Address SWC North 67th Avenue & West Alice AvenuePeoria, AZ 85345

County Maricopa

Total Units 192

Year Built 2020

Number of Buildings 8

Number of Stories 3

Rentable SF 177,792

Average Unit Size 926

Lot Size ±7.48 Acres

Parking Spaces 366

UNIT MIX SUMMARY

TYPE # UNITS SF TOTAL SF

1BD/1BA 48 690 33,120

2BD/2BA SMALL 48 877 42,096

2BD/2BA LARGE 72 1,025 73,800

3BD/2BA 24 1,199 28,776

TOTAL/AVG. 192 926 177,792

Joint Venture Opportunity /

Pre-SaleMORNINGSTAR AT

GOLDEN RIDGE SENIOR HOUSING

67TH AVENUE

OLIVE AVENUE

OLIVE GROVESINGLE FAMILY

GLENDALE COMMUNITY COLLEGE

±25,000 STUDENTS

PEORIA AVENUE

SITE

METROCENTER

PROPERTY SUMMARY

RANCHO VERDE APARTMENTS

N

SPONSOR & PROJECT INFORMATION

Sponsor Information:

• Shea Connelly Development/Construction (www.scd-llc.com/)

• 35 years of Real Estate development experience

• Highly experienced Senior Management team with over 75 years of collective experience

• Developed over $1 billion in Multi-family, Senior Housing and Retail projects throughout

the Southwest

• Unparalleled expertise in Pre-Development, Design and Construction Management

• Recently completed Park Place Apartment Complex in Fountain Hills, Arizona and

MorningStar at Golden Ridge, adjacent to the proposed project

• Licensed Contractor in Arizona, Nevada and California

Project Information:

• Project is fully designed with building permits available in 90 days (Q4/2019)

• Certificate of occupancy projected Q4/2020 with stabilization in Q3/2021

• Construction costs have been “bid” with final buy-out in process

• General contractor, Shea Connelly, to enter into a guaranteed maximum price construction

contract

• Senior Loan Term Sheet has been executed with Buchanan Street Partners for a tentative

loan at $23,380,000

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AREA OVERVIEW

MORNINGSTAR AT GOLDEN RIDGE

SENIOR HOUSING

67TH AVENUE

OLIVE AVENUE

GLENDALE COMMUNITY COLLEGE

±25,000 STUDENTS

PEORIA AVENUE

SITE

METROCENTER

N

3

RENDERINGS

4

FEATURES

UNIT FEATURESQUARTZ COUNTERTOPSSTAINLESS STEEL APPLIANCESWOOD-STYLE PLANK FLOORING WITH CARPET IN BEDROOMSFULL SIZE WASHER/DRYERWALK-IN CLOSETSCEILING FANS9 FOOT CEILINGSDUAL-PANE WINDOWSPATIO/BALCONY

UNIT FEATURES

COMMUNITYAMENITIES

COMMUNITY AMENITIES

LEASING OFFICE

CLUBHOUSE

STATE OF THE ART FITNESS CENTER

BUSINESS CENTERTOT LOTRAMADASTWO CAR CHARGING STATIONSCONTROLLED-ACCESS

SWIMMING POOL

GAS GRILLING STATIONS

CAPITAL INVESTMENT SUMMARY

Development Cost:

Land: Construction Costs:

Soft Costs: Operating Reserves, FF&E:

Interest Reserve / Contingency: Closing Costs / Fees:

$32,000,000 ($166,667/unit)

$2,606,630 ($13,576/Unit)$22,500,000$2,966,579$960,000$2,015,000$951,791

Senior Loan Amount: $23,680,000

Total Equity: $8,320,000

– Investment Equity: $5,713,370

–Land Equity: $2,606,630

Total Sources: $32,000,000

Lender:

–Construction Loan Details:

Buchanan Mortgage Holdings, LLC

Equity: 10% preferred return; 50/50 profit split

Sales price upon receipt of final Certificate of Occupancy:

$35,500,000

–$184,896 per unit

–$200 per square foot

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ANNUAL $/PER UNITS

INCOME Base Rental Income

Potential Rent at Market $3,261,735 $16,988

Loss to Lease 1.50% ($49,366) ($257)

Total Base Rental Income $3,212,369 $16,731

Utility Reimbursement $101,104 $527

Other Income $187,675 $977

POTENTIAL GROSS INCOME $3,501,148 $18,235 Vacancy (Total Income) 5.00% ($175,057) ($912)

Collection Loss (Total Income) 0.50% ($17,506) ($91)

EFFECTIVE GROSS INCOME $3,308,585 $17,232OPERATING EXPENSES Property Insurance $40,442 $211

Utilities $186,032 $969

Repairs & Maintenance $121,326 $632

Management Fees $99,258 $517

Payroll $262,873 $1,369

Advertising & Marketing $50,553 $263

General & Administrative $50,553 $263

Replacement Reserves $50,553 $263

Total Operating Expenses $861,590 $4,487 Real Estate Taxes $217,611 $1,133

TOTAL EXPENSES $1,079,201 $5,621

NET OPERATING INCOME* $2,229,384 $11,611

STABILIZED PRO FORMA

VACANCY5%

POTENTIAL RENT AT MARKET Current Market Rents grown at 5%

COLLECTION LOSS0.50%

*June 2021 - May 2022

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MANAGEMENT FEES3% of EGI

REPLACEMENT RESERVES$250 per unit

EXPENSESProforma expenses outlined to reflect current market conditions (assume 5% growth for taxes and 3% for all other expenses)

SALES COMPARABLES

PROPERTYSALE

DATESALE PRICE PRICE/UNIT PRICE/SF

YEAR BUILT

NUMBER OF UNITS

1 BED 2 BED 3 BED

Summerly at Zanjero7375 N. Zanjero BlvdGlendale, AZ 85305

9/12/2019 $78,500,000 $230,882 $228 2018 340 177 149 18

Avalon2005 N. 103rd Ave

Avondale, AZ 85392

6/28/19 $80,000,000 $200,000 $199 2018 400 72 296 32

Elevation Plaza Del Rio*13310 N. Plaza Del Rio Blvd

Peoria, AZ 85381

4/1/19 $69,900,000 $209,910 $226 2018 333 199 122 12

Green Leaf on Bell1100 E. Bell Rd

Phoenix, AZ 85023

1/23/19 $61,650,000 $201,471 $216 2017 306 144 126 36

Velaire at Aspera7700 W. Aspera BlvdGlendale, AZ 85308

7/19/18 $64,350,000 $225,000 $236 2016 286 126 128 32

*Sold at 48% occupancy

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SALES COMPARABLES MAP

32N

D S

T

CAV

E C

REEK

RD

7TH

ST

19TH

AV

E

35TH

AV

E

43RD

AV

E

51ST

AV

E

59TH

AV

E

40TH

ST

INDIAN SCHOOL RD

CAMELBACK RD

BETHANY HOME RD

GLENDALE AVE

NORTHERN AVE

AVE

CACTUS RD

THUNDERBIRD RD

GREENWAY RD

BELL RD

UNION HILLS DR

DEER VALLEY RD

PHOENIX-DEERVALLEY MUNICIPAL

AIRPORT

UNION HILLS DR

MAYO BLVD

LIG

HT

RAIL

67TH

AV

E

75TH

AV

E

83R

D A

VE

91ST

AVE

DEER VALLEY RD

PINNACLE PEAK RD

CEN

TRA

L AV

E

99TH

AV

E

GLENDALEMUNICIPALAIRPORT

16TH

ST

24TH

ST

32N

D S

T

40TH

ST

MCDOWELL RD

THOMAS RD

P E O R I A

G L E N D A L E

P H O E N I X

S U N C I T Y

OLIVE

ELEVATION PLAZA DEL RIO13310 N. PLAZA DEL RIO BLVD. PEORIA, AZ

168 UNITS04/01/2019 - $69,900,000

$209,910/UNIT

RANCHO VERDESWC N. 67TH AVE & W. ALICE AVE. PEORIA, AZ

VELAIRE AT ASPERA7700 W. ASPERA BLVD. GLENDALE, AZ

286 UNITS07/19/2018 - $64,350,000

$225,000/UNITGREEN LEAF ON BELL

1100 E. BELL RD. PHOENIX, AZ

306 UNITS01/23/2019 - $61,650,000

$201,471/UNIT

AVALON2005 N. 103RD AVE. AVONDALE, AZ

400 UNITS06/28/2019 - $80,000,000

$200,000/UNIT

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SUMMERLY AT ZANJERO7375 N. ZANJERO BLVD. GLENDALE, AZ 85305

344 UNITS09/12/2019 - $78,500,000

$230,882/UNIT

RENT COMPARABLES

1 BEDROOM 2 BEDROOM 3 BEDROOM

PROPERTY YEAR BUILT

UNITS SF RENTRENT/

SFUNITS SF RENT

RENT/SF

UNITS SF RENTRENT/

SF

Elevation Plaza Del Rio13310 N Plaza Del Rio Blvd.Peoria, AZ 85381

2018 186 961 $1,426 $1.48 121 1,152 $1,552 $1.35 26 1,268 $2,072 $1.63

Pillar at Westgate6610 N 93rd Ave.Glendale, AZ 85305

2007 123 773 $1,106 $1.43 128 1,221 $1,318 $1.08 -- -- -- --

The Metro at Zanjero9450 W Cabela Ave.Glendale, AZ 85305

2007 130 768 $1,098 $1.43 102 1,173 $1,367 $1.17 15 1,340 $1,670 $1.25

Summerly at Zanjero7375 N Zanjero Blvd.Glendale, AZ 85305

2019 177 705 $1,152 $1.63 149 1,062 $1,468 $1.38 18 1,350 $1,855 $1.37

The Place at Santana Village7606 W Peoria Ave.Peoria, AZ 85345

2015 56 782 $995 $1.27 152 1,027 $1,162 $1.13 16 1,165 $1,430 $1.23

The Bungalows on Olive8201 W Olive Ave.Peoria, AZ 85345

2018 52 634 $1,150 $1.81 61 990 $1,475 $1.49 40 1,314 $1,725 $1.31

Visions - Serenity13720 N 88th Ave.Peoria, AZ 85381

2009 60 708 $1,014 $1.43 156 917 $1,124 $1.23 30 1,062 $1,495 $1.41

AVERAGE 787 $1,183 $1.50 1,074 $1,331 $1.24 1,244 $1,718 $1.38

Rancho VerdeSWC N 67th Ave. & W Alice Ave.Peoria, AZ 85345

689 $1,100 $1.60 980 $1,345 $1.37 1,198 $1,550 $1.29

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RENT COMPARABLES MAP

THUNDERBIRD RD

CACTUS RD

PEORIA AVE

OLIVE AVE

NORTHERN AVE

GLENDALE AVE

BETHANY HOME RD

CAMELBACK RD

GREENWAY RD

BELL RD

35TH

AV

E

43R

D A

VE

51ST

AV

E

59TH

AV

E

67TH

AV

E

75TH

AV

E

83R

D A

VE

91ST

AV

E

99TH

AV

E

27TH

AV

E

P E O R I A

G L E N D A L E

P H O E N I X

ELEVATION PLAZA DEL RIO13310 N PLAZA DEL RIO BLVD. PEORIA, AZ

THE PLACE AT SANTANA VILLAGE7606 W PEORIA AVE. PEORIA, AZ

VISIONS - SERENITY13720 N 88TH AVE. PEORIA, AZ

SUMMERLY AT ZANJERO7375 N ZANJERO BLVD. GLENDALE, AZ

THE METRO AT ZANJERO9450 W CABELA AVE. GLENDALE, AZ

PILLAR AT WESTGATE6610 N 93RD AVE. GLENDALE, AZ

THE BUNGALOWS ON OLIVE8201 W OLIVE AVE. PEORIA, AZ

RANCHO VERDESWC N 67TH AVE & W ALICE AVE. PEORIA, AZ

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2555 E. CAMELBACK RD SUITE 400PHOENIX, AZ 85016www.cushmanwakefield.com

SOUTHWEST MULTIFAMILY ADVISORY GROUP

JIM CREWSEXECUTIVE MANAGING DIRECTOR+1 602 229 5992jim.crews@cushwake.com

JEEMS LOCHRIDGEMANAGING DIRECTOR+1 602 229 5822jeems.lochridge@cushwake.com

67TH AVENUE

WESTGATE ENTERTAINMENT

DISTRICT

CAMELBACK RANCHSPRING TRAINING OF

SUPERCENTER

STONE HAVEN ±1,300 HOMES

SITE

MORNINGSTAR AT GOLDEN RIDGE

SENIOR HOUSING

GLENDALE AVENUE

NORTHERN AVENUE

GRAND AVENUE

75TH AVENUE

OLIVE GROVEGARRETT WALKER HOMES

SINGLE FAMILY

N