Mariposa Apartments

OfferingMemorandum

Mariposa Apartments

15500 West Sand St., 2nd Floor Victorville, CA 92392Coldwell Banker Commercial and the Coldwell Banker Commercial Logo are registered service marks licensed to Coldwell Banker Commercial Affiliates. Each Office isIndependently Owned and Operated. All information contained herein has been obtained from sources deemed reliable. However, no warranty or guarantee is made as to theaccuracy of the information.

Real Estate Solutions

www.CBCdesert.com

(760) 684-8000

Jason Lamoreaux CA LIC#[email protected]

Mehdi Mostaedi CA LIC#[email protected]

15500 West Sand St., 2nd Floor Victorville, CA 92392


www.CBCdesert.com

(760) 684-8000

Jason Lamoreaux CA LIC#[email protected]

Mehdi Mostaedi CA LIC#[email protected]

Contact Information :

FOR SALEFOR SALE

Mariposa ApartmentsMariposa Apartments 96 Units96 UnitsAdelantoAdelanto -- CaliforniaCalifornia

Offering MemorandumOffering Memorandumfor thefor the Mariposa ApartmentsMariposa Apartments..

A ninetyA ninety--six unit Apartment Complexsix unit Apartment Complexlocated in Adelanto, California.located in Adelanto, California.

Offering Price: $ 4,195,000Offering Price: $ 4,195,000


Mariposa Apartments

Executive SummaryExecutive Summary

Property DescriptionProperty Description

Property PhotosProperty Photos

MultiMulti--Family AnalysisFamily Analysis

DemographicsDemographics

Apartment Market ReviewApartment Market Review

ComparablesComparables

About CBCAbout CBC

FloorFloor PlansPlansPlat MapPlat Map

MapsMaps AerialsAerials

Exterior PhotosExterior Photos Interior PhotosInterior Photos

RentalsRentals SalesSales

About our companyAbout our company Agent BiosAgent Bios

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FinancialsFinancials SummarySummary Rent RollRent Roll

Unit BreakdownUnit Breakdown 12 Month12 Month -- FinancialsFinancials 44


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PropertyProperty DescriptionDescription:: Mariposa Apartment complex is located in west Adelantoamong other apartment complexes and single family housing.The property is comprised of 96 units conveniently located afew short blocks from Highway 395. The complex is equallydivided between 48 one bedroom, one bath units; and 48 twobedroom, one bath units, 12 buildings in total.

LocationLocation:: The subject property is located on the SWC of AuburnAvenue and Bellflower Street in Adelanto, California. Adelantois located in the Victor Valley of the High Desert,approximately 85 miles from downtown Los Angeles. Thecomplex is a one block west of Highway 395, allowing easyaccess to all parts of the Victor Valley. The MariposaApartment community is a short distance from SouthernCalifornia Logistics Airport, the regions center of developmentand job growth.

Longitude: -117.42001 Latitude: 34.59416

InvestmentInvestment SummarySummary:: This offering represents and opportunity to acquire aseasoned apartment complex with strong rental income andcash flow in one of the fastest growing communities in theSouthwest. The current ownership group has invested heavilyinto the property, improving the quality of the complex whileincreasing occupancy consistently since acquisition.Additional opportunity may be available with increasedoccupancy and rental rates.

MarketMarket AreaArea:: Inland Empire MSA / Victor Valley / San Bernardino County


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Property Name:Property Name: Mariposa Apartments

Address:Address: 11200 Auburn Ave Adelanto, CA 92301

Building Size:Building Size: 26,160 SF 48 1 bed / 1 bath units32,400 SF 48 2 bed / 1 bath units12 Buildings 8 units per Building

Rental Rates:Rental Rates: 1 bed/1 bath - $510 p/m2 bed/2 bath - $610 p/m

Total Rentable SF:Total Rentable SF: 58,560 SF

Lot Size:Lot Size: 3.94 Acres / 171,626 SF

Year Built:Year Built: 1986

Year Renovated:Year Renovated: 2006 - 2008

Property APN:Property APN: 0459-073-22,23

Zoning:Zoning: Multi Family (R3)

Construction:Construction: Wood/Stucco with Composition Roof

Foundation/Lot:Foundation/Lot: Concrete/Asphalt

Electric/Gas:Electric/Gas: Southern CA Edison / Southwest Gas

Staffing:Staffing: Onsite Manager & Assistant ManagerOnsite Maintenance Manager & Assistant Manager


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APN 0459APN 0459--073073--22,2322,23


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MariposaMariposaApartmentsApartments1120011200 1121011210

Auburn AveAuburn AveAdelanto, CAAdelanto, CA

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Rent RollRent Roll


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VictorVictor ValleyValley High DesertHigh Desert

The High Desert has experienced steady growth for the past decadewith an increase of 16,900 residents in 2008, a year most Californiacommunities experienced significant declines in population. Whilepopulation growth has slowed since the peak of 27,700 net residents in2006, the High Desert is still experiencing an annualized populationgrowth rate of 4%. As of January 1, 2009, the population for the VictorValley including unincorporated areas was 443,516. The US CensusBureau stated in 2008 the second fastest growing city in the nation wasVictorville, California.

Multi Family vacancy rates reached 9.4% in the first quarter of 2009,with a five year annualized rate of 3.9%. The increase in vacancy isprimary attributed to the low cost of single-family housing that hasbecome readily available. However, inventory of single-family houseshas decreased significantly in the second quarter of 2009 with only 1.8months of inventory, compared to 17 months of inventory for the samequarter in 2008. A five year forecast by REIS projects vacancy ratesfalling to 5.6%, a result of population growth, limited inventory and thelack of new construction. In addition, REIS has forecasted Asking RentGrowth for the Victor Valley of 3.7%, annualized for the next five years.Current average rents for a one bedroom and two bedroom apartmentsare $639 and $733, respectively. The High Desert offers tremendousopportunity in the multi-family sector.


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88Rent ComparablesRent Comparables


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88Sales ComparablesSales Comparables


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About CBC:

The largest domesticfootprint in Commercial

Real Estate.

Over 500 offices

Nearly 4,000professionals across the

globe

Cutting edge PropertySearching & Listing:

CBCWorldwide.com withnearly 15,000 listings,

nearly double theamount of our nearest

competitor

Industry leadingtechnologies

Over 17,000transactions completed

yearly, and increasesyear over year

A subsidiary of Realogy Corporation, the worlds leading real estate franchisor,Coldwell Banker Commercial (CBC) is a worldwide leader in the commercial realestate industry. The CBC brand has its roots in the oldest and most respectednational real estate brand in the country, which was founded after the SanFrancisco earthquake of 1906 by Colbert Coldwell, who was later joined byBenjamin Banker.

With a collaborative network of independently owned and operated affiliates, theColdwell Banker Commercial organization comprises over 250 companies and4,000 professionals throughout the U.S., as well as internationally. In fact, theCBC organization possesses the largest geographic footprint in todayscommercial real estate marketplace.

The success of the CBC organization lies in its striking versatility. Theorganization deftly combines a powerful national presence with the agility of aregional marker innovator. Each CBC affiliate office has the resources andinsight to understand its local market and the expertise to convert thisknowledge into tangible value for each client. Our professionals stand ready tohelp clients discover untapped commercial real estate market opportunities andto deliver a range of services designed to add value to their businesses. TheCBC organizations skillful professionals and nimble affiliate offices service awealth of business categories in markets of any size, with clients ranging fromestablished corporations to small businesses to individual investors.

Coldwell Banker Commercial US Locations


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Jason LamoreauxPresident

Originally moving to the High Desert in 1979, has been involved with real estate and business development forover twenty years. Over the years, he has developed strong ties to the community, which he continues to stayactive in.

After attending San Diego State University, Jason returned home to open a business in 1991, which wassuccessfully sold in 2000 after growing the company to two hundred and fifty employees, twelve locations withannual revenues in excess of thirty million dollars.

In 2001, Jason acquired a failing company in Central California. Applying his business acumen honed in overthe previous decade, Jason was successful in turning around the ailing company within months of hisacquisition. After increasing market penetration and expansion, and opening additional locations, hesuccessfully sold the company in 2004.

While in negotiations in late 2003 to sell his company, Jason incorporated a real estate development companyclose to home in Apple Valley, California. With the rapid expansion of the development company, and imminentrequirement for a brokerage firm and asset management company, Jason expanded the firm to include a fullsuite of real estate services in 2004.

By 2008, with the rapid growth of his real estate organization, Jason realized his firm would benefit greatly by anassociation with a national real estate firm. After extensive due diligence and inspection of the nations top realestate firms, Jason choose to affiliate with Coldwell Banker Commercial, the nations leading premierCommercial Real Estate organization, with over five hundred offices nationwide and over one hundred years ofexperience.

Today, Jason enjoys continued success in the Real Estate industry with Coldwell Banker Commercial, which hasassembled the top real estate professionals in the community. His continued involvement with family and thecommunity while providing the best services for his clients keeps him engaged.


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MEHDI MOSTAEDISenior Vice President

Mr. Mostaedi started his real estate investment/development career in 1975 as well as forming National LandCorporation, which blossomed into a $100 million plus business. He came to the High Desert in 1986 as a landdeveloper/investor and became a commercial land broker in 2003.

Mr. Mostaedi has over 30 years experience in land acquisition, entitlement, and development. His list ofprojects range from California to Florida, Oregon, Nevada, Texas and extend to Canada and even the Caribbeanin such diverse commercial and residential projects that include Hotel/Resorts, Conference Centers, ShoppingCenters, Office Buildings as well as Master Planned Residential Golf Course Communities.

Mr. Mostaedis insight into the market has lead to many of his most recent accomplishments, which includethe acquisition of land that is now the home of the Adelanto Mavericks Stadium, the 40-acre parcel of land thatis the Stater Brothers shopping center on the corner of Highway 395 and Palmdale Road as well as a 25-acrebusiness park in Adelanto, California. Mr. Mostaedi has recently completed the sale and acquisition of a 430-acre Industrial /commercial zoned parcel that runs along Interstate 15 which fronts Victorville and Apple Valley.He has also recently taken part in the acquisition and entitlement of affordable housing apartmentdevelopments in the local area. Mr. Mostaedi single-handedly accomplished the largest priced right-of-wayacquisition in Nevadas state history.

Mr. Mostaedi takes great pride in sharing his knowledge of land development and management with his clientsand assisting them from start to finish making their development into a reality. He provides a wide array ofbroker services to fit his clients needs.

Mr. Mostaedi graduated with a BS in Mechanical Engineering from West Coast University in 1975 and aMasters in Systems Engineering also from West Coast University.


Mariposa Apartments

All materials and information received or derived from Coldwell Banker Commercial / Real Estate Solutions(hereinafter collectively Coldwell Banker Commercial), its directors, officers, agents, advisors, affiliates and/or anythird party sources are provided without representation or warranty by Coldwell Banker Commercial, its directors,officers, agents, advisors, or affiliates as to completeness, veracity, or accuracy, condition of the property,compliance or lack of compliance with applicable governmental requirements, develop-ability or suitability, financialperformance of the property, projected financial performance of the property for any partys intended use or any andall other matters.

Neither Coldwell Banker Commercial, its directors, officers, agents, advisors, or affiliates makes any representationor warranty, express or implied, as to accuracy or completeness of the any materials or information provided,derived, or received.

Materials and information from any source, whether written or verbal, that may be furnished for review are not asubstitute for a partys active conduct of its own due diligence to determine these and other matters of significanceto such party. Coldwell Banker Commercial will not investigate or verify any such matters or conduct due diligencefor a party unless otherwise agreed in writing.

EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE.

Any party contemplating, under contract, and/or in escrow for a transaction is urged to verify all information and toconduct their own inspections and investigations including through appropriate third party independentprofessionals selected by such party.

All financial data should be verified by the party including, obtaining and reading applicable documents and reports,and consulting appropriate independent professionals. Coldwell Banker Commercial makes no warranties and/orrepresentations regarding the veracity, completeness, or relevance of any financial data or assumptions. ColdwellBanker Commercial does not serve as a financial advisor to any party regarding any proposed transaction. All dataand assumptions regarding financial performance, including that used for financial modeling purposes, may differfrom actual data or performance.

Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean thatrents can be established at or increased to that level. Parties must evaluate any applicable contractual andgovernmental limitations as well as market conditions, vacancy factors and other issues in order to determine rentsfrom or for the property.

Legal questions should be discussed by the party with an attorney. Tax questions should be discussed by the partywith a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officeror attorney. Questions regarding the condition of the property and whether the property complies with applicablegovernmental requirements should be discussed by the party with appropriate engineers, architects, contractors,other consultants and governmental agencies.

All properties and services are marketed by Coldwell Banker Commercial in compliance with all applicable fairhousing and equal opportunity laws.

Coldwell Banker Commercial / Real Estate Solutions is independently owned and operated by Lamor RES, Inc.


Mariposa Apartments

Jason LamoreauxJason LamoreauxPresident/Broker

CA LIC # [email protected]

Direct: (760) 792.8338Fax: (800) 599.9582

Mehdi MostaediMehdi MostaediSenior Vice President

CA LIC # [email protected]

Direct: (760) 684.8044Fax: (760) 860.6060

Coldwell Banker CommercialColdwell Banker CommercialReal Estate [email protected]

15500 West Sand St., 2nd FloorVictorville, CA 92392

Office: (760) 684.8000Fax: (760) 243.9700

Mariposa Apartments

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