Offering Memorandum 3750 Jasmine Ave ™ LOS ANGELES, CA CONTENTS

04 PROPERTY OVERVIEW 06 AREA OVERVIEW 12 FINANCIAL OVERVIEW

EXCLUSIVELY LISTED BY:

DANIEL WITHERS Senior Vice President - Multifamily Direct +1 818 923 6107 Mobile +1 310 365 5054 [email protected] License No. 01325901 (CA)

CO-LISTED WITH:

JEFFREY LOUKS Marcus and Millichap Direct +1 818 212 2780 Mobile +1 310 941 5899 [email protected] License No. 00908473 (CA) 3750 Jasmine Ave LOS ANGELES, CA

™ CULVER CITY

VENICE BLVD

3 | PROPERTY SECTION OVERVIEW 01

| 4 3750 Jasmine Ave LOS ANGELES, CA

LOCAL MAP PROPERTY OVERVIEW 3750 Jasmine Avenue is a 40-unit apartment building located in close proximity to Downtown Culver City. Built in 1976, the property is situated on Jasmine Avenue just off Venice Boulevard walking distance to the trendy restaurants, shopping, entertainment and night life that the area has to offer.

The two-story property consists of thirteen studios and twenty-seven one-bedroom, one-bathroom units. Key property features include private balconies, controlled gated access, secured reserved parking and an on-site laundry facility.

The location boasts easy access to the Culver City Metro Station which has transit lines connecting the area to Santa Monica and Downtown Los Angeles as well as to both the 405 and 10 Freeways. The area is currently booming with large companies that are currently located and moving to the immediate area including Sony, Amazon, Apple, Google and HBO.

Current rents are significantly below market and buyer could have tremendous upside as units turn.

PROPERTY HIGHLIGHTS • 40-Units, Built in 1976

• Unit Mix: (13) Studios, (27) 1+1

• Walk Score of 92 – Walker’s Paradise

• Short Walk to Downtown Culver City

• Located in proximity to the Culver City Metro Station

• Extremely low rents with tremendous upside as units turn

• Minutes away from cafes, restaurants, coffee shops, entertainment, and night life

• Growing entertainment and tech hub with local employers including HBO, Google, Apple, Amazon and Sony

• 27,022 square foot building on a 21,655 square foot lot zoned LAR3

5 | AREA SECTION OVERVIEW 02

| 6 LOS ANGELES, CA As the second largest metropolitan area in the United States, the Los Angeles Metropolitan Statistical Area, or the Southland, consists of both Los Angeles and Orange Counties. These two counties also make up the inner core of the Greater Los Angeles urbanized region. Los Angeles County, one of California’s original 27 counties, is one of the nation’s largest counties both in land area and population. With nearly 10 million residents, the Los Angeles population accounts for approximately 27 percent of California’s population. The area continues to grow, especially given the vigorous residential development in downtown LA.

Famously known for a heavily entertainment industry based economy, the Los Angeles metropolitan area attracts many visitors. Consequently, leisure and hospitality is also a leading industry and has experienced recent growth in employment. It is now the sixth largest hotel market in the United Sates. The Los Angeles-Orange County metro area alone has an enormous economy with an estimate $866 billion GMP. Together with Ventura, Riverside and San Bernardino Counties, Orange and Los Angeles county make up the Greater Los Angeles Area, a combined statistical area that is the third largest economic center in the world after the Greater Tokyo and New York metropolitan areas.

LARGE FUTURE HEADQUARTERS TO SEVERAL INCREASING ECONOMY POPULATION GROWTH ENTERTAINMENT STUDIOS

CULVER CITY, CA ECONOMY

Culver City is quickly becoming a major hub for new media ventures, as Amazon recently Culver city continues to be sought after by both people and businesses looking to call announced plans to lease 280,000 square feet of space at the Culver Studios, which is home. Culver City’s studios, officially nicknamed “The Heart of the Screenland” have just a few blocks from the Apple site. produced hundreds of award winning films.

Culver city is a hip, modern, and progressive community that sits right between the While media is still king in Culver City and has a heavy presence, start-ups including beach and downtown Los Angeles. Culver City combines unique restaurants and Criteo, MeUndies, and Steelhouse all make their homes in town and more are likely to entertainment with a rapidly expanding multimedia hub. Culver City is an ideal retail follow. location on Los Angeles’ Westside, just minutes from LAX, Marina Del Rey, Santa Monica, and Downtown Los Angeles. Surrounded by nearly 295,000 households within TOP EMPLOYERS a five mile radius, and a network of high-volume freeways (the 405 (San Diego) and the 10 (Santa Monica), Culver City offers great opportunity for businesses.

A daytime population of 60,000 creates tremendous demand for retail and personal services in the City’s business districts. Culver City captures more than twice its share of Los Angeles County employment and 3x its share of sales tax revenues.

7 | DEMOGRAPHICS

POPULATION 1-MILE 3-MILE 5-MILE 2010 Census 50,621 287,837 814,277 2019 Estimate 51,960 297,760 851,630 2024 Projection 53,219 305,811 876,266 Growth 2010-2019 2.65% 3.45% 4.59% Growth 2019-2024 2.42% 2.70% 2.89%

HOUSEHOLDS 1-MILE 3-MILE 5-MILE 2010 Census 23,979 123,319 358,372 2019 Estimate 24,647 127,539 375,519 2024 Projection 25,272 130,987 386,823 Growth 2010-2019 2.79% 3.42% 4.79% Growth 2019-2024 2.54% 2.70% 3.01%

INCOME 1-MILE 3-MILE 5-MILE 2019 Avg. $102,807 $120,796 $121,195 Household Income

126,683 $100,081 3.4% POPULATION MEDIAN UNEMPLOYMENT HOUSEHOLD INCOME RATE

| 8 PLATFORM This luxury shopping complex has brought nearly 20 high-end eateries and shops to Culver City, with outposts of Blue Bottle Coffee and Van Leeuwen, as well as mindful-living staples like Sweetgreen and SoulCycle, and the meat-centric butcher/restaurant the Cannibal. The colorful complex sits just across the street from the Culver City Metro stop, making it both a convenient stop on the way to Santa Monica and a destination in its own right.

CULVER HOTEL Culver City‘s historic Culver Hotel was once the part-time residence to Old Hollywood, from and to and . Charlie Chaplin supposedly sold the hotel to for a buck, while tales of apparitions surround the Neo-Renaissance–designed hotel. Locals and tourists alike can drop in for a nightcap at the hotel‘s lobby bar, while overnight guests can lie their heads at one of the 46 newly renovated rooms.

KENNETH HAHN STATE RECREATION AREA Griffith may get all of the attention, but Kenneth Hahn is impressive in both size and topography for a park in the middle of the Westside. On top of the usual list of amenities, the Culver City-adjacent park contains a lotus pond, fishing lake and sand volleyball court. But the urban oasis really establishes itself with more than seven miles of walking and hiking trails through the Baldwin Hills, with views of almost every corner of the LA Basin—from the South Bay and the Pacific Ocean to Downtown and the San Gabriel Mountains. 9 | HBO AMAZON STUDIOS HBO has agreed to lease a five-story office building under construction on Amazon has recently moved into Culver City, making a statement that the Venice Boulevard in Culver City as the premium cable network cements tech empire is moving to Culver City. The full Culver Studios redevelopment, plans to abandon its longtime corporate offices in Santa Monica. HBO’s referred to as the “innovation plan,” will grow the existing campus from new home — beginning in 2021 — will be part of the Ivy Station mixed- roughly 358,000 square feet of studios and media production space to an use development, a $350-million project that will include apartments, over 720,850-square-foot complex with production space, sound stages, restaurants and shops. The site is adjacent to the of the and offices designed by Gensler. Metro Expo Line.

New additions to the studio site will include five new office buildings and The area is turning into a central hub for entertainment studios. News of two new parking structures with over 1,900 parking spaces for studio the eventual move comes as HBO undergoes a major revamp as its new workers. Amazon will lease four of the five new office buildings. corporate bosses prepare to launch a streaming service later this year to compete with Apple, Netflix Inc., Amazon.com Inc. and Walt Disney Co.

APPLE GOOGLE Apple announced plans to boost its L.A. presence, saying it expects to have more than 1,000 employees in Culver City, Calif., over the next three Google recently locked down nearly 585,000 SF of office space at Westside years, including its growing entertainment team. The move is part of the Pavilion with a 14-year lease. The development is scheduled to be complete tech giant’s broader initiative to create 20,000 jobs in the U.S. by 2023 and in 2022 and will be known as One Westside, a first-ofits-kind conversion includes a new $1 billion facility in North Austin, Texas. from shopping mall to creative office. The multiple year commitment made by Google, a company with an already long list of office space on the Earlier this year Apple agreed to lease a new 128,000-square-foot office Westside, further demonstrates the value and high demand for space in building in Culver City, set to open in late 2019, after HBO nixed plans to West Los Angeles. move to the site. Apple is expected to move its Worldwide Video group, led by Zack Van Amburg and Jamie Erlicht, to the new facility. Lincoln Property Co. is developing the four-story project, which will feature floor-to-ceiling windows on its upper levels. Apple also has other office space in Culver City.

| 10 11 | FINANCIAL SECTION OVERVIEW 03

| 12 INVESTMENT SUMMARY

3750 Jasmine Ave Property Address: Los Angeles, CA 90034 Number of Units: 40 Year Built: 1976 APN: 4313-005-021 Gross Sq. Ft.: 27,022 Average S.F. Per 676 Unit: Lot Size (Acres): 0.50 Density: 80

CURRENT MARKET OFFERING PRICE PRICE/UNIT PRICE/FOOT CAP RATE GRM CAP RATE GRM

$11,000,000 $275,000 $407.08 2.73% 18.27 6.28% 10.95

UNIT MIX TOTAL UNIT UNIT MIX CURRENT CURRENT MARKET MARKET RENT UNITS MIX % AVG. RENT MONTHLY RENT MONTHLY RENT 13 Studio 33% $1,258 $16,355 $1,850 $24,050

27 1+1 68% $1,242 $33,521 $2,200 $59,400

Scheduled Monthly Rent: $49,876 $83,450

Scheduled Yearly Rent: $598,512 $1,001,400

13 | ANNUAL OPERATING SUMMARY

CURRENT MARKET Scheduled Gross Income: $598,512 $1,001,400 67% Upside Less Vacancy Reserve: $18,063 3.0% $30,150 3.0% Laundry Income: $3,600 $3,600 Gross Operating Income: $584,049 $974,850 Expenses: $283,684 47.4% $283,684 28.33% * Net Operating Income: $300,365 $691,166 Pre-Tax Cash Flow: $300,365 2.73% $691,166 6.28% ** Total Return Before Taxes: $300,365 2.73% $691,166 6.28% ** * As a percent of Scheduled Gross Income ** As a percent of Down Payment

PRO FORMA ANNUAL OPERATING EXPENSES

PRO FORMA ESTIMATES % OF SGI CURRENT PER UNIT MARKET PER UNIT % OF SGI Property Taxes 1.196% x Sale Price 22.53% $131,565 $3,289 $131,565 $3,289 13.1% Off-Site Management 4.0% x GOI 4.00% $23,362 $584 $23,362 $584 2.3% Insurance $528 X Units 3.62% $21,124 $528 $21,124 $528 2.1% Reserves $250 x Units 1.71% $10,000 $250 $10,000 $250 1.0% Payroll $666 x Units 4.56% $26,632 $666 $26,632 $666 2.7% Repairs & Maintenance $753 x Units 5.15% $30,106 $753 $30,106 $753 3.0% Landscaping $94 x Units 0.64% $3,750 $94 $3,750 $94 0.4% Utilities $615 x Units 4.22% $24,618 $615 $24,618 $615 2.5% Trash $313 x Units 2.14% $12,527 $313 $12,527 $313 1.3% Total Expenses 48.57% $283,684 $7,092 $283,684 $7,092 28.3% CURRENT PER UNIT % OF SGI Non-controllable expenses: Taxes, Ins., Reserves: $162,689 $4,067 27.2% Total Expense without Taxes $152,119 $3,803 25.42%

| 14 RENT ROLL

UNIT MIX RENT MARKET RENT 101 1+1 $1,166 $2,200 102 1+1 $1,595 $2,200 103 Studio $1,256 $1,850 104 1+1 $896 $2,200 105 Studio $1,060 $1,850 106 1+1 $1,450 $2,200 107 1+1 $1,219 $2,200 108 Studio $1,450 $1,850 109 1+1 $1,174 $2,200 110 Studio $1,261 $1,850 111 1+1 $1,174 $2,200 112 Studio $1,123 $1,850 113 Studio $1,645 $1,850 114 1+1 $1,014 $2,200 115 1+1 $1,219 $2,200 116 1+1 $1,180 $2,200 117 1+1 $2,200 $2,200 118 Studio $1,215 $1,850 119 1+1 $2,200 $2,200 120 1+1 $940 $2,200 201 Studio $914 $1,850 202 1+1 $813 $2,200 203 1+1 $1,007 $2,200 204 1+1 $853 $2,200 205 1+1 $1,123 $2,200 206 1+1 $1,219 $2,200 207 1+1 $2,200 $2,200 208 1+1 $1,255 $2,200 209 1+1 $1,133 $2,200 210 Studio $1,645 $1,850 211 1+1 $878 $2,200 212 Studio $1,256 $1,850 213 Studio $1,180 $1,850 214 Studio $1,215 $1,850 215 1+1 $1,128 $2,200 216 1+1 $1,256 $2,200 217 1+1 $921 $2,200 218 Studio $1,135 $1,850 219 1+1 $1,180 $2,200 220 1+1 $1,128 $2,200 Totals: $49,876 $83,450 Averages: $1,247 $2,086 15 | SONY STUDIOS

| 16 17 | SALES COMPARABLES

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| 18 BUILDING PRICE PER PRICE PER PROPERTY YEAR BUILT SALE PRICE UNITS GRM CAP RATE SALE DATE SF UNIT SF

3750 Jasmine Ave, 1976 $11,000,000.00 27,022 40 $275,000 $407.08 18.27 2.73% - Los Angeles, CA

9714-9720 Regent St, 1 1970 $7,100,000.00 20,906 28 $253,571 $339.62 3.36% 1/14/19 Los Angeles, CA -

3633 Mentone Ave, 2 1975 $6,750,000.00 16,900 18 $375,000 $399.41 15.95 3.77% 1/22/19 Los Angeles, CA

3761 Jasmine Ave, 3 1969 $6,600,000.00 22,698 22 $300,000 $290.77 16.5 3.70% 8/23/18 Los Angeles, CA

3771 Jasmine Ave, 4 1957 $3,650,000.00 7,309 12 $304,167 $499.38 3.75% 6/12/18 Los Angeles, CA -

AVERAGES $308,185 $382.30 16.23 3.65%

19 | RENT COMPARABLES

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8 5 4

3

6 2 7

| 20 STUDIO UNITS

PROPERTY # of Units Year Built Floor Plan Asking Rent SqFt Rent PSF

3750 Jasmine Ave, 40 1976 Studio $1,258 - - Los Angeles, CA

3339 S. Canfield Avenue, 30 1971 Studio $1,950 850 $2.29 1 Los Angeles, CA

3430 S. Sepulveda Avenue, 81 1964 Studio $1,915 500 $3.83 2 Los Angeles, CA

3718 Clarington Avenue, 28 1958 Studio $1,745 - - 3 Los Angeles, CA

9404 Regent Street, 13 1958 Studio $1,850 500 $3.70 4 Los Angeles, CA

AVERAGES $1,865 617 $3.27

ONE BEDROOM UNITS

PROPERTY # of Units Year Built Floor Plan Asking Rent SqFt Rent PSF

3750 Jasmine Ave, 40 1976 1+1 $1,242 - Los Angeles, CA -

9404 Regent Street, 13 1958 1+1 $2,250 650 $3.46 5 Los Angeles, CA

10900 Palms Boulevard, 6 20 1970 1+1 $2,295 800 $2.87 Los Angeles, CA

3506 S Bentley Avenue, 7 16 1970 1+1 $2,250 850 $2.65 Los Angeles, CA

3519 Clarington Avenue, 8 29 1963 1+1 $2,295 800 $2.87 Los Angeles, CA

AVERAGES $2,273 775 $2.96

21 | CONFIDENTIALITY AGREEMENT & DISCLAIMER

This Offering Memorandum contains select information pertaining to the business and affairs in 3750 Jasmine Ave, Los Angeles, CA (“Property”). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum for the Property, you agree:

1 . The Offering Memorandum and its contents are confidential; 2. You will hold it and treat it in the strictest of confidence; and 3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

| 22 ™

EXCLUSIVELY LISTED BY:

DANIEL WITHERS Senior Vice President - Multifamily Direct +1 818 923 6107 Mobile +1 310 365 5054 [email protected] License No. 01325901 (CA)

CO-LISTED WITH:

JEFFREY LOUKS Marcus and Millichap Direct +1 818 212 2780 Mobile +1 310 941 5899 [email protected] License No. 00908473 (CA)

3750 Jasmine Ave LOS ANGELES, CA

23 |