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Western Rim Property Services

Welcome To

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Western Rim Property Services and its affiliates were initially founded twenty-seven years ago in 1988. Western Rim owns over 10,400 existing units with an additional 5,200 units in the pipeline at one stage or another. The communities are luxury residential rental developments utilizing primarily the State of Texas most recognized brand names for superior quality.

Western Rim Property Services, Newport Classic Homes and Marcus Hiles

• SatisFacts is the apartment industry’s authority on resident surveys, resident satisfaction, resident retention and reputation management. We are proud to announce that Western Rim was named as a National 2012 and 2013 Award Winner ranking #3 in the “Top 5” company score out of many hundreds of firms reviewed by Satisfacts!

• We buy the very best located suburban land anywhere and is in most cases superior to any other direct competitor.

• Our rental homes tend to be a complimentary use with single family developments as they all have 1-2 car garages and match the quality, size and scale of single family homes. Our demographics tend to mirror typical upper middle class single family neighborhoods.

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The success formula for our customers is simple:

1. Some of best locations.2. Some of best schools.3. Rents about ½ of “inner-city” or uptown prices yet similar or superior product.

4. Finest lifestyle amenities anywhere such as parks, lakes, streams and golf.

5.On average, lowest density and the greatest amount of green space, trees and central parks.

Many Echo Boomer’s may only ever rent and never own a home. The American dream is now not owning a home but renting an apartment. Successful young smart people now simply rent and don’t own. Seems unbelievable, doesn’t it? Yet, the number of renters will grow every year by 500,000 between now and 2023, yet the maximum apartment construction in the US net of demolitions is 300,000 per year.

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To ensure that we stay true to our missions and our residents, the steadfast principles that guides our decisions are:

• Provide the finest housing the choices in the best locations at lowest possible cost• Provide a great work environment and treat each other with

respect and dignity• Embrace diversity as a way of life• Apply the highest standards to construction, purchasing and

customer service• Have excited, happy totally satisfied customers• Contribute positively to our neighbors environment• Realize profitability is required for our current and future success

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Each community is designed to be “The Best Place in the City” and the place were residents where received the most value and quality of life for their money Western Rim in Newport Classic Homes takes great pride in being on the cutting edge of designed amenities. In fact, our luxury properties have a reputation for being unmatched in high-end and signature amenities Estates and upgraded Grand Estates communities provide elegant apartment living, luxury Mansions-brand rental townhomes gives our residents a resort-style experience everyday, and our stylish Towers properties bring chic, urban living to Texas in the form of modern loft- inspired apartments, Our unique properties come complete (in select floor plans) with real hardwood floors, attached garages, granite kitchen counter tops, stainless steel appliances, baths with jetted tubs and 80-ounce carpet.

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• It's common to find our communities nearby signature championship golf courses such as the TPC San Antonio which is a part of the JW Marriott Spa and Resort.

• If you want to play the top courses designed by Pete Dye, Greg Norman and Lee Trevino, then live with us. We also offer golf privileges at many of Mansions brand properties.

• Lakefront living and incredible views are also yours for the taking. We even have property fronting on a massive State Forest. Our communities have some of the largest on-site private community parks, jogging trails and shade trees, further enhancing our philosophy of providing dream communities. All again, better lifestyle and quality at about half the repriced of a inner City apartment.

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• Each of our apartment homes is designed in concert with nature to conserve energy with additional weather stripping, reflective TechShield® sheathing in the attic, dual-pane low-e windows, and top-of-the-line cellulose sound insulation with roof insulation that often exceeds R100 depth. We provide air conditioners with programmable thermostats that can permit a customer to use up to 30 percent less energy. Even concrete streets were poured to reduce the use of oil-based products and on site temperatures such as asphalt.

• Our standards are well above those of the industry to ensure comfort in extreme weather conditions. Respect for our environment and conservation of energy are two of our top priorities. The goal is to conserve our natural resources, and to achieve that goal, we have ensured continuous community efforts, including a well-trained staff and other recycling programs.

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Charitable donations of Public and private parks and wildlife preserves.

Western Rim properties and Marcus Hiles personally have donated to the general public over 59 acres of parkland with hundreds of 100 to 150 year old oak tress on the land along with artesian feed streams, parkland and lakes. All gifts have been anonymous but comprise the following:

• 44 acres in a north Texas City• Six acres in another north Texas city• Nine acres in yet a third north Texas city.

This represents well over several million dollars worth of land and additional out of pocket $2,000,00 worth of improvements for the several public to enjoy.

From a private perspective, we have created well over a hundreds additional acres of private parklands and permanent newly zoned open space in suburbs of Houston, Dallas, Austin and San Antonio for community residents and indigenous wildlife to enjoy.

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• Western Rim and Hiles not only donate fully improved park land anonymously in highly populated suburbs to the general public, they all plant trees at a greater rate than any government development requirement. Not only do trees beautify, they also reduce the temperature of the earth and eat pollutants by the ton on a daily basis while giving off tons of oxygen. You can read more about this below.

• In fact, Hiles’ goal is to increase the tree canopy on average from its pre-developed rate on average companywide. For example, Hiles planted 3,153 tree’s comprising 13,804 caliper inches just last year. Over a decade, it will approach over 25,000 trees and 100,000 caliper inches in suburban Texas.

• A typical average tree, according to published data, sequesters 48 pounds of carbon dioxide per year and a large tree generates enough oxygen for two 92) people to live on each year.

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Tree Facts-According to published American Forests

Carbon sequestration, air quality, and climate change• A tree can absorb as much as 48 pounds of carbon dioxide per year, and can sequester one ton of

carbon dioxide by the time it reaches 40 years old. • One large tree can provide a supply of oxygen for two people. Energy• According to the USDA Forest Service, “Trees properly placed around buildings can reduce air

conditioning needs by 30 percent and save 20-50 percent in energy used for heating.” • The net cooling effect of a young, healthy tree is equivalent to ten room-size air conditioners

operating 20 hours a day. Water• In one day, one large tree can lift up to 100 gallons of water out of the ground and discharge it into

the air. • For every five percent of tree cover added to a community, stormwater runoff is reduced by

approximately two percent. Recreation and Wildlife• Healthy trees provide wildlife habitat and contribute to the social and economic well-being of

landowners and community residents.

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EPA Urban Heat Island Effects

• Reduced energy use: Trees and vegetation that directly shade buildings decrease demand for air conditioning.

• Improved air quality and lower greenhouse gas emissions: By reducing energy demand, trees and vegetation decrease the production of associated air pollution and greenhouse gas emissions. They also remove air pollutants and store and sequester carbon dioxide.

• Enhanced storm water management and water quality: Vegetation reduces runoff and improves water quality by absorbing and filtering rainwater.

• Reduced pavement maintenance: Tree shade can slow deterioration of street pavement, decreasing the amount of maintenance needed.

• Improved quality of life: Trees and vegetation provide aesthetic value, habitat for many species, and can reduce noise

Based on published data, the annual planting of trees by Hiles and his companies may remove or seqester151,344 pounds of carbon dioxide per year or about 75 tons per year and create enough oxygen for over 6,200 people to live on. Over a ten year period the annual reduction of carbon dioxide may be 1,200,000 pounds per year or about 600 tons and create enough oxygen for 50,000 people per year.

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Here is a report on the actual planted trees in 2014:

Species Quantity Caliper Total CaliperCedar Elm 505 4 2020Chinese Pistache 320 4 1280Live Oak 576 4 2304Red Oak 527 4 2108Bald Cypress 377 4 1508Chinquapin Oak 217 4 868Austrian Black Pine 44 4 176Eastern Red Cedar 35 4 140Southern Magnolia 63 4 252Mexican Sycamore 62 4 248Water Oak 33 4 132Loblolly Pine 50 4 200Washington Palm 70 6 420Queen Palm 80 8 640Mexican Fan Palm 103 8 824Florida Sabal Palm 8 6 48King Palm 76 8 608Texas Palmetto 7 4 28

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To give you a brief glimpse Marcus D. Hiles background:

1. Hiles came from humble beginning as my Dad was inner city minister. It was a big day to have donuts or ice cream.

2. Let’s fast forward about 15 years. I worked a full time job much of the time I was in college and one year slept on the floor of a living room apartment with no mattress or sleeping bag. My diet was generic hot dogs and generic green beans. Life was simple, yet good. No silver spoon here.

3. Then at 28 years old, I started what would become Western Rim with little money and often barely able to meet payroll.

4. As time has gone on, Western Rim continued to grow and I invested almost all my earnings into the company and lived on next to nothing.

5. Western Rim properties promotes most people from within, we grow our own so to speak. Many firms hire new bloods and promote outsiders. We grow from the inside with many many great examples.

Hiles received his B.A. from Rice University in Houston, Texas. Hiles completed his Masters of Business Administration at Pepperdine University in Malibu, California. He strongly supports numerous schools, children hospitals, churches and charities; locally, nationally and internationally.

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Hiles charitable workOver the last few years, Hiles has focused his substantial charitable work to date mostly through anonymous charitable donations in several key areas:

1. Fully improved heavily treed public parks, lakes, streams and greenspace (total value estimated four million dollars).

2. Private parks, permanent zoned open space and wildlife protection (total value unknown, estimated in the many millions).

3. Construction of two large churches. Hiles paid 100% of the cost personally. A third is in a very initial stage (total cost approximately three million dollars).

4. K-12 education grants both public and private (total over one million dollars).5. Career Services and job placement at a national private University (total over one million

dollars ) .6. Annual funding over the last almost 20 years of disadvantaged women's programs (total

donations over $600,000).7. Inner city after school programs (total donations well over $250,000).8. A children hospital in north Texas ($30,000).9. 200 new Dell computers and monitors for inner city children ($100,000+).10. Music and symphony programs ($100,000 in actual and in kind donations)

Most gifts have not been declared as charitable donations and no tax deductions was taken even though this would have been permitted under IRS rules.

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The Rise of the Rentership in the United States

Baby Boomers/Parents

Echo Boomers/Children of Boomers

Biggest Concern Healthcare Student loans (i.e. debt which is 10% of income)

Earn/have enough money40%

14%

Religious people 55% 36%

A Liberal 18% 31%

Percent married by age 32 48% 26%

Percent of Income of Baby boomers their parents by age 32

100% (base group) Much lower

Propensity to rent Low High

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Long-term demographic trends and changing attitudes seems to have diminished the traditional American dream of homeownership. In Houston, just 41% of the population were renters in 1970, yet, the rate rose to 51% by 2000 then declined slightly during the housing boom before starting to rise again, hitting 54% in 2013.

In the short term, economists and developers said they expect to see the percentage of renters continue to rise in most cities.

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The average family size has dropped from 3.3-3.4 person per “household” in the late 1960’s to today’s average two or less persons per household today. Obviously, there are far more households today that need a lot less square footage given the smaller household size. Also, the average household has less total income as there can’t be two wage earners in a less than two person household. Households have far more “freedom” by choice, they consume far less space.

The idea that owning your own home is the ultimate American dream is being turned inside out by a new way of thinking. Since the housing bust in 2008, the renter population has swelled to 43 million households. Demand is expected to continue to grow by 4 to 4.7 million households by 2023. And surprise — that population includes successful professionals, families and retirees.

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Taxes have risen a solid 20% for some income earners nationally. In California, the effect is closer to 25% rise. We would expect a dramatic effect on discretionary spending as people start too internalize and quantify these tax hikes. As you have less disposable income as “Uncle Sam” takes more, you tend to prefer renting as its far more economically efficient than buying a house.

I think many may have noticed our tax bills rising and our discretionary income falling. This state of affairs will have unforeseen consequences for all of us if history is our guide.

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• If you are “lucky” enough to live in California, your tax rate potentially went up another 4% of your gross income due to a State income rate like last year. In Texas, you just “lost” or the Obama government has taken, almost another 15-20% of your after tax income and if you live in “lucky” California, another 20-25%. Simply put, marginal tax rates are up 20-25% since 2007 under President Bush. This will drive people to “consume” less square footage be they homebuyers or renters.

• Fifteen years ago or so, Texas accounted for 7.4 percent of total U.S. output, and today it accounts for 9.0 percent. California started this same period at 13.1 percent and ended the period at 12.9 percent of total U.S. output. At this rate, Texas may be larger in economic output then California in twenty years or by 2035.

• Of the five largest states-California, Texas, New York, Illinois, and Florida, California, according to the Department of Education, has the lowest educational test scores whereas Texas has the highest.

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With a 16 trillion dollar national debt and another 75 trillion dollars of unfunded future promised “entitlements”; A trillion dollars is a stack of one dollar bills stacked sideways from here to the moon and back, that’s 186,000 miles times two, sold trillion dollar bills is from here to the moon and back 16 times. • The nine states with no personal income taxes gained $146.2

billion in working wealth.• The nine states with the highest personal income tax rates lost $107.4 billion.• The 10 states with the lowest per capita state-local tax

burdens gained $69.9 billion.• The 10 states with the highest per capita state-local tax

burdens lost $139 billion.• Will this debt “squeeze out” some of the homebuyer

someday? It’s anyone’s guess.

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Contact Western Rim Property @

3130 Stag Rd, Dallas, TX 75241 Phone:(214) 290-9000

/western-rim-property-services /western.rim.property.services

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