AUBURN GRESHAM MIXED-USE 20-UNIT

AUBURN GRESHAM MIXED-USE 20-UNIT 1641 W 79TH CHICAGO, IL 60620 Jeffrey Baasch Senior Vice President 312.676.1873 jeffrey.baasch@svn.com Marco Cesario Advisor 312.756.7895 marco.cesario@svn.com SVN CHICAGO COMMERCIAL 940 WEST ADAMS STREET, SUITE 200, CHICAGO, IL 60607 OFFERING MEMORANDUM

Disclaimer The material contained in this Offering Brochure is furnished solely for the purpose of considering the purchase of the property within and is not to be used for any other purpose. This information should not, under any circumstances, be photocopied or disclosed to any third party without the written consent of the SVN Advisor or Property Owner, or used for any purpose whatsoever other than to evaluate the possible purchase of the Property. The only party authorized to represent the Owner in connection with the sale of the Property is the SVN Advisor listed in this proposal, and no other person is authorized by the Owner to provide any information or to make any representations other than contained in this Offering Brochure. If the person receiving these materials does not choose to pursue a purchase of the Property, this Offering Brochure must be returned to the SVN Advisor. Neither the SVN Advisor nor the Owner make any representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein, and nothing contained herein is or shall be relied upon as a promise or representation as to the future representation of the Property. This Offering Brochure may include certain statements and estimates with respect to the Property. These Assumptions may or may not be proven to be correct, and there can be no assurance that such estimates will be achieved. Further, the SVN Advisor and the Owner disclaim any and all liability for representations or warranties, expressed or implied, contained in or omitted from this Offering Brochure, or any other written or oral communication transmitted or made available to the recipient. The recipient shall be entitled to rely solely on those representations and warranties that may be made to it in any final, fully executed and delivered Real Estate Purchase Agreement between it and Owner. The information contained herein is subject to change without notice and the recipient of these materials shall not look to Owner or the SVN Advisor nor any of their officers, employees, representatives, independent contractors or affiliates, for the accuracy or completeness thereof. Recipients of this Offering Brochure are advised and encouraged to conduct their own comprehensive review and analysis of the Property. This Offering Brochure is a solicitation of interest only and is not an offer to sell the Property. The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest to purchase the Property and expressly reserves the right, at its sole discretion, to terminate negotiations with any entity, for any reason, at any time with or without notice. The Owner shall have no legal commitment or obligation to any entity reviewing the Offering Brochure or making an offer to purchase the Property unless and until the Owner executes and delivers a signed Real Estate Purchase Agreement on terms acceptable to Owner, in Owner s sole discretion. By submitting an offer, a prospective purchaser will be deemed to have acknowledged the foregoing and agreed to release the Owner and the SVN Advisor from any liability with respect thereto. To the extent Owner or any agent of Owner corresponds with any prospective purchaser, any prospective purchaser should not rely on any such correspondence or statements as binding Owner. Only a fully executed Real Estate Purchase Agreement shall bind the property and each prospective purchaser proceeds at its own risk. 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 2

PROPERTY INFORMATION 4 Property Summary Complete Highlights LOCATION INFORMATION 7 Regional Map Location Maps Aerial Map FINANCIAL ANALYSIS 11 Financial Summary Income & Expenses Unit Mix Summary DEMOGRAPHICS 15 Demographics Report Demographics Map ADDITIONAL INFORMATION 18 Photos - Exterior Photos - Interior Photos - Interior Photos - Other Back Page 1641 W. 79TH ST. 1641 W. 79TH STREET, CHICAGO, IL 60620 OFFERING MEMORANDUM

1 PROPERTY INFORMATION 1641 W. 79th Street Chicago, IL 60620 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 4

Property Summary OFFERING SUMMARY Sale Price: $350,000 Number Of Units: 20 Price Per Unit: $17,500 Cap Rate: 12.69% NOI: $44,412 Lot Size: 9,375 SF Year Built: 1928 Building Size: 19,800 SF Zoning: B1-1 Market: Chicago Submarket: Auburn Gresham Price / SF: $17.68 PROPERTY OVERVIEW SVN Chicago Commercial is pleased to present 1641-45 W. 79th Street in the Auburn Gresham neighborhood of Chicago. This asset is a three story mixed use with (2) Retail Spaces, (8) Studios and (10) 1 Bedroom 1 Bath units with about 6-8 parking spots. The asset is a B1-1 zoning on a busy 79th Street going through the heart of Auburn Gresham. The Retail spaces are occupied by a church who was been in the space since 2009 and the second space is occupied by a dollar store since 2014. The asset is constructed with Terracotta in front, a staple of architectural bliss. The opportunity is looking for an investor to add-value by improving the units and common areas. There is 800 AMPs servicing the building, (4) hot water heats 2011-2012, and some tuck pointing has been done. The heat is electric base boards and paid by the tenants. This is a great "add-value" opportunity! LOCATION OVERVIEW The property is located in Chicago's Auburn Gresham neighborhood. The area development as a community dates back to the early 19th Century as it was once considered as the Original Chicago. This area boasts a broad array of cultural and social offerings such as landmark buildings, St. Sabina Church, Bungalow-Style housings, and brick apartment buildings from two units to 25+ units. The area is serviced by a Metra commuter rail system and CTA s Red Line & Buses, and located approximately 11 miles from downtown Chicago a.k.a. The Loop. In early 2015, the City Council has approved the plans for a $21.5 million Metra station planned along Metra's Rock Island District line located at the SWC of 79th & Lowe. 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 5

Complete Highlights SALE HIGHLIGHTS Value Add Opportunity Unit Mix: (2) Retail, (8) Studios & (10) 1 Bedroom 1 Bath Units B1-1 Zoning Terracotta Facade Electric Heat - Base Boards 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 6

2 LOCATION INFORMATION 1641 W. 79th Street Chicago, IL 60620 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 7

Regional Map 1641 W. 79th St. 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 8

Location Maps 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 9

Aerial Map 1641 W. 79th St. 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 10

3 FINANCIAL ANALYSIS 1641 W. 79th Street Chicago, IL 60620 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 11

Financial Summary INVESTMENT OVERVIEW Price $350,000 Price per Unit $17,500 GRM 2.3 CAP Rate 12.7% Cash-on-Cash Return (yr 1) 29.71 % Total Return (yr 1) $31,409 Debt Coverage Ratio 2.41 OPERATING DATA Gross Scheduled Income $153,333 Other Income - Total Scheduled Income $153,333 Vacancy Cost $30,667 Gross Income $122,666 Operating Expenses $78,254 Net Operating Income $44,412 Pre-Tax Cash Flow $25,997 FINANCING DATA Down Payment $87,500 Loan Amount $262,500 Debt Service $18,415 Debt Service Monthly $1,534 Principal Reduction (yr 1) $5,412 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 12

Income & Expenses INCOME SUMMARY PER UNIT Potential Rental Income $153,333 $7,666 (Less: Vacancy & Credit Losses) -$30,667 -$1,533 Gross Income $122,666 $6,133 EXPENSE SUMMARY PER UNIT Utility - Gas $4,900 $245 Utility - Electric $7,200 $360 Utility - Water / Sewer $12,200 $610 Real Estate Taxes (2016) $13,268 $663 Insurance $8,800 $440 Scavenger / Refuse $2,680 $134 Repairs & Maintenance* $7,000 $350 Cleaning & Decorating* $7,000 $350 Pest Control* $700 $35 Janitor* $4,500 $225 Management* $7,360 $368 Miscellaneous & Reserves* $2,646 $132 Gross Expenses $78,254 $3,912 Net Operating Income $44,412 $2,220 *Broker Projections 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 13

Unit Mix Summary UNIT TYPE COUNT % TOTAL SIZE (SF) RENT RENT/SF Retail - 1641 1 5.0 1,500 $1,300 $0.87 Retail - 1645 1 5.0 1,500 $1,450 $0.97 Studio 8 40.0 450 $531 $1.18 1 Bedroom 1 Bath 10 50.0 600 $578 $0.96 Totals/Averages 20 100% 12,600 $12,778 $1.01 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 14

4 DEMOGRAPHICS 1641 W. 79th Street Chicago, IL 60620 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 15

Demographics Report 0.5 MILES 1 MILE 1.5 MILES Total population 13,072 46,457 92,340 Median age 34.1 34.9 35.0 Median age (male) 29.6 29.8 29.8 Median age (female) 39.3 39.1 39.2 Total households 4,480 15,577 30,501 Total persons per HH 2.9 3.0 3.0 Average HH income $40,791 $44,008 $46,376 Average house value $171,625 $175,948 $207,653 Total Population - White 12 358 2,059 Total Population - Black 12,957 45,732 88,899 Total Population - Asian 36 80 114 Total Population - Hawaiian 0 0 0 Total Population - American Indian 0 11 54 Total Population - Other 2 37 357 Total Population - Hispanic 46 303 1,156 * Demographic data derived from 2010 US Census 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 16

Demographics Map POPULATION 0.5 MILES 1 MILE 1.5 MILES Total population 13,072 46,457 92,340 Median age 34.1 34.9 35.0 Median age (male) 29.6 29.8 29.8 Median age (Female) 39.3 39.1 39.2 HOUSEHOLDS & INCOME 0.5 MILES 1 MILE 1.5 MILES Total households 4,480 15,577 30,501 # of persons per HH 2.9 3.0 3.0 Average HH income $40,791 $44,008 $46,376 Average house value $171,625 $175,948 $207,653 ETHNICITY (%) 0.5 MILES 1 MILE 1.5 MILES Hispanic 0.4% 0.7% 1.3% RACE (%) White 0.1% 0.8% 2.2% Black 99.1% 98.4% 96.3% Asian 0.3% 0.2% 0.1% Hawaiian 0.0% 0.0% 0.0% American Indian 0.0% 0.0% 0.1% Other 0.0% 0.1% 0.4% * Demographic data derived from 2010 US Census 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 17

5 ADDITIONAL INFORMATION 1641 W. 79th Street Chicago, IL 60620 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 18

Photos - Exterior 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 19

Photos - Interior 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 20

Photos - Interior 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 21

Photos - Other 1641 W. 79TH ST. 1641 W. 79TH STREET CHICAGO, IL 60620 SVN Chicago Commercial Page 22