CREEKSIDE AT WHITE OAK PROPERTY REPORT MARCH Creekside at White Oak Newnan, GA

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1 CREEKSIDE AT WHITE OAK PROPERTY REPORT MARCH 2016 Creekside at White Oak Newnan, GA RADCO - Creekside, LLLP Presented April 2016

2 Letter from Norman Radow Dear Investor, I am very pleased to provide you with the March Investor Report for Creekside at White Oak, our 561-unit B and B plus property in Newnan, Georgia. Spring has sprung (I am getting silly as I write this on Friday evening) and our team s incredible focus on marketing and leasing are paying off! Creekside s revenue for March was up $30,401 over February coming in at an amazing $525,866. How amazing? In our 4th month of ownership, we are $31k ahead of budget. What s more, we are already $12.5k above end of year one pro forma. The increase in revenue is due to higher rents, improved occupancy, fewer concessions needed as incentives, and the higher collection of fees upon application and move in. Occupancy remains just slightly higher than 92 percent today, even with the 9 corporate non-renewal move-outs we chose to terminate. These are the Chinese pilot trainees we referenced in our Investment Memo. The rest will be non-renewed over the next couple of months. Even so, our month to date collections in April are slightly ahead of where we were on the same date in March, which bodes well for strong results at Creekside. We continue to manage expenses closely, resulting in total operating expenses that were $4,151 favorable to budget. Net income after debt service was $134,147, which is $31k favorable to budget and also equates to a 2.13x debt service coverage ratio (DSCR). But this includes all of our preferred equity interest. $22k of that interest is accrued so our net cash flow is really $156k. That is excellent cash flow no matter how I slice it. One negative variance worth noting is debt service on our first mortgage. The reason is that Libor is up 16 bps since we closed on the loan. It rose in sympathy to the Fed move in December. We budgeted it to rise more slowly in year one, but grow faster next year based on the Libor curve that was published on our closing date. We are confident Creekside will achieve everything we expected of her and more. Additionally, occupancy was on a steady increase throughout March and by month end we achieved percent occupancy, up 1.5-points from February. Given the size of this property we could not be more pleased. By $950 $900 $850 $800 $750 $700 $847 Rent at Takeover (Nov. 2015) Creekside at White Oak In-Place Rents $864 $868 $868 $873 $877 the end of March, Creekside was percent pre-leased with less than nine percent exposure. Our aggressive daily marketing plan for the Newnan trio properties continues to generate strong traffic numbers and demonstrates the teamwork we expect from RADCO Residential. Our campaign We have something for everybody - 1, 2, 3, 4 bedrooms and townhomes located at 3 distinctly unique communities continues to make an impression in our submarket. This month our corporate marketing team is developing a new portfolio-wide campaign to be launched in May. Also during the month, the RADCO Residential team had terrific performance metrics with a new record high of 57 leases and 28 moveins. In-place rent growth increased from $873 to $877 in March. This month, the Creekside team secured 26 renewals with an average increase of 7 percent. We should see the similar increases in April and May with June targeting a minimum of 8 percent. On April 11th, we implemented a $71 average rent increase on our market rents. Each week, our team is evaluating rents and making opportunistic rate adjustments based on availability, exposure and seasonality. We continue making excellent progress with our renovated units and to date have completed 21 units. These first units tested our finished and returns on investment, With the plan proven out we are accelerating production. We have 12 additional units currently under construction. We have increased $923 Nov 2015 Dec 2015 Jan 2016 Feb 2016 Mar 2016 Year 1 Pro Forma (Dec. 2016)

3 Letter from Norman Radow our renovation premiums that now vary from $133 on average in phase one (select scope of work) to $188 on average in phases two and three (premier scope of work) to $298 in phase four (elite scope of work, townhomes). The increase in the number of units we renovate will help us increase the speed of our in-place rent growth. Property improvements continue to move along smoothly and our two fitness center face lifts are almost complete, new pool furniture has been staged, our pet owners are enjoying the two newly completed bark parks, clubhouse renovations are on schedule for completion in May and the pool fencing has been freshly painted. In addition, the landscape upgrades are in full bloom including a beautiful variety of azaleas, crepe myrtles and hydrangeas. On a final note, we are very much looking forward to our sponsorship of the Coweta Golf Classic 2016 at White Oak Golf Club. This is an amazing opportunity for RADCO to sponsor a hole at the tournament and for our three uniquely distinct communities to promote the RADCO brand and our superior product in Newnan. We are declaring a distribution of 12.4 percent when annualized on original equity for the first quarter of 2016 ending March 31st. Payment should be made later this week. Thank you for investing with us and I look forward to providing our April report. Warmest regards,

4 CREEKSIDE AT WHITE OAK

5 Rent Trends Creekside at White Oak New Move-Ins by Unit Type $1,350 $1,362 $1,250 $1,199 $1,207 $1,150 $1,050 $950 $850 $750 $784 $716 $716 $719 $719 $856 $838 $802 $786 $733 $953 $944 $816 $865 $844 $857 $857 $857 $807 $812 $817 $805 $830 $809 $1,150 $1,069 $994 $939 $956 $650 1x1 B 1x1 C 1x1 A 2x2 C 2x2 B 2x2 D 2x2 A 3x2 B 3x2.5 C TH Going In Rent Pro Forma Rent Classic Rent Renovated Rent During March, Creekside at White Oak obtained a total of twenty-eight new move ins. One Bedroom, One Bath A 928 sq. ft.: Four new move ins were secured. The non-renovated units leased for an average of $733. The renovated units leased for an average of $838. One Bedroom, One Bath B 950 sq. ft.: One new move in was secured. The non-renovated unit leased for $719. One Bedroom, One Bath C 950 sq. ft.: One new move in was secured. The renovated unit leased for $856. Two Bedroom, Two Bath A 1,128 sq. ft.: Nine new move ins were secured. The non-renovated units leased for an average of $807. The renovated units leased for an average of $944. Two Bedroom, Two Bath B 1,150 sq. ft.: Five new move ins were secured. The non-renovated units leased for an average of $816. The renovated units leased for an average of $953. Two Bedroom, Two Bath C 1,150 sq. ft.: One new move in was secured. The non-renovated unit leased for $805.

6 Rent Trends Creekside at White Oak New Move-Ins by Unit Type $1,350 $1,362 $1,250 $1,199 $1,207 $1,150 $1,050 $950 $850 $750 $784 $716 $716 $719 $719 $856 $838 $802 $786 $733 $953 $944 $816 $865 $844 $857 $857 $857 $807 $812 $817 $805 $830 $809 $1,150 $1,069 $994 $939 $956 $650 1x1 B 1x1 C 1x1 A 2x2 C 2x2 B 2x2 D 2x2 A 3x2 B 3x2.5 C TH Going In Rent Pro Forma Rent Classic Rent Renovated Rent Two Bedroom, Two Bath D 1,150 sq. ft.: Two new move ins were secured. The non-renovated units leased for an average of $809. Three Bedroom, Two and One Half Bath C TH 1,700 sq. ft.: Two new move ins were secured. The non-renovated unit leased for $1,207. The renovated unit leased for $1,362. Three Bedroom, Two Bath B 1,380 sq. ft.: Three new move ins were secured. The non-renovated units leased for an average of $939. The renovated units leased for an average of $1,069.

7 Renewals Creekside at White Oak Renewal Summary Unit Type # Renewals Previous Rent New Rent Change in Rent % Rent Change 1x1 4 $678 $731 $ % 2x2 11 $768 $821 $ % 3x2 4 $862 $912 $ % 3X2.5 TH 5 $1,090 $1,179 $ % 4x2.5 TH 2 $1,170 $1,230 $ % Totals/Averages 26 $861 $921 $ % March Renewals: During March, Creekside at White Oak secured a total of twenty-six renewals. The average increase on the renewals was $60, or 7.0 percent.

8 March Financial Overview Creekside at White Oak CREEKSIDE AT WHITE OAK March 2016 Actual to Account Actual Budget Budget Proforma Actual to Proforma Rental Income $446,156 $443,237 $2,919 $449,347 ($3,190) Other Income $79,710 $51,287 $28,423 $63,969 $15,741 Total Income $525,866 $494,524 $31,342 $513,315 $12,551 Payroll $52,206 $59,634 $7,428 $55,609 $3,403 General & Administrative $11,961 $10,670 ($1,291) $10,519 ($1,442) Management Fee $15,479 $14,728 ($751) $15,399 ($80) Advertising & Marketing $6,530 $6,242 ($288) $5,844 ($687) Utilities $67,956 $70,471 $2,515 $65,684 ($2,272) Taxes & Insurance $56,183 $56,092 ($91) $56,092 ($91) Repairs & Maintenance $29,392 $26,020 ($3,372) $29,219 ($173) Operating Expenses $239,706 $243,857 $4,151 $238,365 ($1,342) Net Operating Income $286,159 $250,667 $35,492 $274,951 $11,209 First Mortgage $71,798 $68,691 ($3,107) $69,554 ($2,244) Pref Interest Paid $58,338 $57,240 ($1,098) $57,240 ($1,098) Pref Interest Accrual $21,877 $21,877 $0 $24,558 $2,681 NOI After Debt $134,147 $102,859 $31,288 $123,599 $10,548 Capital Improvements $14,282 $14,675 $393 $14,025 ($257) Partnership Expenses $18,220 $19,350 $1,130 $9,350 ($8,870) Net Income $101,645 $68,834 $32,811 $100,224 $1,421

9 Creekside at White Oak Pictures Renovated Leasing Center Brand New Phase II Playground Exterior New Poolside Lounge Before Phase I Model Kitchen