KSI Capital participates in a $3.4 million loan will help provide affordable housing in Mexico*

PARAMUS, NJ, July 7, 2004 — To help fund the construction of much-needed affordable housing in Mexico, KSI Capital, a direct private lender based in Paramus, New Jersey, has loaned $3,460,000 to Fuentes-Gomez & Associates, LLC, a development firm in Mexico.

Fuentes-Gomez plans to construct three housing projects in the cities of Nogales , Agua Pierta, and Caborca, all in the state of Sonora , Mexico . The projects are known as “popular houses” which are very small homes designed for low-income buyers. It is a common concept widely used in Mexico , and Central and South America . The houses are small by American standards, roughly 500 square feet of space for the entire home. These homes are on lots approximately 650 square feet in area and are financed for qualified buyers with government programs. Popular houses in Mexico sell for approximately $20,000 to $40,000 per home.

“It is extremely difficult to find investors or financial institutions outside of Mexico who will fund what are essentially land deals,” said Jose Martin Fuentes of Fuentes-Gomez & Associates. Fortunately, KSI Capital has considerable experience in funding real estate ventures in Mexico .

Acquiring loans to purchase property and for infrastructure is one of the most difficult tasks facing commercial borrowers dealing with traditional lenders. KSI Capital has the expertise and resources to meet the needs of borrowers that conventional lenders are unwilling to undertake.

Land deals in Mexico, as in many international locations, can be complex due to the legal and financial environment surrounding real estate and land use in those countries. A lender would need the experience and desire to accurately assess the risk in order to become involved in financing an international venture. KSI has done many international deals and a number of them in Mexico.

To expedite commitments, KSI built a streamlined, efficient loan process designed to eliminate the delays and burdensome tasks found in the bureaucratic red tape of conventional lenders. Response time is critical to the success of any business venture.

With almost 20 years of experience in funding commercial real estate deals and business enterprises, KSI has an extensive base of knowledge to draw upon in structuring and managing financial transactions of every conceivable type with particular experience in commercial real estate.

Over the years, KSI 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. It has funded numerous deals in every region of the United States , Mexico , Europe , and the South Pacific.

KSI Capital has successfully funded diverse projects in the U.S. and international markets, including residential and commercial real estate, high-profile golf courses, resort communities in the US and abroad, TV and radio stations, airlines, amusement parks, hotels, sports complexes and a variety of commercial business enterprises.