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Village at Kings Canyon48 Units | 962 South Pierce Avenue | Fresno, CA 93727

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2 LIHTC ADVISORS VILLAGE AT KINGS CANYON | 48 UNITS

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LIHTC Advisors


Village at Kings Canyon48 Units

962 South Pierce AvenueFresno, CA 93727

Table of Contents

PROPERTY OVERVIEW

DescriptionArea Highlights

Market HighlightsSummary

Area Maps

FINANCIAL ANALYSIS

Executive SummaryIncome & Expenses

Cash Flow SummaryUnit Mix

Income & Rent LimitsHistorical AMI, MAX Rent, & FMR

COMPARABLE PROPERTIES

Rent Comparables MapRental & Occupancy Statistics

Rent Comparable Details

DEMOGRAPHIC ANALYSIS

Demographic Analysis


Property Overview

HIGHLIGHTS

• Located within Walking Distance to Schools, Winco, & Walmart Supercenter

• Fresno MSA Employment has Outpaced U.S. Average with Growth of 3%+ from 2013-2016

• Less Than 3 Miles from Fresno Yosemite International Airport

• Fresno Market Vacancy Rate is 3.6% (Property Currently 100% Occupied)


Property Description

Village at Kings Canyon is a 48-unit housing community located in Fresno, CA. Within blocks of the property you will find parks, shopping, restaurants, schools, entertainment, public transportation, and major employers. The property is within close proximity to State Routes 41, 99, & 180, which provides quick access to downtown Fresno. Currently, downtown Fresno is experiencing major gentrification, which includes construction of a high speed rail and renovation of the Fulton Street Mall.

The Property was built and placed in service in 2005 under the Section 42 Low-Income Housing Tax Credit (LIHTC) program. There is an existing regulatory agreement in place with the California Tax Credit Allocation Committee (TCAC), requiring units to be rented to income qualifying tenants earning no more than 30%, 40%, 50%, 55%, and 60% of the Area Median Income (AMI) limits, which terminates in December 2059. Additionally, there is a City of Fresno HOME Agreement with affordability restrictions in place estimated to end in 2030. The property is still within the initial tax credit compliance period. Please see the Property Summary page and Unit Mix page for further details. A qualified purchaser can be a non-profit or for-profit entity that agrees to maintain the affordable housing units and to fulfill all requirements of the existing regulatory agreements.

Residents benefit from a convenient location on the public transit line, playground, community room/leasing office, on-site laundry facility, full appliance package, and open floor plans.

COMMUNITY AMENITIES

• Playground• Laundry Facility• Community Room/Leasing Office

UNIT AMENITIES

• Open Floor Plan• Full Appliance Package


Area Highlights

Fresno is a city in California, and the county seat of Fresno County, with a population of 520,000. Fresno is located in the center of the San Joaquin Valley and is the 5th most populous city in the state.

Fresno is near the geographic center of California. It lies about 220 miles north of Los Angeles and 170 miles south of Sacramento. Fresno is serviced by State Route 99, which connects the major population centers of the California Central Valley. With its central location Fresno lies 60 to 75 miles from three national parks: Yosemite, King’s Canyon, and Sequoia.

California State University, Fresno is the main state school in Fresno though the University of California, Merced and University of California, San Francisco have institutions in the city. In U.S. News and World Report, California State University, Fresno, was listed as the nation’s best public university in graduation rate performance. Fresno State’s

reclassification as a doctoral university means it has joined the top research universities in the US. Fresno State is one of four to compete at the national level for this ranking.

Fresno County is ranked first in the nation for agricultural production with annual sales in excess of $3 billion. Major crops include grapes, almonds, cotton, peaches and nectarines. Other large industries in Fresno include health services, education, and government.

Fresno serves as the economic hub of Fresno County and California’s San Joaquin Valley. Sony Music Distribution/Sony Computer Entertainment is in Fresno, California, as well as Valley Yellow Pages, Zacky Farms, California Ag Today Media, and Saladino’s. The unincorporated area and rural cities surrounding Fresno remain predominantly tied to large-scale agricultural production.

NEIGHBORHOOD AMENITIES

• Greenberg Elementary School (0.3 miles)

• Winco Foods (0.7 miles)• Ross, Dollar Tree, Jack in the Box,

Subway, KFC, Planet Fitness (0.5 miles)

• Walmart (0.7 miles)• Fresno Pacific University (0.7 miles)

LOCATION HIGHLIGHTS

• Population: 520,000• Home to California State

University, Fresno

TOP EMPLOYERS (NO. EMPLOYEES)

• Community Medical Centers (4,789)• City of Fresno (2,938)• Saint Agnes Medical Center (2,400)• Kaiser Permanente (2,000)• California State University, Fresno

(1,562)• Cargill Meat Solutions (1,150)


Apartment Market Highlights

Vacancies steadily compressed from 2012-16 largely due to demand consistently outpacing new deliveries. In that time frame, vacancies have been near or below the historical average, and that trend has carried over into the first half 2017. While new construction is not overly abundant, Fresno has had far more projects deliver this cycle than similar-sized metros along Highway 99, such as Stockton and Bakersfield. Regardless, deliveries have shown no signs of applying upward pressure on vacancies.

VACANCY

SOURCE: CoStar- July 2017

12 month Deliveries in Units 12 month Net Absorption Vacancy Rate 12 month Rent Growth436 739 3.6% 4.6%

One of the larger apartment markets in the Central Valley, Fresno continues to trend in a favorable direction. Vacancies have remained near the historical low through the first half of 2017 as demand continues to outpace a limited number of deliveries. Both population and job growth have outperformed the national average in recent years. However, employment here is heavily concentrated in government, education, and health services, sectors that typically don’t offer robust income growth, but do soften market volatility. The lack of substantial income gains combined with a median household income well below the statewide median has traditionally limited rent growth, however, the last several years have been an exception, including the first half of 2017. New construction, while more active here than in neighboring secondary metros, has been measured, helping to avoid a supply-driven rise in vacancies.

OVERVIEW

Rents are gradually trending in a positive direction for landlords, but Fresno did not have the outsized growth experienced across many California metros in 2015. Neighboring metros Modesto and Stockton experienced record-setting rent growth near 10% in 2015, while Fresno’s gains were just above 4%. However, Fresno’s relatively healthy rent gains were followed up with similar figures in 2016, a rarity in California and nationwide. Additionally, momentum from rent growth in previous years has carried into the first half of 2017. Although fundamentals are on firm footing, especially for the Central Valley, Fresno has a number of factors that have traditionally weighed on rent gains. Sluggish wage growth and the prevalence of low-paying jobs tied to the agriculture industry limited rent gains to around 2% or less annually from 2010- 2014.

RENT

Vacancy Rate

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Annual Rent Growth

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Rent Growth Y/Y Asking Rent/Unit Effective Rent/Unit National Asking Rent/Unit


Apartment Market Highlights

SOURCE: CoStar- July 2017

From 2014-2016, pricing remained relatively flat, although 2014 and 2015 were the highest years for sales volume in the last decade. Pricing is near prerecession peak levels, but is still well below the national median. Assets sold in 2016 were much older on average than during prerecession peak pricing levels, largely due to a dearth of new inventory this cycle.

SALES

Sustained apartment demand the last several years has been nourished by a fully recovered economy that is now entering a period of consistent growth. Employment growth of 3% or more from 2013-16 was among the healthiest in California thanks to an uptick in hires for government, and education and health services jobs. Top employers for government jobs include local police departments, school districts, universities, and state prisons. The IRS has historically had a large presence in Fresno’s office market, however, roughly 3,000 jobs will be terminated at its 532,000 SF tax-processing center when it vacates in 2021. AETNA, a leading healthcare provider, plans to add more than 200 jobs in Fresno through the end of 2017 as a result of receiving state tax incentives. The trade, transportation, and utilities sector is experiencing steady job growth as agriculture is still the bedrock of the local economy. The metro consistently ranks among the nation’s leaders for job growth in food manufacturing and processing. Cargill, Foster Farms, and Zacky Farms remain leaders in employment as the need to refrigerate, pack, and ship food grows along with record agricultural sales numbers.

ANNUAL JOB GROWTH

Sales Volume in M

illions

Med

ian

per U

nit

Volume Price/Unit National Price/Unit

Metro US


NAME & LOCATIONProperty Name Village at Kings CanyonProperty Address 962 South Pierce Avenue

Fresno, CA 93727

AFFORDABILITY RESTRICTIONSLIHTC Placed in Service Date 2005End of LIHTC Initial Compliance Period 12/31/2019End of LIHTC Extended Use Period 12/31/2059End of HOME Agreement Restriction Period 2030

SITE INFORMATIONAssessor’s Parcel Number 472-161-25, 472-161-26, 472-171-03Number of Units 48Number of Buildings 5Number of Stories 2 & 3Rentable Square Feet 45,515Year Built 2005Lot Size 2.6625 AcresType of Ownership Fee SimpleLandscaping Mature Trees, Shrubs & GrassTopography Relatively Flat

UTILITIESWater City of FresnoElectric Pacific Gas & Electric CompanyGas Pacific Gas & Electric Company

CONSTRUCTIONExterior Stucco with Rock AccentsRoof Composite Shingle

# OF UNITS

RENTABLESF

PLACED IN SERVICE

LOT SIZE

48 45,515 2005 2.6625 acres

Property Summary


Aerial Map

Village at Kings Canyon48 Units


*Parcel outlines are approximate


Local Map

Village at King’s Canyon

Pilibos Soccer Park (0.2 miles)

Greenberg Elementary School (0.3 miles)

Ross, Dollar Tree, Jack in the Box, Subway, KFC, Planet Fitness (0.4 miles)

Big Lots, Family Dollar (0.5 miles)

Foodsco, The Home Depot, Walgreens (0.6 miles)

Walmart Supercenter (0.7 miles)

Winco Foods (0.7 miles)

Sunnyside High School (0.8 miles)

Ayer Elementary School (0.8 miles)

Fresno Pacific University (0.7 miles)

CVS, Panda Express (1.0 mile)

Mario G. Olmos Elementary School (1.2 miles)

Domino’s, Burger King, McDonald’s (1.2 miles)

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Local Map

VILLAGE AT KINGS CANYON

Greenberg Elementary

School Sunnyside High School

Fresno Pacific University

Kings Canyon Middle School


Regional Map

• Visallia, CA (44 miles)

• Merced, CA (58 miles)

• Yosemite National Park (65 miles)

• Modesto, CA (97 miles)

• Bakersfield, CA (109 miles)


Financial Analysis

LIST PRICE PRICE/UNIT PRICE/SF PROFORMANOI

PROFORMANOI/UNIT

PROFORMACAP RATE

$1,750,000 $36,458 $38.45 $128,588 $2,679 7.35%


Executive Summary

Name Village at Kings CanyonAddress 962 S. Pierce AvenueCity, State, Zip Fresno, CA 93727County Fresno, CA

Year Built 2005Placed In Service 2005End of Initial Tax Credit Compliance PeriodEnd of LIHTC RestrictionsEnd of HOME RestrictionsQualified Contract Eligible No

Total Number of Units 48Net Rentable Square Feet 45,515 SF

PRICING FIGURES - WITH PROPOSED NEW FINANCING

LIST PRICE $1,750,000Price per Unit $36,458Price per SF $38.45

Closing Cost $8,750Capital Expense $48,000Total Acquisition Cost $1,806,750

FINANCIAL SUMMARY

*Analysis assumes 0.50% in Closing Costs and $1,000 per unit in Capital Expense.

PROPERTY INFORMATION

December 31, 2019December 31, 2059December 31, 2030


Executive Summary

PROPOSED NEW FINANCING

Program ConventionalLoan to Value % 75.00%Interest Rate 4.40%Interest Only Period (Months) 0Amortization Period (Years) 30

Total Acquisition Cost $1,806,750Loan Amount $1,312,500Loan Fee @ 1.00% $13,125Down Payment $507,375

Annual Debt Service - P&I $78,870

Year 1 PROFORMA Debt Coverage Ratio 1.63

PROFORMACAP Rate 7.35%NOI $128,588Year 1 Debt Service $78,870Net Cash Flow After Debt Service $49,718Cash on Cash % 9.80%

FINANCING

VITAL DATA


Income & Expenses

OPERATIONAL ANALYSIS PROFORMA PER UNIT

INCOME

Gross Potential Rent $265,356 $5,528Subsidy Income $90,456 $1,885POTENTIAL RENTAL INCOME $355,812 $7,413 (1)

Economic LossVacancy Loss 3.50% ($12,453) ($259) (2)Bad Debt 0.00% $0 $0Concessions 0.00% $0 $0

Total Economic Loss 3.50% ($12,453) ($259)

NET RENTAL INCOME $343,359 $7,153

Other IncomeForfeited Security Deposits $4,691 $98Late Fees $2,921 $61Misc. Other Income $1,674 $35

Total Other Income $9,286 $193

EFFECTIVE GROSS INCOME $352,645 $7,347

EXPENSES

FIXED OPERATIONAL EXPENSETotal Real Estate Property Taxes 0% $1,329 $28 (3)Total Property Insurance Expense 2% $7,962 $166Total Property Utility Expense 15% $53,459 $1,114

TOTAL FIXED OPERATIONAL EXP 18% $62,751 $1,307

VARIABLE OPERATIONAL EXPENSETotal Maint. Contract Services 6% $22,230 $463Total Repairs & Maintenance 6% $20,722 $432Total Administrative Expenses 4% $13,651 $284 (4)Total Leasing & Marketing 0% $53 $1Total Payroll and Salary Expenses 19% $66,144 $1,378 (5)Property Management Fee 4.00% $14,106 $294 (6)Non Profit Fee 3% $10,000 $208 (7)

TOTAL VARIABLE OPERATIONAL EXP 42% $146,906 $3,061

TOTAL FIXED & VARIABLE EXPENSES 59% $209,657 $4,368

Reserves & Replacements $14,400 $300

TOTAL OPERATING EXPENSES 64% $224,057 $4,668

NET OPERATING INCOME $128,588 $2,679


Comments to Income & Expenses

(1)

(2)

(3)

(4)

(5)

(6)

(7)

REAL ESTATE TAX ANALYSIS

Parcel #: 472-171-03, 472-161-26, 472-161-25

2016 ProformaLand $345,000 $355,350Improvements $3,705,000 $3,816,150Total Market Value $4,050,000 $4,171,500Exemptions $6,261,155 $6,261,155Value after Exemptions ($2,211,155) ($2,089,655)Assessment Ratio 100.00% 100.00%Assessed Value ($2,211,155) ($2,089,655)

Tax Rate 0.000% 0.000%Ad Valorem Taxes $0 $0Assessments $1,291 $1,329Total Taxes Due $1,291 $1,329

Notes

PAYROLL ANALYSIS

Position FTE Rate AnnualManager 0.75 $22.00 $34,320Maintenance Super 0.5 $20.00 $20,800Subtotal 1.25 $55,120PR Tax/Benefits 20.00% $11,024Total Payroll $66,144

*Currently at the property, the manager is receiving a rent free unit. Analysis assumes this unit begins to be rented out.

NOTES TO PROFORMA

Potential Rental Income: Analysis assumes Rental Income and Subsidy Payments seen in August 2017 of the provided financialsannualized.

Vacancy: Based on the rent roll from September 2017, occupancy is 100%. Analysis uses a 3.5% vacancy factor going forward.

Administrative: Proforma assumes that the cost of an audit will no longer be required after a sale. Also, Software Maintenance &User Fee and Training Fees are specific to the current property management company and are not included in proforma expenses.Per the owner, the historical $5,004 Compliance & Data Automation is specific to the current property management company andwould not be required by new owner. Also, furnishings expense has been removed.

Real Estate Taxes: See notes below.

Payroll: Please see Payroll Analysis below.

Non Profit Fee: Analysis assumes that a non-profit will need to be brought on board to continue the welfare exemption. Proformareflects an estimate of fee and not an exact expense.

Property Management Fee: Historical financials consisted of a GP Property Management Fee and a 3rd-party Management Fee.Reduced to reflect market underwriting.

The property currently enjoys a 100% welfare exemption due to its non-profit status.

Analysis assumes that welfare exemption will continue indefinitely and real estate taxes will be based on the assessments seen in2016, but increased by 3%.


Cash FlowPROPERTY CASH FLOW ANALYSIS - ASSUMPTIONS

YEAR 1 OPERATIONS BASED ON Proforma

Gross Potential Rent Growth NA 0.00% 0.00% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25%Other Income Growth NA 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50%Loss to Lease 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Vacancy 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50%Bad Debt 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Concessions 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Property Taxes NA 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%Insurance NA 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50%Utilities NA 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50%Property Management Fee 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00%Other Expenses NA 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50%Replacement Reserves NA 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

CASH FLOW SUMMARY Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

INCOMEGross Potential Rent $355,812 $355,812 $355,812 $363,818 $372,004 $380,374 $388,932 $397,683 $406,631 $415,780

Gain (Loss) to Lease $0 $0 $0 $0 $0 $0 $0 $0 $0 $0POTENTIAL RENTAL INCOME $355,812 $355,812 $355,812 $363,818 $372,004 $380,374 $388,932 $397,683 $406,631 $415,780

Economic Operational LossVacancy Loss ($12,453) ($12,453) ($12,453) ($12,734) ($13,020) ($13,313) ($13,613) ($13,919) ($14,232) ($14,552)Bad Debt $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0Total Operational Loss ($12,453) ($12,453) ($12,453) ($12,734) ($13,020) ($13,313) ($13,613) ($13,919) ($14,232) ($14,552)

NET RENTAL INCOME $343,359 $343,359 $343,359 $351,084 $358,984 $367,061 $375,320 $383,764 $392,399 $401,228

Total Other Income $9,286 $9,519 $9,757 $10,000 $10,250 $10,507 $10,769 $11,039 $11,315 $11,597

EFFECTIVE GROSS INCOME $352,645 $352,877 $353,115 $361,085 $369,234 $377,567 $386,089 $394,803 $403,714 $412,825

OPERATIONAL EXPENSESFIXED OPERATIONAL EXPENSE

Total Real Estate Property Taxes $1,329 $1,369 $1,410 $1,453 $1,496 $1,541 $1,587 $1,635 $1,684 $1,734Total Property Insurance Expense $7,962 $8,161 $8,365 $8,575 $8,789 $9,009 $9,234 $9,465 $9,701 $9,944Total Property Utility Expense $53,459 $54,796 $56,165 $57,570 $59,009 $60,484 $61,996 $63,546 $65,135 $66,763

TOTAL FIXED OPERATIONAL EXP $62,751 $64,326 $65,941 $67,597 $69,294 $71,034 $72,817 $74,646 $76,520 $78,441

VARIABLE OPERATIONAL EXPENSETotal Maint. Contract Services $22,230 $22,786 $23,356 $23,939 $24,538 $25,151 $25,780 $26,425 $27,085 $27,762Total Repairs & Maintenance $20,722 $21,241 $21,772 $22,316 $22,874 $23,446 $24,032 $24,632 $25,248 $25,880Total Administrative Expenses $13,651 $13,992 $14,342 $14,700 $15,068 $15,444 $15,830 $16,226 $16,632 $17,048Total Leasing & Marketing $53 $54 $56 $57 $59 $60 $62 $63 $65 $66Total Payroll and Salary Expenses $66,144 $67,798 $69,493 $71,230 $73,011 $74,836 $76,707 $78,624 $80,590 $82,605Property Management Fee $14,106 $14,115 $14,125 $14,443 $14,769 $15,103 $15,444 $15,792 $16,149 $16,513Non Profit Fee $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000

TOTAL VARIABLE OPERATIONAL EXP $146,906 $149,985 $153,142 $156,686 $160,318 $164,040 $167,854 $171,763 $175,769 $179,874

TOTAL FIXED & VARIABLE EXPENSE $209,657 $214,312 $219,083 $224,283 $229,612 $235,074 $240,672 $246,409 $252,289 $258,315

Replacement Reserves $14,400 $14,400 $14,400 $14,400 $14,400 $14,400 $14,400 $14,400 $14,400 $14,400

TOTAL OPERATING EXPENSES $224,057 $228,712 $233,483 $238,683 $244,012 $249,474 $255,072 $260,809 $266,689 $272,715

PROPERTY NET OPERATING INCOME $128,588 $124,166 $119,632 $122,402 $125,222 $128,094 $131,017 $133,994 $137,025 $140,110

1ST MTG DEBT SERVICE EXPENSESFirst Mortgage Interest $57,319 $56,351 $55,340 $54,284 $53,180 $52,026 $50,821 $49,562 $48,246 $46,871First Mortgage Principal $21,551 $22,519 $23,530 $24,586 $25,690 $26,843 $28,049 $29,308 $30,624 $31,999

TOTAL 1ST MTG DEBT SERVICE $78,870 $78,870 $78,870 $78,870 $78,870 $78,870 $78,870 $78,870 $78,870 $78,870

CASH FLOW AFTER DEBT SERVICE $49,718 $45,296 $40,762 $43,532 $46,352 $49,224 $52,147 $55,124 $58,155 $61,240

DEBT SERVICE COVERAGE RATIO 1.63 1.57 1.52 1.55 1.59 1.62 1.66 1.70 1.74 1.78INDICATED CAPITALIZATION RATE 7.35% 7.10% 6.84% 6.99% 7.16% 7.32% 7.49% 7.66% 7.83% 8.01%

Concessions


UNIT TYPE SET-ASIDE NUMBER OF UNITS

UNIT SIZE (RSF)

ASKING RENT

ASKING RENT PSF

PROFORMA RENT

PROFORMA RENT PSF

MAX TC RENT

CURRENT UA

MAX NET TC RENT

1 BD 1 BTH 30% HOME 1 670 $275 $0.41 $281 $0.42 $337 $56 $281 1 BD 1 BTH 40% HOME 1 670 $386 $0.58 $394 $0.59 $450 $56 $394 1 BD 1 BTH 40% 4 670 $386 $0.58 $394 $0.59 $450 $56 $394 1 BD 1 BTH 50% 2 670 $497 $0.74 $506 $0.76 $562 $56 $506 1 BD UNIT TOTAL 8 5,360 $3,199 $3,263 $3,711 $3,2631 BD UNIT AVG 670 $400 $0.60 $408 $0.61 $464 $408

2 BD 1 BTH 30% HOME 2 882 $321 $0.36 $328 $0.37 $405 $77 $328 2 BD 1 BTH 40% HOME 3 882 $454 $0.51 $463 $0.52 $540 $77 $463 2 BD 1 BTH 40% 7 882 $454 $0.51 $463 $0.52 $540 $77 $463 2 BD 1 BTH 50% 2 882 $586 $0.66 $598 $0.68 $675 $77 $598 2 BD 1 BTH 55% 1 882 $665 $0.75 $665 $0.75 $742 $77 $665 2 BD UNIT TOTAL 15 13,230 $7,019 $7,147 $8,302 $7,1472 BD UNIT AVG 882 $468 $0.53 $476 $0.54 $553 $476

3 BD 2 BTH 30% HOME 1 1,077 $369 $0.34 $377 $0.35 $467 $90 $377

3 BD 2 BTH 40% HOME 3 1,077 $523 $0.49 $533 $0.49 $623 $90 $533

3 BD 2 BTH 40% 2 1,077 $523 $0.49 $533 $0.49 $623 $90 $533

3 BD 2 BTH 50% 13 1,077 $676 $0.63 $688 $0.64 $778 $90 $688

3 BD 2 BTH 55% 2 1,077 $766 $0.71 $766 $0.71 $856 $90 $766

3 BD 2 BTH 60% 3 1,077 $829 $0.77 $844 $0.78 $934 $90 $844

3 BD 2 BTH MANAGER 1 1,077 $832 $0.77 $844 $0.78 $934 $90 $844

3 BD UNIT TOTAL 25 26,925 $16,623 $16,894 $19,144 $16,894

3 BD UNIT AVG 1,077 $723 $0.67 $676 $0.63 $798 $676

TOTAL 48 45,515 $26,841 $27,304 $31,157 $27,304AVERAGE 948 $559 $0.59 $569 $0.60 $663 $569* The unit mix above was based on the Rent Schedule provided, effective 5/1/17.

Unit Mix


Village at Kings Canyon is a Section 42 LIHTC property which means that federal tax credits were given to help finance the property. The property currently is required to hold the maximum rent charged at or below a level considered appropriate for the households that have incomes at or below 30%, 40%, 50%, 55%, and 60% of the local Area Median Income (AMI) for the county.

Fresno CountyEffective Year: 2017

Area Median Income: $50,000 Tax Credit Property Income Limits

INCOME 30% 40% 50% 55% 60%1 Person $12,600 $16,800 $21,000 $23,100 $25,2002 Person $14,400 $19,200 $24,000 $26,400 $28,8003 Person $16,200 $21,600 $27,000 $29,700 $32,4004 Person $17,970 $23,960 $29,950 $32,945 $35,9405 Person $19,410 $25,880 $32,350 $35,585 $38,8206 Person $20,850 $27,800 $34,750 $38,225 $41,7007 Person $22,290 $29,720 $37,150 $40,865 $44,580

Tax Credit Maximum Allowable RentsSet Aside Unit

Type # of

UnitsMax Rent UA Max Net

Rent30% HOME 1 BD 1 $337 $56 $28140% HOME 1 BD 1 $450 $56 $39440% 1 BD 4 $450 $56 $39450% 1 BD 2 $562 $56 $50630% HOME 2 BD 2 $405 $77 $32840% HOME 2 BD 3 $540 $77 $46340% 2 BD 7 $540 $77 $46350% 2 BD 2 $675 $77 $59855% 2 BD 1 $742 $77 $66530% HOME 3 BD 1 $467 $90 $37740% HOME 3 BD 3 $623 $90 $53340% 3 BD 2 $623 $90 $53350% 3 BD 13 $778 $90 $68855% 3 BD 2 $856 $90 $76660% 3 BD 3 $935 $90 $844

22 LIHTC ADVISORS VILLAGE AT KINGS CANYON | 48 UNITS SOURCE: novoco.com

*The high watermark year was 2012 at $55,500

$47,000

$48,000

$49,000

$50,000

$51,000

$52,000

$53,000

$54,000

$55,000

$56,000

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

AMI Growth RateYear AMI % Change

2007 $48,900 -2008 $49,900 2.04%2009 $53,100 6.41%2010 $52,200 (1.69%)2011 $54,700 4.79%2012 $55,500 1.46%2013 $54,600 (1.62%)2014 $48,700 (10.81%)2015 $47,600 (2.26%)2016 $49,500 3.99%2017 $50,000 1.01%

5 Yr Avg (1.94%)10 Yr Avg 0.33%

Max Allowable LIHTC Rent Growth- 2BD/ 60%

Year Rent % Change

2007 $696 -2008 $726 4.31%2009 $753 3.72%2010 $760 0.93%2011 $772 1.58%2012 $783 1.42%2013 $783 0.00%2014 $783 0.00%2015 $783 0.00%2016 $796 1.66%2017 $810 1.76%

5 Yr Avg 0.68%10 Yr Avg 1.54%

$690

$710

$730

$750

$770

$790

$810

$830

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

23 LIHTC ADVISORS VILLAGE AT KINGS CANYON | 48 UNITS SOURCE: novoco.com

$790

$810

$830

$850

$870

$890

$910

$930

$950

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

FMR AveragesYear FMR Avg. % Change

2007 $799 -2008 $886 10.89%2009 $927 4.59%2010 $924 (0.25%)2011 $941 1.80%2012 $912 (3.05%)2013 $936 2.56%2014 $881 (5.81%)2015 $909 3.18%2016 $923 1.47%2017 $951 3.11%

5 Yr Avg 0.90%10 Yr Avg 1.85%

Fair Market RentsYear 1 BD 2 BD 3 BD

2007 $615 $726 $1,0562008 $682 $805 $1,1712009 $713 $842 $1,2252010 $711 $840 $1,2222011 $724 $855 $1,2442012 $702 $829 $1,2062013 $695 $878 $1,2342014 $655 $827 $1,1622015 $676 $853 $1,1992016 $690 $862 $1,2162017 $709 $887 $1,258


Rent Comparables

VILLAGE AT KINGS CANYONOCCUPANCY

COMPARABLE AVERAGE OCCUPANCY

VILLAGE AT KINGS CANYONRENT/SF

COMPARABLE AVERAGE RENT/SF

100% 98% $0.59 $0.87


Rent Comparables Map

Village at Kings Canyon Apts.

Cedar Creek Apts.

Summer Park Apts.

Sunny Gate Apts.

Cypress Point Apts.

Willow Park Apts.

The Landing at Fancher Creek Apts.

Huntington Court Apts.

Silverlake Apts.

A

C

D G

B

F

E H

A

DB

C

E

H

G

F


Occupancy- 98% Average

Rent Per SF- $0.87 Average

80%

82%

84%

86%

88%

90%

92%

94%

96%

98%

100%

* A B C D E F G H

Occupancy & Rent per SF

$0.50

$0.55

$0.60

$0.65

$0.70

$0.75

$0.80

$0.85

$0.90

$0.95

$1.00

* A B C D E F G H

Village at Kings Canyon Apts.

Cedar Creek Apts.

Summer Park Apts.

Sunny Gate Apts.

Cypress Point Apts.

Willow Park Apts.

The Landing at Fancher Creek Apts.

Huntington Court Apts.

Silverlake Apts.

A

C

D G

B

F

E H


Rent Comparables


VILLAGE AT KINGS CANYON 48 UNITS OCCUPANCY: 100% YEAR BUILT: 2005

Unit Type # of Units Rent SF RentPer SF

1BD 1BTH- 30% HOME 1 $275 670 $0.411BD 1BTH- 40% HOME 1 $386 670 $0.581BD 1BTH- 40% 4 $386 670 $0.581BD 1BTH- 50% 2 $497 670 $0.742BD 1BTH- 30% HOME 2 $321 882 $0.362BD 1BTH- 40% HOME 3 $454 882 $0.512BD 1BTH- 40% 7 $454 882 $0.512BD 1BTH- 50% 2 $586 882 $0.662BD 1BTH- 55% 1 $665 882 $0.753BD 2BTH- 30% HOME 1 $369 1,077 $0.343BD 2BTH- 40% HOME 3 $523 1,077 $0.493BD 2BTH- 40% 2 $523 1,077 $0.493BD 2BTH- 50% 13 $676 1,077 $0.633BD 2BTH- 55% 2 $766 1,077 $0.713BD 2BTH- 60% 3 $829 1,077 $0.773BD 2BTH- MANAGER 1 $832 1,077 $0.77TOTALS/AVG. 48 $559 $948 $0.59

A

4893 East Lane AvenueFresno, CA 93727

Distance to Subject: 0.4 miles

CEDAR CREEK 106 UNITS OCCUPANCY: 100% YEAR BUILT: 1980REHABBED: 2000


1BD 1BTH 35 $675 696 $0.97 2BD 2BTH 71 $752 876 $0.86 TOTALS/AVG. 106 $727 $817 $0.89


Rent Comparables

B

C

1275 South Winery AvenueFresno, CA 93727


SUMMER PARK 248 UNITS OCCUPANCY: 100% YEAR BUILT: 1981REHABBED: 1998


1BD 1BTH 49 $588 694 $0.85 2BD 2BTH 175 $690 886 $0.78 3BD 2BTH 24 $781 1,078 $0.72 TOTALS/AVG. 248 $679 $867 $0.78


1BD 1BTH 48 $721 652 $1.11 2BD 2BTH 111 $860 900 $0.96 3BD 2BTH 3 $977 1,105 $0.88 TOTALS/AVG. 162 $821 $830 $0.99

5120 East Kings Canyon RoadFresno, CA 93727


SUNNY GATE 162 UNITS OCCUPANCY: 97% YEAR BUILT: 1985


Rent Comparables

D

1430 South Chestnut AvenueFresno, CA 93702


CYPRESS POINT 222 UNITS OCCUPANCY: 100% YEAR BUILT: 1980


2BD 2BTH 222 $776 980 $0.79 TOTALS/AVG. 222 $776 $980 $0.79

E

190 North Willow AvenueFresno, CA 93727


WILLOW PARK 93 UNITS OCCUPANCY: 100% YEAR BUILT: 1980


2BD 1.5BTH 68 $900 1,053 $0.85 3BD 2BTH 25 $1,150 1,216 $0.95 TOTALS/AVG. 93 $967 $1,097 $0.88


Rent Comparables

F

5122 East Olive AvenueFresno, CA 93727

Distance to Subject: 2 miles

THE LANDING 474 UNITS OCCUPANCY: 96% YEAR BUILT: 1986


1BD 1BTH 90 $719 620 $1.16 2BD 2BTH 344 $819 889 $0.92 3BD 2BTH 40 $1,129 1,058 $1.07 TOTALS/AVG. 474 $826 $852 $0.97

G

405 South Clovis AvenueFresno, CA 93727


HUNTINGTON COURT 60 UNITS OCCUPANCY: 197% YEAR BUILT: 1980


1BD 1BTH 24 $676 750 $0.90 2BD 1BTH 26 $755 1,000 $0.76 3BD 2BTH 10 $995 1,200 $0.83 TOTALS/AVG. 60 $763 $933 $0.82


Rent Comparables

H

5425 East Belmont AvenueFresno, CA 93727


SILVERLAKE 252 UNITS OCCUPANCY: 96% YEAR BUILT: 1985


2BD 2BTH 249 $810 967 $0.84 3BD 2BTH 3 $1,164 1,400 $0.83 TOTALS/AVG. 252 $814 $972 $0.84


Demographics

FRESNOMEDIAN HOME COST

FRESNOMEDIAN RENT

FRESNOUNEMPLOYMENT RATE

FRESNOJOB GROWTH

$175,600 $890 8.1%(5/2017)

1.4%(since 4/2017)

SOURCE: homefacts.com, areavibes.com


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Under $25,000 $25,000- $50,000 $50,000- $75,000 $75,000- $100,000 $100,000- $125,000 $125,000- $150,000 $150,000- $200,000 $200,000+

Demographic Analysis

POPULATION 1 MILE 3 MILES 5 MILES

2017 Estimated Population 24,072 142,608 279,489Population Growth 2010-2017 4.64% 5.55% 5.85%

HOUSEHOLDS

2017 Estimated Households 7,136 38,113 80,175Household Growth 2010-2017 3.15% 5.38% 5.86%

INCOME

2017 Household Income: Average $39,335 $47,590 $47,332 2017 Household Income: Median $24,417 $33,195 $33,762

HOUSEHOLD INCOME LEVELS BY POPULATION

OWNER44%

RENTER56%

OCCUPIED96% VACANT

4%

SOURCE: CoStar

www.lihtcadvisors.com

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