Prime on the Hill

Page 1

PRIME ON THE HILL PROPOSAL

CONTENTS

LEAD AGENTS

Jordan Dickman

First Vice President Investments

Cincinnati Office

D. 513.878.7735

jordan.dickman@marcusmillichap.com

Nick Andrews

First Vice President Investments

Cincinnati Office

D. 513.878.7741

nicholas.andrews@marcusmillichap.com

Austin Sum

Senior Associate

Cincinnati Office

D. 513.878.7747

austin.sum@marcusmillichap.com

“OUR COMMITMENT IS TO HELP OUR CLIENTS CREATE

AND PRESERVE WEALTH BY PROVIDING THEM WITH

THE BEST REAL ESTATE INVESTMENT SALES, FINANCING, RESEARCH AND ADVISORY SERVICES AVAILABLE.”

04 26 36 42 52 62

NON-ENDORSEMENT & DISCLAIMER NOTICE

CONFIDENTIALITY DISCLAIMER

THIS IS A BROKER PRICE OPINION OR COMPARATIVE MARKET ANALYSIS OF VALUE AND SHOULD NOT BE CONSIDERED AN APPRAISAL. This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.

NON-ENDORSEMENT NOTICE

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.

01 - our advantage 02 - advanced strategy 03 - THE INVESTMENT 04 - local competitors 05 - FINANCIALS 06 - LOCAL MARKET SECTIONS

OUR ADVANTAGE

01
CALABASAS, CALIFORNIA | HQ 2,500 | EMPLOYEES 80+ | OFFICES

UNRIVALED SUCCESS IN THE MIDWEST

YOUR TEAM

JORDAN DICKMAN

FIRST VICE PRESIDENTS DIRECTOR, NMHG

NICK ANDREWS

FIRST VICE PRESIDENTS DIRECTOR, NMHG

CORPORATE SUPPORT

LIZ POPP

MIDWEST OPERATIONS MANAGER

JOSH CARUANA

VICE PRESIDENT

REGIONAL MANAGER

INDIANAPOLIS | CINCINNATI | LOUISVILLE | ST LOUIS | KANSAS CITY

AUSTIN SUM

SENIOR INVESTMENT ASSOCIATE

BRIAN JOHNSTON

INVESTMENT ASSOCIATE

AUSTIN Hall

INVESTMENT ASSOCIATE

ALDEN SIMMS

INVESTMENT ASSOCIATE

BROKER SUPPORT

SAM PETROSINO

VALUATION & RESEARCH

SKYLER WILSON

CLIENT RELATIONS MANAGER

JOHN SEBREE

SENIOR VICE PRESIDENT

NATIONAL DIRECTOR

NATIONAL MULTI HOUSING GROUP

MICHAEL GLASS

SENIOR VICE PRESIDENT

MIDWEST DIVISION MANAGER

NATIONAL DIRECTOR, MANUFACTURED HOME COMMUNITIES GROUP

BRITTANY CAMPBELL-KOCH

DIRECTOR OF OPERATIONS

ALEX PAPA

MARKETING COORDINATOR

Value of recently closed

$84.4 billion

transactions in most recent year

PREMIER INVESTMENT SERVICES

Marcus & Millichap is the premier commercial real estate investment services firm in the United States. Founded in 1971 on a unique model that matches each property with the largest pool of pre-qualified investors, we leverage nearly five decades’ worth of experience and relationships to handle all of your commercial real estate needs. Our team of more than 2,000 professionals in the U.S. and Canada focuses exclusively on real estate investment sales, financing, research, and advisory services.

FOUNDED IN 1971 ON A UNIQUE METHODOLOGY

LARGEST POOL OF PRE-QUALIFIED INVESTORS IN THE INDUSTRY

MOVES CAPITAL ACROSS OUR NETWORK OF INVESTMENT PROFESSIONALS

MORE THAN 2,000 INVESTMENT PROFESSIONALS IN THE U.S. & CANADA

ACCESS TO THE INDUSTRY’S

MATCHING BUYERS & SELLERS

RESULTING IN THE MOST EFFICIENT PROCESS OF LOCALLY, REGIONALLY & NATIONALLY.

WITH AN EXCLUSIVE FOCUS ON REAL ESTATE INVESTMENT SALES, FINANCING, RESEARCH, AND ADVISORY SERVICES
LARGEST POOL OF PRIVATE & INSTITUTIONAL INVESTORS

LEADING NATIONAL PLATFORM

#1 U.S. brokerage

In number of transactions

Marcus & Millichap is the premier commercial real estate investment services firm in the United States. Founded in 1971 with a unique model that matches each property with the largest pool of pre-qualified investors, we leverage nearly five decades of experience and relationships to handle all your commercial real estate needs. Our team of more than 2,000 professionals in the United States and Canada focuses exclusively on real estate investment sales, financing, research and advisory services.

1031 EXCHANGE LEADER

13,255 Transactions

In most recent year

6.74 Transactions closed Every Business Hour MOVING CAPITAL. MAXIMIZING VALUE.

We execute more tax-deferred exchanges than any other firm in the United States (32% of total transactions), and our market share is a direct benefit to clients. Over the years, we have developed the skills and expertise to maximize value and meet sensitive timelines required in a 1031 Exchange. With billions of dollars of commercial real estate exclusively listed with us at any time, motivated exchange buyers seek out Marcus & Millichap for quality investment opportunities. Through our industry-leading inventory, we deliver the best of both worlds – we maximize the value of your asset through our unparalleled marketing. We then help identify appropriate upleg options to execute a successful tax deferral acquisition.

80+ OFFICES THROUGHOUT THE UNITED STATES & CANADA

INVESTMENT OPTIONS & OPPORTUNITIES

The success of Marcus & Millichap is based on our collaborative culture of information sharing across our network of more than 2,000 investment professionals, which maximizes value for each of our clients.

Working with a unique platform that is antithetical to the concept of “pocket listings,” our investment professionals share all listings with the entire Marcus & Millichap team. Each professional specializes in a property type and has a database of local properties and owners, which is leveraged in every client assignment. Because each local agent specializes in a single product type in a specific geographic region, our clients have exposure across the U.S. and Canada with every investment..

Our foundation of information sharing maximizes pricing for our clients and gives us the largest inventory of any firm in the industry.

THE SIZE AND ACCESSIBILITY OF OUR INVENTORY ENABLES YOU TO SELL YOUR PROPERTY AND QUICKLY MOVE INTO ANOTHER PROFITABLE INVESTMENT.

2,000+ $84.4B

INVESTMENT PROFESSIONALS

VALUE OF RECENTLY CLOSED TRANSACTIONS IN MOST RECENT YEAR

LARGEST

INVENTORY OF PROPERTIES FOR ALL PRODUCT TYPES

THE NATION’S
3,859 3,378 EXCLUSIVE LISTINGS IN MOST RECENT YEAR RETAIL MULTIHOUSING OFFICE INDUSTRIAL LAND HOSPITALITY MIXED-USED SELF-STORAGE MANU HOUSING SENIOR HOUSING
GAIN ACCESS TO
EXCLUSIVE
4,400

GEOGRAPHIC BOUNDARIES

INBOUND / OUTBOUND

$2.1B - MW. OUTBOUND

$3.8B - MW. INBOUND

$9.2BB - W. OUTBOUND

$1.6B - W. INBOUND

$3.1B - S. OUTBOUND

$7.8B - S. INBOUND

$1.8B - TX/OK OUTBOUND

$6.4B - TX/OK INBOUND

$6.4B - NE. OUTBOUND

$1.4B - NE. INBOUND

$3.3B - MOUNTAIN OUTBOUND

$5.0B - MOUNTAIN INBOUND

AREN’T BOUND BY

GLOBAL CAPITAL GROUP

The Marcus & Millichap GLOBE Capital Group provides the opportunity to expose your property to more foreign buyers with the guided expertise of our senior investment specialists. Our firm is comprised of 80+ offices throughout the US and Canada, and we provide investors with exclusive investment opportunities, financing capabilities, research, and advisory services.

& MILLICHAP
MARCUS
GERMANY CHINA JAPAN SOUTH K SINGAPORE ISRAEL
OREA $2.08 BILLION $5.80 BILLION $22.58 BILLION $10.87 BILLION $49.65 BILLION $808 MILLION $4.84 BILLION $6.82 BILLION $2.14 BILLION
CANADA FRANCE
SWITZERLAND

PREMIER INVESTMENT SERVICES

LARGEST BUYER POOL

With more inventory than any other firm, buyers seek Marcus & Millichap to fulfill their investment acquisition needs.

MORE 1031 BUYERS COMPETITIVE

BID PROCESS

Our structured marketing process, coupled with the industry’s largest sales force, creates a competitive bidding environment for your listing

We maintain active relationships with the industry’s largest pool of 1031 exchange buyers, the most coveted buyers in the market.

This is why clients choose Marcus & Millichap over local, regional, or other national firms

#1 choice in multifamily

Marcus & Millichap’s National Multi Housing Group (NMHG) provides the industry’s most dynamic and effective marketplace for the acquisition and disposition of apartment properties. With multifamily specialists in offices throughout the U.S. and Canada, NMHG is the industry leader in apartment transactions, having successfully executed on our clients’ behalf more than $106 billion of sales volume in the past five years.

CBRE
MARCUS & MILLICHAP CUSHMAN & WAKEFIELD
JLL NKF NAI
COLLIERS INTERNATIONAL
LEE
COLDWELL BANKER 4,400 3,311 2,169 1,626 1,550 1,414 961 918 600 593
KELLER WILLIAMS
& ASSOCIATES

ADVISORY SERVICES ACROSS THE OWNERSHIP LIFE CYCLE

Whether you’re looking to buy, sell, refinance, or hold, Marcus & Millichap leverages real-time market research to assess local and national trends, with specialized focus on individual property types. Backed by the collaborative culture of industry experts, your local investment professional will walk you through each phase of your investment strategy.

INVESTOR CONCERNS

• Is holding my asset the most profitable choice in this market?

• How can I best take advantage of the capital markets to maximize my returns?

• Based on my investment risk tolerance and objectives, what opportunities should I consider?

INVESTOR CONCERNS

• Is now the right time to sell?

• How can I leverage the capital markets to maximize my results?

• How do I optimize my position via a disposition?

• What alternatives and associated

INVESTOR CONCERNS

• When is the right time to buy?

• What investment opportunities are available for my consideration?

• What are the risks in the current market?

• What are my financing options?

• How will an acquisition impact my portfolio’s returns?

MARCUS & MILLICHAP’S SOLUTIONS

• Strategic “hold” analysis

• Refinance and capitalization options

• Quarterly investment return analysis

• Ongoing market and submarket research

• Ongoing product-specific research

MARCUS & MILLICHAP’S SOLUTIONS

• Value and market positioning analysis

• Disposition buyer financing

• New acquisition financing

• 1031 exchange investment alternatives analysis

MARCUS & MILLICHAP’S SOLUTIONS

• Pre-acquisition analysis

• Financial investment analysis

• Market and submarket research

• Product-specific research

CAPITAL CORPORATION CAPABILITIES

MMCC—our fully integrated, dedicated financing arm—is committed to providing superior capital market expertise, precisely managed execution, and unparalleled access to capital sources, providing the most competitive rates and terms.

We leverage our prominent capital market relationships with commercial banks, life insurance companies, CMBS, private and public debt/equity funds, Fannie Mae, Freddie Mac, and HUD to provide our clients with the greatest range of financing options.

Our dedicated, knowledgeable experts understand the challenges of financing and work tirelessly to resolve all potential issues for the benefit of our clients.

WHY MMCC?

Optimum financing solutions to enhance value

Enhanced control through MMCC’s ability to qualify investor finance contingencies

Enhanced control through quickly identifying potential debt/equity sources, processing, and closing buyer’s finance alternatives

CLOSED 1,943 DEBT AND EQUITY FINANCINGS IN MOST RECENT YEAR

NATIONAL PLATFORM OPERATING WITHIN THE FIRM’S BROKERAGE OFFICES

$7.67 BILLION TOTAL NATIONAL VOLUME IN MOST RECENT YEAR

Enhanced control through MMCC’s ability to monitor investor/due diligence and underwriting to ensure timely, predictable closings

MARCUS & MILLICHAP
ACCESS TO MORE CAPITAL SOURCES THAN ANY OTHER FIRM IN THE INDUSTRY

SELECT CLIENTS

SELECT CLIENTS

FINISH LINE Location Louisville, KY Units 192 Seller Kenneth Delcore WOODS & GRINSTEAD Location Louisville, KY Units 100 Seller RPM BURLINGTON OAKS Location Burlington, KY Units 240 Seller Burns & Associates THE POPS Location Lexington, KY Units 96 Seller Sundance PRIME ON THE HILL Location Dayton, OH Units 100 Seller Prime Residence Group CLAYS POINT Location Elizabethtown Units 62 Seller Duplessis LOUISVILLE PORTFOLIO Location Clarksville, IN Units 508 Seller CAPREIT VAN BUREN VILLAGE Location Dayton, OH Units 500 Seller Dutton Investments BRYANT MERCER Location Columbus, OH Units 354 Seller ROCO / National Equity BERKSHIRE SQUARE Location Indianapolis, IN Units 354 Seller Independence Realty Trust ASCENT 430 Location Pittsburgh, PA Units 319 Seller NRP Group / HIG Realty Partners FOX RUN & MATADOR NORTH Location Lexington, KY Units 317 Seller Burns & Associates REPRESENTATIVE TRANSACTIONS
TROY FARMS Location Columbus, OH Units 304 Seller The Champion Companies THE VIEWS OF MT. AIRY Location Cincinnati, OH Units 282 Seller Heritage Hill Capital KENTUCKY TOWERS Location Louisville, KY Units 276 Seller Arden Management BRIGHTON CHASE Location Rocky River, OH Units 264 Seller Edwards Communities SCHIRM FARMS Location Columbus, OH Units 264 Seller CW Capital BUTTERNUT RIDGE Location North Olmsted, OH Units 261 Seller JVM Realty HIDDEN LAKE Location Stow, OH Units 258 Seller JVM Realty RESIDENCES AT CARRONADE Location Perrysburg, OH Units 248 Seller Weston / Burton Carol HUNTERS CHASE Location Westlake, OH Units 244 Seller Morgan Communities RESIDENCES AT SUMMIT VIEW Location Cincinnati, OH Units 176 Seller Uptown Rental Properties NORTHSIDE FLATS Location Dayton, OH Units 139 Seller R Communities THE LAKES Location Chillcothe, OH Units 72 Seller Alpha Property Management
REPRESENTATIVE TRANSACTIONS

PLANNING FOR THE FUTURE. EXECUTING TODAY.

Our cutting-edge market research helps us advise our clients of existing asset performance and future opportunities.

ADVANCED STRATEGY

02

ATTRACTING THE TARGET BUYER

To successfully execute a marketing campaign, it is critical to understand the likely buyer profiles that will be attracted to the asset, in addition to their respective approval process, corporate structure and underwriting methodology.

Whether it be a private investor, pension fund advisor, sponsored capital group, family office, or a discretionary fund manager, every investment group has an approval process/corporate structure that dictates their ability to process with a transaction. We pride ourselves on maintaining vast and deep relationships with each of the buyer profiles that are active in the market place today coupled with a thorough under standing of their required investor returns and standards of underwriting.

$731M $1.6B $427M $431M $645M $127M

PREMIER ACCESS TO INVESTOR PROFILES

1ST TIER INVESTORS

Pension funds, advisors, banks, REITs, and life insurance companies

2ND TIER INVESTORS

Syndicates, developers, merchant builders, general partnerships, and professional investors

FOREIGN & INTERNATIONAL BUYERS

Foreign investors seeking domestic opportunities and technology enablers that direct foreign demand

1031

EXCHANGE CAPITAL

Investors seeking acquisition opportunities for capital gains tax deferral

CROSS-PRODUCT CAPITAL

Opportunistic investors seeking diversification in other real estate property types

3RD TIER INVESTORS

Private, individual investors who account for the majority of transactions in the marketplace

days

ACTIVE MARKETING

ProActive In-Person Meetings

Direct Phone Calls & Emails

Strategic Property

E-Campaigns

Distribution of offering Materials

On-site Property Tours

Weekly Seller Updates

Offering Procurement

Field Initial Offers

Best & Final Offering Round

Conduct Buyer Interviews

Select Buyer

Negotiate Contract

OFFER PROCUREMENT

Days

Marketing
CONTINGENCY PERIOD CLOSE OF ESCROW Contingency Period Title Work On-Site Property Inspections Third Party Inspections timeline Days Days

COMMERCIAL REAL ESTATE

POWERFUL TOOLS - MNET

OUR PROPRIETARY TECHNOLOGY PLATFORM, MNET, IS A GAME-CHANGER. NO OTHER FIRM OFFERS ANYTHING LIKE IT OR THE POWERFUL PROPERTY SEARCH TOOLS AND AUTOMATED PROPERTY MATCHING CAPABILITIES IT FEATURES.

ADVANCE SEARCH CAPABILITIES

$18B +

OF CURRENT INVENTORY

1.2M

SEARCHES ANNUALLY

3,500 +

EXCLUSIVE LISTINGS

POPULATION HH INCOME RADIUS FINANCIALS

RCM & CREXI CREXI

Commercial Real Estate Exchange, Inc. (CREXI) is the commercial real estate industry’s fastest-growing marketplace, advanced technology and data platform dedicated to sup porting the CRE industry and its stakeholders. Crexi enables commercial real estate pro fessionals to quickly streamline, manage, grow their businesses, and ultimately close deals faster. Since launching in 2015, Crexi has quickly become the most active market place in the industry. With millions of users, the platform has helped buyers, tenants and brokers transact and lease on over 500,000 commercial listings totaling more than $1 trillion in property value.

Real Capital Markets (RCM) is the GLOBE marketplace for buying and selling CRE. RCM increases the speed, exposure, and security of CRE sales through its streamlined online platform. Solu tions include integrated property marketing, trans action management, and business intelligence tools to unify broker-level and firm-level data and work flows.

RCM

DIGITAL E-MARKETING

The main advantage of digital marketing is that a targeted audience can be reached in a cost-effective and measurable way. Over the course of the past several years, our team has managed to collect over twenty thousand emails of potential investors, in a variety of states across the US. This database allows us to tailor future investment opportunity to each investor, and their desired goal. Not only does this database allow us to personalize emails, but it also allows us to measure the results of our out reach.

EMAILS SENT THIS CURRENT MONTH

OVER 190K

EMAIL OPENS OVER 60K IN OUR MAILING LIST OVER 20K

INDUSTRY AVERAGE

OPEN RATE: 29.97%

CLICK RATE: .75%

ADG OPEN RATE

34%

ADG CLICK RATE

1.5% OVER 1.2K CLICK THROUGH

“Email has an ability many channels don’t: creating valuable personal touches - at scale.”

Social media

Social media helps us engage with our potential clients and find out what is being said about our business. We also use social media for advertising, attracting clients, get client feedback, build better customer loyalty, increase our market reach, develop our brand etc. Social media is a great tool to use in our industry, especially for building new relationships and keeping up with the market.

ADG IS ON

6

PLATFORMS

OVER 1K NEW RELATIONSHIPS MADE

MONTHLY IMPRESSIONS ON ISSUU

OVER 1.2K

OVER 3K IMPRESSIONS ON LINKEDIN

PLATFORMS

THE INVESTMENT

03

PRIME ON THE HILL

PROPERTY DETAILS

Property Address: 1735 Mars Hill Drive

City, State, Zip: Dayton, Ohio, 45449

County: Montgomery

Year Built: 1992

Number Of Units: 100

Avg Unit Size: 980

Rentable Sqft: 98,000

Number of Parcels: 2

Lot Size (Acres): 8.25

# of Buildings: 6

# of Stories: 3

Parkign: Surface Lot

HVAC: Central

Parking Surface: Blacktop

Wiring: Copper

CONSTRUCTION:

Foundation: Concrete

Framing: Wood

Roofs: Pitched Shingle

Exterior of Building: Brick | Aluminum Siding

utilities

Electric: Resident Paid

Gas: Resident Paid

Water: Resident Paid

Sewer: Resident Paid

Trash: Property Paid

38

PRIME ON THE HILL

PHOTOS

RENT COMPETITORS

04

comp comparison

overall 11% increase

• Eagle Ridge Apartments two bedroom rent increased by 26.7% from Janauary 2023 to July 2023.

• Indian Lookout Luxury Apartments two bedroom rent increased by 3.9% from Janauary 2023 to July 2023.

• Villas at Arboretum two bedroom rent increased by 5.9% from January 2023 to July 2023

• Normandy Club two bedroom rent increased by 11.1% from January 2023 to July 2023.

• Miamisburg by the Mall two bedroom apartment rent increased by 21.3% from January 2023 to July 2023.

• Autumn Woods Apartments two bedroom rent increased by 8.1% from January 2023 to July 2023.

• Washington Park Apartments two bedroom rent increased by 5.3% from January 2023 to July 2023.

JAN 2023 JUL 2023

rent comparison

PRIME ON THE HILL

JAN 2023 JUL 2023
13.3% INCREASE 2% INCREASE 3.4% DECREASE

rent sort two bedroom

Two Bedroom Property Year Built # Units Avg SF Avg Rent Avg Rent/SF Washington Park Apartments 1998 150 1143 $1,590 $1.39 Normandy Club 1988 176 964 $1,550 $1.61 Indian Lookout Luxury Aaprtments 1989 320 1052 $1,499 $1.42 Eagle Ridge Apartments 1985 205 1039 $1,359 $1.31 Subject Pro Forma 1992 100 980 $1,345 $1.37 Autumn Woods Apartments 1979 384 890 $1,188 $1.33 Miamisburg by the Mall 1972 249 1000 $1,120 $1.12 Villas at Arboretum 1976 72 1050 $1,040 $0.99 Subject Average Effective 1992 100 980 $1,013 $1.03

RENT COMPETITORS indian lookout

Apartment Interior Amenities

Washer/Dryer Available In One Beds

Washer/Dryer Hookups Available

Fireplaces Available In Two Beds

High Speed Internet Access

Common Area Amenities

Fitness Center

Clubhouse

Tennis Court

Swimming Pool

Laundry Facilities

UNITS 320 YEAR BUILT 1989 OCCUPANCY 58.3% UNIT MIX UNITS SQFT RENT RENT/SF One Bedroom 96 758 $985 $1.69 Two Bedroom 224 1050 $1,499 $1.38
1651 S Elm St
Resident
Resident
Resident
Resident
Utilities Responsibility
Pays Electricity
Pays Sewer
Pays Trash Removal
Pays Water
Units 205 Year Built 1985 Occupancy 97.1% UNIT MIX UNITS SQFT RENT RENT/SF One Bedroom 41 570 $900 $1.58 Two Bedroom 164 1039 $1,359 $1.31 Apartment Interior Amenities Washer/Dryer Hookups In All Units Vaulted Ceilings High Speed Internet Access Common Area Amenities Fitness Center Clubhouse Swimming Pool Laundry Facilities 2375 Eagle Ridge Dr Utilities Responsibility Resident Paid Electric Resident Paid Sewer Resident Paid Trash Removal Resident Paid Water
RENT COMPETITORS EAGLE RIDGE APARTMENTS

VILLAS AT ARBORETUM

RENT COMPETITORS
UNITS 72 YEAR BUILT 1976 OCCUPANCY 94.4% UNIT MIX UNITS SQFT RENT RENT/SF Two Bedroom 58 1050 $1,040 $0.99 Apartment Interior Amenities Washer/Dryer Hooups In All Units High Ceilings High Speed Internet Access Common Area Amenities Laundry Facilities Private Balcony/Patio Private Entry 6551 Hidden Knolls Ct Utilities Responsibility Resident Paid Electric Resident Paid Gas Property Paid Sewer Property Paid Trash Removal Property Paid Water

RENT COMPETITORS NORMANDY CLUB

Fireplaces Available In One

Select

Units 176 Year Built 1988 Occupancy N/A UNIT MIX UNITS SQFT RENT RENT/SF One Bedroom 45 737 $1,239 $1.68 Two Bedroom 131 964 $1,550 $1.61
Units
Clubhouse
Basketball
Ln Utilities
Resident
Resident
Property
Removal Resident
Water
Apartment Interior Amenities Washer/Dryer Hookups In All
Bedroom Units and
Two Bedroom Units Vaulted Ceilings Common Area Amenities Fitness Center
Tennis Court Swimming Pool Spa
court 7677 Tours
Responsibility
Paid Electric
Paid Sewer
Paid Trash
Paid

FINANCIALS

05

UNIT MIX SUMMARY

AVERAGE EFFECTIVE MARKET PROJECTED UNIT TYPE NO. OF UNITS RENTABLE SF TOTAL SF RENT/UNIT RENT/SF TOTAL RENT POTENTIAL RENT/UNIT RENT/SF TOTAL RENT POTENTIAL RENT/UNIT RENT/SF TOTAL RENT POTENTIAL SUMMARY Two Bedroom | One Bath 40 Units 908 SF 36,320 SF $973.51 $1.07 $38,941 $1,026.25 $1.13 SF $41,050 $1,270.00 $1.40 SF $50,800 Two Bedroom | Two Bath 60 Units 1,028 SF 61,680 SF $1,013.33 $0.99 $60,800 $1,100.42 $1.07 SF $66,025 $1,345.83 $1.31 SF $80,750 Totals / Wtd. Averages 100 Units 980 SF 98,000 SF $997.40 $1.02 SF $99,740 $1,070.75 $1.09 SF $107,075 $1,315.50 $1.34 SF $131,550
PRIME ON THE HILL - FINANCIALS

UNIT MIX BREAKDOWN

AVERAGE EFFECTIVE MARKET PROJECTED UNIT TYPE NO. OF UNITS RENTABLE SF TOTAL SF RENT/UNIT RENT/SF TOTAL RENT POTENTIAL RENT/UNIT RENT/SF TOTAL RENT POTENTIAL RENT/UNIT RENT/SF TOTAL RENT POTENTIAL Two Bedroom | One Bath 2BR/1BA - Deluxe Top Level 12 Units 908 SF 10,896 SF $1,001.82 $1.10 SF $12,022 $1,100.00 $1.21 SF $13,200 $1,300.00 $1.43 SF $15,600 2BR/1BA - Deluxe Level 1 or 2 14 Units 908 SF 12,712 SF $959.55 $1.06 SF $13,434 $1,000.00 $1.10 SF $14,000 $1,250.00 $1.38 SF $17,500 2BR/1BA - Standard Top Level 3 Units 908 SF 2,724 SF $958.33 $1.06 SF $2,875 $1,050.00 $1.16 SF $3,150 $1,300.00 $1.43 SF $3,900 2BR/1BA - Standard Level 1 or 2 10 Units 908 SF 9,080 SF $941.00 $1.04 SF $9,410 $950.00 $1.05 SF $9,500 $1,250.00 $1.38 SF $12,500 2BR/1BA - Premium Ultra Deluxe Top 1 Units 908 SF 908 SF $1,200.00 $1.32 SF $1,200 $1,200.00 $1.32 SF $1,200 $1,300.00 $1.43 SF $1,300 Totals / Wtd. Averages 40 Units 908 SF 36,320 SF $973.51 $1.07 SF $38,941 $1,026.25 $1.13 SF $41,050 $1,270.00 $1.40 SF $50,800 Two Bedroom | Two Bath 2BR/2BA - Deluxe Top Level 14 Units 1,028 SF 14,392 SF $1,074.63 $1.05 SF $15,045 $1,200.00 $1.17 SF $16,800 $1,375.00 $1.34 SF $19,250 2BR/2BA - Deluxe Level 1 or 2 16 Units 1,028 SF 16,448 SF $1,025.00 $1.00 SF $16,400 $1,100.00 $1.07 SF $17,600 $1,325.00 $1.29 SF $21,200 2BR/2BA - Standard Top Level 9 Units 1,028 SF 9,252 SF $993.33 $0.97 SF $8,940 $1,025.00 $1.00 SF $9,225 $1,375.00 $1.34 SF $12,375 2BR/2BA - Standard Level 1 or 2 19 Units 1,028 SF 19,532 SF $945.53 $0.92 SF $17,965 $1,050.00 $1.02 SF $19,950 $1,325.00 $1.29 SF $25,175 2BR/2BA - Premium Ultra Deluxe 1 Units 1,028 SF 1,028 SF $1,250.00 $1.22 SF $1,250 $1,250.00 $1.22 SF $1,250 $1,375.00 $1.34 SF $1,375 2BR/2BA - Premium Ultra Deluxe 1 Units 1,028 SF 1,028 SF $1,200.00 $1.17 SF $1,200 $1,200.00 $1.17 SF $1,200 $1,375.00 $1.34 SF $1,375 Totals / Wtd. Averages 60 Units 1,028 SF 61,680 SF $1,013.33 $0.99 SF $60,800 $1,100.42 $1.07 SF $66,025 $1,345.83 $1.31 SF $80,750
PRIME ON THE HILL - FINANCIALS
-
CURRENT RENT ROLL: AS OF JULY 11, 2023 INCOME & EXPENSES: JULY 2022 - JUNE 2023 YEAR 1 GROSS POTENTIAL RENT % of GPR Per Unit % of GPR Per Unit All Units at Market Rent $1,284,900 RR 12,849 $1,578,600 15,786 Gain (Loss) to Lease ($81,174) 6.32% (812) ($94,716) 6.00% (947) GROSS SCHEDULED RENT $1,203,726 RR 12,037 $1,483,884 14,839 Other Income Spectrum Video & Internet Fee $92,269 T12 7.67% 923 $95,037 6.40% 950 Water/Sewer Fees $42,808 T12 3.56% 428 $44,092 2.97% 441 Washer/Dryer Hookup Fee $20,220 T12 1.68% 202 $20,826 1.40% 208 Early Lease Termination Fees $11,405 T12 0.95% 114 $11,747 0.79% 117 Tenant Move Out Charges $9,043 T12 0.75% 90 $9,314 0.63% 93 Trash and common area utilities $8,422 T12 0.70% 84 $8,674 0.58% 87 AppFolio Insurance Services $5,796 T12 0.48% 58 $5,970 0.40% 60 Monthly Pet Rent $4,005 T12 0.33% 40 $4,125 0.28% 41 Total Other Income $213,302 17.72% 2,133 $219,701 14.81% 2,197 GROSS POTENTIAL INCOME $1,417,028 14,170 $1,703,585 17,036 Physical Vacancy ($97,267) T12 Economic 8.08% (973) ($74,194) 5.00% (742) Bad Debt $0 0.00% 0 ($7,419) 0.50% (74) Concessions Allowance $0 0.00% 0 ($7,419) 0.50% (74) EFFECTIVE GROSS INCOME $1,319,761 85.60% 13,198 $1,614,552 88.00% 16,146 NON-CONTROLLABLE Real Estate Taxes % of EGI Per Unit % of EGI 2020 Taxes Paid $234,857 Auditor 17.80% 2,349 $234,857 14.55% 2,349 Total Real Estate Taxes $234,857 17.80% 2,349 $234,857 14.55% 2,349 Insurance $21,566 T12 1.61% 216 $40,000 2.53% 400 Utilities Electric $14,867 T12 1.13% 149 $15,164 0.94% 152 Electric Vacant $2,049 T12 0.16% 20 $2,090 0.13% 21 Gas $3,127 T12 0.24% 31 $3,189 0.20% 32 Gas Vacant $5,571 T12 0.42% 56 $5,683 0.35% 57 Water & Sewage $51,036 T12 3.87% 510 $52,057 3.22% 521 Trash Removal $20,109 T12 1.52% 201 $20,511 1.27% 205 Total Utilities $96,759 7.33% 968 $98,694 6.11% 987 Total Non-Controllable $356,654 27.02% 3,567 $373,551 23.14% 3,736 CONTROLLABLE Contract Services Snow Removal $4,513 T12 0.34% 45 $4,500 0.28% 45 Landscaping/Grounds $14,052 T12 1.06% 141 $14,000 0.87% 140 Pest Control $2,383 T12 0.18% 24 $2,500 0.15% 25 Total Contract Services $20,948 1.59% 209 $21,000 1.30% 210 Repairs & Maintenance $34,117 T12 2.59% 341 $60,000 3.72% 600 Marketing & Promotion $18,859 T12 1.43% 189 $10,000 0.62% 100 On-Site Payroll $62,895 T12 4.77% 629 $100,000 6.19% 1,000 Payroll Taxes & Benefits $0 0.00% 0 $15,000 0.93% 150 General & Administrative $20,048 T12 1.52% 200 $15,000 0.93% 150 Management Fee $52,790 T12 4.00% 528 $64,582 4.00% 646 Cable $76,271 T12 Note 2 5.78% 763 $74,500 4.61% 745 Replacement & Reserves $25,500 Note 1 1.93% 255 $26,010 1.61% 260 Total Controllable $311,428 23.60% 3,114 $386,092 23.91% 3,861 TOTAL EXPENSES $668,082 50.62% 6,681 $759,643 47.05% 7,596 NET OPERATING INCOME $651,679 49.38% 6,517 $854,908 52.95% 8,549 EXPENSE INCOME
PRIME ON THE HILL
FINANCIALS
INCOME & EXPENSES

# NOTE

UNDERWRITING NOTES

1 Replacement Reserve added based on Market Norm

2 Long Term Cable Contract in Place

YEAR 2 YEAR 3 % of GPR Per Unit % of GPR Per Unit $1,625,958 16,260 $1,674,737 16,747 ($32,519) 2.00% (325) ($33,495) 2.00% (335) $1,593,439 15,934 $1,641,242 16,412 $97,888 6.14% 979 $100,824 6.14% 1,008 $45,415 2.85% 454 $46,777 2.85% 468 $21,451 1.35% 215 $22,095 1.35% 221 $12,099 0.76% 121 $12,462 0.76% 125 $9,593 0.60% 96 $9,881 0.60% 99 $8,934 0.56% 89 $9,202 0.56% 92 $6,149 0.39% 61 $6,334 0.39% 63 $4,249 0.27% 42 $4,376 0.27% 44 $226,269 14.20% 2,263 $233,035 14.20% 2,330 $1,819,708 18,197 $1,874,277 18,743 ($79,672) 5.00% (797) ($82,062) 5.00% (821) ($7,967) 0.50% (80) ($32,825) 2.00% (328) ($7,967) 0.50% (80) $0 0.00% 0 $1,724,102 92.00% 17,241 $1,759,390 91.00% 17,594 % of EGI Per Unit % of EGI Per Unit $234,857 13.62% 2,349 $234,857 13.62% 2,349 $234,857 13.62% 2,349 $234,857 13.62% 2,349 $40,800 2.42% 408 $41,616 2.46% 416 $15,467 0.90% 155 $15,777 0.92% 158 $2,132 0.12% 21 $2,175 0.13% 22 $3,253 0.19% 33 $3,318 0.19% 33 $5,796 0.34% 58 $5,912 0.34% 59 $53,098 3.08% 531 $54,160 3.14% 542 $20,922 1.21% 209 $21,340 1.24% 213 $100,668 5.84% 1,007 $102,682 5.96% 1,027 $376,325 21.83% 3,763 $379,154 21.99% 3,792 $4,590 0.27% 46 $4,682 0.27% 47 $14,280 0.83% 143 $14,566 0.84% 146 $2,550 0.15% 26 $2,601 0.15% 26 $21,420 1.24% 214 $21,848 1.27% 218 $61,200 3.55% 612 $62,424 3.62% 624 $10,200 0.59% 102 $10,404 0.60% 104 $102,000 5.92% 1,020 $104,040 6.03% 1,040 $15,300 0.89% 153 $15,606 0.91% 156 $15,300 0.89% 153 $15,606 0.91% 156 $68,964 4.00% 690 $70,376 4.00% 690 $75,990 4.41% 760 $77,510 4.50% 775 $26,530 1.54% 265 $27,061 1.57% 271 $396,904 23.02% 3,969 $404,875 23.40% 4,035 $773,229 44.85% 7,732 $784,029 45.47% 7,840 $950,873 55.15% 9,509 $975,361 56.57% 9,754
CURRENT YR 1 YR 2 YR 3 YR 4 YR 5 YR 6 YR 7 YR 8 YR 9 YR 10 YE JUN-2024 YE JUN-2025 YE JUN-2026 YE JUN-2027 YE JUN-2028 YE JUN-2029 YE JUN-2030 YE JUN-2031 YE JUN-2032 YE JUN-2033 GROSS POTENTIAL RENT All Units at Market Rent $1,284,900 $1,578,600 $1,625,958 $1,674,737 $1,724,979 $1,776,728 $1,830,030 $1,884,931 $1,941,479 $1,999,723 $2,059,715 Gain (Loss) to Lease ($81,174) ($94,716) ($32,519) ($33,495) ($34,500) ($35,535) ($36,601) ($37,699) ($38,830) ($39,994) ($41,194) GROSS SCHEDULED RENT $1,203,726 $1,483,884 $1,593,439 $1,641,242 $1,690,479 $1,741,194 $1,793,429 $1,847,232 $1,902,649 $1,959,729 $2,018,521 Total Other Income $213,302 $219,701 $226,098 $232,864 $237,521 $242,271 $247,117 $252,059 $257,100 $262,242 $267,487 GROSS POTENTIAL INCOME $1,417,028 $1,703,585 $1,819,537 $1,874,277 $1,928,000 $1,983,465 $2,040,546 $2,099,291 $2,159,749 $2,221,971 $2,286,008 Physical Vacancy ($97,267) ($74,194) ($79,672) ($82,062) ($84,524) ($87,060) ($89,671) ($92,362) ($95,132) ($97,986) ($100,926) Bad Debt $0 ($7,419) ($7,967) ($32,825) ($33,810) ($34,824) ($35,869) ($36,945) ($38,053) ($39,195) ($40,370) Concessions Allowance $0 ($7,419) ($7,967) $0 $0 $0 $0 $0 $0 $0 $0 EFFECTIVE GROSS INCOME $1,319,761 $1,614,552 $1,723,930 $1,759,390 $1,809,667 $1,861,581 $1,915,006 $1,969,985 $2,026,564 $2,084,790 $2,144,711 Real Estate Taxes $234,857 $234,857 $234,857 $234,857 $239,554 $244,345 $249,232 $254,216 $259,301 $264,487 $269,776 Insurance $25,038 $40,000 $40,800 $41,616 $42,448 $43,297 $44,163 $45,046 $45,947 $46,866 $47,804 Utilities $96,759 $98,694 $100,668 $102,682 $104,735 $106,830 $108,967 $111,146 $113,369 $115,636 $117,949 Contract Services $20,948 $21,000 $21,420 $21,848 $22,285 $22,731 $23,186 $23,649 $24,122 $24,605 $25,097 Repairs & Maintenance $34,117 $60,000 $61,200 $62,424 $63,672 $64,946 $66,245 $67,570 $68,921 $70,300 $71,706 Marketing & Promotion $18,859 $10,000 $10,200 $10,404 $10,612 $10,824 $11,041 $11,262 $11,487 $11,717 $11,951 On-Site Payroll $62,895 $100,000 $102,000 $104,040 $106,121 $108,243 $110,408 $112,616 $114,869 $117,166 $119,509 Payroll Taxes & Benefits $0 $15,000 $15,300 $15,606 $15,918 $16,236 $16,561 $16,892 $17,230 $17,575 $17,926 General & Administrative $20,048 $15,000 $15,300 $15,606 $15,918 $16,236 $16,561 $16,892 $17,230 $17,575 $17,926 Management Fee $52,790 $64,582 $68,964 $70,376 $72,387 $74,463 $76,600 $78,799 $81,063 $83,392 $85,788 Cable $76,271 $74,500 $75,990 $77,510 $79,060 $80,641 $82,254 $83,899 $85,577 $87,289 $89,034 Replacement & Reserves $25,500 $26,010 $26,530 $27,061 $27,602 $28,154 $28,717 $29,291 $29,877 $30,475 $31,084 TOTAL EXPENSES $668,082 $759,643 $773,229 $784,029 $800,313 $816,948 $833,935 $851,281 $868,993 $887,081 $905,552 NET OPERATING INCOME $651,679 $854,908 $950,701 $975,361 $1,009,354 $1,044,633 $1,081,071 $1,118,704 $1,157,571 $1,197,709 $1,239,159 DEBT SERVICE - Proposed New Principal Payments $0 $0 $0 $92,324 $98,507 $105,104 $112,143 $119,654 $127,667 $136,218 $145,340 Interest Payments $536,900 $536,900 $536,900 $534,182 $527,999 $521,401 $514,362 $506,852 $498,838 $490,288 $481,166 TOTAL DS - Proposed New Loan $536,900 $536,900 $536,900 $626,506 $626,506 $626,506 $626,506 $626,506 $626,506 $626,506 $626,506 DEBT SERVICE - Loan 2 Principal Payments $7,318 $7,318 $7,808 $8,331 $8,889 $9,485 $10,120 $10,798 $11,521 $12,292 $13,116 Interest Payments $42,343 $42,343 $41,853 $41,330 $40,772 $40,177 $39,542 $38,864 $38,141 $37,369 $36,546 TOTAL DS - Loan 2 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 $49,662 CONSOLIDATED DEBT SERVICE $586,562 $586,562 $586,562 $676,167 $676,167 $676,167 $676,167 $676,167 $676,167 $676,167 $676,167 NET CASH FLOW AFTER DEBT $108,843 $268,347 $364,140 $299,194 $333,186 $368,466 $404,904 $442,537 $481,403 $521,541 $562,992 DEBT SERVICE COVERAGE RATIO 1.11 1.46 1.62 1.44 1.49 1.54 1.60 1.65 1.71 1.77 1.83 RETURN ANALYSIS TRAILING YR 1 YR 2 YR 3 YR 4 YR 5 YR 6 YR 7 YR 8 YR 9 YR 10 CAP Rate (Purchase Price) 5.52% 7.24% 8.06% 8.27% 8.55% 8.85% 9.16% 9.48% 9.81% 10.15% 10.50% 'All-In' CAP Rate (Total Cost) 5.14% 6.75% 7.50% 7.70% 7.96% 8.24% 8.53% 8.83% 9.13% 9.45% 9.78% Cash-on-Cash Return 2.90% 7.14% 9.69% 7.96% 8.87% 9.80% 10.77% 11.78% 12.81% 13.88% 14.98% IRR n/a 39.79% 35.55% 28.39% 23.97% 21.44% 19.81% 18.69% 17.88% 17.27% 16.79% INCOME EXPENSE PRIME ON THE HILLFINANCIALS
CASH FLOW
CASH FLOW PROJECTION GROWTH RATE ASSUMPTIONS YR 1 YR 2 YR 3 YR 4 YR 5 YR 6 YR 7 YR 8 YR 9 Income Gross Potential Rent 22.86% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% (Loss) / Gain to Lease* 6.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% Other Income 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% Expenses Expenses 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% Management Fee** 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% CASH FLOW PROJECTION GROWTH RATE ASSUMPTIONS YR 1 YR 2 YR 3 YR 4 YR 5 YR 6 YR 7 YR 8 YR 9 Physical Vacancy 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% Non-Revenue Units 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Bad Debt 0.50% 0.50% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% Concessions Allowance 0.50% 0.50% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Total Economic Loss 6.00% 6.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% Tax Breakdown Property Address Parcel ID Year Built Acres Market Value Assessed Value Tax Rate Taxes Payable Land Use Code 1735 Mars Hill Dr K48 01016 001 $579,200 $202,720 $19,952.00 1735 Mars Hill Dr K48 01016 002 $6,570,800 $2,299,780 $226,441.27 Total $7,150,000 $2,502,500 $246,393.27

PRICING

PURCHASE PRICE Target Purchase Price $11,800,000 Per Unit $118,000 Per RSF $120.41 ACQUISITION / ADDITIONAL COSTS Projected Capital Expenditures $873,000 Renovation Cost $0 Closing Costs $0 Transfer Tax $0 Total Loan Fees $0 Total (‘All-In’) Cost $873,000 PURCHASE PRICE Total Cost $12,673,000 Per Unit $126,730 Per RSF $129.32 ANALYSIS ASSUMPTIONS Analysis Period 10.00 Years Analysis Start Date Jul-2023 Terminal Cap Rate 6.75% Cost of Sale 2.50% ACQUISITION FINANCING SUMMARY Loan Amount $8,914,750 Loan to Value (LTV) 75.55% Loan to Cost (LTC) 70.34% Existing or Proposed Loan Proposed Origination Date Jul-2023 Interest Rate 6.50% Years Interest Only 2.00 Equity Required $3,758,250 Equity to Value 31.85% Equity to Cost 29.66% RENT SUMMARY (MONTHLY) Avg. Effective Rent $997 Avg. Current Market Rent $1,071 Avg. Projected Rent $1,316 TOTAL EXPENSES SUMMARY (PER UNIT) Trailing $6,681 Year 1 $7,596 Year 2 $7,732 NOI SUMMARY Trailing $651,679 Year 1 $854,908 Year 2 $950,873 ECONOMIC LOSS SUMMARY Trailing 8.08% Year 1 6.00% 10-Year Projected Avg. 6.80%
PRIME ON THE HILL - FINANCIALS

PRIME ON THE HILL - FINANCIALS

TARGET VALUE

CASH-ON-CASH RETURNS

the asset without a specific price allows us to customize our sales approach to each investor’s specific rehab costs, cost of debt and minimum return

ALL-IN CAP RATE
PRICE PER UNIT PER RSF TRAILING YEAR 1 YEAR 2 TRAILING YEAR 1 YEAR 2 YEAR 3 (FULLY AMORTIZING) $12,390,000 $123,900 $126.43 5.26% 6.45% 7.17% 2.77% 6.82% 9.26% 7.61% $12,193,333 $121,933 $124.42 5.34% 6.54% 7.28% 2.81% 6.93% 9.40% 7.72% $11,996,667 $119,967 $122.41 5.43% 6.64% 7.39% 2.85% 7.03% 9.54% 7.84% $11,800,000 $118,000 $120.41 5.52% 6.75% 7.50% 2.90% 7.14% 9.69% 7.96% $11,603,333 $116,033 $118.40 5.62% 6.85% 7.62% 2.94% 7.25% 9.84% 8.09% $11,406,667 $114,067 $116.39 5.71% 6.96% 7.74% 2.99% 7.37% 10.00% 8.22% $11,210,000 $112,100 $114.39 5.81% 7.08% 7.87% 3.04% 7.49% 10.16% 8.35% SUGGESTED LIST PRICE: MARKET BID
Property. TRAILING YR 1 YR2 YR 3 YR 4 YR 5 YR 6 YR 7 YR 8 YR 9 YR 10 Cash on Cash Return 2.90% 7.14% 9.69% 7.96% 8.87% 9.80% 10.77% 11.78% 12.81% 13.88% 14.98% Internal Rate of Return (IRR) n/a -1.28% 16.94% 17.39% 16.56% 16.07% 15.75% 15.52% 15.35% 15.22% 15.11% CAP Rate (Purchase Price) 5.52% 7.24% 8.06% 8.27% 8.55% 8.85% 9.16% 9.48% 9.81% 10.15% 10.50% CAP Rate ("All-In") 5.14% 6.75% 7.50% 7.70% 7.96% 8.24% 8.53% 8.83% 9.13% 9.45% 9.78% Gross Revenue Multiplier (GRM) 9.80 7.95 7.41
Marketing
requirements. Thus facilitating a competitive bidding environment and ultimately maximizing the value of the

LOCAL MARKET

06

DAYTON, oHIO

Since the arrival of the first settlers on April 1, 1796, Dayton has always been a place for pioneering vision and change. They have hosted many firsts as the patent capital of the U.S. and provided the world with a staggering number of life-changing innovations and technological advancements. Today they’re still setting trends and promoting growth. In the research labs of Wright-Patterson Air Force Base, the University of Dayton, Wright State University, and many of the top businesses, the innovative spirit of Dayton continues to produce cutting-edge technology and dynamic solutions

to today’s biggest issues.

With the crossroads of Interstate 70 and 75, the railroad capacity, and the international airport, Dayton provides one of the most accessible cities in the nation. In fact, Dayton’s location puts it within one day’s drive of 60% of the U.S. population. The superior transportation makes us among the most competitive mid-sized cities for logistics.

ECONOMIC OVERVIEW

Prior to the pandemic, Dayton’s real gross metropolitan product grew at an average annual rate of 1.6% from 2015 to 2019. During that same five-year period, job growth av eraged 1.0% annually, with roughly 3,900 jobs added on av erage each year. In 2020, COVID-19 mitigation measures and limited business activity caused the local economy to contract as much as 9.6% year-over-year in 2nd quarter. In 2022, the metros inflation-adjusted economic output con tracted 0.8%. At the same time, the metro recorded a net gain of 2,900 jobs, expanding the employment base 0.8%.

As such, Dayton’s unemployment rate in November 2022 declined 0.4 points year-over-year to 3.2%, below the na tional average of 3.4%. During the past year, job gains in Dayton were most pronounced in the Leisure/Hospitality Services sector followed by Government and Profession al/Business Services. Due to job losses stemming from the pandemic, Dayton’s current employment base now sits roughly 5,100 jobs or about 1% below the pre-pandemic level in February 2020.

Population: 743,000

Median age: 33.5

the rent

In 4th quarter 2022, same-store effective asking rents for new leases were up 8.4% year-over-year. That annual rent performance was well above the market’s five-year average of 4.8% and a new high for the market. s. In 4th quarter 2022, annual effective rent change was fairly even across the board, registering at 8.3% in Class A units, 8.2% in Class B units and 8.7% in Class C units. Among submarkets, the strongest annual rent change performances over the past year were in Northwest Dayton, North Dayton/Miami County and Greene County. The weakest performance was in South Montgomery County. In the coming year, same-store effective asking rent change in Dayton is expected to slow from the current level. As of 4th quarter 2022, effective asking rental rates in Dayton averaged $1,077 per month, or $1.182 per square foot.

DEMOGRAPHICS: STATISTICS

Msa median hhi: $54,457

1 - Year growth: 5.89%

Msa median home value: $69,400

1 - Year growth: 3.89%

Average occupancy: 96.2%

Rent growth: 8.4%

New apartment completions in Dayton were modest recently, as 412 units delivered in 2022. Completions over the past year expanded the local inventory base 0.7%. In the past year, supply was greatest in Central Dayton/Kettering and Greene County.

At the end of 2022, there were 886 units under construction with 661 of those units scheduled to complete in the next four quarters. Scheduled deliveries in the coming year are expected to be limited to Central Dayton/Kettering and North Dayton/Miami County.

SUPPLY OCCUPANCY

- Over the past year, occupancy lost 1.8 points, with the 4th quarter 2022 rate landing at 96.2%.

- Looking at product classes in Dayton, 4th quarter 2022 occupancy registered at 95.3%. In Class A units, 96.5% in Class B units and 96.7% in Class C units.

- Among submarkets, 4th quarter 2022 occupancy was strongest in Greene County and Central Dayton/Kettering.

- The weakest reading was in Northwest Dayton.

WRIGHT PATTERSON

Located in Dayton, Wright-Patterson Air Force Base (WPAFB) is one of the most diverse, largest, and organizationally complex bases in the Air Force. Not only is WPAFB the largest single-site employer in the entire state of Ohio, but it is also a center of innovation for the Air Force. It was selected as the “preferred location” for the F-35 Lightning II Hybrid Product Support Intergrator organization, which supports the entire F-35 enterprise. This would bring a minimum of 400 new jobs to the base. The potential impact to the region cannot only be measured in jobs alone, neighboring communities would benefit through the result of more growth for contractors and businesses. Wright-Patterson Air Force Base employs 27,500 military, civilian, and contract employees and has an annual economic impact of $4.3 billion.

“Wright Patterson AFB is the crown jewel of the state of Ohio, and our department will continue to do everything we can to accelerate the growth of the WPAFB and attract more jobs to the region.”

carillon historical park

Carillon Historical Park showcases Dayton’s rich heritage of creativity, invention, and milestones in innovation that changed the nation and the world! The park houses the John W. Berry, Sr. Wright Brothers National Museum featuring the original 1905 Wright Flyer III, an impressive collection of NCR cash registers, the Carousel of Dayton Innovation, Gem City Letterpress and so much more.

america’s packard museum

The museum is housed in the original Packard dealership building built for Dayton in 1917. Approximately 50 Packard automobiles dating 1903-58 are displayed. Other exhibits include Packard marine and aircraft engines, items from the Detroit Packard factory.

higher education university of dayton

Founded in 1850, the University of dayton (UD) spans a massive 373-acres with state-of-the-art facilities in the downtown area. It boasts 38 academic, athletic, administrative, and research buildings, five resident halls, 18 student apartment complexes, and 473 houses (347 being owned by UD). In 2019, there were a total of 8,483 undergrad students enrolled. 85% of students live on-campus or in student neighborhoods. UD offers more than 80 undergraduate programs and 50 graduate and doctoral programs. UD has 17 Division I sports temas, 37 club sports, and 12 intramural sports. Since 2001, the NCAA tournament has had an impact of more than $70 million on dayton’s economy and UD Arena has hosted more Division I Basketball Championship gams than any other venue in the US.

wright state university

Located in the Dayton area, Wright State University is a national public research university. WSU offers 140 undergraduate programs and 136 graduate programs. Wright State has 20 percent more affordable in-state tuition than the national average. WSU adds $1.5 billion into the region’s economy annually and supports more than 20,000 jobs through its spending on operations and research and throuigh spending of students, alumni, and visitors. With a student body population of more than 13,000, there is only a 3,000 on-campus student housing capacity. WSU’s Nutter Center is southwest Ohio’s premier sports and entertainment facility. With a capacity of 11,200, it has also been recognized nationally as a top venue of its size.

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