OXFORD SQUARE A 80 Unit Class C Multi-Family Asset

Transcription

1 BROKER'S OPINION OF VALUE OXFORD SQUARE A 80 Unit Class C Multi-Family Asset A P A R T M E N T S APARTMENTS FOR SALE KET Enterprises Incorporated I 4295 San Felipe, Suite 355 I Houston, TX I

2 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX APARTMENTS FOR SALE MARKET Units: $0 0 $0.00 $0 Avg Size: 849 PRO-FORMA CAP RATE: 0.00% Date Built: 1970 Rentable Sq. Ft.: 50,912 HIGH VALUE #VALUE! Acreage: 1.76 Occupancy: 93% MID VALUE MARKET Class: SALIENT FACTS: C LOW VALUE #VALUE! Available on an All Cash or New Loan Basis Located in Independence Heights super neighborhood Easy access to I-45, Loop 610, Hardy Tollroad Good drive-by on Oxford St. Very few apartment properties in Independence Heights Blue collar tenant profile Ideal first property Value-add opportunity An interior and exterior rehab could produce higher rents Close to a METRO busline Part of the Greater Northside Management District For More Information Please Contact: Hashir Saleem hashir@ketent.com ext San Felipe, Suite 355 Houston, TX Broker License

3 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX Physical Information Financial Information Projected Loan Parameters Operating Information Number of Units Avg Unit Size Asking Price MARKET Estimated New 75% Amortization (Months) Net Rentable Area Land Area (Acres) Units per Acre Date Built 50, Debt Service Monthly P & I Interest Rate Date Due Water Meter / Master Elec Meter Master Indiv Est Res for Repl/Unit/Yr Yield Maintenance Roof Style Pitches HVAC System Indiv 360 $0 $0 4.75% 10 yr $300 Yes Seller will pay off the existing loan prepayment penalty Est Mkt Rent (Aug-17) $43,500 Avg Mo $43,031 Pre-Leased Occ (Aug-17) 93% Est Ins per Unit per Yr $350 Property Tax Information 2016 Tax Rate/$ Tax Assessment $805,337 Est 2017 Taxes $15,683 Est Future Tax Assessment $1,850,000 Est Future Taxes $36,026 INCOME PRO-FORMA INCOME Current Street Rent with a 7% Increase 558,540 Estimated Gross Scheduled Income 558,540 Estimated Loss to Lease (2% of Total Street Rent) (11,171) 2% Estimated Vacancy (2% of Total Street Rent) (11,171) 2% Estimated Concessions and Other Rental Losses (2% of Total Street Rent) (11,171) 2% Estimated Utilities Income Estimated Other Income 16,316 Estimated Total Rental Income ESTIMATED TOTAL PRO-FORMA INCOME June 2016 thru May 2017 Income EXPENSE MODIFIED ACTUALS $516,375 Jan - Dec 2016 Expenses PRO-FORMA Estimated Expenses Fixed Expenses Fixed Expenses Taxes $17,744 $296 per Unit 12/16 Trailing Operating Statement $36,026 $600 per Unit Insurance $13,010 $217 per Unit $21,000 $350 per Unit Total Fixed Expense Utilities Utilities Estimated Utilities Electricity $3,188 $53 per Unit $3,188 $53 per Unit Gas $13,490 $225 per Unit $13,490 $225 per Unit Water & Sewer $72,474 $1,208 per Unit $72,474 $1,208 per Unit Estimated Fixed Expenses $46,545 / Mo $46,545 / Mo 0 $ / Unit / Yr $272 / Unit / Yr 541,344 $45,112 / Mo 2016 Tax Rate & Est Future Assessment Estimated $513 per Unit $950 per Unit Total Utilities 89,153 $1,486 per Unit 89,153 $1,486 per Unit Other Expenses Other Expenses Estimated Other Expenses General & Admin & Marketing Repairs & Maintenance Labor Costs Contract Services $8,960 $13,565 $21,600 $11,748 $149 per Unit $226 per Unit $360 per Unit $196 per Unit $12,900 $24,000 $46,200 $11,748 $215 per Unit $400 per Unit $770 per Unit $196 per Unit Management Fees 0.00% $ per Unit $21, % $361 per Unit Total Other Expense 55,873 $931 per Unit 116,501 $1,942 per Unit Total Operating Expense 175,779 $2,930 per Unit 262,680 $4,378 per Unit Reserve for Replacement 18,000 $300 per Unit 18,000 $300 per Unit Total Expense 193,779 $3,230 per Unit 280,680 $4,678 per Unit Net Operating Income (Actual Underwriting) 322, , ,344 30,753 57,026 Asking Price MARKET MARKET NOTES: ACTUALS: Actuals are based on the owners's 12/16 Trailing Operating Statement. PRO FORMA: Income is Pro Forma as Noted. Taxes were calculated using 2016 Tax Rate & Est Future Assessment. Insurance is estimated. Management Fees calculated as 4.% of Gross Income, Other expenses are Estimated for the Pro Forma. DISCLAIMER: The information contained herein has been obtained from sources that we deem reliable. We have no reason to doubt the accuracy of the information, but we have not verified it and make no guaranty, warranty or representation about it. It is your resonsibility to independently confirm its accuracy and completeness. We have not determined whether the property complies with deed restrictions or any city licensing or ordinances including life safety compliance or if the property lies within a flood plain. THE PROSPECTIVE BUYER SHOULD CAREFULLY VERIFY EACH ITEM OF INCOME OR EXPENSE AND PERFORM OR HAVE PERFORMED ANY INSPECTIONS TO VERIFY POSSIBLE CONTAMINATION BY ASBESTOS, LEAD PAINT, MOLD OR ANY OTHER HAZARDOUS SUBSTANCES. The owner reserves the right to withdraw this listing or change the price at anytime without notice during the marketing period. 8/24/2017 OxfordSquare

4 OXFORD SQUAOXFORD SQUARE 4410 OXFORD ST HOUSTON, TX 77022

5 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX PROPERTY OVERVIEW Keymap: 453J Construction Quality: D PROPERTY INFORMATION AMENITIES EXISTING MORTGAGE TAXING AUTHORITY - HARRIS COUNTY Age: 1970 Cable Ready Park & Ride Nearby Mortgage Balance ACCT NO: Elec Meter: Indiv Mini Blinds Walk-In Closets Amortization (months) Houston ISD $ A/C Type: HVAC Ceiling Fans School Bus Pick-up P & I Harris County $ Water: Master Shuttle Route Type Harris County Flood Control $ Wiring: Copper?? Patios/Balconies Assumable Port of Houston Authority $ Roof: Pitches Monthly Escrow Harris County Hospital District $ Paving: Asphalt Monthly Reserves Harris County Education Dept $ Materials: Brick/Wood Origination Date Houston Community College $ # of Stories: 2 Due Date City of Houston $ Parking: Surface Interest Rate Grtr Nrthsd Mgmt Dist $ Buildings: 5 Pre Payment Penalty 2016 Tax Rate/$100 $ Units/Acre: *In Select Units Transfer Fee 2017 Tax Assessment $805,337 COLLECTIONS UNIT MIX No. Total Avg Mo $ 43,031 $44,000 Type Units Sq Ft SqFt Rent Total Rent Rent/SF Jun 2016 $ 43,017 $43,500 2 Bed/1 Bath ,912 $725 $43,500 $0.85 July 2016 $ 43,327 $43,000 Aug 2016 $ 43,496 Sept 2016 $ 43,769 $42,500 Oct 2016 $ 43,620 Nov 2016 $ 43,154 Dec 2016 $ 43,725 Jan 2017 $ 43,135 Feb 2017 $ 42,296 Mar 2017 $ 41,896 Apr 2017 $ 42,492 May 2017 $ 42,448 $42,000 $41,500 $41,000 $40,500 Jun 2016 July 2016 Aug 2016 Sept 2016 Oct 2016 Nov 2016 Dec 2016 Jan 2017 Feb 2017 Mar 2017 Apr 2017 May 2017 PLEASE DO NOT VISIT THE SITE WITHOUT AN APPOINTMENT MADE THROUGH THE BROKER. 5/31/17 RR & HCAD Total / Avg ,912 $725 $43,500 $0.85 PROPERTY INFORMATION Oxford Square consists of five buildings constructed in The exterior of the buildings is constructed of all brick, only the eaves are made of wood. The roof is constructed with pitched composition shingles. The project has received some rehab but appears to need additional work. The asset is located in the Independence Heights area of the City of Houston and is approximately 8 miles north of the Houston Central Business District. Residents enjoy its' convenient location near Interstate Highway 45, Loop 610, the Hardy Tollroad and the Highway 290 corridor. Independence Heights is a Super Neighborhood on the brink of redevelopment. The community has come together and developed plans that will guide the neighborhood revitalization. In 2008, the community was damaged by Hurricane Ike. As a result, federal funding is slated to help redevelop this historic community. New homes and schools are being built. In April, 2016, construction on a $51.7 million new campus broke ground for Booker T. Washington High School. The neighborhood also boasts about the new, "zero energy" home located exclusively in Independence Heights. These homes are designed to cost less to own, operate and maintain and ultimately generate energy rather than expend it. Home prices will range from $150,000 to $225,000. The models range in size from 1,100 square feet to 2,800 square feet. Upgrade Summary Items Description Bldg Year Completed Roof Whole Roof Replacement Bldg A/C Units 75%+% Condenser Units Replaced Plumbing New Heat Exchanger 10/ Gallon New Boiler Tank Installed 08/2016 Fence All New Metal Fence and 5" Posts 12/2015 Parking Lot All New Asphalt Paving 05/2015 Disclaimer: The information contained in this Memorandum reflects material from sources deemed to be reliable, including data such as operating statements, rent roll, etc. provided by the Owner. Notwithstanding, KET Enterprises Incorporated does not make any warranties about the information contained in this marketing package. Every prospective purchaser should verify the information and rely on his accountants or attorneys for legal and tax advice. This offer is As-Is, Where-Is. Answers to specific inquiries will have to be supplied by the Owner and are available upon request. Rates of return vary daily. No representations are made concerning environmental issues, if any.

6 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX PROPERTY LOCATION

7 OXFORD SQUARE

8 OXFORD SQUAOXFORD SQUARE 4410 OXFORD ST HOUSTON, TX 77022

9 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX RENT COMPARABLES RENT COMPARABLES (June Apartment Data Services & Enriched Data) Property Name Yr Blt Occ #Units Avg SF Avg Rent +EWG P/SF 1 Candlelight Estates 818 Pinemont % $638 +E Terrace on Oak 838 Oak St % $752 +E Mirabella 816 Oak St % $759 +EW Redwood Village 300 Victoria % $541 +E West Crosstimbers 500 W Crosstimbers % $615 +EW Resident Pays - E (Electricty) W (Water) G (Gas) Totals/Averages Comps % $ Oxford Square 4410 Oxford St % $725 $0.85 Sub-Market Averages Northline 92% 6, $736 $0.876 Houston Market Avgs 89% 636, $981 $ OXFORD SQUARE APARTMENTS

10 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX SALES COMPARABLES SALES COMPARABLES Property Name Date Sold Price Sq. Ft. Price/Unit Price/SF Built Units 1 Siena Villas Cotillion 2 Candlelight Garden 5116 Alba 3 Pecan Shadows 480 W Parker 4 Banyan Shore 2217 Hollister 5 Century Park Imperial Valley 3/17 $3,450,000 64,950 $53,906 $ /16 $4,200,000 50,377 $65,625 $ SALES COMPS AVAILABLE UPON REQUEST 9/16 $6,300, ,136 $45,985 $ /16 $6,300, ,759 $69,231 $ /17 $13,575, ,280 $65,264 $ Totals/Averages Comps $6,765, ,100 $60,002 $ Oxford Square 4410 Oxford St. MARKET 50,912 $0 $ OXFORD SQUARE APARTMENTS 3 2 4

11 HOUSTON, TEXAS A T A G L A N C E The City of Houston, the largest city in Texas and the fourth largest city in the United States, is located on the coastal prairies of southeast Texas and is home to a diverse array of industries and cultures. Houston is located in Harris County, the nation s third most populous county. The Houston region, officially designated as the Houston - Woodlands - Sugar Land Metropolitan Statistical Area (MSA), comprises Harris County and eight other counties: Austin, Brazoria, Chambers, Fort Bend, Galveston, Liberty, Montgomery, and Waller. The Houston MSA has a population of approximately 6,656,947 according to new U.S. Census Bureau estimates. The nine county metropolitan area is the fifth-largest metropolitan area in the nation and covers 9,444 square miles. The most urbanized portions of the Houston area are in Harris County, the southern part of Montgomery County, and the eastern section of Fort Bend County. Houston is home to the tenth largest port in the world and is in close proximity to Mexico, a key trading partner. It has a temperate climate and an affordable cost of living. With a population exceeding 2.3 million, the population base includes a wide variety of racial and ethnic groups that give Houston a rich diversity and cosmopolitan feel. The U.S. Bureau of Economic analysis estimates metro Houston's Gross Domestic Product (GDP) at around $503.3 billion. If the MSA were an independent nation, its economy would rank 23rd largest in the world, behind Taiwan ($523.6 billion), but ahead of Sweden ($499.4 billion). Source: Greater Houston Partnership Research, December 2016

12 Ever since its founding as a port city, Houston has been a dynamic international marketplace, attracting capital and people from all over the world. Today, Houston is the nation's fourth largest economy, and what Forbes calls "America's next great global city." Houston s annual trade growth is among the highest in the nation with a total annual trade value growth of 84.6 percent, from $ million in 2005 to $ million in 2015; exceeding the nation s growth rate of 45.2 percent during that same period. Houston is already a leading exporter, and our exports have increased 189% since In fact, Houston is the #1 metro exporter in the top energy related industries. But recent low oil prices have slowed our rate of growth. A plan to boost goods exports can further diversify our economy, help existing companies grow, and create more jobs. Houston's export plan will connect small and medium-sized enterprises to growing markets, while positioning the region as a location of choice for global investors. Source: Greater Houston Partnership Research, December 2016

13 Despite Setbacks Houston Still has a Strong Economy From 2010 to 2014, Houston added nearly half a million jobs. This period of phenomenal growth provided the momentum needed to sustain the region through the early stages of the energy downturn that began at the end of '14. As oil prices and rig counts fell through '15 and early '16, Houston's job growth began to slow. In '15, the region added 15,200 jobs, and added 13,400 jobs in the 12-months ending Oct '16. In spite of the energy industry's worst downturn in history, Houston managed to post 12-month net job gains throughout this period. No Single Industry or Sector Dominates Houston Employment A strong U.S. economy, momentum from the previous economic boom, robust population growth, and the $50 billion in petrochemical plant expansions have helped offset losses in upstream energy and manufacturing. Houston's Service-Providing Sector Continued to Add Jobs During the Energy Downturn The goods-producing industries (mining and logging, construction, and manufacturing) peaked at 586,300 jobs in December '14, then fell to 536,400 jobs in October '16. Mining and logging, primarily oil and gas extraction and support activities, lost 25,600 jobs, a 22.9 percent decrease. These losses rippled through the economy, triggering declines in other sectors, particularly durable goods manufacturing, wholesale trade and professional and business services. Source: Texas Workforce Commission Aug '16 Construction, helped by the petrochemical plant expansions on the eastside of Houston, gained 6,100 jobs over the same period. Manufacturing lost 30,400 jobs and fabricated metal products lost 12,100 jobs. Construction and mining machinery lost 14,200 jobs, and computer and electronics lost 2,300 jobs. The service-providing industries added 66,600 jobs between December '14 and October '16. Gains in industries that rely on population growth offset losses in sectors tied to energy. Trade, transportation, and utilities lost 1,400 jobs, financial activities added 3,000 jobs, and professional, scientific and technical services cut 7,700 jobs. Healthcare and social assistance added 24,500 jobs, accommodation and food services added 27,600, and government gained 14,700 jobs. The service industries account for 4 out of 5 workers in the region The goods-producing sector accounts for nearly 1 in 5 of the region's jobs Source: Greater Houston Partnership Research, December 2016

14 E c o n o m i c F o r e c a s t Renowned Real Estate Economist States: ' The Downturn Seems to be Over' According to an article written by Jim Gaines, a research economist at the Real Estate Center at Texas A&M University, dated January 6, 2017, in the Houston Business Journal, "the economic downturn that began in November 2014 seems to be over." Jim Gaines states that there is generally a two-to three-year lag between the time the energy sector goes into a slump and all of its impacts on the economy are felt. Houston's energy slump unofficially began on November 27, 2014, when OPEC announced it would not adjust oil production levels. Gaines said that Houston should see some of the slump's final lag effects in Gaines also noted that 2016 is poised to be the best year on-record for Houston home sales. The Greater Houston Partnership recorded that November 2016's home sales were the best November on-record for single-family home sales. Much of that boom can be attributed to Houston's population growth. Despite the oil slump, few residents are leaving Houston. In 2016, Houston welcomed 132,000 new residents (45,600 households). Gaines also states that Houston's population is expected to rise to 7.4 million by 2020 and should double to 14 million by Additionally, according to an article dated January 11, 2017, by G. Scott Thomas of Buffalo Business First, a sister paper to the Houston Business Journal, Houston is on the brink of a population milestone. Buffalo Business First has developed a computer formula that uses 15 years of demographic data to estimate the population of any community at any given moment, and according to predictions by Business First, Houston will reach 6.9 million on March 13, 2017 and 7.0 million on November 17, Source: 1/6/16, Cara Smith What are other signals the downturn is over? As stated by the Greater Houston Partnership's '2017 Houston Employment Forecast': West Texas Intermediate (WTI) the U.S. benchmark for light, sweet crude, now trades near $50/barrel. WTI traded as low as $26 in mid-february The number of drilling rigs working in the U.S. reached 593 in mid-november Only 404 rigs, the fewest in recent history, were in the field in mid-may After 21 months below 50, the Houston Purchasing Managers Index hit 51.1 in October Readings above 50 signal pending expansion; below 50, contraction. The region created 13,400 jobs in the 12 months ending October Annualized growth had sunk as low as 3,200 jobs in May The forecast also asserts, "the recent downturn could be compared to a tropical storm. The damage done depended on where one stood as the system passed over Houston. Those businesses closest to the energy industry felt the full fury of the storm. Those distant from oil and gas, to extend the metaphor a bit further - on the dry side of the storm - were buffeted but not blown away." The forecast calls for the strongest job growth in manufacturing, wholesale trade, retail trade, finance and insurance, real estate, business, professional and technical services, other services and government. Source: Greater Houston Partnership Research, December 2016

15 MULTI-FAMILY... Moving Forward Cautiously Since December 2014, developers have added more than 37,000 units to local inventory. Another 15,000 units are under construction, the majority scheduled to open in the next 12 months. That equates to 52,000 units delivered in a market that is just beginning to recover. Over the past 12 months, Houston has absorbed about 6,500 units. The over supply of apartments cut overall occupancy to 88.5% in January 2017, down from 91.5% at its June 2015 peak. Occupancy rates below 90% favor tenants. Rents have responded accordingly, dropping between 2% and 6% depending on the apartment class. The market absorbed 14,000 Class A units through the first 10 months of 2016, but this performance came at the expense of Class B, C and D properties, which collectively lost 7,500 tenants over the same period. Traditional Class B and C tenants have been enticed into the Class A market with deposit waivers, free rent (as much as 3 months) and other enticements. Whether these tenants renew their leases remains to be seen, but is however, doubtful. If one uses the industry rule of thumb that for every six jobs created, the market absorbs one unit, then Houston needs to add 156,000 jobs to cut the current surplus in half. Once the economy recovers, growth should return to the long-term trend - 50,000 to 60,000 per year. Source: Greater Houston Partnership Research, December 2016 Ignoring Class B and C Apartment Market is a 'Big Mistake' During the economic downturn some Class B and C tenants were lured into the Class A market with large free rent waivers and other concessions. With the improving conditions, a large portion of these tenants will most likely not renew and will return to the Class B and C market. In an article in the Houston Business Journal, dated September, 28, 2016, by Paul Takahashi, Todd Marix of Holliday, Fenoglio, Fowler (HFF) observed that ignoring the Class B and C apartment market is a 'big mistake'. As stated by the article, when Todd Marix brought Broadstone Grand Parkway to market he expected to receive bids from six or seven interested buyers - par for the oil downturn. The 342-unit garden apartment complex, built in 2009, had solid occupancy in the high 90th percentile but was offering two months free rent amid increasing competition from nearby apartments in Katy. However, Marix's multifamily investment team at HFF received a whopping 18 bids for the property. The deal is still under contract but Marix said it sparked a bidding war between local and out-of-town private equity firms. "We were shocked by the level of participation," Marix said. "We haven't seen this kind of bidding behavior in a long time. It tells me there's some optimism in the market." Despite the oil slump, many opportunistic apartment buyers are returning to Houston in search of good deals, according to Marix. Young apartment investors are also looking to get into the market during the oil slump, Marix said. These buyers are willing to accept lower rents for one or two years and hope that Houston's apartment market will recover around "Buyers like Advenir are relatively new to Houston, but they like the recovery aspect," Marix said. "These buyers have patient capital and want to buy in Houston at an advantageous time. They know things will be bumpy for the next year or two but are hoping they will come out the other end with a great deal." Most of these new Houston buyers are focusing on the city's Class B and C apartment market during the energy downturn, Marix said. Marix estimates there are about 620,000 apartment units in Houston, of which the majority - two-thirds - are Class B and C apartments. Source: 9/28/16, Paul Takahashi

16 4513 OXFORD HOUSTON, TX Houston Oxford Square Apartments Independence Heights is a historic community in Houston, Texas, bordered by Crosstimbers to the north, Yale Street to the west, the 610 Loop to the south, and Airline Drive to the east. The boundary created by the City of Houston is bordered by Tidwell to the north, Shepherd Drive to the west, the 610 Loop to the south, and Interstate 45 to the east. The community is filled with many bungalow style homes that remind one of the days gone by. Local residents enjoy a friendly environment and take pride in the fact that they still know their neighbors. The neighborhood is home to some 14, 000 residents of diverse backgrounds. There are four well maintained parks and four schools. The community is filled with memories of the old days with land marked places and historical designations. Newcomers find comfort in fairly priced property and diverse housing options that all can call home. Independence Heights is a Super Neighborhood on the brink of redevelopment. The community has come together and developed plans that will guide the neighborhood revitalization. In 2008, the community was damaged by Hurricane Ike. As a result, federal funding is slated to help redevelop this historic community. New homes and schools are being built. In April, 2016, construction on a $51.7 million new campus broke ground for Booker T. Washington High School. The neighborhood also boasts about the new, "zero energy" home located exclusively in Independence Heights. These homes are designed to cost less to own, operate and maintain and ultimately generate energy rather than expend it. Home prices will range from $150,000 to $225,000. The models range in size from 1,100 square feet to 2,800 square feet.

17 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX The Woodlands ❶ ❷ Area Industry ❶ ExxonMobil North American Headquarters Currently developing a 3.5 million SF campus set to bring 10,000 employees and 40,000 total jobs. ❷ Southwestern Energy Campus Currently developing a new campus for its 1,000 Houston employees. 249 Technology Corridor 290 Industrial Corridor Energy Corridor ❹ ❸ ❺ ❻ ❽ ❿ ❾ ❼ Downtown North Houston District Oxford Square Apartments ❸ Kindred Hospital A transitional care hospital dedicated to providing care to medically complex and catastrophically ill patients. ❹ Houston Northwest Medical Center Medical staff of approximately 600 members offering a wide range of inpatient, outpatient and diagnostic imaging services. ❺ Hillwood Industrial Development Expected completion in ,000 SF Industrial complex with 120 docks. ❻ Farouk Systems Farouk Systems now has more than 2,000 employees and product distribution in over 100 countries worldwide. ❼ George Bush Intercontinental Airport Served 39.8M passengers in th busiest airport in the world and 12th busiest in North America (for passenger traffic). ❽ Rankin Road Industries Major employers such as Schlumberger; Honeywell, Baker Hughes, Borden and several oil and gas businesses are situated along Rankin road. ❾ North Houston District More than 4,400 companies and 18 million SF of office, retail and industrial space. AREA INDUSTRIAL DEVELOPMENT ❿ Pinto Business Park 971 acre class "A" business park. Home to Sysco Corporation's 585,000 SF distribution center. Amazon will build a 855,000 SF warehouse here in 2017 Siena Villa Apartments

18 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX SUMMARY PROFILE Census, 2017 Estimates with 2022 Projections Calculated using Weighted Block Centroid from Block Groups OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX Mile Radius EDUCATION BUSINESS INCOME RACE AND ETHNICITY HOUSEHOLDS POPULATION (AGE 25+) 1 Mile Radius 2 Mile Radius 3 Mile Radius 2017 Estimated Population 15,761 66, , Projected Population 18,073 73, , Census Population 14,454 62, , Census Population 15,953 64, ,509 Projected Annual Growth 2017 to % 2.3% 2.2% Historical Annual Growth 2000 to % 0.1% 0.4% 2017 Median Age Estimated Households 5,804 23,533 55, Projected Households 6,632 26,199 61, Census Households 5,176 21,425 50, Census Households 5,410 21,437 47,989 Projected Annual Growth 2017 to % 2.3% 2.1% Historical Annual Growth 2000 to % 0.6% 1.0% 2017 Estimated White 33.1% 54.2% 58.2% 2017 Estimated Black or African American 40.4% 17.6% 15.0% 2017 Estimated Asian or Pacific Islander 0.9% 1.2% 1.5% 2017 Estimated American Indian or Native Alaskan 0.7% 0.7% 0.7% 2017 Estimated Other Races 25.0% 26.3% 24.6% 2017 Estimated Hispanic 50.9% 62.5% 60.7% 2017 Estimated Average Household Income $39,615 $70,529 $79, Estimated Median Household Income $30,006 $55,318 $62, Estimated Per Capita Income $14,829 $25,211 $29, Estimated Elementary (Grade Level 0 to 8) 24.4% 21.2% 18.2% 2017 Estimated Some High School (Grade Level 9 to 11) 15.3% 12.8% 12.2% 2017 Estimated High School Graduate 29.0% 26.3% 24.1% 2017 Estimated Some College 17.3% 14.9% 15.2% 2017 Estimated Associates Degree Only 4.5% 4.3% 4.1% 2017 Estimated Bachelors Degree Only 6.5% 12.4% 15.7% 2017 Estimated Graduate Degree 3.0% 8.1% 10.5% 2017 Estimated Total Businesses 829 3,280 6, Estimated Total Employees 8,582 39,695 67, Estimated Employee Population per Business Estimated Residential Population per Business White Black Asian Other Hispanic Non-Hispanic Hispanic $80,000 $72,073 $70,000 $60,000 $50,000 $39,615 $40,000 $30,000 $20,000 $10,000 $0 Subject Houston

19 OXFORD SQUAOXFORD SQUARE 4410 OXFORD ST HOUSTON, TX 77022

20 OXFORD SQUAOXFORD SQUARE 4410 OXFORD ST HOUSTON, TX 77022

21 OXFORD SQUARE 4410 OXFORD ST HOUSTON, TX OXFORD SQUARE PLEASE VERIFY!

22 A 268 UNIT CLASS "B-/C+" GARDEN APARTMENT COMMUNITY

23 KET ENTERPRISES INCORPORATED 4295 San Felipe, Suite 355 Houston, TX Tel: (713) Fax: (713) FOR MORE INFORMATION PLEASE CALL: PRIMARY CONTACT: HASHIR SALEEM Broker/Senior Associate (713) xt 106 Disclaimer: The information contained in this Memorandum reflects material from sources deemed to be reliable, including data such as operating statements, rent rolls, etc. However, we (KET Enterprises Incorporated or any of the Owners or officers, directors, employees, agents or representatives of any such entities) have not verified its accuracy and make no guarantee or representation about it. It is submitted subject to the possibility of errors, omissions, change of rental or other conditions. We include projections, opinions, assumptions or estimates for example only, and they may not represent current or future performance of the property. We make no representations or warranties, expressed or implied, as to the validity, accuracy or completeness of the information provided or to be provided, and nothing herein shall be deemed to constitute a representation, warranty or promise by any such parties as to the future performance of the Property or any other matters set forth herein. You and your tax and legal advisors should verify the information and rely on his accountants or attorneys for legal and tax advice. Rates of return vary daily. No representations are made concerning environmental issues, if any.