OFFERING MEMORANDUM CHINO HILLS DEVELOPMENT CHINO HILLS, CA 91709 CONFIDENTIALITY AND DISCLAIMER

The information contained in this Offering Memorandum (“Memorandum”) is proprietary and strictly confidential; it is intended to be reviewed only by the party receiving it from Broker and should not be made available to anyone else without the written consent of Broker. By retention or use of this Memorandum, you agree that its contents are confidential, that you will hold it in the strictest confidence, and that you will not disclose any of its contents contrary to these terms.

This Memorandum has been prepared to provide summary, unverified information to establish a preliminary level of interest in the subject property (“Property”). The information in this Memorandum has been obtained from sources Broker believes to be reliable; however, Broker has not conducted sufficient investigation to make any warranty or representation whatsoever including but not limited to the accuracy or completeness of the information, veracity or accuracy of the information, condition of the Property or its compliance or lack of compliance with applicable governmental requirements, developability, suitability or financial performance of the Property, income or expenses for 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 or 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 occupancy of the Property.

The Memorandum has selected information relating to the Property and does not purport to be an all - inclusive representation regarding the Property or to contain all or part of the information which prospective investors may require to evaluate the purchase of the Property. Additional information and an opportunity to investigate the Property will be made available to interested and qualified prospective purchasers. All information is based on assumptions relating tothe general economy, market conditions, competition and other factors beyond the control of Broker, therefore, all information is subject to material variation. The information contained herein is not a substitute for a thorough due diligence investigation. Interested parties are expected to review all information of whatever nature independently and not rely on the contents of this Memorandum in any manner.

The Property owner (“Owner”) expressly reserves the right, at its sole discretion, to reject any or all Edwin Voskanian offers to purchase the Property, and/or to terminate discussions at any time with or without notice. 818.303.9903 The Owner shall have no legal commitment or obligation unless and until written agreement(s) [email protected] have been fully executed, delivered and approved by the Owner and any conditions to the Owner’s www.voskaniangroup.com obligations therein have been satisfied or waived.

CA BRE License #01526505, 01293659, 01434190 C

TABLE OF CONTENTS

4 INVESTMENT SUMMARY

5 PRICING OVERVIEW

9 LOCATION OVERVIEW

11 COMPARABLES

13 DEMOGRAPHICS

15 BROKER BIO THE PROPERTY

Voskanian Investment Group, Inc. is pleased to present this evaluation for the Chino Hills Development in Chino Hills, California. PROPERTY SUMMARY

• One of the proposed lots is already ADDRESS 1489 Red Apple Lane* Chino Hills, CA INVESTMENT SUMMARY improved with a 3,350 square foot house built in 1999. The market value of this * also recorded as Carving Canyon Road house is approximately $1,450,000! Please in certain county or city documents inquire with broker for further questions. COUNTY San Bernardino

• Project is located within the exclusive LAND SF 705,672 neighborhood of Chino Hills! LAND ACRES 16.2 • Exceptional opportunity for builder to move into a beautiful existing home and ZONING TYPE R-A design and build out the rest of the project! # OF PARCELS 3 • There is an easement for the rear five homes to be accessible from the main APN 1000-132-23 driveway at Red Apple on this property. 1000-132-24 1000-132-25

Chino Hills Development Chino Hills, CA • 4 PRICING OVERVIEW

APN 100013224 ASKING PRICE $1,450,000

ACRES 6.09

ASKING PRICE/ACRE $238,095

Chino Hills Development Chino Hills, CA • 5 PRICING OVERVIEW

APN 100013223 ASKING PRICE $675,000

ACRES 5.06

ASKING PRICE/ACRE $133,399

Chino Hills Development Chino Hills, CA • 6 PRICING OVERVIEW

APN 100013225 ASKING PRICE $675,000

ACRES 5.05

ASKING PRICE/ACRE $133,663

Chino Hills Development Chino Hills, CA • 7 PRICING OVERVIEW

APN 100013223 100013224 100013225 ASKING PRICE $2,800,000

ACRES 16.2

ASKING PRICE/ACRE $172,839

Chino Hills Development Chino Hills, CA • 8 ABOUT CHINO HILLS Chino Hills is well known for its high quality of life and beautiful rural atmosphere. It has a population of 84,364, has over 3,000 acres of publicly- owned open space, 44 parks, and 48 miles of trails. It is bounded by Los Angeles County cities of Pomona and Diamond Bar to the north/ northwest, Los Angeles County city Chino to the east, unincorporated Riverside County near Corona to the southeast, and the Orange County cities of Brea and Yorba Linda to the west and southwest. The eastern border of Chino Hills follows the Chino Valley Freeway (SR 71), which offers access to the Pomona Freeway (SR 60) and the Riverside Freeway (SR 91). Undeveloped hills form the western border, which also serves as the San Bernardino/Orange County line.

Due to its topography of rolling hills, Chino Hills was primarily rural prior to the mid-1970s; most land was utilized for equestrian purposes and

LOCATION OVERVIEW for dairies. Rapid and extensive housing developments followed throughout the 1980s and early 1990s. Most neighborhoods are arranged in a village-type format with strategically placed shopping centers and parks designed to be within walking distance of nearby homes.

The City of Chino Hills has been ranked #38 on Money magazine’s 2019 list of the “100 Best Places to Live.” According to the CNN/Money website, the list includes “the top 100 terrific cities that offer what American families care about most - strong job opportunities, great schools, low crime, quality health care, plenty to do, and a true sense of community.” Big League Dreams Chino Hills Sports Park is a 33-acre multi-use sports facility that attracts tournaments, visitors, and new commercial ventures to Chino Hills. Chino Hills is also home to The McCoy Equestrian & Recreation Center and the Greg Norman designed Vellano Country Club.

Chino Hills is also home to a professional workforce. Nearly 41.2% of Chino Hills’ adult residents have a bachelor’s degree or higher and the community ranks among the top 17 Southern California cities in its share of residents employed as scientist, professionals, or managers. Top employers include Chino Valley Unified School District, Costco, City of Chino Hills, Boys Republic, Kaiser Permanente Laboratory, and Albertsons.

Chino Valley Unified School District schools lead the County in API results. There are 10 elementary schools, two middle schools, and two high schools in the City of Chino Hills.

Chino Hills Development Chino Hills, CA • 9 ABOUT SAN BERNARDINO COUNTY

Located at the heart of Southern California, the County of San Bernardino is the largest county in the United States. It’s vast borders stretch from the greater Los Angeles area to the Nevada border and the Colorado River, encompassing a total area of 20,160 square miles. Comprised of 24 cities, the County of San Bernardino is home to more than two million residents. The county is commonly divided into three distinct areas, including the Valley Region (sometimes divided into East and West Valley), the Mountain Region, and the Desert Region. LOCATION OVERVIEW San Bernardino County is mostly undeveloped - more than three-quarters (80%) of San Bernardino County is vacant land. Industrial uses make up 0.8% of the county’s land use, followed by utilities (0.5%), agriculture (0.5%), transportation (0.4%), and parks (0.2%). Commercial uses, schools, offices, and government buildings each make up 0.1% or less of county land.

San Bernardino County has the fifth largest population in California. In July 2014, San Bernardino County’s population was estimated at over two million and is the twelfth most populous county in the nation. Since 2000, San Bernardino County’s population has grown by approximately 22%, with the population expected to reach about 2.66 million by 2035. This is equivalent to a growth rate of 27% between 2014 and 2035, which is toward the top of the range among other southern California counties, with Riverside County projected to grow the fastest at 33% and Orange County the slowest at 9%.

San Bernardino County has a skilled workforce of almost 900,000 people, and has access to over 21 millions strong regional consumer population. The County’s infrastructure and transportation assets provide unrivaled access to lucrative consumer and business markets. The region is the nation’s leading logistics, warehouse, and distribution market for a multitude of Fortune 500 firms thanks to a location of approximately 40 miles from the seaports of Los Angeles/Long Beach. The County also benefits from three large airports with spare capacity and available space nearby (ONT, SBD, and VCV). LA/Ontario International Airport (ONT) is a medium-hub, full-service airport with commercial passenger service to major U.S. cities. ONT is also a major cargo airport and serves as the UPS West Coast air hub. The busiest rail corridors in the U.S. run through the County. Union Pacific and BNSF rail lines connect the ports of Los Angeles/ Long Beach with designation east of the Rockies providing even more reason that the County is a great location for U.S. regional distribution centers.

The County of San Bernardino embarked on a bold mission to develop a Countywide vision. For the first time in its history, all of the County’s 24 cities and towns and County leadership worked together to create a vision for the future. This outreach included more than 25 groups of business leaders at specific subject area meetings ranging from the environment to home building, from transportation to education and from water to heath care. The vision matters to the businesses that are here and those that consider this region for future investment.

Located just east of Los Angeles, the County of San Bernardino is a haven for travelers and residents alike, dubbed “where the desert meets the water.” The county is the leading recreational area in South California, featuring four natural parks/preserves/forests, six ski resorts, nine large regional parks, Big Bear Lake, and Lake Arrowhead.

Chino Hills Development Chino Hills, CA • 10 ON MARKET

PROPERTY ASKING SF PRICE/SF ACRES PRICE/ACRE DAYS ON PROPOSED TOPOGRAPHY PRICE MARKET USE 1 Butterfield Ranch Rd & 71 UNDER Single Family 5,543,881 127.27 1,180 Chino Hills, CA 91709 CONTRACT Residences

2 LAND COMPARABLES Chino Hills Pkwy & Pipeline Ave $6,500,000 424,270 $15.32 9.74 $667,351 489 Senior Housing Level Chino Hills, CA 91709

AVERAGES 9,639 68.50 834

SUBJECT $2,950,000 705,672 $4.18 16.2 $182,099

Chino Hills Development Chino Hills, CA • 11 SOLD

PROPERTY SOLD PRICE SF PRICE/SF ACRES PRICE/ACRE SOLD DATE PROPOSED TOPOGRAPHY USE 1 15883 Berkley Ct Single Family $360,000 50,094 $7.19 1.15 $313,043 11/28/18 Sloping Chino Hills, CA 91709 Development

2 LAND COMPARABLES English Road Single Family $1,150,000 1,603,008 $0.72 36.8 $31,250 9/5/19 Chino Hills, CA 91709 Development

3 Fairfield Rach Business Center Soquel Canyon @ 71 Commercial, $3,100,000 234,788 $13.20 5.39 $575,139 4/1/19 Level Chino Hills, CA 91709 Office

$306,477 AVERAGES $1,536,667 629,297 $7.04 14.45

SUBJECT PROPERTY $2,950,000 705,672 $4.18 16.2 $182,099

Chino Hills Development Chino Hills, CA • 12 Chino Hills Development Demographics | 03

POPULATION 1 MILE 3 MILE 5 MILE HOUSEHOLDS 1 MILE 3 MILE 5 MILE

2000 Population 1,459 26,786 130,336 2000 Total Housing 525 8,275 40,758

2010 Population 1,752 27,234 139,409 2010 Total Households 606 8,647 44,001 2019 Population 1,946 28,532 149,982 2019 Total Households 676 9,091 46,919

2024 Population 2,039 29,234 155,294 2024 Total Households 707 9,303 48,318 2019 African American 66 1,111 5,196 2019 Average Household Size 2.88 3.13 3.19

2019 American Indian 14 117 632 2000 Owner Occupied Housing 464 7,057 33,619 2019 Asian 624 10,985 57,385 2000 Renter Occupied Housing 39 1,088 6,460

DEMOGRAPHICS 2019 Hispanic 503 7,296 39,144 2019 Owner Occupied Housing 624 7,349 37,269

2019 Other Race 124 1,889 11,660 2019 Renter Occupied Housing 53 1,742 9,651 2019 White 1,022 13,027 67,735 2019 Vacant Housing 14 93 1,182

2019 Multiracial 94 1,382 7,178 2019 Total Housing 690 9,184 48,101 2019-2024: Population: Growth Rate 4.70 % 2.45 % 3.50 % 2024 Owner Occupied Housing 653 7,558 38,535 2024 Renter Occupied Housing 54 1,745 9,783 2019 HOUSEHOLD INCOME 1 MILE 3 MILE 5 MILE 2024 Vacant Housing 15 103 1,302 less than $15,000 19 343 1,810 2024 Total Housing 722 9,406 49,620 $15,000-$24,999 16 227 1,373 2019-2024: Households: Growth Rate 4.50 % 2.30 % 2.95 % $25,000-$34,999 28 305 1,862 $35,000-$49,999 30 429 2,731

$50,000-$74,999 78 1,040 5,771 $75,000-$99,999 63 1,096 5,806

$100,000-$149,999 124 2,167 10,826 $150,000-$199,999 94 1,543 7,205

$200,000 or greater 224 1,943 9,535 Median HH Income $139,146 $120,045 $114,011 Chino Hills Development Demographics | 03 Average HH Income $176,277 $151,751 $147,414

POPULATION 1 MILE 3 MILE 5 MILE HOUSEHOLDS 1 MILE 3 MILE 5 MILE

2000 Population 1,459 26,786 130,336 2000 Total Housing 525 8,275 40,758 2010 Population 1,752 27,234 139,409 2010 Total Households 606 8,647 44,001

2019 Population 1,946 28,532 149,982 2019 Total Households 676 9,091 46,919

2024 Population 2,039 29,234 155,294 2024 Total Households 707 9,303 48,318 Source: esri 2019 African American 66 1,111 5,196 2019 Average Household Size 2.88 3.13 3.19

2019 American Indian 14 117 632 2000 Owner Occupied Housing 464 7,057 33,619 2019 Asian 624 10,985 57,385 2000 Renter Occupied Housing 39 1,088 6,460

2019 Hispanic 503 7,296 39,144 2019 Owner Occupied Housing 624 7,349 37,269 2019 Other Race 124 1,889 11,660 2019 Renter Occupied Housing 53 1,742 9,651

2019 White 1,022 13,027 67,735 2019 Vacant Housing 14 93 1,182 2019 Multiracial 94 1,382 7,178 2019 Total Housing 690 9,184 48,101

2019-2024: Population: Growth Rate 4.70 % 2.45 % 3.50 % 2024 Owner Occupied Housing 653 7,558 38,535 2024 Renter Occupied Housing 54 1,745 9,783 2019 HOUSEHOLD INCOME 1 MILE 3 MILE 5 MILE 2024 Vacant Housing 15 103 1,302 less than $15,000 19 343 1,810 2024 Total Housing 722 9,406 49,620 $15,000-$24,999 16 227 1,373 2019-2024: Households: Growth Rate 4.50 % 2.30 % 2.95 % $25,000-$34,999 28 305 1,862

$35,000-$49,999 30 429 2,731 Chino Hills Development Chino Hills, CA • 13 $50,000-$74,999 78 1,040 5,771 $75,000-$99,999 63 1,096 5,806 $100,000-$149,999 124 2,167 10,826

$150,000-$199,999 94 1,543 7,205

$200,000 or greater 224 1,943 9,535

Median HH Income $139,146 $120,045 $114,011 Average HH Income $176,277 $151,751 $147,414

Source: esri 2019 HOUSEHOLD OCCUPANCY-1 MILE 2019 HOUSEHOLD INCOME

$200,000 Vacant Housing 2%

Renter Occupied 8% DEMOGRAPHICS $150,000

$100,000

Owner Occupied Housing 90% $50,000 1 mile 3 mile 5 mile Average Income Median Income

2019 HOUSEHOLD INCOME 1 Mile 3 Mile 5 Mile 35.0%

30.0%

25.0%

20.0%

15.0%

10.0%

5.0%

0.0% $200,000 + $150,000-199,999 $100,000-149,999 $75,000-99,999 $50,000-74,999 $35,000-49,999 $25,000-34,999 $15,000-24,999 less than $15,000

Chino Hills Development Chino Hills, CA • 14 Edwin Voskanian, the owner of Voskanian Investment Group Inc, has been in the commercial real estate industry for over 17 years as a commercial real estate broker. He began his career with Marcus BROKER BIO & Millichap, a national investment real estate company, as an investment broker. Following the completion of a bachelor’s degree in Business Marketing from UNLV, Edwin began his ascent from Junior Agent to Associate and later to Senior Investment Associate, a highly distinguished position within the prestigious Marcus & Millichap Real Estate Investment Company. Through his tenure, Edwin has trained thirteen Junior Agents and established his team, Voskanian Investment Group, Inc. The team initially consisted of four agents and two staff members, all trained by Edwin. The group excelled in sales of investment properties, more specifically; industrial properties, retail properties, shopping centers and apartment buildings.

Additionally, Edwin has owned, operated and developed multi family and commercial real estate. However, his true passion lies in assisting industrial and retail property owners in creating value in their assets. Voskanian Investment Group, Inc. has to date, completed transactions spanning Retails Buildings, Shopping Centers, Apartment buildings, Office Buildings and Industrials Buildings totaling over $340,000,000 in sales volume.

Voskanian Investment Group Inc. is focused on the sale of Industrial and Retail properties. We accomplish this by having a thorough understanding of how to attain the highest possible prices, within a certain market, for apartment, industrial, retail and Land properties. This includes what is standard in the brokerage community including our evaluation of a property. This evaluation uses sales comps and rental comparable for evaluation of commercial or multi-family asset based on the income and what similar properties have sold for in the area. However, given how dynamic commercial properties can be, we dig deeper. We take into account traffic counts and demographics to determine the worthiness of the site and the asset. We focus on the local trade area which a property is located in, what industries and specific businesses are under or over supplied, in this trade area. These are just a sample of the tools and methods we can use to truly extract the maximum value of a property we work on.

NOTEWORTHY CLOSINGS PRODUCT TYPE # OF CLOSED VOLUME TRANSACTIONS Retail & Shopping Centers 51 $183,111,388

Apartments 67 $88,142,781

Office & Industrial 24 $74,017,500

Land/Development 8 $10,445,000

Chino Hills Development Chino Hills, CA • 15 Chino Hills Development Chino Hills, CA 91709

Exclusively Marketed By:

Edwin Voskanian 818.303.9903 [email protected] www.voskaniangroup.com

CA BRE License #01526505, 01293659, 01434190