New Models for Real Estate Development

April 28th, 2016

1:15-2:45

• Matt Edlen- Director of Acquisitions and Dev.- Gerding Edlen

• Peter Friedrichs- The City of Central Falls- Planning & Economic Dev. Director

• Anna Mackay- Head of East Coast Dev.- Guerrilla Development

• Ruarri Miller- President- The Apiary

Moderator: Jonathan Berk- BuildingBOS

New Models for Real Estate Development

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GERDING EDLENGREEN CITIES I-III

• Institutional Grade investment management platform focusing on the following: • Investment size: 5-50M +

• Total Dollars Invested (Equity):

• Fund I: $189M

• Fund II: $250M

• Fund III: $450M (Still raising)

• Key gateway cities in major urban markets

• “Youth Magnet Cities”

• Targeted IRR 14-22% (*specific to each fund)

• Minimum LEED Gold

• Office (Existing), Residential (New Construction/Existing)

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THE TRIPLE BOTTOMLINE

PEOPLE. PLANET. PROSPERITY.

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GERDING EDLENGREEN CITIES I –IMPACT REPORT(SAMPLE)

The Apiary:

Community

Development

Equity FundReviving Rhode Island’s Low to

Middle Income

Neighborhoods

James Madison - 4th President

Inequality in property ownership subverts liberty, either through

opposition to wealth (a war of labor against capital) or “by an

oligarchy founded on corruption” through whichthe wealthy dominate

political decision-making (a war of capital against labor).

Data Points

● Only 3% of the US population can invest in equity funds

or start-up

○ Of that 3%; only 300,000 individuals and 500 firms

actuallyinvest

● Only 64% of Americans own ahome

○ Lowest rate in 20yrs

● Only 52% of Americans ownstock

○ Lowest since1998

○ Greatest decline amongst 30-49 yearolds

● The top .00028% of income earners collected 16% of all

capital gains

Central Falls

Summary

➔ The Apiary will incorporate a “Community Development” Private Equity Real

Estate (PERE).

➔ The Apiary is not a non-profit CommunityDevelopment Corporation. We have

investors and we don’t rely exclusively upon state and or federal subsidies.

Similar objectives, but different structures that enable us to address

community investment differently.

➔ The CD PEREwill be funded by accredited & non-accredited investors

throughout Rhode Island via a Direct PublicOffering.

➔ Capital will be used to fund small to mid-sized projects in low-to-middle

income (LMI) urban neighborhoods in RhodeIsland.

➔ Projects will fill the void that exists between projects too big for small

developers (i.e. multifam investors) and too small for large developers (i.e. mill

projects).

➔ Projects are long-term investments targeted ataddressing urban

blight/neglect, “Main Street” vibrancy, and housing affordability.

Development Strategy

Issues Encountered

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