HACKENSACK, NJ, June 14, 2004 — It was a building no one wanted to buy after two years on the market — a defunct Dayton, Ohio hospital run by the Franciscan Sisters of the Poor. A $5.2 million loan from Kennedy Funding of Hackensack, New Jersey, enabled RNS Equities to purchase the Franciscan Medical Center at auction and return it to service as a center for healthcare services. Now, less than 24 months after borrowing the money, RNS Equities has paid back the loan in full.

No other lenders would consider the loan request for a vacant property without income,” said Norman Schwab, president of RNS Equities, a group of New York and Cincinnati investors. “Kennedy provided the funds to cover the acquisition of the property as well as the improvements and upgrades needed and did so in a time-effective manner that was needed to make the transaction work. We were very pleased with the quality of Kennedy’s service and attention to our urgent needs.”

In addition, Schwab said that Jeffrey Wolfer, a principal of Kennedy Funding, aided the negotiations with potential tenants and contractors with his in-depth knowledge and understanding of the intricate complexity of the project. Schwab added that he was able to rely on Wolfer ’s extensive real estate development experience for guidance in developing and marketing the new health services center.

Where no one else saw value, RNS Equities envisioned an opportunity to return the building to a key role in providing medical services to the area it had served for more than a century.

“Satisfied borrowers acknowledge the value of the services by repaying loans ahead of schedule,” says Jeffrey Wolfer. “RNS Equities repaid our loan in record time showing an appreciation for our support. The borrower’s plan to turn the center into a mixed-use medical center was an answer to the prayers of the Franciscan nuns desperate to sell the building and to the community that needed medical services to fill the void left by the former hospital’s closure.”

The Catholic Order closed Franciscan Medical Center in August 2000 following years of sustained financial losses. Located on Edward C. Moses Boulevard in Dayton, the Franciscan medical facility had served the community for more than 120 years and was considered an historical landmark. People in the area held strong personal attachments to the hospital that had served them for so many years and had become a fixture in their lives.

For more than two years, the medical center was on the block for sale with no buyers forthcoming. In 2002, the Franciscan order decided to put the hospital up for auction, seeking to recoup $3.3 million.

Within a year of purchasing the Franciscan Medical Center, RNS Equities converted the former hospital into a medical mall of health care services with 15 major tenants in place. Named Elizabeth Place, the new facility offered one million square feet of space designed for ancillary health care services to complement those offered in the greater Dayton area.

Officials of RNS Equities estimate that Elizabeth Place has brought 300 jobs to the community and that tenants had invested more than $2 million in renovations and new construction work undertaken by local contractors. Elizabeth Place has restored the spirit and essence of this historical building and its role in the community as a healthcare provider.

“What impressed me about Kennedy Funding,” said Schwab, “beyond even the speed of the loan process and their willingness to take on a loan no one else would touch, was the sense we got that they were truly interested in our success.”

Obtaining loans to acquire property and for infrastructure is one of the most difficult tasks facing commercial borrowers dealing with traditional lenders. Kennedy is able to step into that void left by conventional banks and eliminate the risks inherent in the early stages of real estate projects.

How is Kennedy able to do this? Nearly two decades of experience in funding commercial real estate ventures and business enterprises has given Kennedy the expertise to evaluate and fund a wide range of real estate and business projects. Over the years, Kennedy has built a national and international reputation for its ability to deal with complex financial transactions, acquisitions, workouts, refinancing, bankruptcies, foreclosures and other scenarios to develop innovative solutions for its clients.

Two aspects of Kennedy’s financial services are cited most often by borrowers — the streamlined, efficient loan process that enables speedy commitments and eliminates delays, and, the lender’s personalized service.

“No matter how sophisticated the borrower may be,” says Wolfer, “they can wind up facing complex financial obstacles to their ventures. That’s where we come in. We’ve done hundreds of transactions with every condition imaginable. We have the resources to assess the risk and meet any borrower’s need from small to large, local to international. We’re also aware of the time constraints and pressures of today’s global marketplace – which is why we can make commitments in as little as 24 hours.”

For eighteen years, Kennedy Funding has served the commercial real estate and business needs of clients throughout the United States and global markets. The company has successfully funded diverse projects including residential and commercial real estate, high-profile golf courses, resort communities in the U.S. and abroad, TV and radio stations, airlines, amusement parks, hotels, sports complexes and a variety of commercial business enterprises.