INDIANAPOLIS & THE CBD2016 MARKET OVERVIEW

Central Midwest Multifamily

Indianapolis, with a growing population of over to million, is widely recognized for its diverse business and corporate base, highly educated workforce, world-class sports, cultural, shopping, dining and entertainment options and hospitality. These distinguishing characteristics produce an exceptional quality of life, as reflected by consistently high rankings and new job commitments for Indianapolis. Most recently Salesforce, a San Francisco-based tech company, announced it will spend $40M to expand its regional headquarters and will add 800 new jobs to the Indianapolis CBD.

The collective Indianapolis offering and the accomplishments and accolades of the past ten years have contributed to a steady influx of new and institutional capital seeking exposure in safe and growing markets.

INDIANAPOLIS—A THRIVING MARKET

• Prime, centralized location—within a one-day drive to 50% of the nation’s population

• Low cost of doing business—5th lowest property taxes and 8th best overall tax climate in the U.S.

• Strong corporate base with large, successful companies—numerous Fortune 500, Fortune 1000, and regional, national and international corporations headquartered in the city

• Superior transportation infrastructure—the “Crossroads of America” is served by seven highways and 14 interstates, more than any other city in the nation

• Exceptional higher educational institutions provide a highly skilled workforce—21 colleges and universities within 70 miles of the city

• Nationally-recognized, $44B life sciences sector—Indiana has the ninth largest life sciences employment in the U.S.

• Excellent culture and quality of life—the city draws attention for being vibrant and progressive as well as culturally rich and hospitable

INDIANAPOLIS CONSISTENTLY RANKS AMONG THE TOP CITIES IN THE U.S.

#3 Best Downtown—Livability

#5 Best City for Women in Tech—Fast Company

#7 Best City for Tech Jobs—Fast Company

#8 Best City for Starting a Business

—Kiplinger

Top 10 Best City toStart a New Career

—Time

#10 Best City forYoung Professionals

—Forbes

INDIANAPOLIS “AT A GLANCE”MSA

2016 Population 2,001,125

2021 Population (Estimated) 2,084,284

Household Growth (2010-2016) 6%

Employment ( BLS, March 2016) 1,013,500

Employment Growth (2015 over 2010) 105,300

Unemployment Rate (March 2016) 5%

Fortune 500/1000 Companies 17/5

IndianapolisRanked #8

Best Place for Business and Careers

—Forbes

TOP REASONS TO INVEST IN INDIANAPOLIS

INDIANAPOLIS HAS MORE THAN 17 FORTUNE 500, AND FIVE FORTUNE 1000 COMPANIES

INDIANAPOLIS MSA TOP EMPLOYERSCompany Employees Industry

St. Vincent Health 17,398 Hospitals & Healthcare

Indiana University Health 11,810 Hospitals &

Healthcare

Eli Lilly and Company 10,565 Pharmaceutical Manufacturing

Community Health Network 10,402 Hospitals &

Healthcare

Walmart 8,830 Retailer

Marsh Supermarkets 8,000 Retail Grocer

Indiana University-Purdue University Indianapolis 7,365 Education

City of Indianapolis 7,058 City/County Government

Kroger 6,700 Retail Grocer

FedEx 6,600 Package & Freight Shipping

Roche Diagnostics 4,600 Surgical & Medical Mfg.

Rolls-Royce 4,300 Aircraft Engine Research & Mfg.

Anthem 4,200 Health Benefits & Insurance

Fransiscan St. Francis Health 4,100 Hospitals &

Healthcare

IndianapolisRanked #8 Greatest City for Starting a

Business—Kiplinger

A HAVEN FOR NOTABLE EMPLOYERS

ECONOMIC HIGHLIGHTS

Major Industries:Healthcare and Insurance

Employment Growth:2.4%

(2015 over 2014)

Total Businesses:83,886

White Collar Employment:62%

#1 Lowest Cost of Doing Business in the U.S.

—CNBC

Lowest 25% of Electricity Cost in the U.S.

—US. Dept. of Energy

5th Lowest Property Tax Ranking in the U.S.—Tax Foundation

8th Best Overall Tax Climate in the U.S.

—Tax Foundation

Indiana Real & Personal Property Tax: Avg. tax rate of

$2.43 per $100 assessed

Six Nationally-Ranked Higher Educational Institutions

—U.S. News and World Report

MAJOR CORPORATE HEADQUARTERS IN INDIANAPOLISEli Lilly and Company 10,565 Employees (Fortune 500, #151)

Rolls-Royce North America 4,300 Employees

Anthem Insurance 4,200 Employees (Fortune 500, #38)

Allison Transmission 2,500 Employees (Fortune 1,000, #974)

CNO Financial Group 1,750 Employees (Fortune 1,000, #608)

OneAmerica 1,353 Employees

Republic Airways 1,300 Employees (Fortune 1,000, #819)

Angie’s List 2,000 Employees

Calumet Specialty Products 1,200 U.S. Employees (Fortune 500, #457)

Simon Property Group 1,100 Employees (Fortune 1,000, #529)

Exact Target 1,000 Employees

MSA ECONOMIC STATISTICS

EMPLOYMENT GROWTH HOUSEHOLD GROWTH1

POPULATION GROWTH1

JOBS & UNEMPLOYMENTUnemployment Rate Jobs

2005 5.0% 928,2002006 4.5% 940,3002007 4.2% 951,9002008 5.2% 953,6002009 8.8% 911,9002010 9.6% 911,5002011 8.7% 928,3002012 8.0% 954,6002013 7.3% 974,2002014 5.7% 993,3002015 4.1% 1,043,300

% job growth2010 -0.04%2011 1.84%2012 2.83%2013 2.05%2014 1.96%2015 5.03%

SOURCE: USE BUREAU OF LABOR STATISTICS

800,000

850,000

900,000

950,000

1,000,000

1,050,000

1,100,000

0%

2%

4%

6%

8%

10%

12%

2010 2011 2012 2013 2014 2015

Job

s

Un

em

plo

ymen

t R

ate

Jobs Unemployment Rate

JOBS & UNEMPLOYMENTUnemployment Rate Jobs

2005 5.0% 928,2002006 4.5% 940,3002007 4.2% 951,9002008 5.2% 953,6002009 8.8% 911,9002010 9.6% 911,5002011 8.7% 928,3002012 8.0% 954,6002013 7.3% 974,2002014 5.7% 993,3002015 4.1% 1,043,300

% job growth2010 -0.04%2011 1.84%2012 2.83%2013 2.05%2014 1.96%2015 5.03%

SOURCE: USE BUREAU OF LABOR STATISTICS

800,000

850,000

900,000

950,000

1,000,000

1,050,000

1,100,000

0%

2%

4%

6%

8%

10%

12%

2010 2011 2012 2013 2014 2015Jo

bs

Un

em

plo

ymen

t R

ate

Jobs Unemployment Rate

HOUSEHOLD GROWTHhouseholds

1990 495,3762000 594,8742009 676,2882010 680,2572011 700,3402012 694,6602013 698,2702014 706,1452015 769,1322016 774,171

% growth2010 0.59%2011 2.95%2012 -0.81%2013 0.52%2014 1.13%2015 9.63%

SOURCE: NIELSEN (CBRE DEMO REPORTS)

620,000

640,000

660,000

680,000

700,000

720,000

740,000

760,000

780,000

800,000

2010 2011 2012 2013 2014 2015 2016

Ho

use

ho

lds

Indianapolis MSA Households

POPULATION GROWTHPopulation

1990 1,294,2172000 1,525,1042009 1,729,1202010 1,756,2412011 1,786,2492012 1,792,5622013 1,804,5232014 1,826,4762015 1,987,0442016 2,001,125

% growth2010 1.57%2011 1.71%2012 0.35%2013 0.67%2014 1.22%2015 9.56%

SOURCE: NIELSEN (CBRE DEMO REPORTS)

1,600,000

1,650,000

1,700,000

1,750,000

1,800,000

1,850,000

1,900,000

1,950,000

2,000,000

2,050,000

2010 2011 2012 2013 2014 2015 2016

Po

pu

lati

on

Indianapolis MSA Population AVERAGE HOUSEHOLD INCOME1AVG. HOUSEHOLD INCOME

Avg. Household Income2000 $60,4722009 $70,4392010 $71,4492011 $68,1492012 $67,5712013 $64,2402014 $68,4422015 $71,4612016 $72,116

% growth2010 1.43%2011 -4.62%2012 -0.85%2013 -4.93%2014 6.54%2015 5.37%

SOURCE: NIELSEN (CBRE DEMO REPORTS)

$60,000

$62,000

$64,000

$66,000

$68,000

$70,000

$72,000

$74,000

2010 2011 2012 2013 2014 2015 2016

Avg

. H

ou

seh

old

In

com

e

Indianapolis MSA Avg. Household Income

Jobs created from year-end 2010 to year-end 2015

Average home value

White collar employment

105,300 $200,36762%

Indianapolis Named one of the Best Cities

for Young Professionals—Forbes

1. The US Census Bureau recently changed “MSA” boundaries to “CBSA” boundaries, which occurred in 2015 for Indianapolis.

MSA MULTIFAMILY STATISTICS

TOP-50 PROPERTIES RENT & OCCUPANCY

CBD “A” GRADE RENT & OCCUPANCY4 NORTH SIDE “A” GRADE RENT & OCCUPANCY4

MSA RENT & OCCUPANCY (TOTAL MARKET)3

nt

$1,150

$1,200

$1,250

$1,300

$1,350

$1,400

$1,450

$1,500

$1,550

$1,600

84%

86%

88%

90%

92%

94%

96%

98%

100%

2010 2011 2012 2013 2014 2015

Ave

rag

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en

t

Occ

up

an

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Average Rent Average Occupancy

+10

.89%

+3.

93%

-3.9

8%

+4.

78%

+2.

62%

nt

$850

$900

$950

$1,000

$1,050

$1,100

84%

86%

88%

90%

92%

94%

96%

98%

100%

2010 2011 2012 2013 2014 2015

Ave

rag

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en

t

Occ

up

an

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ate

Average Rent Average Occupancy

+7.

97%

+3.

42%

-1.2

0%

+3.

13%

+4.

11%

+0.

38%

MSAAverage Occupancy Average Rent

2010 90.7% $6682011 91.4% $6822012 93.0% $7062013 93.3% $7232014 92.6% $7392015 93.9% $758

% growth2011 2.10%2012 3.52%2013 2.41%2014 2.21%2015 2.57%

$600

$650

$700

$750

$800

80%

82%

84%

86%

88%

90%

92%

94%

96%

98%

100%

2010 2011 2012 2013 2014 2015

Ave

rag

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en

t

Occ

up

an

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ate

Average Rent Average Occupancy

+2.

10%

+3.

52%

+2.

41%

+2.

21%

+2.

57%

Top-50Average Occupancy Average Rent

Q4 13 93.4% $1,013Q1 14 93.2% $1,046Q2 14 94.5% $1,070Q3 14 94.5% $1,062Q4 14 92.3% $1,060Q1 15 92.8% $1,077Q2 15 95.0% $1,074Q3 15 93.8% $1,077Q4 15 93.2% $1,093

% growth - Q-O-Q2011 3.26%2011 2.29%2011 -0.75%2011 -0.19%2012 1.60%2013 -0.28%2014 0.28%2015 1.49%

$1,000

$1,025

$1,050

$1,075

$1,100

88%

90%

92%

94%

96%

98%

100%

Ave

rag

e R

en

t

Occ

up

an

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ate

Average Rent Average Occupancy

-0.1

9%

+1.

60%

-0.2

8%

+0.

28%

+1.

49%

-0.7

5%

+2.

29%

+3.

26%

Top-50Average Occupancy Average Rent

Q4 13 93.4% $1,013Q1 14 93.2% $1,046Q2 14 94.5% $1,070Q3 14 94.5% $1,062Q4 14 92.3% $1,060Q1 15 92.8% $1,077Q2 15 95.0% $1,074Q3 15 93.8% $1,077Q4 15 93.2% $1,093

% growth - Q-O-Q2011 3.26%2011 2.29%2011 -0.75%2011 -0.19%2012 1.60%2013 -0.28%2014 0.28%2015 1.49%

$1,000

$1,025

$1,050

$1,075

$1,100

88%

90%

92%

94%

96%

98%

100%

Ave

rag

e R

en

t

Occ

up

an

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ate

Average Rent Average Occupancy

-0.1

9%

+1.

60%

-0.2

8%

+0.

28%

+1.

49%

-0.7

5%

+2.

29%

+3.

26%

Top-50Average Occupancy Average Rent

Q4 13 93.4% $1,013Q1 14 93.2% $1,046Q2 14 94.5% $1,070Q3 14 94.5% $1,062Q4 14 92.3% $1,060Q1 15 92.8% $1,077Q2 15 95.0% $1,074Q3 15 93.8% $1,077Q4 15 93.2% $1,093

% growth - Q-O-Q2011 3.26%2011 2.29%2011 -0.75%2011 -0.19%2012 1.60%2013 -0.28%2014 0.28%2015 1.49%

$1,000

$1,025

$1,050

$1,075

$1,100

88%

90%

92%

94%

96%

98%

100%

Ave

rag

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en

t

Occ

up

an

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ate

Average Rent Average Occupancy

-0.1

9%

+1.

60%

-0.2

8%

+0.

28%

+1.

49%

-0.7

5%

+2.

29%

+3.

26%

Top-50Average Occupancy Average Rent

Q4 13 93.4% $1,013Q1 14 93.2% $1,046Q2 14 94.5% $1,070Q3 14 94.5% $1,062Q4 14 92.3% $1,060Q1 15 92.8% $1,077Q2 15 95.0% $1,074Q3 15 93.8% $1,077Q4 15 93.2% $1,093

% growth - Q-O-Q2011 3.26%2011 2.29%2011 -0.75%2011 -0.19%2012 1.60%2013 -0.28%2014 0.28%2015 1.49%

$1,000

$1,025

$1,050

$1,075

$1,100

88%

90%

92%

94%

96%

98%

100%

Ave

rag

e R

en

t

Occ

up

an

cy R

ate

Average Rent Average Occupancy

-0.1

9%

+1.

60%

-0.2

8%

+0.

28%

+1.

49%

-0.7

5%

+2.

29%

+3.

26%

Top-50Average Occupancy Average Rent

Q4 13 93.4% $1,013Q1 14 93.2% $1,046Q2 14 94.5% $1,070Q3 14 94.5% $1,062Q4 14 92.3% $1,060Q1 15 92.8% $1,077Q2 15 95.0% $1,074Q3 15 93.8% $1,077Q4 15 93.2% $1,093

% growth - Q-O-Q2011 3.26%2011 2.29%2011 -0.75%2011 -0.19%2012 1.60%2013 -0.28%2014 0.28%2015 1.49%

$1,000

$1,025

$1,050

$1,075

$1,100

88%

90%

92%

94%

96%

98%

100%

Ave

rag

e R

en

t

Occ

up

an

cy R

ate

Average Rent Average Occupancy

-0.1

9%

+1.

60%

-0.2

8%

+0.

28%

+1.

49%

-0.7

5%

+2.

29%

+3.

26%

Groups made their first offer on Indianapolis Multifamily (2015 to 2016 YTD) Class A: 5.71% Class B: 6.21%50 2015 Cap Rates2

2. Average cap rates for Indianapolis MSA multifamily properties sold in 2015 3. Conventional multifamily properties, 20 units and larger

4. Conventional multifamily properties built in 2000 or later

INDIANAPOLIS COMPARED TO THE MIDWEST

Indianapolis is home to several colleges and universities and continues to benefit from statewide initiatives to reinvest in education with a goal to keep top talent in Indiana.

The city draws on its close relationships with some of the top universities in the nation. More than 75,500 students attend higher-education institutions in the Indianapolis MSA while approximately 52,000 of those students attend institutions within the CBD.

-10%

-5%

0%

5%

10%

15%

20%

INDY Chicago Cincinnati Cleveland Detroit Kansas City Milwaukee Minneapolis St. Louis

MSA CBD

-10%

-5%

0%

5%

10%

15%

20%

INDY Chicago Cincinnati Cleveland Detroit Kansas City Milwaukee Minneapolis St. Louis

MSA CBD

MIDWEST HOUSEHOLD GROWTH (2016)

MIDWEST POPULATION GROWTH (2016)

HIGHER EDUCATION

59% of Indianapolis MSA residents have some higher education experience or better—Nielsen

MSACBD

MSACBD

Indianapolis isOne of the Best

New Boomtownsin the U.S.—Forbes

MIDWEST HIGHER EDUCATION GROWTH

MSA CBD

Chicago 41.7% 84.2%

Cincinnati 38.8% 45.4%

Cleveland 36.9% 50.4%

Detroit 37.0% 19.5%

Indianapolis 38.7% 48.8%

Kansas City 41.3% 37.5%

Milwaukee 41.5% 30.7%

Minneapolis 49.0% 60.5%

St. Louis 36.3% 50.8%Percentage of population with an Associate’s Degree or better

The Indianapolis MSA and CBD have the highest and 4th highest population growth rate, respectively, in the Midwest

The Indianapolis MSA has the 2nd highest household growth rate in the Midwest

PUBLIC/PRIVATE INVESTMENTS DRIVE DEVELOPMENT

MAJOR MSA DEVELOPMENTS (COMPLETED & PIPELINE)Indianapolis International Airport Complete $1B

FedEx Cargo Hub Expansion Complete $214M

Carmel City Center/Carmel Arts & Design District Ongoing $400M

Carmel Arts & Design District Complete $425M

MAJOR CBD DEVELOPMENTS (COMPLETED; PARTIAL LIST)Sidney & Lois Eskenazi Hospital $754M

Lucas Oil Stadium (Super Bowl XLVI host) $720M

Riley Hospital at IU Health $475M

JW Marriott (2nd largest in the world) $425M

Indiana Convention Center Expansion (17th largest in the U.S.)

$275M

City Way (mixed-use development) $155M

IU Health Neuroscience Center $108M

Indianapolis Cultural Trail $63M

TOTAL CBD DEVELOPMENTS COMPLETED (2010 to 2015): $3.6B

CBD DEVELOPMENT PIPELINE

Downtown has amassed an impressive development pipeline that will fuel the resident, worker and consumer base through the current decade and beyond—70 projects worth $2.5B are planned through 2020.

TOTAL DEVELOPMENTS IN THE PIPELINE: $2.5B

ADVANCED TRANSPORTATION & SMART TECHNOLOGIES

Indianapolis will soon have the first battery-electric bus rapid transit (eBRT) in the U.S. (the Red Line), which is part of its plan to be a leader in advanced transportation and smart technologies. Other cities have outdated mass transit, but Indianapolis is using advanced technologies for future growth and is addressing the entire transportation system rather than its parts. The city has already started transitioning to plug-in vehicles, and is the second largest operator of electric transit buses in the U.S. BlueIndy, the largest all-electric car sharing program in the country, recently launched in the city.

CUMMINS INC.FUTURE DISTRIBUTION

HQ One city block bordered

by Market, Alabama, Washington & New

Jersey Streets

The $1B Indianapolis International Airport ranked #1 in NorthAmerica—Conde Nast Traveler with the best customer service practices across more than 20 countries—J.D. Power & Associates

INDIANAPOLIS INTERNATIONAL AIRPORT IS ALSO HOME TO THE 2ND LARGEST FEDEX HUB IN THE U.S. THE AIRPORT EMPLOYS 10,000 PEOPLE DAILY WITH AN ECONOMIC IMPACT OF $4.5 BILLION.

AWARD-WINNINGAIRPORT AND LOGISTICS HUB

Indianapolis International Airport

IndianapolisRanks 9th among

Major Metropolitan Areas for Economic

Development Projects—Site Selection

Magazine

The highly-educated, thriving and top-ranked Indianapolis CBD is both the geographic and economic center of the State of Indiana and the Indianapolis MSA. City planners, business leaders and the medical community began laying the groundwork decades ago for what has become a dynamic, compact and walkable CBD rivaling not only other two million population CBDs, but many larger CBDs as well. This epicenter continues to grow exponentially with $3.6B in recently completed projects and $2.5B planned through 2020. More than $16B has been invested in CBD projects since 1990.

With a current employment base of more than 130,000 in the CBD and only 17,226 CBD residents, there is tremendous opportunity for phenomenal growth of Indianapolis CBD household formation. New households consist of residents new to the Indianapolis area as well as former suburban dwellers, both of whom are increasingly seeking proximity to employment and a rich urban experience.

With five cultural districts that feature synergistic shopping, dining and entertainment as well as world-class sports venues, the signature waterfront White River State Park and a growing business community, Indianapolis features one of most exciting, compact and desirable mid-size CBDs in the nation.

THE CBD...LIVE | WORK | PLAY

• Eli Lilly and Company—one of the15 largest pharmaceutical companies in the world with 10,565 employees in the CBD

• Four Higher Education Institutions—approximately 52,000 students attend IUPUI, University of Indianapolis, Ivy Tech and Harrison College

• IUPUI—nationally-ranked “Top 10 Up & Coming University” according to U.S. News & World Report, with more than 32,364 students and 7,365 employees

• IU Medical School—2nd largest medical school in the U.S.

• IU Health—ranked among the Best Hospitals in the U.S. for 5 consecutive years—U.S. News & World Report

THE CBD IS ANCHORED BY:

PRIMARY CBD TRADE AREA (2016)

130,093 WORKERS

17,226 RESIDENTS

7.8 Million VISITORS IN 2015

52,000HIGHER EDUCATION

STUDENTS

CBD OFFICE MARKET (Q4 2015)

12,042,405 TOTAL CBD OFFICE SQUARE FEET

$18.82LEASE RATE

160,326 SF MSA TENANTS SEARCHING

FOR CBD OFFICE SPACE

17.8%VACANCY RATE

0%

10%

20%

30%

40%

50%

60%

70%

Management/Business/

Professional

Healthcare/Social Assistance

Trade & Labor Hospitality Other

CBD SECTOR EMPLOYMENT (2016)

With a workforce of over 130,000, the CBD is home to an abundant professional and sophisticated employment base

“The mostwalkable Downtown

in America”—Peter King,

Sports Illustrated

THE CBD...LIVE | WORK | PLAY

Visit Indy, an organization that promotes the city of Indianapolis, booked 904,717 convention hotel room-nights in 2015, the most since the organization’s founding in 1923. The 7.8 million visitors in 2015 and $4.4B in total economic impact annually produced $1.1B in tax receipts and generated 75,000 full-time equivalent jobs in Central Indiana. The majority of this impact is felt in the very compact and entirely walkable CBD, which is home to the Indiana Convention Center, 7,702 hotel rooms and well over one million square feet of meeting space.

RECORD YEAR FOR TOURISM IN 2015

THE INDIANA CONVENTION CENTER IS THE 17TH LARGEST IN THE U.S.

59%of Downtown

businesses reported increased sales from

the previous year—Downtown Indy

SHOPPING, DINING & ENTERTAINMENT520 Shops, Restaurants & Nightclubs 7 Hardware/Home Improvement Stores

22 Performing Arts Venues 6 Gas Stations

20 Art Galleries/Museums 6 Drug Stores

10 Health Clubs 3 Grocery Stores

350+ Acres of Parks, Waterways, Trails & Green Spaces

THE INDIANAPOLIS CBD IS A “WALKERS PARADISE” WITH A WALK SCORE OF 96—THE 3RD HIGHEST IN THE MIDWEST

TOURISM & CONVENTION HIGHLIGHTS

$4.4B tourism and hospitality investments yieldwide spread success:

More than 35 hotels in the CBD with 7,702 hotel rooms, of which 4,700 are connected via skywalks—

more than any other city in the U.S.

More than 250 new businesses have opened since 2007 with an average of 50 new businesses

opening annually to serve visitors and residents alike.

Top 10 grossing restaurants average $6.4M annually.

#1 CONVENTION CITY IN THE U.S. —USA TODAY

“If there were acompetition among cities

for the title of overachiever of the decade, the winner would be Indianapolis”—Meetings & Conventions

Magazine

THE CBD BAR CONTINUES TO RISE

Multifamily demand is at an all-time high, driving new housing and mixed-use developments that are attracting highly-educated, young, professional residents, adding to the CBD’s energy and vibrancy.

Strong demand in the CBD, fueled largely by suburban to urban preferences, has led to record-low vacancy rates (4% as of May 2016) and record-high and increasing rental rates (5% growth from 2014 to 2016).

Today’s levels of new multifamily supply are struggling to satisfy the combination of both pent-up demand and new demand to live in the Indianapolis CBD. From 2005 to 2015, only 3,296 conventional multifamily apartment units were completed in the CBD. During this time, CBD demand was growing, although few desirable options were available to choose from.

Indianapolis ranks among the lowest in the region for CBD dwellers compared to CBD employment. Assuming Indianapolis moves only to the median (8%; St. Louis) there will be an influx of nearly 1,000 CBD residents; however, the Indianapolis CBD walkability, compactness, amenity offering and overall quality of life is arguably richer than most of the peer cities shown above.

MULTIFAMILY MOMENTUM

CBD MULTIFAMILY STATS(Built in 2000 or later)1 CBD RESIDENCY COMPARED TO CBD

EMPLOYMENT IN PEER MARKETS

SELECT INSTITUTIONAL EQUITY SOURCES INVESTED IN INDIANAPOLIS MULTIFAMILY

CBD SUBURBAN

Alex Brown Realty Blackstone

Baupost Eagle Realty(Western & Southern Life)

Eagle Realty(Western & Southern Life) Fairfield/Brookfield

Heitman Hartford Investment Management Company

Lubert-Adler Partners Independence Realty Trust

Inland

Wang Xiang

Note: Above sources are a representative sampling of sources with exposure in the Indianapolis market.

Properties 23Total Units 3,867Avg. Occupancy 95% (May 2016)Avg. Year Built 2007Avg. Square Feet 884Avg. Rent $1,522 (May 2016)Avg. Rent/SF $1.72 (May 2016)PropertiesIncluded:

333 Penn9 on Canal, Ph.1ArtistryCircaCosmopolitan on the CanalHarding Street LoftsHinge FlatsJanus LoftsLockerbie LoftsMentor & MuseMosaic

Pulliam Square, Ph.1Slate at 501 VirginiaStadium Flats & LoftsThe AvenueThe Axis at Block 400The BlockThe MaxwellThe MozzoThe Residences at CityWayThe TylerThe Waverley

1. Includes all conventional CBD properties built in 2000 or later. Occupancy statistics only reflect stabilized properties.

Institutionally-owned developments and acquisitions in Indianapolis (2010 to present)

$938M

Minneapolis Chicago Kansas City Nashville St. Louis Columbus INDY Louisville CincinnatiNumber of Residents 34,653 105,988 14,063 7,349 4,348 7,496 4,829 5,261 5,599Employment 167,315 612,140 101,959 65,942 53,202 108,306 70,942 91,406 123,269Residents per Employment 20.71% 17.31% 13.79% 11.14% 8.17% 6.92% 6.81% 5.76% 4.54%

Average Commute Time (M) 21 27 18 20 19 20 23 23 19

CBD Residents per Employment

0% 5% 10% 15% 20% 25%

Minneapolis

Chicago

Kansas City

Nashville

St. Louis

Columbus

INDY

Louisville

Cincinnati

Percentage of CBD residentscompared to CBD jobs

Minneapolis Chicago Kansas City Nashville St. Louis Columbus INDY Louisville CincinnatiNumber of Residents 34,653 105,988 14,063 7,349 4,348 7,496 4,829 5,261 5,599Employment 167,315 612,140 101,959 65,942 53,202 108,306 70,942 91,406 123,269Residents per Employment 20.71% 17.31% 13.79% 11.14% 8.17% 6.92% 6.81% 5.76% 4.54%

Average Commute Time (M) 21 27 18 20 19 20 23 23 19

CBD Residents per Employment

0% 5% 10% 15% 20% 25%

Minneapolis

Chicago

Kansas City

Nashville

St. Louis

Columbus

INDY

Louisville

Cincinnati

Percentage of CBD residentscompared to CBD jobs

MULTIFAMILY MOMENTUM

SELECT CBD INSTITUTIONALLY-OWNED INDIANAPOLIS ASSETS

Cosmopolitan on the Canal218 Units

The Tyler261 Units

Artistry/Mentor & Muse/Mosaic554 Units

Circa265 Units

Lockerbie Lofts215 Units

The Avenue142 Units

WORLD CLASS SPORTS

LUCAS OIL STADIUMHome of the NFL Indianapolis Colts Super Bowl XLVI Host

“Lucas Oil Stadium named the best sports stadium in the nation.” —Stadiumjourney.com

VICTORY FIELDHome of the AAA Baseball Indianapolis Indians

“Best minor league ballpark in America.”—Baseball America & Sports Illustrated

BANKERS LIFE FIELDHOUSE Home of the NBA Indiana Pacers and WNBA Indiana Fever

“Bankers Life Fieldhouse earned the top spot of all NBA venues—again.”—Ultimate Sports Road Trip

INDIANAPOLIS MOTOR SPEEDWAYHome of the Indy 500, NASCAR Brickyard 400, MotoGP & Grand Prix

More than 430,000 annual attendees at all races combined. The Indy 500 is the largest single-day sporting event in the world—2016 marks the 100th running of the race with tickets nearly sold out for the first time in 20 years.

Indianapolis asSuper Bowl XLVI Host: Best collective effort by any city hosting

any sporting event I’ve attended

—Mike Tirico,ESPN

VICTORY FIELD

“AMATEUR SPORTS CAPITAL OF THE WORLD”

WORLD CLASS EVENTS DRIVE VISITORS & SPENDING:

The USA’s12th-largest cityis a Slam Dunkfor Sports Buffs—USA Today

NCAA Championships

NFL Combine

Big Ten Football Championship

Indy 500

Indy Eleven Professional Soccer

PGA Tour (BMW Championship)

NASCAR Brickyard 400

MotoGP

Red Bull Indianapolis GP

Circle City Classic

BANKERS LIFE FIELDHOUSE

LUCAS OIL STADIUM

CENTRAL MIDWEST MULTIFAMILY

CARRIE BALLARDClient Services Specialist+1 317 269 1064carrie.ballard@cbre.com

DAVE LOCKARD, CCIMSenior Vice President+1 513 369 1347dave.lockard@cbre.com

JOANNA YARBROUGHClient Services Coordinator+1 317 269 1141joanna.yarbrough@cbre.com

KURT SHOEMAKERVice President+1 513 369 1383kurt.shoemaker@cbre.com

ERIC NELSONSales Assistant+1 317 269 1108eric.k.nelson@cbre.com

ANN NIEHAUSClient Services Coordinator+1 513 369 1378ann.niehaus@cbre.com

STEVE LAMOTTE JR., CCIMSenior Vice President+1 317 269 1018steve.lamotte@cbre.com

DANE WILSONFirst Vice President+1 317 269 1057dane.wilson@cbre.com

www.cbre.com/invcmmultifamily

EMILY CANTLEYSales Assistant+1 513 369 1328emily.cantley@cbre.com

©2016 CBRE, Inc. This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the market.

CBRE and the CBRE logo are service marks of CBRE, Inc. and/or its affiliated or related companies in the United States and other countries. All other marks and photos displayed on this document are the property of their respective owners.

Sources: CBRE, Inc. Downtown Indy, Inc., Indianapolis Business Journal, Indy Chamber, Indy Partnership, Inside Indiana Business, Fortune, Forbes, Milken Institute, Site Selection, Kiplinger, Time Magazine, Chief Executive Magazine, Site Selection, Nielsen, U.S. Bureau of Labor Statistics, U.S. News & World Report and USA Today.