PROPERTY SUMMARY July 8, 2018 BOWIE RV COMMUNITY

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1 REAL ESTATE SERVICES SALES / LEASING / MANAGEMENT / INVESTMENTS RETAIL / OFFICE / INDUSTRIAL / LAND / MULTI-FAMILY Chris Rosprim, CPM/REALTOR /Broker 2434 Lillian Miller Pkwy., Denton, TX (940) Office / (940) Cell / (940) FAX PROPERTY: PROPERTY SUMMARY July 8, 2018 BOWIE RV COMMUNITY LOCATION: 389 Macs Grocery Rd., Bowie, TX TYPE: RV Community PRICE: $425,000 CAP RATE: 8.1 ZONING: POTENTIAL USE: SCHOOL DISTRICT: SIZE: AVAILABLE: LAND: TRACT CONFIGURATION: TOPOGRAPHY: GROUND COVER: Located in county no zoning RV or MHP Bowie ISD AC Tract / 20 RV Slots / 18 Park Owned RVs Closing / Funding AC / 59,067 SF Irregular see survey Level Grass / crushed rock FRONTAGE: Macs Grocery Rd. AKA Sandy Lane Rd. ACCESS: VISIBILITY: UTILITIES: HVAC: POWER: TAXES: Hwy 59 to Macs Grocery to Bowie RV Community Good Electric, water (City), septic (private system)existing. Each RV has a propane tank There are 2 septic systems serving the community. Tenants pay extra for electric and are responsible for getting their propane tank refilled. All units are connected to the septic system and water to each unit. Rent includes water, sewer, trash and CATV services Each unit has a self contained HVAC system Each slot has power service Montague County Tax Parcel ID R Taxes - $622.79

2 SIGNAGE: ADA: PARKING: FLOODPLAIN: EASEMENTS: LEASE: RENTS: AGE: RVs: UPSIDE: TERMS: LISTED: COMMENTS: Bowie RV sign at the entry way NO Open Not believed to be in the flood plain Unknown The park owns 18 RVs and all are leased out see rent roll RVs on lots rent for $350 - $465@ + electric RVs vary in age to several years All RVs were permanently skirted by a professional crew to enhance overall appearance of the park. The upside potential at the park includes review of market rents for possible increase of rents on the RVs after a period of time and/or as units turn over. A review of the current insurance coverage may reveal some savings potential as well. Cash at closing MLS, Loop Net, CoStar, KWCLS & Web-sites RV Park on 1.3 acres in Montague County. There are 20 slots in the park. The park itself owns 18 RVs with all units leased. There is one RV in the park owned by an individual who uses 2 slots. Tenants pay rent that includes the RV, lot rent, water, septic service, CATV service, trash service. Tenants pay extra for their electricity- A propane tank is provided but tenants are responsible for taking the tank to get it refilled when needed. The park does all the maintenance on the 18 owned RVs and does the landscaping maintenance. There is a site manager on the property daily and she does the leasing and maintenance and collects the rent. There is no more room to increase the # of RV slots unless the small out buildings are removed. There is a small structure on site that could be used for a community room or could be finished out and leased out or could be made into a combo office and living quarters for an on-site manager or to lease out. Currently there is no on-site laundry and with the sewer being a septic system it is not recommended to consider doing this. The property manager is on the property daily. She owns a home in town that she lives in. A new owner would have the upside of finishing out the small apartment at the rear of the property as living quarters, office or to lease out. Owner has advised that they are implementing a rental increase on any NEW rentals and, when timely, for existing tenants. CONTACT: Chris Rosprim, Broker chrisrosprim@kwcommercial.com Information contained herein was obtained from sources deemed reliable, however, KW Commercial and/or the owner(s) of the property make no guarantees, warranties or representation as to the completeness or accuracy thereof. The presentation of the property is offered subject to errors, omissions, changes in price and/or terms, prior sale or lease or removal from the market for any reason without notice. If you need some space we ve got the place!

3 BOWIE RV COMMUNITY INVESTMENT INFORMATION Price: $ 425,000 Price/Unit: $ 23,611 (For the 18 park owned units) $21,250/slot 20 slots Price/SF $ (Based on estimated 3,744 SF for 18 RVs) Down Payment: $85,000 20% Proposed Loan Amount: $ 340,000 Proposed Interest Rate: 6% Proposed Amortization: 30 Year Proposed Loan Payments: $2,038.47/ MO $24,461.64/YR Projected Cap Rate: 7.5 Projected GRM: 4.8 ACTUAL & PRO FORMA INCOME & EXPENSES UNIT MIX & RENT SCHEDULE Rent Roll / Unit Mix Recap Unit # Status Type Rent Actual Rent Vacant Security Deposit In- Hand Occ / Vac Lease Began Upside Rent Potential Utilities Condition Ranking A-F 1 A Leased RV $430 $200 O MTM + $25 + E & G A 2 B Leased RV $400 $200 O MTM + $25 + E & G B 3 C Leased RV $430 $150 O MTM + $25 + E & G B 4 D Leased RV $440 $200 O MTM + $25 + E & G B 5 E Leased RV $375 $175 O MTM + $25 + E & G B 6 F Leased RV $350 $150 O MTM + $25 + E & G C 7 G Leased RV $430 $150 O MTM + $25 + E & G B 8 H Leased RV $425 $200 O MTM + $25 + E & G B 9 I Leased RV $440 $200 O MTM + $25 + E & G B 10 J Leased RV $375 $200 O MTM + $25 + E & G B 11 K Leased RV $430 $200 O MTM + $25 + E & G A 12 L Leased RV $465 $200 O MTM + $25 + E & G A 13 M Leased Lot $500 $150 O MTM + E & G NEW 14 N Leased Lot See M 0 O MTM + E & G N/A 15 O Leased RV $430 $200 O MTM + $25 + E & G B 16 P Leased RV $325 $175 O MTM + $25 + E & G B 17 Q Vacant RV $350 0 V + $25 + E & G D 18 R Leased RV $350 $175 O MTM + $25 + E & G B 19 S Leased RV $350 $200 O MTM + $25 + E & G B 20 T Leased RV $350 $150 O MTM + $25 + E & G B Monthly Total Annual Total $7,295 $350 $3,005 $450 $87,540 $4,200 $5,400

4 2018 Projected Proforma Total Income: $87,540 INCOME 2017 Scheduled Market Rent $46, Net Rental Income $46, Other Income Forfeited Deposits $ Application Fee $ Utility Income $8, Other Income $2, Total Other Income: $11, Total Operating Income (EGI) $57, INCOME Pro-Forma: Optimum Rental Rate (Projected) Scheduled Market Rent $87,540 <Less Vacancy> 5% -4,377 Net Rental Income $83,163 + Other Income $12,000 Total Operating Income (EGI) $95,163 - Expenses -36,264 Net Operating Income $58,899 (Prior to debt service) Debt Service -$24,461 Adjusted NOI $34,438 Price: $ 425,000 Price/Unit: $ Price/SF $ Down Payment: $85,000 20% Proposed Loan Amount: $ 340,000 Proposed Interest Rate: 6% Proposed Amortization: 30 Year Proposed Loan Payments: $2,038.47/ MO $24,461.64/YR Projected Cap Rate: 8.1 Projected GRM: Expense Recap Annualized (Provided by Seller) (Actual For 2017 Admin $ Advertising $ Auto $ Commissions $50.00 Management $3,725 Professional Fees $ Repairs & Mnt $8,808.93

5 Taxes $ Utilities $17, Total Expenses $36, Total: $36, Total Pro-Forma Income: $97,140 <Expenses> <36,264.10> NOI (EGI) $ 60,876 Net Operating Income $60,876 <Debt Service> <24,461.64> $36,415 Cash on Cash Return 42.8 Upside Potential: The owner and manager advise it is their belief that there is potential, in most cases, to review the leases and go up about $25 each unit for a total increase of $450/MO eventually and a total annual increase in revenue of $5,400. These figures are not reflected above. Nor is any adjustment for the preparing one of the structures on-site for an office or the other structure for an on-site apartment. Or possibly removal of the small structures and adding additional RV slots. Either could add to the revenue stream of the property.