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Commonwealth Land Title Company 777 Amold Drive, 1st Floor Martinez, California 94553 l/ (925) 335-3300 Issuing Policies Of Commonwealth j/ LAND TITLE INSURANCE COMPANY For inquiries please contact: Transnation Title Insurance Co. C 2850 Camelback Road, #310 Phoenix, AZ 85016 Attn: James W. Dorsett 602-956-5568 Our No: 80480411 Your No: 268622 Buyer/Borrower: Trimark Communities Title Officer: Joseph Parker UPDATED PRELIMINARY REPORT #1 C Dated as of September 25, 2000 at 7:30 A.M. In response to the above referenced application for a policy of title insurance, Commonwealth Land Title Company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception below or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said policy forms. The printed Exceptions and Exclusions from thq coverage of said Policy or Policies are set forth in Exhibit A attached. Copies of the Policy forms should be read. They are available from the office which issued this report. This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a Binder or Commitment should be requested. Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land.