9 FORTUNE 500 COMPANIES. 150,000+ Employees 1,000+ STORES 14TH LARGEST BUSINESS DISTRICT IN NATION. richmond ave. anderson park

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1 49M SF CLASS A OFFICE 150,000+ Employees 9 FORTUNE 500 COMPANIES 1.2M SF GEORGE R. BROWN CONVENTION CENTER MINUTE MAID PARK HOUSTON ASTROS TOYOTA CENTER HOUSTON ROCKETS 2,000 COMPANIES uptown/galleria 82,000+ EMPLOYEES 21M SF OF OFFICE SPACE 5M SF OF RETAIL 1,000+ STORES 14TH LARGEST BUSINESS DISTRICT IN NATION cbd 7 mi 610 chimney rock rd 1 mi anderson park richmond ave fully renovated asset with minimal deferred maintenance fountain view dr located in uptown/galleria, one of houston s most desirable submarkets Supply Outlook Produces Favorable Multifamily Fundamentals Excellent Infill Location Providing Immediate Access to 350,000 Jobs 44 units 0.99 ACRES 5701 schumacher lane Houston, TX 77057

2 2 PRICE TBD # OF UNITS 44 YEAR BUILT 1965 TOTAL ACREAGE 0.99 AVERAGE UNIT SIZE 703 sf OCCUPANCY (LEASED) 93% NET RENTABLE AREA 30,948 sf AVG MARKET RENT PER MONTH $949 AVG MARKET RENT PER SF $1.35 anderson park

3 3 investment highlights fully renovated asset Minimal deferred maintenance T12 Rent Growth in Galleria/Uptown Submarket: 5% T12 Occupancy Growth: 5.0% Class B Rent have grown nearly 6.0% after bottoming out at $1.13 in June 2017 Faux wood flooring Granite countertops asset in rapidly improving submarket uptown galleria $1.50 $1.48 $1.46 $1.44 $1.42 $1.40 Galleria/Uptown Submarket Performance 92% 90% 88% 86% $1.38 $ % $ % $1.32 $1.30 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Occ% Rate 80% 2018 Proj rent growth 4.5% 2019 Proj rent growth 4.3%

4 4 investment supply outlook produces highlights Favorable Multifamily Fundamentals supply current supply 10 MEMORIAL PARK 1,466 acres MEMORIAL PARK 1,466 acres CENTRAL BUSINESS DISTRICT UPTOWN/ GALLERIA 4M annual visitors UPTOWN/ GALLERIA 10 4M annual visitors HERMANN PARK/ HOUSTON ZOO Over 2,500 units delivered between One 69Property under construction in submarket between : Hanover Blvd Place Using historical T24 absoroption, the Galleria submarket is projected to stabilize by 4Q of 2018 TEXAS MEDICAL CENTER Excellent Infill Location Providing Immediate Access to 350,000 Jobs HORN ELEMENTARY HORN ELEMENTARY NRG PARK 610 How long is the drive? TO Galleria Greenway Plaza Texas Medical Center Westchase District Memorial City # of Miles < 1-5 min < 2-10 min < 5-12 mn < 5-10 min < 5-14 min ENERGY CORRIDOR 94K employees MILES CENTRAL BUSINESS DISTRICT 158K employees 610 UPTOWN GALLERIA 82K employees WESTCHASE DISTRICT 93K employees Majestic Apartments 610 provides immediate commutes to 5 of Houston s top employment hubs Opportunity for a covered land play MEMORIAL CITY 48K employees TEXAS ME CENTE GREENWAY PLAZA 25K employees 45 TEXAS MEDICAL CENTER 106K employees NRG PARK

5 5»» 14th largest business district in the US»» 82,000 employees»» Five million square feet of retail space and more than 1,000 stores»» The Galleria hosts 26 million visitors annually, making it the number one shopping and tourist attraction in Houston uptown/galleria business district 2,000 COMPANIES 82,000+ EMPLOYEES 28M SF OF CLASS A OFFICE #14 5M SF OF RETAIL 1,000+ STORES 14TH LARGEST BUSINESS DISTRICT IN NATION $1 BILLION IN RENOVATIONS UNDERWAY 1.3 MILLION SF UNDER CONSTRUCTION

6 6 Major employers UPTOWN/GALLERIA MAJOR EMPLOYERS 1] Galleria Office Towers 2] Williams Tower Williams Companies, Rowan Companies, Quanta Services 3] Bechtel Oil, Gas & Chemicals 4] Amegy Bank HQ 5] Silicus Technologies, LLC 6] AECOM 7] BBVA Compass Plaza 8] Four Oaks Plaza Morgan Stanley, SureTec, Main Street Capital 9] 1400 Post Oak Ln Select Energy, JLL 10] Transwestern 11] 1800 West Loop South Blue Cross Blue Shield of Texas, Pierpont Communications, Anheuser-Busch ] Marathon Oil 16] 5151 San Felipe Goodman Manufacturing Company, Columbia Pipeline Group 17] Post Oak Central Stewart Title Co., Apache Corporation, Engie North America 18] Schlumberger 19] Riverway Office Park Northwestern Mutual, Riverway Title Company, Aly Energy Services 20] San Felipe Plaza Chase, Amerifirst 21] Burns & McDonnel 22] 5718 Westheimer Capital One, DCP Midstream 23] Enbridge 12] BLVD Place Frost Bank, Cantor Fitzgerald, ARA Newmark 13] Landry s Inc 24] Greenway Plaza Occidental Petroleum, Transocean, Chicago Title, Camden, Solvay Chemicals, Invesco, Direct Energy

7 7 GREENWAY PLAZA»» Ten-building complex totaling over 4.25 million square feet of Class A office space»» 25,000 employees»» Master-planned mixed-use 52-acre site with premier frontage along U.S. Highway 59»» $5 million in renovations recently completed 10 BUILDING COMPLEX 25,000+ EMPLOYEES $5 MILLION IN RENOVATIONS RECENTLY COMPLETED 4.25M SF OF CLASS A OFFICE MASTER-PLANNED MIXED-USE 52-ACRE SITE PREMIER FRONTAGE ALONG U.S. HIGHWAY 59

8 8 westchase district 5 mi 5.5 mi 300+ COMPANIES energy corridor 94,000+ EMPLOYEES 22M SF OF OFFICE SPACE 2.9M SF OF RETAIL 3 3RD LARGEST EMPLOYMENT CENTER IN HOUSTON 1,500 COMPANIES 93,000+ EMPLOYEES 18M SF OF OFFICE SPACE 2.1M SF OF RETAIL richmond ave westheimer rd fountain view dr Houston Camera Exchange Kawai Piano Gallery Sam s Boat Uptown Lounge anderson park chimney rock rd

9 9 school OVERVIEW SCHOOL DISTRICT Houston Independent School District ELEMENTARY SCHOOL St. George Place MIDDLE SCHOOL Tanglewood HIGH SCHOOL Wisdom CONSTRUCTION DETAILS STYLE Garden-style NUMBER OF BUILDINGS 4 two-story buildings FOUNDATION Concrete post-tension slab EXTERIOR WALLS Stucco and stacked stone? ROOF TYPE Flat FLOOR COVERING Faux wood and ceramic tile PAVING Concrete and asphalt paved with curbs WIRING Aluminum, CO/ALR PIPING PVC MECHANICAL SYSTEMS ELECTRICITY Individually metered WATER/SEWER Master-metered, Owner pays HOT WATER 2 boilers HVAC Individual climate controlled units PARKING INFORMATION OPEN, UNRESERVED SPACES 53 PARKING SPACES PER UNIT 1.2

10 10 pro forma PRO FORMA FINANCIAL ANALYSIS INCOME Gross Scheduled Rent Less: (Gain)/Loss-to-Lease Gross Potential Income Less: Vacancy Total Rental Income Plus: Other Total Other Income Effective Gross Income EXPENSES Repairs and Maintenance Payroll Administrative Marketing Utilities Total Variable Expenses Taxes Insurance Management Fee Total Operating Expenses Capital Reserves Total Expenses % of GSR Totals Per Unit Per SF % $511,020 $11,614 $ % 15, % $495,689 $11,266 $ % 25, % $470,138 $10,685 $15.19 % of GSR Totals Per Unit Per SF 1.08% 5, % 5, % $475,655 $10,810 $15.37 % of EGI Totals Per Unit Per SF 4.63% 22, % 48,400 1, % 1, % 1, % 17, % $90,128 $2,048 $ % 76,932 1, % 17, % 19, % $203,686 $4,629 $ % 15, % $219,086 $4,979 $7.08 Net Operating Income $256,569 $5,831 $8.29

11 11 pro forma assumptions RENTAL INCOME Gross Scheduled Rent based on current market rents in the 7/5/2018 rent roll and grown 2% Loss-to-Lease assumed at 3.00% of GSR Vacancy assumed at 5.00% of GSR which is consistent with June 18 T3 actuals OTHER INCOME Other Income based on June 18 T3 actuals and grown 3.00% EXPENSES Repairs and Maintenance assumed $500/unit which is based on June 18 T3 actuals and adjusted for market norms Payroll assumed $1,100/unit which is based on June 18 T3 actuals and adjusted for market norms Administrative assumed $25/unit which is consistent with June 18 T3 actuals Marketing assumed $25/unit which is consistent with June 18 T3 actuals Utilities based on June 18 T3 actuals and grown 3%; tenants are responsible for their own electric but property covers water, sewer and gas Property Tax the Property is in Harris County and has tax ID # ; 2018 appraised value was $2,768,344; pro forma taxes are based on Year 1 appraisal growth of 10% over current appraised value and multiplied by the 2018 millage rate of % Insurance assumed $400/unit; insurance expenses vary depending on the coverage and deductible selected by the investor and whether the Property is included on a single-asset or blanket policy Management Fee assumed 4.00% of EGI based on the size of the property and market norms

12 12 amenities & features Beautiful courtyard Gated parking Picnic area with barbecue grills Onsite laundry facility Intercom access for each apartment Faux wood flooring Granite counter tops Ceiling fans Walk-in closets Frost-free refrigerators, dishwashers and garbage disposals

13 13

14 14 rent comparables # PROPERTY YOC OCC. UNIT TYPE 1 Tanglewood Place % # OF UNITS AVG. SQ FT MARKET RENT MARKET RENT PSF EFFECTIVE RENT EFFECTIVE RENT PSF EFF. RENT DELTA (Comp vs. Subject) 1-Bed $838 $1.19 $838 $1.19 $119 2-Bed $1,029 $1.05 $1,029 $1.05 $19 Total/Avg $867 $1.16 $867 $1.16 $62 2 Atrium Regency % 1-Bed $842 $1.46 $842 $1.46 $123 2-Bed 87 1,155 $1,223 $1.06 $1,223 $1.06 $213 Total/Avg $1,113 $1.13 $1,113 $1.13 $309 3 Constitution Square % 1-Bed $879 $1.28 $851 $1.24 $132 2-Bed $1,067 $1.12 $1,042 $1.10 $32 Total/Avg $907 $1.25 $880 $1.21 $76 4 Montebello Gardens % 1-Bed $834 $1.44 $834 $1.44 $115 2-Bed $1,036 $1.11 $1,036 $1.11 $26 Total/Avg $871 $1.35 $871 $1.35 $67 5 Gallery % 1-Bed $821 $1.26 $821 $1.26 $102 2-Bed $1,071 $1.11 $1,071 $1.11 $61 Total/Avg $913 $1.19 $913 $1.19 $109 TOTALS/ AVERAGES 96% 1-Bed $842 $1.31 $837 $1.30 $118 2-Bed 34 1,060 $1,142 $1.08 $1,140 $1.08 $130 Total/Avg $944 $1.20 $940 $1.20 $136 SUBJECT Majestic % 1-Bed $855 $1.33 $719 $ Bed $1,200 $1.39 $1,010 $1.17 Total/Avg $949 $1.35 $804 $1.14

15 CHIMNEY ROCK RD 15 MEMORIA rent comparables map MEMORIAL PARK BRIAR FOREST DR WESTHEIMER RD VOSS RD HILL 1 Tanglewood Place 2 Atrium Regency 3 Constitution Square 4 Montebello Gardens 5 Gallery

16 INVESTMENT SALES Brad Shaffer T M Brandon Miller bmiller@aranewmark.com T M Taylor Gaspard tgaspard@aranewmark.com T M Russell Jones rjones@aranewmark.com T M Matt Saunders msaunders@aranewmark.com T M Zach Springer zspringer@aranewmark.com T M capital markets Adam Allen aallen@ngkf.com T M Tip Strickland tstrickland@ngkf.com T M David Schwarz dschwarz@ngkf.com T M Purvesh Gosalia pgosalia@ngkf.com T M ARA - HOUSTON 1700 Post Oak Blvd 2 BLVD Place, Suite 400 Houston, TX T F