915-925 West Schubert Avenue Chicago, Il 60614

915-925 WEST SCHUBERT AVENUE CHICAGO, IL 60614

Offering Memorandum CONFIDENTIALITY AND 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. ZAB0370202

NON-ENDORSEMENT NOTICE

Marcus & Millichap Real Estate Investment Services, Inc. (“M&M”) 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 M&M, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of M&M, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

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. INVESTMENT SALES Kyle Stengle Senior Vice President Senior Director, Multifamily & Mixed Use Group CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5455 Fax: (312) 327-5410 [email protected] License: IL:475.138461

DEBT & STRUCTURED FINANCE Frank Montalto Director Marcus & Millichap Capital Corporation CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5421 Fax: (312) 277-6465 [email protected]

Dean Giannakopoulos Senior Vice President Marcus & Millichap Capital Corporation CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5423 Fax: (312) 277-6465 [email protected]

BROKER OF RECORD Steven Weinstock Marcus & Millichap REIS Chicago Oak Brook Office One Mid-America Plaza Suite 200 Oakbrook Terrace, IL 60181 T: (630) 570-2250 F: (630) 570-2323 License: IL 471.011175 [email protected]

EXECUTIVE SUMMARY DIVERSEY

CLARK

SUBJECT PROPERTY

WRIGHTWOOD

LINCOLN EXECUTIVE PRICE COMPARABLES SUMMARY 3 EXECUTIVE SUMMARY EXECUTIVE and New Cabinets Boiler Heated Building New Porches Parking Spaces and Two Area Back Yard Features Bike Room, Common Laundry and Storage Located in the Highly Desired Lincoln Park Neighborhood Located in the Highly Desired 29 Apartments Granite Countertops, Stainless Steel Appliances, Apartments Feature

■ ■ ■ ■ Investment Overview ■ ■ ■ to Lake Michigan, Lincoln Park boasts great beaches and luscious to Lake Michigan, Lincoln Park boasts great the area. parks all throughout with Lincoln Hall and other venues. Lincoln Park is home to numerous Lincoln Park is home to numerous with Lincoln Hall and other venues. Due to the close proximity along with boutique shops. national retailers younger crowd through concerts and special events around the holiday around concerts and special events through younger crowd landmark along is a neighborhood club Mines jazz season. Kingston The neighborhood of Lincoln Park draws in Chicagoans through its draws in Chicagoans through The neighborhood of Lincoln Park Lincoln Park Zoo list of places to go both day and night. never-ending a while also attracting area, into the families is a popular spot bringing LINCOLN PARK Authority’s (CTA) Diversey Brown Line train stop, and a six-minute Diversey Brown (CTA) Authority’s 8 bus stop. walk to CTA’s The subject property is a three-minute walk to Chicago Transit to Chicago Transit walk is a three-minute The subject property storage, a bike room, a common back yard space, and two parking space, and a common back yard storage, a bike room, is boiler heated. spaces. The property countertops, stainless steel appliances, new cabinets, hardwood cabinets, hardwood steel appliances, new countertops, stainless common laundry, features brick. The property floors, and exposed multifamily opportunity in the Lincoln Park neighborhood of Chicago, in the Lincoln Park neighborhood multifamily opportunity featuring granite consists of 29 apartments Illinois. The subject Marcus & Millichap is pleased to present this extremely well-located well-located this extremely present is pleased to & Millichap Marcus Property Summary Property

PRICE PRICE

LIST PRICE $6,250,000 CURRENT RENTABLE SF 11,450 SUMMARY

EXECUTIVE GROSS SF 13,740 CURRENT NOI $318,761 PROFORMA NOI $358,889 PRICE

FINANCIAL METRICS CURRENT CAP 5.10% PROFORMA CAP 5.74% CURRENT GRM 12.93

COMPARABLES PROFORMA GRM 11.63 PRICE/UNIT $215,517

FINANCING CURRENT LOAN AMOUNT $4,687,500 LTV 75% EQUITY $1,562,500 INT RATE 3.75% AMORT 360 DCR 1.22

PAYMENT ($260,503)

6 PRICE

INCOME AND EXPENSES CURRENT PROFORMA EXECUTIVE GROSS REVENUE $502,860 $531,960 SUMMARY VACANCY/CONCESSIONS 8% ($40,229) 3% ($15,959) UTILITY REIMBURSEMENT $14,940 $15,239 LAUNDRY INCOME $2,293 $2,293 OTHER INCOME $3,688 $3,762

EFFECTIVE GROSS $483,552 $537,295 PRICE

EXPENSES RE TAXES $68,171 $70,216

INSURANCE $5,495 $5,605 COMPARABLES UTILITIES ELECTRIC $1,965 $2,004 GAS $11,954 $12,193 WATER/SEWER $3,860 $3,938 TRASH REMOVAL $4,822 $4,919 CONTRACT SERVICES $5,878 $5,996 REPAIRS & MAINT (1) $20,000 $21,492 TURNOVER $8,304 $8,470 LEASING COMMISSIONS (2) $15,000 $17,732 MANAGEMENT 4% $19,342 4% $21,492 RESERVES $- $4,350

TOTAL EXPENSES $164,791 $178,406 EXPENSE RATIO 34% 33% EXPENSE PER UNIT $5,682 $6,152

NET OPERATING INCOME $318,761 $358,889 DEBT SERVICE ($260,503) ($260,503)

NET CASH FLOW AFTER DEBT $58,258 $98,387 CASH ON CASH RETURN 3.73% 6.30%

(1) Actaul T12 was $32,722 7 7 PRICE

RENT ROLL UNIT BED BATH SF CURRENT RENT PROFORMA RENT

915-1A 1 1 550 $1,770 $1,845 SUMMARY EXECUTIVE 915-1B 0 1 350 $1,350 $1,425

915-1C 0 1 350 $1,425 $1,500

915-1D 0 1 350 $1,410 $1,485

915-2A 1 1 550 $1,750 $1,825

915-2B 0 1 350 $1,300 $1,375

915-2C 0 1 350 $1,325 $1,400 PRICE 915-2D 0 1 350 $1,450 $1,525

915-3A 1 1 550 $1,750 $1,825

915-3B 0 1 350 $1,350 $1,425

915-3C 0 1 350 $1,350 $1,425

915-3D 0 1 350 $1,315 $1,390

925-1A 1 1 550 $1,800 $1,875

925-1B 0 1 350 $1,300 $1,375 COMPARABLES 925-1C 0 1 350 $1,350 $1,425

925-1D 0 1 350 $1,300 $1,375

925-1E 0 1 350 $1,400 $1,400

925-2A 1 1 550 $1,785 $1,860

925-2B 0 1 350 $1,295 $1,370

925-2C 0 1 350 $1,375 $1,450

925-2D 0 1 350 $1,350 $1,425

925-2E 0 1 350 $1,410 $1,485

925-3A 1 1 550 $1,750 $1,825

925-3B 0 1 350 $1,350 $1,425

925-3C 0 1 350 $1,350 $1,425

925-3D 0 1 350 $1,350 $1,425

925-3E 0 1 350 $1,395 $1,470

925-GE 0 1 350 $1,200 $1,275 * Ability to Expand Unit

925-GW 1 1 450 $1,600 $2,000 * Ability to Expand Unit

# OF UNITS 29 TOTAL 11,450 $41,905 $44,330

8 SALES AND RENT COMPARABLES 8 SALES COMPARABLES MAP

1) 1550 NORTH WIELAND STREET 11 2) 317 WEST EVERGREEN AVENUE

3) 1338 NORTH LA SALLE DRIVE ADDISON 10 9

L 4) 1540 WEST FULLERTON AVENUE A K CLARK E

S 5) 915 WEST MONTANA STREET H O BELMONT R E D 6) 1636 NORTH NORTH PARK AVENUE LINCOLN R IV E 7) 2450 NORTH CLYBOURN AVENUE

8) 4072 NORTH SHERIDAN ROAD 915 W SCHUBERT AVE 9) 3505 NORTH SHEFFIELD AVENUE

10) 3507 NORTH WILTON AVENUE 7 5 4 FULLERTON 11) 855 WEST GRACE STREET

CLYBOURN 0

6 NORTH 1

3 2 COMPARABLES

Sales Comparables EXECUTIVE SUMMARY SUBJECT PROPERTY 1 1550 NORTH WIELAND STREET | CHICAGO, IL 60610 Price $6,250,000 Sale Date 12/3/2018 CAP Rate 5.10% Price $24,500,000 GRM 12.93 CAP Rate 5.40% # of Units 29 GRM 12.96 Price/Unit $215,517 # of Units 61

SF 11,450 Price/Unit $401,639 PRICE SF 48,000

12 Studio/1-Bath, 43 1-Bed/1-Bath, 3 2-Bed/1-Bath. Buyer completed the transaction with a reverse 1031 exchange, and financing was secured for roughly half of the purchase price. Pro forma cap rate projected to be roughly 5.25%. COMPARABLES 2 317 WEST EVERGREEN AVENUE | CHICAGO, IL 60610 3 1338 NORTH LA SALLE DRIVE | CHICAGO, IL 60610 Sale Date 1/10/2020 Sale Date Under Contract Price $5,350,000 Price $2,800,000 CAP Rate 5.24% CAP Rate 5.19% GRM 11.15 GRM 12.82 # of Units 15 # of Units 7 Price/Unit $356,667 Price/Unit $400,000 SF 16,000 SF 9,700

New construction. (high taxes at 17% of gross). 4 2-Bed/1-Bath, 2 1-Bed/1-Bath, 1 4-Bed/2-Bath. Unit mix includes a 2 bedroom coach house. Pricing reflects a $2,080,000 loan assumption.

4 1540 WEST FULLERTON AVENUE | CHICAGO, IL 60614 5 915 WEST MONTANA STREET | CHICAGO, IL 60614 Sale Date 9/27/2019 Sale Date 5/8/2019 Price $10,635,000 Price $4,314,000 CAP Rate 5.20% CAP Rate 5.62% GRM 13.5 GRM 13.57 # of Units 25 # of Units 18 Price/Unit $425,400 Price/Unit $239,667 SF 40,000 SF 11,630

12 2-Bed/2-Bath, 12 3-Bed/1-Bath, and 1 retail space which was occupied at the time of the sale. 18 1-Bed/1-Bath. Sold as a condo de-conversion. Cap rate based off a reported NOI of $242,446. The sale was reportedly Lincoln Parks highest price per unit in 2019. 11 11 COMPARABLES

Sales Comparables

6 1636-1642 NORTH NORTH PARK AVENUE | CHICAGO, IL 60614 7 2450 NORTH CLYBOURN AVENUE | CHICAGO, IL 60614 Sale Date 9/5/2018 Sale Date 8/2/2019 SUMMARY EXECUTIVE Price $4,100,000 Price $4,400,000 CAP Rate 5.53% CAP Rate 5.32% GRM 12.65 GRM 13.14 # of Units 14 # of Units 8 Price/Unit $292,857 Price/Unit $550,000 SF 10,360 SF 10,400 PRICE

4 2-Bed/1-Bath, 10 1-Bed/1-Bath. NOI at the time of the sale reported to be $226,800. 8 3-Bed/2-Bath. Newly constructed property delivered in 2019. Cap rate estimated by given rental amounts per unit, and by using a 30% expense ratio to generate an NOI of $234,360.

8 4072 NORTH SHERIDAN ROAD | CHICAGO, IL 60613 9 3505 NORTH SHEFFIELD AVENUE | CHICAGO, IL 60657 Sale Date 7/18/2019 Sale Date 5/13/2019 Price $4,600,000 Price $1,350,000 COMPARABLES CAP Rate 5.70% CAP Rate 5.40% GRM 11.92 GRM 12.94 # of Units 16 # of Units 6 Price/Unit $287,500 Price/Unit $225,000 SF 21,264 SF 3,500

15 2-Bed/1-Bath, 1 1-Bed/1-Bath. Sold as a condo de-conversion. NOI in-place at the time of the 4 2-Bed/1-Bath, 1 2-Bed/2-Bath and 1 3-Bed/2-Bath. In-place NOI on the deal reported to be sale reported to be $298,353. $85,208 resulting in a 6.32% cap rate.

10 3507 NORTH WILTON AVENUE | CHICAGO, IL 60657 11 855 WEST GRACE STREET | CHICAGO, IL 60613 Sale Date 9/10/2019 Sale Date Under Contract Price $3,775,000 Price $4,000,000 CAP Rate 5.85% CAP Rate 5.78% GRM 12.39 GRM 12.55 # of Units 8 # of Units 12 Price/Unit $471,875 Price/Unit $333,333 SF 9,174 SF 15,000

8 3-Bed/2-Bath. Cap rate based off in-place NOI of $220,861 at the time of the sale. 4 2-Bed/1-Bath, 4 2-Bed/2-Bath, 2 3-Bed/1-Bath and 2 3-Bed/2-Bath. Current NOI on the deal reported to be $231,200.

CLARK RENT COMPRABLES MAP

1) 2555 NORTH CLARK STREET

2) 685 WEST WRIGHTWOOD AVENUE DIVERSEY

3) 800 WEST LILL AVENUE

4) 930 WEST ALTGELD STREET

5) 909 WEST MONTANA STREET 915 W SCHUBERT AVE 6 6) 512 WEST WRIGHTWOOD AVENUE

WRIGHTWOOD 1 LINCOLN 2

3 HALSTED 4

5 COMPARABLES

Apartment Rent Comparables EXECUTIVE SUMMARY

1 2555 NORTH CLARK STREET | CHICAGO, IL 60614 2 685 WEST WRIGHTWOOD AVENUE | CHICAGO, IL 60614 Unit Mix 1-Bed/1-Bath Unit Mix 1-Bed/1-Bath Square Feet 704 Square Feet 650 Rent $2,036 Rent $1,995 Rent/SF $2.89 Rent/SF $3.07 PRICE Stainless steel appliances, wide plank flooring, Stainless steel appliances, granite kitchen counter shower back-splash, quartz counter tops and tops, hardwood flooring throughout and dark wood individual heating and air conditioning. cabinets. COMPARABLES

3 800 WEST LILL AVENUE | CHICAGO, IL 60614 4 930 WEST ALTGELD STREET | CHICAGO, IL 60614 Unit Mix 1-Bed/1-Bath Unit Mix Studio/1-Bath Square Feet 530 Square Feet 464 Rent $1,879 Rent $1,815 Rent/SF $3.55 Rent/SF $3.91

Plank flooring, floor to ceiling windows, marble Hardwood flooring in living areas & carpeted counter tops, stainless steel appliances and in- bedrooms, stainless steel appliances, granite unit laundry. kitchen counter tops and in-unit laundry.

5 909 WEST MONTANA STREET | CHICAGO, IL 60614 6 512 WEST WRIGHTWOOD AVENUE | CHICAGO, IL 60614 Unit Mix Studio/1-Bath Unit Mix Studio/1-Bath Square Feet 500 Square Feet 380 Rent $1,875 Rent $1,495 Rent/SF $3.75 Rent/SF $3.93

Hardwood flooring throughout, modern kitchen Central heating and A/C, hardwood flooring with stainless steel appliances and quartz counter throughout, stainless steel appliances, and in-unit tops, marble bathroom flooring and in-unit laundry. laundry.

15 15

INVESTMENT SALES Kyle Stengle Senior Vice President Senior Director, Multifamily & Mixed Use Group CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5455 Fax: (312) 327-5410 [email protected] License: IL:475.138461

DEBT & STRUCTURED FINANCE Frank Montalto Director Marcus & Millichap Capital Corporation CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5421 Fax: (312) 277-6465 [email protected]

Dean Giannakopoulos Senior Vice President Marcus & Millichap Capital Corporation CHICAGO DOWNTOWN OFFICE Tel: (312) 327-5423 Fax: (312) 277-6465 [email protected]