the subject underlying mortgage loan and (b) secured by the same mortgage instrument encumbering the same mortgaged real property as is the subject underlying mortgage loan. The entire Wimbledon Place Apartments loan combination has an unpaid principal balance as of the cut-off date of $8,000,000. See "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus. In the case of one (1) mortgage loan that we intend to transfer to the issuing entity, representing 0.3% of the initial mortgage pool balance and 0.4% of the initial loan group no. 1 balance, there is existing subordinate debt in the original principal amount of $4,612,339.33, which is secured by a junior mortgage on the related mortgaged real property. The related borrower incurred the subordinate debt in connection with the purchase of the related mortgaged real property to effectuate a reverse 1031 exchange. The junior mortgagee is JLC Suncoast, LLC, an entity owned by the guarantor under the subject underlying mortgage loan. The loan documents require the borrower to fully pay off the subordinate debt upon completion of the 1031 exchange which shall not be later than August 15, 2006. The subordinate debt documents do not provide for foreclosure rights and the junior loan has been fully subordinated to the subject underlying mortgage loan pursuant to a subordination agreement delivered by the junior mortgagee. The existence of additional secured indebtedness may adversely affect the borrower's financial viability and/or the issuing entity's security interest in the mortgaged real property. Any or all of the following may result from the existence of additional secured indebtedness on a mortgaged real property: 1. refinancing the related underlying mortgage loan at maturity for the purpose of making any balloon payments may be more difficult; 2. reduced cash flow could result in deferred maintenance at the particular real property; 3. if the holder of the additional secured debt files for bankruptcy or is placed in involuntary receivership, foreclosing on the particular real property could be delayed; and 4. if the mortgaged real property depreciates for whatever reason, the related borrower's equity is more likely to be extinguished, thereby eliminating the related borrower's incentive to continue making payments on its mortgage loan held by the issuing entity. In addition, with respect to each of 10 mortgage loans that we intend to transfer to the issuing entity, which mortgage loans collectively represent 4.8% of the initial mortgage pool balance, of which eight (8) mortgage loans are in loan group no. 1, representing 4.1% of the initial loan group no. 1 balance, and two (2) mortgage loans are in loan group no. 2, representing 8.4% of the initial loan group no. 2 balance, the direct or indirect equity interests in the related borrower have been pledged to secure a related mezzanine loan, in each case as described under "Description of the Mortgage Pool--Additional Loan and Property Information--Additional and Other Financing" in this offering prospectus. 50 Further, with respect to each of 14 mortgage loans that we intend to transfer to the issuing entity, which mortgage loans collectively represent 13.0% of the initial mortgage pool balance, of which 13 mortgage loans are in loan group no. 1, representing 12.7% of the initial loan group no. 1 balance, and one (1) mortgage loan is in loan group no. 2, representing 14.3% of the initial loan group no. 2 balance, the equity holders of the borrower have a right to obtain mezzanine financing, secured by a pledge of the direct or indirect ownership interests in the borrower, provided that the requirements set forth in the related loan documents are satisfied, as described under "Description of the Mortgage Pool--Additional Loan and Property Information--Additional and Other Financing" in this offering prospectus. It is also possible that, in the case of some of the other mortgage loans that we intend to transfer to the issuing entity, one or more of the principals of the related borrower may have incurred without our knowledge or may in the future also incur mezzanine debt. Mezzanine debt is secured by the principal's direct or indirect ownership interest in the related borrower. While a mezzanine debt lender has no security interest in or rights to the related mortgaged real property, a default under the subject mezzanine loan could cause a change in control of the related borrower. Mezzanine financing reduces the subject principal's indirect equity in the subject mortgaged real property, and therefore may reduce its incentive to support such mortgaged real property. See "Description of the Mortgage Pool--Additional Loan and Property Information--Additional and Other Financing" in this offering prospectus and "Risk Factors--Additional Secured Debt Increases the Likelihood that a Borrower Will Default on a Mortgage Loan Underlying Your Offered Certificates; Co-Lender, Intercreditor and Similar Agreements May Limit a Mortgage Lender's Rights" in the accompanying base prospectus. CONFLICTING RIGHTS OF TENANTS MAY ADVERSELY AFFECT A MORTGAGED REAL PROPERTY With respect to some of the mortgaged real properties operated for office, retail or other commercial use, different tenants may have rights of first offer, rights of first refusal or expansion rights with respect to the same space in the related improvements. There is a risk that a tenant who loses any such right in the event of a simultaneous exercise of another tenant's right for the same space may have remedies under its lease due to such tenant's inability to exercise such right. In addition, a mortgaged real property may be subject to several leases, each of which may benefit from a currently operative exclusive use right. Several other leases of space at the related mortgaged real property contain exclusive use provisions which may become operative upon the granting of a currently operative exclusive use right to another tenant, and such exclusive use provisions may allow tenants benefiting therefrom to terminate their lease or take other remedial action in the event that another tenant's operation violates such tenant's exclusive use provision. Furthermore, certain leases of space at a related mortgaged real property contain co-tenancy provisions (which may permit a tenant to terminate its lease and/or to pay reduced rent) which could be triggered if certain tenants exercised their right to terminate their lease for breach of the exclusive use provisions. There are likely other underlying mortgage loans as to which tenants at the subject mortgaged real property have the foregoing rights. CERTAIN BORROWER COVENANTS MAY AFFECT THAT BORROWER'S AVAILABLE CASH FLOW Borrower covenants with respect to payments for landlord improvements, tenant improvements and leasing commissions, required repairs, taxes and other matters may adversely affect a borrower's available cash flow and the failure to satisfy those obligations may result in a default under the subject lease. 51 SOME BORROWERS UNDER THE UNDERLYING MORTGAGE LOANS WILL NOT BE SPECIAL PURPOSE ENTITIES The business activities of the borrowers under the underlying mortgage loans with cut-off date principal balances below $5,000,000 are in many cases not limited to owning their respective mortgaged real properties. In addition, the business activities of borrowers under underlying mortgage loans with cut-off date principal balances above $5,000,000 may, in some cases, not be limited to owning their respective mortgaged real properties. In general, as a result of a borrower not being a special purpose entity or not being limited to owning the related mortgaged real property, the borrower may be engaged in activities unrelated to the subject mortgaged real property and may incur indebtedness or suffer liabilities with respect to those activities. Borrowers that are not special purpose entities and thus are not structured to limit the possibility of becoming insolvent or bankrupt, may be more likely to become insolvent or the subject of a voluntary or involuntary bankruptcy proceeding. In addition, certain borrowers, although currently special purpose entities, may not have met the criteria of a special purpose entity in the past or may have engaged in activities unrelated to the subject mortgaged real property in the past. This could negatively impact the borrower's financial conditions and thus its ability to pay amounts due and owing under the subject underlying mortgage loan. In addition, if an underlying mortgage loan is secured by a mortgage on both the related borrower's leasehold interest in the related mortgaged real property and the underlying fee interest in such property (in which case we reflect that the mortgage loan is secured by a mortgage on the related fee interest), the related borrower may be a special purpose entity, but the owner and pledgor of the related fee interest may not be a special purpose entity. See "Risk Factors--The Borrower's Form of Entity May Cause Special Risks and/or Hinder Recovery" in the accompanying base prospectus. TENANCIES IN COMMON MAY HINDER RECOVERY Certain of the mortgage loans that we intend to transfer to the issuing entity have borrowers that own the related mortgaged real properties as tenants-in-common. Under certain circumstances, a tenant-in-common can be forced to sell its property, including by a bankruptcy trustee, by one or more tenants-in-common seeking to partition the property and/or by a governmental lienholder in the event of unpaid taxes. Such a forced sale or action for partition of a mortgaged real property may occur during a market downturn and could result in an early repayment of the related mortgage loan, a significant delay in recovery against the tenant-in-common borrowers and/or a substantial decrease in the amount recoverable upon the related mortgage loan. Additionally, mortgaged real properties owned by tenant-in-common borrowers may be characterized by inefficient property management, inability to raise capital, possible serial bankruptcy filings and the need to deal with multiple borrowers in the event of a default on the loan. Each of the mortgaged real properties identified on Annex A-1 to this offering prospectus as 20 North Orange, DuBois Mall, Bristol Pointe Apartment Homes, Mallard Crossing Apartments, AmeriCold Warehouse, Desert Inn Office Center, Four Winds Apartments, 60 Frontage Road, Marriott Fairfield Inn & Suites Alpharetta Portfolio, Marriott Fairfield Inn & Suites Buckhead Portfolio, Marriott Fairfield Inn & Suites Atlanta Portfolio, The Minolta Building, Alfa Laval Building, 50 Division Street, Riverfront Business Park, Village Square Retail Center, Spalding Triangle, La Quinta Inn Winter Park, Bassett Creek Medical Building, Northbelt Office Center II, Pac Bell Directory Office Building, McCarran Landing Shopping Center, Sherman Oaks Apartments & Apple Creek Mini Storage and Gateway Plaza N. Las Vegas, respectively, which secure mortgage loans that collectively represent 14.3% of the initial mortgage pool balance, of which 20 mortgage loans are in loan group no. 1, representing 13.7% of the initial loan group no. 1 balance, and four (4) mortgage loans are in loan group no. 2, representing 17.6% of the initial loan group no. 2 balance, are owned by tenant-in-common borrowers. Not all tenant-in-common borrowers for these mortgage loans are special purpose entities and some of those tenants-in-common are individuals. See "Risk Factors--The Borrower's Form of Entity May Cause Special Risks and/or Hinder Recovery" in the accompanying base prospectus. 52 CHANGES IN MORTGAGE POOL COMPOSITION CAN CHANGE THE NATURE OF YOUR INVESTMENT In general, if you purchase any offered certificates that have a relatively longer weighted average life, then you will be more exposed to risks associated with changes in concentrations of borrower, loan or property characteristics than are persons that own offered certificates with relatively shorter weighted average lives. See "Risk Factors--Changes in Pool Composition Will Change the Nature of Your Investment" in the accompanying base prospectus. RISKS RELATED TO REDEVELOPMENT AND RENOVATION AT THE MORTGAGED PROPERTIES Certain of the mortgaged properties are properties which are currently undergoing or are expected to undergo in the future redevelopment or renovation. See "Risk Factors--Redevelopment and Renovation of the Mortgaged Properties May Have Uncertain and Adverse Results" in the accompanying base prospectus. DECISIONS MADE BY THE TRUSTEE, THE MASTER SERVICER OR THE SPECIAL SERVICER MAY NEGATIVELY AFFECT YOUR INTERESTS You and other holders of the offered certificates generally do not have a right to vote and do not have the right to make decisions with respect to the administration of the issuing entity. Those decisions are generally made, subject to the express terms of the series 2006-C4 pooling and servicing agreement, by the master servicer, the trustee or the special servicer, as applicable. Any decision made by one of those parties in respect of the issuing party and/or its assets, even if that decision is determined to be in your best interests by that party, may be contrary to the decision that you or other holders of the offered certificates would have made and may negatively affect your interests. SPONSORS MAY NOT BE ABLE TO MAKE A REQUIRED REPURCHASE OR SUBSTITUTION OF A DEFECTIVE MORTGAGE LOAN Citigroup Global Markets Realty Corp., PNC Bank, National Association and Barclays Capital Real Estate Inc. will each be required to deliver or cause the delivery of various loan documents and make various representations and warranties in connection with its sale of mortgage loans to us, as generally described in "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions", respectively. A breach by a sponsor with respect to its document delivery obligations or its representations and warranties that materially and adversely affects the value of any underlying mortgage loan or the interests of the series 2006-C4 certificateholders therein, may result in an obligation on the part of that sponsor to repurchase or replace the underlying mortgage loan that is the subject of such breach; provided that each sponsor that contributed a portion of the ShopKo Portfolio underlying mortgage loan to the series 2006-C4 securitization transaction will only be obligated to repurchase or replace that portion and not the entire ShopKo Portfolio underlying mortgage loan. Neither we nor any of our affiliates (except for Citigroup Global Markets Realty Corp. in its capacity as a mortgage loan seller) are obligated to repurchase or replace any underlying mortgage loan in connection with either a material breach of any sponsor's representations and warranties or any material document defects, if such sponsor defaults on its obligation to do so. We cannot assure you that the sponsors will have the financial ability to effect such repurchases or substitutions. Any mortgage loan that is not repurchased or substituted and that is not a "qualified mortgage" for a REMIC may cause the issuing entity to fail to qualify as one or more REMICs or cause the issuing entity to incur a tax. See "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus and "Description of the Governing Documents--Representations and Warranties with Respect to Mortgage Assets" in the accompanying base prospectus. 53 THE MORTGAGE LOANS HAVE NOT BEEN REUNDERWRITTEN BY US We have not reunderwritten the underlying mortgage loans. Instead, we have relied on the representations and warranties made by the sponsors, and the sponsors' respective obligations to repurchase, cure or substitute an underlying mortgage loan in the event that a representation or warranty was not true when made and such breach materially and adversely affects the value of the subject underlying mortgage loan or the interests of the certificateholders. These representations and warranties do not cover all of the matters that we would review in underwriting a mortgage loan and you should not view them as a substitute for reunderwriting the underlying mortgage loans. If we had reunderwritten the underlying mortgage loans, it is possible that the reunderwriting process may have revealed problems with one or more of the underlying mortgage loans not covered by representations or warranties given by the mortgage loan sellers. MORTGAGE LOANS SECURED BY MORTGAGED REAL PROPERTIES SUBJECT TO ASSISTANCE AND AFFORDABLE HOUSING PROGRAMS ARE SUBJECT TO THE RISK THAT THOSE PROGRAMS MAY TERMINATE OR BE ALTERED Certain of the underlying mortgage loans may be secured by mortgaged real properties that are eligible for and have received low income housing tax credits pursuant to Section 42 of the Internal Revenue Code of 1986 in respect of various units within the related mortgaged real property or have a material concentration of tenants that rely on rent subsidies under various government funded programs, including the Section 8 Tenant Based Assistance Rental Certificate Program of the United States Department of Housing and Urban Development. With respect to certain of the underlying mortgage loans, the related borrowers may receive subsidies or other assistance from government programs. Generally, in the case of mortgaged real properties that are subject to assistance programs of the kind described above, the subject mortgaged real property must satisfy certain requirements, the borrower must observe certain leasing practices and/or the tenant(s) must regularly meet certain income requirements. No assurance can be given that any government or other assistance programs will be continued in their present form during the terms of the related mortgage loans, that the borrower will continue to comply with the requirements of the programs to enable the borrower to receive the subsidies or assistance in the future, or that the owners of a borrower will continue to receive tax credits or that the level of assistance provided will be sufficient to generate enough revenues for the related borrower to meet its obligations under the related mortgage loans even though the related mortgage loan seller may have underwritten the related mortgage loan on the assumption that any applicable assistance program would remain in place. Loss of any applicable assistance could have an adverse effect on the ability of a borrower whose property is subject to an assistance program to make debt service payments. Additionally, the restrictions described above relating to the use of the related mortgaged real property could reduce the market value of that property. LENDING ON INCOME-PRODUCING REAL PROPERTIES ENTAILS ENVIRONMENTAL RISKS The issuing entity could become liable for a material adverse environmental condition at one or more of the mortgaged real properties securing the mortgage loans in the series 2006-C4 securitization transaction. Any potential environmental liability could reduce or delay payments on the offered certificates. A third-party environmental consultant conducted a Phase I environmental study for all but one (1) of the mortgaged real properties securing the mortgage loans that we intend to transfer to the issuing entity. The resulting environmental reports were prepared: o in the case of 284 mortgaged real properties, securing 96.5% of the initial mortgage pool balance (of which 253 mortgaged real properties secure mortgage loans in loan group no. 1, representing 98.8% of the initial loan group no. 1 balance, and 31 mortgaged real properties secure mortgage loans in loan group no. 2, representing 85.1% of the initial loan group no. 2 balance), during the 12-month period preceding the cut-off date, and 54 o in the case of four (4) mortgaged real properties, securing 3.4% of the initial mortgage pool balance, of which three (3) mortgaged real properties secure mortgage loans in loan group no. 1, representing 1.2% of the loan group no. 1 balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 14.3% of the initial loan group no. 2 balance, respectively, prior to the 12-month period preceding the cut-off date. In the case of the one (1) mortgaged real property referred to above (loan number 162), representing 0.1% of the initial mortgage pool balance and 0.7% of the initial loan group no. 2 balance, an environmental insurance policy has been obtained in lieu of conducting an environmental study. The environmental assessment conducted at any particular mortgaged real property did not necessarily cover all potential environmental issues. For example, an analysis for radon, lead-based paint, mold and lead in drinking water was conducted in most instances only at multifamily rental properties and only when the originator of the related mortgage loan or the environmental consultant involved believed that such an analysis was warranted under the circumstances. The above-described environmental assessments may have identified various adverse or potentially adverse environmental conditions at the respective mortgaged real properties. If the particular condition is significant, it could result in a claim for damages by any party injured by that condition. With respect to the mortgaged real property identified on Annex A-1 to this offering prospectus as 1150 West Washington Street (which is part of the Shopko Portfolio), the Phase I consultant recommended a file review be conducted to determine the impact, if any, of a historical on-site leaking underground storage tank (LUST) incident. That review indicated that the LUST incident stemmed from USTs that have since been removed from the subject property. The property owner enrolled in the Michigan's Underground Storage Tank Financial Assurance Fund, and received reimbursement for site activities relating to cleanup of the LUST incident until 1995. Since that time, the owner has continued to address the LUST incident by operating a groundwater treatment system and conducting quarterly groundwater monitoring. Results from the quarterly monitoring indicate that concentrations of contaminants in off-site monitoring wells remain below statutory limits. In addition, the environmental consultant conducting the activities has indicated that if the on-site concentrations continue to decrease or remain stable, closure with a deed restriction will likely be obtained from the State in the near future. For a further discussion regarding the findings of the above-referenced environmental assessments and the responses to those findings, see "Description of the Mortgage Pool--Additional Loan and Property Information--Environmental Reports" in this offering prospectus. The information provided by us in this offering prospectus regarding environmental conditions at the respective mortgaged real properties is based on the results of the environmental assessments referred to in this "--Lending on Income-Producing Real Properties Entails Environmental Risks" subsection and has not been independently verified by us, the underwriters or any of our or their respective affiliates. There can be no assurance that the environmental assessments referred to above identified all environmental conditions and risks at, or that any environmental conditions will not have a material adverse effect on the value of or cash flow from, one or more of the mortgaged real properties securing the underlying mortgage loans. See "Risk Factors--Environmental Liabilities Will Adversely Affect the Value and Operation of the Contaminated Property and May Deter a Lender from Foreclosing" and "Legal Aspects of Mortgage Loans--Environmental Considerations" in the accompanying base prospectus. 55 LENDING ON INCOME-PRODUCING PROPERTIES ENTAILS RISKS RELATED TO PROPERTY CONDITION Professional engineers or architects inspected all except for one (1) of the mortgaged real properties for the underlying mortgage loans. Two hundred eighty-six (286) of the mortgaged real properties, securing 96.7% of the initial mortgage pool balance, of which 254 mortgaged real properties secure mortgage loans in loan group no. 1, representing 99.0% of the initial loan group no. 1 balance, and 32 mortgaged real properties secure mortgage loans in loan group no. 2, representing 85.7% of the initial loan group no. 2 balance, were inspected during the 12-month period preceding the cut-off date, and two (2) of the mortgaged real properties, securing 2.6% of the initial mortgage pool balance, of which one (1) mortgaged real property secures a mortgage loan in loan group no. 1, representing 0.3% of the initial loan group no. 1 balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 14.3% of the initial loan group no. 2 balance, respectively, were inspected prior to the 12-month period preceding the cut-off date. One (1) mortgaged real property, securing 0.7% of the initial mortgage pool balance and 0.8% of the initial loan group no. 1 balance, is secured by land and therefore required no property condition assessment. The scope of those inspections included an assessment of: o the general condition of the exterior walls, roofing, interior construction, mechanical and electrical systems; and o the general condition of the site, buildings and other improvements located at each mortgaged real property. There can be no assurance that the above-referenced inspections identified all risks related to property condition at the mortgaged real properties securing the underlying mortgage loans or that adverse property conditions, including deferred maintenance and waste, have not developed at any of the mortgaged real properties since that inspection. In some cases, the inspections identified, at origination of the related mortgage loan, conditions requiring escrows to be established for repairs or replacements or other work to be performed at the related mortgaged real property, in each case estimated to cost in excess of $100,000. In those cases, the originator generally required the related borrower or a sponsor of the borrower to fund reserves, or deliver letters of credit, guaranties or other instruments, to cover or partially cover these costs. There can be no assurance that, in any such case, the reserves established by the related borrower to cover the costs of required repairs, replacements or installations will be sufficient for their intended purpose or that the related borrowers will complete such repairs, replacements or installations which, in some cases, are necessary to maintain compliance with state or municipal regulations. APPRAISALS PERFORMED ON MORTGAGED REAL PROPERTIES MAY NOT ACCURATELY REFLECT THE RESPECTIVE VALUES OF THOSE MORTGAGED REAL PROPERTIES Any appraisal performed with respect to a mortgaged real property represents only the analysis and opinion of a qualified expert and is not a guarantee of present or future value. Different appraisers may reach different conclusions regarding the value of a mortgaged real property. Moreover, appraisals seek to establish the amount a typically motivated buyer would pay a typically motivated seller and, in certain cases, may have taken into consideration the purchase price paid by the borrower. That amount could be significantly higher than the amount obtained from the sale of a mortgaged real property under a distress or liquidation sale. We cannot assure you that the information set forth in this offering prospectus regarding appraised values or loan-to-value ratios accurately reflects past, present or future market values of the mortgaged real properties securing the underlying mortgage loans. 56 TERRORISM INSURANCE COVERAGE ON THE MORTGAGED PROPERTIES MAY BE EXPENSIVE AND/OR DIFFICULT TO OBTAIN After the terrorist attacks of September 11, 2001, the cost of insurance coverage for acts of terrorism increased and the availability of such insurance decreased. In response to this situation, Congress enacted the Terrorism Risk Insurance Act of 2002, which was amended and extended by the Terrorism Risk Insurance Extension Act of 2005, signed into law by President Bush on December 22, 2005. The Terrorism Risk Insurance Extension Act of 2005 requires that qualifying insurers offer terrorism insurance coverage in all property and casualty insurance policies on terms not materially different than terms applicable to other losses. The federal government covers 90% (85% for acts of terrorism occurring in 2007) of the losses from covered certified acts of terrorism on commercial risks in the United States only, in excess of a specified deductible amount calculated as a percentage of an affiliated insurance group's prior year premiums on commercial lines policies covering risks in the United States. This specified deductible amount is 17.5% of such premiums for losses occurring in 2006, and 20% of such premiums for losses occurring in 2007. Further, to trigger coverage under the Terrorism Risk Insurance Extension Act of 2005, the aggregate industry property and casualty insurance losses resulting from an act of terrorism must exceed $5 million prior to April 2006, $50 million from April 2006 through December 2006, and $100 million for acts of terrorism occurring in 2007. The Terrorism Risk Insurance Extension Act of 2005 now excludes coverage for commercial auto, burglary and theft, surety, professional liability and farm owners' multiperil. The Terrorism Risk Insurance Extension Act of 2005 will expire on December 31, 2007. The Terrorism Risk Insurance Extension Act of 2005 applies only to losses resulting from attacks that have been committed by individuals on behalf of a foreign person or foreign interest, and does not cover acts of purely domestic terrorism. Further, any such attack must be certified as an "act of terrorism" by the federal government, which decision is not subject to judicial review. As a result, insurers may continue to try to exclude from coverage under their policies losses resulting from terrorist acts not covered by the Terrorism Risk Insurance Extension Act of 2005. Moreover, the deductible and copayment provisions under the Terrorism Risk Insurance Extension Act of 2005 still leave insurers with high potential exposure for terrorism-related claims. Because nothing in the act prevents an insurer from raising premium rates on policyholders to cover potential losses, or from obtaining reinsurance coverage to offset its increased liability, the cost of premiums for such terrorism insurance coverage is still expected to be high. With respect to each of the mortgaged real properties securing the mortgage loan that we intend to transfer to the issuing entity, the related borrower is required under the related mortgage loan documents to maintain comprehensive fire and extended perils casualty insurance, which may be provided under a blanket insurance policy. Generally, but not in all cases, the mortgage loans specifically require terrorism insurance, but in the case of some mortgage loans, such insurance may be required only to the extent it can be obtained for premiums less than or equal to a "cap" amount specified in the related loan documents, only if it can be purchased at commercially reasonable rates and/or only with a deductible at a certain threshold. With respect to those mortgage loans included in the series 2006-C4 securitization transaction that do not specifically require coverage for acts of terrorism, the related mortgage loan documents may permit the lender to require such insurance as is reasonable. However, the related borrower may challenge whether maintaining insurance against acts of terrorism is reasonable in light of all the circumstances, including the cost. In the case of some of the mortgaged real properties securing mortgage loans that we intend to transfer to the issuing entity, the insurance covering any of such mortgaged real properties for acts of terrorism may be provided through a blanket policy that also covers properties unrelated to the series 2006-C4 securitization transaction. Acts of terrorism at those other properties could exhaust coverage under the blanket policy. No representation is made as to the adequacy of any such insurance coverage provided under a blanket policy, in light of the fact that multiple properties are covered by that policy. In the case of certain mortgage loans that we intend to transfer to the issuing entity, the requirement that terrorism insurance be obtained was waived. In the case of certain other mortgage loans that we intend to transfer 57 to the issuing entity, the borrower was not required to maintain terrorism insurance for the related mortgaged real property. If a borrower is required to maintain insurance for terrorist or similar acts that was not previously maintained, the borrower may incur higher costs for insurance premiums in obtaining such coverage which would have an adverse effect on the net cash flow of the related mortgaged real property. Further, if the federal insurance back-stop program referred to above is not extended or renewed, premiums for terrorism insurance coverage will likely increase and/or the terms of such insurance may be materially amended to enlarge stated exclusions or to otherwise effectively decrease the scope of coverage available. In addition, in the event that any mortgaged real property securing an underlying mortgage loan sustains damage as a result of an uninsured terrorist or similar act, such damaged mortgaged real property may not generate adequate cash flow to pay, and/or provide adequate collateral to satisfy, all amounts owing under such mortgage loan, which could result in a default on that mortgage loan and, potentially, losses on some classes of the series 2006-C4 certificates. THE ABSENCE OR INADEQUACY OF INSURANCE COVERAGE ON THE MORTGAGED PROPERTIES MAY ADVERSELY AFFECT PAYMENTS ON THE OFFERED CERTIFICATES The borrowers under the mortgage loans that we intend to transfer to the issuing entity are, with limited exception, required to maintain the insurance coverage described under "Description of the Mortgage Pool--Additional Loan and Property Information--Hazard, Liability and Other Insurance" in this prospectus supplement. Some types of losses, however, may be either uninsurable or not economically insurable, such as losses due to riots or acts of war or terrorism or earthquakes. Furthermore, there is a possibility of casualty losses on a mortgaged real property for which insurance proceeds may not be adequate. Consequently, there can be no assurance that each casualty loss incurred with respect to a mortgaged real property securing one of the underlying mortgage loans will be fully covered by insurance. Thirty-eight (38) mortgaged real properties, securing 20.7% of the initial mortgage pool balance, are located in seismic zones 3 and 4, which are areas that are considered to have a high earthquake risk. Thirty-four (34) of those 38 mortgaged real properties secure mortgage loans in loan group no. 1, representing 20.7% of the initial loan group no. 1 balance, and four (4) of those 38 mortgaged real properties secure mortgage loans in loan group no. 2, representing 20.7% of the initial loan group no. 2 balance. However, earthquake insurance is not necessarily required to be maintained by a borrower, even in the case of mortgaged real properties located in areas that are considered to have a high earthquake risk. Earthquake insurance is generally required only if the seismic report has concluded that probable maximum loss for the subject property is greater than 20% of the replacement cost of the improvements on the property and no retrofitting will be done to reduce that percentage below 20%. In addition, the southern and eastern coasts of the continental United States have historically been at greater risk, than other areas, of experiencing losses due to windstorms, such as tropical storms or hurricanes. For purposes of this offering prospectus, we consider all areas within 20 miles of the coast from the southern tip of Texas to the northern border of North Carolina to have such a high windstorm risk. See "--Impact of Recent Hurricane Activity May Adversely Affect the Performance of Mortgage Loans" below. Seventeen (17) mortgaged real properties, securing 8.8% of the initial mortgage pool balance, are located in high windstorm risk areas. Sixteen (16) of those 17 mortgaged real properties secure mortgage loans in loan group no. 1, representing 10.4% of the initial loan group no. 1 balance, and one (1) of those 17 mortgaged real properties secures a mortgage loan in loan group no. 2, representing 0.7% of the initial loan group no. 2 balance. The standard fire and extended perils casualty insurance policies that borrowers under the mortgage loans are required to maintain typically do not cover flood or mold damage. Although certain mortgage loans may require borrowers to maintain additional flood insurance, there can be no assurance that such additional insurance will be sufficient to cover damage to a mortgaged real property in a heavily flooded area, such as was experienced in New Orleans, Louisiana as a result of Hurricane Katrina. 58 IMPACT OF RECENT HURRICANE ACTIVITY MAY ADVERSELY AFFECT THE PERFORMANCE OF UNDERLYING MORTGAGE LOANS The damage caused by Hurricanes Katrina, Rita and Wilma and related windstorms, floods and tornadoes in areas of Louisiana, Mississippi, Texas and Florida in August, September and October 2005 may adversely affect certain of the mortgaged real properties. Twenty-three (23) of the mortgaged real properties, which secure mortgage loans that represent 11.4% of the initial mortgage pool balance (of which 19 mortgaged real properties secure mortgage loans that represent 12.5% of the initial loan group no. 1 balance and four (4) mortgaged real properties secure mortgage loans that represent 5.7% of the initial loan group no. 2 balance), are located in Louisiana, Mississippi, Texas and Florida. Although it is too soon to assess the full impact of Hurricanes Katrina, Rita and Wilma on the United States and local economies, in the short term the effects of the storms are expected to have a material adverse effect on the local economies and income-producing real estate in the affected areas. Areas affected by Hurricanes Katrina, Rita and Wilma have suffered severe flooding, wind and water damage, loss of population as a result of evacuations, contamination, gas leaks and fire and environmental damage, including mold damage. The devastation caused by Hurricanes Katrina, Rita and Wilma could lead to a general economic downturn, including increased oil prices, loss of jobs, regional disruptions in travel, transportation and tourism and a decline in real-estate related investments, in particular, in the areas most directly damaged by the storm. Specifically, there can be no assurance that displaced residents of the affected areas will return, that the economies in the affected areas will recover sufficiently to support income-producing real estate at pre-hurricane levels or that the costs of clean-up will not have a material adverse effect on the national economy. Because of the difficulty in obtaining information about the affected areas, it is not possible at this time to make a complete assessment of the extent and expected duration of the economic effects of Hurricanes Katrina, Rita and Wilma on the subject mortgaged real properties, the Southeast states and the United States as a whole. THERE MAY BE RESTRICTIONS ON THE ABILITY OF A BORROWER, A LENDER OR ANY TRANSFEREE THEREOF TO TERMINATE OR RENEGOTIATE PROPERTY MANAGEMENT AGREEMENTS THAT ARE IN EXISTENCE WITH RESPECT TO SOME OF THE MORTGAGED REAL PROPERTIES In the case of some of the mortgage loans that we intend to transfer to the issuing entity, the property manager and/or the property management agreement in existence with respect to the related mortgaged real property cannot be terminated by the borrower or the lender, other than under the very limited circumstances set forth in that management agreement, and the terms of the property management agreement are not subject to negotiation. The terms of those property management agreements may provide for the granting of broad powers and discretion to the property manager with respect to the management and operation of the subject property including the right to set pricing or rates, hire and fire employees and manage revenues, operating accounts and reserves. In addition, the fees payable to a property manager pursuant to any property management agreement related to an underlying mortgage loan may be in excess of property management fees paid with respect to similar real properties for similar management responsibilities and may consist of a base fee plus an incentive fee (after expenses and a specified return to the property owner). Further, those property management agreements (including with respect to the identity of the property manager) may be binding on transferees of the mortgaged real property, including a lender as transferee that succeeds to the rights of the borrower through foreclosure or acceptance of a deed in lieu of foreclosure, and any transferee of such lender. In addition, certain property management agreements contain provisions restricting the owner of the related mortgaged real property from mortgaging, or refinancing mortgage debt on, its interest in such property and/or from selling the subject mortgaged real property to specified entities that might provide business competition to or taint the reputation of the subject business enterprise or the property manager and/or its affiliates, and may require any transferees of the subject mortgaged real property to execute a recognition or nondisturbance agreement binding such entity to the foregoing terms. These restrictions may restrict the liquidity of the related mortgaged real property. 59 THE MORTGAGED REAL PROPERTIES THAT SECURE SOME MORTGAGE LOANS IN THE SERIES 2006-C4 SECURITIZATION TRANSACTION ALSO SECURE ONE OR MORE RELATED MORTGAGE LOANS THAT WILL NOT BE TRANSFERRED TO THE ISSUING ENTITY; THE INTERESTS OF THE HOLDERS OF THOSE RELATED MORTGAGE LOANS MAY CONFLICT WITH YOUR INTERESTS The ShopKo Portfolio underlying mortgage loan, which represents 8.8% of the initial mortgage pool balance and 10.6% of the initial loan group no. 1 balance, is part of an aggregate debt in the amount of $545,655,010, evidenced by six (6) promissory notes and secured by the portfolio of mortgaged real properties identified on Annex A-1 to this offering prospectus as the ShopKo Portfolio. The ShopKo Portfolio underlying mortgage loan is evidenced by two (2) of those promissory notes. The other four (4) promissory notes will not be included in the series 2006-C4 securitization transaction. Each of those four (4) other promissory notes represents a separate debt obligation of the related borrowers and is treated as a separate mortgage loan. The ShopKo Portfolio underlying mortgage loan and the debt obligations evidenced by the four (4) promissory notes that will not be included in the series 2006-C4 securitization transaction constitute a loan combination. Pursuant to a co-lender agreement, (a) the holders of mortgage loans representing more than 50% of the total principal balance of the entire ShopKo Portfolio loan combination, acting together, will be entitled to advise, direct and/or consult with the applicable servicer regarding various servicing matters, including foreclosures and workouts, affecting the ShopKo Portfolio loan combination; and (b) the holders of mortgage loans representing more than 50% of the total principal balance of the ShopKo Portfolio mortgage loans not included in the series 2006-C4 securitization transaction will be entitled to replace the applicable special servicer (without cause) with respect to the ShopKo Portfolio loan combination. In addition, any holder of a ShopKo Portfolio mortgage loan that has not been transferred to the issuing entity will have an option to purchase the ShopKo Portfolio underlying mortgage loan from the issuing entity (provided that holder purchase all of the ShopKo Portfolio mortgage loans) under various default scenarios. In some cases, those rights and powers may be assignable or may be exercised through a representative or designee, which representative will, in the case of the ShopKo Portfolio underlying mortgage loan, in connection with exercising the right described in clause (1) of the second preceding sentence, be the series 2006-C4 controlling class representative pursuant to the series 2006-C4 pooling and servicing agreement. The Wimbledon Place Apartments underlying mortgage loan, which represents 0.3% of the initial mortgage pool balance and 2.0% of the loan group no. 2 balance, is part of a loan combination that includes one other mortgage loan (not included in the series 2006-C4 securitization transaction) that is secured by the same mortgage instrument encumbering the same mortgaged real property as is the subject underlying mortgage loan. Pursuant to a co-lender, intercreditor or similar agreement, the holder of the Wimbledon Place Apartments mortgage loan not included in the series 2006-C4 securitization transaction will be entitled to purchase the Wimbledon Place Apartments underlying mortgage loan under various default scenarios and, during the purchase option period, to prevent (by withholding its consent to) various waivers, amendments and modifications of the Wimbledon Place Apartments loan combination. In some cases, those rights and powers may be assignable or may be exercised through a representative or a designee. In connection with exercising any of the foregoing rights afforded to it, the holder of a ShopKo Portfolio or Wimbledon Place Apartments mortgage loan not included in the series 2006-C4 securitization transaction (or, if applicable, any representative, designee or assignee thereof with respect to the particular right) will likely not be an interested party with respect to the series 2006-C4 securitization transaction, will have no obligation to consider the interests of, or the impact of exercising such rights on, the series 2006-C4 certificateholders and may have interests that conflict with your interests. If any ShopKo Portfolio or Wimbledon Place Apartments mortgage loan not included in the series 2006-C4 securitization transaction is included in a separate securitization, then the representative, designee or assignee exercising any of the rights of the holder of that other mortgage loan may be a securityholder, an operating advisor, a controlling class representative or other comparable party or a servicer from that other securitization. You should expect that the holder or beneficial owner of a ShopKo Portfolio or Wimbledon Place Apartments mortgage loan not included in the series 2006-C4 securitization transaction will exercise its rights and powers to protect its own economic interests, and it will not be liable to the 60 series 2006-C4 certificateholders for so doing. See "Description of the Mortgage Pool--The Loan Combinations" in this offering prospectus for a more detailed description of the related co-lender arrangement and the priority of payments among the mortgage loans comprising each of the ShopKo Portfolio loan combination and the Wimbledon Place Apartments loan combination. Also, see "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" and "--Replacement of the Special Servicer" in this offering prospectus for a more detailed description of certain of the foregoing rights of the respective holders of the mortgage loans comprising each of the ShopKo Portfolio loan combination and the Wimbledon Place Apartments loan combination. See also "Risk Factors--With Respect to Certain Mortgage Loans Included in Our Trusts, the Mortgaged Property or Properties that Secure the Subject Mortgage Loan in the Trust Also Secure One or More Related Mortgage Loans That Are Not in the Trust; The Interests of the Holders of Those Non-Trust Mortgage Loans May Conflict with Your Interests" in the accompanying base prospectus. Some provisions contained in the ShopKo Portfolio or Wimbledon Place Apartments co-lender, intercreditor or similar agreement restricting another lender's actions may not be enforceable by the trustee on behalf of the issuing entity. If, in the event of the related borrower's bankruptcy, a court refuses to enforce certain restrictions against another lender, such as provisions whereby such other lender has agreed not to take direct actions with respect to the related debt, including any actions relating to the bankruptcy of the related borrower, or not to vote a mortgagee's claim with respect to a bankruptcy proceeding, there could be resulting delays in the trustee's ability to recover with respect to the related borrower. See "Risk Factors--Certain Aspects of Co-Lender, Intercreditor and Similar Agreements Executed in Connection with Mortgage Loans Underlying Your Offered Certificates May be Unenforceable" in the accompanying base prospectus. CONFLICTS OF INTEREST MAY EXIST IN CONNECTION WITH CERTAIN PREVIOUS OR EXISTING RELATIONSHIPS OF A SPONSOR FOR THE SERIES 2006-C4 SECURITIZATION TRANSACTION OR AN AFFILIATE THEREOF TO CERTAIN OF THE UNDERLYING MORTGAGE LOANS, RELATED BORROWERS OR RELATED MORTGAGED REAL PROPERTIES Certain of the underlying mortgage loans may have been refinancings of debt previously held by a sponsor for the series 2006-C4 securitization transaction or an affiliate thereof, or a sponsor or its respective affiliates may have or have had equity investments in the borrowers or mortgaged real properties relating to certain of the mortgage loans that we intend to transfer to the issuing entity. In addition, a sponsor and its affiliates may have made and/or may make loans to, or equity investments in, or may otherwise have or have had business relationships with, affiliates of the borrowers under the mortgage loans in the series 2006-C4 securitization transaction. Further, a sponsor and/or its affiliates may have had or may have (currently or at a future time) a managing or non-managing ownership interest in certain of the borrowers under the mortgage loans in the series 2006-C4 securitization transaction. In the foregoing cases, the relationship of a sponsor or an affiliate to, or the ownership interest of the mortgage loan seller or an affiliate in, the borrower under any mortgage loan to be included in the series 2006-C4 securitization transaction or a borrower affiliate may have presented a conflict of interest in connection with the underwriting and origination of that underlying mortgage loan. There can be no assurance that there are not other underlying mortgage loans that involve the related sponsor or its affiliates in a manner similar to those described above. LIMITATIONS ON ENFORCEABILITY OF CROSS-COLLATERALIZATION MAY REDUCE ITS BENEFITS The mortgage pool will include mortgage loans that are secured, including through cross-collateralization with other mortgage loans, by multiple mortgaged real properties. These mortgage loans are identified in the tables contained in Annex A-1 to this offering prospectus. The purpose of securing any particular mortgage loan or group of cross-collateralized mortgage loans with multiple real properties is to reduce the risk of default or 61 ultimate loss as a result of an inability of any particular property to generate sufficient net operating income to pay debt service. However, some of these mortgage loans may permit-- o the release of one or more of the related mortgaged real properties from the related mortgage lien, and/or o a full or partial termination of the applicable cross-collateralization, in each case, upon the satisfaction of the conditions described under "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans" and "--Substitution and Release of Real Property Collateral" in this offering prospectus. In addition, in the case of the underlying mortgage loan identified on Annex A-1 to this offering prospectus as Shopko Portfolio, representing 8.8% of the initial mortgage pool balance and 10.6% of the initial loan group no. 1 balance, and the underlying mortgage loan identified on Annex A-1 to this offering prospectus as Reckon II Office Portfolio, representing 3.2% of the initial mortgage pool balance and 3.8% of the initial loan group no. 1 balance, the related loan documents permit property substitutions, thereby changing the real property collateral, as described under "Description of the Mortgage Pool--Substitution and Release of Real Property Collateral" in this offering prospectus. If the borrower under any mortgage loan that is cross-collateralized with the mortgage loans of other borrowers were to become a debtor in a bankruptcy case, the creditors of that borrower or the representative of that borrower's bankruptcy estate could challenge that borrower's pledging of the underlying mortgaged real property as a fraudulent conveyance. See "Risk Factors--Some Provisions in the Mortgage Loans Underlying Your Offered Certificates May Be Challenged as Being Unenforceable--Cross-Collateralization Arrangements" in the accompanying base prospectus. In addition, when multiple real properties secure an individual mortgage loan or group of cross-collateralized mortgage loans, the amount of the mortgage encumbering any particular one of those properties may be less than the full amount of that individual mortgage loan or group of cross-collateralized mortgage loans, generally to avoid recording tax. This mortgage amount may equal the appraised value or allocated loan amount for the mortgaged real property and will limit the extent to which proceeds from the property will be available to offset declines in value of the other properties securing the same mortgage loan or group of cross-collateralized mortgage loans. INVESTORS MAY WANT TO CONSIDER PRIOR BANKRUPTCIES We are not aware of any mortgage loans that we intend to transfer to the issuing entity where the related borrower, a controlling principal in the related borrower or a guarantor has been a party to prior bankruptcy proceedings within the last 10 years. However, there is no assurance that principals or affiliates of borrowers have not been a party to bankruptcy proceedings. See "Risk Factors--Borrower Bankruptcy Proceedings Can Delay and Impair Recovery on a Mortgage Loan Underlying Your Offered Certificates" in the accompanying base prospectus. In addition, certain tenants at some of the underlying mortgaged real properties are a party to a bankruptcy proceeding. Other tenants may, in the future, be a party to a bankruptcy proceeding. 62 LITIGATION MAY ADVERSELY AFFECT PROPERTY PERFORMANCE There may be pending or threatened legal proceedings against the borrowers and/or guarantors under the underlying mortgage loans, the managers of the related mortgaged real properties and their respective affiliates, arising out of the ordinary business of those borrowers, managers and affiliates. We cannot assure you that litigation will not have a material adverse effect on your investment. See "Risk Factors--Litigation and Other Legal Proceedings May Adversely Affect a Borrower's Ability to Repay Its Mortgage Loan" in the accompanying base prospectus. THE UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIOS AND/OR LOAN-TO-VALUE RATIOS FOR CERTAIN OF THE UNDERLYING MORTGAGE LOANS HAVE BEEN ADJUSTED IN CONSIDERATION OF A CASH HOLDBACK OR A LETTER OF CREDIT OR BASED ON A STABILIZED APPRAISED VALUE With respect to 11 mortgage loans that we intend to transfer to the issuing entity (loan numbers 8, 9, 10, 11, 23, 26, 28, 37, 38, 72 and 120), which collectively represent 7.8% of the initial mortgage pool balance and 9.4% of the initial loan group no. 1 balance, the underwritten net cash flow debt service coverage ratios have, and with respect to one (1) of those 11 mortgage loans (loan number 26), representing 1.2% of the initial mortgage pool balance and 1.4% of the initial loan group no. 1 balance, the cut-off date loan-to-value ratio and the maturity date/ARD loan-to-value ratio have, been calculated and/or presented on an adjusted basis that (a) takes into account various assumptions regarding the financial performance of the related mortgaged real property that are consistent with the respective performance related criteria required to obtain the release of a cash holdback or letter of credit which serves as additional collateral or otherwise covers losses to a limited extent and/or (b) reflects an application of that cash holdback or letter of credit to pay down the subject mortgage loan, with (if applicable) a corresponding reamortization of the monthly debt service payment. With respect to two (2) mortgage loans that we intend to transfer to the issuing entity (loan numbers 37 and 76), representing 1.4% of the initial mortgage pool balance and 1.6% of the initial loan group no. 1 balance, the cut-off date loan-to-value ratio and the maturity date/ARD loan-to-value ratio have been calculated using the "as-stabilized" appraised value rather than the "as-is" appraised value. IF THE RELATED CASH HOLDBACKS, LETTERS OF CREDIT, FINANCIAL PERFORMANCE ASSUMPTIONS OR STABILIZED APPRAISED VALUES WERE NOT TAKEN INTO ACCOUNT IN CALCULATING DEBT SERVICE COVERAGE RATIOS AND/OR LOAN-TO-VALUE RATIOS FOR ANY OF THESE 12 UNDERLYING MORTGAGE LOANS REFERRED TO ABOVE IN THIS PARAGRAPH THEN: (A) THE UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIOS FOR THE MORTGAGE POOL WOULD RANGE FROM 0.85X TO 2.52X, WITH A WEIGHTED AVERAGE OF 1.33X; (B) THE CUT-OFF DATE LOAN-TO-VALUE RATIOS OF THE MORTGAGE POOL WOULD RANGE FROM 39.05% TO 105.35%, WITH A WEIGHTED AVERAGE OF 72.21%; (C) THE MATURITY DATE/ARD LOAN-TO-VALUE RATIOS OF THE MORTGAGE POOL WOULD RANGE FROM 38.07% TO 92.34%, WITH A WEIGHTED AVERAGE OF 64.46%; (D) THE UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIOS FOR LOAN GROUP NO. 1 WOULD RANGE FROM 0.85X TO 2.52X, WITH A WEIGHTED AVERAGE OF 1.34X; (E) THE CUT-OFF DATE LOAN-TO-VALUE RATIOS OF LOAN GROUP NO. 1 WOULD RANGE FROM 39.05% TO 105.35%, WITH A WEIGHTED AVERAGE OF 72.43%; (F) THE MATURITY DATE/ARD LOAN-TO-VALUE RATIOS OF LOAN GROUP NO. 1 WOULD RANGE FROM 38.07% TO 92.34%, WITH A WEIGHTED AVERAGE OF 64.51%; (G) THE UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIOS FOR LOAN GROUP NO. 2 WOULD RANGE FROM 1.15X TO 1.94X WITH A WEIGHTED AVERAGE OF 1.27X; (H) THE CUT-OFF DATE LOAN-TO-VALUE RATIOS OF LOAN GROUP NO. 2 WOULD RANGE FROM 48.15% TO 79.17%, WITH A WEIGHTED AVERAGE OF 71.15%; AND (I) THE MATURITY DATE/ARD LOAN-TO-VALUE RATIOS OF LOAN GROUP 2 WOULD RANGE FROM 40.98% TO 72.28%, WITH A WEIGHTED AVERAGE OF 64.24%. WEIGHTED AVERAGE UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIO, CUT-OFF DATE LOAN-TO-VALUE RATIO AND MATURITY DATE/ARD LOAN-TO-VALUE RATIO INFORMATION FOR THE MORTGAGE POOL (OR PORTIONS THEREOF THAT CONTAIN ANY OF THOSE 12 UNDERLYING MORTGAGE LOANS) SET FORTH IN THIS OFFERING PROSPECTUS REFLECT THE RESPECTIVE ADJUSTMENTS REFERENCED ABOVE. 63 CAPITALIZED TERMS USED IN THIS OFFERING PROSPECTUS From time to time we use capitalized terms in this offering prospectus, including in Annexes A-1, A-2, A-3, A-4, A-5, A-6 and B to this offering prospectus. In cases where a particular capitalized term is frequently used, it will have the meaning assigned to it in the glossary attached to this offering prospectus. FORWARD-LOOKING STATEMENTS This offering prospectus and the accompanying base prospectus include the words "expects," "intends," "anticipates," "estimates" and similar words and expressions. These words and expressions are intended to identify forward-looking statements. Any forward-looking statements are made subject to risks and uncertainties which could cause actual results to differ materially from those stated. These risks and uncertainties include, among other things, declines in general economic and business conditions, increased competition, changes in demographics, changes in political and social conditions, regulatory initiatives and changes in customer preferences, many of which are beyond our control and the control of any other person or entity related to this offering. The forward-looking statements made in this offering prospectus are accurate as of the date stated on the cover of this offering prospectus. We have no obligation to update or revise any forward-looking statement. DESCRIPTION OF THE MORTGAGE POOL GENERAL The assets of the issuing entity, which we collectively refer to in this offering prospectus as the "trust fund", will primarily consist of a pool of multifamily and commercial mortgage loans. Upon initial issuance of the series 2006-C4 certificates, we intend to include the 166 mortgage loans identified on Annex A-1 to this offering prospectus in the trust fund. The mortgage pool consisting of those mortgage loans will have an Initial Mortgage Pool Balance of $2,263,536,038. However, the actual Initial Mortgage Pool Balance may be as much as 5% smaller or larger than that amount if any of those mortgage loans are removed from the mortgage pool or any other mortgage loans are added to the mortgage pool. See "--Changes in Mortgage Pool Characteristics" below. For purposes of calculating distributions on certain classes of the offered certificates, the pool of mortgage loans backing the series 2006-C4 certificates will be divided into a loan group no. 1 and a loan group no. 2. Loan group no. 1 will consist of 134 mortgage loans, with an Initial Loan Group No. 1 Balance of $1,878,218,471 and representing approximately 83.0% of the Initial Mortgage Pool Balance, that are secured by the various property types that constitute collateral for those mortgage loans. Loan group no. 2 will consist of 32 mortgage loans, with an Initial Loan Group No. 2 Balance of $385,317,567 and representing approximately 17.0% of the Initial Mortgage Pool Balance, that are secured by multifamily properties. The "Initial Mortgage Pool Balance" will equal the total cut-off date principal balance of the underlying mortgage loans; the "Initial Loan Group No. 1 Balance" will equal the total cut-off date principal balance of the underlying mortgage loans in loan group no. 1; and the "Initial Loan Group No. 2 Balance" will equal the total cut-off date principal balance of the underlying mortgage loans in loan group no. 2. The cut-off date principal balance of any underlying mortgage loan is equal to its unpaid principal balance as of the cut-off date, after application of all monthly debt service payments due with respect to that mortgage loan on or before that date, whether or not those payments were received. We will transfer each of the underlying mortgage loans, at its 64 respective cut-off date principal balance, to the issuing entity. The cut-off date principal balance of each mortgage loan that we intend to transfer to the issuing entity is shown on Annex A-1 to this offering prospectus. Those cut-off date principal balances range from $721,000 to $200,000,000, and the average of those cut-off date principal balances is $13,635,759. Each of the mortgage loans that we intend to transfer to the issuing entity is an obligation of the related borrower to repay a specified sum with interest. Each of those mortgage loans is evidenced by a promissory note and secured by a mortgage, deed of trust or other similar security instrument that creates a mortgage lien on the fee simple and/or leasehold interest of the related borrower or another party in one or more commercial or multifamily real properties. That mortgage lien will, in all cases, be a first priority lien, subject only to Permitted Encumbrances. You should consider each of the underlying mortgage loans to be a nonrecourse obligation of the related borrower. In the event of a payment default by the related borrower, recourse will be, or you should expect recourse to be, limited to the corresponding mortgaged real property or properties (and any reserves, letters of credit or other additional collateral for the mortgage loan) for satisfaction of that borrower's obligations. In those cases where recourse to a borrower or guarantor is permitted under the related loan documents, we have not undertaken an evaluation of the financial condition of any of these persons. None of the underlying mortgage loans will be insured or guaranteed by any governmental agency or instrumentality. We provide in this offering prospectus a variety of information regarding the mortgage loans that we intend to include in the trust fund. When reviewing this information, please note that: o All numerical information provided with respect to the underlying mortgage loans is provided on an approximate basis. o All weighted average information provided with respect to the underlying mortgage loans or any sub-group thereof reflects a weighting based on their respective cut-off date principal balances. o When information with respect to mortgaged real properties is expressed as a percentage of the Initial Mortgage Pool Balance, the Initial Loan Group No. 1 Balance or the Initial Loan Group No. 2 Balance, the percentages are based upon the cut-off date principal balances of the related underlying mortgage loans or allocated portions of those balances. o Unless specifically indicated otherwise (for example, with respect to loan-to-value and debt service coverage ratios and cut-off date balances per unit of mortgaged real property, in which cases, each ShopKo Portfolio Non-Trust Loan is taken into account), statistical information presented in this offering prospectus with respect the ShopKo Portfolio Mortgage Loan excludes the ShopKo Portfolio Non-Trust Loans. o Unless specifically indicated otherwise, statistical information presented in this offering prospectus with respect to the Wimbledon Place Apartments Mortgage Loan excludes the Wimbledon Place Apartments Non-Trust Loan. o If any of the underlying mortgage loans is secured by multiple mortgaged real properties, a portion of that mortgage loan has been allocated to each of those properties for purposes of providing various statistical information in this offering prospectus. o The general characteristics of the entire mortgage pool backing the offered certificates are not necessarily representative of the general characteristics of either loan group no. 1 or loan group no. 2. The yield and risk of loss on any class of offered certificates may depend on, among other 65 things, the composition of each of loan group no. 1 and loan group no. 2. The general characteristics of each such loan group should also be analyzed when making an investment decision. o Whenever loan-level information, such as loan-to-value ratios or debt service coverage ratios, is presented in the context of the mortgaged real properties, the loan level statistic attributed to a mortgaged real property is the same as the statistic for the related underlying mortgage loan. o Whenever we refer to a particular underlying mortgage loan or mortgaged real property by name, we mean the underlying mortgage loan or mortgaged real property, as the case may be, identified by that name on Annex A-1 to this offering prospectus. Whenever we refer to a particular underlying mortgage loan by loan number, we are referring to the underlying mortgage loan identified by that loan number on Annex A-1 to this offering prospectus. o Statistical information regarding the underlying mortgage loans may change prior to the Issue Date due to changes in the composition of the mortgage pool prior to that date, and the Initial Mortgage Pool Balance may be as much as 5% larger or smaller than indicated. CROSS-COLLATERALIZED MORTGAGE LOANS AND MULTIPLE PROPERTY MORTGAGE LOANS The mortgage pool will include 19 mortgage loans, representing 4.9% of the Initial Mortgage Pool Balance, of which 15 of the mortgage loans are in loan group no. 1, representing 4.4% of the Initial Loan Group No. 1 Balance and four (4) mortgage loans are in loan group no. 2, representing 7.5% of the Initial Loan Group No. 2 Balance, respectively, that are, in each case, cross-collateralized and cross-defaulted with one or more other underlying mortgage loans. The mortgage pool will also include seven (7) mortgage loans, representing 17.0% of the Initial Mortgage Pool Balance, of which six (6) of the mortgage loans are in loan group no. 1, representing 19.8% of the Initial Loan Group No. 1 Balance and one (1) of the mortgage loans in loan group no. 2, representing 3.2% of the Initial Loan Group No. 2 Balance, that are, in each case, without regard to any cross-collateralization with any other underlying mortgage loan, secured by two or more mortgaged real properties. The amount of the mortgage lien encumbering any particular one of the related mortgaged real properties may be less than the full amount of the subject Multiple Property Mortgage Loan or Crossed Group, as the case may be, generally to minimize mortgage recording tax. The mortgage amount may be an amount based on the appraised value or allocated loan amount for the particular mortgaged real property. This would limit the extent to which proceeds from that property would be available to offset declines in value of the other mortgaged real properties securing the same Multiple Property Mortgage Loan or Crossed Group, as the case may be. 66 The following table identifies the various individual Multiple Property Mortgage Loans and Crossed Groups that we will include in the trust fund. CROSS-COLLATERALIZED MORTGAGE LOAN GROUPS AND MULTIPLE PROPERTY MORTGAGE LOANS % OF INITIAL % OF INITIAL MULTIPLE PROPERTY LOAN CUT-OFF DATE MORTGAGE LOAN GROUP NO. 1/2 LOAN/PROPERTY NAME(S) MORTGAGE LOAN/CROSSED GROUP GROUP PRINCIPAL BALANCE POOL BALANCE BALANCE -------------------------------------- --------------------------- ----- ----------------- ------------ ------------------ 1. ShopKo Portfolio Multiple Property 1 $200,000,000 8.8% 10.6% 2. Reckson II Office Portfolio Multiple Property 1 72,000,000 3.2 3.8 3. Great Wolf Resorts Portfolio Multiple Property 1 63,000,000 2.8 3.4 4. SpringHill Suites - North Shore Crossed Group 1 19,762,500 0.9 1.1 Holiday Inn Express - South Side Crossed Group 1 9,487,500 0.4 0.5 Holiday Inn Express - Bridgeville Crossed Group 1 4,670,000 0.2 0.2 Comfort Inn - Meadowlands Crossed Group 1 4,350,000 0.2 0.2 5. Sara Road 300 Crossed Group 1 9,615,000 0.4 0.5 JCG III Crossed Group 1 7,623,000 0.3 0.4 Liberty Business Park Crossed Group 1 6,763,000 0.3 0.4 Sara Road 80 Crossed Group 1 6,340,000 0.3 0.3 JCG V Crossed Group 1 4,131,000 0.2 0.2 6100 Center Crossed Group 1 1,510,000 0.1 0.1 Beverly Terrace Crossed Group 1 1,297,000 0.1 0.1 JCG IV Crossed Group 1 721,000 0.0(1) 0.0(1) 6. Beau Rivage Apartments 192 Crossed Group 2 8,879,000 0.4 2.3 Beau Rivage Apartments 132 Crossed Group 2 5,846,000 0.3 1.5 7. Autumnwood Apartments Crossed Group 2 7,063,125 0.3 1.8 Silvercreek Apartments Crossed Group 2 7,063,125 0.3 1.8 8. Marriott Fairfield Inn & Suites Alpharetta Portfolio Multiple Property 1 13,257,089 0.6 0.7 9. Stonehenge Apartments Multiple Property 2 12,305,040 0.5 3.2 10. Marriott Fairfield Inn & Suites Buckhead Portfolio Multiple Property 1 11,679,815 0.5 0.6 11. Marriott Fairfield Inn & Suites Atlanta Portfolio Multiple Property 1 11,589,970 0.5 0.6 12. United Supermarket - Lubbock, TX Crossed Group 1 3,583,130 0.2 0.2 Advance Auto Parts - Cleveland, OH Crossed Group 1 1,120,980 0.0(1) 0.1 Advance Auto Parts - Denton Township, MI Crossed Group 1 1,015,890 0.0(1) 0.1 ---------- (1) Represents less than 0.1% of the Initial Mortgage Pool Balance or Initial Loan Group No. 1/2 Balance. For a discussion regarding the possible release and/or substitution of any mortgaged real property securing a Multiple Property Mortgage Loan or a Crossed Group, see "--Substitution and Release of Real Property Collateral" below. SUBSTITUTION AND RELEASE OF REAL PROPERTY COLLATERAL Certain of the Multiple Property Mortgage Loans and Crossed Groups that we intend to include in the trust fund entitle the related borrowers to obtain a release of one or more of the corresponding mortgaged real properties from the related lien and/or a corresponding termination of the related cross-collateralization arrangement, subject, in each case, to the fulfillment of one or more of the following conditions, among others: 67 o the pay down or defeasance of the mortgage loan(s) in an amount equal to a specified percentage, which is usually 100% to 125%, of the portion of the total loan amount allocated to the property or properties to be released; o the satisfaction of debt service coverage and/or loan-to-value tests for the property or properties that will remain as collateral for the subject mortgage loan(s); and/or o receipt by the lender of confirmation from each applicable rating agency that the action will not result in a qualification, downgrade or withdrawal of any of the then-current ratings of the offered certificates. The loan documents for one (1) group of cross-collateralized and cross-defaulted mortgage loans that we intend to include in the trust fund, which is comprised of four (4) mortgage loans in loan group no. 1 that collectively represent 1.7% of the initial mortgage pool balance and 2.0% of the Initial Loan Group No. 1 Balance, respectively, entitle the related borrower(s) to obtain a corresponding termination of the subject cross-collateralization, subject to certain conditions, including, without limitation, (a) no event of default has occurred and is continuing and (b) the 12 month trailing debt service coverage ratio with respect to each related mortgaged real property is not less than 1.35x (except that the mortgaged real property identified in Annex A-1 of the offering prospectus as Holiday Inn Express--Bridgeville mortgaged real property must maintain a debt service coverage ratio of 1.40x) at actual loan constant of 7.64%, as reasonably determined by lender. In the case of the ShopKo Portfolio Mortgage Loan, the related borrower may obtain a release of any of the related mortgaged real properties by substituting another retail property of like kind and quality, subject to satisfaction of the following conditions, among others: (a) the aggregate combined amount (by square foot) of rentable space (expressed as a percentage of the total rentable space) that can be substituted may not exceed 20% in any one calendar year and 30% over the term of the related operating leases at the ShopKo Portfolio mortgaged real properties; (b) based on a current appraisal of the replaced property and the substitute property, the appraised value of the substitute property must be equal to or greater than the appraised value of the replaced property as of origination and immediately prior to the date of proposed substitution; (c) based on a certificate of the related borrower, together with other evidence that would be satisfactory to a prudent institutional mortgage loan lender, after the substitution of a substitute property and the release of the replaced property, the debt service coverage ratio for the 12 full calendar months immediately preceding the date of the substitution with respect to all properties remaining subject to the lien of the related mortgage instrument after the substitution will be equal to or greater than the (i) debt service coverage ratio for the 12 full calendar months immediately preceding the origination date and (ii) debt service coverage ratio for the 12 full calendar months immediately preceding the substitution (including the replaced property and excluding the substitute property); (d) after individual properties with an aggregate square footage of at least ten percent (10%) of the original square footage demised under the related operating leases have been released, if the ShopKo Portfolio Mortgage Loan is part of a securitization, the lender shall have received confirmation in writing from the rating agencies to the effect that such release and substitution will not result in a withdrawal, qualification or downgrade of the respective ratings in effect immediately prior to such release and substitution for the securities issued in connection with the securitization that are then outstanding; (e) the lender has received evidence that the store-level profitability as set forth in the P&L report of the substitute property is equal to or greater than the store-level profitability of the replaced property as set forth in the P&L report for the immediately preceding 12-month period; and (f) no event of default shall have occurred and be continuing and borrower shall be in compliance in all material respects with all terms and conditions set forth in the loan documents. In the case of the Reckson II Office Portfolio underlying mortgage loan, which represents 3.2% of the Initial Mortgage Pool Balance and 3.8% of the Initial Loan Group No. 1 Balance, the related loan documents permit the borrower to obtain the release of an individual property from the lien of the mortgage by simultaneously substituting another property for the released property, subject to the satisfaction of certain 68 conditions, including, among other things, that: (i) no substitution will be permitted until the date after which defeasance is permitted has passed or if any event of default has occurred; (ii) confirmation must be obtained from the applicable rating agencies that the then current ratings of the offered certificates will not be downgraded, withdrawn or qualified as a result of the substitution; (iii) the related borrower must deliver to the lender a current appraisal for the substitute property and a current appraisal for the released property; (iv) the debt service coverage ratio must be equal to or greater than the greater of (A) 95% of the debt-service-coverage ratio for the properties immediately prior to the substitution and (B) 1.50x; (v) the loan-to-value ratio may not be in excess of the lesser of (X) 105% of the loan-to-value ratio for the properties immediately prior to the substitution and (Y) 55%; and (vi) after giving effect to the substitution, the geographic concentrations and general use of the properties may not have materially changed. The borrower is not permitted more than three (3) substitutions during the entire term of the Reckson II Office Portfolio underlying mortgage loan, and the aggregate allocated loan amounts of the released properties for all substitutions during the entire term of the Reckson II Office Portfolio underlying mortgage loan may not exceed 35% of the original principal balance of the Reckson II Office Portfolio underlying mortgage loan. Also in the case of the Reckson II Office Portfolio underlying mortgage loan, the loan documents provide for the release of any one or more properties upon a sale of such property to a bona fide third-party purchaser, subject to the satisfaction of certain conditions, including among others, that (i) no event of default has occurred and is continuing, (ii) the debt-service-coverage ratio of the remaining properties is equal to or greater than the greater of (A) 95% of the properties calculated immediately prior to the partial release and (B) 1.50x, and (iii) the loan must be partially defeased in the amount of 110% of the allocated loan amount for the released property as a condition to such release. In addition to the foregoing, with respect to the mortgaged real property identified as the 55 Charles Lindberg property, a portion of such property consisting of approximately 6.555 acres may be released without the payment of any release price or defeasance upon satisfaction of certain conditions, including, among others, that (a) the release partial is legally subdivided, (b) the release parcel may not be owned by any borrower of the Reckson II Office Portfolio underlying mortgage loan, and (c) the existing ground lease with respect to the 55 Charles Lindberg mortgaged real property must be amended to remove the released portion and there shall be a pro rata reduction in the ground lease rent. In the case of one (1) mortgage loan that we intend to include in the trust fund, representing 5.9% of the Initial Mortgage Pool Balance and 7.1% of the Initial Loan Group No. 1 Balance, the loan documents provide for the release of a portion of the related mortgaged property consisting of a surface parking lot containing 317 parking spaces in connection with the development of a parking garage and other improvements on the released parcel upon satisfaction of certain conditions as set forth in the loan documents, including, without limitation: (i) the to be built parking garage shall contain no less than 317 parking spaces or a greater number of spaces in order to comply with applicable parking requirements which are dedicated for the exclusive use of the remaining mortgaged property; (ii) the delivery of an endorsement to the lender's title insurance policy insuring that lender will continue to have a first lien against the remaining property; and (iii) the remaining property shall not be in violation of any zoning, land use, subdivision, or other law, statute, ordinance, rule, regulation, or requirement of any governmental authority having jurisdiction, including, but not limited to, any applicable setback or parking requirement or render all or any part of the remainder of the property a nonconforming use thereunder. In the case of one (1) mortgage loan that we intend to include in the trust fund, representing 2.8% of the Initial Mortgage Pool Balance and 3.4% of the Initial Loan Group No. 1 Balance, the loan documents provide for the release of the Sandusky, Ohio mortgaged property upon satisfaction of certain conditions contained in the related loan documents, including, without limitation, that (i) no event of default has occurred and is continuing, (ii) the loan-to-value ratio of the remaining property shall not exceed 55%, (iii) the debt-service coverage ratio following the release shall be equal to or greater than (A) the debt service coverage ratio immediately prior to the release date, or (B) 1.65x, and (iv) the partial defeasance of the Great Wolf Resorts Loan in the amount of 115% of the allocated loan amount for the Sandusky, Ohio mortgaged real property. 69 In the case of one (1) mortgage loan that we intend to include in the trust fund, representing 0.5% of the Initial Mortgage Pool Balance and 3.2% of the Initial Loan Group No. 2 Balance, the loan documents provide for the release of any one mortgaged property, subject to satisfaction of certain conditions in loan documents, including, among other things, that (i) the debt service coverage ratio following the release may not be less than the debt service coverage ratio immediately prior to the release date, (ii) the loan-to-value ratio of the remaining property may not exceed 80%, and (iii) the delivery of a rating agency confirmation providing that the then current ratings of the offered certificates will not be downgraded, withdrawn or qualified as a result of the release. In the case of one (1) mortgage loan that we intend to include in the trust fund, representing 0.5% of the Initial Mortgage Pool Balance and 0.6% of the Initial Loan Group No. 1 Balance, the loan documents provide for the release of the Taco Bell Parcel upon satisfaction of certain conditions set forth in the loan documents, including among other things, that (a) the related borrower must either fund a reserve in the sum of $1,500,000, or must effect a partial defeasance per the loan documents by, among other things, paying to the lender the sum of $638,216, (b) the remaining mortgaged real property must support a loan-to-value ratio of no greater than 75% and a debt service coverage ratio of 1.31x, and (c) the related borrower must deliver to the lender all due diligence items necessary to evidence perfection and priority of the mortgage lien on the remaining mortgaged real property. Additionally, the loan documents permit the release of the Wendy's Parcel upon satisfaction of certain conditions set forth in the loan documents, including, that (a) the related borrower must either fund a reserve in the sum of the greater of $605,631 or the consideration paid by Wendy's for the exercise of its right of first refusal, or must effect a Wendy's Defeasance per the loan documents by, among other things, paying to the lender the sum of $605,631, (b) the remaining mortgaged real property must support a loan-to-value ratio of no greater than 75% and a debt service coverage ratio of at least 1.31x, and (c) and the related borrower must deliver to the lender all due diligence items necessary to evidence perfection and priority of the remaining mortgaged real property. Some of the mortgage loans that we intend to include in the trust fund may permit the release of one or more undeveloped or non-income producing parcels or outparcels that, in each such case, do not represent a significant portion of the appraised value of the related mortgaged real property, or have been excluded from the appraised value of the related mortgaged real property, which appraised value is shown on Annex A-1 to this offering prospectus. MORTGAGE LOANS WITH AFFILIATED BORROWERS Twenty-three (23) separate groups of mortgage loans that we intend to include in the trust fund, consisting of a total of 66 mortgage loans, and representing a total of 34.8% of the Initial Mortgage Pool Balance, of which 58 mortgage loans are in loan group no. 1, representing 37.5% of the Initial Loan Group No. 1 Balance, and eight (8) mortgage loans are in loan group no. 2, representing 21.9% of the Initial Loan Group No. 2 Balance, have borrowers that, in the case of the mortgage loans contained within a particular group, are related such that they have at least one controlling project sponsor or principal in common. The table below shows each group of mortgaged real properties that: (a) are owned by the same or affiliated borrowers; and (b) secure in total two or more mortgage loans that may or may not be cross-collateralized and that represent in the aggregate at least 1.0% of the Initial Mortgage Pool Balance. See Annex A-1 for identification of additional affiliated borrower groupings. 70 MORTGAGE LOANS WITH AFFILIATED BORROWERS % OF INITIAL % OF INITIAL CUT-OFF DATE LOAN MORTGAGE LOAN GROUP NO. 1/2 PROPERTY/PORTFOLIO NAME(S) PRINCIPAL BALANCE GROUP POOL BALANCE BALANCE --------------------------------------------------------- ----------------- ----- ------------ ------------------ 1. ShopKo Portfolio $200,000,000 1 8.8% 10.6% United Supermarket - Plainview, TX 4,753,132 1 0.2 0.3 2. Marriott Fairfield Inn & Suites Alpharetta Portfolio 13,257,089 1 0.6 0.7 Marriott Fairfield Inn & Suites Buckhead Portfolio 11,679,815 1 0.5 0.6 Marriott Fairfield Inn & Suites Atlanta Portfolio 11,589,970 1 0.5 0.6 Northbelt Office Center II 14,500,000 1 0.6 0.8 3. Milestone 19,900,000 1 0.9 1.1 Virginia Gateway 19,815,000 1 0.9 1.1 Washingtonian Center 11,150,000 1 0.5 0.6 4. Locke Drive 19,900,000 1 0.9 1.1 Collier Health Park 17,120,000 1 0.8 0.9 1210-1230 Washington Street 12,300,000 1 0.5 0.7 5. DuBois Mall 32,812,500 1 1.4 1.7 La Quinta Inn Winter Park 6,892,202 1 0.3 0.4 6. SpringHill Suites - North Shore 19,762,500 1 0.9 1.1 Holiday Inn Express - South Side 9,487,500 1 0.4 0.5 Holiday Inn Express - Bridgeville 4,670,000 1 0.2 0.2 Comfort Inn - Meadowlands 4,350,000 1 0.2 0.2 7. Sara Road 300 9,615,000 1 0.4 0.5 JCG III 7,623,000 1 0.3 0.4 Liberty Business Park 6,763,000 1 0.3 0.4 Sara Road 80 6,340,000 1 0.3 0.3 JCG V 4,131,000 1 0.2 0.2 6100 Center 1,510,000 1 0.1 0.1 Beverly Terrace 1,297,000 1 0.1 0.1 JCG IV 721,000 1 0.0(1) 0.0(1) 8. Mallard Crossing Apartments 22,167,000 2 1.0 5.8 Four Winds Apartments 14,800,000 2 0.7 3.8 9. Bossier Corners 22,500,000 1 1.0 1.2 State & Perryville Shopping Center 12,850,000 1 0.6 0.7 10. 60 Frontage Road 14,500,000 1 0.6 0.8 The Minolta Building 9,300,000 1 0.4 0.5 Alfa Laval Building 9,100,000 1 0.4 0.5 11. Hilton Garden Inn - Glen Allen, VA 15,558,230 1 0.7 0.8 Courtyard by Marriott - Huntersville, NC 9,429,934 1 0.4 0.5 Holiday Inn - Lumberton, NC 5,964,650 1 0.3 0.3 12. Aurora - Wilkinson Medical Clinic (Hartland) 8,200,000 1 0.4 0.4 Aurora - Edgerton Health Center 7,240,000 1 0.3 0.4 Aurora - Bluemond Health Center 5,840,000 1 0.3 0.3 Aurora - Airport Health Center 5,120,000 1 0.2 0.3 13. Desert Inn Office Center 15,540,000 1 0.7 0.8 Riverfront Business Park 8,400,000 1 0.4 0.4 ---------- (1) Represents less than 0.1% of the Initial Mortgage Pool Balance or Initial Loan Group No. 1/2 Balance. 71 SIGNIFICANT UNDERLYING MORTGAGE LOANS Set forth on Annex B to this offering prospectus are summary descriptions (including a presentation of selected loan and property information) of the 10 largest mortgage loans and/or groups of cross-collateralized mortgage loans that we intend to include in the trust fund and a presentation of selected loan and property information with respect to the next five largest mortgage loans and/or groups of cross-collateralized mortgage loans that we intend to include in the trust fund. The following table shows certain characteristics of the 10 largest mortgage loans and/or groups of cross-collateralized mortgage loans that we intend to include in the trust fund, by cut-off date principal balance. CUT-OFF DATE MORTGAGE LOAN PRINCIPAL MORTGAGE LOAN NAME LOAN SELLER PROPERTY TYPE GROUP STATE BALANCE ------------------------- ------------ ------------------ ----- ------- ------------ Retail, 1. ShopKo Portfolio CGM and BCRE Industrial, Office 1 Various $200,000,000 2. Olen Pointe Brea Office Park CGM Office 1 CA 133,000,000 3. Reston Executive Center CGM Office 1 VA 93,000,000 4. Reckson II Office Portfolio CGM Office 1 NY, NJ 72,000,000 5. Great Wolf Resorts Portfolio CGM Hospitality 1 OH, WI 63,000,000 6. Emerald Isle Senior Apartments PNC Multifamily 2 CA 55,000,000 7. 20 North Orange CGM Office 1 FL 42,695,000 8. Kratsa Portfolio CGM Hospitality 1 PA 38,270,000 9. GT Portfolio CGM Office, Industrial 1 OK 38,000,000 10. Flower Hill PNC Retail 1 CA 36,500,000 Promenade ------------ TOTAL/WTD. AVG $771,465,000 ------------ CUT-OFF % OF DATE % OF INITIAL CUT-OFF PRINCIPAL INITIAL LOAN DATE BALANCE MORTGAGE GROUP U/W LOAN-TO PER POOL No. 1/2 NCF VALUE MORTGAGE LOAN NAME SF/UNIT BALANCE BALANCE DSCR RATIO ------------------------- --------- -------- ------- ----- ------- 1. ShopKo Portfolio $ 50(1) 8.8% 10.6% 1.51x 76.39% 2. Olen Pointe Brea Office Park 209 5.9 7.1 1.22 70.74 3. Reston Executive Center 191 4.1 5.0 1.38 72.66 4. Reckson II Office Portfolio 79 3.2 3.8 2.26 49.52 5. Great Wolf Resorts Portfolio 108,621 2.8 3.4 1.74 52.28 6. Emerald Isle Senior Apartments 130,332 2.4 14.3 1.23 69.18 7. 20 North Orange 158 1.9 2.3 1.20 74.64 8. Kratsa Portfolio 82,657 1.7 2.0 1.31 74.53 9. GT Portfolio 44 1.7 2.0 1.21 79.90 10. Flower Hill 346 1.6 1.9 1.24 75.09 Promenade ---- TOTAL/WTD. AVG 34.1% 1.44x 69.90% ---- ---------- (1) Calculated based on the unpaid principal balance as of the cut-off date for the entire ShopKo Portfolio Loan Combination. TERMS AND CONDITIONS OF THE UNDERLYING MORTGAGE LOANS Due Dates. Subject, in some cases, to a next business day convention: o One hundred thirty-four (134) of the mortgage loans that we intend to include in the trust fund, representing 66.6% of the Initial Mortgage Pool Balance, of which 111 mortgage loans are in loan group no. 1, representing 65.2% of the Initial Loan Group No. 1 Balance, and 23 mortgage loans are in loan group no. 2, representing 73.1% of the Initial Loan Group No. 2 Balance, provide for scheduled payments of principal and/or interest to be due on the eleventh day of each month; o Twenty-nine (29) of the mortgage loans that we intend to include in the trust fund, representing 17.3% of the Initial Mortgage Pool Balance, of which 20 mortgage loans are in loan group no. 1, representing 15.3% of the Initial Loan Group No. 1 Balance, and nine (9) mortgage loans are in loan group no. 2, representing 26.9% of the Initial Loan Group No. 2 Balance, provide for scheduled payments of principal and/or interest to be due on the first day of each month; 72 o One (1) of the mortgage loans that we intend to include in the trust fund, representing 8.8% of the Initial Mortgage Pool Balance and 10.6% of the Initial Loan Group No. 1 Balance, provide for scheduled payments of principal and/or interest to be due on the fifth day of each month; and o Two (2) of the mortgage loans that we intend to include in the trust fund, representing 7.3% of the Initial Mortgage Pool Balance and 8.8% of the Initial Loan Group No. 1 Balance, provide for scheduled payments of principal and/or interest to be due on the ninth day of each month. Mortgage Rates; Calculations of Interest. In general, each of the mortgage loans that we intend to include in the trust fund bears interest at a mortgage rate that, in the absence of default, is fixed until maturity. However, as described under "--ARD Loans" below, each ARD Loan will accrue interest after its anticipated repayment date at a rate that is in excess of its mortgage rate prior to that date. With respect to two (2) mortgage loans secured by mortgaged real properties identified on Annex A-1 to this offering prospectus as Mallard Crossing Apartments and Four Winds Apartments, representing 1.6% of the Initial Mortgage Pool Balance and 9.6% of the Initial Loan Group No. 2 Balance, the respective mortgage rates step up annually from the initial mortgage rate during the first seven (7) years of the loan term. With respect to the Mallard Crossing Apartments Loan, the initial mortgage rate is 4.4350% per annum through the December 2006 payment date; 4.6850% per annum from the January 2007 through the December 2007 payment date; 4.8100% per annum from the January 2008 through the December 2008 payment date; 4.9350% per annum from the January 2009 through the December 2009 payment date; 5.1850% per annum from the January 2010 through the December 2010 payment date; 5.3100% per annum from the January 2011 through the December 2011 payment date; 5.4350% per annum from the January 2012 through the December 2012 payment date; and 5.6850% per annum for all payment dates thereafter. With respect to the Four Winds Apartments Loan, the initial mortgage rate is 4.3750% per annum through the January 2007 payment date; 4.6250% per annum from the February 2007 through the January 2008 payment date; 4.7500% per annum from the February 2008 through the January 2009 payment date; 4.8750% per annum from the February 2009 through the January 2010 payment date; 5.1250% per annum from the February 2010 through the January 2011 payment date; 5.2500% per annum from the February 2011 through the January 2012 payment date; 5.3750% per annum from the February 2012 through the January 2013 payment date; and 5.6250% per annum for all payment dates thereafter. The current mortgage rate for each of the mortgage loans that we intend to include in the trust fund is shown on Annex A-1 to this offering prospectus. As of the cut-off date, those mortgage rates ranged from 4.3750% per annum to 7.5600% per annum, and the weighted average of those mortgage rates was 5.7620% per annum. As of the cut-off date the mortgage rates for the mortgage loans in loan group no. 1 ranged from 5.2300% per annum to 6.6500% per annum, and the weighted average of those mortgage rates was 5.8120% per annum. As of the cut-off date the mortgage rates for the mortgage loans in loan group no. 2 ranged from 4.3750% per annum to 7.5600% per annum, and the weighted average of those mortgage rates was 5.5181% per annum. Except if an ARD Loan remains outstanding past its anticipated repayment date, none of the mortgage loans that we intend to include in the trust fund provides for negative amortization or for the deferral of interest. All of the underlying mortgage loans will accrue interest on an Actual/360 Basis. Balloon Loans. One hundred fifty (150) of the mortgage loans that we intend to include in the trust fund, representing 95.7% of the Initial Mortgage Pool Balance, of which 118 mortgage loans are in loan group no. 1, representing 94.8% of the Initial Loan Group No. 1 Balance, and 32 mortgage loans are in loan group no. 2, representing 100.0% of the Initial Loan Group No. 2 Balance, are in each case characterized by: 73 o an amortization schedule that is significantly longer than the actual term of the mortgage loan or for no amortization prior to stated maturity; and o a substantial payment, or balloon payment, being due with respect to the mortgage loan on its stated maturity date. Nine (9) of the balloon mortgage loans that we intend to include in the trust fund, representing 10.5% of the Initial Mortgage Pool Balance, of which seven (7) mortgage loans are in loan group no. 1, representing 11.0% of the Initial Loan Group No. 1 Balance, and two (2) mortgage loans are in loan group no. 2, representing 7.8% of the Initial Loan Group No. 2 Balance, provide for payments of interest only until maturity. Another 81 of the balloon mortgage loans that we intend to include in the trust fund, representing 54.9% of the Initial Mortgage Pool Balance, of which 63 mortgage loans are in loan group no. 1, representing 51.5% of the Initial Loan Group No. 1 Balance, and 18 mortgage loans are in loan group no. 2, representing 71.1% of the Initial Loan Group No. 2 Balance, provide for payments of interest only for periods ranging from the first 12 to the first 84 payments following origination and prior to amortization. ARD Loans. Sixteen (16) mortgage loans that we intend to include in the trust fund, representing 4.3% of the Initial Mortgage Pool Balance and 5.2% of the Initial Loan Group No. 1 Balance, respectively, are each characterized by the following features: o A maturity date that is generally 25 to 30 years following origination. o The designation of an anticipated repayment date that is generally 10 to 15 years following origination. The anticipated repayment date for each ARD Loan is listed on Annex A-1 to this offering prospectus. o The ability of the related borrower to prepay the mortgage loan, without restriction, including without any obligation to pay a prepayment premium or a yield maintenance charge, at any time on or after a date that is generally no earlier than two (2) to four (4) months prior to the related anticipated repayment date. o Until its anticipated repayment date, the calculation of interest at its initial mortgage rate. o From and after its anticipated repayment date, the accrual of interest at a revised annual rate that will be at least two percentage points in excess of its initial mortgage rate. o The deferral of any additional interest accrued with respect to the mortgage loan from and after the related anticipated repayment date at the difference between its revised mortgage rate and its initial mortgage rate. This Post-ARD Additional Interest may, in some cases, to the extent permitted by applicable law, compound at the new revised mortgage rate. Any Post-ARD Additional Interest accrued with respect to the mortgage loan following its anticipated repayment date will not be payable until the entire principal balance of the mortgage loan has been paid in full. o From and after its anticipated repayment date, the accelerated amortization of the mortgage loan out of any and all monthly cash flow from the corresponding mortgaged real property that remains after payment of the applicable monthly debt service payments and permitted operating expenses and capital expenditures and the funding of any required reserves. These accelerated amortization payments and the Post-ARD Additional Interest are considered separate from the monthly debt service payments due with respect to the mortgage loan. 74 Eleven (11) of the ARD Loans that we intend to include in the trust fund, representing 3.0% of the Initial Mortgage Pool Balance and 3.6% of the Initial Loan Group No. 1 Balance, respectively, provide for payments of interest only for the periods ranging from the first 36 to the first 60 payments following origination. In the case of each of the ARD Loans that we intend to include in the trust fund, the related borrower has either entered into a cash management agreement or has agreed to enter into a cash management agreement on or prior to the anticipated repayment date if it has not previously done so. The related borrower or the manager of the corresponding mortgaged real property will be required under the terms of that cash management agreement to deposit or cause the deposit of all revenue from that property received after the anticipated repayment date into a lockbox account designated by the lender under the loan documents for the related ARD Loan. Prepayment Provisions. General. All of the mortgage loans that we intend to include in the trust fund provide for one or more of the following: o a prepayment lock-out period, during which the principal balance of a mortgage loan may not be voluntarily prepaid in whole or in part; o a defeasance period, during which voluntary principal prepayments are still prohibited, but the related borrower may obtain a release of the related mortgaged real property through defeasance, and o a prepayment consideration period, during which voluntary prepayments are permitted, subject to the payment of a yield maintenance premium or other additional consideration for the prepayment. The prepayment terms of each of the mortgage loans that we intend to include in the trust fund are set forth in Annex A-1 to this offering prospectus. Generally, the prepayment restrictions relating to each of the underlying mortgage loans do not apply to prepayments arising out of a casualty or condemnation of the corresponding mortgaged real property. Prepayments of this type are generally not required to be accompanied by any prepayment consideration. In addition, several of the mortgage loans that we intend to include in the trust fund also permit the related borrower to prepay the entire principal balance of the mortgage loan remaining, without prepayment consideration, after application of insurance proceeds or a condemnation award to a partial prepayment of the mortgage loan, provided that such prepayment of the entire principal balance is made within a specified time period following the date of such application. In the case of certain mortgage loans, if the entire principal balance is not prepaid, the monthly principal and interest payment is reduced to reflect the smaller principal balance. Also notwithstanding the foregoing prepayment restrictions, prepayments may occur in connection with loan defaults and, in certain cases, out of cash holdbacks where certain conditions relating to the holdback have not been satisfied. Prepayment premiums and/or yield maintenance charges may not be collectable in connection with prepayments of this type. The aggregate characteristics of the prepayment provisions of the underlying mortgage loans will vary over time as: 75 o lock-out periods expire and mortgage loans enter periods during which prepayment consideration may be required in connection with principal prepayments and, thereafter, enter open prepayment periods; and o mortgage loans are prepaid, repurchased, replaced or liquidated following a default or as a result of a delinquency. Prepayment Lock-Out or Prepayment Lock-Out/Defeasance Periods. As of the cut-off date, an initial prepayment lock-out period is currently in effect for all of the mortgage loans that we intend to include in the trust fund. With respect to 152 of the underlying mortgage loans for which a prepayment lock-out period is currently in effect, collectively representing 92.1% of the Initial Mortgage Pool Balance, of which 123 mortgage loans are in loan group no. 1, representing 93.9% of the Initial Loan Group No. 1 Balance, and 29 mortgage loans are in loan group no. 2, representing 83.0% of the Initial Loan Group No. 2 Balance, respectively, the initial prepayment lock-out period is followed by a defeasance period during which principal prepayments are still prohibited. In no event will the defeasance period for any of those 152 mortgage loans begin earlier than the second anniversary of the Issue Date. Set forth below is information regarding the remaining terms of the prepayment lock-out and prepayment lock-out/defeasance periods, as applicable, for the underlying mortgage loans for which a prepayment lock-out period is currently in effect: o the maximum remaining prepayment lock-out or prepayment lock-out/defeasance period as of the cut-off date is 175 months with respect to the entire mortgage pool, 173 months with respect to loan group no. 1 and 175 months with respect to loan group no. 2, o the minimum remaining prepayment lock-out or prepayment lock-out/defeasance period as of the cut-off date is 24 months with respect to the entire mortgage pool, 24 months with respect to loan group no. 1 and 48 months with respect to loan group no. 2, and o the weighted average remaining prepayment lock-out or prepayment lock-out/defeasance period as of the cut-off date is 104 months with respect to the entire mortgage pool, 106 months with respect to loan group no. 1 and 98 months with respect to loan group no. 2. Notwithstanding the foregoing, a purchase option exists with respect to the ShopKo Portfolio Mortgaged Property located at 7401 Mineral Point Road, Madison, Wisconsin. If that option is exercised before the permitted defeasance date, the ShopKo Portfolio Loan Combination will be subject to prepayment (together with a yield maintenance payment) in an amount equal to the greater of (i) 100% of the allocated loan amount and (ii) the price received by the related borrower in connection with the exercise of the purchase option. Prepayment Consideration. Fourteen (14) of the mortgage loans that we intend to include in the trust fund, representing 7.9% of the Initial Mortgage Pool Balance, of which 11 mortgage loans are in loan group no. 1, representing 6.1% of the Initial Loan Group No. 1 Balance, and three (3) mortgage loans are in loan group no. 2, representing 17.0% of the Initial Loan Group No. 2 Balance, each provide for the payment of prepayment consideration in connection with a voluntary prepayment during part of the loan term, commencing at origination or at the expiration of an initial prepayment lock-out period. That prepayment consideration is calculated on the basis of a yield maintenance formula or a yield maintenance formula plus an additional specified percentage of the principal amount prepaid, that is, in some cases, subject to a minimum amount equal to a specified percentage of the principal amount prepaid. 76 One (1) of those 14 mortgage loans referred to above, representing 0.3% of the initial mortgage pool balance and 0.3% of the Initial Loan Group No. 1 Balance, provides that during its prepayment consideration period, the borrower may elect to defease the mortgage loan. Prepayment consideration received on the underlying mortgage loans, whether in connection with voluntary or involuntary prepayments, will be allocated and paid to the series 2006-C4 certificateholders in the amounts and in accordance with the priorities, described under "Description of the Offered Certificates--Payments--Payments of Prepayment Premiums and Yield Maintenance Charges" in this offering prospectus. Certain limitations exist under applicable state law on the enforceability of the provisions of the underlying mortgage loans that require payment of prepayment premiums or yield maintenance charges. Neither we nor any of the underwriters and/or mortgage loan sellers makes any representation or warranty as to the collectability of any prepayment premium or yield maintenance charge with respect to any of those mortgage loans. See "Legal Aspects of Mortgage Loans--Default Interest and Limitations on Prepayments" in the accompanying base prospectus. Proceeds received in connection with the liquidation of any defaulted mortgage loan in the trust fund may be insufficient to pay any prepayment premium or yield maintenance charge due in connection with such involuntary prepayment. Open Prepayment Periods. All of the mortgage loans that we intend to include in the trust fund provide for an open prepayment period, during which voluntary principal prepayments may be made without any prepayment consideration. That open prepayment period generally begins not more than seven (7) months prior to stated maturity or, in the case of an ARD Loan, prior to the related anticipated repayment date. Defeasance Loans. One hundred fifty-two (152) of the mortgage loans that we intend to include in the trust fund, representing 92.1% of the Initial Mortgage Pool Balance, of which 123 mortgage loans are in loan group no. 1, representing 93.9% of the Initial Loan Group No. 1 Balance, and 29 mortgage loans are in loan group no. 2, representing 83.0% of the Initial Loan Group No. 2 Balance, each permit the related borrower to deliver U.S. Treasury obligations or other government-related securities as substitute collateral for all or a portion of the related mortgaged real property, but prohibit voluntary prepayments during the defeasance period. Each of these mortgage loans permits the related borrower, during specified periods and subject to specified conditions, to pledge to the holder of the mortgage loan the requisite amount of U.S. Treasury obligations or other government securities and obtain a full or partial release of the mortgaged real property or properties. In general, the U.S. Treasury obligations or other government securities that are to be delivered in connection with the defeasance of any mortgage loan must provide for a series of payments that: o will be made on or prior, but as closely as possible, to all successive due dates through and including the maturity date (or, in some cases, through and including the beginning of the subject mortgage loan's open prepayment period); and o will, in the case of each due date, be in a total amount equal to or greater than the monthly debt service payment, including any applicable balloon payment, scheduled to be due on that date, with any excess to be returned to the related borrower. For purposes of determining the defeasance collateral for an ARD Loan, that mortgage loan will be treated as if a balloon payment is due on its anticipated repayment date. Generally, in connection with any delivery of defeasance collateral, the related borrower will be required to deliver a security agreement granting the issuing entity a first priority security interest in the collateral. 77 No borrower will be permitted to defease the related mortgage loan prior to the second anniversary of the date of initial issuance of the offered certificates. Due-on-Sale and Due-on-Encumbrance Provisions. All of the mortgage loans that we intend to include in the trust fund contain both a due-on-sale clause and a due-on-encumbrance clause. In general, except for the permitted transfers discussed below, these clauses either: o permit the holder of the related mortgage to accelerate the maturity of the mortgage loan if the borrower sells or otherwise transfers or encumbers the corresponding mortgaged real property; or o prohibit the borrower from doing so without the consent of the holder of the mortgage. See "Legal Aspects of Mortgage Loans--Due-on-Sale and Due-on-Encumbrance Provisions" in the accompanying base prospectus. All of the mortgage loans that we intend to include in the trust fund permit one or more of the following types of transfers: o transfers of the corresponding mortgaged real property or of ownership interests in the related borrower if specified conditions are satisfied; o a transfer of the corresponding mortgaged real property or of ownership interests in the related borrower to a person that is affiliated with or otherwise related to the borrower; o transfers of the corresponding mortgaged real property or of ownership interests in the related borrower to specified entities or types of entities; o transfers of ownership interests in the related borrower for estate-planning purposes; o transfers of non-controlling ownership interests in the related borrower; o involuntary transfers caused by the death of any owner, general partner or manager of the related borrower; o changes of ownership among existing partners or members of the related borrower; o issuance by a related borrower of new partnership or membership interests; or o other transfers similar to the foregoing. ADDITIONAL LOAN AND PROPERTY INFORMATION Escrows and Reserves. Information regarding escrows and reserves with respect to the underlying mortgage loans is presented on Annex A-1 to this offering prospectus. Delinquency and Loss Information. None of the mortgage loans that we intend to include in the trust fund are 30 days or more delinquent with respect to any monthly debt service payment as of the cut-off date. Further, none of the mortgage loans that we intend to include in the trust fund were 30 days or more delinquent with respect to any monthly debt service payment at any time since origination of the subject underlying mortgage loan. None of the mortgage loans that we intend to include in the trust have experienced any losses of principal or interest (through forgiveness of debt or restructuring) since origination. 78 Tenant Matters. Described and listed below are certain special considerations regarding tenants at the mortgaged real properties securing the mortgage loans that we intend to include in the trust fund: o One hundred eighty-eight (188) of the mortgaged real properties, securing 40.4% of the Initial Mortgage Pool Balance and 48.7% of the Initial Loan Group No. 1 Balance, are each a commercial property that is leased, in whole or in part, to one or more tenants that, in each case, occupies 25% or more of the net rentable area of the particular property. o One hundred forty-nine (149) of the mortgaged real properties, securing 20.4% of the Initial Mortgage Pool Balance and 24.6% of the Initial Loan Group No. 1 Balance, are each a commercial property that is leased, in whole or in part, to a tenant that occupies 90% or more of the net rentable area of the particular property. o There are several cases in which a particular entity is a tenant at more than one of the mortgaged real properties, and although it may not be a major tenant at any of those properties, it is significant to the success of the properties. o Five (5) mortgaged real properties, securing 2.2% of the Initial Mortgage Pool Balance and 12.9% of the Initial Loan Group No. 2 Balance, are multifamily rental properties that have material concentrations of student tenants or that constitute a student housing facility. o Certain of the multifamily rental properties receive rent subsidies from the United States Department of Housing and Urban Development under its Section 8 program or otherwise. o With respect to certain of the mortgage loans, the related borrower has given to certain tenants or other third parties, or the project developer has retained, an option to purchase, a right of first refusal or a right of first offer to purchase all or a portion of the related mortgaged real property in the event a sale is contemplated. This may impede the lender's ability to sell the related mortgaged real property at foreclosure, or, upon foreclosure, this may affect the value and/or marketability of the related mortgaged real property. For example, with respect to 15 mortgage loans secured by mortgaged properties identified on Annex A-1 to this offering prospectus as Wolf Creek Apartments, Walgreen's Henderson, NV, Wal-Mart--Fremont, CA, Rite Aid, Louisville, KY, Pacso Rite Aid, Best Buy--Fond Du Lac, Mill & Main Building, Walgreen's Orange, CT, Sweet Bay Shopping Center, Doubletree Suites--Tukwila, WA, Northeast Florida Industrial Center, Aurora--Hartland, Aurora--Airport, Aurora--Edgerton and Aurora--Bluemond, representing 6.6% of the Initial MortgaGE Pool Balance, of which 14 mortgaged real properties secure mortgage loans in loan group no. 1, representing 7.0% of the Initial Loan Group No. 1 Balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 4.5% of the Initial Loan Group No. 2 Balance, certain tenants or others have a right of first refusal to purchase the related mortgaged real property (or a portion thereof) in the event the related borrower elects to sell the related mortgaged real property. While such right of first refusal would not apply to a foreclosure acquisition of the mortgaged real property by the mortgage lender, such right of first refusal would apply to subsequent sales of the mortgaged real property. In addition, with respect to two (2) mortgage loans secured by mortgaged real properties identified on Annex A-1 to this offering prospectus as Sara Road 300 and Sara Road 80, representing 0.7% of the Initial Mortgage Pool Balance and 0.8% of the Initial Loan Group No. 1 Balance, certain tenants or others have an option to purchase the related mortgaged real property (or a portion thereof). However, such option is subordinated to the lien of the mortgage, provided that such option will survive following a foreclosure sale by lender. Finally, with respect to one (1) mortgage loan secured by the mortgaged property identified on Annex A-1 to this offering prospectus as Hilltop Square Shopping Center, representing 0.5% of the Initial 79 Mortgage Pool Balance and 0.6% of the Initial Loan Group No. 1 Balance, Taco Bell has an option to purchase the portion of the related mortgaged real property that it currently occupies as tenant, and Wendy's has a right of first refusal with respect to the portion of the related mortgaged real property it currently occupies as tenant. Such option to purchase and the right of first refusal are not subordinated to the lien of the mortgage. In the event Taco Bell exercises its purchase option, borrower may either (i) fund a reserve with lender in an amount equal to $1,500,000, which reserve shall be applied to that portion of the loan outstanding on the maturity date of the loan or (ii) effect a partial defeasance of the Taco Bell parcel subject to the terms of the related loan documents by, among other things, paying to the lender the sum of $638,216. In the event Wendy's exercises its right of refusal, borrower may either (i) fund a reserve with lender in an amount equal to $605,631, which reserve shall be applied to that portion of the loan outstanding on the maturity date of the loan or (ii) effect a partial defeasance of the Wendy's parcel subject to the terms of the related loan documents by, among other things, paying to the lender the sum of $605,631. o With respect to certain of the underlying mortgage loans, one or more tenants (which may include significant tenants) have lease expiration dates or early termination options, that occur prior to the maturity date of the related underlying mortgage loan. Additionally, underlying mortgage loans may have concentrations of leases expiring at varying rates in varying percentages prior to the related maturity date and in some situations, all of the leases, at a mortgaged real property may expire prior to the related maturity date. Even if vacated space is successfully relet, the costs associated with reletting, including tenant improvements and leasing commissions, could be substantial and could reduce cash flow from the mortgaged real properties. o Certain of the mortgaged real properties may be leased in whole or in part by government-sponsored tenants who may have certain rights to cancel their leases or reduce the rent payable with respect to such lease at any time for, among other reasons, a lack of appropriations. o With respect to certain of the mortgage loans, one or more of the tenants at the related mortgaged real property have yet to take possession of their leased premises or may have taken possession of their leased premises but have yet to open their respective businesses to the general public and, in some cases, may not have commenced paying rent under their leases. There can be no assurances that a prolonged delay in the opening of business to the general public will not negatively impact tenant's ability to fulfill its obligations under its respective lease. Ground Leases. Three (3) of the mortgage loans that we intend to include in the trust fund (loan numbers 10, 32 and 131), collectively representing 1.3% of the Initial Mortgage Pool Balance, of which two (2) mortgage loans are in loan group no. 1, representing 0.5% of the Initial Loan Group No. 1 Balance and one (1) mortgage loan is in loan group no. 2, representing 5.2% of the Initial Loan Group No. 2 Balance, are each secured by a mortgage lien on the borrower's leasehold interest in the corresponding mortgaged real property, but not on the fee simple interest in that property. Six (6) of the mortgage loans that we intend to include in the trust fund, collectively representing 13.8% of the Initial Mortgage Pool Balance and 16.6% of the Initial Loan Group No. 1 Balance, respectively, are each secured by a mortgage lien on the borrower's leasehold interest in certain portions of the corresponding mortgaged real property and on the borrower's fee simple interest in the remainder of the mortgaged real property (or, in the case of two (2) of these six (6) mortgage loans, involving portfolios of mortgaged real properties, on the borrower's leasehold interest in some of those properties and the borrower's fee interest in the remaining subject mortgaged real properties). With respect to all of these mortgage loans, except as described in the next sentence, the term of the related ground lease, after giving effect to all extension options exercisable by the lender, expires more than 20 years after the stated maturity date of the related mortgage loan, and the related ground lessor has agreed to give, or the related ground lease provides that the ground lessor must give, the holder of each leasehold mortgage loan we intend to include in the trust fund notice of, and the right to 80 cure, any default or breach by the ground lessee. In the case of two (2) mortgage loans that we intend to include in the trust fund, representing 9.6% of the Initial Mortgage Pool Balance and 11.5% of the Initial Loan Group No. 1 Balance, which are secured in part by the related borrower's ground leasehold interest covering a small portion of the related mortgaged real property (or, in the case of the ShopKo Portfolio Mortgage Loan, covering two (2) of the related mortgaged real properties), the term of such ground lease does not extend beyond 20 years following the stated maturity date of the related mortgage loan. The mortgage loans identified in the preceding paragraph do not include mortgage loans secured by overlapping fee simple and leasehold interests in the related mortgaged real property. Additional and Other Financing. Additional Secured Debt. In the case of each of the underlying mortgage loans described under "--The Loan Combinations" below, the related mortgaged real property or properties also secure one or more related mortgage loans that are not included in the trust fund. See "--The Loan Combinations" below for a more detailed description of the related co-lender arrangement and the priority of payments among the mortgage loans comprising each such loan combination. In the case of one (1) mortgage loan that we intend to transfer to the issuing entity, representing 0.3% of the initial mortgage pool balance and 0.4% of the initial loan group no. 1 balance, there is existing subordinate debt in the original principal amount of $4,612,339.33, which is secured by a junior mortgage on the related mortgaged real property. The related borrower incurred the subordinate debt in connection with the purchase of the related mortgaged real property to effectuate a reverse 1031 exchange. The junior mortgagee is JLC Suncoast, LLC, an entity owned by the guarantor under the subject underlying mortgage loan. The loan documents require the borrower to fully pay off the subordinate debt upon completion of the 1031 exchange which shall not be later than August 15, 2006. The subordinate debt documents do not provide for foreclosure rights and the junior loan has been fully subordinated to the subject underlying mortgage loan pursuant to a subordination agreement delivered by the junior mortgagee. Mezzanine Debt. As indicated under "Risk Factors--Some of the Mortgaged Real Properties Are or May Be Encumbered by Additional Debt and the Ownership Interests in Some Borrowers Have Been or May Be Pledged to Secure Debt Which, in Either Case, May Reduce the Cash Flow Available to the Subject Mortgaged Real Property" in this offering prospectus, in the case of 24 mortgage loans that we intend to include in the trust fund, representing 17.8% of the Initial Mortgage Pool Balance, of which 21 mortgage loans are in loan group no. 1, representing 16.8% of the Initial Loan Group No. 1 Balance, and three (3) mortgage loans are in loan group no. 2, representing 22.7% of the Initial Loan Group No. 2 Balance, one or more of the principals of the related borrower have incurred or are permitted to incur mezzanine debt as described below. In the case of one (1) mortgage loan representing 0.5% of the Initial Mortgage Pool Balance and 3.2% of the Initial Loan Group No. 2 Balance, the equity owner and sole member of the borrower, obtained a $820,000 mezzanine loan, secured by a pledge of its equity interests in the borrower. The mezzanine lender has signed a subordination and standstill agreement providing for the subordination of the related mezzanine loan. In the case of one (1) mortgage loan representing 0.5% of the Initial Mortgage Pool Balance and 0.6% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan (90-day term, one (1) 90-day extension option) in the original principal amount of $2,950,000. The mezzanine lender executed a subordination and standstill agreement pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.5% of the Initial Mortgage Pool Balance and 0.6% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan (90-day term, one (1) 90-day extension option) in the original principal amount of $3,000,000. 81 The mezzanine lender executed a subordination and standstill agreement pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.9% of the Initial Mortgage Pool Balance and 5.2% of the Initial Loan Group No. 2 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,100,000. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed that the mezzanine debt shall be subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.8% of the Initial Mortgage Pool Balance and 1.0% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,000,000. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed to subordinate the mezzanine loan to the mortgage loan. In the case of one (1) mortgage loan representing 0.4% of the Initial Mortgage Pool Balance and 0.5% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $600,000. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.3% of the Initial Mortgage Pool Balance and 0.3% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,381,807. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.3% of the Initial Mortgage Pool Balance and 0.4% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,649,444. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.2% of the Initial Mortgage Pool Balance and 0.3% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,205,651. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed that the mezzanine debt is subject to and subordinate to the mortgage loan. In the case of one (1) mortgage loan representing 0.4% of the Initial Mortgage Pool Balance and 0.4% of the Initial Loan Group No. 1 Balance, an equity owner of the borrower pledged its equity interest to secure a mezzanine loan in the original principal amount of $1,866,037. The mezzanine lender executed a subordination and standstill agreement, pursuant to which it has agreed to subordinate the mezzanine loan to the mortgage loan. The table below identifies, by mortgage loan name set forth on Annex A-1 to this offering prospectus, those mortgage loans, collectively representing 13.0% of the Initial Mortgage Pool Balance, of which 13 mortgage loans are in loan group no. 1, representing 12.7% of the Initial Loan Group No. 1 Balance, and one (1) mortgage loan is in loan group no. 2, representing 14.3% of the Initial Loan Group No. 2 Balance, for which the owners of the related borrowers are permitted to pledge their ownership interests in the borrower as collateral for mezzanine debt. The incurrence of this mezzanine indebtedness is generally subject to certain conditions, that may include any one or more of the following conditions: 82 o consent of the mortgage lender; o satisfaction of loan-to-value tests, which provide that the aggregate principal balance of the related underlying mortgage loan and the subject mezzanine debt may not exceed a specified percentage and debt service coverage tests, which provide that the combined debt service coverage ratio of the related underlying mortgage loan and the subject mezzanine loan may not be less than a specified amount; o subordination of the mezzanine debt pursuant to a subordination and intercreditor agreement; and/or o confirmation from each rating agency that the mezzanine financing will not result in a downgrade, qualification or withdrawal of the then current ratings of the offered certificates. MORTGAGE LOAN MAXIMUM MINIMUM CUT-OFF DATE COMBINED LTV COMBINED MORTGAGE LOAN NAME BALANCE RATIO PERMITTED DSCR PERMITTED ---------------------------------- ------------- --------------- -------------- Reckson II Office Portfolio $72,000,000 NAP* NAP* Emerald Isle Senior Apartments $55,000,000 95.00% 1.10x Riverview Tower $30,250,000 80.00% 1.10x Milestone $19,900,000 90.00% 1.10x Virginia Gateway $19,815,000 90.00% 1.10x Beverly Garland's Holiday Inn $16,659,061 70.00% 1.30x Doubletree Suites--Tukwila, WA $15,881,825 80.00% 1.25x Mendocino Marketplace $14,600,000 85.00% 1.20x One Theall Road $11,400,000 80.00% 1.20x Washingtonian Center $11,150,000 90.00% 1.10x Hilltop Square Shopping Center $10,953,251 85.00% 1.20x Holiday Inn Express--Turlock $ 7,600,000 NAP NAP Comfort Inn & Suites--College Park $ 4,500,000 NAP NAP Bird in Hand $ 4,100,000 85.00% 1.15x ---------- *Subject to receipt of rating confirmation. While a mezzanine lender has no security interest in or rights to the related mortgaged real properties, a default under the mezzanine loan could cause a change in control in the mortgage borrower as a result of the realization on the pledged ownership interests by the mezzanine lender. Furthermore, in connection with most of the underlying mortgage loans for which mezzanine financing is permitted as referenced above in this section, if the mezzanine financing bears interest at a floating rate, lender may determine the debt service average ratio on the basis of a market-based constant reasonably determined by lender. A mezzanine lender is often entitled to purchase the related underlying mortgage loan under certain actual or reasonably foreseeable default scenarios and/or to cure defaults thereunder. In addition, in the case of some of the other mortgage loans that we intend to include in the trust fund, one or more of the principals of the related borrower may have incurred or may in the future also incur mezzanine or affiliate debt. In the case of the ShopKo Portfolio Mortgage Loan, sponsors of the related borrower are permitted to pledge indirect interests in the borrower in connection with a line of credit or similar corporate facility secured by all, or substantially all of such sponsor's assets. 83 Additional Unsecured Debt. The borrower with respect to one (1) mortgage loan (loan number 99) that we intend to include in the trust fund, representing 0.3% of the Initial Mortgage Pool Balance and 0.4% of the Initial Loan Group No. 1 Balance, is permitted to incur additional unsecured debt. Substantially all the mortgage loans permit the related borrower to incur limited indebtedness in the ordinary course of business that is not secured by the related mortgaged real property. Additionally, in the case of those underlying mortgage loans that require or allow letters of credit to be posted by the related borrower as additional security for the subject mortgage loan, in lieu of reserves or otherwise, the related borrower may be obligated to pay fees and expenses associated with the letter of credit and/or to reimburse the letter of credit issuer or others in the event of a draw upon the letter of credit by the lender. Except as disclosed under this "--Additional and Other Financing" subsection and "Risk Factors--Some of the Mortgaged Real Properties Are or May Be Encumbered by Additional Debt and the Ownership Interests in Some Borrowers Have Been or May Be Pledged to Secure Debt Which, in Either Case, May Reduce the Cash Flow Available to the Subject Mortgaged Real Property" in this offering prospectus, we have not been able to confirm whether the respective borrowers under the mortgage loans that we intend to include in the trust fund have any other debt outstanding or whether the principals of those borrowers have any mezzanine debt outstanding. Such debt may be outstanding despite our inability to confirm its existence. Environmental Reports. A third-party environmental consultant conducted a Phase I environmental study for all but one (1) of the mortgaged real properties securing the mortgage loans that we intend to include in the trust fund. The resulting Environmental Reports were prepared: o in the case of 284 mortgaged real properties, securing 96.5% of the Initial Mortgage Pool Balance (of which 253 mortgaged real properties secure mortgage loans in loan group no. 1, representing 98.8% of the Initial Loan Group No. 1 Balance, and 31 mortgaged real properties secure mortgage loans in loan group no. 2, representing 85.1% of the Initial Loan Group No. 2 Balance), during the 12-month period preceding the cut-off date, and o in the case of four (4) mortgaged real properties, securing 3.4% of the Initial Mortgage Pool Balance, of which three (3) mortgaged real properties secure mortgage loans in loan group no. 1, representing 1.2% of the Initial Loan Group No. 1 Balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 14.3% of the Initial Loan Group No. 2 Balance, respectively, prior to the 12-month period preceding the cut-off date. In the case of one (1) mortgaged real property referred to above as an exception (loan number 162), representing 0.1% of the Initial Mortgage Pool Balance and 0.7% of the Initial Loan Group No. 2 Balance, an environmental insurance policy has been obtained in lieu of conducting an environmental study. See "--Environmental Insurance" below. The environmental investigation at any particular mortgaged real property did not necessarily cover all potential environmental issues. For example, tests for radon, mold, lead-based paint, and lead in drinking water were generally performed only at multifamily rental properties and only when the environmental consultant or originator of the related mortgage loan believed this testing was warranted under the circumstances. The above-described environmental investigations identified various adverse or potentially adverse environmental conditions at some of the mortgaged real properties. If the particular condition is significant, it could result in a claim for damages by any party injured by that condition. In many cases, the identified condition related to the suspected or confirmed presence of asbestos-containing materials, mold, lead-based paint and/or 84 radon. Where these substances were suspected or present, and depending upon the condition of the substances, the environmental consultant generally recommended, and the lender required, the implementation of the recommendations prior to closing, or the escrowing of funds sufficient to effect such recommendations, including: o that the substances not be disturbed and that additional testing be performed prior to any renovation or demolition activities; or o the establishment of an operation and maintenance plan to address the issue; or o an abatement or removal program and, where appropriate, a notification program. In other cases, where the environmental consultant recommended specific remediation of a material adverse environmental condition, the related originator of the mortgage loan generally required the related borrower: 1. to carry out the specific remedial measures prior to closing; or 2. to carry out the specific remedial measures post-closing and deposit with the lender a cash reserve or letter of credit in an amount equal to at least 100% of the estimated cost to complete the remedial measures; or 3. to obtain from a party with financial resources reasonably estimated to be adequate to cure the subject violation in all material respects a guaranty or indemnity to cover the costs of any necessary remedial measures; or 4. to obtain environmental insurance (in the form of a lender's environmental insurance policy or other form of environmental insurance); or 5. to establish and implement an operations and maintenance plan or other monitoring program to address the condition as recommended by the environmental consultant; or 6. to furnish a "no further action" letter or other evidence that the applicable governmental authorities have no intention of taking any action or requiring any further remedial action in respect of such environmental condition; or 7. to have such environmental condition investigated further, and based upon such additional investigation, a qualified environmental consultant recommended no further investigation or remediation; or 8. to take no further remedial action or investigation because the environmental consultant's estimate of the cost of cleanup, remedial action or other response under environmental laws was less than 5% of the original principal amount of the mortgage loan. However, some borrowers under the mortgage loans have not yet satisfied all post-closing obligations required by the related loan documents with respect to environmental matters. In addition, there can be no assurance that these obligations or the recommended operations and maintenance plans have been or will continue to be implemented, or that the cost of implementing them will not exceed the estimated cost. If any adverse environmental conditions are not properly addressed or monitored over time by the related borrower, it could result in a significant loss or environmental liability for the issuing entity. In some cases, residual contamination does or will remain at a mortgaged real property after remedial action is performed. While the presence of this residual contamination may be acceptable today, there can be no 85 assurance that future legal requirements, prospective purchasers or future owners will not require additional investigation or cleanup. In some cases, the environmental consultant did not recommend that any action be taken with respect to a potential adverse environmental condition at a mortgaged real property because: o an environmental consultant investigated those conditions and recommended no further investigations or remediation; or o the responsible party or parties with respect to that condition had already been identified; or o the responsible party or parties currently monitor actual or potential adverse environmental conditions at that property; or o the levels of hazardous substances at that property were found to be below or very close to applicable thresholds for reporting, abatement or remediation; or o the property had been accepted into a state-funded remediation program; or o a letter was obtained from the applicable regulatory authority stating that no further action was required, or the issue has received proper closure with the applicable regulatory authority. However, there can be no assurance that the responsible party or parties, in each case, are financially able to correct or will actually correct the problem. In some of these cases, the responsible party or parties have installed monitoring wells on the mortgaged real property and/or need access to the mortgaged real property for monitoring or to perform remedial action. In some cases, the environmental report for a mortgaged real property identified potential environmental problems at nearby properties, including but not limited to spills of hazardous materials and leaking underground storage tanks. In those cases, the environmental reports indicated that: o the subject mortgaged real property had not been affected; o the potential for the problem to affect the subject mortgaged real property was limited; o the party or parties responsible for remediating the potential environmental problems had been identified; or o there was no evidence to suggest that there has been an adverse environmental impact to the subject mortgaged real property. In those cases where the party or parties responsible for remediation had been identified, there can be no assurance that such party or parties, in each case, are financially able to correct or will actually correct the problem. See "Risk Factors--Lending on Income-Producing Real Properties Entails Environmental Risks" in this offering prospectus for a discussion of certain environmental conditions identified at specific mortgaged real properties securing mortgage loans that we intend to include in the trust fund. 86 The information contained in this offering prospectus regarding environmental conditions at the mortgaged real properties is based on the environmental site assessments referred to in this "--Environmental Reports" subsection and has not been independently verified by: o us; o any of the sponsors; o any of the underwriters; o the master servicer; o the special servicer; o the trustee; or o the affiliates of any of these parties. There can be no assurance that the environmental assessments or studies, as applicable, identified all adverse environmental conditions and risks at, or that any environmental conditions will not have a material adverse effect on the value of or cash flow from, one or more of the mortgaged real properties or will not result in a claim for damages by a party injured by the condition. The series 2006-C4 pooling and servicing agreement requires that the special servicer obtain an environmental site assessment of a mortgaged real property prior to acquiring title to the property or assuming its operation. This requirement precludes enforcement of the security for the related mortgage loan until a satisfactory environmental site assessment is obtained or until any required remedial action is taken. In addition, there can be no assurance that the requirements of the series 2006-C4 pooling and servicing agreement will effectively insulate the issuing entity from potential liability for a materially adverse environmental condition at any mortgaged real property. Environmental Insurance. In the case of one (1) mortgage loan (loan number 21) that we intend to include in the trust fund, representing 1.5% of the Initial Mortgage Pool Balance and 1.9% of the Initial Loan Group No. 1 Balance, the related mortgaged real property is covered by an environmental insurance policy obtained by or through the originator of the related mortgage loan, which was obtained in lieu of further testing related to prior dry cleaning operations at the property from approximately 1940 to 1965. With respect to this environmental insurance policy, the policy period continues at least two (2) years beyond the maturity date. Subject to certain conditions and exclusions, this policy provides coverage of $3,000,000.00 against (i) losses which the insured has or will become legally obligated to pay as a result of claims first made against the insured during the policy period from pollution conditions on, at, under or emanating from the mortgaged real property, (ii) the lesser of either the remediation costs or the outstanding balance of the related loan, which shall include the principal and accrued interest from the date the default is reported until the date the outstanding balance is paid, as a result of pollution conditions on, at, under or emanating from the mortgaged real property. In the case of one (1) mortgage loan (loan number 162) that we intend to include in the trust fund, representing 0.1% of the Initial Mortgage Pool Balance and 0.7% of the Initial Loan Group No. 2 Balance, the related mortgaged real property is covered by an individual or blanket environmental insurance policy obtained by or through the originator of the related mortgage loan, which was obtained in lieu of a Phase I environmental study. In general, such policy insures the issuing entity against losses resulting from certain known and unknown environmental conditions in violation of applicable environmental standards at the subject mortgaged real property during the applicable policy period, which period continues at least five (5) years beyond the maturity 87 date of the mortgage loan to which it relates. Subject to certain conditions and exclusions, such insurance policy, by its terms, generally provides coverage, up to a maximum of 125% of the original loan balance, against (i) losses resulting from default under the mortgage loan to which it relates if on-site environmental conditions in violation of applicable environmental standards are discovered at the mortgaged real property during the policy period and no foreclosures of the mortgaged real property have taken place, (ii) losses from third-party claims against the issuing entity during the policy period for bodily injury, property damage or clean-up costs resulting from environmental conditions at or emanating from the mortgaged real property, and (iii) after foreclosure, costs of clean-up of environmental conditions in violation of applicable environmental standards discovered during the policy period to the extent required by applicable law, including any court order or other governmental directive. Property Condition Assessments. All but one (1) of the mortgaged real properties securing mortgage loans that we intend to include in the trust fund were inspected by professional engineers or architects. Two hundred eighty-six (286) of those mortgaged real properties, securing 96.7% of the Initial Mortgage Pool Balance, of which 254 mortgaged real properties secure mortgage loans in loans group no. 1, representing 99.0% of the Initial Loan Group No. 1 Balance, and 32 mortgaged real properties secure mortgage loans in loan group no. 2, representing 85.7% of the Initial Loan Group No. 2 Balance, were inspected during the 12-month period preceding the cut-off date, and two (2) of those mortgaged real properties securing mortgage loans, representing 2.6% of the Initial Mortgage Pool Balance, of which one (1) mortgaged real property secures a mortgage loan in loan group no. 1, representing 0.3% of the Initial Loan Group No. 1 Balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 14.3% of the Initial Loan Group No. 2 Balance, were inspected prior to the 12-month period preceding the cut-off date. One (1) mortgaged real property, securing 0.7% of the Initial Mortgage Pool Balance and 0.8% of the Initial Loan Group No. 1 Balance, respectively, is secured by land, therefore no property condition assessment was required. These inspections included an assessment of the general condition of the mortgaged real properties' exterior walls, roofing, interior construction, mechanical and electrical systems and the general condition of the site, buildings and other improvements located at each of the mortgaged real properties. The inspections identified various deferred maintenance items and necessary capital improvements at some of the mortgaged real properties. The resulting inspection reports generally included an estimate of cost for any recommended repairs or replacements at a mortgaged real property. When repairs or replacements were recommended, the related borrower was generally required to: o carry out necessary repairs or replacements; or o establish reserves, generally in an amount ranging from 100% to 125% of the estimated cost of the repairs or replacements necessary to cure the deferred maintenance items identified in the inspection report that, at the time of origination, remained outstanding, with that estimated cost being based upon the estimates given in the inspection report, or, in certain cases, upon an actual contractor's estimate. There can be no assurance that another inspector would not have discovered additional maintenance problems or risks, or arrived at different, and perhaps significantly different, judgments regarding the problems and risks disclosed by the respective inspection reports and the cost of corrective action. Appraisals and Market Studies. An independent appraiser that is state-certified and/or a member of the Appraisal Institute prepared an appraisal of each of the mortgaged real properties securing the mortgage loans that we intend to include in the trust fund, in order to establish the approximate value of the property. Those appraisals are the basis for the appraised values for the respective mortgaged real properties set forth on Annex A-1 to this offering prospectus. For 178 mortgaged real properties, securing 88.0% of the Initial Mortgage Pool Balance, of which 146 mortgaged real properties secure mortgage loans in loan group no. 1, representing 88.4% of the Initial Loan Group No. 1 Balance, and 32 mortgaged real properties secure mortgage loans in loan group 88 no. 2, representing 85.7% of the Initial Loan Group No. 2 Balance, the appraised value is as of a date within 12 months of the cut-off date. For 111 mortgaged real properties, securing 12.0% of the Initial Mortgage Pool Balance, of which 110 mortgaged real properties secure mortgage loans in loan group no. 1, representing 11.6% of the Initial Loan Group No. 1 Balance, and one (1) mortgaged real property secures a mortgage loan in loan group no. 2, representing 14.3% of the Initial Loan Group No. 2 Balance, the appraised value is as of a date during the 12- to 15-month period preceding the cut-off date. In some cases, an appraisal contained an "as is" value, with an "as of" date consistent with the date that the appraisal was prepared, and a "stabilized" value, with a specified future "as of" date. For mortgaged real properties where the specified conditions for the stabilized value were met, the stabilized value "as of" date was used in the analysis of the related appraiser, with certain exceptions, where stabilized values were used even when specified conditions have not been met. Each of the appraisals referred to above represents the analysis and opinions of the appraiser at or before the origination of the related underlying mortgage loan. The appraisals are not guarantees of, and may not be indicative of, the present or future value of the subject mortgaged real property. There can be no assurance that another appraiser would not have arrived at a different valuation of any particular mortgaged real property, even if the appraiser used the same general approach to, and the same method of, appraising that property. Neither we nor any of the underwriters has confirmed the values of the respective mortgaged real properties in the appraisals referred to above. In general, appraisals seek to establish the amount a typically motivated buyer would pay a typically motivated seller. However, this amount could be significantly higher than the amount obtained from the sale of a property under a distress or liquidation sale. The appraisal upon which the appraised value for each mortgaged real property is based contains, or is accompanied by a separate letter that contains, a statement by the respective appraiser, to the effect that the appraisal guidelines set forth in Title XI of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 were followed in preparing that appraisal. However, neither we nor any of the underwriters, the related mortgage loan seller or the related originator has independently verified the accuracy of this statement. Zoning and Building Code Compliance. Each sponsor has, with respect to the mortgage loans that it is selling to us for inclusion in the trust fund, examined whether the use and operation of the related mortgaged real properties were in material compliance with all zoning and land-use ordinance, rules, regulations and orders applicable to those real properties at the time of origination. The sponsors may have considered-- o legal opinions or zoning consultant's reports, o certifications from, and/or discussions with, government officials, o information contained in appraisals, surveys and site plan, o title insurance endorsements, o representations by the related borrower contained in the related mortgage loan documents, or o property condition assessments undertaken by independent licensed engineers, in determining whether the mortgaged real properties were in compliance. 89 In some cases, the use, operation or structure of a mortgaged real property constitutes a permitted nonconforming use or structure. Generally, the improvements on that mortgaged real property may not be rebuilt to their current state in the event that those improvements are materially damaged or destroyed. Generally, where a mortgaged real property constitutes a permitted nonconforming use or structure and the improvements on the particular property may not be rebuilt to their current specifications in the event of a major casualty, the related sponsor conducted an analysis as to: o whether the extent of the nonconformity is material; o whether sufficient insurance proceeds would be available to restore the mortgaged real property in accordance with then-applicable requirements, and whether the mortgaged real property, if permitted to be repaired or restored in conformity with current law, would be adequate security for the related mortgage loan; o the extent of the risk that the mortgaged real property would suffer a material casualty of a magnitude that applicable ordinances would require conformity with current requirements, is remote; and/or o whether the insurance proceeds, together with the value of the remaining property, would be sufficient to pay the loan. There is no assurance, however, that any such analysis was correct, or that the above determinations were made in each and every case. Hazard, Liability and Other Insurance. Although exceptions exist, the loan documents for each of the mortgage loans we intend to include in the trust fund generally require the related borrower to maintain with respect to the corresponding mortgaged real property the following insurance coverage: o except in the case of manufactured housing, hazard insurance in an amount, subject to a customary deductible, that is at least equal to the lesser of-- 1. the outstanding principal balance of the mortgage loan, and 2. replacement cost or the full insurable replacement cost of the improvements located on the insured property; o if any portion of the improvements at the property are in an area identified in the federal register by the Flood Emergency Management Agency as having special flood hazards, flood insurance meeting the requirements of the Federal Insurance Administration guidelines in an amount that is equal to the least of-- 1. the outstanding principal balance of the related mortgage loan, 2. the full insurable value of the insured property, and 3. the maximum amount of insurance available under the National Flood Insurance Act of 1968; 90 o comprehensive general liability insurance against claims for personal and bodily injury, death or property damage occurring on, in or about the insured property, in an amount at least equal to $1,000,000 per occurrence; o business interruption or rent loss insurance either in an amount not less than 100% of the projected rental income or revenue from the insured property for at least 12 months or, alternatively, in an amount as may be required by the lender; and o if the mortgaged real property is in an area identified as having a high risk of loss due to windstorms, windstorm insurance. In general, the mortgaged real properties for the mortgage loans that we intend to include in the trust fund are not insured against earthquake risks. Thirty-eight (38) mortgaged real properties, securing 20.7% of the Initial Mortgage Pool Balance, of which 34 of those mortgaged real properties secure mortgage loans in loan group no. 1, representing 20.7% of the Initial Loan Group No. 1 Balance, and four (4) of those mortgaged real properties secure mortgage loans in loan group no. 2, representing 20.7% of the Initial Loan Group No. 2 Balance, are located in seismic zones 3 and 4, which are areas that are considered to have a high earthquake risk. In most of these cases, a third-party consultant conducted seismic studies to assess the probable maximum loss ("PML") for the property. In general, those studies were performed in accordance with generally accepted industry standard assumptions and methodologies. In the case of some of the mortgaged real properties securing mortgage loans that we intend to include in the trust fund, the insurance covering any of such mortgaged real properties for acts of terrorism may be provided through a blanket policy that also covers properties unrelated to the trust fund. Acts of terrorism at those other properties could exhaust coverage under the blanket policy. No representation is made as to the adequacy of any such insurance coverage provided under a blanket policy, in light of the fact that multiple properties are covered by that policy. THE LOAN COMBINATIONS General. The mortgage pool will include two (2) mortgage loans that are each part of a separate Loan Combination. Each of those Loan Combinations consists of an aggregate debt evidenced by two (2) or more promissory notes, one or more of which we intend to include in the trust fund and one or more of which we will not include in the trust fund. In the case of any Loan Combination, the related promissory note(s) that we include in the trust fund will be treated as evidencing a single mortgage loan, and each related promissory note that is not included in the trust fund will be treated as evidencing a separate mortgage loan. The aggregate debt constituting any Loan Combination is secured by the same mortgage(s) or deed(s) of trust on the related mortgaged real property or properties. The promissory notes evidencing a particular Loan Combination are obligations of the same borrower and are cross-defaulted. The allocation of payments to the respective mortgage loans comprising a Loan Combination, whether on a senior/subordinated or a pari passu basis (or some combination thereof), is effected either through one or more co-lender agreements or other intercreditor arrangements to which the respective holders of the subject promissory notes are parties or may be reflected by virtue of relevant provisions contained in the subject promissory notes and a common loan agreement. Such co-lender agreements or other intercreditor arrangements will, in general, govern the respective rights of the noteholders, including in connection with the servicing of the respective mortgage loans comprising a Loan Combination. 91 The table below identifies each underlying mortgage loan that is part of a Loan Combination. UNDERWRITTEN NCF DEBT SERVICE COVERAGE RATIO AND CUT-OFF DATE LOAN-TO-VALUE RATIO MORTGAGE LOANS THAT ARE RELATED PARI PASSU RELATED SUBORDINATE OF ENTIRE LOAN PART OF A LOAN COMBINATION NON-TRUST LOANS NON-TRUST LOANS COMBINATION -------------------------------------------------------------- ------------------ ------------------- ---------------------- MORTGAGED REAL PROPERTY NAME ORIGINAL CUT-OFF DATE CUT-OFF DATE (AS IDENTIFIED ON ANNEX A-1 TO THIS PRINCIPAL PRINCIPAL AGGREGATE ORIGINAL AGGREGATE ORIGINAL U/W NCF LOAN-TO-VALUE OFFERING PROSPECTUS) BALANCE BALANCE PRINCIPAL BALANCE PRINCIPAL BALANCE DSCR RATIO ----------------------------------- ----------- ------------ ------------------ ------------------- ------- ------------- 1. ShopKo Portfolio $200,000,00 $200,000,000 $345,655,010 NAP 1.51x 76.39% 2. Wimbledon Place Apartments $ 7,750,000 $ 7,750,000 NAP $250,000 1.16x 80.00% The ShopKo Portfolio Loan Combination. General. The ShopKo Portfolio Mortgage Loan has a cut-off date principal balance of $200,000,000, which represents 8.8% of the Initial Mortgage Pool Balance and 10.6% of the Initial Loan Group No. 1 Balance. The ShopKo Portfolio Mortgage Loan is evidenced by two promissory notes, one in the unpaid principal amount of $100,000,000 currently held by Citigroup Global Markets Realty Corp. and one in the unpaid principal amount of $100,000,000 currently held by Barclays Capital Real Estate Inc. The ShopKo Portfolio Mortgage Loan is one of multiple mortgage loans, together referred to as the ShopKo Portfolio Loan Combination, that are all: (a) obligations of the same borrowers; (b) secured by the same mortgage instrument(s) encumbering the ShopKo Portfolio Mortgaged Properties; (c) cross-defaulted with each other; and (d) entitled to payments of interest and principal on a pro rata and pari passu basis. The entire ShopKo Portfolio Loan Combination has an unpaid principal balance as of the cut-off date of $545,655,010. Each ShopKo Portfolio Non-Trust Loan is evidenced by a separate promissory note held by either Citigroup Global Markets Realty Corp. or Barclays Capital Real Estate Inc. None of the ShopKo Portfolio Non-Trust Loans will be transferred to the issuing entity. It is expected that the ShopKo Portfolio Non-Trust Loans will be transferred to third-party institutional investors or included in separate commercial mortgage securitization transactions or disposed of through a combination of these exit strategies. However, the ShopKo Portfolio Non-Trust Loans will be serviced, along with the ShopKo Portfolio Mortgage Loan, under the series 2006-C4 pooling and servicing agreement by the master servicer and the special servicer, generally as if each ShopKo Portfolio Non-Trust Loan was a mortgage loan in the trust fund. ShopKo Portfolio Co-Lender Agreement. The respective rights of the ShopKo Portfolio Non-Trust Loan Noteholders and the issuing entity, as holder of the promissory notes for the ShopKo Portfolio Mortgage Loan, will be governed by a co-lender agreement (the "ShopKo Portfolio Co-Lender Agreement"), which generally provides that: o the holders of promissory notes representing more than 50% of the total principal balance of the ShopKo Portfolio Loan Combination will have the ability to advise and direct the master servicer and/or the special servicer with respect to certain specified servicing actions regarding the ShopKo Portfolio Loan Combination, including (but not limited to) those involving foreclosure or material modification of the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, as described under "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Rights and Powers of the Series 2006-C4 Controlling Class Representative and the ShopKo Portfolio Non-Trust Loan Noteholders" in this offering prospectus; o the holders of promissory notes representing more than 50% of the total principal balance of the ShopKo Portfolio Non-Trust Loans will be entitled to replace the special servicer with respect to 92 the ShopKo Portfolio Loan Combination, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Replacement of the Special Servicer" in this offering prospectus; o if and for so long as the ShopKo Portfolio Loan Combination remains a specially serviced mortgage loan and upon the date when any monthly payment becomes at least 60 days delinquent, then the issuing entity, as holder of the promissory notes for the ShopKo Portfolio Mortgage Loan, and the ShopKo Portfolio Non-Trust Loan Noteholders will each have the option to purchase the entire remaining portion of the ShopKo Portfolio Loan Combination (with preference to be given to the first such party to exercise such option) at a price at least equal to the unpaid principal balance of the ShopKo Portfolio promissory notes to be purchased, together with all accrued unpaid interest on those notes (other than Default Interest) to but not including the date of such purchase; and o any holder of a promissory note evidencing a mortgage loan that is part of the ShopKo Portfolio Loan Combination will be entitled to appoint a representative to exercise any of its rights set forth in the preceding three bullets, which representative will, in the case of the issuing entity, for purposes of the third preceding bullet and the immediately preceding bullet, be the series 2006-C4 controlling class representative pursuant to the series 2006-C4 pooling and servicing agreement. Payments. Pursuant to the ShopKo Portfolio Co-Lender Agreement, following the allocation of payments to each mortgage loan in the ShopKo Portfolio Loan Combination in accordance with the related loan documents, collections on the ShopKo Portfolio Loan Combination will be allocated (after application to certain related unreimbursed or unpaid costs and expenses, including outstanding advances, together with interest thereon, and unpaid servicing compensation) generally in the following manner: o first, to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, on a pro rata and pari passu basis, in an amount up to all accrued and unpaid interest (other than Default Interest) on the respective principal balances of such mortgage loans (net of related master servicing fees), until all such interest is paid in full; o second, to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, on a pari passu basis, their respective pro rata portions (based on balance) of any payments and other collections of principal with respect to the ShopKo Portfolio Loan Combination; o third, to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, on a pari passu basis, their respective pro rata portions (based on balance) of any prepayment consideration on the ShopKo Portfolio Loan Combination, to the extent actually paid by the borrower; o fourth, to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, their respective pro rata portions (based on balance) of any late payment charges and Default Interest (after application as provided in the series 2006-C4 pooling and servicing agreement), to the extent actually paid by the borrower, based on their respective principal balances; o fifth, following a payment application trigger event with respect to the ShopKo Portfolio Loan Combination, on a pari passu basis, their respective pro rata portions of any unpaid excess interest accrued with respect to any replacement notes representing the ShopKo Portfolio Non-Trust Loans; and 93 o sixth, if any excess amount is paid by the borrower and is not required to be returned to the borrower or to any other party under the loan documents, pro rata (by balance) to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans. The Wimbledon Place Apartments Loan Combination. General. The Wimbledon Place Apartments Mortgage Loan, which represents 0.3% of the Initial Mortgage Pool Balance and 2.0% of the Initial Loan Group No. 2 Balance, is secured by the mortgaged real property identified on Annex A-1 to this prospectus supplement as Wimbledon Place Apartments. The related borrower has encumbered the related mortgaged real property with junior debt, which constitutes the related subordinate non-trust mortgage loan. The aggregate debt consisting of the Wimbledon Place Apartments Mortgage Loan and the related subordinate non-trust mortgage loan, which two mortgage loans constitute the Wimbledon Place Apartments Loan Combination, is secured by a single mortgage instrument on the subject mortgaged real property. We intend to include the Wimbledon Place Apartments Mortgage Loan in the trust fund. The related subordinate non-trust mortgage loan was sold to an unaffiliated third party and will not be included in the trust fund. The Wimbledon Place Apartments Mortgage Loan and related subordinate non-trust mortgage loan comprising the Wimbledon Place Apartments Loan Combination are cross-defaulted. The outstanding principal balance of the related subordinate non-trust mortgage loan does not exceed 2.50% of the underwritten appraised value of the related mortgaged real property that secures the Wimbledon Place Apartments Loan Combination. The related subordinate non-trust mortgage loan has an interest rate of 12.75% per annum and has the same maturity date, amortization schedule and prepayment structure as the Wimbledon Place Apartments Mortgage Loan. For purposes of the information presented in this offering prospectus with respect to the Wimbledon Place Apartments Mortgage Loan, the loan-to-value ratio and debt service coverage ratio information reflects only the Wimbledon Place Apartments Mortgage Loan and does not take into account the related subordinate non-trust mortgage loan. The Cut-off Date Loan-to-Value Ratio and the Underwritten Net Cash Flow Debt Service Coverage Ratio for the entire Wimbledon Place Apartments Loan Combination (calculated as if it was a single underlying mortgage loan) are 80.00% and 1.16x, respectively. The trust, as the holder of the Wimbledon Place Apartments Mortgage Loan, and the holder of the related subordinate non-trust mortgage loan will be successor parties to a separate intercreditor agreement, which we refer to as the Wimbledon Place Apartments Intercreditor Agreement, with respect to the Wimbledon Place Apartments Loan Combination. The holder of the Wimbledon Place Apartments Mortgage Loan must cause its servicer to provide certain information and reports related to the Wimbledon Place Apartments Loan Combination to the holder of the related subordinate non-trust mortgage loan. The master servicer will collect payments with respect to the related subordinate non-trust mortgage loan prior to the inclusion of such subordinate non-trust mortgage loan in a securitization and also after the occurrence of certain events of default as described under "Servicing of the Wimbledon Place Apartments Loan Combination" below. The following describes certain provisions of the Wimbledon Place Apartments Intercreditor Agreement. The following does not purport to be complete and is subject to, and qualified in its entirety by reference to, the actual provisions of the Wimbledon Place Apartments Intercreditor Agreement. Allocation of Payments Between the Wimbledon Place Apartments Mortgage Loan and the Wimbledon Place Apartments Non-Trust Loan. The rights of the holder of the related subordinate non-trust mortgage loan to receive payments of interest, principal and other amounts are subordinated to the rights of the holder of the Wimbledon Place Apartments Mortgage Loan to receive such amounts. So long as a Wimbledon Place Apartments Material Default has not occurred or, if a Wimbledon Place Apartments Material Default has occurred, that Wimbledon Place Apartments Material Default is no longer continuing with respect to the Wimbledon Place Apartments Loan Combination, the related borrower under the Wimbledon Place Apartments Loan Combination will make separate payments of principal and interest to the respective holders of the 94 Wimbledon Place Apartments Mortgage Loan and related subordinate non-trust mortgage loan. Escrow and reserve payments will be made to the master servicer on behalf of the trust (as the holder of the Wimbledon Place Apartments Mortgage Loan). Any proceeds under title, hazard or other insurance policies, or awards or settlements in respect of condemnation proceedings or similar exercises of the power of eminent domain, or any other principal prepayment of the Wimbledon Place Apartments Loan Combination (together with any applicable yield maintenance charges), will generally be applied first to the principal balance of the Wimbledon Place Apartments Mortgage Loan and then to the principal balance of the related subordinate non-trust mortgage loan. If a Wimbledon Place Apartments Material Default occurs and is continuing with respect to the Wimbledon Place Apartments Loan Combination, then all payments and proceeds (of whatever nature) on the related subordinate non-trust mortgage loan will be subordinated to all payments due on the Wimbledon Place Apartments Mortgage Loan and the amounts with respect to such loan combination will be paid in the following manner: o first, to the master servicer, the special servicer or the trustee, up to the amount of any unreimbursed costs and expenses paid by such entity, including unreimbursed advances and interest thereon; o second, to the master servicer and the special servicer, in an amount equal to the accrued and unpaid servicing fees and/or other compensation earned by them; o third, to the trust, in an amount equal to interest (other than Default Interest) due with respect to the Wimbledon Place Apartments Mortgage Loan; o fourth, to the trust, in an amount equal to the principal balance of the Wimbledon Place Apartments Mortgage Loan until paid in full; o fifth, to the trust, in an amount equal to any prepayment premium, to the extent actually paid, allocable to the Wimbledon Place Apartments Mortgage Loan; o sixth, to the holder of the related subordinate non-trust mortgage loan up to the amount of any unreimbursed costs and expenses paid by the holder of the related subordinate non-trust mortgage loan or paid or advanced by a servicer or a trustee on its behalf; o seventh, to the holder of the related subordinate non-trust mortgage loan, in an amount equal to interest (other than Default Interest) due with respect to the related subordinate non-trust mortgage loan; o eighth, to the holder of the related subordinate non-trust mortgage loan, in an amount equal to the principal balance of the related subordinate non-trust mortgage loan until paid in full; o ninth, to the holder of the related subordinate non-trust mortgage loan, in an amount equal to any prepayment premium, to the extent actually paid, allocable to the related subordinate non-trust mortgage loan; o tenth, to the trust and the holder of the related subordinate non-trust mortgage loan, in that order, in an amount equal to any unpaid Default Interest accrued on the Wimbledon Place Apartments Mortgage Loan and the related subordinate non-trust mortgage loan, respectively; o eleventh, any amounts actually collected on the Wimbledon Place Apartments Loan Combination or recovered from the mortgaged property that represent late payment charges (other than a prepayment premium or Default Interest), to the extent not payable to any servicer or trustee, to 95 the trust and the holder of the related subordinate non-trust mortgage loan, pro rata, based upon original principal balances as of the date of origination; and o twelfth, any excess, to the trust and the holder of the related subordinate non-trust mortgage loan, pro rata, based upon original principal balances as of the date of origination. If, after the expiration of the right of the holder of the related subordinate non-trust mortgage loan to purchase the Wimbledon Place Apartments Mortgage Loan (as described below), the Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan is modified in connection with a work-out so that, with respect to either the Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan, (a) the outstanding principal balance is decreased, (b) payments of interest or principal are waived, reduced or deferred or (c) any other adjustment is made to any of the terms of that mortgage loan, then, solely to the extent the effect of the foregoing can be absorbed by the related subordinate non-trust mortgage loan (without any out-of-pocket payments from the holder of the related subordinate non-trust mortgage loan or its servicers), the related subordinate non-trust mortgage loan will bear the full economic effect thereof attributable to such work-out (up to the outstanding principal balance of the related subordinate non-trust mortgage loan, together with accrued interest thereon and any other amounts due to the holder thereof). On or before each payment date, amounts payable to the trust as holder of the Wimbledon Place Apartments Mortgage Loan pursuant to the Wimbledon Place Apartments Intercreditor Agreement will be included in the Total Available P&I Funds for that payment date to the extent described in this offering prospectus and amounts payable to the holder of the related subordinate non-trust mortgage loan will be distributed to the holder thereof net of fees and expenses to the extent provided in the Wimbledon Place Apartments Intercreditor Agreement. Any losses and expenses that are associated with the Wimbledon Place Apartments Mortgage Loan and the related subordinate non-trust mortgage loan will be allocated in accordance with the terms of the Wimbledon Place Apartments Intercreditor Agreement, first, to the related subordinate non-trust mortgage loan and, second, to the Wimbledon Place Apartments Mortgage Loan. The portion of those losses and expenses allocated to the Wimbledon Place Apartments Mortgage Loan will be allocated among the series 2006-C4 certificates in the manner described under "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this offering prospectus. Servicing of the Wimbledon Place Apartments Loan Combination. The Wimbledon Place Apartments Mortgage Loan and the mortgaged real property will be serviced and administered by the master servicer pursuant to the series 2006-C4 pooling and servicing agreement. The master servicer and/or special servicer will service and administer the related subordinate non-trust mortgage loan to the extent described below. The Servicing Standard set forth in the series 2006-C4 pooling and servicing agreement will require the master servicer and the special servicer to take into account the interests of both the series 2006-C4 certificateholders and the holder of the related subordinate non-trust mortgage loan when servicing the Wimbledon Place Apartments Loan Combination, with a view to maximizing the realization for both as a collective whole. Any reference in this prospectus supplement to the interests of the series 2006-C4 certificateholders will mean, with respect to the servicing and administration of the Wimbledon Place Apartments Loan Combination, the series 2006-C4 certificateholders and the holder of the related subordinate non-trust mortgage loan, as a collective whole. The master servicer and the special servicer have the initial authority to service and administer, and to exercise the rights and remedies with respect to, the Wimbledon Place Apartments Loan Combination. Subject to certain limitations with respect to modifications and certain rights of the holder of the related subordinate non-trust mortgage loan to purchase the Wimbledon Place Apartments Mortgage Loan, the holder of the related subordinate non-trust mortgage loan has no voting, consent or other rights whatsoever with respect to the master 96 servicer's or special servicer's administration of, or the exercise of its rights and remedies with respect to, the Wimbledon Place Apartments Loan Combination. Prior to a securitization of the related subordinate non-trust mortgage loan, the holder of the Wimbledon Place Apartments Mortgage Loan will service or cause to be serviced the related subordinate non-trust mortgage loan. When the related subordinate non-trust mortgage loan is included within a securitization, primary and master servicers of the related subordinate non-trust mortgage loan will be designated, and such servicers will be responsible for collecting from the related borrower and distributing payments in respect of the related subordinate non-trust mortgage loan pursuant to a separate servicing agreement that governs the securitization for such subordinate non-trust mortgage loan. The master servicer under the series 2006-C4 pooling and servicing agreement will otherwise administer the Wimbledon Place Apartments Mortgage Loan and the related subordinate non-trust mortgage loan unless: (i) there shall occur and be continuing a Wimbledon Place Apartments Material Default, in which case the master servicer and the special servicer shall collect and distribute such payments with respect to the Wimbledon Place Apartments Loan Combination, subject to the terms of the Wimbledon Place Apartments Intercreditor Agreement during which time the master servicer and the special servicer shall be entitled to servicing compensation in accordance with the series 2006-C4 pooling and servicing agreement, or (ii) the holder of the related subordinate non-trust mortgage loan purchases the Wimbledon Place Apartments Mortgage Loan pursuant to the terms of the Wimbledon Place Apartments Intercreditor Agreement, in which case the servicers designated to service the related subordinate non-trust mortgage loan shall assume all responsibility with respect to the servicing of the Wimbledon Place Apartments Loan Combination. Modifications. The holder of the related subordinate non-trust mortgage loan may exercise certain approval rights relating to a deferral, modification, supplement or waiver of the Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan that materially and adversely affects the holder of such subordinate non-trust mortgage loan prior to the expiration of the repurchase period described in the following paragraph. Purchase of the Wimbledon Place Apartments Mortgage Loan by the Wimbledon Place Apartments Non-Trust Loan Noteholder. In the event that (i) any payment of principal or interest on the Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan becomes 90 or more days delinquent, (ii) the principal balance of such Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan has been accelerated, (iii) the principal balance of such Wimbledon Place Apartments Mortgage Loan or the related subordinate non-trust mortgage loan is not paid at maturity, (iv) the borrower files a petition for bankruptcy or is otherwise the subject of a bankruptcy proceeding or (v) any other event where the cash flow payment under the related subordinate non-trust mortgage loan has been interrupted and payments are made pursuant to the Wimbledon Place Apartments Material Default waterfall, the holder of the related subordinate non-trust mortgage loan will be entitled to purchase the Wimbledon Place Apartments Mortgage Loan from the trust for a period of 30 days after its receipt of a repurchase option notice from the trust, subject to certain conditions set forth in the Wimbledon Place Apartments Intercreditor Agreement. The purchase price will generally equal the unpaid principal balance of the Wimbledon Place Apartments Mortgage Loan, together with all unpaid interest on the Wimbledon Place Apartments Mortgage Loan (other than default interest and other late payment charges) at the related mortgage rate and any outstanding servicing expenses, servicing advances and interest on advances for which the borrower under the Wimbledon Place Apartments Mortgage Loan is responsible. The purchase price will not include any liquidation fee, success fee or termination compensation, and unless the borrower or an affiliate is purchasing the Wimbledon Place Apartments Mortgage Loan, no prepayment consideration will be payable in connection with the purchase of the Wimbledon Place Apartments Mortgage Loan. The holder of the related subordinate non-trust mortgage loan does not have any rights to cure any defaults with respect to the Wimbledon Place Apartments Loan Combination. 97 ASSIGNMENT OF THE MORTGAGE LOANS; REPURCHASES AND SUBSTITUTIONS On or before the Issue Date, we will acquire the subject mortgage loans pursuant to one or more mortgage loan purchase agreements. On the Issue Date, we will transfer the subject mortgage loans, without recourse, to the trustee for the benefit of the series 2006-C4 certificateholders. In connection with such transfer, the applicable mortgage loan seller, which in each case is one of the sponsors, is required to deliver or cause to be delivered to the trustee or to a document custodian appointed by the trustee, among other things, the following documents with respect to each mortgage loan that we intend to include in the trust fund (as to each such mortgage loan, the "Mortgage File"): (a) the original mortgage note, endorsed on its face or by allonge attached thereto, without recourse, to the order of the trustee or in blank (or, if the original mortgage note has been lost, an affidavit to such effect from the applicable mortgage loan seller or another prior holder, together with a copy of the mortgage note); (b) the original or a copy of the mortgage instrument, together with an original or a copy of any intervening assignments of the mortgage instrument, in each case (unless not yet returned by the applicable recording office) with evidence of recording indicated thereon or certified by the applicable recorder's office; (c) the original or a copy of any related assignment of leases and of any intervening assignments thereof (if such assignment of leases is a document separate from the related mortgage instrument), in each case (unless not yet returned by the applicable recording office) with evidence of recording indicated thereon or certified by the applicable recorder's office; (d) an original assignment of the mortgage instrument in favor of the trustee or in blank and (subject to the completion of certain missing recording information and, if delivered in blank, completion of the name of the trustee) in recordable form; (e) an original assignment of any related assignment of leases (if such assignment of leases is a document separate from the related mortgage instrument) in favor of the trustee or in blank and (subject to the completion of certain missing recording information and, if delivered in blank, completion of the name of the trustee) in recordable form; (f) originals or copies of all modification, consolidation, assumption and substitution agreements in those instances in which the terms or provisions of the mortgage instrument or mortgage note have been consolidated or modified or the mortgage loan has been assumed or consolidated; (g) the original or a copy of the policy or certificate of lender's title insurance, or, if such policy has not been issued or located, an irrevocable, binding commitment (which may be a pro forma or specimen version of, or a marked commitment for, the policy that has been executed by an authorized representative of the title company or an agreement to provide the same pursuant to binding escrow instructions executed by an authorized representative of the title company) to issue such title insurance policy; (h) any filed copies (bearing evidence of filing) or other evidence of filing reasonably satisfactory to us of any prior UCC financing statements, related amendments and continuation statements in the possession of the applicable mortgage loan seller (unless not yet returned by the applicable filing office); (i) an original assignment in favor of the trustee or in blank of any financing statement executed and filed in favor of the applicable mortgage loan seller in the relevant jurisdiction; 98 (j) any intercreditor, co-lender or similar agreement relating to permitted debt of the related borrower; (k) copies of any loan agreement, escrow agreement, security agreement or letter of credit relating to such mortgage loan; (l) the original or a copy of any ground lease and ground lessor estoppel; and (m) environmental insurance policy or guaranty relating to such mortgage loan; provided that, except in the case of the items described in clauses (a), (b), (g) and (l) of this sentence, which are to be delivered on the Issue Date, each mortgage loan seller is permitted up to 30 days following the Issue Date to deliver the Mortgage File for each of the underlying mortgage loans that it is contributing to the series 2006-C4 securitization transaction. The trustee, either directly or through a custodian, is required to hold all of the documents delivered to it with respect to the underlying mortgage loans, in trust for the benefit of the series 2006-C4 certificateholders and, in the case of each of the ShopKo Portfolio Loan Combination and the Wimbledon Place Apartments Loan Combination, also for the benefit of the related Non-Trust Loan Noteholder(s). Within a specified period of time following that delivery, the trustee, directly or through a custodian, will be further required to conduct a review of those documents. The scope of the trustee's review of those documents will, in general, be limited solely to confirming that they have been received. None of the trustee, the master servicer, the special servicer or any custodian is under any duty or obligation to inspect, review or examine any of the documents relating to the underlying mortgage loans to determine whether the document is valid, effective, enforceable, in recordable form or otherwise appropriate for the represented purpose. The trustee may appoint at the trustee's expense one or more custodians to hold all or a portion of the Mortgage Files as agent for the trustee. Neither the master servicer nor the special servicer has any duty to verify that any such custodian is qualified to act as such in accordance with the series 2006-C4 pooling and servicing agreement. The trustee may enter into agreements to appoint a custodian which is not the trustee, provided that such agreement: (i) is consistent with the series 2006-C4 pooling and servicing agreement in all material respects and requires the custodian to comply with all of the applicable conditions of the series 2006-C4 pooling and servicing agreement; (ii) provides that if the trustee no longer acts in the capacity of trustee under the series 2006-C4 pooling and servicing agreement, the successor trustee or its designee may thereupon assume all of the rights and, except to the extent they arose prior to the date of assumption, obligations of the custodian under such agreement or, alternatively, may terminate such agreement without cause and without payment of any penalty or termination fee; and (iii) may provide that the related custodian will be entitled to be indemnified out of the assets of the trust fund in connection with losses arising from the performance by such custodian of its duties in accordance with the provisions of the related custodial agreement if and to the extent such indemnification would be permitted to the trustee under the series 2006-C4 pooling and servicing agreement. The appointment of one or more custodians does not relieve the trustee from any of its obligations under the series 2006-C4 pooling and servicing agreement, and the trustee is responsible for all acts and omissions of any custodian. The pooling and servicing agreement requires that any custodian engaged by the trustee must maintain a fidelity bond and errors and omissions policy in amounts customary for custodians performing duties similar to those set forth in therein. See "Transaction Participants--The Trustee" in this offering prospectus. As discussed above, the trustee or a custodian on its behalf is required to review each Mortgage File within a specified period following its receipt thereof. If any of the documents required to be part of the Mortgage File for any underlying mortgage loan is found during the course of such review to be missing or defective, and in either case such omission or defect materially and adversely affects the value of the applicable mortgage loan or the interests of the series 2006-C4 certificateholders therein, then the applicable mortgage loan seller, if it does not deliver the document or cure the defect (other than omissions solely due to a document not 99 having been returned by the related recording office) within a period of 90 days following such mortgage loan seller's receipt of notice thereof, will be obligated pursuant to the applicable mortgage loan purchase agreement (the relevant rights under which will be assigned by us to the trustee) to: (1) repurchase the affected mortgage loan within such 90-day period at a price (the "Purchase Price") generally equal to the sum of (a) the unpaid principal balance of such mortgage loan, (b) the unpaid accrued interest on such mortgage loan (other than any Default Interest and/or Post-ARD Additional Interest) to but not including the due date in the collection period in which the purchase is to occur plus any accrued and unpaid interest on monthly debt service advances, (c) all related and unreimbursed servicing advances plus any accrued and unpaid interest thereon, (d) any reasonable costs and expenses, including, but not limited to, the cost of any enforcement action, incurred by the master servicer, the special servicer, the trustee or the trust fund in connection with any purchase by a mortgage loan seller (to the extent not included in clause (c) above or clause (e) below), and (e) any other Additional Trust Fund Expenses in respect of such underlying mortgage loan (including any Additional Trust Fund Expenses previously reimbursed or paid by the trust fund but not so reimbursed by the related borrower or other party or from insurance proceeds or condemnation proceeds or any other collections in respect of the underlying mortgage loan or the related mortgaged real property from a source other than the trust fund, and including, if the subject underlying mortgage loan is repurchased after the end of the required cure period (as it may be extended as described below), any liquidation fee payable to the special servicer in respect of such underlying mortgage loan, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Servicing and Other Compensation and Payment of Expenses--Principal Special Servicing Compensation--The Liquidation Fee"); or (2) substitute a Qualified Substitute Mortgage Loan for such mortgage loan and pay a shortfall amount equal to the difference between the Purchase Price of the deleted mortgage loan calculated as of the date of substitution and the Stated Principal Balance of such Qualified Substitute Mortgage Loan as of the date of substitution (the "Substitution Shortfall Amount"); provided that, unless the document omission or defect would cause the subject mortgage loan not to be a qualified mortgage within the meaning of Section 860G(a)(3) of the Internal Revenue Code, the applicable mortgage loan seller will generally have an additional 90-day period to deliver the missing document or cure the defect, as the case may be, if it is diligently proceeding to effect such delivery or cure. The foregoing repurchase or substitution obligation constitutes the sole remedy available to the series 2006-C4 certificateholders and the trustee for any uncured failure to deliver, or any uncured defect in, a constituent mortgage loan document. Each mortgage loan seller is solely responsible for its repurchase or substitution obligation, and those obligations will not be our responsibility. Any substitution of a Qualified Substitute Mortgage Loan for a defective mortgage loan in the trust fund must occur no later than the second anniversary of the Issue Date. The series 2006-C4 pooling and servicing agreement and/or the applicable mortgage loan purchase agreement will require the trustee or the related mortgage loan seller to cause each of the assignments described in clauses (d), (e) and (i) of the fourth preceding paragraph to be submitted for recording or filing, as applicable, in the appropriate public records within a specified time period. REPRESENTATIONS AND WARRANTIES; REPURCHASES AND SUBSTITUTIONS In the related mortgage loan purchase agreement, the applicable mortgage loan seller, which in each case is one of the sponsors, will represent and warrant with respect to each mortgage loan that we intend to include in the trust fund (subject to certain exceptions specified in the related mortgage loan purchase agreement), as of the Issue Date, or as of such other date specifically provided in the representation and warranty, among other things, generally that: (i) the information with respect to the subject mortgage loan set forth in the schedule of mortgage loans attached to the applicable mortgage loan purchase agreement (which contains certain of the information set forth in Annex A-1 to this offering prospectus) was true and correct in all material respects as of the cut-off date; 100 (ii) as of the date of its origination, the subject mortgage loan and the interest (exclusive of any default interest, late charges or prepayment premiums) contracted for thereunder complied in all material respects with, or was exempt from, all requirements of federal, state or local law relating to the origination of such mortgage loan, including those pertaining to usury; (iii) immediately prior to the sale, transfer and assignment to us, the applicable mortgage loan seller had good and marketable title to, and was the sole owner of, each mortgage loan, and is transferring the mortgage loan free and clear of any and all liens, pledges, charges or security interests of any nature encumbering the subject mortgage loan, with the exception of agreements regarding servicing of the mortgage loans as provided in the series 2006-C4 pooling and servicing agreement, subservicing agreements permitted thereunder and a servicing rights purchase agreement between the master servicer and the applicable mortgage loan seller; (iv) the proceeds of the subject mortgage loan have been fully disbursed (except to the extent that a portion of such proceeds are being held in escrow or reserve accounts) and there is no requirement for future advances thereunder by the lender; (v) each related mortgage note, mortgage instrument, assignment of leases, if any, and other agreement executed by the mortgagor in connection with the subject mortgage loan is a legal, valid and binding obligation of the related borrower (subject to any nonrecourse provisions therein and any state anti-deficiency or market value limit deficiency legislation), enforceable in accordance with its terms, except (a) that certain provisions contained in such mortgage loan documents are or may be unenforceable in whole or in part under applicable state or federal laws, but neither the application of any such laws to any such provision nor the inclusion of any such provision renders any of the mortgage loan documents invalid as a whole and such mortgage loan documents taken as a whole are enforceable to the extent necessary and customary for the practical realization of the principal rights and benefits afforded thereby, and (b) as such enforcement may be limited by bankruptcy, insolvency, receivership, reorganization, moratorium, redemption, liquidation or other laws affecting the enforcement of creditors' rights generally, and by general principles of equity (regardless of whether such enforcement is considered in a proceeding in equity or at law); (vi) as of the date of its origination, there was no valid offset, defense, counterclaim, abatement or right to rescission with respect to any of the related mortgage note, mortgage instrument or other agreements executed in connection therewith, and, as of the cut-off date, there was no valid offset, defense, counterclaim or right to rescission with respect to such mortgage note, mortgage instrument or other agreements, except in each case with respect to the enforceability of any provisions requiring the payment of Default Interest, late fees, Post-ARD Additional Interest, prepayment premiums or yield maintenance charges; (vii) each related assignment of the related mortgage instrument and assignment of any related assignment of leases from the applicable mortgage loan seller to the trustee constitutes the legal, valid and binding assignment from such mortgage loan seller (subject to the customary exceptions and limitations set forth in clause (v) above); (viii) the related mortgage instrument is a valid and enforceable first lien on the related mortgaged real property subject to the exceptions and limitations set forth in clause (v) above and subject to (a) the lien of current real property taxes, ground rents, water charges, sewer rents and assessments not yet delinquent and accruing interest or penalties, (b) covenants, conditions and restrictions, rights of way, easements and other matters of public record, none of which, individually or in the aggregate, materially and adversely interferes with the current use of the 101 related mortgaged real property or the security intended to be provided by such mortgage instrument or with the borrower's ability to pay its obligations under the subject mortgage loan when they become due or materially and adversely affects the value of the related mortgaged real property, (c) the exceptions (general and specific) and exclusions set forth in the related title insurance policy or appearing of record, none of which, individually or in the aggregate, materially interferes with the current use of the related mortgaged real property or the security intended to be provided by such mortgage instrument or with the borrower's ability to pay its obligations under the subject mortgage loan when they become due or materially and adversely affects the value of the related mortgaged real property, (d) other matters to which like properties are commonly subject, none of which, individually or in the aggregate, materially and adversely interferes with the current use of the mortgaged real property or the security intended to be provided by such mortgage instrument or with the borrower's ability to pay its obligations under the subject mortgage loan when they become due or materially and adversely affects the value of the mortgaged real property, (e) the right of tenants (whether under ground leases, space leases or operating leases) at the related mortgaged real property to remain following a foreclosure or similar proceeding (provided that such tenants are performing under such leases) and (f) if the subject mortgage loan is cross-collateralized with any other mortgage loan, the lien of such mortgage instrument for such other mortgage loan; (ix) all real estate taxes and governmental assessments, or installments thereof, which would be a lien on the related mortgaged real property and that prior to the cut-off date have become delinquent in respect of the related mortgaged real property, have been paid, or an escrow of funds in an amount sufficient (together with future escrow payments required under the related mortgage instrument) to cover such payments has been established; provided that for purposes of this representation and warranty, real estate taxes and governmental assessments and installments thereof will not be considered delinquent until the earlier of (x) the date on which interest and/or penalties would first be payable thereon and (y) the date on which enforcement action is entitled to be taken by the related taxing authority; (x) to the applicable mortgage loan seller's actual knowledge as of the cut-off date, and to the applicable mortgage loan seller's actual knowledge based solely upon due diligence customarily performed in connection with the origination of comparable mortgage loans by the applicable mortgage loan seller, each related mortgaged real property was free and clear of any material damage (other than deferred maintenance for which escrows were established at origination) that would materially and adversely affect the value of such mortgaged real property as security for the subject mortgage loan, and to the applicable mortgage loan seller's actual knowledge as of the cut-off date there was no proceeding pending for the total or partial condemnation of such mortgaged real property; (xi) as of the date of its origination, all insurance coverage required under each related mortgage instrument was in full force and effect with respect to the related mortgaged real property, which insurance covered such risks as were customarily acceptable to prudent commercial and multifamily mortgage lending institutions lending on the security of property comparable to the related mortgaged real property in the jurisdiction in which such mortgaged real property is located, and with respect to a fire and extended perils insurance policy, was in an amount (subject to a customary deductible) at least equal to the lesser of (a) the replacement cost of improvements located on such mortgaged real property, or (b) the initial principal balance of the subject mortgage loan, and in any event, the amount necessary to prevent operation of any co-insurance provisions, was in full force and effect with respect to each related mortgaged real property; 102 (xii) as of the Issue Date, the subject mortgage loan is not, and in the prior 12 months (or since the date of origination if the subject mortgage loan has been originated within the past 12 months), has not been, 30 days or more past due in respect of any scheduled payment; and (xiii) one or more environmental site assessments, updates or transaction screens thereof were performed by an environmental consulting firm independent of the applicable mortgage loan seller and the applicable mortgage loan seller's affiliates with respect to each related mortgaged real property during the 18-month period preceding the origination of the subject mortgage loan, and the applicable mortgage loan seller, having made no independent inquiry other than to review the report(s) prepared in connection with the assessment(s), updates or transaction screens referenced herein, has no actual knowledge and has received no notice of any material and adverse environmental condition or circumstance affecting such mortgaged real property that was not disclosed in such report(s). In addition to the above-described representations and warranties, each mortgage loan seller will also make other representations and warranties regarding the mortgage loans being sold by it to us for inclusion in the series 2006-C4 securitization transaction, any of which representations and warranties may be made to such mortgage loan seller's knowledge, may cover facts as of a date prior to the Issue Date (such as the date of origination of the subject mortgage loan) and/or be subject to certain identified exceptions. Those other representations and warranties will cover a variety of topics, including: (a) the existence of title insurance; (b) the filing of uniform commercial code financing statements; (c) the absence of material damage (other than deferred maintenance) at any related mortgaged real property that would materially and adversely affect the value of that property as security for the subject mortgage loan; (d) the absence of any pending proceeding for the total or partial condemnation of any related mortgaged real property; (e) the absence of any state or federal bankruptcy proceeding involving the borrower under any underlying mortgage loan; (f) the existence of, and exceptions to, due-on-sale and due-on-encumbrance provisions in the underlying mortgage loans; (g) the type of permitted real property collateral releases; (h) compliance with zoning ordinances, building codes and land laws; (i) in the case of a leasehold mortgage loan, the presence of lender protections in the ground lease and/or ground lessor estoppel; and (j) REMIC eligibility of the subject underlying mortgage loan. In the case of a breach of any of the loan-level representations and warranties in any mortgage loan purchase agreement that materially and adversely affects the value of any of the underlying mortgage loans or the interests of the series 2006-C4 certificateholders therein, the applicable mortgage loan seller, if it does not cure such breach within a period of 90 days following its receipt of notice thereof, is obligated pursuant to the applicable mortgage loan purchase agreement (the relevant rights under which have been assigned by us to the trustee) to either substitute a Qualified Substitute Mortgage Loan and pay any Substitution Shortfall Amount or to repurchase the affected mortgage loan within such 90-day period at the applicable Purchase Price; provided that, unless the breach would cause the mortgage loan not to be a qualified mortgage within the meaning of Section 860G(a)(3) of the Internal Revenue Code, the applicable mortgage loan seller generally has an additional 90-day period to cure such breach if it is diligently proceeding with such cure. Each mortgage loan seller is solely responsible for its repurchase or substitution obligation, and such obligations will not be our responsibility. Any substitution of a Qualified Substitute Mortgage Loan for a defective mortgage loan in the trust fund must occur no later than the second anniversary of the Issue Date. The foregoing substitution or repurchase obligation constitutes the sole remedy available to the series 2006-C4 certificateholders and the trustee for any uncured material breach of any mortgage loan seller's representations and warranties regarding its mortgage loans. There can be no assurance that the applicable mortgage loan seller will have the financial resources to repurchase any mortgage loan at any particular time. Each mortgage loan seller is the sole warranting party in respect of the mortgage loans sold by that mortgage loan seller to us, and no other person or entity will be obligated to substitute or repurchase any such affected mortgage 103 loan in connection with a material breach of a mortgage loan seller's representations and warranties if such mortgage loan seller defaults on its obligation to do so. REPURCHASE OR SUBSTITUTION OF CROSS-COLLATERALIZED MORTGAGE LOANS If (a) any underlying mortgage loan is required to be repurchased or substituted for in the manner described above in "--Assignment of the Mortgage Loans; Repurchases and Substitutions" or "--Representations and Warranties; Repurchases and Substitutions," (b) that mortgage loan is cross-collateralized and cross-defaulted with one or more other mortgage loans in the trust fund and (c) the applicable document omission or defect or breach of a representation and warranty giving rise to the repurchase/substitution obligation does not otherwise relate to any other Crossed Loan in the subject Crossed Group (without regard to this paragraph), then the applicable document omission or defect or the applicable breach, as the case may be, will be deemed to relate to the other Crossed Loans in the subject Crossed Group for purposes of this paragraph, and the related mortgage loan seller will be required to repurchase or substitute for such other Crossed Loan(s) in the subject Crossed Group as provided above in "--Assignment of the Mortgage Loans; Repurchases and Substitutions" or "--Representations and Warranties; Repurchases and Substitutions" unless: (i) the debt service coverage ratio for all of the remaining Crossed Loans for the four calendar quarters immediately preceding the repurchase or substitution is not less than the debt service coverage ratio for all such related Crossed Loans, including the actually affected Crossed Loan, for the four calendar quarters immediately preceding the repurchase or substitution, (ii) the loan-to-value ratio for any of the remaining related Crossed Loans, determined at the time of repurchase or substitution based upon an appraisal obtained by the special servicer at the expense of the related mortgage loan seller is not greater than the loan-to-value ratio for all such related Crossed Loans, including the actually affected Crossed Loan, determined at the time of repurchase or substitution based upon an appraisal obtained by the special servicer at the expense of the related mortgage loan seller, and (iii) the trustee receives an opinion of counsel to the effect that such repurchase or substitution will not adversely affect the tax status of any REMIC created under the series 2006-C4 pooling and servicing agreement. If the conditions set forth in clauses (i), (ii) and (iii) of the prior sentence are satisfied, then the applicable mortgage loan seller may elect either to repurchase or substitute for only the actually affected Crossed Loan as to which the related breach or the related document omission or defect, as the case may be, exists or to repurchase or substitute for all of the Crossed Loans in the related Crossed Group. To the extent that the related mortgage loan seller repurchases or substitutes for an affected Crossed Loan as described in the immediately preceding paragraph while the trustee continues to hold any related Crossed Loans, we and the related mortgage loan seller have agreed in the related mortgage loan purchase agreement to forbear from enforcing any remedies against the other's Primary Collateral, but each is permitted to exercise remedies against the Primary Collateral securing its respective affected Crossed Loans, including, with respect to the trustee, the Primary Collateral securing mortgage loans still held by the trustee, so long as such exercise does not materially impair the ability of the other party to exercise its remedies against its Primary Collateral. If the exercise of remedies by one party would materially impair the ability of the other party to exercise its remedies with respect to the Primary Collateral securing the Crossed Loans held by such party, then both parties must forbear from exercising such remedies until the loan documents evidencing and securing the relevant mortgage loans can be modified in a manner that complies with the related mortgage loan purchase agreement to remove the threat of material impairment as a result of the exercise of remedies. Notwithstanding the foregoing discussion, if any mortgage loan is otherwise required to be repurchased or substituted for in the manner described above, as a result of a document defect or breach with respect to one or more mortgaged real properties that secure a mortgage loan that is secured by multiple properties, the related mortgage loan seller will not be required to effect a repurchase or substitution of the subject mortgage loan if-- o the affected mortgaged real property(ies) may be released pursuant to the terms of any partial release provisions in the related loan documents and such mortgaged real property(ies) are, in 104 fact, released, and to the extent not covered by the applicable release price required under the related loan documents, the related mortgage loan seller pays (or causes to be paid) any additional amounts necessary to cover all reasonable out-of-pocket expenses reasonably incurred by the master servicer, the special servicer, the trustee or the issuing entity in connection with such release, o the remaining mortgaged real property(ies) satisfy the requirements, if any, set forth in the loan documents and the applicable mortgage loan seller provides an opinion of counsel to the effect that such release would not cause any REMIC created under the series 2006-C4 pooling and servicing agreement to fail to qualify as a REMIC under the Internal Revenue Code or result in the imposition of any tax on prohibited transactions or contributions after the startup day of any such REMIC under the Internal Revenue Code, and o the related mortgage loan seller obtains written confirmation from each applicable rating agency that the release will not result in a qualification, downgrade or withdrawal of any of the then-current ratings of the offered certificates. REPURCHASE AND SUBSTITUTION OF THE SHOPKO PORTFOLIO MORTGAGE LOAN The ShopKo Portfolio Mortgage Loan is evidenced by two promissory notes with equal principal amounts, one of which is currently held by Citigroup Global Markets Realty Corp. and one of which is currently held by Barclays Capital Real Estate Inc. We will acquire those promissory notes from those respective sponsors. If the ShopKo Portfolio Mortgage Loan must be repurchased or replaced as described under "--Assignment of the Mortgage Loans; Repurchases and Substitutions" and/or "--Representations and Warranties; Repurchases and Substitutions", then each such sponsor will be required to repurchase or replace solely the portion of that underlying mortgage loan that it transferred to us, and neither such sponsor shall be responsible for the performance of the other sponsor of its duty to effect such repurchase or substitution. If only one such promissory note is removed from the trust fund, then the portion of the related debt evidenced by that promissory note will be treated as a separate ShopKo Portfolio Non-Trust Loan, and the portion of the related debt evidenced by the promissory note that remains in the trust fund will continue to be treated as an underlying mortgage loan. CHANGES IN MORTGAGE POOL CHARACTERISTICS The description in this offering prospectus of the underlying mortgage loans and the related mortgaged real properties is based upon the mortgage pool as it is expected to be constituted at the time the offered certificates are issued assuming that (i) all scheduled principal and interest payments due on or before the cut-off date will be made, and (ii) there will be no principal prepayments on or before the cut-off date. Prior to the issuance of the offered certificates, mortgage loans may be removed from the series 2006-C4 securitization transaction as a result of prepayments, delinquencies, incomplete documentation or otherwise, if we or the applicable mortgage loan seller deems that removal necessary, appropriate or desirable. A limited number of other mortgage loans may be included in the series 2006-C4 securitization transaction prior to the issuance of the offered certificates, unless including those mortgage loans would materially alter the characteristics of the mortgage pool as described in this offering prospectus. We believe that the information set forth in this offering prospectus will be representative of the characteristics of the mortgage pool as it will be constituted at the time the offered certificates are issued, although the range of mortgage rates and maturities, as well as other characteristics, of the subject mortgage loans described in this offering prospectus may vary. A copy of the series 2006-C4 pooling and servicing agreement, including the exhibits thereto, will be filed with the SEC as an exhibit to a current report on Form 8-K under the Exchange Act, following the Issue Date. If mortgage loans are removed from or added to the mortgage pool and investors were not otherwise informed, then that removal or addition will be noted in that current report on Form 8-K. In addition, if and to the 105 extent that any material terms of the series 2006-C4 pooling and servicing agreement or the exhibits thereto have not been disclosed in this offering prospectus, then the series 2006-C4 pooling and servicing agreement, together with such exhibits, will be filed with the SEC as an exhibit to a current report on Form 8-K on the Issue Date. The SEC will make those current reports on Form 8-K and its exhibits available to the public for inspection. See "Available Information" in the accompanying base prospectus. TRANSACTION PARTICIPANTS THE ISSUING ENTITY The issuing entity with respect to the series 2006-C4 certificates will be the Citigroup Commercial Mortgage Trust 2006-C4, a common law trust created under the laws of the State of New York pursuant to the series 2006-C4 pooling and servicing agreement. The Citigroup Commercial Mortgage Trust 2006-C4 is sometimes referred to in this offering prospectus as the "trust" and its assets are sometimes collectively referred to in this offering prospectus as the "trust fund." We will transfer the underlying mortgage loans to the issuing entity in exchange for the series 2006-C4 certificates being issued to us or at our direction. The issuing entity's activities will be limited to the transactions and activities entered into in connection with the securitization described in this offering prospectus, and except for those activities, the issuing entity is not authorized and has no power to borrow money or issue debt, merge with another entity, reorganize, liquidate or sell assets or engage in any business or activities. Consequently, the issuing entity is not permitted to hold any assets, or incur any liabilities, other than those described in this offering prospectus. Because the issuing entity will be created pursuant to the series 2006-C4 pooling and servicing agreement, the issuing entity and its permissible activities can only be amended or modified by amending the series 2006-C4 pooling and servicing agreement. See "Description of the Governing Documents--Amendment" in the accompanying base prospectus. The fiscal year end of the issuing entity is December 31. The issuing entity will not have any directors, officers or employees. The trustee, the master servicer and the special servicer will be responsible for administration of the trust fund, in each case to the extent of its duties expressly set forth in the series 2006-C4 pooling and servicing agreement. Those parties may perform their respective duties directly or through sub-servicers and/or agents. Because the issuing entity is a common law trust, it may not be eligible for relief under the federal bankruptcy laws, unless it can be characterized as a "business trust" for purposes of the federal bankruptcy laws. Bankruptcy courts look at various considerations in making this determination, so it is not possible to predict with any certainty whether or not the issuing entity would be characterized as a "business trust." THE DEPOSITOR We are Citigroup Commercial Mortgage Securities Inc., the depositor with respect to the series 2006-C4 securitization transaction. We are a Delaware corporation and an indirect, wholly-owned subsidiary of Citigroup Global Markets Holdings Inc. In addition, we are an affiliate of Citigroup Global Markets Realty Corp., one of the sponsors, and Citigroup Global Markets Inc., one of the underwriters. Our principal executive offices are located at 388 Greenwich Street, New York, New York 10013. We are only engaged in the securitization of commercial and multifamily mortgage loans and have been since we were organized in 2003. See "Transaction Participants--The Depositor" in the accompanying base prospectus. 106 THE SPONSORS General. Citigroup Global Markets Realty Corp. ("CGMRC"), PNC Bank, National Association ("PNC Bank") and Barclays Capital Real Estate Inc. ("BCRE") will act as co-sponsors with respect to the series 2006-C4 securitization transaction. We will acquire the mortgage loans that we intend to include in the trust fund directly from the sponsors. Set forth below is information regarding the total number and cut-off date principal balance of the mortgage loans that we will acquire from each sponsor: TOTAL CUT-OFF % OF INITIAL % OF INITIAL DATE % OF INITIAL LOAN GROUP LOAN GROUP NUMBER OF PRINCIPAL MORTGAGE POOL NO. 1 NO. 2 SPONSOR MORTGAGE LOANS BALANCE BALANCE BALANCE BALANCE -------- -------------- -------------- ------------- ------------ ------------ CGMRC 138(1) $1,834,444,046 81.0% 82.7% 73.1% PNC Bank 28 329,091,992 14.5 12.0 26.9 BCRE 1(1) 100,000,00 4.4 5.3 -- --- -------------- ----- ----- ----- TOTAL 166(1) 2,263,536,038 100.0 100.0 100.0 ---------- (1) CGMRC and BCRE co-originated the ShopKo Portfolio Mortgage Loan which has a cut-off date principal balance of $200,000,000. The ShopKo Portfolio Loan is evidenced by two (2) promissory notes, one (1) in the unpaid principal amount of $100,000,000 currently held by CGMRC and one (1) in the unpaid principal amount of $100,000,000 currently held by BCRE. Except as described below, each mortgage loan that we intend to include in the trust fund was originated by one of the following parties: (a) the sponsor that is selling that mortgage loan to us; (b) an affiliate of that sponsor; or (c) a correspondent in that sponsor's conduit lending program that originated the subject mortgage loan under the supervision of, and specifically for sale to, that sponsor. Citigroup Global Markets Realty Corp. CGMRC, a New York corporation, is our affiliate and an affiliate of Citigroup Global Markets Inc., one of the underwriters. CGMRC was organized in 1979 and its executive offices are located at 388 Greenwich Street, New York, New York 10013. CGMRC, directly or through correspondents or affiliates, originates multifamily and commercial mortgage loans throughout the United States and abroad. CGMRC has been engaged in the origination of multifamily and commercial mortgage loans for securitization since 1996 and has been involved in the securitization of residential mortgage loans since 1987. The multifamily and commercial mortgage loans originated by CGMRC include both fixed-rate loans and floating-rate loans. Most of the multifamily and commercial mortgage loans included in commercial mortgage securitizations sponsored by CGMRC have been originated, directly or through correspondents, by CGMRC or an affiliate. CGMRC securitized approximately $717 million, $822 million, $1.23 billion, $1.91 billion and $3.24 billion of commercial mortgage loans in public offerings during the fiscal years 2001, 2002, 2003, 2004 and 2005, respectively. For further information about CGMRC and its affiliates, the general character if its business, its securitization program and a general discussion of CGMRC's procedures for originating or acquiring and securitizing commercial and multifamily mortgage loans, see "Transaction Participants--The Sponsor" in the accompanying base prospectus. 107 PNC Bank, National Association. PNC Bank, a national banking association, is a sponsor and one of the mortgage loan sellers. PNC Bank is an affiliate of Midland Loan Services, Inc., the master servicer, and of PNC Capital Markets LLC, one of the underwriters. PNC Bank is a wholly owned indirect subsidiary of The PNC Financial Services Group, Inc., a Pennsylvania corporation ("PNC Financial") and is PNC Financial's principal bank subsidiary. As of December 31, 2005, PNC Bank, National Association had total consolidated assets representing 89.9% of PNC Financial's consolidated assets. PNC Bank's business is subject to examination and regulation by United States federal banking authorities. Its primary federal bank regulatory authority is the Office of the Comptroller of the Currency. PNC Financial and its subsidiaries offer a wide range of commercial banking, retail banking and trust and asset management services to its customers. The principal office of PNC Bank is located in Pittsburgh, Pennsylvania. PNC Bank originates and purchases commercial and multifamily mortgage loans for securitization or resale. PNC Bank originated all of the mortgage loans it is selling to the Depositor. PNC Bank's Commercial Real Estate Securitization Program. PNC Bank and a predecessor entity have been active as participants in the securitization of commercial mortgage loans since 1996. In April 1998, PNC Bank formed Midland Loan Services, Inc., which acquired the businesses and operations of Midland Loan Services, L.P. ("Midland LP"). The acquisition of Midland LP led to the combination of the separate origination and securitization operations of PNC Bank and Midland LP. The predecessor Midland LP operation began originating mortgage loans for securitization in 1994 and participated in its first securitization in 1995, while the predecessor PNC Bank operation began originating mortgage loans for securitization in 1996 and participated in its first securitization in 1996. PNC Bank originates or acquires mortgage loans and, together with other sponsors or loan sellers, participates in the securitization of those loans by transferring them to a depositor, which in turn transfers them to the issuing entity for the securitization. In coordination with its affiliate, PNC Capital Markets LLC, and with other underwriters, PNC Bank works with rating agencies, investors, loan sellers and servicers in structuring the securitization transaction. In a typical securitization that includes PNC Bank loans, its affiliate Midland Loan Services, Inc. generally is the primary servicer of the PNC Bank loans and in addition, Midland Loan Services, Inc. is often appointed master servicer and/or the special servicer of a portion or all of the pooled loans. PNC Bank currently acts as sponsor and mortgage loan seller in transactions in which other entities act as sponsors, loan sellers and/or depositors. Prior to April 2001, PNC Bank was a mortgage loan seller in multiple-seller transactions in which entities affiliated with PNC Bank acted as the depositors. As of March 31, 2006, the total amount of commercial and multifamily mortgage loans originated by PNC Bank for securitization since the acquisition of the Midland LP securitization program in April 1998 was approximately $10.4 billion (all amounts set forth in this paragraph are aggregate original principal balances), of which PNC Bank included approximately $10.2 billion in approximately 35 securitizations as to which PNC Bank acted as sponsor or loan seller, and approximately $230 million of such loans were included in securitizations in which we acted as the depositor. In its fiscal year ended December 31, 2005, PNC Bank originated over $3.1 billion in commercial and multifamily mortgage loans for securitization, of which approximately $3.0 billion was included in securitizations in which unaffiliated entities acted as depositors. By comparison, in fiscal year 1999, the year after the acquisition of Midland LP, PNC Bank originated approximately $743 million in such loans for securitization. The commercial mortgage loans originated for securitization by PNC Bank have, to date, consisted entirely of fixed-rate loans secured primarily by multifamily, office, retail, industrial, hotel, manufactured housing and self-storage properties. PNC Bank does not have distinct small- or large-loan programs, but rather originates 108 and securitizes under a single program (which is the program under which PNC Bank originated the mortgage loans that will be deposited into the transaction described in this offering prospectus). Since the acquisition of Midland LP in 1998, PNC Bank has contracted with its wholly-owned subsidiary Midland Loan Services, Inc. for servicing the mortgage loans it originates prior to their securitization. Midland Loan Services, Inc. will act as the master servicer in this transaction. See "Transaction Participants--The Master Servicers and the Special Servicer" in this offering prospectus for more information. PNC Bank's Underwriting Standards. Conduit mortgage loans originated for securitization by PNC Bank will generally be originated in accordance with the underwriting criteria described below. Each lending situation is unique, however, and the facts and circumstances surrounding the mortgage loan, such as the quality and location of the real estate collateral, the sponsorship of the borrower and the tenancy of the collateral, will impact the extent to which the general guidelines below are applied to a specific mortgage loan. The underwriting criteria below are general, and in many cases exceptions may be approved to one or more of these guidelines. Accordingly, no representation is made that every mortgage loan will comply in all respects with the criteria set forth below. 1. LOAN ANALYSIS. The PNC Bank credit underwriting team for each mortgage loan is comprised of real estate professionals of PNC Bank. The underwriting team for each mortgage loan is required to conduct a review of the related mortgaged property, generally including an analysis of the historical property operating statements, if available, rent rolls, current and historical real estate taxes, and a review of tenant leases. The review includes a market analysis which includes a review of supply and demand trends, rental rates and occupancy rates. The credit of the borrower and certain key principals of the borrower are examined for financial strength and character prior to approval of the loan. This analysis generally includes a review of historical financial statements (which are generally unaudited), historical income tax returns of the borrower and its principals, third-party credit reports, judgment, lien, bankruptcy and pending litigation searches. Depending on the type of real property collateral involved and other relevant circumstances, the credit of key tenants also may be examined as part of the underwriting process. Generally, a member of the PNC Bank underwriting team (or someone on its behalf) visits the property for a site inspection to ascertain the overall quality and competitiveness of the property, including its physical attributes, neighborhood and market, accessibility and visibility and demand generators. As part of its underwriting procedures, PNC Bank also generally performs the procedures and obtains the third-party reports or other documents described below: (a) Property Analysis. PNC Bank generally performs or causes to be performed a site inspection to evaluate the location and quality of the related mortgaged properties. Such inspection generally includes an evaluation of functionality, design, attractiveness, visibility and accessibility, as well as location to major thoroughfares, transportation centers, employment sources, retail areas and educational or recreational facilities. PNC Bank assesses the submarket in which the property is located to evaluate competitive or comparable properties as well as market trends. In addition, PNC Bank evaluates the property's age, physical condition, operating history, lease and tenant mix, and management. (b) Cash Flow Analysis. PNC Bank reviews, among other things, historical operating statements, rent rolls, tenant leases and/or budgeted income and expense statements provided by the borrower and makes adjustments in order to determine a debt service coverage ratio, including taking into account the benefits of any governmental assistance programs. (c) Appraisal and LTV Ratio. For each mortgaged property, PNC Bank obtains a current full narrative appraisal conforming at least to the requirements of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 ("FIRREA"). The appraisal is generally based on the highest and best use of the mortgaged property and must include an estimate of the then current 109 market value of the property in its then current condition, although in certain cases, PNC Bank may also obtain a value on an "as stabilized" basis. PNC Bank then determines the LTV Ratio of the mortgage loan at the date of origination or, if applicable, in connection with its acquisition, in each case based upon the value set forth in the appraisal. (d) Evaluation of Borrower. PNC Bank evaluates the borrower and its principals with respect to credit history and prior experience as an owner and operator of commercial real estate properties. The evaluation will generally include obtaining and reviewing a credit report or other reliable indication of the borrower's financial capacity; obtaining and verifying credit references and/or business and trade references; and obtaining and reviewing certifications provided by the borrower as to prior real estate experience and current contingent liabilities. Finally, although the mortgage loans generally are non-recourse in nature, in the case of certain mortgage loans, the borrower and certain principals of the borrower may be required to assume legal responsibility for liabilities relating to fraud, intentional misrepresentation, misappropriation of funds and breach of environmental or hazardous waste requirements. PNC Bank evaluates the financial capacity of the borrower and such principals to meet any obligations that may arise with respect to such liabilities. (e) Environmental Site Assessment. Prior to origination, PNC Bank either (i) obtains or updates an environmental site assessment ("ESA") for a mortgaged property prepared by a qualified environmental firm or (ii) obtains an environmental insurance policy for a mortgaged property. If an ESA is obtained or updated, PNC Bank reviews the ESA to verify the absence of reported violations of applicable laws and regulations relating to environmental protection and hazardous waste or other material adverse environmental condition or circumstance. In cases in which the ESA identifies such violations, that would require cleanup, remedial action or other response estimated to cost a material amount, PNC Bank either (i) determines that another party with sufficient assets is responsible for taking remedial actions directed by an applicable regulatory authority or (ii) requires the borrower to do one of the following: (A) carry out satisfactory remediation activities or other responses prior to the origination of the mortgage loan, (B) establish an operations and maintenance plan, (C) place sufficient funds in escrow or establish a letter of credit at the time of origination of the mortgage loan to complete such remediation within a specified period of time, (D) obtain an environmental insurance policy for the mortgaged property, (E) provide or obtain an indemnity agreement or a guarantee with respect to such condition or circumstance, or (F) receive appropriate assurances that significant remediation activities or other significant responses are not necessary or required. Certain of the mortgage loans may also have other environmental insurance policies. (f) Physical Assessment Report. Prior to origination, PNC Bank obtains a physical assessment report ("PAR") for each mortgaged property prepared by a qualified structural engineering firm. PNC Bank reviews the PAR to verify that the property is reported to be in satisfactory physical condition and to determine the anticipated cost of necessary repair, replacement and major maintenance or capital expenditure needs over the term of the mortgage loan. In cases in which the PAR identifies material repairs or replacements needed immediately, PNC Bank generally requires the borrower to carry out such repairs or replacements prior to the origination of the mortgage loan, or, in many cases, requires the borrower to place sufficient funds in escrow or obtain a letter of credit in lieu of an escrow at the time of origination of the mortgage loan to complete such repairs or replacements within not more than 12 months. (g) Title Insurance Policy. The borrower is required to provide, and PNC Bank reviews, a title insurance policy for each mortgaged property. The title insurance policy must generally meet the following requirements: (1) the policy must be written by a title insurer licensed to do business in 110 a jurisdiction where the mortgaged property is located; (2) the policy must be in an amount equal to the original principal balance of the mortgage loan; (3) the protection and benefits of the policy must run to the mortgagee and its successors and assigns; (4) the policy should be written on a standard policy form of the American Land Title Association or equivalent policy promulgated in the jurisdiction where the mortgaged property is located; and (5) the legal description of the mortgaged property in the title policy must conform to that shown on the survey of the mortgaged property, where a survey has been required. (h) Property Insurance. The borrower is required to provide, and PNC Bank reviews, certificates of required insurance with respect to the mortgaged property. Such insurance generally may include: (1) commercial general liability insurance for bodily injury or death and property damage; (2) a fire and extended perils insurance policy providing "special" form coverage including coverage against loss or damage by fire, lightening, explosion, smoke, wind storm and hail, riot or strike and civil commotion; (3) if applicable, boiler and machinery coverage; (4) if the mortgaged property is located in a flood hazard area, flood insurance; and (5) such other coverage as PNC Bank may require based on the specific characteristics of the mortgaged property. 2. LOAN APPROVAL. Prior to commitment, all mortgage loans must be approved by a loan committee comprised of senior real estate professionals from PNC Bank. The loan committee may either approve a mortgage loan as recommended, request additional due diligence and/or modify the terms, or reject a mortgage loan. 3. DEBT SERVICE COVERAGE RATIO AND LTV RATIO. PNC Bank's underwriting standards generally require a minimum debt service coverage ratio of 1.20x and maximum LTV Ratio of 80%. However, these requirements constitute solely a guideline, and exceptions to these guidelines may be approved based on the individual characteristics of a mortgage loan. For example, PNC Bank may originate a mortgage loan with a lower debt service coverage ratio or higher LTV Ratio based on the types of tenants and leases at the subject real property, the taking of additional collateral such as reserves, letters of credit and/or guarantees, PNC Bank's judgment of improved property performance in the future and/or other relevant factors. In addition, with respect to certain mortgage loans originated by PNC Bank there may exist subordinate debt secured by the related mortgaged property and/or mezzanine debt secured by direct or indirect ownership interests in the borrower. Such mortgage loans would have a lower debt service coverage ratio, and a higher LTV Ratio, if such subordinate or mezzanine debt were taken into account. The debt service coverage ratio guidelines set forth above are calculated based on underwritten net cash flow at origination. Therefore, the debt service coverage ratio for each mortgage loan as reported in this offering prospectus and Annex A-1 hereto may differ from the amount calculated at the time of origination. In addition, PNC Bank's underwriting guidelines generally permit a maximum amortization period of 30 years. However, certain mortgage loans may provide for interest-only payments until maturity, or for an interest-only period during a portion of the term of the mortgage loan. See "Description of the Mortgage Pool" in this offering prospectus. 4. ESCROW REQUIREMENTS. PNC Bank often requires a borrower to fund various escrows for taxes and insurance, and may also require reserves for deferred maintenance, re-tenanting expenses and capital expenses, in some cases only during periods when certain debt service coverage ratio or LTV Ratio tests are not satisfied. In some cases, the borrower is permitted to post a letter of credit or guaranty, or provide periodic evidence that the items for which the escrow or reserve would have been established are being paid or addressed, in lieu of funding a given reserve or escrow. PNC Bank conducts a case-by-case analysis to determine the need for a particular escrow or reserve. Consequently, the aforementioned escrows and reserves are not established for every multifamily and commercial mortgage loan originated by PNC Bank. 111 Barclays Capital Real Estate Inc. Overview. Barclays Capital Real Estate Inc. ("BCRE"), a Delaware corporation formed in 2004, is an indirect, wholly-owned subsidiary of Barclays Bank PLC. The executive offices of BCRE are located at 200 Park Avenue, New York, New York 10166. BCRE's telephone number is (212) 412-4000. BCRE's primary business is the underwriting, origination, purchase and sale of mortgage and mezzanine loans secured by commercial or multifamily properties. BCRE began originating and securitizing commercial mortgage loans in 2004. As of December 31, 2005, the total aggregate principal amount of mortgage loans originated by BCRE since 2004 was approximately $10 billion, of which approximately $3 billion has been securitized by third-party unaffiliated entities acting as depositor. The commercial mortgage loans originated by BCRE include both fixed and floating rate mortgage loans. BCRE primarily originates mortgage loans secured by retail, office, hotel, multifamily, industrial and self-storage properties, but also originates loans secured by manufactured housing, movie theatres, parking garages and land, among other property types. BCRE and its affiliates also originate subordinate and mezzanine debt and participate in the origination of mortgage loans with other mortgage loan sellers. As a sponsor, BCRE originates or acquires mortgage loans and, either by itself or together with other sponsors or mortgage loan sellers, initiates the securitization of those mortgage loans by transferring them to a securitization depositor, which in turn transfers them to the issuing entity for the related securitization. BCRE is an affiliate of Barclays Capital Inc., one of the underwriters. In coordination with its broker-dealer affiliate, Barclays Capital Inc., and other underwriters, BCRE works with rating agencies, investors, mortgage loans sellers and servicers in structuring the securitization transaction. BCRE acts as a sponsor and mortgage loan seller in transactions in which other entities act as sponsor or mortgage loan seller. Multiple seller transactions in which BCRE has participated include certain 2004 series of certificates in which J.P. Morgan Chase Commercial Mortgage Securities Corp. was the depositor and certain 2005 and 2006 series of certificates issued under the Banc of America Commercial Mortgage Inc. and Credit Suisse First Boston Mortgage Securities Corp. programs. The following table sets forth information with respect to originations and securitizations of commercial and multifamily mortgage loans by BCRE for the two years ending on December 31, 2005. YEAR(1) TOTAL BCRE LOANS(2) TOTAL BCRE SECURITIZED LOANS(2) ------- ------------------- ------------------------------- 2004 $ 3.0 $0.4 2005 $ 7.0 $2.6 TOTAL $10.0 $3.0 ---------- (1) Approximate amounts in billions-$. (2) BCRE Loans means all loans originated or purchased by BCRE in the relevant year. Loans originated in a given year that were not securitized in that year generally were held for securitization in the following year. Securitized loans included in the table above include both fixed rate and floating rate loans and loans included in both public and private securitizations. BCRE's Underwriting Standards. Generally, all of the BCRE mortgage loans were originated by BCRE. In each case, the mortgage loans generally will have been underwritten in accordance with BCRE's general underwriting standards and guidelines as set forth below. Each lending situation is unique, however, and the facts and circumstances surrounding each mortgage loan, such as the quality, tenancy, and location of the real estate collateral, and the sponsorship of the borrower, will impact the extent to which the general underwriting standards and guidelines are applied to a specific mortgage loan. The underwriting criteria are general and there is no 112 assurance that every mortgage loan will comply in all respects with the general underwriting standards and guidelines, and in many cases exceptions to one or more of these standards and guidelines apply. Accordingly, no representation is made that every mortgage loan will comply in all respects with the general underwriting standards and guidelines set forth below. 1. MORTGAGE LOAN ANALYSIS. The underwriter for each mortgage loan is required to conduct a review of the related mortgaged property, generally including, but not limited to, an analysis of the historical property operating statements, if applicable, rent rolls, current and historical real estate taxes, a review of tenant leases, and analyze the appraisal, engineering report, seismic report, if applicable and environmental report. The credit and background of the borrower and certain key principals of the borrower are examined for financial strength and character prior to approval of the loan. This analysis generally includes a review of historical financial statements (which are generally unaudited), historical income tax returns of the borrower and its principals, third-party credit reports, judgment, lien, bankruptcy and pending litigation searches. Depending on the type of real property collateral involved and other relevant circumstances, the credit of key tenants also may be examined as part of the underwriting process. Generally, a member of the BCRE group visits the property for a site inspection to confirm occupancy and ascertain the overall quality and competitiveness of the property, including its physical attributes, neighborhood and market, accessibility and visibility and demand generators. BCRE sometimes retains outside consultants to assist in its underwriting. As part of its underwriting procedures, BCRE generally also obtains certain third party reports or other documents in connection with various assessments and appraisals, such as assessments relating to property value and condition, environmental conditions and zoning and building code compliance. 2. DEBT SERVICE COVERAGE RATIO AND LTV RATIO. BCRE's underwriting standards generally require a minimum debt service coverage ratio of 1.20x and a maximum LTV ratio of 80%. However, these requirements solely constitute guidelines, and exceptions to these guidelines may be approved based on the individual characteristics of the mortgage loan. The debt service coverage ratio guidelines set forth above are calculated based on anticipated underwritten net cash flow at the time of origination. Therefore, the debt service coverage ratio for each mortgage loan as reported elsewhere in this prospectus supplement may differ from the amount determined at the time of origination. In addition, BCRE's underwriting standards generally permit a maximum amortization period of 30 years. However, certain mortgage loans may provide for an interest-only period during all or a portion of the term of the mortgage loan. 3. ESCROW REQUIREMENTS. BCRE generally, but not in all cases, requires a borrower to fund various escrows for taxes and insurance, and may also require reserves for deferred maintenance, re-tenanting expenses and capital expenses. In some cases, the borrower is permitted to post a letter of credit or guaranty, or provide periodic evidence that the items for which the escrow or reserve would have been established are being paid or addressed, in lieu of funding a given reserve or escrow. BRCE conducts a case-by-case analysis to determine the need for a particular escrow or reserve. Consequently, the aforementioned escrows and reserves are not established for every multifamily and commercial mortgage loan originated by BCRE. 4. EARNOUTS AND ADDITIONAL COLLATERAL LOANS. Some of the mortgage loans are sometimes additionally secured by cash reserves or irrevocable letters of credit that will be released upon satisfaction by the borrower of leasing-related or other conditions, including, in some cases, achieving specified debt service coverage ratios or loan-to-value ratios. 5. ADDITIONAL DEBT. Certain mortgage loans may have, or permit in the future, certain additional subordinate debt, either secured or unsecured. It is possible that BCRE or an affiliate will be the lender on that additional debt. The combined debt service coverage and loan to value ratios may be below 1.20x and above 80%, respectively, based on the existence of additional debt secured by the real property collateral or directly or indirectly by equity interests in the related borrower. 113 6. LOAN APPROVAL. Prior to commitment and funding, all mortgage loans to be originated by BCRE must be approved by a loan committee comprised of one or more (depending on the loan size) senior real estate professionals from BCRE and must be approved by representatives from the bank's credit department. The loan committee may either approve a mortgage loan as recommended, request additional due diligence, modify the loan terms, or decline a mortgage loan. Servicing. BCRE currently contracts with third-party servicers for servicing the mortgage loans that it originates or acquires. Third-party servicers are assessed based upon the credit quality of the servicing institution. Servicers may be reviewed for their systems and reporting capabilities, collection procedures and ability to provide loan-level data. In addition, BCRE may conduct background checks, meet with senior management to determine whether the servicer complies with industry standards or otherwise monitor the servicer on an ongoing basis. BCRE does not act as a servicer of the mortgage loans in its securitizations. THE SERVICERS General. The parties primarily responsible for servicing the underlying mortgage loans will be the master servicer and the special servicer. The obligations of the master servicer and the special servicer are set forth in the series 2006-C4 pooling and servicing agreement, and are described under "The Series 2006-C4 Pooling and Servicing Agreement" below in this offering prospectus. In addition, as permitted under the series 2006-C4 pooling and servicing agreement, the master servicer and/or special servicer may delegate their respective servicing obligations to one or more sub-servicers. With respect to most of the underlying mortgage loans, the master servicer is responsible for master servicing and primary servicing functions and the special servicer is responsible for special servicing functions, however, with respect to certain underlying mortgage loans or groups of underlying mortgage loans, in each case aggregating less than 10% of the Initial Mortgage Pool Balance, for which the master servicer or the special servicer, as the case may be, has entered or will enter into a sub-servicing agreement, such servicer will be responsible for overseeing the obligations of the related sub-servicer and aggregating relating collections and reports with the remaining mortgage pool. See "The Series 2006-C4 Pooling and Servicing Agreement--Sub-Servicers" in this offering prospectus. The Initial Master Servicer. Midland Loan Services, Inc. ("Midland") will be the master servicer and in this capacity will be responsible for the master servicing and administration of the mortgage loans pursuant to the pooling and servicing agreement. Certain servicing and administrative functions will also be provided by one or more primary servicers that previously serviced the mortgage loans for the applicable loan seller. Midland is a Delaware corporation and a wholly-owned subsidiary of PNC Bank, National Association, one of the mortgage loan sellers. Midland is also an affiliate of PNC Capital Markets LLC, one of the underwriters. Midland's principal servicing office is located at 10851 Mastin Street, Building 82, Suite 300, Overland Park, Kansas 66210. Midland is a real estate financial services company that provides loan servicing, asset management and technology solutions for large pools of commercial and multifamily real estate assets. Midland is approved as a master servicer, special servicer and primary servicer for investment-grade commercial and multifamily mortgage-backed securities by S&P, Moody's and Fitch. Midland has received the highest rankings as a master, primary and special servicer from both S&P and Fitch. S&P ranks Midland as "Strong" and Fitch ranks Midland as "1" for each category. Midland is also a HUD/FHA-approved mortgagee and a Fannie Mae-approved multifamily loan servicer. Midland has adopted written policies and procedures relating to its various servicing functions to maintain compliance with its servicing obligations and the servicing standards under Midland's servicing agreements, including procedures for managing delinquent loans. Midland has made certain changes to its servicing policies, procedures and controls in the past three years, which address, among other things, (i) Midland's conversion to its 114 proprietary Enterprise!(R) Loan Management System as its central servicing and investor reporting system; and (ii) an updated disaster recovery plan. Midland will not have primary responsibility for custody services of original documents evidencing the underlying mortgage loans. Midland may from time to time have custody of certain of such documents as necessary for servicing of particular underlying mortgage loans or otherwise. To the extent that Midland has custody of any such documents for any such servicing purposes, such documents will be maintained in a manner consistent with the Servicing Standard. No securitization transaction involving commercial or multifamily mortgage loans in which Midland was acting as master servicer, primary servicer or special servicer has experienced an event of default as a result of any action or inaction of Midland as master servicer, primary servicer or special servicer, as applicable, including as a result of Midland's failure to comply with the applicable servicing criteria in connection with any securitization transaction. Midland has made all advances required to be made by it under the servicing agreements on the commercial and multifamily mortgage loans serviced by Midland in securitization transactions. From time-to-time Midland is a party to lawsuits and other legal proceedings as part of its duties as a loan servicer (e.g., enforcement of loan obligations) and/or arising in the ordinary course of business. Midland does not believe that any such lawsuits or legal proceedings would, individually or in the aggregate, have a material adverse effect on its business or its ability to service loans pursuant to the series 2006-C4 pooling and servicing agreement. Midland currently maintains an Internet-based investor reporting system, CMBS Investor Insight(R), that contains performance information at the portfolio, loan and property levels on the various commercial mortgage-backed securities transactions that it services. Series 2006-C4 certificateholders, prospective transferees of the series 2006-C4 certificates and other appropriate parties may obtain access to CMBS Investor Insight(R) through Midland's website at www.midlandls.com. Midland may require registration and execution of an access agreement in connection with providing access to CMBS Investor Insight(R). As of March 31, 2006, Midland was servicing approximately 17,578 commercial and multifamily mortgage loans with a principal balance of approximately $140.2 billion. The collateral for such loans is located in all 50 states, the District of Columbia, Puerto Rico, Guam and Canada. Approximately 13,300 of such loans, with a total principal balance of approximately $109.4 billion, pertain to commercial and multifamily mortgage-backed securities. The related loan pools include multifamily, office, retail, hospitality and other income-producing properties. Midland has been servicing mortgage loans in commercial mortgage-backed securities transactions since 1992. The table below contains information on the size and growth of the portfolio of commercial and multifamily mortgage loans in commercial mortgaged-backed securities and other servicing transactions for which Midland has acted as master and/or primary servicer from 2003 to 2005. PORTFOLIO GROWTH - CALENDAR YEAR END MASTER/PRIMARY (APPROXIMATE AMOUNTS IN BILLIONS) ------------------ --------------------------------- 2003 2004 2005 ---- ---- ---- CMBS $60 $70 $104 Other 23 28 32 --- --- ---- TOTAL $83 $98 $136 Midland acted as servicer with respect to some or all of the mortgage loans being contributed by its parent company, PNC Bank, National Association, prior to their inclusion in the trust fund. 115 The Initial Special Servicer. J.E. Robert Company, Inc. ("J.E. Robert"), a Virginia corporation, will be appointed as the special servicer of all of the underlying mortgage loans, and as such, will be responsible for servicing the specially serviced mortgage loans and REO Properties in the trust fund. JER Investors Trust Inc., an affiliate of J.E. Robert, is anticipated to be the series 2006-C4 controlling class representative and the purchaser of certain of the non-offered classes of the series 2006-C4 certificates. The principal offices of J.E. Robert are located at 1650 Tysons Boulevard, Suite 1600, McLean, Virginia, and its telephone number is (703) 714-8000. J.E. Robert, through its subsidiaries, affiliates and joint ventures is involved in the real estate investment, finance and management business and engages principally in: o acquiring, developing, repositioning, managing and selling commercial and multifamily real estate properties; o equity and debt investments in, and recapitalizations of, operating companies with significant real estate assets; o investing in high-yielding real estate loans; and o investing in, and managing as special servicer, unrated, non-investment grade and investment grade securities issued pursuant to commercial mortgage loan securitization transactions. In the ordinary course of business for J.E. Robert and its affiliates, the assets of J.E. Robert and its affiliates may, depending upon the particular circumstances, including the nature and location of such assets, compete with the mortgaged real properties securing the underlying mortgage loans for, among other things, tenants, purchasers and financing. J.E. Robert has substantial experience in working out mortgage loans and has been engaged in investing and managing commercial real estate assets since 1981 and servicing commercial mortgage loan securitization assets since 1992. J.E. Robert has a special servicer rating of "CSS1" from Fitch. J.E. Robert is also on S&P's Select Servicer list as a U.S. Commercial Mortgage Special Servicer and is ranked "STRONG" by S&P. The ratings of J.E. Robert as a special servicer are based on an examination of many factors, including its financial condition, management team, organizational structure and operating history. The number of commercial mortgage loan securitizations serviced by J.E. Robert has increased from 10 as of December 31, 2003 to 17 as of December 31, 2005. J.E. Robert acted as special servicer with respect to: (a) 10 commercial mortgage loan securitizations containing over 250 mortgage loans as of December 31, 2003, with an aggregate outstanding principal balance in excess of $1.6 billion; (b) 13 commercial mortgage loan securitizations containing over 550 mortgage loans as of December 31, 2004, with an aggregate outstanding principal balance in excess of $5.0 billion; and (c) 17 commercial mortgage loan securitizations containing over 1,800 mortgage loans as of December 31, 2005, with an aggregate outstanding principal balance in excess of $21.7 billion. Since its inception in 1981 and through December 31, 2005, J.E. Robert as special servicer has resolved over 1,780 mortgage loans, with an aggregate principal balance of over $2.0 billion. Over the past three years, from 2003 through 2005, J.E. Robert in its capacity as special servicer has resolved over $475 million of U.S. commercial and multifamily mortgage loans. As of December 31, 2005, J.E. Robert was administering approximately 15 assets as special servicer with an outstanding principal balance of approximately $125 million. Those commercial real estate assets include mortgage loans secured by the same type of income producing properties as those securing the mortgage loans backing the Certificates. All of the specially serviced mortgage loans are serviced in accordance with the applicable procedures set forth in the related pooling and servicing agreement. Certain of the duties of the special servicer and the 116 provisions of the series 2006-C4 pooling and servicing agreement regarding the special servicer, including without limitation information regarding the rights and obligations of the special servicer with respect to delinquencies, losses, bankruptcies and recoveries and the ability of the special servicer to waive or modify the terms of the underlying mortgage loans are set forth in this offering prospectus under "The Series 2006-C4 Pooling and Servicing Agreement--General", "--Overview of Servicing", "--Modifications, Waivers, Amendments and Consents" and "--Realization Upon Defaulted Mortgage Loans." Certain terms of the series 2006-C4 pooling and servicing agreement regarding the special servicer's removal, replacement, resignation or transfer and certain limitations on the special servicer's liability are set forth in the accompanying base prospectus under "Description of the Governing Documents--Certain Matters Regarding the Master Servicer, the Special Servicer, the Manager and Us" and in this offering prospectus under "The Series 2006-C4 Pooling and Servicing Agreement--Replacement of the Special Servicer" and "--Rights Upon Event of Default." J.E. Robert, in its capacity as special servicer, will service the specially serviced mortgage loans in the series 2006-C4 securitization transaction in accordance with the procedures set forth in the series 2006-C4 pooling and servicing agreement, in accordance with the mortgage loan documents and applicable laws, and in each case, subject to the Servicing Standard. J.E. Robert is not aware of any unique factors involved in servicing the mortgage loans in the series 2006-C4 securitization transaction. J.E. Robert has developed policies, procedures and processes regarding its special servicing obligations in respect of commercial mortgage loans and the underlying real properties, including managing delinquent loans and loans subject to the bankruptcy of the borrower. These policies, procedures and processes require that all actions taken by J.E. Robert as special servicer comply with the requirements of the applicable pooling and servicing agreements. During the past three years, there have been no material changes to J.E. Robert's special servicing policies, procedures and processes. Included in these policies, procedures and processes is the requirement that the special servicer shall segregate and hold all funds collected and received in connection with the operation of each REO property separate and apart from its own funds and general assets and shall establish and maintain with respect to each REO property one or more accounts held in trust for the benefit of the certificateholders (and the holder of the related B note if in connection with an AB mortgage loan). In accordance with the terms of the Pooling and Servicing Agreement this account or accounts shall be an eligible account. The funds in this account or accounts will not be commingled with the funds of J.E. Robert, or the funds of any of J.E. Robert's other serviced assets that are not serviced pursuant to the applicable pooling and servicing agreement. J.E. Robert occasionally engages consultants to perform property inspections and to provide surveillance on a property and its local market; it currently does not have any plans to engage sub-servicers to perform on its behalf any of its duties with respect to the series 2006-C4 securitization transaction. J.E. Robert does not believe that its financial condition will have any adverse effect on the performance of its duties under the series 2006-C4 pooling and servicing agreement and, accordingly, will not have any material impact on the mortgage pool performance or the performance of the offered certificates. J.E. Robert does not have any advancing obligations for principal and interest with respect to the commercial mortgage loan securitizations as to which it acts as special servicer. J.E. Robert is permitted to make servicing advances with respect to the mortgage loans as to which it acts as special servicer, at its option and in accordance with the terms of the applicable pooling and servicing agreements. J.E. Robert has made all advances required to be made on commercial mortgage loans serviced by it during the past three years and during the same period has not defaulted in respect of any such advance obligations. J.E. Robert will not have any primary custodial responsibility for original documents evidencing the underlying mortgage loans. Under very limited circumstances set forth in the series 2006-C4 pooling and servicing agreement, J.E. Robert may have physical custody of certain documents such as promissory notes as necessary for enforcement actions or sale transactions involving particular mortgage loans or REO Property. To the extent that J.E. Robert has custody of any such documents, such documents will be maintained in a manner consistent with the Servicing Standard and J.E. Robert's policies, procedures and processes. 117 From time-to-time, J.E. Robert may become a party to lawsuits and other legal proceedings arising in the ordinary course of business. J.E. Robert does not believe that any such lawsuits or legal proceedings would, individually or in aggregate, have a material adverse effect on its business or its ability to serve as special servicer in this or any other transactions. There are currently no legal proceedings pending and no legal proceedings known to be contemplated by governmental authorities, against J.E. Robert, or of which any of its property is the subject, that is material to the series 2006-C4 certificateholders. J.E. Robert is not an affiliate of us, the sponsors, the issuing entity, the master servicer, the trustee or any originator or mortgage loan seller identified in this offering prospectus. There are no specific relationships involving or relating to this transaction or the securitized mortgage loans between J.E. Robert, on the one hand, and us, the sponsors or the issuing entity, on the other hand. In addition, there are no business relationships, agreements, arrangements, transactions or understandings that would have been entered into outside the ordinary course of business or on terms other than would be obtained in an arm's-length transaction with an unrelated third party, apart from this transaction, between J.E. Robert, on the one hand, and us, the sponsors or the issuing entity, on the other hand, that currently exist or that existed during the past two years. No securitization transaction involving commercial or multifamily mortgage loans in which J.E. Robert was acting as special servicer has experienced an event of default as a result of any action or inaction performed by J.E. Robert as special servicer. In addition, there has been no previous disclosure of material non-compliance with servicing criteria by J.E. Robert with respect to any other securitization transaction involving commercial or multifamily mortgage loans in which J.E. Robert was acting as special servicer. The information set forth in this free writing prospectus concerning J.E. Robert has been provided by J.E. Robert. THE TRUSTEE LaSalle Bank National Association, a national banking association ("LaSalle"), will act as trustee under the series 2006-C4 pooling and servicing agreement, on behalf of the series 2006-C4 certificateholders. In addition, LaSalle will act as custodian on behalf of the trustee. The trustee's corporate trust office is located at 135 South LaSalle Street, Suite 1625, Chicago, Illinois, 60603, Attention: Global Securities and Trust Services--Citigroup Commercial Mortgage Trust 2006-C4 or at such other address as the trustee may designate from time to time. LaSalle is a national banking association formed under the federal laws of the United States of America. Its parent company, LaSalle Bank Corporation, is an indirect subsidiary of ABN AMRO Bank N.V., a Netherlands banking corporation. LaSalle has extensive experience serving as trustee on securitizations of commercial mortgage loans. Since 1994, LaSalle has served as trustee on over 640 commercial mortgage-backed security transactions involving assets similar to the mortgage loans that we intend to include in the trust. As of April 30, 2006, LaSalle's portfolio of commercial mortgage-backed security transactions for which it currently serves as trustee numbers 425 with an outstanding certificate balance of approximately $271.5 billion. In its capacity as custodian, LaSalle will hold the mortgage loan files exclusively for the use and benefit of the trust. The custodian will not have any duty or obligation to inspect, review or examine any of the documents, instruments, certificates or other papers relating to the mortgage loans delivered to it to determine that the same are valid. The disposition of the mortgage loan files will be governed by the series 2006-C4 pooling and servicing agreement. LaSalle provides custodial services on over 1,000 residential, commercial and asset-backed securitization transactions and maintains almost 2.5 million custodial files in its two vault locations in Elk Grove, Illinois and Irvine, California. LaSalle's two vault locations can maintain a total of approximately 6 million custody files. All custody files are segregated and maintained in secure and fire resistant facilities in compliance with customary industry standards. The vault construction complies with Fannie Mae/Ginnie Mae guidelines applicable to document custodians. LaSalle maintains disaster recovery protocols to ensure the preservation of 118 custody files in the event of force majeure and maintains, in full force and effect, such fidelity bonds and/or insurance policies as are customarily maintained by banks which act as custodians. LaSalle uses unique tracking numbers for each custody file to ensure segregation of collateral files and proper filing of the contents therein and accurate file labeling is maintained through a monthly reconciliation process. LaSalle uses a proprietary collateral review system to track and monitor the receipt and movement internally or externally of custody files and any release or reinstatement of collateral. LaSalle and CGMRC are parties to a custodial agreement whereby LaSalle, for consideration, provides custodial services to CGMRC for certain commercial mortgage loans originated or purchased by it. Pursuant to this custodial agreement, LaSalle is currently providing custodial services for most of the mortgage loans to be sold by CGMRC to us in connection with the series 2006-C4 securitization transaction. The terms of the custodial agreement are customary for the commercial mortgage-backed securitization industry providing for the delivery, receipt, review and safekeeping of mortgage loan files. Using information set forth in this offering prospectus, the trustee will develop the cashflow model for the trust. Based on the monthly mortgage loan information provided by the master servicer, the trustee will calculate the amount of principal and interest to be paid to each class of series 2006-C4 certificates on each distribution date. In accordance with the cashflow model and based on the monthly mortgage loan information provided by the master servicer, the trustee will perform distribution calculations, remit distributions on the distribution date to series 2006-C4 certificateholders and prepare a monthly statement to series 2006-C4 certificateholders detailing the payments received and the activity on the mortgage loans during the related collection period. In performing these obligations, the trustee will be able to conclusively rely on the information provided to it by the master servicer, and the trustee will not be required to recompute, recalculate or verify the information provided to it by the master servicer. There are no legal proceedings pending against LaSalle, or to which any property of LaSalle is subject, that is material to the series 2006-C4 certificateholders, nor does LaSalle have actual knowledge of any proceedings of this type contemplated by governmental authorities. We, the master servicer, the special servicer and our and their respective affiliates, may from time to time maintain and enter into other banking and trustee relationships in the ordinary course of business with the trustee and its affiliates. The trustee and any of its respective affiliates may hold series 2006-C4 certificates in their own names. In addition, for purposes of meeting the legal requirements of some local jurisdictions, the trustee will have the power to appoint a co-trustee or separate trustee of all or any part of the trust assets. All rights, powers, duties and obligations conferred or imposed upon the trustee will be conferred or imposed upon the trustee and the separate trustee or co-trustee jointly, or in any jurisdiction in which the trustee is incompetent or unqualified to perform some acts, singly upon the separate trustee or co-trustee who will exercise and perform its rights, powers, duties and obligations solely at the direction of the trustee. In addition to having express duties under the series 2006-C4 pooling and servicing agreement, the trustee, as a fiduciary, also has certain duties unique to fiduciaries under applicable law. In general, the trustee will be subject to certain federal laws and, because the series 2006-C4 pooling and servicing agreement is governed by New York law, certain New York state laws. As a national bank acting in a fiduciary capacity, the trustee will, in the administration of its duties under the series 2006-C4 pooling and servicing agreement, be subject to certain regulations promulgated by the Office of the Comptroller of the Currency, specifically those set forth in Chapter 12, Part 9 of the Code of Federal Regulations. New York common law has required fiduciaries of common law trusts formed in New York to perform their duties in accordance with the "prudent person" standard, which, in this transaction, would require the trustee to exercise such diligence and care in the administration of the trust as a person of ordinary prudence would employ in managing his own property. However, under New York common law, the application of this standard of care can be restricted contractually to apply only after the occurrence of a default. The series 2006-C4 pooling and servicing agreement provides that 119 the trustee is subject to the prudent person standard only for so long as an event of default has occurred and remains uncured. AFFILIATIONS AND CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS We (the depositor), Citigroup Global Markets Realty Corp. (one of the sponsors) and Citigroup Global Markets Inc. (one of the underwriters) are affiliated with one another. Barclays Capital Real Estate Inc. (one of the sponsors) and Barclays Capital Inc. (one of the underwriters) are affiliated with one another. PNC Bank, National Association (one of the sponsors), PNC Capital Markets LLC (one of the underwriters) and Midland Loan Services, Inc. (the master servicer) are affiliated with one another. We, the sponsors, the master servicer, the special servicer and our and/or their respective affiliates may from time to time maintain and enter into other banking and trustee relationships in the ordinary course of business with the trustee and its affiliates. See also "Transaction Participants--The Trustee" in this offering prospectus. LaSalle and CGMRC are parties to a custodial agreement whereby LaSalle, for consideration, provides custodial services to CGMRC for certain commercial mortgage loans originated or purchased by it. Pursuant to this custodial agreement, LaSalle is currently providing custodial services for most of the mortgage loans to be sold by CGMRC to us in connection with the series 2006-C4 securitization transaction. The terms of the custodial agreement are customary for the commercial mortgage-backed securitization industry providing for the delivery, receipt, review and safekeeping of mortgage loan files. THE SERIES 2006-C4 POOLING AND SERVICING AGREEMENT GENERAL The parties to the series 2006-C4 pooling and servicing agreement will consist of us, the trustee, the master servicer and the special servicer. The series 2006-C4 pooling and servicing agreement will govern, among other things: o the issuance of the series 2006-C4 certificates; o the formation of the issuing entity; o the transfer of the initial trust assets to the issuing entity; o the retention of the trust assets on behalf of the series 2006-C4 certificateholders; and o the servicing and administration of the underlying mortgage loans, as well as the servicing and administration of (a) the Non-Trust Loans, and (b) any REO Properties acquired by the special servicer on behalf of the series 2006-C4 certificateholders and, if and when applicable, the Non-Trust Loan Noteholders as a result of foreclosure or other similar action. The following summaries describe some of the material provisions of the series 2006-C4 pooling and servicing agreement. In addition, see "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions", "--Representations and Warranties; Repurchases and Substitutions" and 120 "Description of the Offered Certificates" in this offering prospectus and "Description of the Governing Documents" in the accompanying base prospectus. OVERVIEW OF SERVICING The series 2006-C4 pooling and servicing agreement provides that the master servicer and the special servicer must each service and administer the mortgage loans and any REO Properties in the trust fund for which it is responsible, directly or through sub-servicers, in accordance with-- o any and all applicable laws, o the express terms of the series 2006-C4 pooling and servicing agreement, o the express terms of the subject mortgage loans and any and all related intercreditor, co-lender and/or similar agreements, and o to the extent consistent with the foregoing, the Servicing Standard. In general, the master servicer will be responsible for the servicing and administration of each underlying mortgage loan-- o as to which no Servicing Transfer Event has occurred, or o that has been worked-out following a Servicing Transfer Event and as to which no new Servicing Transfer Event has occurred. The special servicer, on the other hand, will be responsible for the servicing and administration of each underlying mortgage loan as to which a Servicing Transfer Event has occurred and which has not yet become a worked-out mortgage loan with respect to that Servicing Transfer Event. The special servicer will also be responsible for the administration of each REO Property acquired by the issuing entity. Despite the foregoing, the series 2006-C4 pooling and servicing agreement will require the master servicer to continue to receive information and prepare all reports to the trustee required to be received or prepared with respect to any specially serviced mortgage loans in the trust fund and, otherwise, to render other incidental services with respect to any such specially serviced mortgage loans. In addition, the special servicer will perform limited duties and have certain approval rights regarding servicing actions with respect to non-specially serviced mortgage loans in the trust fund. Neither the master servicer nor the special servicer will have responsibility for the performance by the other of its respective obligations and duties under the series 2006-C4 pooling and servicing agreement. The master servicer will transfer servicing of an underlying mortgage loan to the special servicer upon the occurrence of a Servicing Transfer Event with respect to that mortgage loan. The special servicer will return the servicing of that mortgage loan to the master servicer, and that mortgage loan will be considered to have been worked-out, if and when all Servicing Transfer Events with respect to that mortgage loan cease to exist in accordance with the definition of "Servicing Transfer Event" in the glossary to this offering prospectus. In general, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" below, the master servicer and/or, if a Servicing Transfer Event exists, the special servicer will be responsible for servicing and administering each Loan Combination under the series 2006-C4 pooling and servicing agreement and the related co-lender or intercreditor agreement on behalf of the issuing entity, as holder of the related underlying mortgage loan, and the related Non-Trust Loan Noteholders generally as 121 if the entire Loan Combination were a mortgage loan in the trust fund. A Servicing Transfer Event with respect to any mortgage loan that is part of a Loan Combination will generally result in a transfer of servicing of the entire such Loan Combination to the special servicer. SUB-SERVICERS Some of the mortgage loans that we intend to include in the trust fund are currently being serviced by third-party servicers that are entitled to and will become sub-servicers of these loans on behalf of the master servicer. In general, neither the trustee nor any other successor master servicer may terminate the sub-servicing agreement for any of those sub-servicers without cause. Pursuant to the series 2006-C4 pooling and servicing agreement, the master servicer and the special servicer may enter into sub-servicing agreements to provide for the performance by third parties of any or all of their respective obligations under the series 2006-C4 pooling and servicing agreement, provided that in each case, the sub-servicing agreement: (i) is materially consistent with the series 2006-C4 pooling and servicing agreement, requires the sub-servicer to comply with all of the applicable conditions of the series 2006-C4 pooling and servicing agreement, and, provides for certain material events of default with respect to the sub-servicer; (ii) provides that if the master servicer or the special servicer, as the case may be, will for any reason no longer act in such capacity under the series 2006-C4 pooling and servicing agreement (including by reason of an Event of Default), the trustee or its designee may assume all of the rights and, except to the extent they arose prior to the date of assumption, obligations of the master servicer or the special servicer, as the case may be, under such agreement or may terminate such sub-servicing agreement without cause (except that the sub-servicing agreements with any of certain designated sub-servicers may only be terminated for cause); (iii) provides that the trustee, for the benefit of the series 2006-C4 certificateholders and, in the case of a sub-servicing agreement relating to a Loan Combination, the related Non-Trust Loan Noteholder(s), shall each be a third-party beneficiary under such agreement; (iv) permits any purchaser of an underlying mortgage loan to terminate such agreement with respect to such purchased mortgage loan at its option and without penalty; (v) does not permit the sub-servicer to enter into or consent to certain modifications, extensions, waivers or amendments or otherwise take certain actions on behalf of the master servicer or the special servicer without the consent of the master servicer or special servicer, as the case may be; and (vi) does not permit the sub-servicer any direct rights of indemnification that may be satisfied out of assets of the trust fund. In addition, pursuant to the series 2006-C4 pooling and servicing agreement, each sub-servicing agreement entered into by the master servicer must provide that such agreement shall, with respect to any underlying mortgage loan, terminate at the time such underlying mortgage loan becomes a specially serviced mortgage loan (or, alternatively, be subject to the special servicer's rights to service such mortgage loan for so long as such mortgage loan continues to be a specially serviced mortgage loan), and each sub-servicing agreement entered into by the special servicer shall relate only to specially serviced mortgage loans and shall terminate with respect to any such underlying mortgage loan which ceases to be a specially serviced mortgage loan. References in the series 2006-C4 pooling and servicing agreement, and under this "The Series 2006-C4 Pooling and Servicing Agreement" section, to actions taken or to be taken by the master servicer or the special servicer include actions taken or to be taken by a sub-servicer on behalf of the master servicer or the special servicer, as the case may be; and, in connection therewith, all amounts advanced by any sub-servicer to satisfy the obligations of the master servicer or the special servicer under the series 2006-C4 pooling and servicing agreement to make P&I advances or servicing advances are deemed to have been advanced by the master servicer or the special servicer, as the case may be, out of its own funds and, accordingly, such advances will be recoverable by such sub-servicer in the same manner and out of the same funds as if such sub-servicer were the master servicer or the special servicer, as the case may be. The series 2006-C4 pooling and servicing agreement provides that, for so long as they are outstanding, advances under any sub-servicing agreement will accrue interest at the rate set forth in the series 2006-C4 pooling and servicing agreement, such interest to be allocable between the master servicer or the special servicer, as the case may be, and such sub-servicer as they may agree. For 122 purposes of the series 2006-C4 pooling and servicing agreement, the master servicer and the special servicer each will be deemed to have received any payment when a sub-servicer retained by it receives such payment. The series 2006-C4 pooling and servicing agreement requires the master servicer and the special servicer, for the benefit of the trustee, of the series 2006-C4 certificateholders and, in the case of a Loan Combination, of the related Non-Trust Loan Noteholder(s), to monitor the performance and enforce the obligations of their respective sub-servicers under the related sub-servicing agreements. Further, the series 2006-C4 pooling and servicing agreement provides that, notwithstanding any sub-servicing agreement, the master servicer and the special servicer remain obligated and liable to the trustee, the series 2006-C4 certificateholders and the Non-Trust Loan Noteholders for the performance of their respective obligations and duties under the series 2006-C4 pooling and servicing agreement as if each alone were servicing and administering the subject mortgage loans and the master servicer and the special servicer will be responsible (without right of reimbursement) for all compensation of each sub-servicer retained by it. SERVICING AND OTHER COMPENSATION AND PAYMENT OF EXPENSES The Master Servicing Fee. The principal compensation to be paid to the master servicer with respect to its master servicing activities will be the master servicing fee. The master servicing fee will be earned with respect to each and every mortgage loan in the trust fund, including: o each specially serviced mortgage loan, if any; o each mortgage loan, if any, as to which the corresponding mortgaged real property has become an REO Property; and o each mortgage loan, if any, that has been defeased. In the case of each mortgage loan in the trust fund, the master servicing fee will: o be calculated on generally the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as is applicable to the accrual of interest with respect to that mortgage loan; o accrue at the related master servicing fee rate, which on a loan-by-loan basis will range from 0.0300% per annum to 0.1300% per annum; o accrue on the same principal amount as interest accrues or is deemed to accrue from time to time with respect to that mortgage loan; and o be payable monthly from amounts received with respect to, or allocable as recoveries of, interest on that mortgage loan or, following liquidation of that mortgage loan and any related REO Property, from general collections on the other mortgage loans and REO Properties in the trust fund. For purposes of this offering prospectus, master servicing fees include primary servicing fees. Subject to certain conditions, Midland is entitled, under the series 2006-C4 pooling and servicing agreement, to receive, or to assign or pledge to any qualified institutional buyer or institutional accredited investor (other than a Plan), an excess servicing strip, which is a portion of the master servicing fee. If Midland resigns or is terminated as master servicer, it (or its assignee) will continue to be entitled to receive the excess servicing strip 123 and will be paid that excess servicing strip, except to the extent that any portion of the excess servicing strip is needed to compensate any successor master servicer for assuming the duties of Midland as master servicer under the series 2006-C4 pooling and servicing agreement. We make no representation or warranty regarding whether, following any resignation or termination of Midland as master servicer, (a) any holder of the excess servicing strip would dispute the trustee's determination that any portion of the excess servicing strip was necessary to compensate a successor master servicer or (b) the ability of the trustee to successfully recapture the excess servicing strip or any portion of that strip from any holder of the excess servicing strip, in particular if that holder were the subject of a bankruptcy or insolvency proceeding. Master servicing fees payable with respect to the ShopKo Portfolio Loan Combination will be payable out of collections on the entire such loan combination. After the occurrence, and during the continuance, of a Wimbledon Place Apartments Material Default, master servicing fees are payable with respect to the Wimbledon Place Apartments Loan Combination out of collections on the entire such loan combination. Prepayment Interest Shortfalls. The series 2006-C4 pooling and servicing agreement will provide that, if any Prepayment Interest Shortfall is incurred by reason of a voluntary principal prepayment being made by a borrower with respect to any of the underlying mortgage loans during any collection period (other than out of insurance proceeds, condemnation proceeds or liquidation proceeds), then the master servicer must make a non-reimbursable payment with respect to the related distribution date in an amount equal to the lesser of: o the amount of the subject Prepayment Interest Shortfall; and o the sum of-- 1. the master servicing fees (in each case calculated for this purpose only at a rate of 0.01% per annum) received by the master servicer during such collection period on the underlying mortgage loans, and 2. all Prepayment Interest Excesses received by the master servicer during such collection period on the underlying mortgage loans; provided that if a Prepayment Interest Shortfall occurs as a result of the master servicer's allowing the borrower to deviate from the terms of the related loan documents regarding principal prepayments (other than (a) subsequent to a material default under the related loan documents, (b) pursuant to applicable law or court order or (c) at the request or with the consent of the special servicer or the series 2006-C4 controlling class representative), then the amount in clause 1. of the second bullet of this sentence will be replaced with the sum of (x) all master servicing fees payable to the master servicer with respect to the underlying mortgage loans for the subject collection period, inclusive of any portion thereof payable to a third-party primary servicer and inclusive of any excess servicing strip and (y) any investment income earned on the related principal prepayment during such collection period while on deposit in the master servicer's collection account. No other master servicing compensation will be available to cover Prepayment Interest Shortfalls. Any payments made by the master servicer with respect to any distribution date to cover Prepayment Interest Shortfalls will be included in the Total Available P&I Funds for that distribution date, as described under "Description of the Offered Certificates--Payments" in this offering prospectus. If the amount of Prepayment Interest Shortfalls incurred with respect to the mortgage pool during any collection period exceeds the total of any and all payments made by the master servicer with respect to the related distribution date to cover those Prepayment Interest Shortfalls, then the resulting Net Aggregate Prepayment Interest Shortfall will be allocated among the respective interest-bearing classes of the series 2006-C4 certificates, in reduction of the interest 124 payable thereon, as and to the extent described under "Description of the Offered Certificates--Payments--Payments of Interest" in this offering prospectus. The master servicer will not cover any interest shortfalls similar to Prepayment Interest Shortfalls that occur by reason of involuntary prepayments made with insurance proceeds, condemnation proceeds and/or liquidation proceeds. Principal Special Servicing Compensation. The principal compensation to be paid to the special servicer with respect to its special servicing activities in respect of the underlying mortgage loans will be: o the special servicing fee; o the workout fee; and o the liquidation fee. The Special Servicing Fee. The special servicing fee will be earned with respect to any underlying mortgage loan: o that is being specially serviced; or o as to which the corresponding mortgaged real property has become an REO Property. In the case of each underlying mortgage loan that satisfies the criteria described in the foregoing paragraph, the special servicing fee will: o be calculated on generally the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as is applicable to the accrual of interest with respect to that mortgage loan; o accrue at a special servicing fee rate of 0.25% per annum; o accrue on the same principal amount as interest accrues or is deemed to accrue from time to time with respect to that mortgage loan; and o generally be payable monthly from general collections on all the mortgage loans and any REO Properties in the trust fund, that are on deposit in the master servicer's collection account from time to time. The Workout Fee. The special servicer will, in general, be entitled to receive a workout fee with respect to each underlying mortgage loan as to which, following a period of special servicing and resolution of all applicable Servicing Transfer Events, servicing thereof has been returned to the master servicer. The workout fee for any such underlying mortgage loan will generally be payable out of, and will be calculated by application of a workout fee rate of 1.0% to, each collection of interest, other than Default Interest and Post-ARD Additional Interest, and principal received on the subject mortgage loan for so long as it remains a worked-out mortgage loan. The workout fee with respect to any underlying mortgage loan referred to in the prior paragraph will cease to be payable if a new Servicing Transfer Event occurs with respect to that loan or if the related mortgaged real property becomes an REO Property. However, a new workout fee would become payable if the subject underlying mortgage loan again became a worked-out mortgage loan with respect to that new Servicing Transfer Event. 125 If the special servicer is terminated or resigns, then it will retain the right to receive any and all workout fees payable with respect to mortgage loans that were worked-out -- or, in some cases, about to be worked out -- by it during the period that it acted as special servicer and as to which no new Servicing Transfer Event had occurred as of the time of its termination or resignation. The successor special servicer will not be entitled to any portion of those workout fees. Although workout fees are intended to provide the special servicer with an incentive to better perform its duties, the payment of any workout fee may reduce amounts payable to the holders of the offered certificates. The Liquidation Fee. Except as described in the next paragraph, the special servicer will be entitled to receive a liquidation fee with respect to: (a) any specially serviced mortgage loan in the trust fund (or any Qualified Substitute Mortgage Loan delivered in replacement thereof by the related mortgage loan seller), for which it obtains a full, partial or discounted payoff; and (b) any specially serviced mortgage loan or REO Property in the trust fund (or any Qualified Substitute Mortgage Loan delivered in replacement thereof by the related mortgage loan seller), as to which it receives any liquidation proceeds, sale proceeds or REO revenues, including any specially serviced mortgage loan repurchased by the applicable mortgage loan seller outside of the required cure period (as that cure period may be extended) as described under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus. As to each such specially serviced mortgage loan and REO Property, the liquidation fee will generally be payable from, and will be calculated by application of a liquidation fee rate of 1.0% to, the portion of the related payment, proceeds or revenues allocable as a full or partial recovery of principal, interest or expenses. Despite anything to the contrary described in the prior paragraph, no liquidation fee will be payable based on, or out of, Substitution Shortfall Amounts or proceeds received in connection with: o the repurchase of any mortgage loan in the trust fund by or on behalf of a mortgage loan seller for a breach of representation or warranty or for defective or deficient mortgage loan documentation, so long as the repurchase occurs within the required cure period (as that cure period may be extended), as described under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus; o the purchase of any Defaulted Mortgage Loan out of the trust fund by the special servicer or the Majority Controlling Class Certificateholder, as described under "--Fair Value Purchase Option" below; o the purchase of the ShopKo Portfolio Mortgage Loan by any of the ShopKo Portfolio Non-Trust Loan Noteholders, pursuant to the purchase option in the ShopKo Portfolio Co-Lender Agreement described under "Description of the Mortgage Pool--The Loan Combinations--The ShopKo Portfolio Loan Combination" in this offering prospectus, so long as the purchase occurs within 90 days of the date that the purchase option is first exercisable; o the purchase of the Wimbledon Place Apartments Mortgage Loan by the Wimbledon Place Apartments Non-Trust Loan Noteholder, pursuant to the purchase option in the Wimbledon Place Apartments Intercreditor Agreement described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus; 126 o the purchase of any mortgage loan out of the trust fund by a related mezzanine lender pursuant to any applicable intercreditor, co-lender or similar agreement, in each case so long as the purchase occurs within 90 days of the date that the purchase option is first exercisable; or o the purchase of all of the mortgage loans and REO Properties in the trust fund by the special servicer or the Majority Controlling Class Certificateholder in connection with the termination of the issuing entity, all as described under "Description of the Offered Certificates--Termination" in this offering prospectus. Although liquidation fees are intended to provide the special servicer with an incentive to better perform its duties, the payment of any liquidation fee may reduce amounts payable to the holders of the offered certificates. Any special servicing fees, workout fees and liquidation fees earned with respect to the ShopKo Portfolio Loan Combination may be paid out of collections on the entire such loan combination. After the occurrence, and during the continuance, of a Wimbledon Place Apartments Material Default, special servicing fees and, except in connection with a purchase of the Wimbledon Place Apartments Mortgage Loan by the Wimbledon Place Apartments Non-Trust Loan Noteholder, pursuant to the purchase option in the Wimbledon Place Apartments Intercreditor Agreement, as described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus, workout fees and liquidation fees, earned with respect to the Wimbledon Place Apartments Loan Combination may be paid out of collections on the entire such loan combination. Additional Servicing Compensation. As additional master servicing compensation, the master servicer will be entitled to receive any Prepayment Interest Excesses collected with respect to the underlying mortgage loans. In addition, the following items collected on any particular mortgage loan in the trust fund will be allocated between the master servicer and the special servicer as additional compensation in accordance with the series 2006-C4 pooling and servicing agreement: o any late payment charges and Default Interest actually collected on any particular mortgage loan in the trust fund, which late payment charges and Default Interest are not otherwise applied to reimburse the parties to the series 2006-C4 pooling and servicing agreement for, or to offset, certain expenses of the issuing entity (including interest on advances, special servicing fees, liquidation fees and workout fees), each as provided in the series 2006-C4 pooling and servicing agreement; and o any modification fees, assumption fees, assumption application fees, earnout fees, consent/waiver fees and other comparable transaction fees and charges. The master servicer will be authorized to invest or direct the investment of funds held in its collection account, in the ShopKo Portfolio custodial account, in the Wimbledon Place Apartments custodial agreement or in any escrow and/or reserve account maintained by it, in Permitted Investments. See "--Accounts" below and "Description of the Offered Certificates" in this offering prospectus. The master servicer: o will generally be entitled to retain any interest or other income earned on those funds; and o will generally be required to cover any losses of principal of those investments from its own funds, to the extent those losses are incurred with respect to investments made for that master servicer's benefit. 127 The master servicer will not be obligated, however, to cover any losses resulting solely from the bankruptcy or insolvency of any depository institution or trust company holding any of those accounts so long as those institutions or trust companies meet certain eligibility requirements set forth in the series 2006-C4 pooling and servicing agreement. The special servicer will be authorized to invest or direct the investment of funds held in its REO account in Permitted Investments. See "--Accounts" below. The special servicer: o will be entitled to retain any interest or other income earned on those funds; and o will generally be required to cover any losses of principal of those investments from its own funds. The special servicer will not be obligated, however, to cover any losses resulting solely from the bankruptcy or insolvency of any depository institution or trust company holding its REO account so long as that institution or trust company meets certain eligibility requirements set forth in the series 2006-C4 pooling and servicing agreement. Payment of Expenses. Each of the master servicer and the special servicer will be required to pay its overhead costs and any general and administrative expenses incurred by it in connection with its servicing activities under the series 2006-C4 pooling and servicing agreement. The master servicer and the special servicer will not be entitled to reimbursement for these expenses except as expressly provided in the series 2006-C4 pooling and servicing agreement. The series 2006-C4 pooling and servicing agreement will permit the master servicer to pay, and will permit the special servicer to direct the master servicer to pay, some servicing expenses out of general collections on the underlying mortgage loans and any REO Properties on deposit in the master servicer's collection account, including, to the extent not advanced, for the remediation of any adverse environmental circumstance or condition at any of the mortgaged real properties. In addition, under the series 2006-C4 pooling and servicing agreement, the master servicer will be permitted (or, in the case of a specially serviced mortgage loan or an REO Property, if the special servicer directs, the master servicer will be required) to pay directly out of the master servicer's collection account some servicing expenses that, if advanced by the master servicer, would not be recoverable from expected collections on the related mortgage loan or REO Property. This is only to be done, however, when the master servicer or the special servicer, as applicable, has determined in accordance with the Servicing Standard that making the payment is in the best interests of the series 2006-C4 certificateholders (and, in the case of a Loan Combination, the related Non-Trust Loan Noteholders), as a collective whole. The master servicer will be able to conclusively rely on any such determination made by the special servicer. TRUSTEE COMPENSATION The trustee will be entitled to receive monthly, out of general collections with respect to the mortgage pool on deposit in its distribution account, the trustee fee. With respect to each distribute date, the trustee fee will equal the aggregate of, with respect to each and every mortgage loan in the trust fund, one month's interest accrued at 0.0009% per annum on the Stated Principal Balance of the subject mortgage loan outstanding immediately prior to that distribution date (calculated on the same interest accrual basis--i.e., an Actual/360 Basis or a 30/360 Basis--as is applicable to the accrual of interest with respect to the subject mortgage loan). In addition, the trustee will be authorized to invest or direct the investment of funds held in its distribution account, its Post-ARD Additional Interest account, its floating rating account and its interest reserve account in Permitted Investments. See "--Accounts" below. In general, the trustee will be entitled to retain any interest or other income earned on those funds and will be required to cover any investment losses from its own funds 128 without any right to reimbursement. The trustee will not be obligated, however, to cover any losses resulting from the bankruptcy or insolvency of any depository institution or trust company holding the trustee's distribution account, Post-ARD Additional Interest account or interest reserve account so long as that institution or trust company meets certain eligibility requirements set forth in the series 2006-C4 pooling and servicing agreement at the time of the deposit. ADVANCES Servicing Advances. Any and all customary, reasonable and necessary out-of-pocket costs and expenses incurred by or on behalf of the master servicer, the special servicer or the trustee in connection with the servicing of a mortgage loan in the trust fund or in connection with the administration of any REO Property in the trust fund, will generally be servicing advances. Servicing advances will be reimbursable from future payments and other collections, including insurance proceeds, condemnation proceeds and liquidation proceeds, received in connection with the related mortgage loan or REO Property. The special servicer will generally be required to give the master servicer not less than five business days' notice (or two business days' notice, if required to be made on an emergency or urgent basis) with respect to servicing advances to be made on a specially serviced mortgage loan or REO Property in the trust fund, before the date on which the master servicer is required to make any servicing advance with respect to that mortgage loan or REO Property. The special servicer may, however, itself make servicing advances with respect to special serviced mortgage loans and REO Properties. If the master servicer is required under the series 2006-C4 pooling and servicing agreement to make a servicing advance, but it does not do so within 15 days (or such shorter period as may be required to avoid foreclosure of liens for delinquent real estate taxes or a lapse in insurance coverage) after the servicing advance is required to be made, then the trustee will be required: o if any of certain officers of the trustee has actual knowledge of the failure, to give the master servicer notice of the failure; and o if the failure continues for five more business days after such notice, to make the servicing advance. Despite the foregoing discussion or anything else to the contrary in this offering prospectus, none of the master servicer, the special servicer or the trustee will be obligated to make servicing advances that, in the judgment of the party making the advance, or in the judgment of the special servicer (in the case of a servicing advance by the master servicer or the trustee), would not be ultimately recoverable (together with accrued and unpaid interest on the advance) from expected collections on the related mortgage loan or REO Property. The trustee may conclusively rely on the determination of the master servicer, and the master servicer and the trustee, in the case of specially serviced mortgage loans and REO Properties, must conclusively rely on the determination of the special servicer, that any servicing advance is not recoverable from expected collections on the related mortgage loan or REO Property. If the master servicer, the special servicer or the trustee makes any servicing advance that it subsequently determines, or that the special servicer determines (in the case of servicing advances by the master servicer or the trustee), is not recoverable (together with accrued and unpaid interest on the advance) from expected collections on the related mortgage loan or REO Property, it may obtain reimbursement for that advance, together with interest on that advance, out of general collections on the underlying mortgage loans and any related REO Properties that are on deposit in the master servicer's collection account from time to time as more particularly described in this offering prospectus. See "--Advances--Special Considerations Regarding Nonrecoverable Advances" below. 129 Advances of Delinquent Monthly Debt Service Payments. The master servicer will be required to make, for each distribution date, a total amount of advances of principal and/or interest generally equal to all monthly debt service payments--other than balloon payments--and assumed monthly debt service payments, in each case net of related master servicing fees, that: o were due or deemed due, as the case may be, with respect to the underlying mortgage loans during the related collection period; and o were not paid by or on behalf of the respective borrowers or otherwise collected as of the close of business on the last day of the related collection period. Notwithstanding the foregoing, if it is determined that an Appraisal Reduction Amount exists with respect to any mortgage loan in the trust fund, then the master servicer will reduce the interest portion, but not the principal portion, of each monthly debt service advance that it must make with respect to that mortgage loan during the period that the Appraisal Reduction Amount exists. The interest portion of any monthly debt service advance required to be made with respect to any such underlying mortgage loan as to which there exists an Appraisal Reduction Amount, will equal: o the amount of the interest portion of that advance of monthly debt service payments that would otherwise be required to be made for the subject distribution date without regard to this sentence and the prior sentence; reduced (to not less than zero) by o with respect to each class of series 2006-C4 certificates with principal balances to which any portion of the subject Appraisal Reduction Amount is allocated, one month's interest (calculated on a 30/360 Basis) on the portion of the subject Appraisal Reduction Amount allocated to that class or REMIC II regular interest, as the case may be, at the applicable pass-through rate. Appraisal Reduction Amounts will be allocated to the respective classes of the series 2006-C4 certificates with principal balances, in each case up to (but without any reduction in) the related outstanding total principal balance thereof, in the following order: first, to the P, O, N, M, L, K, J, H, G, F, E, D, C, B, A-J and A-M classes, in that order, and then to the A-1, A-2, A-SB, A-3, and A-1A classes, on a pro rata basis by balance. With respect to any distribution date, the master servicer will be required to make monthly debt service advances either out of its own funds or, subject to the conditions set forth in the series 2006-C4 pooling and servicing agreement, funds held in the master servicer's collection account that are not required to be paid on the series 2006-C4 certificates. If the master servicer fails to make a required advance and the trustee is aware of that failure, the trustee will be obligated to make that advance. See "Transaction Participants--The Trustee" in this offering prospectus. The master servicer and the trustee will each be entitled to recover any monthly debt service advance made by it out of its own funds with respect to any underlying mortgage loan, together with interest thereon, from collections on that mortgage loan. Neither the master servicer nor the trustee will be obligated to make any monthly debt service advance with respect to any underlying mortgage loan that, in its judgment, or in the judgment of the special servicer, would not ultimately be recoverable (together with interest thereon) out of collections on that mortgage loan. The trustee may conclusively rely on any determination of nonrecoverability made by the master servicer, and the master servicer and the trustee, in the case of a specially serviced mortgage loans and REO Properties, must conclusively rely on any determination of nonrecoverability made by the special servicer. If the master servicer or the trustee makes any monthly debt service advance with respect to any underlying mortgage loan that it or the special servicer subsequently determines will not be recoverable (together with interest thereon) out of collections on that mortgage loan, it may obtain reimbursement for that advance, 130 together with interest accrued on the advance as described below, out of general collections on the mortgage loans and any REO Properties in the trust fund on deposit in the master servicer's collection account from time to time. See "--Advances--Special Considerations Regarding Nonrecoverable Advances" below. A monthly debt service payment will be assumed to be due with respect to: o each underlying mortgage loan that is delinquent with respect to its balloon payment beyond the end of the collection period in which its maturity date occurs and as to which no arrangements have been agreed to for the collection of the delinquent amounts, including an extension of maturity; and o each underlying mortgage loan as to which the corresponding mortgaged real property has become an REO Property. The assumed monthly debt service payment deemed due on any mortgage loan described in the prior sentence that is delinquent as to its balloon payment, will equal, for its maturity date and for each successive due date that it remains outstanding and part of the trust fund, the monthly debt service payment that would have been due on the mortgage loan on the relevant date if the related balloon payment had not come due and the mortgage loan had, instead, continued to amortize and accrue interest according to its terms in effect immediately prior to, and without regard to the occurrence of, the subject maturity date. The assumed monthly debt service payment deemed due on any mortgage loan described in the second preceding sentence as to which the related mortgaged real property has become an REO Property, will equal, for each due date that the REO Property remains part of the trust fund, the monthly debt service payment or, in the case of a mortgage loan delinquent with respect to its balloon payment, the assumed monthly debt service payment that would have been due or deemed due if the related mortgaged real property had not become an REO Property. Assumed monthly debt service payments for an ARD Loan will not include Post-ARD Additional Interest or accelerated amortization payments. Neither the master servicer nor the trustee will be required to make any monthly debt service advance with respect to any of the Non-Trust Mortgage Loans. Neither the master servicer nor the trustee will be required to advance Post-ARD Additional Interest, Default Interest. Interest on Advances. The master servicer, the special servicer and the trustee will be entitled to receive interest on advances made by them. That interest will accrue on the amount of each advance, and compound annually, generally for so long as the advance is outstanding, at an annual rate equal to the prime rate as published in the "Money Rates" section of The Wall Street Journal, as that prime rate may change from time to time. Interest accrued with respect to any advance will generally be payable: o first, out of any late payment charges and Default Interest collected on the related underlying mortgage loan in the collection period in which that advance was reimbursed; and o then, after or at the same time that advance is reimbursed, but only if and to the extent that the late payment charges and Default Interest referred to in clause first above are insufficient to cover the advance interest, out of any other amounts then on deposit in the master servicer's collection account. If any payment of interest on advances is paid out of general collections on the mortgage pool as contemplated by the second bullet of the prior sentence, then any late payment charges and Default Interest subsequently collected on the underlying mortgage loan as to which those advances were made will be applied to reimburse the issuing entity for that payment prior to being applied as additional compensation to the master servicer or the special servicer. 131 To the extent not offset by Default Interest and/or late payment charges accrued and actually collected on the related underlying mortgage loan, interest accrued on outstanding advances with respect to the underlying mortgage loans will result in a reduction in amounts payable on one or more classes of the series 2006-C4 certificates. Special Considerations Regarding Nonrecoverable Advances. In making a recoverability determination with respect to any advance in accordance with the series 2006-C4 pooling and servicing agreement, the master servicer, the special servicer and the trustee may consider, among other things, the obligations of the borrower under the terms of the related mortgage loan as it may have been modified, the condition of the related mortgaged real property, future expenses, and the existence and amount of any outstanding advances on the subject underlying mortgage loan, together with (to the extent accrued and unpaid) interest on such advances, and the existence and amount of any nonrecoverable advances in respect of other underlying mortgage loans, the reimbursement of which is being deferred as contemplated in the next paragraph. If the master servicer, the special servicer or the trustee reimburses itself out of general collections on the mortgage pool for any advance that it (or, if applicable, in the case of the master servicer and the trustee, that the special servicer) has determined is not recoverable out of collections on the related mortgage loan, then that advance (together with accrued interest thereon) will be deemed, to the fullest extent permitted, to be reimbursed first out of payments and other collections of principal on the underlying mortgage loans otherwise distributable on the series 2006-C4 certificates on the related distribution date (prior to being deemed reimbursed out of payments and other collections of interest on the underlying mortgage loans otherwise distributable on the series 2006-C4 certificates), thereby reducing the payments of principal on the series 2006-C4 certificates. In addition, if payments and other collections of principal on the mortgage pool are applied to reimburse, or pay interest on, any advance that is determined to be nonrecoverable from collections on the related underlying mortgage loan, as described in the prior sentence, then that advance will be reimbursed, and/or interest thereon will be paid, first out of payments or other collections of principal on the loan group that includes the subject underlying mortgage loan as to which the advance was made, and prior to using payments or other collections of principal on the other loan group. Notwithstanding the foregoing, upon a determination that a previously made advance is not recoverable from expected collections on the related underlying mortgage loan or REO Property in the trust fund, instead of obtaining reimbursement out of general collections on the mortgage pool immediately, the master servicer, the special servicer or the trustee, as applicable, may, in its sole discretion, elect to obtain reimbursement for such nonrecoverable advance (together with accrued and unpaid interest thereon) over a period of time (not to exceed more than 12 months without the consent of the series 2006-C4 controlling class representative) and the unreimbursed portion of such advance will accrue interest at the prime rate described under "--Advances--Interest on Advances" above. At any time after such a determination to obtain reimbursement over time in accordance with the preceding sentence, the master servicer, the special servicer or the trustee, as applicable, may, in its sole discretion, decide to obtain reimbursement from general collections on the mortgage pool immediately. The fact that a decision to recover a nonrecoverable advance over time, or not to do so, benefits some classes of series 2006-C4 certificateholders to the detriment of other classes of series 2006-C4 certificateholders will not, with respect to the master servicer or special servicer, constitute a violation of the Servicing Standard or, with respect to the trustee, constitute a violation of any fiduciary duty to the series 2006-C4 certificateholders and/or contractual duty under the series 2006-C4 pooling and servicing agreement. In the event that the master servicer, the special servicer or the trustee, as applicable, elects not to recover such nonrecoverable advances over time, the master servicer or the trustee, as applicable, will be required to give Fitch and Moody's at least 15 days' notice prior to any such reimbursement, unless the master servicer, the special servicer or the trustee, as applicable, makes a determination not to give such notices in accordance with the terms of the series 2006-C4 pooling and servicing agreement. 132 THE SERIES 2006-C4 CONTROLLING CLASS REPRESENTATIVE AND THE NON-TRUST LOAN NOTEHOLDERS Series 2006-C4 Controlling Class. As of any date of determination, the controlling class of series 2006-C4 certificateholders will be the holders of the most subordinate class of series 2006-C4 certificates then outstanding, other than the class X, Y and R certificates, that has a total principal balance that is greater than 25% of that class's original total principal balance. However, if no class of series 2006-C4 certificates, exclusive of the class X, Y and R certificates, has a total principal balance that satisfies this requirement, then the controlling class of series 2006-C4 certificateholders will be the holders of the most subordinate class of series 2006-C4 certificates then outstanding, other than the class X, Y and R certificates, that has a total principal balance greater than zero. For purposes of determining, and exercising the rights of, the series 2006-C4 controlling class, the class A-1, A-2, A-SB, A-3 and A-1A certificates will represent a single class. Selection of the Series 2006-C4 Controlling Class Representative. The series 2006-C4 controlling class certificateholders entitled to a majority of the voting rights allocated to the series 2006-C4 controlling class, will be entitled to: o select a representative having the rights and powers described under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Rights and Powers of the Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" below and elsewhere in this offering prospectus; or o replace an existing series 2006-C4 controlling class representative. The trustee will be required to notify promptly all the certificateholders of the series 2006-C4 controlling class that they may select a series 2006-C4 controlling class representative upon: o the receipt by the trustee of written requests for the selection of a successor series 2006-C4 controlling class representative from series 2006-C4 certificateholders entitled to a majority of the voting rights allocated to the series 2006-C4 controlling class; o the resignation or removal of the person acting as series 2006-C4 controlling class representative; or o a determination by the trustee that the series 2006-C4 controlling class has changed. The notice will explain the process for selecting a series 2006-C4 controlling class representative. The appointment of any person (other than the initial series 2006-C4 controlling class representative) as a series 2006-C4 controlling class representative will not be effective until that person provides the trustee and the master servicer with: 1. written confirmation of its acceptance of its appointment; 2. an address and telecopy number for the delivery of notices and other correspondence; and 3. a list of officers or employees of the person with whom the parties to the series 2006-C4 pooling and servicing agreement may deal, including their names, titles, work addresses and telecopy numbers. Resignation and Removal of the Series 2006-C4 Controlling Class Representative. The series 2006-C4 controlling class representative may at any time resign by giving written notice to the trustee and each certificateholder of the series 2006-C4 controlling class. The certificateholders entitled to a majority of the voting 133 rights allocated to the series 2006-C4 controlling class, will be entitled to remove any existing series 2006-C4 controlling class representative by giving written notice to the trustee and to the existing series 2006-C4 controlling class representative. Rights and Powers of the Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders. The special servicer will be required to prepare a report, referred to as an "Asset Status Report", for each mortgage loan in the trust fund that becomes a specially serviced mortgage loan, not later than 30 days after the servicing of the mortgage loan is transferred to the special servicer. Each Asset Status Report is to include, among other things, a summary of the status of the subject specially serviced mortgage loan and negotiations with the related borrower and a summary of the special servicer's recommended action with respect to the subject specially serviced mortgage loan. The preparation, revision and/or modification of any Asset Status Report will be subject to the rights of the applicable Loan-Specific Controlling Party to object to and/or direct various servicing actions with respect to the subject underlying mortgage loan. Each Asset Status Report will be delivered to the series 2006-C4 controlling class representative, the ShopKo Portfolio Non-Trust Loan Noteholders (but only if the ShopKo Portfolio Loan Combination is involved) and the Wimbledon Place Apartments Non-Trust Noteholder (but only if the Wimbledon Place Apartments Loan Combination is involved), among others, by the special servicer. The special servicer will have the authority to meet with the borrower under any specially serviced mortgage loan in the trust fund and take such actions consistent with the Servicing Standard, the terms of the series 2006-C4 pooling and servicing agreement and the related Asset Status Report. The special servicer may not take any action inconsistent with the related Asset Status Report unless that action would be required in order to act in accordance with the Servicing Standard. No direction of any Loan-Specific Controlling Party in connection with any Asset Status Report may (a) require or cause the master servicer or the special servicer to violate the terms of the subject mortgage loan, applicable law or any provision of the series 2006-C4 pooling and servicing agreement, including the master servicer's or the special servicer's, as the case may be, obligation to act in accordance with the Servicing Standard and to maintain the REMIC status of any REMIC created under the series 2006-C4 pooling and servicing agreement, (b) result in the imposition of a "prohibited transaction" or "prohibited contribution" tax under the REMIC provisions of the Internal Revenue Code, or (c) expand the scope of the master servicer's, trustee's or special servicer's responsibilities under the series 2006-C4 pooling and servicing agreement. The "Loan-Specific Controlling Party" will be: (a) in the case of the ShopKo Portfolio Loan Combination, the holders (or representatives of holders) of promissory notes representing more than 50% of total principal balance of the entire ShopKo Portfolio Loan Combination; and (b) in the case of all other underlying mortgage loans, the series 2006-C4 controlling class representative. For the purposes of clause (a) of the preceding sentence, the series 2006-C4 pooling and servicing agreement will designate the series 2006-C4 controlling class representative as the representative of the issuing entity, as holder of the promissory notes for the ShopKo Portfolio Mortgage Loan. In addition, except in the case of the ShopKo Portfolio Loan Combination, the series 2006-C4 controlling class representative will generally be entitled to advise the special servicer with respect to the following actions of the special servicer, and the special servicer will not be permitted to take (and may not consent to the master servicer's taking) any of the following actions as to which the series 2006-C4 controlling class representative has objected in writing within ten business days of having been notified in writing of the particular action and receiving the information reasonably necessary to make an informed decision with respect thereto: 1. any foreclosure upon or comparable conversion, which may include acquisitions of an REO Property, of the ownership of any mortgaged real properties securing those specially serviced mortgage loans in the trust fund as come into and continue in default; 134 2. any modification of a monetary term (other than late payment charge and Default Interest provisions) of an underlying mortgage loan, but excluding a modification consisting of the extension of the maturity date of the subject mortgage loan for one year or less; 3. any proposed sale of an REO Property out of the trust fund (other than in connection with the termination of the issuing entity) for less than the related Purchase Price; 4. any determination to bring an REO Property held by the issuing entity into compliance with applicable environmental laws or to otherwise address hazardous materials located at such REO Property; 5. any release of collateral, or acceptance of substitute or additional collateral, for an underlying mortgage loan unless required by the related mortgage loan documents and/or applicable law; 6. any waiver of a "due-on-sale" clause or "due-on-encumbrance" clause; and 7. any acceptance of an assumption agreement releasing a borrower from liability under an underlying mortgage loan (other than in connection with a defeasance permitted under the terms of the applicable mortgage loan documents); provided that, if the special servicer determines that immediate action is necessary to protect the interests of the series 2006-C4 certificateholders (as a collective whole), then the special servicer may take (or consent to the master servicer's taking) any such action without waiting for the instruction of the series 2006-C4 controlling class representative. With respect to the ShopKo Portfolio Loan Combination, the special servicer will, in general, not be permitted to take, or consent to the master servicer's taking, any of the following actions, among others, under the series 2006-C4 pooling and servicing agreement with respect to the ShopKo Portfolio Loan Combination, as to which the applicable Loan-Specific Controlling Party has objected within 30 business days of having been notified thereof in writing and receiving the information reasonably necessary to make an informed decision with respect thereto: o any foreclosure upon or comparable conversion (which may include acquisitions of an REO Property) of the ownership of the related mortgaged real properties following a default, o any modification, extension, amendment or waiver of a monetary term (including the timing of payments, but excluding the waiver of default charges) or any material non monetary term (including any material term relating to insurance) of a specially serviced mortgage loan in ShopKo Portfolio Loan Combination, o any proposed sale of an REO Property for less than the outstanding principal balance of, together with accrued interest on, the ShopKo Portfolio Loan Combination, o any acceptance of a discounted payoff with respect to a specially serviced mortgage loan, o any determination to bring a ShopKo Portfolio Mortgaged Property securing a specially serviced mortgage loan in the ShopKo Portfolio Loan Combination or a related REO Property into compliance with applicable environmental laws or to otherwise address hazardous materials located at a ShopKo Portfolio Mortgaged Property securing a specially serviced mortgage loan in the ShopKo Portfolio Loan Combination or a related REO Property, 135 o any release of collateral for a mortgage loan in the ShopKo Portfolio Loan Combination, other than in accordance with the terms of, or upon satisfaction of, such mortgage loan, o any acceptance of substitute or additional collateral for the mortgage loans in the ShopKo Portfolio Loan Combination, other than in accordance with the terms of such mortgage loan, o any waiver of a "due on sale" or "due on encumbrance" clause with respect to any mortgage loan in the ShopKo Portfolio Loan Combination, o any acceptance of an assumption agreement releasing a borrower from liability under any mortgage loan in the ShopKo Portfolio Loan Combination, o any adoption or approval of a plan in bankruptcy of a related borrower, o any replacement of the property manager or, if applicable, the franchise in respect of a ShopKo Portfolio Mortgaged Property, if lender approval is required by the loan documents, o any release, waiver or reduction of the amounts of escrows or reserves held in conjunction with the mortgage loans in the ShopKo Portfolio Loan Combination not expressly required by the terms of the loan documents or under applicable law, o any renewal or replacement of the then existing insurance policies to the extent that the renewal or replacement policy does not comply with the terms of the loan documents or any material waiver, modification or amendment of any material insurance requirements under the loan documents, in each case if lender's approval is required by the loan documents, and o any approval of a material capital expenditure, if lender's approval is required by the loan documents; provided that, if the special servicer determines that immediate action is necessary to protect the interests of the series 2006-C4 certificateholders and the ShopKo Portfolio Non-Trust Loan Noteholders, as a collective whole, then the special servicer may take any such action without waiting for the response of the applicable Loan-Specific Controlling Party. Furthermore, the applicable Loan-Specific Controlling Party may direct the special servicer to take, or to refrain from taking, such other actions with respect to any underlying mortgage loan as the applicable Loan-Specific Controlling Party may deem advisable or as to which provision is otherwise made in the series 2006-C4 pooling and servicing agreement; provided that, notwithstanding anything herein to the contrary no such direction, and no objection contemplated by any of the other preceding paragraphs, may (and the special servicer or the master servicer must disregard any such direction or objection that would) require or cause the special servicer or the master servicer to violate any applicable law, any provision of the series 2006-C4 pooling and servicing agreement or any underlying mortgage loan or the REMIC provisions of the Internal Revenue Code, including the special servicer's or the master servicer's obligation to act in accordance with the Servicing Standard, or materially expand the scope of the special servicer's or the master servicer's responsibilities under the series 2006-C4 pooling and servicing agreement or cause the special servicer or the master servicer to act, or fail to act, in a manner which in the reasonable judgment of the special servicer or the master servicer, as the case may be, is not in the best interests of the series 2006-C4 certificateholders and, if applicable, the related Non-Trust Loan Noteholders. 136 When reviewing the rest of this "The Series 2006-C4 Pooling and Servicing Agreement" section, it is important that you consider the effects that the rights and powers of the applicable Loan-Specific Controlling Party discussed above could have on the actions of the special servicer. Certain Liability Matters. In general, any and all expenses of the series 2006-C4 controlling class representative are to be borne by the holders of the series 2006-C4 controlling class in proportion to their respective percentage interests in the series 2006-C4 controlling class, and not by the issuing entity. However, if a claim is made against the series 2006-C4 controlling class representative by a borrower with respect to the series 2006-C4 pooling and servicing agreement or any particular underlying mortgage loan, then (subject to the discussion under "Description of the Governing Documents--Matters Regarding the Master Servicer, the Special Servicer, the Manager and Us" in the accompanying base prospectus) the special servicer (on behalf of, and at the expense of, the issuing entity) will assume the defense of the claim against the series 2006-C4 controlling class representative, but only if in the sole judgment of the special servicer-- 1. the series 2006-C4 controlling class representative acted in good faith, without negligence or willful misfeasance, with regard to the particular matter at issue, and 2. there is no potential for the special servicer or the issuing entity to be an adverse party in the action as regards the series 2006-C4 controlling class representative. The series 2006-C4 controlling class representative may have special relationships and interests that conflict with those of the holders of one or more classes of the offered certificates. In addition, the series 2006-C4 controlling class representative does not have any duties or liability to the holders of any class of series 2006-C4 certificates other than the series 2006-C4 controlling class. It may act solely in the interests of the certificateholders of the series 2006-C4 controlling class and will have no liability to any other series 2006-C4 certificateholders for having done so. No series 2006-C4 certificateholder may take any action against the series 2006-C4 controlling class representative for its having acted solely in the interests of the certificateholders of the series 2006-C4 controlling class. The Wimbledon Place Apartments Non-Trust Loan Noteholder may exercise certain approval rights relating to a deferral, modification, supplement or waiver of the Wimbledon Place Apartments Mortgage Loan or the Wimbledon Place Apartments Non-Trust Loan that materially and adversely affects the Wimbledon Place Apartments Non-Trust Loan Noteholder prior to the expiration of the repurchase period described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus. Additional Rights of the Non-Trust Loan Noteholders; Right to Purchase. For a discussion of the right of any related Non-Trust Loan Noteholder to purchase the ShopKo Portfolio Mortgage Loan or the Wimbledon Place Apartments Mortgage Loan, as applicable, see "Description of the Mortgage Pool--The Loan Combinations" in this offering prospectus. REPLACEMENT OF THE SPECIAL SERVICER Series 2006-C4 certificateholders entitled to a majority of the voting rights allocated to the series 2006-C4 controlling class may terminate an existing special servicer and appoint a successor. However, any such termination of an existing special servicer and/or appointment of a successor special servicer will be subject to, among other things, receipt by the trustee of: 1. written confirmation from each of Fitch and Moody's that the appointment will not result in a qualification, downgrade or withdrawal of any of the ratings then assigned by the rating agency to any class of the series 2006-C4 certificates (provided that such confirmation need not be obtained from Fitch if the proposed successor special servicer is rated at least "CSS2" by Fitch); 137 2. the written agreement of the proposed special servicer to be bound by the terms and conditions of the series 2006-C4 pooling and servicing agreement, together with an opinion of counsel regarding, among other things, the enforceability of the series 2006-C4 pooling and servicing agreement against the proposed special servicer. Subject to the foregoing, any series 2006-C4 certificateholder or any affiliate of a series 2006-C4 certificateholder may be appointed as special servicer. If the special servicer is terminated or replaced or resigns, the outgoing special servicer will be required to cooperate with the trustee and the replacement special servicer in effecting the termination of the outgoing special servicer's responsibilities and rights under the series 2006-C4 pooling and servicing agreement, including the transfer within two business days to the replacement special servicer for administration by it of all cash amounts that are at the time credited or should have been credited by the outgoing special servicer to a custodial account, a servicing account, a reserve account or an REO account or should have been delivered to the master servicer or that are thereafter received with respect to specially serviced mortgage loans and administered REO Properties. The trustee is required to notify the other parties to the series 2006-C4 pooling and servicing agreement and the series 2006-C4 certificateholders of any termination of the special servicer and appointment of a new special servicer. Any costs and expenses incurred in connection with the removal of a special servicer (without cause) and the appointment of a successor thereto, as described above, that are not paid by the replacement special servicer will be payable by the holders or beneficial owners entitled to a majority of the voting rights allocated to the series 2006-C4 controlling class. Any costs and expenses incurred in connection with the removal of a special servicer (with cause) and the appointment of a successor thereto, as described above, will be payable by the terminated special servicer and, if not paid by the terminated special servicer, will constitute an Additional Trust Fund Expense. Furthermore, the terminated special servicer will be entitled to all amounts due and payable to it under the series 2006-C4 pooling and servicing agreement at the time of the termination (including workout fees as described under "--Servicing and Other Compensation and Payment of Expenses--Principal Special Servicing Compensation--The Workout Fee" above). Notwithstanding the foregoing, the holders (or representatives of holders) of promissory notes representing more than 50% of the total principal balance of the ShopKo Portfolio Non-Trust Loans may terminate an existing special servicer with respect to, but solely with respect to, the ShopKo Portfolio Loan Combination, with or without cause, and appoint a successor to any special servicer with respect to, but solely with respect to, the ShopKo Portfolio Loan Combination that has resigned or been terminated, subject to receipt by the trustee of the items described in clauses (1) and (2) of the first paragraph under this "--Replacement of Special Servicer" section, and the majority holders of the series 2006-C4 controlling class certificates cannot terminate without a special servicer appointed by the holders (or representatives of holders) of promissory notes representing more than 50% of the total principal balance of the ShopKo Portfolio Non-Trust Loans with respect to the ShopKo Portfolio Loan Combination. If the special servicer for the ShopKo Portfolio Loan Combination is different from the special servicer for the rest of the mortgage loans serviced under the series 2006-C4 pooling and servicing agreement, then (unless the context indicates otherwise) all references to the special servicer in this offering prospectus and the accompanying base prospectus are intended to mean the applicable special servicer or both special servicers together, as appropriate in light of the circumstances. 138 BENEFICIAL OWNERS OF THE CONTROLLING CLASS OF SERIES 2006-C4 CERTIFICATES If the certificates of the series 2006-C4 controlling class are held in book-entry form, then any beneficial owner of those certificates whose identity and beneficial ownership interest has been proven to the satisfaction of the trustee, will be entitled to: o receive all notices described under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" and/or "--Replacement of the Special Servicer" above; and o exercise directly all rights described under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" and/or "--Replacement of the Special Servicer" above, that it otherwise would if it were the registered holder of certificates of the subject class. Beneficial owners of series 2006-C4 controlling class certificates held in book-entry form will likewise be subject to the same limitations on rights and the same obligations as they otherwise would if they were registered holders of certificates of the subject class. ENFORCEMENT OF DUE-ON-SALE AND DUE-ON-ENCUMBRANCE PROVISIONS Upon receipt of any request for a waiver in respect of a due-on-sale (including, without limitation, a sale of a mortgaged real property (in full or in part) or a sale, transfer, pledge or hypothecation of direct or indirect interests in a borrower or its owners) or due-on-encumbrance (including, without limitation, any mezzanine financing of a borrower or a mortgaged real property or a sale or transfer of preferred equity in a borrower or its owners) provision with respect to any of the underlying mortgage loans or a request by a borrower for a determination with respect to an underlying mortgage loan which by its terms permits transfer, assumption or further encumbrance without lender consent upon the satisfaction of certain conditions, that such conditions have been satisfied, the master servicer or, in the case of specially serviced mortgage loans, the special servicer, as applicable, must analyze that request, prepare all written materials in connection with such analysis and, if it approves such request, close the related transaction, subject to the consent rights of the applicable Loan-Specific Controlling Party, and any applicable intercreditor, co-lender or similar agreement; provided that the master servicer may not waive any due-on-sale or due-on-encumbrance provision or consent to any assumption without the consent of the special servicer. With respect to all mortgage loans in the trust fund, the special servicer, on behalf of the trustee as the mortgagee of record, must, to the extent permitted by applicable law, enforce the restrictions contained in the related mortgage instrument on transfers or further encumbrances of the related mortgaged real property and on transfers of interests in the related borrower, unless the master servicer (with the consent of the special servicer) or the special servicer, as the case may be, has determined, consistent with the Servicing Standard, that waiver of those restrictions would be in accordance with the Servicing Standard. Neither the master servicer nor the special servicer may exercise any waiver in respect of a due-on-encumbrance provision of any of the underlying mortgage loans with respect to which (a) the aggregate of the Stated Principal Balance of that mortgage loan and the Stated Principal Balance of all other underlying mortgage loans that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, is equal to or in excess of $20,000,000, (b) the aggregate of the Stated Principal Balance of the subject mortgage loan and the Stated Principal Balance of all other underlying mortgage loans that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, are greater than 5% of the aggregate Stated Principal Balance of all the underlying mortgage loans or (c) the subject mortgage loan is one of the ten largest mortgage loans in the trust fund as of the date of the waiver (by Stated Principal Balance), without receiving prior written confirmation from each of Fitch and Moody's that such action would not result in a downgrading, qualification or withdrawal of the ratings then assigned by that rating agency to the series 2006-C4 certificates. In addition, neither the master servicer (in the 139 circumstances specified in the series 2006-C4 pooling and servicing agreement) nor the special servicer may exercise any waiver in respect of a due-on-sale provision of any of the underlying mortgage loans with respect to which (a) the aggregate of the Stated Principal Balance of the subject mortgage loan and the Stated Principal Balance of all other underlying mortgage loans that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, is equal to or in excess of $35,000,000 (or $20,000,000 with respect to Moody's), (b) the aggregate of the Stated Principal Balance of the subject mortgage loan and the Stated Principal Balance of all other underlying mortgage loans in the trust fund that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, are greater than 5% of the aggregate Stated Principal Balance of all the underlying mortgage loans or (c) the subject mortgage loan is one of the ten largest mortgage loans in the trust fund as of the date of the waiver (by Stated Principal Balance), without receiving prior written confirmation from each of Fitch and Moody's that such action would not result in a downgrading, qualification or withdrawal of the ratings then assigned by that rating agency to the series 2006-C4 certificates; provided that, if the subject mortgage loan does not meet the criteria set forth in clauses (a), (b) and (c) of this sentence, the master servicer (in the circumstances specified in the series 2006-C4 pooling and servicing agreement and with the consent of the special servicer) or the special servicer, as the case may be, may waive such requirement without approval by Fitch or Moody's in accordance with the Servicing Standard. Any fees charged by the rating agencies in connection with obtaining any written confirmation contemplated in the two preceding sentences will be charged to the borrower unless prohibited by the related mortgage loan documents, in which case such fees will be Additional Trust Fund Expenses. If the special servicer, in accordance with the Servicing Standard, determines with respect to any underlying mortgage loan that by its terms permits transfer, assumption or further encumbrance of that mortgage loan or the related mortgaged real property, as applicable, without lender consent upon the satisfaction of certain conditions, that such conditions have not been satisfied, then the master servicer may not permit such transfer, assumption or further encumbrance. As used in this paragraph, the terms "sale", "transfer" and "encumbrance" include the matters contemplated by the parentheticals in the first sentence of this paragraph. Notwithstanding the foregoing, if the master servicer rejects a borrower's request in connection with a "due-on-sale" or "due-on-encumbrance" clause under a mortgage loan as to which it is reviewing such request in the circumstances specified in the series 2006-C4 pooling and servicing agreement, the special servicer will be given the opportunity to review and, subject to the provisions of the preceding paragraph regarding "due-on-sale" and "due-on-encumbrance" clauses, determine to approve such borrower's request. In addition, the master servicer (with respect to underlying mortgage loans that are not specially serviced mortgage loans and are not related to REO Properties) (without the special servicer's consent) or the special servicer (with respect to specially serviced mortgage loans and REO Properties in the trust fund), without any rating agency confirmation as provided in the prior paragraph, may grant a borrower's request for consent (or, in the case of an REO Property, may consent) to subject the related mortgaged real property to an easement or right-of-way for utilities, access, parking, public improvements or another purpose, and may consent to subordination of the related underlying mortgage loan to such easement or right-of-way, provided that the master servicer or the special servicer, as applicable, has determined in accordance with the Servicing Standard that such easement or right-of-way will not materially interfere with the then-current use of the related mortgaged real property, or the security intended to be provided by the related mortgage instrument or the related borrower's ability to repay the related underlying mortgage loan, and will not materially or adversely affect the value of such mortgaged real property or cause certain adverse tax consequences with respect to the trust fund. CERTAIN LITIGATION MATTERS The management, prosecution, defense and/or settlement of claims and litigation relating to any underlying mortgage loan brought against the issuing entity or any party to the series 2006-C4 pooling and servicing agreement will generally be handled by the master servicer and the special servicer, as more specifically 140 provided for in the series 2006-C4 pooling and servicing agreement. In connection with handling such matters, the master servicer and the special servicer will be required to seek the consent of the applicable Loan-Specific Controlling Party with respect to material decisions and settlement proposals. MODIFICATIONS, WAIVERS, AMENDMENTS AND CONSENTS Subject to the following discussion in this "--Modifications, Waivers, Amendments and Consents" section, and further subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, the master servicer (to the extent provided in the penultimate paragraph of this "--Modifications, Waivers, Amendments and Consents" section and in connection with certain waivers of Default Interest and late payment charges) and the special servicer may, on behalf of the trustee, agree to any modification, waiver or amendment of any term of any underlying mortgage loan (including, subject to the penultimate paragraph of this "--Modifications, Waivers, Amendments and Consents" section, the lease reviews and lease consents related thereto) without the consent of the trustee or any series 2006-C4 certificateholder. All modifications, waivers or amendments of any underlying mortgage loan serviced under the series 2006-C4 pooling and servicing agreement must be in writing and must be considered and effected in accordance with the Servicing Standard; provided, however, that neither the master servicer nor the special servicer, as applicable, may make or permit or consent to, as applicable, any modification, waiver or amendment of any term of any underlying mortgage loan serviced under the series 2006-C4 pooling and servicing agreement if that modification, waiver or amendment (a) would constitute a "significant modification" of the subject mortgage loan within the meaning of Treasury regulations section 1.860G-2(b) and (b) is not otherwise permitted as described in this "--Modifications, Waivers, Amendments and Consents" section. Except as discussed in the next paragraph and except for waivers of Default Interest and late payment charges, neither the master servicer nor the special servicer, on behalf of the trustee, may agree or consent to any modification, waiver or amendment of any term of any mortgage loan in the trust fund that would: (a) affect the amount or timing of any related payment of principal, interest or other amount (including prepayment premiums or yield maintenance charges, but excluding Default Interest, late payment charges and amounts payable as additional servicing compensation) payable thereunder; (b) affect the obligation of the related borrower to pay a prepayment premium or yield maintenance charge or permit a principal prepayment during any period in which the related mortgage note prohibits principal prepayments; (c) except as expressly contemplated by the related mortgage instrument or in circumstances involving environmental issues, result in a release of the lien of the related mortgage instrument on any material portion of the related mortgaged real property without a corresponding principal prepayment in an amount not less than the fair market value of the property to be released, other than in connection with a taking of all or part of the related mortgaged real property or REO Property for not less than fair market value by exercise of the power of eminent domain or condemnation or casualty or hazard losses with respect to such mortgaged real property or REO Property; (d) if the subject mortgage loan has a Stated Principal Balance, individually or in the aggregate with all other underlying mortgage loans that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, equal to or in excess of 5% of the then aggregate current principal balances of all mortgage loans in the trust fund or $35,000,000 (or with respect to Moody's $20,000,000), or is one of the ten largest mortgage loans in the trust fund by Stated Principal Balance as of such date, permit the transfer or 141 transfers of (A) the related mortgaged real property or any interest therein or (B) equity interests in the borrower or any equity owner of the borrower that would result, in the aggregate during the term of the subject mortgage loan, in a transfer greater than 49% of the total interest in the borrower and/or any equity owner of the borrower or a transfer of voting control in the borrower or an equity owner of the borrower without the prior written confirmation from each applicable rating agency that such changes will not result in the qualification, downgrade or withdrawal to the ratings then assigned to the series 2006-C4 certificates; (e) allow any additional lien on the related mortgaged real property if the subject mortgage loan has a Stated Principal Balance, individually or in the aggregate with all other underlying mortgage loans that are cross-collateralized with, cross-defaulted with or have been made to borrowers affiliated with the borrower on the subject mortgage loan, equal to or in excess of 5% of the then aggregate current principal balances of all the mortgage loans in the trust fund or $20,000,000, is one of the ten largest mortgage loans in the trust fund by Stated Principal Balance as of such date, without the prior written confirmation from each applicable rating agency that such change will not result in the qualification, downgrade or withdrawal of the ratings then assigned to the series 2006-C4 certificates; or (f) in the reasonable, good faith judgment of the special servicer, otherwise materially impair the security for the subject mortgage loan or reduce the likelihood of timely payment of amounts due thereon. Notwithstanding the foregoing, but subject to the discussion in the following paragraph, and further subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, the special servicer may (1) reduce the amounts owing under any specially serviced mortgage loan in the trust fund by forgiving principal, accrued interest or any prepayment premium or yield maintenance charge, (2) reduce the amount of the scheduled monthly debt service payment on any specially serviced mortgage loan, including by way of a reduction in the related mortgage rate, (3) forbear in the enforcement of any right granted under any mortgage note or mortgage instrument relating to a specially serviced mortgage loan in the trust fund, (4) extend the maturity date of any specially serviced mortgage loan in the trust fund, or (5) accept a principal prepayment on any specially serviced mortgage loan in the trust fund during any prepayment lockout period; provided that, among any other conditions specified in the series 2006-C4 pooling and servicing agreement, (A) the related borrower is in default with respect to the subject specially serviced mortgage loan or, in the judgment of the special servicer, such default is reasonably foreseeable, and (B) in the judgment of the special servicer, such modification would increase the recovery on the subject mortgage loan to the series 2006-C4 certificateholders on a net present value basis. In the case of every other modification, waiver or consent, the special servicer must determine and may rely on an opinion of counsel to the effect that such modification, waiver or amendment would not both (1) effect an exchange or reissuance of the subject mortgage loan under Treasury regulations section 1.860G-2(b) of the Internal Revenue Code and (2) cause any REMIC created under the series 2006-C4 pooling and servicing agreement to fail to qualify as a REMIC under the Internal Revenue Code or result in the imposition of any tax on "prohibited transactions" or "contributions" after the startup day under the REMIC provisions of the Internal Revenue Code. In no event, however, may the special servicer: (1) extend the maturity date of a mortgage loan in the trust fund beyond a date that is two years prior to the rated final distribution date or, in connection with any extension of maturity, reduce the mortgage rate of a mortgage loan in the trust fund to less than the least of (a) the original mortgage rate of the subject mortgage loan, (b) the highest fixed pass-through rate of any class of series 2006-C4 principal balance certificates then outstanding and (c) a rate below the then prevailing interest rate for comparable loans, as determined by the special servicer; or (2) if the subject mortgage loan is secured by a ground lease (and not by the corresponding fee simple interest), extend the maturity date of the subject mortgage loan beyond a date which is less than 20 years (or, to the extent consistent with the Servicing Standard, giving due 142 consideration to the remaining term of the ground lease, ten years) prior to the expiration of the term of such ground lease. The Wimbledon Place Apartments Non-Trust Loan Noteholder may exercise certain approval rights relating to a deferral, modification, supplement or waiver of the Wimbledon Place Apartments Mortgage Loan or the Wimbledon Place Apartments Non-Trust Loan that materially and adversely affects the Wimbledon Place Apartments Non-Trust Loan Noteholder prior to the expiration of the repurchase period described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus. In addition, if the direct or indirect equity interests in any borrower are pledged to secure a mezzanine loan, then the special servicer's ability to modify the terms of the related underlying mortgage loan may be limited by the related intercreditor agreement. Any modification, extension, waiver or amendment of the payment terms of a Loan Combination will be required to be structured so as to be generally consistent with the allocation and payment priorities in the related loan documents and the related co-lender or intercreditor agreement, such that neither the issuing entity, as holder of the promissory note(s) for the underlying mortgage loan in that Loan Combination, on the one hand, nor any related Non-Trust Loan Noteholder, on the other hand, gains a priority over the other that is not reflected in the loan documents and the related co-lender or intercreditor agreement. The special servicer or the master servicer, as applicable, may, as a condition to granting any request by a borrower for consent, modification, waiver or indulgence or any other matter or thing, the granting of which is within its discretion pursuant to the terms of the instruments evidencing or securing the subject underlying mortgage loan and is permitted by the terms of the series 2006-C4 pooling and servicing agreement, require that the borrower pay to it (a) as additional servicing compensation, a reasonable or customary fee for the additional services performed in connection with such request, provided that such fee would not itself be a "significant modification" pursuant to Treasury regulations section 1.1001-3(e)(2); and (b) any related costs and expenses incurred by it. In no event will the special servicer or the master servicer be entitled to payment for such fees or expenses unless such payment is collected from the related borrower. The special servicer must notify, among others, the master servicer, any related sub-servicers, the trustee, the series 2006-C4 controlling class representative and the rating agencies, in writing, of any material modification, waiver or amendment of any term of any underlying mortgage loan agreed to by it (including fees charged the related borrower) and the date thereof, and must deliver to the custodian (with a copy to the master servicer) for deposit in the related Mortgage File, an original counterpart of the agreement relating to such modification, waiver or amendment, promptly (and in any event within ten business days) following the execution thereof. Copies of each agreement whereby any such modification, waiver or amendment of any term of any underlying mortgage loan is effected will be made available for review upon prior request during normal business hours at the offices of the special servicer as described under "Description of the Offered Certificates--Reports to Certificateholders; Available Information." For any non-specially serviced mortgage loan in the trust fund, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, the master servicer, without the consent of the special servicer, will be responsible for any request by a borrower for the consent or other appropriate action on the part of the lender with respect to: 1. approving routine leasing activity (subject to certain limitations with respect to subordination and non-disturbance agreements set forth in the series 2006-C4 pooling and servicing agreement) with respect to any lease for less than the amount or percentage of the square footage of the related mortgaged real property specified in the series 2006-C4 pooling and servicing agreement; 2. approving any waiver affecting the timing of receipt of financial statements from any borrower; provided that such financial statements are delivered no less than quarterly and within 60 days of the end of the calendar quarter; 143 3. approving annual budgets for the related mortgaged real property; provided that no such budget (a) provides for the payment of operating expenses in an amount equal to more than 110% of the amounts budgeted therefor for the prior year or (b) provides for the payment of any material expenses to any affiliate of the related borrower (other than the payment of a management fee to any property manager if such management fee is no more than the management fee in effect on the cut-off date); 4. subject to other restrictions herein regarding principal prepayments, waiving any provision of a mortgage loan in the trust fund requiring a specified number of days notice prior to a principal prepayment; 5. approving modifications, consents or waivers (other than those described in the third paragraph of this "--Modifications, Waivers, Amendments and Consents" section) in connection with a defeasance permitted by the terms of the subject underlying mortgage loan if the master servicer receives an opinion of counsel to the effect that such modification, waiver or consent would not cause any REMIC created under the series 2006-C4 pooling and servicing agreement to fail to qualify as a REMIC or result in a "prohibited transaction" under the REMIC provisions of the Internal Revenue Code; and 6. approving certain consents with respect to non-material rights-of-way and easements and consent to subordination of the subject underlying mortgage loan to non-material rights-of-way or easements. Notwithstanding anything to the contrary described in this offering prospectus, neither the master servicer nor the special servicer, as applicable, may take the following action unless, in the case of any underlying mortgage loan, to the extent permitted by the related loan documents, it has received prior written confirmation from the applicable rating agencies that such action will not result in a qualification, downgrade or withdrawal of any of the ratings assigned by any such rating agency to the series 2006-C4 certificates: (a) with respect to any mortgaged real property that secures a mortgage loan in the trust fund with an unpaid principal balance that is at least equal to 5% of the then aggregate principal balance of all mortgage loans in the trust fund or $20,000,000, the giving of any consent, approval or direction regarding the termination of the related property manager or the designation of any replacement property manager; and (b) with respect to each mortgage loan in the trust fund with an unpaid principal balance that is equal to or greater than (i) 5% of the then aggregate principal balance of all the mortgage loans in the trust fund or (ii) $20,000,000 and which is secured by a mortgaged real property which is a hotel property, the giving of any consent to any change in the franchise affiliation of such mortgaged real property. REQUIRED APPRAISALS The special servicer must obtain, within 60 days following the occurrence of any Appraisal Trigger Event with respect to any of the mortgage loans in the trust fund, and deliver to the trustee and the master servicer, among others, a copy of, an appraisal of the related mortgaged real property from an independent appraiser meeting the qualifications imposed in the series 2006-C4 pooling and servicing agreement, unless an appraisal had previously been obtained within the prior 12 months and the special servicer is not aware of any subsequent material change in the condition of that property (in which case a letter update will be permitted). 144 Notwithstanding the foregoing, if the unpaid principal balance of the subject mortgage loan is less than $2,000,000, the special servicer may, at its option, cause an internal valuation of the mortgaged real property to be performed. As a result of any appraisal or other valuation, it may be determined that an Appraisal Reduction Amount exists with respect to the subject underlying mortgage loan. An Appraisal Reduction Amount is relevant to the determination of the amount of any advances of delinquent interest required to be made with respect to the affected underlying mortgage loan. See "--Advances--Advances of Delinquent Monthly Debt Service Payments" in this offering prospectus above. If an Appraisal Trigger Event occurs with respect to any specially serviced mortgage loan in the trust fund, then the special servicer will have an ongoing obligation to obtain or perform, as the case may be, on or about each anniversary of the occurrence of that Appraisal Trigger Event, a new appraisal, an update of the prior required appraisal or other valuation, as applicable. Based thereon, the appropriate party under the series 2006-C4 pooling and servicing agreement is to redetermine and report to the trustee and the master servicer, the new Appraisal Reduction Amount, if any, with respect to the mortgage loan. This ongoing obligation will cease if and when all Appraisal Trigger Events have ceased to exist with respect to the subject mortgage loan in accordance with the definition of "Appraisal Trigger Event." The cost of each required appraisal, and any update of that appraisal, obtained by the special servicer, will be advanced by the master servicer, at the direction of the special servicer, and will be reimbursable to the master servicer as a servicing advance. MAINTENANCE OF INSURANCE The master servicer (with respect to mortgage loans in the trust fund) and the special servicer (with respect to REO Properties in the trust fund) will be required to use reasonable efforts to cause the related borrower to maintain or, consistent with the Servicing Standard and to the extent that the issuing entity has an insurable interest and the subject coverage, except as discussed below with respect to insurance against terrorist or similar acts, is available at commercially reasonable rates, otherwise cause to be maintained for each mortgaged real property all insurance coverage as is required under the related mortgage instrument; provided that, if and to the extent that any such mortgage instrument permits the holder thereof any discretion (by way of consent, approval or otherwise) as to the insurance coverage that the related borrower is required to maintain, the master servicer must exercise such discretion in a manner consistent with the Servicing Standard. The cost of any such insurance coverage obtained by either the master servicer or the special servicer shall be a servicing advance to be paid by the master servicer. The special servicer must also cause to be maintained for each REO Property in the trust fund no less insurance coverage than was previously required of the borrower under the related underlying mortgage loan. Notwithstanding the foregoing, the master servicer or special servicer, as applicable, will not be required to maintain and will not cause a borrower to be in default with respect to the failure of the related borrower to obtain, all-risk casualty insurance which does not contain any carve-out for terrorist or similar acts, if and only if, the special servicer, in consultation with the series 2006-C4 controlling class representative and, in the case of the ShopKo Portfolio Loan Combination, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Rights and Powers of the Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, has determined in accordance with the Servicing Standard that either (a) such insurance is not available at any rate or (b) such insurance is not available at commercially reasonably rates and that such hazards are not at the time commonly insured against for properties similar to the subject mortgaged real property and located in or around the region in which the subject mortgaged real property is located; provided, however, that the series 2006-C4 controlling class representative will not have more than three business days to respond to the special servicer's request for consultation; and provided, further, 145 that upon the special servicer's determination, consistent with the Servicing Standard, that exigent circumstances do not allow the special servicer to consult with the series 2006-C4 controlling class representative, the special servicer will not be required to do so; and provided, further, that, during the period that the special servicer is evaluating such insurance under the series 2006-C4 pooling and servicing agreement, the master servicer will not be liable for any loss related to its failure to require the borrower to maintain terrorism insurance and will not be in default of its obligations hereunder as a result of such failure. If the master servicer or the special servicer obtains and maintains, or causes to be obtained and maintained, a blanket policy insuring against hazard losses on all of the underlying mortgage loans and/or REO Properties that it is required to service and administer or a force placed policy as to any particular such underlying mortgage loan and/or REO Property, then, to the extent such policy (i) is obtained from an insurer meeting the criteria specified in the series 2006-C4 pooling and servicing agreement and (ii) provides protection equivalent to the individual policies otherwise required, the master servicer or the special servicer, as the case may be, will conclusively be deemed to have satisfied its obligation to cause hazard insurance to be maintained on the related mortgaged real properties and/or REO Properties. Such blanket policy or force placed policy may contain a deductible clause (not in excess of a customary amount), in which case the master servicer or the special servicer, as appropriate, must, if there has not been maintained on the related mortgaged real property or REO Property a hazard insurance policy complying with the requirements of the series 2006-C4 pooling and servicing agreement, and there has been one or more losses that would have been covered by such policy, promptly deposit into the collection account from its own funds the amount not otherwise payable under the blanket policy or force placed policy because of such deductible clause, to the extent the amount of such deductible exceeds the deductible permitted under the related mortgage loan documents or, if the related mortgage loan documents are silent regarding a permitted deductible, to the extent the amount of the deductible under the blanket policy or force placed policy, as the case may be, exceeds a customary deductible for a particular type of individual policy. FAIR VALUE PURCHASE OPTION Within 60 days after any of the underlying mortgage loans becomes a Defaulted Mortgage Loan, the special servicer must determine the fair value of the subject mortgage loan in accordance with the Servicing Standard. The special servicer will be required to make that determination without taking into account any effect the restrictions on the sale of the subject mortgage loan contained in the series 2006-C4 pooling and servicing agreement may have on the value thereof. In addition, the special servicer will be required to use reasonable efforts promptly to obtain an appraisal with respect to the related mortgaged real property unless it has an appraisal that is less than 12 months old and has no actual knowledge of, or notice of, any event that in the special servicer's judgment would materially affect the validity of such appraisal. The special servicer must make its fair value determination as soon as reasonably practicable (but in any event within 30 days) after its receipt of such new appraisal, if applicable. The special servicer is permitted to change, from time to time, its determination of the fair value of a Defaulted Mortgage Loan based upon changed circumstances, new information or otherwise, in accordance with the Servicing Standard; and, in any event, the special servicer must update its determination of the fair value at least once every 90 days. The special servicer must notify the trustee, the master servicer, each rating agency and the Majority Controlling Class Certificateholder promptly upon its fair value determination and any adjustment thereto. In determining the fair value of any Defaulted Mortgage Loan, the special servicer will be required to take into account, among other factors, the period and amount of the delinquency on the subject mortgage loan, the occupancy level and physical condition of the related mortgaged real property, the state of the local economy in the area where the related mortgaged real property is located, and the time and expense associated with a purchaser's foreclosing on the related mortgaged real property. In addition, the special servicer will be required to refer to all other relevant information obtained by it or otherwise contained in the mortgage loan file; and, in any event, the special servicer must take account of any change in circumstances regarding the related mortgaged real property known to the special servicer that has occurred subsequent to, and that would, in the special servicer's judgment, materially affect the value of the related mortgaged real property reflected in, the most recent related appraisal. Furthermore, the special servicer will be required to consider all available objective 146 third-party information obtained from generally available sources, as well as information obtained from vendors providing real estate services to the special servicer, concerning the market for distressed real estate loans and the real estate market for the subject property type in the area where the related mortgaged real property is located. The special servicer may conclusively rely on the opinion and reports of independent third parties in making such determination. In the event any of the underlying mortgage loans becomes a Defaulted Mortgage Loan, each of the Majority Controlling Class Certificateholder and the special servicer will have an assignable option (a "Purchase Option") to purchase such Defaulted Mortgage Loan from the issuing entity at a price (the "Option Price") equal to (a) a par purchase price that includes such additional items as are provided for in the series 2006-C4 pooling and servicing agreement, if the special servicer has not yet determined the fair value of the Defaulted Mortgage Loan, or (b) the fair value of the Defaulted Mortgage Loan as determined by the special servicer in the manner described in the preceding paragraph and in accordance with the Servicing Standard, if the special servicer has made such fair value determination. Any holder of a Purchase Option may sell, transfer, assign or otherwise convey its Purchase Option with respect to any Defaulted Mortgage Loan to any party other than the related borrower or an affiliate of the related borrower at any time after the subject mortgage loan becomes a Defaulted Mortgage Loan. The transferor of any Purchase Option must notify the trustee and the master servicer of such transfer, which notice should include the transferee's name, address, telephone number, facsimile number and appropriate contact person(s) and shall be acknowledged in writing by the transferee. In general, the Majority Controlling Class Certificateholder shall have the right to exercise its Purchase Option prior to any exercise of the Purchase Option by any other holder of a Purchase Option, except that, if the Purchase Option is not exercised by the Majority Controlling Class Certificateholder or any assignee thereof within 60 days of an underlying mortgage loan becoming a Defaulted Mortgage Loan, then the special servicer will have the right to exercise its Purchase Option prior to any exercise by the Majority Controlling Class Certificateholder and the special servicer or its assignee may exercise such Purchase Option at any time during the 15-day period immediately following the expiration of such 60-day period. Following the expiration of that 15-day period, subject to the discussion in the next paragraph, the Majority Controlling Class Certificateholder will again have the right to exercise its Purchase Option prior to any exercise of the Purchase Option by the special servicer. If not exercised earlier, the Purchase Option with respect to any Defaulted Mortgage Loan will automatically terminate (a) once the subject mortgage loan is no longer a Defaulted Mortgage Loan, although, if such mortgage loan subsequently becomes a Defaulted Mortgage Loan, the related Purchase Option will again be exercisable, (b) upon the acquisition, by or on behalf of the issuing entity, of title to the related mortgaged real property through foreclosure or deed in lieu of foreclosure, (c) the modification or pay-off, in full or at a discount, of such Defaulted Mortgage Loan in connection with a workout or (d) removal of such Defaulted Mortgage Loan from the trust fund. Notwithstanding the foregoing, if the ShopKo Portfolio Mortgage Loan becomes a Defaulted Mortgage Loan, then for 30 days following the 15-day period during which the special servicer may exercise the Purchase Option with respect to the ShopKo Portfolio Mortgage Loan, but prior to the Majority Controlling Class Certificateholder again being able to exercise that Purchase Option, any ShopKo Portfolio Non-Trust Loan Noteholder will be entitled to exercise the Purchase Option as to the ShopKo Portfolio Mortgage Loan. The series 2006-C4 pooling and servicing agreement will specify the procedure for exercising a Purchase Option. If the special servicer or the Majority Controlling Class Certificateholder, or any of their respective affiliates, is the person expected to acquire any Defaulted Mortgage Loan, then the trustee will be required to determine as soon as reasonably practicable (and, in any event, within 30 days) after the trustee has received the applicable written notice, whether the Option Price represents fair value for the Defaulted Mortgage Loan; except that, if the special servicer is then in the process of obtaining a new appraisal with respect to the related mortgaged real property, then the trustee will make its fair value determination with respect to the subject mortgage loan as soon as reasonably practicable (but in any event within 30 days) after the trustee's receipt of 147 such new appraisal. Such fair value determination shall be made in accordance with the trustee's good faith reasonable judgment. In determining the fair value of any Defaulted Mortgage Loan, the trustee may rely on the opinion and reports of independent third parties in making such determination and, further, may rely on the most current appraisal obtained for the related mortgaged real property pursuant to the series 2006-C4 pooling and servicing agreement. The reasonable costs of all appraisals, inspection reports and broker opinions of value, reasonably incurred by the trustee or any such third party pursuant to this subsection are to be advanced by the master servicer and shall constitute, and be reimbursable as, servicing advances. Unless and until the Purchase Option with respect to a Defaulted Mortgage Loan is exercised, the special servicer will be required to pursue such other resolution strategies available under the series 2006-C4 pooling and servicing agreement with respect to such Defaulted Mortgage Loan, including, without limitation, workout and foreclosure, as the special servicer may deem appropriate consistent with the Servicing Standard. The special servicer will not be permitted to sell the Defaulted Mortgage Loan other than in connection with the exercise of the related Purchase Option or in connection with a repurchase by the applicable mortgage loan seller as described under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus. Notwithstanding the foregoing, any ShopKo Portfolio Non-Trust Loan Noteholder will have the right to purchase the ShopKo Portfolio Mortgage Loan from the issuing entity at a par purchase price in certain default situations, as described above under "Description of the Mortgage Pool--The Loan Combinations--The ShopKo Portfolio Loan Combination"; and the Wimbledon Place Apartments Non-Trust Loan Noteholder will have the right to purchase the Wimbledon Place Apartments Mortgage Loan from the issuing entity at a par purchase price in certain default situations, as described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus. In addition, the holders of a mezzanine loan may have the right to purchase the related underlying mortgage loan from the issuing entity if certain defaults occur on that mortgage loan or if that mortgage loan is transferred to special servicing. REALIZATION UPON DEFAULTED MORTGAGE LOANS If a default on an underlying mortgage loan has occurred, then, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, the special servicer may, on behalf of the trust, take any of the following actions: o work out the mortgage loan; o institute foreclosure proceedings; o exercise any power of sale contained in the related mortgage instrument; o obtain a deed in lieu of foreclosure; and/or o otherwise acquire title to the corresponding mortgaged real property, by operation of law or otherwise. The special servicer may not, however, initiate foreclosure proceedings, acquire title to any mortgaged real property or take any other action with respect to any mortgaged real property that would cause the trustee, for the benefit of the series 2006-C4 certificateholders and, in the case of the ShopKo Portfolio Mortgaged Properties or the Wimbledon Place Apartments Mortgaged Property, the related Non-Trust Loan Noteholder(s), or any other specified person to be considered to hold title to, to be a "mortgagee-in-possession" of, or to be an "owner" or an "operator" of the particular real property within the meaning of various federal environmental laws, unless: 148 o the special servicer has, within the prior six months, received an environmental assessment report prepared by a person who regularly conducts environmental audits, which report will be an expense of the issuing entity; and o either-- 1. the report indicates that-- (a) the particular real property is in compliance with applicable environmental laws and regulations, and (b) there are no circumstances or conditions present at the particular real property that have resulted in any contamination for which investigation, testing, monitoring, containment, clean-up or remediation could be required under any applicable environmental laws and regulations; or 2. the special servicer, based on the information set forth in the report, determines that taking the actions necessary to bring the particular real property into compliance with applicable environmental laws and regulations and/or taking any of the other actions contemplated by clause 1. above, would maximize the recovery for the series 2006-C4 certificateholders and, in the case of the ShopKo Portfolio Mortgaged Properties or the Wimbledon Place Apartments Mortgaged Property, the related Non-Trust Loan Noteholder(s), as a collective whole, on a present value basis, than not taking those actions. See, however, "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Rights and Powers of the Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above. The cost of any environmental testing, as well as the cost of any remedial, corrective or other further action contemplated by the second bullet of the second paragraph of this "--Realization Upon Defaulted Mortgage Loans" section, will generally be payable out of general collections on the mortgage pool. If neither of the conditions in clauses 1. and 2. of the second bullet of the second paragraph of this "--Realization Upon Defaulted Mortgage Loans" section has been satisfied with respect to any mortgaged real property securing an underlying mortgage loan, then the special servicer may, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, take those actions as are in accordance with the Servicing Standard, other than proceeding against the contaminated mortgaged real property. In connection with the foregoing, when the special servicer determines it to be appropriate, it may, subject to the discussion under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above, on behalf of the trust, release all or a portion of the related mortgaged real property from the lien of the related mortgage instrument. 149 If liquidation proceeds collected with respect to a defaulted mortgage loan in the trust fund are less than the outstanding principal balance of the defaulted mortgage loan, together with accrued interest on and reimbursable expenses incurred by the special servicer, the master servicer and/or any other applicable party in connection with the defaulted mortgage loan, then the issuing entity will realize a loss in the amount of the shortfall. The special servicer, the master servicer and/or the trustee will be entitled to reimbursement out of the liquidation proceeds, insurance proceeds and condemnation proceeds recovered on any defaulted mortgage loan, prior to the payment of those proceeds to the series 2006-C4 certificateholders, for: o any and all amounts that represent unpaid servicing compensation with respect to the mortgage loan; o any unreimbursed servicing expenses and advances incurred with respect to the mortgage loan; and o any unreimbursed advances of delinquent payments made with respect to the mortgage loan. In addition, amounts otherwise payable on the series 2006-C4 certificates may be further reduced by interest payable to the master servicer, the special servicer and/or the trustee on servicing expenses and advances and on monthly debt service advances. REO PROPERTIES If title to any mortgaged real property is acquired by the special servicer on behalf of the issuing entity, the special servicer will be required to sell that property not later than the end of the third taxable year following the year of acquisition, unless: o the IRS grants an extension of time to sell the property; or o the special servicer obtains an opinion of independent counsel generally to the effect that the holding of the property subsequent to the end of the third year following the year in which the acquisition occurred will not result in the imposition of a tax on the issuing entity or its assets or cause any REMIC created under the series 2006-C4 pooling and servicing agreement to fail to qualify as such under the Internal Revenue Code. Subject to the foregoing, the special servicer will generally be required to solicit cash offers for any REO Property held by the issuing entity in a commercially reasonable manner. Neither the trustee nor any of its affiliates may bid for or purchase from the issuing entity any REO Property. Regardless of whether the special servicer applies for or is granted an extension of time to sell any REO Property on behalf of the issuing entity, the special servicer must act in accordance with the Servicing Standard to liquidate the property on a timely basis. If an extension is granted or opinion given, the special servicer must sell the subject REO Property within the period specified in the extension or opinion, as the case may be. Sales of REO Properties by the trust will be subject to the approval of the applicable Loan-Specific Controlling Party, as and to the extent described under "--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" above. The special servicer may retain an independent contractor to operate and manage any REO Property held by the issuing entity. 150 In general, the special servicer or an independent contractor employed by the special servicer at the expense of the issuing entity will be obligated to operate and manage any REO Property held by the issuing entity in a manner that: o maintains its status as foreclosure property under the REMIC provisions of the Internal Revenue Code; and o would, to the extent commercially feasible and consistent with the preceding bullet, maximize net after-tax revenues received from that property. The special servicer must review the operation of each REO Property held by the issuing entity and consult with the trustee, or any person appointed by the trustee to act as tax administrator, to determine the issuing entity's federal income tax reporting position with respect to the income it is anticipated that the issuing entity would derive from the property. The special servicer's determination as to how each REO Property is to be managed is to be based on the Servicing Standard. The special servicer could determine that it would not be consistent with the Servicing Standard to manage and operate the property in a manner that would avoid the imposition of: o a tax on net income from foreclosure property, within the meaning of section 860G(c) of the Internal Revenue Code; or o a tax on prohibited transactions under section 860F of the Internal Revenue Code. To the extent that income the issuing entity receives from an REO Property is subject to: o a tax on net income from foreclosure property, that income would be subject to federal tax at the highest marginal corporate tax rate, which is currently 35%; or o a tax on prohibited transactions, that income would be subject to federal tax at a 100% rate. The determination as to whether income from an REO Property held by the issuing entity would be subject to a tax will depend on the specific facts and circumstances relating to the management and operation of each REO Property. Generally, income from an REO Property that is directly operated by the special servicer would be apportioned and classified as service or non-service income. The service portion of the income could be subject to federal tax either at the highest marginal corporate tax rate or at the 100% rate. The non-service portion of the income could be subject to federal tax at the highest marginal corporate tax rate or, although it appears unlikely, at the 100% rate. Any tax imposed on the issuing entity's income from an REO Property would reduce the amount available for payment to the series 2006-C4 certificateholders. See "Federal Income Tax Consequences" in this offering prospectus and in the accompanying base prospectus. The reasonable out-of-pocket costs and expenses of obtaining professional tax advice in connection with the foregoing will be payable out of the master servicer's collection account. ACCOUNTS General. Apart from escrow accounts, reserve accounts and servicing accounts maintained by the master servicer on behalf of the respective borrowers and the issuing entity for purposes of holding escrow payments and reserve amounts, the primary transaction accounts to be established under the series 2006-C4 pooling and servicing agreement will consist of: 151 o the master servicer's collection account; o the custodial account maintained by the master servicer specifically with respect to each Loan Combination; o the special servicer's REO account; o the trustee's distribution account; o the trustee's interest reserve account; and o the trustee's Post-ARD Additional Interest account. Each of the primary transaction accounts must be maintained in a manner and with a depository institution that satisfies rating agency standards for securitizations similar to the one involving the offered certificates. Funds deposited in each of the primary transaction accounts are to relate solely to the series 2006-C4 securitization transaction. In general, the party maintaining the subject account will make any decisions regarding the deposit of funds therein and the transfer and/or disbursement of funds therefrom. However, those decisions may be made in response to a request by, or based upon information provided by, another party to the series 2006-C4 pooling and servicing agreement or other third party. The funds held in any of the primary transaction accounts may be held as cash or, at the election of the party that maintains the account, invested in Permitted Investments. Any interest or other income earned on funds in any of the primary transaction accounts will be paid to the party that maintains the account as additional compensation, subject to the limitations set forth in the series 2006-C4 pooling and servicing agreement. If any losses are incurred as a result of the investment of funds in any of the primary transaction accounts, which investments were made for the benefit of the party maintaining the account, then the party maintaining the account will be required to deposit therein funds sufficient to offset those losses. However, none of the master servicer, the special servicer or the trustee will be required to cover any losses resulting from the bankruptcy or insolvency of the depository institution holding any of the primary transaction accounts so long as that institution met certain eligibility requirements set forth in the series 2006-C4 pooling and servicing agreement at the time of the deposit. The master servicer may maintain the collection account and each Loan Combination-specific custodial account as sub-accounts of a single account, and the trustee may maintain the distribution account, the interest reserve account and the Post-ARD Additional Interest account as sub-accounts of a single account. However, this offering prospectus discusses the primary transaction accounts as separate accounts. Collections of principal, interest and prepayment consideration on the underlying mortgage loans, exclusive of any fees or expenses payable by the issuing entity therefrom, will be distributable to the applicable series 2006-C4 certificateholders on the distribution date relating to the collection period in which those collections were received. There will be no independent verification of the above-referenced transaction accounts or account activity. Collection Account and Loan Combination-Specific Custodial Accounts. The master servicer will be required to establish and maintain a collection account for purposes of holding payments and other collections that it receives with respect to the underlying mortgage loans. Under the series 2006-C4 pooling and servicing 152 agreement, the master servicer must deposit or cause to be deposited in its collection account within one business day following receipt of available funds, in the case of payments and other collections on the underlying mortgage loans, or as otherwise required under the series 2006-C4 pooling and servicing agreement, the following payments and collections received or made by or on behalf of the master servicer with respect to the mortgage pool subsequent to the Issue Date, other than monthly debt service payments due on or before the cut-off date, which monthly debt service payments belong to the related mortgage loan seller: o all payments on account of principal on the underlying mortgage loans, including principal prepayments; o all payments on account of interest on the underlying mortgage loans, including Default Interest and Post-ARD Additional Interest; o all prepayment premiums, yield maintenance charges and late payment charges collected with respect to the underlying mortgage loans; o all proceeds received under any hazard, flood, title or other insurance policy that provides coverage with respect to an underlying mortgage loan or the related mortgaged real property, and all proceeds received in connection with the condemnation or the taking by right of eminent domain of a mortgaged real property securing an underlying mortgage loan, in each case to the extent not otherwise required to be applied to the restoration of the real property or released to the related borrower; o any amounts required to be deposited by the master servicer in connection with losses incurred with respect to Permitted Investments of funds held in the collection account; o any amounts required to be deposited by the master servicer or the special servicer in connection with losses resulting from a deductible clause in any blanket or force placed insurance policy maintained by it as described under "--Maintenance of Insurance" above; o any amount required to be transferred to the master servicer's collection account from any REO account maintained by the special servicer or from a Loan Combination-specific custodial account; o all amounts received and retained in connection with the liquidation of defaulted mortgage loans in the trust fund by foreclosure or similar proceeding or as a result of any person or entity exercising a purchase option with respect thereto; o any amounts paid by a mortgage loan seller in connection with the repurchase or replacement of an underlying mortgage loan as described under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" and "--Representations and Warranties; Repurchases and Substitutions" in this offering prospectus; o any amounts paid to purchase or otherwise acquire all the mortgage loans and any REO Properties in the trust fund in connection with the termination of the issuing entity as contemplated under "Description of the Offered Certificates--Termination" in this offering prospectus; o any amounts paid by the master servicer to cover Prepayment Interest Shortfalls; 153 o any amounts paid by a borrower under an underlying mortgage loan to cover items for which a servicing advance has been previously made and for which the master servicer, the special servicer or the trustee, as applicable, has been previously reimbursed out of the collection account; and o any cure payments by a Non-Trust Loan Noteholder or a mezzanine lender; provided that Default Interest and late payment charges will be deposited in the master servicer's collection account only to the extent necessary to reimburse parties to the series 2006-C4 pooling and servicing agreement for, or to offset, certain expenses of the issuing entity (including interest on advances, special servicing fees, workout fees and liquidation fees), each as provided in the series 2006-C4 pooling and servicing agreement. Upon its receipt of any of the amounts described in the prior paragraph with respect to any specially serviced mortgage loan in the trust fund, the special servicer is required to promptly remit those amounts to the master servicer for deposit in the master servicer's collection account. Notwithstanding the foregoing, amounts received in respect of a Loan Combination are generally required to be deposited into a separate custodial account maintained by the master servicer before being transferred to the master servicer's collection account. The deposits to each Loan Combination-specific custodial account will be comparable to deposits to the collection account, but will relate solely to the related Loan Combination. The master servicer may make withdrawals from its collection account and each Loan Combination-specific custodial account to pay any fees and expenses of the issuing entity described under "Description of the Offered Certificates--Fees and Expenses" in this offering prospectus that are not payable out of any other primary transaction account maintained under the series 2006-C4 pooling and servicing agreement; provided that no payments or other collections on any Non-Trust Loan will be available to cover any such fees or expenses that do not relate and are not allocable to the Loan Combination that includes such Non-Trust Loan. No later than the business day prior to each distribution date, the master servicer will withdraw from each Loan Combination-specific custodial account and deposit in the collection account all payments and other collections on or allocable to the underlying mortgage loan included in the related Loan Combination that are then on deposit in such Loan Combination-specific custodial account and were received as of the end of the related collection period, exclusive of any portion of such payments and other collections that represent monthly debt service payments due on a due date subsequent to the end of the related collection account or are payable to cover any fees and expenses of the issuing entity as contemplated by the preceding paragraph. The master servicer will make monthly withdrawals from its collection account to remit to the trustee for deposit in the trustee's distribution account (or, in the case of Post-ARD Additional Interest, the trustee's Post-ARD Additional Interest account), on the business day preceding each distribution date, an amount (the "Master Servicer Remittance Amount") equal to all payments and other collections on the mortgage loans and any REO Properties in the trust fund that are then on deposit in the collection account, exclusive of any portion of those payments and other collections that represents one or more of the following: 1. monthly debt service payments due on a due date subsequent to the end of the related collection period; 2. payments and other collections received after the end of the related collection period; and 3. amounts that are payable or reimbursable from the collection account to pay fees and expenses of the issuing entity, as contemplated by the second preceding paragraph. 154 Only the master servicer and its sub-servicers will have access to funds in the collection account and the Loan Combination-specific custodial accounts. REO Account. The special servicer will be required to segregate and hold all funds collected and received in connection with any REO Property held by the issuing entity separate and apart from its own funds and general assets. If an REO Property is acquired by the issuing entity, the special servicer will be required to establish and maintain an account--the REO account--for the retention of revenues and other proceeds derived from that property. The special servicer will be required to deposit, or cause to be deposited, in its REO account, within two business days after receipt, all net income, insurance proceeds, condemnation proceeds and liquidation proceeds received with respect to each REO Property held by the issuing entity. The special servicer will be required to withdraw from its REO account funds necessary for the proper operation, management, leasing, maintenance and disposition of any REO Property held by the issuing entity, but only to the extent of amounts on deposit in the account relating to that particular REO Property. Promptly following the end of each collection period, the special servicer will be required to withdraw from the REO account and deposit, or deliver to the master servicer for deposit, into the master servicer's collection account (or, if the subject REO Property relates to a Loan Combination, into the related Loan Combination-specific custodial account) the total of all amounts received with respect to each REO Property held by the issuing entity during that collection period, net of: o any withdrawals made out of those amounts as described in the preceding sentence; and o any portion of those amounts that may be retained as reserves as described in the next sentence. The special servicer may, subject to the limitations described in the series 2006-C4 pooling and servicing agreement, retain in its REO account the portion of the proceeds and collections on any REO Property held by the issuing entity as may be necessary to maintain a reserve of sufficient funds for the proper operation, management, leasing, maintenance and disposition of that property, including the creation of a reasonable reserve for repairs, replacements, necessary capital improvements and other related expenses. Only the special servicer and its sub-servicers will have access to funds in the special servicer's REO Account. The special servicer will be required to keep and maintain separate records, on a property-by-property basis, for the purpose of accounting for all deposits to, and withdrawals from, its REO account. Distribution Account and Post-ARD Additional Interest Account. The trustee must establish and maintain: (a) an account--the distribution account--in which it will hold funds (other than Post-ARD Additional Interests) pending their payment on the series 2006-C4 certificates (exclusive of the class Y certificates) and from which it will make those payments; and (b) a second account--the Post-ARD Additional Interest--in which it will hold amounts representing Post-ARD Additional Interest pending their payment on the class Y certificates and from which it will make those payments. On the business day prior to each distribution date, the master servicer will be required to remit to the trustee for deposit in the distribution account an amount equal to the sum of the following: o the applicable Master Servicer Remittance Amount, exclusive of any portion thereof that represents Post-ARD Additional Interest (which will be remitted to the trustee for deposit in the Post-ARD Additional Interest account); o the aggregate amount of any advances of delinquent monthly debt service payments required to be made by the master servicer with respect to the underlying mortgage loans for that distribution date; and 155 o the aggregate amount deposited by the master servicer in the collection account for such distribution date in connection with Prepayment Interest Shortfalls. In addition, for each distribution date occurring in March, and for the final distribution date if the final distribution date occurs in February or, if such year is not a leap year, in January, the trustee must, on or before that distribution date, transfer from its interest reserve account to its distribution account the aggregate of the interest reserve amounts in respect of each underlying mortgage loan that accrues interest on an Actual/360 Basis. See "--Advances--Advances of Delinquent Monthly Debt Service Payments" and "--Servicing and Other Compensation and Payment of Expenses" above. The trustee may from time to time make withdrawals from its distribution account for any of the following purposes: o to pay itself the monthly trustee fee, as described under "--Trustee Compensation" above; o to pay itself the investment earnings on Permitted Investments of funds in the distribution account; o to pay itself or any of various related persons and entities any reimbursements or indemnities to which they are entitled, as described under "Description of the Governing Documents--Rights, Protections, Indemnities and Immunities of the Trustee" in the accompanying base prospectus; o to pay for various opinions of counsel required to be obtained in connection with any amendments to the series 2006-C4 pooling and servicing agreement and the administration of the trust fund; o to pay any federal, state and local taxes imposed on the issuing entity, its assets and/or transactions, together with all incidental costs and expenses, that are required to be borne by the issuing entity as described under "Federal Income Tax Consequences--REMICs--Prohibited Transactions Tax and Other Taxes" in the accompanying base prospectus and "--REO Properties" above; o to transfer from its distribution account to its interest reserve account interest reserve amounts with respect to those mortgage loans that accrue interest on an Actual/360 Basis, as and when described under "--Accounts--Interest Reserve Account" below; o to pay to the person entitled thereto any amounts deposited in the distribution account in error; and o to clear and terminate the distribution account at the termination of the series 2006-C4 pooling and servicing agreement. On each distribution date, all amounts on deposit in the distribution account, exclusive of any portion of those amounts that are to be withdrawn for the purposes contemplated in the foregoing paragraph, and the Post-ARD Additional Interest account will represent the "Total Available Funds" for that date. On each distribution date, the trustee will apply the Total Available Funds to make payments on the series 2006-C4 certificates. 156 For any distribution date, the Total Available Funds will consist of the following separate components: o the portion of those funds that represent prepayment consideration collected on the underlying mortgage loans as a result of voluntary or involuntary prepayments that occurred during the related collection period, which will be paid to the holders of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G, H and/or X certificates, as described under "Description of the Offered Certificates--Payments--Payments of Prepayment Premiums and Yield Maintenance Charges" in this offering prospectus; o the portion of those funds that represent Post-ARD Additional Interest collected on the ARD Loans in the trust fund during the related collection period, which will be paid to the holders of the class Y certificates as described under "Description of the Offered Certificates--Payments--Payments of Post-ARD Additional Interest" below; and o the remaining portion of those funds, which we refer to as the "Total Available P&I Funds", and which will be paid to the holders of all the series 2006-C4 certificates, other than the class Y certificates, as and to the extent described under "Description of the Offered Certificates--Payments--Priority of Payments" in this offering prospectus. Only the trustee will have access to funds in the distribution account and the Post-ARD Additional Interest account. Interest Reserve Account. The trustee must maintain an account--the interest reserve account--in which it will hold the interest reserve amounts described in the next paragraph with respect to those underlying mortgage loans that accrue interest on an Actual/360 Basis. During January, except in a leap year, and February of each calendar year, beginning in 2007, the trustee will withdraw from its distribution account and deposit in its interest reserve account the interest reserve amounts with respect to those underlying mortgage loans that accrue interest on an Actual/360 Basis and for which the monthly debt service payment due in that month was either received or advanced. In general, the interest reserve amount for each of those mortgage loans will, for each distribution date in those months, equal one day's interest accrued at the related Net Mortgage Rate on the Stated Principal Balance of that mortgage loan as of the end of the related collection period. In the case of an ARD Loan, however, the interest reserve amount will not include Post-ARD Additional Interest. During March of each calendar year, beginning in 2007, the trustee will withdraw from its interest reserve account and deposit in its distribution account any and all interest reserve amounts then on deposit in the interest reserve account with respect to those underlying mortgage loans that accrue interest on an Actual/360 Basis. All interest reserve amounts that are so transferred from the interest reserve account to the distribution account will be included in the Total Available P&I Funds for the distribution date during the month of transfer. Only the trustee will have access to funds in the interest reserve account. 157 FLOW OF FUNDS ---------------------------------------------- Payments and Collections on the Mortgage Loans ------------------------- and the Loan Combinations Income from ---------------------------------------------- REO Properties | | | ------------------------- | | | | | | | | | | | ------------------------- | | | SPECIAL SERVICER | ---------------------- ---|------ ------------------- | MASTER SERVICER | | REO Accounts MASTER SERVICER | | | ------------------------- | Escrow Accounts | | | Payments to Cover | Reserve Accounts | | | Prepayment Interest | Servicing Accounts | | | Shortfalls -----| | ---------------------- | | | ------------------- | | | | | ------------------- | | | | | Class Y | | | | -------------------------- Certificateholders | |----- ---------------------- | |------ MASTER SERVICER ------------------- |--------- MASTER SERVICER --| | Loan Combination-Specific ------------------- -------------- Collection Account Custodial Account: TRUSTEE ---------------------- Collections on Related Post-ARD Additional | Loan Combination and Interest Account | REO Properties Only ------------------- | -------------------------- | | | ------------------------- | Non-Trust Loan | Noteholders | ------------------------- | ------------------------- ---------------------- TRUSTEE TRUSTEE ------------ ------------ Interest Reserve Account Distribution Account ---| ------------------------- ---------------------- | | | | | ------------------------- ---------------------- | P&I Advances Certificateholders -------- by Master Servicer (other than Y Classes) ------------------------- ---------------------- 158 SECURITIES BACKED BY A SHOPKO PORTFOLIO NON-TRUST LOAN One or more of the ShopKo Portfolio Non-Trust Loans may be included in a separate commercial mortgage securitization. If so, some servicing actions with respect to the ShopKo Portfolio Loan Combination may be subject to confirmation that those actions will not result in a qualification, downgrade or withdrawal of any ratings assigned by the applicable rating agencies, which may include S&P, Moody's, Fitch or any other nationally recognized statistical rating organization, to the securities backed by that ShopKo Portfolio Non-Trust Loan. As a result, any such servicing action may be delayed, and it is possible that the master servicer or special servicer, as applicable, may be prevented from taking a servicing action with respect to the ShopKo Portfolio Loan Combination that it otherwise would have if it were not required to obtain the aforementioned rating confirmation. INSPECTIONS; COLLECTION OF OPERATING INFORMATION The special servicer is required to perform or cause to be performed a physical inspection of the related mortgaged real property as soon as practicable after any of the underlying mortgage loans becomes specially serviced; and the expense of that inspection will be payable first out of Default Interest and late payment charges received with respect to the subject underlying mortgage loan in the collection period during which such inspection related expenses were incurred, and then as an Additional Trust Fund Expense. In addition, beginning in 2007, with respect to each mortgaged real property securing an underlying mortgage loan with a principal balance (or allocated loan amount) at the time of such inspection of at least $2,000,000, the master servicer (with respect to each such mortgaged real property securing an underlying mortgage loan other than a specially serviced mortgage loan) and the special servicer (with respect to each such mortgaged real property securing a specially serviced mortgage loan in the trust fund) is required (in the case of the master servicer, at its expense) to inspect or cause to be inspected the related mortgaged real property every calendar year, and with respect to each mortgaged real property securing an underlying mortgage loan with a principal balance (or allocated loan amount) at the time of such inspection of less than $2,000,000 once every other calendar year, provided that the master servicer is not obligated to inspect any mortgaged real property that has been inspected by the special servicer in the previous six months. The special servicer and the master servicer each will be required to prepare a written report of each such inspection performed by it that describes the condition of the subject mortgaged real property and that specifies the existence with respect thereto of any sale, transfer or abandonment of the subject mortgaged real property, any material change in its condition or value or any visible waste committed on it. The special servicer or the master servicer, as applicable, is also required to endeavor to collect from the related borrower and review the quarterly and annual operating statements of each mortgaged real property that secures an underlying mortgage loan and to cause annual operating statements to be prepared for each REO Property in the trust fund. Generally, the mortgage loans that we intend to include in the trust fund require the related borrower to deliver an annual property operating statement. However, there can be no assurance that any operating statements required to be delivered will in fact be delivered, nor is the master servicer or special servicer likely to have any practical means of compelling such delivery in the case of an otherwise performing mortgage loan. Copies of the inspection reports and operating statements referred to above are required to be available for review by series 2006-C4 certificateholders during normal business hours at the offices of the special servicer or the master servicer, as applicable. See "Description of the Offered Certificates--Reports to Certificateholders, Available Information" in this offering prospectus. 159 EVIDENCE AS TO COMPLIANCE No later than April 30 of each year (or March 15th of any year during which an annual report on Form 10-K under the Exchange Act is required to be filed with the SEC with respect to the issuing entity), beginning in 2007, each of the master servicer, the special servicer and the trustee must deliver or cause to be delivered, as applicable, to us and the trustee, among others: o a report on an assessment of compliance by it with the specified servicing criteria, signed by an authorized officer of the master servicer, the special servicer or the trustee, as the case may be, which report shall contain (a) a statement by the master servicer or the special servicer, as the case may be, of its responsibility for assessing compliance with the specified servicing criteria applicable to it, (b) a statement that the master servicer, the special servicer or the trustee, as the case may be, used the servicing criteria in Item 1122(d) of Regulation AB of the Securities Act to assess compliance with the applicable servicing criteria, (c) the master servicer's, the special servicer's or the trustee's, as the case may be, assessment of compliance with the applicable servicing criteria as of and for the period ending December 31st of the preceding calendar year, which discussion must include any material instance of noncompliance with the applicable servicing criteria identified by the master servicer, the special servicer or the trustee, as the case may be, and (d) a statement that a registered public accounting firm has issued an attestation report on the master servicer's, the special servicer's or the trustee's, as the case may be, assessment of compliance with the applicable servicing criteria as of and for such period ending December 31st of the preceding calendar year; and o as to each annual assessment report delivered by the master servicer, the special servicer or the trustee, as the case may be, as described in the preceding bullet, a report from a registered public accounting firm--made in accordance with the standards for attestation engagements issued or adopted by the Public Company Accounting Oversight Board--that attests to, and reports on, the assessment made by the asserting party in such report delivered as described in the immediately preceding bullet; and o a statement of compliance signed by an officer of the master servicer, the special servicer or the trustee, as the case may be, to the effect that (i) a review of the activities of the master servicer, the special servicer or the trustee, as the case may be, during the preceding calendar year--or, in the case of the first such certification, during the period from the Issue Date to December 31, 2006, inclusive--and of its performance under the series 2006-C4 pooling and servicing agreement, has been made under such officer's supervision, and (ii) to the best of such officer's knowledge, based on such review, the master servicer, special servicer or trustee, as the case may be, has fulfilled its obligations under the series 2006-C4 pooling and servicing agreement in all material respects throughout the preceding calendar year or the portion of that year during which the series 2006-C4 certificates were outstanding (or, if there has been a failure to fulfill any such obligation in any material respect, specifying each such failure known to such officer and the nature and status thereof). Copies of the above-mentioned annual assessment report, annual attestation report and annual statement of compliance with respect to each of the master servicer, the special servicer and the trustee will be made available to series 2006-C4 certificateholders, at their expense, upon written request to the trustee. 160 EVENTS OF DEFAULT Each of the following events, circumstances and conditions will be considered events of default (each, an "Event of Default") under the series 2006-C4 pooling and servicing agreement: o the master servicer fails to deposit into its collection account any amount required to be so deposited, and that failure continues unremedied for two business days following the date on which the deposit or remittance was required to be made; o the master servicer fails to remit to the trustee for deposit in the trustee's distribution account any amount (other than P&I advances) required to be so remitted, and that failure continues unremedied until 10:00 a.m., New York City time, on the applicable distribution date; o any failure by the special servicer to timely deposit into its REO account or to timely deposit into, or to timely remit to the master servicer for deposit into, the master servicer's collection account, any amount required to be so deposited or remitted; o the master servicer fails to timely make any servicing advance required to be made by it under the series 2006-C4 pooling and servicing agreement, and that failure continues unremedied for five business days following the date on which notice of such failure has been given to the master servicer by the trustee; o any failure on the part of the master servicer or the special servicer duly to observe or perform in any material respect any of its other covenants or agreements under the series 2006-C4 pooling and servicing agreement, which failure continues unremedied for 30 days (or such shorter period as is provided for in the series 2006-C4 pooling and servicing agreement) after the date on which written notice of that failure, requiring the same to be remedied, has been given to the master servicer or the special servicer, as the case may be, by any other party to the series 2006-C4 pooling and servicing agreement or to the master servicer or the special servicer, as the case may be (with a copy to each other party to the series 2006-C4 pooling and servicing agreement), by the series 2006-C4 certificateholders entitled to at least 25% of the series 2006-C4 voting rights; provided, however, that with respect to any such failure which is not curable within such 30-day or other period, the master servicer or the special servicer, as the case may be, will generally have an additional cure period of 30 days to effect the cure thereof so long as the master servicer or the special servicer, as the case may be, has commenced to cure that failure within the initial 30-day period and has provided the trustee with an officer's certificate certifying that it has diligently pursued, and is diligently continuing to pursue, a full cure; o any breach on the part of the master servicer or the special servicer of any representation or warranty contained in the series 2006-C4 pooling and servicing agreement that materially and adversely affects the interests of any class of series 2006-C4 certificateholders, which breach continues unremedied for a period of 30 days after the date on which notice of that breach, requiring the same to be remedied, has been given to the master servicer or the special servicer, as the case may be, by any other party to the series 2006-C4 pooling and servicing agreement or to the master servicer or the special servicer, as the case may be (with a copy to each other party to the series 2006-C4 pooling and servicing agreement), by the series 2006-C4 certificateholders entitled to at least 25% of the series 2006-C4 voting rights; provided, however, that with respect to any such breach which is not curable within such 30-day period, the master servicer or the special servicer, as the case may be, will have an additional cure period of 30 days so long as the master servicer or the special servicer, as the case may be, has commenced to cure within the 161 initial 30-day period and has provided the trustee with an officer's certificate certifying that it has diligently pursued, and is diligently continuing to pursue, a full cure; o a decree or order of a court, agency or supervisory authority having jurisdiction in an involuntary case under any present or future bankruptcy, insolvency or similar law for the appointment of a conservator, receiver, liquidator, trustee or similar official in any bankruptcy, insolvency, readjustment of debt, marshalling of assets and liabilities or similar proceedings, or for the winding-up or liquidation of its affairs, is entered against the master servicer or the special servicer and the decree or order remains in force undischarged or unstayed for a period of 60 days; provided, however, that the master servicer or the special servicer, as applicable, will have an additional period of 30 days to effect a discharge, dismissal or stay of the decree or order if it commenced the appropriate proceedings to effect such discharge, dismissal or stay within the above-referenced 60-day period; o the master servicer or special servicer consents to the appointment of a conservator, receiver, liquidator, trustee or similar official in any bankruptcy, insolvency, readjustment of debt, marshalling of assets and liabilities or similar proceedings of or relating to it or of or relating to all or substantially all of its property; o the master servicer or special servicer admits in writing its inability to pay its debts as they become due or takes various other actions indicating its insolvency or inability to pay its obligations; o the master servicer or the special servicer, as the case may be, receives actual knowledge that either Fitch or Moody's has (a) qualified, downgraded or withdrawn its rating or ratings of one or more classes of series 2006-C4 certificates or (b) placed one or more classes of series 2006-C4 certificates on "watch status" in contemplation of possible rating downgrade or withdrawal (and such "watch status" placement shall not have been withdrawn by Fitch or Moody's, as the case may be, within 60 days of the date that the master servicer or the special servicer obtained such actual knowledge), and, in the case of either clause (a) or (b), has cited servicing concerns with the master servicer or the special servicer, as the case may be, as the sole or material factor in such rating action; o the master servicer fails to remit to the trustee for deposit into the trustee's distribution account, on the applicable date in any calendar month, the full amount of monthly debt service advances required to be made on that date, which failure continues unremedied until 10:00 a.m. New York City time on the next business day; or o the master servicer fails to be rated at least "CMS3" by Fitch or the special servicer fails to be rated at least "CSS3" by Fitch. The series 2006-C4 pooling and servicing agreement may provide that a Non-Trust Loan Noteholder may have the right, similar to those of series 2006-C4 certificateholders entitled to not less than 25% of the voting rights for the series 2006-C4 certificates, to notify the master servicer or the special servicer of the defaults and breaches described in the fifth and sixth bullets above, to the extent those defaults or breaches relate to the Non-Trust Loan held by such Non-Trust Loan Noteholder. Additionally, the series 2006-C4 pooling and servicing agreement may provide for additional events of default, including those that relate solely to a Non-Trust Loan. If an officer of the trustee responsible for administration of the trust has notice of any event that constitutes or, with notice or lapse of time or both, would constitute an event of default with respect to the master servicer or the special servicer, then--within the later of 60 days after the occurrence of that event and five (5) 162 days after such officer's receipt of that notice--the trustee will transmit by mail to us, all the series 2006-C4 certificateholders, Fitch and Moody's notice of that occurrence, unless the default has been cured. RIGHTS UPON EVENT OF DEFAULT If an event of default described above under "--Events of Default" occurs with respect to the master servicer or the special servicer and remains unremedied, the trustee will be authorized, and at the direction of the series 2006-C4 certificateholders entitled to not less than 25% of the series 2006-C4 voting rights, the trustee will be required, to terminate all of the rights and obligations of the defaulting party under the series 2006-C4 pooling and servicing agreement and in and to the trust fund other than any rights the defaulting party may have as a series 2006-C4 certificateholder; provided that the terminated defaulting party will continue to be entitled to receive all amounts due and owing to it in accordance with the terms of the series 2006-C4 pooling and servicing agreement and will continue to be entitled to the benefits of any provisions for compensation, reimbursement or indemnity as and to the extent provided in the series 2006-C4 pooling and servicing agreement. Upon receipt by a defaulting party of written notice of termination for which that defaulting party may be terminated under the series 2006-C4 pooling and servicing agreement, all authority and power of the defaulting party under the series 2006-C4 pooling and servicing agreement will pass to and be vested in the trustee, and the trustee will be authorized and empowered under the series 2006-C4 pooling and servicing agreement to execute and deliver, on behalf of and at the expense of the defaulting party, as attorney-in-fact or otherwise, any and all documents and other instruments, and to do or accomplish all other acts or things necessary or appropriate to effect the subject termination, whether to complete the transfer and endorsement or assignment of the underlying mortgage loans and the Non-Trust Loans and related documents or otherwise. Any costs or expenses in connection with any actions to be taken by any party to the series 2006-C4 pooling and servicing agreement in connection with an Event of Default on the part of the master servicer or the special servicer are required to be borne by the defaulting party, and if not paid by the defaulting party within 90 days after the presentation of reasonable documentation of such costs and expenses, those costs and expenses will be reimbursed out of the trust fund; provided that the defaulting party will not be relieved of its liability for those costs and expenses. Upon any termination, the trustee must either: o succeed to all of the responsibilities, duties and liabilities of the master servicer or special servicer, as the case may be, under the series 2006-C4 pooling and servicing agreement; or o appoint an established mortgage loan servicing institution to act as successor master servicer or special servicer, as the case may be, under the series 2006-C4 pooling and servicing agreement. The holders of series 2006-C4 certificates entitled to at least 51% of the series 2006-C4 voting rights may require the trustee to appoint an established mortgage loan servicing institution to act as successor master servicer or special servicer, as the case may be, under the series 2006-C4 pooling and servicing agreement, rather than have the trustee act as that successor. In general, the series 2006-C4 certificateholders entitled to at least 66 2/3% of the series 2006-C4 voting rights allocated to the classes of series 2006-C4 certificates affected by any Event of Default may waive the Event of Default. However, some events of default may only be waived by all of the holders of the series 2006-C4 certificates. Further, some events of default may only be waived with the consent of the trustee. Upon any waiver of an Event of Default, the Event of Default will cease to exist and will be deemed to have been remedied for every purpose under the series 2006-C4 pooling and servicing agreement. The series 2006-C4 pooling and servicing agreement may provide that the applicable primary servicer or the special servicer may be terminated and replaced solely with respect to the ShopKo Portfolio Loan Combination and no other mortgage loan in the trust fund in circumstances where a default of the master servicer 163 or the special servicer affects the ShopKo Portfolio Non-Trust Loans. If the special servicer for the ShopKo Portfolio Loan Combination is different from the special servicer(s) for the rest of the mortgage pool, then all references to the special servicer in this offering prospectus or the accompanying base prospectus are intended to mean the applicable special servicer or all such special servicers together, as the context may require. No series 2006-C4 certificateholder will have the right under the series 2006-C4 pooling and servicing agreement to institute any suit, action or proceeding with respect to that agreement or any underlying mortgage loan unless, with respect to any suit, action or proceeding upon or under or with respect to the series 2006-C4 pooling and servicing agreement: o that holder previously has given to the trustee written notice of default; o except in the case of a default by the trustee, series 2006-C4 certificateholders entitled to not less than 25% of the series 2006-C4 voting rights have made written request upon the trustee to institute that suit, action or proceeding in its own name as trustee under the series 2006-C4 pooling and servicing agreement and have offered to the trustee such reasonable indemnity as it may require; and o the trustee for 60 days has neglected or refused to institute any such suit, action or proceeding, as the case may be. See "Description of the Governing Documents--Rights, Protections, Indemnities and Immunities of the Trustee" in the accompanying base prospectus for a description of certain limitations regarding the trustee's duties with respect to the foregoing matters. THIRD-PARTY BENEFICIARIES The mortgage loan sellers and the Non-Trust Loan Noteholders will be third-party beneficiaries of the series 2006-C4 pooling and servicing agreement. Accordingly, the series 2006-C4 pooling and servicing agreement cannot be modified in any manner that is material and adverse to any of those parties without its consent. 164 DESCRIPTION OF THE OFFERED CERTIFICATES GENERAL The series 2006-C4 certificates will be issued, on or about June 29, 2006, under the series 2006-C4 pooling and servicing agreement. They will represent the entire beneficial ownership interest of the issuing entity. The assets of the issuing entity, collectively referred to in this offering prospectus from time to time as the "trust fund", will include: o the underlying mortgage loans; o any and all payments under and proceeds of the underlying mortgage loans received after the cut-off date, exclusive of payments of principal, interest and other amounts due on or before that date; o the loan documents for the underlying mortgage loans; o our rights under our mortgage loan purchase agreements with the respective mortgage loan sellers; o any REO Properties acquired by the special servicer on behalf of the issuing entity with respect to defaulted mortgage loans; and o those funds or assets as from time to time are deposited in the various primary transaction accounts described under "The Series 2006-C4 Pooling and Servicing Agreement--Accounts" in this offering prospectus, except for any such funds or assets held on behalf of a borrower. The series 2006-C4 certificates will include the following classes: o the A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C and D classes, which are the classes of series 2006-C4 certificates that are offered by this offering prospectus, and o the X, E, F, G, H, J, K, L, M, N, O, P, R and Y classes, which are the classes of series 2006-C4 certificates that-- 1. will be retained or privately placed by us, and 2. are not offered by this offering prospectus. The class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates are the series 2006-C4 certificates that will have principal balances and are sometimes referred to as the "series 2006-C4 principal balance certificates." The principal balance of any of these certificates will represent the total payments of principal to which the holder of the certificate is entitled over time out of payments, or advances in lieu of payments, and other collections on the assets of the issuing entity. Accordingly, on each distribution date, the principal balance of each of these certificates will be reduced by any payments of principal actually made with respect to the certificate on that distribution date. See "--Payments" below. On any particular distribution date, the principal balance of each of these certificates may also be reduced, without any corresponding payment, in connection with Realized Losses on the underlying mortgage loans and Additional Trust Fund Expenses. See "--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" below. On any particular distribution date, the total principal balance of a class of series 2006-C4 principal balance certificates may be increased by an amount equal to any Mortgage Deferred Interest allocated to that class in reduction of the interest payable thereon on such distribution date. 165 The class X certificates will not have principal balances and are sometimes referred to as the series 2006-C4 interest-only certificates. For purposes of calculating the amount of accrued interest, the class X certificates will have a total notional amount. The total notional amount of the class X certificates will equal the total principal balance of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates outstanding from time to time. The class R and Y certificates will not have principal balances or notional amounts. In general, principal balances and notional amounts will be reported on a class-by-class basis. In order to determine the principal balance of any of your offered certificates from time to time, you may multiply the original principal balance of that certificate as of the Issue Date, as specified on the face of that certificate, by the then applicable certificate factor for the relevant class. The certificate factor for any class of offered certificates, as of any date of determination, will equal a fraction, expressed as a percentage, the numerator of which will be the then outstanding total principal balance of that class, and the denominator of which will be the original total principal balance of that class. Certificate factors will be reported monthly in the trustee's distribution date statement. REGISTRATION AND DENOMINATIONS General. The offered certificates will be issued in book-entry form in original denominations of $10,000 initial principal balance and in any additional whole dollar denominations. Each class of offered certificates will initially be represented by one or more certificates registered in the name of Cede & Co., as nominee of The Depository Trust Company. You will not be entitled to receive an offered certificate issued in fully registered, certificated form, except under the limited circumstances described in the accompanying base prospectus under "Description of the Certificates--Book-Entry Registration." For so long as any class of offered certificates is held in book-entry form-- o all references in this offering prospectus to actions by holders of those certificates will refer to actions taken by DTC upon instructions received from beneficial owners of those certificates through its participating organizations, and o all references in this offering prospectus to payments, notices, reports, statements and other information made or sent to holders of those certificates will refer to payments, notices, reports and statements made or sent to DTC or Cede & Co., as the registered holder of those certificates, for payment to beneficial owners of offered certificates through its participating organizations in accordance with DTC's procedures. The trustee will initially serve as registrar for purposes of providing for the registration of the offered certificates and, if and to the extent physical certificates are issued to the actual beneficial owners of any of the offered certificates, the registration of transfers and exchanges of those certificates. DTC, Euroclear and Clearstream. You will hold your certificates through DTC, in the United States, or Clearstream Banking Luxembourg or The Euroclear System, in Europe, if you are a participating organization of the applicable system, or indirectly through organizations that are participants in the applicable system. Clearstream and Euroclear will hold omnibus positions on behalf of organizations that are participants in either of these systems, through customers' securities accounts in Clearstream's or Euroclear's names on the books of their respective depositaries. Those depositaries will, in turn, hold those positions in customers' securities accounts in the depositaries' names on the books of DTC. For a discussion of DTC, Euroclear and Clearstream, see "Description of the Certificates--Book-Entry Registration--DTC, Euroclear and Clearstream" in the accompanying base prospectus. 166 Transfers between participants in DTC will occur in accordance with DTC's rules. Transfers between participants in Clearstream and Euroclear will occur in accordance with their applicable rules and operating procedures. Cross-market transfers between persons holding directly or indirectly through DTC, on the one hand, and directly or indirectly through participants in Clearstream or Euroclear, on the other, will be accomplished through DTC in accordance with DTC rules on behalf of the relevant European international clearing system by its depositary. See "Description of the Certificates--Book-Entry Registration--Holding and Transferring Book-Entry Certificates" in the accompanying base prospectus. For additional information regarding clearance and settlement procedures for the offered certificates and for information with respect to tax documentation procedures relating to the offered certificates, see Annex F hereto. PAYMENTS General. For purposes of allocating payments on certain classes of the offered certificates, the pool of mortgage loans backing the series 2006-C4 certificates will be divided into: 1. Loan group no. 1, which will consist of 134 underlying mortgage loans, with an Initial Loan Group No. 1 Balance of $1,878,218,471, representing approximately 83.0% of the Initial Mortgage Pool Balance. 2. Loan group no. 2, which will consist of 32 underlying mortgage loans, with an Initial Loan Group No. 2 Balance of $385,317,567, representing approximately 17.0% of the Initial Mortgage Pool Balance. On each distribution date, the trustee will, subject to the available funds, make all payments required to be made on the series 2006-C4 certificates on that date to the holders of record as of the close of business on the last business day of the calendar month preceding the month in which those payments are to occur. The final payment of principal and/or interest on any offered certificate, however, will be made only upon presentation and surrender of that certificate at the location to be specified in a notice of the pendency of that final payment. In order for a series 2006-C4 certificateholder to receive payments by wire transfer on and after any particular distribution date, that certificateholder must provide the trustee with written wiring instructions no less than five business days prior to the record date for that distribution date (or, in the case of the initial distribution date, no later than the Issue Date). Otherwise, that certificateholder will receive its payments by check mailed to it. Cede & Co. will be the registered holder of your offered certificates, and you will receive payments on your offered certificates through DTC and its participating organizations, until physical certificates are issued to the actual beneficial owners. See "--Registration and Denominations" above. Payments of Interest. All of the classes of the series 2006-C4 certificates (other than the R and Y classes) will bear interest. 167 With respect to each interest-bearing class of the series 2006-C4 certificates, that interest will accrue during each applicable interest accrual period based upon-- o the pass-through rate applicable for that particular class of series 2006-C4 certificates for that interest accrual period, o the total principal balance or notional amount, as the case may be, of that particular class of series 2006-C4 certificates outstanding immediately prior to the related distribution date, and o the assumption that each year consists of twelve 30-day months. On each distribution date, subject to the Total Available P&I Funds for that date and the priority of payments described under "--Payments--Priority of Payments" below, the total amount of interest distributable with respect to each interest-bearing class of the series 2006-C4 certificates will equal-- o the total amount of interest accrued during the related interest accrual period with respect to that class of series 2006-C4 certificates, reduced (to not less than zero) by o that class's allocable share, if any, of-- 1. any Net Aggregate Prepayment Interest Shortfall for that distribution date, and 2. except in the case of the class X certificates, the aggregate amount of any Mortgage Deferred Interest added to the principal balances of the underlying mortgage loans during the related collection period. If the full amount of interest distributable with respect to any interest-bearing class of the series 2006-C4 certificates is not paid on any distribution date, then the unpaid portion of that interest will continue to be payable on future distribution dates, subject to the Total Available P&I Funds for those future distribution dates and the priorities of payment described under "--Payments--Priority of Payments" below. However, no interest will accrue on any of that unpaid interest, and a portion of any past-due interest. The Net Aggregate Prepayment Interest Shortfall for any distribution date will be allocated among the respective interest-bearing classes of the series 2006-C4 certificates on a pro rata basis in accordance with the respective amounts of accrued interest in respect of each such class of series 2006-C4 certificates for the related interest accrual period (in each case reduced by any Mortgage Deferred Interest allocated to the subject class of series 2006-C4 certificates for that distribution date). On each distribution date, any Mortgage Deferred Interest added to the unpaid principal balance of any underlying mortgage loan during the related collection period will be allocated among the respective classes of series 2006-C4 principal balance certificates in reverse order of seniority (based on the priority of payments described under "--Payments--Priority of Payments" below and, in the case of the class A-1, A-2, A-SB, A-3 and A-1A certificates on a pro rata basis in accordance with accrued interest for the related interest accrual period), in each case up to the respective amounts of interest accrued during the related interest accrual period with respect to the subject interest-bearing class(es) of series 2006-C4 certificates (in each case calculated without regard to any allocation of that Mortgage Deferred Interest or any Net Aggregate Prepayment Interest Shortfall). No portion of any Mortgage Deferred Interest will be allocated to the class X certificates. Calculation of Pass-Through Rates. The table under "Summary of Offering Prospectus--Introduction to the Transaction" in this offering prospectus provides the initial pass-through rate for each interest-bearing class of 168 the series 2006-C4 certificates. Set forth below is a description of how the pass-through rate will be calculated with respect to each interest-bearing class of the series 2006-C4 certificates. The pass-through rates for the class ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, and ____ certificates will, in the case of each of those classes, be fixed at the rate per annum identified in the table under "Summary of Offering Prospectus--Introduction to the Transaction" in this offering prospectus as the initial pass-through rate for that class. The pass-through rates for the class ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, ____, and ____ certificates for each interest accrual period will, in the case of each of those classes, equal the lesser of-- o the initial pass-through rate for the subject class of series 2006-C4 certificates set forth in the table under "Summary of Offering Prospectus--Introduction to the Transaction" in this offering prospectus, and o the Weighted Average Pool Pass-Through Rate for the related distribution date. The pass-through rates for the class ____, ____, and ___ certificates for each interest accrual period will, in the case of each of those classes, equal the Weighted Average Pool Pass-Through Rate for the related distribution date. The pass-through rates for the class ____, ____, and ___ certificates for each interest accrual period will, in the case of each of those classes, equal the Weighted Average Pool Pass-Through Rate for that interest accrual period, minus a specified class margin. The class margins for those classes are as follows: CLASS CLASS MARGIN ----- ------------ % % % % The pass-through rate for the class X certificates for any interest accrual period will equal the weighted average of the respective strip rates, which we refer to as class X strip rates, at which interest accrues during that interest accrual period on the respective components of the total notional amount of the class X certificates outstanding immediately prior to the related distribution date, with the relevant weighting to be done based upon the relative sizes of those components. For purposes of accruing interest on the class X certificates during each interest accrual period, the total principal balance of each class of series 2006-C4 principal balance certificates will constitute a single separate component of the total notional amount of the class X certificates, and the applicable class X strip rate with respect to each of those components for each of those interest accrual periods will equal the excess, if any, of (a) the Weighted Average Pool Pass-Through Rate for the subject interest accrual period, over (b) the pass-through rate in effect during the subject interest accrual period for the class of series 2006-C4 principal balance certificates whose total principal balance makes up that component. The calculation of the Weighted Average Pool Pass-Through Rate will be unaffected by any change in the mortgage interest rate for any underlying mortgage loan from what it was on the Issue Date by reason of any bankruptcy or insolvency of the related borrower or any modification of that mortgage loan agreed to by the master servicer or the special servicer. The class R and Y certificates will not be interest-bearing and, therefore, will not have pass-through rates. 169 Payments of Principal. Subject to available funds and the priority of payments described under "--Payments--Priority of Payments" below, the holders of each class of series 2006-C4 principal balance certificates will be entitled to receive a total amount of principal over time equal to the total principal balance of that class. In addition, subject to available funds, the total payments of principal to be made on the series 2006-C4 principal balance certificates on any distribution date will generally equal the Total Principal Distribution Amount for that distribution date. The "Total Principal Distribution Amount" for any distribution date will be an amount generally equal to: 1. the aggregate of the principal portions of all monthly debt service payments (other than balloon payments) due or deemed due in respect of the underlying mortgage loans (including mortgage loans as to which the related mortgaged real properties have become REO Properties) for their respective due dates occurring during the related collection period, to the extent paid by the related borrower during or prior to, or otherwise received during, the related collection period or advanced by the master servicer or the trustee, as applicable, for such distribution date; plus 2. the aggregate of all principal prepayments received on the underlying mortgage loans during the related collection period; plus 3. with respect to any underlying mortgage loan as to which the related stated maturity date occurred during or prior to the related collection period, any payment of principal (other than a principal prepayment) made by or on behalf of the related borrower during the related collection period (including any balloon payment), net of any portion of such payment that represents a recovery of the principal portion of any monthly debt service payment (other than a balloon payment) due or deemed due in respect of the subject underlying mortgage loan on a due date during or prior to the related collection period and included as part of the Total Principal Distribution Amount for such distribution date or any prior distribution date pursuant to clause 1. above; plus 4. the aggregate of the principal portion of all liquidation proceeds, sale proceeds, insurance proceeds, condemnation proceeds and, to the extent not otherwise included in clause 1., 2. or 3. above, payments and revenues that were received on or in respect of the underlying mortgage loans and REO Properties during the related collection period and that were identified and applied by the master servicer and/or the special servicer as recoveries of principal of the underlying mortgage loans, in each case net of any portion of such amounts that represents a recovery of the principal portion of any monthly debt service payment due (other than a balloon payment) or deemed due in respect of the related underlying mortgage loan on a due date during or prior to the related collection period and included as part of the Total Principal Distribution Amount for such distribution date or any prior distribution date pursuant to clause 1. above; plus 5. if the subject distribution date is subsequent to the initial distribution date, the excess, if any, of (a) the Total Principal Distribution Amount for the immediately preceding distribution date, over (b) the total payments of principal made with respect to the series 2006-C4 principal balance certificates on the immediately preceding distribution date; plus 6. any amounts that were used to reimburse Nonrecoverable Advances (including interest on such Nonrecoverable Advances) from principal collections on the mortgage pool and that are, in any such case, recovered during the related collection period on the related underlying mortgage loan as to which any such reimbursed advance was made; minus 170 7. the amount of any reimbursements of Nonrecoverable Advances (including interest on such Nonrecoverable Advances) that are paid or reimbursed from general principal collections on the mortgage pool with respect to such distribution date where such principal collections would have otherwise been included in the Total Principal Distribution Amount for such distribution date pursuant to any of clauses 1. through 4. above; provided that, for the final distribution date, the Total Principal Distribution Amount will be no less than the total Stated Principal Balance of the mortgage pool immediately prior to that distribution date. On each distribution date, after all required payments of interest have been made with respect to the class X, A-1, A-2, A-SB, A-3 and A-1A certificates on that date, the trustee will be required to apply any and all remaining Total Available P&I Funds to make payments of principal with respect to the class A-1, A-2, A-SB, A-3 and A-1A certificates. In general: o except as otherwise discussed in the paragraph following these bullets, no payments of principal with respect to loan group no. 1 will be made to the holders of the class A-1A certificates until the total principal balance of the class A-1, A-2, A-SB and A-3 certificates is reduced to zero; o except as otherwise discussed in the paragraph following these bullets, no payments of principal with respect to loan group no. 2 will be made to the holders of the class A-1, A-2, A-SB and/or A-3 certificates until the total principal balance of the class A-1A certificates is reduced to zero; o on any given distribution date, beginning with the distribution date in April 2011, except as otherwise discussed in the paragraph following these bullets, the total principal balance of the class A-SB certificates must be paid down to the class A-SB Planned Principal Balance for that distribution date before any payments of principal are made with respect to the class A-1, A-2, and/or A-3 certificates; and o except as otherwise discussed in the paragraph following these bullets, no payments of principal will be made to the holders of the class A-3 certificates until the total principal balance of the class A-1, A-2 and A-SB certificates is reduced to zero, no payments of principal will be made to the holders of the class A-SB certificates (other than as described in the immediately preceding bullet) until the total principal balance of the class A-1 and A-2 certificates is reduced to zero, and no payments of principal will be made to the holders of the class A-2 certificates until the total principal balance of the class A-1 certificates is reduced to zero. Notwithstanding the foregoing, on each distribution date coinciding with or following the Senior Principal Distribution Cross-Over Date, and in any event on the final distribution date in connection with the termination of the issuing entity, assuming that any two or more of the A-1, A-2, A-SB, A-3 and A-1A classes are outstanding at that time, payments of principal on the outstanding class A-1, A-2, A-SB, A-3 and A-1A certificates, will be made up to, and on a pro rata basis in accordance with, the respective total principal balances of those classes of series 2006-C4 certificates then outstanding. The "Class A-SB Planned Principal Balance" for any distribution date is the scheduled principal balance specified for that distribution date on Annex E to this offering prospectus. Such principal balances were calculated using, among other things, the Maturity Assumptions and a 0% CPR. Based on the Maturity Assumptions and a 0% CPR, the total principal balance of the class A-SB certificates on each distribution date would be reduced to approximately the scheduled principal balance indicated for that distribution date on Annex E to this offering prospectus. There is no assurance, however, that the underlying mortgage loans will not be subject to prepayment or that they will perform in conformity with the Maturity Assumptions. Therefore, there 171 can be no assurance that the total principal balance of the class A-SB certificates on any distribution date will be equal to (and, following retirement of the class A-1 and A-2 certificates, there can be no assurance that the total principal balance of the class A-SB certificates will not be less than) the principal balance that is specified for such distribution date on Annex E to this offering prospectus. Following the retirement of the class A-1, A-2, A-SB, A-3 and A-1A certificates, the holders of the class A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates will, in the case of each of those classes, subject to the available funds and the priority of payments described under "--Payments--Priority of Payments" below, be entitled to payments of principal on each distribution date up to the lesser of: o the total principal balance of the subject class of series 2006-C4 principal balance certificates outstanding immediately prior to the subject distribution date; and o the excess, if any, of (a) the Total Principal Distribution Amount for the subject distribution date, over (b) the total principal balance of all other classes of series 2006-C4 principal balance certificates that, as described under "--Payments--Priority of Payments" below, are senior in right of payment to the subject class of series 2006-C4 principal balance certificates, outstanding immediately prior to the subject distribution date. IN NO EVENT WILL THE HOLDERS OF THE CLASS A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O AND P CERTIFICATES BE ENTITLED TO RECEIVE ANY PAYMENTS OF PRINCIPAL UNTIL THE TOTAL PRINCIPAL BALANCE OF THE CLASS A-1, A-2, A-SB, A-3 AND A-1A CERTIFICATES IS REDUCED TO ZERO. FURTHERMORE, IN NO EVENT WILL THE HOLDERS OF ANY CLASS OF SERIES 2006-C4 PRINCIPAL BALANCE CERTIFICATES (EXCLUSIVE OF THE CLASS A-1, A-2, A-SB, A-3 AND A-1A CERTIFICATES) BE ENTITLED TO RECEIVE ANY PAYMENTS OF PRINCIPAL UNTIL THE TOTAL PRINCIPAL BALANCE OF ALL OTHER MORE SENIOR CLASSES OF SERIES 2006-C4 PRINCIPAL BALANCE CERTIFICATES IS REDUCED TO ZERO. Notwithstanding the foregoing, on the final distribution date in connection with a termination of the issuing entity, subject to the Total Available P&I Funds, for that final distribution date and the priority of payments described under "--Payments--Priority of Payments" below, the holders of each class of series 2006-C4 principal balance certificates will be entitled to payments of principal, up to the total principal balance of that class of series 2006-C4 principal balance certificates outstanding immediately prior to that final distribution date. If the master servicer, the special servicer or the trustee reimburses itself out of general collections on the mortgage pool for any advance that it has determined is not recoverable out of collections on the related mortgage loan in the trust fund, then that advance (together with accrued interest thereon) will be deemed, to the fullest extent permitted, to be reimbursed (i) first, out of payments and other collections of principal on the underlying mortgage loans otherwise distributable on the series 2006-C4 principal balance certificates, and (ii) then, out of payments and other collections of interest on the underlying mortgage loans otherwise distributable on the series 2006-C4 certificates, thereby reducing the payments of principal on the series 2006-C4 principal balance certificates. As a result, the Total Principal Distribution Amount for the corresponding distribution date would be reduced, to not less than zero, by the amount of any such reimbursement. In addition, if payments and other collections of principal on the mortgage pool are applied to reimburse, or pay interest on, any advance that is determined to be nonrecoverable from collections on the related underlying mortgage loan, as described above in this paragraph, then that advance will be reimbursed, and/or interest thereon will be paid, first, out of payments or other collections of principal on the loan group that includes the subject underlying mortgage loan as to which the advance was made, and prior to using payments or other collections of principal on the other loan group. If any advance is considered to be nonrecoverable from collections on the related underlying mortgage loan and, therefore, is reimbursed out of payments and other collections of principal with respect to the entire mortgage pool as described in the preceding paragraph, and if there is a subsequent recovery of that item, that subsequent recovery would generally be included as part of the amounts payable as principal with respect to the 172 series 2006-C4 principal balance certificates. In addition, if any advance is determined to be nonrecoverable from collections on the related underlying mortgage loan and, therefore, interest on that advance is paid out of general principal collections on the mortgage pool, and if interest on that advance is subsequently reimbursed to the issuing entity out of Default Interest, late payment charges or any other amounts collected on the underlying mortgage loan as to which that advance was made, then the portion of such Default Interest, late payment charge or other amount that was applied to reimburse the issuing entity for interest on that advance would also generally be included as amounts payable as principal with respect to the series 2006-C4 principal balance certificates. For purposes of determining the respective portions of the Total Principal Distribution Amount attributable to each loan group, those subsequent recoveries that are to be included as amounts payable as principal with respect to the series 2006-C4 principal balance certificates will be deemed allocated to offset the corresponding prior reductions in amounts attributable to each loan group in reverse order to that set forth in the last sentence of the prior paragraph. The class X, R and Y certificates do not have principal balances and do not entitle their respective holders to payments of principal. Reimbursement Amounts. As discussed under "--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" below, the total principal balance of any class of series 2006-C4 principal balance certificates may be reduced without a corresponding payment of principal. If that occurs with respect to any class of series 2006-C4 principal balance certificates, then, subject to available funds and the priority of payments described under "--Payments--Priority of Payments" below, the holders of that class will be entitled to be reimbursed for the amount of that reduction, without interest. References to the "loss reimbursement amount" under "--Payments--Priority of Payments" below and elsewhere in this offering prospectus, in the case of any class of series 2006-C4 principal balance certificates, for any distribution date, mean the total amount to which the holders of that class will be entitled as reimbursement for all previously unreimbursed reductions, if any, made in the total principal balance of that class on all prior distribution dates as discussed under "--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" below. Priority of Payments. On each distribution date, the trustee will apply the Total Available P&I Funds for that date to make the following payments in the following order of priority, in each case to the extent of the remaining Total Available P&I Funds: ORDER OF RECIPIENT PAYMENT CLASS OR CLASSES TYPE AND AMOUNT OF PAYMENT -------- ---------------- -------------------------------------------------- 1st X* From the entire Total Available P&I Funds, interest up to the total interest payable on that class A-1, A-2, From the portion of the Total Available P&I Funds A-SB and A-3* attributable to the mortgage loans in loan group no. 1, interest up to the total interest payable on those classes, pro rata based on entitlement A-1A* From the portion of the Total Available P&I Funds attributable to the mortgage loans in loan group no. 2, interest up to the total interest payable on that class 173 ORDER OF RECIPIENT PAYMENT CLASS OR CLASSES TYPE AND AMOUNT OF PAYMENT -------- ---------------- -------------------------------------------------- 2nd A-1, A-2, Principal up to the Loan Group No. 1 Principal A-SB and A-3** Distribution Amount (and, if the class A-1A certificates are retired, any remaining portion of the Loan Group No. 2 Principal Distribution Amount), first to the class A-SB certificates, until the total principal balance of that class is reduced to the applicable Class A-SB Planned Principal Balance, and then to (a) the class A-1 certificates, (b) the class A-2 certificates, (c) the class A-SB certificates and (d) the class A-3 certificates, in that order, in each case until retired A-1A** Principal up to the Loan Group No. 2 Principal Distribution Amount (and, if the class A-3 certificates are retired, any remaining portion of the Loan Group No. 1 Principal Distribution Amount), to class A-1A until it is retired 3rd A-1, A-2, A-SB, Reimbursement up to the loss reimbursement amounts A-3 and A-1A for those classes, pro rata based on entitlement, without regard to loan groups 4th A-M Interest up to the total interest payable on that class 5th A-M Principal up to the total principal payable on that class 6th A-M Reimbursement up to the loss reimbursement amounts for that class 7th A-J Interest up to the total interest payable on that class 8th A-J Principal up to the total principal payable on that class 9th A-J Reimbursement up to the loss reimbursement amount for that class 10th B Interest up to the total interest payable on that class 11th B Principal up to the total principal payable on that class 12th B Reimbursement up to the loss reimbursement amount for that class 13th C Interest up to the total interest payable on that class 14th C Principal up to the total principal payable on that class 15th C Reimbursement up to the loss reimbursement amount for that class 16th D Interest up to the total interest payable on that class 17th D Principal up to the total principal payable on that class 18th D Reimbursement up to the loss reimbursement amount for that class 19th E Interest up to the total interest payable on that class 20th E Principal up to the total principal payable on that class 21st E Reimbursement up to the loss reimbursement amount for that class 174 ORDER OF RECIPIENT PAYMENT CLASS OR CLASSES TYPE AND AMOUNT OF PAYMENT -------- ---------------- -------------------------------------------------- 22nd F Interest up to the total interest payable on that class 23rd F Principal up to the total principal payable on that class 24th F Reimbursement up to the loss reimbursement amount for that class 25th G Interest up to the total interest payable on that class 26th G Principal up to the total principal payable on that class 27th G Reimbursement up to the loss reimbursement amount for that class 28th H Interest up to the total interest payable on that class 29th H Principal up to the total principal payable on that class 30th H Reimbursement up to the loss reimbursement amount for that class 31st J Interest up to the total interest payable on that class 32nd J Principal up to the total principal payable on that class 33rd J Reimbursement up to the loss reimbursement amount for that class 34th K Interest up to the total interest payable on that class 35th K Principal up to the total principal payable on that class 36th K Reimbursement up to the loss reimbursement amount for that class 37th L Interest up to the total interest payable on that class 38th L Principal up to the total principal payable on that class 39th L Reimbursement up to the loss reimbursement amount for that class 40th M Interest up to the total interest payable on that class 41st M Principal up to the total principal payable on that class 42nd M Reimbursement up to the loss reimbursement amount for that class 43rd N Interest up to the total interest payable on that class 44th N Principal up to the total principal payable on that class 45th N Reimbursement up to the loss reimbursement amount for that class 46th O Interest up to the total interest payable on that class 47th O Principal up to the total principal payable on that class 48th O Reimbursement up to the loss reimbursement amount for that class 175 ORDER OF RECIPIENT PAYMENT CLASS OR CLASSES TYPE AND AMOUNT OF PAYMENT -------- ---------------- -------------------------------------------------- 49th P Interest up to the total interest payable on that class 50th P Principal up to the total principal payable on that class 51st P Reimbursement up to the loss reimbursement amount for that class 52nd R Any remaining Total Available P&I Funds ---------- * If the portion of the Total Available P&I Funds allocable to pay interest on any one or more of the A-1, A-2, A-SB, A-3, A-1A and X classes, as set forth in the table above, is insufficient for that purpose, then the Total Available P&I Funds will be applied to pay interest on all those classes, pro rata based on entitlement. ** In general, no payments of principal will be made in respect of the class A-1, A-2 and/or A-3 certificates on any given distribution date until the total principal balance of the class A-SB certificates is paid down to the then applicable Class A-SB Planned Principal Balance. In addition, no payments of principal will be made in respect of the class A-2 certificates until the total principal balance of the class A-1 certificates is reduced to zero, no payments of principal will be made in respect of the class A-SB certificates (other than as described in the prior sentence) until the total principal balance of the class A-1 and A-2 certificates is reduced to zero, and no payments of principal will be made in respect of the class A-3 certificates until the total principal balance of the class A-1, A-2 and A-SB certificates is reduced to zero. Furthermore, for purposes of receiving distributions of principal from the Loan Group No. 1 Principal Distribution Amount, the holders of the class A-1, A-2, A-SB and A-3 certificates will have a prior right, relative to the holders of the class A-1A certificates, to any available funds attributable to loan group no. 1; and, for purposes of receiving distributions of principal from the Loan Group No. 2 Principal Distribution Amount, the holders of the class A-1A certificates will have a prior right, relative to the holders of the class A-1, A-2, A-SB and A-3 certificates, to any available funds attributable to loan group no. 2. However, if any two or more of the A-1, A-2, A-SB, A-3 and A-1A classes are outstanding as of the Senior Principal Distribution Cross-Over Date, or if all or any two or more of those classes are outstanding on the final distribution date for the series 2006-C4 certificates, then payments of principal on the outstanding class A-1, A-2, A-SB, A-3 and A-1A certificates will be made on a pro rata basis in accordance with the respective total principal balances of those classes then outstanding. Payments of Prepayment Premiums and Yield Maintenance Charges. If any prepayment consideration is collected during any particular collection period with respect to any mortgage loan in the trust fund, regardless of whether that prepayment consideration is calculated as a percentage of the amount prepaid or in accordance with a yield maintenance formula, then on the distribution date corresponding to that collection period, the trustee will pay a portion of that prepayment consideration to the holders of any class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G or H certificates that are then entitled to payments of principal from the loan group (i.e., loan group no. 1 or loan group no. 2) that includes the prepaid mortgage loan, up to an amount equal to, in the case of any particular class of those certificates, the product of-- o the amount of that prepayment consideration, net of liquidation fees payable in connection with the receipt of that prepayment consideration, multiplied by o a fraction, which in no event may be greater than 1.0 or less than 0.0, the numerator of which is equal to the excess, if any, of the pass-through rate for that class of series 2006-C4 principal balance certificates for the related interest accrual period, over the relevant discount rate, and the denominator of which is equal to the excess, if any, of the mortgage interest rate of the prepaid mortgage loan over the relevant discount rate, and further multiplied by o a fraction, the numerator of which is equal to the amount of principal payable to the holders of that class of series 2006-C4 principal balance certificates on that distribution date with respect to the loan group that includes the prepaid mortgage loan, and the denominator of which is the 176 portion of the Total Principal Distribution Amount for that distribution date attributable to the loan group that includes the prepaid mortgage loan. The trustee will thereafter pay any remaining portion of that prepayment consideration, net of any liquidation fees payable in connection with the receipt of that prepayment consideration, to the holders of the class X certificates. Neither we nor the underwriters make any representation as to-- o the enforceability of the provision of any promissory note evidencing one of the underlying mortgage loans requiring the payment of a prepayment premium or yield maintenance charge, or o the collectability of any prepayment premium or yield maintenance charge. See "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans--Prepayment Provisions" in this offering prospectus. Payments of Post-ARD Additional Interest. The holders of the class Y certificates will be entitled to all amounts, if any, applied as Post-ARD Additional Interest collected on the ARD Loans in the trust fund. TREATMENT OF REO PROPERTIES Notwithstanding that any mortgaged real property securing an underlying mortgage loan may become an REO Property through foreclosure, deed in lieu of foreclosure or otherwise, the related mortgage loan(s) will be treated as having remained outstanding, until the REO Property is liquidated, for purposes of determining-- o payments on the series 2006-C4 certificates, o allocations of Realized Losses and Additional Trust Fund Expenses to the series 2006-C4 certificates, and o the amount of all fees payable to the master servicer, the special servicer and the trustee under the series 2006-C4 pooling and servicing agreement. In connection with the foregoing, the related underlying mortgage loan will be taken into account when determining the Weighted Average Pool Pass-Through Rate and the Total Principal Distribution Amount for each distribution date. Operating revenues and other proceeds derived from an REO Property administered under the series 2006-C4 pooling and servicing agreement will be applied-- o first, to pay, or to reimburse the master servicer, the special servicer and/or the trustee for the payment of, some of the costs and expenses incurred in connection with the operation and disposition of the REO Property, and o thereafter, as collections of principal, interest and other amounts due on the related mortgage loan(s). To the extent described under "The Series 2006-C4 Pooling and Servicing Agreement--Advances--Advances of Delinquent Monthly Debt Service Payments" above in this offering prospectus, the master servicer and the trustee will be required to advance delinquent monthly debt service payments with respect to each 177 underlying mortgage loan as to which the corresponding mortgaged real property has become an REO Property, in all cases as if the mortgage loan had remained outstanding. REDUCTIONS OF CERTIFICATE PRINCIPAL BALANCES IN CONNECTION WITH REALIZED LOSSES AND ADDITIONAL TRUST FUND EXPENSES As a result of Realized Losses and Additional Trust Fund Expenses, the total Stated Principal Balance of the mortgage pool may decline below the total principal balance of the series 2006-C4 principal balance certificates. On each distribution date, following the payments to be made to the series 2006-C4 certificateholders on that distribution date, the trustee will allocate to the respective classes of the series 2006-C4 principal balance certificates, sequentially in the order described in the following table and, in each case, up to the total principal balance of the subject class(es), the aggregate of all Realized Losses and Additional Trust Fund Expenses that were incurred at any time following the cut-off date through the end of the related collection period and were not previously allocated on any prior distribution date, but only to the extent that the total Stated Principal Balance of the mortgage pool that will be outstanding immediately following that payment date exceeds the total principal balance of the series 2006-C4 principal balance certificates following all payments made to series 2006-C4 certificateholders on that distribution date. ORDER OF ALLOCATION CLASS ------------------- ------------------------------ 1st P 2nd O 3rd N 4th M 5th L 6th K 7th J 8th H 9th G 10th F 11th E 12th D 13th C 14th B 15th A-J 16th A-M 17th A-1, A-2, A-SB, A-3 and A-1A, pro rata based on total outstanding principal balances In no event will the total principal balance of any class of series 2006-C4 principal balance certificates identified in the foregoing table be reduced until the total principal balance of all other series 2006-C4 principal balance certificates listed above it in the table has been reduced to zero. All Realized Losses and Additional Trust Fund Expenses, if any, allocated to a class of series 2006-C4 principal balance certificates will be made by reducing the total principal balance of such class by the amount so allocated. 178 The Realized Loss with respect to a defaulted mortgage loan, or related REO Property, in the trust fund as to which a final recovery determination has been made, is an amount generally equal to the excess, if any, of: o the outstanding principal balance of the mortgage loan as of the commencement of the collection period in which the final recovery determination was made, together with-- 1. all accrued and unpaid interest on the mortgage loan to but not including the due date in the collection period in which the final recovery determination was made, exclusive, however, of any portion of that interest that represents Default Interest, Post-ARD Additional Interest, prepayment premiums and yield maintenance charges; and 2. all (or, if the subject underlying mortgage loan is part of a Loan Combination, the appropriate allocable share) of the related unreimbursed servicing advances, together with interest accrued thereon; over o all payments and proceeds, if any, received in respect of such mortgage loan or, to the extent allocable thereto, in respect of any related REO Property, as the case may be, during the collection period in which such final recovery determination was made (and, in the case of an underlying mortgage loan that is part of a Loan Combination, without regard to any payments and proceeds allocable to any related Non-Trust Loan). A final recovery determination is a determination made by the special servicer that all amounts collectible with respect to a defaulted mortgage loan, or related REO Property, in the trust fund have been received. If any portion of the debt due under any underlying mortgage loan is forgiven, whether in connection with a modification, waiver or amendment granted or agreed to by the master servicer or the special servicer or in connection with the bankruptcy, insolvency or similar proceeding involving the related borrower, the amount forgiven, other than Default Interest and Post-ARD Additional Interest, also will be treated as a Realized Loss. Realized Losses may include advances (and interest accrued thereon) that are determined to be nonrecoverable from collections on the related underlying mortgage loan and are therefore recovered out of general collections on the Mortgage Pool, but only after a final recovery determination has been made with respect to that mortgage loan or a related REO Property. Some examples of Additional Trust Fund Expenses are: o any special servicing fees, workout fees and liquidation fees paid to the special servicer, to the extent not offset by late payment charges and/or Default Interest actually collected on the related underlying mortgage loan as provided in the series 2006-C4 pooling and servicing agreement; o any interest paid to the master servicer, the special servicer and/or the trustee with respect to unreimbursed advances, which interest payment is not covered out of late payment charges and/or Default Interest actually collected on the related underlying mortgage loan as provided in the series 2006-C4 pooling and servicing agreement; o the cost of certain property inspections by the special servicer at the expense of the issuing entity, which cost is not covered out of late payment charges and/or Default Interest actually collected on the related underlying mortgage loan as provided in the series 2006-C4 pooling and servicing agreement; 179 o the cost of various opinions of counsel and other legal and tax accounting advice required or permitted to be obtained in connection with (a) the servicing of the underlying mortgage loans, (b) the administration of the trust fund, (c) certain amendments to the series 2006-C4 pooling and servicing agreement and (d) the recording of the series 2006-C4 pooling and servicing agreement; o to the extent not otherwise covered by a servicing advance, the cost of any appraiser or other expert in real estate matters retained under the series 2006-C4 pooling and servicing agreement; o any unanticipated, non-mortgage loan specific expenses of the issuing entity, including-- 1. any reimbursements and indemnifications to the trustee and various related persons and entities described under "Description of the Governing Documents--Rights, Protections, Indemnities and Immunities of the Trustee" in the accompanying base prospectus, 2. any reimbursements and indemnifications to the master servicer, the special servicer, us and various related persons and entities described under "Description of the Governing Documents--Matters Regarding the Master Servicer, the Special Servicer, the Manager and Us" in the accompanying base prospectus, 3. the cost of recording the series 2006-C4 pooling and servicing agreement; and 4. any federal, state and local taxes, and tax-related expenses, payable out of the trust assets, as described under "Federal Income Tax Consequences--REMICs--Prohibited Transactions Tax and Other Taxes" in the accompanying base prospectus; o rating agency fees, other than on-going surveillance fees, that cannot be recovered from the related borrower; and o any amounts expended on behalf of the issuing entity to test for and/or remediate an adverse environmental condition at any mortgaged real property securing a defaulted mortgage loan as described under "The Series 2006-C4 Pooling and Servicing Agreement--Realization Upon Defaulted Mortgage Loans" in this prospectus supplement. 180 FEES AND EXPENSES The following summarizes the related fees and expenses to be paid from the assets of the issuing entity and the recipient, general purpose, source and frequency of payments for those fees and expenses: TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- FEES(2) Master Servicing Fee / With respect to each and every Compensation First, out of recoveries of Monthly Master Servicer(3) underlying mortgage loan, including interest with respect to the each specially serviced mortgage loan subject mortgage loan and and each mortgage loan, if any, as to then, if the subject which the corresponding mortgaged real mortgage loan and any property has become an REO Property, related REO Property has the master servicing fee will: (a) been liquidated, out of generally be calculated on the same general collections on the interest accrual basis (i.e., an mortgage pool. Actual/360 Basis or a 30/360 Basis) as is applicable to the accrual of interest on the subject mortgage loan; and (b) accrue (at an annual rate that ranges, on a loan-by-loan basis, from 0.0300% to 0.1300% per annum) on the same principal amount on which interest accrues or is deemed to accrue from time to time with respect to the subject mortgage loan. Master servicing fees with respect to any underlying mortgage loan will include the primary servicing fees payable by the master servicer to any sub-servicer with respect to the subject mortgage loan. Additional Master o Prepayment Interest Excesses on Compensation Interest payments made by Time to time Servicing Compensation / underlying mortgage loans that the related mortgagor Master Servicer are the subject of a principal intended to cover interest prepayment in full or in part accrued on the subject after their due date in any principal prepayment with collection period. respect to the subject mortgage loan during the period from and after the related due date. 181 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- o All interest and investment Compensation Interest and investment Monthly income earned on amounts on income related to the deposit in the master servicer's subject accounts (net of collection account and the Loan investment losses). Combination-specific custodial accounts maintained by the master servicer. o All interest and investment Compensation Interest and investment Monthly income earned on amounts on income related to the deposit in the servicing subject accounts (net of accounts, reserve accounts and investment losses). the defeasance account maintained by the master servicer, to the extent not otherwise payable to the borrowers. Special Servicing Fee / With respect to each underlying Compensation General collections on the Monthly Special Servicer mortgage loan that is being specially mortgage pool.(12) serviced or as to which the related mortgaged real property has become an REO Property, the special servicing fee will: (a) generally be calculated on the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as is applicable to the accrual of interest on the subject mortgage loan; and (b) accrue at 0.25% per annum on the same principal amount on which interest accrues or is deemed to accrue from time to time with respect to the subject mortgage loan. Workout Fee / Special With respect to each underlying Compensation Collections of interest Time to time Servicer mortgage loan that has been worked-out (other than Default Interest following a Servicing Transfer Event and Post-ARD Additional and has not been returned to special Interest) and principal servicing as a result of a new received on the subject Servicing Transfer Event, the workout mortgage loan.(4)(12) fee will equal 1.0% of each collection of interest (other than Default Interest and Post-ARD Additional Interest) and principal received on the subject mortgage loan for so long as it remains a worked-out mortgage loan.(4) 182 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- Liquidation Fee / Special With respect to any specially serviced Compensation Out of the full, partial or Time to time Servicer mortgage loan in the trust fund for discounted payoff obtained which the special servicer obtains a from the related borrower full, partial or discounted payoff and and/or liquidation proceeds with respect to any specially serviced in respect of the related mortgage loan or REO Property in the specially serviced mortgage trust fund for which the special loan or related REO servicer receives any liquidation Property, as the case may proceeds, the liquidation fee will be.(4)(12) equal 1.0% of the related payment or proceeds.(4)(5) Additional Special All interest and investment income Compensation Interest and investment Monthly Servicing Compensation / earned on amounts on deposit in the income related to the Special Servicer special servicer's REO Account. subject accounts (net of investment losses). Additional Servicing o Late payment charges and Default Compensation Late payment charges and Time to time Compensation / Master Interest actually collected with Default Interest actually Servicer and/or Special respect to any mortgage loan in collected in respect of the Servicer(6) the trust fund, but only to the underlying mortgage loans. extent such late payment charges and Default Interest are not otherwise allocable to reimburse the parties to the series 2006-C4 pooling and servicing agreement for, or to offset, certain expenses of the issuing entity (including interest on advances, special servicing fees, liquidation fees and workout fees), each as provided in the series 2006-C4 pooling and servicing agreement. o All assumption fees, assumption Compensation Related payments made by Time to Time application fees, modification mortgagors with respect to fees, consent fees, extension the subject mortgage loans. fees and similar fees actually collected on the underlying mortgage loans and Serviced Non-Trust Loans. 183 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- Trustee Fee / Trustee With respect to each distribution Compensation General collections on the Monthly date, an amount equal to the aggregate mortgage pool. of, with respect to each and every mortgage loan in the trust fund, one month's interest accrued at 0.0009% per annum on the Stated Principal Balance of the subject mortgage loan outstanding immediately prior to such distribution date (calculated on the same interest accrual basis--i.e., an Actual/360 Basis or a 30/360 Basis--as is applicable to the accrual of interest with respect to the subject mortgage loan). Additional Trustee All interest and investment income Compensation Interest and investment Monthly Compensation / Trustee earned on amounts on deposit in the income related to the trustee's distribution account and subject accounts (net of interest reserve account. investment losses). EXPENSES Servicing Advances / To the extent of funds available, the Reimbursement Amounts that represent (a) Time to time Master Servicer, Special amount of any servicing advances. of expenses payments made by the related Servicer or Trustee borrower to cover the item for which such servicing advance was made or (b) liquidation proceeds, condemnation proceeds, insurance proceeds and, if applicable, REO revenues (in each case, if applicable, net of any liquidation fee or workout fee payable therefrom) received in respect of the particular mortgage loan or related REO Property, provided that if the master servicer, special servicer or trustee determines that a servicing advance is not recoverable out of collections on the related underlying mortgage, then such reimbursement will be paid out of general collections on the mortgage pool.(7)(8) 184 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- Interest on Servicing The amount of interest calculated at a Payment of First, out of Default Monthly Advances / Master rate per annum equal to the prime rate interest on Interest and late payment Servicer, Special Servicer as published in the "Money Rates" servicing charges on the related or Trustee section of The Wall Street Journal, advances mortgage loan, and then, accrued on the amount of each after or at the same time outstanding servicing advance. that advance is reimbursed, out of general collections on the mortgage pool.(8)(9) P&I Advances / Master To the extent of funds available, the Reimbursement Amounts that represent late Time to Time Servicer and Trustee amount of any P&I advances. of P&I advances collections of interest and made with principal (net of related respect to the master servicing fees) mortgage pool received in respect of the related underlying mortgage loan or REO Property as to which such P&I advance was made, provided that if the master servicer or trustee determines that a P&I advance is not recoverable out of collections on the related underlying mortgage, then out of general collections on the mortgage pool.(8) Interest on P&I Advances / The amount of interest calculated at a Payment of First, out of Default Monthly Master Servicer and rate per annum equal to the prime rate interest on P&I Interest and late payment Trustee as published in the "Money Rates" advances charges on the related section of The Wall Street Journal, mortgage loan and then, accrued on the amount of each after or at the same time outstanding P&I advance. that advance is reimbursed, out of general collections on the mortgage pool.(8) Cost of property To the extent of funds available, the Payment of First, out of Default Time to Time inspections incurred by amount of the outstanding expenses. expenses Interest and late payment special servicer (other charges on the related than interest on servicing mortgage loan, and then, out advances or P&I advances, of general collections on special servicing fees, the mortgage pool.(10) workout fees and liquidation fees) 185 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- Reimbursement of costs and To the extent of funds available, the Reimbursement General collections on Time to time expenses for environmental costs and expenses in connection with of expenses deposit in the master testing and the environmental testing and the servicer's collection remediation of adverse remediation of adverse environmental account.(10) environmental conditions condition at any mortgaged real at any mortgaged real property that secures a defaulted property / Special mortgage loan in the trust fund (such Servicer costs and expenses will be incurred only if the Special Servicer has determined to acquire title or possession of the related mortgaged real property). Cost of an independent To the extent of funds available, the Payment of General collections on the Time to time appraiser or other expert cost of such independent appraiser or expenses mortgage pool.(10) in real estate matters other expert in real estate matters. Fees of an independent To the extent of funds available, the Payment of General collections on the Time to time contractor retained to amount of the fees of such independent expenses mortgage pool.(10) manage an REO Property contractor. Servicing expenses, that To the extent of funds available, the Payment of General collections on the Time to time would, if advanced by the amount of such servicing expense. servicing mortgage pool.(10) master servicer or special expenses servicer, constitute nonrecoverable servicing advances Amounts payable or Amounts (other than normal monthly Payment or General collections on the Time to time reimbursable to a Non- payments) specifically payable or reimbursement mortgage pool. Trust Noteholder reimbursable to such party by the or amounts issuing entity in its capacity as payable by the holder of the ShopKo Portfolio issuing entity Mortgage Loan or the Wimbledon Place Apartments Mortgage Loan, as applicable, pursuant to the terms of the related co-lender or intercreditor agreement. 186 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- Indemnification of Any cost or expenses in connection Indemnification General collections on the Time to time expenses in connection with any actions taken by any party to mortgage pool.(10) with the termination and the series 2006-C4 pooling and removal of the master servicing agreement with respect to servicer or the special the termination and removal of the servicer as a result of an master servicer or special servicer Event of Default / the following an Event of Default (if not applicable party to paid by the defaulting party within 90 the series 2006-C4 pooling days after notice of such costs and and servicing agreement expenses). Cost of transferring The cost of transferring mortgage Payment of General collections on the Time to Time mortgage files and related files and related documents to a expenses mortgage pool. documents to a successor successor trustee. trustee/Trustee Cost of opinions or advice To the extent of funds available, the Payment of General collections on the Time to time of counsel / Party cost of such opinions of counsel or expenses mortgage pool.(10) incurring such expense advice of counsel. Payment of any federal, The amount of any federal, state and Payment of General collections on the Time to time state and local taxes local taxes imposed on the issuing taxes and mortgage pool. imposed on the issuing entity, its assets and/or related entity, its assets and/or transactions, together with all expenses transactions, together incidental costs and expenses. with all incidental costs and expenses, that are required to be borne by the trust / Party incurring such expense Tax-Related Expenses / Tax The amount of any professional fees or Payment of General collections on the Time to time Administrator expenses related to audits or any expenses mortgage pool. administrative or judicial proceedings with respect to the issuing entity that involve the IRS or state tax authorities. Funds necessary for the To the extent of funds available, the Payment of Amounts on deposit in the Time to time proper operation, amount of the expenses for the proper expenses account established by the management, leasing, operation, management, leasing, special servicer for the maintenance and maintenance and disposition of such retention of revenues and disposition of any REO Property. other proceeds derived from administered REO Property/ such REO Property.(10) Special Servicer 187 TYPE / RECIPIENT AMOUNT GENERAL PURPOSE SOURCE(1) FREQUENCY -------------------------- -------------------------------------- --------------- ---------------------------- ----------------- The cost or expenses The amount of such cost or expenses. Indemnification General collections on the Time to time incurred in connection of expenses mortgage pool, to the extent with determining the of amounts otherwise payable identity of the series with respect to the series 2006-C4 controlling class 2006-C4 controlling class. representative The cost of recording the The amount of recording costs. Payment of General collections on the Time to time series 2006-C4 pooling and expenses mortgage pool.(10) servicing agreement Cost of obtaining rating The amount of rating agency fees and Payment of General collections on the Time to time confirmations from the expenses. expenses mortgage pool.(10) rating agencies, to the extent not otherwise payable by a borrower or a party to the series 2006-C4 pooling and servicing agreement Indemnification Expenses/ Any loss, liability or reasonable Indemnification General collections on the Time to time Trustee and any affiliate, "out-of-pocket" expense arising out mortgage pool.(10)(11) director, officer, of, or incurred in connection with the employee or agent of the series 2006-C4 pooling and servicing Trustee agreement, the underlying mortgage loans or the series 2006-C4 certificates (provided that such loss, liability or expense constitutes an "unanticipated expense" within the meaning of Treasury regulations section 1.860G-1(b)(3)(ii). Indemnification Expenses/ Any loss, liability or reasonable Indemnification General collections on the Time to time the Depositor, the Master expense incurred in connection with mortgage pool.(10)(11) Servicer or the Special the series 2006-C4 pooling and Servicer and any servicing agreement or the series affiliate, director, 2006-C4 certificates. officer, employee or agent of the Depositor, Master Servicer or Special Servicer 188 -------- (1) Unless otherwise specified, the fees and expenses shown in this table are paid (or retained by the master servicer, the special servicer or trustee in some cases involving amounts owed to any of them) prior to distributions on the certificates. (2) If the trustee succeeds to the position of master servicer or special servicer, it will be entitled to receive the same fees and expenses of the master servicer or special servicer, as the case may be, described in this offering prospectus. Any change to the fees and expenses described in this offering prospectus would require an amendment to the series 2006-C4 pooling and servicing agreement. See "Description of the Governing Documents--Amendment" in the accompanying base prospectus. (3) The master servicing fee for each mortgage loan will include the excess servicing strip, which may be pledged or transferred to a third party, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Servicing and Other Compensation and Payment of Expenses--The Master Servicing Fee" in this offering prospectus. (4) In the case of the ShopKo Portfolio Loan Combination, calculated based on and payable out of collections on the entire such loan combination. In the case of the Wimbledon Place Apartments Loan Combination, after the occurrence, and during the continuance, of a Wimbledon Place Apartments Material Default, calculated based on and payable out of collections on the entire such loan combination, but not payable in connection with a purchase of the Wimbledon Place Apartments Mortgage Loan by the Wimbledon Place Apartments Non-Trust Loan Noteholder as described under "Description of the Mortgage Pool--The Loan Combinations--The Wimbledon Place Apartments Loan Combination" in this offering prospectus. (5) Circumstances as to when a liquidation fee is not payable are set forth under "The Series 2006-C4 Pooling and Servicing Agreement--Servicing and Other Compensation and Payment of Expenses--Principal Special Servicing Compensation--The Liquidation Fee" in this offering prospectus. (6) Allocable between the master servicer and the special servicer as provided in the series 2006-C4 pooling and servicing agreement. (7) In the case of the ShopKo Portfolio Loan Combination, a servicing advance will generally be paid out of (a) payments made by the related borrower to cover the item for which such servicing advance was made and/or (b) liquidation proceeds, condemnation proceeds, insurance proceeds and, if applicable, REO revenues received in respect of the Shopko Portfolio Loan Combination or any related REO Property; provided that if the party entitled to the reimbursement of such servicing advance (or, in the case of an advance by the master servicer or the trustee, the special servicer) has made a determination that such servicing advance is not recoverable from those sources, then such servicing advance shall generally be paid out of general collections on the mortgage pool. (8) See "The Series 2006-C4 Pooling and Servicing Agreement--Advances" in this offering prospectus for a more detailed discussion regarding reimbursement of, and payment of interest on, advances. (9) In the case of the ShopKo Portfolio Loan Combination, interest on servicing advances will generally be paid: first, to the maximum extent permitted under the ShopKo Portfolio Co-Lender Agreement, out of any amounts received on the ShopKo Portfolio Loan Combination as Default Interest and late payment charges; second, to the maximum extent permitted under the ShopKo Portfolio Co-Lender Agreement, out of any other amounts collected on the ShopKo Portfolio Loan Combination; and, third, out of general collections on the mortgage pool. (10) If and to the extent related or allocable to the ShopKo Portfolio Loan Combination, the subject amount will be payable out of collections on that loan combination and, if and to the extent not solely attributable to one or more ShopKo Portfolio Non-Trust Loans, will also be payable out of general collections on the mortgage pool if collections on that loan combination are insufficient therefor. 189 (11) In general, none of the above specified persons will be entitled to indemnification for (a) any liability specifically required to be borne thereby pursuant to the terms of the series 2006-C4 pooling and servicing agreement, or (b) any loss, liability or expense incurred by reason of willful misfeasance, bad faith or negligence in the performance of, or the negligent disregard of, such party's obligations and duties under the series 2006-C4 pooling and servicing agreement, or as may arise from a breach of any representation or warranty of such party made in the series 2006-C4 pooling and servicing agreement, or (c) any loss, liability or expense that constitutes an advance the reimbursement of which has otherwise been provided for under the series 2006-C4 pooling and servicing agreement, or (d) allocable overhead. For further information, see "Description of the Governing Documents--Rights, Protections, Indemnities and Immunities of the Trustee" and "--Matters Regarding the Master Servicer, the Special Servicer, the Manager and Us" in the accompanying base prospectus. (12) Expenses incurred by the issuing entity in connection with the payment of the subject fee may be offset by Default Interest and late payment charges received on the related underlying mortgage loan. REPORTS TO CERTIFICATEHOLDERS; AVAILABLE INFORMATION Certificateholder Reports. Based solely on historical information provided on a one-time basis by the respective mortgage loan sellers and information provided in monthly reports prepared by the master servicer and the special servicer, and in any event delivered to the trustee, the trustee will be required to provide or otherwise make available as described under "--Information Available Electronically" below, on each distribution date, to each registered holder of an offered certificate and, upon request, to each beneficial owner of an offered certificate held in book-entry form that is identified to the reasonable satisfaction of the trustee, a distribution date statement substantially in the form of Annex D to this offering prospectus. Monthly, the special servicer will deliver or cause to be delivered to the master servicer the following reports with respect to the specially serviced mortgage loans and any REO Properties in the trust fund, providing the required information (as of the end of the preceding calendar month): (i) a CMSA property file; (ii) a CMSA comparative financial status report; (iii) a CMSA financial file; (iv) a CMSA historical liquidation report; (v) a CMSA historical loan modification and corrected mortgage loan report; (vi) a CMSA REO status report; (vii) a CMSA loan level reserve/LOC report; and (viii) a CMSA delinquent loan status report. Monthly, the master servicer will be required to furnish to the trustee the CMSA loan periodic update file providing the required information for the mortgage loans as of the related determination date. Monthly (beginning in August 2006), the master servicer will be required to deliver or cause to be delivered to the trustee (in electronic format acceptable to the master servicer and the trustee) the following reports with respect to the mortgage pool: (A) the most recent CMSA historical loan modification and corrected mortgage loan report, CMSA historical liquidation report and CMSA REO status report received from the special servicer; (B) a CMSA property file, a CMSA comparative financial status report and a CMSA financial file, each with the required information as of the end of the preceding calendar month (in each case combining the reports prepared by the special servicer and the master servicer); (C) a CMSA loan level reserve/LOC report, a CMSA delinquent loan status report and a CMSA advance recovery report, each with the required information as of such determination date (in each case combining the reports prepared by the special servicer and the master servicer); and (D) a CMSA servicer watch list with the required information as of such determination date. The master servicer will be entitled, absent manifest error, to conclusively rely on the reports to be provided by the special servicer as described above. The trustee will be entitled, absent manifest error, to conclusively rely on the CMSA loan periodic update file to be provided by the master servicer. In the case of information or reports to be furnished by the master servicer to the trustee, to the extent that such information is based on reports to be provided by the special servicer and to the extent that such reports are to be prepared and delivered by the special servicer, the master servicer will have no obligation to provide such information or reports until it has received such information or reports from the special servicer, and the master servicer will not be in default due to a delay in providing the reports to the extent caused by the special servicer's failure to timely provide any report. 190 In addition, the special servicer with respect to each specially serviced mortgage loan and REO Property, and the master servicer with respect to each non-specially serviced mortgage loan, will each prepare or, if previously prepared, update an operating statement analysis report for the related mortgaged real property or REO Property, as the case may be. Subject to the conditions set forth in the last paragraph under "--Reports to Certificateholders; Available Information--Other Information" below, the master servicer and the special servicer will make available to the trustee, the series 2006-C4 controlling class representative, any certificateholder, certificate owner or prospective certificateholder or certificate owner (or licensed or registered investment adviser representing such person), in each case upon request, all of the operating statement analysis reports so prepared or updated; provided, that if the requesting party is a certificateholder, certificate owner or prospective certificateholder or certificate owner (or licensed or registered investment adviser representing such person), the master servicer or the special servicer, as the case may be, will be permitted to require payment of a sum sufficient to cover the reasonable costs and expenses of providing any copies. See "The Series 2006-C4 Pooling and Servicing Agreement--Inspections; Collection of Operating Information" in this offering prospectus. Each CMSA file or report will be substantially in the form of, and contain the information called for in, the downloadable form of that file or report available as of the date of the initial issuance of the series 2006-C4 certificates on the CMSA website, currently located at www.cmbs.org, or in such other form for the presentation of that information and containing such additional information as may from time to time be approved by the CMSA for commercial mortgage-backed securities transactions generally. Book-Entry Certificates. If you hold your offered certificates in book-entry form through DTC, you may obtain direct access to the monthly reports of the trustee as if you were a registered certificateholder, provided that you deliver a written certification to the trustee confirming your beneficial ownership in the offered certificates. Otherwise, until definitive certificates are issued with respect to your offered certificates, the information contained in those monthly reports will be available to you only to the extent that it is made available through DTC and the DTC participants or is available on the trustee's internet website. Conveyance of notices and other communications by DTC to the DTC participants, and by the DTC participants to beneficial owners of the offered certificates, will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. We, the master servicer, the special servicer, the trustee and the series 2006-C4 certificate registrar are required to recognize as certificateholders only those persons in whose names the series 2006-C4 certificates are registered on the books and records of the certificate registrar. Information Available Electronically. On each distribution date, the trustee will make available to Privileged Persons via its internet website, which is currently located at "www.etrustee.net", (i) the monthly distribution date statement, (ii) the CMSA loan periodic update file, CMSA loan setup file, CMSA bond file and CMSA collateral summary file, (iii) the Unrestricted Servicer Reports, (iv) as a convenience for Privileged Persons (and not in furtherance of the distribution thereof under the securities laws), the related prospectus supplement, the accompanying base prospectus and the series 2006-C4 pooling and servicing agreement, and (v) any other items at the request of the Depositor. In addition, on or prior to each distribution date, the trustee will make available via its internet website, on a restricted basis, (i) the Restricted Servicer Reports, (ii) the CMSA property file and (iii) any other items at the request of the Depositor. The trustee will provide access to such restricted reports, upon request, to each Privileged Person. The trustee will not be obligated to make any representation or warranty as to the accuracy or completeness of any report, document or other information made available on its internet website and will assume no responsibility therefor. In addition, the trustee may disclaim responsibility for any information distributed by the trustee for which it is not the original source. The annual reports on Form 10-K, the distribution reports on Form 10-D, the current reports on Form 8-K and amendments to those reports filed or furnished with respect to the issuing entity pursuant to section 13(a) or 15(d) of the Exchange Act (to the extent filed by or furnished to the trustee) will be made available on the website 191 of the trustee as soon as reasonably practicable after such material is electronically filed with, or furnished to, the SEC. See "Description of the Certificates--Incorporation of Certain Documents by Reference; Reports Filed with the SEC" in the accompanying base prospectus. The trustee will provide to each person, including any beneficial owner, to whom the accompanying base prospectus is delivered in connection with any offered certificates, free of charge upon written request, a copy of any and all of the information (in its possession or delivered by us to the trustee) that is incorporated by reference in the accompanying base prospectus but not delivered with the accompanying base prospectus. Such information will be delivered electronically by the trustee. Requests for this information should be made to the trustee at its corporate trust office. In connection with providing access to its internet website, the trustee may require registration and the acceptance of a disclaimer. The trustee will not be liable for the dissemination of information in accordance with, and in compliance with the terms of, the series 2006-C4 pooling and servicing agreement. The master servicer and the special servicer may each, but neither is required to, make available on or prior to the distribution date in each month to any interested party via its internet website (i) the monthly distribution date statement, (ii) as a convenience for interested parties (and not in furtherance of the distribution thereof under the securities laws), the series 2006-C4 pooling and servicing agreement, the accompanying base prospectus and the related prospectus supplement and (iii) any other items at our request. In addition, the master servicer and the special servicer may each, but neither is required to, make available each month via its internet website (i) to any interested party, the Unrestricted Servicer Reports, the CMSA loan setup file and the CMSA loan periodic update file, and (ii) to any Privileged Person, with the use of a password provided by the master servicer, the Restricted Servicer Reports, the CMSA financial file and the CMSA property file. Any Restricted Servicer Report or Unrestricted Servicer Report that is not available on the master servicer's internet website as described in the immediately preceding sentence by 5:00 p.m. (New York City time) on the related distribution date, will be provided (in electronic format, or if electronic mail is unavailable, by facsimile) by the master servicer, upon request, to any person otherwise entitled to access such report on the master servicer's internet website. In connection with providing access to the master servicer's or the special servicer's internet website, the master servicer or the special servicer, as applicable, may require registration and the acceptance of a disclaimer. Other Information. The series 2006-C4 pooling and servicing agreement will obligate the master servicer (with respect to the items listed in clauses 1, 2 (other than monthly distribution date statements, the related prospectus supplement and the accompanying base prospectus), 3, 5, 6, 8, 9 and 10), the special servicer (with respect to the items in clauses 3, 7, 8 (with respect to specially serviced mortgage loans), 9 and 10) and the trustee (with respect to the items in clauses 2, 3, 4 and 9 below and to the extent any other items are in its possession) to make available at their respective offices, upon ten days' prior written request and during normal business hours, for review by any holder or beneficial owner of an offered certificate or any person identified to the master servicer, the special servicer or the trustee, as the case may be, as a prospective transferee of an offered certificate or any interest in an offered certificate (or a licensed or registered investment adviser representing a prospective purchaser), originals or copies of, among other things, the following items: 1. the series 2006-C4 pooling and servicing agreement, including exhibits, and any amendments to the series 2006-C4 pooling and servicing agreement; 2. the related prospectus supplement and the accompanying base prospectus, all monthly distribution date statements delivered, or otherwise electronically made available, to series 2006-C4 certificateholders since the date of initial issuance of the offered certificates, and all reports, statements and analyses delivered, as described under the heading "--Reports to 192 Certificateholders; Available Information--Certificateholder Reports" above, by the master servicer since the date of initial issuance of the offered certificates; 3. all statements of compliance delivered to the trustee by the master servicer and/or the special servicer (in the case of the master servicer and the special servicer, only with respect to statements of compliance delivered by that party) since the Issue Date, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Evidence as to Compliance" in this offering prospectus; 4. all assessment of compliance reports and attestation reports delivered to the trustee with respect to the master servicer and/or the special servicer since the date of initial issuance of the offered certificates, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Evidence as to Compliance" in this offering prospectus; 5. the most recent inspection report with respect to each mortgaged real property for an underlying mortgage loan prepared by the master servicer or received by the master servicer from the special servicer and any environmental assessments prepared, in each case as described under "The Series 2006-C4 Pooling and Servicing Agreement--Inspections; Collection of Operating Information" in this offering prospectus; 6. the most recent annual operating statement and rent roll for each mortgaged real property for an underlying mortgage loan collected or otherwise received by the master servicer as described under "The Series 2006-C4 Pooling and Servicing Agreement--Inspections; Collection of Operating Information" in this offering prospectus; 7. any and all modifications, waivers and amendments of the terms of an underlying mortgage loan entered into by the special servicer and the asset status report prepared pursuant the series 2006-C4 pooling and servicing agreement; 8. all of the servicing files with respect to the underlying mortgage loans (exclusive of any items therein that may not be disclosed by reason of contract or applicable law); 9. any and all officers' certificates and other evidence delivered by the master servicer or the special servicer, as the case may be (and only with respect to officer's certificates delivered by that party), to support its determination that any advance was, or if made, would be, a Nonrecoverable Advance, including appraisals affixed thereto and any required appraisal; and 10. all CMSA operating statement analyses and CMSA NOI adjustment worksheets maintained by the master servicer or the special servicer (and only with respect to those items maintained by that party). Copies of any and all of the foregoing items will be available from the master servicer, the special servicer or the trustee, as the case may be, upon request. However, the master servicer, the special servicer or the trustee, as the case may be, will be permitted to require payment of a sum sufficient to cover the reasonable costs and expenses of providing the copies, unless the party requesting such copies is any of the rating agencies. In connection with providing access to or copies of the items described above, the trustee, the master servicer or the special servicer, as applicable, may require: o in the case of a holder of an offered certificate or a beneficial owner of an offered certificate held in book-entry form, a written confirmation executed by the requesting person or entity, in the form attached to the series 2006-C4 pooling and servicing agreement or otherwise reasonably 193 acceptable to the trustee, the master servicer or the special servicer, as applicable, generally to the effect that the person or entity is a holder or beneficial owner of offered certificates and will keep the information confidential; and o in the case of a prospective purchaser of an offered certificate or any interest in that offered certificate (or a licensed or registered investment adviser representing a prospective purchaser), confirmation executed by the requesting person or entity, in the form attached to the series 2006-C4 pooling and servicing agreement or otherwise reasonably acceptable to the trustee, the master servicer or the special servicer, as applicable, generally to the effect that the person or entity is a prospective purchaser of offered certificates or an interest in offered certificates (or a licensed or registered investment adviser representing a prospective purchaser), is requesting the information for use in evaluating a possible investment in the offered certificates and will otherwise keep the information confidential. In addition, any holder of an offered certificate will be deemed, by virtue of its acceptance of that certificate, to keep confidential any information received by it from the trustee, the master servicer or the special servicer as described above. VOTING RIGHTS The voting rights for the series 2006-C4 certificates will be allocated among the respective classes of those certificates as follows: o 96.0% of the voting rights will be allocated among the holders of the various classes of series 2006-C4 certificates that have principal balances, pro rata in accordance with those principal balances; o 4.0% of the voting rights will be allocated among the holders of the class X certificates, pro rata in accordance with their respective notional amounts; and o 0.0% of the voting rights will be allocated among the holders of the class R and Y certificates. provided that, solely for the purpose of determining the voting rights of the classes of series 2006-C4 certificates specified in the first bullet, Appraisal Reduction Amounts (determined as set forth herein) will be treated as Realized Losses with respect to the calculation of the total principal balances of such certificates (but Appraisal Reduction Amounts will not reduce the total principal balance of any class for purposes of determining the series 2006-C4 controlling class, the series 2006-C4 controlling class representative or the Majority Controlling Class Certificateholder). Voting rights allocated to a class of series 2006-C4 certificateholders will be allocated among those certificateholders in proportion to their respective percentage interests in that class. TERMINATION The obligations created by the series 2006-C4 pooling and servicing agreement will terminate following the earliest of: 1. the final payment or advance on, or other liquidation of, the last mortgage loan or related REO Property remaining in the trust fund; and 194 2. the purchase of all of the mortgage loans and REO Properties remaining in the trust fund by the special servicer, the Majority Controlling Class Certificateholder or the master servicer, in that order of preference. Written notice of termination of the series 2006-C4 pooling and servicing agreement will be given to each series 2006-C4 certificateholder. The final payment with respect to each series 2006-C4 certificate will be made only upon surrender and cancellation of that certificate at the office of the series 2006-C4 certificate registrar or at any other location specified in the notice of termination. Any purchase by the special servicer, the Majority Controlling Class Certificateholder or the master servicer of all the mortgage loans and REO Properties remaining in the trust fund is required to be made at a price equal to: o the sum of-- 1. the total Stated Principal Balance of all the mortgage loans then included in the trust fund, other than any mortgage loans as to which the mortgaged real properties have become REO Properties, together with-- (a) all unpaid and unadvanced interest, other than Default Interest and Post-ARD Additional Interest, on those mortgage loans up to, but not including their respective due dates in the related collection period, and (b) all unreimbursed advances for those mortgage loans, together with any interest on those advances owing to the parties that made them, and 2. the appraised value of all REO Properties then included in the trust fund, as determined by an appraiser selected by the master servicer and approved by the trustee; minus o if the purchaser is the master servicer or the special servicer, the aggregate amount of unreimbursed advances made by that servicer, together with any interest accrued and payable to that servicer in respect of unreimbursed advances in accordance with the series 2006-C4 pooling and servicing agreement and any unpaid master servicing fees or special servicing fees, as applicable, remaining outstanding (which items shall be deemed to have been paid or reimbursed to the master servicer or the special servicer, as the case may be, in connection with such purchase). That purchase will result in early retirement of the then outstanding series 2006-C4 certificates. However, the right of the special servicer, the Majority Controlling Class Certificateholder or the master servicer to make the purchase is subject to the requirement that the total Stated Principal Balance of the mortgage pool, be less than 1.0% of the initial total principal balance of all the series 2006-C4 certificates. The termination price, exclusive of any portion of the termination price payable or reimbursable to any person other than the series 2006-C4 certificateholders, will constitute part of the Total Available P&I Funds for the final distribution date. In addition, following the date on which the total principal balance of the class A-1, A-2, A-SB, A-3, A-1A, A-M, A-J, B, C, D, E, F, G and H certificates are reduced to zero, the issuing entity may also be terminated, with the consent of 100 percent of the remaining series 2006-C4 certificateholders and subject to such additional conditions as may be set forth in the series 2006-C4 pooling and servicing agreement, in connection with the exchange of all the remaining series 2006-C4 certificates for all the mortgage loans and foreclosure properties held by the issuing entity at the time of the exchange. 195 YIELD AND MATURITY CONSIDERATIONS YIELD CONSIDERATIONS General. The yield on any offered certificate will depend on: o the price at which the certificate is purchased by an investor, and o the rate, timing and amount of payments on the certificate. The rate, timing and amount of payments on any offered certificate will in turn depend on, among other things, o the pass-through rate for the certificate, which will be fixed or variable, as described in this offering prospectus, o the rate and timing of principal payments, including principal prepayments, and other principal collections on the underlying mortgage loans and the extent to which those amounts are to be applied or otherwise result in reduction of the principal balance of the certificate, o the rate, timing and severity of Realized Losses and Additional Trust Fund Expenses and the extent to which those losses and expenses result in the reduction of the principal balance of, or the total payments on, the certificate, and o the timing and severity of any Net Aggregate Prepayment Interest Shortfalls and the extent to which those shortfalls result in the reduction of the interest payments on the certificate. See "Description of the Offered Certificates--Payments--Calculation of Pass-Through Rates" and "Description of the Mortgage Pool" in this offering prospectus and "--Rate and Timing of Principal Payments" below. Pass-Through Rates. If the pass-through rate applicable to any class of offered certificates is equal to, based upon or limited by the Weighted Average Pool Pass-Through Rate from time to time, then the yield on those offered certificates could be sensitive to changes in the relative composition of the mortgage pool as a result of scheduled amortization, voluntary prepayments and liquidations of the underlying mortgage loans following default. See "Description of the Offered Certificates--Payments--Calculation of Pass-Through Rates" and "Description of the Mortgage Pool" in this offering prospectus and "--Rate and Timing of Principal Payments" below. Rate and Timing of Principal Payments. The yield to maturity of any offered certificates purchased at a discount or a premium will be affected by, the rate and timing of principal payments made in a reduction of the principal balances of those certificates. In turn, the rate and timing of principal payments that are applied or otherwise result in reduction of the principal balance of any offered certificate will be directly related to the rate and timing of principal payments on or with respect to the underlying mortgage loans. Finally, the rate and timing of principal payments on or with respect to the underlying mortgage loans will be affected by their amortization schedules, the dates on which balloon payments are due and the rate and timing of principal prepayments and other unscheduled collections on them, including for this purpose, collections made in connection with liquidations of mortgage loans due to defaults, casualties or condemnations affecting the mortgaged real properties, or purchases or other removals of underlying mortgage loans from the trust. 196 Prepayments and other early liquidations of the underlying mortgage loans will result in payments on the series 2006-C4 certificates of amounts that would otherwise be paid over the remaining terms of the mortgage loans. This will tend to shorten the weighted average lives of the offered certificates. Defaults on the underlying mortgage loans, particularly at or near their maturity dates, may result in significant delays in payments of principal on the underlying mortgage loans and, accordingly, on the series 2006-C4 certificates, while work-outs are negotiated or foreclosures are completed. These delays will tend to lengthen the weighted average lives of the offered certificates. In addition, the ability of a borrower under an ARD Loan, to repay that loan on the related anticipated repayment date will generally depend on its ability to either refinance the mortgage loan or sell the corresponding mortgaged real property. Also, a borrower under an ARD Loan may have little incentive to repay its mortgage loan on the related anticipated repayment date if then prevailing interest rates are relatively high. Accordingly, there can be no assurance that any ARD Loan included in the trust fund will be paid in full on its anticipated repayment date. The extent to which the yield to maturity on any offered certificate may vary from the anticipated yield will depend upon the degree to which the certificate is purchased at a discount or premium and when, and to what degree, payments of principal on the underlying mortgage loans are in turn paid or otherwise result in a reduction of the principal balance of the certificate. If you purchase your offered certificates at a discount, you should consider the risk that a slower than anticipated rate of principal payments on the underlying mortgage loans could result in an actual yield to you that is lower than your anticipated yield. If you purchase your offered certificates at a premium, you should consider the risk that a faster than anticipated rate of principal payments on the underlying mortgage loans could result in an actual yield to you that is lower than your anticipated yield. In the event that prepayments and other early liquidations occur with respect to underlying mortgage loans that have relatively high net mortgage interest rates, the Weighted Average Pool Pass-Through Rate would decline, which could, in turn, adversely affect the yield on any offered certificate with a variable or capped pass-through rate. Because the rate of principal payments on or with respect to the underlying mortgage loans will depend on future events and a variety of factors, no assurance can be given as to that rate or the rate of principal prepayments in particular. Even if they are collected and payable on your offered certificates, prepayment premiums and yield maintenance charges may not be sufficient to offset fully any loss in yield on your offered certificates attributable to the related prepayments of the underlying mortgage loans. Delinquencies and Defaults on the Mortgage Loans. The rate and timing of delinquencies and defaults on the underlying mortgage loans will affect the amount of payments on your offered certificates, the yield to maturity of your offered certificates, the rate of principal payments on your offered certificates and the weighted average life of your offered certificates. Delinquencies on the underlying mortgage loans, unless covered by monthly debt service advances, may result in shortfalls in payments of interest and/or principal on your offered certificates for the current month. 197 If-- o you calculate the anticipated yield to maturity for your offered certificates based on an assumed rate of default and amount of losses on the underlying mortgage loans that is lower than the default rate and amount of losses actually experienced, and o the additional losses result in a reduction of the total payments on or the principal balance of your offered certificates, then your actual yield to maturity will be lower than you calculated and could, under some scenarios, be negative. The timing of any loss on a liquidated mortgage loan that results in a reduction of the total payments on or the principal balance of your offered certificates will also affect your actual yield to maturity, even if the rate of defaults and severity of losses are consistent with your expectations. In general, the earlier your loss occurs, the greater the effect on your yield to maturity. Even if losses on the underlying mortgage loans do not result in a reduction of the total payments on or the principal balance of your offered certificates, the losses may still affect the timing of payments on, and the weighted average life and/or yield to maturity of, your offered certificates. In addition, if the master servicer or the trustee reimburses itself out of general collections on the mortgage pool for any advance that it has determined is not recoverable out of collections on the related underlying mortgage loan, then that advance (together with accrued interest thereon) will be deemed, to the fullest extent permitted, to be reimbursed out of payments and other collections of principal on the underlying mortgage loans otherwise distributable on the series 2006-C4 certificates, prior to being deemed reimbursed out of payments and other collections of interest on the underlying mortgage loans otherwise distributable on the series 2006-C4 certificates. As a result, the Total Principal Distribution Amount for the corresponding distribution date would be reduced, to not less than zero, by the amount of any such reimbursement. Accordingly, any such reimbursement would have the effect of reducing current payments of principal to any holders of the offered certificates otherwise entitled thereto. The Effect of Loan Groups. The mortgage pool has been divided into two loan groups for purposes of calculating distributions on certain classes of the offered certificates. As a result, the holders of the class A-1, A-2, A-SB and A-3 certificates will be very affected by the rate, timing and amount of payments and other collections of principal on, and by delinquencies and defaults on, the mortgage loans in loan group no. 1 and, in the absence of significant losses on the mortgage pool, should be largely unaffected by the rate, timing and amount of payments and other collections of principal on, and by delinquencies and defaults on, the mortgage loans in loan group no. 2. In addition, the holders of the class A-1A certificates will be very affected by the rate, timing and amount of payments and other collections of principal on, and by delinquencies and defaults on, the mortgage loans in loan group no. 2 and, prior to the retirement of the class A-1, A-2, A-SB and A-3 certificates, in the absence of significant losses on the mortgage pool, should be largely unaffected by the rate, timing and amount of payments and other collections of principal on, and by delinquencies and defaults on, the mortgage loans in loan group no. 1. Investors should take this into account when reviewing this "Yield and Maturity Considerations" section. Relevant Factors. The following factors, among others, will affect the rate and timing of principal payments and defaults and the severity of losses on or with respect to the mortgage loans included in the trust fund: 198 o prevailing interest rates; o the terms of the mortgage loans, including-- 1. provisions that require the payment of prepayment premiums and yield maintenance charges, 2. provisions that impose prepayment lock-out periods, and 3. amortization terms that require balloon payments; o the demographics and relative economic vitality of the areas in which the related mortgaged real properties are located; o the general supply and demand for commercial and multifamily rental space of the type available at the related mortgaged real properties in the areas in which those properties are located; o the quality of management of the mortgaged real properties; o the servicing of the mortgage loans; o possible changes in tax laws; and o other opportunities for investment. See "Risk Factors," "Description of the Mortgage Pool" and "The Series 2006-C4 Pooling and Servicing Agreement" in this offering prospectus and "Description of the Governing Documents" and "Yield and Maturity Considerations" in the accompanying base prospectus. The rate of prepayment on the mortgage loans included in the trust fund is likely to be affected by prevailing market interest rates for real estate loans of a comparable type, term and risk level. When the prevailing market interest rate is below the annual rate at which a mortgage loan accrues interest, the related borrower may have an increased incentive to refinance the mortgage loan. Conversely, to the extent prevailing market interest rates exceed the annual rate at which a mortgage loan accrues interest, the related borrower may be less likely to voluntarily prepay the mortgage loan. Assuming prevailing market interest rates exceed the revised mortgage interest rate at which an ARD Loan accrues interest following its anticipated repayment date, the primary incentive for the related borrower to prepay the mortgage loan on or before its anticipated repayment date is to give the borrower access to excess cash flow, all of which, net of the minimum required debt service, approved property expenses and any required reserves, must be applied to pay down principal of the mortgage loan. Accordingly, there can be no assurance that any ARD Loan in the trust fund will be prepaid on or before its anticipated repayment date or on any other date prior to maturity. Depending on prevailing market interest rates, the outlook for market interest rates and economic conditions generally, some underlying borrowers may sell their mortgaged real properties in order to realize their equity in those properties, to meet cash flow needs or to make other investments. In addition, some underlying borrowers may be motivated by federal and state tax laws, which are subject to change, to sell their mortgaged real properties prior to the exhaustion of tax depreciation benefits. A number of the underlying borrowers are partnerships. The bankruptcy of the general partner in a partnership may result in the dissolution of the partnership. The dissolution of a borrower partnership, the 199 winding-up of its affairs and the distribution of its assets could result in an acceleration of its payment obligations under the related mortgage loan. We make no representation or warranty regarding: o the particular factors that will affect the rate and timing of prepayments and defaults on the underlying mortgage loans; o the relative importance of those factors; o the percentage of the total principal balance of the underlying mortgage loans that will be prepaid or as to which a default will have occurred as of any particular date; or o the overall rate of prepayment or default on the underlying mortgage loans. Unpaid Interest. If the portion of the Total Available P&I Funds payable with respect to interest on any class of offered certificates on any distribution date is less than the total amount of interest then payable for that class, the shortfall will be payable to the holders of those certificates on subsequent distribution dates, subject to the Total Available P&I Funds on those subsequent distribution dates and the priority of payments described under "Description of the Offered Certificates--Payments--Priority of Payments" in this offering prospectus. That shortfall will not bear interest, however, and will therefore negatively affect the yield to maturity of that class of offered certificates for so long as it is outstanding. Delay in Payments. Because monthly payments will not be made on the offered certificates until several days after the due dates for the underlying mortgage loans during the related collection period, your effective yield will be lower than the yield that would otherwise be produced by your pass-through rate and purchase price, assuming that purchase price did not account for a delay. PREPAYMENT MODELS Prepayments on mortgage loans may be measured by a prepayment standard or model. The model used in this offering prospectus is the Constant Prepayment Rate or CPR model. The CPR model represents an assumed constant annual rate of prepayment each month, expressed as a per annum percentage of the then outstanding principal balance of the subject mortgage loan(s). The CPR model does not purport to be either an historical description of the prepayment experience of any pool of loans or a prediction of the anticipated rate of prepayment of any pool of loans. We do not make any representations about the appropriateness of the CPR model. WEIGHTED AVERAGE LIVES The weighted average life of any offered certificate with a principal balance refers to the average amount of time that will elapse from the Issue Date until each dollar to be applied in reduction of the principal balance of that certificate is distributed to the investor. For purposes of this offering prospectus, the weighted average life of any offered certificate with a principal balance is determined as follows: o multiply the amount of each principal payment on the certificate by the number of years from the assumed settlement date to the related distribution date; o sum the results; and o divide the sum by the total amount of the reductions in the principal balance of the certificate. 200 Accordingly, the weighted average life of any offered certificate with a principal balance will be influenced by, among other things, the rate at which principal of the underlying mortgage loans is paid or otherwise collected or advanced and the extent to which those payments, collections and/or advances of principal are in turn applied in reduction of the principal balance of that certificate. As described in this offering prospectus, the Total Principal Distribution Amount for each distribution date will be payable first with respect to the class A-1, A-2, A-SB, A-3 and/or A-1A certificates (allocated among those classes as described under "Description of the Offered Certificates--Payments--Payments of Principal" and "--Payments--Priority of Payments" in this offering prospectus), until the total principal balances of those classes are reduced to zero and will thereafter be distributable entirely with respect to the other classes of offered certificates, sequentially based upon their relative seniority, in each case until the related principal balance is reduced to zero. Because of the order in which the Total Principal Distribution Amount is applied, the weighted average lives of some classes of offered certificates may be shorter, and the weighted average lives of the other classes of offered certificates may be longer, than would otherwise be the case if the principal payment amount for each distribution date was being paid on a pro rata basis among the respective classes of series 2006-C4 certificates with principal balances. The tables set forth in Annex C show with respect to each class of offered certificates-- o the weighted average life of that class, and o the percentage of the initial total principal balance of that class that would be outstanding after each of the specified dates, based upon each of the indicated levels of CPR and the Maturity Assumptions. We make no representation that-- o the mortgage loans (or any particular group of underlying mortgage loans) in the trust fund will prepay in accordance with the assumptions set forth in this offering prospectus at any of the CPRs shown or at any other particular prepayment rate, o all the mortgage loans (or any particular group of underlying mortgage loans) in the trust fund will prepay in accordance with the assumptions set forth in this offering prospectus at the same rate, or o mortgage loans in the trust fund that are in a lock-out/defeasance period, a yield maintenance period or declining premium period will not prepay as a result of involuntary liquidations upon default or otherwise. LEGAL PROCEEDINGS There are no legal proceedings pending against us, the sponsors, the trustee, the issuing entity, the master servicer or the special servicer, or to which any property of the foregoing parties are subject, that is material to the series 2006-C4 certificateholders, nor do we have actual knowledge of any proceedings of this type contemplated by governmental authorities. 201 USE OF PROCEEDS Substantially all of the proceeds from the sale of the offered certificates will be used by us to-- o purchase the mortgage loans that we will include in the issuing entity, and o pay expenses incurred in connection with the issuance of the series 2006-C4 certificates. FEDERAL INCOME TAX CONSEQUENCES GENERAL Upon the issuance of the offered certificates, Sidley Austin LLP, our counsel, will deliver its opinion generally to the effect that, assuming compliance with the series 2006-C4 pooling and servicing agreement, and subject to any other assumptions set forth in the opinion, each of REMIC I and REMIC II will qualify as a REMIC under the Internal Revenue Code. The assets of REMIC I will generally include-- o the underlying mortgage loans, o any REO Properties acquired on behalf of the series 2006-C4 certificateholders, o the master servicer's collection account and (exclusive of amounts on deposit therein allocable to the related Non-Trust Loan(s)) Loan Combination-specific custodial accounts, o the special servicer's REO account, and o the trustee's distribution account and interest reserve account. For federal income tax purposes, o the separate non-certificated regular interests in REMIC I will be the regular interests in REMIC I and will be the assets of REMIC II; o the class A-1, A-2, A-SB, A-3, A-1A, X, A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates will evidence the regular interests in, and will generally be treated as debt obligations of, REMIC II; o the class R certificates will evidence the sole class of residual interests in each of REMIC I and REMIC II; and o the class Y certificates will evidence 100% of the beneficial ownership of the grantor trust consisting of any Post-ARD Additional Interest collected on any ARD Loan. For federal income tax purposes, each of the class X certificates will evidence multiple regular interests in REMIC II. 202 DISCOUNT AND PREMIUM For federal income tax reporting purposes, one or more classes of the offered certificates may be issued with more than a de minimis amount of original issue discount. If you own an offered certificate issued with original issue discount, you may have to report original issue discount income and be subject to a tax on this income before you receive a corresponding cash payment. The IRS has issued regulations under sections 1271 to 1275 of the Internal Revenue Code generally addressing the treatment of debt instruments issued with original issue discount. Section 1272(a)(6) of the Internal Revenue Code provides for special rules applicable to the accrual of original issue discount on, among other things, REMIC regular certificates. The Treasury Department has not issued regulations under that section. You should be aware, however, that the regulations issued under sections 1271 to 1275 of the Internal Revenue Code and section 1272(a)(6) of the Internal Revenue Code do not adequately address all issues relevant to, or are not applicable to, prepayable securities such as the offered certificates. We recommend that you consult with your own tax advisor concerning the tax treatment of your offered certificates. If the method for computing original issue discount described in the accompanying base prospectus results in a negative amount for any period with respect to any holder of offered certificates, the amount of original issue discount allocable to such period would be zero. Some of the offered certificates may be treated for U.S. federal income tax purposes as having been issued at a premium. Whether any holder of an interest in these offered certificates will be treated as holding a certificate with amortizable bond premium will depend on the certificateholder's purchase price and the payments remaining to be made on the certificate at the time of its acquisition by the certificateholder. If you acquire an interest in any offered certificates issued at a premium, you should consider consulting your own tax advisor regarding the possibility of making an election to amortize the premium. See "Federal Income Tax Consequences--REMICs--Taxation of Owners of REMIC Regular Certificates--Premium" in the accompanying base prospectus. When determining the rate of accrual of original issue discount, market discount and premium, if any, with respect to the series 2006-C4 certificates for federal income tax purposes, the prepayment assumption will be that, subsequent to the date of any determination-- o the ARD Loans in the trust fund will be paid in full on their respective anticipated repayment dates, o no mortgage loan in the trust fund will otherwise be prepaid prior to maturity, and o there will be no extension of maturity for any mortgage loan in the trust fund. However, no representation is made as to the actual rate at which the mortgage loans in the trust fund will prepay, if at all. See "Federal Income Tax Consequences--REMICs--Taxation of Owners of REMIC Regular Certificates" in the accompanying base prospectus. PREPAYMENT CONSIDERATION Prepayment premiums and yield maintenance charges actually collected on the underlying mortgage loans will be paid on certain classes of the offered certificates as and to the extent described under "Description of the Offered Certificates--Payments--Payments of Prepayment Premiums and Yield Maintenance Charges" in this offering prospectus. It is not entirely clear under the Internal Revenue Code when the amount of a prepayment premium or yield maintenance charge should be taxed to the holder of a class of offered certificates entitled to that amount. For federal income tax reporting purposes, the tax administrator will report prepayment premiums 203 or yield maintenance charges as income to the holders of a class of offered certificates entitled thereto only after the master servicer's actual receipt of those amounts. The IRS may nevertheless seek to require that an assumed amount of prepayment premiums and yield maintenance charges be included in payments projected to be made on the applicable offered certificates and that the taxable income be reported based on the projected constant yield to maturity of those offered certificates. Therefore, the projected prepayment premiums and yield maintenance charges would be included prior to their actual receipt by holders of the applicable offered certificates. If the projected prepayment premiums and yield maintenance charges were not actually received, presumably the holder of an offered certificate would be allowed to claim a deduction or reduction in gross income at the time the unpaid prepayment premiums and yield maintenance charges had been projected to be received. Moreover, it appears that prepayment premiums and yield maintenance charges are to be treated as ordinary income rather than capital gain. However, the correct characterization of the income is not entirely clear. We recommend you consult your own tax advisors concerning the treatment of prepayment premiums and yield maintenance charges. CHARACTERIZATION OF INVESTMENTS IN OFFERED CERTIFICATES Except to the extent noted below, the offered certificates will be "real estate assets" within the meaning of section 856(c)(5)(B) of the Internal Revenue Code in the same proportion that the assets of the issuing entity would be so treated. In addition, interest, including original issue discount, if any, on the offered certificates will be interest described in section 856(c)(3)(B) of the Internal Revenue Code to the extent that those certificates are treated as "real estate assets" within the meaning of section 856(c)(5)(B) of the Internal Revenue Code. Most of the mortgage loans to be included in the trust fund are not secured by real estate used for residential or other purposes prescribed in section 7701(a)(19)(C) of the Internal Revenue Code. Consequently, it appears that the offered certificates will be treated as assets qualifying under that section to only a limited extent. Accordingly, investment in the offered certificates may not be suitable for a thrift institution seeking to be treated as a "domestic building and loan association" under section 7701(a)(19)(C) of the Internal Revenue Code. The offered certificates will be treated as "qualified mortgages" for another REMIC under section 860G(a)(3)(C) of the Internal Revenue Code. To the extent an offered certificate represents ownership of an interest in a mortgage loan that is secured in part by the related borrower's interest in a bank account or reserve fund, that mortgage loan is not secured solely by real estate. Therefore: o a portion of that certificate may not represent ownership of "loans secured by an interest in real property" or other assets described in section 7701(a)(19)(C) of the Internal Revenue Code; o a portion of that certificate may not represent ownership of "real estate assets" under section 856(c)(5)(B) of the Internal Revenue Code; and o the interest on that certificate may not constitute "interest on obligations secured by mortgages on real property" within the meaning of section 856(c)(3)(B) of the Internal Revenue Code. In addition, most of the mortgage loans that we intend to include in the trust fund contain defeasance provisions under which the lender may release its lien on the collateral securing the mortgage loan in return for the borrower's pledge of substitute collateral in the form of Government Securities. Generally, under the Treasury regulations, if a REMIC releases its lien on real property that secures a qualified mortgage, that mortgage ceases to be a qualified mortgage on the date the lien is released unless certain conditions are satisfied. In order for the mortgage loan to remain a qualified mortgage, the Treasury regulations require that-- (1) the borrower pledges substitute collateral that consist solely of Government Securities; 204 (2) the mortgage loan documents allow that substitution; (3) the lien is released to facilitate the disposition of the property or any other customary commercial transaction, and not as part of an arrangement to collateralize a REMIC offering with obligations that are not real estate mortgages; and (4) the release is not within two years of the startup day of the REMIC. Following the defeasance of a mortgage loan, regardless of whether the foregoing conditions were satisfied, that mortgage loan would not be treated as a "loan secured by an interest in real property" or a "real estate asset" and interest on that loan would not constitute "interest on obligations secured by real property" for purposes of sections 7701(a)(19)(C), 856(c)(5)(B) and 856(c)(3)(B) of the Internal Revenue Code, respectively. See "Description of the Mortgage Pool" in this offering prospectus and "Federal Income Tax Consequences--REMICs--Characterization of Investments in REMIC Certificates" in the accompanying base prospectus. PROHIBITED TRANSACTIONS TAX AND OTHER TAXES In the case of REO Properties directly operated by the special servicer, a tax may be imposed on any of the REMICs should the REO Properties consist primarily of hotels and income from the REO Property would be apportioned and classified as "service" or "non-service" income. The "service" portion of the income could be treated as net income from foreclosure property or net income from a prohibited transaction subject to federal tax either at the highest marginal corporate tax rate or at the 100% rate, respectively. Any tax imposed on the issuing entity's income from an REO Property would reduce the amount available for payment to the series 2006-C4 certificateholders. See "The Series 2006-C4 Pooling and Servicing Agreement--REO Properties" in this offering prospectus and "Federal Income Tax Consequences--REMICs--Prohibited Transactions Tax and Other Taxes" in the accompanying base prospectus. For further information regarding the federal income tax consequences of investing in the offered certificates, see "Federal Income Tax Consequences--REMICs" in the accompanying base prospectus. ERISA CONSIDERATIONS If you are-- o a fiduciary of a Plan, or o any other person investing "plan assets" of any Plan, you are encouraged to carefully review with your legal advisors whether the purchase or holding of an offered certificate would be a "prohibited transaction" or would otherwise be impermissible under ERISA or section 4975 of the Internal Revenue Code. See "ERISA Considerations" in the accompanying base prospectus. If a Plan acquires a series 2006-C4 certificate, the underlying assets of the trust fund will be deemed for purposes of ERISA to be assets of the investing Plan, unless certain exceptions apply. See "ERISA Considerations--Plan Asset Regulations" in the accompanying base prospectus. However, we cannot predict in advance, nor can there be any continuing assurance, whether those exceptions may be applicable because of the factual nature of the rules set forth in the Plan Asset Regulations. For example, one of the exceptions in the Plan 205 Asset Regulations states that the underlying assets of an entity will not be considered "plan assets" if less than 25% of the value of each class of equity interests is held by "benefit plan investors," which include Plans, as well as employee benefit plans not subject to ERISA, such as governmental plans, but this exception will be tested immediately after each acquisition of a series 2006-C4 certificate, whether upon initial issuance or in the secondary market. Because there are no relevant restrictions on the purchase and transfer of the series 2006-C4 certificates by Plans, it cannot be assured that benefit plan investors will own less than 25% of each class of the series 2006-C4 certificates. If one of the exceptions in the Plan Asset Regulations applies, the prohibited transaction provisions of ERISA and the Internal Revenue Code will not apply to transactions involving the issuing entity's underlying assets. However, if the issuing entity or any of the Exemption-Favored Parties is a Party in Interest with respect to the Plan, the acquisition or holding of offered certificates by that Plan could result in a prohibited transaction, unless the Underwriter Exemption, as discussed below, or some other exemption is available. The U.S. Department of Labor issued an individual prohibited transaction exemption to a predecessor of Citigroup Global Markets Inc., which exemption is identified as Prohibited Transaction Exemption 91-14, as amended by Prohibited Transaction Exemptions 2000-58 and 2002-41. Subject to the satisfaction of conditions set forth in the Underwriter Exemption, it generally exempts from the application of the prohibited transaction provisions of sections 406(a) and (b) and 407(a) of ERISA, and the excise taxes imposed on these prohibited transactions under sections 4975(a) and (b) of the Internal Revenue Code, specified transactions relating to, among other things-- o the servicing and operation of pools of real estate loans, such as the mortgage pool, and o the purchase, sale and holding of mortgage pass-through certificates, such as the offered certificates, that are underwritten by an Exemption-Favored Party. The Underwriter Exemption sets forth five general conditions which must be satisfied for a transaction involving the purchase, sale and holding of an offered certificate to be eligible for exemptive relief under the exemption. The conditions are as follows: o first, the acquisition of the certificate by a Plan must be on terms that are at least as favorable to the Plan as they would be in an arm's-length transaction with an unrelated party; o second, at the time of its acquisition by the Plan, the certificate must be rated in one of the four highest generic rating categories by S&P, Fitch or Moody's; o third, the trustee cannot be an affiliate of any other member of the Restricted Group (other than an underwriter); o fourth, the following must be true-- 1. the sum of all payments made to and retained by Exemption-Favored Parties must represent not more than reasonable compensation for underwriting the relevant class of certificates, 2. the sum of all payments made to and retained by us in connection with the assignment of mortgage loans to the issuing entity must represent not more than the fair market value of the obligations, and 206 3. the sum of all payments made to and retained by the master servicer, the special servicer and any sub-servicer must represent not more than reasonable compensation for that person's services under the series 2006-C4 pooling and servicing agreement and reimbursement of that person's reasonable expenses in connection therewith; and o fifth, the investing Plan must be an accredited investor as defined in Rule 501(a)(1) of Regulation D under the Securities Act of 1933, as amended. It is a condition of their issuance that the each class of offered certificates receive an investment grade rating from each of Fitch and Moody's. In addition, the initial trustee is not an affiliate of any other member of the Restricted Group. Accordingly, as of the Issue Date, the second and third general conditions set forth above will be satisfied with respect to the offered certificates. A fiduciary of a Plan contemplating the purchase of an offered certificate in the secondary market must make its own determination that, at the time of the purchase, the certificate continues to satisfy the second and third general conditions set forth above. A fiduciary of a Plan contemplating the purchase of an offered certificate, whether in the initial issuance of the certificate or in the secondary market, must make its own determination that the first and fourth general conditions set forth above will be satisfied with respect to the certificate as of the date of the purchase. A Plan's authorizing fiduciary will be deemed to make a representation regarding satisfaction of the fifth general condition set forth above in connection with the purchase of an offered certificate. The Underwriter Exemption also requires that the issuing entity meet the following requirements: o the trust fund must consist solely of assets of the type that have been included in other investment pools; o certificates evidencing interests in those other investment pools must have been rated in one of the four highest generic categories of S&P, Fitch or Moody's for at least one year prior to the Plan's acquisition of an offered certificate; and o certificates evidencing interests in those other investment pools must have been purchased by investors other than Plans for at least one year prior to any Plan's acquisition of an offered certificate. We believe that these requirements have been satisfied as of the date of this offering prospectus. If the general conditions of the Underwriter Exemption are satisfied, it may provide an exemption from the restrictions imposed by sections 406(a) and 407(a) of ERISA, as well as the excise taxes imposed by sections 4975(a) and (b) of the Internal Revenue Code by reason of sections 4975(c)(1)(A) through (D) of the Internal Revenue Code, in connection with-- o the direct or indirect sale, exchange or transfer of an offered certificate acquired by a Plan upon initial issuance from us or an Exemption-Favored Party when we are, or a mortgage loan seller, the trustee, the master servicer, the special servicer, any sub-servicer, any provider of credit support, Exemption-Favored Party or borrower is, a Party in Interest with respect to the investing Plan, o the direct or indirect acquisition or disposition in the secondary market of an offered certificate by a Plan, and o the continued holding of an offered certificate by a Plan. 207 However, no exemption is provided from the restrictions of sections 406(a)(1)(E), 406(a)(2) and 407 of ERISA for the acquisition or holding of an offered certificate on behalf of a Plan sponsored by any member of the Restricted Group, if such acquisition or holding is by any person who has discretionary authority or renders investment advice with respect to the assets of that Plan. Moreover, if the general conditions of the Underwriter Exemption, as well as other conditions set forth in the Underwriter Exemption, are satisfied, it may also provide an exemption from the restrictions imposed by sections 406(b)(1) and (b)(2) of ERISA and the taxes imposed by section 4975(c)(1)(E) of the Internal Revenue Code in connection with: o the direct or indirect sale, exchange or transfer of offered certificates in the initial issuance of those certificates between us or an Exemption-Favored Party and a Plan when the person who has discretionary authority or renders investment advice with respect to the investment of the assets of the Plan in those certificates is a borrower, or an affiliate of a borrower, with respect to 5.0% or less of the fair market value of the underlying mortgage loans; o the direct or indirect acquisition or disposition in the secondary market of offered certificates by a Plan; and o the continued holding of offered certificates by a Plan. Further, if the general conditions of the Underwriter Exemption, as well as other conditions set forth in the Underwriter Exemption are satisfied, it may provide an exemption from the restrictions imposed by sections 406(a), 406(b) and 407(a) of ERISA, and the taxes imposed by sections 4975(a) and (b) of the Internal Revenue Code by reason of section 4975(c) of the Internal Revenue Code, for transactions in connection with the servicing, management and operation of the trust fund. Lastly, if the general conditions of the Underwriter Exemption are satisfied, it may also provide an exemption from the restrictions imposed by sections 406(a) and 407(a) of ERISA, and the taxes imposed by sections 4975(a) and (b) of the Internal Revenue Code, by reason of sections 4975(c)(1)(A) through (D) of the Internal Revenue Code, if the restrictions are deemed to otherwise apply merely because a person is deemed to be a Party in Interest with respect to an investing plan by virtue of-- o providing services to the Plan, or o having a specified relationship to this person, solely as a result of the Plan's ownership of offered certificates. Before purchasing an offered certificate, a fiduciary of a Plan should itself confirm that the general and other conditions set forth in the Underwriter Exemption, and the other requirements set forth in the Underwriter Exemption, would be satisfied at the time of the purchase. EXEMPT PLANS A governmental plan as defined in section 3(32) of ERISA is not subject to ERISA or section 4975 of the Internal Revenue Code. However, a governmental plan may be subject to a federal, state or local law which is, to a material extent, similar to the foregoing provisions of ERISA or the Internal Revenue Code. A fiduciary of a governmental plan should make its own determination as to the need for and the availability of any exemptive relief under any similar law. 208 FURTHER WARNINGS Any fiduciary of a Plan considering whether to purchase an offered certificate on behalf of that Plan is encouraged to consult with its counsel regarding the applicability of the fiduciary responsibility and prohibited transaction provisions of ERISA and the Internal Revenue Code to the investment. The sale of offered certificates to a Plan is in no way a representation or warranty by us or any of the underwriters that-- o the investment meets all relevant legal requirements with respect to investments by Plans generally or by any particular Plan, or o the investment is appropriate for Plans generally or for any particular Plan. LEGAL INVESTMENT The offered certificates will not be mortgage related securities for purposes of SMMEA. As a result, the appropriate characterization of the offered certificates under various legal investment restrictions, and thus the ability of investors subject to these restrictions to purchase those certificates, is subject to significant interpretive uncertainties. Neither we nor any of the underwriters makes any representation as to the ability of particular investors to purchase the offered certificates under applicable legal investment or other restrictions. All institutions whose investment activities are subject to legal investment laws and regulations, regulatory capital requirements or review by regulatory authorities should consult with their own legal advisors in determining whether and to what extent the offered certificates: o are legal investments for them; or o are subject to investment, capital or other restrictions. In addition, you should take into consideration the applicability of statutes, rules, regulations, orders, guidelines or agreements generally governing investments made by a particular investor, including, but not limited to: o prudent investor provisions; o percentage-of-assets limits; and o provisions which may restrict or prohibit investment in securities which are not interest bearing or income paying. There may be other restrictions on the ability of investors, including depository institutions, either to purchase offered certificates or to purchase offered certificates representing more than a specified percentage of the investor's assets. Investors should consult their own legal advisors in determining whether and to what extent the offered certificates are legal investments for the investors. See "Legal Investment" in the accompanying base prospectus. 209 METHOD OF DISTRIBUTION Subject to the terms and conditions of an underwriting agreement between us and the underwriters, the underwriters will purchase from us, upon initial issuance, their respective allotments, as specified in the tables below, of the offered certificates. As specified in the tables below, not every underwriter is obligated to purchase offered certificates from us. It is expected that delivery of the offered certificates will be made to the underwriters in book-entry form through the same day funds settlement system of DTC on or about June 29, 2006, against payment therefor in immediately available funds. We will identify in a final prospectus supplement relating to the offered certificates the amount of proceeds that we will receive from the sale of the offered certificates, before deducting expenses payable by us. CITIGROUP GLOBAL BARCLAY'S PNC CAPITAL BANC OF AMERICA DEUTSCHE BANK CLASS MARKETS INC. CAPITAL INC. MARKETS LLC SECURITIES LLC SECURITIES INC. ---------- ---------------- ------------ ----------- --------------- --------------- Class A-1 Class A-2 Class A-SB Class A-3 Class A-1A Class A-M Class A-J Class B Class C Class D With respect to this offering-- o Citigroup Global Markets Inc. is acting as co-lead manager and sole bookrunning manager; and o Barclays Capital Inc. is acting as co-lead manager; o PNC Capital Markets LLC, Banc of America Securities LLC and Deutsche Bank Securities Inc. will act as co-managers. Distribution of the offered certificates will be made by the underwriters from time to time in negotiated transactions or otherwise at varying prices to be determined at the time of sale. In the case of each underwriter, any profit on the resale of the offered certificates positioned by it may be deemed to be underwriting discounts and commissions under the Securities Act. The underwriters may sell the offered certificates to or through dealers, and those dealers may receive compensation in the form of underwriting discounts, concessions or commissions from the underwriters. Depending on the facts and circumstances of the purchases, purchasers of the offered certificates, including dealers, may be deemed to be "underwriters" within the meaning of the Securities Act in connection with reoffers and sales by them of offered certificates. Accordingly, any profit on the resale of the offered certificates positioned by them may be deemed to be underwriting discounts and commissions under the Securities Act. Holders of offered certificates should consult with their legal advisors in this regard prior to any reoffer or sale of those certificates. The underwriters have advised us that some of the underwriters presently intend to make a market in the offered certificates, but they have no obligation to do so. Any market making may be discontinued at any time, and there can be no assurance that an active public market for the offered certificates will develop. 210 Each underwriter has represented to and agreed with us that: o it has only communicated or caused to be communicated and will only communicate or cause to be communicated any invitation or inducement to engage in investment activity (within the meaning of section 21 of the Financial Services and Markets Act 2000 (the "FSMA") received by it in connection with the issue or sale of any offered certificates in circumstances in which section 21(1) of the FSMA does not apply to us; and o it has complied and will comply with all applicable provisions of the FSMA with respect to anything done by it in relation to the offered certificates in, from or otherwise involving the United Kingdom. In relation to each Member State of the European Economic Area which has implemented the Prospectus Directive (each, a "Relevant Member State"), each underwriter has represented and agreed with us that with effect from and including the date on which the Prospectus Directive is implemented in that Relevant Member State (the "Relevant Implementation Date") it has not made and will not make an offer of series 2006-C4 certificates to the public in that Relevant Member State prior to the publication of a prospectus in relation to the series 2006-C4 certificates which has been approved by the competent authority in that Relevant Member State or, where appropriate, approved in another Relevant Member State and notified to the competent authority in that Relevant Member State, all in accordance with the Prospectus Directive, except that it may, with effect from and including the Relevant Implementation Date, make an offer of series 2006-C4 certificates to the public in that Relevant Member State at any time: (a) to legal entities which are authorized or regulated to operate in the financial markets or, if not so authorized or regulated, whose corporate purpose is solely to invest in securities; (b) to any legal entity which has two or more of (1) an average of at least 250 employees during the last financial year; (2) a total balance sheet of more than (euro)43,000,000 and (3) an annual net turnover of more than (euro)50,000,000, as shown in its last annual or consolidated accounts; or (c) in any other circumstances which do not require the publication by us of a prospectus pursuant to Article 3 of the Prospectus Directive. For the purposes of the foregoing, the expression an "offer of series 2006-C4 certificates to the public" in relation to any series 2006-C4 certificates in any Relevant Member State means the communication in any form and by any means of sufficient information on the terms of the offer and the series 2006-C4 certificates to be offered so as to enable an investor to decide to purchase or subscribe the series 2006-C4 certificates, as the same may be varied in that Member State by any measure implementing the Prospectus Directive in that Member State and the expression "Prospectus Directive" means Directive 2003/71/EC and includes any relevant implementing measure in each Relevant Member State. We have agreed to indemnify each underwriter and each person, if any, who controls that underwriter within the meaning of Section 15 of the Securities Act against, or make contributions to the underwriters and each of those controlling persons with respect to, various liabilities, including specific liabilities under the Securities Act. Each of the mortgage loan sellers has agreed to indemnify us, our officers and directors, the underwriters, and each person, if any, who controls us or any underwriter within the meaning of Section 15 of the Securities Act, with respect to liabilities, including specific liabilities under the Securities Act, relating to the mortgage loans being sold by the particular mortgage loan seller for inclusion in the trust fund. We expect that delivery of the offered certificates will be made against payment therefor on or about June 29, 2006, which is more than three business days following the date of pricing of the offered certificates. 211 Under Rule 15c6-1 of the SEC under the Securities Exchange Act of 1934, trades in the secondary market generally are required to settle in three business days, unless the parties to any such trade expressly agree otherwise. Accordingly, purchasers of the offered certificates should take this into account on re-trade. LEGAL MATTERS Particular legal matters relating to the offered certificates will be passed upon for us and the underwriters by Sidley Austin LLP, New York, New York. RATINGS It is a condition to their issuance that the respective classes of offered certificates be rated as follows by Fitch and Moody's: CLASS FITCH MOODY'S ----- ----- ------- A-1 AAA Aaa A-2 AAA Aaa A-SB AAA Aaa A-3 AAA Aaa A-1A AAA Aaa A-M AAA Aaa A-J AAA Aaa B AA Aa2 C AA- Aa3 D A A2 o The ratings on the offered certificates address the likelihood of the timely receipt by the holders of all payments of interest to which they are entitled on each distribution date and the ultimate receipt by the holders of all payments of principal to which those holders are entitled on or before the related rated final distribution date. The rated final distribution date for the offered certificates is the distribution date in March 2049. The ratings take into consideration the credit quality of the mortgage pool, structural and legal aspects associated with the offered certificates, and the extent to which the payment stream from the mortgage pool is adequate to make payments of interest and principal required under the offered certificates. The ratings on the respective classes of offered certificates do not represent any assessment of-- o the tax attributes of the offered certificates or of the issuing entity, o whether or to what extent prepayments of principal may be received on the underlying mortgage loans, o the likelihood or frequency of prepayments of principal on the underlying mortgage loans, o the degree to which the amount or frequency of prepayments of principal on the underlying mortgage loans might differ from those originally anticipated, o whether or to what extent the interest payable on any class of offered certificates may be reduced in connection with Net Aggregate Prepayment Interest Shortfalls, 212 o whether and to what extent prepayment premiums, yield maintenance charges, Default Interest or Post-ARD Additional Interest will be received, and o the yield to maturity that investors may experience. Also, a security rating does not represent any assessment of the possibility that the holders of the class XP certificates might not fully recover their investment in the event of rapid prepayments and/or other early liquidations of the underlying mortgage loans. There can be no assurance as to whether any rating agency not requested to rate the offered certificates will nonetheless issue a rating to any class of offered certificates and, if so, what the rating would be. A rating assigned to any class of offered certificates by a rating agency that has not been requested by us to do so may be lower than the rating assigned thereto by Fitch or Moody's. The ratings on the offered certificates should be evaluated independently from similar ratings on other types of securities. A security rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time by the assigning rating organization. Each security rating should be evaluated independently of any other security rating. See "Rating" in the accompanying base prospectus. See "Rating" in the accompanying base prospectus. 213 GLOSSARY The following capitalized terms will have the respective meanings assigned to them in this "Glossary" section whenever they are used in this offering prospectus, including in any of the annexes to this offering prospectus or on the accompanying diskette. "30/360 BASIS" means the accrual of interest based on a 360-day year consisting of twelve 30-day months. "ACTUAL/360 BASIS" means the accrual of interest based on the actual number of days elapsed during each one-month accrual period in a year assumed to consist of 360 days. "ADDITIONAL TRUST FUND EXPENSE" means any one of certain specified expenses of the trust that, in any such case, generally: o arises out of a default on a mortgage loan in the trust fund or an otherwise unanticipated event; o is paid out of collections on the mortgage pool or on a particular mortgage loan in the trust fund; o is not included in the calculation of a Realized Loss; and o is not covered by a servicing advance or a corresponding collection from either the related borrower or a party to the series 2006-C4 pooling and servicing agreement that has no recourse to the issuing entity for reimbursement. We provide some examples of Additional Trust Fund Expenses under "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Expenses" in this offering prospectus. "ADMINISTRATIVE FEE RATE" means, for any mortgage loan in the trust fund, the trustee fee rate plus the applicable master servicing fee rate. The master servicing fee rate will include any applicable primary servicing fee rate. "ALLOCATED CUT-OFF DATE BALANCE" means, with respect to any mortgaged real property, the allocated loan amounts stated in the related mortgage loan document or, if it is not specified in the related mortgage loan document, the cut-off date principal balance of the related underlying mortgage loan, multiplied by the Appraised Value of the particular mortgaged real property, with the resulting product to be divided by the sum of the Appraised Values of all mortgaged real properties securing the same underlying mortgage loan. "ANNUAL DEBT SERVICE" means, for any underlying mortgage loan or ShopKo Portfolio Non-Trust Loan, subject to the discussion in the next paragraph, 12 times the amount of the monthly debt service due under that mortgage loan as of the cut-off date (or, in the case of a mortgage loan with an initial interest-only period, 12 times the amount of the monthly debt service due under that mortgage loan as of the related due date on which amortization is scheduled to begin and, in the case of a mortgage loan that is interest-only up to the related maturity date or, if applicable, any related anticipated repayment date, the product of (a) the principal balance of that mortgage loan as of the cut-off date and (b) the annual mortgage rate as adjusted for the interest accrual method). With respect to two (2) mortgage loans secured by mortgaged real properties identified on Annex A-1 to this offering prospectus as Mallard Crossing Apartments and Four Winds Apartments, respectively, representing in total 1.6% of the Initial Mortgage Pool Balance, the respective interest rates step up annually as described 214 under "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans--Mortgage Rates; Calculation of Interest" in this offering prospectus. Annual Debt Service for each of these underlying mortgage loans was calculated using the maximum mortgage rate. "APPRAISAL REDUCTION AMOUNT" means, for any mortgage loan in the trust fund as to which an Appraisal Trigger Event has occurred, an amount that: o will be determined shortly following either-- A. the date on which the relevant appraisal or other valuation is obtained or performed, as described under "The Series 2006-C4 Pooling and Servicing Agreement--Required Appraisals" in this offering prospectus, or B. if no such appraisal or other valuation is required, the date on which the master servicer obtained knowledge of the relevant Appraisal Trigger Event, and monthly thereafter for so long as an Appraisal Trigger Event exists with respect to the mortgage loan; and o will generally equal the excess, if any, of "x" over "y" where-- X. "x" is equal to the sum of: 1. the Stated Principal Balance of the mortgage loan; 2. to the extent not previously advanced by or on behalf of the master servicer or the trustee, all unpaid interest accrued on the mortgage loan through the most recent due date prior to the date of determination at a per annum rate equal to the related Net Mortgage Rate (exclusive of any portion thereof that constitutes Post-ARD Additional Interest); 3. all accrued but unpaid master servicing fees and special servicing fees and all accrued but unpaid Additional Trust Fund Expenses with respect to the mortgage loan; 4. all related unreimbursed advances made by or on behalf of the master servicer, the special servicer or the trustee with respect to the mortgage loan, together with interest on those advances; and 5. all currently due and unpaid real estate taxes and unfunded improvement reserves and assessments, insurance premiums and, if applicable, ground rents with respect to the related mortgaged real property, and Y. "y" is equal to the sum of: 1. 90% of the resulting appraised value (net of any prior liens and estimated liquidation expenses) of the related mortgaged real property or REO Property; and 2. all escrows, reserves and letters of credit held for the purposes of reserves (provided such letters of credit may be drawn upon for reserve purposes under the related mortgage loan documents) held with respect to the mortgage loan. 215 If, however, the appraisal or other valuation referred to above in clause A. of the first bullet of this definition is required, but it is not obtained or performed by the 60th day after the Appraisal Trigger Event referred to in the first bullet of this definition, then until the required appraisal or other valuation is obtained or performed, the Appraisal Reduction Amount for the subject mortgage loan will equal 25% of the outstanding principal balance of that mortgage loan. After receipt of the required appraisal or other valuation, the special servicer will determine the Appraisal Reduction Amount, if any, for the subject mortgage loan as described in the first sentence of this definition. Notwithstanding the foregoing, the ShopKo Portfolio Loan Combination will be treated as a single mortgage loan for purposes of calculating an Appraisal Reduction Amount and will take into account unpaid interest on any P&I advances made with respect to any ShopKo Portfolio Non-Trust Loan under any separate securitization agreement. Any Appraisal Reduction Amount with respect to the ShopKo Portfolio Loan Combination will be allocated to the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loans, on a pro rata and pari passu basis. "APPRAISAL TRIGGER EVENT" means, with respect to any mortgage loan in the trust fund, any of the following events: o the mortgage loan is 60 days or more delinquent in respect of any monthly debt service payment (other than a balloon payment); o the mortgaged real property securing the mortgage loan becomes an REO Property; o the mortgage loan has been modified by the special servicer to reduce the amount of any monthly debt service payment (other than a balloon payment); o a receiver is appointed and continues in that capacity with respect to the related mortgaged real property; o the related borrower declares bankruptcy or becomes the subject of a bankruptcy proceeding; or o the related borrower fails to make any balloon payment on such mortgage loan by its scheduled maturity date unless the master servicer has, on or prior to the due date of such balloon payment, received written evidence from an institutional lender of such lender's binding commitment to refinance such mortgage loan (acceptable to the special servicer and the series 2006-C4 controlling class representative) within 60 days after the due date of such balloon payment (provided that if such refinancing does not occur during such time specified in the commitment, an Appraisal Trigger Event will occur immediately). However, an Appraisal Trigger Event will cease to exist with respect to a mortgage loan in the trust fund: o with respect to the circumstances described in the first and third bullets of the prior sentence, when the related borrower has made three consecutive full and timely monthly debt service payments under the terms of such mortgage loan (as such terms may be changed or modified in connection with a bankruptcy or similar proceeding involving the related borrower or by reason of a modification, waiver or amendment granted or agreed to by the special servicer), and o with respect to the circumstances described in the fourth, fifth and sixth bullets of the prior sentence, when those circumstances cease to exist in the good faith reasonable judgment of the special servicer and in accordance with the Servicing Standard, but, with respect to any bankruptcy or insolvency proceedings described in the fourth and fifth bullets of the prior 216 sentence, no later than the entry of an order or decree dismissing such proceeding, and with respect to the circumstances described in the sixth bullet of the prior sentence, no later than the date that the special servicer agrees to an extension, so long as at that time no circumstance identified in the first through sixth bullets of the prior sentence exists that would cause an Appraisal Trigger Event to continue to exist with respect to such mortgage loan. "APPRAISAL VALUE" or "APPRAISED VALUE" means, for any mortgaged real property securing an underlying mortgage loan, the independent appraiser's estimate of value of the fee simple estate or, where applicable, the leasehold estate, as stated in the appraisal with a valuation date as specified on Annex A-1 to this offering prospectus. "ARD" means anticipated repayment date. "ARD LOAN" means any mortgage loan in the trust fund having the characteristics described in the first paragraph under "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans--ARD Loans" in this offering prospectus. "ASSET STATUS REPORT" means the report designated as such, and described under, "The Series 2006-C4 Pooling And Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders--Rights and Powers of the Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" in this offering prospectus. "BCRE" means Barclays Capital Real Estate Inc. "BCRE MORTGAGE LOAN" means any of the underlying loans transferred to us by BCRE for inclusion in the trust fund and any Qualified Substitute Mortgage Loan delivered by BCRE in replacement of a BCRE Mortgage Loan. "CBD" means central business district. "CGMRC" means Citigroup Global Markets Realty Corp. "CITIGROUP MORTGAGE LOAN" means any of the underlying mortgage loans transferred by Citigroup Global Markets Realty Corp. to us for inclusion in the trust fund and any Qualified Substitute Mortgage Loan delivered by Citigroup Global Markets Realty Corp. in replacement of a Citigroup Mortgage Loan. "CLASS A-SB PLANNED PRINCIPAL BALANCE" means, with respect to the class A-SB certificates for any distribution date, the principal balance specified for that distribution date on Annex E to this offering prospectus. The principal balances set forth on Annex E to this offering prospectus were calculated using, among other things, the Maturity Assumptions and a 0% CPR. Based on the Maturity Assumptions and a 0% CPR, the total principal balance of the class A-SB certificates on each distribution date would be reduced to approximately the scheduled principal balance indicated for that distribution date on Annex E to this offering prospectus. There is no assurance, however, that the mortgage loans will perform in conformity with the Maturity Assumptions. Therefore, there can be no assurance that the total principal balance of the class A-SB certificates on any payment date will be equal to the scheduled principal balance that is specified for that distribution date on Annex E to this offering prospectus. "CLEARSTREAM" means Clearstream Banking Luxembourg. "CMSA" means the Commercial Mortgage Securities Association, or any association or organization that is a successor thereto. 217 "CPR" means an assumed constant rate of prepayment each month, which is expressed on a per annum basis, relative to the then-outstanding principal balance of a pool of mortgage loans for the life of those loans. The CPR model is the prepayment model that we use in this offering prospectus. "CROSSED LOAN" means any mortgage loan in the trust fund that is cross-collateralized and cross-defaulted with another mortgage loan in the trust fund. "CROSSED GROUP" means any group of mortgage loans in the trust fund that are cross-collateralized and cross-defaulted with each other. "CUT-OFF DATE LOAN-TO-VALUE RATIO" and "CUT-OFF DATE LTV RATIO" each generally means, subject to the discussion under "Risk Factors--The Underwritten Net Cash Flow Debt Service Coverage Ratios and/or Loan-to-Value Ratios for Certain of the Underlying Mortgage Loans Have Been Adjusted in Consideration of a Cash Holdback or a Letter of Credit or Based on a Stabilized Appraised Value" in this offering prospectus: o with respect to any underlying mortgage loan (other than a Crossed Loan or the ShopKo Portfolio Mortgage Loan), the ratio of-- 1. the cut-off date principal balance of the mortgage loan, to 2. the Appraised Value of the related mortgaged real property or properties; o with respect to any Crossed Loan, the ratio of-- 1. the total cut-off date principal balance for all of the underlying mortgage loans in the applicable Crossed Group, to 2. the total Appraised Value for all of the mortgaged real properties related to the applicable Crossed Group; and o with respect to the ShopKo Portfolio Mortgage Loan, the ratio of-- 1. the total cut-off date principal balance of that underlying mortgage loan and the ShopKo Portfolio Non-Trust Loans, to 2. the total Appraised Value of the related mortgaged real property or properties. "CY ENDED" means calendar year ended. "DEFAULT INTEREST" means, for any underlying mortgage loan, any interest, other than late payment charges, prepayment premiums or yield maintenance charges, that: o accrues on a defaulted mortgage loan solely by reason of the subject default; and o is in excess of all interest at the related mortgage rate set forth on Annex A-1 to this offering prospectus and any Post-ARD Additional Interest accrued on the mortgage loan. "DEFAULTED MORTGAGE LOAN" means an underlying mortgage loan (i) that (A) is delinquent 60 days or more in respect to a monthly debt service payment (not including the balloon payment) or (B) is delinquent in respect of its balloon payment unless the master servicer has, on or prior to the due date of that balloon payment, received written evidence from an institutional lender of such lender's binding commitment to refinance such underlying mortgage loan (acceptable to the special servicer and the series 2006-C4 controlling class 218 representative) within 60 days after the due date of such balloon payment (provided that, if such refinancing does not occur during such time specified in the commitment, the subject underlying mortgage loan will immediately become a Defaulted Mortgage Loan), in either case such delinquency to be determined without giving effect to any grace period permitted by the related mortgage instrument or mortgage note and without regard to any acceleration of payments under the related mortgage instrument and mortgage note, or (ii) as to which the master servicer or special servicer has, by written notice to the related borrower, accelerated the maturity of the indebtedness evidenced by the related mortgage note. "DEFICIENT VALUATION" means, with respect to any underlying mortgage loan, a valuation by a court of competent jurisdiction of the related mortgaged real property in an amount less than the then outstanding principal balance of the underlying mortgage loan, which valuation results from a proceeding initiated under the U.S. Bankruptcy Code. "DETAILED PROPERTY TYPE" means, with respect to any mortgaged real property, the general purpose or use for which it is operated, along with, when applicable, certain ancillary distinctions or characteristics. In the case of a mixed use property, the percentages included in the parenthesis next to each detailed property type are meant to be the estimated percentage of that purpose or use at the mortgaged real property, as measured by its relative contribution to the mortgaged real property's Underwritten Revenues. Each tenant space at the mortgaged real property may be comprised of only one of the uses, or may be some mixture of the two. "ENVIRONMENTAL REPORT" means a Phase I environmental assessment, a limited scope environmental assessment, a transaction screen, or an update of any of the foregoing, prepared by a third-party consultant. "ERISA" means the Employee Retirement Income Security Act of 1974, as amended. "ERISA PLAN" means any employee benefit plan, or other retirement plan, arrangement or account, that is subject to the fiduciary responsibility provisions of ERISA. "ESCROWED REPLACEMENT RESERVES CURRENT ANNUAL DEPOSIT" means, with respect to any underlying mortgage loan, the monthly dollar amount, if any, actually deposited into a replacement reserves escrow account in conjunction with the April 2006 monthly debt service payment, multiplied by 12. "ESCROWED REPLACEMENT RESERVES INITIAL DEPOSIT" means, with respect to any underlying mortgage loan, the dollar amount deposited into an escrow account at the time of origination, to be used for future ongoing repairs and replacements for the related mortgaged real property or properties. "ESCROWED TI/LC RESERVES CURRENT ANNUAL DEPOSIT" means, with respect to any underlying mortgage loan, the monthly dollar amount, if any, actually deposited into a tenant improvements and leasing commissions escrow account in conjunction with the April 2006 monthly debt service payment, multiplied by 12. "ESCROWED TI/LC RESERVES INITIAL DEPOSIT" means, with respect to any underlying mortgage loan, the dollar amount deposited into an escrow account at the time of origination, to be used for future tenant improvements and leasing commissions for the related mortgaged real property or properties. "EUROCLEAR" means Euroclear Bank S.A./N.V., as operator of the Euroclear System. "EVENT OF DEFAULT" has the meaning assigned to that term under "The Series 2006-C4 Pooling and Servicing Agreement--Events of Default" in this offering prospectus. "EXCHANGE ACT" means the Securities Exchange Act of 1934, as amended. 219 "EXEMPTION-FAVORED PARTY" means any of the following-- o Citigroup Global Markets Inc., o any person directly or indirectly, through one or more intermediaries, controlling, controlled by or under common control with Citigroup Global Markets Inc., and o any member of the underwriting syndicate or selling group of which a person described in either of the prior two bullets is a manager or co-manager with respect to the offered certificates. "EXPENSES" are the operating expenses incurred for a mortgaged real property for the specified historical operating period, as reflected in the operating statements and other information furnished by the related borrower. Those expenses generally include: o salaries, wages and benefits; o the costs of utilities; o repairs and maintenance; o marketing; o insurance; o management; o landscaping; o security, if provided at the mortgaged real property; o real estate taxes; o general and administrative expenses; o ground lease payments; and o other similar costs; but without any deductions for debt service, depreciation, amortization, capital expenditures or reserves for any of these deductions. In the case of certain properties used for retail, office and/or industrial purposes, Expenses may have included leasing commissions and tenant improvements. "FITCH" means Fitch, Inc. "FSMA" means the Financial Services and Markets Act 2000. "GAAP" means generally accepted accounting principles in the United States. 220 "GOVERNMENT SECURITIES" means non-callable United States Treasury obligations, and other non-callable government securities within the meaning of section 2(a)(16) of the Investment Company Act of 1940, as amended. "INITIAL LOAN GROUP NO. 1 BALANCE" has the meaning given to that term under "Description of the Mortgage Pool--General" in this offering prospectus. "INITIAL LOAN GROUP NO. 2 BALANCE" has the meaning given to that term under "Description of the Mortgage Pool--General" in this offering prospectus. "INITIAL MORTGAGE POOL BALANCE" has the meaning given to that term under "Description of the Mortgage Pool--General" in this offering prospectus. "INTEREST DIFFERENTIAL (ANNUAL)" means the product obtained by multiplying: 1. the prepaid amount, multiplied by 2. the excess, if any, of the mortgage rate over the Yield Maintenance Interest Rate, multiplied by 3. the present value factor using the following formula: 1-(1+r)(-n) ----------- r where: r = Yield Maintenance Interest Rate n = the number of years, and any fraction thereof, remaining between the date of such prepayment and the scheduled maturity date or anticipated repayment date of the loan. "INTEREST DIFFERENTIAL (MONTHLY)" means the product obtained by multiplying: 1. the prepaid amount, multiplied by 2. the excess, if any, of the mortgage rate over the Yield Maintenance Interest Rate, multiplied by 3. the present value factor using the following formula: 1-(1+r/12)(-n) -------------- r where: r = Yield Maintenance Interest Rate n = the number of monthly interest periods remaining between the date of such prepayment and the scheduled maturity date or anticipated repayment date of the loan "INTERNAL REVENUE CODE" means the Internal Revenue Code of 1986, as amended. "IRS" means the Internal Revenue Service. "ISSUE DATE" means the date of initial issuance for the series 2006-C4 certificates, which will be on or about June 29, 2006. 221 "LOAN BALANCE AT MATURITY/ARD" means, with respect to any underlying mortgage loan and any ShopKo Portfolio Non-Trust Loan, the principal balance remaining after giving effect to the principal component of the monthly debt service payment made on the maturity date of the mortgage loan or ShopKo Portfolio Non-Trust Loan or, in the case of an ARD Loan or any Non-Trust Loan having an anticipated repayment date, the anticipated repayment date, assuming no prior prepayments or defaults. "LOAN COMBINATION" means the ShopKo Portfolio Loan Combination or the Wimbledon Place Apartments Loan Combination. "LOAN GROUP NO. 1 PRINCIPAL DISTRIBUTION AMOUNT" means the portion of the Total Principal Distribution Amount for any distribution date attributable to loan group no. 1. "LOAN GROUP NO. 2 PRINCIPAL DISTRIBUTION AMOUNT" means the portion of the Total Principal Distribution Amount for any distribution date attributable to loan group no. 2. "LOAN-SPECIFIC CONTROLLING PARTY" has the meaning assigned thereto under "The Series 2006-C4 Pooling and Servicing Agreement--The Series 2006-C4 Controlling Class Representative and the Non-Trust Loan Noteholders" in this offering prospectus. "LOC" means letter of credit. "MAJOR TENANT" means any of the largest, second largest or third largest tenant in occupancy at a commercial mortgaged real property, as measured by its rentable area as a percentage of the total net rentable area. "MAJORITY CONTROLLING CLASS CERTIFICATEHOLDER" means, as of any date of determination, any single holder -- or, if applicable, beneficial owner -- of series 2006-C4 certificates (other than any holder -- or, if applicable, beneficial owner -- that is an affiliate of us or a mortgage loan seller) entitled to greater than 50% of the voting rights allocated to the series 2006-C4 controlling class; provided, however, that, if there is no single holder -- or, if applicable, beneficial owner -- of series 2006-C4 certificates entitled to greater than 50% of the voting rights allocated to such class, then the Majority Controlling Class Certificateholder will be the single holder -- or, if applicable, beneficial owner -- of series 2006-C4 certificates with the largest percentage of voting rights allocated to the series 2006-C4 controlling class. With respect to determining the Majority Controlling Class Certificateholder, the class A-1, A-2, A-SB, A-3 and A-1A certificates will be treated as a single class of series 2006-C4 certificates, with the subject voting rights allocated among the holders -- or, if applicable, beneficial owners -- of those series 2006-C4 certificates in proportion to the respective total principal balances thereof as of such date of determination. "MASTER SERVICER REMITTANCE AMOUNT" has the meaning given to that term under "The Series 2006-C4 Pooling and Servicing Agreement--Accounts" in this offering prospectus. 222 "MATURITY ASSUMPTIONS" means, collectively, the following assumptions regarding the series 2006-C4 certificates and the underlying mortgage loans: o the mortgage loans have the characteristics set forth on Annex A-1 to this offering prospectus, the Initial Mortgage Pool Balance is approximately $2,263,536,038, the Initial Loan Group No. 1 Balance is approximately $1,878,218,471 and the Initial Loan Group No. 2 Balance is approximately $385,317,567; o the initial total principal balance or notional amount, as the case may be, of each class of series 2006-C4 certificates, exclusive of the class R and Y certificates, is as described in this offering prospectus; o the pass-through rate for each interest-bearing class of series 2006-C4 certificates is as described in this offering prospectus; o there are no delinquencies or losses with respect to the underlying mortgage loans; o there are no modifications, extensions, waivers or amendments affecting the monthly debt service payments by borrowers on the underlying mortgage loans; o there are no Appraisal Reduction Amounts with respect to the underlying mortgage loans; o there are no casualties or condemnations affecting the corresponding mortgaged real properties; o each of the underlying mortgage loans provides for monthly debt service payments to be due on the first, fifth, ninth or eleventh day of each month and accrues interest on the respective basis described in this offering prospectus; o there are no breaches of any mortgage loan seller's representations and warranties regarding the underlying mortgage loans that are being sold by it; o monthly debt service payments on the mortgage loans are timely received on the respective payment day of each month, and amortization, if applicable, is assumed to occur prior to prepayment; o no voluntary or involuntary prepayments are received as to any of the underlying mortgage loans during that mortgage loan's prepayment lock-out period, defeasance period or prepayment consideration period, in each case if any; o each ARD Loan is paid in full on its anticipated repayment date; o except as otherwise assumed in the immediately preceding two bullets, prepayments are made on each of the underlying mortgage loans at the indicated CPRs set forth in the subject tables or other relevant part of this offering prospectus, without regard to any limitations in those mortgage loans on partial voluntary principal prepayment; o all prepayments on the underlying mortgage loans are assumed to be accompanied by a full month's interest; o no person or entity entitled thereto exercises its right of optional termination described in this offering prospectus under "Description of the Offered Certificates--Termination"; 223 o no underlying mortgage loan is required to be repurchased by any mortgage loan seller; o there are no Additional Trust Fund Expenses; o payments on the offered certificates are made on the 15th day of each month, commencing in July 2006; and o the offered certificates are settled on June 29, 2006. "MATURITY DATE/ARD LOAN-TO-VALUE RATIO" and "MATURITY DATE/ARD LTV RATIO" each generally means, subject to the discussion under "Risk Factors--The Underwritten Net Cash Flow Debt Service Coverage Ratios and/or Loan-to-Value Ratios for Certain of the Underlying Mortgage Loans Have Been Adjusted in Consideration of a Cash Holdback or a Letter of Credit or Based on a Stabilized Appraised Value" in this offering prospectus: o with respect to any underlying mortgage loan (other than a Crossed Loan or the ShopKo Portfolio Mortgage Loan), the ratio of-- 1. the related Loan Balance at Maturity/ARD for the particular mortgage loan, to 2. the Appraised Value of the related mortgaged real property or properties; o with respect to any Crossed Loan, the ratio of-- 1. the total Loan Balance at Maturity/ARD for all of the underlying mortgage loans in the applicable Crossed Group, to 2. the total Appraised Value for all of the mortgaged real properties related to the applicable Crossed Group; and o with respect to the Shopko Portfolio Mortgage Loan, the ratio of-- 1. the sum of the Loan Balance at Maturity/ARD for that underlying mortgage loan and the aggregate Loan Balance at Maturity/ARD for the ShopKo Portfolio Non-Trust Loans, to 2. the Appraised Value of the related mortgaged real property or properties. "MOODY'S" means Moody's Investors Service, Inc. "MORTGAGE DEFERRED INTEREST" means, with respect to any underlying mortgage loan, the amount of any interest accrued thereon at the related mortgage rate (other than Post-ARD Additional Interest) that, by virtue of a modification, is added to the outstanding principal balance of such underlying mortgage loan instead of being payable on the related due date on which it would otherwise have been due. "MORTGAGE FILE" has the meaning given to that term under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" in this offering prospectus. "MULTIPLE PROPERTY MORTGAGE LOAN" means any underlying mortgage loan that, without regard to any cross-collateralization with any other underlying mortgage loan, is individually secured by two or more mortgaged real properties. "N/A" and "NAP" each means not applicable. 224 "NET AGGREGATE PREPAYMENT INTEREST SHORTFALL" means, with respect to any distribution date, the excess, if any, of: o the Prepayment Interest Shortfalls incurred with respect to the mortgage pool during the related collection period; over o the total payments made by the master servicer to cover those Prepayment Interest Shortfalls. "NET MORTGAGE PASS-THROUGH RATE" means: o in the case of each underlying mortgage loan that accrues interest on a 30/360 Basis, for any distribution date, an annual rate equal to the Net Mortgage Rate of that mortgage loan in effect as of the date of initial issuance of the offered certificates; and o in the case of each underlying mortgage loan that accrues interest on an Actual/360 Basis, for any distribution date, an annual rate generally equal to the product of (1) 12, times (2) a fraction, expressed as a percentage, the numerator of which fraction is, subject to adjustment as described below in this definition, an amount of interest equal to the product of (a) the number of days in the calendar month preceding the month in which the subject distribution date occurs, multiplied by (b) the Stated Principal Balance of that mortgage loan immediately prior to the subject distribution date, multiplied by (c) 1/360, multiplied by (d) the Net Mortgage Rate of that mortgage loan in effect as of the date of initial issuance of the offered certificates (but taking into account the rate increases described in the second following paragraph), and the denominator of which fraction is the Stated Principal Balance of that mortgage loan immediately prior to the subject distribution date. Notwithstanding the foregoing, if the subject distribution date occurs during January, except during a leap year, or February, then the amount of interest that comprises the numerator of the fraction described in clause (2) of the second bullet of this definition will be decreased to reflect any interest reserve amount with respect to the subject mortgage loan that is transferred from the trustee's distribution account to its interest reserve account during that month. Furthermore, if the subject distribution date occurs during March, then the amount of interest that comprises the numerator of the fraction described in clause (2) of the second bullet of this definition will be increased to reflect any interest reserve amount(s) with respect to the subject mortgage loan that are transferred from the trustee's interest reserve account to its distribution account during that month. With respect to two (2) mortgage loans secured by mortgaged real properties identified on Annex A-1 to this offering prospectus as Mallard Crossing Apartments and Four Winds Apartments, respectively, representing in total 1.6% of the Initial Mortgage Pool Balance, the respective interest rates step up annually as described under "Description of the Mortgage Pool--Terms and Conditions of the Underlying Mortgage Loans--Mortgage Rates; Calculation of Interest" in this offering prospectus. The "Net Mortgage Rates" for these underlying mortgage loans will reflect these rate increases. "NET MORTGAGE RATE" means, for any underlying mortgage loan, the mortgage rate, minus the Administrative Fee Rate. "NET OPERATING INCOME" or "NOI" means, for any mortgaged real property securing an underlying mortgage loan, the net property income derived from the property, which is equal to Revenues less Expenses, for the applicable time period, that was available for debt service, as established by information provided by the related borrower, except that in some cases the net operating income has been adjusted by removing various non-recurring expenses and revenues or by other normalizations. NOI does not reflect accrual of costs such as reserves, capital expenditures, tenant improvements and leasing commissions and does not reflect non-cash items 225 such as depreciation or amortization. In some cases, capital expenditures, tenant improvements and leasing commissions and non-recurring items may have been treated by a borrower as an expense but were excluded from Expenses to reflect normalized NOI. We have not made any attempt to verify the accuracy of any information provided by a particular borrower or to reflect changes in net operating income that may have occurred since the date of the information provided by any borrower for the related mortgaged real property. NOI was not necessarily determined in accordance with GAAP. Moreover, NOI is not a substitute for net income determined in accordance with GAAP as a measure of the results of a mortgaged real property's operations or a substitute for cash flows from operating activities determined in accordance with GAAP as a measure of liquidity. In certain cases, NOI may reflect partial-year annualizations. "NOI DSCR" means: o with respect to any underlying mortgage loan (other than a Crossed Loan or the Shopko Portfolio Mortgage Loan), for any specified 12-month period, the ratio of-- 1. the NOI for the corresponding mortgaged real property or properties for that 12-month period, to 2. the Annual Debt Service for the underlying mortgage loan; o with respect to any Crossed Loan, for any specified 12-month period, the ratio of-- 1. the total NOI for all of the mortgaged real properties related to the applicable Crossed Group for that 12-month period, to 2. the total Annual Debt Service for all of the underlying mortgage loans in the applicable Crossed Group; and o with respect to the ShopKo Portfolio Mortgage Loan, for any specified 12-month period, the ratio of-- 1. the NOI for the corresponding mortgaged real property or properties for that 12-month period, to 2. the sum of the Annual Debt Service for that underlying mortgage loan and the aggregate Annual Debt Service for the ShopKo Portfolio Non-Trust Loans. "NONRECOVERABLE ADVANCE" means any advance made or proposed to be made, as applicable, with respect to any underlying mortgage loan or related REO Property that is determined in accordance with the series 2006-C4 pooling and servicing agreement, not to be ultimately recoverable (together with any accrued and unpaid interest thereon) out of payments or other collections on that mortgage loan or related REO Property (or, in the case of an underlying mortgage loan that is part of a Loan Combination, on or with respect to that loan combination). "NON-TRUST LOAN" means a ShopKo Portfolio Non-Trust Loan or the Wimbledon Place Apartments Non-Trust Loan. "NON-TRUST LOAN NOTEHOLDER" means the holder of the promissory note evidencing a Non-Trust Loan. "NRSF", "NRS" or "SF" generally means the square footage of the net rentable area of a mortgaged real property. 226 "OCCUPANCY %" or "OCCUPANCY PERCENTAGE" means, (a) for any mortgaged real property (other than a hotel property), the percentage of leasable square footage, total Units or total Pads, as the case may be, at the particular property that was physically occupied as of the "Occupancy as of Date" specified in the Annex A-1 to this offering prospectus, and (b) for any mortgaged real property that is a hotel property, the average percentage of rooms that were occupied in the 12-month period ending on the "Occupancy as of Date" specified in the Annex A-1 to this offering prospectus. Occupancy Percentages presented in this offering prospectus may reflect leased space that is not currently occupied, that is subject to build out and/or that is subject to a free rent period or that is leased to an affiliate of the related borrower pursuant to a master lease. "OPTION PRICE" has the meaning given to that term under "The Series 2006-C4 Pooling and Servicing Agreement--Fair Value Purchase Option" in this offering prospectus. "ORIGINAL AMORTIZATION TERM" means, with respect to any underlying mortgage loan, the number of months that would be required to fully amortize the mortgage loan's original principal balance assuming: o the actual mortgage loan rate; and o the actual monthly debt service payment; provided that, with respect to any underlying mortgage loan that provides for interest only payments for a period of months following the cut-off date followed by payments of interest and principal for the remaining term of the mortgage loan, the "actual monthly debt service payment" referenced in the second bullet of this definition means the monthly payment of principal and interest scheduled to be due following the interest-only period; and provided, further, that, with respect to any underlying mortgage loan that provides for interest only payments until the scheduled maturity date or any related anticipated repayment date, the term "Original Amortization Term" is not applicable and Annexes to this offering prospectus will indicate "Interest Only." "ORIGINAL TERM TO MATURITY/ARD" means, with respect to any underlying mortgage loan, the total number of scheduled monthly debt service payments specified in the related promissory note, beginning with and including the first payment date of the mortgage loan through and including the stated maturity date or, in the case of an ARD Loan, the anticipated repayment date. "PADS" means, in the case of a mortgaged real property operated as a mobile home park, the number of pads, which are referred to in Annex A-1 to this offering prospectus as "Pads." "PARTY IN INTEREST" means any person that is a "party in interest" within the meaning of ERISA or a "disqualified person" as defined in Section 4975 of the Internal Revenue Code. "PERMITTED ENCUMBRANCES" means, with respect to any mortgaged real property securing a mortgage loan in the trust fund, any and all of the following: 227 o the lien of current real property taxes, water charges, sewer rents and assessments not yet delinquent and accruing interest or penalties; o covenants, conditions and restrictions, rights of way, easements and other matters that are of public record; o exceptions and exclusions specifically referred to in the related lender's title insurance policy or, if that policy has not yet been issued, referred to in a pro forma or specimen title policy or marked-up commitment; o other matters to which like properties are commonly subject; o the rights of tenants (whether under ground leases, space leases or operating leases) at the mortgaged real property to remain following a foreclosure or similar proceeding (provided that such tenants are performing under such leases); o if the mortgage loan is cross-collateralized with any other mortgage loan in the trust fund, the lien of the mortgage instrument for that other mortgage loan; and o if the mortgage loan is part of a Loan Combination, the lien of the mortgage instrument for the related Non-Trust Loan. "PERMITTED INVESTMENTS" means U.S. government securities and other investment grade obligations, including: o direct obligations of, or obligations fully guaranteed as to timely payment of principal and interest by, the United States or any agency or instrumentality thereof (having original maturities of not more than 365 days), provided that those obligations are backed by the full faith and credit of the United States; o repurchase agreements or obligations with respect to any security described in the preceding bullet (having original maturities of not more than 365 days), provided that the short-term deposit or debt obligations of the party agreeing to repurchase the subject security are investment grade rated; o federal funds, unsecured uncertified certificates of deposit, time deposits, demand deposits and bankers' acceptances of any bank or trust company organized under the laws of the United States or any state thereof (having original maturities of not more than 365 days), the short-term obligations of which are investment grade rated; o commercial paper (including both non-interest bearing discount obligations and interest-bearing obligations and having original maturities of not more than 365 days) of any corporation or other entity organized under the laws of the United States or any state thereof which commercial paper is investment grade rated; o money market funds which are rated in one of the four highest applicable rating categories of a nationally recognized statistical rating organization; and o any other obligation or security acceptable to each applicable rating agency for the related offered certificates, evidence of which acceptability will be provided in writing by each of those rating agencies to, among others, the related trustee; 228 provided that (1) no investment described above may evidence either the right to receive (x) only interest with respect to such investment or (y) a yield to maturity greater than 120% of the yield to maturity at par of the underlying obligations; and (2) no investment described above may be purchased at a price greater than par if such investment may be prepaid or called at a price less than its purchase price prior to stated maturity. "PLAN" means any ERISA Plan or any other employee benefit or retirement plan, arrangement or account, including any individual retirement account or Keogh plan, that is subject to Section 4975 of the Internal Revenue Code. "PLAN ASSET REGULATIONS" means the regulations issued by the United States Department of Labor concerning whether a Plan's assets will be considered to include an undivided interest in each of the underlying assets of an entity for purposes of the general fiduciary provisions of ERISA and the prohibited transaction provisions of ERISA and the Internal Revenue Code, if the Plan acquires an "equity interest" in that entity. "PNC BANK MORTGAGE LOAN" means any of the underlying mortgage loans transferred by PNC Bank, National Association to us for inclusion in the trust fund and any Qualified Substitute Mortgage Loan delivered by PNC Bank, National Association in replacement of a PNC Bank Mortgage Loan. "POST-ARD ADDITIONAL INTEREST" means, with respect to any ARD Loan, the additional interest accrued with respect to that mortgage loan as a result of the marginal increase in the related mortgage rate upon passage of the related anticipated repayment date, as that additional interest may compound in accordance with the terms of that mortgage loan. "PREPAYMENT INTEREST EXCESS" means, with respect to any underlying mortgage loan that was subject to a principal prepayment in full or in part made by the related borrower during any collection period, which principal prepayment was applied to such underlying mortgage loan following such underlying mortgage loan's due date in such collection period, the amount of any interest (net of related master servicing fees and, if applicable, any related outside master servicing fees and/or any portion of that interest that constitutes Default Interest and/or Post-ARD Additional Interest) accrued on the amount of such principal prepayment during the period from and after such due date and ending on the date such principal prepayment was applied to such underlying mortgage loan, to the extent collected (exclusive of any related prepayment premium or yield maintenance charge actually collected). "PREPAYMENT INTEREST SHORTFALL" means, with respect to any underlying mortgage loan that was subject to a principal prepayment in full or in part made by the related borrower during any collection period, which principal prepayment was applied to such underlying mortgage loan prior to such underlying mortgage loan's due date in such collection period, the amount of interest, to the extent not collected from the related borrower (without regard to any prepayment premium or yield maintenance charge actually collected), that would have accrued on the amount of such principal prepayment during the period commencing on the date as of which such principal prepayment was applied to such underlying mortgage loan and ending on the day immediately preceding such due date, inclusive (net of related master servicing fees and, if applicable, any related outside master servicing fees and/or any portion of that interest that would have constituted Default Interest and/or Post-ARD Additional Interest). 229 "PREPAYMENT PROVISIONS" for each underlying mortgage loan are as follows: o "LO(Y)" means that the original duration of the lock-out period is y payments; o "DEFEASANCE(Y)" means that the original duration of the defeasance period is y payments; o "GRTRX%UPBORYM(Y)" means that, for a period of y payments, the relevant prepayment premium will equal the greater of the applicable yield maintenance charge and x% of the principal amount prepaid; o "X%UPB+YM" means that the relevant prepayment premium will equal x% of the principal amount prepaid plus the applicable yield maintenance charge; o "FREE(Y)" means that the underlying mortgage loan is freely prepayable for a period of y payments; and o "YM(Y)" means that, for a period of y payments, the relevant prepayment premium will equal the applicable yield maintenance charge. "PRESENT VALUE" or "PV" means a yield maintenance charge that is equal to the excess, if any, of: 1. the present value, as of the prepayment date, of the remaining scheduled payments of principal and interest from the prepayment date through, as applicable, the maturity date or anticipated repayment date, including any balloon payment or assumed prepayment on the anticipated repayment date, as applicable, determined by discounting those payments at the Yield Maintenance Interest Rate; over 2. the amount of principal being prepaid. "PRIMARY COLLATERAL" means the mortgaged real property directly securing a Crossed Loan and excluding any property as to which the related lien may only be foreclosed upon by virtue of the cross-collateralization features of the related Crossed Group. "PRIVILEGED PERSON" means any certificateholder, certificate owner, any party to the series 2006-C4 pooling and servicing agreement, any person identified to the trustee or the master servicer, as applicable, as a prospective transferee of a certificate or interest therein (or licensed or registered investment adviser representing such person), any rating agency, any mortgage loan seller, any underwriter, any of our designees or a designee of any party to the series 2006-C4 pooling and servicing agreement; provided that no certificate owner or prospective transferee of a certificate or interest therein (or licensed or registered investment adviser representing such person) will be considered a "Privileged Person" or be entitled to a password or restricted access to any reports delivered on a restricted basis unless such person has delivered to the trustee or the master servicer, as applicable, a certification in the form required by the series 2006-C4 pooling and servicing agreement. "PROPERTY TYPE" means, with respect to any mortgaged real property, the general purpose or use for which it is operated. "PURCHASE OPTION" has the meaning given to that term under "The Series 2006-C4 Pooling and Servicing Agreement--Fair Value Purchase Option" in this offering prospectus. 230 "PURCHASE PRICE" has the meaning given to that term under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" in this offering prospectus. "PV YIELD DIFFERENTIAL" means a yield maintenance charge that is equal to the present value (as determined by the factor described in the related loan documents) of the excess, if any, of: 1. the amount of interest that would be payable as of the prepayment date from such prepayment date through the maturity date on the prepaid amount, over 2. the amount of interest that would be payable as of the prepayment date from such prepayment date through the maturity date on the prepaid amount if such amount were invested at the Yield Maintenance Interest Rate. "QUALIFIED SUBSTITUTE MORTGAGE LOAN" means a replacement mortgage loan which must, on the date of substitution, among other things: o have an outstanding Stated Principal Balance, after application of all scheduled payments of principal and interest due during or prior to the month of substitution, whether or not received, not in excess of the Stated Principal Balance of the deleted mortgage loan as of the due date in the calendar month during which the substitution occurs; o have a mortgage rate not less than the mortgage rate of the deleted mortgage loan; o have the same due date as the deleted mortgage loan; o accrue interest on the same basis as the deleted mortgage loan (for example, on an Actual/360 Basis); o have a remaining term to stated maturity not greater than, and not more than two years less than, the remaining term to stated maturity of the deleted mortgage loan; o have a loan-to-value ratio not higher than the lower of the original loan-to-value ratio of the deleted mortgage loan and the then-current loan-to-value ratio of the deleted mortgage loan; o comply as of the date of substitution with all of the representations and warranties set forth in the applicable mortgage loan purchase agreement; o have an environmental report with respect to the related mortgaged real property which will be delivered as a part of the related servicing file; o have a debt service coverage ratio (calculated to include the additional debt from any encumbrance) not lower than the higher of the original debt service coverage ratio (calculated to include the additional debt from any encumbrance) of the deleted mortgage loan and the then-current debt service coverage ratio (calculated to include the additional debt from any encumbrance) of the deleted mortgage loan; o be determined by an opinion of counsel to be a "qualified replacement mortgage" within the meaning of Section 860G(a)(4) of the Internal Revenue Code; 231 o not have a maturity date after the date two years prior to the rated final distribution date; o not be substituted for a deleted mortgage loan unless the trustee has received prior confirmation in writing by each applicable rating agency that such substitution will not result in the withdrawal, downgrade, or qualification of the rating assigned by the rating agency to any class of series 2006-C4 certificates then rated by the rating agency (the cost, if any, of obtaining such confirmation to be paid by the applicable mortgage loan seller); o have a date of origination that is not more than 12 months prior to the date of substitution; o have been approved by the series 2006-C4 controlling class representative (or, if there is no series 2006-C4 controlling class representative then serving, by the series 2006-C4 certificateholders representing a majority of the series 2006-C4 voting rights allocated to the controlling class); and o not be substituted for a deleted mortgage loan if it would result in the termination of the REMIC status of any of the REMICs created under the series 2006-C4 pooling and servicing agreement or the imposition of tax on any of the REMICs created under the series 2006-C4 pooling and servicing agreement other than a tax on income expressly permitted or contemplated to be received by the terms of the series 2006-C4 pooling and servicing agreement. In the event that one or more mortgage loans are substituted for one or more deleted underlying mortgage loans, then the amounts described in the first bullet of this definition will be determined on the basis of aggregate principal balances and the rates described in the second bullet of this definition and the remaining term to stated maturity referred to in the fifth bullet of this definition will be determined on a weighted average basis; provided that no underlying mortgage loan may have a Net Mortgage Rate that is less than the highest pass-through rate of any class of series 2006-C4 principal balance certificates bearing a fixed rate and outstanding at the time of the substitution. When a Qualified Substitute Mortgage Loan is substituted for a deleted underlying mortgage loan, the applicable mortgage loan seller will be required to certify that the replacement mortgage loan meets all of the requirements of the above definition and must send such certification to the trustee. "REALIZED LOSSES" means losses on or with respect to the underlying mortgage loans arising from the inability of the master servicer and/or the special servicer to collect all amounts due and owing under the mortgage loans, including by reason of the fraud or bankruptcy of a borrower or, to the extent not covered by insurance, a casualty of any nature at a mortgaged real property. We discuss the calculation of Realized Losses under "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this offering prospectus. "RECOMMENDED ANNUAL REPLACEMENT RESERVES" means, for any mortgaged real property securing an underlying mortgage loan, the expected average annual amount for future ongoing repairs and replacements, without any adjustment for inflation, over a time horizon not less than the original loan term of the respective mortgage loan, as estimated in the property condition assessment. "RELATED UNDERLYING MORTGAGE LOANS" means any two or more underlying mortgage loans for which the related mortgaged real properties are either owned by the same entity or owned by two or more entities controlled by the same key principals. "RELEVANT IMPLEMENTATION DATE" has the meaning assigned to that term under "Method of Distribution" in this offering prospectus. "RELEVANT MEMBER STATE" has the meaning assigned to that term under "Method of Distribution" in this offering prospectus. 232 "REMAINING AMORTIZATION TERM" or "STATED REMAINING AMORTIZATION TERM" means: (a) with respect to any underlying mortgage loan that does not provide for an interest only payment as of the cut-off date, the Original Amortization Term less the Seasoning of the loan, calculated as of the cut-off date; and (b) with respect to any underlying mortgage loan that provides for an interest only payment as of the cut-off date, the Original Amortization Term. With respect to any underlying mortgage loan that provides for interest only payments until the scheduled maturity date, the terms "Remaining Amortization Term and "Stated Remaining Amortization Term" are not applicable, and the Annexes to this offering prospectus will indicate "Interest Only." "REMAINING TERM TO MATURITY/ARD" means, with respect to any underlying mortgage loan, the Original Term to Maturity/ARD less the Seasoning of the loan, calculated as of the cut-off date. "REMIC" means a "real estate mortgage investment conduit" as defined in Section 860D of the Internal Revenue Code. "REO PROPERTY" means any mortgaged real property that is acquired by the issuing entity through foreclosure, deed-in-lieu of foreclosure or otherwise following a default on the corresponding underlying mortgage loan (or, if applicable, a Loan Combination). "RESTRICTED GROUP" means, collectively, the following persons and entities: o the trustee; o the Exemption-Favored Parties; o us; o the master servicer; o the special servicer; o any sub-servicers; o the mortgage loan sellers; o each borrower, if any, with respect to underlying mortgage loans constituting more than 5% of the total unamortized principal balance of the mortgage pool as of the date of initial issuance of the series 2006-C4 certificates; and o any and all affiliates of any of the aforementioned persons. 233 "RESTRICTED SERVICER REPORTS" means, collectively, the following reports: o CMSA servicer watch list; o CMSA operating statement analysis report; o CMSA NOI adjustment worksheet; and o CMSA comparative financial status report; provided that, if a Restricted Servicer Report is filed with the SEC, it will thereafter become an Unrestricted Servicer Report. "REVENUES" means the gross revenues received with respect to a mortgaged real property securing any underlying mortgage loan, for the specified historical operating period, as reflected in the operating statements and other information furnished by the related borrower. Those revenues generally include: o for the multifamily rental properties, gross rental and other revenues; and o for the retail, office and industrial properties, base rent, percentage rent, expense reimbursements and other revenues. "S&P" means Standard & Poor's Ratings Services, a division of The McGraw-Hill Companies, Inc. "SEASONING" means, with respect to any underlying mortgage loan, the number of scheduled monthly debt service payments between and including the first payment date of the mortgage loan through and including the cut-off date. "SEC" means the Securities and Exchange Commission. "SECURITIES ACT" means the Securities Act of 1933, as amended. "SENIOR PRINCIPAL DISTRIBUTION CROSS-OVER DATE" means the first distribution date as of the commencement of business on which-- o the class A-1, A-2, A-SB, A-3 and A-1A certificates, or any two or more of those classes, remain outstanding, and o the total principal balance of the class A-M, A-J, B, C, D, E, F, G, H, J, K, L, M, N, O and P certificates have previously been reduced to zero as described under "Description of the Offered Certificates--Reductions of Certificate Principal Balances in Connection with Realized Losses and Additional Trust Fund Expenses" in this offering prospectus. "SERVICING STANDARD" means, in general, with respect to each of the master servicer and the special servicer, to service and administer the mortgage loans (including any Non-Trust Loans) and any REO Properties for which that party is responsible under the series 2006-C4 pooling and servicing agreement: o in the same manner in which, and with the same care, skill, prudence and diligence with which, the master servicer or the special servicer, as the case may be, generally services and administers similar mortgage loans with similar borrowers and similar foreclosure properties (i) for other third parties, giving due consideration to customary and usual standards of practice of prudent 234 institutional commercial mortgage loan servicers servicing and administering loans and foreclosure properties for third parties or (ii) held in its own portfolio, whichever standard is higher; o with a view to (i) the timely collection of all scheduled payments of principal and interest due on each such mortgage loan or, if any such mortgage loan shall come into and continue in default, the maximization of the recovery on such mortgage loan or REO Property on a net present value basis and (ii) the best interests (as determined by the master servicer or special servicer, as applicable, in its reasonable judgment) of the series 2006-C4 certificateholders and the trust fund and, in the case of a Loan Combination, the related Non-Trust Loan Noteholder(s), but taking into account the subordinate nature of the Wimbledon Place Apartments Non-Trust Loan; and o without regard to: 1. any relationship that the master servicer or the special servicer, as the case may be, or any of its affiliates may have with any related borrower, us, any mortgage loan seller or any other party to the transaction pursuant to which the series 2006-C4 certificates will be issued or any affiliate thereof; 2. the ownership of any series 2006-C4 certificate (or other interest in any underlying mortgage loan) by the master servicer or the special servicer, as the case may be, or by any of its affiliates; 3. the right of the master servicer or the special servicer, as the case may be, to receive compensation or other fees for its services rendered pursuant to the series 2006-C4 pooling and servicing agreement; 4. the obligation of the master servicer to make advances; 5. the ownership, servicing or management by the master servicer or the special servicer or any of its affiliates for others of any other mortgage loans or mortgaged real property; 6. any obligation of the master servicer or any of its affiliates to repurchase or substitute an underlying mortgage loan as a mortgage loan seller; 7. any obligation of the master servicer or any of its affiliates to cure a breach of a representation or warranty with respect to an underlying mortgage loan; and 8. any debt the master servicer or the special servicer or any of its affiliates has extended to any related borrower or any affiliate of that borrower. "SERVICING TRANSFER EVENT" means, with respect to any underlying mortgage loan, any of the following events: 1. the related borrower-- A. fails to make when due any balloon payment unless the master servicer has, on or prior to the due date of that balloon payment, received written evidence from an institutional lender of such lender's binding commitment to refinance the subject underlying mortgage loan (acceptable to the special servicer and the controlling class representative) within 60 days after the due date of such balloon payment and during the interim the related borrower has continued to make the monthly debt service payment in effect prior to 235 maturity (provided that if such refinancing does not occur during such time specified in the commitment, a "Servicing Transfer Event" will occur immediately), or B. fails to make when due any scheduled payment of principal and interest (other than a balloon payment), and such failure continues unremedied for 60 days; 2. the master servicer or the special servicer (in the case of the special servicer, with the consent of the Loan-Specific Controlling Party) determines in its good faith reasonable judgment and in accordance with the Servicing Standard, based on, among other things, communications with the related borrower, that a default in the making of a scheduled payment of principal and interest (including a balloon payment) or any other default under the related mortgage loan documents that would (with respect to such other default) materially impair the value of the mortgaged real property as security for the subject underlying mortgage loan or otherwise would materially adversely affect the interest of the series 2006-C4 certificateholders and would continue unremedied beyond the applicable grace period under the terms of the subject underlying mortgage loan (or, if no grace period is specified, for 60 days; provided that a default that would give rise to an acceleration right without any grace period will be deemed to have a grace period equal to zero) is likely to occur and is likely to remain unremedied for at least 60 days; 3. there occurs a default (other than as described in clause 1. above) that the master servicer or special servicer determines, in its good faith and reasonable judgment and in accordance with the Servicing Standard, materially impairs the value of the related mortgaged real property as security for the subject underlying mortgage loan or otherwise materially adversely affects the interests of the series 2006-C4 certificateholders and that continues unremedied beyond the applicable grace period under the terms of the subject underlying mortgage loan (or, if no grace period is specified, for 60 days; provided that a default that gives rise to an acceleration right without any grace period shall be deemed to have a grace period equal to zero); provided, however, that, in the event the special servicer determines that the related borrower does not need to maintain terrorism insurance as provided in the series 2006-C4 pooling and servicing agreement, no default related to the failure to obtain such insurance will be considered outstanding for purposes of this clause 3.; 4. various events of bankruptcy, insolvency, readjustment of debt, marshalling of assets and liabilities, or similar proceedings occur with respect to the related borrower or the corresponding mortgaged real property, or the related borrower takes various actions indicating its bankruptcy, insolvency or inability to pay its obligations; or 5. the master servicer receives notice of the commencement of foreclosure or similar proceedings with respect to the corresponding mortgaged real property. 236 A Servicing Transfer Event will generally cease to exist: o with respect to the circumstances described in clause 1. of this definition, if and when the related borrower makes three consecutive full and timely scheduled monthly debt service payments under the terms of the mortgage loan, as those terms may be changed or modified in connection with a bankruptcy or similar proceeding involving the related borrower or by reason of a modification, waiver or amendment granted or agreed to by the master servicer or the special servicer; o with respect to the circumstances described in clauses 2. and 4. of this definition, if and when those circumstances cease to exist in the good faith reasonable judgment of the special servicer and in accordance with the Servicing Standard, but, with respect to any bankruptcy or insolvency proceedings described in clause 4. of this definition, no later than the entry of an order or decree dismissing such proceeding; o with respect to the circumstances described in clause 3. of this definition, if and when the default is cured; and o with respect to the circumstances described in clause 5. of this definition, if and when the proceedings are terminated; so long as at that time no circumstance identified in clauses 1. through 5. of this definition exists that would cause a Servicing Transfer Event to continue to exist with respect to the underlying mortgage loan. "SHOPKO PORTFOLIO CO-LENDER AGREEMENT" means the co-lender, intercreditor or similar agreement for the ShopKo Portfolio Loan Combination. "SHOPKO PORTFOLIO LOAN COMBINATION" means, together, the ShopKo Portfolio Mortgage Loan and the ShopKo Portfolio Non-Trust Loan. "SHOPKO PORTFOLIO MORTGAGE LOAN" means the underlying mortgage loan intended to be transferred to the issuing entity that is secured by the ShopKo Portfolio Mortgaged Properties, which underlying mortgage loan has, as of the cut-off date, an unpaid principal balance of $200,000,000. "SHOPKO PORTFOLIO MORTGAGED PROPERTIES" means the mortgaged real properties identified on Annex A-1 to this offering prospectus as ShopKo Portfolio. "SHOPKO PORTFOLIO NON-TRUST LOAN NOTEHOLDER" means the holder of the promissory note for a ShopKo Portfolio Non-Trust Loan. "SHOPKO PORTFOLIO NON-TRUST LOANS" means the various mortgage loans secured by the ShopKo Portfolio Mortgaged Properties that are not included in the trust fund and that are, as and to the extent described under "Description of the Mortgage Pool--The ShopKo Portfolio Loan Combination" in this offering prospectus, pari passu in right of payment to the ShopKo Portfolio Mortgage Loan. "SMMEA" means the Secondary Mortgage Market Enhancement Act of 1984. "STATED PRINCIPAL BALANCE" means, for any outstanding mortgage loan in the trust fund as of any date of determination, an amount (which amount will not be less than zero) equal to "x" plus "y" minus "z" where: X. "x" is equal to the cut-off date principal balance of the subject mortgage loan (or, in the case of a Qualified Substitute Mortgage Loan, the unpaid principal balance after application of all principal 237 payments due on or before the related due date in the month of substitution, whether or not received); Y. "y" is equal to any Mortgage Deferred Interest added to the principal balance of the mortgage loan prior to the end of the collection period for the then-most recent distribution date coinciding with or preceding such date of determination; and Z "z" is equal to the sum of-- 1. the principal portion of each scheduled payment of principal and interest due on the subject mortgage loan after the cut-off date or the related due date in the month of substitution, as the case may be, to the extent received from the related borrower or advanced by the master servicer or the trustee and distributed to series 2006-C4 certificateholders on or before such date of determination, 2. all principal prepayments received with respect to the subject mortgage loan after the cut-off date or the related due date in the month of substitution, as the case may be, to the extent distributed to series 2006-C4 certificateholders on or before such date of determination, 3. the principal portion of all insurance proceeds, condemnation proceeds and liquidation proceeds received with respect to the subject mortgage loan after the cut-off date or the related due date in the month of substitution, as the case may be, to the extent distributed to series 2006-C4 certificateholders on or before such date of determination, 4. the principal portion of any Realized Loss incurred in respect of the subject mortgage loan prior to the end of the collection period for the then-most recent distribution date coinciding with or preceding such date of determination, and 5. to the extent not otherwise included as part of the amount described in the immediately preceding clause 4., any amount of reduction in the outstanding principal balance of the subject mortgage loan resulting from a Deficient Valuation that occurred prior to the end of the collection period for the then-most recent distribution date coinciding with or preceding such date of determination. With respect to any mortgage loan in the trust fund as to which the related mortgaged real property has become an REO Property, the "Stated Principal Balance" of that mortgage loan will be, as of any date of determination, an amount equal to (x) the Stated Principal Balance of that mortgage loan as of the date of the related REO acquisition, minus (y) the sum of: 1. the principal portion of any P&I advance made with respect to the subject mortgage loan on or after the date of the related REO acquisition, to the extent distributed to series 2006-C4 certificateholders on or before such date of determination; 2. the principal portion of all insurance proceeds, condemnation proceeds, liquidation proceeds and REO revenues received with respect to the subject mortgage loan deemed to be outstanding, to the extent distributed to series 2006-C4 certificateholders on or before such date of determination; and 3. the principal portion of any Realized Loss incurred in respect of the subject mortgage loan prior to the end of the collection period for the then-most recent distribution date coinciding with or preceding such date of determination. 238 A mortgage loan (including a mortgage loan deemed to be outstanding with respect to an REO Property) will be deemed to be part of the mortgage pool and to have an outstanding Stated Principal Balance until the distribution date on which the payments or other proceeds, if any, received in connection with a liquidation event in respect thereof are to be (or, if no such payments or other proceeds are received in connection with such liquidation event, would have been) distributed to series 2006-C4 certificateholders. For purposes of this definition, payments or other collections of principal on or with respect to any underlying mortgage loan (including any mortgage loan as to which the related mortgaged real property has become an REO Property) will be considered distributed to series 2006-C4 certificateholders as of the first distribution date that those payments are included in the Total Principal Distribution Amount. However, to the extent that principal from general collections on the mortgage pool is used to reimburse, or pay interest on, advances deemed to be nonrecoverable pursuant to the series 2006-C4 pooling and servicing agreement with respect to any particular mortgage loan, and such principal amount has not been included as part of the Total Principal Distribution Amount, such principal amount will continue to be deemed to be distributed for purposes of calculating the Stated Principal Balance. Notwithstanding the foregoing, if any mortgage loan is paid in full, liquidated or otherwise removed from the trust fund, commencing as of the first distribution date following the collection period during which such event occurred, the Stated Principal Balance of such mortgage loan will be zero. "SUB-SERVICING FEE RATE" means, for any underlying mortgage loan, the per annum rate at which the monthly sub-servicing fee is payable to any sub-servicer. "SUBSTITUTION SHORTFALL AMOUNT" has the meaning given to that term under "Description of the Mortgage Pool--Assignment of the Mortgage Loans; Repurchases and Substitutions" in this offering prospectus. "TOTAL AVAILABLE FUNDS" means, with respect to any distribution date, the total amount of funds available to make payments on the series 2006-C4 certificates on that date as described under "The Series 2006-C4 Pooling and Servicing Agreement--Accounts" in this offering prospectus. "TOTAL AVAILABLE P&I FUNDS" means, with respect to any distribution date, subject to the discussion under "Description of the Offered Certificates--Payments" in this offering prospectus, all funds in the trustee's distribution account that are available to make payments of interest and principal on the series 2006-C4 certificates on that distribution date. The Total Available P&I Funds do not include Post-ARD Additional Interest, yield maintenance charges or prepayment premiums. The trustee will apply the Total Available P&I Funds as described under "Description of the Offered Certificates--Payments" in this offering prospectus to pay principal and accrued interest on the series 2006-C4 certificates (exclusive of the class R and Y certificates) on that date. "TOTAL PRINCIPAL DISTRIBUTION AMOUNT" has the meaning assigned to that term under "Description of the Offered Certificates--Payments--Payments of Principal" in this offering prospectus. "UAV" means unavailable. "UNDERWRITER EXEMPTION" means Prohibited Transaction Exemption 91-23, as amended by Prohibited Transaction Exemptions 97-34, 2000-58 and 2002-41. "UNDERWRITTEN ANNUAL REPLACEMENT RESERVES" or "U/W ANNUAL REPLACEMENT RESERVES" means the average annual ongoing repairs and replacements estimated for a mortgaged real property, generally consistent with the greater of (a) the Recommended Annual Replacement Reserves and (b) the lender's minimum underwriting standard for that property type. "UNDERWRITTEN ANNUAL TI/LC RESERVES" or "U/W ANNUAL TI/LC RESERVES" means the average annual tenant improvement and leasing commissions estimated for a mortgaged real property, generally consistent with the lender's minimum underwriting standard for that property type. 239 "UNDERWRITTEN EXPENSES" or "U/W EXPENSES" means, with respect to any mortgaged real property securing an underlying mortgage loan, the annual operating expenses estimated for that property, generally derived from the historical annual expenses reflected in the operating statements and other information furnished by the related borrower, except that those expenses were often modified as follows: o operating expenses were generally adjusted by various factors such as inflation, appraisers' estimates and historical trends; o if there was no management fee or a management fee which varies from the market, it was assumed that a management fee is payable with respect to the mortgaged real property in an amount that is the greater of the market rate as determined by an appraiser or the lender's minimum management fee underwriting criteria for the applicable property type; and o those expenses were adjusted so as to eliminate any capital expenditures, loan closing costs, tenant improvements or leasing commissions and similar nonrecurring expenses. Underwritten Expenses generally include: o salaries, wages and benefits; o the costs of utilities; o repairs and maintenance; o marketing; o insurance; o management; o landscaping; o security, if provided at the mortgaged real property; o real estate taxes; o general and administrative expenses; and o ground lease payments, and other costs; but without any deductions for debt service, depreciation and amortization or capital expenditures, tenant improvements or leasing commissions. 240 "UNDERWRITTEN NET CASH FLOW", "UNDERWRITTEN NCF" or "U/W NCF" means, for any mortgaged real property, the Underwritten NOI for that property reduced by the following items, if and to the extent that the items have not already been netted-out in calculating Underwritten NOI: o underwritten capital expenditure reserves; and o underwritten tenant improvements and leasing commission reserves. Underwritten Net Cash Flow is subject to the same limitations and qualifications as Underwritten NOI. "UNDERWRITTEN NCF DEBT SERVICE COVERAGE RATIO" and "U/W NCF DSCR" means, subject to the discussion under "Risk Factors--The Underwritten Net Cash Flow Debt Service Coverage Ratios and/or Loan-to-Value Ratios for Certain of the Underlying Mortgage Loans Have Been Adjusted in Consideration of a Cash Holdback or a Letter of Credit or Based on a Stabilized Appraised Value" in this offering prospectus: o with respect to any underlying mortgage loan (other than a Crossed Loan and the ShopKo Portfolio Mortgage Loan), the ratio of-- 1. the U/W NCF for the corresponding mortgaged real property or properties, to 2. the Annual Debt Service for the underlying mortgage loan; o with respect to any Crossed Loan, the ratio of-- 1. the total U/W NCF for all of the mortgaged real properties related to the applicable Crossed Group, to 2. the total Annual Debt Service for all of the underlying mortgage loans in the applicable Crossed Group; and o with respect to the ShopKo Portfolio Mortgage Loan, the ratio of-- 1. the U/W NCF for the corresponding mortgaged real property or properties, to 2. the sum of the Annual Debt Service for that underlying mortgage loan and the aggregate Annual Debt Service for the ShopKo Portfolio Non-Trust Loans. "UNDERWRITTEN NOI" or "U/W NOI" means, for any mortgaged real property securing any underlying mortgage loan, an estimate, made at or about the time of origination of that mortgage loan or, in some cases, more recently derived from current financial information, of the total cash flow anticipated to be available for Annual Debt Service on the underlying mortgage loan, calculated as the excess of Underwritten Revenues over Underwritten Expenses before considering any reserves or capital expenditures. Underwritten NOI describes the cash flow available before deductions for capital expenditures such as tenant improvements, leasing commissions and structural reserves. In general, Underwritten NOI has been calculated without including underwritten reserves or any other underwritten capital expenditures among Underwritten Expenses. Had those reserves been so included, Underwritten NOI would have been lower. Even in those cases where such underwritten reserves or any other underwritten capital expenditures were so included, no cash may have been actually escrowed. No representation is made as to the future operating income of the properties, nor is the Underwritten NOI set forth in this offering prospectus with respect to any mortgaged real property intended to represent such future net operating income. 241 Actual conditions at any mortgaged real property may differ substantially from the assumed conditions used in calculating Underwritten NOI. In particular, the assumptions regarding future revenues, tenant vacancies, future expenses and various other relevant factors, may differ substantially from actual conditions and circumstances with respect to any mortgaged real property. There can be no assurance that the actual financial performance of any of the mortgaged real properties will meet the underwritten results assumed in connection with the origination or purchase of the underlying mortgage loans. Underwritten NOI and the Underwritten Revenues and Underwritten Expenses used to determine Underwritten NOI for each mortgaged real property are derived from information furnished by the respective borrowers. Net income for a mortgaged real property as determined under GAAP would not be the same as the Underwritten NOI for the mortgaged real property set forth in this offering prospectus. In addition, Underwritten NOI is not a substitute for or comparable to operating income as determined in accordance with GAAP as a measure of the results of a property's operations or a substitute for cash flows from operating activities determined in accordance with GAAP as a measure of liquidity. "UNDERWRITTEN REVENUES" or "U/W REVENUES" means the annual operating revenues estimated for a mortgaged real property, and generally equals, subject to the assumptions and adjustments specified below: o in the case of the multifamily rental properties, the amount of gross rents expected to be received during a 12-month period, as estimated by annualizing a current rent roll provided by the borrower in connection with the origination of the underlying mortgage loan or, more recently, under its periodic operating statements reporting requirements; and o in the case of the commercial properties, the amount of gross rents expected to be received during a 12-month period, as estimated by annualizing a current rent roll provided by the borrower in connection with the origination of the underlying mortgage loan or, more recently, under its periodic operating statement reporting requirements, plus-- 1. for some commercial properties, percentage rents or other revenues based on normalized actual amounts collected during previous operating periods, and/or 2. in the case of some commercial properties with modified gross or net leases, the amount of expense reimbursements expected to be received over a 12-month period, as estimated based upon actual lease terms currently in effect or actual amounts collected during previous operating periods. For multifamily rental and commercial properties, Underwritten Revenues also may include some other revenue items such as parking fees, laundry income and late fees. However, Underwritten Revenues were generally decreased to take into account: o the market vacancy rate, if that rate was more than the vacancy rate reflected in the most recent rent roll or operating statements, as the case may be, furnished by the related borrower; o lender's minimum vacancy underwriting criteria for the applicable property type; and o for some commercial properties, applicable market rental rates, resulting, in some cases, in base rents being marked downward to market rents. In addition, in the case of some commercial properties, the Underwritten Revenues were adjusted upward to account for all or a portion of the rents provided for under any rent step-ups or new leases scheduled to take 242 effect, generally within six months of the date of the rent roll used to underwrite the subject mortgaged real property, as well as any rents not currently payable but scheduled to be payable following the completion of a build-out or the end of a free rent period. "UNITED STATES PERSON" means-- o a citizen or resident of the United States, o a corporation, partnership or other entity created or organized in, or under the laws of, the United States, any state or the District of Columbia; o an estate whose income from sources without the United States is includible in gross income for United States federal income tax purposes regardless of its connection with the conduct of a trade or business within the United States; or o a trust as to which-- 1. a court in the United States is able to exercise primary supervision over the administration of the trust, and 2. one or more United States persons have the authority to control all substantial decisions of the trust. In addition, to the extent provided in the Treasury Regulations, a trust will be a United States person if it was in existence on August 20, 1996 and it elected to be treated as a United States person. "UNITS" means, in the case of a mortgaged real property operated as multifamily housing, the number of apartments, regardless of the size of or number of rooms in such apartment, which are referred to in Annex A-1 to this offering prospectus as "Units." "UNRESTRICTED SERVICER REPORTS" means, collectively, the following reports: o CMSA delinquent loan status report; o CMSA historical loan modification and corrected mortgage loan report; o CMSA loan level reserve/LOC report; o CMSA historical liquidation report; o CMSA REO status report; o CMSA advance recovery report; and o from and after its filing with the SEC, any item deemed to be an Unrestricted Servicer Report in accordance with the definition of "Restricted Servicer Reports" in this glossary. "WEIGHTED AVERAGE LIFE TO MATURITY" means, with respect to any underlying mortgage loan, the number of years obtained by dividing: (1) the then outstanding principal amount of the mortgage loan 243 into (2) the total of the products obtained by multiplying: (a) the amount of each then remaining required principal payment, including the principal payment at the maturity date, in respect thereof, by (b) the number of years (calculated to the nearest one-twelfth) that will elapse between such date and the date on which such payment is to be made. "WEIGHTED AVERAGE POOL PASS-THROUGH RATE" means, for any distribution date, the weighted average of the Net Mortgage Pass-Through Rates with respect to all of the mortgage loans in the trust fund (including mortgage loans as to which the related mortgaged real property has become an REO Property) for that distribution date, weighted on the basis of the respective Stated Principal Balances of those mortgage loans immediately prior to that distribution date. "WIMBLEDON PLACE APARTMENTS INTERCREDITOR AGREEMENT" means, with respect to the Wimbledon Place Apartments Loan Combination, the related intercreditor agreement among noteholders. "WIMBLEDON PLACE APARTMENTS LOAN COMBINATION" means, collectively, the Wimbledon Place Apartments Mortgage Loan and the Wimbledon Place Apartments Non-Trust Loan. "WIMBLEDON PLACE APARTMENTS MATERIAL DEFAULT" means, with respect to the Wimbledon Place Apartments Loan Combination, any of the following events: (a) the acceleration of the Wimbledon Place Apartments Mortgage Loan or the Wimbledon Place Apartments Non-Trust Loan; (b) the existence of a continuing monetary event of default; and/or (c) an event of default caused by a bankruptcy or insolvency action filed by or against the related borrower or by the related borrower otherwise being the subject of a bankruptcy or insolvency proceeding. "WIMBLEDON PLACE APARTMENTS MORTGAGE LOAN" means, the underlying mortgage loan secured by the Wimbledon Place Apartments Mortgaged Property. "WIMBLEDON PLACE APARTMENTS MORTGAGED PROPERTY" means the mortgaged real property identified on Annex A-1 to this offering prospectus as Wimbledon Place Apartments. "WIMBLEDON PLACE APARTMENTS NON-TRUST LOAN" means the B-note loan that (a) is secured by the same mortgage instrument encumbering the same mortgaged real property as the Wimbledon Place Apartments Mortgage Loan and (b) is not being transferred to the issuing entity. "WIMBLEDON PLACE APARTMENTS NON-TRUST LOAN NOTEHOLDER" means the holder of the promissory note for the Wimbledon Place Apartments Non-Trust Loan. "YEAR BUILT" means, with respect to any mortgaged real property, the years during which construction of the mortgaged real property was completed. "YEAR RENOVATED" means, with respect to any mortgaged real property, the year during which the most recent renovation, if any, of the mortgaged real property was completed. That renovation would generally include significant capital improvements to either the interior or exterior of the mortgaged real property. In the event of multiple years of renovation, only the most recent of those years is shown. 244 "YIELD MAINTENANCE INTEREST RATE" means, with respect to any mortgage loan in the trust fund and as indicated by the Yield Maintenance Discounting Horizon, one of the following: 1. If the value specified in the column labeled "Yield Maintenance Discounting Horizon" on Annex A-1 to this offering prospectus is "Maturity", an annualized yield (the "Yield Rate") equal to the yield on securities issued by the United States Treasury or other direct non-callable obligations backed by the full faith and credit of the United States of America having a maturity closest to the maturity of the subject mortgage loan, as the Yield Rate is quoted using the method specified in the related mortgage loan documents; 2. If the value specified in the column labeled "Yield Maintenance Discounting Horizon" on Annex A-1 to this offering prospectus is "WAL", the Yield Rate equal to the yield on securities issued by the United States Treasury or other direct non-callable obligations backed by the full faith and credit of the United States of America with a term equal to the Weighted Average Life to Maturity of the subject mortgage loan, as the Yield Rate is quoted using the method specified in the related mortgage loan documents; 3. If the value specified in the column labeled "Yield Maintenance Discounting Horizon" on Annex A-1 to this offering prospectus is "Specified", the Yield Rate on securities issued by the United States Treasury having a maturity specified in the related mortgage loan documents. The Yield Maintenance Interest Rate should be increased by x basis points if the value specified for the subject mortgage loan in the column "Yield Maintenance Interest Rate" on Annex A-1 to this offering prospectus is "T+x", or by zero (0) basis points if the value specified is "Treasury Flat" (or "U.S. obligations Flat"). The Yield Maintenance Interest Rate, as adjusted in the preceding paragraph, shall be converted to a monthly equivalent yield if the value for the subject mortgage loan specified in the column labeled "Yield Maintenance Interest Rate Converted to Monthly Mortgage Rate" on Annex A-1 to this offering prospectus is "Yes." 245
ANNEX A-1 CHARACTERISTICS OF THE UNDERLYING MORTGAGE LOANS AND THE MORTGAGED REAL PROPERTIES Note: For purposes of presenting information regarding the original and remaining terms to maturity of the respective underlying mortgage loans in this Annex A-1, each ARD Loan is assumed to mature on its anticipated repayment date. LOAN LOAN MORTGAGE GROUP NUMBER LOAN SELLER NUMBER LOAN / PROPERTY NAME PROPERTY ADDRESS ------------------------------------------------------------------------------------------------------------------------------------ 1 CGM and BCRE 1 ShopKo Portfolio Various 1.1 10808 South 132nd Street 10808 South 132nd Street 1.2 700 Pilgrim Way 700 Pilgrim Way 1.3 1717 Lawrence Drive 1717 Lawrence Drive 1.4 301 Bay Park Square 301 Bay Park Square 1.5 55 Lake Boulevard 55 Lake Boulevard 1.6 217 West Ironwood Drive 217 West Ironwood Drive 1.7 1001 East Gowen Road 1001 East Gowen Road 1.8 801 West Central Entrance (Highway 53) 801 West Central Entrance (Highway 53) 1.9 4161 Second Street South (Highway 23) 4161 Second Street South (Highway 23) 1.10 7401 Mineral Point Road 7401 Mineral Point Road 1.11 1000 West Northland Avenue 1000 West Northland Avenue 1.12 2201 Zeier Road 2201 Zeier Road 1.13 1850 Madison Avenue 1850 Madison Avenue 1.14 2820 Highway 63 South 2820 Highway 63 South 1.15 3708 Highway 63 North 3708 Highway 63 North 1.16 3200 Broadway Street 3200 Broadway Street 1.17 2430 East Mason Street 2430 East Mason Street 1.18 867 North Columbia Center Boulevard 867 North Columbia Center Boulevard 1.19 14445 West Center Road 14445 West Center Road 1.20 5646 North 90th Street 5646 North 90th Street 1.21 616 West Johnson Street 616 West Johnson Street 1.22 1150 West Washington Street 1150 West Washington Street 1.23 1601 West 41st Street 1601 West 41st Street 1.24 1845 Haines Avenue 1845 Haines Avenue 1.25 699 Green Bay Road 699 Green Bay Road 1.26 955 West Clairemont Avenue 955 West Clairemont Avenue 1.27 1100 East Riverview Expressway 1100 East Riverview Expressway 1.28 2510 South Reserve Street 2510 South Reserve Street 1.29 1300 Koeller Street 1300 Koeller Street 1.30 800 East Maes Street 800 East Maes Street 1.31 North 9520 Newport Highway North 9520 Newport Highway 1.32 4801 Washington Avenue 4801 Washington Avenue 1.33 4515 South Regal Street 4515 South Regal Street 1.34 1306 North Central Avenue 1306 North Central Avenue 1.35 2500 US Highway 14 2500 US Highway 14 1.36 1209 18th Avenue Northwest 1209 18th Avenue Northwest 1.37 501 Highway 10 Southeast 501 Highway 10 Southeast 1.38 1400 Big Thunder Boulevard 1400 Big Thunder Boulevard 1.39 2101 West Broadway 2101 West Broadway 1.40 2208 North Webb Road 2208 North Webb Road 1.41 5300 52nd Street 5300 52nd Street 1.42 905 South 24th Street West 905 South 24th Street West 1.43 701 South Church Street 701 South Church Street 1.44 1964 West Morton Avenue 1964 West Morton Avenue 1.45 4200 South 27th Street 4200 South 27th Street 1.46 1710 South Main Street 1710 South Main Street 1.47 1578 Appleton Road 1578 Appleton Road 1.48 2761 Prairie Avenue 2761 Prairie Avenue 1.49 9366 State Highway 16 9366 State Highway 16 1.50 2602 Shopko Drive 2602 Shopko Drive 1.51 518 South Taylor Drive 518 South Taylor Drive 1.52 1553 West 9000 South 1553 West 9000 South 1.53 2290 South 1300 East 2290 South 1300 East 1.54 405 Cottonwood Drive 405 Cottonwood Drive 1.55 5801 Summit View Avenue 5801 Summit View Avenue 1.56 1900 North Main Street 1900 North Main Street 1.57 1771 Wisconsin Avenue 1771 Wisconsin Avenue 1.58 4344 Mormon Coulee Road (State Highway 14) 4344 Mormon Coulee Road (State Highway 14) 1.59 1200 Susan Drive 1200 Susan Drive 1.60 2677 South Prairie View Road 2677 South Prairie View Road 1.61 230 North Wisconsin Street 230 North Wisconsin Street 1.62 3415 Calumet Avenue 3415 Calumet Avenue 1.63 700 9th Avenue Southeast 700 9th Avenue Southeast 1.64 1105 East Grand Avenue 1105 East Grand Avenue 1.65 1200 Main Street (State Highway 10) 1200 Main Street (State Highway 10) 1.66 125 Main Street 125 Main Street 1.67 190 South 500 West 190 South 500 West 1.68 500 North Highway 281 500 North Highway 281 1.69 301 Northwest Bypass 301 Northwest Bypass 1.70 3101 North Montana Avenue 3101 North Montana Avenue 1.71 South 1450 Grand Avenue South 1450 Grand Avenue 1.72 500 South Carpenter Avenue 500 South Carpenter Avenue 1.73 4060 Riverdale Road 4060 Riverdale Road 1.74 615 South Monroe 615 South Monroe 1.75 1150 North Main Street 1150 North Main Street 1.76 2655 Broadway Avenue 2655 Broadway Avenue 1.77 4850 West 3500 South 4850 West 3500 South 1.78 1001 South Highway 15 (State Street) 1001 South Highway 15 (State Street) 1.79 1450 East Geneva Street 1450 East Geneva Street 1.80 601 Galvin Road South 601 Galvin Road South 1.81 1018 Washington Boulevard 1018 Washington Boulevard 1.82 1777 Paulson Road 1777 Paulson Road 1.83 405 West 8th Street 405 West 8th Street 1.84 2610 North Bridge Avenue 2610 North Bridge Avenue 1.85 2005 Krenzien Drive 2005 Krenzien Drive 1.86 510 East Philip Avenue 510 East Philip Avenue 1.87 2530 First Avenue North 2530 First Avenue North 1.88 1755 North Humiston Avenue 1755 North Humiston Avenue 1.89 2100 Caldwell Boulevard 2100 Caldwell Boulevard 1.90 900 West Memorial Drive 900 West Memorial Drive 1.91 2741 Roosevelt Street 2741 Roosevelt Street 1.92 2266 North University Parkway 2266 North University Parkway 1.93 1649 Pole Line Road East 1649 Pole Line Road East 1.94 320 County Road O 320 County Road O 1.95 4215 Yellowstone Highway 4215 Yellowstone Highway 1.96 800 East 17th Street 800 East 17th Street 1.97 1350 North Galena Avenue 1350 North Galena Avenue 1.98 1600 Rose Street 1600 Rose Street 1.99 2530 Rudkin Road 2530 Rudkin Road 1.100 555 West South Street 555 West South Street 1.101 955 North Main Street 955 North Main Street 1.102 1341 North Main Street 1341 North Main Street 1.103 747 South Main Street 747 South Main Street 1.104 1425 Janesville Avenue 1425 Janesville Avenue 1.105 2120 Thain Grade 2120 Thain Grade 1.106 3705 Monroe Road 3705 Monroe Road 1.107 2585 Lineville Road 2585 Lineville Road 1.108 1190 North 6th Street 1190 North 6th Street 1.109 1450 West Main Avenue 1450 West Main Avenue 1.110 East 13414 Sprague Avenue East 13414 Sprague Avenue 1.111 313 North Roosevelt Avenue 313 North Roosevelt Avenue 1.112 1011 North Wisconsin Street 1011 North Wisconsin Street ------------------------------------------------------------------------------------------------------------------------------------ 2 CGM 1 Olen Pointe Brea Office Park 1, 2, 3, 4, 6, 20, 30, 40, 50, 60 Pointe Drive 3 CGM 1 Reston Executive Center 12100-12120 Sunset Hills Road ------------------------------------------------------------------------------------------------------------------------------------ 4 CGM 1 Reckson II Office Portfolio Various 4.1 6800 Jericho 6800 Jericho Turnpike 4.2 55 Charles Lindbergh Boulevard 55 Charles Lindbergh Boulevard 4.3 555 White Plains Road 555 White Plains Road 4.4 560 White Plains Road 560 White Plains Road 4.5 200 Broadhollow Road 200 Broadhollow Road 4.6 10 Rooney Circle 10 Rooney Circle 4.7 North Atrium II 6900 Jericho Turnpike ------------------------------------------------------------------------------------------------------------------------------------ 5 CGM 1 Great Wolf Resorts Portfolio Various 5.1 Great Wolf Resort - Sandusky, OH 4600 Milan Road 5.2 Great Wolf Resort - Wisconsin Dells 1440 Great Wolf Drive ------------------------------------------------------------------------------------------------------------------------------------ 6 PNC 2 Emerald Isle Senior Apartments 661 North Rose Drive 7 CGM 1 20 North Orange 20 North Orange Avenue ------------------------------------------------------------------------------------------------------------------------------------ Kratsa Portfolio 8 CGM 1 SpringHill Suites - North Shore 233 Federal Street 9 CGM 1 Holiday Inn Express - South Side 20 South 10th Street 10 CGM 1 Holiday Inn Express - Bridgeville 3053 Washington Pike Road 11 CGM 1 Comfort Inn - Meadowlands 237 Meadowlands Boulevard ------------------------------------------------------------------------------------------------------------------------------------ GT Portfolio 12 CGM 1 Sara Road 300 524 North Sara Road 13 CGM 1 JCG III 314, 315, 400, 417 Hudiburg Circle 14 CGM 1 Liberty Business Park 6401 & 6421 South Air Depot Boulevard 15 CGM 1 Sara Road 80 600 North Sara Road 16 CGM 1 JCG V 11301 Partnership Drive 17 CGM 1 6100 Center 2205 North Willow Avenue 18 CGM 1 Beverly Terrace 5301 Beverly Drive 19 CGM 1 JCG IV 6919 West Reno Avenue ------------------------------------------------------------------------------------------------------------------------------------ 20 PNC 1 Flower Hill Promenade 2610-2750 Via de la Valle 21 PNC 1 Bank of America Plaza 1901 Main Street 22 CGM 2 Woodstream Apartments 675 East Street Road 23 CGM 1 DuBois Mall 690 Shaffer Road 24 CGM 1 Riverview Tower 900 South Gay Street 25 CGM 1 Lakeland Town Center 1402-1416 Lake Tapps Parkway East 26 CGM 1 Northeast Florida Industrial 4627 J.P.Hall Boulevard 27 CGM 2 Bristol Pointe Apartment Homes 3500 Peachtree Corners Circle 28 CGM 1 Sweet Bay Shopping Center 13002 Race Track Road 29 CGM 1 Bossier Corners 2001 Airline Drive 30 CGM 2 Mallard Crossing Apartments 9980 Hanover Way 31 CGM 1 Plaza at the Pointe 162 Quinn Drive 32 CGM 2 Treetops Apartments 250 Treetops Drive 33 CGM 1 Locke Drive 111, 140 & 150 Locke Drive 34 CGM 1 Milestone 21030, 21040, 20900 & 20906 Frederick Road 35 CGM 1 290 Concord Road 290 Concord Road 36 CGM 1 Virginia Gateway 7453-7501 Linton Hall Road 37 PNC 1 Logistics Insight Corporation 4405 Continental Drive 38 CGM 1 The Sterling and Joseph Vance Building 1402 & 1418 Third Avenue 39 CGM 2 Wolf Creek Apartments 403 Wolf Creek Circle 40 CGM 1 Party City 25 Green Pond Road 41 CGM 1 Collier Health Park 11121-11181 Health Park Boulevard 42 CGM 1 Beverly Garland's Holiday Inn 4222 Vineland Avenue 43 CGM 1 Acme Plaza Shopping Center I (Shelvin) 11 Dennis Road 44 CGM 1 AmeriCold Warehouse 700 South Raymond Avenue 45 CGM 2 Promontory Apartments 60 West Stone Loop 46 CGM 1 Doubletree Suites - Tukwila, WA 16500 Southcenter Parkway 47 CGM 1 Hilton Garden Inn - Glen Allen, VA 4050 Cox Road 48 CGM 1 Desert Inn Office Center 2725, 2755, 2785, 2795 East Desert Inn Road 49 CGM 2 Hidden Valley Club Apartments 600 Hidden Valley Club Drive 50 CGM 1 Wal-Mart Fremont 40600 Albrae Street 51 CGM 2 Four Winds Apartments 8000 Perry Street ------------------------------------------------------------------------------------------------------------------------------------ Beau Rivage Portfolio 52 CGM 2 Beau Rivage Apartments 192 4707 East Upriver Drive 53 CGM 2 Beau Rivage Apartments 132 4707 East Upriver Drive ------------------------------------------------------------------------------------------------------------------------------------ 54 CGM 1 Mendocino Marketplace 2240, 2280, 2360 Mendocino Avenue 55 CGM 1 60 Frontage Road 60 Frontage Road 56 PNC 1 Northbelt Office Center II 785 Greens Parkway 57 CGM 1 1723 Walnut Street 1723-29 Walnut Street 58 PNC 1 Cingular Wireless Building 7000 Goodlett Farms Parkway 59 CGM 1 Demonbreun Center 1512-1530 Demonbreun, 112-118 16th Avenue, 1529-1533 McGavock Street ------------------------------------------------------------------------------------------------------------------------------------ Curat Multifamily Portfolio 60 CGM 2 Autumnwood Apartments 717 Irving Avenue 61 CGM 2 Silvercreek Apartments 1526 North Seminary Avenue ------------------------------------------------------------------------------------------------------------------------------------ 62 CGM 2 Hilands II Apartments 5755 East River Road 63 PNC 2 Houston Levee Apartments (Note 10) 2801 Houston Levee Road 64 CGM 2 Meadows Apartments 2400 Springdale Road ------------------------------------------------------------------------------------------------------------------------------------ 65 CGM 1 Marriott Fairfield Inn & Suites Alpharetta Various Portfolio 65.1 Marriot TownePlace Suites 1074 Cobb Place Boulevard 65.2 Fairfield Inn & Suites - Alpharetta, GA 11385 Haynes Bridge Road 65.3 Marriott Fairfield Inn & Suites - Macon, GA 4035 Sheraton Drive ------------------------------------------------------------------------------------------------------------------------------------ 66 PNC 1 Pac Bell Directory Office Building 5460 East La Palma Avenue 67 PNC 1 Rancho Santa Fe 13055, 13065, 13075 West Rancho Sante Fe Boulevard 68 CGM 1 Whole Foods 28 & 50 Raymond Road 69 CGM 1 State & Perryville Shopping Center 7143 East State Street ------------------------------------------------------------------------------------------------------------------------------------ 70 CGM 2 Stonehenge Apartments Various 70.1 Starkville Crossing 107-125 John Calvin Street, 301-509 Mallory Lane, 101-123 Rutledge Street, 100-218 John Wesley and 300-307 Aberathy 70.2 Stonehenge Apts Drive 625 South Montgomery ------------------------------------------------------------------------------------------------------------------------------------ 71 CGM 1 1210-1230 Washington Street 1210-1230 Washington Street 72 CGM 1 Melrose Place 8436 Melrose Place 73 CGM 1 Blankenbaker Parkway Office 2700 Blankenbaker Parkway ------------------------------------------------------------------------------------------------------------------------------------ 74 CGM 1 Marriott Fairfield Inn & Suites Buckhead Various Portfolio 74.1 Fairfield Inn & Suites - Atlanta 3092 Piedmont Road (Buckhead), GA 74.2 SpringHill Suites Atlanta/ Alpharetta 12730 Deerfield Parkway ------------------------------------------------------------------------------------------------------------------------------------ 75 CGM 1 Marriott Fairfield Inn & Suites Atlanta Various Portfolio 75.1 Marriott Fairfield Inn & Suites - 1145 Hammond Drive Atlanta/Perimeter Center 75.2 Marriott TownePlace Suites 7925 Westside Parkway ------------------------------------------------------------------------------------------------------------------------------------ 76 CGM 1 One Theall Road One Theall Road 77 CGM 1 Washingtonian Center 9821 Washingtonian Boulevard 78 CGM 1 WalMart Supercenter - Dahlonega, GA 270 Wal-Mart Way 79 CGM 1 Hilltop Square Shopping Center 550 First Colonial Road 80 CGM 1 Prestige Portfolio I 88 and 91 Prestige Park Circle, 101, 130 and 311 Prestige Park Road and 672 Tolland Street 81 CGM 1 Sav-A-Center - Metairie, LA 717 Clearview Parkway 82 CGM 1 Natchez Mall 350 John R. Junkin Drive 83 CGM 1 Courtyard by Marriott - Huntersville, NC 16700 Northcross Drive 84 CGM 1 The Minolta Building 615 Route 303 85 PNC 1 Itronix Building 12825 East Mirabeau Parkway 86 CGM 1 Alfa Laval Building 5400 International Trade Drive 87 PNC 1 Miami Lakes Commons 6625 Miami Lakes Drive 88 PNC 1 Gateway West Shopping Center Route 8 @ Saulsbury Road 89 CGM 1 KingsPark 5700 West Plano Parkway 90 PNC 2 Berkley Village - Newport News 900 Daphia Circle 91 CGM 1 50 Division Street 50 Division Street 92 CGM 1 Northwood Village 351-403 Greens Road 93 CGM 1 Riverfront Business Park 16110-16140 Woodinville-Redmond Road Northeast 94 CGM 1 Franklin Center Office Building 29100 Northwestern Highway 95 CGM 1 Aurora - Wilkinson Medical Clinic(Hartland) 600 Walnut Ridge Drive 96 CGM 1 5 & 105 Shawmut Road 5 & 105 Shawmut Road 97 CGM 1 Walgreen's- Henderson, NV 101 East Lake Mead Parkway 98 PNC 2 Wimbledon Place Apartments 7605 East 49th Street 99 PNC 1 Holiday Inn Express - Turlock 3001 Hotel Drive 100 CGM 1 Oglethorpe Crossing 3435 Ashford Dunwoody Road 101 CGM 2 Spring Meadow Apartments 10030 North 43rd Avenue 102 CGM 1 Tustin Square 1888-1944 North Tustin Street 103 CGM 1 Village Square Retail Center 2245 Village Square Parkway 104 CGM 1 Niagara County Office Buildings 20-40 East Avenue, 111 and 50 Main Street 105 PNC 1 80 West Street 80 West Street 106 CGM 2 Regency at Chandler Park 101 Chandler Park 107 CGM 1 Aurora - Edgerton Health Center 6901 West Edgerton Avenue 108 CGM 1 Spalding Triangle 5255,5275 & 5295 Triangle Parkway 109 PNC 1 Hotel Bethlehem 437 Main Street 110 CGM 1 6201 Fairview Road 6201 Fairview Road 111 PNC 2 Chaparral Townhomes 351 Chaparral Road 112 CGM 1 La Quinta Inn Winter Park 626 Lee Road 113 PNC 1 Bolsa Magnolia Center 9039 Bolsa Avenue 114 CGM 2 Apple Creek Apartments 3001 Pheasant Run Road 115 CGM 2 Millport Apartments 1001 Islington Street 116 CGM 1 Parker Marketplace 11001-11061 South Parker Road 117 CGM 1 Village Green MHP 1700 Robbins Road 118 CGM 1 Winter Park Plaza 330 West Fairbanks Avenue 119 CGM 1 Holiday Inn - Lumberton, NC 101 Wintergreen Drive 120 CGM 1 Andover Business Center 46979 and 47075 Five Mile Road 121 CGM 2 Crystal Lake Apartments 10500 South East 26th Avenue 122 CGM 1 Aurora - Bluemond Health Center 12500 West Bluemond Road 123 CGM 1 Office Depot Plaza 4550 Lake Worth Road ------------------------------------------------------------------------------------------------------------------------------------ G4 Portfolio 124 CGM 1 United Supermarket - Lubbock, TX 2703 82nd Street 125 CGM 1 Advance Auto Parts - Cleveland, OH 7440 Broadway Avenue 126 CGM 1 Advance Auto Parts - Denton Township, MI 1200 West Houghton Lake Drive ------------------------------------------------------------------------------------------------------------------------------------ 127 PNC 1 Douglas Station 1160-1198 Douglas Road and 20-58 Sycamore 128 CGM 1 Highland Plaza 8341 Indianapolis Boulevard 129 CGM 2 Kipling Manor Apartments 82-90 Kip Drive 130 PNC 1 McCarran Landing Shopping Center 4991-4999 Longley Lane 131 CGM 1 Barcelone Building 8751 West Charleston Boulevard 132 CGM 1 Cypress Grove Plaza 5622-5692 Cypress Gardens Boulevard 133 CGM 1 Holiday Inn Express - Mooresville 130 Norman Station Boulevard 134 PNC 2 Sherman Oaks Apartments & Apple Mini 5301 Sherman Street Storage 135 CGM 1 Aurora - Airport Health Center 180 West Grange Avenue 136 CGM 1 MLK Plaza 3645 Page Boulevard 137 CGM 1 Fairfield Inn - Myrtle Beach, SC 1350 Paradise Circle 138 CGM 2 Willow Creek 2420 Parklawn Drive 139 CGM 1 Barclay Square 2601 South Rochester Road 140 CGM 1 Prestige Portfolio II 226-262 Prestige Park Road, 284-310 Prestige Park Road 141 CGM 1 Circuit City - Redding, CA 1175 Dana Drive 142 CGM 1 United Supermarket - Plainview, TX 2401-2403 North Columbia Street 143 CGM 2 Grace Street Apartments 401-411 West Grace Street 144 CGM 1 Holiday Inn Express - Myrtle Beach, SC 1290 Paradise Circle 145 PNC 1 Comfort Inn & Suites - College Park 2450 Old National Parkway 146 PNC 1 Gateway Plaza - N. Las Vegas 1306 & 1318 West Craig Road 147 CGM 1 Walgreen's - Orange, CT 54 Boston Post Road 148 CGM 1 Bird in Hand 2175-2185 South Road 149 CGM 1 GSA - Mission Viejo, CA 26051 Acero Road 150 CGM 1 Barnes and Noble 12170 Jefferson Avenue 151 CGM 1 Best Buy-Portage 6900 South Westnedge Avenue 152 CGM 1 Bassett Creek Medical Building 5851 Duluth Street 153 CGM 1 Pasco Rite Aid 410 West Bonneville Street 154 CGM 1 Mill & Main 400 East Main Street 155 CGM 1 CVS - Port Richey, FL 11938 US Highway 19 North 156 CGM 1 Shoppes at Cranberry Commons 1694 Route 228 157 CGM 1 Rafael North (Marin) Office 165,175 and 185 North Redwood Drive 158 PNC 1 Hayden Park Office 10613 & 10617 North Hayden Road 159 PNC 2 Crawford Mayfair Apartments 3350-3364 Broadmoor Avenue, 65-71 S. Hampton Road, 223-291 Mayfair Boulevard 160 CGM 1 155 Founders Plaza 155 Pitkin Street 161 CGM 1 Best Buy - Fond du Lac, WI 335 North Pioneer Road 162 PNC 2 Park Westwood Apartments 9501 West Sam Houston Parkway 163 CGM 1 Rite Aid - Louisville, KY 7118 Southside Drive 164 CGM 1 Rite Aid - Manchester, PA 4150 North George Street Ext 165 CGM 1 Rite Aid - Lancaster, PA 1550 Columbia Avenue 166 PNC 2 Mayfair Village Apartments 412-440 & 57-73 Mayfair Boulevard LOAN NUMBER CITY STATE ZIP CODE COUNTY PROPERTY TYPE DETAILED PROPERTY TYPE -------------------------------------------------------------------------------------------------------------------------- 1 Various Various Various Various Various Various 1.1 Omaha NE 68138 Sarpy Industrial Warehouse 1.2 Green Bay WI 54304 Brown Office Suburban 1.3 De Pere WI 54115 Brown Industrial Warehouse 1.4 Ashwaubenon WI 54304 Brown Retail Anchored, Single Tenant 1.5 Redding CA 96003 Shasta Retail Anchored, Single Tenant 1.6 Coeur D'Alene ID 83814 Kootenai Retail Anchored, Single Tenant 1.7 Boise ID 83716 Ada Industrial Warehouse 1.8 Duluth MN 55811 Saint Louis Retail Anchored, Single Tenant 1.9 Saint Cloud MN 56301 Stearns Retail Anchored, Single Tenant 1.10 Madison WI 53717 Dane Retail Anchored, Single Tenant 1.11 Appleton WI 54914 Outagamie Retail Anchored, Single Tenant 1.12 Madison WI 53704 Dane Retail Anchored, Single Tenant 1.13 Mankato MN 56001 Blue Earth Retail Anchored, Single Tenant 1.14 Rochester MN 55904 Olmsted Retail Anchored, Single Tenant 1.15 Rochester MN 55906 Olmsted Retail Anchored, Single Tenant 1.16 Quincy IL 62301 Adams Retail Anchored, Single Tenant 1.17 Green Bay WI 54302 Brown Retail Anchored, Single Tenant 1.18 Kennewick WA 99336 Benton Retail Anchored, Single Tenant 1.19 Omaha NE 68144 Douglas Retail Anchored, Single Tenant 1.20 Omaha NE 68134 Douglas Retail Anchored, Single Tenant 1.21 Fond du Lac WI 54935 Fond du Lac Retail Anchored, Single Tenant 1.22 Marquette MI 49855 Marquette Retail Anchored, Single Tenant 1.23 Sioux Falls SD 57105 Minnehaha Retail Anchored, Single Tenant 1.24 Rapid City SD 57701 Pennington Retail Anchored, Single Tenant 1.25 Neenah WI 54956 Winnebago Retail Anchored, Single Tenant 1.26 Eau Claire WI 54701 Eau Claire Retail Anchored, Single Tenant 1.27 Wisconsin Rapids WI 54494 Wood Retail Anchored, Single Tenant 1.28 Missoula MT 59801 Missoula Retail Anchored, Single Tenant 1.29 Oshkosh WI 54902 Winnebago Retail Anchored, Single Tenant 1.30 Kimberly WI 54136 Outagamie Retail Anchored, Single Tenant 1.31 Spokane WA 99218 Spokane Retail Anchored, Single Tenant 1.32 Racine WI 53406 Racine Retail Anchored, Single Tenant 1.33 Spokane WA 99223 Spokane Retail Anchored, Single Tenant 1.34 Marshfield WI 54449 Wood Retail Anchored, Single Tenant 1.35 Janesville WI 53545 Rock Retail Anchored, Single Tenant 1.36 Austin MN 55912 Mower Retail Anchored, Single Tenant 1.37 Saint Cloud MN 56304 Benton Retail Anchored, Single Tenant 1.38 Belvidere IL 61008 Boone Retail Anchored, Single Tenant 1.39 Monona WI 53713 Dane Retail Anchored, Single Tenant 1.40 Grand Island NE 68803 Hall Retail Anchored, Single Tenant 1.41 Kenosha WA 53144 Kenosha Retail Anchored, Single Tenant 1.42 Billings MT 59102 Yellowstone Retail Anchored, Single Tenant 1.43 Watertown WI 53094 Jefferson Retail Anchored, Single Tenant 1.44 Jacksonville IL 62650 Morgan Retail Anchored, Single Tenant 1.45 Lincoln NE 68502 Lancaster Retail Anchored, Single Tenant 1.46 West Bend WI 53095 Washington Retail Anchored, Single Tenant 1.47 Menasha WI 54952 Winnebago Retail Anchored, Single Tenant 1.48 Beloit WI 53511 Rock Retail Anchored, Single Tenant 1.49 Onalaska WI 54650 La Crosse Retail Anchored, Single Tenant 1.50 Madison WI 53704 Dane Retail Anchored, Single Tenant 1.51 Sheboygan WI 53081 Sheboygan Retail Anchored, Single Tenant 1.52 West Jordan UT 84088 Salt Lake Retail Anchored, Single Tenant 1.53 Salt Lake City UT 84106 Salt Lake Retail Anchored, Single Tenant 1.54 Winona MN 55987 Winona Retail Anchored, Single Tenant 1.55 Yakima WA 98908 Yakima Retail Anchored, Single Tenant 1.56 Mitchell SD 57301 Davison Retail Anchored, Single Tenant 1.57 Grafton WI 53024 Ozaukee Retail Anchored, Single Tenant 1.58 La Crosse WI 54601 La Crosse Retail Anchored, Single Tenant 1.59 Marshall MN 56258 Lyon Retail Anchored, Single Tenant 1.60 Chippewa Falls WI 54729 Chippewa Retail Anchored, Single Tenant 1.61 De Pere WI 54115 Brown Retail Anchored, Single Tenant 1.62 Manitowoc WI 54220 Manitowoc Retail Anchored, Single Tenant 1.63 Watertown SD 57201 Codington Retail Anchored, Single Tenant 1.64 Rothschild WI 54474 Marathon Retail Anchored, Single Tenant 1.65 Stevens Point WI 54481 Portage Retail Anchored, Single Tenant 1.66 Hutchinson MN 55350 McLeod Retail Anchored, Single Tenant 1.67 West Bountiful UT 84010 Davis Retail Anchored, Single Tenant 1.68 Aberdeen SD 57401 Brown Retail Anchored, Single Tenant 1.69 Great Falls MT 59404 Cascade Retail Anchored, Single Tenant 1.70 Helena MT 59602 Lewis and Clark Retail Anchored, Single Tenant 1.71 Pullman WA 99163 Whitman Retail Anchored, Single Tenant 1.72 Kingsford MI 49802 Dickinson Retail Anchored, Single Tenant 1.73 Riverdale UT 84405 Weber Retail Anchored, Single Tenant 1.74 Mason City IA 50401 Cerro Gordo Retail Anchored, Single Tenant 1.75 Layton UT 84041 Davis Retail Anchored, Single Tenant 1.76 Boise ID 83706 Ada Retail Anchored, Single Tenant 1.77 West Valley City UT 84120 Salt Lake Retail Anchored, Single Tenant 1.78 Fairmont MN 56031 Martin Retail Anchored, Single Tenant 1.79 Delavan WI 53115 Walworth Retail Anchored, Single Tenant 1.80 Bellevue NE 68005 Sarpy Retail Anchored, Single Tenant 1.81 Ogden UT 84404 Weber Retail Anchored, Single Tenant 1.82 River Falls WI 54022 Saint Croix Retail Anchored, Single Tenant 1.83 Monroe WI 53566 Green Retail Anchored, Single Tenant 1.84 Albert Lea MN 56007 Freeborn Retail Anchored, Single Tenant 1.85 Norfolk NE 68701 Madison Retail Anchored, Single Tenant 1.86 North Platte NE 69101 Lincoln Retail Anchored, Single Tenant 1.87 Escanaba MI 49829 Delta Retail Anchored, Single Tenant 1.88 Worthington MN 56187 Nobles Retail Anchored, Single Tenant 1.89 Nampa ID 83651 Canyon Retail Anchored, Single Tenant 1.90 Houghton MI 49931 Houghton Retail Anchored, Single Tenant 1.91 Marinette WI 54143 Marinette Retail Anchored, Single Tenant 1.92 Provo UT 84604 Utah Retail Anchored, Single Tenant 1.93 Twin Falls ID 83301 Twin Falls Retail Anchored, Single Tenant 1.94 Rice Lake WI 54868 Rusk Retail Anchored, Single Tenant 1.95 Chubbuck ID 83202 Bannock Retail Anchored, Single Tenant 1.96 Idaho Falls ID 83404 Bonneville Retail Anchored, Single Tenant 1.97 Dixon IL 61021 Lee Retail Anchored, Single Tenant 1.98 Walla Walla WA 99362 Walla Walla Retail Anchored, Single Tenant 1.99 Union Gap WA 98903 Yakima Retail Anchored, Single Tenant 1.100 Freeport IL 61032 Stephenson Retail Anchored, Single Tenant 1.101 Spanish Fork UT 84660 Utah Retail Anchored, Single Tenant 1.102 Logan UT 84341 Cache Retail Anchored, Single Tenant 1.103 Brigham City UT 84302 Box Elder Retail Anchored, Single Tenant 1.104 Fort Atkinson WI 53538 Jefferson Retail Anchored, Single Tenant 1.105 Lewiston ID 83501 Nez Perce Retail Anchored, Single Tenant 1.106 Ledgeview WI 54115 Brown Retail Anchored, Single Tenant 1.107 Howard WI 54313 Brown Retail Anchored, Single Tenant 1.108 Monmouth IL 61462 Warren Retail Anchored, Single Tenant 1.109 De Pere WI 54115 Brown Industrial Optical Lab 1.110 Spokane Valley WA 99216 Spokane Retail Anchored, Single Tenant 1.111 Burlington IA 52601 Des Moines Retail Anchored, Single Tenant 1.112 Port Washington WI 53074 Ozaukee Retail Anchored, Single Tenant -------------------------------------------------------------------------------------------------------------------------- 2 Brea CA 92821 Orange Office Suburban 3 Reston VA 20190 Fairfax Office Suburban -------------------------------------------------------------------------------------------------------------------------- 4 Various Various Various Various Office Suburban 4.1 Syosset NY 11791 Nassau Office Suburban 4.2 Uniondale NY 11553 Nassau Office Suburban 4.3 Tarrytown NY 10591 Westchester Office Suburban 4.4 Tarrytown NY 10591 Westchester Office Suburban 4.5 Melville NY 11747 Suffolk Office Suburban 4.6 West Orange NJ 07052 Essex Office Suburban 4.7 Syosset NY 11791 Nassau Office Suburban -------------------------------------------------------------------------------------------------------------------------- 5 Various Various Various Various Hospitality Full Service 5.1 Sandusky OH 44870 Erie Hospitality Full Service 5.2 Lake Delton WI 53965 Sauk Hospitality Full Service -------------------------------------------------------------------------------------------------------------------------- 6 Placentia CA 92870 Orange Multifamily Conventional 7 Orlando FL 32801 Orange Office CBD -------------------------------------------------------------------------------------------------------------------------- 8 Pittsburgh PA 15212 Allegheny Hospitality Full Service 9 Pittsburgh PA 15203 Allegheny Hospitality Full Service 10 Bridgeville PA 15017 Allegheny Hospitality Limited Service 11 Washington PA 15301 Washington Hospitality Limited Service -------------------------------------------------------------------------------------------------------------------------- 12 Yukon OK 73099 Canadian Industrial Warehouse 13 Oklahoma City OK 73108 Oklahoma Industrial Warehouse 14 Oklahoma City OK 73135 Oklahoma Office Flex 15 Yukon OK 73099 Canadian Industrial Warehouse 16 Oklahoma City OK 73131 Oklahoma Industrial Warehouse 17 Broken Arrow OK 74012 Tulsa Industrial Flex 18 Oklahoma City OK 73105 Oklahoma Office Flex 19 Oklahoma City OK 73127 Oklahoma Industrial Warehouse -------------------------------------------------------------------------------------------------------------------------- 20 Del Mar CA 92014 San Diego Retail Unanchored 21 Columbia SC 29201 Richland Office CBD 22 Warminster PA 18974 Bucks Multifamily Conventional 23 DuBois PA 15801 Clearfield Retail Anchored 24 Knoxville TN 37902 Knox Office CBD 25 Auburn WA 98092 Pierce Retail Anchored 26 Green Cove Springs FL 32043 Clay Industrial Warehouse 27 Norcross GA 30092 Gwinnett Multifamily Conventional 28 Tampa FL 33626 Hillsborough Retail Anchored 29 Bossier City LA 71111 Bossier Retail Anchored 30 Loveland OH 45140 Warren Multifamily Conventional 31 Pittsburgh PA 15275 Allegheny Retail Anchored 32 Highland Park NJ 08904 Middlesex Multifamily Conventional 33 Marlborough MA 01752 Middlesex Office Suburban 34 Germantown MD 20876 Montgomery Retail Anchored 35 Billerica MA 01821 Middlesex Office Suburban 36 Gainesville VA 20155 Prince William Retail Anchored 37 Flint MI 48507 Genesee Industrial Warehouse 38 Seattle WA 98101 King Mixed Use Office(75%)/Retail(25%) 39 Raleigh NC 27606 Wake Multifamily Student Housing 40 Rockaway NJ 07866 Morris Office Suburban 41 Naples FL 34110 Collier Office Medical Office 42 North Hollywood CA 91602 Los Angeles Hospitality Full Service 43 Cape May Court House NJ 08210 Cape May Retail Anchored 44 Fullerton CA 92831 Orange Industrial Warehouse 45 Tucson AZ 85704 Pima Multifamily Conventional 46 Tukwila WA 98188 King Hospitality Full Service 47 Glen Allen VA 23060 Henrico Hospitality Full Service 48 Las Vegas NV 89121 Clark Office Suburban 49 Ann Arbor MI 48104 Washtenaw Multifamily Student Housing 50 Fremont CA 94538 Alameda Land Retail 51 Overland Park KS 66204 Johnson Multifamily Conventional -------------------------------------------------------------------------------------------------------------------------- 52 Spokane WA 99217 Spokane Multifamily Conventional 53 Spokane WA 99217 Spokane Multifamily Conventional -------------------------------------------------------------------------------------------------------------------------- 54 Santa Rosa CA 95403 Sonoma Retail Shadow Anchored 55 Andover MA 01810 Essex Office Suburban 56 Houston TX 77067 Harris Office Suburban 57 Philadelphia PA 19103 Philadelphia Retail Unanchored 58 Memphis TN 38016 Shelby Office Suburban 59 Nashville TN 37203 Davidson Mixed Use Retail(80%)/Office(20%) -------------------------------------------------------------------------------------------------------------------------- 60 Woodstock IL 60098 McHenry Multifamily Conventional 61 Woodstock IL 60098 McHenry Multifamily Conventional -------------------------------------------------------------------------------------------------------------------------- 62 Tucson AZ 85750 Pima Multifamily Conventional 63 Memphis TN 38016 Shelby Multifamily Conventional 64 Waukesha WI 53186 Waukesha Multifamily Conventional -------------------------------------------------------------------------------------------------------------------------- 65 Various GA Various Various Hospitality Limited Service 65.1 Kennesaw GA 30144 Cobb Hospitality Limited Service 65.2 Alpharetta GA 30004 Fulton Hospitality Limited Service 65.3 Macon GA 31210 Bibb Hospitality Limited Service -------------------------------------------------------------------------------------------------------------------------- 66 Anaheim CA 92807 Orange Office Suburban 67 Avondale AZ 85323 Maricopa Office Medical Office 68 West Hartford CT 06107 Hartford Retail Anchored, Single Tenant 69 Rockford IL 61108 Winnebago Retail Shadow Anchored -------------------------------------------------------------------------------------------------------------------------- 70 Starkville MS 39759 Oktibbeha Multifamily Student Housing 70.1 Starkville MS 39759 Oktibbeha Multifamily Student Housing 70.2 Starkville MS 39759 Oktibbeha Multifamily Student Housing -------------------------------------------------------------------------------------------------------------------------- 71 Newton MA 02465 Middlesex Office Suburban 72 Los Angeles CA 90069 Los Angeles Retail Unanchored 73 Louisville KY 40299 Jefferson Office Suburban -------------------------------------------------------------------------------------------------------------------------- 74 Various GA Various Fulton Hospitality Limited Service 74.1 Atlanta GA 30305 Fulton Hospitality Limited Service 74.2 Alpharetta GA 30004 Fulton Hospitality Limited Service -------------------------------------------------------------------------------------------------------------------------- 75 Various GA Various Fulton Hospitality Limited Service 75.1 Atlanta GA 30328 Fulton Hospitality Limited Service 75.2 Alpharetta GA 30004 Fulton Hospitality Limited Service -------------------------------------------------------------------------------------------------------------------------- 76 Rye NY 10580 Westchester Office Medical Office 77 Gaithersburg MD 20878 Montgomery Retail Shadow Anchored 78 Dahlonega GA 30533 Lumpkin Retail Anchored, Single Tenant 79 Virginia Beach VA 23451 Virginia Beach City Retail Anchored 80 East Hartford CT 06108 Hartford Industrial Flex 81 Metairie LA 70001 Jefferson Retail Anchored, Single Tenant 82 Natchez MS 39120 Adams Retail Regional Mall 83 Huntersville NC 28078 Mecklenburg Hospitality Limited Service 84 Blauvelt NY 10913 Rockland Industrial Warehouse 85 Spokane Valley WA 99216 Spokane Office Suburban 86 Richmond VA 23231 Henrico Industrial Warehouse 87 Miami Lakes FL 33014 Miami-Dade Office Suburban 88 Dover DE 19977 Kent Retail Anchored 89 Plano TX 75093 Collin Office Suburban 90 Newport News VA 23601 Newport News City Multifamily Section 8 91 Somerville NJ 08876 Somerset Office Suburban 92 Houston TX 77060 Harris Retail Unanchored 93 Woodinville WA 98072 King Industrial Warehouse 94 Southfield MI 48034 Oakland Office Suburban 95 Hartland WI 53029 Waukesha Office Medical Office 96 Canton MA 02021 Norfolk Mixed Use Warehouse(64%)/Office(36%) 97 Henderson NV 89015 Clark Retail Anchored, Single Tenant 98 Tulsa OK 74145 Tulsa Multifamily Conventional 99 Turlock CA 95380 Stanislaus Hospitality Limited Service 100 Atlanta GA 30319 Dekalb Retail Anchored 101 Glendale AZ 85302 Maricopa Multifamily Conventional 102 Orange CA 92865 Orange Mixed Use Retail(73%)/Office(28%) 103 Orange Park FL 32003 Clay Retail Unanchored 104 Lockport NY 14094 Niagara Office Suburban 105 Annapolis MD 21401 Anne Arundel Office Suburban 106 Greer SC 29651 Greenville Multifamily Conventional 107 Greenfield WI 53220 Milwaukee Office Medical Office 108 Norcross GA 30092 Gwinnett Office Suburban 109 Bethlehem PA 18018 Northhampton Hospitality Full Service 110 Charlotte NC 28210 Mecklenburg Office Suburban 111 Allen TX 75002 Colin Multifamily Conventional 112 Orlando FL 32810 Orange Hospitality Full Service 113 Westminster CA 92683 Orange Retail Anchored 114 Norman OK 73072 Cleveland Multifamily Conventional 115 Portsmouth NH 03801 Rockingham Multifamily Conventional 116 Parker CO 80134 Douglas Retail Shadow Anchored 117 Grand Haven MI 49417 Ottawa Manufactured Housing Manufactured Housing 118 Winter Park FL 32789 Orange Retail Unanchored 119 Lumberton NC 28358 Robeson Hospitality Full Service 120 Plymouth Township MI 48170 Wayne Office Suburban 121 Milwaukie OR 97222 Clackamas Multifamily Conventional 122 Elm Grove WI 53122 Waukesha Office Medical Office 123 Greenacres FL 33463 Palm Beach Retail Anchored -------------------------------------------------------------------------------------------------------------------------- 124 Lubbock TX 79423 Lubbock Retail Anchored, Single Tenant 125 Cleveland OH 44105 Cuyahoga Retail Unanchored, Single Tenant 126 Denton Township MI 48651 Roscommon Retail Unanchored, Single Tenant -------------------------------------------------------------------------------------------------------------------------- 127 Lee's Summit MO 64086 Jackson Retail Unanchored 128 Highland IN 46322 Lake Retail Anchored 129 Salinas CA 93906 Monterey Multifamily Conventional 130 Reno NV 89502 Washoe Retail Unanchored 131 Las Vegas NV 89117 Clark Mixed Use Retail(63%)/Office(37%) 132 Winter Haven FL 33884 Polk Retail Anchored 133 Mooresville NC 28117 Iredell Hospitality Limited Service 134 Wausau WI 54401 Marathon Multifamily Conventional 135 Milwaukee WI 53207 Milwaukee Office Medical Office 136 St. Louis MO 63113 Saint Louis City Retail Anchored 137 Myrtle Beach SC 29577 Horry Hospitality Limited Service 138 Waukesha WI 53186 Waukesha Multifamily Conventional 139 Rochester Hills MI 48307 Oakland Retail Unanchored 140 East Hartford CT 06108 Hartford Industrial Flex 141 Redding CA 96003 Shasta Retail Anchored, Single Tenant 142 Plainview TX 79072 Hale Retail Anchored, Single Tenant 143 Richmond VA 23220 Richmond City Multifamily Student Housing 144 Myrtle Beach SC 29577 Horry Hospitality Limited Service 145 College Park GA 30349 Fulton Hospitality Limited Service 146 North Las Vegas NV 89032 Clark Retail Anchored 147 Orange CT 06477 New Haven Retail Anchored, Single Tenant 148 Poughkeepsie NY 12601 Dutchess Retail Unanchored 149 Mission Viejo CA 92691 Orange Office Suburban 150 Newport News VA 23602 Newport News Retail Shadow Anchored, Single Tenant 151 Portage MI 49002 Kalamazoo Retail Anchored, Single Tenant 152 Golden Valley MN 55422 Hennepin Office Medical Office 153 Pasco WA 99301 Franklin Retail Anchored, Single Tenant 154 Aspen CO 81611 Pitkin Office Suburban 155 Port Richey FL 34668 Pasco Retail Anchored, Single Tenant 156 Cranberry Township PA 16066 Butler Retail Unanchored 157 San Rafael CA 94903 Marin Office Suburban 158 Scottsdale AZ 85260 Maricopa Office Suburban 159 Columbus OH 43213 Franklin Multifamily Conventional 160 East Hartford CT 06108 East Hartford Office Suburban 161 Fond du Lac WI 54935 Fond du Lac Retail Anchored, Single Tenant 162 Houston TX 77099 Harris Multifamily Conventional 163 Louisville KY 40214 Jefferson Retail Anchored, Single Tenant 164 Manchester PA 17345 York Retail Anchored, Single Tenant 165 Lancaster PA 17603 Lancaster Retail Anchored, Single Tenant 166 Columbus OH 43213 Franklin Multifamily Conventional % OF AGGREGATE CUT-OFF DATE INITIAL % OF INITIAL % OF INITIAL PRINCIPAL LOAN CUT-OFF DATE MORTGAGE POOL LOAN GROUP 1 LOAN GROUP 2 BALANCE PER LOAN BALANCE AT NUMBER PRINCIPAL BALANCE BALANCE BALANCE BALANCE SF/UNIT/ROOM/PAD MATURITY / ARD ---------------------------------------------------------------------------------------------------------------- 1 200,000,000.00 (Note 11) 8.8% 10.6% $49.72 (Note 5) 172,516,167.42 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 1.40 1.41 1.42 1.43 1.44 1.45 1.46 1.47 1.48 1.49 1.50 1.51 1.52 1.53 1.54 1.55 1.56 1.57 1.58 1.59 1.60 1.61 1.62 1.63 1.64 1.65 1.66 1.67 1.68 1.69 1.70 1.71 1.72 1.73 1.74 1.75 1.76 1.77 1.78 1.79 1.80 1.81 1.82 1.83 1.84 1.85 1.86 1.87 1.88 1.89 1.90 1.91 1.92 1.93 1.94 1.95 1.96 1.97 1.98 1.99 1.100 1.101 1.102 1.103 1.104 1.105 1.106 1.107 1.108 1.109 1.110 1.111 1.112 ---------------------------------------------------------------------------------------------------------------- 2 133,000,000.00 5.9% 7.1% 208.82 116,507,430.99 3 93,000,000.00 4.1% 5.0% 191.33 93,000,000.00 ---------------------------------------------------------------------------------------------------------------- 4 72,000,000.00 3.2% 3.8% 78.64 72,000,000.00 4.1 4.2 4.3 4.4 4.5 4.6 4.7 ---------------------------------------------------------------------------------------------------------------- 5 63,000,000.00 2.8% 3.4% 108,620.69 59,902,702.15 5.1 5.2 ---------------------------------------------------------------------------------------------------------------- 6 55,000,000.00 2.4% 14.3% 130,331.75 48,884,559.54 7 42,695,000.00 1.9% 2.3% 158.07 38,819,666.89 ---------------------------------------------------------------------------------------------------------------- 8 19,762,500.00 0.9% 1.1% 99,810.61 15,244,278.83 9 9,487,500.00 0.4% 0.5% 75,900.00 7,318,410.90 10 4,670,000.00 0.2% 0.2% 66,714.29 3,602,316.62 11 4,350,000.00 0.2% 0.2% 62,142.86 3,355,476.93 ---------------------------------------------------------------------------------------------------------------- 12 9,615,000.00 0.4% 0.5% 31.02 8,924,607.67 13 7,623,000.00 0.3% 0.4% 52.57 7,075,640.59 14 6,763,000.00 0.3% 0.4% 73.80 6,277,391.75 15 6,340,000.00 0.3% 0.3% 52.07 5,884,764.70 16 4,131,000.00 0.2% 0.2% 29.85 3,834,379.02 17 1,510,000.00 0.1% 0.1% 46.46 1,401,576.45 18 1,297,000.00 0.1% 0.1% 92.64 1,203,870.63 19 721,000.00 0.0% 0.0% 96.26 669,229.55 ---------------------------------------------------------------------------------------------------------------- 20 36,500,000.00 1.6% 1.9% 346.06 32,869,294.21 21 34,800,000.00 1.5% 1.9% 114.91 31,400,282.58 22 33,000,000.00 1.5% 8.6% 84,615.38 30,851,576.75 23 32,812,500.00 1.4% 1.7% 74.67 30,392,588.29 24 30,250,000.00 1.3% 1.6% 90.52 28,094,941.16 25 26,700,000.00 1.2% 1.4% 220.12 24,792,557.92 26 26,500,000.00 1.2% 1.4% 33.39 23,760,324.66 27 25,600,000.00 1.1% 6.6% 50,393.70 22,900,357.29 28 22,955,854.73 1.0% 1.2% 198.98 19,383,730.66 29 22,500,000.00 1.0% 1.2% 152.14 20,887,403.02 30 22,167,000.00 1.0% 5.8% 63,334.29 21,305,578.27 31 21,900,000.00 1.0% 1.2% 146.64 19,707,077.80 32 20,000,000.00 0.9% 5.2% 92,592.59 17,530,641.10 33 19,900,000.00 0.9% 1.1% 67.30 18,528,586.25 34 19,900,000.00 0.9% 1.1% 213.19 18,933,413.92 35 19,895,714.89 0.9% 1.1% 138.99 16,780,694.50 36 19,815,000.00 0.9% 1.1% 190.39 18,852,542.55 37 19,500,000.00 0.9% 1.0% 48.75 15,103,165.95 38 18,800,000.00 0.8% 1.0% 151.45 16,679,574.86 39 17,500,000.00 0.8% 4.5% 81,018.52 15,674,746.81 40 17,480,000.00 0.8% 0.9% 144.42 15,377,904.25 41 17,120,000.00 0.8% 0.9% 224.56 15,367,896.65 42 16,659,061.47 0.7% 0.9% 65,329.65 13,021,073.05 43 16,250,000.00 0.7% 0.9% 107.85 15,155,867.58 44 16,200,000.00 0.7% 0.9% 77.42 13,977,140.20 45 16,000,000.00 0.7% 4.2% 34,482.76 16,000,000.00 46 15,881,825.18 0.7% 0.8% 72,519.75 12,290,902.67 47 15,558,229.72 0.7% 0.8% 100,375.68 14,127,974.99 48 15,540,000.00 0.7% 0.8% 133.91 13,922,028.24 49 15,190,000.00 0.7% 3.9% 46,882.72 14,166,262.08 50 14,904,880.26 0.7% 0.8% 117.04 12,526,878.54 51 14,800,000.00 0.7% 3.8% 42,285.71 14,217,690.20 ---------------------------------------------------------------------------------------------------------------- 52 8,879,000.00 0.4% 2.3% 46,244.79 7,809,033.83 53 5,846,000.00 0.3% 1.5% 44,287.88 5,141,526.27 ---------------------------------------------------------------------------------------------------------------- 54 14,600,000.00 0.6% 0.8% 452.88 13,510,025.30 55 14,500,000.00 0.6% 0.8% 110.94 12,991,163.15 56 14,500,000.00 0.6% 0.8% 116.94 13,519,541.90 57 14,487,323.99 0.6% 0.8% 623.97 12,225,365.32 58 14,475,000.00 0.6% 0.8% 114.80 12,263,337.67 59 14,360,000.00 0.6% 0.8% 165.30 14,360,000.00 ---------------------------------------------------------------------------------------------------------------- 60 7,063,125.43 0.3% 1.8% 69,246.33 6,611,505.05 61 7,063,125.43 0.3% 1.8% 70,631.25 6,611,505.05 ---------------------------------------------------------------------------------------------------------------- 62 14,000,000.00 0.6% 3.6% 35,000.00 14,000,000.00 63 13,500,000.00 0.6% 3.5% 46,712.80 12,381,783.27 64 13,472,999.49 0.6% 3.5% 28,364.21 11,312,223.99 ---------------------------------------------------------------------------------------------------------------- 65 13,257,088.85 0.6% 0.7% 53,456.00 11,350,011.53 65.1 65.2 65.3 ---------------------------------------------------------------------------------------------------------------- 66 13,200,000.00 0.6% 0.7% 162.97 11,915,871.90 67 13,000,000.00 0.6% 0.7% 174.38 11,726,117.28 68 13,000,000.00 0.6% 0.7% 275.58 12,180,049.76 69 12,850,000.00 0.6% 0.7% 116.05 12,048,077.42 ---------------------------------------------------------------------------------------------------------------- 70 12,305,040.06 0.5% 3.2% 58,875.79 10,387,124.80 70.1 70.2 ---------------------------------------------------------------------------------------------------------------- 71 12,300,000.00 0.5% 0.7% 136.77 11,433,054.90 72 12,000,000.00 0.5% 0.6% 800.00 11,232,678.56 73 11,717,659.97 0.5% 0.6% 108.90 9,927,826.41 ---------------------------------------------------------------------------------------------------------------- 74 11,679,814.72 0.5% 0.6% 59,288.40 9,999,633.66 74.1 74.2 ---------------------------------------------------------------------------------------------------------------- 75 11,589,970.00 0.5% 0.6% 57,376.09 9,922,713.40 75.1 75.2 ---------------------------------------------------------------------------------------------------------------- 76 11,400,000.00 0.5% 0.6% 175.38 10,157,596.08 77 11,150,000.00 0.5% 0.6% 376.43 10,616,964.61 78 11,004,000.00 0.5% 0.6% 76.26 9,842,273.06 79 10,953,250.82 0.5% 0.6% 45.85 9,242,493.45 80 10,405,000.00 0.5% 0.6% 33.93 9,315,984.41 81 10,069,086.88 0.4% 0.5% 167.66 8,529,054.20 82 9,528,182.19 0.4% 0.5% 44.20 7,354,027.37 83 9,429,933.55 0.4% 0.5% 104,777.04 7,299,974.59 84 9,300,000.00 0.4% 0.5% 42.41 7,992,437.40 85 9,200,000.00 0.4% 0.5% 76.03 8,595,173.15 86 9,100,000.00 0.4% 0.5% 50.48 8,142,255.91 87 8,993,688.75 0.4% 0.5% 179.19 7,769,063.79 88 8,800,000.00 0.4% 0.5% 90.66 7,832,157.59 89 8,800,000.00 0.4% 0.5% 172.70 8,180,901.36 90 8,659,854.23 0.4% 2.2% 43,736.64 7,356,565.00 91 8,579,099.25 0.4% 0.5% 118.80 7,279,753.16 92 8,550,000.00 0.4% 0.5% 121.19 7,650,925.76 93 8,400,000.00 0.4% 0.4% 67.36 7,516,266.75 94 8,250,000.00 0.4% 0.4% 83.36 7,390,621.85 95 8,200,000.00 0.4% 0.4% 205.00 7,336,406.28 96 8,014,417.28 0.4% 0.4% 74.10 6,720,448.07 97 7,900,000.00 0.3% 0.4% 545.20 6,308,208.56 98 7,750,000.00 0.3% 2.0% 26,541.10(Note 6) 6,627,331.73 99 7,600,000.00 0.3% 0.4% 97,435.90 6,566,945.65 100 7,500,000.00 0.3% 0.4% 128.40 7,500,000.00 101 7,500,000.00 0.3% 1.9% 27,675.28 6,724,620.19 102 7,500,000.00 0.3% 0.4% 128.50 7,500,000.00 103 7,455,000.00 0.3% 0.4% 125.70 6,552,771.41 104 7,430,000.00 0.3% 0.4% 85.96 6,667,646.36 105 7,300,000.00 0.3% 0.4% 119.07 6,567,714.21 106 7,275,000.00 0.3% 1.9% 52,717.39 6,366,518.83 107 7,240,000.00 0.3% 0.4% 193.07 6,477,509.94 108 7,000,000.00 0.3% 0.4% 84.52 6,401,778.90 109 6,991,360.08 0.3% 0.4% 54,620.00 5,453,383.76 110 6,940,000.00 0.3% 0.4% 120.87 6,940,000.00 111 6,896,389.40 0.3% 1.8% 54,733.25 5,415,871.00 112 6,892,201.69 0.3% 0.4% 34,461.01 5,452,728.39 113 6,863,000.00 0.3% 0.4% 195.25 5,989,554.82 114 6,600,000.00 0.3% 1.7% 26,612.90 5,775,842.80 115 6,132,921.72 0.3% 1.6% 91,536.15 5,161,792.57 116 6,059,995.36 0.3% 0.3% 204.37 4,392,992.97 117 6,000,000.00 0.3% 0.3% 15,625.00 5,067,316.31 118 6,000,000.00 0.3% 0.3% 272.29 5,378,067.80 119 5,964,649.56 0.3% 0.3% 55,744.39 4,574,459.06 120 5,868,991.07 0.3% 0.3% 96.95 4,944,258.37 121 5,865,000.00 0.3% 1.5% 39,100.00 5,219,116.76 122 5,840,000.00 0.3% 0.3% 146.84 5,225,380.95 123 5,720,136.79 0.3% 0.3% 104.93 4,827,389.51 ---------------------------------------------------------------------------------------------------------------- 124 3,583,130.00 0.2% 0.2% 67.73 2,850,005.78 125 1,120,980.00 0.0% 0.1% 165.26 891,622.54 126 1,015,890.00 0.0% 0.1% 150.06 808,034.42 ---------------------------------------------------------------------------------------------------------------- 127 5,648,000.00 0.2% 0.3% 136.57 4,832,592.66 128 5,500,000.00 0.2% 0.3% 51.39 4,924,832.51 129 5,500,000.00 0.2% 1.4% 59,782.61 4,930,885.32 130 5,500,000.00 0.2% 0.3% 131.06 5,132,817.45 131 5,350,000.00 0.2% 0.3% 104.80 5,350,000.00 132 5,318,235.01 0.2% 0.3% 63.20 4,488,212.92 133 5,267,694.39 0.2% 0.3% 71,185.06 4,060,252.12 134 5,155,000.00 0.2% 1.3% 37,904.41 4,652,597.35 135 5,120,000.00 0.2% 0.3% 149.43 4,581,062.07 136 5,080,000.00 0.2% 0.3% 108.90 4,716,506.09 137 5,036,062.11 0.2% 0.3% 45,369.93 3,902,169.59 138 4,984,768.43 0.2% 1.3% 29,671.24 4,167,386.90 139 4,989,402.83 0.2% 0.3% 271.19 4,154,568.09 140 4,805,000.00 0.2% 0.3% 38.75 4,302,095.64 141 4,767,517.24 0.2% 0.3% 167.13 4,005,113.10 142 4,753,131.80 0.2% 0.3% 110.28 3,996,556.86 143 4,750,000.00 0.2% 1.2% 83,333.33 4,242,200.25 144 4,686,916.00 0.2% 0.2% 41,113.30 3,625,547.72 145 4,500,000.00 0.2% 0.2% 60,000.00 3,558,456.65 146 4,500,000.00 0.2% 0.2% 278.91 4,223,361.90 147 4,500,000.00 0.2% 0.2% 303.64 3,593,283.36 148 4,100,000.00 0.2% 0.2% 147.35 3,540,894.39 149 4,045,121.50 0.2% 0.2% 349.02 3,167,979.28 150 3,996,501.37 0.2% 0.2% 159.55 3,372,311.16 151 3,996,410.95 0.2% 0.2% 88.70 3,362,102.08 152 3,890,000.00 0.2% 0.2% 107.95 3,488,753.09 153 3,838,865.54 0.2% 0.2% 222.26 3,231,838.85 154 3,689,078.23 0.2% 0.2% 418.50 3,097,335.90 155 3,541,365.12 0.2% 0.2% 316.19 3,195,760.06 156 3,520,000.00 0.2% 0.2% 234.20 3,084,128.80 157 3,435,032.39 0.2% 0.2% 111.44 2,889,080.58 158 3,397,357.05 0.2% 0.2% 161.44 2,904,474.97 159 3,397,342.69 0.2% 0.9% 27,397.92 2,902,801.40 160 2,892,000.00 0.1% 0.2% 53.49 2,533,986.23 161 2,845,738.79 0.1% 0.2% 142.29 2,392,025.29 162 2,600,000.00 0.1% 0.7% 20,634.92 2,213,114.46 163 2,357,246.41 0.1% 0.1% 210.84 1,982,973.02 164 1,892,135.07 0.1% 0.1% 169.24 1,603,167.29 165 1,742,742.31 0.1% 0.1% 155.88 1,476,160.42 166 865,000.00 0.0% 0.2% 27,031.25 743,273.01 CROSS COLLATER- RELATED MORTGAGE ALIZED MORTGAGE LOAN GROUP LOAN GROUP AGGREGATE CROSS COLLATER- AGGREGATE CUT-OFF RELATED CUT-OFF DATE LOAN ALIZED (MORTGAGE DATE PRINCIPAL (MORTGAGE PRINCIPAL BALANCE APPRAISED APPRAISAL NUMBER LOAN GROUP) BALANCE (NOTE 4) LOAN GROUP) (NOTE 4) BORROWER'S INTEREST VALUE DATE ---------------------------------------------------------------------------------------------------------------------------------- 1 No 200,000,000.00 Yes (R1) 204,753,131.80 Fee Simple and Leasehold 714,325,000 Various 1.1 Fee Simple 18,700,000 05/13/05 1.2 Fee Simple 18,500,000 05/13/05 1.3 Fee Simple 13,800,000 05/13/05 1.4 Fee Simple 11,540,000 05/13/05 1.5 Fee Simple 10,650,000 05/24/05 1.6 Fee Simple 10,500,000 04/29/05 1.7 Fee Simple 10,450,000 04/26/05 1.8 Fee Simple 10,000,000 05/06/05 1.9 Fee Simple 9,600,000 05/05/05 1.10 Fee Simple 9,030,000 05/09/05 1.11 Fee Simple 8,940,000 05/13/05 1.12 Fee Simple 8,600,000 05/09/05 1.13 Fee Simple 8,450,000 05/05/05 1.14 Fee Simple 8,450,000 05/02/05 1.15 Fee Simple 8,450,000 05/02/05 1.16 Fee Simple 8,420,000 05/09/05 1.17 Fee Simple 8,400,000 05/13/05 1.18 Fee Simple 8,300,000 05/09/05 1.19 Fee Simple 8,100,000 05/12/05 1.20 Fee Simple 8,100,000 05/12/05 1.21 Fee Simple 8,100,000 05/09/05 1.22 Fee Simple 8,090,000 05/14/05 1.23 Fee Simple 8,000,000 05/03/05 1.24 Fee Simple 7,650,000 04/27/05 1.25 Fee Simple 7,500,000 05/09/05 1.26 Fee Simple 7,500,000 05/14/05 1.27 Fee Simple 7,400,000 05/13/05 1.28 Fee Simple 7,250,000 05/16/05 1.29 Fee Simple 7,170,000 05/09/05 1.30 Fee Simple 7,140,000 05/13/05 1.31 Fee Simple 7,000,000 04/30/05 1.32 Fee Simple 6,940,000 05/09/05 1.33 Fee Simple 6,920,000 04/30/05 1.34 Fee Simple 6,800,000 05/14/05 1.35 Fee Simple 6,800,000 05/09/05 1.36 Fee Simple 6,750,000 05/03/05 1.37 Fee Simple 6,725,000 05/05/05 1.38 Fee Simple 6,700,000 05/08/05 1.39 Fee Simple 6,700,000 05/09/05 1.40 Fee Simple 6,700,000 05/12/05 1.41 Fee Simple 6,700,000 05/09/05 1.42 Fee Simple 6,700,000 05/09/05 1.43 Fee Simple 6,680,000 05/09/05 1.44 Fee Simple 6,630,000 05/09/05 1.45 Fee Simple 6,580,000 05/12/05 1.46 Fee Simple 6,530,000 05/09/06 1.47 Fee Simple 6,500,000 05/09/05 1.48 Fee Simple 6,500,000 05/09/05 1.49 Fee Simple 6,450,000 05/10/05 1.50 Fee Simple 6,350,000 05/09/05 1.51 Fee Simple 6,350,000 05/12/05 1.52 Fee Simple 6,300,000 04/25/05 1.53 Fee Simple 6,300,000 04/25/05 1.54 Fee Simple 6,300,000 05/03/05 1.55 Fee Simple 6,250,000 05/09/05 1.56 Fee Simple 6,200,000 05/03/05 1.57 Fee Simple 6,150,000 05/12/05 1.58 Fee Simple 6,100,000 05/10/05 1.59 Fee Simple 6,000,000 05/02/05 1.60 Fee Simple 6,000,000 05/14/05 1.61 Fee Simple 5,960,000 05/13/05 1.62 Fee Simple 5,920,000 05/12/05 1.63 Fee Simple 5,900,000 05/04/05 1.64 Fee Simple 5,850,000 05/13/05 1.65 Fee Simple 5,850,000 05/13/05 1.66 Fee Simple 5,850,000 05/05/05 1.67 Fee Simple 5,850,000 04/25/05 1.68 Fee Simple 5,700,000 05/04/05 1.69 Fee Simple 5,650,000 05/16/05 1.70 Fee Simple 5,650,000 05/16/05 1.71 Fee Simple 5,650,000 07/06/05 1.72 Fee Simple 5,620,000 05/14/05 1.73 Fee Simple 5,520,000 04/26/05 1.74 Fee Simple 5,500,000 05/06/05 1.75 Fee Simple 5,460,000 04/26/05 1.76 Fee Simple 5,300,000 04/25/05 1.77 Fee Simple 5,280,000 04/25/05 1.78 Fee Simple 5,200,000 05/04/05 1.79 Fee Simple 5,200,000 05/10/05 1.80 Fee Simple 5,200,000 05/12/05 1.81 Fee Simple 5,120,000 04/26/05 1.82 Fee Simple 5,100,000 05/14/05 1.83 Fee Simple 5,050,000 05/10/05 1.84 Fee Simple 5,000,000 05/03/05 1.85 Fee Simple 4,950,000 05/12/05 1.86 Fee Simple 4,920,000 05/12/05 1.87 Fee Simple 4,880,000 05/14/05 1.88 Fee Simple 4,850,000 05/04/05 1.89 Fee Simple 4,840,000 04/25/05 1.90 Fee Simple 4,650,000 05/14/05 1.91 Fee Simple 4,520,000 05/12/05 1.92 Fee Simple 4,510,000 04/23/05 1.93 Fee Simple 4,500,000 04/26/05 1.94 Fee Simple 4,180,000 05/14/05 1.95 Fee Simple 4,090,000 04/26/05 1.96 Fee Simple 4,070,000 04/26/05 1.97 Fee Simple 3,900,000 05/08/05 1.98 Fee Simple 3,800,000 05/09/05 1.99 Leasehold 3,650,000 05/09/05 1.100 Fee Simple 3,650,000 05/08/05 1.101 Fee Simple 3,610,000 04/23/05 1.102 Leasehold 3,500,000 04/26/05 1.103 Fee Simple 3,500,000 04/26/05 1.104 Fee Simple 3,390,000 05/09/05 1.105 Leasehold 3,100,000 05/09/05 1.106 Fee Simple 3,000,000 11/30/05 1.107 Fee Simple 2,900,000 11/30/05 1.108 Fee Simple 2,690,000 05/10/05 1.109 Fee Simple 2,320,000 05/13/05 1.110 Leasehold 2,200,000 05/01/05 1.111 Leasehold 1,790,000 05/07/05 1.112 Fee Simple 1,600,000 11/30/05 ---------------------------------------------------------------------------------------------------------------------------------- 2 No 133,000,000.00 No 133,000,000.00 Fee Simple 188,000,000 01/25/06 3 No 93,000,000.00 No 93,000,000.00 Fee Simple 128,000,000 11/21/05 ---------------------------------------------------------------------------------------------------------------------------------- 4 No 72,000,000.00 No 72,000,000.00 Fee Simple and Leasehold 145,400,000 07/01/05 4.1 Fee Simple 34,300,000 07/01/05 4.2 Leasehold 31,800,000 07/01/05 4.3 Fee Simple 18,900,000 07/01/05 4.4 Fee Simple 20,200,000 07/01/05 4.5 Fee Simple 12,500,000 07/01/05 4.6 Fee Simple 12,000,000 07/01/05 4.7 Fee Simple 15,700,000 07/01/05 ---------------------------------------------------------------------------------------------------------------------------------- 5 No 63,000,000.00 No 63,000,000.00 Fee Simple 120,500,000 Various 5.1 Fee Simple 56,200,000 09/01/05 5.2 Fee Simple 64,300,000 08/29/05 ---------------------------------------------------------------------------------------------------------------------------------- 6 No 55,000,000.00 No 55,000,000.00 Fee Simple 79,500,000 05/05/05 7 No 42,695,000.00 No 42,695,000.00 Fee Simple 57,200,000 01/01/06 ---------------------------------------------------------------------------------------------------------------------------------- 8 Yes (C1) 38,270,000.00 Yes (R6) 38,270,000.00 Fee Simple 26,350,000 04/05/06 9 Yes (C1) 38,270,000.00 Yes (R6) 38,270,000.00 Fee Simple 12,650,000 04/05/06 10 Yes (C1) 38,270,000.00 Yes (R6) 38,270,000.00 Leasehold 6,550,000 04/05/06 11 Yes (C1) 38,270,000.00 Yes (R6) 38,270,000.00 Fee Simple 5,800,000 04/05/06 ---------------------------------------------------------------------------------------------------------------------------------- 12 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 10,900,000 10/28/05 13 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 9,550,000 11/11/05 14 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 10,400,000 11/01/05 15 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 6,500,000 10/28/05 16 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 6,250,000 10/28/05 17 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 1,950,000 10/26/05 18 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 1,350,000 11/01/05 19 Yes (C2) 38,000,000.00 Yes (R7) 38,000,000.00 Fee Simple 660,000 11/11/05 ---------------------------------------------------------------------------------------------------------------------------------- 20 No 36,500,000.00 No 36,500,000.00 Fee Simple 48,610,000 03/20/06 21 No 34,800,000.00 No 34,800,000.00 Fee Simple 43,500,000 02/28/06 22 No 33,000,000.00 No 33,000,000.00 Fee Simple 46,700,000 12/01/05 23 No 32,812,500.00 Yes (R5) 39,704,701.69 Fee Simple 44,100,000 01/12/06 24 No 30,250,000.00 No 30,250,000.00 Fee Simple 41,600,000 01/11/06 25 No 26,700,000.00 No 26,700,000.00 Fee Simple 33,750,000 11/23/05 26 No 26,500,000.00 No 26,500,000.00 Fee Simple 30,600,000 11/18/05 27 No 25,600,000.00 No 25,600,000.00 Fee Simple 32,400,000 01/20/06 28 No 22,955,854.73 No 22,955,854.73 Fee Simple 33,160,000 03/01/06 29 No 22,500,000.00 Yes (R9) 35,350,000.00 Fee Simple 29,300,000 11/27/05 30 No 22,167,000.00 Yes (R8) 36,967,000.00 Fee Simple 32,500,000 06/24/05 31 No 21,900,000.00 No 21,900,000.00 Fee Simple 28,200,000 03/21/06 32 No 20,000,000.00 No 20,000,000.00 Leasehold 26,000,000 12/27/05 33 No 19,900,000.00 Yes (R4) 49,320,000.00 Fee Simple 27,350,000 01/27/06 34 No 19,900,000.00 Yes (R3) 50,865,000.00 Fee Simple 27,250,000 01/11/06 35 No 19,895,714.89 No 19,895,714.89 Fee Simple 26,300,000 12/06/05 36 No 19,815,000.00 Yes (R3) 50,865,000.00 Fee Simple 25,600,000 01/15/06 37 No 19,500,000.00 No 19,500,000.00 Fee Simple 26,000,000 07/01/06 38 No 18,800,000.00 No 18,800,000.00 Fee Simple 23,500,000 11/01/05 39 No 17,500,000.00 No 17,500,000.00 Fee Simple 25,500,000 10/28/05 40 No 17,480,000.00 No 17,480,000.00 Fee Simple 22,000,000 02/22/06 41 No 17,120,000.00 Yes (R4) 49,320,000.00 Fee Simple 23,500,000 02/23/06 42 No 16,659,061.47 No 16,659,061.47 Fee in Part, Leasehold in Part 34,200,000 09/01/05 43 No 16,250,000.00 No 16,250,000.00 Fee Simple 21,350,000 01/18/06 44 No 16,200,000.00 No 16,200,000.00 Fee Simple 22,150,000 12/08/05 45 No 16,000,000.00 No 16,000,000.00 Fee Simple 24,900,000 01/04/06 46 No 15,881,825.18 No 15,881,825.18 Fee Simple 24,900,000 11/28/05 47 No 15,558,229.72 Yes (R11) 30,952,812.83 Fee Simple 21,700,000 01/26/06 48 No 15,540,000.00 Yes (R13) 23,940,000.00 Fee Simple 22,500,000 11/29/05 49 No 15,190,000.00 No 15,190,000.00 Fee Simple 19,600,000 01/11/06 50 No 14,904,880.26 No 14,904,880.26 Fee Simple 19,390,000 04/06/05 51 No 14,800,000.00 Yes (R8) 36,967,000.00 Fee Simple 21,450,000 08/29/05 ---------------------------------------------------------------------------------------------------------------------------------- 52 Yes (C3) 14,725,000.00 Yes (R17) 14,725,000.00 Fee Simple 11,200,000 12/21/05 53 Yes (C3) 14,725,000.00 Yes (R17) 14,725,000.00 Fee Simple 7,400,000 12/21/05 ---------------------------------------------------------------------------------------------------------------------------------- 54 No 14,600,000.00 No 14,600,000.00 Fee Simple 18,500,000 01/13/06 55 No 14,500,000.00 Yes (R10) 32,900,000.00 Fee Simple 20,400,000 12/22/05 56 No 14,500,000.00 Yes (R2) 51,026,873.57 Fee Simple 21,000,000 01/01/06 57 No 14,487,323.99 No 14,487,323.99 Fee Simple 18,750,000 02/15/06 58 No 14,475,000.00 No 14,475,000.00 Fee Simple 19,900,000 03/27/06 59 No 14,360,000.00 No 14,360,000.00 Fee Simple 19,450,000 10/14/05 ---------------------------------------------------------------------------------------------------------------------------------- 60 Yes (C4) 14,126,250.86 Yes (R18) 14,126,250.86 Fee Simple 9,500,000 11/16/05 61 Yes (C4) 14,126,250.86 Yes (R18) 14,126,250.86 Fee Simple 9,800,000 11/16/05 ---------------------------------------------------------------------------------------------------------------------------------- 62 No 14,000,000.00 No 14,000,000.00 Fee Simple 22,200,000 01/04/06 63 No 13,500,000.00 No 13,500,000.00 Fee Simple 18,400,000 03/24/06 64 No 13,472,999.49 Yes (R14) 18,457,767.92 Fee Simple 19,850,000 12/30/05 ---------------------------------------------------------------------------------------------------------------------------------- 65 No 13,257,088.85 Yes (R2) 51,026,873.57 Fee Simple 18,600,000 02/01/06 65.1 Fee Simple 7,300,000 02/01/06 65.2 Fee Simple 6,000,000 02/01/06 65.3 Fee Simple 5,300,000 02/01/06 ---------------------------------------------------------------------------------------------------------------------------------- 66 No 13,200,000.00 No 13,200,000.00 Fee Simple 17,700,000 03/15/06 67 No 13,000,000.00 No 13,000,000.00 Fee Simple 16,300,000 04/03/06 68 No 13,000,000.00 No 13,000,000.00 Fee Simple 17,500,000 12/07/05 69 No 12,850,000.00 Yes (R9) 35,350,000.00 Fee Simple 16,600,000 02/24/06 ---------------------------------------------------------------------------------------------------------------------------------- 70 No 12,305,040.06 No 12,305,040.06 Fee Simple 16,000,000 12/15/05 70.1 Fee Simple 10,100,000 12/15/05 70.2 Fee Simple 5,900,000 12/15/05 ---------------------------------------------------------------------------------------------------------------------------------- 71 No 12,300,000.00 Yes (R4) 49,320,000.00 Fee Simple 16,700,000 11/10/05 72 No 12,000,000.00 No 12,000,000.00 Fee Simple 18,750,000 02/23/06 73 No 11,717,659.97 No 11,717,659.97 Fee Simple 15,700,000 10/07/05 ---------------------------------------------------------------------------------------------------------------------------------- 74 No 11,679,814.72 Yes (R2) 51,026,873.57 Fee Simple 18,500,000 02/01/06 74.1 Fee Simple 13,100,000 02/01/06 74.2 Fee Simple 5,400,000 02/01/06 ---------------------------------------------------------------------------------------------------------------------------------- 75 No 11,589,970.00 Yes (R2) 51,026,873.57 Fee Simple 16,700,000 02/01/06 75.1 Fee Simple 9,800,000 02/01/06 75.2 Fee Simple 6,900,000 02/01/06 ---------------------------------------------------------------------------------------------------------------------------------- 76 No 11,400,000.00 No 11,400,000.00 Fee Simple 14,800,000 07/28/06 77 No 11,150,000.00 Yes (R3) 50,865,000.00 Fee in Part, Leasehold in Part 14,750,000 11/21/05 78 No 11,004,000.00 No 11,004,000.00 Fee Simple 14,700,000 11/20/05 79 No 10,953,250.82 No 10,953,250.82 Fee Simple 14,700,000 11/14/05 80 No 10,405,000.00 Yes (R16) 18,102,000.00 Fee Simple 13,250,000 01/09/06 81 No 10,069,086.88 No 10,069,086.88 Fee in Part, Leasehold in Part 12,750,000 01/27/06 82 No 9,528,182.19 No 9,528,182.19 Fee Simple 13,500,000 11/08/05 83 No 9,429,933.55 Yes (R11) 30,952,812.83 Fee Simple 12,700,000 11/10/05 84 No 9,300,000.00 Yes (R10) 32,900,000.00 Fee Simple 14,100,000 12/15/05 85 No 9,200,000.00 Yes (R19) 13,038,865.54 Fee Simple 14,000,000 03/22/06 86 No 9,100,000.00 Yes (R10) 32,900,000.00 Fee Simple 13,400,000 12/19/05 87 No 8,993,688.75 No 8,993,688.75 Fee Simple 11,250,000 02/20/06 88 No 8,800,000.00 No 8,800,000.00 Fee Simple 11,900,000 02/21/06 89 No 8,800,000.00 No 8,800,000.00 Fee Simple 11,000,000 11/21/05 90 No 8,659,854.23 No 8,659,854.23 Fee Simple 12,800,000 02/06/06 91 No 8,579,099.25 No 8,579,099.25 Fee Simple 12,300,000 01/18/06 92 No 8,550,000.00 No 8,550,000.00 Fee Simple 10,700,000 11/12/05 93 No 8,400,000.00 Yes (R13) 23,940,000.00 Fee Simple 12,200,000 12/02/05 94 No 8,250,000.00 No 8,250,000.00 Fee Simple 11,800,000 02/14/06 95 No 8,200,000.00 Yes (R12) 26,400,000.00 Fee Simple 10,250,000 01/01/06 96 No 8,014,417.28 No 8,014,417.28 Fee Simple 10,500,000 12/12/05 97 No 7,900,000.00 Yes (R15) 18,120,000.00 Fee Simple 12,200,000 10/13/05 98 No 7,750,000.00 No 7,750,000.00 Fee Simple 10,000,000 04/04/06 99 No 7,600,000.00 No 7,600,000.00 Fee Simple 10,160,000 03/25/06 100 No 7,500,000.00 No 7,500,000.00 Fee Simple 11,650,000 12/22/05 101 No 7,500,000.00 No 7,500,000.00 Fee Simple 13,200,000 12/14/05 102 No 7,500,000.00 No 7,500,000.00 Fee Simple 15,300,000 01/30/06 103 No 7,455,000.00 No 7,455,000.00 Fee Simple 10,650,000 11/01/05 104 No 7,430,000.00 No 7,430,000.00 Fee Simple 9,500,000 10/26/05 105 No 7,300,000.00 Yes (R20) 11,800,000.00 Fee Simple 9,900,000 03/07/06 106 No 7,275,000.00 No 7,275,000.00 Fee Simple 9,560,000 12/01/05 107 No 7,240,000.00 Yes (R12) 26,400,000.00 Fee Simple 9,050,000 01/01/06 108 No 7,000,000.00 No 7,000,000.00 Fee Simple 10,775,000 10/20/05 109 No 6,991,360.08 No 6,991,360.08 Fee Simple 10,800,000 08/23/05 110 No 6,940,000.00 No 6,940,000.00 Fee Simple 11,500,000 12/21/05 111 No 6,896,389.40 No 6,896,389.40 Fee Simple 9,320,000 02/22/06 112 No 6,892,201.69 Yes (R5) 39,704,701.69 Fee Simple 10,240,000 01/31/06 113 No 6,863,000.00 No 6,863,000.00 Fee Simple 10,890,000 02/20/06 114 No 6,600,000.00 No 6,600,000.00 Fee Simple 8,500,000 12/02/05 115 No 6,132,921.72 No 6,132,921.72 Fee Simple 8,390,000 02/01/06 116 No 6,059,995.36 No 6,059,995.36 Fee Simple 8,330,000 10/28/05 117 No 6,000,000.00 No 6,000,000.00 Fee Simple 10,100,000 01/12/06 118 No 6,000,000.00 No 6,000,000.00 Fee Simple 8,100,000 11/17/05 119 No 5,964,649.56 Yes (R11) 30,952,812.83 Fee Simple 8,200,000 07/21/05 120 No 5,868,991.07 No 5,868,991.07 Fee Simple 7,400,000 10/20/05 121 No 5,865,000.00 No 5,865,000.00 Fee Simple 9,775,000 10/21/05 122 No 5,840,000.00 Yes (R12) 26,400,000.00 Fee Simple 7,300,000 01/01/06 123 No 5,720,136.79 No 5,720,136.79 Fee Simple 7,250,000 09/01/05 ---------------------------------------------------------------------------------------------------------------------------------- 124 Yes (C5) 5,720,000.00 Yes (R15) 18,120,000.00 Fee Simple 4,820,000 10/12/05 125 Yes (C5) 5,720,000.00 Yes (R15) 18,120,000.00 Fee Simple 1,500,000 10/14/05 126 Yes (C5) 5,720,000.00 Yes (R15) 18,120,000.00 Fee Simple 1,330,000 10/18/05 ---------------------------------------------------------------------------------------------------------------------------------- 127 No 5,648,000.00 No 5,648,000.00 Fee Simple 7,335,000 03/16/06 128 No 5,500,000.00 No 5,500,000.00 Fee Simple 8,200,000 11/04/05 129 No 5,500,000.00 No 5,500,000.00 Fee Simple 7,500,000 12/29/05 130 No 5,500,000.00 No 5,500,000.00 Fee Simple 10,800,000 03/08/06 131 No 5,350,000.00 No 5,350,000.00 Leasehold 13,700,000 11/02/05 132 No 5,318,235.01 No 5,318,235.01 Fee Simple 6,700,000 10/27/05 133 No 5,267,694.39 No 5,267,694.39 Fee Simple 7,600,000 11/30/05 134 No 5,155,000.00 No 5,155,000.00 Fee Simple 6,800,000 03/06/06 135 No 5,120,000.00 Yes (R12) 26,400,000.00 Fee Simple 6,400,000 01/01/06 136 No 5,080,000.00 No 5,080,000.00 Fee Simple 6,350,000 01/14/06 137 No 5,036,062.11 Yes (R21) 9,722,978.11 Fee Simple 7,000,000 11/03/05 138 No 4,984,768.43 Yes (R14) 18,457,767.92 Fee Simple 8,275,000 12/30/05 139 No 4,989,402.83 No 4,989,402.83 Fee Simple 6,250,000 10/05/05 140 No 4,805,000.00 Yes (R16) 18,102,000.00 Fee Simple 6,000,000 01/09/06 141 No 4,767,517.24 No 4,767,517.24 Fee Simple 6,040,000 03/19/05 142 No 4,753,131.80 Yes (R1) 204,753,131.80 Fee Simple 6,100,000 07/21/05 143 No 4,750,000.00 No 4,750,000.00 Fee Simple 6,200,000 11/03/05 144 No 4,686,916.00 Yes (R21) 9,722,978.11 Fee Simple 6,900,000 11/03/05 145 No 4,500,000.00 Yes (R20) 11,800,000.00 Fee Simple 6,000,000 11/05/05 146 No 4,500,000.00 No 4,500,000.00 Fee Simple 7,000,000 03/08/06 147 No 4,500,000.00 Yes (R15) 18,120,000.00 Fee Simple 6,300,000 10/18/05 148 No 4,100,000.00 No 4,100,000.00 Fee Simple 5,500,000 12/01/05 149 No 4,045,121.50 No 4,045,121.50 Fee Simple 5,380,000 12/29/05 150 No 3,996,501.37 Yes (R22) 7,992,912.32 Fee Simple 6,100,000 02/10/06 151 No 3,996,410.95 Yes (R22) 7,992,912.32 Fee Simple 5,875,000 02/06/06 152 No 3,890,000.00 No 3,890,000.00 Fee Simple 5,000,000 11/01/05 153 No 3,838,865.54 Yes (R19) 13,038,865.54 Fee Simple 5,500,000 01/21/06 154 No 3,689,078.23 No 3,689,078.23 Fee Simple 5,500,000 11/14/05 155 No 3,541,365.12 No 3,541,365.12 Fee Simple 4,550,000 06/10/05 156 No 3,520,000.00 No 3,520,000.00 Fee Simple 4,600,000 09/20/05 157 No 3,435,032.39 No 3,435,032.39 Fee Simple 6,730,000 12/08/05 158 No 3,397,357.05 No 3,397,357.05 Fee Simple 5,800,000 02/14/06 159 No 3,397,342.69 No 3,397,342.69 Fee Simple 5,310,000 03/23/06 160 No 2,892,000.00 Yes (R16) 18,102,000.00 Fee Simple 3,900,000 12/21/05 161 No 2,845,738.79 No 2,845,738.79 Fee Simple 3,800,000 09/14/05 162 No 2,600,000.00 No 2,600,000.00 Fee Simple 5,400,000 04/07/06 163 No 2,357,246.41 No 2,357,246.41 Fee in Part, Leasehold in Part 3,175,000 09/21/05 164 No 1,892,135.07 Yes (R23) 3,634,877.38 Fee Simple 2,600,000 12/12/05 165 No 1,742,742.31 Yes (R23) 3,634,877.38 Fee Simple 2,400,000 12/12/05 166 No 865,000.00 No 865,000.00 Fee Simple 1,400,000 03/23/06 ADMIN- CUT-OFF DATE MATURITY DATE / ISTRATIVE LOAN LTV RATIO ARD LTV RATIO FEE NET MORTGAGE RATE INTEREST NUMBER (NOTE 2) (NOTE 3) ORIGINAL BALANCE MORTGAGE RATE RATE RATE TYPE ACCRUAL METHOD ------------------------------------------------------------------------------------------------------------------------------- 1 76.39% (Note 5) 65.89% (Note 5) 200,000,000.00 6.5875% 0.0409% 6.5466% Fixed Actual/360 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 1.40 1.41 1.42 1.43 1.44 1.45 1.46 1.47 1.48 1.49 1.50 1.51 1.52 1.53 1.54 1.55 1.56 1.57 1.58 1.59 1.60 1.61 1.62 1.63 1.64 1.65 1.66 1.67 1.68 1.69 1.70 1.71 1.72 1.73 1.74 1.75 1.76 1.77 1.78 1.79 1.80 1.81 1.82 1.83 1.84 1.85 1.86 1.87 1.88 1.89 1.90 1.91 1.92 1.93 1.94 1.95 1.96 1.97 1.98 1.99 1.100 1.101 1.102 1.103 1.104 1.105 1.106 1.107 1.108 1.109 1.110 1.111 1.112 ------------------------------------------------------------------------------------------------------------------------------- 2 70.74% 61.97% 133,000,000 5.5000% 0.0309% 5.4691% Fixed Actual/360 3 72.66% 72.66% 93,000,000 5.5720% 0.0309% 5.5411% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 4 49.52% 49.52% 72,000,000 5.3225% 0.0309% 5.2916% Fixed Actual/360 4.1 4.2 4.3 4.4 4.5 4.6 4.7 ------------------------------------------------------------------------------------------------------------------------------- 5 52.28% 49.71% 63,000,000 6.0800% 0.0309% 6.0491% Fixed Actual/360 5.1 5.2 ------------------------------------------------------------------------------------------------------------------------------- 6 69.18% 61.49% 55,000,000 5.1900% 0.0609% 5.1291% Fixed Actual/360 7 74.64% 67.87% 42,695,000 5.3100% 0.0409% 5.2691% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 8 74.53% 57.49% 19,762,500 5.8800% 0.0709% 5.8091% Fixed Actual/360 9 74.53% 57.49% 9,487,500 5.8800% 0.0709% 5.8091% Fixed Actual/360 10 74.53% 57.49% 4,670,000 5.8800% 0.0709% 5.8091% Fixed Actual/360 11 74.53% 57.49% 4,350,000 5.8800% 0.0709% 5.8091% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 12 79.90% 74.16% 9,615,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 13 79.90% 74.16% 7,623,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 14 79.90% 74.16% 6,763,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 15 79.90% 74.16% 6,340,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 16 79.90% 74.16% 4,131,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 17 79.90% 74.16% 1,510,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 18 79.90% 74.16% 1,297,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 19 79.90% 74.16% 721,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 20 75.09% 67.62% 36,500,000 5.8200% 0.0409% 5.7791% Fixed Actual/360 21 80.00% 72.18% 34,800,000 5.9200% 0.0409% 5.8791% Fixed Actual/360 22 70.66% 66.06% 33,000,000 5.9400% 0.0409% 5.8991% Fixed Actual/360 23 74.40% 68.92% 32,812,500 6.4100% 0.0309% 6.3791% Fixed Actual/360 24 72.72% 67.54% 30,250,000 5.4850% 0.0309% 5.4541% Fixed Actual/360 25 79.11% 73.46% 26,700,000 5.4700% 0.0309% 5.4391% Fixed Actual/360 26 75.94% 68.09% 26,500,000 5.6000% 0.0309% 5.5691% Fixed Actual/360 27 79.01% 70.68% 25,600,000 5.4900% 0.0309% 5.4591% Fixed Actual/360 28 69.23% 58.46% 23,000,000 5.7836% 0.0309% 5.7527% Fixed Actual/360 29 76.79% 71.29% 22,500,000 5.4500% 0.0309% 5.4191% Fixed Actual/360 30 68.21% 65.56% 22,167,000 4.435% (Note 7) 0.0309% 4.4041% (Note 7) Fixed Actual/360 31 77.66% 69.88% 21,900,000 5.7800% 0.0309% 5.7491% Fixed Actual/360 32 76.92% 67.43% 20,000,000 5.5300% 0.0459% 5.4841% Fixed Actual/360 33 72.76% 67.75% 19,900,000 5.6400% 0.0309% 5.6091% Fixed Actual/360 34 73.03% 69.48% 19,900,000 5.5800% 0.0309% 5.5491% Fixed Actual/360 35 75.65% 63.80% 20,000,000 5.6500% 0.0309% 5.6191% Fixed Actual/360 36 77.40% 73.64% 19,815,000 5.5800% 0.0309% 5.5491% Fixed Actual/360 37 75.00% 58.09% 19,500,000 6.0000% 0.0709% 5.9291% Fixed Actual/360 38 80.00% 70.98% 18,800,000 6.0450% 0.0309% 6.0141% Fixed Actual/360 39 68.63% 61.47% 17,500,000 5.5500% 0.0409% 5.5091% Fixed Actual/360 40 79.45% 69.90% 17,480,000 5.6800% 0.0309% 5.6491% Fixed Actual/360 41 72.85% 65.40% 17,120,000 5.6600% 0.0309% 5.6291% Fixed Actual/360 42 48.71% 38.07% 16,800,000 6.0300% 0.0309% 5.9991% Fixed Actual/360 43 76.11% 70.99% 16,250,000 5.7650% 0.0309% 5.7341% Fixed Actual/360 44 73.14% 63.10% 16,200,000 5.7700% 0.0309% 5.7391% Fixed Actual/360 45 64.26% 64.26% 16,000,000 5.4900% 0.0309% 5.4591% Fixed Actual/360 46 63.78% 49.36% 16,000,000 5.7710% 0.0309% 5.7401% Fixed Actual/360 47 71.70% 65.11% 15,600,000 6.1050% 0.0309% 6.0741% Fixed Actual/360 48 69.07% 61.88% 15,540,000 5.5600% 0.0409% 5.5191% Fixed Actual/360 49 77.50% 72.28% 15,190,000 5.7600% 0.0309% 5.7291% Fixed Actual/360 50 76.87% 64.60% 15,000,000 5.4950% 0.0309% 5.4641% Fixed Actual/360 51 69.00% 66.28% 14,800,000 4.375% (Note 8) 0.0309% 4.3441% (Note 8) Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 52 79.17% 69.63% 8,879,000 5.6650% 0.0709% 5.5941% Fixed Actual/360 53 79.17% 69.63% 5,846,000 5.6650% 0.0709% 5.5941% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 54 78.92% 73.03% 14,600,000 5.2300% 0.0309% 5.1991% Fixed Actual/360 55 71.08% 63.68% 14,500,000 5.5800% 0.0309% 5.5491% Fixed Actual/360 56 69.05% 64.38% 14,500,000 5.7400% 0.0409% 5.6991% Fixed Actual/360 57 77.27% 65.20% 14,500,000 5.7950% 0.0309% 5.7641% Fixed Actual/360 58 72.74% 61.62% 14,475,000 5.9600% 0.0709% 5.8891% Fixed Actual/360 59 73.83% 73.83% 14,360,000 5.7790% 0.0309% 5.7481% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 60 73.19% 68.51% 7,100,000 5.6700% 0.0309% 5.6391% Fixed Actual/360 61 73.19% 68.51% 7,100,000 5.6700% 0.0309% 5.6391% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 62 63.06% 63.06% 14,000,000 5.5150% 0.0309% 5.4841% Fixed Actual/360 63 73.37% 67.29% 13,500,000 5.8000% 0.0609% 5.7391% Fixed Actual/360 64 67.87% 56.99% 13,500,000 5.5950% 0.0309% 5.5641% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 65 71.27% 61.02% 13,280,000 6.2600% 0.0309% 6.2291% Fixed Actual/360 65.1 65.2 65.3 ------------------------------------------------------------------------------------------------------------------------------- 66 74.58% 67.32% 13,200,000 5.9400% 0.0709% 5.8691% Fixed Actual/360 67 79.75% 71.94% 13,000,000 5.9000% 0.0709% 5.8291% Fixed Actual/360 68 74.29% 69.60% 13,000,000 6.1000% 0.0309% 6.0691% Fixed Actual/360 69 77.41% 72.58% 12,850,000 6.1540% 0.0309% 6.1231% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 70 76.91% 64.92% 12,340,000 5.7400% 0.0309% 5.7091% Fixed Actual/360 70.1 70.2 ------------------------------------------------------------------------------------------------------------------------------- 71 73.65% 68.46% 12,300,000 5.5400% 0.0309% 5.5091% Fixed Actual/360 72 64.00% 59.91% 12,000,000 6.0300% 0.0309% 5.9991% Fixed Actual/360 73 74.63% 63.23% 11,750,000 5.8650% 0.0709% 5.7941% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 74 63.13% 54.05% 11,700,000 6.2600% 0.0309% 6.2291% Fixed Actual/360 74.1 74.2 ------------------------------------------------------------------------------------------------------------------------------- 75 69.40% 59.42% 11,610,000 6.2600% 0.0309% 6.2291% Fixed Actual/360 75.1 75.2 ------------------------------------------------------------------------------------------------------------------------------- 76 77.03% 68.63% 11,400,000 6.2400% 0.0709% 6.1691% Fixed Actual/360 77 75.59% 71.98% 11,150,000 5.6680% 0.0309% 5.6371% Fixed Actual/360 78 74.86% 66.95% 11,004,000 5.5000% 0.0309% 5.4691% Fixed Actual/360 79 74.51% 62.87% 11,000,000 5.7000% 0.0809% 5.6191% Fixed Actual/360 80 78.53% 70.31% 10,405,000 5.5330% 0.0309% 5.5021% Fixed Actual/360 81 78.97% 66.89% 10,088,000 5.8900% 0.0609% 5.8291% Fixed Actual/360 82 70.58% 54.47% 9,600,000 5.6900% 0.0609% 5.6291% Fixed Actual/360 83 74.25% 57.48% 9,500,000 5.7800% 0.0309% 5.7491% Fixed Actual/360 84 65.96% 56.68% 9,300,000 5.6400% 0.0309% 5.6091% Fixed Actual/360 85 65.71% 61.39% 9,200,000 5.8900% 0.0709% 5.8191% Fixed Actual/360 86 67.91% 60.76% 9,100,000 5.5150% 0.0309% 5.4841% Fixed Actual/360 87 79.94% 69.06% 9,000,000 6.6100% 0.0909% 6.5191% Fixed Actual/360 88 73.95% 65.82% 8,800,000 6.1900% 0.0909% 6.0991% Fixed Actual/360 89 80.00% 74.37% 8,800,000 5.5500% 0.0309% 5.5191% Fixed Actual/360 90 67.66% 57.47% 8,667,000 6.0200% 0.0709% 5.9491% Fixed Actual/360 91 69.75% 59.19% 8,595,000 5.9500% 0.0309% 5.9191% Fixed Actual/360 92 79.91% 71.50% 8,550,000 5.5200% 0.0609% 5.4591% Fixed Actual/360 93 68.85% 61.61% 8,400,000 5.5200% 0.0409% 5.4791% Fixed Actual/360 94 69.92% 62.63% 8,250,000 5.5600% 0.0309% 5.5291% Fixed Actual/360 95 80.00% 71.57% 8,200,000 5.5140% 0.0309% 5.4831% Fixed Actual/360 96 76.33% 64.00% 8,050,000 5.4900% 0.0309% 5.4591% Fixed Actual/360 97 64.75% 51.71% 7,900,000 5.7900% 0.0309% 5.7591% Fixed Actual/360 98 77.50% (Note 6) 66.27% (Note 6) 7,750,000 6.2800% 0.0909% 6.1891% Fixed Actual/360 99 74.80% 64.64% 7,600,000 6.6500% 0.0909% 6.5591% Fixed Actual/360 100 64.38% 64.38% 7,500,000 5.6950% 0.0409% 5.6541% Fixed Actual/360 101 56.82% 50.94% 7,500,000 5.6000% 0.0909% 5.5091% Fixed Actual/360 102 49.02% 49.02% 7,500,000 5.4900% 0.0309% 5.4591% Fixed Actual/360 103 70.00% 61.53% 7,455,000 5.6400% 0.0309% 5.6091% Fixed Actual/360 104 78.21% 70.19% 7,430,000 5.6600% 0.0309% 5.6291% Fixed Actual/360 105 73.74% 66.34% 7,300,000 5.7700% 0.0709% 5.6991% Fixed Actual/360 106 76.10% 66.60% 7,275,000 5.4600% 0.0709% 5.3891% Fixed Actual/360 107 80.00% 71.57% 7,240,000 5.5140% 0.0309% 5.4831% Fixed Actual/360 108 64.97% 59.41% 7,000,000 5.6300% 0.0309% 5.5991% Fixed Actual/360 109 64.73% 50.49% 7,000,000 6.1700% 0.0909% 6.0791% Fixed Actual/360 110 60.35% 60.35% 6,940,000 5.4900% 0.0309% 5.4591% Fixed Actual/360 111 74.00% 58.11% 6,900,000 7.5600% 0.1309% 7.4291% Fixed Actual/360 112 67.31% 53.25% 6,900,000 6.6050% 0.0309% 6.5741% Fixed Actual/360 113 63.02% 55.00% 6,863,000 6.2100% 0.0709% 6.1391% Fixed Actual/360 114 77.65% 67.95% 6,600,000 5.4630% 0.0309% 5.4321% Fixed Actual/360 115 73.10% 61.52% 6,145,000 5.6750% 0.0309% 5.6441% Fixed Actual/360 116 72.75% 52.74% 6,091,000 5.7710% 0.0509% 5.7201% Fixed Actual/360 117 59.41% 50.17% 6,000,000 5.3600% 0.0309% 5.3291% Fixed Actual/360 118 74.07% 66.40% 6,000,000 5.6050% 0.0309% 5.5741% Fixed Actual/360 119 72.74% 55.79% 6,040,000 5.3600% 0.0309% 5.3291% Fixed Actual/360 120 79.31% 66.81% 5,900,000 5.6100% 0.0309% 5.5791% Fixed Actual/360 121 60.00% 53.39% 5,865,000 5.2500% 0.0309% 5.2191% Fixed Actual/360 122 80.00% 71.58% 5,840,000 5.5180% 0.0309% 5.4871% Fixed Actual/360 123 78.90% 66.58% 5,750,000 5.6700% 0.1109% 5.5591% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 124 74.77% 59.47% 3,583,130 5.6900% 0.0309% 5.6591% Fixed Actual/360 125 74.77% 59.47% 1,120,980 5.6900% 0.0309% 5.6591% Fixed Actual/360 126 74.77% 59.47% 1,015,890 5.6900% 0.0309% 5.6591% Fixed Actual/360 ------------------------------------------------------------------------------------------------------------------------------- 127 77.00% 65.88% 5,648,000 6.3000% 0.0709% 6.2291% Fixed Actual/360 128 67.07% 60.06% 5,500,000 5.5350% 0.0309% 5.5041% Fixed Actual/360 129 73.33% 65.75% 5,500,000 5.5950% 0.0909% 5.5041% Fixed Actual/360 130 50.93% 47.53% 5,500,000 5.8100% 0.0909% 5.7191% Fixed Actual/360 131 39.05% 39.05% 5,350,000 5.4280% 0.0309% 5.3971% Fixed Actual/360 132 79.38% 66.99% 5,346,000 5.6700% 0.0709% 5.5991% Fixed Actual/360 133 69.31% 53.42% 5,300,000 5.6950% 0.0609% 5.6341% Fixed Actual/360 134 75.81% 68.42% 5,155,000 5.9300% 0.0609% 5.8691% Fixed Actual/360 135 80.00% 71.58% 5,120,000 5.5170% 0.0309% 5.4861% Fixed Actual/360 136 80.00% 74.28% 5,080,000 5.4400% 0.0309% 5.4091% Fixed Actual/360 137 71.94% 55.75% 5,050,000 5.9300% 0.0709% 5.8591% Fixed Actual/360 138 60.24% 50.36% 5,000,000 5.4200% 0.0309% 5.3891% Fixed Actual/360 139 79.83% 66.47% 5,000,000 5.3250% 0.0309% 5.2941% Fixed Actual/360 140 80.08% 71.70% 4,805,000 5.5330% 0.0309% 5.5021% Fixed Actual/360 141 78.93% 66.31% 4,832,000 5.2538% 0.0309% 5.2229% Fixed Actual/360 142 77.92% 65.52% 4,800,000 5.4000% 0.0309% 5.3691% Fixed Actual/360 143 76.61% 68.42% 4,750,000 5.4250% 0.1109% 5.3141% Fixed Actual/360 144 67.93% 52.54% 4,700,000 5.8800% 0.0709% 5.8091% Fixed Actual/360 145 75.00% 59.31% 4,500,000 6.6300% 0.0409% 6.5891% Fixed Actual/360 146 64.29% 60.33% 4,500,000 6.2300% 0.0709% 6.1591% Fixed Actual/360 147 71.43% 57.04% 4,500,000 5.7900% 0.0309% 5.7591% Fixed Actual/360 148 74.55% 64.38% 4,100,000 5.8100% 0.0309% 5.7791% Fixed Actual/360 149 75.19% 58.88% 4,050,000 6.2920% 0.0309% 6.2611% Fixed Actual/360 150 65.52% 55.28% 4,000,000 5.7930% 0.0909% 5.7021% Fixed Actual/360 151 68.02% 57.23% 4,000,000 5.6930% 0.0909% 5.6021% Fixed Actual/360 152 77.80% 69.78% 3,890,000 5.6300% 0.0509% 5.5791% Fixed Actual/360 153 69.80% 58.76% 3,850,000 5.6500% 0.0609% 5.5891% Fixed Actual/360 154 67.07% 56.32% 3,700,000 5.5600% 0.0609% 5.4991% Fixed Actual/360 155 77.83% 70.24% 3,580,000 5.3900% 0.0309% 5.3591% Fixed Actual/360 156 76.52% 67.05% 3,520,000 5.5100% 0.0709% 5.4391% Fixed Actual/360 157 51.04% 42.93% 3,450,000 5.5900% 0.0309% 5.5591% Fixed Actual/360 158 58.58% 50.08% 3,400,000 6.2400% 0.0409% 6.1991% Fixed Actual/360 159 63.98% 54.67% 3,400,000 6.2200% 0.0909% 6.1291% Fixed Actual/360 160 74.15% 64.97% 2,892,000 5.5100% 0.0309% 5.4791% Fixed Actual/360 161 74.89% 62.95% 2,861,000 5.5350% 0.0309% 5.5041% Fixed Actual/360 162 48.15% 40.98% 2,600,000 6.1200% 0.0909% 6.0291% Fixed Actual/360 163 74.24% 62.46% 2,375,000 5.4900% 0.0909% 5.3991% Fixed Actual/360 164 72.77% 61.66% 1,900,000 5.8400% 0.0309% 5.8091% Fixed Actual/360 165 72.61% 61.51% 1,750,000 5.8300% 0.0309% 5.7991% Fixed Actual/360 166 61.79% 53.09% 865,000 6.4500% 0.0909% 6.3591% Fixed Actual/360 ORIGINAL STATED TERM TO INTEREST ORIGINAL FIRST GRACE SCHEDULED MATURITY/ ONLY AMORTIZATION LOAN NOTE PAYMENT PERIOD MATURITY MONTHLY DEBT ARD (PERIOD) TERM NUMBER LOAN TYPE DATE DATE (NOTE 9) DATE/ ARD SERVICE PAYMENT (MONTHS) (MONTHS) (MONTHS) ---------------------------------------------------------------------------------------------------------------------------- 1 Balloon 05/31/06 07/05/06 3 06/05/16 1,275,666.82 120 360 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 1.40 1.41 1.42 1.43 1.44 1.45 1.46 1.47 1.48 1.49 1.50 1.51 1.52 1.53 1.54 1.55 1.56 1.57 1.58 1.59 1.60 1.61 1.62 1.63 1.64 1.65 1.66 1.67 1.68 1.69 1.70 1.71 1.72 1.73 1.74 1.75 1.76 1.77 1.78 1.79 1.80 1.81 1.82 1.83 1.84 1.85 1.86 1.87 1.88 1.89 1.90 1.91 1.92 1.93 1.94 1.95 1.96 1.97 1.98 1.99 1.100 1.101 1.102 1.103 1.104 1.105 1.106 1.107 1.108 1.109 1.110 1.111 1.112 ---------------------------------------------------------------------------------------------------------------------------- 2 Partial IO/Balloon 03/15/06 05/11/06 0 04/11/16 755,159.37 120 24 360 3 Interest Only 12/21/05 02/09/06 0 01/09/13 437,827.64 84 84 Interest Only ---------------------------------------------------------------------------------------------------------------------------- 4 Interest Only 01/06/06 02/09/06 0 01/09/16 323,785.42 120 120 Interest Only 4.1 4.2 4.3 4.4 4.5 4.6 4.7 ---------------------------------------------------------------------------------------------------------------------------- 5 Partial IO/Balloon 03/01/06 04/01/06 0 03/01/13 380,963.22 84 36 360 5.1 5.2 ---------------------------------------------------------------------------------------------------------------------------- 6 Partial IO/Balloon 06/03/05 08/01/05 5 07/01/15 301,671.31 120 36 360 7 Partial IO/Balloon 10/06/05 11/11/05 0 10/11/15 237,352.53 120 48 360 ---------------------------------------------------------------------------------------------------------------------------- 8 Balloon 05/19/06 07/11/06 0 06/11/16 125,884.36 120 300 9 Balloon 05/19/06 07/11/06 0 06/11/16 60,434.05 120 300 10 Balloon 05/19/06 07/11/06 0 06/11/16 29,747.25 120 300 11 Balloon 05/19/06 07/11/06 0 06/11/16 27,708.89 120 300 ---------------------------------------------------------------------------------------------------------------------------- 12 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 54,231.51 120 60 360 13 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 42,996.03 120 60 360 14 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 38,145.37 120 60 360 15 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 35,759.52 120 60 360 16 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 23,300.09 120 60 360 17 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 8,516.86 120 60 360 18 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 7,315.47 120 60 360 19 Partial IO/Balloon 12/23/05 02/11/06 0 01/11/16 4,066.66 120 60 360 ---------------------------------------------------------------------------------------------------------------------------- 20 Partial IO/Balloon 05/08/06 07/01/06 5 06/01/16 214,629.95 120 36 360 21 Partial IO/Balloon 04/28/06 07/01/06 5 06/01/16 206,857.07 120 36 360 22 Partial IO/Balloon 03/31/06 05/11/06 0 04/11/16 196,580.49 120 60 360 23 Partial IO/Balloon 05/11/06 06/11/06 0 05/11/16 205,459.02 120 48 360 24 Partial IO/Balloon 01/24/06 03/11/06 5 02/11/16 171,471.59 120 60 360 25 Partial IO/Balloon 01/24/06 03/11/06 0 02/11/16 151,097.49 120 60 360 26 Partial IO/Balloon 02/13/06 04/11/06 0 03/11/16 152,130.93 120 36 360 27 Partial IO/Balloon 03/30/06 05/11/06 0 04/11/16 145,193.41 120 36 360 28 Balloon 03/16/06 05/11/06 0 04/11/16 134,713.09 120 360 29 Partial IO/Balloon 01/10/06 02/11/06 0 01/11/16 127,047.58 120 60 360 30 Partial IO/Balloon 12/08/05 01/11/06 0 12/11/15 128,446.73 (Note 7) 120 84 360 31 Partial IO/Balloon 04/12/06 06/11/06 0 05/11/16 128,220.13 120 36 360 32 Partial IO/Balloon 01/31/06 03/11/06 0 02/11/16 113,934.53 120 24 360 33 Partial IO/Balloon 03/01/06 04/11/06 0 03/11/16 114,744.16 120 60 360 34 Partial IO/Balloon 02/16/06 04/11/06 0 03/11/16 107,911.46 120 60 420 35 Balloon 12/22/05 02/11/06 0 01/11/16 115,447.16 120 360 36 Partial IO/Balloon 02/16/06 04/11/06 0 03/11/16 107,450.53 120 60 420 37 Balloon 05/30/06 07/01/06 5 06/01/16 125,638.77 120 300 38 Partial IO/Balloon 04/12/06 06/11/06 0 05/11/16 113,259.98 120 24 360 39 Partial IO/Balloon 02/14/06 04/11/06 0 03/11/16 99,912.76 120 36 360 40 Partial IO/Balloon 03/23/06 05/11/06 0 04/11/16 101,232.56 120 24 360 41 Partial IO/Balloon 03/15/06 05/11/06 0 04/11/16 98,931.02 120 36 360 42 ARD 12/01/05 01/11/06 0 12/11/15 108,550.93 120 300 43 Partial IO/Balloon 03/22/06 05/11/06 0 04/11/16 94,985.49 120 60 360 44 Partial IO/Balloon 02/28/06 04/11/06 0 03/11/16 94,744.73 120 12 360 45 Interest Only 02/10/06 03/11/06 0 02/11/11 74,216.67 60 60 Interest Only 46 Balloon 12/30/05 02/11/06 0 01/11/16 100,860.17 120 300 47 Balloon 04/11/06 05/11/06 0 04/11/11 101,514.67 60 300 48 Partial IO/Balloon 02/27/06 04/11/06 0 03/11/16 88,820.30 120 36 360 49 Partial IO/Balloon 03/28/06 05/11/06 0 04/11/16 88,741.24 120 60 360 50 Balloon 12/01/05 01/11/06 0 12/11/15 85,121.30 120 360 51 Partial IO/Balloon 12/22/05 02/11/06 0 01/11/16 85,197.15 (Note 8) 120 84 360 ---------------------------------------------------------------------------------------------------------------------------- 52 Partial IO/Balloon 02/15/06 04/11/06 0 03/11/16 51,336.99 120 24 360 53 Partial IO/Balloon 02/15/06 04/11/06 0 03/11/16 33,800.66 120 24 360 ---------------------------------------------------------------------------------------------------------------------------- 54 Partial IO/Balloon 02/01/06 03/11/06 0 02/11/16 80,440.98 120 60 360 55 Partial IO/Balloon 12/28/05 02/11/06 0 01/11/16 83,058.68 120 36 360 56 Partial IO/Balloon 02/27/06 04/01/06 5 03/01/16 84,525.97 120 60 360 57 Balloon 04/12/06 06/11/06 0 05/11/16 85,033.03 120 360 58 Balloon 05/10/06 07/01/06 5 06/01/16 86,413.04 120 360 59 Interest Only 11/07/05 12/11/05 0 11/11/13 70,115.86 96 96 Interest Only ---------------------------------------------------------------------------------------------------------------------------- 60 Balloon 12/22/05 02/11/06 0 01/11/11 41,073.55 60 360 61 Balloon 12/22/05 02/11/06 0 01/11/11 41,073.55 60 360 ---------------------------------------------------------------------------------------------------------------------------- 62 Interest Only 02/10/06 03/11/06 0 02/11/13 65,235.30 84 84 Interest Only 63 Partial IO/Balloon 04/06/06 06/01/06 5 05/01/16 79,211.66 120 48 360 64 Balloon 04/03/06 05/11/06 0 04/11/16 77,458.10 120 360 ---------------------------------------------------------------------------------------------------------------------------- 65 Balloon 03/24/06 05/11/06 0 04/11/16 81,853.63 120 360 65.1 65.2 65.3 ---------------------------------------------------------------------------------------------------------------------------- 66 Partial IO/Balloon 04/18/06 06/01/06 5 05/01/16 78,632.20 120 36 360 67 Partial IO/Balloon 04/24/06 06/01/06 5 05/01/16 77,107.75 120 36 360 68 Partial IO/Balloon 04/27/06 06/11/06 0 05/11/16 78,779.32 120 60 360 69 Partial IO/ARD 04/26/06 06/11/06 0 05/11/16 78,319.10 120 60 360 ---------------------------------------------------------------------------------------------------------------------------- 70 Balloon 02/14/06 04/11/06 0 03/11/16 71,934.52 120 360 70.1 70.2 ---------------------------------------------------------------------------------------------------------------------------- 71 Partial IO/Balloon 12/29/05 02/11/06 0 01/11/16 70,147.05 120 60 360 72 Partial IO/Balloon 04/12/06 06/11/06 0 05/11/16 72,177.68 120 60 360 73 Balloon 03/02/06 04/11/06 0 03/11/16 69,430.61 120 360 ---------------------------------------------------------------------------------------------------------------------------- 74 Balloon 03/24/06 05/11/06 0 04/11/16 72,115.02 120 360 74.1 74.2 ---------------------------------------------------------------------------------------------------------------------------- 75 Balloon 03/24/06 05/11/06 0 04/11/16 71,560.29 120 360 75.1 75.2 ---------------------------------------------------------------------------------------------------------------------------- 76 Partial IO/Balloon 03/28/06 05/11/06 0 04/11/16 70,117.63 120 24 360 77 Partial IO/Balloon 12/27/05 02/11/06 0 01/11/16 61,109.91 120 60 420 78 Partial IO/ARD 01/20/06 03/11/06 0 02/11/16 62,479.50 120 36 360 79 Balloon 01/12/06 03/11/06 0 02/11/16 63,844.05 120 360 80 Partial IO/Balloon 03/13/06 05/11/06 0 04/11/16 59,294.06 120 36 360 81 Balloon 03/22/06 05/11/06 0 04/11/16 59,771.08 120 360 82 Balloon 12/27/05 02/11/06 0 01/11/16 60,046.63 120 300 83 Balloon 12/20/05 02/11/06 0 01/11/16 59,937.45 120 300 84 Partial IO/Balloon 12/22/05 02/11/06 0 01/11/16 53,624.15 120 12 360 85 Partial IO/Balloon 05/05/06 07/01/06 5 06/01/16 54,509.70 120 60 360 86 Partial IO/Balloon 12/29/05 02/11/06 0 01/11/16 51,754.47 120 36 360 87 Balloon 04/27/06 06/01/06 5 05/01/16 57,538.75 120 360 88 Partial IO/Balloon 05/30/06 07/01/06 5 06/01/16 53,840.18 120 24 360 89 Partial IO/Balloon 12/14/05 02/11/06 0 01/11/16 50,241.84 120 60 360 90 Balloon 04/25/06 06/01/06 5 05/01/16 52,074.54 120 360 91 Balloon 03/31/06 05/11/06 0 04/11/16 51,255.40 120 360 92 Partial IO/Balloon 12/14/05 02/11/06 0 01/11/16 48,653.30 120 36 360 93 Partial IO/Balloon 01/26/06 03/11/06 0 02/11/16 47,799.74 120 36 360 94 Partial IO/Balloon 03/31/06 05/11/06 0 04/11/16 47,153.63 120 36 360 95 Partial IO/ARD 01/17/06 03/11/06 0 02/11/16 46,630.75 120 36 360 96 Balloon 01/12/06 03/11/06 0 02/11/16 45,656.52 120 360 97 Partial IO/ARD 12/22/05 02/11/06 0 01/11/21 46,303.19 180 36 360 98 Balloon 05/22/06 07/01/06 5 06/01/16 47,869.40 120 360 99 Balloon 05/05/06 07/01/06 5 06/01/16 48,789.33 120 360 100 Interest Only 02/16/06 04/11/06 0 03/11/16 36,088.11 120 120 Interest Only 101 Partial IO/Balloon 02/22/06 04/11/06 0 03/11/16 43,055.92 120 36 360 102 Interest Only 03/27/06 05/11/06 0 04/11/16 34,789.06 120 120 Interest Only 103 Partial IO/Balloon 02/22/06 04/11/06 0 03/11/16 42,985.81 120 24 360 104 Partial IO/Balloon 12/22/05 02/11/06 0 01/11/16 42,935.60 120 36 360 105 Partial IO/Balloon 04/17/06 06/01/06 5 05/01/16 42,693.61 120 36 360 106 Partial IO/Balloon 01/09/06 02/11/06 0 01/11/16 41,124.26 120 24 360 107 Partial IO/ARD 01/17/06 03/11/06 0 02/11/16 41,171.54 120 36 360 108 Partial IO/Balloon 02/22/06 04/11/06 0 03/11/16 40,318.05 120 48 360 109 Balloon 04/20/06 06/01/06 5 05/01/16 45,831.31 120 300 110 Interest Only 01/23/06 03/11/06 0 02/11/16 32,191.48 120 120 Interest Only 111 Balloon 04/29/06 06/01/06 5 05/01/21 48,529.60 180 360 112 Balloon 04/26/06 06/11/06 0 05/11/16 47,043.02 120 300 113 Partial IO/Balloon 04/19/06 06/01/06 5 05/01/16 42,078.29 120 12 360 114 Partial IO/Balloon 01/12/06 03/11/06 0 02/11/16 37,321.00 120 24 360 115 Balloon 03/28/06 05/11/06 0 04/11/16 35,568.31 120 360 116 Balloon 12/29/05 02/11/06 0 01/11/21 35,626.72 180 360 117 Partial IO/Balloon 02/24/06 04/11/06 0 03/11/16 36,345.30 120 36 300 118 Partial IO/Balloon 01/23/06 03/11/06 0 02/11/16 34,463.66 120 36 360 119 Balloon 09/26/05 11/11/05 0 10/11/15 36,587.60 120 300 120 Balloon 12/30/05 02/11/06 0 01/11/16 33,907.87 120 360 121 Partial IO/Balloon 12/01/05 01/11/06 0 12/11/15 32,386.75 120 36 360 122 Partial IO/ARD 01/17/06 03/11/06 0 02/11/16 33,224.86 120 36 360 123 Balloon 12/16/05 02/11/06 0 01/11/16 33,263.79 120 360 ---------------------------------------------------------------------------------------------------------------------------- 124 Partial IO/ARD 01/19/06 03/11/06 0 02/11/21 20,773.80 180 36 360 125 Partial IO/ARD 01/19/06 03/11/06 0 02/11/21 6,499.07 180 36 360 126 Partial IO/ARD 01/19/06 03/11/06 0 02/11/21 5,889.79 180 36 360 ---------------------------------------------------------------------------------------------------------------------------- 127 Balloon 05/30/06 07/01/06 5 06/01/16 34,959.58 120 360 128 Partial IO/Balloon 03/01/06 04/11/06 0 03/11/16 31,349.28 120 36 360 129 Partial IO/Balloon 02/23/06 04/11/06 0 03/11/16 31,557.01 120 36 360 130 Partial IO/Balloon 05/03/06 07/01/06 5 06/01/16 32,306.45 120 60 360 131 Interest Only 02/02/06 03/11/06 0 02/11/16 24,535.94 120 120 Interest Only 132 Balloon 12/14/05 02/11/06 0 01/11/16 30,926.65 120 360 133 Balloon 01/20/06 03/11/06 0 02/11/16 33,166.71 120 300 134 Partial IO/Balloon 04/03/06 06/01/06 5 05/01/16 30,675.22 120 36 360 135 Partial IO/ARD 01/17/06 03/11/06 0 02/11/16 29,125.43 120 36 360 136 Partial IO/Balloon 02/17/06 04/11/06 0 03/11/16 28,652.74 120 60 360 137 Balloon 03/16/06 05/11/06 0 04/11/16 32,321.48 120 300 138 Balloon 03/03/06 04/11/06 0 03/11/16 28,138.99 120 360 139 Balloon 04/03/06 05/11/06 0 04/11/16 27,842.91 120 360 140 Partial IO/Balloon 03/13/06 05/11/06 0 04/11/16 27,381.83 120 36 360 141 ARD 05/31/05 07/11/05 0 06/11/15 26,693.86 120 360 142 Balloon 08/25/05 10/11/05 0 09/11/15 26,953.48 120 360 143 Partial IO/Balloon 12/29/05 02/11/06 0 01/11/16 26,746.89 120 36 360 144 Balloon 03/16/06 05/11/06 0 04/11/16 29,938.34 120 300 145 Balloon 05/01/06 07/01/06 5 06/01/16 30,750.88 120 300 146 Partial IO/Balloon 04/14/06 06/01/06 5 05/01/16 27,648.77 120 60 360 147 Partial IO/ARD 12/16/05 02/11/06 0 01/11/21 26,375.24 180 36 360 148 Partial IO/Balloon 03/22/06 05/11/06 0 04/11/16 24,082.99 120 12 360 149 ARD 05/04/06 06/11/06 0 05/11/16 26,821.85 120 300 150 Balloon 04/18/06 06/11/06 0 05/11/16 23,452.29 120 360 151 Balloon 04/18/06 06/11/06 0 05/11/16 23,198.28 120 360 152 Partial IO/Balloon 12/21/05 02/11/06 0 01/11/16 22,405.32 120 36 360 153 Balloon 02/28/06 04/11/06 0 03/11/16 22,223.58 120 360 154 Balloon 02/14/06 04/11/06 0 03/11/16 21,147.69 120 360 155 Balloon 07/19/05 09/11/05 0 08/11/12 20,080.46 84 360 156 Partial IO/Balloon 12/16/05 02/11/06 0 01/11/16 20,008.26 120 24 360 157 Balloon 01/24/06 03/11/06 0 02/11/16 19,783.98 120 360 158 Balloon 04/24/06 06/01/06 5 05/01/16 20,912.28 120 360 159 Balloon 04/13/06 06/01/06 5 05/01/16 20,868.09 120 360 160 Partial IO/Balloon 03/13/06 05/11/06 0 04/11/16 16,438.61 120 24 360 161 Balloon 12/20/05 02/11/06 0 01/11/16 16,307.33 120 360 162 Balloon 05/19/06 07/01/06 5 06/01/16 15,789.47 120 360 163 Balloon 10/27/05 12/11/05 0 11/11/15 13,470.09 120 360 164 ARD 01/30/06 03/11/06 0 02/11/16 11,196.75 120 360 165 ARD 01/30/06 03/11/06 0 02/11/16 10,301.63 120 360 166 Balloon 05/16/06 07/01/06 5 06/01/16 5,438.98 120 360 YIELD REMAINING STATED MAINTEN- YIELD TERM TO REMAINING DEFEASE- ANCE MAINTEN- SEASON- MATURITY / AMORTIZATION LOCKOUT ANCE DEFEASE PERIOD ANCE LOAN ING ARD TERM PERIOD START -ANCE START PERIOD NUMBER (MONTHS) (MONTHS) (MONTHS) PREPAYMENT PROVISIONS END DATE DATE END DATE DATE END DATE -------------------------------------------------------------------------------------------------------------------------------- 1 0 120 360 LO(24)/Defeasance(93)/Free(3) 07/04/08 07/05/08 04/04/16 NAP NAP 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 1.40 1.41 1.42 1.43 1.44 1.45 1.46 1.47 1.48 1.49 1.50 1.51 1.52 1.53 1.54 1.55 1.56 1.57 1.58 1.59 1.60 1.61 1.62 1.63 1.64 1.65 1.66 1.67 1.68 1.69 1.70 1.71 1.72 1.73 1.74 1.75 1.76 1.77 1.78 1.79 1.80 1.81 1.82 1.83 1.84 1.85 1.86 1.87 1.88 1.89 1.90 1.91 1.92 1.93 1.94 1.95 1.96 1.97 1.98 1.99 1.100 1.101 1.102 1.103 1.104 1.105 1.106 1.107 1.108 1.109 1.110 1.111 1.112 -------------------------------------------------------------------------------------------------------------------------------- 2 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 3 5 79 Interest Only LO(29)/Defeasance(50)/Free(5) 07/08/08 07/09/08 09/08/12 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 4 5 115 Interest Only LO(29)/Defeasance(87)/Free(4) 07/08/08 07/09/08 10/08/15 NAP NAP 4.1 4.2 4.3 4.4 4.5 4.6 4.7 -------------------------------------------------------------------------------------------------------------------------------- 5 3 81 360 LO(27)/Defeasance(53)/Free(4) 06/30/08 07/01/08 11/30/12 NAP NAP 5.1 5.2 -------------------------------------------------------------------------------------------------------------------------------- 6 11 109 360 LO(59)/Grtr1%UPBorYM(57)/Free(4) 06/30/10 NAP NAP 07/01/10 03/31/15 7 8 112 360 LO(32)/Defeasance(85)/Free(3) 07/10/08 07/11/08 08/10/15 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 8 0 120 300 LO(24)/Defeasance(93)/Free(3) 07/10/08 07/11/08 04/10/16 NAP NAP 9 0 120 300 LO(24)/Defeasance(93)/Free(3) 07/10/08 07/11/08 04/10/16 NAP NAP 10 0 120 300 LO(24)/Defeasance(93)/Free(3) 07/10/08 07/11/08 04/10/16 NAP NAP 11 0 120 300 LO(24)/Defeasance(93)/Free(3) 07/10/08 07/11/08 04/10/16 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 12 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 13 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 14 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 15 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 16 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 17 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 18 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP 19 5 115 360 LO(29)/Defeasance(89)/Free(2) 07/10/08 07/11/08 12/10/15 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 20 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 21 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 22 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 23 1 119 360 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 24 4 116 360 LO(28)/Defeasance(88)/Free(4) 07/10/08 07/11/08 11/10/15 NAP NAP 25 4 116 360 LO(28)/Defeasance(85)/Free(7) 07/10/08 07/11/08 08/10/15 NAP NAP 26 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 27 2 118 360 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 28 2 118 358 LO(26)/Grtr1%UPBorYM(91)/Free(3) 07/10/08 NAP NAP 07/11/08 02/10/16 29 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 30 6 114 360 LO(30)/Defeasance(86)/Free(4) 07/10/08 07/11/08 09/10/15 NAP NAP 31 1 119 360 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 32 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 33 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 34 3 117 420 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 35 5 115 355 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 36 3 117 420 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 37 0 120 300 LO(36)/Defeasance(80)/Free(4) 06/30/09 07/01/09 02/29/16 NAP NAP 38 1 119 360 LO(25)/Grtr1%UPBorYM(91)/Free(4) 07/10/08 NAP NAP 07/11/08 02/10/16 39 3 117 360 LO(27)/Defeasance(89)/Free(4) 07/10/08 07/11/08 12/10/15 NAP NAP 40 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 41 2 118 360 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 42 6 114 294 LO(30)/Defeasance(87)/Free(3) 07/10/08 07/11/08 10/10/15 NAP NAP 43 2 118 360 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 44 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 45 4 56 Interest Only LO(28)/Defeasance(30)/Free(2) 07/10/08 07/11/08 01/10/11 NAP NAP 46 5 115 295 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 47 2 58 298 LO(26)/Defeasance(31)/Free(3) 07/10/08 07/11/08 02/10/11 NAP NAP 48 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 49 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 50 6 114 354 LO(30)/Defeasance(86)/Free(4) 07/10/08 07/11/08 09/10/15 NAP NAP 51 5 115 360 LO(29)/Defeasance(87)/Free(4) 07/10/08 07/11/08 10/10/15 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 52 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 53 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 54 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 55 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 56 3 117 360 LO(36)/Defeasance(81)/Free(3) 03/31/09 04/01/09 12/31/15 NAP NAP 57 1 119 359 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 58 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 59 7 89 Interest Only LO(31)/2%+YM(62)/Free(3) 07/10/08 NAP NAP 07/11/08 09/10/13 -------------------------------------------------------------------------------------------------------------------------------- 60 5 55 355 LO(29)/Defeasance(28)/Free(3) 07/10/08 07/11/08 11/10/10 NAP NAP 61 5 55 355 LO(29)/Defeasance(28)/Free(3) 07/10/08 07/11/08 11/10/10 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 62 4 80 Interest Only LO(28)/Defeasance(54)/Free(2) 07/10/08 07/11/08 01/10/13 NAP NAP 63 1 119 360 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 64 2 118 358 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 65 2 118 358 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 65.1 65.2 65.3 -------------------------------------------------------------------------------------------------------------------------------- 66 1 119 360 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 67 1 119 360 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 68 1 119 360 LO(25)/Grtr1%UPBorYM(92)/Free(3) 07/10/08 NAP NAP 07/11/08 03/10/16 69 1 119 360 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 70 3 117 357 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 70.1 70.2 -------------------------------------------------------------------------------------------------------------------------------- 71 5 115 360 LO(29)/Defeasance(87)/Free(4) 07/10/08 07/11/08 10/10/15 NAP NAP 72 1 119 360 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 73 3 117 357 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 74 2 118 358 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 74.1 74.2 -------------------------------------------------------------------------------------------------------------------------------- 75 2 118 358 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 75.1 75.2 -------------------------------------------------------------------------------------------------------------------------------- 76 2 118 360 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 77 5 115 420 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 78 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 79 4 116 356 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 80 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 81 2 118 358 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 82 5 115 295 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 83 5 115 295 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 84 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 85 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 86 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 87 1 119 359 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 88 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 89 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 90 1 119 359 LO(36)/Defeasance(80)/Free(4) 05/31/09 06/01/09 01/31/16 NAP NAP 91 2 118 358 LO(26)/Defeasance(89)/Free(5) 07/10/08 07/11/08 12/10/15 NAP NAP 92 5 115 360 LO(29)/Defeasance(87)/Free(4) 07/10/08 07/11/08 10/10/15 NAP NAP 93 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 94 2 118 360 LO(26)/Defeasance(90)/Free(4) 07/10/08 07/11/08 01/10/16 NAP NAP 95 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 96 4 116 356 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 97 5 175 360 LO(29)/Defeasance(148)/Free(3) 07/10/08 07/11/08 11/10/20 NAP NAP 98 0 120 360 LO(59)/Grtr1%UPBorYM(58)/Free(3) 05/31/11 NAP NAP 06/01/11 03/31/16 99 0 120 360 LO(59)/Grtr1%UPBorYM(57)/Free(4) 05/31/11 NAP NAP 06/01/11 02/29/16 100 3 117 Interest Only LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 101 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 102 2 118 Interest Only LO(26)/Grtr1%UPBorYM(91)/Free(3) 07/10/08 NAP NAP 07/11/08 02/10/16 103 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 104 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 105 1 119 360 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 106 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 107 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 108 3 117 360 LO(27)/Defeasance(89)/Free(4) 07/10/08 07/11/08 12/10/15 NAP NAP 109 1 119 299 LO(36)/Defeasance(80)/Free(4) 05/31/09 06/01/09 01/31/16 NAP NAP 110 4 116 Interest Only LO(28)/2%+YM(89)/Free(3) 07/10/08 NAP NAP 07/11/08 12/10/15 111 1 179 359 LO(36)/Defeasance(140)/Free(4) 05/31/09 06/01/09 01/31/21 NAP NAP 112 1 119 299 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 113 1 119 360 LO(35)/Grtr1%UPBorYM(82)/Free(3) 04/30/09 NAP NAP 05/01/09 02/29/16 114 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 115 2 118 358 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 116 5 175 355 LO(29)/Defeasance(148)/Free(3) 07/10/08 07/11/08 11/10/20 NAP NAP 117 3 117 300 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 118 4 116 360 LO(28)/YM(89)/Free(3) (Note 13) 07/10/08 NAP NAP 07/11/08 12/10/15 119 8 112 292 LO(32)/Defeasance(85)/Free(3) 07/10/08 07/11/08 08/10/15 NAP NAP 120 5 115 355 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 121 6 114 360 LO(30)/Defeasance(87)/Free(3) 07/10/08 07/11/08 10/10/15 NAP NAP 122 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 123 5 115 355 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 124 4 176 360 LO(28)/Defeasance(149)/Free(3) 07/10/08 07/11/08 12/10/20 NAP NAP 125 4 176 360 LO(28)/Defeasance(149)/Free(3) 07/10/08 07/11/08 12/10/20 NAP NAP 126 4 176 360 LO(28)/Defeasance(149)/Free(3) 07/10/08 07/11/08 12/10/20 NAP NAP -------------------------------------------------------------------------------------------------------------------------------- 127 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 128 3 117 360 LO(27)/Defeasance(89)/Free(4) 07/10/08 07/11/08 12/10/15 NAP NAP 129 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 130 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP 131 4 116 Interest Only LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 132 5 115 355 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 133 4 116 296 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 134 1 119 360 LO(36)/Defeasance(80)/Free(4) 05/31/09 06/01/09 01/31/16 NAP NAP 135 4 116 360 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 136 3 117 360 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 137 2 118 298 LO(26)/Grtr1%UPBorYM(91)/Free(3) 07/10/08 NAP NAP 07/11/08 02/10/16 138 3 117 357 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 139 2 118 358 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 140 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 141 12 108 348 LO(36)/Grtr1%UPBorYM(82)/Free(2) 07/10/08 NAP NAP 07/11/08 05/10/15 142 9 111 351 LO(33)/Defeasance(84)/Free(3) 07/10/08 07/11/08 07/10/15 NAP NAP 143 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 144 2 118 298 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 145 0 120 300 LO(36)/Defeasance(80)/Free(4) 06/30/09 07/01/09 02/29/16 NAP NAP 146 1 119 360 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 147 5 175 360 LO(29)/Defeasance(148)/Free(3) 07/10/08 07/11/08 11/10/20 NAP NAP 148 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 149 1 119 299 LO(25)/Defeasance(91)/Free(4) 07/10/08 07/11/08 02/10/16 NAP NAP 150 1 119 359 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 151 1 119 359 LO(25)/Defeasance(92)/Free(3) 07/10/08 07/11/08 03/10/16 NAP NAP 152 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 153 3 117 357 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 154 3 117 357 LO(27)/Defeasance(90)/Free(3) 07/10/08 07/11/08 01/10/16 NAP NAP 155 10 74 350 LO(34)/Defeasance(47)/Free(3) 07/10/08 07/11/08 06/10/12 NAP NAP 156 5 115 360 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 157 4 116 356 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 158 1 119 359 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 159 1 119 359 LO(36)/Defeasance(81)/Free(3) 05/31/09 06/01/09 02/29/16 NAP NAP 160 2 118 360 LO(26)/Defeasance(91)/Free(3) 07/10/08 07/11/08 02/10/16 NAP NAP 161 5 115 355 LO(29)/Defeasance(88)/Free(3) 07/10/08 07/11/08 11/10/15 NAP NAP 162 0 120 360 LO(59)/Grtr1%UPBorYM(57)/Free(4) 05/31/11 NAP NAP 06/01/11 02/29/16 163 7 113 353 LO(31)/Defeasance(86)/Free(3) 07/10/08 07/11/08 09/10/15 NAP NAP 164 4 116 356 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 165 4 116 356 LO(28)/Defeasance(89)/Free(3) 07/10/08 07/11/08 12/10/15 NAP NAP 166 0 120 360 LO(36)/Defeasance(81)/Free(3) 06/30/09 07/01/09 03/31/16 NAP NAP YIELD MAINTENANCE PREPAY- INTEREST RATE MENT PREPAY- YIELD CONVERTED TO YIELD PENALTY MENT MAINTENANCE MONTHLY MAINTENANCE LOAN START PENALTY YIELD MAINTENANCE INTEREST MORTGAGE DISCOUNTING PROPERTY PROPERTY NUMBER DATE END DATE CALCULATION METHOD RATE RATE HORIZON SIZE SIZE TYPE --------------------------------------------------------------------------------------------------------------------------- 1 NAP NAP NAP NAP NAP NAP 10,974,960 SF 1.1 535,000 SF 1.2 218,323 SF 1.3 494,000 SF 1.4 126,658 SF 1.5 94,418 SF 1.6 84,379 SF 1.7 347,000 SF 1.8 119,842 SF 1.9 100,803 SF 1.10 99,101 SF 1.11 112,794 SF 1.12 94,120 SF 1.13 90,494 SF 1.14 90,499 SF 1.15 90,499 SF 1.16 97,537 SF 1.17 105,923 SF 1.18 106,238 SF 1.19 90,514 SF 1.20 90,441 SF 1.21 102,205 SF 1.22 124,761 SF 1.23 90,585 SF 1.24 94,106 SF 1.25 94,225 SF 1.26 94,705 SF 1.27 100,247 SF 1.28 102,327 SF 1.29 90,464 SF 1.30 98,030 SF 1.31 94,076 SF 1.32 100,010 SF 1.33 99,279 SF 1.34 101,483 SF 1.35 98,005 SF 1.36 90,461 SF 1.37 90,414 SF 1.38 77,690 SF 1.39 97,931 SF 1.40 103,875 SF 1.41 97,961 SF 1.42 100,800 SF 1.43 96,325 SF 1.44 101,688 SF 1.45 86,739 SF 1.46 94,130 SF 1.47 81,171 SF 1.48 93,845 SF 1.49 94,413 SF 1.50 98,160 SF 1.51 97,859 SF 1.52 94,230 SF 1.53 94,222 SF 1.54 84,375 SF 1.55 94,237 SF 1.56 71,846 SF 1.57 83,363 SF 1.58 88,161 SF 1.59 71,847 SF 1.60 91,012 SF 1.61 65,459 SF 1.62 87,954 SF 1.63 66,745 SF 1.64 88,030 SF 1.65 90,334 SF 1.66 71,806 SF 1.67 100,761 SF 1.68 66,735 SF 1.69 90,505 SF 1.70 116,992 SF 1.71 77,559 SF 1.72 94,250 SF 1.73 94,248 SF 1.74 90,430 SF 1.75 94,013 SF 1.76 100,843 SF 1.77 94,336 SF 1.78 66,781 SF 1.79 75,844 SF 1.80 67,256 SF 1.81 94,230 SF 1.82 75,775 SF 1.83 73,956 SF 1.84 66,784 SF 1.85 66,827 SF 1.86 70,118 SF 1.87 83,179 SF 1.88 66,713 SF 1.89 90,526 SF 1.90 73,956 SF 1.91 83,180 SF 1.92 94,042 SF 1.93 94,068 SF 1.94 75,844 SF 1.95 90,430 SF 1.96 90,510 SF 1.97 71,839 SF 1.98 83,211 SF 1.99 94,136 SF 1.100 75,844 SF 1.101 71,345 SF 1.102 94,225 SF 1.103 71,340 SF 1.104 75,063 SF 1.105 94,091 SF 1.106 15,060 SF 1.107 14,265 SF 1.108 60,985 SF 1.109 28,953 SF 1.110 90,590 SF 1.111 80,327 SF 1.112 12,821 SF --------------------------------------------------------------------------------------------------------------------------- 2 NAP NAP NAP NAP NAP NAP 636,922 SF 3 NAP NAP NAP NAP NAP NAP 486,081 SF --------------------------------------------------------------------------------------------------------------------------- 4 NAP NAP NAP NAP NAP NAP 915,558 SF 4.1 207,583 SF 4.2 214,581 SF 4.3 124,515 SF 4.4 127,064 SF 4.5 70,110 SF 4.6 70,716 SF 4.7 100,989 SF --------------------------------------------------------------------------------------------------------------------------- 5 NAP NAP NAP NAP NAP NAP 580 Rooms 5.1 271 Rooms 5.2 309 Rooms --------------------------------------------------------------------------------------------------------------------------- 6 NAP NAP Present Value Treasury Flat Yes Maturity 422 Units 7 NAP NAP NAP NAP NAP NAP 270,097 SF --------------------------------------------------------------------------------------------------------------------------- 8 NAP NAP NAP NAP NAP NAP 198 Rooms 9 NAP NAP NAP NAP NAP NAP 125 Rooms 10 NAP NAP NAP NAP NAP NAP 70 Rooms 11 NAP NAP NAP NAP NAP NAP 70 Rooms --------------------------------------------------------------------------------------------------------------------------- 12 NAP NAP NAP NAP NAP NAP 310,000 SF 13 NAP NAP NAP NAP NAP NAP 145,000 SF 14 NAP NAP NAP NAP NAP NAP 91,644 SF 15 NAP NAP NAP NAP NAP NAP 121,750 SF 16 NAP NAP NAP NAP NAP NAP 138,390 SF 17 NAP NAP NAP NAP NAP NAP 32,500 SF 18 NAP NAP NAP NAP NAP NAP 14,000 SF 19 NAP NAP NAP NAP NAP NAP 7,490 SF --------------------------------------------------------------------------------------------------------------------------- 20 NAP NAP NAP NAP NAP NAP 105,472 SF 21 NAP NAP NAP NAP NAP NAP 302,843 SF 22 NAP NAP NAP NAP NAP NAP 390 Units 23 NAP NAP NAP NAP NAP NAP 439,451 SF 24 NAP NAP NAP NAP NAP NAP 334,195 SF 25 NAP NAP NAP NAP NAP NAP 121,300 SF 26 NAP NAP NAP NAP NAP NAP 793,593 SF 27 NAP NAP NAP NAP NAP NAP 508 Units 28 NAP NAP Interest Differential (Monthly) Treasury Flat Yes Maturity 115,367 SF 29 NAP NAP NAP NAP NAP NAP 147,889 SF 30 NAP NAP NAP NAP NAP NAP 350 Units 31 NAP NAP NAP NAP NAP NAP 149,342 SF 32 NAP NAP NAP NAP NAP NAP 216 Units 33 NAP NAP NAP NAP NAP NAP 295,700 SF 34 NAP NAP NAP NAP NAP NAP 93,345 SF 35 NAP NAP NAP NAP NAP NAP 143,148 SF 36 NAP NAP NAP NAP NAP NAP 104,077 SF 37 NAP NAP NAP NAP NAP NAP 400,000 SF 38 NAP NAP Interest Differential (Monthly) Treasury Flat Yes Maturity 124,136 SF 39 NAP NAP NAP NAP NAP NAP 216 Units 40 NAP NAP NAP NAP NAP NAP 121,038 SF 41 NAP NAP NAP NAP NAP NAP 76,238 SF 42 NAP NAP NAP NAP NAP NAP 255 Rooms 43 NAP NAP NAP NAP NAP NAP 150,678 SF 44 NAP NAP NAP NAP NAP NAP 209,250 SF 45 NAP NAP NAP NAP NAP NAP 464 Units 46 NAP NAP NAP NAP NAP NAP 219 Rooms 47 NAP NAP NAP NAP NAP NAP 155 Rooms 48 NAP NAP NAP NAP NAP NAP 116,049 SF 49 NAP NAP NAP NAP NAP NAP 324 Units 50 NAP NAP NAP NAP NAP NAP 127,354 SF 51 NAP NAP NAP NAP NAP NAP 350 Units --------------------------------------------------------------------------------------------------------------------------- 52 NAP NAP NAP NAP NAP NAP 192 Units 53 NAP NAP NAP NAP NAP NAP 132 Units --------------------------------------------------------------------------------------------------------------------------- 54 NAP NAP NAP NAP NAP NAP 32,238 SF 55 NAP NAP NAP NAP NAP NAP 130,706 SF 56 NAP NAP NAP NAP NAP NAP 124,000 SF 57 NAP NAP NAP NAP NAP NAP 23,218 SF 58 NAP NAP NAP NAP NAP NAP 126,088 SF 59 NAP NAP PV Yield Differential Treasury Flat Yes WAL 86,872 SF --------------------------------------------------------------------------------------------------------------------------- 60 NAP NAP NAP NAP NAP NAP 102 Units 61 NAP NAP NAP NAP NAP NAP 100 Units --------------------------------------------------------------------------------------------------------------------------- 62 NAP NAP NAP NAP NAP NAP 400 Units 63 NAP NAP NAP NAP NAP NAP 289 Units 64 NAP NAP NAP NAP NAP NAP 475 Units --------------------------------------------------------------------------------------------------------------------------- 65 NAP NAP NAP NAP NAP NAP 248 Rooms 65.1 83 Rooms 65.2 87 Rooms 65.3 78 Rooms --------------------------------------------------------------------------------------------------------------------------- 66 NAP NAP NAP NAP NAP NAP 80,998 SF 67 NAP NAP NAP NAP NAP NAP 74,549 SF 68 NAP NAP Interest Differential (Monthly) Treasury Flat Yes Maturity 47,174 SF 69 NAP NAP NAP NAP NAP NAP 110,725 SF --------------------------------------------------------------------------------------------------------------------------- 70 NAP NAP NAP NAP NAP NAP 209 Units 70.1 105 Units 70.2 104 Units --------------------------------------------------------------------------------------------------------------------------- 71 NAP NAP NAP NAP NAP NAP 89,931 SF 72 NAP NAP NAP NAP NAP NAP 15,000 SF 73 NAP NAP NAP NAP NAP NAP 107,598 SF --------------------------------------------------------------------------------------------------------------------------- 74 NAP NAP NAP NAP NAP NAP 197 Rooms 74.1 115 Rooms 74.2 82 Rooms --------------------------------------------------------------------------------------------------------------------------- 75 NAP NAP NAP NAP NAP NAP 202 Rooms 75.1 114 Rooms 75.2 88 Rooms --------------------------------------------------------------------------------------------------------------------------- 76 NAP NAP NAP NAP NAP NAP 65,000 SF 77 NAP NAP NAP NAP NAP NAP 29,620 SF 78 NAP NAP NAP NAP NAP NAP 144,298 SF 79 NAP NAP NAP NAP NAP NAP 238,881 SF 80 NAP NAP NAP NAP NAP NAP 306,619 SF 81 NAP NAP NAP NAP NAP NAP 60,056 SF 82 NAP NAP NAP NAP NAP NAP 215,581 SF 83 NAP NAP NAP NAP NAP NAP 90 Rooms 84 NAP NAP NAP NAP NAP NAP 219,304 SF 85 NAP NAP NAP NAP NAP NAP 121,000 SF 86 NAP NAP NAP NAP NAP NAP 180,252 SF 87 NAP NAP NAP NAP NAP NAP 50,192 SF 88 NAP NAP NAP NAP NAP NAP 97,061 SF 89 NAP NAP NAP NAP NAP NAP 50,955 SF 90 NAP NAP NAP NAP NAP NAP 198 Units 91 NAP NAP NAP NAP NAP NAP 72,212 SF 92 NAP NAP NAP NAP NAP NAP 70,548 SF 93 NAP NAP NAP NAP NAP NAP 124,698 SF 94 NAP NAP NAP NAP NAP NAP 98,972 SF 95 NAP NAP NAP NAP NAP NAP 40,000 SF 96 NAP NAP NAP NAP NAP NAP 108,160 SF 97 NAP NAP NAP NAP NAP NAP 14,490 SF 98 NAP NAP Present Value Treasury Flat Yes Maturity 292 Units 99 NAP NAP Present Value Treasury Flat Yes Maturity 78 Rooms 100 NAP NAP NAP NAP NAP NAP 58,413 SF 101 NAP NAP NAP NAP NAP NAP 271 Units 102 NAP NAP Interest Differential (Monthly) Treasury Flat Yes Maturity 58,366 SF 103 NAP NAP NAP NAP NAP NAP 59,306 SF 104 NAP NAP NAP NAP NAP NAP 86,436 SF 105 NAP NAP NAP NAP NAP NAP 61,310 SF 106 NAP NAP NAP NAP NAP NAP 138 Units 107 NAP NAP NAP NAP NAP NAP 37,500 SF 108 NAP NAP NAP NAP NAP NAP 82,825 SF 109 NAP NAP NAP NAP NAP NAP 128 Units 110 NAP NAP PV Yield Differential Treasury Flat Yes WAL 57,416 SF 111 NAP NAP NAP NAP NAP NAP 126 Units 112 NAP NAP NAP NAP NAP NAP 200 Rooms 113 NAP NAP Present Value Treasury Flat Yes Maturity 35,149 SF 114 NAP NAP NAP NAP NAP NAP 248 Units 115 NAP NAP NAP NAP NAP NAP 67 Units 116 NAP NAP NAP NAP NAP NAP 29,652 SF 117 NAP NAP NAP NAP NAP NAP 384 Units 118 NAP NAP Interest Differential (Annual) Treasury Flat No Specified 22,035 SF 119 NAP NAP NAP NAP NAP NAP 107 Rooms 120 NAP NAP NAP NAP NAP NAP 60,535 SF 121 NAP NAP NAP NAP NAP NAP 150 Units 122 NAP NAP NAP NAP NAP NAP 39,772 SF 123 NAP NAP NAP NAP NAP NAP 54,516 SF --------------------------------------------------------------------------------------------------------------------------- 124 NAP NAP NAP NAP NAP NAP 52,907 SF 125 NAP NAP NAP NAP NAP NAP 6,783 SF 126 NAP NAP NAP NAP NAP NAP 6,770 SF --------------------------------------------------------------------------------------------------------------------------- 127 NAP NAP NAP NAP NAP NAP 41,355 SF 128 NAP NAP NAP NAP NAP NAP 107,021 SF 129 NAP NAP NAP NAP NAP NAP 92 Units 130 NAP NAP NAP NAP NAP NAP 41,965 SF 131 NAP NAP NAP NAP NAP NAP 51,048 SF 132 NAP NAP NAP NAP NAP NAP 84,146 SF 133 NAP NAP NAP NAP NAP NAP 74 Rooms 134 NAP NAP NAP NAP NAP NAP 136 Units 135 NAP NAP NAP NAP NAP NAP 34,263 SF 136 NAP NAP NAP NAP NAP NAP 46,648 SF 137 NAP NAP Interest Differential (Annual) Treasury Flat No Specified 111 Rooms 138 NAP NAP NAP NAP NAP NAP 168 Units 139 NAP NAP NAP NAP NAP NAP 18,398 SF 140 NAP NAP NAP NAP NAP NAP 123,986 SF 141 NAP NAP Interest Differential (Annual) Treasury Flat No Specified 28,526 SF 142 NAP NAP NAP NAP NAP NAP 43,100 SF 143 NAP NAP NAP NAP NAP NAP 57 Units 144 NAP NAP NAP NAP NAP NAP 114 Rooms 145 NAP NAP NAP NAP NAP NAP 75 Rooms 146 NAP NAP NAP NAP NAP NAP 16,134 SF 147 NAP NAP NAP NAP NAP NAP 14,820 SF 148 NAP NAP NAP NAP NAP NAP 27,825 SF 149 NAP NAP NAP NAP NAP NAP 11,590 SF 150 NAP NAP NAP NAP NAP NAP 25,048 SF 151 NAP NAP NAP NAP NAP NAP 45,056 SF 152 NAP NAP NAP NAP NAP NAP 36,036 SF 153 NAP NAP NAP NAP NAP NAP 17,272 SF 154 NAP NAP NAP NAP NAP NAP 8,815 SF 155 NAP NAP NAP NAP NAP NAP 11,200 SF 156 NAP NAP NAP NAP NAP NAP 15,030 SF 157 NAP NAP NAP NAP NAP NAP 30,823 SF 158 NAP NAP NAP NAP NAP NAP 21,044 SF 159 NAP NAP NAP NAP NAP NAP 124 Units 160 NAP NAP NAP NAP NAP NAP 54,064 SF 161 NAP NAP NAP NAP NAP NAP 20,000 SF 162 NAP NAP Present Value Treasury Flat Yes Maturity 126 Units 163 NAP NAP NAP NAP NAP NAP 11,180 SF 164 NAP NAP NAP NAP NAP NAP 11,180 SF 165 NAP NAP NAP NAP NAP NAP 11,180 SF 166 NAP NAP NAP NAP NAP NAP 32 Units OCCUPANCY LOAN OCCUPANCY AS OF NUMBER YEAR BUILT YEAR RENOVATED PERCENTAGE DATE -------------------------------------------------------------------------------------------------------- 1 100% 05/31/06 1.1 2000 2004 100% 05/31/06 1.2 2000 NAP 100% 05/31/06 1.3 1987 1992 100% 05/31/06 1.4 1979 2003 100% 05/31/06 1.5 1989 2004 100% 05/31/06 1.6 1987 2004 100% 05/31/06 1.7 1992 1997 100% 05/31/06 1.8 1993 NAP 100% 05/31/06 1.9 1991 2004 100% 05/31/06 1.10 1980 2004 100% 05/31/06 1.11 1971 2004 100% 05/31/06 1.12 1988 1994 100% 05/31/06 1.13 1971 1994 100% 05/31/06 1.14 1981 NAP 100% 05/31/06 1.15 1981 1992 100% 05/31/06 1.16 1986 NAP 100% 05/31/06 1.17 1966 2002 100% 05/31/06 1.18 1989 NAP 100% 05/31/06 1.19 1985 1992 100% 05/31/06 1.20 1984 1992 100% 05/31/06 1.21 1985 1994 100% 05/31/06 1.22 1969 2004 100% 05/31/06 1.23 1987 1999 100% 05/31/06 1.24 1988 NAP 100% 05/31/06 1.25 1990 2003 100% 05/31/06 1.26 1978 2003 100% 05/31/06 1.27 1969 2004 100% 05/31/06 1.28 1987 NAP 100% 05/31/06 1.29 1984 1992 100% 05/31/06 1.30 1979 1994 100% 05/31/06 1.31 1986 NAP 100% 05/31/06 1.32 1979 1994 100% 05/31/06 1.33 1995 NAP 100% 05/31/06 1.34 1968 2000 100% 05/31/06 1.35 1980 1994 100% 05/31/06 1.36 1983 1993 100% 05/31/06 1.37 1985 1993 100% 05/31/06 1.38 1995 NAP 100% 05/31/06 1.39 1981 1994 100% 05/31/06 1.40 1983 1993 100% 05/31/06 1.41 1980 1994 100% 05/31/06 1.42 1990 NAP 100% 05/31/06 1.43 1972 1995 100% 05/31/06 1.44 1996 NAP 100% 05/31/06 1.45 1983 1993 100% 05/31/06 1.46 1972 1995 100% 05/31/06 1.47 1981 1994 100% 05/31/06 1.48 1978 1993 100% 05/31/06 1.49 1989 NAP 100% 05/31/06 1.50 1982 1994 100% 05/31/06 1.51 1993 NAP 100% 05/31/06 1.52 1988 NAP 100% 05/31/06 1.53 1991 NAP 100% 05/31/06 1.54 1986 1995 100% 05/31/06 1.55 1988 NAP 100% 05/31/06 1.56 1973 NAP 100% 05/31/06 1.57 1989 NAP 100% 05/31/06 1.58 1978 1992 100% 05/31/06 1.59 1972 NAP 100% 05/31/06 1.60 1982 1993 100% 05/31/06 1.61 1967 2002 100% 05/31/06 1.62 1977 1995 100% 05/31/06 1.63 1985 NAP 100% 05/31/06 1.64 1977 1995 100% 05/31/06 1.65 1985 NAP 100% 05/31/06 1.66 1991 NAP 100% 05/31/06 1.67 1991 NAP 100% 05/31/06 1.68 1984 NAP 100% 05/31/06 1.69 1985 NAP 100% 05/31/06 1.70 1992 NAP 100% 05/31/06 1.71 1996 NAP 100% 05/31/06 1.72 1970 NAP 100% 05/31/06 1.73 1990 NAP 100% 05/31/06 1.74 1985 NAP 100% 05/31/06 1.75 1988 NAP 100% 05/31/06 1.76 1989 NAP 100% 05/31/06 1.77 1989 NAP 100% 05/31/06 1.78 1984 1993 100% 05/31/06 1.79 1995 NAP 100% 05/31/06 1.80 1984 1992 100% 05/31/06 1.81 1988 NAP 100% 05/31/06 1.82 1994 NAP 100% 05/31/06 1.83 1994 NAP 100% 05/31/06 1.84 1985 1993 100% 05/31/06 1.85 1984 1994 100% 05/31/06 1.86 1985 1993 100% 05/31/06 1.87 1971 NAP 100% 05/31/06 1.88 1984 1993 100% 05/31/06 1.89 1986 NAP 100% 05/31/06 1.90 1994 NAP 100% 05/31/06 1.91 1990 NAP 100% 05/31/06 1.92 1988 NAP 100% 05/31/06 1.93 1986 NAP 100% 05/31/06 1.94 1995 NAP 100% 05/31/06 1.95 1986 NAP 100% 05/31/06 1.96 1986 NAP 100% 05/31/06 1.97 1993 NAP 100% 05/31/06 1.98 1989 NAP 100% 05/31/06 1.99 1989 NAP 100% 05/31/06 1.100 1994 NAP 100% 05/31/06 1.101 1991 NAP 100% 05/31/06 1.102 1989 NAP 100% 05/31/06 1.103 1990 NAP 100% 05/31/06 1.104 1984 1995 100% 05/31/06 1.105 1987 NAP 100% 05/31/06 1.106 2005 NAP 100% 05/31/06 1.107 2005 NAP 100% 05/31/06 1.108 1971 NAP 100% 05/31/06 1.109 2000 NAP 100% 05/31/06 1.110 1987 NAP 100% 05/31/06 1.111 1985 NAP 100% 05/31/06 1.112 1982 NAP 100% 05/31/06 -------------------------------------------------------------------------------------------------------- 2 1989-2006 NAP 99% 02/17/06 3 1987 & 1988 NAP 79% 12/31/05 -------------------------------------------------------------------------------------------------------- 4 95% 01/05/06 4.1 1977 NAP 95% 01/05/06 4.2 1971 NAP 100% 01/05/06 4.3 1972 2005 98% 01/05/06 4.4 1980 2005 82% 01/05/06 4.5 1981 NAP 97% 01/05/06 4.6 1971 NAP 86% 01/05/06 4.7 1982 NAP 100% 01/05/06 -------------------------------------------------------------------------------------------------------- 5 58% 12/31/05 5.1 2001 NAP 58% 12/31/05 5.2 1997 2005 59% 12/31/05 -------------------------------------------------------------------------------------------------------- 6 2005 NAP 85% 05/23/06 7 1983 2005 90% 12/31/05 -------------------------------------------------------------------------------------------------------- 8 2005 NAP 62% 03/31/06 9 2003 NAP 74% 03/31/06 10 1999 2005 68% 03/31/06 11 1999 NAP 68% 03/31/06 -------------------------------------------------------------------------------------------------------- 12 2005 NAP 100% 03/01/06 13 2002 NAP 79% 03/01/06 14 2003 NAP 66% 03/01/06 15 2004 NAP 100% 03/01/06 16 2001 NAP 68% 03/01/06 17 1997, 1998 NAP 77% 03/01/06 18 2005 NAP 100% 03/01/06 19 2001 NAP 93% 03/01/06 -------------------------------------------------------------------------------------------------------- 20 1976 2002 96% 04/17/06 21 1989 NAP 88% 04/01/06 22 1969-1971 2005 95% 02/08/06 23 1962 2005 92% 05/11/06 24 1985 2006 97% 01/20/06 25 2002 & 2005 NAP 99% 01/17/06 26 1988-1992 2000 83% 02/13/06 27 1981 NAP 95% 12/31/05 28 2005 NAP 81% 03/02/06 29 1972 2002 97% 11/17/05 30 1997 NAP 92% 04/07/06 31 1998 NAP 100% 04/01/06 32 1984 2003 95% 12/01/05 33 1978, 1981, 1982 2001, 2001, NAP 93% 01/23/06 34 1997-1999 NAP 100% 02/28/06 35 1999 NAP 100% 12/21/05 36 1999-2000 NAP 100% 02/28/06 37 2000 2006 100% 04/01/06 38 1910 & 1929 1998 & 2000 83% 04/07/06 39 2003 NAP 100% 01/19/06 40 1967 2005 100% 02/02/06 41 1991 NAP 93% 03/01/06 42 1971, 1981, 1989 2005 77% 12/31/05 43 1971 & 1998 2004 100% 03/01/06 44 1954, 1978, 1979 2001 100% 02/07/06 45 1987 2002 96% 11/21/05 46 1979 2004 78% 11/30/05 47 2000 NAP 78% 12/31/05 48 1982, 2001 NAP 89% 02/01/06 49 1973 NAP 93% 03/14/06 50 1988 NAP 100% 11/30/05 51 1986 NAP 94% 11/14/05 -------------------------------------------------------------------------------------------------------- 52 1998-1999 NAP 94% 02/08/06 53 1997 NAP 98% 02/08/06 -------------------------------------------------------------------------------------------------------- 54 2003-2004 NAP 97% 01/01/06 55 1986 2004 & 2005 100% 12/29/05 56 2001 NAP 100% 02/21/06 57 1951 2006 100% 04/01/06 58 1997 NAP 100% 03/30/06 59 1900s-1960s 2001-2005 97% 03/01/06 -------------------------------------------------------------------------------------------------------- 60 1972 2004 96% 11/11/05 61 1987 2004 96% 11/14/05 -------------------------------------------------------------------------------------------------------- 62 1985 NAP 96% 12/07/05 63 2000 NAP 90% 03/13/06 64 1972-1985 2005 94% 03/24/06 -------------------------------------------------------------------------------------------------------- 65 76% 12/31/05 65.1 2000 NAP 82% 12/31/05 65.2 1995 2002 72% 12/31/05 65.3 1999 2002 73% 12/31/05 -------------------------------------------------------------------------------------------------------- 66 1986 1997 100% 02/28/06 67 2003 NAP 92% 04/14/06 68 2005 NAP 100% 05/08/06 69 1990 2005-2006 100% 04/26/06 -------------------------------------------------------------------------------------------------------- 70 99% Various 70.1 2004 NAP 97% 11/22/05 70.2 2000-2002 NAP 100% 10/26/05 -------------------------------------------------------------------------------------------------------- 71 1903 1985, 2005 100% 10/01/05 72 1946-1948, 1957 2006 87% 04/01/06 73 2002 2004-2005 100% 02/28/06 -------------------------------------------------------------------------------------------------------- 74 73% 12/31/05 74.1 1997 2002 73% 12/31/05 74.2 1999 2003 73% 12/31/05 -------------------------------------------------------------------------------------------------------- 75 76% 12/31/05 75.1 1997 NAP 73% 12/31/05 75.2 1997 2005 80% 12/31/05 -------------------------------------------------------------------------------------------------------- 76 1990 NAP 100% 04/01/06 77 2004-2005 NAP 96% 12/31/05 78 1996 NAP 100% 01/18/06 79 1960 & 1998 NAP 100% 05/10/06 80 1977, 1987, 1962, 1965/1986, 1988, 1955 1981, NAP, 2000, 1989, 2000, NAP 100% 03/13/06 81 1996 NAP 100% 11/29/05 82 1979 2001 98% 12/14/05 83 1998 2004 79% 12/31/05 84 1970 & 1972 2002 100% 12/21/05 85 2006 NAP 100% 04/24/06 86 1990 2005 100% 12/29/05 87 1972 2003 100% 04/01/06 88 1998 NAP 100% 02/28/06 89 1998 NAP 100% 11/01/05 90 1981 NAP 96% 03/31/06 91 1985-1986 2004 100% 03/31/06 92 1980 2002-2003 95% 11/07/05 93 1990 NAP 100% 12/14/05 94 1983 2004 86% 03/31/06 95 1997 2001, 2002 100% 01/12/06 96 1982 & 1986 NAP 100% 09/15/05 97 2004 NAP 100% 12/20/05 98 1971 1996 92% 03/22/06 99 2005 NAP 80% 02/28/06 100 1997 NAP 100% 02/14/06 101 1981 NAP 96% 02/14/06 102 1974 1991 100% 03/27/06 103 2002-2005 NAP 84% 02/01/06 104 1920, 1980, 1995 NAP 100% 11/11/05 105 1981 2005 100% 02/15/06 106 2005 NAP 94% 12/31/05 107 1978 1991 100% 01/12/06 108 1988 NAP 96% 10/27/05 109 1921 2000 71% 03/31/06 110 1988 NAP 99% 03/31/06 111 2003 NAP 96% 03/31/06 112 1974 1998 55% 12/31/05 113 1985 NAP 100% 04/06/06 114 1984 2005 88% 05/03/06 115 1895 2002 94% 04/24/06 116 1995 NAP 100% 11/04/05 117 1973-1980 1990 & 2004 98% 04/01/06 118 1942 & 1988 2005 93% 01/16/06 119 1990 2004 71% 12/31/05 120 2001 NAP 78% 05/10/06 121 1987 2003 95% 03/31/06 122 1983 2005 100% 01/12/06 123 1973-1976 2000 100% 12/13/05 -------------------------------------------------------------------------------------------------------- 124 1994 2002 100% 01/19/06 125 2005 NAP 100% 02/27/06 126 2005 NAP 100% 02/27/06 -------------------------------------------------------------------------------------------------------- 127 2005 NAP 94% 02/17/06 128 1959, 1985 2003 83% 05/08/06 129 1978 1993 98% 01/31/06 130 1997 NAP 100% 05/02/06 131 2004 NAP 81% 03/31/06 132 1984 2005 100% 10/06/05 133 2003 NAP 78% 10/31/05 134 1995 NAP 99% 03/06/06 135 1983 2004 100% 01/12/06 136 2003 NAP 100% 02/17/06 137 1997 2004 66% 12/31/05 138 1989 2002 98% 02/27/06 139 2005 NAP 80% 03/14/06 140 1964, 1968 1973 95% 03/13/06 141 1996 NAP 100% 03/10/06 142 2000 NAP 100% 08/31/05 143 1911 & 1965 2004-2005 96% 05/10/06 144 1999 NAP 63% 12/31/05 145 2000 NAP 84% 12/31/05 146 1997 NAP 100% 04/10/06 147 2005 NAP 100% 12/16/05 148 2005 NAP 100% 03/13/06 149 2005 NAP 100% 04/03/06 150 1996 NAP 100% 02/06/06 151 1995 NAP 100% 02/06/06 152 1972 1999 89% 05/09/06 153 2006 NAP 100% 02/17/06 154 1975-1976 2005 100% 01/25/06 155 1999 2004 100% 05/10/06 156 2005 NAP 79% 10/01/05 157 1981 NAP 93% 01/19/06 158 1986 NAP 100% 04/25/06 159 1949 2006 98% 04/04/06 160 1979 NAP 100% 03/13/06 161 2005 NAP 100% 09/28/05 162 1980 NAP 98% 03/02/06 163 1999 NAP 100% 03/08/06 164 1998 NAP 100% 12/06/05 165 1997 NAP 100% 12/06/05 166 1950 2006 94% 03/15/06 LARGEST LARGEST MAJOR MAJOR LARGEST MAJOR LOAN TENANT TENANT TENANT LEASE NUMBER LARGEST MAJOR TENANT NRSF NRSF% MATURITY DATE SECOND LARGEST MAJOR TENANT --------------------------------------------------------------------------------------------------------------------------------- 1 1.1 ShopKo Stores, Inc. 535,000 100% 05/31/26 NAP 1.2 ShopKo Stores, Inc. 218,323 100% 05/31/26 NAP 1.3 ShopKo Stores, Inc. 494,000 100% 05/31/26 NAP 1.4 ShopKo Stores, Inc. 126,658 100% 05/31/26 NAP 1.5 ShopKo Stores, Inc. 94,418 100% 05/31/26 NAP 1.6 ShopKo Stores, Inc. 84,379 100% 05/31/26 NAP 1.7 ShopKo Stores, Inc. 347,000 100% 05/31/26 NAP 1.8 ShopKo Stores, Inc. 119,842 100% 05/31/26 NAP 1.9 ShopKo Stores, Inc. 100,803 100% 05/31/26 NAP 1.10 ShopKo Stores, Inc. 99,101 100% 05/31/26 NAP 1.11 ShopKo Stores, Inc. 112,794 100% 05/31/26 NAP 1.12 ShopKo Stores, Inc. 94,120 100% 05/31/26 NAP 1.13 ShopKo Stores, Inc. 90,494 100% 05/31/26 NAP 1.14 ShopKo Stores, Inc. 90,499 100% 05/31/26 NAP 1.15 ShopKo Stores, Inc. 90,499 100% 05/31/26 NAP 1.16 ShopKo Stores, Inc. 97,537 100% 05/31/26 NAP 1.17 ShopKo Stores, Inc. 105,923 100% 05/31/26 NAP 1.18 ShopKo Stores, Inc. 106,238 100% 05/31/26 NAP 1.19 ShopKo Stores, Inc. 90,514 100% 05/31/26 NAP 1.20 ShopKo Stores, Inc. 90,441 100% 05/31/26 NAP 1.21 ShopKo Stores, Inc. 102,205 100% 05/31/26 NAP 1.22 ShopKo Stores, Inc. 124,761 100% 05/31/26 NAP 1.23 ShopKo Stores, Inc. 90,585 100% 05/31/26 NAP 1.24 ShopKo Stores, Inc. 94,106 100% 05/31/26 NAP 1.25 ShopKo Stores, Inc. 94,225 100% 05/31/26 NAP 1.26 ShopKo Stores, Inc. 94,705 100% 05/31/26 NAP 1.27 ShopKo Stores, Inc. 100,247 100% 05/31/26 NAP 1.28 ShopKo Stores, Inc. 102,327 100% 05/31/26 NAP 1.29 ShopKo Stores, Inc. 90,464 100% 05/31/26 NAP 1.30 ShopKo Stores, Inc. 98,030 100% 05/31/26 NAP 1.31 ShopKo Stores, Inc. 94,076 100% 05/31/26 NAP 1.32 ShopKo Stores, Inc. 100,010 100% 05/31/26 NAP 1.33 ShopKo Stores, Inc. 99,279 100% 05/31/26 NAP 1.34 ShopKo Stores, Inc. 101,483 100% 05/31/26 NAP 1.35 ShopKo Stores, Inc. 98,005 100% 05/31/26 NAP 1.36 ShopKo Stores, Inc. 90,461 100% 05/31/26 NAP 1.37 ShopKo Stores, Inc. 90,414 100% 05/31/26 NAP 1.38 ShopKo Stores, Inc. 77,690 100% 05/31/26 NAP 1.39 ShopKo Stores, Inc. 97,931 100% 05/31/26 NAP 1.40 ShopKo Stores, Inc. 103,875 100% 05/31/26 NAP 1.41 ShopKo Stores, Inc. 97,961 100% 05/31/26 NAP 1.42 ShopKo Stores, Inc. 100,800 100% 05/31/26 NAP 1.43 ShopKo Stores, Inc. 96,325 100% 05/31/26 NAP 1.44 ShopKo Stores, Inc. 101,688 100% 05/31/26 NAP 1.45 ShopKo Stores, Inc. 86,739 100% 05/31/26 NAP 1.46 ShopKo Stores, Inc. 94,130 100% 05/31/26 NAP 1.47 ShopKo Stores, Inc. 81,171 100% 05/31/26 NAP 1.48 ShopKo Stores, Inc. 93,845 100% 05/31/26 NAP 1.49 ShopKo Stores, Inc. 94,413 100% 05/31/26 NAP 1.50 ShopKo Stores, Inc. 98,160 100% 05/31/26 NAP 1.51 ShopKo Stores, Inc. 97,859 100% 05/31/26 NAP 1.52 ShopKo Stores, Inc. 94,230 100% 05/31/26 NAP 1.53 ShopKo Stores, Inc. 94,222 100% 05/31/26 NAP 1.54 ShopKo Stores, Inc. 84,375 100% 05/31/26 NAP 1.55 ShopKo Stores, Inc. 94,237 100% 05/31/26 NAP 1.56 ShopKo Stores, Inc. 71,846 100% 05/31/26 NAP 1.57 ShopKo Stores, Inc. 83,363 100% 05/31/26 NAP 1.58 ShopKo Stores, Inc. 88,161 100% 05/31/26 NAP 1.59 ShopKo Stores, Inc. 71,847 100% 05/31/26 NAP 1.60 ShopKo Stores, Inc. 91,012 100% 05/31/26 NAP 1.61 ShopKo Stores, Inc. 65,459 100% 05/31/26 NAP 1.62 ShopKo Stores, Inc. 87,954 100% 05/31/26 NAP 1.63 ShopKo Stores, Inc. 66,745 100% 05/31/26 NAP 1.64 ShopKo Stores, Inc. 88,030 100% 05/31/26 NAP 1.65 ShopKo Stores, Inc. 90,334 100% 05/31/26 NAP 1.66 ShopKo Stores, Inc. 71,806 100% 05/31/26 NAP 1.67 ShopKo Stores, Inc. 100,761 100% 05/31/26 NAP 1.68 ShopKo Stores, Inc. 66,735 100% 05/31/26 NAP 1.69 ShopKo Stores, Inc. 90,505 100% 05/31/26 NAP 1.70 ShopKo Stores, Inc. 116,992 100% 05/31/26 NAP 1.71 ShopKo Stores, Inc. 77,559 100% 05/31/26 NAP 1.72 ShopKo Stores, Inc. 94,250 100% 05/31/26 NAP 1.73 ShopKo Stores, Inc. 94,248 100% 05/31/26 NAP 1.74 ShopKo Stores, Inc. 90,430 100% 05/31/26 NAP 1.75 ShopKo Stores, Inc. 94,013 100% 05/31/26 NAP 1.76 ShopKo Stores, Inc. 100,843 100% 05/31/26 NAP 1.77 ShopKo Stores, Inc. 94,336 100% 05/31/26 NAP 1.78 ShopKo Stores, Inc. 66,781 100% 05/31/26 NAP 1.79 ShopKo Stores, Inc. 75,844 100% 05/31/26 NAP 1.80 ShopKo Stores, Inc. 67,256 100% 05/31/26 NAP 1.81 ShopKo Stores, Inc. 94,230 100% 05/31/26 NAP 1.82 ShopKo Stores, Inc. 75,775 100% 05/31/26 NAP 1.83 ShopKo Stores, Inc. 73,956 100% 05/31/26 NAP 1.84 ShopKo Stores, Inc. 66,784 100% 05/31/26 NAP 1.85 ShopKo Stores, Inc. 66,827 100% 05/31/26 NAP 1.86 ShopKo Stores, Inc. 70,118 100% 05/31/26 NAP 1.87 ShopKo Stores, Inc. 83,179 100% 05/31/26 NAP 1.88 ShopKo Stores, Inc. 66,713 100% 05/31/26 NAP 1.89 ShopKo Stores, Inc. 90,526 100% 05/31/26 NAP 1.90 ShopKo Stores, Inc. 73,956 100% 05/31/26 NAP 1.91 ShopKo Stores, Inc. 83,180 100% 05/31/26 NAP 1.92 ShopKo Stores, Inc. 94,042 100% 05/31/26 NAP 1.93 ShopKo Stores, Inc. 94,068 100% 05/31/26 NAP 1.94 ShopKo Stores, Inc. 75,844 100% 05/31/26 NAP 1.95 ShopKo Stores, Inc. 90,430 100% 05/31/26 NAP 1.96 ShopKo Stores, Inc. 90,510 100% 05/31/26 NAP 1.97 ShopKo Stores, Inc. 71,839 100% 05/31/26 NAP 1.98 ShopKo Stores, Inc. 83,211 100% 05/31/26 NAP 1.99 ShopKo Stores, Inc. 94,136 100% 05/31/26 NAP 1.100 ShopKo Stores, Inc. 75,844 100% 05/31/26 NAP 1.101 ShopKo Stores, Inc. 71,345 100% 05/31/26 NAP 1.102 ShopKo Stores, Inc. 94,225 100% 05/31/26 NAP 1.103 ShopKo Stores, Inc. 71,340 100% 05/31/26 NAP 1.104 ShopKo Stores, Inc. 75,063 100% 05/31/26 NAP 1.105 ShopKo Stores, Inc. 94,091 100% 05/31/26 NAP 1.106 ShopKo Stores, Inc. 15,060 100% 05/31/26 NAP 1.107 ShopKo Stores, Inc. 14,265 100% 05/31/26 NAP 1.108 ShopKo Stores, Inc. 60,985 100% 05/31/26 NAP 1.109 ShopKo Stores, Inc. 28,953 100% 05/31/26 NAP 1.110 ShopKo Stores, Inc. 90,590 100% 05/31/26 NAP 1.111 ShopKo Stores, Inc. 80,327 100% 05/31/26 NAP 1.112 ShopKo Stores, Inc. 12,821 100% 05/31/26 NAP --------------------------------------------------------------------------------------------------------------------------------- 2 ResMAE Mortgage Corporation 131,687 21% 07/31/17 Avery Dennison Office Products 3 SAIC 101,635 21% 09/30/10 QuadraMed Corporation --------------------------------------------------------------------------------------------------------------------------------- 4 4.1 AC Nielsen c/o VNU Inc. 34,276 17% 03/31/15 Stewart-Greenblatt-Manning 4.2 Lockheed Martin Corp 123,554 58% 09/30/08 Frequency Electronics 4.3 Bayer Healthcare LLC 81,079 65% 07/31/14 Lincoln Life & Annuity 4.4 Oracle USA Inc. 29,428 23% 11/30/07 ENT and Allergy Association 4.5 HQ Global Workplaces 16,507 24% 06/30/08 Onieda Ltd. 4.6 Federal Aviation Administration 29,372 42% 11/30/13 Patient Care Medical SE 4.7 Hoffmann & Baron L.L.P. 21,676 21% 07/31/10 United Jewish Appeal --------------------------------------------------------------------------------------------------------------------------------- 5 5.1 NAP NAP NAP NAP NAP 5.2 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 6 NAP NAP NAP NAP NAP 7 Morgan & Morgan 46,318 17% 03/31/15 Wachovia Bank NA --------------------------------------------------------------------------------------------------------------------------------- 8 NAP NAP NAP NAP NAP 9 NAP NAP NAP NAP NAP 10 NAP NAP NAP NAP NAP 11 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 12 Nomaco Inc 310,000 100% 07/31/15 NAP 13 Carrier 45,000 31% 01/31/09 Batesville Casket Co. 14 Northrop Grumman 40,124 44% 10/31/10 Leader Communications, Inc 15 Franchise Food Service 83,750 69% 12/31/14 Union Corrugating Company 16 Bluecurrent LLC 49,500 36% 09/30/06 General Hardwood, Inc. 17 Trane 10,000 31% 05/31/14 Multitab Systems 18 Terracon Consultants 14,000 100% 05/26/12 NAP 19 H&E Equip. Services, LLC 6,950 93% 05/31/10 NAP --------------------------------------------------------------------------------------------------------------------------------- 20 Ultra Star Cinemas 14,000 13% 12/31/07 Chevy's Mexican Restaurant 21 Bank of America 80,989 27% 12/31/13 Edens & Avant Investments 22 NAP NAP NAP NAP NAP 23 Sears 63,184 14% 03/31/09 JC Penney 24 Alcoa, Inc. 55,816 17% 07/31/12; 06/30/08 Branch Banking & Trust Company 25 Haggen, Inc. (dba Top Foods) 67,200 55% 07/21/22 Puerto Vallarta Mexican Rest. 26 Stock Building Supply of Florida, Inc. 258,100 33% 03/31/16 Delhaize America, LLC 27 NAP NAP NAP NAP NAP 28 KashnKarry 45,914 40% 11/30/26 Hennelly Tire 29 Office Depot 31,200 21% 03/31/15 Old Navy 30 NAP NAP NAP NAP NAP 31 Bed Bath & Beyond 28,250 19% 11/30/16 Barnes & Noble 32 NAP NAP NAP NAP NAP 33 Sepracor 71,145 24% 06/30/12 Motorola 34 T.J. Maxx 32,000 34% 11/30/09 Staples 35 Millipore Corporation 103,538 72% 11/30/12 Getronics Wang 36 Giant of Maryland, LLC 69,677 67% 07/31/24 Blockbuster Video 37 Logistics Insight Corp. 400,000 100% 07/01/13 NAP 38 Bartell Drug Stores 10,955 9% 06/06/17 IKON Office Systems 39 NAP NAP NAP NAP NAP 40 Party City Corporation 106,000 88% 07/31/17 Lerner Enterprises, LLC 41 Naples Day Surgery 17,200 23% 03/31/16 Naples Obstetrics & Gyneco 42 NAP NAP NAP NAP NAP 43 Acme Markets, Inc. 62,040 41% 06/29/16 Marshalls of MA. Inc 44 AmeriCold 209,250 100% 12/31/09 NAP 45 NAP NAP NAP NAP NAP 46 NAP NAP NAP NAP NAP 47 NAP NAP NAP NAP NAP 48 Fidelity Home Loan Corp. 16,186 14% 11/19/07 TWI 49 NAP NAP NAP NAP NAP 50 Wal-Mart 127,354 100% 04/30/25 NAP 51 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 52 NAP NAP NAP NAP NAP 53 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 54 Blockbuster, Inc. 5,458 17% 09/30/14 Redwood Credit Union 55 Dynamics Research Corp. 130,706 100% 12/31/15 NAP 56 Hartford Fire Insurance Co. 61,823 50% 06/30/10 Baker/MO Services, Inc. 57 H&M Hennes & Mauritz LP 13,668 59% 01/31/21 Ann Taylor 58 Cingular Wireless 126,088 100% 11/30/12 NAP 59 Soft Shoe, Inc. 21,600 25% 02/28/08 First Citizens Bank & Trust --------------------------------------------------------------------------------------------------------------------------------- 60 NAP NAP NAP NAP NAP 61 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 62 NAP NAP NAP NAP NAP 63 NAP NAP NAP NAP NAP 64 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 65 65.1 NAP NAP NAP NAP NAP 65.2 NAP NAP NAP NAP NAP 65.3 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 66 Pacific Bell Directory 80,998 100% 07/14/07 NAP 67 Renal Care Group of Arizona 10,530 14% 10/31/14 Pinnacle Medicine, Inc. 68 Whole Foods Market Group, Inc. 47,174 100% 01/31/26 NAP 69 Gordman's 60,725 55% 10/31/14 Ashley Furniture --------------------------------------------------------------------------------------------------------------------------------- 70 70.1 NAP NAP NAP NAP NAP 70.2 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 71 Design Continuum, Inc 45,525 51% 02/28/14 Euro-Pro Operating LLC 72 Chloe 3,000 20% 05/31/16 The John Freida Salon 73 Honeywell 54,500 51% 02/28/10 HCA --------------------------------------------------------------------------------------------------------------------------------- 74 74.1 NAP NAP NAP NAP NAP 74.2 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 75 75.1 NAP NAP NAP NAP NAP 75.2 NAP NAP NAP NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 76 Westchester Medical Group 65,000 100% 07/27/26 NAP 77 Canyon Grill (Ground Lease) 7,000 24% 03/13/10 California Pizza Kitchen (Ground Lease) 78 Wal-Mart 144,298 100% 01/31/18 NAP 79 Super K-Mart (Groundlease) 157,140 66% 09/30/18 Big Lots 80 Standard Register 111,040 36% 09/30/10 Qualex 81 Super Fresh/Sav-A-Center 60,056 100% 09/30/21 NAP 82 McRae's Ext. 74,662 35% 12/31/14 JC Penney 83 NAP NAP NAP NAP NAP 84 Konica Minolta Business 109,876 50% 12/31/12 Advanced Distribution Systems 85 General Dynamics - Itronix 121,000 100% 02/29/16 NAP 86 Alfa Laval 180,252 100% 12/31/15 NAP 87 The Crexent 34,317 68% 03/31/21 Lady of America Fitness 88 Food Lion 33,000 34% 12/14/17 Goodwill Industries 89 ABT Executive Suite-KingsPark 10,876 21% 09/30/10 Espre Solutions, Inc 90 NAP NAP NAP NAP NAP 91 Embryon, Inc. 37,779 52% 06/30/15 New England Life Insurance 92 Concentra Health Services 8,792 12% 09/30/13 Fuddruckers 93 Praxair Surface Technologies 24,164 19% 10/31/08 Washington Insulation, Inc 94 Master Data 17,104 17% 10/31/11 Etkin Equities, LLC 95 Aurora Medical Group, Inc. 40,000 100% 12/31/20 NAP 96 GE Transportation Systems Global Signaling 60,000 55% 10/31/10 Del Monte Fresh Produce 97 Walgreen Co. 14,490 100% 04/30/79 NAP 98 NAP NAP NAP NAP NAP 99 NAP NAP NAP NAP NAP 100 Publix 37,888 65% 04/01/22 CVS 101 NAP NAP NAP NAP NAP 102 Hichborn Consultants 8,195 14% 01/31/08 Turner's Sporting Goods 103 Orion Fitness 11,200 19% 09/30/09 Box Seats 104 Niagara County Dept of Social Services 41,032 47% 04/30/18 Niagara County Department Offices 105 State of Maryland 61,310 100% 10/31/11 NAP 106 NAP NAP NAP NAP NAP 107 Aurora Medical Group, Inc. 37,500 100% 12/31/20 NAP 108 Ernest Communications 40,767 49% 04/30/11 Cornerstone Christian Academy 109 NAP NAP NAP NAP NAP 110 Executive Suites of South 14,111 25% 10/31/09 Hayes, Seay, Mattern & Ma 111 NAP NAP NAP NAP NAP 112 NAP NAP NAP NAP NAP 113 Grand Cherry Concerto Capital, Inc. 3,800 11% 07/31/07 Bolsa Furniture (Luu Ich Hien) 114 NAP NAP NAP NAP NAP 115 NAP NAP NAP NAP NAP 116 Dollar Plus Villa 6,560 22% 01/31/09 Perfect Teeth 117 NAP NAP NAP NAP NAP 118 Ole Ole 5,354 24% 11/30/10 Urban Flats 119 NAP NAP NAP NAP NAP 120 PMI Eisenhart 10,750 18% 03/31/11 Maximum Data 121 NAP NAP NAP NAP NAP 122 Aurora Medical Group, Inc. 39,772 100% 12/31/20 NAP 123 Office Depot 31,568 58% 09/30/08 Family Dollar --------------------------------------------------------------------------------------------------------------------------------- 124 United Supermarkets, Inc. 52,907 100% 10/31/15 NAP 125 Advance Stores Incorporated 6,783 100% 08/31/20 NAP 126 Advance Stores Incorporated 6,770 100% 07/31/20 NAP --------------------------------------------------------------------------------------------------------------------------------- 127 One Stop Decorating 4,788 12% 01/31/09 Hobbytown USA 128 A.J. Wright 25,033 23% 08/31/13 Big Lots 129 NAP NAP NAP NAP NAP 130 Entenmann's 13,461 32% 04/14/08 Tom's Sierra 131 MS Entertainment, Inc. 8,550 17% 03/15/10 Kreiss Collection 132 Gold's Gym 43,750 52% 10/31/10 Apple Crate 133 NAP NAP NAP NAP NAP 134 NAP NAP NAP NAP NAP 135 Aurora Medical Group, Inc. 34,263 100% 12/31/20 NAP 136 Save-A-Lot 13,886 30% 06/30/13 Rainbow Apparel 137 NAP NAP NAP NAP NAP 138 NAP NAP NAP NAP NAP 139 Vitamin Shoppe Industries Inc 4,056 22% 04/30/16 BeautyFirst, Inc. 140 Vacumet Corporation 30,788 25% 08/31/09 Star Stainless Screw Co. 141 Circuit City 28,526 100% 04/30/18 NAP 142 United Supermarkets, Inc. 43,100 100% 07/01/20 NAP 143 NAP NAP NAP NAP NAP 144 NAP NAP NAP NAP NAP 145 NAP NAP NAP NAP NAP 146 Rancher Bar & Grill 3,954 25% 10/31/07 Optionz Haircutz 147 Walgreen Co. 14,820 100% 10/31/80 NAP 148 La-Z-Boy 26,400 95% 12/31/25 Anything 4 Wireless, Inc 149 GSA-Social Security 11,590 100% 12/31/20 NAP 150 Barnes & Noble Superstores, Inc. 25,048 100% 01/31/12 NAP 151 Best Buy 45,056 100% 12/22/17 NAP 152 Bassett Creek Dental, P.A. 5,730 16% 07/31/10 West Metro Opthamalogy 153 Rite Aid 17,272 100% 01/31/26 NAP 154 Reese Henry Accounting Firm 6,200 70% 10/31/15 WestStar Bank 155 CVS Pharmacy, Inc. 11,200 100% 03/23/19 NAP 156 DiBella's Old Fashioned Submarines 3,200 21% 01/17/16 Hollywood Tanning Systems 157 Tartus Development 4,163 14% 12/31/06 GG Enterprises 158 Dr. Ingrid Haas 4,285 20% 03/31/11 First American Title 159 NAP NAP NAP NAP NAP 160 DMR 36,579 68% 11/30/09 Stryker Orthopaedics 161 Best Buy 20,000 100% 01/31/16 NAP 162 NAP NAP NAP NAP NAP 163 Rite Aid 11,180 100% 05/10/25 NAP 164 Rite Aid 11,180 100% 08/31/18 NAP 165 Rite Aid 11,180 100% 09/30/17 NAP 166 NAP NAP NAP NAP NAP SECOND THIRD SECOND LARGEST LARGEST SECOND MOST SECOND SECOND MAJOR THIRD THIRD MAJOR MOST RECENT LARGEST LARGEST TENANT LARGEST LARGEST TENANT RECENT YEAR MAJOR MAJOR LEASE MAJOR MAJOR LEASE YEAR STATEMENT LOAN TENANT TENANT MATURITY TENANT TENANT MATURITY STATEMENT NUMBER OF NUMBER NRSF NRSF% DATE THIRD LARGEST MAJOR TENANT NRSF NRSF% DATE TYPE MONTHS ----------------------------------------------------------------------------------------------------------------------------------- 1 1.1 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.2 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.3 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.4 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.5 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.6 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.7 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.8 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.9 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.10 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.11 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.12 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.13 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.14 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.15 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.16 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.17 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.18 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.19 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.20 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.21 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.22 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.23 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.24 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.25 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.26 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.27 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.28 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.29 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.30 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.31 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.32 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.33 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.34 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.35 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.36 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.37 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.38 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.39 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.40 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.41 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.42 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.43 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.44 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.45 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.46 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.47 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.48 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.49 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.50 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.51 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.52 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.53 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.54 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.55 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.56 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.57 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.58 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.59 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.60 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.61 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.62 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.63 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.64 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.65 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.66 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.67 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.68 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.69 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.70 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.71 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.72 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.73 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.74 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.75 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.76 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.77 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.78 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.79 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.80 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.81 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.82 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.83 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.84 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.85 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.86 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.87 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.88 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.89 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.90 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.91 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.92 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.93 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.94 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.95 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.96 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.97 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.98 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.99 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.100 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.101 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.102 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.103 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.104 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.105 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.106 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.107 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.108 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.109 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.110 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.111 NAP NAP NAP NAP NAP NAP NAP UAV UAV 1.112 NAP NAP NAP NAP NAP NAP NAP UAV UAV ----------------------------------------------------------------------------------------------------------------------------------- 2 131,411 21% 08/31/15 Ventura Foods, LLC 129,924 20% 01/11/13 Full Year 12 3 70,758 15% 07/31/11 PRA International 20,772 4% 12/31/14 Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 4 4.1 15,411 7% 11/30/07 CBIZ Acctg. Tax and Advisor 14,228 7% 03/31/09 Full Year 12 4.2 91,027 42% 12/31/09 NAP NAP NAP NAP Full Year 12 4.3 8,783 7% 09/30/06 Interdynamics Inc. 7,454 6% 02/29/08 Full Year 12 4.4 13,785 11% 04/30/10 Clarfeld & Company PC 11,691 9% 08/31/09 Full Year 12 4.5 15,700 22% 01/31/10 Burr Enterprises LTD. 9,372 13% 03/31/10 Full Year 12 4.6 15,225 22% 06/30/07 Premier Home Healthcare SV 11,223 16% 06/30/07 Full Year 12 4.7 11,103 11% 07/31/14 Lincoln Financial Group 10,379 10% 04/30/09 Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 5 5.1 NAP NAP NAP NAP NAP NAP NAP Full Year 12 5.2 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 6 NAP NAP NAP NAP NAP NAP NAP UAV UAV 7 26,066 10% 04/17/10 Fisher, Rushmer ET AL 25,731 10% 12/31/11 Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 8 NAP NAP NAP NAP NAP NAP NAP Partial Year 9 9 NAP NAP NAP NAP NAP NAP NAP Full Year 12 10 NAP NAP NAP NAP NAP NAP NAP Full Year 12 11 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 12 NAP NAP NAP NAP NAP NAP NAP UAV UAV 13 15,000 10% 02/28/11 L&M Furniture 13,000 9% 04/30/12 Full Year 12 14 11,095 12% 08/31/09 Sciperio 9,335 10% 10/31/10 Full Year 12 15 38,000 31% 06/07/08 NAP NAP NAP NAP UAV UAV 16 25,000 18% 03/31/08 Omni Packaging Group 20,000 14% 01/31/11 Full Year 12 17 7,500 23% 10/31/06 Terminix International Co., LP 7,500 23% 06/30/10 Full Year 12 18 NAP NAP NAP NAP NAP NAP NAP UAV UAV 19 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 20 9,046 9% 09/30/12 Milton's Delicatessen 6,906 7% 05/31/07 Full Year 12 21 41,620 14% 12/31/08 Turner Paget et al Law Firm 36,914 12% 12/31/14 UAV UAV 22 NAP NAP NAP NAP NAP NAP NAP Full Year 12 23 50,060 11% 08/31/10 Big Lots 41,000 9% 01/31/09 Full Year 12 24 47,562 14% 12/31/13 Woofe, McClane, Bright, Allen 25,775 8% 09/30/07 Full Year 12 25 5,777 5% 07/31/14 The Rock Wood Fired Pizza 4,509 4% 12/29/08 Full Year 12 26 244,330 31% 12/31/18 US Lumber Group, LLC 156,890 20% 07/31/09 UAV UAV 27 NAP NAP NAP NAP NAP NAP NAP Full Year 12 28 6,758 6% 12/31/25 Hollywood Video 6,175 5% 11/30/21 UAV UAV 29 21,377 14% 04/30/11 Books-A-Million 21,166 14% 04/30/14 Full Year 12 30 NAP NAP NAP NAP NAP NAP NAP Full Year 12 31 22,000 15% 05/31/12 Michael's 18,000 12% 02/28/11 Full Year 12 32 NAP NAP NAP NAP NAP NAP NAP Full Year 12 33 59,555 20% 01/31/09 Xcellerex 40,000 14% 09/30/10 Full Year 12 34 18,000 19% 01/31/15 Modell's Maryland II 15,000 16% 03/15/15 Full Year 12 35 39,610 28% 11/30/12 NAP NAP NAP NAP UAV UAV 36 3,600 3% 09/12/09 Osaka Japanese Steak & Seafood 2,400 2% 02/13/10 Full Year 12 37 NAP NAP NAP NAP NAP NAP NAP Full Year 12 38 8,650 7% 10/31/07 Imperium Renewables 5,901 5% 03/31/08 Full Year 12 39 NAP NAP NAP NAP NAP NAP NAP Full Year 12 40 15,038 12% 05/31/15 NAP NAP NAP NAP UAV UAV 41 7,248 10% 11/15/15 Naples Medical Center 6,001 8% 09/30/08 Full Year 12 42 NAP NAP NAP NAP NAP NAP NAP Full Year 12 43 32,713 22% 10/31/08 Staples The Office Superstore East, Inc. 23,525 16% 09/30/13 Full Year 12 44 NAP NAP NAP NAP NAP NAP NAP Full Year 12 45 NAP NAP NAP NAP NAP NAP NAP Full Year 12 46 NAP NAP NAP NAP NAP NAP NAP Trailing-12 12 47 NAP NAP NAP NAP NAP NAP NAP Full Year 12 48 12,774 11% 03/31/08 Ryder & Caspino 10,175 9% 07/31/09 Full Year 12 49 NAP NAP NAP NAP NAP NAP NAP Full Year 12 50 NAP NAP NAP NAP NAP NAP NAP UAV UAV 51 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 52 NAP NAP NAP NAP NAP NAP NAP Full Year 12 53 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 54 2,971 9% 04/01/14 Baja Fresh 2,450 8% 12/31/14 UAV UAV 55 NAP NAP NAP NAP NAP NAP NAP UAV UAV 56 51,307 41% 06/30/16 TNT USA 10,870 9% 11/30/10 Full Year 12 57 7,600 33% 01/31/17 Steve Madden Retail Inc. 1,950 8% 01/01/17 UAV UAV 58 NAP NAP NAP NAP NAP NAP NAP UAV UAV 59 6,000 7% 06/30/08 Cage 6,000 7% 05/01/09 Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 60 NAP NAP NAP NAP NAP NAP NAP Full Year 12 61 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 62 NAP NAP NAP NAP NAP NAP NAP Full Year 12 63 NAP NAP NAP NAP NAP NAP NAP Full Year 12 64 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 65 65.1 NAP NAP NAP NAP NAP NAP NAP Full Year 12 65.2 NAP NAP NAP NAP NAP NAP NAP Full Year 12 65.3 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 66 NAP NAP NAP NAP NAP NAP NAP Full Year 12 67 4,361 6% 06/30/13 Hospice of Arizona, LC 4,206 6% 05/31/10 Full Year 12 68 NAP NAP NAP NAP NAP NAP NAP UAV UAV 69 50,000 45% 07/31/16 NAP NAP NAP NAP UAV UAV ----------------------------------------------------------------------------------------------------------------------------------- 70 70.1 NAP NAP NAP NAP NAP NAP NAP UAV UAV 70.2 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 71 23,648 26% 10/31/12 Corporate Interiors, Inc 17,000 19% 07/31/15 Full Year 12 72 3,000 20% 05/31/08 Leggiadro 1,650 11% 09/30/15 UAV UAV 73 53,098 49% 06/30/15 NAP NAP NAP NAP UAV UAV ----------------------------------------------------------------------------------------------------------------------------------- 74 74.1 NAP NAP NAP NAP NAP NAP NAP Full Year 12 74.2 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 75 75.1 NAP NAP NAP NAP NAP NAP NAP Full Year 12 75.2 NAP NAP NAP NAP NAP NAP NAP Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 76 NAP NAP NAP NAP NAP NAP NAP UAV UAV 77 5,963 20% 05/09/15 Jos. A Bank 3,772 13% 12/31/14 UAV UAV 78 NAP NAP NAP NAP NAP NAP NAP Full Year 12 79 26,993 11% 01/31/10 Steppin Out (Groundlease) 10,000 4% 04/30/07 Full Year 12 80 76,525 25% 02/28/07 Better Bedding 37,044 12% 08/31/12 Full Year 12 81 NAP NAP NAP NAP NAP NAP NAP Full Year 12 82 47,940 22% 05/31/14 Stage 15,300 7% 03/31/11 Full Year 12 83 NAP NAP NAP NAP NAP NAP NAP Full Year 12 84 109,428 50% 03/31/16 NAP NAP NAP NAP UAV UAV 85 NAP NAP NAP NAP NAP NAP NAP UAV UAV 86 NAP NAP NAP NAP NAP NAP NAP UAV UAV 87 8,600 17% 02/28/08 Bank of America 7,275 14% 12/31/11 Full Year 12 88 12,000 12% 09/15/08 Dollar Tree Store 11,070 11% 07/31/10 Full Year 12 89 7,778 15% 02/28/10 Koons Fuller Vanden Eykel 6,405 13% 04/30/09 Full Year 12 90 NAP NAP NAP NAP NAP NAP NAP Full Year 12 91 11,989 17% 03/31/08 Harding Loevner 9,056 13% 03/01/09 Full Year 12 92 7,674 11% 01/31/10 Cajun Town Cafe 6,278 9% 12/31/12 Full Year 12 93 23,200 19% 08/31/06 HiTex Corporation 12,801 10% 03/31/08 Full Year 12 94 10,949 11% 07/31/11 Area Agency on Aging 7,535 8% 09/30/08 Full Year 12 95 NAP NAP NAP NAP NAP NAP NAP UAV UAV 96 48,160 45% 04/30/12 NAP NAP NAP NAP UAV UAV 97 NAP NAP NAP NAP NAP NAP NAP UAV UAV 98 NAP NAP NAP NAP NAP NAP NAP Full Year 12 99 NAP NAP NAP NAP NAP NAP NAP UAV UAV 100 10,125 17% 01/31/12 Hollywood Video 6,900 12% 09/29/06 Full Year 12 101 NAP NAP NAP NAP NAP NAP NAP Full Year 12 102 4,420 8% 08/31/06 Legacy Real Estate 4,380 8% 07/31/09 Full Year 12 103 5,952 10% 01/31/11 Ivy League Academy 3,800 6% 07/30/07 UAV UAV 104 27,404 32% 06/30/18 Niagara County Community College 18,000 21% 12/31/12 Full Year 12 105 NAP NAP NAP NAP NAP NAP NAP Full Year 12 106 NAP NAP NAP NAP NAP NAP NAP UAV UAV 107 NAP NAP NAP NAP NAP NAP NAP UAV UAV 108 14,513 18% 08/31/10 Genex Services, Inc. 7,864 9% 03/31/09 Full Year 12 109 NAP NAP NAP NAP NAP NAP NAP Full Year 12 110 12,361 22% 12/31/09 Willse & Associates, Inc. 10,492 18% 08/31/09 Full Year 12 111 NAP NAP NAP NAP NAP NAP NAP Full Year 12 112 NAP NAP NAP NAP NAP NAP NAP Full Year 12 113 2,840 8% 06/30/11 Long Andrew Lam 2,459 7% 07/31/07 Full Year 12 114 NAP NAP NAP NAP NAP NAP NAP Full Year 12 115 NAP NAP NAP NAP NAP NAP NAP Full Year 12 116 2,585 9% 10/31/08 Parker Gallery 2,336 8% 07/31/07 Full Year 12 117 NAP NAP NAP NAP NAP NAP NAP Full Year 12 118 4,962 23% 02/28/14 Solutions Bridal 3,366 15% 08/31/08 UAV UAV 119 NAP NAP NAP NAP NAP NAP NAP Full Year 12 120 4,950 8% 01/31/11 PI Research (Ford) 4,800 8% 05/31/06 Full Year 12 121 NAP NAP NAP NAP NAP NAP NAP Full Year 12 122 NAP NAP NAP NAP NAP NAP NAP UAV UAV 123 7,200 13% 12/31/10 Mark's Ark Pet Store 3,600 7% 09/30/10 Full Year 12 ----------------------------------------------------------------------------------------------------------------------------------- 124 NAP NAP NAP NAP NAP NAP NAP UAV UAV 125 NAP NAP NAP NAP NAP NAP NAP UAV UAV 126 NAP NAP NAP NAP NAP NAP NAP UAV UAV ----------------------------------------------------------------------------------------------------------------------------------- 127 4,128 10% 02/28/09 LaFuente Mexican Restaurant 3,620 9% 05/31/10 Full Year 12 128 25,000 23% 01/31/11 World Gym 18,847 18% 10/31/08 Full Year 12 129 NAP NAP NAP NAP NAP NAP NAP Full Year 12 130 11,094 26% 12/31/13 Metro Car Wash 5,621 13% 06/15/10 Full Year 12 131 7,925 16% 12/31/09 Furniture Direct 7,787 15% 10/11/14 UAV UAV 132 10,356 12% 08/31/10 Dollar General 7,200 9% 11/30/08 Full Year 12 133 NAP NAP NAP NAP NAP NAP NAP Full Year 12 134 NAP NAP NAP NAP NAP NAP NAP Full Year 12 135 NAP NAP NAP NAP NAP NAP NAP UAV UAV 136 7,126 15% 07/31/08 Grand Dollar 4,000 9% 08/30/09 Full Year 12 137 NAP NAP NAP NAP NAP NAP NAP Full Year 12 138 NAP NAP NAP NAP NAP NAP NAP Full Year 12 139 3,216 17% 02/29/16 Chipotle Mexican Grill of CO 2,421 13% 01/31/16 UAV UAV 140 18,601 15% 01/31/10 Mac-Gray Company, Inc 14,887 12% 05/31/13 Full Year 12 141 NAP NAP NAP NAP NAP NAP NAP Full Year 12 142 NAP NAP NAP NAP NAP NAP NAP UAV UAV 143 NAP NAP NAP NAP NAP NAP NAP UAV UAV 144 NAP NAP NAP NAP NAP NAP NAP Full Year 12 145 NAP NAP NAP NAP NAP NAP NAP Full Year 12 146 1,800 11% 12/31/06 Doolbie 1,500 9% 09/30/06 Full Year 12 147 NAP NAP NAP NAP NAP NAP NAP UAV UAV 148 1,425 5% 01/31/16 NAP NAP NAP NAP UAV UAV 149 NAP NAP NAP NAP NAP NAP NAP UAV UAV 150 NAP NAP NAP NAP NAP NAP NAP Full Year 12 151 NAP NAP NAP NAP NAP NAP NAP Full Year 12 152 4,245 12% 09/30/08 Medcentra, LLC 3,999 11% 01/31/12 Full Year 12 153 NAP NAP NAP NAP NAP NAP NAP UAV UAV 154 2,615 30% 04/30/10 NAP NAP NAP NAP Full Year 12 155 NAP NAP NAP NAP NAP NAP NAP UAV UAV 156 2,400 16% 12/31/15 Sprint Spectrum L.P. 2,000 13% 05/31/10 UAV UAV 157 2,308 7% 03/31/09 Brush Dance 1,943 6% 08/31/07 Full Year 12 158 2,986 14% 06/30/09 Medegen, LLC 2,224 11% 06/30/07 Full Year 12 159 NAP NAP NAP NAP NAP NAP NAP UAV UAV 160 9,135 17% 01/31/13 Vitas Innovative Hospice Care 5,350 10% 04/30/10 Full Year 12 161 NAP NAP NAP NAP NAP NAP NAP UAV UAV 162 NAP NAP NAP NAP NAP NAP NAP UAV UAV 163 NAP NAP NAP NAP NAP NAP NAP UAV UAV 164 NAP NAP NAP NAP NAP NAP NAP Full Year 12 165 NAP NAP NAP NAP NAP NAP NAP Full Year 12 166 NAP NAP NAP NAP NAP NAP NAP UAV UAV SECOND MOST RECENT YEAR STATEMENT SECOND SECOND SECOND SECOND MOST MOST CURRENT MOST CURRENT LOAN ENDING MOST RECENT MOST RECENT MOST RECENT RECENT YEAR MOST CURRENT YEAR YEAR STATEMENT YEAR STATEMENT NUMBER DATE YEAR REVENUES YEAR EXPENSES YEAR NOI NOI DSCR STATEMENT TYPE NUMBER OF MONTHS ENDING DATE -------------------------------------------------------------------------------------------------------------------------------- 1 UAV UAV 1.1 UAV UAV UAV UAV UAV UAV UAV UAV 1.2 UAV UAV UAV UAV UAV UAV UAV UAV 1.3 UAV UAV UAV UAV UAV UAV UAV UAV 1.4 UAV UAV UAV UAV UAV UAV UAV UAV 1.5 UAV UAV UAV UAV UAV UAV UAV UAV 1.6 UAV UAV UAV UAV UAV UAV UAV UAV 1.7 UAV UAV UAV UAV UAV UAV UAV UAV 1.8 UAV UAV UAV UAV UAV UAV UAV UAV 1.9 UAV UAV UAV UAV UAV UAV UAV UAV 1.10 UAV UAV UAV UAV UAV UAV UAV UAV 1.11 UAV UAV UAV UAV UAV UAV UAV UAV 1.12 UAV UAV UAV UAV UAV UAV UAV UAV 1.13 UAV UAV UAV UAV UAV UAV UAV UAV 1.14 UAV UAV UAV UAV UAV UAV UAV UAV 1.15 UAV UAV UAV UAV UAV UAV UAV UAV 1.16 UAV UAV UAV UAV UAV UAV UAV UAV 1.17 UAV UAV UAV UAV UAV UAV UAV UAV 1.18 UAV UAV UAV UAV UAV UAV UAV UAV 1.19 UAV UAV UAV UAV UAV UAV UAV UAV 1.20 UAV UAV UAV UAV UAV UAV UAV UAV 1.21 UAV UAV UAV UAV UAV UAV UAV UAV 1.22 UAV UAV UAV UAV UAV UAV UAV UAV 1.23 UAV UAV UAV UAV UAV UAV UAV UAV 1.24 UAV UAV UAV UAV UAV UAV UAV UAV 1.25 UAV UAV UAV UAV UAV UAV UAV UAV 1.26 UAV UAV UAV UAV UAV UAV UAV UAV 1.27 UAV UAV UAV UAV UAV UAV UAV UAV 1.28 UAV UAV UAV UAV UAV UAV UAV UAV 1.29 UAV UAV UAV UAV UAV UAV UAV UAV 1.30 UAV UAV UAV UAV UAV UAV UAV UAV 1.31 UAV UAV UAV UAV UAV UAV UAV UAV 1.32 UAV UAV UAV UAV UAV UAV UAV UAV 1.33 UAV UAV UAV UAV UAV UAV UAV UAV 1.34 UAV UAV UAV UAV UAV UAV UAV UAV 1.35 UAV UAV UAV UAV UAV UAV UAV UAV 1.36 UAV UAV UAV UAV UAV UAV UAV UAV 1.37 UAV UAV UAV UAV UAV UAV UAV UAV 1.38 UAV UAV UAV UAV UAV UAV UAV UAV 1.39 UAV UAV UAV UAV UAV UAV UAV UAV 1.40 UAV UAV UAV UAV UAV UAV UAV UAV 1.41 UAV UAV UAV UAV UAV UAV UAV UAV 1.42 UAV UAV UAV UAV UAV UAV UAV UAV 1.43 UAV UAV UAV UAV UAV UAV UAV UAV 1.44 UAV UAV UAV UAV UAV UAV UAV UAV 1.45 UAV UAV UAV UAV UAV UAV UAV UAV 1.46 UAV UAV UAV UAV UAV UAV UAV UAV 1.47 UAV UAV UAV UAV UAV UAV UAV UAV 1.48 UAV UAV UAV UAV UAV UAV UAV UAV 1.49 UAV UAV UAV UAV UAV UAV UAV UAV 1.50 UAV UAV UAV UAV UAV UAV UAV UAV 1.51 UAV UAV UAV UAV UAV UAV UAV UAV 1.52 UAV UAV UAV UAV UAV UAV UAV UAV 1.53 UAV UAV UAV UAV UAV UAV UAV UAV 1.54 UAV UAV UAV UAV UAV UAV UAV UAV 1.55 UAV UAV UAV UAV UAV UAV UAV UAV 1.56 UAV UAV UAV UAV UAV UAV UAV UAV 1.57 UAV UAV UAV UAV UAV UAV UAV UAV 1.58 UAV UAV UAV UAV UAV UAV UAV UAV 1.59 UAV UAV UAV UAV UAV UAV UAV UAV 1.60 UAV UAV UAV UAV UAV UAV UAV UAV 1.61 UAV UAV UAV UAV UAV UAV UAV UAV 1.62 UAV UAV UAV UAV UAV UAV UAV UAV 1.63 UAV UAV UAV UAV UAV UAV UAV UAV 1.64 UAV UAV UAV UAV UAV UAV UAV UAV 1.65 UAV UAV UAV UAV UAV UAV UAV UAV 1.66 UAV UAV UAV UAV UAV UAV UAV UAV 1.67 UAV UAV UAV UAV UAV UAV UAV UAV 1.68 UAV UAV UAV UAV UAV UAV UAV UAV 1.69 UAV UAV UAV UAV UAV UAV UAV UAV 1.70 UAV UAV UAV UAV UAV UAV UAV UAV 1.71 UAV UAV UAV UAV UAV UAV UAV UAV 1.72 UAV UAV UAV UAV UAV UAV UAV UAV 1.73 UAV UAV UAV UAV UAV UAV UAV UAV 1.74 UAV UAV UAV UAV UAV UAV UAV UAV 1.75 UAV UAV UAV UAV UAV UAV UAV UAV 1.76 UAV UAV UAV UAV UAV UAV UAV UAV 1.77 UAV UAV UAV UAV UAV UAV UAV UAV 1.78 UAV UAV UAV UAV UAV UAV UAV UAV 1.79 UAV UAV UAV UAV UAV UAV UAV UAV 1.80 UAV UAV UAV UAV UAV UAV UAV UAV 1.81 UAV UAV UAV UAV UAV UAV UAV UAV 1.82 UAV UAV UAV UAV UAV UAV UAV UAV 1.83 UAV UAV UAV UAV UAV UAV UAV UAV 1.84 UAV UAV UAV UAV UAV UAV UAV UAV 1.85 UAV UAV UAV UAV UAV UAV UAV UAV 1.86 UAV UAV UAV UAV UAV UAV UAV UAV 1.87 UAV UAV UAV UAV UAV UAV UAV UAV 1.88 UAV UAV UAV UAV UAV UAV UAV UAV 1.89 UAV UAV UAV UAV UAV UAV UAV UAV 1.90 UAV UAV UAV UAV UAV UAV UAV UAV 1.91 UAV UAV UAV UAV UAV UAV UAV UAV 1.92 UAV UAV UAV UAV UAV UAV UAV UAV 1.93 UAV UAV UAV UAV UAV UAV UAV UAV 1.94 UAV UAV UAV UAV UAV UAV UAV UAV 1.95 UAV UAV UAV UAV UAV UAV UAV UAV 1.96 UAV UAV UAV UAV UAV UAV UAV UAV 1.97 UAV UAV UAV UAV UAV UAV UAV UAV 1.98 UAV UAV UAV UAV UAV UAV UAV UAV 1.99 UAV UAV UAV UAV UAV UAV UAV UAV 1.100 UAV UAV UAV UAV UAV UAV UAV UAV 1.101 UAV UAV UAV UAV UAV UAV UAV UAV 1.102 UAV UAV UAV UAV UAV UAV UAV UAV 1.103 UAV UAV UAV UAV UAV UAV UAV UAV 1.104 UAV UAV UAV UAV UAV UAV UAV UAV 1.105 UAV UAV UAV UAV UAV UAV UAV UAV 1.106 UAV UAV UAV UAV UAV UAV UAV UAV 1.107 UAV UAV UAV UAV UAV UAV UAV UAV 1.108 UAV UAV UAV UAV UAV UAV UAV UAV 1.109 UAV UAV UAV UAV UAV UAV UAV UAV 1.110 UAV UAV UAV UAV UAV UAV UAV UAV 1.111 UAV UAV UAV UAV UAV UAV UAV UAV 1.112 UAV UAV UAV UAV UAV UAV UAV UAV -------------------------------------------------------------------------------------------------------------------------------- 2 12/31/04 11,754,275 3,474,364 8,279,911 0.91 Full Year 12 12/31/05 3 12/31/04 12,278,544 3,965,018 8,313,526 1.58 Trailing-12 12 11/30/05 -------------------------------------------------------------------------------------------------------------------------------- 4 8,976,281 2.31 4.1 12/31/04 4,879,964 2,909,282 1,970,682 Trailing-12 12 09/30/05 4.2 12/31/04 3,310,863 1,343,224 1,967,639 Trailing-12 12 09/30/05 4.3 12/31/04 2,530,637 1,475,624 1,055,013 Trailing-12 12 09/30/05 4.4 12/31/04 3,004,644 1,649,443 1,355,201 Trailing-12 12 09/30/05 4.5 12/31/04 1,847,520 858,080 989,440 Trailing-12 12 09/30/05 4.6 12/31/04 1,590,180 769,062 821,118 Trailing-12 12 09/30/05 4.7 12/31/04 2,485,747 1,668,559 817,188 Trailing-12 12 09/30/05 -------------------------------------------------------------------------------------------------------------------------------- 5 13,582,262 2.97 5.1 12/31/04 21,987,086 13,888,368 8,098,718 Full Year 12 12/31/05 5.2 12/31/04 18,806,062 13,322,518 5,483,544 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 6 UAV UAV UAV UAV UAV UAV UAV UAV 7 12/31/04 5,907,114 2,448,797 3,458,317 1.21 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 8 12/31/05 3,981,353 2,251,260 1,730,093 1.20 Annualized 10 03/31/06 9 12/31/05 3,515,565 2,431,643 1,083,922 1.20 Trailing-12 12 03/31/06 10 12/31/05 1,286,699 1,112,181 174,518 1.20 Trailing-12 12 03/31/06 11 12/31/05 1,287,140 774,464 512,676 1.20 Trailing-12 12 03/31/06 -------------------------------------------------------------------------------------------------------------------------------- 12 UAV UAV UAV UAV UAV UAV UAV UAV 13 12/31/04 659,124 169,039 490,085 UAV Annualized 9 09/30/05 14 12/31/04 801,634 278,017 523,617 UAV Annualized 9 09/30/05 15 UAV UAV UAV UAV UAV Annualized 9 09/30/05 16 12/31/04 577,610 111,959 465,651 UAV Annualized 9 09/30/05 17 12/31/04 118,801 43,481 75,320 UAV Annualized 9 09/30/05 18 UAV UAV UAV UAV UAV Annualized 4 09/30/05 19 12/31/04 86,160 13,321 72,839 UAV Annualized 4 09/30/05 -------------------------------------------------------------------------------------------------------------------------------- 20 12/31/04 3,941,374 1,101,048 2,840,327 1.10 Full Year 12 12/31/05 21 UAV UAV UAV UAV UAV Full Year 12 12/31/05 22 12/31/04 4,195,404 1,460,858 2,734,546 1.16 Full Year 12 12/31/05 23 12/31/04 3,526,644 1,154,374 2,372,269 0.96 Full Year 12 12/31/05 24 12/31/04 5,334,337 2,199,067 3,135,270 1.52 Annualized 11 11/30/05 25 12/31/04 2,069,586 369,883 1,699,702 0.94 Full Year 12 12/31/05 26 UAV UAV UAV UAV UAV UAV UAV UAV 27 12/31/04 3,837,800 1,634,662 2,203,138 1.26 Full Year 12 12/31/05 28 UAV UAV UAV UAV UAV UAV UAV UAV 29 12/31/04 2,182,028 328,419 1,853,609 1.22 Annualized 10 10/31/05 30 12/31/04 3,113,351 1,215,397 1,897,954 1.23 (Note 7) Full Year 12 12/31/05 31 12/31/04 2,361,976 498,596 1,863,380 1.21 Full Year 12 12/31/05 32 12/31/04 2,744,788 1,229,992 1,514,796 1.11 Full Year 12 12/31/05 33 12/31/03 3,159,662 955,514 2,204,148 1.60 Full Year 12 12/31/04 34 12/31/04 1,868,657 366,245 1,502,412 1.16 Trailing-12 12 11/30/05 35 UAV UAV UAV UAV UAV UAV UAV UAV 36 12/31/04 1,921,948 469,508 1,452,440 1.13 Trailing-12 12 11/30/05 37 12/31/05 1,604,516 99,472 1,505,044 1.00 Annualized 3 02/28/06 38 12/31/04 2,275,479 830,860 1,444,619 1.06 Full Year 12 12/31/05 39 12/31/04 3,421,949 2,019,045 1,402,904 1.17 Full Year 12 12/31/05 40 UAV UAV UAV UAV UAV Full Year 12 12/31/05 41 12/31/04 1,797,646 529,185 1,268,461 1.07 Full Year 12 12/31/05 42 12/31/04 9,017,194 6,649,527 2,367,667 1.82 Full Year 12 12/31/05 43 12/31/04 2,059,493 678,914 1,380,579 1.21 Full Year 12 12/31/05 44 12/31/04 1,639,174 43,803 1,595,371 1.40 Full Year 12 12/31/05 45 12/31/04 2,550,799 1,234,663 1,316,136 1.48 Trailing-12 12 11/30/05 46 11/30/04 8,323,781 6,879,649 1,444,132 1.19 Trailing-12 12 11/30/05 47 12/31/04 4,902,832 3,240,808 1,662,024 1.36 Full Year 12 12/31/05 48 12/31/04 2,230,935 614,221 1,616,714 1.52 Trailing-12 12 09/30/05 49 12/31/04 2,693,189 1,411,874 1,281,315 1.20 Full Year 12 12/31/05 50 UAV UAV UAV UAV UAV UAV UAV UAV 51 12/31/04 2,635,641 1,203,510 1,432,131 1.40 (Note 8) Trailing-12 12 10/31/05 -------------------------------------------------------------------------------------------------------------------------------- 52 12/31/04 1,294,928 548,081 746,847 1.26 Full Year 12 12/31/05 53 12/31/04 915,034 373,607 541,427 1.26 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 54 UAV UAV UAV UAV UAV UAV UAV UAV 55 UAV UAV UAV UAV UAV UAV UAV UAV 56 12/31/04 1,309,537 658,126 651,411 0.64 Full Year 12 12/31/05 57 UAV UAV UAV UAV UAV UAV UAV UAV 58 UAV UAV UAV UAV UAV Annualized 5 05/31/05 59 12/31/04 1,269,245 375,277 893,968 1.06 Annualized 6 06/30/05 -------------------------------------------------------------------------------------------------------------------------------- 60 12/31/04 824,245 236,154 588,091 1.23 Trailing-12 12 11/30/05 61 12/31/04 875,715 253,780 621,935 1.23 Trailing-12 12 11/30/05 -------------------------------------------------------------------------------------------------------------------------------- 62 12/31/04 2,053,133 1,049,671 1,003,462 1.28 Trailing-12 12 11/30/05 63 12/31/05 2,263,379 1,244,608 1,018,771 1.07 Trailing-12 12 02/28/06 64 12/31/04 3,730,715 2,287,814 1,442,901 1.55 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 65 1,197,922 1.22 65.1 12/31/04 1,319,499 908,742 410,757 Full Year 12 12/31/05 65.2 12/31/04 1,501,675 1,090,146 411,529 Full Year 12 12/31/05 65.3 12/31/04 1,405,839 1,030,203 375,636 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 66 12/31/05 1,932,282 597,842 1,334,440 1.41 Annualized 1 01/31/06 67 12/31/04 777,152 362,320 414,832 0.45 Annualized 12 12/31/05 68 UAV UAV UAV UAV UAV UAV UAV UAV 69 UAV UAV UAV UAV UAV UAV UAV UAV -------------------------------------------------------------------------------------------------------------------------------- 70 UAV UAV 70.1 UAV UAV UAV UAV Annualized 9 09/30/05 70.2 12/31/04 747,788 265,262 482,526 Annualized 10 10/31/05 -------------------------------------------------------------------------------------------------------------------------------- 71 12/31/04 1,210,818 441,382 769,436 0.91 Annualized 8 08/31/05 72 UAV UAV UAV UAV UAV UAV UAV UAV 73 UAV UAV UAV UAV UAV Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 74 961,365 1.11 74.1 12/31/04 2,416,129 1,727,525 688,604 Full Year 12 12/31/05 74.2 12/31/04 1,476,315 1,203,554 272,761 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 75 945,754 1.10 75.1 12/31/04 2,043,261 1,534,631 508,630 Full Year 12 12/31/05 75.2 12/31/04 1,433,026 995,902 437,124 Full Year 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 76 UAV UAV UAV UAV UAV UAV UAV UAV 77 UAV UAV UAV UAV UAV UAV UAV UAV 78 12/31/04 919,178 0 919,178 1.23 Full Year 12 12/31/05 79 12/31/04 1,415,778 352,888 1,062,890 1.39 Annualized 9 09/30/05 80 12/31/04 1,516,346 442,532 1,073,815 1.51 Full Year 12 12/31/05 81 12/31/04 969,296 19,800 949,496 1.32 Full Year 12 12/31/05 82 12/31/04 1,794,532 864,649 929,883 1.29 Annualized 8 08/31/05 83 12/31/04 2,204,616 1,308,311 896,305 1.25 Full Year 12 12/31/05 84 UAV UAV UAV UAV UAV UAV UAV UAV 85 UAV UAV UAV UAV UAV UAV UAV UAV 86 UAV UAV UAV UAV UAV UAV UAV UAV 87 12/31/05 1,564,410 771,266 793,144 1.15 Annualized 3 03/31/05 88 12/31/04 1,118,258 178,527 939,731 1.45 Full Year 12 12/31/05 89 12/31/04 1,384,167 561,619 822,548 1.36 Annualized 9 09/30/05 90 12/31/04 1,131,418 669,204 462,214 0.74 Trailing-12 12 03/31/06 91 12/31/04 1,607,275 847,680 759,595 1.24 Full Year 12 12/31/05 92 12/31/04 1,114,114 416,250 697,864 1.20 Annualized 10 10/31/05 93 12/31/04 1,083,642 286,160 797,482 1.39 Trailing-12 12 09/30/05 94 12/31/04 2,411,805 1,145,619 1,266,186 2.24 Full Year 12 12/31/05 95 UAV UAV UAV UAV UAV UAV UAV UAV 96 UAV UAV UAV UAV UAV UAV UAV UAV 97 UAV UAV UAV UAV UAV UAV UAV UAV 98 12/31/05 1,439,024 722,182 716,842 1.25 Trailing-12 12 03/31/06 99 UAV UAV UAV UAV UAV Trailing-9 9 02/28/06 100 12/31/04 913,355 223,720 689,635 1.59 Annualized 10 10/31/05 101 12/31/04 1,428,971 701,171 727,800 1.41 Full Year 12 12/31/05 102 12/31/04 1,297,247 260,916 1,036,331 2.48 Full Year 12 12/31/05 103 UAV UAV UAV UAV UAV Trailing-12 12 09/30/05 104 12/31/04 864,436 133,225 731,211 1.42 Full Year 12 12/31/05 105 12/31/04 1,036,090 366,728 669,362 1.31 Full Year 12 12/31/05 106 UAV UAV UAV UAV UAV UAV UAV UAV 107 UAV UAV UAV UAV UAV UAV UAV UAV 108 12/31/04 710,374 194,200 516,174 1.07 Annualized 9 09/30/05 109 12/31/05 7,204,567 5,949,219 1,255,348 2.28 Trailing-12 12 03/31/06 110 12/31/04 1,013,893 392,669 621,224 1.61 Annualized 10 10/31/05 111 12/31/05 1,165,251 586,800 578,451 0.99 Annualized 12 03/31/05 112 12/31/04 2,325,801 1,332,406 993,395 1.76 Full Year 12 12/31/05 113 12/31/04 799,248 182,417 616,831 1.22 Full Year 12 12/31/05 114 12/31/04 1,260,749 661,059 599,691 1.34 Full Year 12 12/31/05 115 12/31/04 870,428 345,958 524,470 1.23 Full Year 12 12/31/05 116 12/31/04 749,346 257,119 492,228 1.15 Annualized 10 10/31/05 117 12/31/04 1,328,940 518,986 809,954 1.86 Full Year 12 12/31/05 118 UAV UAV UAV UAV UAV UAV UAV UAV 119 12/31/04 2,213,119 1,359,554 853,565 1.94 Full Year 12 12/31/05 120 12/31/04 582,824 164,963 417,861 1.03 Annualized 12 11/30/05 121 12/31/04 1,107,660 511,655 596,006 1.53 Full Year 12 12/31/05 122 UAV UAV UAV UAV UAV UAV UAV UAV 123 12/31/04 699,572 199,355 500,217 1.25 Annualized 12 12/31/05 -------------------------------------------------------------------------------------------------------------------------------- 124 UAV UAV UAV UAV UAV UAV UAV UAV 125 UAV UAV UAV UAV UAV UAV UAV UAV 126 UAV UAV UAV UAV UAV UAV UAV UAV -------------------------------------------------------------------------------------------------------------------------------- 127 12/31/05 506,389 160,236 346,153 0.83 Annualized 2 02/28/06 128 12/31/04 784,013 182,225 601,788 1.60 Trailing-12 12 10/31/05 129 12/31/04 822,189 346,821 475,368 1.26 Full Year 12 12/31/05 130 12/31/05 926,878 166,320 760,558 1.96 Annualized 3 03/31/06 131 UAV UAV UAV UAV UAV Full Year 12 12/31/05 132 12/31/04 565,159 165,012 400,147 1.08 Annualized 8 08/31/05 133 12/31/04 1,407,388 791,345 616,043 1.55 Trailing-12 12 10/31/05 134 12/31/05 900,000 438,757 461,243 1.25 Trailing-12 12 02/28/06 135 UAV UAV UAV UAV UAV UAV UAV UAV 136 12/31/04 644,744 204,238 440,506 1.28 Annualized 10 10/31/05 137 12/31/04 1,709,466 1,317,499 391,967 1.01 Full Year 12 12/31/05 138 12/31/04 1,282,826 642,109 640,717 1.90 Full Year 12 12/31/05 139 UAV UAV UAV UAV UAV UAV UAV UAV 140 12/31/04 781,216 202,213 579,004 1.76 Full Year 12 12/31/05 141 12/31/04 471,410 0 471,410 1.47 Full Year 12 12/31/05 142 UAV UAV UAV UAV UAV Annualized 6 12/31/05 143 UAV UAV UAV UAV UAV UAV UAV UAV 144 12/31/04 1,827,833 1,375,688 452,144 1.26 Full Year 12 12/31/05 145 12/31/04 1,232,195 813,386 418,809 1.14 Full Year 12 12/31/05 146 12/31/04 653,984 202,096 451,888 1.36 Full Year 12 12/31/05 147 UAV UAV UAV UAV UAV UAV UAV UAV 148 UAV UAV UAV UAV UAV UAV UAV UAV 149 UAV UAV UAV UAV UAV UAV UAV UAV 150 12/31/04 425,992 25,732 400,260 1.42 Full Year 12 12/31/05 151 12/31/05 454,275 0 454,275 1.63 Annualized 2 02/28/06 152 12/31/04 673,341 369,554 303,787 1.13 Trailing-12 12 08/31/05 153 UAV UAV UAV UAV UAV UAV UAV UAV 154 12/31/04 427,436 67,008 360,428 1.42 Full Year 12 12/31/05 155 UAV UAV UAV UAV UAV Annualized 5 12/31/05 156 UAV UAV UAV UAV UAV UAV UAV UAV 157 06/30/05 721,821 253,981 467,840 1.97 Annualized 6 06/30/06 158 12/31/04 454,369 183,981 270,388 1.08 Full Year 12 12/31/05 159 UAV UAV UAV UAV UAV Annualized 6 01/31/06 160 12/31/04 774,156 406,143 368,013 1.87 Annualized 10 10/31/05 161 UAV UAV UAV UAV UAV UAV UAV UAV 162 UAV UAV UAV UAV UAV Annualized 3 02/28/06 163 UAV UAV UAV UAV UAV Annualized 4 02/28/06 164 12/31/04 184,582 0 184,582 1.37 Full Year 12 12/31/05 165 12/31/04 170,830 5,146 165,684 1.34 Full Year 12 12/31/05 166 UAV UAV UAV UAV UAV Annualized 6 01/31/06 MOST MOST MOST MOST CURRENT CURRENT CURRENT CURRENT U/W NCF TAXES LOAN YEAR YEAR YEAR YEAR NOI U/W U/W DSCR CURRENTLY NUMBER REVENUES EXPENSES NOI DSCR REVENUES EXPENSES U/W NOI U/W NCF (NOTE 1) ESCROWED ---------------------------------------------------------------------------------------------------------------------------------- 1 UAV UAV 64,117,945 63,020,449 1.51 (Note 5) No 1.1 UAV UAV UAV UAV 1,680,606 8,403 1,672,203 1,618,703 1.2 UAV UAV UAV UAV 1,662,632 8,313 1,654,319 1,632,487 1.3 UAV UAV UAV UAV 1,240,234 6,201 1,234,032 1,184,632 1.4 UAV UAV UAV UAV 1,037,123 5,186 1,031,937 1,019,272 1.5 UAV UAV UAV UAV 957,137 4,786 952,351 942,909 1.6 UAV UAV UAV UAV 943,656 4,718 938,938 930,500 1.7 UAV UAV UAV UAV 939,162 4,696 934,467 899,767 1.8 UAV UAV UAV UAV 898,720 4,494 894,226 882,242 1.9 UAV UAV UAV UAV 862,771 4,314 858,457 848,377 1.10 UAV UAV UAV UAV 811,544 4,058 807,486 797,576 1.11 UAV UAV UAV UAV 803,456 4,017 799,438 788,159 1.12 UAV UAV UAV UAV 772,899 3,864 769,035 759,623 1.13 UAV UAV UAV UAV 759,418 3,797 755,621 746,572 1.14 UAV UAV UAV UAV 759,418 3,797 755,621 746,571 1.15 UAV UAV UAV UAV 759,418 3,797 755,621 746,571 1.16 UAV UAV UAV UAV 756,722 3,784 752,939 743,185 1.17 UAV UAV UAV UAV 754,925 3,775 751,150 740,558 1.18 UAV UAV UAV UAV 745,938 3,730 742,208 731,584 1.19 UAV UAV UAV UAV 727,963 3,640 724,323 715,272 1.20 UAV UAV UAV UAV 727,963 3,640 724,323 715,279 1.21 UAV UAV UAV UAV 727,963 3,640 724,323 714,103 1.22 UAV UAV UAV UAV 727,065 3,635 723,429 710,953 1.23 UAV UAV UAV UAV 718,976 3,595 715,381 706,323 1.24 UAV UAV UAV UAV 687,521 3,438 684,083 674,673 1.25 UAV UAV UAV UAV 674,040 3,370 670,670 661,247 1.26 UAV UAV UAV UAV 674,040 3,370 670,670 661,199 1.27 UAV UAV UAV UAV 665,053 3,325 661,728 651,703 1.28 UAV UAV UAV UAV 651,572 3,258 648,314 638,081 1.29 UAV UAV UAV UAV 644,382 3,222 641,160 632,114 1.30 UAV UAV UAV UAV 641,686 3,208 638,478 628,675 1.31 UAV UAV UAV UAV 629,104 3,146 625,959 616,551 1.32 UAV UAV UAV UAV 623,712 3,119 620,593 610,592 1.33 UAV UAV UAV UAV 621,914 3,110 618,805 608,877 1.34 UAV UAV UAV UAV 611,130 3,056 608,074 597,926 1.35 UAV UAV UAV UAV 611,130 3,056 608,074 598,273 1.36 UAV UAV UAV UAV 606,636 3,033 603,603 594,557 1.37 UAV UAV UAV UAV 604,389 3,022 601,367 592,326 1.38 UAV UAV UAV UAV 602,142 3,011 599,132 591,363 1.39 UAV UAV UAV UAV 602,142 3,011 599,132 589,339 1.40 UAV UAV UAV UAV 602,142 3,011 599,132 588,744 1.41 UAV UAV UAV UAV 602,142 3,011 599,132 589,336 1.42 UAV UAV UAV UAV 602,142 3,011 599,132 589,052 1.43 UAV UAV UAV UAV 600,345 3,002 597,343 587,711 1.44 UAV UAV UAV UAV 595,851 2,979 592,872 582,703 1.45 UAV UAV UAV UAV 591,358 2,957 588,401 579,727 1.46 UAV UAV UAV UAV 586,864 2,934 583,930 574,517 1.47 UAV UAV UAV UAV 584,168 2,921 581,247 573,130 1.48 UAV UAV UAV UAV 584,168 2,921 581,247 571,863 1.49 UAV UAV UAV UAV 579,674 2,898 576,776 567,335 1.50 UAV UAV UAV UAV 570,687 2,853 567,834 558,018 1.51 UAV UAV UAV UAV 570,687 2,853 567,834 558,048 1.52 UAV UAV UAV UAV 566,194 2,831 563,363 553,940 1.53 UAV UAV UAV UAV 566,194 2,831 563,363 553,940 1.54 UAV UAV UAV UAV 566,194 2,831 563,363 554,925 1.55 UAV UAV UAV UAV 561,700 2,809 558,892 549,468 1.56 UAV UAV UAV UAV 557,206 2,786 554,420 547,236 1.57 UAV UAV UAV UAV 552,713 2,764 549,949 541,613 1.58 UAV UAV UAV UAV 548,219 2,741 545,478 536,662 1.59 UAV UAV UAV UAV 541,928 2,710 539,219 532,034 1.60 UAV UAV UAV UAV 539,232 2,696 536,536 527,435 1.61 UAV UAV UAV UAV 535,637 2,678 532,959 526,413 1.62 UAV UAV UAV UAV 532,042 2,660 529,382 520,587 1.63 UAV UAV UAV UAV 530,245 2,651 527,594 520,919 1.64 UAV UAV UAV UAV 525,751 2,629 523,122 514,319 1.65 UAV UAV UAV UAV 525,751 2,629 523,122 514,089 1.66 UAV UAV UAV UAV 525,751 2,629 523,122 515,942 1.67 UAV UAV UAV UAV 525,751 2,629 523,122 513,046 1.68 UAV UAV UAV UAV 512,270 2,561 509,709 503,036 1.69 UAV UAV UAV UAV 507,777 2,539 505,238 496,187 1.70 UAV UAV UAV UAV 507,777 2,539 505,238 493,539 1.71 UAV UAV UAV UAV 507,777 2,539 505,238 497,482 1.72 UAV UAV UAV UAV 505,081 2,525 502,555 493,130 1.73 UAV UAV UAV UAV 496,093 2,480 493,613 484,188 1.74 UAV UAV UAV UAV 494,296 2,471 491,825 482,782 1.75 UAV UAV UAV UAV 490,701 2,454 488,248 478,846 1.76 UAV UAV UAV UAV 476,322 2,382 473,940 463,856 1.77 UAV UAV UAV UAV 474,524 2,373 472,152 462,718 1.78 UAV UAV UAV UAV 467,334 2,337 464,998 458,320 1.79 UAV UAV UAV UAV 467,334 2,337 464,998 457,413 1.80 UAV UAV UAV UAV 467,334 2,337 464,998 458,272 1.81 UAV UAV UAV UAV 460,145 2,301 457,844 448,421 1.82 UAV UAV UAV UAV 458,347 2,292 456,055 448,478 1.83 UAV UAV UAV UAV 453,854 2,269 451,584 444,189 1.84 UAV UAV UAV UAV 449,360 2,247 447,113 440,435 1.85 UAV UAV UAV UAV 444,866 2,224 442,642 435,959 1.86 UAV UAV UAV UAV 442,170 2,211 439,959 432,948 1.87 UAV UAV UAV UAV 438,575 2,193 436,383 428,065 1.88 UAV UAV UAV UAV 435,879 2,179 433,700 427,029 1.89 UAV UAV UAV UAV 434,980 2,175 432,806 423,753 1.90 UAV UAV UAV UAV 417,905 2,090 415,815 408,420 1.91 UAV UAV UAV UAV 406,221 2,031 404,190 395,872 1.92 UAV UAV UAV UAV 405,323 2,027 403,296 393,892 1.93 UAV UAV UAV UAV 404,424 2,022 402,402 392,995 1.94 UAV UAV UAV UAV 375,665 1,878 373,787 366,202 1.95 UAV UAV UAV UAV 367,576 1,838 365,739 356,696 1.96 UAV UAV UAV UAV 365,779 1,829 363,950 354,899 1.97 UAV UAV UAV UAV 350,501 1,753 348,748 341,564 1.98 UAV UAV UAV UAV 341,514 1,708 339,806 331,485 1.99 UAV UAV UAV UAV 389,455 1,947 387,508 378,094 1.100 UAV UAV UAV UAV 328,033 1,640 326,393 318,808 1.101 UAV UAV UAV UAV 324,438 1,622 322,816 315,681 1.102 UAV UAV UAV UAV 373,450 1,867 371,583 362,160 1.103 UAV UAV UAV UAV 314,552 1,573 312,979 305,845 1.104 UAV UAV UAV UAV 304,666 1,523 303,143 295,636 1.105 UAV UAV UAV UAV 330,770 1,654 329,116 319,707 1.106 UAV UAV UAV UAV 269,616 1,348 268,268 266,762 1.107 UAV UAV UAV UAV 260,629 1,303 259,326 257,899 1.108 UAV UAV UAV UAV 241,756 1,209 240,547 234,448 1.109 UAV UAV UAV UAV 208,503 1,043 207,461 204,565 1.110 UAV UAV UAV UAV 234,740 1,174 233,566 224,507 1.111 UAV UAV UAV UAV 190,993 955 190,038 182,005 1.112 UAV UAV UAV UAV 143,795 719 143,076 141,794 ---------------------------------------------------------------------------------------------------------------------------------- 2 12,525,699 3,562,808 8,962,891 0.99 15,719,004 4,420,135 11,298,869 10,853,023 1.20 Yes 3 11,141,580 3,864,015 7,277,565 1.39 11,244,200 3,897,673 7,346,527 6,406,621 1.22 No ---------------------------------------------------------------------------------------------------------------------------------- 4 9,080,174 2.34 10,040,419 8,797,140 2.26 No 4.1 4,828,005 2,936,652 1,891,353 5,178,926 2,935,073 2,243,853 1,931,656 4.2 3,400,081 1,308,650 2,091,431 3,364,038 1,430,538 1,933,500 1,746,142 4.3 2,585,827 1,506,575 1,079,252 2,805,033 1,473,618 1,331,415 1,159,256 4.4 2,944,815 1,535,999 1,408,816 2,826,045 1,523,984 1,302,061 1,100,438 4.5 1,833,728 874,479 959,249 1,980,451 873,781 1,106,670 992,573 4.6 1,604,907 735,840 869,067 1,726,509 725,537 1,000,972 900,059 4.7 2,425,127 1,644,121 781,006 2,760,073 1,638,127 1,121,947 967,017 ---------------------------------------------------------------------------------------------------------------------------------- 5 9,736,614 2.13 9,477,481 7,966,195 1.74 Yes 5.1 18,058,434 12,860,040 5,198,394 18,058,434 12,963,457 5,094,977 4,372,640 5.2 18,693,077 14,154,857 4,538,220 19,723,714 15,341,210 4,382,504 3,593,555 ---------------------------------------------------------------------------------------------------------------------------------- 6 UAV UAV UAV UAV 5,989,086 1,439,181 4,549,905 4,444,405 1.23 Yes 7 5,782,811 2,426,798 3,356,013 1.18 6,013,187 2,472,088 3,541,099 3,421,694 1.20 Yes ---------------------------------------------------------------------------------------------------------------------------------- 8 5,583,970 2,997,722 2,586,248 1.54 5,663,202 3,612,870 2,050,332 1,823,804 1.31 Yes 9 3,664,310 2,562,672 1,101,638 1.54 3,671,659 2,529,242 1,142,417 995,551 1.31 Yes 10 1,461,397 1,161,048 300,349 1.54 1,601,046 1,039,289 561,757 497,715 1.31 Yes 11 1,278,701 776,634 502,067 1.54 1,278,701 791,030 487,671 436,523 1.31 Yes ---------------------------------------------------------------------------------------------------------------------------------- 12 UAV UAV UAV 0.90 1,066,659 205,775 860,884 778,408 1.21 Yes 13 779,729 181,005 598,724 0.90 856,925 168,483 688,442 623,385 1.21 Yes 14 897,543 296,463 601,080 0.90 928,663 300,915 627,748 555,444 1.21 Yes 15 570,895 107,093 463,802 0.90 691,269 126,145 565,124 517,387 1.21 Yes 16 476,555 110,277 366,278 0.90 470,267 100,045 370,221 334,998 1.21 Yes 17 149,536 44,615 104,921 0.90 183,173 40,773 142,400 126,538 1.21 Yes 18 134,312 2,125 132,187 0.90 149,098 26,722 122,376 106,232 1.21 Yes 19 73,983 17,725 56,258 0.90 77,625 15,330 62,295 58,434 1.21 Yes ---------------------------------------------------------------------------------------------------------------------------------- 20 4,032,146 1,183,899 2,848,247 1.11 4,451,561 1,136,090 3,315,471 3,191,673 1.24 Yes 21 5,433,424 2,354,673 3,078,751 1.24 5,636,958 2,327,151 3,309,807 2,983,574 1.20 Yes 22 4,292,356 1,592,650 2,699,706 1.14 4,477,916 1,551,880 2,926,036 2,828,536 1.20 Yes 23 4,219,007 1,147,820 3,071,187 1.25 4,189,120 1,183,746 3,005,374 2,863,502 1.20 Yes 24 5,452,767 2,214,183 3,238,584 1.57 5,305,264 2,414,278 2,890,986 2,474,160 1.20 Yes 25 2,503,230 382,738 2,120,492 1.17 2,803,290 552,122 2,251,168 2,185,963 1.21 No 26 UAV UAV UAV UAV 2,731,826 602,647 2,129,179 1,947,195 1.20 Yes 27 3,894,345 1,617,451 2,276,894 1.31 3,892,335 1,704,825 2,187,509 2,187,509 1.26 Yes 28 UAV UAV UAV UAV 2,815,819 939,503 1,876,316 1,814,977 1.20 Yes 29 2,104,087 283,297 1,820,790 1.19 2,630,143 669,021 1,961,122 1,850,054 1.21 Yes 30 3,289,660 1,241,404 2,048,256 1.33 (Note 7) 3,153,526 1,291,598 1,861,928 1,861,928 1.21 (Note 7) Yes 31 2,498,317 545,177 1,953,140 1.27 2,561,479 643,386 1,918,092 1,852,839 1.20 No 32 2,869,344 1,115,031 1,754,313 1.28 2,869,948 1,177,785 1,692,163 1,638,163 1.20 Yes 33 3,714,148 1,333,381 2,380,767 1.73 2,913,643 1,073,411 1,840,232 1,676,754 1.22 Yes 34 1,851,169 380,081 1,471,088 1.14 1,995,256 384,401 1,610,855 1,556,373 1.20 Yes 35 UAV UAV UAV UAV 3,219,530 1,352,269 1,867,261 1,729,371 1.25 Yes 36 1,970,704 515,893 1,454,811 1.13 2,092,668 497,024 1,595,644 1,550,600 1.20 Yes 37 1,602,168 68,862 1,533,306 1.02 2,049,011 131,884 1,917,127 1,788,544 1.19 No 38 2,401,965 896,333 1,505,632 1.11 2,458,582 808,763 1,649,819 1,496,356 1.20 Yes 39 3,320,513 2,021,467 1,299,046 1.08 3,479,033 1,933,516 1,545,517 1,449,517 1.21 Yes 40 882,135 352,701 529,434 0.44 2,093,448 540,148 1,553,300 1,458,524 1.20 Yes 41 1,849,085 563,670 1,285,415 1.08 2,145,297 647,905 1,497,392 1,438,049 1.21 Yes 42 10,402,377 7,817,714 2,584,663 1.98 10,028,270 7,621,216 2,407,054 2,005,923 1.54 Yes 43 2,085,364 641,149 1,444,215 1.27 2,068,263 627,404 1,440,860 1,372,512 1.20 Yes 44 1,639,020 29,173 1,609,847 1.42 1,550,543 51,516 1,499,026 1,366,187 1.20 No 45 2,643,609 1,292,774 1,350,835 1.52 2,840,916 1,271,056 1,569,860 1,453,860 1.63 Yes 46 9,186,827 7,047,295 2,139,532 1.77 9,186,862 7,100,450 2,086,411 1,718,937 1.42 Yes 47 5,361,349 3,255,178 2,106,171 1.73 5,139,246 3,170,347 1,968,899 1,763,330 1.45 Yes 48 2,316,335 561,747 1,754,588 1.65 2,175,340 667,657 1,507,683 1,388,933 1.30 Yes 49 2,684,144 1,542,090 1,142,054 1.07 2,678,065 1,301,623 1,376,443 1,295,443 1.22 Yes 50 UAV UAV UAV UAV 1,250,000 25,000 1,225,000 1,225,000 1.20 No 51 2,665,981 1,241,879 1,424,102 1.39 (Note 8) 2,703,221 1,288,225 1,414,996 1,414,996 1.38 (Note 8) Yes ---------------------------------------------------------------------------------------------------------------------------------- 52 1,343,922 544,422 799,500 1.35 1,317,140 522,680 794,460 746,460 1.21 Yes 53 957,253 376,717 580,536 1.35 889,565 362,290 527,275 494,275 1.21 Yes ---------------------------------------------------------------------------------------------------------------------------------- 54 UAV UAV UAV UAV 1,678,062 478,872 1,199,190 1,155,702 1.20 Yes 55 UAV UAV UAV UAV 1,422,425 42,673 1,379,752 1,228,578 1.23 No 56 1,319,579 770,607 548,972 0.54 2,233,949 876,354 1,357,595 1,232,400 1.22 Yes 57 UAV UAV UAV UAV 1,527,794 282,968 1,244,826 1,220,447 1.20 Yes 58 2,508,709 905,646 1,603,063 1.55 2,518,128 1,176,217 1,341,911 1,248,277 1.20 Yes 59 1,419,341 385,241 1,034,100 1.23 1,770,423 472,973 1,297,450 1,221,690 1.45 No ---------------------------------------------------------------------------------------------------------------------------------- 60 904,923 239,366 665,557 1.39 884,523 251,256 633,267 607,767 1.22 Yes 61 960,197 256,182 704,015 1.39 904,161 286,007 618,154 593,154 1.22 Yes ---------------------------------------------------------------------------------------------------------------------------------- 62 2,288,183 1,024,801 1,263,382 1.61 2,272,234 1,043,880 1,228,353 1,128,353 1.44 Yes 63 2,310,761 1,300,230 1,010,530 1.06 2,503,016 1,219,170 1,283,846 1,211,597 1.27 Yes 64 3,727,875 2,297,831 1,430,044 1.54 3,699,026 2,332,555 1,366,470 1,216,370 1.31 Yes ---------------------------------------------------------------------------------------------------------------------------------- 65 1,693,345 1.72 1,620,451 1,427,492 1.45 Yes 65.1 1,656,042 973,887 682,155 1,568,164 964,854 603,310 540,584 65.2 1,717,400 1,182,902 534,498 1,714,850 1,183,408 531,442 462,848 65.3 1,540,947 1,064,255 476,692 1,540,947 1,055,249 485,698 424,060 ---------------------------------------------------------------------------------------------------------------------------------- 66 2,006,208 558,653 1,447,555 1.53 1,974,502 701,458 1,273,044 1,160,738 1.23 Yes 67 1,322,943 506,066 816,877 0.88 1,772,741 564,303 1,208,438 1,110,726 1.20 Yes 68 UAV UAV UAV UAV 1,693,565 523,993 1,169,572 1,131,545 1.20 No 69 UAV UAV UAV UAV 1,640,980 471,509 1,169,471 1,085,423 1.15 Yes ---------------------------------------------------------------------------------------------------------------------------------- 70 1,215,699 1.41 1,101,222 1,038,522 1.20 Yes 70.1 801,615 98,639 702,976 995,617 345,322 650,295 618,795 70.2 762,469 249,746 512,723 701,752 250,825 450,927 419,727 ---------------------------------------------------------------------------------------------------------------------------------- 71 1,370,635 526,062 844,573 1.00 1,742,034 622,516 1,119,517 1,010,790 1.20 Yes 72 UAV UAV UAV UAV 1,205,151 193,496 1,011,655 977,991 1.22 Yes 73 1,887,866 721,731 1,166,135 1.40 1,864,064 751,865 1,112,199 1,020,673 1.23 Yes ---------------------------------------------------------------------------------------------------------------------------------- 74 1,336,228 1.54 1,457,059 1,282,333 1.48 Yes 74.1 2,774,017 1,879,105 894,912 2,683,435 1,688,409 995,026 887,689 74.2 1,684,718 1,243,402 441,316 1,684,718 1,222,685 462,033 394,644 ---------------------------------------------------------------------------------------------------------------------------------- 75 1,454,050 1.69 1,451,637 1,288,635 1.50 Yes 75.1 2,492,786 1,643,849 848,937 2,492,786 1,613,722 879,064 779,353 75.2 1,653,705 1,048,592 605,113 1,582,265 1,009,693 572,572 509,282 ---------------------------------------------------------------------------------------------------------------------------------- 76 UAV UAV UAV UAV 1,106,750 38,736 1,068,014 1,006,748 1.20 No 77 UAV UAV UAV UAV 1,279,856 372,247 907,609 878,242 1.20 Yes 78 919,178 0 919,178 1.23 947,606 28,428 919,178 904,748 1.21 No 79 1,362,973 378,205 984,768 1.29 1,464,358 404,939 1,059,419 1,021,995 1.33 Yes 80 1,540,885 483,046 1,057,839 1.49 1,469,552 502,695 966,857 865,778 1.22 Yes 81 969,296 19,800 949,496 1.32 920,831 54,085 866,746 860,740 1.20 No 82 1,834,391 799,061 1,035,330 1.44 1,892,881 917,038 975,843 864,789 1.20 Yes 83 2,631,821 1,453,749 1,178,072 1.64 2,493,431 1,390,478 1,102,954 1,003,217 1.39 Yes 84 UAV UAV UAV UAV 1,512,782 536,924 975,858 891,818 1.39 Yes 85 UAV UAV UAV UAV 1,013,457 36,404 977,053 877,715 1.34 No 86 UAV UAV UAV UAV 907,997 27,240 880,757 809,394 1.30 Yes 87 2,002,707 872,843 1,129,865 1.64 1,410,108 469,591 940,517 888,230 1.29 No 88 1,178,691 214,731 963,960 1.49 1,215,758 270,267 945,492 882,418 1.37 Yes 89 1,370,900 558,672 812,228 1.35 1,354,259 574,993 779,266 725,046 1.20 Yes 90 1,220,934 711,321 509,613 0.82 1,519,445 676,071 843,374 793,874 1.27 Yes 91 1,679,703 806,122 873,581 1.42 1,679,839 848,258 831,582 742,736 1.21 Yes 92 1,045,452 368,024 677,428 1.16 1,190,144 419,140 771,004 699,641 1.20 Yes 93 1,142,150 282,707 859,443 1.50 1,123,015 286,642 836,373 762,545 1.33 Yes 94 2,241,484 1,051,146 1,190,339 2.10 1,979,184 1,136,925 842,259 708,619 1.25 Yes 95 UAV UAV UAV UAV 831,754 133,530 698,223 690,223 1.23 No 96 UAV UAV UAV UAV 1,137,407 379,127 758,279 728,299 1.33 Yes 97 UAV UAV UAV UAV 692,168 20,765 671,403 669,954 1.21 No 98 1,468,844 719,715 749,129 1.30 1,504,034 796,846 707,187 707,187 1.23 (Note 6) Yes 99 1,844,306 1,033,519 810,786 1.38 2,483,568 1,620,845 862,723 862,723 1.47 No 100 903,797 220,790 683,006 1.58 919,771 242,361 677,410 659,055 1.52 Yes 101 1,434,279 724,106 710,173 1.37 1,540,155 754,769 785,386 717,311 1.39 Yes 102 1,416,301 265,368 1,150,933 2.76 1,376,597 270,049 1,106,547 1,026,484 2.46 No 103 603,505 244,206 359,299 0.70 1,086,741 383,493 703,249 661,339 1.28 Yes 104 878,837 127,665 751,172 1.46 951,362 179,711 771,651 746,442 1.45 Yes 105 1,060,868 382,423 678,445 1.32 1,086,333 400,154 686,179 621,083 1.21 Yes 106 UAV UAV UAV UAV 1,040,494 412,461 628,033 593,533 1.20 Yes 107 UAV UAV UAV UAV 734,244 117,014 617,231 609,731 1.23 No 108 738,563 201,633 536,930 1.11 1,128,329 323,934 804,395 728,897 1.51 Yes 109 7,273,177 6,012,217 1,260,960 2.29 7,273,177 6,181,382 1,091,795 800,868 1.46 No 110 1,162,508 398,036 764,472 1.98 1,093,204 426,072 667,132 599,481 1.55 No 111 1,204,163 592,263 611,900 1.05 1,297,010 595,039 701,971 670,471 1.15 Yes 112 2,778,423 1,627,014 1,151,409 2.04 2,778,493 1,858,145 920,348 809,208 1.43 Yes 113 857,970 201,483 656,487 1.30 930,949 252,913 678,036 638,905 1.27 Yes 114 1,276,798 709,218 567,580 1.27 1,265,534 667,115 598,419 536,419 1.20 Yes 115 893,054 376,167 516,888 1.21 931,400 385,373 546,027 529,277 1.24 Yes 116 851,106 226,191 624,915 1.46 785,849 244,649 541,200 514,429 1.20 Yes 117 1,304,782 512,546 792,236 1.82 1,315,405 622,031 693,374 667,646 1.53 No 118 UAV UAV UAV UAV 698,332 178,285 520,047 500,242 1.21 Yes 119 2,164,702 1,347,781 738,677 1.68 2,175,600 1,343,351 658,201 745,225 1.70 Yes 120 805,570 118,168 687,402 1.69 717,415 207,519 509,896 480,373 1.20 Yes 121 1,129,167 514,719 614,448 1.58 1,127,446 528,695 598,751 561,251 1.44 Yes 122 UAV UAV UAV UAV 629,951 113,654 516,298 507,946 1.27 No 123 697,480 192,178 505,302 1.27 734,066 216,004 518,062 482,434 1.21 Yes ---------------------------------------------------------------------------------------------------------------------------------- 124 UAV UAV UAV UAV 346,750 10,403 336,348 305,258 1.22 No 125 UAV UAV UAV UAV 104,374 3,131 101,242 95,571 1.22 No 126 UAV UAV UAV UAV 93,404 2,802 90,602 84,894 1.22 No ---------------------------------------------------------------------------------------------------------------------------------- 127 527,481 90,311 437,170 1.04 781,066 210,332 570,733 524,678 1.25 Yes 128 724,771 257,666 467,105 1.24 771,566 229,380 542,186 484,091 1.29 Yes 129 811,516 365,735 445,781 1.18 846,739 360,737 486,002 463,002 1.22 No 130 922,716 175,158 817,558 2.11 938,745 187,210 751,535 718,015 1.85 No 131 696,113 89,098 607,015 2.06 1,182,593 382,374 800,219 742,131 2.52 Yes 132 659,087 104,180 554,907 1.50 695,779 179,398 516,381 453,290 1.22 Yes 133 1,627,802 858,523 769,279 1.93 1,556,634 932,567 624,068 561,802 1.41 Yes 134 895,724 418,715 477,009 1.30 893,237 415,480 477,757 442,553 1.20 Yes 135 UAV UAV UAV UAV 542,368 91,506 450,863 444,010 1.27 No 136 752,804 237,419 515,385 1.50 679,628 203,781 475,847 426,145 1.24 Yes 137 2,060,644 1,424,338 636,306 1.64 2,054,394 1,461,249 593,145 510,969 1.32 Yes 138 1,168,169 688,229 479,940 1.42 1,306,654 689,614 617,040 552,864 1.64 Yes 139 UAV UAV UAV UAV 601,830 127,403 474,426 455,005 1.36 Yes 140 665,994 226,879 439,115 1.34 670,063 229,915 440,148 396,597 1.21 Yes 141 510,694 0 510,694 1.59 447,840 14,313 433,526 406,523 1.27 No 142 302,660 0 302,660 0.94 445,667 13,370 432,297 414,889 1.28 No 143 UAV UAV UAV UAV 667,249 245,952 421,297 404,197 1.26 Yes 144 2,069,256 1,477,281 591,975 1.65 2,069,256 1,517,244 552,012 469,242 1.31 Yes 145 1,586,796 958,571 628,225 1.70 1,496,922 893,390 603,612 543,735 1.47 Yes 146 656,078 209,713 446,365 1.35 653,477 219,815 433,662 416,351 1.25 Yes 147 UAV UAV UAV UAV 396,000 11,880 384,120 382,638 1.21 No 148 UAV UAV UAV UAV 605,292 201,278 404,014 381,495 1.32 Yes 149 UAV UAV UAV UAV 511,189 136,710 374,479 373,320 1.16 Yes 150 425,992 28,527 397,465 1.41 436,649 41,263 395,386 371,194 1.32 No 151 454,275 0 454,275 1.63 457,305 13,719 443,586 417,237 1.50 No 152 701,649 375,695 325,954 1.21 764,961 381,218 383,743 333,160 1.24 Yes 153 UAV UAV UAV UAV 374,045 12,647 361,397 350,210 1.31 No 154 435,123 64,330 370,793 1.46 452,339 117,002 335,338 325,124 1.28 Yes 155 323,215 12,977 310,237 1.29 313,489 12,686 300,803 292,804 1.22 No 156 UAV UAV UAV UAV 432,805 71,406 361,399 347,284 1.45 Yes 157 777,350 306,906 470,444 1.98 694,158 260,697 433,461 389,504 1.64 Yes 158 369,093 171,488 197,605 0.79 530,933 170,088 360,845 322,484 1.29 Yes 159 783,694 410,332 373,362 1.49 772,541 337,316 337,316 302,564 1.21 Yes 160 565,208 406,328 158,879 0.81 668,219 369,763 298,456 237,734 1.21 Yes 161 UAV UAV UAV UAV 255,550 7,667 247,884 234,840 1.20 No 162 927,032 561,716 365,316 1.93 896,904 497,326 399,578 368,078 1.94 Yes 163 237,900 0 237,900 1.47 238,545 23,616 214,929 207,709 1.29 No 164 184,582 0 184,582 1.37 175,353 5,261 170,092 162,321 1.21 No 165 170,830 0 170,830 1.38 162,289 4,869 157,420 150,113 1.21 No 166 217,722 100,540 117,182 1.80 199,799 110,393 89,406 78,396 1.20 Yes ESCROWED REPLACE- RECOMMENDED MENT INSURANCE ANNUAL RESERVES LOAN CURRENTLY REPLACEMENT U/W ANNUAL REPLACE- INITIAL ESCROWED REPLACEMENT RESERVES RECOMMENDED ANNUAL REPLACEMENT NUMBER ESCROWED RESERVES MENT RESERVES DEPOSIT CURRENT ANNUAL DEPOSIT RESERVES PSF/UNIT/ROOM/PAD ------------------------------------------------------------------------------------------------------------------------------ 1 No 2,183,043 1,097,496 (Note 12) 0 0 0.20 (Note 12) 1.1 12,888 53,500 1.2 64,883 21,832 1.3 17,718 49,400 1.4 21,955 12,666 1.5 15,192 9,442 1.6 16,483 8,438 1.7 16,853 34,700 1.8 23,331 11,984 1.9 18,827 10,080 1.10 36,669 9,910 1.11 21,314 11,279 1.12 20,393 9,412 1.13 21,184 9,049 1.14 24,005 9,050 1.15 29,562 9,050 1.16 7,203 9,754 1.17 31,465 10,592 1.18 29,313 10,624 1.19 14,977 9,051 1.20 15,318 9,044 1.21 21,667 10,221 1.22 16,895 12,476 1.23 14,196 9,059 1.24 18,241 9,411 1.25 25,014 9,423 1.26 28,894 9,471 1.27 11,385 10,025 1.28 41,406 10,233 1.29 20,069 9,046 1.30 19,101 9,803 1.31 23,412 9,408 1.32 19,098 10,001 1.33 15,596 9,928 1.34 20,962 10,148 1.35 16,665 9,801 1.36 7,397 9,046 1.37 29,323 9,041 1.38 14,414 7,769 1.39 14,172 9,793 1.40 18,942 10,388 1.41 37,063 9,796 1.42 25,979 10,080 1.43 16,677 9,633 1.44 1,292 10,169 1.45 36,274 8,674 1.46 20,773 9,413 1.47 15,133 8,117 1.48 29,217 9,385 1.49 20,870 9,441 1.50 13,966 9,816 1.51 25,670 9,786 1.52 23,121 9,423 1.53 22,958 9,422 1.54 10,749 8,438 1.55 15,063 9,424 1.56 19,970 7,185 1.57 15,247 8,336 1.58 31,726 8,816 1.59 21,727 7,185 1.60 23,496 9,101 1.61 20,189 6,546 1.62 15,646 8,795 1.63 7,056 6,675 1.64 18,417 8,803 1.65 14,335 9,033 1.66 21,731 7,181 1.67 25,384 10,076 1.68 11,120 6,674 1.69 34,371 9,051 1.70 32,784 11,699 1.71 15,358 7,756 1.72 15,802 9,425 1.73 27,038 9,425 1.74 7,450 9,043 1.75 19,143 9,401 1.76 10,913 10,084 1.77 19,364 9,434 1.78 15,598 6,678 1.79 14,378 7,584 1.80 14,410 6,726 1.81 13,262 9,423 1.82 16,295 7,578 1.83 12,729 7,396 1.84 7,397 6,678 1.85 10,831 6,683 1.86 30,958 7,012 1.87 12,153 8,318 1.88 16,839 6,671 1.89 13,363 9,053 1.90 17,857 7,396 1.91 17,693 8,318 1.92 25,155 9,404 1.93 20,173 9,407 1.94 16,806 7,584 1.95 18,908 9,043 1.96 28,348 9,051 1.97 17,550 7,184 1.98 27,491 8,321 1.99 19,097 9,414 1.100 31,963 7,584 1.101 18,022 7,135 1.102 17,567 9,423 1.103 17,753 7,134 1.104 23,085 7,506 1.105 14,420 9,409 1.106 1,150 1,506 1.107 1,398 1,427 1.108 17,247 6,099 1.109 8,434 2,895 1.110 31,784 9,059 1.111 11,679 8,033 1.112 1,796 1,282 ------------------------------------------------------------------------------------------------------------------------------ 2 No 94,825 127,384 94,825 0 0.15 3 No 84,539 121,520 0 0 0.17 ------------------------------------------------------------------------------------------------------------------------------ 4 No 138,508 228,890 0 0 0.15 4.1 34,445 51,896 4.2 58,244 53,645 4.3 11,335 31,129 4.4 11,992 31,766 4.5 8,482 17,528 4.6 11,295 17,679 4.7 2,714 25,247 ------------------------------------------------------------------------------------------------------------------------------ 5 Yes 1,382,794 1,511,286 0 4% of Gross Revenues 2,384.13 5.1 681,356 722,337 5.2 701,439 788,949 ------------------------------------------------------------------------------------------------------------------------------ 6 No 614,150 105,500 0 61,140 1,455.33 7 Yes 32,706 13,505 252,500 0 0.12 ------------------------------------------------------------------------------------------------------------------------------ 8 No 22,375 226,528 0 4% of Gross Revenues 113.01 9 No 15,200 146,866 0 4% of Gross Revenues 121.60 10 No 9,758 64,042 0 4% of Gross Revenues 139.40 11 No 9,538 51,148 0 4% of Gross Revenues 136.25 ------------------------------------------------------------------------------------------------------------------------------ 12 Yes 8,274 31,000 0 31,000 0.03 13 Yes 13,687 14,500 0 14,500 0.09 14 Yes 6,439 0 0 9,164 0.07 15 Yes 3,842 12,175 0 12,175 0.03 16 Yes 7,983 13,839 0 13,839 0.06 17 Yes 3,379 3,250 0 3,250 0.10 18 Yes 1,361 1,400 0 1,400 0.10 19 Yes 729 695 0 695 0.10 ------------------------------------------------------------------------------------------------------------------------------ 20 Yes 9,900 15,821 0 16,551 0.09 21 Yes 67,728 67,728 0 67,728 0.22 22 No 89,177 97,500 400,000 97,500 228.66 23 Yes 60,912 65,815 0 65,840 0.14 24 Yes 32,000 66,839 0 0 0.10 25 No 10,787 18,195 0 0 0.09 26 Yes 26,942 79,359 0 79,359 0.03 27 Yes 154,042 0 2,749,512 0 303.23 28 Yes 9,633 17,305 0 17,304 0.08 29 Yes 33,564 28,591 0 33,563 0.23 30 Yes 75,515 0 910,000 0 215.76 31 No 12,206 22,401 0 0 0.08 32 No 33,702 54,000 0 54,000 156.03 33 No 45,534 44,355 0 44,355 0.15 34 No 13,198 13,068 0 13,054 0.14 35 No 11,327 14,315 0 14,315 0.08 36 No 11,937 11,448 0 11,448 0.11 37 No 28,500 40,000 0 40,000 0.07 38 Yes 23,697 23,180 0 18,665 0.19 39 Yes 39,221 96,000 0 96,000 181.58 40 Yes 9,940 12,104 0 12,104 0.08 41 No 14,624 15,248 0 15,221 0.19 42 Yes 212,499 401,131 0 4% of Gross Revenues 833.33 43 Yes 11,617 22,602 0 0 0.08 44 No 39,642 39,758 39,758 0 0.19 45 Yes 114,068 116,000 0 116,000 245.84 46 Yes 145,220 367,474 0 4% of Gross Revenues 663.10 47 No 69,621 205,570 0 4% of Gross Revenues 449.17 48 Yes 10,725 23,210 0 23,210 0.09 49 No 68,722 81,000 0 72,900 212.10 50 No 0 0 0 0 0.00 51 Yes 137,253 0 2,142,375 0 392.15 ------------------------------------------------------------------------------------------------------------------------------ 52 Yes 29,288 48,000 0 48,000 152.54 53 Yes 28,584 33,000 0 33,000 216.55 ------------------------------------------------------------------------------------------------------------------------------ 54 Yes 3,003 4,836 0 4,836 0.09 55 Yes 7,324 13,071 0 13,071 0.06 56 Yes 4,020 24,800 0 24,800 0.03 57 No 2,875 3,483 0 3,483 0.12 58 Yes 17,039 25,218 0 25,218 0.14 59 No 13,868 16,506 0 0 0.16 ------------------------------------------------------------------------------------------------------------------------------ 60 Yes 22,629 25,500 63,750 0 221.85 61 Yes 22,420 25,000 62,500 0 224.20 ------------------------------------------------------------------------------------------------------------------------------ 62 Yes 91,701 100,000 0 100,000 229.25 63 Yes 41,035 72,250 300,000 72,250 141.99 64 No 149,969 150,100 0 150,100 315.72 ------------------------------------------------------------------------------------------------------------------------------ 65 Yes 187,442 192,958 0 4% of Gross Revenues 755.81 65.1 55,442 62,727 65.2 69,149 68,594 65.3 62,851 61,638 ------------------------------------------------------------------------------------------------------------------------------ 66 Yes 21,447 21,447 0 21,447 0.26 67 No 4,225 14,910 0 14,910 0.06 68 No 1,656 7,076 0 7,076 0.04 69 Yes 25,647 22,145 0 22,146 0.23 ------------------------------------------------------------------------------------------------------------------------------ 70 Yes 29,142 62,700 0 62,700 139.43 70.1 12,500 31,500 70.2 16,642 31,200 ------------------------------------------------------------------------------------------------------------------------------ 71 No 7,367 17,986 0 17,986 0.08 72 Yes 2,037 3,000 0 3,000 0.14 73 No 11,624 16,140 25,000 0 0.11 ------------------------------------------------------------------------------------------------------------------------------ 74 Yes 159,692 174,726 0 4% of Gross Revenues 810.62 74.1 92,193 107,337 74.2 67,499 67,389 ------------------------------------------------------------------------------------------------------------------------------ 75 Yes 160,382 163,002 0 4% of Gross Revenues 793.97 75.1 92,875 99,711 75.2 67,507 63,291 ------------------------------------------------------------------------------------------------------------------------------ 76 No 8,536 13,000 690,000 12,996 0.13 77 No 1,424 2,962 0 2,962 0.05 78 No 11,157 14,430 0 0 0.08 79 Yes 4,680 9,491 0 12,261 0.02 80 No 31,795 31,795 65,000 24,162 0.10 81 Yes 0 6,007 0 0 0.00 82 Yes 30,738 43,116 0 43,118 0.14 83 Yes 29,683 99,737 0 4% of Gross Revenues 329.81 84 Yes 10,529 21,930 100,000 0 0.05 85 No 45,500 24,281 0 24,281 0.38 86 No 11,889 18,025 0 18,025 0.07 87 No 9,900 10,038 25,000 0 0.20 88 Yes 6,602 14,559 0 14,559 0.07 89 Yes 3,516 7,643 0 7,643 0.07 90 Yes 34,760 49,500 0 49,500 175.56 91 Yes 3,229 14,442 0 14,442 0.04 92 Yes 6,750 10,582 0 10,582 0.10 93 Yes 8,715 18,705 0 17,293 0.07 94 No 19,174 18,805 0 19,794 0.19 95 No 5,617 8,000 0 0 0.14 96 Yes 15,152 17,306 0 17,306 0.14 97 No 1,183 1,449 0 0 0.08 98 Yes 157,024 73,000 0 73,000 537.75 99 No 24,686 99,343 0 49,660 316.49 100 No 6,420 3,079 0 0 0.11 101 Yes 68,075 68,075 0 68,075 251.20 102 No 11,198 11,673 0 0 0.19 103 Yes 7,748 8,899 0 8,899 0.13 104 Yes 17,185 17,287 150,000 17,287 0.20 105 Yes 1,932 12,262 0 12,262 0.03 106 Yes 21,492 34,500 0 27,600 155.74 107 No 7,017 7,500 0 0 0.19 108 No 27,140 28,161 0 28,161 0.33 109 No 90,430 290,927 0 288,183 706.48 110 No 10,221 10,335 0 0 0.18 111 Yes 26,586 31,500 0 31,500 211.00 112 Yes 83,882 111,140 0 4% of Gross Revenues 419.41 113 Yes 1,793 7,030 0 7,030 0.05 114 No 54,066 62,000 0 62,000 218.01 115 Yes 11,367 16,750 0 16,250 169.66 116 Yes 4,518 4,448 0 4,448 0.15 117 No 25,771 25,728 0 0 67.11 118 Yes 2,328 2,424 0 2,424 0.11 119 Yes 58,984 87,024 0 4% of Gross Revenues 551.25 120 Yes 5,808 6,054 0 6,054 0.10 121 Yes 35,647 37,500 0 0 237.64 122 No 8,506 8,352 0 0 0.21 123 Yes 9,546 6,542 30,000 5,452 0.18 ------------------------------------------------------------------------------------------------------------------------------ 124 No 5,006 5,273 0 5,273 0.09 125 No 528 678 0 700 0.08 126 No 1,019 1,016 0 700 0.15 ------------------------------------------------------------------------------------------------------------------------------ 127 Yes 2,769 6,203 0 6,183 0.07 128 No 19,119 19,264 0 19,264 0.18 129 Yes 18,671 23,000 0 23,000 202.94 130 No 5,939 6,295 18,750 0 0.14 131 Yes 3,625 7,657 0 0 0.07 132 Yes 9,189 12,622 0 12,622 0.11 133 No 22,350 62,265 0 4% of Gross Revenues 302.03 134 Yes 29,126 35,224 0 34,000 214.16 135 No 6,975 6,853 0 0 0.20 136 Yes 3,174 6,997 0 4,665 0.07 137 Yes 43,172 82,176 0 4% of Gross Revenues 388.93 138 No 64,241 64,176 0 64,176 382.39 139 Yes 1,746 2,752 0 1,840 0.09 140 No 13,009 13,009 65,000 5,899 0.10 141 Yes 7,050 7,132 0 0 0.25 142 No 4,653 6,465 0 0 0.11 143 Yes 5,975 17,100 0 17,100 104.82 144 Yes 38,844 82,770 0 4% of Gross Revenues 340.74 145 Yes 34,029 59,877 0 63,472 453.71 146 Yes 880 2,420 0 2,420 0.05 147 No 676 1,482 0 0 0.05 148 Yes 1,933 5,011 0 4,951 0.07 149 No 1,498 1,159 0 1,159 0.13 150 No 6,096 6,012 0 0 0.24 151 No 10,217 10,363 0 0 0.23 152 Yes 6,323 7,207 0 7,207 0.18 153 Yes 1,308 2,591 0 0 0.08 154 Yes 1,340 1,763 0 1,763 0.15 155 No 876 2,352 0 2,352 0.08 156 Yes 633 2,255 0 2,255 0.04 157 Yes 3,958 6,165 0 6,165 0.13 158 Yes 1,313 4,209 0 4,248 0.06 159 Yes 39,679 34,752 0 34,752 319.99 160 No 8,518 10,813 0 10,813 0.16 161 No 1,050 3,000 0 3,000 0.05 162 Yes 22,556 31,500 0 31,500 179.02 163 Yes 940 1,118 0 0 0.08 164 No 1,743 1,789 0 1,789 0.16 165 No 1,703 1,677 0 1,677 0.15 166 Yes 11,283 11,010 0 11,010 352.60 ESCROWED ESCROWED ESCROWED ESCROWED ESCROWED TI/LC U/W ANNUAL REPLACEMENT REPLACEMENT ESCROWED TI/LC U/W TI/LC RESERVES REPLACEMENT RESERVES RESERVES CURRENT U/W TI/LC RESERVES ANNUAL RESERVES CURRENT RESERVES INITIAL DEPOSIT ANNUAL DEPOSIT ANNUAL RESERVES CURRENT TI/LC INITIAL ANNUAL LOAN PSF/UNIT/ PSF/UNIT/ PSF/UNIT/ TI/LC INITIAL ANNUAL RESERVES DEPOSIT DEPOSIT NUMBER ROOM/PAD ROOM/PAD ROOM/PAD RESERVES DEPOSIT DEPOSIT PSF PSF PSF ------------------------------------------------------------------------------------------------------------------------- 1 0.10 0.00 0.00 (Note 12) 0 0 (Note 12) 0.00 0.00 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37 1.38 1.39 1.40 1.41 1.42 1.43 1.44 1.45 1.46 1.47 1.48 1.49 1.50 1.51 1.52 1.53 1.54 1.55 1.56 1.57 1.58 1.59 1.60 1.61 1.62 1.63 1.64 1.65 1.66 1.67 1.68 1.69 1.70 1.71 1.72 1.73 1.74 1.75 1.76 1.77 1.78 1.79 1.80 1.81 1.82 1.83 1.84 1.85 1.86 1.87 1.88 1.89 1.90 1.91 1.92 1.93 1.94 1.95 1.96 1.97 1.98 1.99 1.100 1.101 1.102 1.103 1.104 1.105 1.106 1.107 1.108 1.109 1.110 1.111 1.112 -------------------------------------------------------------------------------------------------------------------------- 2 0.20 0.15 0.00 318,461 539,725 0 0.50 0.85 0.00 3 0.25 0.00 0.00 818,386 6,837,894 0 1.68 14.07 0.00 -------------------------------------------------------------------------------------------------------------------------- 4 0.25 0.00 0.00 1,014,389 0 0 1.11 0.00 0.00 4.1 260,302 1.25 4.2 133,713 0.62 4.3 141,031 1.13 4.4 169,858 1.34 4.5 96,570 1.38 4.6 83,234 1.18 4.7 129,682 1.28 -------------------------------------------------------------------------------------------------------------------------- 5 2,605.67 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 5.1 NAP NAP 5.2 NAP NAP -------------------------------------------------------------------------------------------------------------------------- 6 250.00 0.00 144.88 NAP NAP NAP NAP NAP NAP 7 0.05 0.93 0.00 105,901 3,000,000 0 0.39 11.11 0.00 -------------------------------------------------------------------------------------------------------------------------- 8 1,144.08 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 9 1,174.93 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 10 914.88 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 11 730.69 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP -------------------------------------------------------------------------------------------------------------------------- 12 0.10 0.00 0.10 51,476 0 51,052 0.17 0.00 0.16 13 0.10 0.00 0.10 50,556 0 23,879 0.35 0.00 0.16 14 0.00 0.00 0.10 72,304 0 15,092 0.79 0.00 0.16 15 0.10 0.00 0.10 35,562 0 20,050 0.29 0.00 0.16 16 0.10 0.00 0.10 21,385 0 22,791 0.15 0.00 0.16 17 0.10 0.00 0.10 12,612 0 5,352 0.39 0.00 0.16 18 0.10 0.00 0.10 14,744 0 2,306 1.05 0.00 0.16 19 0.09 0.00 0.09 3,166 0 1,145 0.42 0.00 0.15 -------------------------------------------------------------------------------------------------------------------------- 20 0.15 0.00 0.16 107,977 500,000 100,000 1.02 4.74 0.95 21 0.22 0.00 0.22 258,505 700,000 200,000 0.85 2.31 0.66 22 250.00 1,025.64 250.00 NAP NAP NAP NAP NAP NAP 23 0.15 0.00 0.15 76,057 1,301,259 220,029 0.17 2.96 0.50 24 0.20 0.00 0.00 349,987 167,496 0 1.05 0.50 0.00 25 0.15 0.00 0.00 47,010 0 0 0.39 0.00 0.00 26 0.10 0.00 0.10 102,625 0 119,039 0.13 0.00 0.15 27 0.00 5,412.43 0.00 NAP NAP NAP NAP NAP NAP 28 0.15 0.00 0.15 44,034 64,200 0 0.38 0.56 0.00 29 0.19 0.00 0.23 82,477 0 0 0.56 0.00 0.00 30 0.00 2,600.00 0.00 NAP NAP NAP NAP NAP NAP 31 0.15 0.00 0.00 42,852 0 0 0.29 0.00 0.00 32 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 33 0.15 0.00 0.15 119,123 1,162,862 0 0.40 3.93 0.00 34 0.14 0.00 0.14 41,414 0 0 0.44 0.00 0.00 35 0.10 0.00 0.10 123,575 0 101,635 0.86 0.00 0.71 36 0.11 0.00 0.11 33,595 0 0 0.32 0.00 0.00 37 0.10 0.00 0.10 88,583 0 175,000 0.22 0.00 0.44 38 0.19 0.00 0.15 130,284 0 125,179 1.05 0.00 1.01 39 444.44 0.00 444.44 NAP NAP NAP NAP NAP NAP 40 0.10 0.00 0.10 82,672 0 64,159 0.68 0.00 0.53 41 0.20 0.00 0.20 44,095 420,000 0 0.58 5.51 0.00 42 1,573.06 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 43 0.15 0.00 0.00 45,746 0 0 0.30 0.00 0.00 44 0.19 0.19 0.00 93,082 0 0 0.44 0.00 0.00 45 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 46 1,677.97 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 47 1,326.26 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 48 0.20 0.00 0.20 95,540 398,500 0 0.82 3.43 0.00 49 250.00 0.00 225.00 NAP NAP NAP NAP NAP NAP 50 0.00 0.00 0.00 NAP NAP NAP NAP NAP NAP 51 0.00 6,121.07 0.00 NAP NAP NAP NAP NAP NAP -------------------------------------------------------------------------------------------------------------------------- 52 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 53 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP -------------------------------------------------------------------------------------------------------------------------- 54 0.15 0.00 0.15 38,652 0 32,238 1.20 0.00 1.00 55 0.10 0.00 0.10 138,103 650,000 0 1.06 4.97 0.00 56 0.20 0.00 0.20 100,396 957,796 50,000 0.81 7.72 0.40 57 0.15 0.00 0.15 20,896 0 0 0.90 0.00 0.00 58 0.20 0.00 0.20 68,417 0 0 0.54 0.00 0.00 59 0.19 0.00 0.00 59,255 0 0 0.68 0.00 0.00 -------------------------------------------------------------------------------------------------------------------------- 60 250.00 625.00 0.00 NAP NAP NAP NAP NAP NAP 61 250.00 625.00 0.00 NAP NAP NAP NAP NAP NAP -------------------------------------------------------------------------------------------------------------------------- 62 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 63 250.00 1,038.06 250.00 NAP NAP NAP NAP NAP NAP 64 316.00 0.00 316.00 NAP NAP NAP NAP NAP NAP -------------------------------------------------------------------------------------------------------------------------- 65 778.06 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 65.1 755.74 NAP NAP 65.2 788.44 NAP NAP 65.3 790.23 NAP NAP -------------------------------------------------------------------------------------------------------------------------- 66 0.26 0.00 0.26 90,859 1,000,000 50,000 1.12 12.35 0.62 67 0.20 0.00 0.20 82,802 1,833,000 45,000 1.11 24.59 0.60 68 0.15 0.00 0.15 30,951 0 0 0.66 0.00 0.00 69 0.20 0.00 0.20 61,903 0 55,362 0.56 0.00 0.50 -------------------------------------------------------------------------------------------------------------------------- 70 300.00 0.00 300.00 NAP NAP NAP NAP NAP NAP 70.1 300.00 NAP NAP 70.2 300.00 NAP NAP -------------------------------------------------------------------------------------------------------------------------- 71 0.20 0.00 0.20 90,741 0 0 1.01 0.00 0.00 72 0.20 0.00 0.20 30,664 0 39,504 2.04 0.00 2.63 73 0.15 0.23 0.00 75,386 250,000 0 0.70 2.32 0.00 -------------------------------------------------------------------------------------------------------------------------- 74 886.93 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 74.1 933.37 NAP NAP 74.2 821.81 NAP NAP -------------------------------------------------------------------------------------------------------------------------- 75 806.94 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 75.1 874.66 NAP NAP 75.2 719.21 NAP NAP -------------------------------------------------------------------------------------------------------------------------- 76 0.20 10.62 0.20 48,266 2,400,000 0 0.74 36.92 0.00 77 0.10 0.00 0.10 26,405 0 0 0.89 0.00 0.00 78 0.10 0.00 0.00 0 0 0 0.00 0.00 0.00 79 0.04 0.00 0.05 27,932 0 43,000 0.12 0.00 0.18 80 0.10 0.21 0.08 69,284 0 70,522 0.23 0.00 0.23 81 0.10 0.00 0.00 0 0 0 0.00 0.00 0.00 82 0.20 0.00 0.20 67,938 0 107,794 0.32 0.00 0.50 83 1,108.19 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 84 0.10 0.46 0.00 62,110 1,438,706 0 0.28 6.56 0.00 85 0.20 0.00 0.20 75,057 31,563 50,000 0.62 0.26 0.41 86 0.10 0.00 0.10 53,338 200,000 0 0.30 1.11 0.00 87 0.20 0.50 0.00 42,249 0 0 0.84 0.00 0.00 88 0.15 0.00 0.15 48,514 0 0 0.50 0.00 0.00 89 0.15 0.00 0.15 46,576 175,000 0 0.91 3.43 0.00 90 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 91 0.20 0.00 0.20 74,404 0 93,876 1.03 0.00 1.30 92 0.15 0.00 0.15 60,782 0 55,332 0.86 0.00 0.78 93 0.15 0.00 0.14 55,123 396,625 0 0.44 3.18 0.00 94 0.19 0.00 0.20 114,836 0 90,000 1.16 0.00 0.91 95 0.20 0.00 0.00 0 0 0 0.00 0.00 0.00 96 0.16 0.00 0.16 12,675 0 54,080 0.12 0.00 0.50 97 0.10 0.00 0.00 0 0 0 0.00 0.00 0.00 98 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 99 1,273.63 0.00 636.66 NAP NAP NAP NAP NAP NAP 100 0.05 0.00 0.00 15,277 0 0 0.26 0.00 0.00 101 251.20 0.00 251.20 NAP NAP NAP NAP NAP NAP 102 0.20 0.00 0.00 68,390 0 0 1.17 0.00 0.00 103 0.15 0.00 0.15 33,011 100,000 90,000 0.56 1.69 1.52 104 0.20 1.74 0.20 7,922 0 0 0.09 0.00 0.00 105 0.20 0.00 0.20 52,834 0 91,113 0.86 0.00 1.49 106 250.00 0.00 200.00 NAP NAP NAP NAP NAP NAP 107 0.20 0.00 0.00 0 0 0 0.00 0.00 0.00 108 0.34 0.00 0.34 47,338 0 82,825 0.57 0.00 1.00 109 2,272.87 0.00 2,251.43 NAP NAP NAP NAP NAP NAP 110 0.18 0.00 0.00 57,315 0 0 1.00 0.00 0.00 111 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 112 555.70 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 113 0.20 0.00 0.20 32,100 50,000 50,000 0.91 1.42 1.42 114 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 115 250.00 0.00 242.54 NAP NAP NAP NAP NAP NAP 116 0.15 0.00 0.15 22,324 0 22,239 0.75 0.00 0.75 117 67.00 0.00 0.00 NAP NAP NAP NAP NAP NAP 118 0.11 0.00 0.11 17,381 0 18,289 0.79 0.00 0.83 119 813.31 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 120 0.10 0.00 0.10 23,470 150,000 44,913 0.39 2.48 0.74 121 250.00 0.00 0.00 NAP NAP NAP NAP NAP NAP 122 0.21 0.00 0.00 0 0 0 0.00 0.00 0.00 123 0.12 0.55 0.10 29,086 0 31,509 0.53 0.00 0.58 -------------------------------------------------------------------------------------------------------------------------- 124 0.10 0.00 0.10 25,816 0 0 0.49 0.00 0.00 125 0.10 0.00 0.10 4,993 0 0 0.74 0.00 0.00 126 0.15 0.00 0.10 4,692 0 0 0.69 0.00 0.00 -------------------------------------------------------------------------------------------------------------------------- 127 0.15 0.00 0.15 39,852 0 15,000 0.96 0.00 0.36 128 0.18 0.00 0.18 38,832 0 0 0.36 0.00 0.00 129 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 130 0.15 0.45 0.00 27,226 0 0 0.65 0.00 0.00 131 0.15 0.00 0.00 50,431 0 0 0.99 0.00 0.00 132 0.15 0.00 0.15 50,469 0 50,469 0.60 0.00 0.60 133 841.42 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 134 259.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 135 0.20 0.00 0.00 0 0 0 0.00 0.00 0.00 136 0.15 0.00 0.10 42,705 0 18,659 0.92 0.00 0.40 137 740.32 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 138 382.00 0.00 382.00 NAP NAP NAP NAP NAP NAP 139 0.15 0.00 0.10 16,669 40,000 0 0.91 2.17 0.00 140 0.10 0.52 0.05 30,543 0 30,997 0.25 0.00 0.25 141 0.25 0.00 0.00 19,872 0 0 0.70 0.00 0.00 142 0.15 0.00 0.00 10,943 0 0 0.25 0.00 0.00 143 300.00 0.00 300.00 NAP NAP NAP NAP NAP NAP 144 726.05 0.00 4% of Gross Revenues NAP NAP NAP NAP NAP NAP 145 798.36 0.00 846.29 NAP NAP NAP NAP NAP NAP 146 0.15 0.00 0.15 14,891 105,000 15,000 0.92 6.51 0.93 147 0.10 0.00 0.00 0 0 0 0.00 0.00 0.00 148 0.18 0.00 0.18 17,508 0 16,503 0.63 0.00 0.59 149 0.10 0.00 0.10 0 0 0 0.00 0.00 0.00 150 0.24 0.00 0.00 18,180 0 0 0.73 0.00 0.00 151 0.23 0.00 0.00 15,985 0 0 0.35 0.00 0.00 152 0.20 0.00 0.20 43,375 0 36,036 1.20 0.00 1.00 153 0.15 0.00 0.00 8,597 0 0 0.50 0.00 0.00 154 0.20 0.00 0.20 8,451 0 0 0.96 0.00 0.00 155 0.21 0.00 0.21 5,647 0 0 0.50 0.00 0.00 156 0.15 0.00 0.15 11,861 0 14,500 0.79 0.00 0.96 157 0.20 0.00 0.20 37,793 0 0 1.23 0.00 0.00 158 0.20 0.00 0.20 34,152 0 20,000 1.62 0.00 0.95 159 280.26 0.00 280.26 NAP NAP NAP NAP NAP NAP 160 0.20 0.00 0.20 49,910 0 54,064 0.92 0.00 1.00 161 0.15 0.00 0.15 10,044 0 0 0.50 0.00 0.00 162 250.00 0.00 250.00 NAP NAP NAP NAP NAP NAP 163 0.10 0.00 0.00 6,102 0 0 0.55 0.00 0.00 164 0.16 0.00 0.16 5,982 0 0 0.54 0.00 0.00 165 0.15 0.00 0.15 5,630 0 0 0.50 0.00 0.00 166 344.06 0.00 344.06 NAP NAP NAP NAP NAP NAP FOOTNOTES TO ANNEX A-1 (1) With respect to loan numbers 8, 9, 10, 11, 23, 26, 28, 37, 38, 72 and 120, the U/W NCF DSCRs were adjusted to take into account: (a) the reamortized debt service payments that would be in effect if the principal balance of the subject underlying mortgage loan is reduced by a related cash holdback; and/or (b) various assumptions regarding the financial performance of the related mortgaged real property that are consistent with the release of the subject cash holdback. With respect to loan numbers 8, 9, 10, 11, 23, 26, 28, 37, 38, 72 and 120, the U/W NCF DSCRs calculated based upon their unadjusted debt service payments are 1.28x, 1.28x, 1.28x, 1.28x, 1.16x, 1.07x, 1.12x, 0.85x, 1.10x, 1.13x and 1.18x, respectively. (2) With respect to loan number 26, the Cut-off Date LTV ratio has been calculated based upon the relevant principal balance of the subject underlying mortgage loan, as reduced by the amount of a related cash holdback. With respect to loan number 26, the Cut-off Date LTV ratio calculated based upon the unadjusted relevant principal balance of the subject underlying mortgage loan is 86.60%. With respect to loan numbers 37 and 76, the Cut-off Date LTV ratio has been calculated using the "as-stabilized" appraised value rather than the "as-is" appraised value. With respect to loan numbers 37 and 76, the Cut-off Date LTV ratio calculated using the "as-is" appraised value are 105.35% and 103.64%, respectively. (3) With respect to loan number 26, the Maturity Date / ARD LTV ratio has been calculated based upon the relevant principal balance of the subject underlying mortgage loan, as reduced by the amount of a related cash holdback. With respect to loan number 26, the Maturity Date / ARD LTV ratio calculated based upon the unadjusted relevant principal balance of the subject underlying mortgage loan is 77.65%. With respect to loan numbers 37 and 76, the Maturity Date / ARD LTV ratio has been calculated using the "as-stabilized" appraised value rather than the "as-is" appraised value. With respect to loan numbers 37 and 76, the Maturity Date / ARD LTV ratio calculated using the "as-is" appraised value are 81.59% and 92.34%, respectively. (4) For each Crossed Group, reflects the aggregate cut-off date principal balance of the entire subject Crossed Group. For each Related Group, reflects the aggregate cut-off date principal balance of the subject Related Group. In all other cases, reflects the related cut-off date principal balance of the subject underlying mortgage loan. (5) With respect to loan number 1, the Cut-off Date Principal Balance per SF/Unit/Room/Pad, Cut-off Date LTV Ratio, Maturity Date / ARD LTV Ratio and U/W NCF DSCR are calculated using the aggregate indebtednes of the ShopKo Portfolio Loan Combination, including the related ShopKo Portfolio Non-Trust Loans. (6) With respect to loan number 98, the Cut-off Date Principal Balance per SF/Unit/Room/Pad, Cut-off Date LTV Ratio, Maturity Date / ARD LTV Ratio and U/W NCF DSCR were calculated using the indebtedness of the Wimbleton Place Apartments Loan, without regard to the related subordinate non-trust mortgage loan. Including the related subordinate non-trust mortgage loan, the Cut-off Date Principal Balance per SF/Unit/Room/Pad, Cut-off Date LTV Ratio, Maturity Date / ARD LTV Ratio and U/W NCF DSCR are $27,397.26, 80.00%, 68.63% and 1.16x, respectively. 1 (7) With respect to loan number 30, the mortgage rate steps up through the first 7 years of the loan term. The initial mortgage rate is 4.4350% per annum through the December 2006 payment date; 4.6850% per annum from the January 2007 through the December 2007 payment date; 4.8100% per annum from the January 2008 through the December 2008 payment date; 4.9350% per annum from the January 2009 through the December 2009 payment date; 5.1850% per annum from the January 2010 through the December 2010 payment date; 5.3100% per annum from the January 2011 through the December 2011 payment date; 5.4350% per annum from the January 2012 through the December 2012 payment date; and 5.6850% per annum for all payment dates thereafter. The Mortgage Rate and the Net Mortgage Rate were calculated using the initial mortgage rate, however, the Monthly Debt Service Payment, second most recent NOI DSCR, most recent NOI DSCR and U/W NCF DSCR were calculated using the highest mortgage rate. (8) With respect to loan number 51, the mortgage rate steps up through the first 7 years of the loan term. The initial mortgage rate is 4.3750% per annum through the January 2007 payment date; 4.6250% per annum from the February 2007 through the January 2008 payment date; 4.7500% per annum from the February 2008 through the January 2009 payment date; 4.8750% per annum from the February 2009 through the January 2010 payment date; 5.1250% per annum from the February 2010 through the January 2011 payment date; 5.2500% per annum from the February 2011 through the January 2012 payment date; 5.3750% per annum from the February 2012 through the January 2013 payment date; and 5.6250% per annum for all payment dates thereafter. The Mortgage Rate and the Net Mortgage Rate were calculated using the initial mortgage rate, however, the Monthly Debt Service Payment, second most recent NOI DSCR, most recent NOI DSCR and U/W NCF DSCR were calculated using the highest mortgage rate. (9) With respect to loan number 1, the grace period will only apply twice during any 12-month period for a payment made after the due date. With respect to loan number 24, the grace period will only apply to the first and second occurrence of a payment made after the due date. (10) With respect to loan number 63, the borrower, USA Houston Levee, DST, is a Delaware statutory trust. (11) The ShopKo Portfolio Mortgage Loan has a cut-off date principal balance of $200,000,000 which is evidenced by two promissory notes, one in the unpaid principal amount of $100,000,000 currently held by Citigroup Global Markets Realty Corp. and one in the unpaid principal amount of $100,000,000 currently held by Barclays Capital Real Estate Inc. The ShopKo Portfolio Mortgage Loan is one of multiple mortgage loans, together referred to as the ShopKo Portfolio Loan Combination, that are all: (a) obligations of the same borrowers; (b) secured by the same mortgage instrument(s) encumbering the ShopKo Portfolio Mortgaged Properties; (c) cross-defaulted with each other; and (d) entitled to payments of interest and principal on a pro rata and pari passu basis. The entire ShopKo Portfolio Loan Combination has an unpaid principal balance as of the cut-off date of $545,655,010. (12) With respect to loan number 1, the U/W Annual TI/LC Reserves is combined with U/W Annual Replacement Reserves and the U/W Annual TI/LC Reserves PSF is combined with U/W Annual Replacement Reserves PSF/Unit/Room/Pad. (13) With respect to loan number 118, borrower has the option of defeasance or prepayment at yield maintenance premium after the initial lockout period. 2
ANNEX A-2 SUMMARY CHARACTERISTICS OF THE UNDERLYING MORTGAGE LOANS AND THE MORTGAGED REAL PROPERTIES Note: For purposes of presenting information regarding the original and remaining terms to maturity of the respective underlying mortgage loans in the following exhibits, each ARD Loan is assumed to mature on its anticipated repayment date. [THIS PAGE INTENTIONALLY LEFT BLANK.] CUT-OFF DATE PRINCIPAL BALANCE (MORTGAGE POOL) AGGREGATE % OF CUT-OFF INITIAL RANGE OF NUMBER OF DATE MORTGAGE CUT-OFF DATE MORTGAGE PRINCIPAL POOL PRINCIPAL BALANCES LOANS BALANCE BALANCE ------------------------------ ----------- ----------------- ---------- $ 721,000 to $ 4,999,999 38 $ 129,677,674 5.7% $ 5,000,000 to $ 9,999,999 62 443,044,563 19.6 $ 10,000,000 to $ 14,999,999 28 359,481,115 15.9 $ 15,000,000 to $ 19,999,999 18 316,952,331 14.0 $ 20,000,000 to $ 24,999,999 5 109,522,855 4.8 $ 25,000,000 to $ 29,999,999 3 78,800,000 3.5 $ 30,000,000 to $ 39,999,999 5 167,362,500 7.4 $ 40,000,000 to $ 49,999,999 1 42,695,000 1.9 $ 50,000,000 to $ 74,999,999 3 190,000,000 8.4 $ 75,000,000 to $ 99,999,999 1 93,000,000 4.1 $100,000,000 to $199,999,999 1 133,000,000 5.9 $200,000,000 to $200,000,000 1 200,000,000 8.8 ------------------------------ -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% ============================== === ============== ===== WEIGHTED AVERAGES ------------------------------------------------ MAXIMUM RANGE OF CUT-OFF DATE STATED CUT-OFF DATE CUT-OFF DATE PRINCIPAL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PRINCIPAL BALANCES BALANCE RATE TERM (MO.) DSCR RATIO ------------------------------ --------------- ---------- ------------ --------- -------------- $ 721,000 to $ 4,999,999 $ 4,989,403 5.722% 120 1.32x 71.84% $ 5,000,000 to $ 9,999,999 9,615,000 5.752 118 1.34 71.76 $ 10,000,000 to $ 14,999,999 14,904,880 5.751 115 1.27 73.18 $ 15,000,000 to $ 19,999,999 19,900,000 5.750 111 1.28 72.11 $ 20,000,000 to $ 24,999,999 22,955,855 5.395 116 1.20 73.67 $ 25,000,000 to $ 29,999,999 26,700,000 5.520 117 1.22 78.01 $ 30,000,000 to $ 39,999,999 36,500,000 5.920 119 1.21 74.67 $ 40,000,000 to $ 49,999,999 42,695,000 5.310 112 1.20 74.64 $ 50,000,000 to $ 74,999,999 72,000,000 5.535 102 1.79 56.13 $ 75,000,000 to $ 99,999,999 93,000,000 5.572 79 1.22 72.66 $100,000,000 to $199,999,999 133,000,000 5.500 118 1.20 70.74 $200,000,000 to $200,000,000 200,000,000 6.588 120 1.51 76.39 ------------------------------ Total/Wtd. Avg. 5.762% 114 1.34x 71.69% ============================== MORTGAGE LOAN TYPE (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE % OF INITIAL NUMBER OF CUT-OFF DATE MORTGAGE MAXIMUM STATED CUT-OFF DATE MORTGAGE PRINCIPAL POOL CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MORTGAGE LOAN TYPE LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ----------------- ------------- -------------- ---------- ------------ --------- -------------- Partial IO/Balloon 81 $1,242,079,500 54.9% $133,000,000 5.626% 115 1.26x 72.50% Balloon 60 687,325,960 30.4 200,000,000 6.099 117 1.37 73.50 Interest Only 9 236,650,000 10.5 93,000,000 5.495 93 1.68 62.42 Partial IO/ARD 11 68,374,000 3.0 12,850,000 5.697 132 1.21 75.92 ARD 5 29,106,578 1.3 16,659,061 5.915 114 1.40 60.34 -------------------- -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== MORTGAGE RATES (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE % AGGREGATE % OF INITIAL OF INITIAL NUMBER OF CUT-OFF DATE MORTGAGE MORTGAGE STATED CUT-OFF DATE RANGE OF MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MORTGAGE RATES LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO ---------------------- ----------- ----------------- -------------- ------------- ---------- ------------ --------- -------------- 4.3750% to 5.4999% 37 $ 489,949,379 21.6% 21.6% 5.305% 112 1.45x 69.39% 5.5000% to 5.7499% 62 782,245,543 34.6 56.2 5.584 111 1.24 72.76 5.7500% to 5.9999% 36 440,835,136 19.5 75.7 5.845 120 1.25 73.55 6.0000% to 6.4999% 25 315,623,700 13.9 89.6 6.159 108 1.39 66.75 6.5000% to 6.9999% 5 227,985,890 10.1 99.7 6.592 120 1.50 76.17 7.0000% to 7.5600% 1 6,896,389 0.3 100.0 7.560 179 1.15 74.00 ---------------------- -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ====================== === ============== ===== A-2-1 ORIGINAL TERM TO SCHEDULED MATURITY (MORTGAGE POOL) AGGREGATE % OF INITIAL RANGE OF ORIGINAL NUMBER OF CUT-OFF DATE MORTGAGE TERMS TO MORTGAGE PRINCIPAL POOL MATURITY/ARD (MONTHS) LOANS BALANCE BALANCE ----------------------- ----------- ---------------- -------------- 60 4 $ 45,684,481 2.0% 84 4 173,541,365 7.7 96 1 14,360,000 0.6 120 150 1,998,873,808 88.3 180 7 31,076,385 1.4 ----------------------- --- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% ======================= === ============== ===== WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE RANGE OF ORIGINAL % OF INITIAL STATED CUT-OFF DATE TERMS TO POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MATURITY/ARD (MONTHS) BALANCE RATE TERM (MO.) DSCR RATIO ----------------------- -------------- ---------- ------------ --------- -------------- 60 2.0% 5.755% 56 1.44x 69.55% 84 9.7 5.748 80 1.43 64.59 96 10.3 5.779 89 1.45 73.83 120 98.6 5.757 117 1.33 72.35 180 100.0 6.161 176 1.20 71.17 ----------------------- Total/Wtd. Avg. 5.762% 114 1.34x 71.69% ======================= REMAINING TERM TO SCHEDULED MATURITY (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE % OF INITIAL CUMULATIVE RANGE OF REMAINING NUMBER OF CUT-OFF DATE MORTGAGE % OF INITIAL STATED CUT-OFF DATE TERMS TO MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MATURITY/ARD (MOS.) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ---------------- -------------- -------------- ---------- ------------ --------- -------------- 55 to 59 4 $ 45,684,481 2.0% 2.0% 5.755% 56 1.44x 69.55% 60 to 83 4 173,541,365 7.7 9.7 5.748 80 1.43 64.59 84 to 114 11 189,493,487 8.4 18.1 5.289 110 1.29 69.81 115 to 120 140 1,823,740,321 80.6 98.6 5.806 118 1.33 72.63 121 to 179 7 31,076,385 1.4 100.0 6.161 176 1.20 71.17 --------------------- --- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ===================== === ============== ===== ORIGINAL AMORTIZATION TERM (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE % OF INITIAL CUMULATIVE RANGE OF ORIGINAL NUMBER OF CUT-OFF DATE MORTGAGE % OF INITIAL STATED CUT-OFF DATE AMORTIZATION MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ---------------- -------------- -------------- ---------- ------------ --------- -------------- Interest Only 9 $ 236,650,000 10.5% 10.5% 5.495% 93 1.68x 62.42% 300 19 174,211,237 7.7 18.2 5.932 112 1.37 69.01 360 135 1,801,809,801 79.6 97.8 5.785 116 1.29 73.07 420 3 50,865,000 2.2 100.0 5.599 117 1.20 75.29 -------------------- --- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== REMAINING AMORTIZATION TERM (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE % OF INITIAL CUMULATIVE RANGE OF REMAINING NUMBER OF CUT-OFF DATE MORTGAGE % OF STATED CUT-OFF DATE AMORTIZATION MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ---------------- -------------- ----------- ---------- ------------ --------- -------------- Interest Only 9 $ 236,650,000 10.5% 10.5% 5.495% 93 1.68x 62.42% 292 to 300 19 174,211,237 7.7 18.2 5.932 112 1.37 69.01 301 to 360 135 1,801,809,801 79.6 97.8 5.785 116 1.29 73.07 361 to 420 3 50,865,000 2.2 100.0 5.599 117 1.20 75.29 -------------------- --- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== A-2-2 MORTGAGE LOAN SEASONING (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE NUMBER OF CUT-OFF DATE % OF INITIAL CUMULATIVE STATED CUT-OFF DATE MORTGAGE PRINCIPAL MORTGAGE % OF INITIAL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE SEASONING (MONTHS) LOANS BALANCE POOL BALANCE POOL BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ----------------- -------------- -------------- ---------- ------------ --------- -------------- 0 to 5 154 $2,070,501,186 91.5% 91.5% 5.806% 114 1.34x 71.86% 6 to 11 11 188,267,335 8.3% 99.8 5.292 109 1.29 69.73 12 to 12 1 4,767,517 0.2% 100.0 5.254 108 1.27 78.93 -------------------- --- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== ENCUMBERED INTEREST (MORTGAGE POOL) AGGREGATE NUMBER OF CUT-OFF DATE MORTGAGED PRINCIPAL ENCUMBERED INTEREST PROPERTIES BALANCE -------------------------------- ------------ ----------------- Fee Simple 276 $2,176,033,830 Leasehold 9 47,266,814 Fee in Part, Leasehold in Part 4 40,235,395 -------------------------------- --- -------------- Total/Wtd. Avg. 289 $2,263,536,038 ================================ === ============== WEIGHTED AVERAGES ------------------------------------------------ % OF STATED CUT-OFF DATE INITIAL MORTGAGE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE ENCUMBERED INTEREST POOL BALANCE RATE TERM (MO.) DSCR RATIO -------------------------------- ------------------ ---------- ------------ --------- -------------- Fee Simple 96.1% 5.764% 114 1.33x 71.97% Leasehold 2.1 5.584 116 1.68 64.67 Fee in Part, Leasehold in Part 1.8 5.863 115 1.35 65.23 -------------------------------- ----- Total/Wtd. Avg. 100.0% 5.762% 114 1.34x 71.69% ================================ ===== A-2-3 PROPERTY TYPES (MORTGAGE POOL) AGGREGATE MAXIMUM NUMBER OF CUT-OFF DATE % OF INITIAL CUT-OFF DATE MORTGAGED PRINCIPAL MORTGAGE PRINCIPAL PROPERTY TYPE PROPERTIES BALANCE POOL BALANCE BALANCE ---------------------------- ------------ ----------------- -------------- -------------- Retail 158 $ 674,076,753 29.8% 36,500,000 Anchored, Single Tenant 122 261,937,500 11.6 13,000,000 Anchored 17 243,067,977 10.7 32,812,500 Unanchored 11 108,749,727 4.8 36,500,000 Shadow Anchored 4 44,659,995 2.0 14,600,000 Unanchored, Single Tenant 2 2,136,870 0.1 1,120,980 Regional Mall 1 9,528,182 0.4 9,528,182 Shadow Anchored, Single Tenant 1 3,996,501 0.2 3,996,501 Office 48 740,123,241 32.7 $133,000,000 Suburban 35 552,508,241 24.4 133,000,000 Flex 2 8,060,000 0.4 6,763,000 Medical Office 8 71,810,000 3.2 17,120,000 CBD 3 107,745,000 4.8 42,695,000 Multifamily 33 385,317,567 17.0 55,000,000 Conventional 27 326,912,673 14.4 55,000,000 Student Housing 5 49,745,040 2.2 17,500,000 Section 8 1 8,659,854 0.4 8,659,854 Hospitality 25 242,264,807 10.7 63,000,000 Industrial 18 146,824,372 6.5 26,500,000 Mixed Use 5 54,024,417 2.4 18,800,000 Land 1 14,904,880 0.7 14,904,880 Manufactured Housing 1 6,000,000 0.3 6,000,000 ---------------------------- --- -------------- Total/Wtd. Avg. 289 $2,263,536,038 100.0% ============================ === ============== WEIGHTED AVERAGES ------------------------------------------------- MIN/MAX STATED CUT-OFF DATE CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MIN/MAX U/W LOAN-TO-VALUE PROPERTY TYPE RATE TERM (MO.) DSCR RATIO NCF DSCR RATIO ---------------------------- ---------- ------------ --------- --------------- --------------- ----------------- Retail 5.982% 120 1.31x 74.80% 1.15x / 1.85x 50.93% / 80.00% Anchored, Single Tenant 6.320 122 1.43 75.64 1.20x / 1.51x 64.75% / 78.97% Anchored 5.779 117 1.23 74.53 1.20x / 1.52x 63.02% / 80.00% Unanchored 5.783 119 1.28 73.25 1.20x / 1.85x 50.93% / 79.91% Shadow Anchored 5.679 125 1.19 76.82 1.15x / 1.20x 72.75% / 78.92% Unanchored, Single Tenant 5.690 176 1.22 74.77 1.22x / 1.22x 74.77% / 74.77% Regional Mall 5.690 115 1.20 70.58 1.20x / 1.20x 70.58% / 70.58% Shadow Anchored, Single Tenant 5.793 119 1.32 65.52 1.32x / 1.32x 65.52% / 65.52% Office 5.613 112 1.33 71.05 1.16x / 2.26x 49.52% / 80.00% Suburban 5.610 111 1.37 69.13 1.16x / 2.26x 49.52% / 80.00% Flex 5.440 115 1.21 79.90 1.21x / 1.21x 79.90% / 79.90% Medical Office 5.741 117 1.22 77.66 1.20x / 1.27x 72.85% / 80.00% CBD 5.556 116 1.20 75.83 1.20x / 1.20x 72.72% / 80.00% Multifamily 5.518 111 1.27 71.15 1.15x / 1.94x 48.15% / 79.17% Conventional 5.485 110 1.28 70.79 1.15x / 1.94x 48.15% / 79.17% Student Housing 5.649 117 1.21 74.15 1.20x / 1.26x 68.63% / 77.50% Section 8 6.020 119 1.27 67.66 1.27x / 1.27x 67.66% / 67.66% Hospitality 6.054 104 1.51 64.29 1.31x / 1.74x 48.71% / 75.00% Industrial 5.710 117 1.25 75.14 1.19x / 1.51x 65.96% / 80.08% Mixed Use 5.754 110 1.59 69.46 1.20x / 2.52x 39.05% / 80.00% Land 5.495 114 1.20 76.87 1.20x / 1.20x 76.87% / 76.87% Manufactured Housing 5.360 117 1.53 59.41 1.53x / 1.53x 59.41% / 59.41% ---------------------------- Total/Wtd. Avg. 5.762% 114 1.34x 71.69% 1.15x / 2.52x 39.05% / 80.08% ============================ A-2-4 UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIO (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE AGGREGATE % OF INITIAL % OF INITIAL NUMBER OF CUT-OFF DATE MORTGAGE MORTGAGE STATED CUT-OFF DATE RANGE OF MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE U/W NCF DSCR (X) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- 1.15x to 1.19x 4 $ 43,291,511 1.9% 1.9% 6.322% 129 1.17x 75.57% 1.20x to 1.24x 90 1,322,349,197 58.4 60.3 5.632 114 1.21 74.31 1.25x to 1.29x 18 129,643,874 5.7 66.1 5.759 117 1.27 73.67 1.30x to 1.34x 16 134,609,013 5.9 72.0 5.721 118 1.32 71.20 1.35x to 1.39x 6 54,819,336 2.4 74.4 5.377 116 1.38 69.50 1.40x to 1.44x 8 74,414,951 3.3 77.7 5.800 97 1.44 67.76 1.45x to 1.49x 7 62,384,675 2.8 80.5 6.177 112 1.47 70.10 1.50x to 1.99x 14 357,173,482 15.8 96.3 6.271 109 1.57 67.87 2.00x to 2.52x 3 84,850,000 3.7 100.0 5.344 115 2.30 48.81 -------------------- -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== CUT-OFF DATE LOAN-TO-VALUE RATIO (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE RANGE OF AGGREGATE % OF INITIAL % OF INITIAL CUT-OFF DATE NUMBER OF CUT-OFF DATE MORTGAGE MORTGAGE STATED CUT-OFF DATE LOAN-TO-VALUE MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE RATIO LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- ----------------- -------------- ------------- ---------- ------------ --------- -------------- 39.05% to 60.00% 12 $ 198,806,451 8.8% 8.8% 5.685% 105 1.93x 51.11% 60.01% to 65.00% 15 126,503,111 5.6 14.4 5.815 109 1.43 63.58 65.01% to 70.00% 25 294,337,446 13.0 27.4 5.476 115 1.28 68.57 70.01% to 75.00% 52 782,396,977 34.6 61.9 5.739 112 1.24 72.86 75.01% to 80.00% 61 856,687,053 37.8 99.8 5.892 118 1.29 77.63 80.01% to 80.08% 1 4,805,000 0.2 100.0 5.533 118 1.21 80.08 -------------------- -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ==================== === ============== ===== MATURITY DATE/ARD LOAN-TO-VALUE RATIO (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE AGGREGATE % OF INITIAL % OF INITIAL RANGE OF MATURITY NUMBER OF CUT-OFF DATE MORTGAGE MORTGAGE STATED CUT-OFF DATE DATE/ARD MORTGAGE PRINCIPAL POOL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE LOAN-TO-VALUE RATIO LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ----------------- -------------- ------------- ---------- ------------ --------- -------------- 38.07% to 50.00% 9 $ 191,925,919 8.5% 8.5% 5.709% 104 1.95x 51.27% 50.01% to 60.00% 43 310,819,423 13.7 22.2 5.911 124 1.32 68.81 60.01% to 65.00% 34 498,170,836 22.0 44.2 5.591 113 1.27 70.58 65.01% to 70.00% 47 810,993,495 35.8 80.0 5.901 116 1.30 75.15 70.01% to 74.37% 33 451,626,365 20.0 100.0 5.621 108 1.22 77.37 --------------------- -- -------------- ----- Total/Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% ===================== === ============== ===== A-2-5 STATE/REGION (MORTGAGE POOL) AGGREGATE % OF INITIAL NUMBER OF CUT-OFF DATE MORTGAGE MORTGAGED PRINCIPAL POOL STATE/REGION PROPERTIES BALANCE BALANCE -------------------------- ------------ ----------------- -------------- California 17 $ 354,756,324 15.7% Southern California (1) 10 300,967,183 13.3 Northern California (1) 7 53,789,141 2.4 Virginia 8 165,832,836 7.3 Wisconsin 50 158,437,830 7.0 Pennsylvania 12 154,616,061 6.8 Florida 11 153,191,482 6.8 Washington 17 111,675,920 4.9 New York 10 96,730,000 4.3 Georgia 12 92,130,874 4.1 Massachusetts 5 74,610,132 3.3 Tennessee 4 72,585,000 3.2 Michigan 12 71,317,264 3.2 New Jersey 5 69,809,099 3.1 Ohio 5 62,050,323 2.7 Arizona 5 53,897,357 2.4 Oklahoma 10 52,350,000 2.3 South Carolina 4 51,797,978 2.3 Texas 7 49,682,651 2.2 North Carolina 5 45,102,278 2.0 Nevada 5 38,790,000 1.7 Maryland 3 38,350,000 1.7 Illinois 9 35,932,582 1.6 Connecticut 5 35,602,000 1.6 Louisiana 2 32,569,087 1.4 Minnesota 14 29,550,910 1.3 Mississippi 3 21,833,222 1.0 Nebraska 8 17,708,283 0.8 Utah 11 15,384,508 0.7 Kansas 1 14,800,000 0.7 Kentucky 2 14,074,906 0.6 Idaho 8 13,116,728 0.6 Missouri 2 10,728,000 0.5 Colorado 2 9,749,074 0.4 South Dakota 5 9,365,092 0.4 Delaware 1 8,800,000 0.4 Montana 4 7,069,314 0.3 New Hampshire 1 6,132,922 0.3 Oregon 1 5,865,000 0.3 Indiana 1 5,500,000 0.2 Iowa 2 2,041,002 0.1 -------------------------- -- -------------- ----- Total/Wtd. Avg. 289 $2,263,536,038 100.0% ========================== === ============== ===== CUMULATIVE % OF INITIAL MORTGAGE STATED CUT-OFF DATE POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE STATE/REGION BALANCE RATE TERM (MO.) DSCR RATIO -------------------------- ------------- ---------- ------------ --------- -------------- California 15.7% 5.600% 116 1.27x 70.07% Southern California (1) 13.3 5.593 116 1.26 69.14 Northern California (1) 2.4 5.642 116 1.29 75.28 Virginia 23.0 5.653 90 1.26 72.68 Wisconsin 30.0 6.156 112 1.48 71.38 Pennsylvania 36.8 5.987 119 1.24 73.94 Florida 43.6 5.660 115 1.22 73.98 Washington 48.5 5.821 117 1.30 74.55 New York 52.8 5.508 115 1.95 57.61 Georgia 56.9 5.879 118 1.39 71.73 Massachusetts 60.2 5.598 116 1.24 73.73 Tennessee 63.4 5.696 112 1.27 73.06 Michigan 66.5 5.797 119 1.29 74.06 New Jersey 69.6 5.652 117 1.32 73.54 Ohio 72.4 5.498 97 1.51 59.15 Arizona 74.7 5.658 90 1.42 66.29 Oklahoma 77.0 5.567 116 1.21 79.26 South Carolina 79.3 5.853 119 1.22 77.58 Texas 81.5 5.905 129 1.25 73.71 North Carolina 83.5 5.581 116 1.39 69.15 Nevada 85.2 5.702 129 1.52 60.92 Maryland 86.9 5.642 117 1.20 73.91 Illinois 88.5 6.072 94 1.27 75.50 Connecticut 90.1 5.771 126 1.21 75.94 Louisiana 91.5 5.586 116 1.21 77.47 Minnesota 92.8 6.461 119 1.47 76.57 Mississippi 93.8 5.718 116 1.20 74.15 Nebraska 94.6 6.588 120 1.51 76.39 Utah 95.3 6.588 120 1.51 76.39 Kansas 95.9 4.375 115 1.38 69.00 Kentucky 96.5 5.802 116 1.24 74.57 Idaho 97.1 6.588 120 1.51 76.39 Missouri 97.6 5.893 119 1.25 78.42 Colorado 98.0 5.691 153 1.23 70.60 South Dakota 98.4 6.588 120 1.51 76.39 Delaware 98.8 6.190 120 1.37 73.95 Montana 99.1 6.588 120 1.51 76.39 New Hampshire 99.4 5.675 118 1.24 73.10 Oregon 99.7 5.250 114 1.44 60.00 Indiana 99.9 5.535 117 1.29 67.07 Iowa 100.0 6.588 120 1.51 76.39 -------------------------- Total/Wtd. Avg. 5.762% 114 1.34x 71.69% ========================== (1) Northern California includes areas with zip codes of 93906 and above, and Southern California includes areas with zip codes of below 92870. PREPAYMENT PROVISION TYPE (MORTGAGE POOL) WEIGHTED AVERAGES ------------------------------------------------- AGGREGATE % OF INITIAL NUMBER OF CUT-OFF DATE MORTGAGE WTD. AVG. STATED CUT-OFF DATE MORTGAGE PRINCIPAL POOL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PREPAYMENT PROVISION TYPE LOANS BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------------- ----------- ----------------- ------------- ----------- ------------ --------- -------------- LO/Defeasance 152 $2,084,363,604 92.1% 5.768% 114 1.34x 71.80% LO/Grtrx%UPBorYM 11 151,872,434 6.7 5.696 115 1.31 70.43 LO/y%UPB+YM 2 21,300,000 0.9 5.685 98 1.48 69.44 LO/YM 1 6,000,000 0.3 5.605 116 1.21 74.07 --------------------------- --- -------------- ----- Total / Wtd. Avg. 166 $2,263,536,038 100.0% 5.762% 114 1.34x 71.69% =========================== === ============== ===== A-2-6 INITIAL MORTGAGE POOL PREPAYMENT RESTRICTION COMPOSITION OVER TIME (MORTGAGE POOL)(1) MONTHS FOLLOWING CUT-OFF DATE ------------------------------------------------------------ PREPAYMENT RESTRICTION 0 12 24 36 48 ------------------------- ------------ ----------- ----------- ----------- ----------- Remaining Aggregate Mortgage Loan Pool Balance(2) 100.00% 99.60% 99.13% 98.44% 97.48% Locked/Defeasance 100.00% 100.00% 100.00% 95.31% 95.31% Locked 100.00% 100.00% 100.00% 9.40% 3.20% Defeasance 0.00% 0.00% 0.00% 85.92% 92.11% Yield Maintenance (All) 0.00% 0.00% 0.00% 4.69% 4.69% Grtr1%UPBorYM 0.00% 0.00% 0.00% 3.46% 3.46% 2%UPBorYM+2% 0.00% 0.00% 0.00% 0.96% 0.97% YM 0.00% 0.00% 0.00% 0.27% 0.27% Open 0.00% 0.00% 0.00% 0.00% 0.00% ----------- ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% =========== ====== ====== ====== ====== ====== MONTHS FOLLOWING CUT-OFF DATE ---------------------------------------------------------------------- PREPAYMENT RESTRICTION 60 72 84 96 108 120 ------------------------- ----------- ----------- ----------- ----------- ----------- ---------- Remaining Aggregate Mortgage Loan Pool Balance(2) 94.47% 93.21% 84.34% 82.29% 80.62% 1.21% Locked/Defeasance 91.95% 91.80% 91.23% 91.92% 92.12% 100.00% Locked 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Defeasance 91.95% 91.80% 91.23% 91.92% 92.12% 100.00% Yield Maintenance (All) 8.05% 8.05% 8.77% 8.08% 5.20% 0.00% Grtr1%UPBorYM 6.78% 6.77% 7.36% 7.41% 4.52% 0.00% 2%UPBorYM+2% 1.00% 1.01% 1.12% 0.37% 0.38% 0.00% YM 0.27% 0.27% 0.30% 0.30% 0.30% 0.00% Open 0.00% 0.15% 0.00% 0.00% 2.68% 0.00% ----------- ------ ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% =========== ====== ====== ====== ====== ====== ====== (1) All numbers, unless otherwise noted, are as a percentage of the aggregate pool balance at the specified point in time. (2) Remaining aggregate mortgage loan pool balance as a percentage of the Initial Mortgage Pool Balance a the specified point in time. A-2-7 [THIS PAGE INTENTIONALLY LEFT BLANK.]
ANNEX A-3 SUMMARY CHARACTERISTICS OF THE UNDERLYING MORTGAGE LOANS IN LOAN GROUP NO. 1 AND THE RELATED MORTGAGED REAL PROPERTIES Note: For purposes of presenting information regarding the original and remaining terms to maturity of the respective underlying mortgage loans in the following exhibits, each ARD Loan is assumed to mature on its anticipated repayment date. [THIS PAGE INTENTIONALLY LEFT BLANK.] CUT-OFF DATE PRINCIPAL BALANCE (LOAN GROUP NO. 1) % OF AGGREGATE INITIAL CUT-OFF LOAN RANGE OF NUMBER OF DATE GROUP CUT-OFF DATE MORTGAGE PRINCIPAL NO. 1 PRINCIPAL BALANCES LOANS BALANCE BALANCE ------------------------------ ----------- ----------------- --------- $ 721,000 to $ 4,999,999 33 $ 113,080,563 6.0% $ 5,000,000 to $ 9,999,999 48 346,859,147 18.5 $ 10,000,000 to $ 14,999,999 23 291,403,075 15.5 $ 15,000,000 to $ 19,999,999 15 268,262,331 14.3 $ 20,000,000 to $ 24,999,999 3 67,355,855 3.6 $ 25,000,000 to $ 29,999,999 2 53,200,000 2.8 $ 30,000,000 to $ 39,999,999 4 134,362,500 7.2 $ 40,000,000 to $ 49,999,999 1 42,695,000 2.3 $ 50,000,000 to $ 74,999,999 2 135,000,000 7.2 $ 75,000,000 to $ 99,999,999 1 93,000,000 5.0 $100,000,000 to $199,999,999 1 133,000,000 7.1 $200,000,000 1 200,000,000 10.6 ------------------------------ -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% ============================== === ============== ===== WEIGHTED AVERAGES MAXIMUM ------------------------------------------------ RANGE OF CUT-OFF DATE STATED CUT-OFF DATE CUT-OFF DATE PRINCIPAL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PRINCIPAL BALANCES BALANCE RATE TERM (MO.) DSCR RATIO ------------------------------ --------------- ---------- ------------ --------- -------------- $ 721,000 to $ 4,999,999 $ 4,989,403 5.718% 121 1.29x 73.01% $ 5,000,000 to $ 9,999,999 9,615,000 5.729 119 1.36 71.53 $ 10,000,000 to $ 14,999,999 14,904,880 5.838 116 1.26 73.96 $ 15,000,000 to $ 19,999,999 19,900,000 5.778 114 1.27 72.50 $ 20,000,000 to $ 24,999,999 22,955,855 5.671 117 1.21 74.50 $ 25,000,000 to $ 29,999,999 26,700,000 5.535 116 1.20 77.53 $ 30,000,000 to $ 39,999,999 36,500,000 5.915 119 1.21 75.66 $ 40,000,000 to $ 49,999,999 42,695,000 5.310 112 1.20 74.64 $ 50,000,000 to $ 74,999,999 72,000,000 5.676 99 2.02 50.81 $ 75,000,000 to $ 99,999,999 93,000,000 5.572 79 1.22 72.66 $100,000,000 to $199,999,999 133,000,000 5.500 118 1.20 70.74 $200,000,000 200,000,000 6.588 120 1.51 76.39 ------------------------------ Total / Wtd. Avg. 5.812% 114 1.35x 71.81% ============================== MORTGAGE LOAN TYPE (LOAN GROUP NO. 1) AGGREGATE NUMBER OF CUT-OFF DATE % OF INITIAL MORTGAGE PRINCIPAL LOAN GROUP MORTGAGE LOAN TYPE LOANS BALANCE NO. 1 BALANCE -------------------- ----------- ----------------- --------------- Partial IO/Balloon 63 $ 967,952,500 51.5% Balloon 48 606,135,394 32.3 Interest Only 7 206,650,000 11.0 Partial IO/ARD 11 68,374,000 3.6 ARD 5 29,106,578 1.5 -------------------- -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% ==================== === ============== ===== WEIGHTED AVERAGES ------------------------------------------------ MAXIMUM STATED CUT-OFF DATE CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MORTGAGE LOAN TYPE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- --------------- ---------- ------------ --------- -------------- Partial IO/Balloon $133,000,000 5.693% 115 1.26x 72.60% Balloon 200,000,000 6.119 117 1.38 73.88 Interest Only 93,000,000 5.494 97 1.70 62.23 Partial IO/ARD 12,850,000 5.697 132 1.21 75.92 ARD 16,659,061 5.915 114 1.40 60.34 -------------------- Total / Wtd. Avg. 5.812% 114 1.35x 71.81% ==================== MORTGAGE RATES (LOAN GROUP NO. 1) AGGREGATE RANGE OF NUMBER OF CUT-OFF DATE % OF INITIAL MORTGAGE MORTGAGE PRINCIPAL LOAN GROUP RATES LOANS BALANCE NO. 1 BALANCE ---------------------- ----------- ----------------- --------------- 5.2300% to 5.4990% 27 $ 326,907,611 17.4% 5.5000% to 5.7490% 50 656,983,331 35.0 5.7500% to 5.9990% 32 373,990,136 19.9 6.0000% to 6.4990% 20 292,351,503 15.6 6.5000% to 6.6500% 5 227,985,890 12.1 ---------------------- -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% ====================== === ============== ===== WEIGHTED AVERAGES CUMULATIVE % ------------------------------------------------ RANGE OF OF INITIAL STATED CUT-OFF DATE MORTGAGE LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE RATES NO. 1 BALANCE RATE TERM (MO.) DSCR RATIO ---------------------- -------------- ---------- ------------ --------- -------------- 5.2300% to 5.4990% 17.4% 5.393% 114 1.52x 68.90% 5.5000% to 5.7490% 52.4 5.580 112 1.24 72.99 5.7500% to 5.9990% 72.3 5.840 120 1.26 73.62 6.0000% to 6.4990% 87.9 6.159 107 1.40 66.65 6.5000% to 6.6500% 100.0 6.592 120 1.50 76.17 ---------------------- Total / Wtd. Avg. 5.812% 114 1.35x 71.81% ====================== A-3-1 ORIGINAL TERM TO SCHEDULED MATURITY (LOAN GROUP NO. 1) CUMULATIVE WEIGHTED AVERAGES RANGE OF AGGREGATE % OF INITIAL % OF INITIAL ------------------------------------------------ ORIGINAL TERMS TO NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE SCHEDULED MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MATURITY (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- 60 1 $ 15,558,230 0.8% 0.8% 6.105% 58 1.45x 71.70% 84 3 159,541,365 8.5 9.3 5.769 80 1.43 64.73 96 1 14,360,000 0.8 10.1 5.779 89 1.45 73.83 120 123 1,664,578,881 88.6 98.7 5.814 117 1.34 72.49 180 6 24,179,995 1.3 100.0 5.762 175 1.21 70.37 --------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ===================== === ============== ===== REMAINING TERM TO SCHEDULED MATURITY (LOAN GROUP NO. 1) CUMULATIVE WEIGHTED AVERAGES RANGE OF AGGREGATE % OF INITIAL % OF INITIAL ------------------------------------------------ REMAINING TERMS NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE TO SCHEDULED MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MATURITY (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- 58 to 59 1 $ 15,558,230 0.8% 0.8% 6.105% 58 1.45x 71.70% 60 to 83 3 159,541,365 8.5 9.3 5.769 80 1.43 64.73 84 to 114 8 106,461,487 5.7 15.0 5.520 109 1.32 71.01 115 to 120 116 1,572,477,394 83.7 98.7 5.834 118 1.34 72.60 121 to 176 6 24,179,995 1.3 100.0 5.762 175 1.21 70.37 --------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ===================== === ============== ===== ORIGINAL AMORTIZATION TERM (LOAN GROUP NO. 1) CUMULATIVE WEIGHTED AVERAGES AGGREGATE % OF INITIAL % OF INITIAL ------------------------------------------------ RANGE OF NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE ORIGINAL AMORTIZATION MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO ----------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- Interest Only 7 $ 206,650,000 11.0% 11.0% 5.494% 97 1.70x 62.23% 300 19 174,211,237 9.3 20.3 5.932 112 1.37 69.01 360 105 1,446,492,234 77.0 97.3 5.850 117 1.30 73.39 420 3 50,865,000 2.7 100.0 5.599 117 1.20 75.29 ----------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ======================= === ============== ===== REMAINING AMORTIZATION TERM (LOAN GROUP NO. 1) CUMULATIVE WEIGHTED AVERAGES RANGE OF AGGREGATE % OF INITIAL % OF INITIAL ------------------------------------------------ REMAINING NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE AMORTIZATION MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- Interest Only 7 $ 206,650,000 11.0% 11.0% 5.494% 97 1.70x 62.23% 292 to 300 19 174,211,237 9.3 20.3 5.932 112 1.37 69.01 301 to 360 105 1,446,492,234 77.0 97.3 5.850 117 1.30 73.39 361 to 420 3 50,865,000 2.7 100.0 5.599 117 1.20 75.29 --------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ===================== === ============== ===== A-3-2 MORTGAGE LOAN SEASONING (LOAN GROUP NO. 1) CUMULATIVE WEIGHTED AVERAGES AGGREGATE % OF INITIAL % OF INITIAL ------------------------------------------------ NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE SEASONING (MONTHS) LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ----------------- -------------- ------------- ---------- ------------ --------- -------------- 0 to 5 125 $1,768,215,619 94.1% 94.1% 5.830% 115 1.35x 71.84% 6 to 11 8 105,235,335 5.6 99.7% 5.528 108 1.32 70.88 12 1 4,767,517 0.3 100.0 5.254 108 1.27 78.93 --------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ===================== === ============== ===== ENCUMBERED INTEREST (LOAN GROUP NO. 1) WEIGHTED AVERAGES AGGREGATE % OF INITIAL ------------------------------------------------ NUMBER OF CUT-OFF DATE LOAN GROUP STATED CUT-OFF DATE MORTGAGED PRINCIPAL NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE ENCUMBERED INTEREST PROPERTIES BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------------- ------------ ----------------- ------------- ---------- ------------ --------- -------------- Fee Simple 244 $1,810,716,263 96.4% 5.814% 114 1.34x 72.19% Leasehold 8 27,266,814 1.5 5.624 117 2.04 55.68 Fee in Part, Leasehold in Part 4 40,235,395 2.1 5.863 115 1.35 65.23 -------------------------- --- -------------- ----- Total / Wtd. Avg. 256 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ========================== === ============== ===== A-3-3
PROPERTY TYPES (LOAN GROUP NO. 1) AGGREGATE % OF INITIAL MAXIMUM NUMBER OF CUT-OFF DATE LOAN GROUP CUT-OFF DATE MORTGAGED PRINCIPAL NO. 1 PRINCIPAL PROPERTY TYPES PROPERTIES BALANCE BALANCE BALANCE --------------------------------- ------------ ----------------- -------------- -------------- Retail 158 $ 674,076,753 35.9% $ 36,500,000 Anchored, Single Tenant 122 261,937,500 13.9 13,000,000 Anchored 17 243,067,977 12.9 32,812,500 Unanchored 11 108,749,727 5.8 36,500,000 Shadow Anchored 4 44,659,995 2.4 14,600,000 Unanchored, Single Tenant 2 2,136,870 0.1 1,120,980 Regional Mall 1 9,528,182 0.5 $ 9,528,182 Shadow Anchored, Single Tenant 1 3,996,501 0.2 3,996,501 Office 48 740,123,241 39.4 133,000,000 Suburban 35 552,508,241 29.4 133,000,000 Flex 2 8,060,000 0.4 6,763,000 Medical Office 8 71,810,000 3.8 17,120,000 CBD 3 107,745,000 5.7 42,695,000 Hospitality 25 242,264,807 12.9 63,000,000 Industrial 18 146,824,372 7.8 26,500,000 Mixed Use 5 54,024,417 2.9 18,800,000 Land 1 14,904,880 0.8 14,904,880 Manufactured Housing 1 6,000,000 0.3 6,000,000 --------------------------------- --- -------------- ----- Total / Wtd. Avg. 256 $1,878,218,471 100.0% ================================= === ============== ===== WEIGHTED AVERAGES ------------------------------------------------- MIN/MAX STATED CUT-OFF DATE MIN/MAX CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE U/W NCF LOAN-TO-VALUE PROPERTY TYPES RATE TERM (MO.) DSCR RATIO DSCR RATIO --------------------------------- ---------- ------------ --------- --------------- --------------- ---------------- Retail 5.982% 120 1.31x 74.80% 1.15x / 1.85x 50.93% / 80.00% Anchored, Single Tenant 6.320 122 1.43 75.64 1.20x / 1.51x 64.75% / 78.97% Anchored 5.779 117 1.23 74.53 1.20x / 1.52x 63.02% / 80.00% Unanchored 5.783 119 1.28 73.25 1.20x / 1.85x 50.93% / 79.91% Shadow Anchored 5.679 125 1.19 76.82 1.15x / 1.20x 72.75% / 78.92% Unanchored, Single Tenant 5.690 176 1.22 74.77 1.22x / 1.22x 74.77% / 74.77% Regional Mall 5.690 115 1.20 70.58 1.20x / 1.20x 70.58% / 70.58% Shadow Anchored, Single Tenant 5.793 119 1.32 65.52 1.32x / 1.32x 65.52% / 65.52% Office 5.613 112 1.33 71.05 1.16x / 2.26x 49.52% / 80.00% Suburban 5.610 111 1.37 69.13 1.16x / 2.26x 49.52% / 80.00% Flex 5.440 115 1.21 79.90 1.21x / 1.21x 79.90% / 79.90% Medical Office 5.741 117 1.22 77.66 1.20x / 1.27x 72.85% / 80.00% CBD 5.556 116 1.20 75.83 1.20x / 1.20x 72.72% / 80.00% Hospitality 6.054 104 1.51 64.29 1.31x / 1.74x 48.71% / 75.00% Industrial 5.710 117 1.25 75.14 1.19x / 1.51x 65.96% / 80.08% Mixed Use 5.754 110 1.59 69.46 1.20x / 2.52x 39.05% / 80.00% Land 5.495 114 1.20 76.87 1.20x / 1.20x 76.87% / 76.87% Manufactured Housing 5.360 117 1.53 59.41 1.53x / 1.53x 59.41% / 59.41% --------------------------------- Total / Wtd. Avg. 5.812% 114 1.35x 71.81% 1.15x / 2.52x 39.05% / 80.08% ================================= A-3-4 UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIO (LOAN GROUP NO. 1) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE AGGREGATE % OF INITIAL % OF INITIAL NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE RANGE OF U/W NCF MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE DSCR LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO ---------------------- ----------- ---------------- -------------- ------------- ---------- ------------ --------- -------------- 1.15x to 1.19x 3 $ 36,395,122 1.9% 1.9% 6.087% 120 1.17x 75.87% 1.20x to 1.24x 71 1,075,660,642 57.3 59.2 5.662 115 1.21 74.72 1.25x to 1.29x 14 77,134,019 4.1 63.3 5.832 117 1.27 72.45 1.30x to 1.34x 15 121,136,013 6.4 69.8 5.735 118 1.32 71.58 1.35x to 1.39x 4 32,519,336 1.7 71.5 5.781 117 1.38 72.65 1.40x to 1.44x 6 54,549,951 2.9 74.4 5.932 99 1.43 69.81 1.45x to 1.49x 7 62,384,675 3.3 77.7 6.177 112 1.47 70.10 1.50x to 1.99x 11 333,588,713 17.8 95.5 6.322 112 1.57 68.32 2.00x to 2.52x 3 84,850,000 4.5 100.0 5.344 115 2.30 48.81 ---------------------- -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ====================== === ============== ===== CUT-OFF DATE LOAN-TO-VALUE RATIO (LOAN GROUP NO. 1) WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE AGGREGATE % OF INITIAL % OF INITIAL RANGE OF NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP STATED CUT-OFF DATE CUT-OFF DATE MORTGAGE PRINCIPAL NO. 1 NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE LTV RATIO LOANS BALANCE BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- ----------------- -------------- ------------- ---------- ------------ --------- -------------- 39.05% to 60.00% 9 $ 182,841,451 9.7% 9.7% 5.696% 104 1.97x 50.63% 60.01% to 65.00% 10 87,256,000 4.6 14.4 5.924 123 1.39 63.73 65.01% to 70.00% 19 162,737,592 8.7 23.0 5.768 117 1.31 68.48 70.01% to 75.00% 45 703,241,415 37.4 60.5 5.714 112 1.24 72.93 75.01% to 80.00% 50 737,337,013 39.3 99.7 5.932 118 1.30 77.62 80.01% to 80.08% 1 4,805,000 0.3 100.0 5.533 118 1.21 80.08 --------------------- -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% ===================== === ============== ===== MATURITY DATE/ARD LOAN-TO-VALUE (LOAN GROUP NO. 1) CUMULATIVE AGGREGATE % OF INITIAL % OF INITIAL RANGE OF MATURITY NUMBER OF CUT-OFF DATE LOAN GROUP LOAN GROUP DATE/ARD MORTGAGE PRINCIPAL NO. 1 NO. 1 LOAN-TO-VALUE RATIO LOANS BALANCE BALANCE BALANCE --------------------- ----------- ----------------- -------------- ------------- 38.07% to 50.00% 8 $ 189,325,919 10.1% 10.1% 50.01% to 60.00% 35 259,178,068 13.8 23.9 60.01% to 65.00% 28 377,232,875 20.1 44.0 65.01% to 70.00% 32 641,645,244 34.2 78.1 70.01% to 74.37% 31 410,836,365 21.9 100.0 --------------------- -- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% ===================== === ============== ===== WEIGHTED AVERAGES ------------------------------------------------ RANGE OF MATURITY STATED CUT-OFF DATE DATE/ARD MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE LOAN-TO-VALUE RATIO RATE TERM (MO.) DSCR RATIO --------------------- ---------- ------------ --------- -------------- 38.07% to 50.00% 5.703% 104 1.95x 51.32% 50.01% to 60.00% 5.908 123 1.32 69.56 60.01% to 65.00% 5.653 117 1.26 71.18 65.01% to 70.00% 6.020 117 1.31 75.63 70.01% to 74.37% 5.624 107 1.22 77.26 --------------------- Total / Wtd. Avg. 5.812% 114 1.35x 71.81% ===================== A-3-5 STATE/REGION (LOAN GROUP NO. 1) AGGREGATE % OF INITIAL NUMBER OF CUT-OFF DATE LOAN GROUP MORTGAGED PRINCIPAL NO. 1 STATE/REGION PROPERTIES BALANCE BALANCE ------------------------- ------------ ----------------- -------------- California 15 $ 294,256,324 15.7% Southern California(1) 9 245,967,183 13.1 Northern California(1) 6 48,289,141 2.6 Florida 11 153,191,482 8.2 Virginia 6 152,422,982 8.1 Wisconsin 47 134,825,062 7.2 Pennsylvania 11 121,616,061 6.5 Washington 15 96,950,920 5.2 New York 10 96,730,000 5.2 Massachusetts 5 74,610,132 4.0 Georgia 11 66,530,874 3.5 Tennessee 3 59,085,000 3.1 Michigan 11 56,127,264 3.0 New Jersey 4 49,809,099 2.7 South Carolina 3 44,522,978 2.4 Texas 5 40,186,262 2.1 Nevada 5 38,790,000 2.1 Maryland 3 38,350,000 2.0 Oklahoma 8 38,000,000 2.0 Ohio 2 35,620,980 1.9 Connecticut 5 35,602,000 1.9 Louisiana 2 32,569,087 1.7 Minnesota 14 29,550,910 1.6 North Carolina 4 27,602,278 1.5 Illinois 7 21,806,331 1.2 Nebraska 8 17,708,283 0.9 Arizona 2 16,397,357 0.9 Utah 11 15,384,508 0.8 Kentucky 2 14,074,906 0.7 Idaho 8 13,116,728 0.7 Missouri 2 10,728,000 0.6 Colorado 2 9,749,074 0.5 Mississippi 1 9,528,182 0.5 South Dakota 5 9,365,092 0.5 Delaware 1 8,800,000 0.5 Montana 4 7,069,314 0.4 Indiana 1 5,500,000 0.3 Iowa 2 2,041,002 0.1 ------------------------- -- -------------- ----- Total/Wtd. Avg. 256 $1,878,218,471 100.0% ========================= === ============== ===== WEIGHTED AVERAGES ------------------------------------------------ CUMULATIVE % OF INITIAL LOAN STATED CUT-OFF DATE GROUP NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE STATE/REGION BALANCE RATE TERM (MO.) DSCR RATIO ------------------------- ----------------- ---------- ------------ --------- -------------- California 15.7% 5.677% 118 1.27x 70.17% Southern California(1) 13.1 5.683 118 1.27 69.13 Northern California(1) 2.6 5.647 115 1.30 75.50 Florida 23.8 5.660 115 1.22 73.98 Virginia 31.9 5.639 88 1.26 72.84 Wisconsin 39.1 6.248 111 1.50 71.97 Pennsylvania 45.6 5.999 119 1.26 74.82 Washington 50.8 5.845 117 1.31 73.85 New York 55.9 5.508 115 1.95 57.61 Massachusetts 59.9 5.598 116 1.24 73.73 Georgia 63.4 6.029 118 1.44 68.92 Tennessee 66.6 5.673 110 1.26 72.99 Michigan 69.6 5.807 120 1.31 73.13 New Jersey 72.2 5.700 118 1.36 72.18 South Carolina 74.6 5.917 120 1.23 77.82 Texas 76.7 5.607 121 1.22 75.32 Nevada 78.8 5.702 129 1.52 60.92 Maryland 80.8 5.642 117 1.20 73.91 Oklahoma 82.8 5.440 115 1.21 79.90 Ohio 84.7 6.068 84 1.73 52.99 Connecticut 86.6 5.771 126 1.21 75.94 Louisiana 88.4 5.586 116 1.21 77.47 Minnesota 89.9 6.461 119 1.47 76.57 North Carolina 91.4 5.600 115 1.50 69.49 Illinois 92.6 6.332 119 1.30 76.99 Nebraska 93.5 6.588 120 1.51 76.39 Arizona 94.4 5.970 119 1.22 75.37 Utah 95.2 6.588 120 1.51 76.39 Kentucky 96.0 5.802 116 1.24 74.57 Idaho 96.7 6.588 120 1.51 76.39 Missouri 97.2 5.893 119 1.25 78.42 Colorado 97.7 5.691 153 1.23 70.60 Mississippi 98.3 5.690 115 1.20 70.58 South Dakota 98.8 6.588 120 1.51 76.39 Delaware 99.2 6.190 120 1.37 73.95 Montana 99.6 6.588 120 1.51 76.39 Indiana 99.9 5.535 117 1.29 67.07 Iowa 100.0 6.588 120 1.51 76.39 ------------------------- Total/Wtd. Avg. 5.812% 114 1.35x 71.81% ========================= (1) Northern California includes areas with zip codes of 93906 and above, and Southern California includes areas with zip codes of below 92870. PREPAYMENT PROVISION TYPE (LOAN GROUP NO. 1) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE % OF INITIAL NUMBER OF CUT-OFF DATE LOAN GROUP STATED CUT-OFF DATE MORTGAGE PRINCIPAL NO. 1 MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PREPAYMENT PROVISION TYPE LOANS BALANCE BALANCE RATE TERM (MO.) DSCR RATIO --------------------------- ----------- ----------------- ------------- ---------- ------------ --------- -------------- LO/Defeasance 123 $1,764,396,037 93.9% 5.807% 114 1.35x 71.85% LO/Grtrx%UPBorYM 8 86,522,434 4.6 5.952 118 1.35 71.27 LO/y%UPB+YM 2 21,300,000 1.1 5.685 98 1.48 69.44 LO/YM 1 6,000,000 0.3 5.605 116 1.21 74.07 --------------------------- --- -------------- ----- Total / Wtd. Avg. 134 $1,878,218,471 100.0% 5.812% 114 1.35x 71.81% =========================== === ============== ===== A-3-6 INITIAL LOAN GROUP 1 PREPAYMENT RESTRICTION COMPOSITION OVER TIME (LOAN GROUP NO. 1)(1) MONTHS FOLLOWING CUT-OFF DATE ------------------------------------------------------------ PREPAYMENT RESTRICTION 0 12 24 36 48 ----------------------------- ------------ ----------- ----------- ----------- ----------- Remaining Aggregate Mortgage Loan Pool Balance(2) 100.00% 99.56% 99.07% 98.37% 97.40% Locked/Defeasance 100.00% 100.00% 100.00% 94.35% 94.34% Locked 100.00% 100.00% 100.00% 7.80% 0.40% Defeasance 0.00% 0.00% 0.00% 86.54% 93.94% Yield Maintenance (All) 0.00% 0.00% 0.00% 5.65% 5.66% Grtr1%UPBorYM 0.00% 0.00% 0.00% 4.18% 4.17% 2%UPBorYM+2% 0.00% 0.00% 0.00% 1.15% 1.16% YM 0.00% 0.00% 0.00% 0.32% 0.32% Open 0.00% 0.00% 0.00% 0.00% 0.00% ----------------------------- ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% ============================= ====== ====== ====== ====== ====== MONTHS FOLLOWING CUT-OFF DATE ---------------------------------------------------------------------- PREPAYMENT RESTRICTION 60 72 84 96 108 120 ----------------------------- ----------- ----------- ----------- ----------- ----------- ---------- Remaining Aggregate Mortgage Loan Pool Balance(2) 95.54% 94.25% 84.57% 82.39% 80.67% 1.13% Locked/Defeasance 93.88% 93.69% 93.26% 94.10% 94.34% 100.00% Locked 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Defeasance 93.88% 93.69% 93.26% 94.10% 94.34% 100.00% Yield Maintenance (All) 6.12% 6.13% 6.74% 5.90% 5.66% 0.00% Grtr1%UPBorYM 4.60% 4.60% 5.05% 5.10% 4.85% 0.00% 2%UPBorYM+2% 1.19% 1.20% 1.34% 0.45% 0.46% 0.00% YM 0.32% 0.32% 0.36% 0.36% 0.36% 0.00% Open 0.00% 0.18% 0.00% 0.00% 0.00% 0.00% ----------------------------- ------ ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% ============================= ====== ====== ====== ====== ====== ====== (1) All numbers, unless otherwise noted, are as a percentage of the aggregate Loan Group No.1 balance at the specified point in time. (2) Remaining aggregate mortgage loan pool balance as a percentage of the Initial Loan Group No.1 balance a the specified point in time. A-3-7 [THIS PAGE INTENTIONALLY LEFT BLANK.]
ANNEX A-4 SUMMARY CHARACTERISTICS OF THE UNDERLYING MORTGAGE LOANS IN LOAN GROUP NO. 2 AND THE RELATED MORTGAGED REAL PROPERTIES Note: For purposes of presenting information regarding the original and remaining terms to maturity of the respective underlying mortgage loans in the following exhibits, each ARD Loan is assumed to mature on its anticipated repayment date. [THIS PAGE INTENTIONALLY LEFT BLANK.] CUT-OFF DATE PRINCIPAL BALANCES (LOAN GROUP NO. 2) AGGREGATE % OF INITIAL MAXIMUM RANGE OF NUMBER OF CUT-OFF DATE LOAN GROUP CUT-OFF DATE CUT-OFF DATE MORTGAGE PRINCIPAL NO. 2 PRINCIPAL PRINCIPAL BALANCES LOANS BALANCE BALANCE BALANCE ---------------------------- ----------- -------------- -------------- -------------- $ 865,000 to $ 4,999,999 5 $ 16,597,111 4.3% $ 4,984,768 $ 5,000,000 to $ 9,999,999 14 96,185,416 25.0 8,879,000 $10,000,000 to $14,999,999 5 68,078,040 17.7 14,800,000 $15,000,000 to $19,999,999 3 48,690,000 12.6 17,500,000 $20,000,000 to $24,999,999 2 42,167,000 10.9 22,167,000 $25,000,000 to $29,999,999 1 25,600,000 6.6 25,600,000 $30,000,000 to $39,999,999 1 33,000,000 8.6 33,000,000 $40,000,000 to $55,000,000 1 55,000,000 14.3 55,000,000 ---------------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% ============================ == ============ ===== WEIGHTED AVERAGES ------------------------------------------------- RANGE OF STATED U/W CUT-OFF DATE CUT-OFF DATE MORTGAGE REMAINING NCF LOAN-TO-VALUE PRINCIPAL BALANCES RATE TERM (MO.) DSCR RATIO ---------------------------- ---------- ------------ ---------- -------------- $ 865,000 to $ 4,999,999 5.749% 117 1.47x 63.88% $ 5,000,000 to $ 9,999,999 5.834 113 1.24 72.60 $10,000,000 to $14,999,999 5.380 110 1.33 69.85 $15,000,000 to $19,999,999 5.596 97 1.35 69.96 $20,000,000 to $24,999,999 4.954 115 1.20 72.34 $25,000,000 to $29,999,999 5.490 118 1.26 79.01 $30,000,000 to $39,999,999 5.940 118 1.20 70.66 $40,000,000 to $55,000,000 5.190 109 1.23 69.18 ---------------------------- Total / Wtd. Avg. 5.518% 111 1.27x 71.15% ============================ MORTGAGE LOAN TYPE (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE NUMBER OF CUT-OFF DATE % OF INITIAL MAXIMUM STATED CUT-OFF DATE MORTGAGE PRINCIPAL LOAN GROUP CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MORTGAGE LOAN TYPE LOANS BALANCE NO. 2 BALANCE BALANCE RATE TERM (MO.) DSCR RATIO -------------------- ----------- -------------- --------------- -------------- ---------- ------------ --------- -------------- Partial IO/Balloon 18 $274,127,000 71.1% $55,000,000 5.391% 115 1.24x 72.11% Balloon 12 81,190,567 21.1 13,472,999 5.955 112 1.28 70.65 Interest Only 2 30,000,000 7.8 16,000,000 5.502 67 1.54 63.70 -------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ==================== == ============ ===== MORTGAGE RATES (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE RANGE OF MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE MORTGAGE RATES LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 4.3750% to 5.4990% 10 $163,041,768 42.3% 42.3% 5.129% 108 1.30x 70.36% 5.5000% to 5.7500% 12 125,262,212 32.5 74.8 5.605 106 1.26 71.53 5.7500% to 5.9990% 4 66,845,000 17.3 92.2 5.870 118 1.22 73.16 6.0000% to 6.4990% 5 23,272,197 6.0 98.2 6.163 119 1.32 68.00 6.5000% to 7.5600% 1 6,896,389 1.8 100.0 7.560 179 1.15 74.00 --------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== A-4-1 ORIGINAL TERM TO SCHEDULED MATURITY (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE ORIGINAL TERMS TO NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE MATURITY/ARD MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE (MONTHS) LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 60 3 30,126,251 7.8% 7.8% 5.574% 56 1.44x 68.45% 84 1 14,000,000 3.6 11.5 5.515 80 1.44 63.06 120 27 334,294,927 86.8 98.2 5.471 116 1.25 71.67 180 1 6,896,389 1.8 100.0 7.560 179 1.15 74.00 --------------------- -- ----------- ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== REMAINING TERM TO SCHEDULED MATURITY (LOAN GROUP NO. 2) RANGE OF AGGREGATE CUMULATIVE REMAINING TERMS TO NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL NET MATURITY/ARD MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP (MOS.) LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE --------------------- ----------- -------------- --------------- ------------------ 55 to 59 3 $ 30,126,251 7.8% 7.8% 60 to 83 1 14,000,000 3.6 11.5 84 to 114 3 83,032,000 21.5 33.0 115 to 120 24 251,262,927 65.2 98.2 121 to 179 1 6,896,389 1.8 100.0 --------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% ===================== == ============ ===== WEIGHTED AVERAGES ------------------------------------------------ RANGE OF REMAINING TERMS TO STATED CUT-OFF DATE MATURITY/ARD MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE (MOS.) RATE TERM (MO.) DSCR RATIO --------------------- ---------- ------------ --------- -------------- 55 to 59 5.574% 56 1.44x 68.45% 60 to 83 5.515 80 1.44 63.06 84 to 114 4.993 111 1.24 68.27 115 to 120 5.629 117 1.26 72.80 121 to 179 7.560 179 1.15 74.00 --------------------- Total / Wtd. Avg. 5.518% 111 1.27x 71.15% ===================== ORIGINAL AMORTIZATION TERM (LOAN GROUP NO. 2) AGGREGATE CUMULATIVE RANGE OF NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL ORIGINAL AMORTIZATION MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP TERMS (MONTHS) LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE ----------------------- ----------- -------------- --------------- --------------- Interest Only 2 $ 30,000,000 7.8% 7.8% 360 30 355,317,567 92.2 100.0 ----------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% ======================= == ============ ===== WEIGHTED AVERAGES ------------------------------------------------ RANGE OF STATED CUT-OFF DATE ORIGINAL AMORTIZATION MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) RATE TERM (MO.) DSCR RATIO ----------------------- ---------- ------------ --------- -------------- Interest Only 5.502% 67 1.54x 63.70% 360 5.520 115 1.25 71.78 ----------------------- Total / Wtd. Avg. 5.518% 111 1.27x 71.15% ======================= REMAINING AMORTIZATION TERM (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ RANGE OF AGGREGATE CUMULATIVE REMAINING NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE AMORTIZATION MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE TERMS (MONTHS) LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- Interest Only 2 $ 30,000,000 7.8% 7.8% 5.502% 67 1.54x 63.70% 301 to 360 30 355,317,567 92.2 100.0 5.520 115 1.25 71.78 --------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== A-4-2 MORTGAGE LOAN SEASONING (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE SEASONING (MONTHS) LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 0 to 5 29 $302,285,567 78.5% 78.5% 5.662% 111 1.28x 71.94% 6 to 11 3 83,032,000 21.5% 100.0 4.993 111 1.24 68.27 --------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== ENCUMBERED INTEREST (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE NUMBER OF CUT-OFF DATE % OF INITIAL STATED CUT-OFF DATE MORTGAGED PRINCIPAL LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE ENCUMBERED INTEREST PROPERTIES BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ------------ -------------- --------------- ---------- ------------ --------- -------------- Fee Simple 32 $365,317,567 94.8% 5.517% 111 1.28x 70.83% Leasehold 1 20,000,000 5.2 5.530% 116 1.20 76.92 --------------------- -- ------------ ----- Total / Wtd. Avg. 33 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== A-4-3 PROPERTY TYPE (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------- AGGREGATE MAXIMUM NUMBER OF CUT-OFF DATE % OF INITIAL CUT-OFF DATE STATED CUT-OFF DATE MORTGAGED PRINCIPAL LOAN GROUP PRINCIPAL MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PROPERTY TYPES PROPERTIES BALANCE NO. 2 BALANCE BALANCE RATE TERM (MO.) DSCR RATIO ------------------- ------------ -------------- --------------- -------------- ---------- ------------ --------- --------------- Multifamily 33 385,317,567 100.0 55,000,000 5.518% 111 1.27x 71.15 Conventional 27 326,912,673 84.8 55,000,000 5.485 110 1.28 70.79 Student Housing 5 49,745,040 12.9 17,500,000 5.649 117 1.21 74.15 Section 8 1 8,659,854 2.2 8,659,854 6.020 119 1.27 67.66 ------------------- -- ----------- ----- Total / Wtd. Avg. 33 $385,317,567 100.0% 5.518% 111 1.27x 71.15% =================== == ============ ===== MIN/MAX MIN/MAX CUT-OFF DATE U/W NCF LOAN-TO-VALUE PROPERTY TYPES DSCR RATIO ------------------- --------------- ---------------- Multifamily 1.15x / 1.94x 48.15% / 79.17% Conventional 1.15x / 1.94x 48.15% / 79.17% Student Housing 1.20x / 1.26x 68.63% / 77.50% Section 8 1.27x / 1.27x 67.66% / 67.66% ------------------- Total / Wtd. Avg. 1.15x / 1.94x 48.15% / 79.17% =================== A-4-4 UNDERWRITTEN NET CASH FLOW DEBT SERVICE COVERAGE RATIO (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE RANGE OF MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE U/W NCF DSCR LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO ---------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 1.15x to 1.19x 1 $ 6,896,389 1.8% 1.8% 7.560% 179 1.15x 74.00% 1.20x to 1.24x 19 246,688,555 64.0 65.8 5.499 112 1.21 72.53 1.25x to 1.29x 4 52,509,854 13.6 79.4 5.651 118 1.26 75.47 1.30x to 1.34x 1 13,472,999 3.5 82.9 5.595 118 1.31 67.87 1.35x to 1.39x 2 22,300,000 5.8 88.7 4.787 116 1.39 64.90 1.40x to 1.44x 2 19,865,000 5.2 93.9 5.437 90 1.44 62.16 1.45x to 1.94x 3 23,584,768 6.1 100.0 5.545 76 1.67 61.63 ---------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ====================== == ============ ===== CUT-OFF DATE LOAN-TO-VALUE RATIO (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE RANGE OF NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE CUT-OFF DATE MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE LTV RATIO LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO ---------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 48.15% to 60.00% 3 $ 15,965,000 4.1% 4.1% 5.556% 116 1.50x 56.58% 60.01% to 65.00% 5 39,247,111 10.2 14.3 5.574 79 1.52 63.24 65.01% to 70.00% 6 131,599,854 34.2 48.5 5.115 113 1.25 68.69 70.01% to 75.00% 7 79,155,562 20.5 69.0 5.965 112 1.22 72.24 75.01% to 79.17% 11 119,350,040 31.0 100.0 5.643 117 1.22 77.69 ---------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ====================== == ============ ===== MATURITY DATE/ARD LOAN-TO-VALUE RATIO (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE CUMULATIVE RANGE OF MATURITY NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL STATED CUT-OFF DATE DATE/ARD MORTGAGE PRINCIPAL LOAN GROUP LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE LOAN-TO-VALUE RATIO LOANS BALANCE NO. 2 BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------- ----------- -------------- --------------- --------------- ---------- ------------ --------- -------------- 40.98% to 50.00% 1 $ 2,600,000 0.7% 0.7% 6.120% 120 1.94x 48.15% 50.01% to 60.00% 8 51,641,354 13.4 14.1 5.929 126 1.33 65.06 60.01% to 65.00% 6 120,937,962 31.4 45.5 5.400 101 1.30 68.73 65.01% to 70.00% 15 169,348,251 44.0 89.4 5.451 112 1.23 73.33 70.01% to 74.37% 2 40,790,000 10.6 100.0 5.591 118 1.24 78.45 --------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% ===================== == ============ ===== A-4-5 STATE/REGION (LOAN GROUP NO. 2) AGGREGATE CUMULATIVE NUMBER OF CUT-OFF DATE % OF INITIAL % OF INITIAL MORTGAGED PRINCIPAL LOAN GROUP LOAN GROUP STATE/REGION PROPERTIES BALANCE NO. 2 BALANCE NO. 2 BALANCE ------------------------- ------------ -------------- --------------- --------------- California 2 $ 60,500,000 15.7% 15.7% Southern California (1) 1 55,000,000 14.3 14.3 Northern California (1) 1 5,500,000 1.4 1.4 Arizona 3 37,500,000 9.7 25.4 Pennsylvania 1 33,000,000 8.6 34.0 Ohio 3 26,429,343 6.9 40.9 Georgia 1 25,600,000 6.6 47.5 Wisconsin 3 23,612,768 6.1 53.6 New Jersey 1 20,000,000 5.2 58.8 North Carolina 1 17,500,000 4.5 63.4 Michigan 1 15,190,000 3.9 67.3 Kansas 1 14,800,000 3.8 71.1 Tennessee 1 13,500,000 3.5 74.6 Virginia 2 13,409,854 3.5 78.1 Oklahoma 2 14,350,000 3.7 81.9 South Carolina 1 7,275,000 1.9 83.7 Texas 2 9,496,389 2.5 86.2 Illinois 2 14,126,251 3.7 89.9 Mississippi 2 12,305,040 3.2 93.1 Washington 2 14,725,000 3.8 96.9 New Hampshire 1 6,132,922 1.6 98.5 Oregon 1 5,865,000 1.5 100.0 ------------------------- - ------------ ----- Total/Wtd. Avg. 33 $385,317,567 100.0% ========================= == ============ ===== WEIGHTED AVERAGES ------------------------------------------------ STATED CUT-OFF DATE MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE STATE/REGION RATE TERM (MO.) DSCR RATIO ------------------------- ---------- ------------ --------- -------------- California 5.227% 110 1.23x 69.56% Southern California (1) 5.190 109 1.23 69.18 Northern California (1) 5.595 117 1.22 73.33 Arizona 5.521 77 1.51 62.32 Pennsylvania 5.940 118 1.20 70.66 Ohio 4.730 115 1.21 67.45 Georgia 5.490 118 1.26 79.01 Wisconsin 5.631 118 1.35 67.99 New Jersey 5.530 116 1.20 76.92 North Carolina 5.550 117 1.21 68.63 Michigan 5.760 118 1.22 77.50 Kansas 4.375 115 1.38 69.00 Tennessee 5.800 119 1.27 73.37 Virginia 5.809 118 1.27 70.83 Oklahoma 5.904 118 1.22 77.57 South Carolina 5.460 115 1.20 76.10 Texas 7.166 163 1.37 66.92 Illinois 5.670 55 1.22 73.19 Mississippi 5.740 117 1.20 76.91 Washington 5.665 117 1.21 79.17 New Hampshire 5.675 118 1.24 73.10 Oregon 5.250 114 1.44 60.00 ------------------------- Total/Wtd. Avg. 5.518% 111 1.27x 71.15% ========================= (1) Northern California includes areas with zip codes of 93906 and above, and Southern California includes areas with zip codes of below 92870. PREPAYMENT PROVISION TYPE (LOAN GROUP NO. 2) WEIGHTED AVERAGES ------------------------------------------------ AGGREGATE NUMBER OF CUT-OFF DATE % OF INITIAL STATED CUT-OFF DATE MORTGAGE PRINCIPAL LOAN GROUP MORTGAGE REMAINING U/W NCF LOAN-TO-VALUE PREPAYMENT PROVISION TYPE LOANS BALANCE NO. 2 BALANCE RATE TERM (MO.) DSCR RATIO --------------------------- ----------- -------------- --------------- ---------- ------------ --------- -------------- LO/Defeasance 29 $319,967,567 83.0% 5.551% 111 1.27x 71.52% LO/Grtrx%UPBorYM 3 65,350,000 17.0 5.356 111 1.26 69.33 --------------------------- -- ------------ ----- Total / Wtd. Avg. 32 $385,317,567 100.0% 5.518% 111 1.27x 71.15% =========================== == ============ ===== A-4-6 INITIAL LOAN GROUP 2 PREPAYMENT RESTRICTION COMPOSITION OVER TIME (LOAN GROUP NO. 2)(1) MONTHS FOLLOWING CUT-OFF DATE ------------------------------------------------------------ PREPAYMENT RESTRICTION 0 12 24 36 48 ----------------------------- ------------ ----------- ----------- ----------- ----------- Remaining Aggregate Mortgage Loan Pool Balance(2) 100.00% 99.75% 99.44% 98.77% 97.86% Locked/Defeasance 100.00 100.00 100.00 100.00 100.00 Locked 100.00 100.00 100.00 17.12 16.81 Defeasance 0.00 0.00 0.00 82.88 83.19 Yield Maintenance (All) 0.00 0.00 0.00 0.00 0.00 Grtr1%UPBorYM 0.00 0.00 0.00 0.00 0.00 2%UPBorYM+2% 0.00 0.00 0.00 0.00 0.00 YM 0.00 0.00 0.00 0.00 0.00 Open 0.00 0.00 0.00 0.00 0.00 ----------------------------- ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% ============================= ====== ====== ====== ====== ====== MONTHS FOLLOWING CUT-OFF DATE ---------------------------------------------------------------------- PREPAYMENT RESTRICTION 60 72 84 96 108 120 ----------------------------- ----------- ----------- ----------- ----------- ----------- ---------- Remaining Aggregate Mortgage Loan Pool Balance(2) 89.28% 88.14% 83.24% 81.84% 80.35% 1.58% Locked/Defeasance 81.85 81.92 81.19 81.22 81.26 100.00 Locked 0.00 0.00 0.00 0.00 0.00 0.00 Defeasance 81.85 81.92 81.19 81.22 81.26 100.00 Yield Maintenance (All) 18.15 18.08 18.81 18.78 2.92 0.00 Grtr1%UPBorYM 18.15% 18.08 18.81 18.78 2.92 0.00 2%UPBorYM+2% 0.00 0.00 0.00 0.00 0.00 0.00 YM 0.00 0.00 0.00 0.00 0.00 0.00 Open 0.00 0.00 0.00 0.00 15.82 0.00 ----------------------------- ------ ------ ------ ------ ------ ------ TOTAL 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% ============================= ====== ====== ====== ====== ====== ====== (1) All numbers, unless otherwise noted, are as a percentage of the aggregate Loan Group No.2 balance at the specified point in time. (2) Remaining aggregate mortgage loan pool balance as a percentage of the Initial Loan Group No.2 balance a the specified point in time. A-4-7 [THIS PAGE INTENTIONALLY LEFT BLANK.] [THIS PAGE INTENTIONALLY LEFT BLANK.] [THIS PAGE INTENTIONALLY LEFT BLANK.]
ANNEX A-5 CHARACTERISTICS OF THE MULTIFAMILY AND MANUFACTURED HOUSING MORTGAGED REAL PROPERTIES [INTENTIONALLY LEFT BLANK] MORTGAGE LOAN LOAN LOAN GROUP NUMBER SELLER NUMBER LOAN / PROPERTY NAME ---------------------------------------------------------------------------------------------- 6 PNC 2 Emerald Isle Senior Apartments 22 CGM 2 Woodstream Apartments 27 CGM 2 Bristol Pointe Apartment Homes 30 CGM 2 Mallard Crossing Apartments 32 CGM 2 Treetops Apartments 39 CGM 2 Wolf Creek Apartments 45 CGM 2 Promontory Apartments 49 CGM 2 Hidden Valley Club Apartments 51 CGM 2 Four Winds Apartments ---------------------------------------------------------------------------------------------- Beau Rivage Portfolio 52 CGM 2 Beau Rivage Apartments 192 53 CGM 2 Beau Rivage Apartments 132 ---------------------------------------------------------------------------------------------- Curat Multifamily Portfolio 60 CGM 2 Autumnwood Apartments 61 CGM 2 Silvercreek Apartments ---------------------------------------------------------------------------------------------- 62 CGM 2 Hilands II Apartments 63 PNC 2 Houston Levee Apartments 64 CGM 2 Meadows Apartments ---------------------------------------------------------------------------------------------- 70 CGM 2 Stonehenge Apartments 70 Starkville Crossing 70 Stonehenge Apts ---------------------------------------------------------------------------------------------- 90 PNC 2 Berkley Village - Newport News 98 PNC 2 Wimbledon Place Apartments 101 CGM 2 Spring Meadow Apartments 106 CGM 2 Regency at Chandler Park 111 PNC 2 Chaparral Townhomes 114 CGM 2 Apple Creek Apartments 115 CGM 2 Millport Apartments 117 CGM 1 Village Green MHP 121 CGM 2 Crystal Lake Apartments 129 CGM 2 Kipling Manor Apartments 134 PNC 2 Sherman Oaks Apartments & Apple Mini Storage 138 CGM 2 Willow Creek 143 CGM 2 Grace Street Apartments 159 PNC 2 Crawford Mayfair Apartments 162 PNC 2 Park Westwood Apartments 166 PNC 2 Mayfair Village Apartments LOAN NUMBER PROPERTY ADDRESS ------------------------------------------------------------------------------------------------------------------------------------ 6 661 North Rose Drive 22 675 East Street Road 27 3500 Peachtree Corners Circle 30 9980 Hanover Way 32 250 Treetops Drive 39 403 Wolf Creek Circle 45 60 West Stone Loop 49 600 Hidden Valley Club Drive 51 8000 Perry Street ------------------------------------------------------------------------------------------------------------------------------------ 52 4707 East Upriver Drive 53 4707 East Upriver Drive ------------------------------------------------------------------------------------------------------------------------------------ 60 717 Irving Avenue 61 1526 North Seminary Avenue ------------------------------------------------------------------------------------------------------------------------------------ 62 5755 East River Road 63 2801 Houston Levee Road 64 2400 Springdale Road ------------------------------------------------------------------------------------------------------------------------------------ 70 Various 70 107-125 John Calvin Street, 301-509 Mallory Lane, 101-123 Rutledge Street, 100-218 John Wesley Road and 300-307 Abernathy Drive 70 625 South Montgomery ------------------------------------------------------------------------------------------------------------------------------------ 90 900 Daphia Circle 98 7605 East 49th Street 101 10030 North 43rd Avenue 106 101 Chandler Park 111 351 Chaparral Road 114 3001 Pheasant Run Road 115 1001 Islington Street 117 1700 Robbins Road 121 10500 South East 26th Avenue 129 82-90 Kip Drive 134 5301 Sherman Street 138 2420 Parklawn Drive 143 401-411 West Grace Street 159 3350-3364 Broadmoor Avenue, 65-71 S. Hampton Road, 223-291 Mayfair Boulevard 162 9501 West Sam Houston Parkway 166 412-440 & 57-73 Mayfair Boulevard LOAN NUMBER CITY STATE ZIP CODE COUNTY PROPERTY TYPE DETAILED PROPERTY TYPE ---------------------------------------------------------------------------------------------------------------------------------- 6 Placentia CA 92870 Orange Multifamily Conventional 22 Warminster PA 18974 Bucks Multifamily Conventional 27 Norcross GA 30092 Gwinnett Multifamily Conventional 30 Loveland OH 45140 Warren Multifamily Conventional 32 Highland Park NJ 08904 Middlesex Multifamily Conventional 39 Raleigh NC 27606 Wake Multifamily Student Housing 45 Tucson AZ 85704 Pima Multifamily Conventional 49 Ann Arbor MI 48104 Washtenaw Multifamily Student Housing 51 Overland Park KS 66204 Johnson Multifamily Conventional ---------------------------------------------------------------------------------------------------------------------------------- 52 Spokane WA 99217 Spokane Multifamily Conventional 53 Spokane WA 99217 Spokane Multifamily Conventional ---------------------------------------------------------------------------------------------------------------------------------- 60 Woodstock IL 60098 McHenry Multifamily Conventional 61 Woodstock IL 60098 McHenry Multifamily Conventional ---------------------------------------------------------------------------------------------------------------------------------- 62 Tucson AZ 85750 Pima Multifamily Conventional 63 Memphis TN 38016 Shelby Multifamily Conventional 64 Waukesha WI 53186 Waukesha Multifamily Conventional ---------------------------------------------------------------------------------------------------------------------------------- 70 Starkville MS 39759 Oktibbeha Multifamily Student Housing 70 Starkville MS 39759 Oktibbeha Multifamily Student Housing 70 Starkville MS 39759 Oktibbeha Multifamily Student Housing ---------------------------------------------------------------------------------------------------------------------------------- 90 Newport News VA 23601 Newport News City Multifamily Section 8 98 Tulsa OK 74145 Tulsa Multifamily Conventional 101 Glendale AZ 85302 Maricopa Multifamily Conventional 106 Greer SC 29651 Greenville Multifamily Conventional 111 Allen TX 75002 Colin Multifamily Conventional 114 Norman OK 73072 Cleveland Multifamily Conventional 115 Portsmouth NH 03801 Rockingham Multifamily Conventional 117 Grand Haven MI 49417 Ottawa Manufactured Housing Manufactured Housing 121 Milwaukie OR 97222 Clackamas Multifamily Conventional 129 Salinas CA 93906 Monterey Multifamily Conventional 134 Wausau WI 54401 Marathon Multifamily Conventional 138 Waukesha WI 53186 Waukesha Multifamily Conventional 143 Richmond VA 23220 Richmond City Multifamily Student Housing 159 Columbus OH 43213 Franklin Multifamily Conventional 162 Houston TX 77099 Harris Multifamily Conventional 166 Columbus OH 43213 Franklin Multifamily Conventional # OF 4 OR LOAN ELEVATOR(S) UTILITIES TENANT PAYS # OF # OF 1 BED # OF 2 BED # OF 3 BED MORE NUMBER (YES/NO) STUDIOS ROOMS ROOMS ROOMS BED ROOMS ------------------------------------------------------------------------------------------------------------------------------------ 6 7 Electric, Gas NAP 267 155 NAP NAP 22 0 Electric, Gas NAP 142 126 122 NAP 27 0 Electric, Gas, Water, Sewer NAP 216 244 48 NAP 30 0 Electric NAP 158 164 28 NAP 32 0 Electric, Gas NAP 156 60 NAP NAP 39 0 Electric, Water, Sewer NAP NAP 12 72 132 45 0 Electric 40 371 53 NAP NAP 49 0 Electric 36 198 90 NAP NAP 51 0 Water NAP 184 150 16 NAP ------------------------------------------------------------------------------------------------------------------------------------ 52 0 Electric NAP 64 100 28 NAP 53 0 Electric NAP 44 88 NAP NAP ------------------------------------------------------------------------------------------------------------------------------------ 60 3 Water, Sewer 6 21 75 NAP NAP 61 0 Water, Sewer NAP 36 64 NAP NAP ------------------------------------------------------------------------------------------------------------------------------------ 62 0 Electric NAP 353 47 NAP NAP 63 0 Electric, Gas, Water, Sewer NAP 96 129 64 NAP 64 0 Electric NAP 165 310 NAP NAP ------------------------------------------------------------------------------------------------------------------------------------ 70 70 0 Electric, Gas, Water, Sewer NAP NAP NAP 105 NAP 70 0 Electric, Gas, Water, Sewer NAP NAP 104 NAP NAP ------------------------------------------------------------------------------------------------------------------------------------ 90 0 None NAP 148 50 NAP NAP 98 0 Electric NAP 222 70 NAP NAP 101 0 Electric NAP 205 66 NAP NAP 106 0 Electric, Gas, Water, Sewer NAP 60 48 30 NAP 111 0 Electric NAP NAP 30 67 29 114 0 Electric, Water, Sewer NAP 136 112 NAP NAP 115 1 Electric 5 25 32 5 NAP 117 NAP NAP NAP NAP NAP NAP NAP 121 0 Electric NAP 75 75 NAP NAP 129 0 Electric, Gas NAP 38 53 1 NAP 134 0 Electric, Gas NAP 104 32 NAP NAP 138 0 Electric, Gas NAP 118 50 NAP NAP 143 0 None 10 15 28 4 NAP 159 0 Electric, Gas, Water, Sewer NAP NAP 124 NAP NAP 162 0 Electric NAP 34 92 NAP NAP 166 0 Water, Sewer NAP 1 30 1 NAP LOAN AVERAGE RENTAL AVERAGE RENTAL AVERAGE RENTAL AVERAGE RENTAL AVERAGE RENTAL NUMBER RATE STUDIO RATE 1 BR RATE 2 BR RATE 3 BR RATE 4+ BR --------------------------------------------------------------------------------------------------------------------------------- 6 NAP 962-1970; 1,046 1,310-1,775; 1,535 NAP NAP 22 NAP 820-860; 838 808-1,065; 997 882-1,215; 1,182 NAP 27 NAP 650-705; 685 760-860; 822 970-1,200; 1,058 NAP 30 NAP 574-1,145; 727 445-2,292; 914 514-1,800; 1,017 NAP 32 NAP 610-2,260; 1,101 1,085-2,500; 1,321 NAP NAP 39 NAP NAP 1,000-1,000; 1,000 800-1,200; 1,193 1,182-1,576; 1,547 45 374-565; 434 325-770; 513 450-930; 676 NAP NAP 49 495-730; 590 550-850; 691 745-945; 844 NAP NAP 51 NAP 609-741; 646 575-892; 738 711-970; 891 NAP --------------------------------------------------------------------------------------------------------------------------------- 52 NAP 510-510; 510 575-625; 606 695-720; 708 NAP 53 NAP 510-510; 510 510-625; 600 NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 60 600-610; 608 656-716; 700 706-786; 751 NAP NAP 61 NAP 655-725; 708 703-825;786 NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 62 NAP 355-755; 505 360-845; 642 NAP NAP 63 NAP 685-815; 700 652-1,450; 839 730-1,095; 991 NAP 64 NAP 585-755; 624 650-890; 751 NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 70 70 NAP NAP NAP 400-1,100; 828 NAP 70 NAP NAP 500-595; 592 NAP NAP --------------------------------------------------------------------------------------------------------------------------------- 90 NAP 507-507; 507 585-585; 585 NAP NAP 98 NAP 380-589; 420 399-600; 538 NAP NAP 101 NAP 420-661; 503 549-793; 647 NAP NAP 106 NAP 525-575; 549 630-680; 655 750-750; 750 NAP 111 NAP NAP 643-840; 773 736-1,004; 876 811-1,060; 978 114 NAP 335-494; 407 431-589; 524 NAP NAP 115 795-900; 836 795-1,150; 1,023 1,200-1,650; 1,408 1,625-1,630; 1,628 NAP 117 NAP NAP NAP NAP NAP 121 NAP 108-632; 497 74-740; 645 NAP NAP 129 NAP 675-750; 738 800-875; 845 800-800; 800 NAP 134 NAP 480-650; 516 590-675; 632 NAP NAP 138 NAP 617-710; 659 655-785; 766 NAP NAP 143 630-675; 657 575-850; 787 725-1,175; 1,121 1,200-1,500; 1,375 NAP 159 NAP NAP 384-678; 533 NAP NAP 162 NAP 425-515; 480 515-720; 652 NAP NAP 166 NAP 464-464; 464 483-574; 531 665-665; 665 NAP
ANNEX B DESCRIPTION OF TEN LARGEST MORTGAGE LOANS AND/OR GROUPS OF CROSS-COLLATERALIZED MORTGAGE LOANS [THIS PAGE INTENTIONALLY LEFT BLANK.] -------------------------------------------------------------------------------- TEN LARGEST LOANS -------------------------------------------------------------------------------- TEN LARGEST LOANS BY CUT-OFF DATE PRINCIPAL BALANCE -------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------------------------- CUT-OFF DATE LOAN LOAN PROPERTY PRINCIPAL LOAN NAME / PROPERTY NAME SELLER GROUP TYPE CITY STATE BALANCE -------------------------------------------------------------------------------------------------------------------------------- 1) ShopKo Portfolio CGM and BCRE 1 Retail, Industrial, Office Various Various $200,000,000 2) Olen Pointe Brea Office Park CGM 1 Office Brea CA 133,000,000 3) Reston Executive Center CGM 1 Office Reston VA 93,000,000 4) Reckson II Office Portfolio CGM 1 Office Various NY, NJ 72,000,000 5) Great Wolf Resorts Portfolio CGM 1 Hospitality Various OH, WI 63,000,000 6) Emerald Isle Senior Apartments PNC 2 Multifamily Placentia CA 55,000,000 7) 20 North Orange CGM 1 Office Orlando FL 42,695,000 8) Kratsa Portfolio CGM 1 Hospitality Various PA 38,270,000 9) GT Portfolio CGM 1 Office, Industrial Various OK 38,000,000 10) Flower Hill Promenade PNC 1 Retail Del Mar CA 36,500,000 ------------ TOTAL/WTD. AVG. $771,465,000 ================================================================================================================================ -------------------------------------------------------------------------------------------------------------------------------- CUT-OFF DATE % OF % OF % OF CUT-OFF PRINCIPAL INITIAL INITIAL INITIAL DATE BALANCE MORTGAGE LOAN LOAN STATED LOAN-TO- PER POOL GROUP 1 GROUP 2 REMAINING U/W NCF VALUE LOAN NAME / PROPERTY NAME SF/UNIT BALANCE BALANCE BALANCE TERM (MO.) DSCR RATIO -------------------------------------------------------------------------------------------------------------------------------- 1) ShopKo Portfolio $ 50(1) 8.8% 10.6% 120 1.51x(1) 76.39%(1) 2) Olen Pointe Brea Office Park 209 5.9 7.1 118 1.20 70.74 3) Reston Executive Center 191 4.1 5.0 79 1.22 72.66 4) Reckson II Office Portfolio 79 3.2 3.8 115 2.26 49.52 5) Great Wolf Resorts Portfolio 108,621 2.8 3.4 81 1.74 52.28 6) Emerald Isle Senior Apartments 130,332 2.4 14.3 109 1.23 69.18 7) 20 North Orange 158 1.9 2.3 112 1.20 74.64 8) Kratsa Portfolio 82,657 1.7 2.0 120 1.31 74.53 9) GT Portfolio 44 1.7 2.0 115 1.21 79.90 10) Flower Hill Promenade 346 1.6 1.9 120 1.24 75.09 ----- TOTAL/WTD. AVG. 34.1% 110 1.44X 69.90% ================================================================================================================================ (1) Calculated based on the debt service or unpaid balance, as applicable, as of the cut-off date for the entire ShopKo Portfolio Loan Combination. B-1 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- [6 PHOTOS OMITTED] B-2 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- [MAP OMITTED] B-3 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLERS(1) CGM (50%) and BCRE (50%) CUT-OFF DATE PRINCIPAL BALANCE(1) $200,000,000 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 8.8% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Acquisition SPONSOR Spirit Finance Corporation OWNERSHIP INTEREST Fee Simple, Leasehold MORTGAGE RATE 6.5875% MATURITY DATE June 5, 2016 AMORTIZATION TYPE Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 120 / 360 LOCKBOX In-Place Hard UP-FRONT RESERVES TAX / INSURANCE No / No BURLINGTON RESERVE(2) $1,790,000 ONGOING MONTHLY RESERVES(3) TAX / INSURANCE Springing REPLACEMENT Springing GROUND RENT Springing ADDITIONAL FINANCING(1)(4) Yes LOAN COMBINATION(1) -------------- CUT-OFF DATE PRINCIPAL BALANCE $545,655,010 CUT-OFF DATE PRINCIPAL BALANCE / SF(5) $50 CUT-OFF DATE LTV RATIO(5) 76.39% MATURITY DATE LTV RATIO(5) 65.89% UW NCF DSCR(5) 1.51x -------------------------------------------------------------------------------- (1) The total financing amount of the ShopKo Portfolio Properties is $545,655,010 (the "ShopKo Portfolio Loan Combination") evidenced by six pari passu notes. The ShopKo Portfolio Loan Combination was co-originated by Citigroup Global Markets Realty Corp. and Barclays Capital Real Estate Inc. Two $100,000,000 pari passu notes, totaling $200,000,000, which evidence the ShopKo Portfolio Loan, are included in the trust fund. The remaining four pari passu companion notes totaling $345,655,010 are not included in this trust fund. (2) See "--Burlington Reserve" below. (3) Reserve deposits for tax, insurance, replacement reserve and ground rent will be springing in the event of default or failure of the EBITDAR test. In the event the Tenant's ratio of EBITDAR to interest and operating lease expenses drops below (i) 1.15x lender will begin escrowing reserves on a monthly basis, subject to a 90 day delay in receiving the escrow payments from the operating tenant, or (ii) 1.10x lender will sweep 50% of the excess cash flow, or (iii) 1.00x lender will sweep 100% of the excess cash flow. (4) See "--Additional Financing" below. (5) The Cut-off Date Principal Balance/SF, Cut-off Date LTV Ratio, Maturity Date LTV Ratio and U/W NCF DSCR used throughout this free writing prospectus were calculated based upon the aggregate indebtedness of the entire Shopko Portfolio Loan Combination. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 112 LOCATION Various PROPERTY TYPE Various SIZE (SF) 10,974,960 OCCUPANCY % AS OF MAY 31, 2006 100.0% YEAR BUILT / YEAR RENOVATED Various APPRAISED VALUE $714,325,000 PROPERTY MANAGEMENT NAP UW ECONOMIC OCCUPANCY % 97.0% UW REVENUES $64,440,146 UW EXPENSES $ 322,201 UW NET OPERATING INCOME (NOI) $64,117,945 UW NET CASH FLOW (NCF) $63,020,449 -------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------------- SHOPKO PORTFOLIO TENANT SUMMARY DATE OF RATINGS NET RENTABLE % OF NET ACTUAL % OF ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) RENTABLE AREA RENT PSF RENT RENT EXPIRATION ---------------------------------------------------------------------------------------------------------------------------------- ShopKo Stores, Inc. NR/NR/NR 10,974,960 100.0% $ 6.05 $66,433,140 100.0% 05/31/26 ---------------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. B-4 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------ SHOPKO PORTFOLIO CUT-OFF DATE PROPERTY PROPERTY ALLOCATED PROPERTY NAME TYPE LOCATION TRUST BALANCE ------------------------------------------------------------------------------------ 10808 South 132nd Street Industrial Omaha, NE $5,235,494 700 Pilgrim Way Office Green Bay, WI $5,179,498 1717 Lawrence Drive Industrial De Pere, WI $3,863,625 301 Bay Park Square Retail Ashwaubenon, WI $3,230,886 55 Lake Boulevard Retail Redding, CA $2,981,711 217 West Ironwood Drive Retail Coeur D'Alene, ID $2,939,715 1001 East Gowen Road Industrial Boise, ID $2,925,716 801 West Central Entrance (Highway 53) Retail Duluth, MN $2,799,728 4161 Second Street South (Highway 23) Retail Saint Cloud, MN $2,687,739 7401 Mineral Point Road Retail Madison, WI $2,528,155 1000 West Northland Avenue Retail Appleton, WI $2,502,957 2201 Zeier Road Retail Madison, WI $2,407,766 1850 Madison Avenue Retail Mankato, MN $2,365,770 2820 Highway 63 South Retail Rochester , MN $2,365,770 3708 Highway 63 North Retail Rochester, MN $2,365,770 3200 Broadway Street Retail Quincy, IL $2,357,372 2430 East Mason Street Retail Green Bay, WI $2,351,772 867 North Columbia Center Boulevard Retail Kennewick, WA $2,323,775 14445 West Center Road Retail Omaha, NE $2,267,780 5646 North 90th Street Retail Omaha, NE $2,267,780 616 West Johnson Street Retail Fond du Lac, WI $2,267,780 1150 West Washington Street Retail Marquette, MI $2,264,980 1601 West 41st Street Retail Sioux Falls, SD $2,239,783 1845 Haines Avenue Retail Rapid City, SD $2,141,792 699 Green Bay Road Retail Neenah, WI $2,099,796 955 West Clairemont Avenue Retail Eau Claire, WI $2,099,796 1100 East Riverview Expressway Retail Wisconsin Rapids, WI $2,071,799 2510 South Reserve Street Retail Missoula, MT $2,029,803 1300 Koeller Street Retail Oshkosh, WI $2,007,405 800 East Maes Street Retail Kimberly, WI $1,999,006 North 9520 Newport Highway Retail Spokane, WA $1,959,810 4801 Washington Avenue Retail Racine, WI $1,943,012 4515 South Regal Street Retail Spokane, WA $1,937,412 1306 North Central Avenue Retail Marshfield, WI $1,903,815 2500 US Highway 14 Retail Janesville, WI $1,903,815 1209 18th Avenue Northwest Retail Austin, MN $1,889,817 501 Highway 10 Southeast Retail Saint Cloud, MN $1,882,817 1400 Big Thunder Boulevard Retail Belvidere, IL $1,875,818 2101 West Broadway Retail Monona, WI $1,875,818 2208 North Webb Road Retail Grand Island, NE $1,875,818 5300 52nd Street Retail Kenosha, WA $1,875,818 905 South 24th Street West Retail Billings, MT $1,875,818 701 South Church Street Retail Watertown, WI $1,870,219 1964 West Morton Avenue Retail Jacksonville, IL $1,856,220 4200 South 27th Street Retail Lincoln, NE $1,842,221 1710 South Main Street Retail West Bend, WI $1,828,223 1578 Appleton Road Retail Menasha, WI $1,819,823 2761 Prairie Avenue Retail Beloit, WI $1,819,823 9366 State Highway 16 Retail Onalaska, WI $1,805,825 2602 Shopko Drive Retail Madison, WI $1,777,827 518 South Taylor Drive Retail Sheboygan, WI $1,777,827 1553 West 9000 South Retail West Jordan, UT $1,763,829 2290 South 1300 East Retail Salt Lake City, UT $1,763,829 405 Cottonwood Drive Retail Winona, MN $1,763,829 5801 Summit View Avenue Retail Yakima, WA $1,749,831 1900 North Main Street Retail Mitchell, SD $1,735,832 1771 Wisconsin Avenue Retail Grafton, WI $1,721,833 ------------------------------------------------------------------------------------ ----------------------------------------------------------------------------------------------------- SHOPKO PORTFOLIO YEAR OCCUPANCY % BUILT/YEAR PROPERTY (AS OF MAY APPRAISED UNDERWRITTEN PROPERTY NAME RENOVATED SIZE 31, 2006) VALUE NET CASH FLOW ----------------------------------------------------------------------------------------------------- 10808 South 132nd Street 2000/2004 535,000 100.0% $18,700,000 $1,618,703 700 Pilgrim Way 2000/NAP 218,323 100.0% $18,500,000 $1,632,487 1717 Lawrence Drive 1987/1992 494,000 100.0% $13,800,000 $1,184,632 301 Bay Park Square 1979/2003 126,658 100.0% $11,540,000 $1,019,272 55 Lake Boulevard 1989/2004 94,418 100.0% $10,650,000 $942,909 217 West Ironwood Drive 1987/2004 84,379 100.0% $10,500,000 $930,500 1001 East Gowen Road 1992/1997 347,000 100.0% $10,450,000 $899,767 801 West Central Entrance (Highway 53) 1993/NAP 119,842 100.0% $10,000,000 $882,242 4161 Second Street South (Highway 23) 1991/2004 100,803 100.0% $9,600,000 $848,377 7401 Mineral Point Road 1980/2004 99,101 100.0% $9,030,000 $797,576 1000 West Northland Avenue 1971/2004 112,794 100.0% $8,940,000 $788,159 2201 Zeier Road 1988/1994 94,120 100.0% $8,600,000 $759,623 1850 Madison Avenue 1971/1994 90,494 100.0% $8,450,000 $746,572 2820 Highway 63 South 1981/NAP 90,499 100.0% $8,450,000 $746,571 3708 Highway 63 North 1981/1992 90,499 100.0% $8,450,000 $746,571 3200 Broadway Street 1986/NAP 97,537 100.0% $8,420,000 $743,185 2430 East Mason Street 1966/2002 105,923 100.0% $8,400,000 $740,558 867 North Columbia Center Boulevard 1989/NAP 106,238 100.0% $8,300,000 $731,584 14445 West Center Road 1985/1992 90,514 100.0% $8,100,000 $715,272 5646 North 90th Street 1984/1992 90,441 100.0% $8,100,000 $715,279 616 West Johnson Street 1985/1994 102,205 100.0% $8,100,000 $714,103 1150 West Washington Street 1969/2004 124,761 100.0% $8,090,000 $710,953 1601 West 41st Street 1987/1999 90,585 100.0% $8,000,000 $706,323 1845 Haines Avenue 1988/NAP 94,106 100.0% $7,650,000 $674,673 699 Green Bay Road 1990/2003 94,225 100.0% $7,500,000 $661,247 955 West Clairemont Avenue 1978/2003 94,705 100.0% $7,500,000 $661,199 1100 East Riverview Expressway 1969/2004 100,247 100.0% $7,400,000 $651,703 2510 South Reserve Street 1987/NAP 102,327 100.0% $7,250,000 $638,081 1300 Koeller Street 1984/1992 90,464 100.0% $7,170,000 $632,114 800 East Maes Street 1979/1994 98,030 100.0% $7,140,000 $628,675 North 9520 Newport Highway 1986/NAP 94,076 100.0% $7,000,000 $616,551 4801 Washington Avenue 1979/1994 100,010 100.0% $6,940,000 $610,592 4515 South Regal Street 1995/NAP 99,279 100.0% $6,920,000 $608,877 1306 North Central Avenue 1968/2000 101,483 100.0% $6,800,000 $597,926 2500 US Highway 14 1980/1994 98,005 100.0% $6,800,000 $598,273 1209 18th Avenue Northwest 1983/1993 90,461 100.0% $6,750,000 $594,557 501 Highway 10 Southeast 1985/1993 90,414 100.0% $6,725,000 $592,326 1400 Big Thunder Boulevard 1995/NAP 77,690 100.0% $6,700,000 $591,363 2101 West Broadway 1981/1994 97,931 100.0% $6,700,000 $589,339 2208 North Webb Road 1983/1993 103,875 100.0% $6,700,000 $588,744 5300 52nd Street 1980/1994 97,961 100.0% $6,700,000 $589,336 905 South 24th Street West 1990/NAP 100,800 100.0% $6,700,000 $589,052 701 South Church Street 1972/1995 96,325 100.0% $6,680,000 $587,711 1964 West Morton Avenue 1996/NAP 101,688 100.0% $6,630,000 $582,703 4200 South 27th Street 1983/1993 86,739 100.0% $6,580,000 $579,727 1710 South Main Street 1972/1995 94,130 100.0% $6,530,000 $574,517 1578 Appleton Road 1981/1994 81,171 100.0% $6,500,000 $573,130 2761 Prairie Avenue 1978/1993 93,845 100.0% $6,500,000 $571,863 9366 State Highway 16 1989/NAP 94,413 100.0% $6,450,000 $567,335 2602 Shopko Drive 1982/1994 98,160 100.0% $6,350,000 $558,018 518 South Taylor Drive 1993/NAP 97,859 100.0% $6,350,000 $558,048 1553 West 9000 South 1988/NAP 94,230 100.0% $6,300,000 $553,940 2290 South 1300 East 1991/NAP 94,222 100.0% $6,300,000 $553,940 405 Cottonwood Drive 1986/1995 84,375 100.0% $6,300,000 $554,925 5801 Summit View Avenue 1988/NAP 94,237 100.0% $6,250,000 $549,468 1900 North Main Street 1973/NAP 71,846 100.0% $6,200,000 $547,236 1771 Wisconsin Avenue 1989/NAP 83,363 100.0% $6,150,000 $541,613 ----------------------------------------------------------------------------------------------------- B-5 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------ SHOPKO PORTFOLIO CUT-OFF DATE PROPERTY PROPERTY ALLOCATED PROPERTY NAME TYPE LOCATION TRUST BALANCE ------------------------------------------------------------------------------------ 4344 Mormon Coulee Road (State Highway 14) Retail La Crosse, WI $1,707,834 1200 Susan Drive Retail Marshall , MN $1,688,236 2677 South Prairie View Road Retail Chippewa Falls, WI $1,679,837 230 North Wisconsin Street Retail De Pere, WI $1,668,638 3415 Calumet Avenue Retail Manitowoc, WI $1,657,439 700 9th Avenue Southeast Retail Watertown, SD $1,651,840 1105 East Grand Avenue Retail Rothschild, WI $1,637,841 1200 Main Street (State Highway 10) Retail Stevens Point, WI $1,637,841 125 Main Street Retail Hutchinson, MN $1,637,841 190 South 500 West Retail West Bountiful, UT $1,637,841 500 North Highway 281 Retail Aberdeen, SD $1,595,845 301 Northwest Bypass Retail Great Falls, MT $1,581,846 3101 North Montana Avenue Retail Helena, MT $1,581,846 South 1450 Grand Avenue Retail Pullman, WA $1,581,846 500 South Carpenter Avenue Retail Kingsford, MI $1,573,448 4060 Riverdale Road Retail Riverdale, UT $1,545,450 615 South Monroe Retail Mason City, IA $1,539,851 1150 North Main Street Retail Layton, UT $1,528,652 2655 Broadway Avenue Retail Boise, ID $1,483,856 4850 West 3500 South Retail West Valley City, UT $1,478,257 1001 South Highway 15 (State Street) Retail Fairmont, MN $1,455,859 1450 East Geneva Street Retail Delavan, WI $1,455,859 601 Galvin Road South Retail Bellevue, NE $1,455,859 1018 Washington Boulevard Retail Ogden, UT $1,433,461 1777 Paulson Road Retail River Falls, WI $1,427,862 405 West 8th Street Retail Monroe, WI $1,413,863 2610 North Bridge Avenue Retail Albert Lea, MN $1,399,864 2005 Krenzien Drive Retail Norfolk, NE $1,385,865 510 East Philip Avenue Retail North Platte, NE $1,377,466 2530 First Avenue North Retail Escanaba, MI $1,366,267 1755 North Humiston Avenue Retail Worthington, MN $1,357,868 2100 Caldwell Boulevard Retail Nampa, ID $1,355,069 900 West Memorial Drive Retail Houghton, MI $1,301,874 2741 Roosevelt Street Retail Marinette, WI $1,265,477 2266 North University Parkway Retail Provo, UT $1,262,678 1649 Pole Line Road East Retail Twin Falls, ID $1,259,878 320 County Road O Retail Rice Lake, WI $1,170,286 4215 Yellowstone Highway Retail Chubbuck, ID $1,145,089 800 East 17th Street Retail Idaho Falls, ID $1,139,490 1350 North Galena Avenue Retail Dixon, IL $1,091,894 1600 Rose Street Retail Walla Walla , WA $1,063,897 2530 Rudkin Road* Retail Union Gap, WA $1,021,901 555 West South Street Retail Freeport, IL $1,021,901 955 North Main Street Retail Spanish Fork, UT $1,010,702 1341 North Main Street* Retail Logan, UT $979,905 747 South Main Street Retail Brigham City, UT $979,905 1425 Janesville Avenue Retail Fort Atkinson, WI $949,108 2120 Thain Grade* Retail Lewiston, ID $867,916 3705 Monroe Road Retail Ledgeview, WI $839,919 2585 Lineville Road Retail Howard, WI $811,921 1190 North 6th Street Retail Monmouth, IL $753,127 1450 West Main Avenue Industrial De Pere, WI $649,537 East 13414 Sprague Avenue* Retail Spokane Valley, WA $615,940 313 North Roosevelt Avenue* Retail Burlington, IA $501,151 1011 North Wisconsin Street Retail Port Washington, WI $447,957 ------------ $200,000,000 ============ ------------------------------------------------------------------------------------ ----------------------------------------------------------------------------------------------------- SHOPKO PORTFOLIO YEAR OCCUPANCY % BUILT/YEAR PROPERTY (AS OF MAY APPRAISED UNDERWRITTEN PROPERTY NAME RENOVATED SIZE 31, 2006) VALUE NET CASH FLOW ----------------------------------------------------------------------------------------------------- 4344 Mormon Coulee Road (State Highway 14) 1978/1992 88,161 100.0% $6,100,000 $536,662 1200 Susan Drive 1972/NAP 71,847 100.0% $6,000,000 $532,034 2677 South Prairie View Road 1982/1993 91,012 100.0% $6,000,000 $527,435 230 North Wisconsin Street 1967/2002 65,459 100.0% $5,960,000 $526,413 3415 Calumet Avenue 1977/1995 87,954 100.0% $5,920,000 $520,587 700 9th Avenue Southeast 1985/NAP 66,745 100.0% $5,900,000 $520,919 1105 East Grand Avenue 1977/1995 88,030 100.0% $5,850,000 $514,319 1200 Main Street (State Highway 10) 1985/NAP 90,334 100.0% $5,850,000 $514,089 125 Main Street 1991/NAP 71,806 100.0% $5,850,000 $515,942 190 South 500 West 1991/NAP 100,761 100.0% $5,850,000 $513,046 500 North Highway 281 1984/NAP 66,735 100.0% $5,700,000 $503,036 301 Northwest Bypass 1985/NAP 90,505 100.0% $5,650,000 $496,187 3101 North Montana Avenue 1992/NAP 116,992 100.0% $5,650,000 $493,539 South 1450 Grand Avenue 1996/NAP 77,559 100.0% $5,650,000 $497,482 500 South Carpenter Avenue 1970/NAP 94,250 100.0% $5,620,000 $493,130 4060 Riverdale Road 1990/NAP 94,248 100.0% $5,520,000 $484,188 615 South Monroe 1985/NAP 90,430 100.0% $5,500,000 $482,782 1150 North Main Street 1988/NAP 94,013 100.0% $5,460,000 $478,846 2655 Broadway Avenue 1989/NAP 100,843 100.0% $5,300,000 $463,856 4850 West 3500 South 1989/NAP 94,336 100.0% $5,280,000 $462,718 1001 South Highway 15 (State Street) 1984/1993 66,781 100.0% $5,200,000 $458,320 1450 East Geneva Street 1995/NAP 75,844 100.0% $5,200,000 $457,413 601 Galvin Road South 1984/1992 67,256 100.0% $5,200,000 $458,272 1018 Washington Boulevard 1988/NAP 94,230 100.0% $5,120,000 $448,421 1777 Paulson Road 1994/NAP 75,775 100.0% $5,100,000 $448,478 405 West 8th Street 1994/NAP 73,956 100.0% $5,050,000 $444,189 2610 North Bridge Avenue 1985/1993 66,784 100.0% $5,000,000 $440,435 2005 Krenzien Drive 1984/1994 66,827 100.0% $4,950,000 $435,959 510 East Philip Avenue 1985/1993 70,118 100.0% $4,920,000 $432,948 2530 First Avenue North 1971/NAP 83,179 100.0% $4,880,000 $428,065 1755 North Humiston Avenue 1984/1993 66,713 100.0% $4,850,000 $427,029 2100 Caldwell Boulevard 1986/NAP 90,526 100.0% $4,840,000 $423,753 900 West Memorial Drive 1994/NAP 73,956 100.0% $4,650,000 $408,420 2741 Roosevelt Street 1990/NAP 83,180 100.0% $4,520,000 $395,872 2266 North University Parkway 1988/NAP 94,042 100.0% $4,510,000 $393,892 1649 Pole Line Road East 1986/NAP 94,068 100.0% $4,500,000 $392,995 320 County Road O 1995/NAP 75,844 100.0% $4,180,000 $366,202 4215 Yellowstone Highway 1986/NAP 90,430 100.0% $4,090,000 $356,696 800 East 17th Street 1986/NAP 90,510 100.0% $4,070,000 $354,899 1350 North Galena Avenue 1993/NAP 71,839 100.0% $3,900,000 $341,564 1600 Rose Street 1989/NAP 83,211 100.0% $3,800,000 $331,485 2530 Rudkin Road* 1989/NAP 94,136 100.0% $3,650,000 $378,094 555 West South Street 1994/NAP 75,844 100.0% $3,650,000 $318,808 955 North Main Street 1991/NAP 71,345 100.0% $3,610,000 $315,681 1341 North Main Street* 1989/NAP 94,225 100.0% $3,500,000 $362,160 747 South Main Street 1990/NAP 71,340 100.0% $3,500,000 $305,845 1425 Janesville Avenue 1984/1995 75,063 100.0% $3,390,000 $295,636 2120 Thain Grade* 1987/NAP 94,091 100.0% $3,100,000 $319,707 3705 Monroe Road 2005/NAP 15,060 100.0% $3,000,000 $266,762 2585 Lineville Road 2005/NAP 14,265 100.0% $2,900,000 $257,899 1190 North 6th Street 1971/NAP 60,985 100.0% $2,690,000 $234,448 1450 West Main Avenue 2000/NAP 28,953 100.0% $2,320,000 $204,565 East 13414 Sprague Avenue* 1987/NAP 90,590 100.0% $2,200,000 $224,507 313 North Roosevelt Avenue* 1985/NAP 80,327 100.0% $1,790,000 $182,005 1011 North Wisconsin Street 1982/NAP 12,821 100.0% $1,600,000 $141,794 ---------- ------------ ----------- 10,974,960 100.0% $714,325,000 $63,020,449 ========== ============ =========== ----------------------------------------------------------------------------------------------------- (*) Leasehold interest only. B-6 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- o THE LOAN. The subject mortgage loan (the "ShopKo Portfolio Loan") is secured by a first mortgage encumbering 107 anchored retail centers (102 of which are fee simple and five of which are leasehold interest), four industrial buildings and one office building, (collectively, the "ShopKo Portfolio Properties"), located throughout the United States. The ShopKo Portfolio Loan represents approximately 8.8% of the initial mortgage pool balance. The ShopKo Portfolio Loan was originated on May 31, 2006. The ShopKo Portfolio Loan is evidenced by two pari passu promissory notes, one in the unpaid principal amount of $100,000,000 currently held by Citigroup Global Markets Realty Corp. and one in the unpaid principal amount of $100,000,000 currently held by Barclays Capital Real Estate Inc. The ShopKo Portfolio Loan constitutes part of an aggregate debt of $545,655,010, evidenced by six mortgage notes, together referred to as the ShopKo Portfolio Loan Combination, that are all obligations of related borrowers and entitled to payments of interest and principal on a pro rata and pari passu basis. Four ShopKo Portfolio mortgage notes will not be included in the trust fund, and the debt evidenced by each such note is referred to as a "ShopKo Portfolio Non-Trust Loan". It is expected that each ShopKo Portfolio Non-Trust Loan will be either transferred to third-party institutional investors and/or included in other commercial mortgage securitization transactions. However, the ShopKo Portfolio Non-Trust Loans will be serviced, along with the ShopKo Portfolio Loan, under the series 2006-C4 pooling and servicing agreement by the master servicer and the special servicer, generally as if each ShopKo Portfolio Non-Trust Loan was a mortgage loan in the trust fund. However, the special servicer for the ShopKo Portfolio Loan Combination can be replaced (without cause) by the holders of ShopKo Portfolio Non-Trust Loans representing more than 50% of the total principal balance of all the ShopKo Portfolio Non-Trust Loans. The respective rights of the ShopKo Portfolio Non-Trust Loan Noteholders and the issuing entity, as holder of the promissory notes for the ShopKo Portfolio Loan, will be governed by a co-lender agreement as described under "DESCRIPTION OF THE MORTGAGE POOL -- The Loan Combinations -- The ShopKo Portfolio Loan Combination", in the offering prospectus dated June 12, 2006, related to the offered certificates. The ShopKo Portfolio Loan has a remaining term of 120 months and matures on June 5, 2016. The ShopKo Portfolio Loan may be prepaid on or after April 5, 2016, and permits defeasance with United States government obligations beginning 2 years after the last issue date for any securities backed by any of the ShopKo Portfolio mortgage notes. However, the Shopko Portfolio Loan could be partially prepaid prior to the permitted defeasance dates as described under "Partial Releases" below. o THE BORROWER. The borrowers are Spirit SPE Portfolio 2006-1, LLC, a Delaware limited liability company, and Spirit SPE Portfolio 2006-2, LLC, a Delaware limited liability company, each a special purpose entity structured to be bankruptcy remote. The sponsor of the borrower is Spirit Finance Corporation ("Spirit"). Spirit is a self-managed and self-advised REIT. Spirit was formed to acquire single tenant, operationally essential real estate leased on a long-term basis to retail, distribution and service-oriented companies throughout the United States, including restaurants, movie theaters, automotive parts stores, drugstores, educational facilities, and other similar businesses. Spirit purchased the ShopKo Portfolio Properties through the acquisition of 100% of the stock of ShopKo Stores Inc. from SKO Group Holding Corp. o THE PROPERTY. The ShopKo Portfolio Properties consist of approximately 10,974,960 square feet of anchored retail, industrial and office buildings. The ShopKo Portfolio Properties were constructed between 1966 and 2005 and renovated between 1992 and 2004. The ShopKo Portfolio Properties are located throughout the United States. As of May 31, 2006, the occupancy rate for the ShopKo Portfolio Properties was approximately 100.0%. The sole tenant is ShopKo Stores Operating Co., LLC, a subsidiary of ShopKo Stores Inc. ("ShopKo") occupying 10,974,960 square feet, or approximately 100.0% of the net rentable area. Incorporated in 1961, ShopKo is a mass merchandise retailer that provides general merchandise and retail health services through its two retail store chains in the United States under the store names "ShopKo" and "Pamida". ShopKo operates a total of 354 stores (138 ShopKo and 216 Pamida), with more than 22,000 employees throughout the Midwest, Mountain and Pacific Northwest regions. In 1991, ShopKo executed its initial pubic offering. In December 2005, Sun Capital purchased ShopKo for $1.15 billion in a going private transaction. ShopKo is being reorganized through the separation of the operating business from its real estate assets, as well as separating the ShopKo operating business from the Pamida business. ShopKo's operations will reside in Shopko Stores Operating Co. LLC ("ShopKo Operating Tenant") and Pamida Stores Operating Co. LLC ("Pamida Operating Tenant"). At loan origination, the ShopKo Operating Tenant signed a unitary lease for the 112 properties which comprise ShopKo Portfolio Properties (the "Operating Lease"). The Operating Lease expires in May 2026. B-7 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- o LOCK BOX ACCOUNT. All tenant payments due under the applicable tenant leases are deposited into a lock box account under the lender's control and lockbox bank shall transfer debt service and reserve payments, if any, to a lender-controlled cash management account. Beginning on the date when the Operating Tenant's EBITDAR ratio is less than 1.15x and ending when the Operating Tenant's EBITDAR ratio is at least 1.15x for 90 days, all payments in the lock box account are transferred to the cash management account. After payment of monthly debt service and funding of the reserve accounts, excess cash flow in the cash management account will be swept into an account under borrower's control, except if an event of default exists. In addition, if the Operating Tenant's "EBITDAR" (which will be calculated on a quarterly basis, based upon actual earnings before interest, tax, depreciation and amortization of ShopKo over the principal indebtedness of the ShopKo Portfolio Loan Combination) falls below (i) 1.10:1.00, lender shall reserve 50% of excess cash flow and (ii) 1.00:1.00, lender shall reserve 100% of excess cash flow. o ADDITIONAL FINANCING. The sponsor of the borrower is permitted to pledge indirect interests in the borrower in connection with a line of credit or similar corporate facility secured by all, or substantially all, of the sponsor's assets. o PARTIAL RELEASES. The related loan documents permit the borrowers to obtain the release of any of the ShopKo Portfolio Properties upon satisfaction of certain conditions. The ShopKo Portfolio Loan must be partially defeased in the amount of 120% of the allocated loan amount for the released parcel as a condition to a release. The portion of the allocated loan amount for each ShopKo Portfolio Property allocable to the ShopKo Portfolio Loan is listed in the ShopKo Portfolio property table on the preceding pages. However, a purchase option exists except that with respect to the property located at 7401 Mineral Point Road, Madison, Wisconsin, and the release price will be equal to the greater of (i) 100% of the allocated loan amount or (ii) the price received by the respective borrower in connection with the exercise of the purchase option relating to such property. If such option is exercised before the permitted defeasance date, a yield maintenance payment is due instead of defeasance. o COLLATERAL SUBSTITUTION. The related loan documents permit the borrowers to obtain a release of one or more of the ShopKo Portfolio Properties provided that certain conditions in the related loan documents are satisfied, including but not limited to the criteria for substitution set forth below. The respective borrower must pay a substitution fee equal to $2,500 per property being substituted plus reimburse lender for its out-of-pocket costs and expenses, if any, in connection with any such substitution. If such borrower elects to conduct a property substitution, such that another unencumbered asset or assets (the "Substitute Asset") is substituted for a property being released, the Substitute Asset shall be a new collateral for the respective ShopKo Portfolio Loan and must comply with the provisions of the loan agreement relating to substitutions of collateral, which provisions include, but are not limited to: (1) the Substitute Asset must be made subject to the same respective Operating Lease with no decline in underwritten net cash flow, (2) the appraised value of the Substitute Asset shall be equal to or greater than the appraised value of the property being released, (3) after giving effect to the substitution of property, the debt service coverage ratio shall not decrease, (4) after properties with an aggregate square footage of at least 10% of the original square footage demised under the Operating Lease have been substituted, the respective borrower shall have obtained, among other things, confirmation from each statistical rating agency that has assigned a rating to securities sold in any secondary market transaction in which the ShopKo Portfolio Loan has been included that such Substitute Asset shall not result in the downgrade, withdrawal or qualification of any securities backed by the respective ShopKo Portfolio Loan, (5) no event of default under the related loan documents has occurred and is continuing, (6) the respective borrower shall have delivered any legal opinion customarily required by the lender in connection with such substitution (including a REMIC opinion), (7) the property being substituted for shall be released from the Operating Lease, (8) ownership of the property being substituted shall be transferred out of the respective borrower to a third party or an affiliate of borrower, (9) with respect to the Substitute Asset, the lender shall have received an engineering report and an environmental report acceptable to lender and (10) the aggregate amount of net rentable area of the properties being substituted, when combined with any assigned, sublet or substituted property permitted under the related loan documents, may not exceed 20% of the net rentable area of the Operating Lease during any twelve month period or 30% of the respective net rentable area of the Operating Lease during the term of the ShopKo Portfolio Loan. o TENANT OPERATIONS. Subject to certain criteria contained in the Operating Lease, Operating Tenant shall have the right to cease operations for business in up to ten percent (10%) of the rentable square footage of the leased premises under the Operating Lease. B-8 -------------------------------------------------------------------------------- SHOPKO PORTFOLIO -------------------------------------------------------------------------------- o BURLINGTON RESERVE. The borrower deposited with the lender $1,790,000 at closing to enable the related borrower to purchase the fee interest in the property located at 313 North Roosevelt Avenue, Burlington, Iowa. The lender shall release such funds to the related borrower upon (i) acquisition of the fee estate by the related borrower and the spreading of the applicable mortgage to such fee estate or (ii) the acquisition of the fee estate by an affiliate of the related borrower and the extension of the ground lease for a term of not less than 20 years beyond the maturity date. o CONFIDENTIALITY. Certain financial information provided by the Operating Tenant is subject to a confidentiality agreement. B-9 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- [3 PHOTOS OMITTED] B-10 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- [MAP OMITTED] B-11 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE 133,000,000.00 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 5.9% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Refinance SPONSOR Olen Properties Corp. OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.5000% MATURITY DATE April 11, 2016 AMORTIZATION TYPE Partial IO/Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 118 / 360 LOCKBOX In-Place Hard, Springing Cash Management UP-FRONT RESERVES TAX / INSURANCE Yes / No REPLACEMENT(1) $94,825 TI/LC (1) $539,725 RENT STEP-UP RESERVE(2) $1,533,215 ONGOING MONTHLY RESERVES TAX / INSURANCE(3) Yes / No ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE/SF $209 CUT-OFF DATE LTV RATIO 70.74% MATURITY DATE LTV RATIO 61.97% UW NCF DSCR 1.20x -------------------------------------------------------------------------------- (1) At closing, the Borrower posted letters of credit (each, an "LOC") equal to the annual required replacement reserve and TI/LC reserve, which are $94,825 ($0.15/SF) and $539,725 ($0.85/SF), respectively. In the month of May during each year of the term of the loan the servicer will determine whether the Borrower has expended sufficient funds on capital expenditures and leasing costs during the prior loan years by subtracting the actual amounts expended by the Borrower on capital expenditures and leasing costs during such years from the amounts the Borrower was required to spend on capital expenditures and leasing costs during such years under the loan documents. In the event the Borrower has not spent sufficient sums on capital expenditures, the Borrower must either (i) make monthly deposits into the required replacement reserve until an amount equal to the deficiency has been deposited into the required replacement reserve or (ii) increase the amount of the LOC for the required replacement reserve by an amount equal to the deficiency. In the event the Borrower has not spent sufficient sums on leasing costs, the Borrower must either (x) make monthly deposits into the TI/LC reserve until an amount equal to the deficiency has been deposited into the TI/LC reserve or (y) increase the amount of the LOC for the TI/LC reserve by an amount equal to the deficiency. So long as no default exists, funds deposited into the required replacement reserve may be used by the Borrower to pay for capital expenditures, and funds deposited into the TI/LC reserve may be used by the Borrower to pay for leasing costs. In the event the Borrower increased the amount of any LOC due to a deficiency to expend sufficient funds, the Borrower may decrease the LOC back down to the original amount after the Servicer has determined that Borrower has expended sufficient funds. (2) At closing, the Borrower posted an LOC of $1,533,215 for future rent escalations under existing leases which are scheduled to occur before April 30, 2009. The LOC will be reduced each year as the rent escalations take effect. The LOC will be reduced on the payment date in May, 2007 and in May, 2008 to $917,060 and $376,018, respectively, and the LOC will no longer be required after the payment date in May, 2009. If any lease for which a rent escalation is anticipated is terminated or if the tenant under such lease defaults, the Borrower will be required to fund a lease recovery reserve in accordance with the loan documents to be used for leasing costs incurred in reletting the space. (3) So long as the subject property is covered under a multi-location blanket policy, monthly escrows for insurance premiums have been waived subject to the receipt of timely evidence of satisfactory coverage and the loan is not in default. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 1 LOCATION Brea, CA PROPERTY TYPE Office, Suburban SIZE (SF) 636,922 OCCUPANCY % AS OF FEBRUARY 17, 2006 98.6% YEAR BUILT / YEAR RENOVATED 1989-2006 / NAP APPRAISED VALUE $188,000,000 PROPERTY MANAGEMENT Realty Services Corp. UW ECONOMIC OCCUPANCY % 95.0% UW REVENUES $15,719,004 UW EXPENSES $4,420,135 UW NET OPERATING INCOME (NOI) $11,298,869 UW NET CASH FLOW (NCF) $10,853,023 -------------------------------------------------------------------------------- B-12 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK TENANT SUMMARY ----------------------------------------------------------------------------------------------------------------------------------- % OF NET DATE OF RATINGS NET RENTABLE RENTABLE % OF ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION ----------------------------------------------------------------------------------------------------------------------------------- ResMAE Mortgage Corporation (2) NR/NR/NR 131,687 20.7% $24.00 $ 3,160,488 21.1% 07/31/17 Avery Dennison Office Products NR/A3/A- 131,411 20.6% $24.32 $ 3,196,130 21.3% 08/31/15 Ventura Foods, LLC (3) NR/NR/NR 129,924 20.4% $24.48 $ 3,180,540 21.2% 01/11/13 Hartford Fire Insurance A/A3/A- 61,544 9.7% $22.18 $ 1,365,120 9.1% 03/31/07 Colby & Partners/Dentsu NR/NR/NR 14,058 2.2% $23.83 $ 334,938 2.2% 01/31/07 Top 5 Tenants 468,624 73.6% $23.98 $11,237,216 74.9% Various Non-major Tenants 159,250 25.0% $23.65 $ 3,767,057 25.1% Various ------- ----- ------ ----------- ---- Occupied Total 627,874 98.6% $23.90 $15,004,273 100% Vacant 9,048 1.4% ------- ----- COLLATERAL TOTAL 636,922 100.0% ======= ===== ----------------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. (2) Pursuant to the ResMAE Mortgage Corporation lease, the tenant received six months of free rent. Tenant is expected to begin paying rent on August 23, 2006. (3) Ventura Foods, LLC sub-leased a portion of the first floor and the entire second floor of the building and storage space in the warehouse at lease inception. ----------------------------------------------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK LEASE ROLLOVER(1) ----------------------------------------------------------------------------------------------------------------------- Wtd. Avg. In Place # of Leases Base Rent PSF Total SF % of Total Cumulative % % of In Place Cumulative % of In Year Rolling Rolling Rolling SF Rolling of SF Rolling Rent Rolling Place Rent Rolling --------- ----------- ------------------ -------- ---------- ------------- ------------- ------------------ 2006 2 $23.68 4,279 0.7% 0.7% 0.7% 0.7% 2007 19 $22.99 101,665 16.0% 16.6% 15.6% 16.3% 2008 18 $23.66 59,782 9.4% 26.0% 9.4% 25.7% 2009 8 $23.77 31,399 4.9% 30.9% 5.0% 30.7% 2010 1 $21.60 1,732 0.3% 31.2% 0.2% 30.9% 2011 4 $23.50 27,795 4.4% 35.6% 4.4% 35.3% 2012 0 $ 0.00 0 0.0% 35.6% 0.0% 35.3% 2013 2 $24.31 138,124 21.7% 57.3% 22.4% 57.6% 2014 0 $ 0.00 0 0.0% 57.3% 0.0% 57.6% 2015 1 $24.32 131,411 20.6% 77.9% 21.3% 78.9% 2016 0 $ 0.00 0 0.0% 77.9% 0.0% 78.9% -- ------- ---- ---- TOTALS 55 496,187 77.9% 78.9% ======= ==== ==== ----------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercises an early termination option. See "Description of the Mortgage Pool--Additional Loan and Property Information--Tenant Matters" in the offering prospectus dated June 12, 2006. B-13 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- o THE LOAN. The subject mortgage loan (the "Olen Pointe Brea Office Park Loan") is secured by a first mortgage encumbering an office park complex located in Brea, California (the "Olen Pointe Brea Office Park Property"). The Olen Pointe Brea Office Park Loan has a cut-off date principal balance of $133,000,000, represents approximately 5.9% of the initial mortgage pool balance. The Olen Pointe Brea Office Park Loan was originated on March 15, 2006. The Olen Pointe Brea Office Park Loan provides for interest-only payments for the first 24 months of its term, and thereafter, fixed monthly payments of principal and interest. The Olen Pointe Brea Office Park Loan has a remaining term of 118 months and matures on April 11, 2016. The Olen Pointe Brea Office Park Loan may be prepaid on or after February 11, 2016, and permits defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWER. The borrower is Olen Pointe Brea, LLC ("Olen Pointe Brea Borrower"), a special purpose entity structured to be bankruptcy remote. The sponsor of the borrower is Olen Properties Corp. ("Olen"). Formed in 1973 by Igor Olenicoff, Olen is headquartered in Newport Beach, California. Olen develops and owns office and industrial properties. Their portfolio consists of over 40 office and industrial properties totaling over five million square feet located in Orange County and over 30 apartment communities totaling over 10,000 apartment units in Las Vegas, Florida and Arizona. Olen self-manages all investment properties and typically holds their developments for long-term value appreciation. o THE PROPERTY. The Olen Pointe Brea Office Park Property consists of six office buildings and four restaurants totaling approximately 636,922 square and is situated on approximately 29 acres. The Olen Pointe Brea Office Park Property includes approximately 2,595 parking spaces for vehicles throughout the two parking garages and surface level parking spaces. Of the six office buildings, two were constructed in 1989, three in 1998 and one in 2006. The Olen Pointe Brea Office Park Property is located in Brea, California, within the Los Angeles-Riverside-Orange County, California metropolitan statistical area. As of February 17, 2006, the occupancy rate for the Olen Pointe Brea Office Park Property was approximately 98.6%. The largest tenant is ResMAE Mortgage Corporation ("ResMAE") occupying 131,687 square feet, or approximately 20.7% of the net rentable area. ResMAE, a subsidiary of privately owned ResMAE Financial Corporation, is a specialty finance company engaged in the business of originating, selling, and servicing sub prime residential mortgage loans. ResMAE is headquartered at the subject property and has regional processing centers nationwide, including Illinois, Texas and Florida. The ResMAE lease expires in July 2017. The second largest tenant is Avery Dennison Office Products ("Avery Dennison"), occupying 131,411 square feet, or approximately 20.6% of the net rentable area. Avery Dennison is a global leader in the making of adhesive labels used on packaging, mailers, and other items. Under the Avery Dennison and Fasson brands, Avery Dennison makes papers, films, school supplies and office products. As of May 2006, Avery Dennison was rated "A3" by Moody's and "A-" by S&P. The Avery Dennison lease expires in August 2015. The third largest tenant is Ventura Foods, LLC ("Ventura Foods"), occupying 129,924 square feet, or approximately 20.4% of the net rentable area. Ventura Foods sub-leased a portion of the first floor and the entire second floor of the building and storage space in the warehouse at lease inception. Ventura Foods started in Petaluma, CA in 1919 as a butter and egg distribution business. Through expansions and acquisitions, Ventura Foods operates 12 plants throughout the country with branded and private label products such as shortenings, soups, butter blends, pan coatings, dressings, sauces and premium salad oils. Brand names include Chef's Pride, Citation, Gold-n-Sweet, Hidden Valley, Phase, Sunburst, and SunGlow. Ventura Foods is headquartered at the subject property. The Ventura Foods lease expires in January 2013. B-14 -------------------------------------------------------------------------------- OLEN POINTE BREA OFFICE PARK -------------------------------------------------------------------------------- o LOCK BOX ACCOUNT. Olen Pointe Brea Borrower is required to (i) cause the tenants at the Olen Pointe Brea Office Park Property to deposit all rents directly into a lockbox account and (ii) to cause all other revenue from the Olen Pointe Brea Office Park Property to be deposited into the lockbox account. Prior to the occurrence of a "trigger event", all funds deposited into the lockbox account are swept into the borrower's operating account on each business day. Following the occurrence and during the continuance of a trigger event with respect to the Olen Pointe Brea Office Park Loan, funds in the lockbox will be transferred daily to a cash collateral account and applied pursuant to the cash management provisions contained in the loan documents. Upon the cure of the trigger event, funds will again be swept daily from the lockbox account to the borrower's operating account. A "trigger event" means the occurrence of (i) an event of default under the Olen Pointe Brea Office Park Loan or (ii) the date on which the debt service coverage ratio for the preceding twelve (12) months is less than 1.10x. A trigger event will continue until the applicable event of default is cured or waived or until the date on which the debt service coverage ratio equals or exceeds 1.10x for two (2) consecutive quarters. o MANAGEMENT. Realty Services Corp. is the property manager for the Olen Pointe Brea Office Park Property. The property manager is affiliated with the borrower. o PARTIAL RELEASE. Olen Pointe Brea Borrower may obtain a release of a portion of the Olen Pointe Brea Office Park Property consisting of a parking lot containing 317 parking spaces (the "Development Site") from the liens of the Olen Pointe Brea Office Park Loan in connection the development of a parking garage and other improvements on the Development Site which will benefit the Olen Pointe Brea Office Park Property upon satisfying certain conditions set forth in the loan documents. B-15 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- [3 PHOTOS OMITTED] B-16 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- [MAP OMITTED] B-17 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE $93,000,000.00 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 4.1% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Refinance SPONSOR Vornado Realty L.P. OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.5720% MATURITY DATE January 9, 2013 AMORTIZATION TYPE Interest Only ORIGINAL TERM / AMORTIZATION TERM 84 / Interest Only REMAINING TERM / REMAINING AMORTIZATION TERM 79 / Interest Only LOCKBOX In-Place Hard, Springing Cash Management UP-FRONT RESERVES TAX / INSURANCE No / No TI / LC(1) $6,837,894 ONGOING MONTHLY RESERVES(2) TAX / INSURANCE Springing REPLACEMENT Springing ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE / SF $191 CUT-OFF DATE LTV RATIO 72.66% MATURITY DATE LTV RATIO 72.66% UW NCF DSCR 1.22x -------------------------------------------------------------------------------- (1) Vornado Realty L.P. guaranteed $2,400,000 ($30/SF) for upfront TI/LC costs for approximately 80,000 SF of vacant space, $2,032,700 ($20.00/SF) for costs of renewing or reletting the 101,635 SF of SAIC space, $1,395,160 ($20.00/SF) for costs of renewing or reletting the 69,758 SF of Quadramed space and $1,010,034 to cover any outstanding TI/LC obligations pertaining to the Data Systems and Solutions, Harmony Information Systems, LCM Properties, SAIC, and Systems Management Engineering spaces. These guaranties may be replaced with letters of credit. (2) Monthly escrows for real estate taxes, insurance and replacement reserves have been waived. Upon the occurrence of an event of default or if the DSCR falls below 1.15x for two (2) consecutive quarters, monthly deposits will be required and continue until such time as DSCR equals or exceeds 1.15x for two (2) consecutive quarters. In lieu of such monthly deposits, Vornado Realty L.P. may guaranty such monthly deposit amounts, so long as (i) Vornado Realty Trust maintains a long-term unsecured debt rating of at least Baa3 from Moody's and the equivalent S&P rating, (ii) the guarantor's liability under any such reserve guaranties does not exceed liability in excess of 10% of the outstanding principal balance of the Loan and (iii) the DSCR has not fallen below 1.05x for two (2) consecutive quarters. Borrower may also deliver a letter of credit in lieu of making such monthly deposits. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 1 LOCATION Reston, VA PROPERTY TYPE Office, Suburban SIZE (SF) 486,081 OCCUPANCY % AS OF DECEMBER 31, 2005 79.4% YEAR BUILT / YEAR RENOVATED 1987 & 1988 / NAP APPRAISED VALUE $128,000,000 PROPERTY MANAGEMENT Charles E. Smith Real Estate Services, L.P. UW ECONOMIC OCCUPANCY % 80.8% UW REVENUES $11,244,200 UW EXPENSES $3,897,673 UW NET OPERATING INCOME (NOI) $7,346,527 UW NET CASH FLOW (NCF) $6,406,621 -------------------------------------------------------------------------------- B-18 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER TENANT SUMMARY ------------------------------------------------------------------------------------------------------------------------------- % OF NET DATE OF RATINGS NET RENTABLE RENTABLE % OF ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION ------------------------------------------------------------------------------------------------------------------------------- SAIC(2) NR / A3 / A-- 101,635 20.9% $25.74 $ 2,615,890 24.2% 09/30/10 Quadramed Corporation NR / NR / NR 70,758 14.6% $32.98 $ 2,333,462 21.6% 07/31/11 PRA International NR / NR / NR 20,772 4.3% $25.89 $ 537,849 5.0% 12/31/14 BSI America, Inc.(3) NR / NR / NR 20,746 4.3% $25.04 $ 519,435 4.8% 5/31/14(4) Data Systems & Solutions NR / BBB+ / Baa1 13,995 2.9% $26.50 $ 370,868 3.4% 09/30/10 Top 5 Tenants 227,906 46.9% $27.98 $ 6,377,504 59.1% Various Non-major Tenants 157,902 32.5% $28.00 $ 4,421,882 40.9% Various ------- ----- ------ ----------- ----- Occupied Total 385,808 79.4% $27.99 $10,799,386 100.0% Vacant 100,273 20.6% ------- ----- COLLATERAL TOTAL 486,081 100.0% ======= ===== ------------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. (2) SAIC may terminate up to 31,420 square feet anytime after 10/01/08 upon 9 months written notice and payment of a termination fee. (3) BSI America, Inc. has a cancellation option on 06/01/09 upon 9 months written notice and payment of a termination fee. (4) 1,128 SF expires on 07/31/08. ------------------------------------------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER LEASE ROLLOVER(1) ------------------------------------------------------------------------------------------------------------------- WTD. AVG. IN PLACE CUMULATIVE % # OF LEASES BASE RENT PSF TOTAL SF % OF TOTAL CUMULATIVE % % OF IN PLACE OF IN PLACE YEAR ROLLING ROLLING ROLLING SF ROLLING OF SF ROLLING RENT ROLLING RENT ROLLING ------------------------------------------------------------------------------------------------------------------- 2006 5 $26.56 20,802 4.3% 4.3% 5.1% 5.1% 2007 7 $28.79 44,169 9.1% 13.4% 11.8% 16.9% 2008 3 $32.19 11,533 2.4% 15.7% 3.4% 20.3% 2009 1 $25.73 4,232 0.9% 16.6% 1.0% 21.3% 2010 7 $26.38 143,656 29.6% 46.2% 35.1% 56.4% 2011 3 $31.88 83,648 17.2% 63.4% 24.7% 81.1% 2012 4 $26.76 37,378 7.7% 71.1% 9.3% 90.4% 2013 0 $ 0.00 0 0.0% 71.1% 0.0% 90.4% 2014 2 $25.70 40,390 8.3% 79.4% 9.6% 100.0% 2015 0 $ 0.00 0 0.0% 79.4% 0.0% 100.0% 2016 0 $ 0.00 0 0.0% 79.4% 0.0% 100.0% -- ------- ---- ----- TOTALS 32 385,808 79.4% 100.0% ======= ==== ===== ------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercises an early termination option. See "Description of the Mortgage Pool -- Additional Loan and Property Information -- Tenant Matters" in the offering prospectus dated June 12, 2006. B-19 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- o THE LOAN. The subject mortgage loan (the "Reston Executive Center Loan") is secured by a first mortgage encumbering three office buildings located in Reston, Virginia (the "Reston Executive Center Property"). The Reston Executive Center Loan has a cut-off date principal balance of $93,000,000 and represents approximately 4.1% of the initial mortgage pool balance. The Reston Executive Center Loan was originated on December 21, 2005. The Reston Executive Center Loan provides for interest-only payments for the entire 84 months of its term. The Reston Executive Center Loan has a remaining term of 79 months and matures on January 9, 2013. The Reston Executive Center Loan may be prepaid on or after September 9, 2012, and permits defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWER. The borrower is CESC Reston Executive Center L.L.C., a special purpose entity structured to be bankruptcy remote. The sponsor of the borrower is Vornado Realty L.P., which is a subsidary of Vornado Realty Trust ("Vornado"). Vornado is a publicly traded real estate investment trust ("REIT") (NYSE:VNO) and owns and/or manages approximately 56 million square feet of real estate. As of June 2006, Vornado was rated "Baa3" by Moodys, "BBB+" by S&P and "BBB-" by Fitch. Vornado owns and operates office, retail and showroom properties with large concentrations in the New York metropolitan area and in the Washington, D.C. and Northern Virginia area. o THE PROPERTY. The Reston Executive Center Property is comprised of three office buildings, totaling approximately 486,081 square feet situated on approximately 13.8 acres. Parking is provided by two four-story garages, containing 1,399 spaces. There are a total of three elevators serving the garages. The garages have direct interior access to the Reston Executive Center Property. Surface parking for visitors is located in front of each building. The Reston Executive Center Property was constructed in 1987 and 1988. The Reston Executive Center Property is located in Reston, Virginia, within the Washington, D.C. metropolitan statistical area. As of December 31, 2005, the occupancy rate for the Reston Executive Center Property was approximately 79.4%. The largest tenant is Science Applications International Corporation ("SAIC") occupying 101,635 square feet, or approximately 20.9% of the net rentable area. Founded by Dr. J. Robert Beyster in 1969, SAIC, a Fortune 500(R) company, is engaged in a wide range of information technology and high-tech research and engineering for government, military, and private industries. It is one of the largest employee-owned research and engineering firms in the United States. Headquartered in San Diego, SAIC and its subsidiaries have more than 43,000 employees with offices in over 150 cities worldwide. As of June 2006, SAIC was rated "A3" by Moody's and "A--" by S&P. The SAIC lease expires in September 2010. SAIC may terminate up to 31,420 square feet any time after 10/01/08 upon 9 months written notice and payment of a termination fee. The second largest tenant is QuadraMed Corporation ("QuadraMed"), occupying 70,758 square feet, or approximately 14.6% of the net rentable area. Founded in 1993 and headquartered in the subject property, QuadraMed develops financial management, patient and clinical information management, compliance, and decision support software for health care professionals in hospitals throughout the United States. QuadraMed's products include applications for managing pharmacies, laboratory information, radiology information, scheduling and resources, and compliance with regulations. The QuadraMed lease expires in July 2011. The third largest tenant is PRA International ("PRA International"), occupying 20,772 square feet, or approximately 4.3% of the net rentable area. PRA International's predecessor company, Pharmaceutical Research, was founded in 1981 in Charlottesville, Virginia, as a data management contract research organization. PRA International is headquartered in the subject property and operates from six other locations in the U.S., two in Canada, as well as, South America, Europe, Africa, and Asia. The PRA International lease expires in December 2014. o LOCK BOX ACCOUNT. All tenant payments due under the applicable tenant leases are deposited into a lock box account under the lender's control, and transferred to a lender-controlled cash management account ("Clearing Account"). Cash flow in the Clearing Account will be swept daily (or on such other periodic basis as determined by borrower and cash management bank) into an account under borrower's control ("Borrower's Account") unless (i) an Event of Default Period (as herein defined) exists or (ii) the debt service coverage ratio (measured on a quarterly basis) falls below 1.15x for two consecutive calendar quarters (the occurrence of either (i) or (ii) being referred to as a "Cash Sweep Period"), in which case such cash flow will be swept daily (or on such other periodic basis as Lender shall direct) to a Lender-controlled account ("Cash Management Account") and used B-20 -------------------------------------------------------------------------------- RESTON EXECUTIVE CENTER -------------------------------------------------------------------------------- to pay debt service and to fund the reserve accounts. The Cash Sweep Period shall continue until (i) such Event of Default Period no longer exists or (ii) until the debt service coverage ratio has been at least 1.15x for two consecutive calendar quarters, as applicable. In lieu of requiring deposits into the reserve subaccounts during the Cash Sweep Period, Vornado Realty L.P. may guaranty such monthly deposit amounts and the payment of the items for which the related reserves are required, so long as (x) Vornado maintains a long-term unsecured debt rating of at least Baa3 from Moody's and the equivalent S&P rating, (y) the guarantor's liability under any such guaranties does not, when taken together with any other reserve guaranties rendered by guarantor in connection with the Reston Executive Center Loan, exceed liability in excess of 10% of the outstanding principal balance of the Reston Executive Center Loan and (z) a Low DSCR Cash Sweep Period (as hereinafter defined) does not exist. During a Cash Sweep Period, after payment of monthly debt service and funding of the reserve accounts, excess cash flow in the Cash Management Account will be swept to the Borrower's Account unless either (1) an event of default exists or (2) the debt service coverage ratio (measured on a quarterly basis) falls below 1.05x for two consecutive calendar quarters (the occurrence of either (1) or (2) being referred to as a "Low DSCR Cash Sweep Period"), in which event excess cash flow will fund an operating expense subaccount, fund the reserve accounts and pay debt service, and any excess cash flow will be held by Lender in a cash collateral subaccount of the Cash Management Account until such Event of Default Period no longer exists, or until the debt service coverage ratio has been at least 1.05x for three consecutive payment dates, as applicable, at which time the amounts held in the cash collateral subaccount and operating expense subaccount shall be released to borrower. An "Event of Default Period" means the period of time commencing upon the occurrence of an event of default and ending on the last day of the third (3rd) consecutive full calendar month after which such event of default has been cured and no other event of default has occurred. o MANAGEMENT. Charles E. Smith Real Estate Services, L.P. is the property manager for the Reston Executive Center Property. The property manager is affiliated with the borrower. B-21 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- [6 PHOTOS OMITTED] B-22 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- [MAP OMITTED] B-23 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE $72,000,000.00 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 3.2% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Acquisition SPONSOR Reckson Australia Operating Company LLC OWNERSHIP INTEREST Fee Simple, Leasehold MORTGAGE RATE 5.3225% MATURITY DATE January 9, 2016 AMORTIZATION TYPE Interest Only ORIGINAL TERM / AMORTIZATION TERM 120 / Interest Only REMAINING TERM / REMAINING AMORTIZATION TERM 115 / Interest Only LOCKBOX In-Place Hard, Springing Cash Management UP-FRONT RESERVES TAX / INSURANCE No / No ONGOING MONTHLY RESERVES TAX / INSURANCE (1) Springing REPLACEMENT (2) Springing TI / LC (3) Springing ADDITIONAL FINANCING (4) Yes CUT-OFF DATE PRINCIPAL BALANCE / SF $79 CUT-OFF DATE LTV RATIO 49.52% MATURITY DATE LTV RATIO 49.52% UW NCF DSCR(5) 2.26x LOAN SHADOW RATING FITCH / MOODY'S(6) BBB- / Baa3 -------------------------------------------------------------------------------- (1) Monthly escrows of real estate taxes and insurance have been waived, so long as the Borrower is not in default and is not in a cash management period. Upon trigger of not covering a minimum DSCR of 1.15x at a 6.75% constant; monthly payments shall be delivered to the Lender in the amount of one-twelfth of an amount that would be sufficient to pay the taxes and insurance premiums payable, or estimated by Lender to be payable, during the next ensuing twelve months. Once the cash management period ends, all accumulated tax and insurance reserves shall be returned to Borrower. (2) Monthly escrows of replacement reserves have been waived so long as the Borrower is not in default and is not in a cash management period. Upon trigger of not covering a minimum DSCR of 1.15x at a 6.75% constant; monthly payments shall be delivered to the Lender in an amount equal to $19,074. Once the cash management period ends, all amounts then in the reserve shall be returned to Borrower. (3) Monthly escrows of TI / LCs have been waived so long as the Borrower is not in default and is not in a cash management period. Upon trigger of not covering a minimum DSCR of 1.15x at a 6.75% constant; monthly payments shall be delivered to the Lender in an amount equal to $114,444.75. Once the cash management period ends, all amounts then in the reserve shall be returned to Borrower. (4) See "--Mezzanine Debt" below. (5) Loan has a DSCR of 1.81 at a loan constant of 6.75%. (6) Fitch and Moody's have confirmed that the Reckson II Office Portfolio Loan has the credit characteristics consistent with that of an investment-grade rated obligation. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 7 LOCATION Various PROPERTY TYPE Office, Suburban SIZE (SF) 915,558 OCCUPANCY % AS OF JANUARY 5, 2006 94.8% YEAR BUILT / YEAR RENOVATED 1971-1982 / Various APPRAISED VALUE $145,400,000 PROPERTY MANAGEMENT Reckson Management Group, Inc. UW ECONOMIC OCCUPANCY % 91.1% UW REVENUES $20,641,075 UW EXPENSES $10,600,658 UW NET OPERATING INCOME (NOI) $10,040,419 UW NET CASH FLOW (NCF) $8,797,140 -------------------------------------------------------------------------------- B-24 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO TENANT SUMMARY ---------------------------------------------------------------------------------------------------------------------------- % OF NET % OF DATE OF RATINGS NET RENTABLE RENTABLE ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION ---------------------------------------------------------------------------------------------------------------------------- Lockheed Martin Corp A--/Baa1/BBB+ 123,554 13.5% $ 20.80 $ 2,569,902 13.5% 09/30/08 Frequency Electronics NR/NR/NR 91,027 9.9% $ 4.39 $ 400,000 2.1% 12/31/09 Bayer Healthcare LLC(2) NR/NR/NR 81,079 8.9% $ 20.58 $ 1,668,328 8.7% 07/31/14 AC Nielsen c/o VNU Inc.(3) NR/Ba1/BBB-- 35,556 3.9% $ 19.95 $ 709,449 3.7% 03/31/15 Oracle USA Inc.(4) A--/A3/A-- 29,428 3.2% $ 27.00 $ 794,556 4.2% 11/30/07 Top 5 Tenants 360,644 39.4% $ 17.03 $ 6,142,235 32.2% Various Non-major Tenants 506,876 55.4% $ 25.56 $12,956,352 67.8% Various ------- ----- ------- ----------- ----- Occupied Total 867,520 94.8% $ 22.02 $19,098,586 100.0% Vacant 48,038 5.2% ------- ----- COLLATERAL TOTAL 915,558 100.0% ======= ===== ---------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. (2) In December 2005, Bayer Healthcare LLC exercised a lease extension option for their existing 71,340 square feet plus an additional 9,739 square feet. In return, tenant received a $500,000 incentive payment as well as one month free rent for the month of January 2006. Tenant may terminate lease with regard to 18,699 square feet on the fifth floor on 12/31/2010 with nine months notice and payment of a termination fee. (3) AC Nielson c/o VNU Inc. received five months free rent ($289,204): February, March and April 2005 and July and August 2010. Tenant may terminate all or a portion of its space on June 30, 2010 with 12 months notice and payment of a termination fee. (4) Oracle has a one time right to terminate lease after December 9, 2005, with 9 months notice and payment of a termination fee. ------------------------------------------------------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO LEASE ROLLOVER(1) ------------------------------------------------------------------------------------------------------------------------------- WTD. AVG. IN PLACE # OF LEASES BASE RENT PSF TOTAL SF % OF TOTAL CUMULATIVE % % OF IN PLACE CUMULATIVE % OF IN YEAR ROLLING ROLLING ROLLING SF ROLLING OF SF ROLLING RENT ROLLING PLACE RENT ROLLING ---- ----------- ------------------ -------- ---------- ------------- ------------- ------------------ 2006 13 $24.20 33,778 3.7% 3.7% 4.3% 4.3% 2007 19 $25.72 120,503 13.2% 16.9% 16.2% 20.5% 2008 14 $23.04 189,392 20.7% 37.5% 22.9% 43.4% 2009 15 $14.23 164,128 17.9% 55.5% 12.2% 55.6% 2010 19 $25.74 101,922 11.1% 66.6% 13.7% 69.3% 2011 11 $23.10 43,215 4.7% 71.3% 5.2% 74.6% 2012 6 $25.57 13,039 1.4% 72.7% 1.7% 76.3% 2013 2 $27.91 33,706 3.7% 76.4% 4.9% 81.2% 2014 4 $22.04 109,546 12.0% 88.4% 12.6% 93.9% 2015 3 $21.99 46,876 5.1% 93.5% 5.4% 99.3% 2016 0 $ 0.00 0 0.0% 93.5% 0.0% 99.3% --- ------- ---- ---- TOTALS 106 856,105 93.5% 99.3% ======= ==== ==== ------------------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercised an early termination option. See "Description of the Mortgage Pool -- Additional Loan and Property Information -- Tenant Matters" in the offering prospectus dated June 12, 2006. B-25 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------------- CUT-OFF DATE ALLOCATED LOAN YEAR BUILT / PROPERTY NAME PROPERTY LOCATION BALANCE RENOVATED -------------------------------------------------------------------------------------- 6800 Jericho Syosset, NY 15,550,000 1977 / NAP 55 Charles Lindbergh Boulevard Uniondale, NY 13,260,000 1971 / NAP 555 White Plains Road Tarrytown, NY 10,520,000 1972 / 2005 560 White Plains Road Tarrytown, NY 10,030,000 1980 / 2005 200 Broadhollow Road Melville, NY 7,710,000 1981 / NAP 10 Rooney Circle West Orange, NJ 7,500,000 1971 / NAP North Atrium II Syosset, NY 7,430,000 1982 / NAP ---------- TOTAL/WTD. AVG. 72,000,000 ========== -------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO ---------------------------------------------------------------------------------------------- OCCUPANCY % UNDERWRITTEN PROPERTY (AS OF APPRAISED NET PROPERTY NAME SIZE JANUARY 5, 2006) VALUE CASH FLOW ---------------------------------------------------------------------------------------------- 6800 Jericho 207,583 94.7% 34,300,000 1,931,656 55 Charles Lindbergh Boulevard 214,581 100.0% 31,800,000 1,746,142 555 White Plains Road 124,515 98.3% 18,900,000 1,159,256 560 White Plains Road 127,064 81.9% 20,200,000 1,100,438 200 Broadhollow Road 70,110 97.3% 12,500,000 992,573 10 Rooney Circle 70,716 86.3% 12,000,000 900,059 North Atrium II 100,989 99.6% 15,700,000 967,017 ------- ----------- --------- TOTAL/WTD. AVG. 915,558 94.8% 145,400,000 8,797,140 ======= =========== ========= ---------------------------------------------------------------------------------------------- B-26 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- o THE LOANS. The subject mortgage loan (the "Reckson II Office Portfolio Loan") is secured by 7 first mortgages (six of which are secured by the borrower's fee simple interest in the Reckson II Office Portfolio Properties and one is secured by the borrower's leasehold interest in a Reckson II Office Portfolio Property) that encumber a portfolio of 7 office properties located New York and New Jersey (the "Reckson II Office Portfolio Properties"). The Reckson II Office Portfolio Loan has a cut-off date principal balance of $72,000,000 and represents approximately 3.2% of the initial mortgage pool balance. Fitch and Moody's have confirmed, in accordance with their respective methodologies, that the Reckson II Office Portfolio Loan has credit characteristics consistent with obligations rated "BBB-" and "Baa3", respectively. The Reckson II Office Portfolio Loan was originated on January 6, 2006. The Reckson II Office Portfolio Loan provides for interest-only payments for the entire 120 months of its term. The Reckson II Office Portfolio Loan has a remaining term of 115 months and matures on January 9, 2016. The Reckson II Office Portfolio Loan may be prepaid on or after October 9, 2015, and permits defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWERS. The borrowers are RA 6800 Jericho Turnpike LLC, RA 6900 Jericho Turnpike LLC, RA 10 Rooney Circle Owner LLC, RA 55 CLB LLC, RA 200 Broadhollow Road Owner LLC, RA 555 White Plains Road LLC, and RA 560 White Plains Road LLC, all special purpose entities structured to be bankruptcy remote. The sponsor of the borrowers is Reckson Australia Operating Company LLC, which is 25% owned by Reckson Associates Realty Corp ("Reckson"), a publicly traded REIT (NYSE:RA). Reckson has been in the business of owning, developing, constructing, managing, and leasing office and industrial properties in the New York Tri-State Area for over 45 years. Reckson has historically emphasized the development and acquisition of its suburban office properties in large-scale office parks. Reckson's portfolio consists of approximately 90 properties in the New York Tri-State Area, encompassing approximately 18.9 million rentable square feet, all of which are managed by Reckson Management Group, Inc., an affiliate of Reckson. o THE PROPERTIES. The Reckson II Office Portfolio Properties consist of seven office properties totaling approximately 915,558 square feet. The Reckson II Office Portfolio Properties include 2,926 covered and surface parking spaces. The Reckson II Office Portfolio Properties were constructed between 1971 and 1982 and two of the properties, located at 555 White Plains Road and 560 White Plains Road, were renovated in 2005. The Reckson II Office Portfolio Properties are located in New York and New Jersey. As of January 5, 2006, the weighted average occupancy rate for the Reckson II Office Portfolio Properties was approximately 94.8%. The largest tenant is Lockheed Martin Corp ("Lockheed Martin") occupying 123,554 square feet, or approximately 13.5% of the net rentable area. Lockheed Martin is one of the world's largest defense contractors. Its business segments include Aeronautics, Electronic Systems, Space Systems, Integrated Systems & Solutions, and Information & Technology Services. As of May 2006, Lockheed Martin was rated "A--" by Fitch, "Baa1" by Moody's and "BBB+" by S&P. The Lockheed Martin lease expires in September 2008. The second largest tenant is Frequency Electronics, occupying 91,027 square feet, or approximately 9.9% of the net rentable area. Frequency Electronics produces quartz, rubidium, and cesium-based time and frequency control products, such as oscillators and amplifiers, used by commercial customers to synchronize voice, data, and video transmissions in satellite and wireless communications. The US military uses its products for navigation, communications, surveillance, and timing systems in aircraft, satellites, and missiles. The Frequency Electronics lease expires in December 2009. The third largest tenant is Bayer Healthcare LLC ("Bayer Healthcare"), occupying 81,079 square feet, or approximately 8.9% of the net rentable area. Bayer Healthcare is a health care company with products that range from drug products to innovative diagnostics technology. Bayer Healthcare has five divisions: Animal Health, Biological Products, Consumer Care, Diagnostics, and Pharmaceuticals. Bayer Healthcare has worldwide operations located in more than 120 countries and employs over 30,000 people. The Bayer Healthcare lease expires in July 2014. Bayer Healthcare may terminate lease with regard to 18,699 square feet on the fifth floor on December 31, 2010 with nine months notice and payment of a termination fee. o LOCK BOX ACCOUNT. All tenant payments due under the applicable tenant leases are deposited into a lock box account under the lender's control, and transferred to a lender-controlled clearing account. All funds on deposit in the clearing account will be swept daily into an account under borrower's control, except (i) if event of default exists, (ii) a periodically measured debt service coverage ratio falls below 1.15x for two calendar quarters or (iii) if any mezzanine loan is outstanding (items (i)--(iii) are referred B-27 -------------------------------------------------------------------------------- RECKSON II OFFICE PORTFOLIO -------------------------------------------------------------------------------- to as the "Cash Management Events"). Upon the occurrence of any Cash Management Event, all funds held in the clearing account will be swept daily to a Lender-controlled deposit account until such event of default no longer exists, or until the debt service coverage ratio has been at least 1.15x for two consecutive calendar quarters or the mezzanine loan has been satisfied. Any excess cash in the deposit account, after payment of monthly debt service and reserves, and so long as no event of default exists, will be swept on each payment date into a debt service reserve account as additional collateral until either an event of default occurs or the periodically measured debt service coverage ratio is at least 1.15x for two consecutive calendar quarters. o MEZZANINE DEBT. Future mezzanine debt is permitted subject to borrower's delivery of a ratings confirmation, intercreditor agreement and other miscellaneous documents. o PARTIAL RELEASES. The related loan documents permit the borrower, during the period beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates through October 9, 2015, to obtain the release of any of the Reckson II Office Portfolio Properties upon the sale of such property to a third entity and upon satisfaction of certain conditions, including among others, that (i) no event of default has occurred and is continuing, and (ii) the debt service coverage ratio for the remaining properties (exclusive of the release parcel), is equal or greater than the greater of (a) 95% of the Reckson II Office Portfolio Properties calculated immediately prior to the partial release and (b) 1.50x. The Reckson II Office Portfolio Loan must be partially defeased in the amount of 110% of the allocated loan amount for the released parcel as a condition to a release. The allocated loan amount for each Reckson II Office Portfolio Property is listed in the Reckson II Office Portfolio Summary below. The related loan documents permit the borrower to release a portion of the 55 Charles Lindbergh parcel consisting of 6.555 acres without prepayment penalty or defeasance upon satisfaction of certain conditions including among others that (i) no event of default has occurred and is continuing, (ii) the release parcel legally subdivided, (iii) the release parcel is not owned by any borrower and (iv) the existing ground lease is amended to reflect such release, together with a pro rata reduction in ground lease payments. o COLLATERAL SUBSTITUTION. The related loan documents permit the borrower, during the period beginning 1 year after the issue date for the series CGCMT 20006-C4 certificates through October 9, 2015, to substitute properties upon satisfaction of certain conditions, including among others, that (i) no event of default has occurred and is continuing, (ii) a minimum DSCR test, (iii) a maximum LTV test and (iv) minimum leases in place at the substituted property. o MANAGEMENT. Reckson Management Group, Inc. is the property manager for the Reckson II Office Portfolio Properties. The property manager is affiliated with the borrower. B-28 [THIS PAGE INTENTIONALLY LEFT BLANK.] B-29 -------------------------------------------------------------------------------- GREAT WOLF RESORTS PORTFOLIO ------------------------------------------------------------------------------- [6 PHOTOS OMITTED] B-30 -------------------------------------------------------------------------------- GREAT WOLF RESORTS PORTFOLIO ------------------------------------------------------------------------------- [MAP OMITTED] B-31 -------------------------------------------------------------------------------- GREAT WOLF RESORTS PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE $63,000,000 PERCENTAGE OF INITIAL MORTGAGE 2.8% POOL BALANCE NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Acquisition SPONSOR CNL Income Partners, LP, Great Wolf Resorts, Inc. OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 6.0800% MATURITY DATE March 1, 2013 AMORTIZATION TYPE Partial IO/Balloon ORIGINAL TERM / AMORTIZATION TERM 84 / 360 REMAINING TERM / REMAINING 81 / 360 AMORTIZATION TERM LOCKBOX In-Place Hard, Springing Cash Management UP-FRONT RESERVES TAX / INSURANCE Yes / Yes SEASONALITY RESERVE (1) Yes ONGOING MONTHLY RESERVES TAX/INSURANCE Yes / Yes FF&E 4% of Gross Revenues SEASONALITY RESERVE (1) Yes ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE/SF $108,621 CUT-OFF DATE LTV RATIO 52.28% MATURITY DATE LTV RATIO 49.71% UW NCF DSCR 1.74x -------------------------------------------------------------------------------- (1) At closing, a Seasonality Reserve Account was established to cover negative cash flow in the months of May, June, September, October, November and January. On each Payment Date in April, Borrower will deposit into the Seasonality Reserve Account an amount equal to 105% of the aggregated budgeted Negative Monthly Amounts for the following months of May and June (less up to a $300,000 working capital reserve maintained by the Manager, which will be pledged to Lender, but such deduction will be permitted only while the Debt Service Coverage Test is satisfied and no Event of Default exists). On each Payment Date in August the Borrower will deposit into the Seasonality Reserve Account an amount equal to 105% of the aggregated budgeted Negative Monthly Amounts for the following months of September, October, November and January (less up to a $300,000 working capital reserve maintained by the Manager, which will be pledged to Lender, but such deduction will be permitted only while the Debt Service Coverage Test is satisfied and no Event of Default exists). The agreed upon August 2006 Seasonality Amount is $1,240,704. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 2 LOCATIONSTATE Various, Various PROPERTY TYPE Hospitality, Full Service SIZE (ROOMS) PROPERTY SIZE 580 OCCUPANCY % AS OF DECEMBER 31, 2005 58.5% YEAR BUILT / YEAR RENOVATED 1997 & 2001 / Various APPRAISED VALUE $120,500,000 PROPERTY MANAGEMENT Great Lake Services, LLC UW ECONOMIC OCCUPANCY % 60.3% UW REVENUES $37,782,148 UW EXPENSES $28,304,667 UW NET OPERATING INCOME (NOI) $9,477,481 UW NET CASH FLOW (NCF) $7,966,195 -------------------------------------------------------------------------------- B-32 -------------------------------------------------------------------------------- GREAT WOLF RESORTS PORTFOLIO -------------------------------------------------------------------------------- ---------------------------------------------------------------------------------- Great Wolf Resorts Portfolio Summary ---------------------------------------------------------------------------------- Cut-Off Date Allocated Loan Year Built / Total Property Name City, State Balance Renovated Rooms ---------------------------------------------------------------------------------- Great Wolf Resort -- Sandusky, OH Sandusky, OH $34,500,000 2001 / NAP 271 Great Wolf Resort -- Wisconsin Dells Lake Delton, WI 28,500,000 1997 / 2005 309 ----------- --- TOTAL/WTD. AVG. $63,000,000 580 =========== === ---------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------- Great Wolf Resorts Portfolio Summary --------------------------------------------------------------------------------------------- Occupancy % Cut-Off Date as of Underwritten Principal December Net Underwritten Underwritten Property Name Balance/Room 31,2005 Cash Flow ADR REVPAR --------------------------------------------------------------------------------------------- Great Wolf Resort -- Sandusky, OH $127,306 58.3% $4,372,640 $219.88 $128.18 Great Wolf Resort -- Wisconsin Dells $ 92,233 58.7% 3,593,555 $187.46 $116.22 -------- ---------- TOTAL/WTD. AVG. $108,621 58.5% $7,966,195 $202.11 $121.81 ======== ========== --------------------------------------------------------------------------------------------- B-33 -------------------------------------------------------------------------------- GREAT WOLF RESORTS PORTFOLIO -------------------------------------------------------------------------------- o THE LOAN. The mortgage loan (the "Great Wolf Resorts Portfolio Loan") is secured by a first mortgage encumbering two hospitality properties located in Sandusky, Ohio and Lake Delton, Wisconsin (the "Great Wolf Resorts Portfolio Properties"), respectively. The Great Wolf Resorts Portfolio Loan has a cut-off date principal balance of $63,000,000 and represents approximately 2.8% of the initial mortgage pool balance. The Great Wolf Resorts Portfolio Loan provides for interest-only payments for the first 36 months of its term, and thereafter, fixed monthly payments of principal and interest based on a 30-year amortization schedule. The Great Wolf Resorts Portfolio Loan has a remaining term of 81 months and matures on March 1, 2013. The Great Wolf Resorts Portfolio Loan may be prepaid on or after December 1, 2012, and permits defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWER. The co-borrowers are CNL INCOME GW WI-DEL, LP and CNL INCOME GW SANDUSKY, LP, both special purpose entities structured to be bankruptcy remote. The sponsors are CNL Income Partners, LP ("CNL") and Great Wolf Resorts, Inc. ("GWR"). CNL is an unlisted REIT that acquires properties and leases them on a long-term, triple-net basis. Targeted properties include dealerships, campgrounds and manufactured housing, health clubs, parking lots, bowling alleys, golf courses, ski resorts, marinas, manufacturer's outlet centers, and vacation ownership resorts. GWR is a family entertainment resort company based in Madison, Wisconsin that specializes in developing, owning, and operating drive-to family resorts featuring indoor waterparks and other family-oriented entertainment activities. In an effort to create a stronger company, formulate a succession plan, and retain and grow staff, GWR issued, during 4th Quarter 2004, an IPO for Great Wolf Resorts, Inc. as a self-managed, indoor waterpark resort focused real estate investment trust. Currently, GWR has approximately six Great Wolf, Resorts in its portfolio and one nautical themed Blue Harbor Resort. o THE PROPERTIES. The Great Wolf Resorts Portfolio Properties consist of the Great Wolf Resort -- Sandusky, OH Property and the Great Wolf Resort -- Lake Delton, WI Property. The Great Wolf Resort -- Sandusky, OH Property contains 271 rooms and was constructed in 2001. The Great Wolf Resort -- Lake Delton, WI Property contains 309 rooms and was constructed in 1997 and expanded in 2005. o LOCK BOX ACCOUNT. All rents and other receipts are required to be deposited into a lockbox and are to be swept daily into the borrower's account. Following the occurrence and continuance of a "trigger event" with respect to the Great Wolf Resorts Portfolio Loan, funds in the lockbox will be transferred daily to a cash collateral account and applied pursuant to a cash management agreement and the loan agreement. Upon the cure of the trigger event, funds will again be swept daily from the lockbox to the borrower's account. A "trigger event" means (i) the occurrence of an event of default under the Great Wolf Resorts Portfolio Loan or (ii) commencing with the test date ending March 31, 2007 the date on which the debt service overage ratio for the preceding twelve (12) months is less than 1.25x. A trigger event will continue until the applicable event of default is cured or waived or until the date on which the debt service coverage ratio equals or exceeds 1.25x for twelve (12) consecutive months measured quarterly. o MANAGEMENT. Great Lakes Services, LLC is the property manager for the Great Wolf Resorts Portfolio Properties. The property manager is affiliated with the borrower. o PARTIAL RELEASE. The related loan documents permit the borrower to obtain the release of the Great Wolf Resort -- Sandusky, OH Property upon satisfaction of certain conditions, including among others, that (i) no event of default has occurred and is continuing, (ii) the loan-to-value does not exceed 55%, (iii) the debt service coverage ratio is not less than the greater of 1.65x or the pre-release debt service coverage. The Great Wolf Resorts Portfolio Loan must be partially defeased in the amount of 115% of the allocated loan amount for the released parcel as a condition for release. The allocated loan amount is $34,500,000 for the Great Wolf Resort -- Sandusky, OH Property. B-34 [THIS PAGE INTENTIONALLY LEFT BLANK.] B-35 -------------------------------------------------------------------------------- EMERALD ISLE SENIOR APARTMENTS ------------------------------------------------------------------------------- [3 PHOTOS OMITTED] B-36 -------------------------------------------------------------------------------- EMERALD ISLE SENIOR APARTMENTS -------------------------------------------------------------------------------- [MAP OMITTED] B-37 -------------------------------------------------------------------------------- EMERALD ISLE SENIOR APARTMENTS -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER PNC CUT-OFF DATE PRINCIPAL BALANCE $55,000,000 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 2.4% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Refinance SPONSOR Cameo Homes, James C. Gianulias, James Chris Gianulias 1998 Trust OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.190% MATURITY DATE July 1, 2015 AMORTIZATION TYPE Partial IO / Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 109 / 360 LOCKBOX None UP-FRONT RESERVES TAX(1) / INSURANCE(2) Yes / Yes ONGOING MONTHLY RESERVES TAX / INSURANCE Yes / No REPLACEMENT $5,095 ADDITIONAL FINANCING Yes(3) CUT-OFF DATE PRINCIPAL BALANCE/UNIT $130,332 CUT-OFF DATE LTV RATIO 69.18% MATURITY DATE LTV RATIO 61.49% UW NCF DSCR 1.23x -------------------------------------------------------------------------------- (1) In addition to a monthly escrow payment, the borrower was required to make a deposit at closing in the amount of $200,944.59 to a tax escrow account with the lender. (2) Monthly insurance reserve requirements were waived by the lender although the borrower was required to deposit six months of insurance premiums to lender at closing in the amount of $27,474. (3) See "--Mezzanine Debt" below. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 1 LOCATION Placentia, CA PROPERTY TYPE Multifamily, Conventional SIZE (UNITS) 422 OCCUPANCY % AS OF MAY 23, 2006 84.6% YEAR BUILT / YEAR RENOVATED 2005 / NAP APPRAISED VALUE $79,500,000 PROPERTY MANAGEMENT Mesa Management, Inc. UW ECONOMIC OCCUPANCY % 84.6% UW REVENUES $5,989,086 UW EXPENSES $1,439,181 UW NET OPERATING INCOME (NOI) $4,549,905 UW NET CASH FLOW (NCF) $4,444,405 -------------------------------------------------------------------------------- B-38 -------------------------------------------------------------------------------- EMERALD ISLE SENIOR APARTMENTS -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------ EMERALD ISLE SENIOR APARTMENTS SUMMARY ------------------------------------------------------------------------------------------------------------------ APPROXIMATE NUMBER OF APPROXIMATE UNIT NET RENTABLE % OF NET RENTABLE AVERAGE IN PLACE UNIT TYPE UNITS SIZE (SF) AREA (SF) AREA RENT ------------------------------------------------------------------------------------------------------------------ Studios 0 0 0 0.0% $ 0 1-BR 267 588 156,996 57.8% $1,046 2-BR 155 931 114,336 42.2% $1,535 3-BR 0 0 0 0.0% $ 0 4-BR+ 0 0 0 0.0% $ 0 --- --- ------- ----- ------ TOTAL/WTD. AVG. 422 643 271,332 100.0% $1,234 === === ======= ===== ====== ------------------------------------------------------------------------------------------------------------------ B-39 -------------------------------------------------------------------------------- EMERALD ISLE SENIOR APARTMENTS -------------------------------------------------------------------------------- o THE LOAN. The Emerald Isle Senior Apartments loan is secured by a first mortgage encumbering a Class A, 422-unit multifamily complex in Placentia, CA. The loan has a ten-year term, with the first three years interest only, followed by a 30-year amortization schedule. The loan funded on June 3, 2005, and has a remaining term of 109 months, a maturity date of July 1, 2015 and a cut-off date principal balance of $55,000,000. The loan was underwritten to a 69.2% LTV and a 1.23x DSCR (1.54x during the interest only period). The Emerald Isle Senior Apartments Loan represents approximately 2.4% of the initial mortgage pool balance. o THE BORROWER. The borrower is Placentia 422 L.P., a California limited partnership. Its general partner is Cameo Homes, Inc. (1%), a California corporation, and its limited partners are James C. Gianulias (69%), Victor J. Mahony (18%), David Gianulias (7%) and Gus Gianulias (5%). Cameo Homes, Inc. is 100% owned by James C. Gianulias, the sponsor of this loan. Cameo Homes, Inc., has developed approximately 5,000 single-family homes, condominiums and townhomes, and more than 3,400 multifamily and senior units. James C. Gianulias and his companies have also developed commercial properties throughout Northern, Central and Southern California. o THE PROPERTY. The property is a class A, 422-unit garden-style apartment complex located in Placentia, California. It was completed in 2005, and consists of 7 buildings situated on approximately 10.43 acres adjacent to the Alta Vista Golf & Country Club. To get zoning approval, the property is restricted to seniors over the age of 55. Property amenities include a resort style swimming pool, heated spa, putting greens, laundry facilities on every floor, a clubhouse, library, billiard room and fitness center. As of May 23, 2006, the property was 84.6% occupied, but a current leasing schedule shows additional units that have been leased but not yet occupied, thus increasing the occupancy to 91.2%. o LOCK BOX ACCOUNT. The loan documents do not require a lock box account. o MEZZANINE DEBT. Future mezzanine debt is permitted subject to borrower's delivery of a ratings confirmation, intercreditor agreement and other miscellaneous documents. o MANAGEMENT. The Property is managed by Mesa Management, Inc., which is owned by the sponsor, James C. Gianulias and Victor J. Mahony. Mesa Management is headquartered in Newport Beach, CA, and manages nearly 2,200 apartment units. B-40 [THIS PAGE INTENTIONALLY LEFT BLANK.] B-41 -------------------------------------------------------------------------------- 20 NORTH ORANGE -------------------------------------------------------------------------------- [3 PHOTOS OMITTED] B-42 -------------------------------------------------------------------------------- 20 NORTH ORANGE ------------------------------------------------------------------------------- [MAP OMITTED] B-43 -------------------------------------------------------------------------------- 20 NORTH ORANGE -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE $42,695,000.00 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 1.9% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Acquisition SPONSOR Carlton P. Cabot, Cabot Investment Properties, LLC OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.3100% MATURITY DATE October 11, 2015 AMORTIZATION TYPE Partial IO/Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 112 / 360 LOCKBOX In-Place Hard UP-FRONT RESERVES TAX / INSURANCE Yes / Yes REPLACEMENT $252,500 TI / LC (1) $3,000,000 BRIGHT HOUSE TI RESERVE (2) $614,000 ONGOING MONTHLY RESERVES TAX / INSURANCE Yes / Yes ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE / SF $158 CUT-OFF DATE LTV RATIO 74.64% MATURITY DATE LTV RATIO 67.87% UW NCF DSCR 1.20x -------------------------------------------------------------------------------- (1) At closing, Lender escrowed $3,000,000 for TI / LCs. In addition, at any time the balance of the TI / LC account falls below $500,000, Borrower shall pay to Lender a monthly amount equal to the greater of: (i) $2,500 and (ii) such amount, as determined by Lender, that causes the TI / LC reserve account to equal $500,000 within six month period. (2) At closing, Lender escrowed $614,000 for outstanding TI work required to be performed by Borrower under the terms of the Bright House Networks lease. Provided that no event of default exists under the loan, the reserve shall be disbursed to the Borrower for TI costs, in increments of no less than $2,500, upon receipt by Lender of satisfactory evidence of TI work. On 2/9/06, Lender authorized the release of $197,907 out of Bright House TI Reserve as Lender received satisfactory evidence of work. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 1 LOCATION Orlando, FL PROPERTY TYPE Office, CBD SIZE (SF) 270,097 OCCUPANCY % AS OF DECEMBER 31, 2005 90.0% YEAR BUILT / YEAR RENOVATED 1983 / 2005 APPRAISED VALUE $57,200,000 PROPERTY MANAGEMENT Continental Real Estate Companies UW ECONOMIC OCCUPANCY % 90.0% UW REVENUES $6,013,187 UW EXPENSES $2,472,088 UW NET OPERATING INCOME (NOI) $3,541,099 UW NET CASH FLOW (NCF) $3,421,694 -------------------------------------------------------------------------------- B-44 -------------------------------------------------------------------------------- 20 NORTH ORANGE -------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------------------------------------- 20 NORTH ORANGE TENANT SUMMARY --------------------------------------------------------------------------------------------------------------------------------- % OF NET % OF DATE OF RATINGS NET RENTABLE RENTABLE ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION --------------------------------------------------------------------------------------------------------------------------------- Morgan & Morgan NR / NR / NR 46,318 17.1% $19.86 $ 919,900 18.4% 03/31/15 Wachovia Bank NA AA- / Aa2 / NR 26,066 9.7% $21.22 $ 553,121 11.1% 04/17/10 Fisher, Rushmer ET AL NR / NR / NR 25,731 9.5% $23.95 $ 577,268 11.5% 12/31/11(2) Bright House Networks NR / NR / NR 25,504 9.4% $16.82 $ 429,018 8.6% 04/28/16(3) Lawyers Title Ins Corp (4) A / NR / A- 18,004 6.7% $20.20 $ 363,688 7.3% 01/18/10 Top 5 Tenants 141,623 52.4% $20.35 $2,842,994 56.8% Non-major Tenants 110,151 40.8% $19.59 $2,158,134 43.2% ------- ----- ------ ---------- ----- Occupied Total (5) 251,774 93.2% $20.02 $5,001,128 100.0% Vacant 18,323 6.8% ------- ----- COLLATERAL TOTAL 270,097 100.0% ======= ===== --------------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. (2) 120 SF of storage space is leased on a MTM basis. (3) 910 SF of storage space is leased on a MTM basis. (4) Lawyers Title Ins, Corp has a termination option on March 19, 2008 provided written notice by February 19, 2007 and payment of a termination fee. (5) CareerBuilder, LLC, Document Technologies LLC and Metcalf & Eddy were not in occupancy and paying rent as of loan origination, however, Metcalf & Eddy occupied their space on 03/01/06 and CareerBuilder, LLC and Document Technologies LLC are expected to take occupancy on 07/15/06. --------------------------------------------------------------------------------------------------------------------------------- 20 NORTH ORANGE LEASE ROLLOVER(1) --------------------------------------------------------------------------------------------------------------------------------- WTD. AVG. IN PLACE # OF LEASES BASE RENT PSF TOTAL SF % OF TOTAL CUMULATIVE % % OF IN PLACE CUMULATIVE % OF IN YEAR ROLLING ROLLING ROLLING SF ROLLING (2) OF SF ROLLING RENT ROLLING PLACE RENT ROLLING --------------------------------------------------------------------------------------------------------------------------------- 2006 3 $21.46 6,337 2.3% 2.3% 2.7% 2.7% 2007 3 $22.30 4,589 1.7% 4.0% 2.0% 4.8% 2008 10 $21.08 37,982 14.1% 18.1% 16.0% 20.8% 2009 3 $13.77 7,954 2.9% 21.1% 2.2% 23.0% 2010 9 $20.85 87,230 32.3% 53.3% 36.4% 59.3% 2011 4 $18.89 34,280 12.7% 66.0% 12.9% 72.3% 2012 0 $ 0.00 0 0.0% 66.0% 0.0% 72.3% 2013 1 $25.15 1,460 0.5% 66.6% 0.7% 73.0% 2014 0 $ 0.00 0 0.0% 66.6% 0.0% 73.0% 2015 1 $20.00 45,680 16.9% 83.5% 18.3% 91.3% 2016 1 $17.00 24,594 9.1% 92.6% 8.4% 99.6% -- ------- ---- ---- TOTALS 35 250,106 92.6% 99.6% == ======= ==== ==== --------------------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercised an early termination option. See "Description of the Mortgage Pool -- Additional Loan and Property Information -- Tenant Matters" in the offering prospectus dated June 12, 2006. (2) CareerBuilder, LLC, Document Technologies LLC and Metcalf & Eddy were not in occupancy and paying rent as of loan origination, however, Metcalf & Eddy occupied their space on 03/01/06 and CareerBuilder, LLC and Document Technologies LLC are expected to take occupancy on 07/15/06. B-45 -------------------------------------------------------------------------------- 20 NORTH ORANGE -------------------------------------------------------------------------------- o THE LOAN. The subject mortgage loan (the "20 North Orange Loan") is secured by a first mortgage encumbering an office building located in Orlando, Florida. The 20 North Orange Loan has a cut-off date principal balance of $42,695,000 and represents approximately 1.9% of the initial mortgage pool balance. The 20 North Orange Loan was originated on October 6, 2005. The 20 North Orange Loan provides for interest-only payments for the first 48 months of its term, and thereafter, fixed monthly payments of principal and interest. The 20 North Orange Loan has a remaining term of 112 months and matures on October 11, 2015. The 20 North Orange Loan may be prepaid on or after August 11, 2015, and permits defeasance with United States government obligations beginning 2 years after issue date for the series CGCMT 2006-C4 certificates. o THE BORROWER. The borrowers are, collectively, CABOT NORTH ORANGE, LLC -- CABOT NORTH ORANGE 35, LLC, thirty-five special purpose entities each structured to be bankruptcy remote and all jointly and severally liable for repayment of the 20 North Orange Loan. The borrowers hold title to the 20 North Orange Property, in fee, as tenants in common under a tenancy in common structure having Cabot North Orange LeaseCo LLC, a Delaware limited liability company as master lessee under a master lease with the borrowers. The sponsors of the 20 North Orange Loan and the tenancy in common arrangement are Carlton P. Cabot and Cabot Investment Properties, LLC ("CIP"). CIP, is a privately held real estate investment manager formed specifically to focus on credit-tenant and stabilized asset commercial real estate investments. Mr. Cabot is the CEO and President of CIP and has over 17 years of commercial real estate experience and has been involved in the acquisition of over $500 million of commercial real estate. o THE PROPERTY. The 20 North Orange Property is an approximately 270,097 square foot office building situated on approximately 2.32 acres. The 20 North Orange Property also includes an adjacent surface parking lot containing 38 spaces and an adjacent 7-story parking garage, which is attached by a covered pedestrian walkway and contains 469 spaces for a total of 507 spaces. The subject is also party to a parking lease with an adjacent parking garage owned by the city of Orlando, providing an additional 175 spaces, for a grand total of 682 spaces or approximately 2.5 per 1,000 sf. A covered pedestrian walkway connects the subject with the city of Orlando's garage. The 20 North Orange Property was constructed in 1983 and renovated in 2005. The 20 North Orange Property is located in Orlando, Florida, within the Orlando, Florida metropolitan statistical area. As of December 31, 2005, the occupancy rate for the 20 North Orange Property was approximately 90.0%. The largest tenant is Morgan & Morgan occupying 46,318 square feet, or approximately 17.1% of the net rentable area. Morgan & Morgan is one of the largest exclusively personal injury law firms in the country with offices throughout Florida. Morgan & Morgan has one of their two main offices at the subject property and has been at the subject property since 1993. The Morgan & Morgan lease expires in March 2015. The second largest tenant is Wachovia Bank NA ("Wachovia"), occupying 26,066 square feet, or approximately 9.7% of the net rentable area. Wachovia is registered as a financial holding company and a bank holding company, and provides commercial and retail banking, as well as, trust services through full-service banking offices. Wachovia has been at the subject since 1983. As of June 2006, Wachovia was rated "AA-" by Fitch, and "AA2" by Moody's. The Wachovia lease expires in April 2010. The third largest tenant is Fisher, Rushmer et al. ("Fisher, Rushmer"), occupying 25,731 square feet, or approximately 9.5% of the net rentable area. The firm has over 30 attorneys and specializes in a wide variety of commercial and personal injury practices. Fisher, Rushmer has been at the subject since 1984. The Fisher, Rushmer lease expires December 2011. o LOCK BOX ACCOUNT. All tenant payments due under the applicable tenant leases are deposited into a lock box account under the lender's control, and transferred to a lender-controlled cash management account. o MANAGEMENT. Continental Real Estate Companies is the property manager for the 20 North Orange Property. Continental Real Estate Companies was established in 1989 and is a full service real estate firm with a portfolio of more than seven million square feet of commercial space. The property manager is independent. B-46 [THIS PAGE INTENTIONALLY LEFT BLANK.] B-47 -------------------------------------------------------------------------------- KRATSA PORTFOLIO -------------------------------------------------------------------------------- [4 PHOTOS OMITTED] B-48 -------------------------------------------------------------------------------- KRATSA PORTFOLIO ------------------------------------------------------------------------------- [MAP OMITTED] B-49 -------------------------------------------------------------------------------- KRATSA PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE(1) $38,270,000 PERCENTAGE OF INITIAL MORTGAGE 1.7% POOL BALANCE NUMBER OF MORTGAGE LOANS 4 LOAN PURPOSE Refinance SPONSOR Perry W. Kratsa, William P. Kratsa, Jr., James N. Kratsa OWNERSHIP INTEREST Fee Simple, Leasehold MORTGAGE RATE 5.8800% MATURITY DATE June 11, 2016 AMORTIZATION TYPE Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 300 REMAINING TERM / REMAINING 120 / 300 AMORTIZATION TERM LOCKBOX None UP-FRONT RESERVES TAX / INSURANCE Yes / No DSCR RESERVE (1) $712,500 ONGOING MONTHLY RESERVES TAX/INSURANCE (2) Yes / No FF&E 4% of Gross Revenues ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL $82,657 BALANCE/ROOM CUT-OFF DATE LTV RATIO 74.53% MATURITY DATE LTV RATIO 57.49% UW NCF DSCR 1.31x -------------------------------------------------------------------------------- (1) At closing, lender will hold back $712,500 in a DSCR reserve that will be released upon the SpringHill Suites -- North Shore property achieving a 1.35x DSCR using the trailing-12 months net cash flow. (2) So long as the subject properties are covered under a multi-location blanket policy, monthly escrows for insurance premiums have been waived subject to the receipt of timely evidence of satisfactory coverage and the loan is not in default. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 4 LOCATION Various, PA PROPERTY TYPE Hospitality, Various SIZE (ROOMS) 463 OCCUPANCY % AS OF MARCH 31, 2006 66.9% YEAR BUILT / YEAR RENOVATED 1999 - 2005 / Various APPRAISED VALUE $51,350,000 PROPERTY MANAGEMENT Triple K Management UW ECONOMIC OCCUPANCY % 67.3% UW REVENUES $12,214,608 UW EXPENSES $7,972,431 UW NET OPERATING INCOME (NOI) $4,242,177 UW NET CASH FLOW (NCF) $3,753,593 -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------- KRATSA PORTFOLIO SUMMARY ------------------------------------------------------------------------------------------------- CUT-OFF DATE ALLOCATED LOAN YEAR BUILT / TOTAL PROPERTY NAME CITY, STATE BALANCE RENOVATED ROOMS ------------------------------------------------------------------------------------------------- SpringHill Suites -- North Shore Pittsburgh, PA $19,762,500 2005 / NAP 198 Holiday Inn Express -- South Side Pittsburgh, PA 9,487,500 2003 / NAP 125 Holiday Inn Express -- Bridgeville Bridgeville, PA 4,670,000 1999 / 2005 70 Comfort Inn -- Meadowlands Washington, PA 4,350,000 1999 / NAP 70 ----------- --- TOTAL/WTD. AVG. $38,270,000 463 =========== === ------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- CUT-OFF DATE OCCUPANCY % PRINCIPAL AS OF UNDERWRITTEN UNDERWRITTEN UNDERWRITTEN PROPERTY NAME BALANCE/ROOM MAY 31, 2006 NET CASH FLOW ADR REVPAR ------------------------------------------------------------------------------------------------------------------- SpringHill Suites -- North Shore $99,811 61.5% $1,823,804 $111.11 $68.35 Holiday Inn Express -- South Side $75,900 73.8% 995,551 $101.15 $74.66 Holiday Inn Express -- Bridgeville $66,714 68.4% 497,715 $ 87.78 $62.44 Comfort Inn -- Meadowlands $62,143 68.3% 436,523 $ 72.91 $49.76 ------- ---------- TOTAL/WTD. AVG. $82,657 66.9% $3,753,593 $ 99.12 $66.35 ======= ========== ------------------------------------------------------------------------------------------------------------------- B-50 -------------------------------------------------------------------------------- KRATSA PORTFOLIO -------------------------------------------------------------------------------- o THE LOANS. The Kratsa Portfolio mortgage loans (the "[Kratsa Portfolo Loans") are collectively secured by first mortgages encumbering four hospitality properties located in Pennsylvania (the "Kratsa Portfolio Properties"). The Kratsa Portfolio Loans represent approximately 1.7% of the initial mortgage pool balance. The Kratsa Portfolio Loans were originated on May 19, 2006 and have an aggregate principal balance as of the cut-off date of $38,270,000. Each of the Kratsa Portfolio Loans is cross-collateralized and cross-defaulted with each of the other Kratsa Portfolio Loans. The Kratsa Portfolio Loans have a remaining term of 120 months and mature on June 11, 2016. The Kratsa Portfolio Loans may be prepaid on or after April 11, 2016, and permit defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWERS. The borrowers are General Robinson Associates, L.P., Ironworks Plaza L.P., Kratsa Properties-Bridgeville, L.P. and Meadowlands Park Hotel L.P., each a special purpose entity structured to be bankruptcy remote. The sponsors are Perry W. Kratsa, James N. Kratsa and William P. Kratsa, Jr. They founded the Kratsa Properties in the late 1960's. The Kratsa Properties is a Pittsburgh-based full-service commercial real estate development and management company. Over the years, the Kratsa Properties has developed or acquired interests in a variety of commercial real estate holdings, with the core of their portfolio in hotel properties. Through the Kratsa Properties, the sponsors have developed and operated approximately 27 hotels totaling over 2,500 rooms located in the Western Pennsylvania region. o THE PROPERTIES. The Kratsa Portfolio Properties consist of the SpringHill Suites -- North Shore Property, the Holiday Inn Express -- South Side Property, the Holiday Inn Express -- Bridgeville Property and the Comfort Inn Meadowlands Property. The SpringHill Suites -- North Shore Property contains 198 rooms and was constructed in 2005. The Holiday Inn Express -- South Side Property contains 125 rooms and was constructed in 2003. The Holiday Inn Express -- Bridgeville Property contains 70 rooms and was constructed in 1999 and renovated in 2005. The Comfort Inn Meadowlands Property contains 70 rooms and was constructed in 1999. As of May 31, 2006, the weighted average occupancy rate for the Kratsa Portfolio Properties was approximately 66.9%. o LOCK BOX ACCOUNT. The loan documents do not require a lock box account. o RELEASE OF CROSS-COLLATERALIZATION. The related loan documents permit the borrowers to obtain the release of any or all of the Kratsa Portfolio Loans from the cross-collateralization upon satisfaction of certain conditions, including among others, that (i) no event of default has occurred or is occurring, (ii) the debt service coverage is not less than 1.35x for the SpringHill Suites -- North Shore Property, the Holiday Inn Express -- South Side Property and the Comfort Inn Meadowlands Property and not less than 1.40x for the Holiday Inn Express -- Bridgeville Property. o MANAGEMENT. Triple K Management, Ltd. is the property manager for the Kratsa Portfolio Properties. The property manager is affiliated with the borrowers. B-51 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- [6 PHOTOS OMITTED] B-52 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- [MAP OMITTED] B-53 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER CGM CUT-OFF DATE PRINCIPAL BALANCE $ 38,000,000.00 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 1.7% NUMBER OF MORTGAGE LOANS 8 LOAN PURPOSE Refinance SPONSOR Justin C. Gardner, Richard I. Tanenbaum OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.4400% MATURITY DATE January 11, 2016 AMORTIZATION TYPE Partial IO/Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 115 / 360 LOCKBOX None UP-FRONT RESERVES TAX / INSURANCE Yes / Yes ONGOING MONTHLY RESERVES TAX / INSURANCE Yes / Yes REPLACEMENT(1) $7,169 TI/LC(2) $11,806 ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE/SF $44 CUT-OFF DATE LTV RATIO 79.90% MATURITY DATE LTV RATIO 74.16% UW NCF DSCR 1.21x -------------------------------------------------------------------------------- (1) Commencing on the first day a regular monthly installment of principal and/or interest is due and payable and continuing on the eleventh calendar day of each month thereafter, Borrower shall deliver to Lender an amount equal to $7,169. This reserve has an aggregate cap of $256,839 for the entire portfolio, to be replenished if drawn. (2) Commencing on the first day a regular monthly installment of principal and/or interest is due and payable and continuing on the eleventh calendar day of each month thereafter, Borrower shall deliver to Lender an amount equal to $11,806. There is an aggregate cap for the overall portfolio of $850,000. Funds must be replenished if withdrawn. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 8 LOCATION Various, OK PROPERTY TYPE Various, Various SIZE (SF) 860,774 OCCUPANCY % AS OF MARCH 1, 2006 86.9% YEAR BUILT / YEAR RENOVATED Various (1997--2005) / NAP APPRAISED VALUE $47,560,000 PROPERTY MANAGEMENT Gardner Tanenbaum Group UW ECONOMIC OCCUPANCY % 81.7% UW REVENUES $4,423,678 UW EXPENSES $984,188 UW NET OPERATING INCOME (NOI) $3,439,490 UW NET CASH FLOW (NCF) $3,100,826 -------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------------------------------------- GT PORTFOLIO --------------------------------------------------------------------------------------------------------------------------------- CUT-OFF OCCUPANCY DATE % (AS OF UNDERWRITTEN LOAN YEAR BUILT / PROPERTY MARCH 1, APPRAISED NET PROPERTY NAME CITY, STATE BALANCE RENOVATED SIZE 2006) VALUE CASH FLOW --------------------------------------------------------------------------------------------------------------------------------- Sara Road 300 Yukon, OK $ 9,615,000 2005 / NAP 310,000 100.0% $10,900,000 $ 778,408 JCG III Oklahoma City, OK 7,623,000 2002 / NAP 145,000 79.3% 9,550,000 623,385 Liberty Business Park Oklahoma City, OK 6,763,000 2003 / NAP 91,644 66.1% 10,400,000 555,444 Sara Road 80 Yukon, OK 6,340,000 2004 / NAP 121,750 100.0% 6,500,000 517,387 JCG V Oklahoma City, OK 4,131,000 2001 / NAP 138,390 68.3% 6,250,000 334,998 6100 Center Broken Arrow, OK 1,510,000 1997, 1998 / NAP 32,500 76.9% 1,950,000 126,538 Beverly Terrace Oklahoma City, OK 1,297,000 2005 / NAP 14,000 100.0% 1,350,000 106,232 JCG IV Oklahoma City, OK 721,000 2001 / NAP 7,490 92.8% 660,000 58,434 ----------- ------- ----- ----------- ---------- TOTAL/WTD. AVG. $38,000,000 860,774 86.9% $47,560,000 $3,100,827 =========== ======= ===== =========== --------------------------------------------------------------------------------------------------------------------------------- B-54 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------------ GT PORTFOLIO TENANT SUMMARY ------------------------------------------------------------------------------------------------------------------------ % OF NET % OF DATE OF RATINGS NET RENTABLE RENTABLE ACTUAL LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION ------------------------------------------------------------------------------------------------------------------------ Nomaco Inc(2) NR/NR/NR 310,000 36.0% $ 2.92 $ 905,200 24.1% 07/31/15 Franchise Food Service(3) NR/NR/NR 83,750 9.7% $ 5.30 $ 443,875 11.8% 12/31/14 Bluecurrent LLC NR/NR/NR 49,500 5.8% $ 4.50 $ 222,750 5.9% 09/30/06 Carrier A+/A2/A 45,000 5.2% $ 5.58 $ 251,100 6.7% 01/31/09 Northrop Grumman(4) BBB+/Baa2/BBB+ 40,124 4.7% $12.50 $ 501,552 13.4% 10/31/10 Top 5 Tenants 528,374 61.4% $ 4.40 $2,324,477 62.0% Various Non-major Tenants 219,380 25.5% $ 6.51 $1,427,153 38.0% Various ------- ----- ------ ---------- ----- Occupied Total 747,754 86.9% $ 5.02 $3,751,630 100.0% Vacant 113,020 13.1% ------- ----- COLLATERAL TOTAL 860,774 100.0% ======= ===== ------------------------------------------------------------------------------------------------------------------------ (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. (2) Tenant has right to either; (1) require landlord to expand the building by 100,000 to 200,000 square feet during the first three years of the lease; or (2) tenant has the right to reduce their square footage leased by 100,000 square feet effective July 2010, with payment of a termination fee and notice by October 2009; or (3) tenant has the right to purchase the subject building through the end of lease term and during any renewal options, at a purchase price of 112.5% of the cost of constructing the premises and after June 2009, the purchase price declines to 110% of cost. Borrower has certified the cost of the construction to be $9,286,138. (3) Tenant has the right to terminate its lease on September 2012 with 180 days notice and payment of a termination fee. Tenant has a 30 day right of first refusal to purchase the building should owner decline an acceptable offer. Tenant also has an option to purchase the property during the last lease year with six months notice. (4) Tenant may terminate a portion or all of its space after the second lease year of the initial or any renewal term with 90 days notice and payment of unamortized tenant improvements, if (a) Tenant's contract with US Government requiring Tenant's presence in the Premises are terminated, not renewed or funding is cut or re-programmed by 50% or more; or (b) the US Government directs a relocation of contracts which equals or exceeds 50% of the contract price. ------------------------------------------------------------------------------------------------------------------------------- GT PORTFOLIO LEASE ROLLOVER (1) ------------------------------------------------------------------------------------------------------------------------------- WTD. AVG. IN PLACE # OF LEASES BASE RENT PSF TOTAL SF % OF TOTAL CUMULATIVE % % OF IN PLACE CUMULATIVE % OF IN PLACE YEAR ROLLING ROLLING ROLLING SF ROLLING OF SF ROLLING RENT ROLLING RENT ROLLING ---- ------- ------- ------- ---------- ------------- ------------ ------------ 2006 3 $ 5.31 67,000 7.8% 7.8% 9.5% 9.5% 2007 1 $ 7.70 5,000 0.6% 8.4% 1.0% 10.5% 2008 3 $ 4.22 75,500 8.8% 17.1% 8.5% 19.0% 2009 2 $ 6.65 56,095 6.5% 23.7% 9.9% 28.9% 2010 4 $ 11.30 63,909 7.4% 31.1% 19.2% 48.2% 2011 3 $ 5.48 42,000 4.9% 36.0% 6.1% 54.3% 2012 2 $ 8.15 27,000 3.1% 39.1% 5.9% 60.2% 2013 0 $ 0.00 0 0.0% 39.1% 0.0% 60.2% 2014 3 $ 5.81 101,250 11.8% 50.9% 15.7% 75.9% 2015 1 $ 2.92 310,000 36.0% 86.9% 24.1% 100.0% 2016 0 $ 0.00 0 0.0% 86.9% 0.0% 100.0% -- ------- ---- ----- TOTALS 22 747,754 86.9% 100.0% ======= ==== ===== ------------------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercised an early termination option. See "Description of the Mortgage Pool -- Additional Loan and Property Information -- Tenant Matters" in the offering prospectus dated June 12, 2006. B-55 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- o THE LOANS. The GT Portfolio mortgage loans (the "GT Portfolio Loans") are collectively secured by first mortgages encumbering six industrial properties and two office properties located in primarily Oklahoma City and Tulsa, Oklahoma (the "GT Portfolio Properties"). The GT Portfolio Loans represent approximately 1.7% of the initial mortgage pool balance. The GT Portfolio Loans were originated on December 23, 2005 and have an aggregate principal balance as of the cut-off date of $38,000,000. The GT Portfolio Loans provide for interest-only payments for the first 60 months of its term, and thereafter, fixed monthly payments of principal and interest. Each of the GT Portfolio Loans is cross-collateralized and cross-defaulted with each of the other GT Portfolio Loans. The GT Portfolio Loans have a remaining term of 115 months and mature on January 11, 2016. The GT Portfolio Loans may be prepaid on or after December 11, 2015 and each GT Portfolio Loan permits defeasance with United States government obligations beginning 2 years after the issue date for the series CGCMT 2006-C4 certificates. o THE BORROWERS. The borrowers are Sara Road/300, L.L.C., JCG, LLC, III, Liberty Business Park, LLC, Sara Road/80, L.L.C., JCG, LLC, V, 6100 Center, LLC, Beverly Terrace, LLC and JCG, LLC, IV, each a special purpose entity structured to be bankruptcy remote. The sponsors of the borrowers are Justin C. Gardner and Richard I. Tanenbaum. Mr. Gardner and Mr. Tanenbaum are the principals of the Gardner Tanenbaum Group. Located in Oklahoma City, Gardner Tanenbaum Group is a privately held company, spanning for three generations, that focuses on the development and ownership of industrial warehouses primarily in Oklahoma. It is an association of development partnerships that is owned by family members, and has successfully developed millions of square feet of commercial property throughout the southwest region of the United States. The Gardner Tanenbaum Group specializes in build-to-suit facilities by providing prospective tenants guidance from site selection to onsite construction management. Its current portfolio of properties owned and managed totals over 20 properties with approximately 2.6 million square feet. o THE PROPERTIES. The GT Portfolio Properties consist of six industrial properties and two office properties. As of March 1, 2006, the weighted average occupancy rate for the GT Portfolio Properties was approximately 86.9%. The largest tenant is Nomaco Inc ("Nomaco") occupying 310,000 square feet, or approximately 36.0% of the net rentable area. Nomaco manufactures extruded polyethylene foam used in a variety of industries including home furnishings, recreation, packaging, agriculture, marine, transportation and construction. The subject represents their fourth and newest facility and currently has approximately 70 employees. The Nomaco lease expires in July 2015. Nomaco has the right to either; (1) require landlord to expand the building by 100,000 to 200,000 square feet during the first three years of the lease; or (2) tenant has the right to reduce their square footage leased by 100,000 square feet effective July 2010, with payment of a termination fee and notice by October 2009; or (3) tenant has the right to purchase the subject building through the end of lease term and any renewal options, at a purchase price of 112.5% of the cost of constructing the premises and after June 2009, the purchase price declines to 110% of cost. Borrower has certified the cost of the construction to be $9,286,138. The second largest tenant is Franchise Food Service, occupying 83,750 square feet, or approximately 9.7% of the net rentable area. Founded in 1997, Franchise Food Service is an independent company that distributes food and foodservice-related goods for over 1,500 KFC, Pizza Hut, Taco Bell, Einstein Brothers Bagels and Manhattan Bagels restaurants in 23 states. Franchise Food Service operates distribution facilities in Wisconsin, Ohio and Oklahoma. The Franchise Food Service lease expires in December 2014. Franchise Food Service has the right to terminate its lease on September 2012 with 180 days notice and payment of a termination fee. Tenant has a 30 day right of first refusal to purchase the building should owner decline an acceptable offer. Tenant also has an option to purchase the property during the last lease year with six months notice. The third largest tenant is Bluecurrent LLC ("Bluecurrent"), occupying 49,500 square feet, or approximately 5.8% of the net rentable area. Bluecurrent operates a call center at the subject, providing value-added deployment/migration service solutions designed for the large-scale desktop outsourcing/original equipment manufacturer industry. Since its inception in 1993, Bluecurrent's portfolio has grown to include managed deployment of 10,000-to-100,000-seat desktop platforms in world-class aerospace, financial, healthcare, and manufacturing environments, covering North America and Europe. The Bluecurrent lease expires in September 2006. o LOCK BOX ACCOUNT. The loan documents do not require a lock box account. o RELEASE PARCELS. Except for releases of the Sara Road/80 and Sara Road/300 properties resulting from an exercise by B-56 -------------------------------------------------------------------------------- GT PORTFOLIO -------------------------------------------------------------------------------- Nomaco or Franchise Food Service to purchase the properties, no release may be made without also first satisfying both a DSCR Test and a LTV Test, irrespective of release prices and methodology. The first test would be a 1.20x DSCR and an 80% LTV on the remaining portfolio (the starting point). Subsequent releases could not yield a lower DSCR or higher LTV than the pre- existing levels of the portfolio prior to such releases. In the event of an exercise by Nomaco or Franchise Food Service of their option to purchase their respective properties, there is recourse to the principals in the event the purchase price is insufficient to pay in full the applicable loan (including, if applicable, any yield maintenance payment). o MANAGEMENT. The GT Portfolio Properties are self-managed. B-57 -------------------------------------------------------------------------------- FLOWER HILL PROMENADE -------------------------------------------------------------------------------- [5 PHOTOS OMITTED] B-58 -------------------------------------------------------------------------------- FLOWER HILL PROMENADE -------------------------------------------------------------------------------- [MAP OMITTED] B-59 -------------------------------------------------------------------------------- FLOWER HILL PROMENADE -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- LOAN INFORMATION -------------------------------------------------------------------------------- MORTGAGE LOAN SELLER PNC CUT-OFF DATE PRINCIPAL BALANCE $36,500,000 PERCENTAGE OF INITIAL MORTGAGE POOL BALANCE 1.6% NUMBER OF MORTGAGE LOANS 1 LOAN PURPOSE Refinance SPONSOR Jeffrey Essakow, Yehudi Gaffen OWNERSHIP INTEREST Fee Simple MORTGAGE RATE 5.8200% MATURITY DATE June 1, 2016 AMORTIZATION TYPE Partial IO / Balloon ORIGINAL TERM / AMORTIZATION TERM 120 / 360 REMAINING TERM / REMAINING AMORTIZATION TERM 120 / 360 LOCKBOX None UP-FRONT RESERVES TAX(1) / INSURANCE(2) Yes / Yes TI / LC $500,000 ONGOING MONTHLY RESERVES TAX / INSURANCE Yes / Yes REPLACEMENT $1,379 TI / LC $8,333 ADDITIONAL FINANCING No CUT-OFF DATE PRINCIPAL BALANCE / SF $346 CUT-OFF DATE LTV RATIO 75.09% MATURITY DATE LTV RATIO 67.62% UW NCF DSCR 1.24x -------------------------------------------------------------------------------- (1) In addition to a monthly escrow payment, the Borrower was required to make a deposit at closing in the amount of $115,321.65 to a tax escrow account with the Lender. (2) In addition to a monthly escrow payment, the Borrower was required to make a deposit at closing in the amount of $57,954.41 to an insurance escrow account with the Lender. -------------------------------------------------------------------------------- PROPERTY INFORMATION -------------------------------------------------------------------------------- NUMBER OF MORTGAGED PROPERTIES 1 LOCATION Del Mar, CA PROPERTY TYPE Retail, Unanchored SIZE (SF) 105,472 OCCUPANCY % AS OF APRIL 17, 2006 95.6% YEAR BUILT / YEAR RENOVATED 1976 / 2002 APPRAISED VALUE $48,610,000 PROPERTY MANAGEMENT Protea Asset Management, Inc. UW ECONOMIC OCCUPANCY % 95.6% UW REVENUES $4,451,561 UW EXPENSES $1,136,090 UW NET OPERATING INCOME (NOI) $3,315,471 UW NET CASH FLOW (NCF) $3,191,673 -------------------------------------------------------------------------------- B-60 -------------------------------------------------------------------------------- FLOWER HILL PROMENADE -------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------------------------------------- FLOWER HILL PROMENADE TENANT SUMMARY --------------------------------------------------------------------------------------------------------------------------- % OF NET % OF RATINGS NET RENTABLE RENTABLE ACTUAL DATE OF LEASE TENANT NAME FITCH/MOODY'S/S&P(1) AREA (SF) AREA RENT PSF ACTUAL RENT RENT EXPIRATION --------------------------------------------------------------------------------------------------------------------------- Ultra Star Theaters NR / NR / NR 14,000 13.3% $19.56 $ 273,840 8.8% 12/31/2007 Chevy's Mexican Rest. NR / NR / NR 9,046 8.6% $26.14 $ 236,462 7.6% 9/30/2012 Milton's Deli NR / NR / NR 6,906 6.5% $20.25 $ 139,847 4.5% 5/31/2007 The Silver Skillet NR / NR / NR 5,256 5.0% $31.44 $ 165,249 5.3% 2/28/2008 Tony Roma's NR / NR / NR 4,947 4.7% $27.95 $ 138,269 4.4% 1/31/2016 Top 5 Tenants 40,155 38.1% $23.75 $ 953,666 30.6% Non-major Tenants 60,632 57.5% $35.66 $2,162,428 69.4% Various ------- ---- ------ ---------- ----- Occupied Total 100,787 95.6% $30.92 $3,116,094 100.0% Vacant Space 4,685 4.4% ------- ---- COLLATERAL TOTAL 105,472 100% ======= ==== --------------------------------------------------------------------------------------------------------------------------- (1) Certain ratings are those of the parent whether or not the parent guarantees the lease. --------------------------------------------------------------------------------------------------------------------------- FLOWER HILL PROMENADE LEASE ROLLOVER --------------------------------------------------------------------------------------------------------------------------- WTD. AVG. IN PLACE # OF LEASES BASE RENT PSF TOTAL SF % OF TOTAL CUMULATIVE % % OF IN PLACE CUMULATIVE % OF IN YEAR ROLLING ROLLING ROLLING SF ROLLING OF SF ROLLING RENT ROLLING PLACE RENT ROLLING --------------------------------------------------------------------------------------------------------------------------- Vacant 1 $ 0.00 4,685 4.4% 4.4% 0.0% 0.0% 2006 1 $24.00 1,170 1.1% 5.6% 0.9% 0.9% 2007 10 $24.88 36,602 34.7% 40.3% 29.2% 30.1% 2008 10 $35.19 15,555 14.7% 55.0% 17.6% 47.7% 2009 4 $33.12 7,774 7.4% 62.4% 8.3% 56.0% 2010 1 $32.13 1,752 1.7% 64.0% 1.8% 57.8% 2011 6 $40.41 15,127 14.3% 78.4% 19.6% 77.4% 2012 1 $26.14 9,046 8.6% 87.0% 7.6% 85.0% 2015 2 $37.47 8,814 8.4% 95.3% 10.6% 95.6% 2016 1 $27.95 4,947 4.7% 100.0% 4.4% 100.0% -- ------- ----- ----- TOTALS 35 105,472 100.0% 100.0% ======= ===== ===== --------------------------------------------------------------------------------------------------------------------------- (1) The numbers in this chart are based on the assumption that no tenant exercised an early termination option. See "Description of the Mortgage Pool -- Additional Loan and Property Information -- Tenant Matters" in the offering prospectus dated June 12, 2006. B-61 -------------------------------------------------------------------------------- FLOWER HILL PROMENADE -------------------------------------------------------------------------------- o THE LOAN. The Flower Hill Promenade loan is secured by a first mortgage encumbering a 105,472 square foot retail center located in Del Mar, California. The loan has a ten-year term, with the first three years interest only, followed by a 30-year amortization schedule. The loan funded on May 8, 2006, and has a remaining term of 120 months and a maturity date of June 1, 2016. The loan was underwritten to a 75.1% LTV and 1.24x DSCR (1.49x during the interest only period). The Flower Hill Promenade Loan represents approximately 1.6% of the initial mortgage pool balance. o THE BORROWER. The Borrower is Protea Flower Hill Mall, LLC, a California limited liability company that has owned the property since 2002. Its managing member is FHM Asset Management, Inc. (1%), a California corporation, with the remaining membership interest being owned by 17 different investors. FHM Asset Management, Inc. is controlled by Jeffrey Essakow and Yehudi Gaffin, the sponsors of this loan. o THE PROPERTY. The Flower Hill Promenade is a 105,472 square foot retail center located in the seaside city of Del Mar, California. The property serves the upscale communities of Solana Beach, Rancho Santa Fe and Fairbanks Ranch. It was constructed in 1976 and renovated in 2002, and is situated on approximately 15.14 acres. Tenants at the property include boutique retailers, restaurants and a theatre. As of May 1, 2006, the property was 95.6% occupied by 36 tenants, with the largest tenant occupying 13.3% of the property. In addition, over 60% of the tenants have been at the property for over 10 years. The largest tenant is Ultra Star Theaters occupying a stand-alone 14,000 square feet building, or approximately 13.3% of the net rentable area. The theater has been a tenant at the subject property since 2000, and the Ultra Star Theaters lease expires in December 2007. The Ultra Star Theater includes four screens. The second largest tenant is Chevy's Mexican Restaurant, occupying 9,046 square feet, or approximately 8.6% of the net rentable area. The Chevy's Mexican Restaurant lease expires in September 2012. The third largest tenant is Milton's Deli, occupying 6,906 square feet, or approximately 6.5% of the net rentable area. The Milton's Deli lease expires in May 2007. o LOCK BOX ACCOUNT. The loan documents do not require a lockbox account. o MANAGEMENT. The Property is managed by Protea Holdings, LLC, which is owned by Jeffrey Essakow and Yehudi Gaffen. Protea Holdings manages commercial and residential properties in La Jolla, downtown San Diego and Laguna Beach. B-62
ANNEX C DECREMENT TABLES FOR CLASS A-1, CLASS A-2, CLASS A-SB, CLASS A-3, CLASS A-1A, CLASS A-M, CLASS A-J, CLASS B, CLASS C AND CLASS D CERTIFICATES [THIS PAGE INTENTIONALLY LEFT BLANK.] PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS A-1 DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 89.8 89.8 89.8 89.8 89.8 June 2008.................................. 78.1 78.1 78.1 78.1 78.1 June 2009.................................. 61.7 61.7 61.7 61.7 61.7 June 2010.................................. 39.0 39.0 39.0 39.0 39.0 June 2011 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 3.24 3.24 3.24 3.23 3.21 CLASS A-2 DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 99.9 99.8 97.9 June 2013 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 6.61 6.59 6.57 6.54 6.30 C-1 PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS A-SB DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 97.2 97.2 97.2 97.2 97.2 June 2012.................................. 79.2 79.2 79.2 79.2 79.2 June 2013.................................. 57.7 57.7 57.7 57.7 57.7 June 2014.................................. 27.4 27.4 27.4 27.4 27.4 June 2015.................................. 3.6 3.6 3.6 3.6 3.6 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 7.15 7.15 7.14 7.14 7.13 CLASS A-3 DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.62 9.61 9.60 9.58 9.43 C-2 PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS A-1A DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 99.8 99.8 99.8 99.8 99.8 June 2008.................................. 99.4 99.4 99.4 99.4 99.4 June 2009.................................. 98.8 98.8 98.8 98.8 98.8 June 2010.................................. 97.9 97.9 97.9 97.9 97.9 June 2011.................................. 89.3 89.3 89.3 89.3 89.3 June 2012.................................. 88.1 88.1 88.1 88.1 88.1 June 2013.................................. 83.2 83.2 83.2 83.2 83.2 June 2014.................................. 81.8 81.8 81.8 81.8 81.8 June 2015.................................. 80.4 79.5 78.3 76.6 67.6 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 8.78 8.77 8.76 8.75 8.60 PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS A-M DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.84 9.84 9.83 9.81 9.66 C-3 PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS A-J DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.92 9.91 9.90 9.88 9.74 CLASS B DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.96 9.96 9.96 9.96 9.79 C-4 PERCENTAGES OF INITIAL TOTAL PRINCIPAL BALANCE AT THE SPECIFIED CPRS (PREPAYMENTS LOCKED OUT THROUGH LOCK-OUT PERIOD, DEFEASANCE PERIOD AND YIELD MAINTENANCE PERIOD, THEN AT FOLLOWING CPR) CLASS C DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.96 9.96 9.96 9.96 9.79 CLASS D DISTRIBUTION DATE 0% CPR 25% CPR 50% CPR 75% CPR 100% CPR ------------------------------------------- ---------- ---------- ---------- ----------- ------------ Initial Percentage......................... 100.0% 100.0% 100.0% 100.0% 100.0% June 2007.................................. 100.0 100.0 100.0 100.0 100.0 June 2008.................................. 100.0 100.0 100.0 100.0 100.0 June 2009.................................. 100.0 100.0 100.0 100.0 100.0 June 2010.................................. 100.0 100.0 100.0 100.0 100.0 June 2011.................................. 100.0 100.0 100.0 100.0 100.0 June 2012.................................. 100.0 100.0 100.0 100.0 100.0 June 2013.................................. 100.0 100.0 100.0 100.0 100.0 June 2014.................................. 100.0 100.0 100.0 100.0 100.0 June 2015.................................. 100.0 100.0 100.0 100.0 100.0 June 2016 and thereafter................... 0.0 0.0 0.0 0.0 0.0 Weighted Average Life (in Years)........... 9.96 9.96 9.96 9.96 9.79 C-5 [THIS PAGE INTENTIONALLY LEFT BLANK.] ANNEX D FORM OF DISTRIBUTION DATE STATEMENT [THIS PAGE INTENTIONALLY LEFT BLANK.]
Annex D [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 135 S. LaSalle Street, Suite 1625 Chicago, IL 60603 USA Administrator: ABN AMRO ACCT: Analyst: Laura Kocha-Chaddha 312.904.0648 REPORTING PACKAGE TABLE OF CONTENTS Patrick Gong 714.259.6253 laura.kocha.chaddha@abnamro.com patrick.gong@abnamro.com ----------------------------------------------------------------------------------------------------------------------------------- Page(s) ------- Issue Id: CCMT06C4 Statements to Certificateholders Page 2 Closing Date: Cash Reconciliation Summary Page 3 Monthly Data File Bond Interest Reconciliation Page 4 First Payment Date: Name: CCMT06C4_200607_3.ZIP Bond Interest Reconciliation Page 5 Shortfall Summary Report Page 6 Rated Final Payment Date: Rating Information Page 7 Asset-Backed Facts ~ 15 Month Loan Status Summary Page 8 Determination Date: 11-Jul-2006 Delinquent Loan Detail Page 9 Asset-Backed Facts ~ 15 Month Loan Payoff/Loss Summary Page 10 Trust Collection Period Historical Collateral Prepayment Page 11 ----------------------- Mortgage Loan Characteristics Page 12-14 6/13/2006 - 7/11/2006 Loan Level Detail Page 15 Appraisal Reduction Detail Page 16 Specially Serviced (Part I) - Loan Detail Page 17 Specially Serviced (Part II) - Servicer Comments Page 18 Modified Loan Detail Page 19 Realized Loss Detail Page 20 Historical REO Report Page 21 Material Breaches Detail Page 22 -------------------------------------------------------------------------------- PARTIES TO THE TRANSACTION -------------------------------------------------------------------------------- Depositor: Citigroup Commercial Mortgage Securities Inc. Underwriter: Citigroup Global Markets Inc/Barclays Capital Inc./PNC Capital Markets, Inc./Deutsche Bank Securities Inc./Banc of America Securities Master Servicer: Midland Loan Services, Inc. Special Servicer: J.E. Robert Companies, Inc. Rating Agency: Moody's Investors Service, Inc./Fitch -------------------------------------------------------------------------------- INFORMATION IS AVAILABLE FOR THIS ISSUE FROM THE FOLLOWING SOURCES -------------------------------------------------------------------------------- LaSalle Web Site www.etrustee.net Servicer Web Site www.midlandls.com LaSalle Factor Line 800.246.5761 Page 1 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: ORIGINAL PRINCIPAL FACE OPENING PRINCIPAL ADJ. OR NEGATIVE CLOSING INTEREST INTEREST PASS-THROUGH CLASS VALUE (1) BALANCE PAYMENT LOSS AMORTIZATION BALANCE PAYMENT (2) ADJUSTMENT RATE ------------------------------------------------------------------------------------------------------------- CUSIP Next Rate(3) ------------------------------------------------------------------------------------------------------------- Total Total P&I Payment Notes: (1) N denotes notional balance not included in total (2) Accrued Interest Plus/Minus Interest Adjustment Minus Deferred Interest equals Interest Payment (3) Estimated. * Denotes Controlling Class Page 2 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: CASH RECONCILIATION SUMMARY -------------------------------------------------------------------------------- INTEREST SUMMARY -------------------------------------------------------------------------------- Current Scheduled Interest 0.00 Less Deferred Interest 0.00 Less PPIS Reducing Scheduled Int 0.00 Plus Gross Advance Interest 0.00 Less ASER Interest Adv Reduction 0.00 Less Other Interest Not Advanced 0.00 Less Other Adjustment 0.00 -------------------------------------------------------------------------------- Total 0.00 -------------------------------------------------------------------------------- UNSCHEDULED INTEREST: -------------------------------------------------------------------------------- Prepayment Penalties 0.00 Yield Maintenance Penalties 0.00 Other Interest Proceeds 0.00 -------------------------------------------------------------------------------- Total 0.00 -------------------------------------------------------------------------------- Less Fee Paid To Servicer 0.00 Less Fee Strips Paid by Servicer 0.00 -------------------------------------------------------------------------------- LESS FEES & EXPENSES PAID BY/TO SERVICER -------------------------------------------------------------------------------- Special Servicing Fees 0.00 Workout Fees 0.00 Liquidation Fees 0.00 Interest Due Serv on Advances 0.00 Non Recoverable Advances 0.00 Misc. Fees & Expenses 0.00 -------------------------------------------------------------------------------- Total Unscheduled Fees & Expenses 0.00 -------------------------------------------------------------------------------- Total Interest Due Trust 0.00 -------------------------------------------------------------------------------- LESS FEES & EXPENSES PAID BY/TO TRUST -------------------------------------------------------------------------------- Trustee Fee 0.00 Fee Strips 0.00 Misc. Fees 0.00 Interest Reserve Withholding 0.00 Plus Interest Reserve Deposit 0.00 -------------------------------------------------------------------------------- Total 0.00 -------------------------------------------------------------------------------- Total Interest Due Certs 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- PRINCIPAL SUMMARY -------------------------------------------------------------------------------- SCHEDULED PRINCIPAL: Current Scheduled Principal 0.00 Advanced Scheduled Principal 0.00 -------------------------------------------------------------------------------- Scheduled Principal 0.00 -------------------------------------------------------------------------------- UNSCHEDULED PRINCIPAL: Curtailments 0.00 Prepayments in Full 0.00 Liquidation Proceeds 0.00 Repurchase Proceeds 0.00 Other Principal Proceeds 0.00 -------------------------------------------------------------------------------- Total Unscheduled Principal 0.00 -------------------------------------------------------------------------------- Remittance Principal 0.00 -------------------------------------------------------------------------------- Remittance P&I Due Trust 0.00 -------------------------------------------------------------------------------- Remittance P&I Due Certs 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- POOL BALANCE SUMMARY -------------------------------------------------------------------------------- Balance Count -------------------------------------------------------------------------------- Beginning Pool 0.00 0 Scheduled Principal 0.00 0 Unscheduled Principal 0.00 0 Deferred Interest 0.00 Liquidations 0.00 0 Repurchases 0.00 0 -------------------------------------------------------------------------------- Ending Pool 0.00 0 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- NON-P&I SERVICING ADVANCE SUMMARY -------------------------------------------------------------------------------- Amount -------------------------------------------------------------------------------- Prior Outstanding 0.00 Plus Current Period 0.00 Less Recovered 0.00 Less Non Recovered 0.00 Ending Outstanding 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- SERVICING FEE SUMMARY -------------------------------------------------------------------------------- Current Servicing Fees 0.00 Plus Fees Advanced for PPIS 0.00 Less Reduction for PPIS 0.00 Plus Delinquent Servicing Fees 0.00 -------------------------------------------------------------------------------- Total Servicing Fees 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- CUMULATIVE PREPAYMENT CONSIDERATION RECEIVED -------------------------------------------------------------------------------- Prepayment Premiums 0.00 Yield Maintenance 0.00 Other Interest 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- PPIS SUMMARY -------------------------------------------------------------------------------- Gross PPIS 0.00 Reduced by PPIE 0.00 Reduced by Shortfalls in Fees 0.00 Reduced by Other Amounts 0.00 -------------------------------------------------------------------------------- PPIS Reducing Scheduled Interest 0.00 -------------------------------------------------------------------------------- PPIS Reducing Servicing Fee 0.00 -------------------------------------------------------------------------------- PPIS Due Certificate 0.00 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- ADVANCE SUMMARY (ADVANCE MADE BY SERVICER) -------------------------------------------------------------------------------- Principal Interest -------------------------------------------------------------------------------- Prior Outstanding 0.00 0.00 Plus Current Period 0.00 0.00 Less Recovered 0.00 0.00 Less Non Recovered 0.00 0.00 Ending Outstanding 0.00 0.00 -------------------------------------------------------------------------------- Page 3 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: BOND INTEREST RECONCILIATION DETAIL ------------------------------------------------------------------------------------------------------------------------------------ Current Remaining Credit Accrual Pass- Accrued Total Total Distributable Interest Period Outstanding Support ----------- Opening Through Certificate Interest Interest Certificate Payment Shortfall Interest -------------------- Class Method Days Balance Rate Interest Additions Deductions Interest Amount Recovery Shorfalls Original Current (1) ------------------------------------------------------------------------------------------------------------------------------------ ------------------------------------------------------------------------------------------------------------------------------------ (1) Determined as follows: (A) the ending balance of all the classes less (B) the sum of (i) the ending balance of the class and (ii) the ending balance of all classes which are not subordinate to the class divided by (A). Page 4 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: BOND INTEREST RECONCILIATION DETAIL -------------------------------------------------------------------------------------------------------------------------------- Additions Deductions --------------------------------------------------- ----------------------------- Prior Interest Other Prior Current Interest Accrual Interest Deferred & Interest Distributable Interest Interest Interest Shortfall on Prior Prepayment Yield Proceeds Allocable Accretion Loss Certificate Payment Class Due Date Due Date Due Shortfall Premiums Maintenance (1) PPIS Interest Expense Interest Amount -------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------------------------- (1) Other Interest Proceeds are additional interest amounts specifically allocated to the bond(s) and used in determining the Bondholder's Distributable Interest. Page 5 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: INTEREST ADJUSTMENTS SUMMARY SHORTFALL ALLOCATED TO THE BONDS: ----------------------------------------------------- Net Prepayment Int. Shortfalls Allocated to the Bonds 0.00 Special Servicing Fees 0.00 Workout Fees 0.00 Liquidation Fees 0.00 Legal Fees 0.00 Misc. Fees & Expenses Paid by/to Servicer 0.00 Interest Paid to Servicer on Outstanding Advances 0.00 ASER Interest Advance Reduction 0.00 Interest Not Advanced (Current Period) 0.00 Recoup of Prior Advances by Servicer 0.00 Servicing Fees Paid Servicer on Loans Not Advanced 0.00 Misc. Fees & Expenses Paid by Trust 0.00 Shortfall Due to Rate Modification 0.00 Other Interest Loss 0.00 ---- Total Shortfall Allocated to the Bonds 0.00 ==== EXCESS ALLOCATED TO THE BONDS: ----------------------------------------------------- Other Interest Proceeds Due the Bonds 0.00 Prepayment Interest Excess Due the Bonds 0.00 Interest Income 0.00 Yield Maintenance Penalties Due the Bonds 0.00 Prepayment Penalties Due the Bonds 0.00 Recovered ASER Interest Due the Bonds 0.00 Recovered Interest Due the Bonds 0.00 ARD Excess Interest 0.00 ---- Total Excess Allocated to the Bonds 0.00 ==== AGGREGATE INTEREST ADJUSTMENT ALLOCATED TO THE BONDS -------------------------------------------------------------------------------- Total Excess Allocated to the Bonds 0.00 Less Total Shortfall Allocated to the Bonds 0.00 ---- Total Interest Adjustment to the Bonds 0.00 ==== Page 6 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: RATING INFORMATION ------------------------------------------------------------------- ORIGINAL RATINGS RATING CHANGE/CHANGE DATE(1) --------------------- ---------------------------- CLASS CUSIP FITCH MOODY'S S&P Fitch Moody's S&P ----- ----- ----- ------- --- ----- ------- --- ------------------------------------------------------------------- NR - Designates that the class was not rated by the rating agency. (1) Changed ratings provided on this report are based on information provided by the applicable rating agency via electronic transmission. It shall be understood that this transmission will generally have been provided to LaSalle within 30 days of the payment date listed on this statement. Because ratings may have changed during the 30 day window, or may not be being provided by the rating agency in an electronic format and therefore not being updated on this report, LaSalle recommends that investors obtain current rating information directly from the rating agency. Page 7 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: ASSET-BACKED FACTS ~ 15 MONTH HISTORICAL LOAN STATUS SUMMARY ------------------------------------------------------------------------------------------------------------------------------ Delinquency Aging Categories Special Event Categories (1) ---------------------------------------------------------------------------------------------------------------- Delinq 1 Delinq 2 Delinq 3+ Month Months Months Foreclosure REO Modifications Specially Serviced Bankruptcy Distribution ---------------------------------------------------------------------------------------------------------------- Date # Balance # Balance # Balance # Balance # Balance # Balance # Balance # Balance ------------------------------------------------------------------------------------------------------------------------------ ------------------------------------------------------------------------------------------------------------------------------ (1) Note: Modification, Specially Serviced & Bankruptcy Totals are Included in the Appropriate Delinquency Aging Category Page 8 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: DELINQUENT LOAN DETAIL ----------------------------------------------------------------------------------------------------------------------------- Paid Outstanding Out. Property Special Disclosure Thru Current P&I P&I Protection Loan Status Servicer Foreclosure Bankruptcy REO Control # Date Advance Advances** Advances Code (1) Transfer Date Date Date Date ----------------------------------------------------------------------------------------------------------------------------- TOTAL ----------------------------------------------------------------------------------------------------------------------------- A. IN GRACE PERIOD 1. DELINQ. 1 MONTH 3. DELINQUENT 3 + MONTHS 5. NON PERFORMING MATURED BALLOON 9. REO B. LATE PAYMENT BUT < 1 MONTH DELINQ. 2. DELINQ. 2 MONTHS 4. PERFORMING MATURED BALLOON 7. FORECLOSURE ** Outstanding P&I Advances include the current period P&I Advances and may include Servicer and Trust Advances. Page 9 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: ASSET-BACKED FACTS ~ 15 MONTH HISTORICAL PAYOFF/LOSS SUMMARY ------------------------------------------------------------------------------------------------------------------------------------ Appraisal Realized Remaining Ending Pool (1) Payoffs (2) Penalties Reduct. (2) Liquidations (2) Losses (2) Term Curr Weighted Avg. Distribution --------------- ------------ ----------- ------------ ---------------- ----------- --------- ------------------ Date # Balance # Balance # Amount # Balance # Balance # Amount Life Coupon Remit ------------------------------------------------------------------------------------------------------------------------------------ ------------------------------------------------------------------------------------------------------------------------------------ Page 10 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: HISTORICAL COLLATERAL LEVEL PREPAYMENT REPORT ------------------------------------------------------------------------------------------------ Disclosure Payoff Initial Payoff Penalty Prepayment Maturity Property Geographic Control # Period Balance Type Amount Amount Date Date Type Location ------------------------------------------------------------------------------------------------ ------------------------------------------------------------------------------------------------ CURRENT CUMULATIVE Page 11 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: MORTGAGE LOAN CHARACTERISTICS DISTRIBUTION OF PRINCIPAL BALANCES -------------------------------------------------------------------------- Weighted Average Current Scheduled # of Scheduled % of ------------------------ Balance Loans Balance Balance Term Coupon PFY DSCR -------------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------------- Average Schedule Balance 0 Maximum Schedule Balance (9,999,999,999) Minimum Schedule Balance 9,999,999,999 DISTRIBUTION OF REMAINING TERM (FULLY AMORTIZING) -------------------------------------------------------------------------- Weighted Average Fully Amortizing # of Scheduled % of ------------------------ Mortgage Loans Loans Balance Balance Term Coupon PFY DSCR -------------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------------- DISTRIBUTION OF MORTGAGE INTEREST RATES -------------------------------------------------------------------------- Weighted Average Current Mortgage # of Scheduled % of ------------------------ Interest Rate Loans Balance Balance Term Coupon PFY DSCR -------------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------------- Minimum Mortgage Interest Rate ,900.000% Maximum Mortgage Interest Rate ,900.000% DISTRIBUTION OF REMAINING TERM (BALLOON) -------------------------------------------------------------------------- Weighted Average Balloon # of Scheduled % of ------------------------ Mortgage Loans Loans Balance Balance Term Coupon PFY DSCR -------------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------------- Page 12 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: MORTGAGE LOAN CHARACTERISTICS DISTRIBUTION OF DSCR (PFY) -------------------------------------------------------------------- Debt Service # of Scheduled % of Coverage Ratio Loans Balance Balance WAMM WAC PFY DSCR -------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------- Maximum DSCR 0.000 Minimum DSCR 0.000 DISTRIBUTION OF DSCR (CUTOFF) -------------------------------------------------------------------- Debt Service # of Scheduled % of Coverage Ratio Loans Balance Balance WAMM WAC PFY DSCR -------------------------------------------------------------------- 0 0 0.00% -------------------------------------------------------------------- Maximum DSCR 0.000 Minimum DSCR 0.000 GEOGRAPHIC DISTRIBUTION ---------------------------------------------------------------- Geographic # of Scheduled % of Location Loans Balance Balance WAMM WAC PFY DSCR ---------------------------------------------------------------- 0 0 0.00% ---------------------------------------------------------------- Page 13 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: MORTGAGE LOAN CHARACTERISTICS DISTRIBUTION OF PROPERTY TYPES ------------------------------------------------------------------- # of Scheduled % of Property Types Loans Balance Balance WAMM WAC PFY DSCR ------------------------------------------------------------------- 0 0 0.00% ------------------------------------------------------------------- DISTRIBUTION OF AMORTIZATION TYPE ----------------------------------------------------------------------- # of Scheduled % of Amortization Type Loans Balance Balance WAMM WAC PFY DSCR ----------------------------------------------------------------------- 0 0 0.00% ----------------------------------------------------------------------- DISTRIBUTION OF LOAN SEASONING ---------------------------------------------------------------------- # of Scheduled % of Number of Months Loans Balance Balance WAMM WAC PFY DSCR ---------------------------------------------------------------------- 0 0 0.00% ---------------------------------------------------------------------- DISTRIBUTION OF YEAR LOANS MATURING --------------------------------------------------------------------- # of Scheduled % of Year Loans Balance Balance WAMM WAC PFY DSCR --------------------------------------------------------------------- 2006 0 0 0.00% 0 0.00% 0.00 2007 0 0 0.00% 0 0.00% 0.00 2008 0 0 0.00% 0 0.00% 0.00 2009 0 0 0.00% 0 0.00% 0.00 2010 0 0 0.00% 0 0.00% 0.00 2011 0 0 0.00% 0 0.00% 0.00 2012 0 0 0.00% 0 0.00% 0.00 2013 0 0 0.00% 0 0.00% 0.00 2014 0 0 0.00% 0 0.00% 0.00 2015 0 0 0.00% 0 0.00% 0.00 2016 0 0 0.00% 0 0.00% 0.00 2017 & Greater 0 0 0.00% 0 0.00% 0.00 --------------------------------------------------------------------- 0 0 0.00% --------------------------------------------------------------------- Page 14 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: LOAN LEVEL DETAIL ----------------------------------------------------------------------------------------------------------------------------- Operating Ending Loan Disclosure Property Maturity PFY Statement Geo. Principal Note Scheduled Prepayment Prepayment Status Control # Group Type Date DSCR Date Location Balance Rate P&I Amount Date Code (1) ----------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------------------------------- * NOI and DSCR, if available and reportable under the terms of the trust agreement, are based on information obtained from the related borrower, and no other party to the agreement shall be held liable for the accuracy or methodology used to determine such figures. (1) Legend: A. In Grace Period 1. Delinquent 1 month 3. Delinquent 3+ months 5. Non Performing Matured Ballon 9. REO B. Late Payment but 2. Delinquent 2 months 4. Performing Matured 7. Foreclosure < 1 month delinq Balloon -------------------------------------------------------------------------------------------------------------------------------- Page 15 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: APPRAISAL REDUCTION DETAIL ------------------------------------------------------------------------------------------------------------------------------------ Current Remaining Term Appraisal Disclosure Appraisal Scheduled AR P&I Note Maturity -------------- Property Geographic ----------- Control# Red. Date Balance Amount Advance ASER Rate Date Life Type Location DSCR Value Date ---------- --------- --------- ------ ------- -------- ---- -------- ------ ------ -------- ---------- ---- ----- ---- ------------------------------------------------------------------------------------------------------------------------------------ Page 16 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: SPECIALLY SERVICED (PART I) ~ LOAN DETAIL (END OF PERIOD) -------------------------------------------------------------------------------------------------------------------------------- Loan Balance Remaining Disclosure Servicing Status ---------------- Note Maturity --------- Property Geo. NOI Control # Xfer Date Code(1) Schedule Actual Rate Date Life Type Location NOI DSCR Date ---------- --------- ------- -------- ------ ---- -------- ---- --- -------- -------- --------- --------- --------- Not Avail Not Avail Not Avail -------------------------------------------------------------------------------------------------------------------------------- (1) Legend: A. P&I Adv - in 1. P&I Adv - delinquent 3. P&I Adv - delinquent 5. Non Performing Mat. 9. REO Grace Period 1 month 3+ months Balloon B. P&I Adv - < 2. P&I Adv - delinquent 4. Mat. Balloon/Assumed 7. Foreclosure one month delinq 2 months P&I Page 17 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: SPECIALLY SERVICED LOAN DETAIL (PART II) ~ SERVICER COMMENTS (END OF PERIOD) Disclosure Resolution Control # Strategy Comments ---------------------------------- ---------------------------------- Page 18 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: MODIFIED LOAN DETAIL Ending Cutoff Modified Disclosure Principal Modification Maturity Maturity Modification Control # Balance Date Date Date Description --------------------------------------------------------------------------- --------------------------------------------------------------------------- Modified Loan Detail includes loans whose terms, fees, penalties or payments have been waived or extended. Page 19 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: REALIZED LOSS DETAIL ---------------------------------------------------------------------------------------------------------------------------------- Beginning Gross Proceeds Aggregate Net Net Proceeds Disclosure Appraisal Appraisal Scheduled Gross as a % of Liquidation Liquidation as a % of Realized Period Control # Date Value Balance Proceeds Sched. Balance Expenses * Proceeds Sched. Balance Loss ---------------------------------------------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------------------------------------------- CURRENT TOTAL CUMULATIVE * Aggregate liquidation expenses also include outstanding P&I advances and unpaid servicing fees, unpaid trustee fees, etc. Page 20 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: HISTORICAL COLLATERAL LEVEL REO REPORT --------------------------------------------------------------------------------------------- Recent Appraisal Disclosure REO Property Actual Scheduled Appraisal Appraisal Reduction Control # Date City State Type Balance Balance Value Date Amount --------------------------------------------------------------------------------------------- --------------------------------------------------------------------------------------------- ------------------------------------------------------------- Other Date Liquidation Liquidation Revenue Realized Type Liquidated Proceeds Expenses Recovered Loss (*) -------------------------------------------------------------- -------------------------------------------------------------- (*) Legend: (1) Paid in Full, (2) Final Recovery Made, (3) Permitted Purchase (4) Final Recovery of REO, (5) Permitted purchase of REO Page 21 of 22 [LaSalle Bank ABN AMRO LOGO] CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. Statement Date: 17-Jul-06 COMMERICAL MORTGAGE PASS-THROUGH CERTIFICATES Payment Date: 17-Jul-06 SERIES 2006-C4 Prior Payment: N/A Next Payment: 16-Aug-06 Record Date: 30-Jun-06 ABN AMRO ACCT: MATERIAL BREACHES AND MATERIAL DOCUMENT DEFECT DETAIL Ending Material Disclosure Principal Breach Material Breach and Material Document Defect Control # Balance Date Description -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Material breaches of pool asset representation or warranties or transaction covenants. Page 22 of 22 ANNEX E CLASS A-SB PLANNED PRINCIPAL BALANCE SCHEDULE CLASS A-SB DISTRIBUTION DATE PLANNED PRINCIPAL BALANCE ----------------- ------------------------- 07/15/2006 $135,184,000.00 08/15/2006 $135,184,000.00 09/15/2006 $135,184,000.00 10/15/2006 $135,184,000.00 11/15/2006 $135,184,000.00 12/15/2006 $135,184,000.00 01/15/2007 $135,184,000.00 02/15/2007 $135,184,000.00 03/15/2007 $135,184,000.00 04/15/2007 $135,184,000.00 05/15/2007 $135,184,000.00 06/15/2007 $135,184,000.00 07/15/2007 $135,184,000.00 08/15/2007 $135,184,000.00 09/15/2007 $135,184,000.00 10/15/2007 $135,184,000.00 11/15/2007 $135,184,000.00 12/15/2007 $135,184,000.00 01/15/2008 $135,184,000.00 02/15/2008 $135,184,000.00 03/15/2008 $135,184,000.00 04/15/2008 $135,184,000.00 05/15/2008 $135,184,000.00 06/15/2008 $135,184,000.00 07/15/2008 $135,184,000.00 08/15/2008 $135,184,000.00 09/15/2008 $135,184,000.00 10/15/2008 $135,184,000.00 11/15/2008 $135,184,000.00 12/15/2008 $135,184,000.00 01/15/2009 $135,184,000.00 02/15/2009 $135,184,000.00 03/15/2009 $135,184,000.00 04/15/2009 $135,184,000.00 05/15/2009 $135,184,000.00 06/15/2009 $135,184,000.00 07/15/2009 $135,184,000.00 08/15/2009 $135,184,000.00 09/15/2009 $135,184,000.00 10/15/2009 $135,184,000.00 11/15/2009 $135,184,000.00 12/15/2009 $135,184,000.00 01/15/2010 $135,184,000.00 02/15/2010 $135,184,000.00 03/15/2010 $135,184,000.00 04/15/2010 $135,184,000.00 05/15/2010 $135,184,000.00 06/15/2010 $135,184,000.00 07/15/2010 $135,184,000.00 08/15/2010 $135,184,000.00 09/15/2010 $135,184,000.00 10/15/2010 $135,184,000.00 11/15/2010 $135,184,000.00 12/15/2010 $135,184,000.00 01/15/2011 $135,184,000.00 02/15/2011 $135,184,000.00 03/15/2011 $135,184,000.00 04/15/2011 $135,183,684.12 05/15/2011 $133,162,408.31 06/15/2011 $131,345,745.31 07/15/2011 $129,249,485.57 08/15/2011 $127,400,501.69 09/15/2011 $125,542,219.62 10/15/2011 $123,417,709.77 11/15/2011 $121,539,391.42 12/15/2011 $119,395,393.67 01/15/2012 $117,496,839.36 02/15/2012 $115,588,736.44 03/15/2012 $113,160,501.93 04/15/2012 $111,230,575.63 05/15/2012 $109,036,382.36 06/15/2012 $107,085,705.72 07/15/2012 $104,871,330.01 08/15/2012 $ 99,703,936.15 09/15/2012 $ 97,727,632.17 10/15/2012 $ 95,488,976.17 11/15/2012 $ 93,491,458.35 12/15/2012 $ 91,232,169.06 01/15/2013 $ 88,732,169.05 02/15/2013 $ 86,703,066.74 03/15/2013 $ 84,203,018.78 04/15/2013 $ 82,216,980.08 05/15/2013 $ 79,981,156.65 06/15/2013 $ 77,973,895.39 07/15/2013 $ 75,717,430.32 08/15/2013 $ 73,688,735.14 09/15/2013 $ 71,649,843.91 10/15/2013 $ 69,362,614.67 11/15/2013 $ 52,941,974.53 12/15/2013 $ 50,633,591.67 01/15/2014 $ 48,550,985.99 02/15/2014 $ 46,457,912.08 CLASS A-SB DISTRIBUTION DATE PLANNED PRINCIPAL BALANCE ----------------- ------------------------- 03/15/2014 $43,645,315.50 04/15/2014 $41,527,566.39 05/15/2014 $39,163,637.67 06/15/2014 $37,023,354.07 07/15/2014 $34,637,507.66 08/15/2014 $32,474,465.09 09/15/2014 $30,300,548.05 10/15/2014 $27,881,988.78 11/15/2014 $25,684,977.72 12/15/2014 $23,243,956.53 01/15/2015 $21,023,621.37 02/15/2015 $18,792,122.39 03/15/2015 $15,853,865.26 04/15/2015 $13,596,357.30 05/15/2015 $11,096,494.97 06/15/2015 $ 4,809,946.95 07/15/2015 $ 2,295,971.34 08/15/2015 and $ 0.00 thereafter ANNEX F REFERENCE RATE SCHEDULE F-1 [INTENTIONALLY LEFT BLANK] ANNEX G GLOBAL CLEARANCE, SETTLEMENT AND TAX DOCUMENTATION PROCEDURES Except in limited circumstances, the globally offered Citigroup Commercial Mortgage Trust 2006-C4, Commercial Mortgage Pass-Through Certificates, Series 2006-C4, Class A-1, Class A-2, Class A-SB, Class A-3, Class A-1A, Class A-M, Class A-J, Class B, Class C and Class D, will be available only in book-entry form. The book-entry certificates will be tradable as home market instruments in both the European and U.S. domestic markets. Initial settlement and all secondary trades will settle in same-day funds. Secondary market trading between investors holding book-entry certificates through Clearstream and Euroclear will be conducted in the ordinary way in accordance with their normal rules and operating procedures and in accordance with conventional Eurobond practice, which is seven calendar days' settlement. Secondary market trading between investors holding book-entry certificates through DTC will be conducted according to the rules and procedures applicable to U.S. corporate debt obligations. Secondary cross-market trading between member organizations of Clearstream or Euroclear and DTC participants holding book-entry certificates will be accomplished on a delivery against payment basis through the respective depositaries of Clearstream and Euroclear, in that capacity, as DTC participants. As described under "U.S. Federal Income Tax Documentation Requirements" below, non-U.S. holders of book-entry certificates will be subject to U.S. withholding taxes unless those holders meet specific requirements and deliver appropriate U.S. tax documents to the securities clearing organizations of their participants. INITIAL SETTLEMENT All certificates of each class of offered certificates will be held in registered form by DTC in the name of Cede & Co. as nominee of DTC. Investors' interests in the book-entry certificates will be represented through financial institutions acting on their behalf as direct and indirect DTC participants. As a result, Clearstream and Euroclear will hold positions on behalf of their member organizations through their respective depositaries, which in turn will hold positions in accounts as DTC participants. Investors' securities custody accounts will be credited with their holdings against payment in same-day funds on the settlement date. Investors electing to hold their book-entry certificates through Clearstream or Euroclear accounts will follow the settlement procedures applicable to conventional Eurobonds, except that there will be no temporary global security and no "lock up" or restricted period. Global securities will be credited to the securities custody accounts on the settlement date against payment in same-day funds. SECONDARY MARKET TRADING Since the purchaser determines the place of delivery, it is important to establish at the time of the trade where both the purchaser's and seller's accounts are located to ensure that settlement can be made on the desired value date. Trading between DTC Participants. Secondary market trading between DTC participants will be settled in same-day funds. G-1 Trading between Clearstream and/or Euroclear Participants. Secondary market trading between member organizations of Clearstream or Euroclear will be settled using the procedures applicable to conventional Eurobonds in same-day funds. Trading between DTC Seller and Clearstream or Euroclear Purchaser. When book-entry certificates are to be transferred from the account of a DTC participant to the account of a member organization of Clearstream or Euroclear, the purchaser will send instructions to Clearstream or Euroclear through that member organization at least one business day prior to settlement. Clearstream or Euroclear, as the case may be, will instruct the respective depositary to receive the book-entry certificates against payment. Payment will include interest accrued on the book-entry certificates from and including the 1st day of the interest accrual period coinciding with or commencing in, as applicable, the calendar month in which the last coupon distribution date occurs (or, if no coupon distribution date has occurred, from and including the first day of the initial interest accrual period) to and excluding the settlement date. Payment will then be made by the respective depositary to the DTC participant's account against delivery of the book-entry certificates. After settlement has been completed, the book-entry certificates will be credited to the respective clearing system and by the clearing system, in accordance with its usual procedures, to the account of the member organization of Clearstream or Euroclear, as the case may be. The securities credit will appear the next day, European time, and the cash debit will be back-valued to, and the interest on the book-entry certificates will accrue from, the value date, which would be the preceding day when settlement occurred in New York. If settlement is not completed on the intended value date, which means the trade fails, the Clearstream or Euroclear cash debit will be valued instead as of the actual settlement date. Member organizations of Clearstream and Euroclear will need to make available to the respective clearing systems the funds necessary to process same-day funds settlement. The most direct means of doing so is to pre-position funds for settlement, either from cash on hand or existing lines of credit, as they would for any settlement occurring within Clearstream or Euroclear. Under this approach, they may take on credit exposure to Clearstream or Euroclear until the book-entry certificates are credited to their accounts one day later. As an alternative, if Clearstream or Euroclear has extended a line of credit to them, member organizations of Clearstream or Euroclear can elect not to pre-position funds and allow that credit line to be drawn upon to finance settlement. Under this procedure, the member organizations purchasing book-entry certificates would incur overdraft charges for one day, assuming they cleared the overdraft when the book-entry certificates were credited to their accounts. However, interest on the book-entry certificates would accrue from the value date. Therefore, in many cases the investment income on the book-entry certificates earned during that one-day period may substantially reduce or offset the amount of those overdraft charges, although this result will depend on the cost of funds of the respective member organization of Clearstream or Euroclear. Since the settlement is taking place during New York business hours, DTC participants can employ their usual procedures for sending book-entry certificates to the respective depositary for the benefit of member organizations of Clearstream or Euroclear. The sale proceeds will be available to the DTC seller on the settlement date. Thus, to the DTC participant a cross-market transaction will settle no differently than a trade between two DTC participants. Trading between Clearstream or Euroclear Seller and DTC Purchaser. Due to time zone differences in their favor, member organizations of Clearstream or Euroclear may employ their customary procedures for transactions in which book-entry certificates are to be transferred by the respective clearing system, through the respective depositary, to a DTC participant. The seller will send instructions to Clearstream or Euroclear through a member organization of Clearstream or Euroclear at least one business day prior to settlement. In these cases, Clearstream or Euroclear, as appropriate, will instruct the respective depositary to deliver the book-entry certificates to the DTC participant's account against payment. Payment will include interest accrued on the book-entry certificates from and including the 1st day of the interest accrual period coinciding with or commencing in, as applicable, the calendar month in which the last coupon distribution date occurs (or, if no coupon distribution date has occurred, from and including the first day of the initial interest accrual period) to and excluding the settlement date. The payment will then be reflected in the account of the member organization of Clearstream or G-2 Euroclear the following day, and receipt of the cash proceeds in the account of that member organization of Clearstream or Euroclear would be back-valued to the value date, which would be the preceding day, when settlement occurred in New York. Should the member organization of Clearstream or Euroclear have a line of credit with its respective clearing system and elect to be in debit in anticipation of receipt of the sale proceeds in its account, the back-valuation will extinguish any overdraft charges incurred over the one-day period. If settlement is not completed on the intended value date, which means the trade fails, receipt of the cash proceeds in the account of the member organization of Clearstream or Euroclear would be valued instead as of the actual settlement date. Finally, day traders that use Clearstream or Euroclear and that purchase book-entry certificates from DTC participants for delivery to member organizations of Clearstream or Euroclear should note that these trades would automatically fail on the sale side unless affirmative action were taken. At least three techniques should be readily available to eliminate this potential problem: o borrowing through Clearstream or Euroclear for one day, until the purchase side of the day trade is reflected in their Clearstream or Euroclear accounts, in accordance with the clearing system's customary procedures; o borrowing the book-entry certificates in the United States from a DTC participant no later than one day prior to settlement, which would allow sufficient time for the book-entry certificates to be reflected in their Clearstream or Euroclear accounts in order to settle the sale side of the trade; or o staggering the value dates for the buy and sell sides of the trade so that the value date for the purchase from the DTC participant is at least one day prior to the value date for the sale to the member organization of Clearstream or Euroclear. CERTAIN U.S. FEDERAL INCOME TAX DOCUMENTATION REQUIREMENTS A holder that is not a "United States person" (a "U.S. person") within the meaning of Section 7701(a)(30) of the Internal Revenue Code (a "non-U.S. holder") holding a book-entry certificate through Clearstream, Euroclear or DTC may be subject to U.S. withholding tax unless such holder provides certain documentation to the issuer of such holder's book-entry certificate, the paying agent or any other entity required to withhold tax (any of the foregoing, a "U.S. withholding agent") establishing an exemption from withholding. A non-U.S. holder may be subject to withholding unless each U.S. withholding agent receives: 1. from a non-U.S. holder that is classified as a corporation for U.S. federal income tax purposes or is an individual, and is eligible for the benefits of the portfolio interest exemption or an exemption (or reduced rate) based on a treaty, a duly completed and executed IRS Form W-8BEN (or any successor form); 2. from a non-U.S. holder that is eligible for an exemption on the basis that the holder's income from the certificate is effectively connected to its U.S. trade or business, a duly completed and executed IRS Form W-8ECI (or any successor form); 3. from a non-U.S. holder that is classified as a partnership for U.S. federal income tax purposes, a duly completed and executed IRS Form W-8IMY (or any successor form) with all supporting documentation (as specified in the U.S. Treasury Regulations) required to substantiate exemptions from withholding on behalf of its partners; certain partnerships may enter into agreements with the IRS providing for different documentation requirements and it is recommended that such partnerships consult their tax advisors with respect to these certification rules; G-3 4. from a non-U.S. holder that is an intermediary (i.e., a person acting as a custodian, a broker, nominee or otherwise as an agent for the beneficial owner of a certificate): (a) if the intermediary is a "qualified intermediary" within the meaning of section 1.1441-1(e)(5)(ii) of the U.S. Treasury Regulations (a "qualified intermediary"), a duly completed and executed IRS Form W-8IMY (or any successor or substitute form): (i) stating the name, permanent residence address and qualified intermediary employer identification number of the qualified intermediary and the country under the laws of which the qualified intermediary is created, incorporated or governed; (ii) certifying that the qualified intermediary has provided, or will provide, a withholding statement as required under section 1.1441-1(e)(5)(v) of the U.S. Treasury Regulations; (iii) certifying that, with respect to accounts it identifies on its withholding statement, the qualified intermediary is not acting for its own account but is acting as a qualified intermediary; and (iv) providing any other information, certifications, or statements that may be required by the IRS Form W-8IMY or accompanying instructions in addition to, or in lieu of, the information and certifications described in section 1.1441-1(e)(3)(ii) or 1.1441-1(e)(5)(v) of the U.S. Treasury Regulations; or (b) if the intermediary is not a qualified intermediary (a "nonqualified intermediary"), a duly completed and executed IRS Form W-8IMY (or any successor or substitute form): (i) stating the name and permanent residence address of the nonqualified intermediary and the country under the laws of which the nonqualified intermediary is created, incorporated or governed; (ii) certifying that the nonqualified intermediary is not acting for its own account; (iii) certifying that the nonqualified intermediary has provided, or will provide, a withholding statement that is associated with the appropriate IRS Forms W-8 and W-9 required to substantiate exemptions from withholding on behalf of such nonqualified intermediary's beneficial owners; and (iv) providing any other information, certifications or statements that may be required by the IRS Form W-8IMY or accompanying instructions in addition to, or in lieu of, the information, certifications, and statements described in section 1.1441-1(e)(3)(iii) or (iv) of the U.S. Treasury Regulations; or 5. from a non-U.S. holder that is a trust, depending on whether the trust is classified for U.S. federal income tax purposes as the beneficial owner of the certificate, either an IRS Form W-8BEN or W-8IMY; any non-U.S. holder that is a trust should consult its tax advisors to determine which of these forms it should provide. All non-U.S. holders will be required to update the above-listed forms and any supporting documentation in accordance with the requirements under the U.S. Treasury Regulations. These forms generally remain in effect for a period starting on the date the form is signed and ending on the last day of the third succeeding calendar year, unless a change in circumstances makes any information on the form incorrect. Under certain circumstances, an IRS Form W-8BEN, if furnished with a taxpayer identification number, remains in effect until G-4 the status of the beneficial owner changes, or a change in circumstances makes any information on the form incorrect. In addition, all holders, including holders that are U.S. persons, holding book-entry certificates through Clearstream, Euroclear or DTC may be subject to backup withholding unless the holder: o provides the appropriate IRS Form W-8 (or any successor or substitute form), duly completed and executed, if the holder is a non-U.S. holder; o provides a duly completed and executed IRS Form W-9, if the holder is a U.S. person; or o can be treated as an "exempt recipient" within the meaning of section 1.6049-4(c)(1)(ii) of the U.S. Treasury Regulations (e.g., a corporation or a financial institution such as a bank). This summary does not deal with all of the aspects of U.S. federal income tax withholding or backup withholding that may be relevant to investors that are non-U.S. holders. Such holders are advised to consult their own tax advisors for specific tax advice concerning their holding and disposing of book-entry certificates. G-5
The attached diskette contains one spreadsheet file that can be put on a user-specified hard drive or network drive. This spreadsheet file is "CGCMT 2006-C4 Annex A.xls", a Microsoft Excel(1) spreadsheet. The file provides, in electronic format, some of the statistical information that appears under the caption "Description of the Mortgage Pool" in, and on Annexes A-1 and A-5 to, this prospectus supplement. Capitalized terms used, but not otherwise defined, in the spreadsheet file will have the respective meanings assigned to them in this prospectus supplement. All the information contained in the spreadsheet file is subject to the same limitations and qualifications contained in this prospectus supplement. Prospective investors are strongly urged to read this prospectus supplement and accompanying prospectus in its entirety prior to accessing the spreadsheet file. ---------- (1) Microsoft Excel is a registered trademark of Microsoft Corporation.
-------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Important Notice About the Information Contained in this Offering Prospectus and the Accompanying Base Prospectus ..................................... 7 Important Notice Relating to Automatically Generated Email Disclaimers .......................................... 7 Notice to Non-U.S. Investors ............................................ 8 European Economic Area .................................................. 8 Summary of Offering Prospectus .......................................... 9 Risk Factors ............................................................ 41 Capitalized Terms Used in this Offering Prospectus ........................................................... 64 Forward-Looking Statements .............................................. 64 Description of the Mortgage Pool ........................................ 64 Transaction Participants ................................................ 106 Affiliations and Certain Relationships and Related Transactions ................................................. 120 The Series 2006-C4 Pooling and Servicing Agreement ............................................................ 120 Description of the Offered Certificates ................................. 164 Yield and Maturity Considerations ....................................... 196 Legal Proceedings ....................................................... 201 Use of Proceeds ......................................................... 202 Federal Income Tax Consequences ......................................... 202 ERISA Considerations .................................................... 205 Legal Investment ........................................................ 209 Method of Distribution .................................................. 210 Legal Matters ........................................................... 212 Ratings ................................................................. 212 Glossary ................................................................ 214 ANNEX A-1--Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties ............................................ A-1-1 ANNEX A-2--Summary Characteristics of the Underlying Mortgage Loans and the Mortgaged Real Properties ............................................ A-2-1 ANNEX A-3--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 1 and the Related Mortgaged Real Properties ........................................................... A-3-1 ANNEX A-4--Summary Characteristics of the Underlying Mortgage Loans in Loan Group No. 2 and the Related Mortgaged Real Properties ........................................................... A-4-1 ANNEX A-5--Characteristics of the Multifamily and Manufactured Housing Mortgaged Real Properties ............................................ A-5-1 ANNEX B--Description of Ten Largest Mortgage Loans and/or Groups of Cross-Collateralized Mortgage Loans .................................. B-1 ANNEX C--Decrement Tables ............................................... C-1 ANNEX D--Form of Distribution Date Statement ............................................................ D-1 ANNEX E--Class A-SB Planned Principal Balance Schedule ..................................................... E-1 ANNEX F--Reference Rate Schedule ........................................ F-1 ANNEX G--Global Clearance, Settlement and Tax Documentation Procedures ..................................... F-1 UNTIL , ALL DEALERS THAT EFFECT TRANSACTIONS IN THE OFFERED CERTIFICATES, WHETHER OR NOT PARTICIPATING IN THIS OFFERING, MAY BE REQUIRED TO DELIVER THIS OFFERING PROSPECTUS AND THE ACCOMPANYING BASE PROSPECTUS. THIS DELIVERY REQUIREMENT IS IN ADDITION TO THE OBLIGATION OF DEALERS TO DELIVER THIS OFFERING PROSPECTUS AND THE ACCOMPANYING BASE PROSPECTUS WHEN ACTING AS UNDERWRITERS AND WITH RESPECT TO THEIR UNSOLD ALLOTMENTS OR SUBSCRIPTIONS. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- $2,082,453,000 (APPROXIMATE) CITIGROUP COMMERCIAL MORTGAGE TRUST 2006-C4 COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES, SERIES 2006-C4 CLASS A-1, CLASS A-2, CLASS A-SB, CLASS A-3, CLASS A-1A, CLASS A-M, CLASS A-J, CLASS B, CLASS C AND CLASS D OFFERING PROSPECTUS CITIGROUP BARCLAYS CAPITAL PNC CAPITAL MARKETS LLC BANC OF AMERICA SECURITIES LLC DEUTSCHE BANK SECURITIES JUNE 12, 2006 -------------------------------------------------------------------------------- --------------------------------------------------------------------------------