OFFERING MEMORANDUM MARMALADE APARTMENTS , UT NON-ENDORSEMENT & DISCLAIMER NOTICE

CONFIDENTIALITY & DISCLAIMER The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant's plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

NON-ENDORSEMENT NOTICE Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation's logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

OFFICES THROUGHOUT THE U.S. AND CANADA www.marcusmillichap.com MARMALADE APARTMENTS

EXCLUSIVELY LISTED BY

KRIS MORTENSEN Associate National Multi Housing Group Salt Lake City Office Tel: (801) 736-2634 // Fax: (801) 736-2610 [email protected] License: UT 9789720-SA00

OFFICES THROUGHOUT THE U.S. AND CANADA www.marcusmillichap.com TABLE OF CONTENTS 01 OFFERING SUMMARY 02 FINANCIAL ANALYSIS 03 MARKET COMPARABLES 04 MARKET OVERVIEW

OFFICES THROUGHOUT THE U.S. AND CANADA www.marcusmillichap.com 01 OFFERING SUMMARY

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Marmalade / Investment Overview

405-407 North Center Street, Salt Lake City, UT 84103

Marcus & Millichap have been selected to exclusively market for sale the Marmalade Apartments. The Marmalade Apartments offer 8 multi family units located at 405-407 North Center Street, Salt Lake City, UT 84103. The units include seven 1 Bedroom/1 Bathroom units and a single Studio unit. The tenants have access to a laundry room on the premises. The property has been very well maintained. Recently the water heaters, roof and gutters have been replaced in addition to upgrades and maintenance as tenants have turned over.

The Marmalade Apartments is located in a very desirable rental neighborhood close to and the University of (3 miles away). UTA Trax lines are just a few blocks away and multiple UTA bus stops surround the property, making transportation across the valley easy for tenants. The apartment caters to a large tenant pool, ranging from students to small families. Because of the great location the vacancy history is very low and available units fill up fast.

The economic condition in Utah remains strong, trending upward, as unemployment remains at an all-time low of 3.2% compared to the National low of 4.5%, and companies continue to move or expand into Utah including Amazon, Facebook, and Goldman Sachs.

Marmalade is located less than 3 blocks from a TRAX light rail station, which provides direct routes to downtown Salt Lake City and the .

6 EXECUTIVE SUMMARY •

Property Details

MARMALADE / 405 N Center Street, Salt Lake City UT 84103 Price Price to Be Determined By Market

Number of8 Units UNITS 188 out of 200 Condominium Units Price $1,050,000 HIGHLIGHTS Parcel Number 08-36-277-020

Total Sq Footage 4,780 SF OPPORTUNITY 8-unit property in rapidly growing Salt Lake City area Year Built 1926

Lot Size 0.13 Acres

TRANSPORTATION Less than 3 blocks from 2 TRAX light rail stations

LOCATION Close proximity to downtown Salt Lake City and University of Utah

7 EXECUTIVE SUMMARY MARMALADE

8 EXECUTIVE SUMMARY 67

89 66

Centerville 65 67

Bountiful Farmington Bay Waterfowl WoodsMARMALADE Cross Management APARTMENTS Area Grandview Lewis Peak North Peak Salt Lake 65

215 WESTPOINTE 15 89 Salt Lake City International CAPITOL HILL Emigration 80 80 Airport Oaks 80 Salt Lake City Silver Summit 80 179 154 80 Summit Park 202 186 89 71 Kimball 201 South Junction 201 Salt Lake Magna 215 224 Woodridge Snyderville 189 68 171 Terrace 171 West 171 Valley City Mill Creek 172 154 266 Gobblers Taylorsville Murray 215 Knob 248 Kearns 89 9 EXECUTIVE 173SUMMARY 173 152 111 85 71 190 68 Oquirrh 224 02 FINANCIAL ANALYSIS

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Unit Mix Analysis / MARMALADE APARTMENTS

SCHEDULED POTENTIAL NO. OF AVG. RENTAL AVERAGE AVERAGE MONTHLY AVERAGE AVERAGE MONTHLY UNIT TYPE UNITS SF RANGE RENT RENT/SF INCOME RENT RENT/SF INCOME 1 Bed / 1 Bath 7 629 $815 - $920 $869 $1.38 $6,080 $1,000 $1.59 $7,000

Studio 1 380 $800 - $800 $800 $2.11 $800 $850 $2.24 $850

Totals/Weighted Averages 8 598 $860 $1.44 $6,880 $981 $1.64 $7,850

Gross Annualized Rents $81,660 $94,200

13%

UNIT DISTRIBUTION

STUDIO 13% 87% 1 BDR + 1 BATH 87%

11 FINANCIAL ANALYSIS Operating Statement / MARMALADE APARTMENTS

Income Current Year 1 Notes Per Unit Per SF

Gross Scheduled Rent 82,560 96,084 12,011 20.10

Physical Vacancy 0 0.0% (4,804) 5.0% (601) (1.01)

Total Vacancy $0 0.0% ($4,804) 5.0% ($601) ($1)

Effective Gross Income $82,560 $91,280 $11,410 $19.10

Expenses Current Year 1 Notes [3] Per Unit Per SF

Real Estate Taxes 4,837 4,982 [3] 623 1.04

Insurance 2,321 2,391 299 0.50

Utilities 5,529 5,695 712 1.19

Repairs & Maintenance 2,036 2,097 [4] 262 0.44

Operating Reserves 2,000 2,000 [4] [5] 250 0.42

Management Fee 6,605 8.0% 7,302 8.0% [5] 913 1.53

Total Expenses $23,328 $24,467 $3,058 $5.12

Expenses as % of EGI 28.3% 26.8%

Net Operating Income $59,232 $66,813 $8,352 $13.98

12 FINANCIAL ANALYSIS Operating Statement Notes / MARMALADE APARTMENTS

[1] Year 1 Income based on being able to raise rents to market prices of at lease $1000

[2] 5% Vacancy added to Current and Year 1

[3] Year 1 Expenses were increased by 3%

[4] Operating Reserve of $250 per Unit added to Current & Year 1

[5] 8% Management fee adeed to Current & Year 1

13 FINANCIAL ANALYSIS Financial Summary / MARMALADE APARTMENTS

Summary Operating Data Price $1,050,000 Income Current Year 1 Gross Scheduled Rent $82,560 $96,084 Down Payment $262,500 25% Less: Vacancy/Deductions $0 5.0% $4,804 Number of Units 8 Total Effective Rental Income $82,560 $91,280 Price Per Unit $131,250 Less: Expenses 28.3% $23,328 26.8% $24,467 Price Per SqFt $219.67 Net Operating Income $59,232 $66,813 Rentable SqFt 4,780 Lot Size 0.13 Acres Approx. Year Built 1926

Operating Data Expenses Current Year 1 Real Estate Taxes $4,837 $4,982 Returns Current Year 1 Insurance $2,321 $2,391 CAP Rate 5.64% 6.36% Utilities $5,529 $5,695 GRM 12.72 10.93 Repairs & Maintenance $2,036 $2,097 Cash-on-Cash 3.79% 6.67% Operating Reserves $2,000 $2,000 Debt Coverage Ratio 1.20 1.36 Management Fee $6,605 $7,302 Total Expenses $23,328 $24,467 Expenses/Unit $2,916 $3,058 Expenses/SF $4.88 $5.12

# of Units Unit Type SqFt/Unit Scheduled Rents Market Rents 7 1 Bed / 1 Bath $869 $1,000 $1,000 1 Studio $800 $850 $850

14 FINANCIAL ANALYSIS 03 MARKET COMPARABLES

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Rent Comparables

PROPERTIES #UNITS AVG. RENT

S Marmalade // 405-407 N Center Street, Salt Lake City UT 8 $851

1 Arches North // 264-268 N 200 W, Salt Lake City, UT 21 $852

2 The Arches // 171 W 300 N, Salt Lake City, UT 12 $975

3 Arches South // 156 W 200 N, Salt Lake City, UT 17 $1,125

4 651 N 200 W // 651 N 200 W, Salt Lake City, UT 4 $945

5 26 W Girard Street // 26 W Girard Street, Salt Lake City, UT 5 $798

6 Marmalade Hill // 405-443 N 200 W, Salt Lake City, UT 72 $967

7 Park Capitol // 215 N Main Street, Salt Lake City, UT 135 $1,277

16 MARKET COMPARABLES Marmalade Apartments S Total Total Year 405-407 N Center Street, Salt Lake City, UT 8 Units 100% Occupancy Built 1926

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR/ 1 BATH 7 629 $864 $1.37

STUDIO 1 380 $760 $2.00

TOTAL/WTD. AVG. 8 598 $851 $1.42

Arches North 1 Total Total Year 264-268 N 200 W, Salt Lake City, UT 21 Units 100% Occupancy Built 1952

UNIT TYPE #UNITS SF RENT RENT/SF

STUDIO/ 1 BATH 10 400 $750 $1.88

1 BDR / 1 BATH 11 450 $945 $2.10

TOTAL/WTD. AVG. 21 426 $852 $2.00

17 MARKET COMPARABLES The Arches 2 Total Total Year 171 W 300 N, Salt Lake City, UT 12 Units 100% Occupancy Built 1952

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR/ 1 BATH 11 480 $982 $2.05

STUDIO 1 480 $900 $1.88

TOTAL/WTD. AVG. 12 480 $975 $2.03

Arches South Total Total Year 3 156 W 200 N, Salt Lake City, UT 17 Units 88% Occupancy Built 1952

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR/ 1 BATH 17 650 $1,125 $1.73

TOTAL/WTD. AVG. 17 650 $1,125 $1.73

18 MARKET COMPARABLES 651 N 200 W 4 Total Total Year 651 N 200 W, Salt Lake City, UT 4 Units 100% Occupancy Built 1948

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR/ 1 BATH 4 750 $945 $1.26

TOTAL/WTD. AVG. 4 750 $945 $1.26

5 26 Girard Street Total Occupancy Year 26 Girard Street, Salt Lake City, UT 5 Units 100% (In Lease Up) Built 1962

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR 1 BATH 3 812 $780 $0.96

2 BDR 1 BATH 2 850 $825 $0.97

TOTAL/WTD. AVG. 5 827 $798 $0.96

19 MARKET COMPARABLES Marmalade Hill 6 Total Total Year 405-443 N 200 W, Salt Lake City, UT 72 Units 94% Occupancy Built 1975

UNIT TYPE #UNITS SF RENT RENT/SF

1 BDR 1 BATH 40 845 $900 $1.07

2 BDR 1 BATH 32 958 $1,050 $1.10

TOTAL/WTD. AVG. 72 895 $967 $1.08

Park Capitol 7 Total Total Year 215 N Main Street, Salt Lake City, UT 135 Units 96% Occupancy Built 1972

UNIT TYPE #UNITS SF RENT RENT/SF

STUDIO 1 BATH 12 387 $920 $2.38

1 BDR 1 BATH 84 707 $1225 $1.73

2 BDR 1 BATH 39 997 $1,500 $1.50

TOTAL/WTD. AVG. 135 762 $1,277 $1.68

20 MARKET COMPARABLES 21 MARKET COMPARABLES 22 MARKET COMPARABLES Sales Comparables

PROPERTIES SALES PRICE #UNITS YEAR BUILT

Marmalade // 405-407 N Center Street, Salt Lake City, UT $1,050,000 8 1926

1 270 N 200 W, Salt Lake City, UT $2,400,000 21 1973

2 570 N 200 W, Salt Lake City, UT $1,215,375 9 1984

3 402 N Center Street, Salt Lake City, UT $1,450,000 7 191

4 The Park Spring // 778 N 300 W, Salt Lake City, UT $1,800,000 23 1964

5 235 W 400 N, Salt Lake City, UT $1,200,000 5 1906

23 MARKET COMPARABLES 1 270 N 200 W Total Year 270 N 200 W, Salt Lake City, UT 21 Units Built 1973

SALES PRICE 2,400,000 UNIT TYPE #UNITS

CLOSE OF ESCROW 4/27/2017 2 BDR/ 1 BATH 21

PRICE/UNIT $114,286 TOTAL/UNITS 21

PRICE/SF $367.31

CAP RATE 5.25%

YEAR BUILT 1973

570 N 200 W Year 2 Total 570 N 200 W, Salt Lake City, UT 9 Units Built 1964

SALES PRICE $1,215,375 UNIT TYPE #UNITS

CLOSE OF ESCROW 1/30/2018 2 BDR/ 1 BATH 9

PRICE/UNIT $135,042 TOTAL/UNITS 9

PRICE/SF $187.56

CAP RATE 5.60%

YEAR BUILT 1964

24 MARKET COMPARABLES 402 N Center Street 3 Total Year 402 N Center Street, Salt Lake City, UT 7 Units Built 1914

SALES PRICE $1,450,000 UNIT TYPE #UNITS

CLOSE OF ESCROW 10/23/2017 1 BDR 1 BATH 6

PRICE/UNIT $207,143 2 BDR 1 BATH 1

PRICE/SF $284.54 TOTAL/UNITS 7

CAP RATE 5.00%

YEAR BUILT 1914

The Park Spring Year 4 Total 778 N 300 W, Salt Lake City, UT 23 Units Built 1964

SALES PRICE $1,800,000 UNIT TYPE #UNITS

CLOSE OF ESCROW 1/31/2017 1 BDR/ 1 BATH 20

PRICE/UNIT $78,261 2 BDR/ 1 BATH 3

PRICE/SF $72.50 TOTAL/UNITS 23

CAP RATE 5.99%

YEAR BUILT 1964

25 MARKET COMPARABLES 5 235 W 400 N Total Year 235 W 400 N, Salt Lake City, UT 5 Units Built 1906

SALES PRICE $1,200,000 UNIT TYPE #UNITS

CLOSE OF ESCROW 4/16/2018 1 BDR 1 BATH 2

PRICE/UNIT $240,000 2 BDR 2 BATH 3

PRICE/SF $352.63 TOTAL/UNITS 5

CAP RATE 5.25%

YEAR BUILT 1906

26 MARKET COMPARABLES 04 MARKET OVERVIEW

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Salt Lake City Location Overview

Salt Lake City, the capital of and largest municipality in the state of Utah, is located in the northern portion of Salt Lake County. The city is nestled between the rugged peaks of the Wasatch Mountains and the Great Salt Lake, creating a pristine natural environment where the mountains, foothills, and valley lowland environments merge. Nicknamed the “Crossroads of the West,” Salt Lake City has an estimated population of 198,803 and is the social, economic, and cultural center of the Salt Lake City metropolitan area, one of the fastest growing metropolitan areas in the country. In 2017, Salt Lake City was ranked No. 10 in the nation for the “Best Places to Live,” according to US News.

Major Economic Drivers Salt Lake City has a diversified employment base with concentrations in health care and social assistance, manufacturing, public administration, and professional, scientific, and technical services. The University of Utah is the largest employer in the city, employing more than 20,000 people. Additionally, the large manufacturing sector in the city is highlighted by a Boeing facility located near the Salt Lake City International Airport. The airport houses a Delta Airlines hub, the largest private employer in the city. Other economic drivers in the city include the headquarters of The Church of Jesus Christ of Latter-day Saints and Goldman Sachs.

Recently, the growth in the professional, scientific, and technical services industry has had a significant impact on the economy of Salt Lake City. The clustering of tech-related corporations such as eBay, Adobe, Overstock. com, Workday, Inc. and more than 4,000 startups along an 80-mile swath from Provo to Ogden has affectionately become known as “Silicon Slopes”. The city’s location within this growing technology hub garnered national recognition in 2017 as the city was ranked No. 1 for “Cities Poised to Become Tomorrow’s Tech Meccas” and No. 11 for “Tech and STEM-related Job Growth,” according to Forbes.com.

Thriving Downtown with Entertainment, Shopping, and Dining Destinations In part due to the rising tech scene, downtown Salt Lake City has undergone a renaissance over the last decade to become a vibrant local and regional destination that provides quality urban living, accessibility to major employment destinations, and attractive outlets for entertainment, shopping, and dining. Buoyed by its strategic location near the Salt Lake City International Airport and the University of Utah, Downtown’s revitalization continues with a series of housing, retail, office, hospitality, and cultural developments currently in the pipeline.

Countless major attractions can be found in the downtown area. The Vivint Smart Home Arena underwent renovations in 2017 and is the major entertainment attraction in the area as home to the . The Salt Palace Convention Center hosts large conventions throughout the year, which fill hotels and support local businesses. The area also boasts a variety of performing arts facilities, galleries, and open space amenities.

28 MARKET OVERVIEW Downtown Salt Lake City includes an estimated 2.6 million square feet of retail, highlighted by The Gateway and the City Creek Center which serve as premier attractions for shopping and dining in the region. The Gateway is a large open-air retail, residential, and office complex that contains over 100 stores and restaurants. Shopping and dining options at The Gateway MAJOR EMPLOYERS include Abercrombie & Fitch, Bath & Body Works, Victoria’s Secret, California Pizza Kitchen, and Fleming’s Prime Steakhouse. The Gateway also offers entertainment attractions such as University of Utah The Depot, Megaplex Theatres, and Clark Planetarium & IMAX Theatre. City Creek Center is a mixed-use development that includes an open-air shopping center, office, and residential units. State of Utah The center is anchored by Nordstrom and Macy’s, and includes other shops and restaurants such as Apple, Michael Kors, The Cheesecake Factory, and Texas de Brazil Churrascaria. Salt Lake County Well-Connected Transportation Network Transportation in the downtown is highly accessible and provides direct connections to major Delta Airlines economic centers. Interstates 15 and 80 are two major highways in the region that border the western edge of the downtown. Salt Lake International Airport is only about 6 miles from the United States Post Office downtown and ranks as the 25th busiest passenger airport in North America. Goldman Sachs Downtown is a commuter’s haven, with a transit score of 71. The FrontRunner commuter train provides public transportation from Ogden to Provo, while the TRAX light rail lines provides access throughout the downtown, the University of Utah, the Salt Lake International Airport, Zions Bank and various other locations in the Salt Lake Valley. The Trolley Station along the TRAX Red Line is just a six-minute ride from downtown’s Courthouse Station, and a seven-minute ride from L-3 Communications the University South Campus station at the University of Utah. The Salt Lake City Intermodal Hub, also located in the downtown, is a multi-modal transportation station served by TRAX, Department of Veteran Affairs FrontRunner, Amtrak, Greyhound Lines, U Car Share, and local bus services. Salt Lake City Corporation

29 MARKET OVERVIEW •

Location Highlights

GROWING METROPOLITAN AREA Top 30 fastest growing metropolitan areas in the country between 2010 and 2016

DIVERSIFIED EMPLOYMENT BASE Prominent employers include Delta Airlines, the University of Utah, Goldman Sachs

NESTLED WITHIN A BURGEONING TECH HUB More than 4,000 tech startups within Silicon Slopes

THRIVING DOWNTOWN ATTRACTIONS Vivint Smart Home Arena, Salt Palace Convention Center, The Gateway, and City Creek Center

LOCATION Well-connected transportation network–TRAX provides convenient access to downtown and University of Utah

CONSTRUCTION PIPELINE INCLUDES •More than 2,900 housing units •More than 100,000 square feet of retail and restaurants •More than 772,000 square feet of office •More than 1,600 hotel rooms

30 MARKET OVERVIEW Multifamily Research 2018 INVESTMENT FORECAST 2018 Market Forecast Tech Remains the Driver Behind Strong Economy, Fueling Interest from West Coast Buyers Employment Changes to healthcare law uncertain, but strong demographic trends persist. Led Up 2.2% by professional and technical services, Salt Lake City will register a strong year of employment growth in 2018. The Silicon Slopes, an area densely populated by tech The Salt Lake City workforce will expand as 27,300 new hires are added to payrolls, companies, will remain a hiring hub, attracting a multitude of new residents. Of the outpacing than the national rate of 1.2 percent. This will keep the unemployment rate near the 3 percent mark. new inhabitants, a sizable portion will be millennials, a cohort growing at an accelerated

pace, supporting amplified development. The downtown area will experience the most Construction construction activity this year with approximately 2,300 completions, almost half 5,300 Units of the total rentals the metro will receive. Following the recent influx of new units, Completions will drop this year as more than 5,000 rentals are slated to deliver in development should slow down as just 650 rentals are currently forecast for completion 2018 following 6,400 completions one year earlier. in 2019, though the total will likely rise. Although tight vacancy has persisted in recent years, the average rate will post a slight upswing in the next four quarters as absorption Vacancy attempts to keep pace with new supply. Up 60 bps

Favorable yields lure investors to Northern Utah. Attracted by strong market dynamics Deliveries will outpace absorption this year, generating a vacancy rate rise to 4.6 and the potential of significant rent growth in upcoming years, West Coast investors percent and contributing to the 140-basis-point increase over the past two years. have found Salt Lake City to be an attractive option for potentially high revenue growth. Buyers from Los Angeles and the Bay Area will continue to invest in properties on Rent the Wasatch Front in 2018 as an alternative to the low yields in their local markets. In Up 4.9% recent years, both in-state and out-of-state buyers have been attracted to the suburbs of The average effective rent will post a marginal boost this year to $1,105 per month, Midvale and Sandy. Here, residential and retail developments are underway, and they down from the 6.5 percent hike last year. will serve as promising focal points for future apartment construction. In these areas,

first-year returns average in the high-5 to low-6 percent realm, while the metro will post Rent cap rates in the mid-5 percent span this year. Up 4.9%

The average effective rent will post a marginal boost this year to $1,105 per month, down from the 6.5 percent hike last year.

31 MARKET OVERVIEW Salt Lake City Apartment Trends

32 MARKET OVERVIEW Demographics // SALT LAKE CITY

201,107 51.7% Total Population Within 5-Mile Radius GENDER

48.3%

$49,703 $283,319 Average Household Income Within Total Median Housing Value 5-Mile Radius

84,228 2.57 Total Households in 5-Mile Radius Average (Mean) Household Size

33 MARKET OVERVIEW POPULATION 1 Mile 3 Miles 5 Miles HOUSEHOLDS BY INCOME 1 Mile 3 Miles 5 Miles 2022 Projection 2017 Estimate Total Population 31,796 133,809 244,353 $200,000 or More 4.10% 5.60% 5.31% 2017 Estimate $150,000 - $199,000 3.03% 3.70% 3.92% Total Population 31,512 132,337 241,514 $100,000 - $149,000 7.03% 10.67% 11.21% 2010 Census $75,000 - $99,999 8.05% 9.92% 11.05% Total Population 28,589 123,358 226,091 $50,000 - $74,999 13.79% 16.20% 17.51% 2000 Census $35,000 - $49,999 14.77% 13.90% 14.31% Total Population 29,050 120,617 218,683 $25,000 - $34,999 13.71% 11.38% 11.02% Daytime Population $15,000 - $24,999 14.58% 12.10% 11.34% 2017 Estimate 75,265 289,105 426,122 Under $15,000 20.96% 16.53% 14.31% HOUSEHOLDS 1 Mile 3 Miles 5 Miles Average Household Income $60,951 $74,216 $75,442 2022 Projection Median Household Income $35,666 $45,553 $48,808 Total Households 17,836 59,627 98,719 Per Capita Income $34,116 $33,020 $30,342 2017 Estimate POPULATION PROFILE 1 Mile 3 Miles 5 Miles Total Households 17,456 58,043 96,163 Population By Age Average (Mean) Household Size 1.76 2.19 2.42 2017 Estimate Total Population 31,512 132,337 241,514 2010 Census Under 20 12.84% 21.93% 24.83% Total Households 15,589 53,226 88,840 20 to 34 Years 44.25% 33.07% 29.94% 2000 Census 35 to 39 Years 8.87% 8.15% 8.16% Total Households 14,910 50,255 84,840 40 to 49 Years 10.50% 11.87% 11.96% Growth 2015-2020 2.18% 2.73% 2.66% 50 to 64 Years 13.20% 15.00% 14.94% HOUSING UNITS 1 Mile 3 Miles 5 Miles Age 65+ 10.33% 9.97% 10.17% Occupied Units Median Age 32.23 32.51 32.52 2022 Projection 17,836 59,627 98,719 Population 25+ by Education Level 2017 Estimate 18,397 60,569 99,631 2017 Estimate Population Age 25+ 23,586 90,218 160,261 Owner Occupied 4,042 23,335 45,407 Elementary (0-8) 1.82% 3.33% 4.03% Renter Occupied 13,414 34,708 50,756 Some High School (9-11) 5.47% 6.92% 8.69% Vacant 941 2,526 3,468 High School Graduate (12) 13.82% 15.92% 19.13% Persons In Units Some College (13-15) 23.02% 21.03% 21.24% 2017 Estimate Total Occupied Units 17,456 58,043 96,163 Associate Degree Only 7.86% 7.00% 6.83% 1 Person Units 52.51% 40.39% 35.43% Bachelors Degree Only 27.90% 25.24% 22.52% 2 Person Units 30.97% 31.03% 30.10% Graduate Degree 19.36% 19.37% 16.16% 3 Person Units 9.21% 12.38% 13.51% Population by Gender 4 Person Units 4.61% 8.81% 10.28% 2017 Estimate Total Population 31,512 132,337 241,514 5 Person Units 1.67% 3.82% 5.28% Male Population 53.48% 51.94% 51.54% 6+ Person Units 1.04% 3.56% 5.40% Female Population 46.52% 48.06% 48.46% MARMALADE APARTMENTS

EXCLUSIVELY LISTED BY

KRIS MORTENSEN Associate National Multi Housing Group Salt Lake City Office Tel: (801) 736-2634 // Fax: (801) 736-2610 [email protected] License: UT 9789720-SA00

OFFICES THROUGHOUT THE U.S. AND CANADA www.marcusmillichap.com