12 APARTMENT HOMES 101 AVENUE PORTOLA HALF MOON BAY CALIFORNIA

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EXCLUSIVELY PRESENTED BY ARA NEWMARK SCOTT KILPATRICK skilpatrick@aranewmark.com 650.868.0738 License CA: 001271912 BRIAN HENRY bhenry@aranewmark.com 650.823.

1 EXCLUSIVELY PRESENTED BY ARA NEWMARK SCOTT KILPATRICK License CA: BRIAN HENRY License CA: Disclaimer: The information contained herein has been obtained from sources deemed reliable but has not been verified and no guarantee, warranty or representation, either express or implied, is made with respect to such information. Terms of sale or lease and availability are subject to change or withdrawal without notice.

CONFIDENTIALITY AGREEMENT The information contained herein is strictly confidential, furnished solely for the purpose of considering the acquisition of the property described herein, and is not to be

It has been obtained from the Seller and may include other sources believed to be reliable, but no representation is being made with regard to its accuracy or completeness.

Neither the Seller nor the Agent nor any of their respective officers, agents or principals has made or will make any representations or warranties, express or implied, as to the accuracy or

Analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the prospective purchaser.

2 CONFIDENTIALITY AGREEMENT The information contained herein is strictly confidential, furnished solely for the purpose of considering the acquisition of the property described herein, and is not to be used for any other purpose or made available to any other person without the express written consent of ARA Newmark. It has been obtained from the Seller and may include other sources believed to be reliable, but no representation is being made with regard to its accuracy or completeness. Prospective investors should undertake their own investigations and reach their own conclusions without reliance upon the material contained herein. Neither the Seller nor the Agent nor any of their respective officers, agents or principals has made or will make any representations or warranties, express or implied, as to the accuracy or completeness of the Offering Memorandum or any of its contents, and no legal commitment or obligation shall arise by reason of the Offering Memorandum or its contents. Analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the prospective purchaser. The Seller and Agent expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers to purchase the property and/or terminate discussions with any entity at any time with or without notice. The Seller shall have no legal commitment or obligations to any entity reviewing the Offering Memorandum or making an offer to purchase the property unless and until such offer for the property is approved by the Seller, and any conditions to the Buyer s obligations thereunder have been satisfied or waived. E X C L U S I V E L Y P R E S E N T E D B Y A R A N E W M A R K SCOTT KILPATRICK skilpatrick@aranewmark.com License CA: BRIAN HENRY bhenry@aranewmark.com License CA: PAGE 2

TABLE OF CONTENTS INVESTMENT HIGHLIGHTS...5-6 LOCATION OVERVIEW.

3 TABLE OF CONTENTS INVESTMENT HIGHLIGHTS LOCATION OVERVIEW PROPERTY OVERVIEW COMPARABLE ANALYSIS OFFERING SUMMARY PAGE 3

4 Investment Highlights

INVESTMENT HIGHLIGHTS LUXURY BUILDING AMENITIES Average household income exceeds $180,000 within 1 & 3 miles of property Building constructed to condo standards, condo conversion exit could be option

Seating, Fireplace Access Controlled Building Ample Private Storage for Bikes, Surfboards, Kayaks Modern Coastal Architecture Ample Access Controlled Parking Strong rental demand, building fully

5 INVESTMENT HIGHLIGHTS LUXURY BUILDING AMENITIES Average household income exceeds $180,000 within 1 & 3 miles of property Building constructed to condo standards, condo conversion exit could be option All units have individual tankless hot water heaters and are individually metered for gas, electric, and water Strong barriers to entry with zero competing rental product Entertain Outdoors Gas BBQ, Seating, Fireplace Access Controlled Building Ample Private Storage for Bikes, Surfboards, Kayaks Modern Coastal Architecture Ample Access Controlled Parking Strong rental demand, building fully leased in thirty days Comprehensive rental marketing platform in place for new buyer Green Building Features Include Superior Energy Efficiency and Indoor Air Quality Secured building with twenty-four hour video monitoring system that is accessible on-site or on-line PAGE 5

electronic access to building, storage, bbq area and individual unit with digital fob Significant upside in rental income

6 INVESTMENT HIGHLIGHTS HIGH END UNIT INTERIORS Highest Quality Finishes Spacious Private Balcony Kitchen and Great Room Ideal for Entertaining Full Size W/D Chef s Kitchen w/ Stainless Whirlpool Gas Appliances Ample Interior Storage Each resident has electronic access to building, storage, bbq area and individual unit with digital fob Significant upside in rental income through short term or vacation rentals on select units All top floor units have vaulted ceilings and an additional window PAGE 6

7 Location Overview

LOCATION OVERVIEW Half Moon Bay is located on the Pacific Coast between forested hills and some of the most beautiful coastlines that California has to offer.

Half Moon Bay lies within the western most portion of San Mateo County, but has easy access to all the major employers from San Francisco to San Jose.

The Pumpkin Festival held in October draws people from around the country to enjoy its panoramic vistas, fine cuisine, arts, crafts and genuine hospitality.

8 LOCATION OVERVIEW Half Moon Bay is located on the Pacific Coast between forested hills and some of the most beautiful coastlines that California has to offer. It is approximately 28 miles south of San Francisco, 16 miles west of San Mateo, and 26 miles northwest of downtown Palo Alto, the heart of Silicon Valley. Half Moon Bay lies within the western most portion of San Mateo County, but has easy access to all the major employers from San Francisco to San Jose. With it s historic downtown, shops, art galleries, restaurants, accommodations, beaches, parks, golf courses, nurseries, and farms, it s a wonderful local and regional destination. The Pumpkin Festival held in October draws people from around the country to enjoy its panoramic vistas, fine cuisine, arts, crafts and genuine hospitality. Half Moon Bay is home to Mavericks Beach at Pillar Point. It is the site of the annual big wave surfing competition called Maverick s. The big wave surf area is located a quarter-mile offshore from the bluff top viewing areas outside the Air Force military installation on Pillar Point. A huge white ball marks this spot on the bluff from miles away. The conditions under the water at Mavericks create a unique big break when large winter swells roll in. The competition is held when and if conditions occur between November and March. The first Mavericks event happened in 1999 and has happened in most years since. PAGE 8

9 NEARBY AMENITIES PAGE 9

10 NEARBY AMENITIES PAGE 10

CENSUS OVERVIEW - POPULATION & HOUSEHOLD INCOME 101 AVENUE PORTOLA 1 MILE 3 MILES 5 MILES Population Estimated Population (2017) 5,504 13,253 24,478 Projected Population (2022) 5,539 13,335 24,660

11 CENSUS OVERVIEW - POPULATION & HOUSEHOLD INCOME 101 AVENUE PORTOLA 1 MILE 3 MILES 5 MILES Population Estimated Population (2017) 5,504 13,253 24,478 Projected Population (2022) 5,539 13,335 24,660 Households Estimated Households (2017) 2,035 4,503 8,433 Projected Households (2022) 2,094 4,645 8,716 Census Households (2010) 6,607, M 27.1 M Census Households (2000) 1,746 3,977 7,346 Projected Annual Growth ( ) % % % Historical Annual Change ( ) % % 1, % Average Household Income Estimated Average Household Income (2017) $180,831 $180,511 $177,923 Projected Average Household Income (2022) $233,612 $234,643 $229,090 Census Average Household Income (2010) $146,635 $133,060 $129,772 Census Average Household Income (2000) $123,642 $107,110 $111,502 Projected Annual Change ( ) $52, % $54, % $51, % Historical Annual Change ( ) $57, % $73, % $66, % Median Household Income Estimated Median Household Income (2017) $133,010 $132,842 $134,070 Projected Median Household Income (2022) $153,640 $152,013 $155,905 Census Median Household Income (2010) $113,155 $108,126 $101,820 Census Median Household Income (2000) $98,088 $90,156 $87,336 Projected Annual Change ( ) $20, % $19, % $21, % Historical Annual Change ( ) $34, % $42, % $46, % PAGE 11

CENSUS OVERVIEW - HOUSING, INCOME & TRAVEL TIMES 101 AVENUE PORTOLA 1 MILE 3 MILES 5 MILES Housing Total Housing Units (2017) 2,113 4,702 8,797 Total Housing Units (2010) 2,093 4,565 8,424 Historical

12 CENSUS OVERVIEW - HOUSING, INCOME & TRAVEL TIMES 101 AVENUE PORTOLA 1 MILE 3 MILES 5 MILES Housing Total Housing Units (2017) 2,113 4,702 8,797 Total Housing Units (2010) 2,093 4,565 8,424 Historical Annual Growth ( ) % % % Housing Units Occupied (2017) 2, % 4, % 8, % Housing Units Owner-Occupied 1, % 3, % 6, % Housing Units Renter-Occupied % 1, % 2, % Housing Units Vacant (2017) % % % Household Income Distribution (2017) HH Income $200,000 or More % 1, % 2, % HH Income $150,000 to $199, % % 1, % HH Income $125,000 to $149, % % % HH Income $100,000 to $124, % % % HH Income $75,000 to $99, % % % HH Income $50,000 to $74, % % 1, % HH Income $35,000 to $49, % % % HH Income $25,000 to $34, % % % HH Income $15,000 to $24, % % % HH Income $10,000 to $14, % % HH Income Under $10, % % Travel Time (2015) Worker Base Age 16 years or Over 626 1,423 2,522 Travel to Work in 14 Minutes or Less 2 0.3% % % Travel to Work in 15 to 29 Minutes % % % Travel to Work in 30 to 59 Minutes % % % Travel to Work in 60 Minutes or More % 1, % 2, % Work at Home 2 0.4% % % Average Minutes Travel to Work PAGE 12

13 SAN FRANCISCO COMPANIES MAP From San Francisco to Maverick s Apartments is 25 miles and approximately 39 minutes away. PAGE 13

14 92/101 CORRIDOR COMPANIES MAP From Hwy 101 & Hwy 92 to Maverick s Apartments is 17.8 miles and approximately 30 minutes away. PAGE 14

15 SILICON VALLEY COMPANIES MAP From Silicon Valley to Mavericks Apartments is 29 miles and approximately 45 minutes away. PAGE 15

16 Property Overview

OFFERING SUMMARY DETAILS Address 101 Avenue

13,096 Average Unit Size (Sq Ft) 1,091 Land

Laundry Facilities Concrete Podium Garage

17 OFFERING SUMMARY DETAILS Address 101 Avenue Portola Half Moon Bay County San Mateo APN County Use Multi Family ATTRIBUTES Units 12 Rentable Square Feet 13,096 Average Unit Size (Sq Ft) 1,091 Land Area (Sq Ft) 17,810 Year Built Parking Sep-17 5 Open 19 Garage CONSTRUCTION Foundation Exterior Walls Roof Balcony Laundry Facilities Concrete Podium Garage Stone, Stucco, & Hardi-Plank Siding Composition Shingle Each Unit In unit PAGE 17

18 PROPERTY OVERVIEW - LOCATION MAP PAGE 18

19 PROPERTY OVERVIEW - LOCAL MAP PAGE 19

20 PROPERTY OVERVIEW - PARCEL MAP - PARCEL PAGE 20

21 PROPERTY OVERVIEW - EXTERIOR PHOTOS PAGE 21

22 PROPERTY OVERVIEW - EXTERIOR PHOTOS PAGE 22

23 PROPERTY OVERVIEW - INTERIOR PHOTOS PAGE 23

PROPERTY OVERVIEW FLOOR PLAN A PLAN TYPE 2 BEDROOM 2 BATHROOM SQUARE FEET 1,009 CURRENT RENTAL RATE Mountain View $3,300 Mountain View $3,459 Please Note: Renderings

24 PROPERTY OVERVIEW FLOOR PLAN A PLAN TYPE 2 BEDROOM 2 BATHROOM SQUARE FEET 1,009 CURRENT RENTAL RATE Mountain View $3,300 Mountain View $3,459 Please Note: Renderings are an artist s conception and are intended only as a general reference. Features, materials, finishes and layout of subject unit may be different than shown. PAGE 24

PROPERTY OVERVIEW FLOOR PLAN B PLAN TYPE 3 BEDROOMS 2 BATHROOMS SQUARE FEET 1,330 CURRENT RENTAL RATE Ocean View $3,925 Premium Ocean View $4,424 Please Note:

25 PROPERTY OVERVIEW FLOOR PLAN B PLAN TYPE 3 BEDROOMS 2 BATHROOMS SQUARE FEET 1,330 CURRENT RENTAL RATE Ocean View $3,925 Premium Ocean View $4,424 Please Note: Renderings are an artist s conception and are intended only as a general reference. Features, materials, finishes and layout of subject unit may be different than shown. PAGE 25

PROPERTY OVERVIEW FLOOR PLAN C PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 1,067 CURRENT RENTAL RATE Mountain View $2,995 & $3,361 Ocean View $3,200 Premium Ocean View $3,675 Please

26 PROPERTY OVERVIEW FLOOR PLAN C PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 1,067 CURRENT RENTAL RATE Mountain View $2,995 & $3,361 Ocean View $3,200 Premium Ocean View $3,675 Please Note: Renderings are an artist s conception and are intended only as a general reference. Features, materials, finishes and layout of subject unit may be different than shown. PAGE 26

PROPERTY OVERVIEW FLOOR PLAN D PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 1,082 CURRENT RENTAL RATE Mountain View $3,400 Mountain View 3,450 Please Note: Renderings

27 PROPERTY OVERVIEW FLOOR PLAN D PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 1,082 CURRENT RENTAL RATE Mountain View $3,400 Mountain View 3,450 Please Note: Renderings are an artist s conception and are intended only as a general reference. Features, materials, finishes and layout of subject unit may be different than shown. PAGE 27

PROPERTY OVERVIEW FLOOR PLAN E PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 983 CURRENT RENTAL RATE Ocean View $3,400 Premium Ocean View $3,420 Please Note:

28 PROPERTY OVERVIEW FLOOR PLAN E PLAN TYPE 2 BEDROOMS 2 BATHROOMS SQUARE FEET 983 CURRENT RENTAL RATE Ocean View $3,400 Premium Ocean View $3,420 Please Note: Renderings are an artist s conception and are intended only as a general reference. Features, materials, finishes and layout of subject unit may be different than shown. PAGE 28

29 Comparable Analysis

COMPARABLE ANALYSIS RENT COMPARABLES 1 380 ESPLANADE AVENUE PACIFICA, CA 94044 1 4 3 5 6 2 2 670 HICKEY BLVD.

MONTARA, CA 94037 8 4 365 TALBOT AVENUE PACIFICA, CA 94044 7 10 108 HOBART STREET SAN MATEO, CA 9 5 279 IMPERIAL COURT

30 COMPARABLE ANALYSIS RENT COMPARABLES ESPLANADE AVENUE PACIFICA, CA HICKEY BLVD. PACIFICA, CA STETSON STREET MOSS BEACH, CA GATEWAY DRIVE PACIFICA, CA MAIN STREET MONTARA, CA TALBOT AVENUE PACIFICA, CA HOBART STREET SAN MATEO, CA IMPERIAL COURT PACIFICA, CA DAVEY GLEN ROAD BELMONT, CA PACIFICA BAY CIRCLE SAN BRUNO, CA ELKHORN COURT SAN MATEO, CA 11 PAGE 30

31 COMPARABLE ANALYSIS - RENT COMPARABLES COMPARABLE # 1 Units Type Sq Ft Current Rent $/Sq Ft 380 Esplanade Avenue, Pacifica, CA $4, $4.54 The Bluffs at Pacifica. Ocean Views. Smaller unit with 1 bath. Renovated. Washer Dryer. Units have balcony or patios. Gated entrance. COMPARABLE # 2 Units Type Sq Ft Current Rent $/Sq Ft 670 Hickey Boulevard, Pacifica, CA $4, $4.72 Pacific Park Apartments. Attached garage. Wood plank flooring. Stainless steel appliances and granite counter tops. Community Amenities: Common Laundry Room, Fitness Center, Dog Park, Outdoor Lounge. COMPARABLE # 3 Units Type Sq Ft Current Rent $/Sq Ft 265 Gateway Drive, Pacifica, CA $3, $3.48 Eaves Pacifica. Fireplace, Patio, shared storage. Pet friendly. Renovated kitchens and bathrooms. Wall to wall carpet flooring. Fitness center, onsite common laundry. COMPARABLE # 4 Units Type Sq Ft Current Rent $/Sq Ft 365 Talbot Avenue, Pacifica, CA ,015 $3, $3.71 Horizons West Apartments. Wood plank flooring, Balcony or patio, dishwasher, garbage disposal. Fitness center, Onsite common laundry, gated entrance, pet friendly. COMPARABLE # 5 Units Type Sq Ft Current Rent $/Sq Ft 279 Imperial Court, Pacifica, CA ,000 $4,028.0 $4.03 Fairmont Apartments. Updated unit, crown molding, updated light fixtures, dishwasher, new cabinets. Onsite common laundry. No pets. COMPARABLE # 6 Units Type Sq Ft Current Rent $/Sq Ft 2 Pacific Bay Circle, San Bruno, CA $4,725.0 $5.02 Pacific Bay Vistas. Ocean view, wood plank flooring, granite countertops, GE Appliances including dishwasher and in unit laundry. Fitness center, swimming pool, outdoor fireplace lounge, dog friendly. PAGE 31

32 COMPARABLE ANALYSIS - RENT COMPARABLES COMPARABLE # 7 Units Type Sq Ft Current Rent $/Sq Ft 502 Stetson Street, Moss Beach, CA x2 1,390 $4,700.0 $3.38 Ocean views. Refinished hardwood, floors, 1 updated bathroom. Gas fireplace and views. No pets. COMPARABLE # 8 Units Type Sq Ft Current Rent $/Sq Ft 605 Main Street, Montara, CA x2 1,450 $4,200.0 $2.90 Spacious 2 bedroom, 2 bath single story home with fabulous view of waves crashing on Montara State Beach. COMPARABLE # 9 Units Type Sq Ft Current Rent $/Sq Ft 108 Hobart Street, San Mateo, CA 1 3x $5,995.0 $3.53 Fully renovated apartment just off the 92 and West of El Camino. In unit W/D. Backyard, Carport parking. COMPARABLE # 10 Units Type Sq Ft Current Rent $/Sq Ft 200 Davey Glen Road, Belmont, CA 1 3x2.5 1,432 $5, $3.56 Fully renovated apartment, quartz counters in kitchen and bath, stainless appliances, wood plank flooring, tile backsplash, in unit W/D COMPARABLE # 11 Units Type Sq Ft Current Rent $/Sq Ft 1950 Elkhorn Avenue, San Mateo, CA 1 2x2 945 $4,150.0 $4.39 New construction, granite, stainless, AC, small clubhouse, pets allowed, in unit W/D PAGE 32

33 Offering Summary

34 CURRENT LOAN TO BE ASSUMED BY BUYER ORIGINATION DATE FEBRUARY 1, 2018 LOAN BALANCE $5,375,000 LOAN RATE LOAN DETAILS AMORTIZATION DUE 3.77% (IO Year 1 Equals ± $92,000 in Additional Cash Flow) 5 YEAR FIXED W/1 YEAR INTEREST ONLY, then floating 3.25 bps over Libor, indexing every 6 months 30 YEARS In 20 YEARS CEILING 8.7% FLOOR 3.77% PAGE 34

35 OFFERING SUMMARY - INTEREST ONLY THROUGH FEB 2019 PROPERTY DETAILS Address 101 Avenue Portola Half Moon Bay Price $9,480,000 Down Payment $4,105,000 Units 12 Price/Unit $790,000 Rentable Square Feet 13,096 Price/Sq. Ft $ Year Built Land Area (Sq. Ft) 17,810 Current Cap Rate 3.49% Market Cap Rate 4.24% Current GRM Market GRM OPERATIONS SUMMARY CURRENT MARKET Scheduled Gross Rent $497,160 $569,700 Vacancy 3.00% ($14,915) $39,879 Effective Gross Rent $482,245 $529,821 Other income $0 $24,000 Total Income $482,245 $553,821 Operating Expenses $28,212 $28,212 Non-Operating Expenses $121,075 $121,075 Total Expenses $151,687 $151,687 Net Operating Income $330,558 $402,134 Debt Service ($202,638) ($202,638) Net Cash Flow 3.12% $127, % $199,496 Total Return 3.12% $127, % $199,496 * Assumes buyer rents two units on a short term bases for a $2,000 net average monthly premium. RENT ROLL SUMMARY TYPE UNITS Sq Ft Current Rent $/Sq Ft Market Rent $/Sq Ft 2+2 Mountain View (201) 1 1,009 $3,300 $3.27 $3,700 $ Mountain View (301) 1 1,009 $3,459 $3.43 $3,825 $3.79 FINANCING Loan Amount $5,375,000 Interest Rate 3.77% Amortization 30 Monthly Payment $24, Mountain View (203) 1 1,067 $2,995 $2.81 $3,695 $ Mountain View (303) 1 1,067 $3,361 $3.15 $3,820 $ Mountain View (205) 1 1,082 $3,400 $3.14 $3,800 $ Mountain View (305) 1 1,082 $3,450 $3.19 $3,925 $ Ocean Partial View (204) 1 1,077 $3,200 $2.97 $3,875 $ Ocean Partial View (304) 1 1,077 $3,020 $2.80 $3,970 $3.69 Details 5 YEAR FIXED W/1 YEAR INTEREST ONLY, then floating 3.25 bps over Libor, indexing every 6 months 2+2 Ocean View (206) $3,420 $3.48 $3,870 $ Premium Ocean View (306) $3,675 $3.74 $3,995 $ Ocean View (202) 1 1,330 $3,925 $2.95 $4,375 $ Ocean View (302) 1 1,330 $4,225 $3.18 $4,625 $3.48 Total 12 13,096 $41,430 $3.16 $47,475 $3.63 PAGE 35

36 OFFERING SUMMARY - PRINCIPAL & INTEREST STARTING FEB 2019 PROPERTY DETAILS Address 101 Avenue Portola Half Moon Bay Price $9,480,000 Down Payment $4,105,000 Units 12 Price/Unit $790,000 Rentable Square Feet 13,096 Price/Sq. Ft $ Year Built Land Area (Sq. Ft) 17,810 Current Cap Rate 3.49% Market Cap Rate 4.24% Current GRM Market GRM OPERATIONS SUMMARY CURRENT MARKET Scheduled Gross Rent $497,160 $569,700 Vacancy 3.00% ($14,915) $39,879 Effective Gross Rent $482,245 $529,821 Other income $0 $24,000 Total Income $482,245 $553,821 Operating Expenses $28,212 $28,212 Non-Operating Expenses $121,075 $121,075 Total Expenses $151,687 $151,687 Net Operating Income $330,558 $402,134 Debt Service ($299,442) ($299,442) Net Cash Flow 0.76% $31, % $102,692 Principal Reduction $98,495 $98,495 Total Return 3.16% $129, % $201,187 * Assumes buyer rents two units on a short term bases for a $2,000 net average monthly premium. RENT ROLL SUMMARY TYPE UNITS Sq Ft Current Rent $/Sq Ft Market Rent $/Sq Ft 2+2 Mountain View (201) 1 1,009 $3,300 $3.27 $3,700 $ Mountain View (301) 1 1,009 $3,459 $3.43 $3,825 $3.79 FINANCING Loan Amount $5,375,000 Interest Rate 3.77% Amortization 30 Monthly Payment $24,954 Details 5 YEAR FIXED W/1 YEAR INTEREST ONLY, then floating 3.25 bps over Libor, indexing every 6 months 2+2 Mountain View (203) 1 1,067 $2,995 $2.81 $3,695 $ Mountain View (303) 1 1,067 $3,361 $3.15 $3,820 $ Mountain View (205) 1 1,082 $3,400 $3.14 $3,800 $ Mountain View (305) 1 1,082 $3,450 $3.19 $3,925 $ Ocean Partial View (204) 1 1,077 $3,200 $2.97 $3,875 $ Ocean Partial View (304) 1 1,077 $3,020 $2.80 $3,970 $ Ocean View (206) $3,420 $3.48 $3,870 $ Premium Ocean View (306) $3,675 $3.74 $3,995 $ Ocean View (202) 1 1,330 $3,925 $2.95 $4,375 $ Ocean View (302) 1 1,330 $4,225 $3.18 $4,625 $3.48 Total 12 13,096 $41,430 $3.16 $47,475 $3.63 PAGE 36

37 OFFERING SUMMARY OPERATIONS SUMMARY CURRENT MARKET Scheduled Gross Rent $497,160 $569,700 Vacancy 3.00% ($14,915) 3.00% $39,879 Effective Gross Rent $482,245 $529,821 Short Term Rental Premium $0 $24,000 Total Income $482,245 $553,821 Repairs & Maintenance $6,000 $500 Unit $6,000 Landscaping $1,500 Est. $1,500 Trash $4,752 $4,752 On-Site Management $660 $7,920 $7,920 Electric $3,900 $3,900 Common area cleaner $1,800 $1,800 Water $2,340 $2,340 Operating Expenses $28,212 $28,212 Real Estate Taxes % $104,147 $104,147 Special Assessments $15,065 $15,065 Insurance (Current) $1,863 $1,863 Non-Operating Expenses $121,075 $121,075 Reserves $2,400 $2,400 Total Expenses $151,687 $151,687 % Scheduled Gross Rent 30.51% 26.63% Expenses/Unit $12,641 $12,641 Expenses/Sq. Ft $11.58 $11.58 Net Operating Income $330,558 $402,134 * No onsite manager required under 16 units. Current owner compensates one tenant with minimal duties to work with existing residents as needed. PAGE 37

38 E X C L U S I V E L Y P R E S E N T E D B Y A R A N E W M A R K SCOTT KILPATRICK skilpatrick@aranewmark.com License CA: BRIAN HENRY bhenry@aranewmark.com License CA:

2076 OAKWOOD DRIVE EAST PALO ALTO CALIFORNIA

2076 OAKWOOD DRIVE EAST PALO ALTO CALIFORNIA O F F E R I N G M E M O R A N D U M Disclaimer: The information contained herein has been obtained from sources deemed reliable but has not been verified and no guarantee, warranty or representation, either