CONFIDENTIAL

[Pages:22]CONFIDENTIAL

Offering Memorandum

El Paso on the Park

2009 El Paso Street Grand Prairie, TX 75051

Jon Krebbs

Managing Partner Phone: 972.379.9843

E-mail: jon.krebbs@

Paul Yazbeck

Managing Partner Phone: 972.379.9844

E-mail: paul.yazbeck@

Chase Davis

Vice President Phone: 972.465.9533

E-mail: chase.davis@

Will Clarke

Vice President Phone: 469.250.9714 E-mail: will.clarke@

Chibuzor Nnaji Jr.

Senior Advisor Phone: 469.426.1602 E-mail: chibuzor.nnaji@

Chris Siemasko

Senior Advisor Phone: 224.364.4058

E-mail: chris.siemasko@

Bryce Smith

Senior Advisor Phone: 469.607.3837

E-mail: bryce.smith@

Garrett Kinney

Senior Advisor Phone: 972.379.9843

E-mail: garrett.kinney@

Jay Kannaiyan

Senior Advisor Phone: 972.465.9533

E-mail: jay.kannaiyan@

Please do not disturb management or visit the office without an appointment.

The Blueprint

Location Overview............................ 4 Property Overview............................ 6 Rent Comparables......................... 20 Financial Overview......................... 26

Location

Saginaw

820

30 35

Benbrook

Southlake Keller

Bedford

114

183

35W

121 El Paso on the Park

183

Irving

Farmers Branch

35E

Richardson

75

Garland

635

Highland Park

Dallas

Mesquite

30

Fort Worth

820

30

Arlington

30

360

Grand Prairie

Balch Springs

20 Everman

Mansfield

20 Duncanville

Cedar Hill

DeSoto 35

Lancaster

Hutchins 45

North

4

5

Property Overview

The Multifamily Group is pleased to announce the opportunity to acquire El Paso on the Park, a 16 unit property located in Grand Prairie, Texas. Constructed in 1960, El Paso on the Park consists of 16 individually deeded townhome units that average 1,064 square feet.

Over the past year, ownership has spent approximately $350,000 on the interior and exterior renovations. Fifteen out of the 16 units have been renovated with interior upgrades consisting of stainless-steel appliances, brushed nickel fixtures, and vinyl plank flooring. Exterior renovations include patio fences, exterior LED lighting in the front and back of property as well as the parking lot, fresh paint on all buildings, solar screens placed on front windows, house metering on building 2, replaced all A/C disconnects on condensers on the roof, and other various deferred maintenance repairs. Additionally, ownership has replaced the roofs on two buildings and their side of the third building within the last twelve months.

New ownership is presented with the opportunity to renovate remaining unit to achieve an upside in rent $200/unit.

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New owners could also acquire the additional four townhomes in building 3 that have not been rehabbed and achieve rent growth through interior renovations. There is currently no HOA in place at the property, tenants pay all utilities, and taxes are historically low due to the property being appraised as single-family dwellings.

El Paso on the Park sits across the street from Nance-James Park, a public park maintained by the City of Grand Prairie equipped with a playground, basketball court, and picnic area. The property is conveniently located 2.5 miles from the I-30 and President George Bush Turnpike (132,833 VPD), both major traffic arteries serving the DFW Metroplex. The asset is also situated 16 miles from Downtown Dallas and 20 miles from Downtown Fort Worth, and is within ten minutes of popular local attractions such as Grand Prairie Premium Outlet Mall, Lone Star Park, Epic Waters Indoor Waterpark, and Ripley's Believe It or Not exhibit. El Paso on the Park is also less than five miles from Rangers Ballpark, AT&T Stadium, and Six Flags Over Texas. The property sits just twelve miles from DFW International Airport as well as nineteen miles from Dallas Love Field Airport.

Value-Add Opportunities

? Renovate Remaining Unit - Renovated units are attaining a $200/unit rent increase ? Acquire Additional 4 Contiguous Units ? Install Covered Parking and Charge a Premium for Spaces

Highlights

? Stable ? 100% Occupied ? Ownership has Spent ~$350,000 on property renovations over the past year ? Opportunity to invest in the heart of the metroplex close to major thoroughfares in DFW ? Across the street from Nance-James Park, a public park maintained by the City of Grand

Prairie equipped with a grilling area, playground, and basketball court ? Offered free and clear of debt

Summary

Terms Units Year Built Occupancy Average Unit Size Average In Place Rent Electricity HVAC Hot Water

Free and Clear 16

1960 100% 1064 SF $1,085 Tenant Pays Individual Individual - Gas

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Property Details

General

Terms Address

Year Built Units Net Rentable SF Average Unit Size Site Size Density Occupancy

Construction

Foundation Exterior Roof Number of Buildings

Mechanical

HVAC Hot Water Wiring Plumbing

Utilities

Electricity Water/Sewer Gas Cable/Internet

Laundry / Washer and Dryers

Laundry

Parking

Paving Total Spaces

8

Free and Clear 2009 El Paso Street

Grand Prairie 1960 16

17,024 1064 SF 1.19 Acres 13.4 Units/Acre 100.0%

Slab Brick TPO

3

Individual Individual - Gas Aluminum Wiring w/ GFCIs - 70% New Copper Feed Panels Cast Iron and PVC

Tenant Pays Tenant Pays Tenant Pays - Gas stoves Tenant Pays

Washer & Dryer Connections In Each Unit

Concrete 32

Tax Information

County CAD Account No. Tax Rate

Tax Detail

Assessed Value City ISD County College Hospital Total

School Information

School District Elementary Middle School High School

Leasing Fees

Application Fee Administration Fee Security Deposit Pet Deposit Pet Rent Reserved Parking Trash Fee Pest Control Fee Month-to-Month Fee

Dallas Each Unit Is Its Own Parcel

2.92%

$425,600 0.669998 1.595000 0.253100 0.124000 0.279400 2.921498%

Grand Prairie David Daniels

John Adams Grand Prairie

$50 - Anyone Over 18; $90 - Couples $300 $0 $300 $20 N/A $0 $0 $100

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Amenities

Unit Amenities

? Stainless Steel Appliances ? Brushed Nickel Finishes ? Solar Screens ? Vinyl Plank Flooring ? Large Backyard for Each Unit ? Large Closets ? Gooseneck Faucet ? Washer and Dryer Connections in Each Unit ? Gas Stoves ? 2" Faux Blinds ? Individual Storage Units ? Two Rear Parking Spots per Unit

10

Area Demographics

? The property is located in one of the best performing submarkets in the DFW area (26th out of 114 submarkets) with an average year-over-year rental growth rate of 3.7%

? Population in a 1 mile radius is expected to increase 7.6% over the next 5 years, creating a consistent demand

? El Paso on the Park sits across the street from Nance-James Park, a public park maintained by the City of Grand Prairie equipped with a grilling area, playground, and basketball court

? Median household income for a 1 mile radius around the property is ~40K/year, creating a strong renter by necessity market

? The property sits just 2.5 miles from President George Bush Turnpike (Hwy 161) and I-30, a major artery in the DFW metroplex that provides quick and convenient access to Dallas, Irving, Carrollton, and Fort Worth

? El Paso on the Park is conveniently located within 15 minutes of some of the area's largest employers, including UT Arlington, American Airlines, Texas Health Resources, General Motors, and D.R. Horton

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Economic Drivers

1. University of Texas at Arlington The second largest employer in the area and the fourth largest public university in Texas with a Fall 2018 enrollment of 42,496. UT Arlington has a 13.6 billion economic impact on the State of Texas.

2. GM Assembly Plant Pays $1 million in wages daily and produces about 1,200 vehicles every day. In 2015, GM announced it was investing $1.4 billion in updating and retooling the plant.

3. AT&T Stadium (Dallas Cowboys) The fourth largest NFL stadium with a maximum capacity of 105,000. AT&T stadium is a multipurpose venue constructed in 2009 for $1.3 billion, and brings $12 million in special events and $7 million in tour revenue to the area.

4. Texas Live! (Texas Rangers) $250 million entertainment complex recently opened in 2018 includes: Live! By Loews, a $150 million hotel, 200,000 SF of restaurants and retail, and 35,000 SF of office space, will bring 3,000 new jobs and 3 million more annual tourists.

5. Great Southwest Industrial District Home to 1,600 companies and 60,000 employees.

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4 3

Arlington

1

303

30

North

2

360

El Paso on the Park

5

20 13

Additional Photos

14

15

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