Sunday, October 2, 2005

Dear Residents,

We realize you are going through a difficult time, as are the entire community and we, as we all recover from Hurricane Rita's effects. In consideration of resident concerns, the following are revised arrangements regarding your rent payment for October. Management has worked to negotiate a fair plan in conjunction with our investors and our insurance company.

Below is an outline for calculating rent reductions due to Hurricane Rita.

• You will receive a 70% discount on rent for everyday without electricity.
• To calculate your daily rent, divide your monthly rent by 31 days.
• Multiply your daily rent by .70 to derive your discounted amount for that day.
• Once power is restored, full rent commences immediately that day.
• We hope to retain each and every one of you as on-going residents. However, you may choose to move out and terminate your lease without penalty.
• Please inform us within 10 days of this notice of your intention to exercise this right if you choose to move from the property.
• If your apartment was one of the few damaged, we request you box up your possessions, move them to the center of the rooms, and cover them with plastic to reduce exposure to dust, etc from sheetrock and other repairs.

We are working hard to restore the beautiful home you initially leased. Your patience and understanding is appreciated. Obviously, no one can say how long your home will be without power. Estimates change minute by minute and depend on the source quoted. Management is working on your behalf to make public officials and utility companies aware that your home is inhabitable if we can resume electric service.

Update: You may enter and leave Lake Charles, Beaumont and Port Arthur without checkpoints at this time. Many of our residents have been returning to check on their belongings.

Please check our property website daily. We plan to post the good news that our power is restored as soon as we have light!

Jill Bounds,
Property Supervisor, Gross Management Corp.