THE LIFEAT

SNAPFINGER WOODS 149 UNITS | DECATUR, GA Primed Value-Add Asset on Atlanta’s Vibrant Eastside TABLE OF CONTENTS

INVESTMENT SUMMARY / PG. 1

PROPERTY DESCRIPTION / PG. 15

LOCATION OVERVIEW / PG. 21

APARTMENT MARKET / PG. 29

FINANCIAL ANALYSIS / PG. 39 THE LIFE AT SNAPFINGER WOODS

INVESTMENT SUMMARY

1 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

OFFERING HIGHLIGHTS ATLANTA’S GROWTH CONTINUES Atlanta is winning key Fortune 500 firms, attracting Olive Tree is pleased to present the opportunity to acquire The fast-growing technology, and focusing on cutting- Life at Snapfinger Woods, a 149 unit apartment community edge development. The Life at Snapfinger Woods located in Decatur, DeKalb County, Georgia. This asset is situated 1 offers excellent connectivity to major Atlanta job in the rapidly expanding I-20 East Atlanta industrial corridor and hubs. offers convenient access to the metro’s largest employment hubs. Built in 1971, The Life at Snapfinger Woods offers expansive (1,510 HARTSFIELD- JACKSON AIRPORT average SF) floor plans in a high-growth submarket with minimal Hartsfield-Jackson is the largest job producer in the new supply growth which should support strong future investment state, generating 63,300+ high-paying positions on- site and 450,000+ metrowide, and delivering a $64.2B returns. 2 annual economic impact.

NEW DEVELOPMENT DRIVESGROWTH THE LIFE AT SNAPFINGER WOODS Atlanta Sports Connection is set to break ground on a $200M sporting complex in 2018, which is expected A ddress 2717 Shell Bark Road to create 1,900+ jobs. The subject is also proximate to Decatur, GA 30035 3 the 5M SF Snapfinger Industrial Park. C ounty DeKalb County Number of Units 149Units SIGNIFICANT CAPITAL IMPROVEMENTS Year Built 1971 With the largest floor plans in its submarket, The Rentable Area 224,993 SF Life at Snapfinger Woods has seen significant capital Avg. Unit Size 1,510 SF improvements, setting the stage for improved 4 property performance. Site Size 25.60 Acres Avg. Market Rent* $1,023 MARKET- PROVEN VALUE ADD Avg. Market Rent/SF* $0.68 The subject trails direct competitors in average Occupancy* 94.0% effective rent per square foot by $0.16/ft. A new owner *As of 09/27/18 5 can spend $6K/unit to yield a minimum $189 average premium with38% ROI.

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1. ATLANTA’S GROWTHCONTINUES

Top state Moving Next big tech Openings business destination hubs still for STEM # climate # in the nation # affordable # graduates 1 - Site Selection2017 1 - Penske, 2017 2 - Realtor.com, 2017 1 - WalletHub,2017

RECENT METRO ATLANTA RANKINGS #1 #1 #1 Metro for 1 of 10 best cities in the for distribution remote workers nation for open jobs job postings - Forbes, 2017 - Glassdoor, 2017 - Site Selection Group, 2017

ECONOMIC CAPITAL OF THE SOUTHEAST & GLOBAL BUSINESS HUB 9th 10th Projected to be 3rd 4th largest MSA in the largest economy in 6th largest concentration North American metro U.S., boasting a the U.S., according most populated of FORTUNE 500 area for competitiveness population of to the U.S. Bureau of metro area by headquarters of any in the transportation & 5.5M+ people Economic Analysis 2020 U.S. city logistics industries

3 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

LOCATION PROVIDES EXCEPTIONALACCESS DRIVE TIMES DURING PEAK COMMUTING TIMES The Life at Snapfinger Wood’s location provides quick Drive Time Time - Peak- PeakCongestionCongestion 00 - 10- 10MinutesMinutes connectivity to East Atlanta, Downtown CBD, Emory/ 1010 - 20- 20MinutesMinutes CDC, Midtown, andDecatur. 2020 - 30- 30MinutesMinutes 3030 - 40- 40MinutesMinutes 40 - 50Minutes With this strategic location, five key employment centers are 40 - 50 Minutes within minutes of The Life at Snapfinger Woods even in peak commuting times. PERIMETER CENTER 125K JOBS The Life at Snapfinger Woods is embedded in one of Atlanta’s most prolific employment hubs, the I-20 East Industrial Corridor, providing the city with 29.4M SF of industrial space. BUCKHEAD This rapidly evolving employment hub will help attract future 100K JOBS UPTOWN investment and allow the area to continue to appreciate. DECATUR MIDTOWN 60K JOBS 100K JOBS EMORY/CDC (35 MINUTE DRIVE FROM SUBJECT) D O WNTO WN 65K JOBS

HART SFIELD- JA C K SON AIRPORT 63K+ JOBS

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2. HARTSFIELD- JACKSON INTERNATIONAL AIRPORT

SUMMARY OF AIRPORT IMPACT

2009 2013*

JOBS

Direct On-Site Jobs 58,000 63,291 Total Indirect Jobs 376,400 385,405 TOTAL REGIONAL JOBS 434,400 448,696

DOLLAR IMPACT

Total Metro Atl $ Impact $58.2B $64.2B Total GA $ Impact $68.3B $70.9B

INCOMES

Airport-Generated Avg Income N/A $65,870 Air Cargo Related Avg Income N/A $64,728 *Latest Data Available

63,200+ 450,000+ $64.2B+ Jobs on Site Regional Jobs Impact Metro Economic Impact

5 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

HARTSFIELD- JACKSON INTERNATIONAL AIRPORT: THRIVING ECONOMIC ENGINE Thirteen miles southwest of The Life at Snapfinger Woods, Atlanta’s renowned Hartsfield-Jackson International Airport is the largest job base in Georgia, employing 63,200 and injecting $64B into the regional economy.

Achieving its 20th “world’s busiest” title in 2017, the airport hosted 103,902,992 passengers in 2017. ATL also tops the world in aircraft movements, with 879,560 operations in 2017.

NEW GROWTH Georgia Int’l Delta Airlines Wells Fargo Check Atlanta Tradeport 1 Convention Center 2 HQ 3 Processing Center 4 Business Park AEROTROPOLIS DISTRICT • 122 Acres at NE corner of airport (former Hapeville Ford Plant) • Includes newly-opened Porsche HQ and $500M revamp of commercial tract to include 180K SF of Class A office space • Atlanta-based Capella Hotel Group recently opened a five-star 214-room Solis hotel adjacent 3 to Porsche 2

PORSCHE CARS NORTH AMERICA U.S. HQ 8 1 • $100M complex includes Technical Training CONRAC 4 6 Center, Classic Car Restoration and Display 5 Area, Business Center, restaurants, and Porsche 285 7 Experience Center with 1.6-mile test track 285

$6B CAPITAL IMPROVEMENTS COMPLETED • Fifth Runway, a new air traffic control tower (the world’s tallest), new integrated rental car center (CONRAC), and elevated ATL SkyTrain light rail transit • $1.4B 40-gate Maynard H. Jackson Jr. International Terminal opened in 2012, creating 1,500 jobs

AIRPORT GATEWAY CENTER

• $230M mixed-use project includes 1.1M SF of ATL SkyTrain Porsche North 5 Marriott Atlanta 6 7 Maynard H. Jackson 8 office, retail, and hotel Airport Gateway to Airport Jr. Int’l Terminal American HQ

6 THE LIFE AT SNAPFINGER WOODS

3. NEW DEVELOPMENT DRIVES GROWTH

I - 20 EAST INDUSTRIAL HOT SPOT 124 The Life at Snapfinger Woods is located just 2.5 miles 278 8 from Dekalb Medical Hillandale, which offers 191K SF 7 of medical space. Immediate proximity to I-20 offers 6 2 1 3 quick access to Snapfinger Industrial Park’s 5M SF of industrial warehouses. 4 278 10 WELL CONNECTED ASSET OFFERS EASY ACCESS TO 5 EMPLOYMENT 11 9 THE LIFE AT • I-20 East Corridor contains over 14.3M SF of industrialspace. SNAPFINGER • Easy access to Hartsfield-Jackson via I-285 (13 miles), which 15 5 WOODS SNAPFINGER offers 63,300 jobs. INDUSTRIAL PARK (5M SF INDUSTRIAL) • New Atlanta Sports City expected to bring 2,000+ new jobs. 212 155

ATLANTA THE MALL AT 11 INDUSTRIAL OVER 200K SF 9 SPORTS CITY S T O N E C R E ST New $200M sports complex being 1 Marshall’s Distribution (780K SF) The Mall at Stonecrest has 1.3M SF of developed by the Atlanta Sports retail space and offers over 120 retailers. 2 2120 Lithonia Industrial Blvd (220K SF) Connection. • 3 miles from subject 3 Plaid Enterprises (282K SF) • 190-acre sports complex • 1.3M SF retail • Expected to bring 1,900+ new jobs 4 Kliklock-Woodman (220K SF) • Mall retail includes: Sears, Kohl’s, Dillard’s, and Macy’s • 28 soccer, football and baseball fields 5 5075 Minola Dr (200K SF) • 15,000-seat stadium 6 Dart Container Corporation (350K SF) 10 DEKALB MEDICAL HILLANDLE 7 International Paper Company (224K SF) Dekalb Medical Hillandale is a state-of- 8 Smurfit-Stome Container Corp (210K SF) the-art hospital located in Lithonia.

• 2.7 miles from subject • 80 beds • $65M hospital built in 2005

7 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

ATLANTA SPORTS CITY DEVELOPMENT SET TO BREAK GROUND IN2018 The Atlanta Sports City Complex will include a new entrance to Stonecrest Mall, Emory Healthcare facilities, and 300K-SF retail, hotels , meeting and event space.

DeKalb County’s new sports playground will have a major economic impact on the county and the state with 1,937 new jobs. It is expected to be one of the largest facilities in the country with the ability to host 22 different sports. The $200M entertainment and recreational sports facility will feature a 15,000-seat professional soccer stadium, 22 soccer or multi-use fields, seven sports diamonds, and five indoor professional basketball courts situated on 190 acres at the southeastern side of the mall.

HUGE ECONOMIC IMPACT An estimated 3M visitors annually to the complex will pump $105M into DeKalb County’s economy and have a $197M economic impact on Georgia. Additionally, the project will bring $80M in new demand to DeKalb County for lodging, food, and entertainment. Emory Healthcare and the Emory Sports Medicine Center will be bringing two facilities to the complex – anchoring a sports medicine pavilion, and constructing a separate medical office health park.

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3. NEWDEVELOPMENT DRIVES GROWTH (CONTINUED)

REMARKABLE DEMAND FORLIMITED SUPPLY DEMOGRAPHICS SUMMARY The Asset is located in South DeKalb, which has seen a large 1-MILE 3-MILE 5-MILE Average HH Income $49,341 $61,560 $59,332 drop in high density housing developments during the last Expected Income Growth by 2022 8% 7.3% 8% 30 years. This high barriers-to-entry environment will allow % of Pop. with College Education 61.1% 64.1% 61.3% The Life at Snapfinger Woods to compete at the top of a supply White-Collar Employment 60.8% 64.8% 64.5% constrained rentalmarket. % of Population Between Ages 20-35 22.9% 19.7% 19.9%

HIGH BARRIERS TIGHTEN VACANCY KEY THREE-MILE RADIUS STATISTICS Existing SF of Office Space 951K SF With a severely limited development pipeline, vacancy has tightened Existing SF of Retail Space 3.3M SF and rents have consistently increased. Average effective rents within the Existing SF of Industrial Space 5.1M SF submarket have risen every year since 2010.

6.7% $61K+ 32.3% Current vacancy in South Dekalb submarket Average HH Income in 3 Miles Growth in average effective rent since 2010

(AxioMetrics.com) (Alteryx.com) (AxioMetrics.com)

SOUTH DEKALB EFFECTIVE RENT VS VACANCY THREE-MILE RADIUS DELIVERIES

1200 18.0 0 %

$900 15.00 % 1000 4,202 Rent 12.00% Units 80 0 delivered 2,466 $825 Vacancy 9.0 0 % Delivered 600 1970 -1995 Units delivered Effective

6.0 0 % Units 1996-Present $750

Average 400 3.00% Market Average Average

$675 0.0 0 % 200 200 5 2007 2009 2011 2013 20 15 2017

0 Effective Rent Vacancy 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015

9 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

20 DOWNTOWN MIDTOWN ATLANTA ATLANTA EMORY DOWNTOWN DISTRICT DECATUR

285

2 3 5 1 6 4

THE LIFE AT SNAPFINGER WOODS

20

R E TA IL

1. Dollar General 5. Wesley Chapel Restaurants Checkers, 6. Wesley Chapel Crossing CVS, Dollar Tree, 2. Kroger & Kroger Fuel Center Chick-fil-A, Captain D’s, Dunkin Donuts, Little Giant Farmers Market, Planet Fitness 3. QuikTrip KFC, Krispy Kreme, Little Caesars Pizza, 4. The Home Depot McDonald’s, Subway, Taco Bell, Waffle House

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4. SIGNIFICANT CAPITAL IMPROVEMENTS

OVER $ 1m INVESTEDIN ASSET The Life at Snapfinger Woods underwent more than $1 renovation and repositioning program from summer of 2017 to present, elevating the asset into a superior submarket position and attracting a new resident profile at a price well below replacement cost.

KEY CAPITAL IMRPOVEMENTS (ALL WORK PERMITTED AND TO CODE):

• Leasing Office Renovation • Appliance Replacement • Roof Restoration and Repairs • New Golf Carts • Landscape Transformation • HVAC Repairs & Replacements • 30 Fully Renovated UnitInteriors • Model Unit Flooring, Fixtures, and Lighting Upgrades

11 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

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5. MARKET- PROVEN VALUE ADD

PROVEN VALUE ADDIN SUBMARKET EXISTING RENOVATED UNIT The subject property’s average in-place rents per square foot currently trail the competition by $0.16/ft. A new owner can generate significant upside by renovating allunits.

The subject currently has 30 renovated unit interiors, which can be further elevated by adding tile back splashes. A new owner can spend an average of $6K/unit on all units to bring them to the “Value-Add” level, which includes stainless steel appliances, granite countertops, new plumbing/lighting fixtures, extended luxury vinyl plank flooring, new cabinets and tile backsplashes. The subject property can be elevated further by continuing to improve the curb appeal and amenities.

$6K 38% $0.16/ft Avg. per unit cost of Return on Avg. amount in-place suggested upgrades investment rents trail market average

AVERAGE EFFECTIVE CHUNK RENT COMPARISON $189 $1.00 Premium from In-Place to Value-Add SF $0.90 Per

Rent $0.80

$0.70 Effective

$0.60 3 3 64 94 0 68 98 90 74 . . .7 . Average Average 0 1 0 0 $0. $ $0. $ $ $ $0. $0.84 $0. $0.50 The Life at Snapfinger The Life at Snapfinger Village at Wesley The Life at Snapfinger Friendly Hills Market Average Heritage Reserve East Perimeter Pointe Covington Glen Woods (In-Place) Woods (Market) Chapel Woods (Value-Add)

13 INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

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10 12 4 5 20 2 8 1 DRIVE S THE LIFE AT OD SNAPFINGER WOODS

AD

MAJOR EMPLOYERS R E TA IL M E DICA L

1. Acuity Brands Lighting 7. Kilklock-Woodman-Bosch 13. ALDI 17. Lowe’s 20. QuikTrip 24. DeKalb Medical at Hillandale 2. Barnett Performance 8. Marshalls Distribution Center 14. Dollar Tree 18. Panola Road Restaurants 21. The Mall at Stonecrest 25. Kaiser Permanente Panola 3. Cintas Uniform Services 9. Multalloy 15. Hillandale Restaurants A-Town Wings, American Macy’s, Dillard’s, JCPenney, Medical Center 4. FW Logistics 10. Plaid Enterprises Burger King, Checkers, Deli, IHOP, Marco’s Pizza, Sears, IMAX theater 5. Georgia-Pacific Corporation 11. Stone Mountain Industrial Cook Out, KFC, Popeyes, Ruby Tuesday, 22. Walgreen’s (2) 6. Georgia Power 12. Swift Transportation McDonald’s, Waffle House Smoothie King, Wendy’s 23. Walmart Supercenter 16. Kroger 19. Publix

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PROPERTY DESCRIPTION

15 PROPERTYINVESTMENTDESCRIPTIONSUMMARY THE LIFE AT SNAPFINGER WOODS

PROPERTY SUMMARY Number of Units 149 Units Year Built 1971 Stories 2 Stories Net Rentable Area 224,993 SF Average Unit Size 1,510 SF

SITE Address 2717 Shell Bark Drive, Decatur, GA 30035 County DeKalb County

Size/Density 25.60 Acres / 5.82 Units perAcre South side of Snapfinger Woods Dr., 0.2 miles north of I-20, 1.3 miles west of Panola Rd., and 2.7 miles east of the L ocation I-285/I-20 interchange. The property is 10 miles northwest of Conyers, 11 miles southeast of downtown Atlanta, and 13 miles northeast of Hartsfield-Jackson International Airport. Snapfinger Woods Dr. near Subject: 9,900 VPD Traffic Counts Panola Rd. near Subject: 28,000 VPD I-285/I-20 Interchange near Subject: 206,000 VPD

UTILITIES SERVICE/UTILITY SOURCE/COMPANY PAID BY* HVAC/Hot Water/Cooking Electric / Georgia Power Resident Water/Sewer DeKalb County Resident Trash Removal DeKalb County Property *Residents are billed separately for water/sewer utilities, and pay a flat monthly rate of $5 and for pest control services.

UNIT MIX SUMMARY TYPE # UNITS % UNITS SIZE (SF) 1BR-1BA 22 15% 847 1BR-1BA 6 4% 990 2BR-1BA 17 11% 1,156 2BR-1.5BA 2 1% 1,524 2BR-1.5BA 44 30% 1,564 3BR-2.5BA 45 30% 1,740 4BR-3.5BA 1 1% 2,079 4BR-3.5BA 12 8% 2,377 Total / Avg. 149 Units 100% 1,510

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COMMUNITY AMENITIES • Business/Leasing Office • Central Mail Station • Grilling/Picnic Area • Laundry Facilities

• Playground

UNIT FEATURES • Stainless Steel Appliances* • Black Appliances* • Granite Countertops* • Luxury Vinyl Plank Flooring* • Breakfast Bar/Pass-Through • Cable & Internet Ready • Ceiling Fans* • Entry Closet* • Fireplaces* (119 Units) • 2 Fireplaces* (4BR) • Frost-Free Refrigerator • Fully Equipped Kitchens • Patio or Balcony* • Separate Dining Area • Undermount Sinks* • Vaulted Ceilings* • W/D Connections • Walk-in Closets • Window Blinds

* Select Units

17 PROPERTYINVESTMENTDESCRIPTIONSUMMARY THE LIFE AT SNAPFINGER WOODS

18 THE LIFE AT SNAPFINGER WOODS SF SF 847 990 | | BATH BATH 1 1 BEDROOM, BEDROOM, 1 1 SF SF 1,564 | 1,156 | BATH BATH 1 1.5 BEDROOM, BEDROOM, 2 2

19 PROPERTYINVESTMENTDESCRIPTIONSUMMARY THE LIFE AT SNAPFINGER WOODS SF 1,740 | BATH 2.5 2.5 BEDROOM, 3 SF 2,377 2,377 | BATH 3.5 3.5 BEDROOM, 4

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LOCATION OVERVIEW

21 LOCATIONINVESTMENTOVERVIEWSUMMARY THE LIFE AT SNAPFINGER WOODS

DEKALB COUNTY: CORE URBAN COUNTY

As a vital economic component of Atlanta’s mature urban core, DORAVILLE MIXED- USE DEVELOPMENT DeKalb is Georgia’s third-most populated county. Anchored by an Atlanta’s current megasite project —the “Assembly Yards,” the 165-acre extensive interstate network, the county is served by MARTA and former Doraville GM plant site —is in DeKalb. The Integral Group and partners (who purchased the site in 2014) are developing a 10 MSF “smart DeKalb PeachtreeAirport. growth” walkable and transit-connected residential and business hub. The planned “city within a city,” almost 30 acres larger than Atlantic Station, Notably home to the National Centers for Disease Control and Prevention will include six mixed-use districts with parks and restaurants connected to (CDC), DeKalb boasts numerous major employers that include highly- a central MARTA transit station. A new film and television studio, Third Rail rated educational and healthcare facilities, cultural amenities, and affluent Studios, is the initial development on six acres of the site. neighborhoods. Its primary economic centers include Perimeter Center, Emory/Clifton Corridor, county seat Decatur, Executive Park, Century Center, Northlake, and I-20 East/Lithonia/Stonecrest. THE ASSEMBLY YARDS

PERIMETER CENTER (PC)

Prolific Perimeter Center —which surrounds the I-285/GA 400 interchange —comprises Atlanta’s largest employment base and one of the Southeast’s largest Class A office markets. PC is the Southeast’s corporate epicenter, with the largest concentration of Fortune 500 firms in the region. PC includes “Pill Hill,” a massive hospital district anchored by Northside, Emory St. Joseph’s, and Children’s Healthcare of Atlanta hospitals. The district, whose population may be the region’s largest by 2025, generates 135,000 jobs within its 33M SF of mostly corporate office space.

EMORY / CLIFTON MEDICALCORRIDOR Anchored by Emory University and Hospital, the vibrant “Clifton Corridor” (40,000+ jobs) includes the CDC headquarters, Emory Medical School, Children’s Healthcare of Atlanta at Egleston, Emory Rehab Center, Yerkes National Primate Research Center, and the 173-bed VA Hospital. The 579- bed Emory Hospital consistently ranks among the nation’s Top 25. NORTH DEKALB MALL — MODEL FOR REVITALIZATION Owners of North DeKalb Mall plan to redevelop the 50-acre site with a new I-85 AND NORTH DRUID HILLS MEDICAL outdoor mixed-use community with multifamily and townhomes, 50,000 The 60-acre Executive Park office campus at I-85 and North Druid Hills SF office space, 300,000 SF retail, 45,000 SF restaurants, a 14,500-SF Road, upzoned for 850,000 SF office, 450,000 SF retail, residential, and food hall, and a 150-room hotel. The project, situated at Lawrenceville hotel uses, was recently purchased by Emory. Children’s Healthcare of Highway and North Druid Hills Road, will be anchored by a150,000- Atlanta (CHOA) is also constructing a new 300,000 SF hospital facilityat SF Costco. The existing big box tenants, including Marshalls, AMC, and its SEQ I-85 and North Druid Hillssite Burlington, are expected to also remain at the center.

22 THE LIFE AT SNAPFINGER WOODS ATLANTA by the numbers

10-Co. MSA Population - 2017 4,480,100 Unemployment Rate (July 2018) 3.8% Cost of Living Index 101% Cost of Business Index 88% Moody’s Cycle Phase Expansion Key Industries: Corporate Services, Government, Education & Health Services, Manufacturing Primary Growth Sectors: Distribution, corporate HQ, manufacturing, bio-tech health industries.

A wArds And A ccolAdes • 2018 - #10 Metro Area for STEM professionals, WalletHub • 2017 - Atlanta 3rd fastest-growing metro population in the nation, U.S. Census • 2017 - Atlanta No. 3 U.S. city poised to become tech mecca, Forbes • 2017 - No. 2 ‘Next Top Tech Town,’ Realtor. com • 2017 - The Country’s Hottest Industrial Market, bisnow • 2017 - Atlanta is getting younger, more educated, Savills Studley • 2017 - Metro leads nation in available housing lots with 80,000, Federal Reserve Bank • 2016 - Among Top 19 “Knowledge Capitals”of U.S. & Europe, BrookingsInstitute • 2016 - #6 U.S. metro exceeding projected job growth, CareerBuilder • 2016 - #1 Top Moving Destination, Penske Truck Leasing • 2016 - Among Top 10 Cities to Launch a Startup, DataFox

INVESTMENT SUMMARY THE LIFE AT SNAPFINGER WOODS

METRO ATLANTA - CAPITAL OF SOUTHEAST REGION

Atlanta, the economic capital of the Southeast and a global business hub, DOWNTOWN ATLANTA is the center of one of the fastest growing metros in the country and the 10th largest GDP in the U.S.

Atlanta’s highly-charged critical mass of economic growth was ignited two decades ago when the city hosted the 1996 Summer Olympic Games, and that growth has not slowed since. In 2017, Atlanta’s population ranked as the third-fastest growing in the country. Per GSU Economic Forecasting, 261,900 jobs were added during 2014-2016 and 60,000 in 2017; 58,100 new jobs are projected in 2018. The region is expected to add 2.5M residents and an additional 1.5M jobs by 2040.

GAME-CHANGING ECONOMIC GROWTH

Atlanta is advancing toward a new cycle of economic prosperity and position thanks to a multitude of major corporate and technology commitments by firms such as Amazon, Facebook, Duracell, State Farm, Mercedes-Benz, Porsche, Kaiser Permanente, KPMG, Google, WorldPay, GE, NCR, Honeywell, and Anthem.

Dramatic developments are underway in healthcare and technology sectors. Film making has become big business in Georgia and Atlanta. Emerging technologies and the infrastructure to support start-up companies are another bright spot. Atlanta is now a leader in mobile technology, supply chain management, internet security, healthcare IT, and payments processing, all growth industries. Technical and professional services will continue to be key employment generators, and the rebound in these high-wage industries is driving above-average income growth. MAJOR SE CITIES JOB GROWTH 2012-2017

DIVERSE CORPORATE ANCHOR 30 .0 %

25.0% Atlanta’s legendary diverse and inherently resilient economic base is its ongoing 20.0 % hallmark, and it ranks among the country’s Top 5 cities in Fortune 500 HQ. Twenty- 15.0 % five metro Atlanta headquartered firms are among America’s largest corporations Growth qualifying as the 2016 FORTUNE 1000, of which 16 rank among the 2016 FORTUNE Job 10 .0 % 500: The Home Depot, UPS, The Coca-Cola Company, Delta Air Lines, The Southern 5.0%

Company, Genuine Parts Company, First Data, HD Supply Holdings, Inc., Veritiv, Percent 0.0 % SunTrust Banks, AGCO Corporation, Asbury Automotive, Coca-Cola European Partners, NCR Corporation, PulteGroup, and Newell Brands.

* Source: US Bureau of Labor Statistics, Moody’s Analytics

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INTELLECTUAL CAPITAL SUSTAINS DEEP TALENT POOL ATLANTA FINANCIAL CENTER, BUCKHEAD Atlanta is a magnet for higher education, consistently ranking among the top 10 metro areas in educational achievement. Atlanta ranks in the Top five “U.S. Cities for Recent College Graduates,” per Bloomberg 2015. Georgia residents have access to the HOPE scholarship/grant program. Young, educated professionals are a major draw for new businesses coming into the region and also encourage entrepreneurship.

Fifty-seven metro colleges and universities enroll a total of 250,000+ students regionally. Atlanta’s three largest public universities include the newly consolidated GA State University/GA Perimeter College (GSU), Kennesaw State University (KSU), and GA Institute of Technology. Other public universities include Southern Polytechnic State, Clayton State, and the University of West GA. The Atlanta University Center (AUC) is home to Clark Atlanta University, Morehouse School of Medicine, Morehouse College, and Spelman College. Seven regional technical colleges have a combined total enrollment of nearly 60,000 students.

Emory University’s graduate programs in medicine, law, and business consistently rank among the nation’s highest rated. Atlanta’s Agnes Scott College, Mercer University, and Oglethorpe University are highly-ranked private local institutions.

GEORGIA INSTITUTE OF TECHNOLOGY CAMPUS, MIDTOWN ATLANTA AT CORE OF STATE- WIDE TECH GROWTH

Georgia’s bioscience and health IT industries are responsible for almost $30 billion in annual reported revenue and 120,000 employees. The state’s health IT industry already leads the nation with 200+ companies, 15,000 employed, and $4B+ in annual reported revenue. With an annual economic impact of $23B, the state’s bioscience industry is also firmly rooted.

Powered by the strength of 13,000+ technology companies, Atlanta has a long history of success in attracting and growing top high-tech firms and stands as one of the country’s most significant and innovative technology hubs.

Metro Atlanta has the 9th-largest employed technology talent pool in the U.S. with more than 134,700 related jobs. It has also produced the 3rd-fastest tech growth since 2012, adding 34,700+ new tech jobs. Only Toronto and Charlotte produced more tech jobs during that period.

25 LOCATIONINVESTMENTOVERVIEWSUMMARY THE LIFE AT SNAPFINGER WOODS

NOTABLE NEW ECONOMICGROWTH

State Farm Porsche Jacoby Development - former OFS site

• State Farm’s new 2.2M SF Perimeter Center • Anthem’s new 352,000 SF Midtown • UPS is creating 1,250 jobs at new 1.3M SF, campus will include three towers that will Technology Center is under construction $400M logistics hub next to Charlie Brown house the southeastern operations for the as of early 2018 and will employ 3,000 IT Airport, the firm’s 3rd largest such facility. insurance company and 8,000+ workers. workers when completed. • San Francisco-based Flexport Inc. will (C&W represented landlord in transaction.) • In 2016, General Electric Co. picked Atlanta establish 50,000 SF sales/operations hub at • Kaiser Permanente’s 150,000 SF, $20Minfo for a $3M global digital operations center —a Bank of America Plaza in Midtown, 330 jobs. tech campus in Midtown will create 900+ project that will create 250 jobs in Midtown. • Staffing giant Jackson Healthcare’s $100M jobs by 2019, bringing firm’s GA presence to • Google’s new 1.2M SF data center repair expansion of Alpharetta campus to include 4,000+ employees and physicians. facility opened in 2015 at Fairburn Logistics 1,400 new employees over 5 years. • Porsche Cars North America, Inc. opened Center, a cross-dock facility launched in 2014 • Duracell plans to employ up to 800 at 874K $100M U.S. HQ in 2015 next to Hartsfield- by TPA Group. SF Core5 Logistics Center at Shugart Farms Jackson Airport and added 400 jobs (100 • Shire Pharmaceuticals’ (fka Baxter) new in Fairburn/South Fulton County. new to GA). (C&W represented Porsche.) $1.2B Stanton Springs plant (Newton County) • Amazon.com Inc.’s 25,000 SF Atlantic • Mercedes-Benz USA is creating 1,000jobs is nearing completion and about halfway Station logistics tech center opened in 2017. with its HQ move to Atlanta from NJ. Their through hiring 1,600 workers. new 250,000 SF office within 12-acre HQ • In 2018, Facebook Inc. bought 416 acres for • The Integral Group’s 165-acre “Assembly” Sandy Springs campus opened in 2017. new $42B data center campus at Stanton mini-city (fka GM Doraville plant) will include Springs (Newton County), to create several • Worldpay’s new $10M Atlantic Station office 10M SF of mixed-use space. Capstone South’s hundred jobs. (2015) employs 1,200. “Third Rail Studios” is the first development. • $400M Phase I of planned 70-acre Quarry • opened new 750,000 SF global HQ NCR • Jacoby and partners are planning to turn Yards next to Bankhead MARTA station will campus in Midtown in 2018. Their two towers 114 acres of Gwinnett’s OFS optic fiber include 575,000 SF office, 75,000 SF retail, a near Georgia Tech will employ 5,000. manufacturing site (formerly Lucent) into hotel, and 850 residential units. • Honeywell chose Midtown in 2017 for 1.2M SF Atlanta Media Campus andStudios (film school, housing, hotel, etc.) • In July 2018, Thyssenkrupp announced plans software development center and HQ of for new $200M North American HQ campus $10B Home and Building Technologies unit • Alcon Laboratories creating 300+ jobs for its elevator division at The Battery at and will hire 830 over next five years. at $275M Johns Creek campus. Atl beat SunTrust Park; will house 900+ employees. Singapore and Germany for expansion.

26 THE LIFE AT SNAPFINGER WOODS

RAPID POPULATION GROWTH CONTINUES Long reputed for its rapid growth, metro Atlanta had the third highest population gain of any metro in the country, adding nearly 90,000 new residents between 2016 and 2017 and bringing the total regional population to almost 5.9 million residents.

Per recent Atlanta Regional Commission statistics, 78,300 of those new residents were in the core 10-county Atlanta area. Fulton County grew the most, adding 17,100 residents, just ahead of Gwinnett’s 16,900. The city of Atlanta added 9,900 residents, up 2,000 from the prior year, an increase accompanied by a boom in multifamily housing.

INFRASTRUCTURE INVESTMENT

ATLANTA- REGION TRANSIT LINK AUTHORITY - “THE ATL” THE ATLANTA BELTLINE Atlanta’s rapid growth requires major investment in infrastructure. In March The Atlanta BeltLine is the most comprehensive revitalization effort 2018, GA passed landmark legislation that sets in place funding framework ever undertaken in Atlanta and among the most wide-ranging urban and a regional transit governing system for all of metro Atlanta. By 2023, redevelopment and mobility projects in the country. Conceived in the region’s transit systems will be folded into a single brand name—the 1999 by a Georgia Tech graduate student, the BeltLine is creating a new Atlanta-region Transit Link Authority, or The ATL. The ATL will be charged framework for sustainable regional growth and revitalizing under- with transit planning across 13 metro counties, utilizing existing systems performing areas of the city, increasing real estate value along its path. MARTA, CobbLinc, Gwinnett County Transit, and GRTA’s Xpress service. The BeltLine links a network of public parks, multi-use trails, and Already planned MARTA expansion projects will infuse an estimated $5.2B transit through historic railroad corridors that encircle downtown and into regional economy. Transit expansions are expected to create 45,000 interconnecting 45 neighborhoods. New multi-use trails will accompany jobs and $116M in additional annual wages by 2040. the 22-mile transit loop, and 11 miles of additional trails will extend into surrounding neighborhoods.

27 LOCATIONINVESTMENTOVERVIEWSUMMARY THE LIFE AT SNAPFINGER WOODS

HARTSFIELD- JACKSON INTERNATIONAL AIRPORT (ATL) HARTSFIELD-JACKSON INTERNATIONAL AIRPORT ATL is a dominant economic engine for the region and one of GA’s most critical assets. As the state’s largest job base (63,300+ direct, 450,000+ indirect jobs), ATL boasts aregional economic impact of $64.2B and $70.9B in Georgia. In 2017, for the 20th year in a row, ATL secured its “world’s busiest airport” title by serving 104M passengers. ATL also tops the world in aircraft movements, with 879,560 operations in 2017.

The airport is the anchor of a growing “Aerotropolis” economic district catalyzed by the new Porsche North American HQ. The Aerotropolis Atlanta Alliance’s new blueprint lays out a vision to transform the entire South Atlanta region into a thriving mixed-use Airport City submarket. The city of College Park is moving forward with plans for a 320-acre, $500M+ “Airport City College Park” mixed-use development with potential to create thousands of jobs.

ATLANTIC STATION

SMART GROWTH FUTURE By focusing on improving transportation and connectivity issues, Atlanta is becoming one of the nation’s top Smart Growth cities. Planned expansions of MARTA, including a GA 400 corridor extension from the current North Springs terminus north to Alpharetta, a heavy rail line along I-20 East, and a light rail line from Lindbergh to Avondale, are expected to catalyze metro Atlanta’s smart growth future.

ATLANTIC STATION, MIDTOWN ATLANTA

As the initial catalyst of the rapid expansion of Atlanta’s West Midtown district, Atlantic Station is a national model for smart growth. Its stunning mix of low to high-rise buildings presents a modern architectural skyline and most buildings have LEED certification. Several of the region’s most notable banking and law firms have marquees at Atlantic Station, including Wells Fargo and BB&T. Sage Software established it North American HQ there, where 350 are employed.

28 THE LIFE AT SNAPFINGER WOODS

APARTMENT MARKET

29 APARTMENTINVESTMENTMARKETSUMMARY THE LIFE AT SNAPFINGER WOODS

RENT COMPARABLES SUMMARY

5

2 3 1 4

RENT COMPARABLES PROPERTY # UNITS YEAR BUILT OCCUPANCY AVG. SF MKT. RENT EFF. RENT* EFF. RENT/SF S The Life at 149 1971 94% 1,510 $1,023 $930 $0.64 Snapfinger Woods 1 Heritage Reserve 210 1989 97% 1,214 $1,145 $1,145 $0.94 2 Friendly Hills 168 1998 96% 1,108 $958 $928 $0.84 3 East Perimeter Pointe 734 1988 97% 949 $931 $931 $0.98 4 Village at Wesley Chapel 218 1975 96% 1,166 $851 $851 $0.73 5 Covington Glen 254 1989 95% 789 $814 $814 $1.03 TOTAL / AVG 317 1988 96% 1,045 $940 $934 $0.89

* Based on October 2018 rent surveys. Effective rents reflect concessions, and also exclude values of any included services/utilities, where applicable.

30 THE LIFE AT SNAPFINGER WOODS

THE LIFE AT SNAPFINGER WOODS 2717 Shell Bark Road UNIT MIX Decatur, GA 30035 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 1BR-1BA 22 847 $795 $758 $0.89 Total Units: 149 1BR-1BA 6 990 $850 $805 $0.81 Year Built: 1971 2BR-1BA 17 1,156 $945 $860 $0.74 Rentable Area (SF): 224,993 2BR-1BA 2 1,524 $1,025 $903 $0.59 Occupancy: 94% 2BR-1.5BA 44 1,564 $1,025 $910 $0.58 Managed by Olive Tree Holdings 3BR-2.5BA 45 1,740 $1,095 $992 $0.57 4BR-3BA 1 2,079 $1,245 $1,025 $0.49 4BR-3.5BA 12 2,377 $1,345 $1,206 $0.51 UNIT FEATURES COMMUNITY AMENITIES TOTAL / AVG 149 1,510 $1,023 $930 $0.64 Stainless Steel Appliances* Business/Leasing Office Black Appliances* Central Mail Station Granite Countertops* Grilling/Picnic Area Luxury Vinyl PlankFlooring* Laundry Facilities COMMENTS UTILITIES Breakfast Bar/Pass-Through Playground Cable & Internet Ready TYPE PAID BY Ceiling Fans* Electric Resident Entry Closet* Water and Sewer Resident Fireplace - Wood Burning (119 Natural Gas None Units) Trash Removal Resident 2 Fireplaces* (4BR) Frost-Free Refrigerator Fully EquippedKitchens Patio or Balcony* UNIT MIX BREAKDOWN Separate Dining Area Undermount Sinks*

4 B R Vaulted Ceilings (TH) 1 B R 9% W/D Connections 19 % Walk-In Closets 3 B R 30% Window Blinds 2 B R * Select Units 42%

31 APARTMENTINVESTMENTMARKETSUMMARY THE LIFE AT SNAPFINGER WOODS

1 HERITAGE RESERVE 10 Creste Drive UNIT MIX Decatur, GA 30035 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 2BR-1BA 72 1,016 $1,048 $1,048 $1.03 Total Units: 210 3BR-2BA 88 1,245 $1,142 $1,142 $0.92 Year Built: 1989 4BR-2.5BA 50 1,445 $1,288 $1,288 $0.89 Rentable Area (SF): 254,962 TOTAL / AVG 210 1,214 $1,145 $1,145 $0.94 Occupancy: 97%

Managed by Read Property Group, LLC (RPG) COMMENTS UTILITIES UNIT FEATURES COMMUNITY AMENITIES Interior renovations include new applances, TYPE PAID BY Cable & Internet Ready Clubhouse/Leasing Center flooring, cabinet fronts, fixtures/hardware. Electric Resident Ceiling Fans* Laundry Facility Water and Sewer Resident Frost-Free Refrigerator Meeting/Activity Room Fully Equipped Kitchens Playground Natural Gas Resident Patio or Balcony Sports Court Trash Removal Resident Separate Dining Area Swimming Pool W/D Connections Walk-In Closets UNIT MIX BREAKDOWN Window Blinds

* Select Units 4 B R 2 4 % 2 B R 34%

3 B R 4 2 %

32 THE LIFE AT SNAPFINGER WOODS

2 FRIENDLY HILLS 10 Friendly Hills Drive UNIT MIX Decatur, GA 30035 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 1BR-1BA 12 702 $761 $731 $1.04 Total Units: 168 2BR-2BA 48 994 $890 $860 $0.87 Year Built: 1998 2BR-2BA 26 1,071 $975 $945 $0.88 Rentable Area (SF): 186,084 2BR-2BA 10 1,071 $975 $945 $0.88 Occupancy: 96% 3BR-2BA 48 1,248 $1,010 $980 $0.79 Managed by Benimax Investment Group, 3BR-2BA 14 1,312 $1,060 $1,030 $0.79 Inc. / Sunshine 3BR-2BA 10 1,312 $1,060 $1,030 $0.79 TOTAL / AVG 168 1,108 $958 $928 $0.84 UNIT FEATURES COMMUNITY AMENITIES Effective rents exclude the value of utilities that are included in the monthly rent. Breakfast Bar Basketball/Sports Court (Lighted) Cable & Internet Ready Bus Line / Bus Stop (MARTA) Entry Foyer w/Closet Controlled Access Gates COMMENTS UTILITIES Exterior Storage Closet Day Care Center (1,627 SF) No concessions. Fireplace - Wood Burning* Detached Garages (14 @ $50) TYPE PAID BY Fully Equipped Kitchens Laundry Facility Electric Resident Granite-Look Countertops* Leasing/Business Office Water and Sewer Property Kitchen Pantry* Playground Natural Gas None Linen Closet Sprinklered Buildings Trash R emoval Property Microwave Oven* Swimming Pool w/Fountain Patio or Balcony Separate Dining Area UNIT MIX BREAKDOWN Stainless Steel Appliances* Sunroom (1071 SF) W/D Connections 1 BR Walk-In Closets 7%

Window Blinds 3 B R 43% Wood-Look Flooring* 2 B R 5 0 % * Select Units

33 APARTMENTINVESTMENTMARKETSUMMARY THE LIFE AT SNAPFINGER WOODS

3 EAST PERIMETER POINTE

4946 Snapfinger Woods Drive UNIT MIX Decatur, GA 30035 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 1BR-1BA 60 555 $750 $750 $1.35 Total Units: 734 1BR-1BA 59 619 $884 $884 $1.43 Year Built: 1988 1BR-1BA 10 630 $824 $824 $1.31 Rentable Area (SF): 696,797 1BR-1BA 1 633 $759 $759 $1.20 Occupancy: 97% 1BR-1BA 10 636 $860 $860 $1.35 Managed by Ventron Management LLC 1BR-1BA 70 647 $759 $759 $1.17 1BR-1BA 70 770 $864 $864 $1.12 1BR-1BA 10 797 $874 $874 $1.10 UNIT FEATURES COMMUNITY AMENITIES 1BR-1BA 1 829 $789 $789 $0.95 Black Appliances* Business/Leasing Office 1BR-1BA 8 862 $814 $814 $0.94 Breakfast Bar/Pass-Through Car Care Center Ceramic Tile Tub Surround Controlled Access Gates 1BR-1BA 69 889 $876 $876 $0.99 Exterior Storage Closet Fire Pit Gathering Area 2BR-2BA 37 1,186 $1,080 $1,080 $0.91 Faux Granite Countertops* Fitness Center 2BR-2BA 8 1,290 $1,004 $1,004 $0.78 Fireplace (134 Units) Gazebo 2BR-2BA 39 1,307 $1,039 $1,039 $0.79 Fully Equipped Kitchens Grilling/Picnic Areas 2BR-2.5BA 150 1,018 $975 $975 $0.96 Gooseneck Faucet* Indoor Racquetball Court (2) 2BR-2.5BA 54 1,350 $1,044 $1,044 $0.77 Kitchen Pantry* Indoor Swimming Pool 2BR-2.5BA 1 1,357 $1,070 $1,070 $0.79 Microwave Oven* Laundry Facility (3) 2BR-2.5BA 55 1,365 $1,174 $1,174 $0.86 Modern Wood Cabinets* Outdoor Swimming Pool Patio or Balcony (318 Units) Playground 2BR-2.5BA, TH 22 1,375 $1,000 $1,000 $0.73 Skylights* Resident Business Center TOTAL / AVG 734 949 $931 $931 $0.98 Sunroom (314 Units) Sauna/Steam Room Tile Backsplash in Kitchen* Tennis Courts (3, Lighted) Vaulted Ceilings* Video Monitored Entrances W/D Connections (514 Units) Walking/Jogging Trail COMMENTS UTILITIES Window Blinds Interior renovations include new applainces, TYPE PAID BY Wood-Style Laminate Floors* cabinets, coutnertops, flooring, backsplace, fixtures/hardware. Electric Resident * Select Units Water and Sewer Resident UNIT MIX BREAKDOWN Natural Gas Resident Trash Removal Resident

2 B R 1 B R 50% 50%

34 THE LIFE AT SNAPFINGER WOODS

4 VILLAGE AT WESLEY CHAPEL

4336 Pleasant Point Drive UNIT MIX Decatur, GA 30034 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 1BR-1BA 64 745 $700 $700 $0.94 Total Units: 218 2BR-2BA 24 983 $829 $829 $0.84 Year Built: 1975 3BR-2BA 18 1,276 $850 $850 $0.67 Rentable Area (SF): 254,208 3BR-2BA, TH Den 32 1,699 $1,050 $1,050 $0.62 Occupancy: 96% 3BR-2.5BA, TH 80 1,320 $900 $900 $0.68

Managed by Jamco Properties, Inc. (Atl) TOTAL / AVG 218 1,166 $851 $851 $0.73

Effective rents reflect current concessions.

UNIT FEATURES COMMUNITY AMENITIES Alarm Systems Available Bus Line / Bus Stop (MARTA) COMMENTS UTILITIES Cable & Internet Ready Clubhouse/Leasing Center No current upgrades. TYPE PAID BY Ceiling Fans Controlled Access Gates Frost-Free Refrigerator Fitness Center Electric Resident Fully Equipped Kitchens Grilling/Picnic Area Water and Sewer Resident Kitchen Window* Laundry Facility Natural Gas None Patio or Balcony Off-Street Parking Trash Removal Resident Separate Dining Area Playground W/D Connections Resident Business Center Walk-In Closets Swimming Pool UNIT MIX BREAKDOWN Window Blinds WiFi Available Wood-Style Laminate Floors

* Select Units 1 B R 2 9 %

3 B R 6 0 % 2 B R 11%

35 APARTMENTINVESTMENTMARKETSUMMARY THE LIFE AT SNAPFINGER WOODS

5 COVINGTON GLEN

5816 Covington Highway UNIT MIX Decatur, GA 30035 UNIT TYPE # UNITS SIZE (SF) MKT. RENT EFF. RENT EFF. RENT/SF DeKalb County 1BR-1BA, A 51 600 $725 $725 $1.21 Total Units: 254 1BR-1BA, B SR 51 664 $760 $760 $1.14 Year Built: 1989 1BR-1BA, C 60 723 $790 $790 $1.09 Rentable Area (SF): 200,462 2BR-1.5BA 20 805 $850 $850 $1.06 Occupancy: 95% 2BR-2BA, A 21 969 $890 $890 $0.92

Managed by Citadel Real Estate Group 2BR-2BA, B SR 20 1,043 $925 $925 $0.89 2BR-2.5BA, TH 31 1,139 $950 $950 $0.83 TOTAL / AVG 254 789 $814 $814 $1.03 UNIT FEATURES COMMUNITY AMENITIES Alarm System Included Car Care Center Black Appliances* Clubhouse/Leasing Center Breakfast Bar/Pass-Through Fitness Center COMMENTS UTILITIES Built-in Desks/Shelving Grilling/Picnic Areas Cable & Internet Ready Hot Tub/Jacuzzi/Spa TYPE PAID BY Ceiling Fans Laundry Facility Electric Resident Chair Rail in Dining Area Sports Court (Lighted) Water and Sewer Resident Entry Closet* Sprinklered Buildings Natural Gas Resident Exterior Storage Closet Swimming Pool Trash Removal Resident Fireplace (214 Units) French Door to Patio/Bal* Fully Equipped Kitchens UNIT MIX BREAKDOWN Kitchen Window* Laundry/Utility Room Linen & Pantry Closets Microwave Oven 2 B R Paneled Interior Doors 3 6 % Patio or Balcony* 1 B R Recessed Lighting 6 4 % Separate Dining Room* Sunroom SR* Two Fireplaces (TH) Vaulted Ceilings* W/D Connections Walk-In Closets Window Blinds

* Select Units

36 THE LIFE AT SNAPFINGER WOODS

SALES COMPARABLES SUMMARY

5 2

9 8 3 7 1 6

4 10

SALES COMPARABLES PROPERTY # UNITS YEAR BUILT AVG. UNIT SIZE (SF) SALE PRICE PRICE PER UNIT PRICE PER SF SALE DATE Life at Snapfinger Woods 149 1971 1,514 TBD TBD TBD TBD 1 Abernathy Towers 99 1980 539 $8,250,000 $83,333 $113.78 5/24/2016 2 Greenwood Apartments 29 1960 500 $2,600,000 $89,655 $130.40 6/15/2016 3 Courtyard on Kirkwood 32 1950 725 $3,392,000 $106,000 $179.79 3/10/2017 4 Paradise East Apartments 176 1974 841 $12,600,000 $71,591 $90.00 4/28/2017 5 Pavilion Pointe 144 1968 1,316 $18,499,872 $128,471 $68.43 10/3/2017 6 The Broadway at East Atlanta 176 1967 937 $17,705,000 $100,597 $107.36 12/14/2017 7 Golden Apartments 26 1968 760 $1,150,000 $44,231 $58.16 12/21/2017 8 Edgewood Court 204 1950 875 $24,000,000 $117,647 $134.08 12/28/2017 9 Villas at the Dome 55 1979 1,049 $6,200,000 $112,727 $82.19 8/31/2018 10 Villas on Main 93 1969 1,003 $6,750,000 $72,580 $66.40 9/7/2018 TOTAL / AVG 103 1967 855 $10,114,687 $92,683 $103.06

37 APARTMENTINVESTMENTMARKETSUMMARY THE LIFE AT SNAPFINGER WOODS

38 THE LIFE AT SNAPFINGER WOODS

FINANCIAL ANALYSIS

39 FINANCIALINVESTMENTANALYSISSUMMARY THE LIFE AT SNAPFINGER WOODS

THE LIFE AT SNAPFINGER WOODS

Address 2717 Shell Bark Road Decatur, GA 30035 C ounty DeKalb County Number of Units 149 Units Year Built 1971 Rentable Area 224,993 SF Site Size 25.60 Acres Density 5.82 Units per Acre O ccupancy* 94.0 % Gain/(Loss) to Lease* -9.8%

*As of September 27, 2018

UNIT MIX MARKET RENT LEASE RENT UNIT # OF SIZE TOTAL MARKET MARKET MONTHLY ANNUAL # UNITS LEASE LEASE RENT TYPE UNITS SQ. FT. SQ. FT. RENT RENT/SQ. FT. RENT RENT OCCUPIED RENT/SQ. FT. 1 BR / 1 BA 22 847 18,634 $795 $0.94 $17,490 $209,880 19 $758 $0.89 1 BR / 1 BA 6 990 5,940 $850 $0.86 $5,100 $61,200 6 $805 $0.81 2 BR / 1 BA 17 1,156 19,652 $945 $0.82 $16,065 $192,780 17 $860 $0.74 2 BR / 1.5 BA 2 1,524 3,048 $1,025 $0.67 $2,050 $24,600 2 $903 $0.59 2 BR / 1.5 BA 44 1,564 68,816 $1,025 $0.66 $45,100 $541,200 41 $910 $0.58 3 BR / 2.5 BA 45 1,740 78,300 $1,095 $0.63 $49,275 $591,300 42 $992 $0.57 4 BR / 3.5 BA 1 2,079 2,079 $1,245 $0.60 $1,245 $14,940 1 $1,025 $0.49 4 BR / 3.5 BA 12 2,377 28,524 $1,345 $0.57 $16,140 $193,680 12 $1,206 $0.51

TOTALS / AVERAGES 149 1,510 224,993 $1,023 $0.68 $152,465 $1,829,580 140 $930 $0.64

VAL UE-ADD ASSUMP TIONS & SUMMARY VALUE-ADD / CAPITAL NEEDS REN T PREMIUMS (ON LEASE RE NT) RETURN ON TMENT INVES Value Add Cost (149 units at $6000 / Unit) $894,000 1 BR Units $118 MonthlyPremium $28,557 Additional Capital Needs $0 2 BR Units $201 Annual Premium $342,689 Total Cost $894,000 3 BR Units $208 ROI 38% 4 BR Units $250

40 THE LIFE AT SNAPFINGER WOODS

COMP PROPERTY (3 MILES) AUGUST 2018 AUGUST 2018 JULY 2018 T-12 ACTUAL T-7 ANNUALIZED T-3 INCOME / T-7 EXPENSES PRO FORMA TOTAL PER UNIT TOTAL PER UNIT TOTAL PER UNIT TOTAL PER UNIT PER MONTH INCOME 1 Scheduled Market Rent $1,658,880 $7,680 $1,547,573 $10,386 $1,546,368 $10,378 $1,829,580 $12,279 $152,465 2 Pro Forma Upgrade Premium 56,840 381 4,737 3 Gain/(Loss) to Lease 184,194 11.1% (37,728) -2.0% (3,144) Total Gross Potential $1,843,074 $8,533 $1,547,573 $10,386 $1,546,368 $10,378 $1,848,692 $12,407 $154,058 4 Vacancy (109,198) -5.9% (271,777) -17.6% (194,303) -12.6% (92,435) -5.0% (7,703) 5 Non-Revenue Units (1,447) -0.1% (18,487) -1.0% (1,541) 6 Bad Debt/Write-Offs (60,434) -3.3% (191,613) -12.4% (206,889) -13.4% (55,461) -3.0% (4,622) 7 Concessions (16,656) -0.9% (17,651) -1.1% (27,654) -1.8% (18,487) -1.0% (1,541)

Net Rental Income $1,655,339 $7,664 $1,066,532 $7,158 $1,117,522 $7,500 $1,663,822 $11,167 $138,652 Water/Sewer Income 133,596 619 74,168 498 76,406 513 75,652 508 6,304 Trash Income 21,468 99 4,182 28 7,346 49 4,266 29 355 Other Income 120,182 556 140,436 943 168,823 1,133 143,244 961 11,937

Total Other Income $275,246 $1,274 $218,786 $1,468 $252,575 $1,695 $223,161 $1,498 $18,597 Total Operating Income $1,930,585 $8,938 $1,285,318 $8,626 $1,370,097 $9,195 $1,886,984 $12,664 $157,249

EXPENSES Electric - Common Area $38,962 $180 $53,349 $358 $53,349 $358 $54,416 $365 4,535 8 Electric - Vacant 13,248 61 36,669 246 36,669 246 14,900 100 1,242 Water/Sewer 124,835 578 70,096 470 70,096 470 71,498 480 5,958 Trash Removal 34,766 161 32,125 216 32,125 216 32,768 220 2,731 Subtotal Utilities 211,811 981 192,240 1,290 192,240 1,290 173,582 1,165 14,465 9 Landscaping 26,466 123 9,086 61 9,086 61 18,625 125 1,552 10 Turnover 56,840 263 38,187 256 38,187 256 37,250 250 3,104 11 Repairs & Maintenance 123,123 570 42,957 288 42,957 288 44,700 300 3,725 Subtotal Repairs & Maintenance 206,429 956 90,230 606 90,230 606 100,575 675 8,381 12 Payroll & Burden 284,866 1,319 173,854 1,167 173,854 1,167 173,460 1,164 14,455 13 General & Administrative 95,651 443 74,302 499 74,302 499 52,150 350 4,346 14 Advertising 25,390 118 18,447 124 18,447 124 22,350 150 1,863 15 Property Management Fee 73,297 3.8% 36,035 2.8% 36,035 2.6% 56,610 3.0% 4,717 16 Real Estate Taxes 91,484 424 72,960 490 72,960 490 209,497 1,406 17,458 17 Property Insurance 67,109 311 42,993 289 42,993 289 33,525 225 2,794 18 Capital Reserves 37,250 250 3,104

Total Operating Expenses $1,056,037 $4,889 $701,060 $4,705 $701,060 $4,705 $858,998 $5,765 $71,583

NET OPERATING INCOME $874,548 $4,049 $584,258 $3,921 $669,037 $4,490 $1,027,986 $6,899 $85,665

Unless otherwise noted on the footnotes page, Pro forma figures are based on a 2.0% increase over the respective August 2018 T-7 Annualized figure.

41 FINANCIALINVESTMENTANALYSISSUMMARY THE LIFE AT SNAPFINGER WOODS

HISTORICAL & PRO FORMA INCOME FOOTNOTES HISTORICAL & PRO FORMA EXPENSE FOOTNOTES 1 Scheduled Market Rent 8 Electric - Vacant The Scheduled Market Rent of $1,829,580, or $152,465 per month, is based on the current The pro forma Electric - Vacant expense is based on a typical figure of $100/unit. market rent shown on the Market Rent Schedule dated 10-03-18. 9 Landscaping 2 Pro Forma Upgrade Premium The pro forma Landscaping expense is based on a typical figure of $125/unit. The pro forma assumes the property will begin upgrades in Year 1. Proposed upgrades 10 Turnover are expected to take approximately 3 years to complete. The anticipated gain through The pro forma Turnover expense of $250/unit is based on $500/turn and 50% turnover. rent premiums for the upgrades is expected to be around $56,840/year throughout the 11 course of the upgrade period. Repairs & Maintenance The pro forma Repairs & Maintenance expense is based on a typical figure of $300/unit. 3 Gain/(Loss) to Lease 12 Payroll & Burden The pro forma assumes Gain/(Loss) to Lease to be -2.0% of Scheduled Market Rent. PAYROLL ANNUAL PAY/BONUS BURDEN TOTAL 4 Vacancy Property Manager $42,000 $7,560 $49,560 The pro forma assumes vacancy equivalent to -5.0% of the Gross PotentialIncome. Leasing Agent $30,000 $5,400 $35,400 5 Non-Revenue Units Subtotal Office/Leasing $84,960 The pro forma assumes Non-Revenue Units equivalent to -1.0% of the Gross Potential Maintenance Supervisor $45,000 $8,100 $53,100 Income. Maintenance Tech $30,000 $5,400 $35,400 6 Bad Debt/Write-Offs Subtotal Maintenance $88,500 The pro forma assumes Bad Debt/Write-Offs of -3.0% of pro forma Gross Potential Income. Total $147,000 18% $173,460 Total/Unit $1,164 7 Concessions Pro forma assumes concessions of -1.0% of Gross Potential Income. 13 General & Administrative The pro forma General & Administrative Expense is based on a typical figure of $350/ unit. 14 Advertising The pro forma Advertising expense is based on a typical figure of $150/unit. 15 Property Management Fee The pro forma Management Fee is 3.0% of Total Operating Income. 16 Real Estate Taxes PROPERTY TAXES State Georgia 2018 Tax Value $7,500,000 County DeKalb Assessed Value $3,000,000 City Unincorporated Millage Rate 43.990 mills Real Property Tax $131,970 Tax Assessment Ratio 40% Stormwater Fees $3,624 Tax Parcel ID Number(s) 16-009-01-005 Property Tax Rebate $0 Personal Prop/Bus Tax $0 2018 Total Property Taxes $135,594 17 Property Insurance The Pro forma Property Insurance is assumed to be $225/unit. 18 Capital Reserves The pro forma Capital Reserves are based on a typical $250/unit.

42