#3 Fastest Growing Company Continues Pace with
Development of Top-Quality Senior Living Campus

July 30, 2009

Mainstreet Property Group, a real estate investment company focusing on the acquisition and development of properties in the seniors housing and care industry, announced today the ground-breaking of their latest project- a 77,000 square-foot facility located in the heart of Hamilton County.

The Noblesville facility will house 108 units in a combination Skilled Nursing / Assisted Living facility, and 30 units in a separate Memory Care / Alzheimer’s facility with plans to add an additional 60 to 90 Independent Living units to phase II of the campus. Mainstreet is responsible for managing and underwriting the development process, owns the real estate and serves as landlord. Trilogy Health Services, LLC will operate the campus.

Mainstreet develops top-quality senior housing, skilled nursing and assisted living campuses for its senior care clients. Facilities offer spacious private rooms, restaurant-style dining and other amenities not typically found in seniors housing and care.

The $13.4 million dollar facility will be located at the intersection of 146th Street and Cumberland Road. Meyer Najem Construction, Inc. of Fishers is the general contractor.

Recently named as one of Indiana’s fastest growing companies, the turbulent economic climate has not affected Mainstreet’s growth like it has for other real estate development companies. Mainstreet serves clients throughout the mid-west and south.

“A tougher economic climate means commercial loans are not as readily available,” said V. Edward Grogg, president of Mainstreet Property Group. “Unlike most companies, the current economy has created benefits for Mainstreet. Capital and construction costs are lower, skilled labor is more readily available and our strong position as a company has made financing obtainable,” Grogg said.

According to economists, tougher loan underwriting standards, price declines, and decreasing property values have made the attainment of commercial funding harder than ever. The commercial mortgage-backed securities (CMBS) market is down 98% since 2007, while SBA property lending was down 60% in May 2009, compared to a year ago.

“These market conditions are where Mainstreet excels,” said Grogg. “Our experience in good and bad times coupled with our extensive backgrounds in financing, development and operations have positioned Mainstreet as a strong and stable leader in the industry,” he added.

According to STATS Indiana, the 2007 demographic report shows more than 20,280 seniors living in Hamilton County, with a projected 7.8% increase expected, in subsequent years.

“The next generation of seniors is simply not willing to accept the current supply that exists for their health care needs. From hospitals to medical offices to senior living facilities, the demand for top-quality housing and other amenities not typically found in senior care facilities has created a great niche for Mainstreet to capture, particularly in skilled nursing and assisted living,” said Zeke Turner, chairman and CEO of Mainstreet Property Group.

This is the second development project Mainstreet has started in as many months. Their recent projects have a combined value of over $30 million dollars, with the development of over 155,000 square feet of new senior living space in Indiana.

“We are outperforming this development market with our unique approach, and will be for the foreseeable future,” said Turner. “We are extremely excited about this project. Noblesville is a fantastic place to live and work, and this campus meets a previously unmet need in the community. We are happy to be a part of it.”

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About Mainstreet Property Group
Mainstreet Property Group is a real estate investment company focusing on the acquisition and development of properties in the seniors housing and care industry, including Continuing Care Retirement Communities (CCRCs), Independent Living, Assisted Living, Skilled Nursing, and senior apartment buildings. Mainstreet employs a conservative, long-term approach to business led by an experienced, professional management team with extensive operating, real estate development and management, and financial backgrounds.

Mainstreet, headquartered in Cicero, Indiana, has investments in 17 properties, comprised of 2 continuum of care retirement communities (CCRC), 6 skilled nursing facilities, 4 assisted living facilities, 1 senior garden home development, 2 apartment complexes and 2 commercial office properties. Mainstreet has multiple properties in its development pipeline, adding even more projects in the coming months. Mainstreet’s operating company, Mainstreet Asset Management, Inc., operates or manages five of these properties and has 145 employees.

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