The firm derives meaningful financial and operating leverage in all facets of its business through its joint venture with PRM Realty Group, LLC. PRM Realty Group (formed in 1990) is headquartered in Chicago, IL with operations in St. Thomas, U.S.V.I., Hawaii (Honolulu), New York and Europe. The firm is led by Peter Morris, Chairman and Senior Partner, and Robert Harte, who is a Partner of PRM Realty Group, LLC. PRM Realty Group, LLC is the successor entity to VMS Realty Partners, an international real estate development and investment company that amassed $8.5 billion of real estate assets between 1982 and 1989. Mr. Morris founded VMS and served as the firm's Chairman and CEO.

During the past fifteen years, PRM's investment focus has been land with development potential for resort, residential and recreational uses. Currently, the firm has in excess of $1.7 billion of projects in various stages of completion. Investors in these transactions have included prominent financial institutions and private investors from Europe, Japan, the Middle East and the United States. A profile of these transactions, their financial performance and the lender/partner information is provided on PRM Realty Group's website. The firm is currently involved in development or co-development ventures in New York (Manhattan, Dutchess and Putnam Counties), the Carribean, Hawaii (Oahu, Maui and Kauai) and Europe.

PRM has also established a venture with Ken McCulloch, the internationally known hotelier and founder of the Malmaison Hotel chain in Europe. The partnership of PRM and McCulloch's firm, McCulloch Unique Hotels, creates a visionary and experienced leadership team with a strong investment track record. This partnership has resulted in two new brands - Columbus Hotels and Dakota. The venture launched the first Columbus Hotel in 2001 in Monaco with additional hotels planned for the United States and Europe. Dakota is a limited service brand incorporating innovative architecture and interior design. The first Dakota opened in 2004 outside London.

The staff in PRM's Chicago headquarters represents a cross-section of experienced professionals with significant experience in the following functional disciplines:

• Construction management
• Design
• Accounting
• Marketing
• Land planning
• Civil engineering
• Legal (entitlement)
• Market feasibility and financial analysis

This staff works in concert with Stonehill-PRM team on an as needed basis to insure optimal execution of Stonehill-PRM investment and development strategies.