FRACTIONAL INTEREST DISCOUNT DERIVATION AND MARKET COMPARABLE TRANSACTIONS PARTNERSHIP NAME: Decade Monthly Income & Appreciation Fund NET ASSET VALUE PER UNIT: $859 I. FRACTIONAL INTEREST DISCOUNT DERIVATION Factor Rating Adjustment Notes: Lack of 5 (30.00%) Illiquid public partnership which Marketability & seldom trades on the secondary Control market. Asset Type and 3 0.00% Neutral. Quality Management 4 (7.50%) High ongoing general administrative Issues costs and fees relative to asset base. Goodwill 3 0.00% Neutral. Market 4 (1.25%) Small market capitalization deters Capitalization buyside interest. Cash Flow/ 4 (2.50%) Distributions suspended. High Distributions general administrative costs reduce cash flow available for distribution. Portfolio 4 (2.50%) Single asset risk. Mitigated Diversification somewhat by absence of leverage. Liquidation 4 (2.50%) General Partner economic incentives Time Horizon do not favor a liquidation. GP may seek LP approval to acquire additional property, extending LP holding period. Recent 5 (5.00%) 1995 operations weakened Historical considerably. Property vacancy Performance increased considerable due to heightened competition. Analytical 3 0.00% Neutral. Complexity Financial 3 0.00% Absence of mortgage debt reduces Leverage risk to equity. (51.25%) Total Discount $419 FAIR MARKET VALUE PER UNIT: DISTRIBUTION 0% YIELD: Ratings Key: 0 = No Basis for Rate 1 = Strong Relative Strength 2 = Modest Relative Strength 3 = Neutral Case 4 = Modest Relative Weakness 5 = Strong Relative Weakness II. MARKET COMPARABLE TRANSACTIONS According to The Partnership Spectrum, an industry publication that tracks partnership secondary transactions, 1 trade involving 2 units in the Partnership occurred in the 2 month period ended September 30, 1994. This trade occurred at a price of $230 per limited partnership unit. This was the last transaction reported by the publication. No other transactions were recently reported.