Exhibit 99.58

Project Legacy	September      2012
Fairness Analysis

The information contained herein is of a confidential nature and is intended for the exclusive use of the persons or firm to whom it is furnished by us. Reproduction, publication, or dissemination of portions hereof may not be made without prior approval of Duff & Phelps, LLC.

Duff & Phelps Disclaimer

• The following pages contain material that was provided by Duff & Phelps, LLC (“Duff & Phelps”) to the Company (as herein defined) to consider the Proposed Transaction, as herein defined.

• The accompanying material was compiled on a confidential basis for the sole use of the Company and not with a view toward public disclosure.

• The information utilized in preparing this document was obtained from the Company and public sources. Any estimates and projections contained herein involve numerous and significant subjective determinations, which may or may not prove to be correct. No representation or warranty, expressed or implied, is made as to the accuracy or completeness of such information and nothing contained herein is, or shall be relied upon as, a representation, whether as to the past or the future. Duff & Phelps did not attempt to independently verify such information.

• Because this material was prepared for use in the context of an oral presentation to the Company, which is familiar with the business and affairs of Malkin, Duff & Phelps does not take any responsibility for the accuracy or completeness of any of the material if used by persons other than the Company.

• These materials are not intended to represent an opinion but rather to serve as discussion materials for the Company to review and as a basis upon which Duff & Phelps may render opinions.

• Our analysis did not take into account (i) any potential incremental value attributable to the portfolio of assets taken as a whole after giving effect to the Proposed Transaction; and (ii) the effects of variations in aggregate values attributed to the portfolio assets after giving effect to the Proposed Transaction on relative values of such portfolio assets.

• This analysis should not be construed as a valuation opinion, credit rating, solvency opinion, an analysis of the Company’s credit worthiness, as tax advice, or as accounting advice.

• Duff & Phelps has not made, and assumes no responsibility to make, any representation, or render any opinion, as to any legal matter.

    Duff & Phelps - CONFIDENTIAL 2    

Table of Contents

1. Introduction and Background

2. Valuation Analysis of the Properties

•	112-122 West 34th Street	•	383 Main Ave
•	1333 Broadway	•	100, 200 & 300 First Stamford Place
•	1350 Broadway	•	10 Union Square
•	1400 Broadway	•	Metro Center
•	501 Seventh Avenue	•	103-107 Main Street
•	1359 Broadway	•	69-97 Main Street
•	One Grand Central Place	•	77 West 55th Street
•	Empire State Building	•	170 East 8th Street
•	250 West 57th Street	•	B.B.S.F., L.L.C.
•	10 Bank Street
•	500 Mamaroneck Ave

3. Valuation Analysis of Malkin Holdings LLC

4. Valuation Analysis of Malkin Construction Corp.

5. Valuation Analysis of Malkin Properties

Appendix

1. Assumptions, Qualifications and Limiting Conditions

2. Property Value Allocation Waterfalls

3. Detailed Exchange Value Summary

    Duff & Phelps - CONFIDENTIAL 3    

1. Introduction and Background

Introduction and Background

The Engagement

• Malkin Holdings LLC (the “Company”) has engaged Duff & Phelps, LLC (“Duff & Phelps”) to serve as independent financial advisor to the Company and on its behalf to each of the Partnerships (as herein defined) and to provide an opinion (the “Opinion”) to the Company, its officers, managers and members and each of the Partnerships as of the date hereof as to the fairness, from a financial point of view, to each of the Partnerships and the holders of membership interests or partnership interests, holders of participation and subparticipation interests in the membership interests held by the agents, and partners, members and shareholders of entities which directly or indirectly hold interests in the Partnerships (the “Investors”), of the allocation of Consideration (as herein defined) (i) among the Partnerships, Malkin Properties, L.L.C., Malkin Properties of New York, L.L.C., Malkin Properties of Connecticut, Inc. and Malkin Construction Corp. (collectively, the “Management Companies”) and the Company, and (ii) to the Investors in the contemplated transaction described below (the “Proposed Transaction”) (without giving effect to any impact of the Proposed Transaction on any particular Investor other than in its capacity as an Investor in the Partnerships).

The Proposed Transaction

• The Proposed Transaction involves the consolidation of certain office and retail properties in Manhattan and the New York City metropolitan area owned by the Partnerships (the “Properties”) into the operating partnership whose general partner is Empire State Realty Trust, Inc., (the “REIT”) conditioned, among other things, upon the closing of the initial public offering (the “IPO”) of the REIT’s Class A common stock. After the series of transactions in which the assets of the Partnerships will be consolidated into the REIT, the REIT will own, through direct and indirect subsidiaries, the assets of the Partnerships, and the assets of the Company and the Management Companies that provide asset management and property management, leasing services, and construction services to the Partnerships and certain other parties.

• The REIT will issue to each of the participants in certain of the Partnerships (other than certain affiliates of the Company) which are public reporting entities (the “Public LLCs”) either, at each participant’s option, a specified number of limited partnership interests in the operating partnership, or, at each participant’s option, shares of Class A common stock that the REIT expects to be listed on the New York Stock Exchange, or, to a limited extent, Class B common stock (the “Public LLC Consideration”). The REIT will issue to each of the participants in certain of the Partnerships which are private entities, affiliates of the Company which are participants in the Public LLCs and owners of the Company (the “Private Entities” and together with the Public LLCs, the “Partnerships”) and the equity holders of the Management Companies, a specified number of limited partnership interests in the operating partnership of the REIT or, at each participant’s option, cash, to the extent available, subject to a cap for charitable organizations, or shares of Class A or, to a limited extent, Class B common stock in the REIT (the “Private Entity Consideration” and together with the Public LLC Consideration, the “Consideration”).

• We understand that the Company does not know which of the Private Entities or the Public LLCs will approve the Proposed Transaction, and assuming the receipt of all necessary approvals, whether the REIT will acquire all of the properties from the Private Entities and the Public LLCs, or the exact composition of the REIT’s properties.

• Duff & Phelps has prepared the valuation of the Properties, the Partnerships, the Company, and the Management Companies as of June 30, 2012 (the “Valuation Date”) and assumes (i) no responsibility for changes in market conditions and (ii) no obligation to revise its analysis to reflect any such changes which occurred subsequent to June 30, 2012.

    Duff & Phelps - CONFIDENTIAL 5    

Introduction and Background

Scope of Analysis

• In connection with our analysis, Duff & Phelps has made such reviews, analyses and inquiries as we have deemed necessary and appropriate under the circumstances.

• Reviewed the following documents:

• A draft of the consent solicitation in substantially the form intended to be sent to participants in the private entities;

• A draft of the private consent solicitation (the “Private Solicitation” and together with the S-4, the “Solicitations”) in substantially the form intended to be provided to the participants in the Private Entities;

• Audited financial statements, or to the extent not available, unaudited financial statements, for the Partnerships, the Company, and the Management Companies for the years ended December 31, 2010 and 2011 and unaudited financial statements for the Partnerships, the Company, and the Management Companies for the six months ended June 30, 2012, in each case, provided to us by management of the Company;

• Historical operating and financial information including property-level financial data relating to the business, financial condition and results of operations of the Partnerships, the Properties, the Company, and the Management Companies, in each case, provided to us by management of the Company;

• Other internal documents relating to the history, current operations, current budgets, and probable future outlook of the Partnerships, the Properties, the Company, and the Management Companies, including financial projections of the Company, and the Management Companies, in each case provided to us by management of the Company, and financial projections of the Partnerships and the Properties, which financial projections were (i) presented by Duff & Phelps based on the Information (as herein defined) provided by management of the Company and analysis performed by Duff & Phelps, and (ii) reviewed and approved by management of the Company;

• A letter from the management of the Company which made certain representations as to historical financial statements, financial projections and the underlying assumptions for the Properties, the Partnerships, the Company, and the Management Companies, the allocation of fee simple value among certain entities which are ground lessees or operating lessees, and the equity interest allocation worksheets for the Partnerships;

• Other documents and information related to the Properties and prepared by management of the Company, including: floor plans, re-measurement projections, stacking plans, present market rental package including market rents and concessions, rent rolls, lease abstracts, property tax cards, capital expenditure projections, stabilization estimates for the Properties, and Argus files and operating expense estimates (collectively, the “Information”);

• Organizational and related documents of the Partnerships; and

• The schedule setting forth the allocation of Consideration among participants within each Partnership (the “Allocation Schedule”) provided to us by management of the Company.

    Duff & Phelps - CONFIDENTIAL 6    

Introduction and Background

Scope of Analysis (Continued)

• Discussed the information referred to above and the background, other elements of the Proposed Transaction, conditions in property markets, conditions in the market for sales or acquisitions of properties similar to the Properties, current and projected operations and performance, financial condition, and future prospects of the Properties, the Company, and the Management Companies with the management of the Company, and professionals from Pearson Partners, Inc. and CBRE Group, Inc., both as representatives of a significant investor in certain partnerships;

• Reviewed the historical trading price and trading volume of the publicly traded securities of certain other companies that Duff & Phelps deemed relevant;

• With respect to the Company and the Management Companies, performed certain valuation and comparative analyses using generally accepted valuation and analytical techniques including a discounted cash flow analysis, and an analysis of selected public companies that Duff & Phelps deemed relevant;

• With respect to the Properties and the Partnerships, conducted independent valuations using generally accepted valuation and analytical techniques that Duff & Phelps deemed relevant;

• Performed site visits for each of the Properties, with the exception of the properties located in Westport, CT at 69-97 Main Street and 103-107 Main Street; and

• Conducted such other analyses and considered such other factors as Duff & Phelps deemed appropriate.

    Duff & Phelps - CONFIDENTIAL 7    

Introduction and Background

Overall Portfolio Summary

Property Summary

Property	Year Built		Net Rentable Square Feet 1		Occupancy 2			Year 1 NOI 3
112-122 West 34th Street 4		1955		780,990		96.5	%	$	13,610,327
1333 Broadway		1915		369,777		83.8	%		9,812,857
1350 Broadway 5		1929		403,036		81.9	%		11,829,187
1400 Broadway 5		1938		946,638		77.4	%		14,836,377
501 Seventh Avenue 4		1923		493,756		89.9	%		9,017,801
1359 Broadway		1924		485,796		94.2	%		12,251,089
One Grand Central Place 4		1930		1,317,918		80.5	%		26,472,751
Empire State Building 4		1931		2,963,191		66.1	%		84,630,845
250 West 57th Street 4		1921		547,589		85.1	%		13,965,847
10 Bank Street		1989		240,288		88.0	%		3,457,214
500 Mamaroneck Ave		1987		310,720		90.9	%		3,723,050
383 Main Ave		1985		267,054		84.4	%		3,210,911
100, 200 & 300 First Stamford Place		1986		828,978		87.9	%		15,409,407
10 Union Square		1987		58,005		100.0	%		3,013,832
Metro Center		1987		297,918		98.7	%		10,627,295
103-107 Main Street		1900		4,330		100.0	%		329,955
69-97 Main Street		1922		17,103		100.0	%		1,337,917
77 West 55th Street 6, 7		1962		24,102		100.0	%		3,831,590
1010 Third Avenue 7		1962		44,662		100.0	%		N/A
170 East 87th Street		1993		56,250		100.0	%		2,087,148
Stamford, CT Land 8		N/A		325,000		N/A			N/A

Notes:

[1] Net rentable square feet based on the square footage provided by client and include certain size re-measurements for New York City office properties.

[2] Occupancy percentage for all properties is based on rent roll occupancy as of May 1, 2012.

[3] Year 1 Net Operating Income (“NOI”) is the period beginning July 1, 2012 and ending June 30, 2013.

[4] Net operating income is for the property as a whole and does not reflect intra-party or third party ground lease payments.

[5] Net operating income includes third party ground rent payments as operating expense.

[6] NOI is inclusive of 1010 Third Avenue. Both properties are part of “East West Manhattan Retail”.

[7] 1010 Third Avenue and 77 West 55th Street have been separated in the summary. Collectively these properties are “East West Manhattan Retail”.

[8] Size listed is gross buildable area.

    Duff & Phelps - CONFIDENTIAL 8    

Introduction and Background

Summary Property / Company Values

• The following table summarizes the values of the Properties on a fee simple basis and the enterprise values of the Company and the Management Companies.

Valuation Summary

Property / Company	Valuation Range					Concluded Value		Discount Rate
112-122 West 34th Street	$	425,600,000	-	$	470,400,000	$	448,000,000		8.50	%
1333 Broadway		198,550,000	-		219,450,000		209,000,000		8.50	%
1350 Broadway		207,100,000	-		228,900,000		218,000,000		8.50	%
1400 Broadway		369,550,000	-		408,450,000		389,000,000		8.50	%
501 Seventh Avenue		169,100,000	-		186,900,000		178,000,000		8.50	%
1359 Broadway		195,700,000	-		216,300,000		206,000,000		8.50	%
One Grand Central Place		668,800,000	-		739,200,000		704,000,000		7.00	%
Empire State Building		2,403,500,000	-		2,656,500,000		2,530,000,000		7.00	%
250 West 57th Street		342,950,000	-		379,050,000		361,000,000		7.25	%
10 Bank Street		47,500,000	-		52,500,000		50,000,000		8.75	%
500 Mamaroneck Ave		49,400,000	-		54,600,000		52,000,000		9.00	%
383 Main Ave		35,150,000	-		38,850,000		37,000,000		9.00	%
100, 200 & 300 First Stamford Place		252,700,000	-		279,300,000		266,000,000		8.50	%
10 Union Square		99,750,000	-		110,250,000		105,000,000		6.75	%
Metro Center		149,150,000	-		164,850,000		157,000,000		8.25	%
103-107 Main Street		6,650,000	-		7,350,000		7,000,000		7.25	%
69-97 Main Street		29,450,000	-		32,550,000		31,000,000		7.25	%
77 West 55th Street		80,750,000	-		89,250,000		85,000,000		6.75	%
170 East 8th Street		38,950,000	-		43,050,000		41,000,000		6.75	%
B.B.S.F., L.L.C.		13,870,000	-		15,330,000		14,600,000		6.75	%
Malkin Holdings, LLC (Ex Overrides)		4,000,000	-		4,750,000		4,250,000
Malkin Properties		5,150,000	-		5,850,000		5,500,000
Malkin Construction Corp.		4,688,000	-		5,400,000		5,025,000
Total Value	$	5,798,008,000	-	$	6,409,030,000	$	6,103,375,000

    Duff & Phelps - CONFIDENTIAL 9    

Introduction and Background

Summary of Partnership Exchange Values

• The following table indicates the exchange value, which is the value to be allocated to Investors and override holders in each of the Partnerships.

Exchange Value Summary

Property / Company	Entity	Exchange Value Range					Concluded Exchange Value		As % of Total  REIT
112-122 West 34th Street	112 West 34th Street Company L.L.C.	$	152,480,245	-	$	174,880,245	$	163,680,245		3.4	%
	112 West 34th Street Associates L.L.C.		158,800,077	-		181,200,077		170,000,077		3.5	%
			311,280,322	-		356,080,322		333,680,322		7.0	%
1333 Broadway	1333 Broadway Associates L.L.C.		145,885,546	-		166,785,546		156,335,546		3.3	%
1350 Broadway	1350 Broadway Associates L.L.C.		124,945,247	-		146,745,247		135,845,247		2.8	%
1400 Broadway	1400 Broadway Associates L.L.C.		259,328,379	-		298,228,379		278,778,379		5.8	%
501 Seventh Avenue	Seventh & 37th Building Associates L.L.C.		61,758,949	-		70,658,949		66,208,949		1.4	%
	501 Seventh Avenue Associates L.L.C.		58,286,281	-		67,186,281		62,736,281		1.3	%
			120,045,230	-		137,845,230		128,945,230		2.7	%
1359 Broadway	Marlboro Building Associates L.L.C.		147,933,045	-		168,533,045		158,233,045		3.3	%
One Grand Central Place	60 East 42nd St. Associates L.L.C.		295,469,533	-		330,669,533		313,069,533		6.5	%
	Lincoln Building Associates L.L.C.		278,387,317	-		313,587,317		295,987,317		6.2	%
			573,856,850	-		644,256,850		609,056,850		12.7	%
Empire State Building	Empire State Building Co L.L.C.		1,098,886,482	-		1,225,386,482		1,162,136,482		24.2	%
	Empire State Building Associates L.L.C.		1,120,362,549	-		1,246,862,549		1,183,612,549		24.7	%
			2,219,249,030	-		2,472,249,030		2,345,749,030		48.9	%
250 West 57th Street	250 West 57th Street Associates L.L.C.		154,039,607	-		172,089,607		163,064,607		3.4	%
	Fisk Building Associates L.L.C.		142,123,797	-		160,173,797		151,148,797		3.2	%
			296,163,405	-		332,263,405		314,213,405		6.6	%
10 Bank Street	1185 Bank L.L.C.		13,080,253	-		18,080,253		15,580,253		0.3	%
500 Mamaroneck Ave	Malkin 500 Mamaroneck Avenue L.P.		12,023,878	-		17,223,878		14,623,878		0.3	%

    Duff & Phelps - CONFIDENTIAL 10    

Introduction and Background

Summary of Partnership Exchange Values (continued)

Exchange Value Summary

Property / Company	Entity	Exchange Value Range					Concluded Exchange Value		As % of Total  REIT
383 Main Ave	Fairfield Merritview SPE L.L.C.	$	3,861,887	-	$	7,561,887	$	5,711,887		0.1	%
100, 200 & 300 First Stamford Place	First Stamford Place SPE L.L.C.		2,378,999	-		12,391,239		7,385,119		0.2	%
	Fairfax First Stamford SPE L.L.C.		2,190,822	-		10,484,702		6,337,762		0.1	%
	Merrifield First Stamford SPE L.L.C.		2,190,822	-		10,484,702		6,337,762		0.1	%
			6,760,644	-		33,360,644		20,060,644		0.4	%
10 Union Square	New York Union Square Retail L.P.		78,129,307	-		88,629,307		83,379,307		1.7	%
Metro Center	One Station Place, Limited Partnership		50,052,962	-		65,752,962		57,902,962		1.2	%
103-107 Main Street	Westport Main Street Retail L.L.C.		6,575,553	-		7,275,553		6,925,553		0.1	%
69-97 Main Street	Malkin Co-Investor Capital L.P.		20,007,416	-		23,107,416		21,557,416		0.4	%
77 West 55th Street	Malkin East West Retail Portfolio L.P.		51,761,882	-		60,261,882		56,011,882		1.2	%
170 East 8th Street	1185 Gotham L.L.C.		19,224,902	-		23,324,902		21,274,902		0.4	%
B.B.S.F., L.L.C.			13,870,000	-		15,330,000		14,600,000		0.3	%
Malkin Holdings, LLC (Ex Overrides)			5,527,000	-		6,277,000		5,777,000		0.1	%
Malkin Properties			5,150,000	-		5,850,000		5,500,000		0.1	%
Malkin Construction Corp.			4,688,000	-		5,400,000		5,025,000		0.1	%
Total Exchange Value		$	4,489,400,738	-	$	5,100,422,738	$	4,794,767,738		100.0	%

    Duff & Phelps - CONFIDENTIAL 11    

2. Valuation Analysis

Valuation Analysis

Methodology

• Duff & Phelps valuation and fairness analysis comprised the following steps:

• Determine the value of each of the Properties using generally accepted valuation methodologies as described herein.

• Allocate such values to each of the Partnerships that have an interest (fee-simple, leased fee, leasehold) related the Properties to determine the exchange value of such Partnerships.

• Allocate the Partnership exchange values to the Investors and override holders of each Partnership based on the equity allocation waterfalls provided by management of the Company to determine the exchange value of each Investor or override holder’s interest.

• Based on the Investor exchange values, the Company determined the allocation of Class A common stock, Class B common stock, operating partnership units or cash consideration among the Partnerships, the Company, and the Management Companies, as well as to the Investors. Duff & Phelps then considered these allocations in its fairness analysis.

    Duff & Phelps - CONFIDENTIAL 13    

Valuation Analysis

Property Valuation Methodologies

• Duff & Phelps considered the use of the Cost Approach, Sales Comparison Approach, and Income Approach, as defined herein, to value the Properties, but relied exclusively on the Income Approach except for the use of the Sales Comparison Approach for the valuation of the Stamford, CT land, along with the excess land at 500 Mamaroneck Avenue. Each approach assumes valuation of the property at the property’s highest and best use. From the indications of these analyses, Duff & Phelps rendered an opinion of value based upon expert judgment within the context of the appraisal process.

Income Approach

• The income capitalization approach (“Income Approach”) simulates the reasoning of an investor who views the cash flows that would result from the anticipated revenue and expense on a property throughout its lifetime. The NOI developed in our analysis is the balance of potential income remaining after vacancy and collection loss, and operating expenses. This net income is then capitalized at an appropriate rate to derive an estimate of value or discounted by an appropriate yield rate over a typical projection period in a discounted cash flow analysis. Thus, two key steps are involved: (1) estimating the net income applicable to the subject and (2) choosing appropriate capitalization rates and discount rates.

• The discounted cash flow (“DCF”) analysis focuses on the operating cash flows expected from the property and the anticipated proceeds of a hypothetical sale at the end of an assumed holding period. These amounts are then discounted to their present value. The discounted present values of the income stream and the reversion are added to obtain a value indication.

• We relied primarily on the DCF method to determine the market value of the operating Properties. We relied on the Sales Comparison Approach to value the Stamford, CT land and the excess land at 500 Mamaroneck Avenue. However, we corroborated our results through an analysis of the implied capitalization rate for each property. We analyzed the implied capitalization rate based on the value determined by the DCF and the first several years of projected NOI.

• The Income Approach was relied upon in determining the market value of the Properties. This is the approach utilized by typical investors and other market participants in the local market of the Properties, and was therefore determined to be the most reliable indicator of market value.

Application of Income Approach

• In applying the discounted cash flow technique, we estimated the operating results over a hypothetical 10-year holding period and assumed the Properties would be sold at the end of the final year for a price calculated by capitalizing the following year’s projected NOI.

• We averaged the 11^th, 12^th and 13^th years to account for any inconsistencies in cash flow. We then discounted the cash flows at a rate reflective of market conditions, bearing in mind the investment characteristics of the Properties.

• Lastly, we selected a terminal capitalization rate reflective of anticipated market conditions, the likely future condition of the Properties, and the uncertainty associated with estimates of future income and value.

    Duff & Phelps - CONFIDENTIAL 14    

Valuation Analysis

Property Valuation Methodologies

Cost Approach

• The cost approach considers the cost to replace the existing improvements, less accrued depreciation, plus the market value of the land. The cost approach is based on the understanding that market participants relate value to cost. The value of the property is derived by adding the estimated value of the land to the current cost of constructing a reproduction or replacement for the improvements and then subtracting the amount of depreciation in the structure from all causes. Profit for coordination by the entrepreneur is included in the value indication.

• The cost approach was omitted from our analysis, as it is not an approach typically utilized by investors in the local market of the Properties. Additionally, a number of the Properties are unique and historic buildings. The reproduction of the improvements would not be possible in many cases, and a replacement of the improvements would not necessarily constitute an adequate substitute, given their unique and historic nature.

Sales Comparison Approach

• To value the Stamford, CT land, we relied on the sales comparison approach. The sales comparison approach estimates value based on what other purchasers and sellers in the market have agreed to as price for comparable properties. This approach is based upon the principle of substitution, which states that the limits of prices, rents, and rates tend to be set by the prevailing prices, rents, and rates of equally desirable substitutes. In conducting the sales comparison approach, we gather data on reasonably substitutable properties and make adjustments for transactional and property characteristics. The resulting adjusted prices lead to an estimate of the price one might expect to realize upon sale of the property.

• The sales comparison approach was considered, but omitted from our analysis (with the exception of the Stamford, CT land and the excess land at 500 Mamaroneck Avenue), as the Income Approach was deemed to be a more reliable indicator of market value, as it is the typical approach utilized by investors in the local market of the Properties. Sales comparables were used to corroborate our value conclusions arrived at using the income approach.

    Duff & Phelps - CONFIDENTIAL 15    

Valuation Analysis

Property Valuation Methodologies

• The analysis detailed previously considers the in-place ground leases at the Properties. As noted, we determined the leased fee values (assuming they are not subject to any in-place ground leases) for all properties before allocating the value to the various interests. In order to value the Properties, we analyzed the following assumptions in our use of the income approach.

Market Rent

• In estimating the market rental rates, we surveyed competitive properties in the neighborhood of the Properties, in addition to analyzing the recently signed leases at the Properties and conversations with owner’s management to provide an indication of market rent. We also utilized third party databases including CoStar, Loopnet, and Real Capital Analytics, in addition to third-party market reports from various brokerage houses (i.e. CBRE, Cushman Wakefield, Colliers, NAI, etc.) to provide an indication of market rent.

Market Rent Growth

• Market rent growth was determined primarily through conversations with local market participants, taking into consideration how investors in the market of the Properties are modeling market rent growth. Market rent growth is primarily a function of location, quality, and property type. The projected market rent growth for the New York City properties is 0.0 percent growth in year 1, 5.0 percent growth in years 2-4, and 3.0 percent growth thereafter. The projected market rent growth for the suburban properties is 0.0 percent growth in year 1, and 3.0 percent growth thereafter.

Vacancy and Collection Loss

• We held conversations with management and local market participants to estimate downtime, renewal probability and stabilized occupancy, which were different for each Property. The downtime, renewal probability, and stabilized occupancies are primarily a function of location, quality, and use (i.e. office vs. retail).

    Duff & Phelps - CONFIDENTIAL 16    

Valuation Analysis

Property Valuation Methodologies

Operating Expense Analysis

• Current and historical expenses constitute a guide for estimating future expenses. Depreciation reserves, mortgage charges, income tax, corporation tax and capital additions were not included among the projected annual expenses the Income Approach.

• In estimating the individual expense categories for the Properties, we looked at historical expenses from 2007 to 2011, year-to-date expenses as of March 31, 2012, as well as management’s budget for 2012. We also held discussions with management regarding their expense budget. Additionally we spoke to other market participants to aid in properly estimating projected expenses. We placed primary reliance on management’s 2012 budget, and considered historical performance as applicable, while corroborating our expense estimates with estimates from the Building Owners and Managers Association (“BOMA”) and through conversations with local market participants.

Capital Expenditures

• We were provided specific 10 year capital expenditure projections for each property by management. These 10 year projections were the basis for the capital expenditure projections utilized in our analysis.

Cash Flow Forecast

• In applying the DCF methodology, we estimated the operating results over a hypothetical holding period. We assumed the property would be sold at the end of the final year for a price calculated by capitalizing the projected following year’s net income. We averaged the 11th, 12th and 13th years to account for any inconsistencies in cash flow. We then discounted the cash flows at a rate reflective of market conditions as June 30, 2012, bearing in mind the investment characteristics of the Properties. We selected a terminal capitalization rate reflective of anticipated market conditions, the likely future condition of the Properties, and the uncertainty associated with estimates of future income and value.

    Duff & Phelps - CONFIDENTIAL 17    

Valuation Analysis

Property Valuation Methodologies

Discount Rate

• A discount rate is an interest rate used to convert future payments or receipts into present value. The discount rate may or may not be the same as the internal rate of return (“IRR”) or yield rate depending on how it is extracted from the market and/or used in the analysis.

• We considered conversations with investors and local market participants (institutional investors, publically listed real estate companies/REITs, and other privately held real estate companies), as well as third-party surveys in determining the discount rate. The discount rates were determined on a property by property basis. The discount rates utilized in our analysis are primarily a function of property type, location, quality, projected NOI growth during the holding period, projected capital expenditures during the holding period, and current occupancy.

Terminal Capitalization Rate

• The terminal capitalization rates were determined on a property by property basis. The terminal capitalization rates utilized in our analysis are primarily a function of property type, location, quality, projected NOI growth during the holding period, projected capital expenditures during the holding period, and current occupancy.

    Duff & Phelps - CONFIDENTIAL 18    

Valuation Analysis

Property Valuation Methodologies

Property Summary

Building	Renewal Probability			Market Rent (PSF) 1, 2, 3	Tenant Improvements PSF (New/Renewal)	External Leasing Commissions % (New/Renewal) 4	Rent Abatements (New/Renewal) months	Reimbursements	Term (Yrs) 5
112-122 West 34th Street 6, 8		70.00	%	$37.00 - $45.00	$10.00-$50.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 6 / 1 - 3	Net; with Base Stop	5.00 - 10.00
1333 Broadway 6		70.00	%	$43.00 - $47.00	$10.00-$50.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 6 / 1 - 3	Net; with Base Stop	5.00 - 10.00
1350 Broadway 6		70.00	%	$43.00 - $49.00	$10.00-$50.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 6 / 1 - 3	Net; with Base Stop	5.00 - 10.00
1400 Broadway		70.00	%	$40.00 - $48.00	$10.00-$55.00/$0.00-$20.00	23.75%-39.38% /11.88%-19.69%	3 - 6 / 1 - 3	Net; with Base Stop	5.00 - 10.00
501 Seventh Avenue		70.00	%	$42.00 - $45.00	$20.00-$55.00/$10.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 6 / 2 - 3	Net; with Base Stop	5.00 - 10.00
1359 Broadway 6		70.00	%	$41.00 - $47.00	$10.00-$50.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 6 / 1 - 3	Net; with Base Stop	5.00 - 10.00
One Grand Central Place 6		70.00	%	$43.00 - $56.00	$10.00-$55.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 4 / 1 - 2	Net; with Base Stop	5.00 - 10.00
Empire State Building 6		70.00	%	$46.00 - $55.00	$10.00-$55.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	3 - 9 / 1 - 4	Net; with Base Stop	5.00 - 15.00
250 West 57th Street 6, 7		70.00	%	$31.00 - $52.00	$10.00-$45.00/$0.00-$20.00	23.75%-39.38% / 11.88%-19.69%	0 - 6 / 0 - 3	Net; with Base Stop	5.00 - 10.00

Notes:

[1] Represents market rent as of the July 1, 2012.

[2] Market rents noted for the office properties do not include any of the retail portions and are solely for the office space.

[3] Market rent omits storage space for all properties.

[4] Leasing commission amounts noted above are approximated based on a sliding scale. The following percentages are leasing commissions based on annual lease amount for new leases, with renewal commissions being half of these amounts:

10 Year Term: Year 1: 6.25%, Year 2-3: 5.00%, Year 4-5: 3.75%, Year 6-10: 3.13% (39.38%)

5 Year Term: Year 1: 6.25%, Year 2-3: 5.00%, Year 4-5: 3.75% (23.75%)

[5] Lease terms are inclusive of any rent abatements.

[6] Market rent, tenant improvements, and abatements are inclusive of “pre-built” space.

[7] Market rent, tenant improvements, and abatements are inclusive of “courtyard” space.

[8] Market rent, tenant improvements, and abatements are inclusive of “interior” and “showroom” office space.

    Duff & Phelps - CONFIDENTIAL 19    

Valuation Analysis

Property Valuation Methodologies

Property Summary

Building	Renewal Probability			Market Rent (PSF) 1, 2,  3	Tenant Improvements PSF (New/Renewal)	External Leasing Commissions % (New/Renewal) 4	Rent Abatements (New/Renewal) months	Reimbursements	Term (Yrs) 5
500 Mamaroneck Ave		70.00	%	$25.00 - $27.00	$20.00-$40.00/$10.00-$20.00	32.50%-50.0%/ 16.26%-25.02%	3 - 6 / 0 - 0	Net; with Base Stop	5.25 - 10.50
383 Main Ave		70.00	%	$25.00 - $26.00	$20.00-$40.00/$10.00-$20.00	32.50%-50.0%/ 16.26%-25.02%	4 - 6 / 0 -0	Net; with Base Stop	5.33 - 10.50
100, 200 & 300 First Stamford Place		70.00	%	$41.00 - $43.00	$30.00-$40.00/$10.00-$20.00	32.50%-50.0%/ 16.26%-25.02%	3 - 6 / 0 -0	Net; with Base Stop	5.25 - 10.50
10 Union Square		70.00	%	$75.00 - $400.00	$10.00-$30.00/$0.00	39.38% / 19.69%	4 - 12 / 0 - 0	Net; with Base Stop	10.00
Metro Center		70.00	%	$50.00 - $52.00	$10.00-$20.00/$5.00-$10.00	32.50%-50.0%/ 16.26%-25.02%	2 - 4 / 0 - 0	Net; with Base Stop	5.17 - 10.33
103-107 Main Street		70.00	%	$115.00	$5.00/$0.00	23.75% / 11.88%	3 / 0	Net	5.00
69-97 Main Street		70.00	%	$105.00 - $115.00	$5.00/$0.00	23.75% / 11.88%	3 / 0	Net	5.00
77 West 55th Street 8		70.00	%	$32.00 - $400.00	$0.00-$10.00/$0.00	39.38% / 19.69%	4-5/ 0 - 0	Net; with Base Stop	10.00
1010 Third Avenue 8		70.00	%	$58.00 - $116.00	$0.00-$10.00/$0.00	39.38% / 19.69%	4/ 0	Net; with Base Stop	10.00
170 East 87th Street 9		70.00	%	$25.00 - $400.00	$10.00/$0.00	39.38% / 19.69%	4 - 6 / 0 - 3	Net; with Base Stop	10.00
Stamford, CT Land		N/A		N/A	N/A	N/A	N/A	N/A	N/A

Notes:

[1] Represents market rent as of the July 1, 2012.

[2] Market rents noted for the office properties do not include any of the retail portions and are solely for the office space.

[3] Market rent omits storage space for all properties.

[4] Leasing commission amounts noted above are approximated based on a sliding scale. The following percentages are leasing commissions based on annual lease amount for new leases, with renewal commissions being half of these amounts:

10 Year Term: Year 1: 6.25%, Year 2-3: 5.00%, Year 4-5: 3.75%, Year 6-10: 3.13% (39.38%)

5 Year Term: Year 1: 6.25%, Year 2-3: 5.00%, Year 4-5: 3.75% (23.75%)

[5] Lease terms are inclusive of any rent abatements.

[6] Market rent, tenant improvements, and abatements are inclusive of “pre-built” space.

[7] Market rent, tenant improvements, and abatements are inclusive of “courtyard” space.

[8] Market rent, tenant improvements, and abatements are inclusive of “interior” and “showroom” office space.

[9] Assumes 100% renewal probability for parking garages.

[10] Market rent inclusive of Loew’s Theatre space.

    Duff & Phelps - CONFIDENTIAL 20    

Valuation Analysis

Property Valuation Methodologies

Discount Rate Assumptions

	Terminal Cap Rate			Discount Rate
Building	(Midpoint)			(Midpoint)
112-122 West 34th Street		6.50	%		8.50	%
1333 Broadway		6.50	%		8.50	%
1350 Broadway		6.50	%		8.50	%
1400 Broadway		6.50	%		8.50	%
501 Seventh Avenue		6.50	%		8.50	%
1359 Broadway		6.50	%		8.50	%
One Grand Central Place		5.75	%		7.00	%
Empire State Building, 350 Fifth Ave		5.75	%		7.00	%
250 West 57th Street		6.00	%		7.25	%
10 Bank Street		7.00	%		8.75	%
500 Mamaroneck Ave		7.00	%		9.00	%
383 Main Ave		7.00	%		9.00	%
100, 200 & 300 First Stamford Place		6.75	%		8.50	%
10 Union Square		5.75	%		6.75	%
Metro Center		6.75	%		8.25	%
103-107 Main Street		6.00	%		7.25	%
69-97 Main Street		6.00	%		7.25	%
77 West 55th Street		5.75	%		6.75	%
1010 Third Avenue		5.75	%		6.75	%
170 East 87th Street		5.75	%		6.75	%

    Duff & Phelps - CONFIDENTIAL 21    

Valuation Analysis

Property Valuation Methodologies

• The following able indicates the Partnership ownership type for each property. Those properties with separate Partnerships that have a leased fee and leasehold interest are referred to as “Two-Tier” properties. The methodology for allocation of property value to each Partnership, Investor and override holder is described on the following pages.

Entity	Entity Type	Entity	Entity Type
Empire State Building		Metro Center
Empire State Building Associates L.L.C.	Leased Fee	One Station Place, Limited Partnership	Fee Simple
Empire State Building Company L.L.C.	Leasehold
		10 Union Square
One Grand Central Place		New York Union Square Retail L.P.	Fee Simple
60 East 42nd St. Associates L.L.C.	Leased Fee
Lincoln Building Associates L.L.C.	Leasehold	103-107 Main Street
		Westport Main Street Retail L.L.C.	Fee Simple
250 West 57th St.
250 West 57th St. Associates L.L.C.	Leased Fee	First Stamford Place
Fisk Building Associates L.L.C.	Leasehold	Fairfax First Stamford SPE L.L.C.	Fee Simple
		Merrifield First Stamford SPE L.L.C.	Fee Simple
1333 Broadway		First Stamford Place SPE L.L.C.	Fee Simple
1333 Broadway Associates L.L.C.	Fee Simple
		10 Bank Street
1350 Broadway		1185 Swap Portfolio L.P.	Fee Simple
1350 Broadway Associates L.L.C.	Leasehold
		170 East 8th Street
1359 Broadway		1185 Swap Portfolio L.P.	Fee Simple
Marlboro Building Associates L.L.C.	Fee Simple
		383 Main Ave
501 Seventh Avenue		Fairfield Merrittview Limited Partnership	Fee Simple
Seventh & 37th Building Associates L.L.C.	Leased Fee
501 Seventh Avenue Associates L.L.C.	Leasehold	500 Mamaroneck Ave
		500 Mamaroneck Avenue L.P.	Fee Simple
69-97 Main Street
Soundview Plaza Associates II L.L.C.	Fee Simple	112-122 West 34th Street
		112 West 34th Street Associates L.L.C	Leased Fee
East West Manhattan Retail Portfolio L.P.		112 West 34th Street Company L.L.C.	Leasehold
East West Manhattan Retail Portfolio L.P.	Fee Simple
		1400 Broadway
		1400 Broadway Associates L.L.C.	Leasehold

    Duff & Phelps - CONFIDENTIAL 22    

Valuation Analysis

Exchange Value Methodology – Two Tier Properties

• Duff & Phelps calculated the aggregate exchange value of the Partnerships for Two Tier Properties in which there is a property owner and an operating lessee as follows:

• The allocable value as described below is shared equally between the property owner and operating lessee:

• The allocable value equals the sum of:

• The appraised value, on a fee simple basis, of Partnership’s property, as determined by the Duff & Phelps’s appraisal of such property, as of June 30, 2012; and

• The amount of cash held by the Partnership that is expressly designated for property improvements, as of June 30, 2012, as provided by the Company;

• Reduced by:

• The face value of shared mortgage debt obligations, which are mortgage debt obligations of the property owner that are serviced by basic rent paid by the operating lessee, as of June 30, 2012; and

• The present value of the base operating lease payments from the operating lessee to the property owner.

• Fifty percent of such allocable value is allocated to the property owner and is adjusted as follows to estimate the exchange value of the property owner:

• Fifty percent of the amount by which the actual net working capital as of June 30, 2012 exceeds (such value being negative if it is exceeded by) the normalized level of net working capital required to operate the property owned by the Partnership. Net working capital as used in this allocation is defined as current assets (excluding cash and cash equivalents), less current liabilities (excluding the current portion of debt);

• Subtract the property owner debt obligations that are not shared mortgage debt obligations serviced with basic rent paid by the operating lessee as of June 30, 2012; and

• Add the present value of the base operating lease payments from the operating lessee to the property owner.

• Fifty percent of such allocable value is allocated to the operating lessee and is adjusted as follows to estimate the exchange value of the operating lessee:

• Subtract the after-tax net present value of the supervisory fees paid to the supervisor and the unpaid cash overrides as of June 30, 2012; and

• Add/(subtract) fifty percent of the amount by which the actual net working capital as of June 30, 2012 exceeds/(is exceeded by) the normalized level of net working capital required to operate the property owned by the Partnership.

    Duff & Phelps - CONFIDENTIAL 23    

Valuation Analysis

Exchange Value Methodology – Two Tier Properties (continued)

• The allocated exchange value was allocated 50% to the property owner and 50% to the operating lessee in a two tier entity instead of being allocated in accordance with a discounted cash flow analysis through the term of the ground lease based on representations of the supervisor as described in Registration Statement on Form S-4, which addresses the allocation of value using a joint venture waterfall among certain entities which have leased fee or leasehold interests in certain of the Properties. Such allocations assume that the value attributable to the leased fee and the leasehold, after accounting for any unshared debt obligations and the present value of the base ground rent paid by the leasehold to the leased fee, is shared equally.

• The Company has represented that historically, agreements have been entered into to share capital expenditure and financing costs and the operating leases have been extended in connection therewith. As a result, the allocated exchange value has been allocated equally to the property owner and operating lessee, rather than in proportion that would be indicated by a discounted cash flow analysis through the end of the ground lease, which would have resulted in a higher allocation to the property owner, which, in the case of Empire State Building Associates, would have been significantly higher.

    Duff & Phelps - CONFIDENTIAL 24    

Valuation Analysis

Exchange Value Methodology – One Tier Properties and Management Companies

• Duff & Phelps calculated the aggregate exchange value for the private entities with fee simple properties, properties with co-tenancy arrangements, and properties with third-party ground leases as follows:

• The sum of:

• The appraised value of a Partnership’s (i) property on a fee simple basis when such property is owned, or (ii) leasehold when the lessor of such leasehold is a third party, as determined by the independent valuers’ appraisal of such property or leasehold as of July 1, 2012;

• The amount by which the actual net working capital exceeds (such value being negative if it is exceeded by) the normalized level of net working capital required to operate the property owned by the Partnership. As of June 30, 2012 the Company determined that there was no excess or deficit in the net working capital at any of the Partnerships, with the exception of the unpaid cash overrides addressed below; and

• The amount of cash held in the Partnership that is expressly designated for property improvements as of June 30, 2012, as provided by the Company;

• Reduced by:

• The face value of its mortgage debt balance as of June 30, 2012; and

• The after-tax net present value of the supervisory fees paid to the supervisor.

• The exchange value of the management companies was computed as the operating business value as of June 30, 2012 plus, in the case of the Company, the value of the unpaid cash overrides that are accrued but unpaid.

    Duff & Phelps - CONFIDENTIAL 25    

Valuation Analysis

Allocation of Exchange Value to Investors and Override Holders

• The table below summarizes the allocation of the Partnership exchange values to the Investors and override holders of each Partnership based on the equity allocation waterfalls provided by management of the Company.

• On the following pages we provide a summary of the Partnership and Investor allocations, with more detailed waterfalls provided in Appendix 2.

Summary Exchange Value

Property	Entity	Participants / Members		Class B / Override Holders		Total Exchange Value
112-122 West 34th Street	112 West 34th Street Company L.L.C.	$	135,044,242	$	28,636,004	$	163,680,245
	112 West 34th Street Associates L.L.C.		151,167,007		18,833,070		170,000,077
1333 Broadway	1333 Broadway Associates L.L.C.		156,335,546		0		156,335,546
1350 Broadway	1350 Broadway Associates L.L.C.		122,299,332		13,545,915		135,845,247
1400 Broadway	1400 Broadway Associates L.L.C.		261,725,248		17,053,131		278,778,379
501 Seventh Avenue	Seventh & 37th Building Associates L.L.C.		60,461,969		5,746,980		66,208,949
	501 Seventh Avenue Associates L.L.C.		56,462,653		6,273,628		62,736,281
1359 Broadway	Marlboro Building Associates L.L.C.		147,828,064		10,404,981		158,233,045
One Grand Central Place	60 East 42nd St. Associates L.L.C.		281,860,580		31,208,953		313,069,533
	Lincoln Building Associates L.L.C.		266,388,586		29,598,732		295,987,317
Empire State Building	Empire State Building Co L.L.C.		1,066,395,352		95,741,130		1,162,136,482
	Empire State Building Associates L.L.C.		1,075,469,167		108,143,382		1,183,612,549
250 West 57th Street	Fisk Building Associates L.L.C.		105,470,905		45,677,893		151,148,797
	250 West 57th Street Associates L.L.C.		150,856,656		12,207,951		163,064,607
10 Bank Street	1185 Bank L.L.C.		15,040,804		539,450		15,580,253
170 East 8th Street	1185 Gotham L.L.C.		20,538,282		736,621		21,274,902
500 Mamaroneck Ave	Malkin 500 Mamaroneck Avenue L.P.		14,623,878		0		14,623,878
383 Main Ave	Fairfield Merritview SPE L.L.C.		2,855,946		2,855,941		5,711,887
100, 200 & 300 First Stamford Place	First Stamford Place SPE L.L.C.		3,729,485		3,655,634		7,385,119
	Fairfax First Stamford SPE L.L.C.		5,703,986		633,776		6,337,762
	Merrifield First Stamford SPE L.L.C.		4,420,589		1,917,173		6,337,762
10 Union Square	New York Union Square Retail L.P.		42,106,550		41,272,757		83,379,307
Metro Center	One Station Place, Limited Partnership		5,790,296		52,112,666		57,902,962
103-107 Main Street	Westport Main Street Retail L.L.C.		6,925,553		0		6,925,553
69-97 Main Street	Soundview Plaza Associates II L.L.C.		21,557,416		0		21,557,416
77 West 55th Street	Malkin East West Retail Portfolio L.P.		28,286,000		27,725,882		56,011,882
B.B.S.F., L.L.C.			14,600,000		0		14,600,000
Malkin Holdings, LLC (Ex Overrides)			5,777,000		0		5,777,000
Malkin Properties			5,500,000		0		5,500,000
Malkin Construction Corp.			5,025,000		0		5,025,000
Total Exchange Value		$	4,240,246,090	$	554,521,648	$	4,794,767,738

    Duff & Phelps - CONFIDENTIAL 26    

Valuation Analysis

112-122 West 34^th Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

112 West 34th Street Exchange Value

		112 West 34th Street Associates L.L.C. (112-120 Ground Lessee) (122 Fee Owner & Sublessee)			112 West 34th Street Company L.L.C. (Operating Sublessee)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value								$	448,000,000		$	425,600,000		-	$	470,400,000
Less: Shared Debt Obligations									(85,394,903	)		(85,394,903	)	-		(85,394,903	)
Less: 3rd Party Lease									(24,000,000	)		(24,000,000	)	-		(24,000,000	)
Less: PV of Base Rent									(10,000,000	)		(10,000,000	)	-		(10,000,000	)
Total Allocable Value		$	164,302,549		$	164,302,549		$	328,605,097		$	306,205,097		-	$	351,005,097
Less: After-Tax PV of Supervisory Fees			(524,374	)		(622,303	)		(1,146,678	)		(1,146,678	)	-		(1,146,678	)
Less: Unshared Debt Obligations			(3,778,097	)		0			(3,778,097	)		(3,778,097	)	-		(3,778,097	)
Plus: PV of Base Rent			10,000,000			0			10,000,000			10,000,000		-		10,000,000
Amount to Allocate for Capital Transaction		$	170,000,077		$	163,680,245		$	333,680,322		$	311,280,322		-	$	356,080,322
Allocation Detail:
112 West 34th Street Company L.L.C.	50% LMH (master partner)				$	77,748,117		$	77,748,117		$	72,428,117		-	$	83,068,117
112 West 34th Street Company L.L.C.	23% of PLM group not subject to override					35,764,134			35,764,134			33,316,934		-		38,211,334
112 West 34th Street Company L.L.C.	27% of PLM group subject to override					21,531,991			21,531,991			20,095,591		-		22,968,391
112 West 34th Street Company L.L.C.	Wien - Override					18,937,029			18,937,029			17,607,029		-		20,267,029
112 West 34th Street Company L.L.C.	Wiessmann - Override					1,514,962			1,514,962			1,408,562		-		1,621,362
112 West 34th Street Company L.L.C.	Malkin Holdings LLC - Override					8,184,012			8,184,012			7,624,012		-		8,744,012
112 West 34th Street Associates L.L.C.	112 West 34th Street Associates L.L.C.	$	151,167,007						151,167,007			141,241,510		-		161,092,504
112 West 34th Street Associates L.L.C.	Malkin Holdings LLC - Override		18,833,070						18,833,070			17,558,567		-		20,107,574
Total		$	170,000,077		$	163,680,245		$	333,680,322		$	311,280,322		-	$	356,080,322

    Duff & Phelps - CONFIDENTIAL 27    

Valuation Analysis

1333 Broadway

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

1333 Broadway Associates L.L.C. Exchange Value

	Concluded Value			Low				High
Property Value	$	209,000,000		$	198,550,000		-	$	219,450,000
Less: Shared Debt Obligations		(71,200,000	)		(71,200,000	)	-		(71,200,000	)
Plus: Cash for Improvements		18,914,650			18,914,650		-		18,914,650
Less: After-Tax PV of Supervisory Fees		(379,104	)		(379,104	)	-		(379,104	)
Amount to Allocate for Capital Transaction	$	156,335,546		$	145,885,546		-	$	166,785,546

    Duff & Phelps - CONFIDENTIAL 28    

Valuation Analysis

1350 Broadway

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

1350 Broadway Associates L.L.C. Exchange Value

		Concluded Value			Low				High
Property Value		$	218,000,000		$	207,100,000		-	$	228,900,000
Less: Shared Debt Obligations			(50,427,335	)		(50,427,335	)	-		(50,427,335	)
Less: 3rd Party Lease			(31,000,000	)		(31,000,000	)	-		(31,000,000	)
Less: After-Tax PV of Supervisory Fees			(727,418	)		(727,418	)	-		(727,418	)
Amount to Allocate for Capital Transaction		$	135,845,247		$	124,945,247		-	$	146,745,247
Allocation Detail:
1350 Broadway Associates L.L.C.	Peter L. Malkin - 50% Group	$	54,376,708		$	50,016,708		-	$	58,736,708
1350 Broadway Associates L.L.C.	Malkin Holdings LLC - Override		13,545,915			12,455,915		-		14,635,915
1350 Broadway Associates L.L.C.	David M. Baldwin - 50% Group		67,922,623			62,472,623		-		73,372,623
Total		$	135,845,247		$	124,945,247		-	$	146,745,247

    Duff & Phelps - CONFIDENTIAL 29    

Valuation Analysis

1400 Broadway

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

1400 Broadway Associates L.L.C. Exchange Value

	Concluded Value			Low				High
Property Value	$	389,000,000		$	369,550,000		-	$	408,450,000
Less: Shared Debt Obligations		(71,300,000	)		(71,300,000	)	-		(71,300,000	)
Less: 3rd Party Lease		(37,000,000	)		(37,000,000	)	-		(37,000,000	)
Less: After-Tax PV of Supervisory Fees		(1,921,621	)		(1,921,621	)	-		(1,921,621	)
Amount to Allocate for Capital Transaction	$	278,778,379		$	259,328,379		-	$	298,228,379
Allocation Detail:
Participants - 25% Group	$	63,022,528		$	58,634,122		-	$	67,410,934
Participants - 50% Group		132,468,480			123,229,730		-		141,707,230
LMH 1400 LLC		66,234,240			61,614,865		-		70,853,615
Malkin Holdings LLC - Override		13,841,419			12,868,919		-		14,813,919
Peter L. Malkin Family 5 LLC - Override		1,605,856			1,490,372		-		1,721,340
Enid Morse - Override		1,605,856			1,490,372		-		1,721,340
Total	$	278,778,379		$	259,328,379		-	$	298,228,379

    Duff & Phelps - CONFIDENTIAL 30    

Valuation Analysis

501 Seventh Ave

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

501 Seventh Avenue Exchange Value

		Seventh & 37th Building Associates L.L.C. (Fee Owner)			501 Seventh Avenue Associates L.L.C. (Operating Lessee)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value								$	178,000,000		$	169,100,000		-	$	186,900,000
Less: Shared Debt Obligations									(47,154,079	)		(47,154,079	)	-		(47,154,079	)
Less: PV of Base Rent									(4,000,000	)		(4,000,000	)	-		(4,000,000	)
Total Allocable Value			63,422,961			63,422,961			126,845,921			117,945,921		-		135,745,921
Less: After-Tax PV of Supervisory Fees			(396,824	)		(686,679	)		(1,083,504	)		(1,083,504	)	-		(1,083,504	)
Less: Unshared Debt Obligations			(817,187	)		0			(817,187	)		(817,187	)	-		(817,187	)
Plus: PV of Base Rent			4,000,000			0			4,000,000			4,000,000		-		4,000,000
Amount to Allocate for Capital Transaction		$	66,208,949		$	62,736,281		$	128,945,230		$	120,045,230		-	$	137,845,230
Allocation Detail:
Seventh & 37th Building Associates L.L.C.	Participants	$	60,461,969					$	60,461,969		$	56,420,442		-	$	64,503,496
Seventh & 37th Building Associates L.L.C.	Malkin Holdings LLC - Override		5,746,980						5,746,980			5,338,507		-		6,155,453
501 Seventh Avenue Associates L.L.C.	Member				$	56,462,653			56,462,653			52,457,653		-		60,467,653
501 Seventh Avenue Associates L.L.C.	Malkin Holdings LLC - Override					6,273,628			6,273,628			5,828,628		-		6,718,628
Total		$	66,208,949		$	62,736,281		$	128,945,230		$	120,045,230		-	$	137,845,230

    Duff & Phelps - CONFIDENTIAL 31    

Valuation Analysis

1359 Broadway

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

Marlboro Building Associates L.L.C. Exchange Value

	Concluded Value			Low				High
Property Value	$	206,000,000		$	195,700,000		-	$	216,300,000
Less: Shared Debt Obligations		(47,001,233	)		(47,001,233	)	-		(47,001,233	)
Less: After-Tax PV of Supervisory Fees		(765,722	)		(765,722	)	-		(765,722	)
Amount to Allocate for Capital Transaction	$	158,233,045		$	147,933,045		-	$	168,533,045
Allocation Detail:
Members and Participants	$	147,828,064		$	138,221,088		-	$	157,435,039
Malkin Holdings LLC - Override		10,404,981			9,711,956		-		11,098,006
Total	$	158,233,045		$	147,933,045		-	$	168,533,045

    Duff & Phelps - CONFIDENTIAL 32    

Valuation Analysis

One Grand Central Place

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

60 East 42nd St. Associates L.L.C. Exchange Value

		60 East 42nd St. Associates L.L.C. (Fee Owner)			Lincoln Building Associates L.L.C. (Operating Lessee)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value								$	704,000,000		$	668,800,000		-	$	739,200,000
Less: Shared Debt Obligations									(90,310,237	)		(90,310,237	)	-		(90,310,237	)
Less: PV of Base Rent									(15,000,000	)		(15,000,000	)	-		(15,000,000	)
Total Allocable Value			299,344,882			299,344,882			598,689,763			563,489,763		-		633,889,763
Less: After-Tax PV of Supervisory Fees			(1,275,348	)		(2,739,564	)		(4,014,913	)		(4,014,913	)	-		(4,014,913	)
Less: Unpaid Cash Override			0			(618,000	)		(618,000	)		(618,000	)	-		(618,000	)
Plus: PV of Base Rent			15,000,000			0			15,000,000			15,000,000		-		15,000,000
Amount to Allocate for Capital Transaction		$	313,069,533		$	295,987,317		$	609,056,850		$	573,856,850		-	$	644,256,850
Allocation Detail:
60 East 42nd St. Associates L.L.C.	Participants	$	281,860,580					$	281,860,580		$	266,020,580		-	$	297,700,580
60 East 42nd St. Associates L.L.C.	Malkin Holdings LLC - Override		31,208,953						31,208,953			29,448,953		-		32,968,953
Lincoln Building Associates L.L.C.	Members				$	266,388,586			266,388,586			250,548,586		-		282,228,586
Lincoln Building Associates L.L.C.	Malkin Holdings LLC - Override					29,598,732			29,598,732			27,838,732		-		31,358,732
Total		$	313,069,533		$	295,987,317		$	609,056,850		$	573,856,850		-	$	644,256,850

    Duff & Phelps - CONFIDENTIAL 33    

Valuation Analysis

Empire State Building

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

Empire State Building Exchange Value

		Empire State Land Associates L.L.C. (Fee Owner)			Empire State Building Company L.L.C. (Operating Lessee)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value								$	2,530,000,000		$	2,403,500,000		-	$	2,656,500,000
Less: Shared Debt Obligations									(128,500,000	)		(128,500,000	)	-		(128,500,000	)
Less: PV of Base Rent									(83,000,000	)		(83,000,000	)	-		(83,000,000	)
Plus: Cash for Improvements									14,000,000			14,000,000		-		14,000,000
Total Allocable Value			1,166,250,000			1,166,250,000			2,332,500,000			2,206,000,000		-		2,459,000,000
Less: After-Tax PV of Supervisory Fees			(5,137,451	)		(4,113,518	)		(9,250,970	)		(9,250,970	)	-		(9,250,970	)
Less: Unshared Debt Obligations			(60,500,000	)		0			(60,500,000	)		(60,500,000	)	-		(60,500,000	)
Plus: PV of Base Rent			83,000,000			0			83,000,000			83,000,000		-		83,000,000
Amount to Allocate for Capital Transaction		$	1,183,612,549		$	1,162,136,482		$	2,345,749,030		$	2,219,249,030		-	$	2,472,249,030
Allocation Detail:
Empire State Building Co L.L.C.	Members				$	886,129,067		$	886,129,067		$	837,900,942		-	$	934,357,192
Empire State Building Co L.L.C.	PLM 4-2-71 JV, 10% Participants					87,610,236			87,610,236			82,866,486		-		92,353,986
Empire State Building Co L.L.C.	PLM 4-2-71 JV, 10% Override					28,603,412			28,603,412			27,022,162		-		30,184,662
Empire State Building Co L.L.C.	PLM 7-2-71 JV, 5% Participants					43,805,118			43,805,118			41,433,243		-		46,176,993
Empire State Building Co L.L.C.	PLM 7-2-71 JV, 5% Override					14,301,706			14,301,706			13,511,081		-		15,092,331
Empire State Building Co L.L.C.	1273 Realty Company Participants					48,850,930			48,850,930			46,238,046		-		51,463,815
Empire State Building Co L.L.C.	1273 Realty Company - Override					42,797,855			42,797,855			40,431,910		-		45,163,801
Empire State Building Associates L.L.C.	Participants	$	1,075,469,167						1,075,469,167			1,018,163,900		-		1,132,774,434
Empire State Building Associates L.L.C.	Malkin Holdings LLC - Override		108,143,382			10,038,157			118,181,538			111,681,260		-		124,681,817
Total		$	1,183,612,549		$	1,162,136,482		$	2,345,749,030		$	2,219,249,030		-	$	2,472,249,030

    Duff & Phelps - CONFIDENTIAL 34    

Valuation Analysis

250 West 57^th Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

250 West 57th Exchange Value

		250 West 57th St. Associates L.L.C. (Fee Owner)			Fisk Building Associates L.L.C. (Operating Lessee)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value								$	361,000,000		$	342,950,000		-	$	379,050,000
Less: Shared Debt Obligations									(44,425,212	)		(44,425,212	)	-		(44,425,212	)
Less: PV of Base Rent									(11,000,000	)		(11,000,000	)	-		(11,000,000	)
Total Allocable Value			152,787,394			152,787,394			305,574,788			287,524,788		-		323,624,788
Less: After-Tax PV of Supervisory Fees			(722,787	)		(729,597	)		(1,452,383	)		(1,452,383	)	-		(1,452,383	)
Less: Unpaid Cash Override			0			(909,000	)		(909,000	)		(909,000	)	-		(909,000	)
Plus: PV of Base Rent			11,000,000			0			11,000,000			11,000,000		-		11,000,000
Amount to Allocate for Capital Transaction		$	163,064,607		$	151,148,797		$	314,213,405		$	296,163,405		-	$	332,263,405
Allocation Detail:
250 West 57th Street Associates L.L.C.	Participants	$	150,856,656					$	150,856,656		$	142,538,531		-	$	159,174,782
250 West 57th Street Associates L.L.C.	Malkin Holdings LLC - Override		12,207,951						12,207,951			11,501,076		-		12,914,826
Fisk Building Associates L.L.C.	Participants - 45% Group				$	30,652,250			30,652,250			28,916,066		-		32,388,434
Fisk Building Associates L.L.C.	Members					74,818,655			74,818,655			70,351,280		-		79,286,030
Fisk Building Associates L.L.C.	IW Morose - Override					13,826,125			13,826,125			12,958,033		-		14,694,217
Fisk Building Associates L.L.C.	Malkin Family - Override					13,826,125			13,826,125			12,958,033		-		14,694,217
Fisk Building Associates L.L.C.	Malkin Holdings LLC - Override					18,025,643			18,025,643			16,940,387		-		19,110,899
Total		$	163,064,607		$	151,148,797		$	314,213,405		$	296,163,405		-	$	332,263,405

    Duff & Phelps - CONFIDENTIAL 35    

Valuation Analysis

10 Bank Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

1185 Gotham L.L.C. Exchange Value

	Gotham Concluded Value			Gotham Low				Gotham High
Property Value	$	41,000,000		$	38,950,000		-	$	43,050,000
Less: Shared Debt Obligations		(19,540,393	)		(19,540,393	)	-		(19,540,393	)
Less: After-Tax PV of Supervisory Fees		(184,705	)		(184,705	)	-		(184,705	)
Amount to Allocate for Capital Transaction	$	21,274,902		$	19,224,902		-	$	23,324,902
Allocation Detail:
General Partner	$	371,386		$	355,791		-	$	388,060
Class 2 LP		736,621			96,002		-		1,346,829
Class 1 LP		19,019,130			17,589,861		-		20,469,933
Support Co.		1,147,765			1,183,249				1,120,080
Total	$	21,274,902		$	19,224,902		-	$	23,324,902

    Duff & Phelps - CONFIDENTIAL 36    

Valuation Analysis

500 Mamaroneck Ave

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

500 Mamaroneck Avenue L.P. Exchange Value

		Concluded Value			Low				High
Property Value		$	52,000,000		$	49,400,000		-	$	54,600,000
Less: Shared Debt Obligations			(37,190,401	)		(37,190,401	)	-		(37,190,401	)
Less: After-Tax PV of Supervisory Fees			(185,721	)		(185,721	)	-		(185,721	)
Amount to Allocate for Capital Transaction		$	14,623,878		$	12,023,878		-	$	17,223,878
Allocation Detail:
Malkin 500 Mamaroneck Avenue L.P.	Class A LPs	$	10,858,230		$	8,927,730		-	$	12,788,730
Malkin 500 Mamaroneck Avenue L.P.	Class B LPs		0			0		-		0
Malkin 500 Mamaroneck Avenue L.P.	General Partner		109,679			90,179		-		129,179
Viviane Paris, LLC	Viviane Paris, LLC		3,655,970			3,005,970		-		4,305,970
Viviane Paris, LLC	Class B LP		0			0		-		0
Total		$	14,623,878		$	12,023,878		-	$	17,223,878

    Duff & Phelps - CONFIDENTIAL 37    

Valuation Analysis

383 Main Ave

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

Fairfield Merritview Limited Partnership Exchange Value

	Concluded Value			Low				High
Property Value	$	37,000,000		$	35,150,000		-	$	38,850,000
Less: Shared Debt Obligations		(31,173,778	)		(31,173,778	)	-		(31,173,778	)
Less: After-Tax PV of Supervisory Fees		(114,335	)		(114,335	)	-		(114,335	)
Amount to Allocate for Capital Transaction	$	5,711,887		$	3,861,887		-	$	7,561,887
Allocation Detail:
General Partner	$	51,407		$	34,757		-	$	68,057
Class B LP		2,284,752			1,544,753		-		3,024,752
Class A LP		2,804,539			1,896,188		-		3,712,889
Override		571,189			386,189		-		756,189
Total	$	5,711,887		$	3,861,887		-	$	7,561,887

    Duff & Phelps - CONFIDENTIAL 38    

Valuation Analysis

100, 200 & 300 First Stamford Place

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

100, 200 & 300 First Stamford Place Exchange Value

		Fairfax First Stamford SPE L.L.C. (62.36% Co- Tenant)			Merrifield First Stamford SPE L.L.C. (Operating Lessee of 62.36% Co- Tenant)			First Stamford Place SPE L.L.C. (37.64% Co- Tenant)			Concluded Value Consolidated			Low Consolidated				High Consolidated
Property Value											$	266,000,000		$	252,700,000		-	$	279,300,000
Less: Shared Debt Obligations (1)												(245,435,000	)		(245,435,000	)	-		(245,435,000	)
Total Allocable Value			6,412,167			6,412,167			7,740,666			20,565,000			7,265,000		-		33,865,000
Less: After-Tax PV of Supervisory Fees			(74,405	)		(74,405	)		(355,547	)		(504,356	)		(504,356	)	-		(504,356	)
Amount to Allocate for Capital Transaction		$	6,337,762		$	6,337,762		$	7,385,119		$	20,060,644		$	6,760,644		-	$	33,360,644
Allocation Detail:
First Stamford Place SPE L.L.C.	Class A & A2 Members							$	3,655,634		$	3,655,634		$	1,177,605		-	$	6,133,663
	Manager								73,851			73,851			23,790		-		123,912
	Class B								3,655,634			3,655,634			1,177,605		-		6,133,663
Fairfax First Stamford SPE L.L.C.	Fairfax First Stamford SPE L.L.C.	$	5,703,986									5,703,986			1,971,740		-		9,436,232
	Malkin Holdings LLC - Override		633,776									633,776			219,082		-		1,048,470
Merrifield First Stamford SPE L.L.C.	55% Members				$	3,137,192						3,137,192			1,084,457		-		5,189,928
	45% Members					1,283,397						1,283,397			443,642		-		2,123,152
	Malkin Holdings LLC - Override (Assigned)					633,776						633,776			219,082		-		1,048,470
	PLMalkin Family 9 LLC - Override					641,698						641,698			221,821		-		1,061,576
	Enid Morse - Override					641,698						641,698			221,821		-		1,061,576
Total		$	6,337,762		$	6,337,762		$	7,385,119		$	20,060,644		$	6,760,644		-	$	33,360,644

(1) Shared debt obligations net against funds in escrow in the amount of $5,756,778.

    Duff & Phelps - CONFIDENTIAL 39    

Valuation Analysis

10 Union Square

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

New York Union Square Retail L.P. Exchange Value

	Concluded Value			Low				High
Property Value	$	105,000,000		$	99,750,000		-	$	110,250,000
Less: Shared Debt Obligations		(21,431,164	)		(21,431,164	)	-		(21,431,164	)
Less: After-Tax PV of Supervisory Fees		(189,529	)		(189,529	)	-		(189,529	)
Amount to Allocate for Capital Transaction	$	83,379,307		$	78,129,307		-	$	88,629,307
Allocation Detail:
General Partner	$	833,793		$	781,293		-	$	886,293
Class B LP		41,272,757			38,674,007		-		43,871,507
Class A LPs		41,272,757			38,674,007		-		43,871,507
Total	$	83,379,307		$	78,129,307		-	$	88,629,307

    Duff & Phelps - CONFIDENTIAL 40    

Valuation Analysis

Metro Center

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

One Station Place, Limited Partnership Exchange Value

	Concluded Value			Low				High
Property Value	$	157,000,000		$	149,150,000		-	$	164,850,000
Less: Shared Debt Obligations		(99,097,038	)		(99,097,038	)	-		(99,097,038	)
Amount to Allocate for Capital Transaction	$	57,902,962		$	50,052,962		-	$	65,752,962
Allocation Detail:
General Partner	$	579,030		$	500,530		-	$	657,530
Class A LP		5,211,267			4,504,767		-		5,917,767
Class B LPs		52,112,666			45,047,666		-		59,177,666
Total	$	57,902,962		$	50,052,962		-	$	65,752,962

    Duff & Phelps - CONFIDENTIAL 41    

Valuation Analysis

103-107 Main Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

Westport Main Street Retail L.L.C. Exchange Value

	Concluded Value			Low				High
Property Value	$	7,000,000		$	6,650,000		-	$	7,350,000
Less: After-Tax PV of Supervisory Fees		(74,447	)		(74,447	)	-		(74,447	)
Amount to Allocate for Capital Transaction	$	6,925,553		$	6,575,553		-	$	7,275,553
Allocation Detail:
Manager	$	69,256		$	65,756		-	$	72,756
Class B Member		0			0		-		0
Class A Members		6,856,297			6,509,797		-		7,202,797
Total	$	6,925,553		$	6,575,553		-	$	7,275,553

    Duff & Phelps - CONFIDENTIAL 42    

Valuation Analysis

69-97 Main Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

Soundview Plaza Associates II L.L.C. Exchange Value

		Concluded Value			Low				High
Property Value		$	31,000,000		$	29,450,000		-	$	32,550,000
Less: Shared Debt Obligations			(9,284,389	)		(9,284,389	)	-		(9,284,389	)
Less: After-Tax PV of Supervisory Fees			(158,195	)		(158,195	)	-		(158,195	)
Amount to Allocate for Capital Transaction		$	21,557,416		$	20,007,416		-	$	23,107,416
Allocation Detail:
Malkin Co-Investor Capital L.P.	General Partner	$	114,039		$	105,839		-	$	122,238
Malkin Co-Investor Capital L.P.	Class B LPs		0			0		-		0
Malkin Co-Investor Capital L.P.	Class A LPs		11,289,834			10,478,084		-		12,101,585
Peter L. Malkin	Peter L. Malkin		5,206,946			4,832,561		-		5,581,331
New Soundview Plaza Associates, Limited Partnership	LP		4,946,597			4,590,932		-		5,302,262
Total		$	21,557,416		$	20,007,416		-	$	23,107,416

    Duff & Phelps - CONFIDENTIAL 43    

Valuation Analysis

77 West 55^th Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

East West Manhattan Retail Portfolio L.P. Exchange Value

	Concluded Value			Low				High
Property Value	$	85,000,000		$	80,750,000		-	$	89,250,000
Less: Shared Debt Obligations		(28,796,975	)		(28,796,975	)	-		(28,796,975	)
Less: After-Tax PV of Supervisory Fees		(191,143	)		(191,143	)	-		(191,143	)
Amount to Allocate for Capital Transaction	$	56,011,882		$	51,761,882		-	$	60,261,882
Allocation Detail:
General Partner	$	560,119		$	517,619		-	$	602,619
Class B LP		27,725,882			25,622,132		-		29,829,632
Class A LPs		27,725,882			25,622,132		-		29,829,632
Total	$	56,011,882		$	51,761,882		-	$	60,261,882

    Duff & Phelps - CONFIDENTIAL 44    

Valuation Analysis

170 East 8^th Street

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

1185 Bank L.L.C. Exchange Value

	Bank Street Concluded Value			Bank Street Low				Bank Street High
Property Value	$	50,000,000		$	47,500,000		-	$	52,500,000
Less: Shared Debt Obligations		(34,235,042	)		(34,235,042	)	-		(34,235,042	)
Less: After-Tax PV of Supervisory Fees		(184,705	)		(184,705	)	-		(184,705	)
Amount to Allocate for Capital Transaction	$	15,580,253		$	13,080,253		-	$	18,080,253
Allocation Detail:
General Partner	$	271,977		$	242,073		-	$	300,804
Class 2 LP		539,450			65,318		-		1,043,992
Class 1 LP		13,928,283			11,967,802		-		15,867,230
Support Co.		840,543			805,060				868,228
Total	$	15,580,253		$	13,080,253		-	$	18,080,253

    Duff & Phelps - CONFIDENTIAL 45    

Valuation Analysis

B.B.S.F., L.L.C.

• Based on our analysis, we determined the range of exchange values, as shown in the table below.

B.B.S.F., L.L.C. Exchange Value

		Concluded Value		Low			High
Property Value		$	14,600,000	$	13,870,000	-	$	15,330,000
Amount to Allocate for Capital Transaction		$	14,600,000	$	13,870,000	-	$	15,330,000
Allocation Detail:
ARSA Associates	PLM Family 2000 LLC	$	6,915,786	$	6,569,997	-	$	7,261,576
ARSA Associates	Anthony E. Malkin		0		0	-		0
PLM Family 2000 LLC	PLM Family 2000 LLC		7,684,214		7,300,003	-		8,068,424
Total		$	14,600,000	$	13,870,000	-	$	15,330,000

    Duff & Phelps - CONFIDENTIAL 46    

Valuation Analysis

Summary of Partnership Exchange Values

Exchange Value Summary

Property / Company	Entity	Exchange Value Range					Concluded Exchange Value		As % of Total REIT
112-122 West 34th Street	112 West 34th Street Company L.L.C.	$	152,480,245	-	$	174,880,245	$	163,680,245		3.4	%
	112 West 34th Street Associates L.L.C.		158,800,077	-		181,200,077		170,000,077		3.5	%
			311,280,322	-		356,080,322		333,680,322		7.0	%
1333 Broadway	1333 Broadway Associates L.L.C.		145,885,546	-		166,785,546		156,335,546		3.3	%
1350 Broadway	1350 Broadway Associates L.L.C.		124,945,247	-		146,745,247		135,845,247		2.8	%
1400 Broadway	1400 Broadway Associates L.L.C.		259,328,379	-		298,228,379		278,778,379		5.8	%
501 Seventh Avenue	Seventh & 37th Building Associates L.L.C.		61,758,949	-		70,658,949		66,208,949		1.4	%
	501 Seventh Avenue Associates L.L.C.		58,286,281	-		67,186,281		62,736,281		1.3	%
			120,045,230	-		137,845,230		128,945,230		2.7	%
1359 Broadway	Marlboro Building Associates L.L.C.		147,933,045	-		168,533,045		158,233,045		3.3	%
One Grand Central Place	60 East 42nd St. Associates L.L.C.		295,469,533	-		330,669,533		313,069,533		6.5	%
	Lincoln Building Associates L.L.C.		278,387,317	-		313,587,317		295,987,317		6.2	%
			573,856,850	-		644,256,850		609,056,850		12.7	%
Empire State Building	Empire State Building Co L.L.C.		1,098,886,482	-		1,225,386,482		1,162,136,482		24.2	%
	Empire State Building Associates L.L.C.		1,120,362,549	-		1,246,862,549		1,183,612,549		24.7	%
			2,219,249,030	-		2,472,249,030		2,345,749,030		48.9	%
250 West 57th Street	250 West 57th Street Associates L.L.C.		154,039,607	-		172,089,607		163,064,607		3.4	%
	Fisk Building Associates L.L.C.		142,123,797	-		160,173,797		151,148,797		3.2	%
			296,163,405	-		332,263,405		314,213,405		6.6	%
10 Bank Street	1185 Bank L.L.C.		13,080,253	-		18,080,253		15,580,253		0.3	%
500 Mamaroneck Ave	Malkin 500 Mamaroneck Avenue L.P.		12,023,878	-		17,223,878		14,623,878		0.3	%

    Duff & Phelps - CONFIDENTIAL 47    

Valuation Analysis

Summary of Partnership Exchange Values (continued)

Exchange Value Summary

Property / Company	Entity	Exchange Value Range					Concluded Exchange Value		As % of Total REIT
383 Main Ave	Fairfield Merritview SPE L.L.C.	$	3,861,887	-	$	7,561,887	$	5,711,887		0.1	%
100, 200 & 300 First Stamford Place	First Stamford Place SPE L.L.C.		2,378,999	-		12,391,239		7,385,119		0.2	%
	Fairfax First Stamford SPE L.L.C.		2,190,822	-		10,484,702		6,337,762		0.1	%
	Merrifield First Stamford SPE L.L.C.		2,190,822	-		10,484,702		6,337,762		0.1	%
			6,760,644	-		33,360,644		20,060,644		0.4	%
10 Union Square	New York Union Square Retail L.P.		78,129,307	-		88,629,307		83,379,307		1.7	%
Metro Center	One Station Place, Limited Partnership		50,052,962	-		65,752,962		57,902,962		1.2	%
103-107 Main Street	Westport Main Street Retail L.L.C.		6,575,553	-		7,275,553		6,925,553		0.1	%
69-97 Main Street	Malkin Co-Investor Capital L.P.		20,007,416	-		23,107,416		21,557,416		0.4	%
77 West 55th Street	Malkin East West Retail Portfolio L.P.		51,761,882	-		60,261,882		56,011,882		1.2	%
170 East 8th Street	1185 Gotham L.L.C.		19,224,902	-		23,324,902		21,274,902		0.4	%
B.B.S.F., L.L.C.			13,870,000	-		15,330,000		14,600,000		0.3	%
Malkin Holdings, LLC (Ex Overrides)			5,527,000	-		6,277,000		5,777,000		0.1	%
Malkin Properties			5,150,000	-		5,850,000		5,500,000		0.1	%
Malkin Construction Corp.			4,688,000	-		5,400,000		5,025,000		0.1	%
Total Exchange Value		$	4,489,400,738	-	$	5,100,422,738	$	4,794,767,738		100.0	%

    Duff & Phelps - CONFIDENTIAL 48    

3. Valuation Analysis of Malkin Holdings LLC

Valuation Analysis of Malkin Holdings LLC

Methodology

• Discounted Cash Flow Analysis – Income Approach

• Duff & Phelps based its DCF on the financial projections as provided by Management for the fiscal years ending December 31, 2012-2021.

• Duff & Phelps performed a discounted cash flow analysis of the projected free cash flows.

• Free cash flow is defined as cash generated by the business that is available to either reinvest or to distribute to security holders.

• Projected free cash flows are discounted to the present using a discount rate which reflects their relative risk.

• The discount rate is equivalent to the rate of return that security holders could expect to realize on alternative investment opportunities with similar risk profiles.

• For purposes of the income approach, all of the overrides related to the Properties were excluded and valued separately as previously described.

• Beyond the projection period, Duff & Phelps estimated the terminal value by utilizing a perpetuity formula, a commonly accepted terminal value approach.

    Duff & Phelps - CONFIDENTIAL 50    

Valuation Analysis of Malkin Holdings LLC

Discounted Cash Flow Analysis Summary

• Based on Duff & Phelps’ analysis, the range of value, as determined by the discounted cash flow analysis, is $4.0 million to $4.8 million, with a midpoint of $4.3 million.

Discounted Cash Flow Analysis Malkin Holdings LLC

	LTM			2012E			2013P			2014P			2015P			2016P			2017P			2018P			2019P			2020P			2021P			10-Yr CAGR
Revenue	$	10,811,320		$	9,123,848		$	9,740,696		$	9,886,594		$	10,470,403		$	10,376,792		$	11,312,640		$	11,413,938		$	11,468,108		$	11,910,986		$	11,922,246			2.0	%
Growth		NA			(6.8	%)		6.8	%		1.5	%		5.9	%		(0.9	%)		9.0	%		0.9	%		0.5	%		3.9	%		0.1	%
EBITDA		1,811,807			924,133			1,318,099			1,234,427			1,581,780			1,357,278			1,568,226			1,402,061			1,181,087			1,340,908			1,041,895			(0.4	%)
EBITDA Margin		16.8	%		10.1	%		13.5	%		12.5	%		15.1	%		13.1	%		13.9	%		12.3	%		10.3	%		11.3	%		8.7	%
				6/30-12/31
Earnings Before Interest and Taxes				($	934,145	)	$	1,092,580		$	1,002,144		$	1,342,528		$	1,110,848		$	1,314,403		$	1,140,624		$	911,806		$	1,063,549		$	756,215
Pro Forma Taxes @ 39.6%					370,062			(432,826	)		(396,999	)		(531,842	)		(440,062	)		(520,701	)		(451,858	)		(361,212	)		(421,325	)		(299,574	)
Net Operating Profit After Tax					(564,083	)		659,755			605,144			810,686			670,785			793,702			688,766			550,594			642,224			456,640
Depreciation					114,941			225,518			232,284			239,252			246,430			253,823			261,438			269,281			277,359			285,680
Capital Expenditures					(133,794	)		(250,576	)		(258,093	)		(265,836	)		(273,811	)		(282,025	)		(290,486	)		(299,201	)		(308,177	)		(317,422	)
(Increase) Decrease in Working Capital					32,391			(11,841	)		(2,801	)		(11,206	)		1,797			(17,964	)		(1,944	)		(1,040	)		(8,501	)		(216	)
Free Cash Flow				($	550,546	)	$	622,856		$	576,534		$	772,896		$	645,201		$	747,536		$	657,773		$	519,634		$	602,905		$	424,682
Terminal Growth Rate					3.0	%		3.0	%		3.0	%
Weighted Average Cost of Capital					13.5	%		12.5	%		11.5	%
Terminal Value				$	4,165,926		$	4,604,445		$	5,146,144
Present Value of Terminal Value					1,332,750			1,595,161			1,932,005
Present Value of Discrete Cash Flow					2,653,622			2,769,298			2,891,870
Concluded Enterprise Value Range				$	4,000,000		$	4,250,000		$	4,750,000
Implied Enterprise Value Multiples
2012 EBITDA	$	924,133			4.3x			4.6x			5.1x
2013 EBITDA	$	1,318,099			3.0x			3.2x			3.6x
2012 Revenue	$	9,123,848			0.44x			0.47x			0.52x

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 51    

Valuation Analysis of Malkin Holdings LLC

Exchange Value Conclusion

• Based on Duff & Phelps’ analysis, the exchange value of Malkin Holdings LLC ranges from $5.5 million to $6.3 million, with a midpoint exchange value of $5.8 million.

Exchange Value Summary Malkin Holdings LLC

	Low		Mid		High
Enterprise Value Conclusion	$	4,000,000	$	4,250,000	$	4,750,000
Plus: Cash and Equivalents (1)		0		0		0
Plus: Unpaid Cash Overrides		1,527,000		1,527,000		1,527,000
Less: Debt		0		0		0
Exchange Value	$	5,527,000	$	5,777,000	$	6,277,000

(1) All excess cash is assumed to be distributed to members.

    Duff & Phelps - CONFIDENTIAL 52    

Valuation Analysis of Malkin Holdings LLC

Exchange Value

• The table below summarizes the exchange value of the Company which included the overrides related to the Partnerships.

Malkin Holdings LLC Exchange Value

Property / Entity	Legal Entity	Capital Override ($)		Class A			Class B (1)
112-122 West 34th Street	112 West 34th Street Company L.L.C.	$	8,184,012	$	7,668,419		$	515,593
112-122 West 34th Street	112 West 34th Street Associates L.L.C.		18,833,070		18,098,428			734,643
1350 Broadway	1350 Broadway Associates L.L.C.		13,545,915		12,692,522			853,393
1400 Broadway	1400 Broadway Associates L.L.C.		13,841,419		12,969,410			872,009
501 Seventh Avenue	Seventh & 37th Building Associates L.L.C.		5,746,980		5,384,920			362,060
501 Seventh Avenue	501 Seventh Avenue Associates L.L.C.		6,273,628		5,878,390			395,239
1359 Broadway	Marlboro Building Associates L.L.C.		10,404,981		9,749,467			655,514
One Grand Central Place	60 East 42nd St. Associates L.L.C.		31,208,953		29,958,718			1,250,235
One Grand Central Place	Lincoln Building Associates L.L.C.		29,598,732		29,598,732			0
Empire State Building	Empire State Building Associates L.L.C.		108,143,382		106,893,146			1,250,235
Empire State Building	Empire State Building Co L.L.C.		9,510,635		9,510,635			0
Empire State Building	Empire State Building Co L.L.C.		527,522		527,522			0
250 West 57th Street	250 West 57th Street Associates L.L.C.		12,207,951		11,438,850			769,101
250 West 57th Street	Fisk Building Associates L.L.C.		18,025,643		17,544,508			481,135
100, 200 & 300 First Stamford Place	Fairfax First Stamford SPE L.L.C.		633,776		593,848			39,928
	Total Override Value	$	286,686,599	$	278,507,515		$	8,179,084
	Malkin Holdings LLC (Ex-Overrides)		5,777,000		5,413,049			363,951
	Equity Value of Malkin Holdings LLC			$	283,920,564		$	8,543,035
	% Ownership in REIT				5.922	%		0.178	%
	Total Exchange Value of Malkin Holdings LLC						$	292,463,599
	% Ownership in REIT							6.100	%

(1) The lesser of 6.3% of override and CPI adjusted cap of $1,150,000 ($1,250,235 as of June 30, 2012).

    Duff & Phelps - CONFIDENTIAL 53    

4. Valuation Analysis of Malkin Construction Corp.

Valuation Analysis of Malkin Construction Corp.

Methodology

• Discounted Cash Flow Analysis – Income Approach

• Duff & Phelps considered financial projections as approved by Management for the fiscal years ending December 31, 2012-2020.

• Duff & Phelps performed a discounted cash flow analysis of the projected free cash flows.

• Free cash flow is defined as cash generated by the business that is available to either reinvest or to distribute to security holders.

• Projected free cash flows are discounted to the present using a discount rate which reflects their relative risk.

• The discount rate is equivalent to the rate of return that security holders could expect to realize on alternative investment opportunities with similar risk profiles.

• Beyond the projection period, Duff & Phelps estimated the terminal value by utilizing a perpetuity formula, a commonly accepted terminal value approach.

• Selected Public Company Analysis

• Duff & Phelps reviewed the current trading multiples of five publicly traded companies that were determined to be relevant in its analysis.

• Analyzed the projected revenue and EBITDA for each of the publicly traded companies.

• Analyzed the peer group’s trading multiples of enterprise value (“EV”) to their respective EBITDA and revenue.

None of the companies utilized for comparative purposes in the following analysis are, of course, identical to the Malkin Construction Corp. Accordingly, a complete valuation analysis cannot be limited to a quantitative review of the selected companies, and involves complex considerations and judgments concerning differences in financial and operating characteristics of such companies, as well as other factors that could affect their value relative to that of Malkin Construction Corp.

    Duff & Phelps - CONFIDENTIAL 55    

Valuation Analysis of Malkin Construction Corp.

Discounted Cash Flow Analysis Summary

• Based on Duff & Phelps’ analysis, the range of value ,as determined by the discounted cash flow analysis, is $5.2 million to $5.7 million, with a midpoint of $5.4 million.

Discounted Cash Flow Analysis Malkin Construction Corp.

			2012E			2013P			2014P			2015P			2016P			2017P			2018P			2019P			2020P			9-Yr CAGR
Revenue			$	29,567,073		$	44,350,609		$	53,220,731		$	54,817,353		$	56,461,873		$	58,155,730		$	59,900,402		$	61,697,414		$	63,548,336			1.8	%
Growth				(45.3	%)		50.0	%		20.0	%		3.0	%		3.0	%		3.0	%		3.0	%		3.0	%		3.0	%
EBITDA				56,645			997,889			1,197,466			1,233,390			1,270,392			1,308,504			1,347,759			1,388,192			1,429,838			9-Yr. Avg
EBITDA Margin				0.2	%		2.3	%		2.2	%		2.3	%		2.3	%		2.2	%		2.3	%		2.2	%		2.3	%		2.0	%
EBITDA Growth				(97.1	%)		1,661.6	%		20.0	%		3.0	%		3.0	%		3.0	%		3.0	%		3.0	%		3.0	%
			7/1-12/31
Earnings Before Interest and Taxes			$	282,335		$	980,737		$	1,177,361		$	1,209,586		$	1,243,783		$	1,279,686		$	1,317,123		$	1,355,994		$	1,396,239
Pro Forma Taxes @ 39.6%				(111,847	)		(388,519	)		(466,412	)		(479,177	)		(492,725	)		(506,947	)		(521,778	)		(537,177	)		(553,120	)
Net Operating Profit After Tax				170,488			592,218			710,950			730,409			751,059			772,738			795,345			818,817			843,119
Depreciation				10,092			17,152			20,105			23,804			26,609			28,818			30,636			32,198			33,598
Capital Expenditures				(5,425	)		(26,244	)		(31,492	)		(32,437	)		(33,410	)		(34,412	)		(35,445	)		(36,508	)		(37,603	)
(Increase) Decrease in Working Capital				(273,305	)		297,450			178,470			32,125			33,088			34,081			35,103			36,156			37,241
Free Cash Flow			($	98,150	)	$	880,576		$	878,032		$	753,900		$	777,346		$	801,225		$	825,639		$	850,663		$	876,355
Terminal Growth Rate				3.00	%		3.00	%		3.00	%
Weighted Average Cost of Capital				17.50	%		16.50	%		15.50	%
Terminal Value			$	6,225,143		$	6,686,264		$	7,221,165
Present Value of Terminal Value				1,833,824			1,969,663			2,127,236
Present Value of Discrete Cash Flow				3,349,897			3,459,541			3,575,052
Concluded Enterprise Value Range (Rounded)			$	5,175,000		$	5,400,000		$	5,700,000
Implied Enterprise Value Multiples
2013 EBITDA	$	997,889		5.2x			5.4x			5.7x
2012 Revenue	$	29,567,073		0.18x			0.18x			0.19x

Source: Provided by the management of Malkin Construction Corp.

    Duff & Phelps - CONFIDENTIAL 56    

Valuation Analysis of Malkin Construction Corp.

Selected Public Company Analysis

Selected Public Company Analysis

($ in millions, except per share data)

COMPANY INFORMATION	REVENUE GROWTH												EBITDA GROWTH												EBITDA MARGIN
Company Name	3-YR CAGR			LTM			2012			2013			3-YR CAGR			LTM			2012			2013			3-YR AVG			LTM			2012			2013
Bird Construction Inc.		-2.1	%		32.0	%		31.1	%		5.6	%		-15.2	%		29.3	%		79.3	%		20.2	%		7.0	%		5.2	%		6.8	%		7.7	%
Balfour Beatty plc		4.7			2.8			2.9			0.0			9.4			0.3			22.3			5.3			3.3			3.4			4.1			4.3
Churchill Corp.		22.8			10.1			5.7			5.4			9.5			-10.9			11.3			26.3			6.4			4.5			5.2			6.3
Kier Group plc		-3.1			-0.5			2.7			4.1			-8.5			4.8			-6.6			6.1			3.5			3.6			3.6			3.7
Tutor Perini Corporation		-13.1			36.1			18.9			8.7			-1.6			18.9			11.6			12.1			5.6			5.5			5.4			5.6
Mean		1.8	%		16.1	%		12.2	%		4.8	%		-1.3	%		8.5	%		23.6	%		14.0	%		5.2	%		4.4	%		5.0	%		5.5	%
Median		-2.1	%		10.1	%		5.7	%		5.4	%		-1.6	%		4.8	%		11.6	%		12.1	%		5.6	%		4.5	%		5.2	%		5.6	%

LTM = Latest Twelve Months

CAGR = Compounded Annual Growth Rate

Enterprise Value (EV) = (Market Capitalization) + (Debt + Preferred Stock + Noncontrolling Interest) - (Cash & Equivalents)

EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortization

Source: Bloomberg, Capital IQ, SEC filings

    Duff & Phelps - CONFIDENTIAL 57    

Valuation Analysis of Malkin Construction Corp.

Selected Public Company Analysis (continued)

Selected Public Company Analysis

($ in millions, except per share data)

COMPANY INFORMATION	MARKET DATA							ENTERPRISE VALUE AS MULTIPLE OF
	Stock		% of 52-					LTM		2012		2013		LTM		2012
Company Name	Price		Wk High			EV		EBITDA		EBITDA		EBITDA		Revenue		Revenue
Bird Construction Inc.	$	13.96		92.0	%	$	471		8.5x		5.5x		4.6x		0.44x		0.38x
Balfour Beatty plc		4.67		92.0			2,334		4.6		3.7		3.5		0.16		0.15
Churchill Corp.		11.76		65.5			398		6.2		5.2		4.1		0.28		0.27
Kier Group plc		19.73		84.5			554		4.7		4.4		4.2		0.17		0.16
Tutor Perini Corporation		12.67		66.6			1,038		4.7		4.3		3.9		0.26		0.24
Mean				80.1	%	$	959		5.7x		4.6x		4.1x		0.26x		0.24x
Median				84.5	%	$	554		4.7x		4.4x		4.1x		0.26x		0.24x

LTM = Latest Twelve Months

Enterprise Value (EV) = (Market Capitalization) + (Debt + Preferred Stock + Noncontrolling Interest) - (Cash & Equivalents)

EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortization

Source: Bloomberg, Capital IQ, SEC filings

    Duff & Phelps - CONFIDENTIAL 58    

Valuation Analysis of Malkin Construction Corp.

Selected Public Company Analysis Conclusion

• Based on Duff & Phelps’ analysis, the range of value, as determined by the selected public company analysis, is $4.2 million to $5.1 million, with a midpoint of $4.7 million.

Selected Public Company Analysis Malkin Construction Corp.

Enterprise Valuation Multiples				Valuation Summary
Metric	Public Company Range	Public Company Median		Selected Multiple Range	Company Performance		Enterprise Value Range
2013 EBITDA	3.5x - 4.6x		4.1x	4.0x - 5.0x	$	997,889		$3,991,555 - $4,989,444
LTM Revenue	0.16x - 0.44x		0.26x	0.10x - 0.12x	$	43,150,609		$4,315,061 - $5,178,073
				Concluded Enterprise Value Range				$4,200,000 - $5,100,000

    Duff & Phelps - CONFIDENTIAL 59    

Valuation Analysis of Malkin Construction Corp.

Exchange Value Conclusion

• Based on Duff & Phelps’ analysis, the exchange value of Malkin Construction Corp. ranges from $4.7 million to $5.4 million, with a midpoint exchange value of $5.0 million.

Exchange Value Conclusion Malkin Construction Corp.

	Low		Mid		High
Discounted Cash Flow Analysis	$	5,175,000	$	5,400,000	$	5,700,000
Selected Public Company Analysis		4,200,000		4,650,000		5,100,000
Enterprise Value Conclusion	$	4,688,000	$	5,025,000	$	5,400,000
Plus: Cash and Equivalents (1)		0		0		0
Less: Debt		0		0		0
Exchange Value	$	4,688,000	$	5,025,000	$	5,400,000

(1) All excess cash is assumed to be distributed to members.

    Duff & Phelps - CONFIDENTIAL 60    

    4.     Valuation Analysis of Malkin Properties

Valuation Analysis of Malkin Properties

Methodology

• Discounted Cash Flow Analysis – Income Approach

• Duff & Phelps considered financial projections as approved by Management for the fiscal years ending December 31, 2012-2020.

• Duff & Phelps performed a discounted cash flow analysis of the projected free cash flows.

• Free cash flow is defined as cash generated by the business that is available to either reinvest or to distribute to security holders.

• Projected free cash flows are discounted to the present using a discount rate which reflects their relative risk.

• The discount rate is equivalent to the rate of return that security holders could expect to realize on alternative investment opportunities with similar risk profiles.

• Beyond the projection period, Duff & Phelps estimated the normalized terminal value by utilizing a perpetuity formula, a commonly accepted terminal value approach.

• Duff & Phelps based the terminal value on a normalized terminal year which reflects, among other things, the assumptions for long term growth, EBITDA margin, capital expenditures, and investment in net working capital.

    Duff & Phelps - CONFIDENTIAL 62    

Valuation Analysis of Malkin Properties

Terminal Value Calculation

• Based on the projections provided by management, Duff & Phelps normalized the terminal free cash flow as shown in the table below.

Normalized Terminal Free Cash Flow

Management Fees	$	4,085,410
Leasing Fees (1)		1,170,756
Financing Fees (2)		743,395
Other Fees (3)		934,433
Total Revenue		6,933,994
Expenses (4)		(5,914,109	)
EBITDA		1,019,884
Depreciation		83,082
EBIT		1,102,966
Taxes		(436,940	)
NOPAT		666,026
Depreciation		(83,082	)
Capital Expenditures		(87,455	)
Change in New Working Capital		(28,034	)
Free Cash Flow	$	467,456

(1) Normalized based on the 10-yr average leasing fees as a % of management fees (28.7%).

(2) Normalized based on the 10-yr average financing fees as a % of management fees (18.2%).

(3) Normalized based on the 10-yr average other fees as a % of management fees (22.9%).

(4) Normalized based on the 10-yr average expenses as % of total revenue (85.2%).

    Duff & Phelps - CONFIDENTIAL 63    

Valuation Analysis of Malkin Properties

Discounted Cash Flow Analysis Summary

• Based on Duff & Phelps’ analysis, the range of value, as determined by the discounted cash flow analysis, is $5.2 million to $5.9 million, with a midpoint of $5.5 million.

Discounted Cash Flow Analysis Malkin Properties - MP, MCT, MNY

			2012E			2013P			2014P			2015P			2016P			2017P			2018P			2019P			2020P			9-Yr CAGR
Revenue			$	5,149,433		$	6,605,695		$	5,892,870		$	6,036,370		$	6,969,289		$	10,932,052		$	6,726,186		$	6,830,095		$	8,452,525			6.2	%
Growth				NA			28.3	%		(10.8	%)		2.4	%		15.5	%		56.9	%		(38.5	%)		1.5	%		23.8	%
EBITDA				298,958			1,212,809			553,049			420,206			1,243,115			4,773,529			349,012			328,430			1,721,300			9-Yr Avg
EBITDA Margin				5.8	%		18.4	%		9.4	%		7.0	%		17.8	%		43.7	%		5.2	%		4.8	%		20.4	%		14.7	%
EBITDA Growth				NA			305.7	%		(54.4	%)		(24.0	%)		195.8	%		284.0	%		(92.7	%)		(5.9	%)		424.1	%
			7/1-12/31																											Terminal
Earnings Before Interest and Taxes			$	404,879		$	1,153,455		$	477,682		$	336,686		$	1,154,649		$	4,681,399		$	253,700		$	230,085		$	1,619,933		$	1,102,966
Pro Forma Taxes @ 39.6%				(160,393	)		(456,941	)		(189,234	)		(133,378	)		(457,414	)		(1,854,536	)		(100,503	)		(91,148	)		(641,737	)		(436,940	)
Net Operating Profit After Tax				244,486			696,514			288,449			203,308			697,235			2,826,863			153,197			138,937			978,197			666,026
Depreciation				19,380			59,355			75,367			83,520			88,466			92,130			95,312			98,345			101,367			(83,082	)
Capital Expenditures				(42,369	)		(86,681	)		(89,282	)		(91,960	)		(94,719	)		(97,561	)		(100,487	)		(103,502	)		(106,607	)		(87,455	)
(Increase) Decrease in Working Capital				(19,475	)		1,077			(70,839	)		(21,420	)		(29,639	)		(35,544	)		(21,021	)		(32,671	)		(20,096	)		(28,034	)
Free Cash Flow			$	202,022		$	670,264		$	203,695		$	173,448		$	661,342		$	2,785,888		$	127,000		$	101,109		$	952,861		$	467,456
Terminal Growth Rate				3.00	%		3.00	%		3.00	%
Weighted Average Cost of Capital				13.50	%		12.50	%		11.50	%
Terminal Value			$	4,585,522		$	5,068,208		$	5,664,468
Present Value of Terminal Value				1,786,597			1,974,659			2,206,972
Present Value of Discrete Cash Flow				3,386,525			3,510,820			3,642,248
Concluded Enterprise Value Range (Rounded)			$	5,150,000		$	5,500,000		$	5,850,000
Implied Enterprise Value Multiples
2012 EBITDA	$	298,958		17.2x			18.4x			19.6x
2013 EBITDA	$	1,212,809		4.2x			4.5x			4.8x
2012 Revenue	$	5,149,433		1.00x			1.07x			1.14x

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 64    

Valuation Analysis of Malkin Properties

Equity Value Conclusion

• Based on Duff & Phelps’ analysis, the exchange value of Malkin Properties ranges from $5.2 million to $5.9 million, with a midpoint exchange value of $5.5 million.

Exchange Value Conclusion Malkin Properties - MP, MCT,  MNY

	Low		Mid		High
Enterprise Value Conclusion	$	5,150,000	$	5,500,000	$	5,850,000
Plus: Cash and Equivalents (1)		0		0		0
Less: Debt		0		0		0
Exchange Value	$	5,150,000	$	5,500,000	$	5,850,000

(1) All excess cash is assumed to be distributed to members.

    Duff & Phelps - CONFIDENTIAL 65    

Appendix 1 Assumptions, Qualifications and Limiting Conditions

Assumptions, Qualifications and Limiting Conditions

• In performing its analyses with respect to the Proposed Transaction, Duff & Phelps, with the Company’s consent:

• Relied upon the accuracy, completeness, and fair presentation of the Information, and all other information, data, advice, opinions and representations obtained from public sources or provided to it from private sources, including Company management, and did not independently verify any of the Information or such information;

• Relied upon the fact that the Company has been advised by counsel as to all legal matters with respect to the Proposed Transaction, including whether all procedures required by law to be taken in connection with the Proposed Transaction have been duly, validly and timely taken;

• Assumed that any estimates, evaluations, forecasts, projections, the Information, and the Investor allocation schedules furnished to Duff & Phelps were reasonably prepared and based upon the best information currently available to, and the good faith judgment of, the person furnishing the same;

• Assumed that information supplied and representations made by Company management are substantially accurate regarding the Company and the Proposed Transaction;

• Assumed that the factual statements concerning the Partnerships and Properties made in the Solicitations do not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they were made, not misleading;

• Assumed that the final versions of all documents reviewed by Duff & Phelps in draft form conform in all material respects to the drafts reviewed;

• Assumed that there has been no material change in the assets, financial condition, business, or prospects of the Partnerships, the Properties, the Company or the Management Companies since the date of the most recent financial statements and other information made available to Duff & Phelps;

• Made no investigation of, and assumed no responsibility for, the legal description or for legal matters including title or encumbrances. Title to the Properties is assumed to be good and marketable unless otherwise stated. The Properties are further assumed to be free and clear of liens, easements, encroachments and other encumbrances unless otherwise stated, and all improvements are assumed to lie within property boundaries;

• Assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been, or can readily be obtained, or renewed for any use on which the value estimates provided in this report are based;

    Duff & Phelps - CONFIDENTIAL 67    

Assumptions, Qualifications and Limiting Conditions

• Assumed full compliance with all applicable federal, state and local zoning, use, occupancy, environmental, and similar laws and regulations, unless otherwise stated;

• Assumed responsible ownership and competent property management;

• Assumed areas and dimensions of the Properties were obtained from sources believed to be reliable. No independent surveys were conducted;

• Assumed there are no hidden or unapparent conditions of the Properties, subsoil, or structures that affect value. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them;

• No soil analysis or geological studies were ordered or made in conjunction with Duff & Phelps’ analysis, nor was an investigation made of any water, oil, gas, coal, or other subsurface mineral and use rights or conditions;

• Duff & Phelps was not engaged nor are we qualified to detect the existence of hazardous material, which may or may not be present on or near the Properties. The presence of potentially hazardous substances may affect the value of the Properties. The value estimate herein is predicated on the assumption that there is no such material on, in, or near the Property that would cause a loss in value. No responsibility is assumed for any such conditions or for any expertise or engineering knowledge required to discover them;

• The Americans with Disabilities Act (“ADA”) became effective January 26, 1992. Duff & Phelps has not made a specific compliance survey and analysis of the Properties to determine whether or not they are in conformity with the various detailed requirements of the ADA. It is possible that a compliance survey of the property along with a detailed study of ADA requirements could reveal that the property is not in compliance with the ADA. If so, this would have a negative effect on the property value. Duff & Phelps was not furnished with any compliance surveys or any other documents pertaining to this issue and therefore did not consider compliance or noncompliance with the ADA requirements when estimating the value of the property;

• Assumed that each of the Partnerships will consent to the Proposed Transaction, and that the REIT will acquire all of assets and liabilities of the Partnerships, the Company, and the Management Companies (other than certain specified excluded assets);

• Assumed at the direction of the Company that, for the purposes of its analysis, the value of each form of Consideration (limited partnership interests in the operating partnership of the REIT, cash, or shares of Class A or Class B common stock in the REIT) is equivalent;

• Assumed that all of the conditions required to implement the Proposed Transaction will be satisfied and that the Proposed Transaction will be completed in accordance with the Solicitations without any amendments thereto or any waivers of any terms or conditions thereof; and

• Assumed that all governmental, regulatory or other consents and approvals necessary for the consummation of the Proposed Transaction will be obtained without any adverse effect on the REIT, the Company, or the Management Companies.

    Duff & Phelps - CONFIDENTIAL 68    

Assumptions, Qualifications and Limiting Conditions

• To the extent that any of the foregoing assumptions or any of the facts on which this Opinion is based prove to be untrue in any material respect, this Opinion cannot and should not be relied upon. Furthermore, in Duff & Phelps’ analysis and in connection with the preparation of this Opinion, Duff & Phelps has made numerous assumptions with respect to industry performance, general business, market and economic conditions and other matters many of which are beyond the control of any party involved in the Proposed Transaction.

• In rendering its opinion as to the fairness from a financial point of view of the allocation of Consideration to the Investors in the Proposed Transaction, Duff & Phelps relied on information provided by the management of the Company concerning the terms of the constituent documents of the Partnerships which are applicable to distributions of capital proceeds to the Investors.

• Duff & Phelps has prepared the valuation of the Properties, the Partnerships, the Company, and the Management Companies as of June 30, 2012 and assumes (i) no responsibility for changes in market conditions and (ii) no obligation to revise its analysis to reflect any such changes which occurred subsequent to June 30, 2012. This Opinion is effective as of the date hereof. This Opinion is necessarily based upon market, economic, financial and other conditions as they exist and can be evaluated as of the date hereof, and Duff & Phelps disclaims any undertaking or obligation to advise any person of any change in any fact or matter affecting this Opinion which may come or be brought to the attention of Duff & Phelps after the date hereof.

• Duff & Phelps has not been requested to, and did not, (i) initiate any discussions with, or solicit any indications of interest from, third parties with respect to the Proposed Transaction, the assets, businesses or operations of the Properties, the Company, or the Management Companies, or (ii) advise the Company or any other party with respect to alternatives to the Proposed Transaction.

• Duff & Phelps is not expressing any opinion as to the market price or value of REIT, including the price at which the Class A common stock or any other securities of the Company or the operating partnership may trade at any time, or, except as set forth in the valuation analysis, any particular Property, the Company or the Management Companies, either before or after the completion of the Proposed Transaction or the IPO. In this regard, this Opinion addresses the relative percentage of the Consideration that each of the Partnerships, the Management Companies and the Company is to receive in the Proposed Transaction, and not the market price or value of the Consideration upon completion of the Proposed Transaction and the IPO. This Opinion is based on its valuation analyses of the Properties, the Partnerships, the Company, and the Management Companies as of June 30, 2012.

• Our analysis did not take into account (i) any potential incremental value attributable to the portfolio of assets taken as a whole after giving effect to the Proposed Transaction; and (ii) the effects of variations in aggregate values attributed to the portfolio assets after giving effect to the Proposed Transaction on relative values of such portfolio assets. This Opinion should not be construed as a valuation opinion, credit rating, solvency opinion, an analysis of the Company’s credit worthiness, as tax advice, or as accounting advice. Duff & Phelps has not made, and assumes no responsibility to make, any representation, or render any opinion, as to any legal matter.

    Duff & Phelps - CONFIDENTIAL 69    

Assumptions, Qualifications and Limiting Conditions

• This Opinion is for the information of the Company, its officers, managers and members and the Partnerships in connection with their consideration of the Proposed Transaction and will be furnished to Investors in the Partnerships pursuant to the Solicitations and will be filed pursuant to the Form S-4 and may not be used for any other purpose without our prior written consent. The basis and methodology for this Opinion have been designed specifically for the express purposes of the Company, the Management Companies and the Partnerships and may not translate to any other purposes.

• This Opinion (i) does not address the merits of the underlying business decision to enter into the Proposed Transaction versus any alternative strategy or transaction, (ii) is not a recommendation as to how the Investors should vote or act with respect to any matters relating to the Proposed Transaction, and (iii) does not address whether the Investors should elect to receive Class A common stock, limited partnership interests in the operating partnership, or cash, or whether to proceed with the Proposed Transaction or any related transaction. The ultimate decision to participate in the Proposed Transaction or any related transaction must be made by each Partnership and will need to take into account factors unrelated to the financial analysis on which this Opinion is based. This letter should not be construed as creating any fiduciary duty on the part of Duff & Phelps to any party.

    Duff & Phelps - CONFIDENTIAL 70    

Appendix 2 Property Value Allocation Waterfalls

Property Value Allocation Waterfalls

112-122 West 34^th Street

112 West 34 St. Waterfall

Amount to allocate for capital transaction	$	333,680,322
	112 West 34th Street Company L.L.C.		112 West 34th Street Associates L.L.C.
		163,680,245		170,000,077
112 West 34th Street Company L.L.C.		163,680,245
Breakpoint		0
Net for override		163,680,245
Override to MH		8,184,012
Net to Investors	$	155,496,233
	50% LMH (master partner)		23% of PLM group not subject to override		27% of PLM group subject to override
Allocation		77,748,117		35,764,134		41,983,983
Cumulative priority						0
Return of capital						1,080,000
Net for override						40,903,983
Override to Wien						18,937,029
Override to Wiessmann						1,514,962
To investors		77,748,117		35,764,134		21,531,991
112 West 34th Street Associates L.L.C.				170,000,077
Return of capital				4,500,000
Net for override				165,500,077
Override to MH				16,550,008
Net to Investors			$	153,450,069

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 72    

Property Value Allocation Waterfalls

1350 Broadway

1350 Broadway Associates L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	135,845,247
	DMB Group		PLM Group
Allocation to group	$	67,922,623	$	67,922,623
Return of capital				193,049
Net for override				67,729,574
Malkin Holdings override (20.0%)				13,545,915
Net to Investors	$	67,922,623	$	54,376,708

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 73    

Property Value Allocation Waterfalls

1400 Broadway

1400 Broadway Associates L.L.C. Waterfall

Amount to allocate for capital transaction			$	278,778,379
Split among groups	Total		AEM as agent for  2 groups 25%		PLM as agent 50%		LMH 1400 LLC 25%
Allocation to group	$	1,000,000	$	175,000	$	650,000	$	175,000
		300,000		150,000		0		150,000
		650,000		162,500		325,000		162,500
Net subject to override		276,828,379
MH override		13,841,419
Balance allocated to investors		262,986,960		65,746,740		131,493,480		65,746,740
Total to investors			$	66,234,240	$	132,468,480	$	66,234,240
2nd override
20% of AEM 25% group			$	13,246,848
Threshold				400,000
Net for 2nd override				12,846,848
PLM Family 5 LLC				1,605,856
Morse				1,605,856
Net to investors of 20% group				10,035,136
80% of 25% group				52,987,392
Net to investors			$	63,022,528	$	132,468,480	$	66,234,240

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 74    

Property Value Allocation Waterfalls

501 Seventh Ave

501 Seventh Avenue Waterfall

Amount to Allocate for Capital Transaction	$	128,945,230
	501 Seventh Avenue Associates L.L.C.			Seventh & 37th  Building Associates L.L.C.
	$	62,736,281		$	66,208,949
501 Seventh Avenue Associates LLC	$	62,736,281
Breakpoint		0
Net for Override		62,736,281
Total Malkin Holdings override		6,273,628
Net to Investors	$	56,462,653
Seventh & 37th Building Associates	$	66,208,949
Return of capital for VC		(3,600,000	)
Net for override		62,608,949
Malkin Holdings override		5,746,980
Net to Investors	$	60,461,969

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 75    

Property Value Allocation Waterfalls

1359 Broadway

Marlboro Building Associates L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	158,233,045
Marlboro Building Associates LLC		158,233,045
Return of capital		3,590,222
Net for Override		154,642,823
MH Override (VC)		10,404,981
Net to Investors	$	147,828,064

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 76    

Property Value Allocation Waterfalls

One Grand Central Place

60 East 42nd St. Associates L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	609,056,850
	Lincoln Building Associates L.L.C.		60 East 42nd St. Associates L.L.C.
Total Allocation	$	295,987,317	$	313,069,533
Lincoln Building Associates L.L.C.	$	295,987,317
Annual Breakpoint		0
Net for Override		295,987,317
MH Override		29,598,732
Net to Investors	$	266,388,586
60 East 42nd Street Associates L.L.C.			$	313,069,533
Threshold				980,000
Net for Override				312,089,533
MH Override				31,208,953
Net to Investors			$	281,860,580

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 77    

Property Value Allocation Waterfalls

Empire State Building

Empire State Building Waterfall

Amount to allocate for capital transaction	$	2,345,749,030
Split Between ESBC and ESBA	Empire State Building Co L.L.C.			Empire State Building Associates L.L.C.
	$	1,162,136,482		$	1,183,612,549
	Master Partners (not subject to any override)			PLM Joint Venture dtd 4-2-71			PLM Joint Venture dtd 7-2-71			1273 Realty Company (portion subject to override)			1273 Realty Company (portion not subject to override)
Empire State Building Co L.L.C.
Ownership %		76.25	%		10.00	%		5.00	%		8.3125	%		0.4375	%
Allocation		886,129,067			116,213,648			58,106,824			96,602,595			5,084,347
Return of capital					1,800,000			900,000			1,496,250
Priority					0			0			0
Subject to override					114,413,648			57,206,824			95,106,345
Override					28,603,412			14,301,706
Override											52,308,490
Net to Investors	$	886,129,067		$	87,610,236		$	43,805,118		$	44,294,105		$	5,084,347
Empire State Building Associates L.L.C.
					1,183,612,549
Return of Capital					33,000,000
Net for Override					1,150,612,549
MH Override (VC)					108,143,382
Net to Investors				$	1,075,469,167

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 78    

Property Value Allocation Waterfalls

250 West 57^th Street

250 West 57th Waterfall

Amount to allocate for capital transaction	$	314,213,405
	Fisk Building Associates L.L.C.		250 West 57th Street Associates L.L.C.
	$	151,148,797	$	163,064,607
Fisk Building Associates L.L.C.:	$	151,148,797
Breakpoint		0
Net for Override		151,148,797
MH Override		15,114,880
Net to investors	$	136,033,918
	Members		45% Group
	$	74,818,655	$	61,215,263
Unpaid priority				0
Return of capital				3,000,000
Net for override				58,215,263
MH override				2,910,763
Malkin Family				13,826,125
Morse Family				13,826,125
Net to Investors	$	74,818,655	$	30,652,250
250 West 57th Street Associates L.L.C.:
	$	163,064,607
Return of capital		7,200,000
Net for override (VC)		155,864,607
MH override (VC)		12,207,951
Net to Investors	$	150,856,656

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 79    

Property Value Allocation Waterfalls

10 Bank Street & Gotham

1185 Gotham L.L.C. and 1185 Bank L.L.C. Waterfall

Gotham Equity Value	$	21,274,902
Bank Street Equity Value		15,580,253
Amount to Allocate for Capital Transaction	$	36,855,156
	Class 1 LPs			GP			Class 2 LPs			Support Co
		98.006	%		1.994	%		0.000	%		0.000	%
Remaining capital	$	24,882,698		$	506,160		$	0		$	0
Priority		4,184,420			85,119			0			1,988,308
Return of capital		24,882,698			506,160			0
Remainder		3,880,295			52,085			1,276,070
Net to Investors	$	32,947,413		$	643,364		$	1,276,070		$	1,988,308

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 80    

Property Value Allocation Waterfalls

500 Mamaroneck Ave

500 Mamaroneck Avenue L.P. Waterfall

Amount to Allocate for Capital Transaction	$	14,623,878
	500 Mamaroneck Avenue L.P.			Viviane Paris, LLC
Allocation %		75.0	%		25.0	%
Allocation $	$	10,967,909		$	3,655,970
500 Mamaroneck Avenue L.P.:
	Class A			GP			Class B
Remaining capital		13,500,000			136,364
Return of capital		10,858,230			109,679			0
Priority		0			0			0
Remainder		0			0			0
Total	$	10,858,230		$	109,679		$	0
Viviane Paris, LLC:
	Viviane Paris, LLC						Class B
Remaining capital		4,388,121						0
Return of capital		3,655,970						0
Priority		0						0
Priority		0						0
Remainder		0						0
Total	$	3,655,970					$	0

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 81    

Property Value Allocation Waterfalls

383 Main Ave

Fairfield Merritview Limited Partnership Waterfall

Amount to Allocate for Capital Transaction	$	5,711,887
	Class A		GP		Class B		Override
Original Capital		8,800,000		89,000
Remaining Capital		0		0
Return of Capital		0		0
Priority @ 8.0%		0		0		0
Priority @ 12.0%		0		0		0		0
Remainder		2,804,539		51,407		2,284,752		571,189
Net to Investors	$	2,804,539	$	51,407	$	2,284,752	$	571,189

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 82    

Property Value Allocation Waterfalls

100, 200 & 300 First Stamford Place

100, 200 & 300 First Stamford Place Waterfall

Amount to allocate for capital transaction	$	20,060,644
Allocation	First Stamford Place SPE L.L.C. 37.64%		Fairfax First Stamford SPE L.L.C. / Merrifield First Stamford SPE L.L.C. 62.36%		Fairfax First Stamford SPE L.L.C. 31.18%		Merrifield First Stamford SPE L.L.C. 31.18%
	$	7,385,119	$	12,675,525	$	6,337,762	$	6,337,762
First Stamford Place SPE L.L.C.:
	Class A & A2 Members		Manager		Member
Original capital	$	22,800,000	$	230,303	$	0
Remaining capital		0		0		0
Return of capital		0		0		0
Priority		0		0		0
Remainder		3,655,634		73,851		3,655,634
Total	$	3,655,634	$	73,851	$	3,655,634
		Pool Share of Class B (20.0%)				731,127
Fairfax First Stamford SPE L.L.C.:
	$	6,337,762
Return of capital		0
Net for override		6,337,762
MH override		633,776
Net to Investors		5,703,986
Merrifield First Stamford SPE L.L.C.:
	$	6,337,762
	45%		55%
Allocation	$	2,851,993.1	$	3,485,769.3
Return of capital		0		0
Net		2,851,993		3,485,769
10% to MH (Assigned)		285,199		348,577
22.5% to PLMalkin Family 9 LLC		641,698		0
22.5% to EWM		641,698		0
Net to Investors	$	1,283,397	$	3,137,192

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 83    

Property Value Allocation Waterfalls

10 Union Square

New York Union Square Retail L.P. Waterfall

Amount to Allocate for Capital Transaction	$	83,379,307
	Class A		GP		Class B
Original capital	$	7,500,000	$	75,758	$	0
Remaining capital		0		0		0
Return of capital		0		0		0
Priority		0		0		0
Remainder		41,272,757		833,793		41,272,757
Net to Investors	$	41,272,757	$	833,793	$	41,272,757

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 84    

Property Value Allocation Waterfalls

Metro Center

One Station Place, Limited Partnership Waterfall

Amount to Allocate for Capital Transaction	$	57,902,962
	GP			Class A LP			Class B LP
		1.000	%		9.000	%		90.000	%
Net to Investors	$	579,030		$	5,211,267		$	52,112,666

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 85    

Property Value Allocation Waterfalls

103-107 Main Street

Westport Main Street Retail L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	6,925,553
	Class A		GP		Class B
Original Capital	$	9,119,000	$	92,111	$	0
Remaining Capital		9,119,000		92,111		0
Priority 1		805,485		8,136		0
Return of Capital		6,050,812		61,119		0
Remainder		0		0		0
Net to Investors	$	6,856,297	$	69,256	$	0

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 86    

Property Value Allocation Waterfalls

69-97 Main Street

Soundview Plaza Associates II L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	21,557,416
	Malkin Co-Investor Capital L.P.			Peter L. Malkin			New Soundview Plaza Associates, Limited Partnership
Ownership % Split		52.900	%		24.154	%		22.946	%
Ownership $ Split		11,403,873			5,206,946			4,946,597
	Class A			GP			Class B
Malkin Co-Investor Capital L.P.:
Original capital	$	13,850,000		$	139,899		$	0
Remaining capital		13,850,000			139,899			0
Priority 1		2,575,057			26,011			0
Return of capital		8,714,777			88,028			0
Priority 2		0			0			0
Remainder		0			0			0
Net to Investors	$	11,289,834		$	114,039		$	0

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 87    

Property Value Allocation Waterfalls

77 West 55^th Street

East West Manhattan Retail Portfolio L.P. Waterfall

Amount to Allocate for Capital Transaction	$	56,011,882
	Class A		GP		Class B
Original Capital	$	9,900,000	$	100,000	$	0
Remaining Capital		0		0		0
Return of Capital		0		0		0
Priority		0		0		0
Remainder		27,725,882		560,119		27,725,882
Net to Investors	$	27,725,882	$	560,119	$	27,725,882

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 88    

Property Value Allocation Waterfalls

B.B.S.F., L.L.C.

B.B.S.F., L.L.C. Waterfall

Amount to Allocate for Capital Transaction	$	14,600,000
	ARSA Associates			PLM Family 2000 LLC
Allocation %		47.368	%		52.632	%
Allocation $	$	6,915,786		$	7,684,214
ARSA Associates:
	PLM Family 2000 LLC			Anthony E. Malikn
		73.6111	%		26.3889	%
Remaining capital	$	17,249,958		$	0
Return of capital		6,915,786			0
Priority		0			0
Remainder		0			0
Total	$	6,915,786		$	0

Source: Provided by Company management

    Duff & Phelps - CONFIDENTIAL 89    

Appendix 3 Detailed Exchange Value Summary

Detailed Exchange Value Summary

Property	Legal Entity	Investor Class	Exchange Value		Allocation
112-122 West 34th Street	112 West 34th Street Company L.L.C.	50% LMH (master partner)	$	77,748,117		1.6	%
	112 West 34th Street Company L.L.C.	23% of PLM group not subject to override	$	35,764,134		0.7	%
	112 West 34th Street Company L.L.C.	27% of PLM group subject to override	$	21,531,991		0.4	%
	112 West 34th Street Company L.L.C.	Wien - Override	$	18,937,029		0.4	%
	112 West 34th Street Company L.L.C.	Wiessmann - Override	$	1,514,962		0.0	%
	112 West 34th Street Company L.L.C.	Malkin Holdings LLC - Override	$	8,184,012		0.2	%
	112 West 34th Street Associates L.L.C.	112 West 34th Street Associates L.L.C.	$	151,167,007		3.2	%
	112 West 34th Street Associates L.L.C.	Malkin Holdings LLC - Override	$	18,833,070		0.4	%
1333 Broadway	1333 Broadway Associates L.L.C.	Participants	$	156,335,546		3.3	%
1350 Broadway	1350 Broadway Associates L.L.C.	Peter L. Malkin - 50% Group	$	54,376,708		1.1	%
	1350 Broadway Associates L.L.C.	Malkin Holdings LLC - Override	$	13,545,915		0.3	%
	1350 Broadway Associates L.L.C.	David M. Baldwin - 50% Group	$	67,922,623		1.4	%
1400 Broadway	1400 Broadway Associates L.L.C.	Participants - 25% Group	$	63,022,528		1.3	%
	1400 Broadway Associates L.L.C.	Participants - 50% Group	$	132,468,480		2.8	%
	1400 Broadway Associates L.L.C.	LMH 1400 LLC	$	66,234,240		1.4	%
	1400 Broadway Associates L.L.C.	Malkin Holdings LLC - Override	$	13,841,419		0.3	%
	1400 Broadway Associates L.L.C.	Peter L. Malkin Family 5 LLC - Override	$	1,605,856		0.0	%
	1400 Broadway Associates L.L.C.	Enid Morse - Override	$	1,605,856		0.0	%
501 Seventh Avenue	Seventh & 37th Building Associates L.L.C.	Participants	$	60,461,969		1.3	%
	Seventh & 37th Building Associates L.L.C.	Malkin Holdings LLC - Override	$	5,746,980		0.1	%
	501 Seventh Avenue Associates L.L.C.	Member	$	56,462,653		1.2	%
	501 Seventh Avenue Associates L.L.C.	Malkin Holdings LLC - Override	$	6,273,628		0.1	%
1359 Broadway	Marlboro Building Associates L.L.C.	Members and Participants	$	147,828,064		3.1	%
	Marlboro Building Associates L.L.C.	Malkin Holdings LLC - Override	$	10,404,981		0.2	%
One Grand Central Place	60 East 42nd St. Associates L.L.C.	Participants	$	281,860,580		5.9	%
	60 East 42nd St. Associates L.L.C.	Malkin Holdings LLC - Override	$	31,208,953		0.7	%
	Lincoln Building Associates L.L.C.	Members	$	266,388,586		5.6	%
	Lincoln Building Associates L.L.C.	Malkin Holdings LLC - Override	$	29,598,732		0.6	%
Empire State Building	Empire State Building Co L.L.C.	Members	$	886,129,067		18.5	%
	Empire State Building Co L.L.C.	PLM 4-2-71 JV, 10% Participants	$	87,610,236		1.8	%
	Empire State Building Co L.L.C.	PLM 4-2-71 JV, 10% Override	$	28,603,412		0.6	%
	Empire State Building Co L.L.C.	PLM 7-2-71 JV, 5% Participants	$	43,805,118		0.9	%
	Empire State Building Co L.L.C.	PLM 7-2-71 JV, 5% Override	$	14,301,706		0.3	%
	Empire State Building Co L.L.C.	1273 Realty Company Participants	$	48,850,930		1.0	%
	Empire State Building Co L.L.C.	1273 Realty Company - Override	$	42,797,855		0.9	%
	Empire State Building Co L.L.C.	Malkin Holdings LLC - Override	$	10,038,157		0.2	%
	Empire State Building Associates L.L.C.	Participants	$	1,075,469,167		22.4	%
	Empire State Building Associates L.L.C.	Malkin Holdings LLC - Override	$	108,143,382		2.3	%
250 West 57th Street	250 West 57th Street Associates L.L.C.	Participants	$	150,856,656		3.1	%
	250 West 57th Street Associates L.L.C.	Malkin Holdings LLC - Override	$	12,207,951		0.3	%
	Fisk Building Associates L.L.C.	Participants - 45% Group	$	30,652,250		0.6	%
	Fisk Building Associates L.L.C.	Members	$	74,818,655		1.6	%
	Fisk Building Associates L.L.C.	IW Morose - Override	$	13,826,125		0.3	%
	Fisk Building Associates L.L.C.	Malkin Family - Override	$	13,826,125		0.3	%
	Fisk Building Associates L.L.C.	Malkin Holdings LLC - Override	$	18,025,643		0.4	%
10 Bank Street	1185 Bank L.L.C.	General Partner	$	271,977		0.0	%
	1185 Bank L.L.C.	Support Co.	$	840,543		0.0	%
	1185 Bank L.L.C.	Class 2 LP	$	539,450		0.0	%
	1185 Bank L.L.C.	Class 1 LP	$	13,928,283		0.3	%
500 Mamaroneck Ave	Malkin 500 Mamaroneck Avenue L.P.	Class A LPs	$	10,858,230		0.2	%
	Malkin 500 Mamaroneck Avenue L.P.	Class B LPs	$	0		0.0	%
	Malkin 500 Mamaroneck Avenue L.P.	General Partner	$	109,679		0.0	%
	Viviane Paris, LLC	Viviane Paris, LLC	$	3,655,970		0.1	%
	Viviane Paris, LLC	Class B LP	$	0		0.0	%
383 Main Ave	Fairfield Merritview SPE L.L.C.	General Partner	$	51,407		0.0	%
	Fairfield Merritview SPE L.L.C.	Class A LP	$	2,804,539		0.1	%
	Fairfield Merritview SPE L.L.C.	Class B LP	$	2,284,752		0.0	%
	Fairfield Merritview SPE L.L.C.	Override	$	571,189		0.0	%
100, 200 & 300 First Stamford Place	First Stamford Place SPE L.L.C.	Class A & A2 Members	$	3,655,634		0.1	%
	First Stamford Place SPE L.L.C.	Manager	$	73,851		0.0	%
	First Stamford Place SPE L.L.C.	Class B	$	3,655,634		0.1	%
	Fairfax First Stamford SPE L.L.C.	Fairfax First Stamford SPE L.L.C.	$	5,703,986		0.1	%
	Fairfax First Stamford SPE L.L.C.	Malkin Holdings LLC - Override	$	633,776		0.0	%
	Merrifield First Stamford SPE L.L.C.	55% Members	$	3,137,192		0.1	%
	Merrifield First Stamford SPE L.L.C.	45% Members	$	1,283,397		0.0	%
	Merrifield First Stamford SPE L.L.C.	Malkin Holdings LLC - Override (Assigned)	$	633,776		0.0	%
	Merrifield First Stamford SPE L.L.C.	PLMalkin Family 9 LLC - Override	$	641,698		0.0	%
	Merrifield First Stamford SPE L.L.C.	Enid Morse - Override	$	641,698		0.0	%
10 Union Square	New York Union Square Retail L.P.	General Partner	$	833,793		0.0	%
	New York Union Square Retail L.P.	Class A LPs	$	41,272,757		0.9	%
	New York Union Square Retail L.P.	Class B LP	$	41,272,757		0.9	%
Metro Center	One Station Place, Limited Partnership	General Partner	$	579,030		0.0	%
	One Station Place, Limited Partnership	Class A LP	$	5,211,267		0.1	%
	One Station Place, Limited Partnership	Class B LPs	$	52,112,666		1.1	%
103-107 Main Street	Westport Main Street Retail L.L.C.	Manager	$	69,256		0.0	%
	Westport Main Street Retail L.L.C.	Class A Members	$	6,856,297		0.1	%
	Westport Main Street Retail L.L.C.	Class B Member	$	0		0.0	%
69-97 Main Street	Malkin Co-Investor Capital L.P.	General Partner	$	114,039		0.0	%
	Malkin Co-Investor Capital L.P.	Class A LPs	$	11,289,834		0.2	%
	Malkin Co-Investor Capital L.P.	Class B LPs	$	0		0.0	%
	Peter L. Malkin	Peter L. Malkin	$	5,206,946		0.1	%
	New Soundview Plaza Associates, Limited Partnership	LP	$	4,946,597		0.1	%
77 West 55th Street	Malkin East West Retail Portfolio L.P.	General Partner	$	560,119		0.0	%
	Malkin East West Retail Portfolio L.P.	Class A LPs	$	27,725,882		0.6	%
	Malkin East West Retail Portfolio L.P.	Class B LP	$	27,725,882		0.6	%
170 East 8th Street	1185 Gotham L.L.C.	General Partner	$	371,386		0.0	%
	1185 Gotham L.L.C.	Support Co.	$	1,147,765		0.0	%
	1185 Gotham L.L.C.	Class 1 LP	$	19,019,130		0.4	%
	1185 Gotham L.L.C.	Class 2 LP	$	736,621		0.0	%
B.B.S.F., L.L.C.	ARSA Associates	PLM Family 2000 LLC	$	6,915,786		0.1	%
	ARSA Associates	Anthony E. Malkin	$	0		0.0	%
	PLM Family 2000 LLC	PLM Family 2000 LLC	$	7,684,214		0.2	%
Malkin Holdings, LLC (Ex Overrides)			$	5,777,000		0.1	%
Malkin Properties			$	5,500,000		0.1	%
Malkin Construction Corp.			$	5,025,000		0.1	%
Total Exchange Value			$	4,794,767,738

DUFF & PHELPS - CONFIDENTIAL