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To my reading: You are correct to assert 0.7 kW for both proposed and baseline cases. "Zone 4" serves only to define the base allowance plus the allowances associated with your nontradable surfaces (likely building facades).

Technically for LEED 2009, I think you should reference 90.7-2007 addendum i, but for simplicity you could also just look to 90.1-2010 Tables 9.4.3A/B and the associated passage.

The exterior lighting power allowance will be 1.3 + (some multiplied value for tradable surfaces). That allowance cannot be exceeded by your 0.7 kW of installed power (so you should be in the clear). This understanding might be the source of the "warning" being thrown in the spreadsheet - perhaps you need to enter your lighting allowance inputs differently?

I will insert however that it's kinda weird that you have absolutely zero tradable surfaces (unless you're asserting that for simplification reasons)... no illuminated main entry?