The Distillery

EST

2024

THE DISTILLERY AL

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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

THE

DISTILLERY

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YOUR TEAM

CORPORATE SUPPORT

JO R D A N D I C K M A N

LIZ P OP P

FIR ST V ICE P RE SI D ENTS D I RECTO R, N M HG

NIC K A ND R E WS F I R S T V IC E PRESID E NTS D IRECTO R, NM H G

M IDWES T O P ER AT I ON S M A N AGE R

JOSH CARU AN A

V ICE P R ES IDEN T REG IO NAL M AN AGE R INDIANAP O L IS | C I N C I N N AT I | LOU I SVI L L E |

A US T I N S U M

S T LO U IS | K AN SAS C I T Y

S E N IOR IN V ES T ME NT ASSOCIATE

JOH N SE BREE

BR I A N J OH N S T O N I N V ES TMEN T ASSO CIATE

A US T I N H AL L

S ENIO R V ICE P R E S I D E N T NAT IO NAL DIR EC TOR NAT IO NAL M U LT I H OU S I N G GROU P

MICH AE L GLASS

I N V ES TMEN T ASSO CIATE

S ENIO R V ICE P R E S I D E N T M IDWES T DIV I S I ON M A N AGE R NAT IO NAL DIR EC TOR , M A N U FAC T U R E D

A L D EN S I MM S

H O M E CO M M UN I T I E S GROU P

I N V ES TMEN T ASSO CIATE

BROKER SUPPORT S A M PET R O S IN O

VA LUATION & RE SE ARCH

S KYL ER W IL S O N

C L I E N T RELATIONS M ANAGE R

BRITTANY CAMPBELL-KOCH DIRECTO R O F O PE R AT I ON S

ALE X P AP A

M ARK ET ING CO OR D I N ATOR

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AB TRACK RECORD

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TRACK RECORD AB Contracting, Inc. is Ohio’s premier multi-family developer. We are your source for residential, commercial, and industrial structures. We have been building custom homes and businesses throughout West Virginia and Ohio for over 30 years. Our experience is evident in each job we undertake. The AB Contracting Team brings their knowledge and skill to each job. We strive to provide each customer with a quality product and exceptional customer service.

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CURRENT COMMUNITIES

900 ON LEE CHARLESTON, WV PAGE 8

HIGHLAND PARK TRIADELPHIA, WV PAGE 9

UNION SQUARE MARYSVILLE, OH PAGE 10

SUGAR MAPLE RIDGE MORGANTOWN, WV PAGE 11

THE BEND AT MEADOW VALLEY HURRICANE, WV PAGE 12

THE LANDING BRIDGEPORT, WV PAGE 13

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65 | UNITS 2022 | YEAR BUILT CHARLESTON | WEST VIRIGNIA

900 ON LEE

900 on Lee is located in Charleston, West Virgina. 900 on Lee unveils an exceptional portrait of living with 1- and 2-bedroom apartment units for rent.

This unique fusion of style and sophistication, makes the apartment residences reflect contemporary flair. When residences live at 900 on Lee, their address says it all.

65 | UNITS 2022 | YEAR BUILT CHARLESTON | WEST VIRIGNIA 8

HIGHLAND PARK Overlooking West Virginia’s beautiful and majestic mountains, Highland Park offers one and two bedroom luxury apartments for rent as well as three bedroom townhomes for rent. It is conveniently located near shopping and dining off of exit 10 in the Triadelphia – Wheeling West Virginia area. Whether you’re an outdoor enthusiast, busy professional or empty nester, Highland Park has something to fit your lifestyle! Highland Park features a clubhouse equipped with a 24-hour fitness center and a community room, an outdoor pool for those hot summer days, children’s playground area with grill stations, and a half basketball court with Versa Court technology.

AMENITIES CLUBHOUSE COMMUNITY ROOM PLAYGROUND FIRE PIT AREA HALF BASKETBALL COURT FITNESS CENTER SWIMMING POOL GRILLING STATIONS WALKING TRAILS

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Union Square is the newest luxury community located in Marysville, Ohio. Offering 1-, 2- and 3-bedroom floor plans. At Union Square, apartments are designed

UNION SQUARE

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to meet your lifestyle needs. It offers exceptional amenities including a clubhouse that features a fitness room, movie theater, lounge area, and an outdoor swimming pool with a splash pad. It is one of the few pet-friendly communities in the area that not only cater to residents, but to their pets as well. If it is swimming, working out, playing a game of pickle ball, having coffee, or enjoying a community event, you can do it here.

SUGAR MAPLE RIDGE Sugar Maple Ridge offers multiple floorplan to suit a variety of styles and needs. Detached homes, one level living, patio homes and townhomes! Quality finishes, granite counters, and stainless steel appliances come standard in every home.

2022 | YEAR BUILT MORGANTOWN | WEST VIRIGNIA

AMENITIES FITNESS CENTER YOGA & BOXING STUDIO HEATED SALTWATER POOL PLAYGROUND FIRE PIT GAZEBO CLUBHOUSE BASKETBALL COURT WALKING TRAILS

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BEND AT MEADOW VALLEY

Rustic and Chic, This Patio and Townhome Community has open floor plan options, select customizations and main level owners suites.

55 STEVE CIRCLE HURRICANE, WEST VIRGINIA

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THE LANDING Offering 1- and 2-bedroom floor plans. At The Landing its brought all to you with apartments designed to meet your lifestyle needs. The Landing offers exceptional amenities including a clubhouse that features a fitness room, pickle ball court, lounge area, and an outdoor swimming pool. It is one of the few pet-friendly communities in the area that not only cater to their residents, but to residences pets as well. If it is swimming, working out, playing a game of pickle ball, having coffee, or enjoying a community event, you can do it here.

AMENITIES CLUBHOUSE FIRE PIT PLAYGROUND FITNESS CENTER POOL CONFERENCE ROOM LOUNGE MAIL ROOM 13

SALES COMPS

02

HUTCHINSON PLACE 500 HUTCHISON STREET, ASHVILLE OHIO

UNITS

BUILT

SOLD

300

2021

2021

SALE COMP Units

300

Occ at Sale

96%

Sale Price

$46.5M

Price per Unit

$155,000

Sale Date

Dec 17th, 2021

UNITS

BUILT

SOLD

138

2019

2021

THE BENTLEY 3986 PARKMEAD DRIVE, GROVE CITY OHIO

SALE COMP Units

138

Occ at Sale

96%

Sale Price

$30.2M

Price per Unit

$218,841

Sale Date

Oct 11th, 2021

UNITS

BUILT

SOLD

236

2020

2021

INDUSTRY 230 EAST LONG STREET, COLUMBUS OHIO

SALE COMP Units

236

Occ at Sale

76%

Sale Price

$81M

Price per Unit

$343,220

Sale Date

Dec 6th, 2021

THE ASSET

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THE DISTILLERY EST 2024

The Distillery is the newest luxury community located in Ashville, Ohio. Offering 1, 2 & 3 bedroom floor plans. At The Distillery, they bring it all to you with apartments designed to meet your lifestyle needs. The Distillery offers exceptional amenities including a clubhouse that features a fitness room, movie theater, lounge area, and an outdoor swimming pool with a splash pad. They are one of the few pet-friendly communities in the area that not only caters to their residents, but also to their pets as well. If it is swimmming, working out, playing a game of pickle ball, having coffee, or enjoying community events, you can do it here.

1812 BOURBON STREET ASHVILLE OHIO

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FLOORPLANS UNIT TYPE 1x1 1x1 FURNISHED TOTALS / WTD. AVERAGES 2x2 2x2 FURNISHED TOTALS / WTD. AVERAGES 3x2 TOTALS / WTD. AVERAGES

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NO. OF UNITS 69 7 76

RENTABLE SQFT 759 759 759

TOTAL SF 52,371 5,313 57,684

125 7 132

1,104 1,104 1,104

138,000 7,728 145,728

24 24

1,326 1,326

31,824 31,824

UNIT DISTRIBUTION

ONE BEDROOM TWO BEDROOM THREE BEDROOM

BREAKDOWN 76 - KNOB 132 - WOODFORD 24 - BLANTON LEARN

MORE

THE KNOB | 1 BEDROOM 1 BATHROOM

759 Sqft

THE WOODFORD | 2 BEDROOMS 2 BATHROOMS

1104 Sqft

THE BLANTON | 3 BEDROOMS 2 BATHROOMS

1326 Sqft

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RESIDENT FEATURES •

24 Hour Fitness Center

•

Half Basketball Court

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Movie Theater

•

Fire Pit

•

Community Lounge

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Grilling Stations

•

Swimming Pool

•

Mailroom

•

Splash Pad

•

Rented Garage Space

•

Dog Park

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Pickle Ball Court

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UNIT FINISHES

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TD

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LOCAL COMPS

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LOCAL RENTAL COMPETITORS SUMMARY

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HUTCHINSON PLACE

LAKES AT ASHTON VILLAGE

CORNERSTONE APARTMENTS

Located just 20 minutes south of Downtown Columbus, Hutchison Place offers one, two, and three bedroom luxury apartments for rent. Whether you’re an outdoor enthusiast, busy professional or empty nester, Hutchison Place has something to fit your lifestyle!

If a beautiful country atmosphere is your ideal location to call home, then The Lakes at Ashton Village was designed just for you! They have taken outstanding amenities, spacious floor plans and surrounded them with amazing country views!

The property is walking distance to the library, the post office, dining and grocery shopping.

It is also convenient to State Route 23. Residents attend Teays Valley Schools which receive the best ratings in Pickaway County.

LOCATION LAKES AT ASHTON VILLAGE 192 UNITS

LOCAL COMPETITORS Understanding real estate comparables and the state of the market in your local area is essential. It can help you make an informed decision about buying or selling a property.

HUTCHINSON PLACE 300 UNITS

CORNERSTONE APARTMENTS 35 UNITS

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HUTCHINSON PLACE UNITS YEAR BUILT OCCUPANCY UNIT MIX One Bedroom

UNITS 132

SQFT 759

RENT $925

300 2021 N/A RENT/SF $1.22

Two Bedroom

132

1104

$1,225

$1.11

Three Bedroom

36

1403

$1,495

$1.16

UNIT FEATURES • Walk in closets • Patio and Balcony • New Appliances UTILITIES • Resident pays Sewer • Resident pays trash • Resident pays water • Resident pays partial electricity

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FEATURED AMENITIES • Clubhouse • Fitness center • Basketball court • Pool • Theater • Playground

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LAKES AT ASHTON VILLAGE UNITS YEAR BUILT OCCUPANCY UNIT MIX One Bedroom

UNITS 48

SQFT 764

RENT $835

192 1999 N/A RENT/SF $1.09

Two Bedroom

128

990

$935

$0.94

Three Bedroom

16

1284

$1,150

$1.02

UNIT FEATURES • Walk in closet

UTILITIES • Resident pays electricity • Resident pays gas • Resident pays water • Property pays sewer • Property pays trash

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FEATURED AMENITIES • Clubhouse • Fitness Center • Pool

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CORNERSTONE APARTMENTS UNITS YEAR BUILT OCCUPANCY UNIT MIX One Bedroom

UNITS 10

SQFT 700

RENT $935

35 1958 N/A RENT/SF $1.34

Two Bedroom

15

900

$950

$1.06

Three Bedroom

10

1125

$1,150

$1.20

UNIT FEATURES • Hardwoood floors

UTILITIES • Resident pays gas • Resident pays water • Resident pays electricity • Resident pays sewer • Resident pays trash • Resident pays heat

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FEATURED AMENITIES • Fitness center • Playground • Laundry facilities • Courtyard/picnic area

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THE MARKET

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ASHVILLE POPULATION | 4,772

Distance from Ashville Population Median Age Poverty Rate Median Household Income Median Property Value

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Ashville

Columbus MSA

Lancaster

London

Mary

0 miles 4,772 31 10.47% $77,976 $318,062

16.2 mi 2.1 million 26.1 12.7% $66,715 $195,900

21.5 mi 40,763 39.2 19.3% $44,794 $131,700

33.5 mi 10241 39.6 12.3% $56,401 $149,200

47 245 26 7.0 $79 $206

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ASHVILLE, OHIO HH INCOME $77,976 MEDIAN PROPERTY VALUE $318,062 MEDIAN AGE 31 POPULATION 4,772

ysville

Springfield MSA

mi 569 6.9 0% 9,016 6,700

58 mi 134409 41.5 15.3% $51,504 $120,500

POPULATION CHANGE (1 YEAR GROWTH) +1.62% HOMEOWNERSHIP RATE 65.9% 45

ASHVILLE EMPLOYMENT DUPONT: chemical company, makes adhesives, printing solutions, construction materials, consumer products, electronics and industrial materials, fabrics, fibers, and nonwovens, healthcare solutions, and industrial films.

•

23,000 total employees, around 104 plants

PPG: short for Pittsburgh Plate Glass Company. Manufacture paint, stain, auto coatings.

•

Roughly 60 employees

ALERIS: aluminum rolled products •

Roughly 1500 employees

INTEL: manufacture computer chips •

3000 employees

AMAZON: distribution centers •

as of 2020, 2500 jobs in Etna Township (40 minutes north)

FACEBOOK: •

Will employ 1800 Contruction workers

•

300 jobs

GOOGLE: •

To employ 1000 construction workers

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Around 20 full-time workers once the plants are complete

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L BRANDS New Facilitiy

INTEL Future Building

GOOGLE Data Center

META Data Center

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SHOPPING & R E TA I L 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21

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GOODYEAR DISTRIBUTION RICKENBACKER INTERNATIONAL AIRPORT FEDEX KROGER FULFILLMENT CENTER RCS LOGISTICS AMAZON LOGISTICS LULULEMON ATHLETICA DHL SUPPLY CHAIN LOVES SHEETS SCIOTO DOWNS AREA 51 GOLF COURSE SKYLINE KROGER OLLIE’S BARGAIN OUTLET LOWES BESTBUY HOMEDEPOT CHICK-FIL-A WALMART AMC THEATERS

17 18 19 21 20

1

DRIVE TIME

13 14 16 15 12

26 MINS

10 9 11

6

7

THE DISTILLERY TO COLUMBUS

8

4

5 2

3

20 MINS THE DISTILLERY TO GOODYEAR

15 MINS 1

THE DISTILLERY TO SCIOTO DOWNS

THE DISTILLERY

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LOCAL DEVELOPMENTS

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INTEL Intel said the name pays homage to Ohio’s “long and storied histor y in manufacturing and its track record of producing firsts, from the Wright brothers, who grew up in Ohio and first envisioned their historic planes here, to John Glenn, the first man ever in orbit, and Neil Armstrong, the first man on the moon.”

“And now, Ohioans can add another first to the great state’s list –— ‘Ohio One’ — Intel’s first advanced semiconductor campus in the Midwest,” Intel Ohio General Manager Jim Evers said in a letter posted the Intel website. “Ohio One represents a nod to the past and a look to the future of technolog y innovation for the Midwest and America.”

$20 BILLION COST 1,000 ACRES SIZE 3,000 EMPLOYMENT $135,000 AVG SALARY

L BR A N DS The Columbus-based retailer was approved on Monday for a. 1.421%, eight-year Jobs Creation Tax Credit by the Ohio Tax Credit Authorit y for the project.

The estimated value of that credit is $1.8 million if the company hits its employment targets, according to information from the Ohio Development Ser vices Agency.

The new facilit y will go up in Commercial Point. Bath & Body Works is expected to create 500 full-time positions there with $18.3 million in estimated new payroll and retain 3,655 jobs with an estimated $135 million in retained payroll at existing facilities in New Albany, Columbus and Reynoldsburg.

The operation will ser vice Bath & Body Works’ rapidly growing online and direct sales business. Though always an option for consumers, online sales exploded for the brand during the Covid-19 pandemic as customers were unable or unwilling to go to physical stores.

M E TA Facebook is expanding its data center operations in New Albany — again.

Facebook parent Meta said Thursday that the company is adding two more buildings totaling about 1 million square feet to the site. The addition will boost Meta’s investment in New Albany by $500 million to $1.5 billion.

The expansion is needed to house the ser vers to handle the billions of users who post photos and videos on Facebook, Instagram, Messenger and WhatsApp. Meta’s initial $750 million investment in New Albany was announced in 2017. When the first two buildings were up and running, Meta then announced an expansion in 2020. Meta said one of the new buildings will be completed in 2026; the second in 2028.

With the expansion, the number of construction workers on site will go from 1,200 to 1,800, and when the new buildings are finished the campus will have 300 workers, up from 200 currently.

Meta has 740 acres on the east side of Beech Road north of Morse Road in New Albany International Business Park.

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GOOGL E Google is expanding its data center footprint around Columbus, Ohio.

The search and cloud company this week announced plans to build two more data centers in Columbus and Lancaster. The company has one facilit y operational in the New Albany area of Columbus. The two new locations will bring Google’s total investment in Ohio to more than $2 billion. Google broke ground on its $600 million data center campus in New Albany in 2019 and subsequently announced plans to invest an additional $1 billion to expand the site. The company’s Columbus cloud region launched in May 2022. The company is also planning another campus in Columbus on the site of a former snake oil farm and has bought land in Lancaster.

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E A S T-W E S T C O N N E C T O R The $19 million project will completely rebuild the Hudson roadway. Cit y leaders said they want to create better and safer access to jobs, education, transit, and other ser vices in the communit y. “ The final plans set the vision for long transformation of one of our cit y ’s oldest, proudest, and greatest neighborhoods,” Mayor Andrew Ginther said at the groundbreaking Tuesday. “Our shared vision is becoming a realit y. Step by step. Block by block.”Council member Nick Bankston said the project will ser ve as a gateway to Linden and bring together neighborhoods.

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THE FINANCIALS

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THE DISTILLERY UNIT MIX SUMMARY

AV E R A G E E F F E CT I V E UNIT TYPE

NO. OF UNITS

R E N TA B L E S F

T OTA L S F

RENT/UNIT

76 Units 132 Units 24 Units 232 Units

759 SF 1,104 SF 1,326 SF 1,014 SF

57,684 SF $1,111.84 145,728 SF $1,481.68 31,824 SF $1,590.00 235,236 SF $1,371.73

MARKET

RENT/SF

TOTA L R E N T P OT E N T I A L

RENT/UNIT

$1.46 $1.34 $1.20 $1.35 SF

$84,500 $195,581 $38,160 $318,241

$1,111.84 $1,481.68 $1,590.00 $1,371.73

P R O J E CT E D

RENT/SF

TO TA L R E N T POTENTIAL

RENT/UNIT

RENT/SF

TO TA L R E N T POTENTIAL

$1.46 SF $1.34 SF $1.20 SF $1.35 SF

$84,500 $195,581 $38,160 $318,241

$1,161.84 $1,532.01 $1,640.00 $1,421.92

$1.53 SF $1.39 SF $1.24 SF $1.40 SF

$88,300 $202,225 $39,360 $329,885

SUMMARY

One Bedroom Two Bedroom Three Bedroom Totals / Wtd. Averages

UNIT DISTRIBUTION

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UNIT RENTS

THE DISTILLERY UNIT MIX SUMMARY

AV E R A G E E F F E CT I V E NO. OF UNITS

R E N TA B L E S F

T O TA L S F

RENT/UNIT

1BR/1BA 1BR/1BA - Furnished Totals / Wtd. Averages

69 Units 7 Units 76 Units

759 SF 759 SF 759 SF

52,371 SF 5,313 SF 57,684 SF

TWO BEDROOM 2BR/2BA 2BR/2BA - Furnished Totals / Wtd. Averages

125 Units 7 Units 132 Units

THREE BEDROOM 3BR/2BA Totals / Wtd. Averages

24 Units 24 Units

UNIT TYPE

MARKET

RENT/SF

TOTA L R E N T P OT E N T I A L

RENT/UNIT

$1,040.00 $1,820.00 $1,111.84

$1.37 SF $2.40 SF $1.46 SF

$71,760 $12,740 $84,500

1,104 SF 1,104 SF 1,104 SF

138,000 SF $1,425.00 7,728 SF $2,493.75 145,728 SF $1,481.68

$1.29 SF $2.26 SF $1.34 SF

1,326 SF 1,326 SF

31,824 SF 31,824 SF

$1.20 SF $1.20 SF

P R O J E CT E D

RENT/SF

TO TA L R E N T POTENTIAL

RENT/UNIT

RENT/SF

TO TA L R E N T POTENTIAL

$1,040.00 $1,820.00 $1,111.84

$1.37 SF $2.40 SF $1.46 SF

$71,760 $12,740 $84,500

$1,090.00 $1,870.00 $1,161.84

$1.44 SF $2.46 SF $1.53 SF

$75,210 $13,090 $88,300

$178,125 $17,456 $195,581

$1,425.00 $2,493.75 $1,481.68

$1.29 SF $2.26 SF $1.34 SF

$178,125 $17,456 $195,581

$1,475.00 $2,550.00 $1,532.01

$1.34 SF $2.31 SF $1.39 SF

$184,375 $17,850 $202,225

$38,160 $38,160

$1,590.00 $1,590.00

$1.20 SF $1.20 SF

$38,160 $38,160

$1,640.00 $1,640.00

$1.24 SF $1.24 SF

$39,360 $39,360

ONE BEDROOM

$1,590.00 $1,590.00

U N I ON SQUAR E

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INCOME EXPENSE

THE DISTILLERY

INCOME & EXPENSES

62

GROSS POTENTIAL RENT All Units at Market Rent Gain (Loss) to Lease GROSS SCHEDULED RENT Other Income Cable & Internet RUB's Trash Rubs Total Other Income GROSS POTENTIAL INCOME Physical Vacancy Non-Revenue Units Bad Debt Concessions Allowance EFFECTIVE GROSS INCOME NON-CONTROLLABLE Real Estate Taxes 2023 Taxes Paid Total Real Estate Taxes Insurance Utilities Electric Gas Water & Sewage Trash Removal Total Utilities Total Non-Controllable CONTROLLABLE Contract Services Snow Removal Landscaping/Grounds Pest Control Total Contract Services Repairs & Maintenance Marketing & Promotion On-Site Payroll Payroll Taxes & Benefits General & Administrative Management Fee Cable & Internet contract Replacement & Reserves Total Controllable TOTAL EXPENSES NET OPERATING INCOME

CLOSE DEC (2023) BASED ON PROJECTION ON INCOME AND EXPENSES AND AN EXTIMATED TAX VALUE OF THE PROPERTY FROM THE PRIOR YEAR 2022 % of Per Unit $3,818,895 16,461 $0 0.00% 0 $3,818,895 16,461 $348,000 $49,800 $544,020 $4,362,915 ($267,323) ($17,100) ($38,189) ($76,378) $3,963,926

9.11% 1.30% 14.25% 7.00% 0.45% 1.00% 2.00% 89.55%

1,500 215 2,345 18,806 (1,152) (74) (165) (329) 17,086

$150,000 Based off 22' value $150,000 $45,000

% of EGI 3.78% 3.78% 1.14%

Per Unit 647 647 194

$58,000 $2,320 $58,000 $49,880 $168,200 $363,200

1.46% 0.06% 1.46% 1.26% 4.24% 9.16%

$9,280 $18,560 $3,480 $31,320 $116,000 $23,200 $185,600 $34,800 $34,800 $118,918 $139,200 $59,160 $742,998 $1,106,198 $2,857,728

0.23% 0.47% 0.09% 0.79% 2.93% 0.59% 4.68% 0.88% 0.88% 3.00% 3.51% 1.49% 18.74% 27.91% 72.09%

YEAR 1 (2024) BASED ON PROJECTION ON INCOME AND EXPENSES AND AN EXTIMATED TAX VALUE OF THE PROPERTY FROM THE PRIOR YEAR 2023 % of GPR Per Unit $3,958,620 ($79,172) $3,879,448

2.00%

17,063 (341) 16,722

$358,440 $51,294 $560,341

9.24% 1.32% 14.44%

1,545 221 2,415

$4,439,788 ($193,972) ($17,458) ($38,794) ($19,397) $4,170,167

5.00% 0.45% 1.00% 0.50% 91.05%

19,137 (836) (75) (167) (84) 17,975

% of EGI

Per Unit

$350,000 $58,000

8.39% 1.39%

1,509 250

250 10 250 215 725 1,566

$59,160 $2,366 $59,160 $50,878 $171,564 $579,564

1.42% 0.06% 1.42% 1.22% 4.11% 13.90%

255 10 255 219 740 2,498

40 80 15 135 500 100 800 150 150 513 600 255 3,203 4,768 12,318

$9,280 $18,560 $3,480 $31,320 $127,600 $17,400 $208,800 $34,800 $34,800 $125,105 $8,120 $60,343 $648,288 $1,227,852 $2,942,314

0.22% 0.45% 0.08% 0.75% 3.06% 0.42% 5.01% 0.83% 0.83% 3.00% 0.19% 1.45% 15.55% 29.44% 70.56%

40 80 15 135 550 75 900 150 150 539 35 260 2,794 5,292 12,682

$350,000 Based off 23’ value

8.39%

1,509

YEAR 2 (2025) BASED ON PROJECTION ON INCOME AND EXPENSES AND AN EXTIMATED TAX VALUE OF THE PROPERTY FROM THE PRIOR YEAR 2024 % of GPR Per Unit $4,077,379 ($81,548) $3,995,831

2.00%

17,575 (351) 17,223

$369,193 $52,833 $577,151

9.24% 1.32% 14.44%

1,591 228 2,488

$4,572,982 ($199,792) ($17,981) ($39,958) ($19,979) $4,295,272

5.00% 0.45% 1.00% 0.50% 91.05%

19,711 (861) (78) (172) (86) 18,514

% of EGI

Per Unit

$606,000 $59,160

14.11% 1.38%

2,612 255

$60,343 $2,414 $60,343 $51,895 $174,995 $840,155

1.40% 0.06% 1.40% 1.21% 4.07% 19.56%

$9,466 $18,931 $3,550 $31,946 $130,152 $17,748 $212,976 $35,496 $35,496 $128,858 $8,282 $61,550 $662,505 $1,502,660 $2,792,611

0.22% 0.44% 0.08% 0.74% 3.03% 0.41% 4.96% 0.83% 0.83% 3.00% 0.19% 1.43% 15.42% 34.98% 65.02%

$606,000 Based off 24’ Value

14.11%

YEAR 3 (2026) BASED ON PROJECTION ON INCOME AND EXPENSES AND AN EXTIMATED TAX VALUE OF THE PROPERTY FROM THE PRIOR YEAR 2025 % of GPR Per Unit $4,199,700 ($83,994) $4,115,706

2.00%

18,102 (362) 17,740

$380,269 $54,418 $594,465

9.24% 1.32% 14.44%

1,639 235 2,562

5.00% 0.45% 1.00% 0.50% 91.05%

20,302 (887) (80) (177) (89) 19,070

% of EGI

Per Unit

$606,000 $60,343

14.11% 1.40%

2,612 260

260 10 260 224 754 3,621

$61,550 $2,462 $61,550 $52,933 $178,495 $844,838

1.43% 0.06% 1.43% 1.23% 4.16% 19.67%

265 11 265 228 769 3,642

41 82 15 138 561 77 918 153 153 555 36 265 2,856 6,477 12,037

$9,655 $19,310 $3,621 $32,585 $132,755 $18,103 $217,236 $36,206 $36,206 $132,724 $8,448 $62,781 $677,044 $1,521,882 $2,902,248

0.22% 0.45% 0.08% 0.76% 3.09% 0.42% 5.06% 0.84% 0.84% 3.00% 0.20% 1.46% 15.67% 35.43% 67.57%

42 83 16 140 572 78 936 156 156 555 36 271 2,902 6,560 12,510

2,612

$4,710,171 ($205,785) ($18,521) ($41,157) ($20,579) $4,424,130 $606,000

14.11%

UNDERWRITING NOTES #

NOTE

1

Replacement & Reserves: added based on market norm of $255 per unit per year

2,612

U N I ON SQUAR E

63

INCOME EXPENSE

THE DISTILLERY

CASH FLOW

CURRENT

YR 1

YR 2

YR 3

YR 4

YR 5

YR 6

YR 7

YR 8

YR 9

YR 10

YE DEC-2024

YE DEC-2025

YE DEC-2026

YE DEC-2027

YE DEC-2028

YE DEC-2029

YE DEC-2030

YE DEC-2031

YE DEC-2032

YE DEC-2033

GROSS POTENTIAL RENT All Units at Market Rent Gain (Loss) to Lease GROSS SCHEDULED RENT Total Other Income

$3,818,895 $0 $3,818,895 $544,020

$3,958,620 ($79,172) $3,879,448 $560,341

$4,077,379 ($81,548) $3,995,831 $577,151

$4,199,700 ($83,994) $4,115,706 $594,465

$4,325,691 ($86,514) $4,239,177 $606,355

$4,455,462 ($89,109) $4,366,352 $618,482

$4,589,126 ($91,783) $4,497,343 $630,851

$4,726,799 ($94,536) $4,632,263 $643,468

$4,868,603 ($97,372) $4,771,231 $656,338

$5,014,661 ($100,293) $4,914,368 $669,465

$5,165,101 ($103,302) $5,061,799 $682,854

GROSS POTENTIAL INCOME Physical Vacancy Non-Revenue Units Bad Debt Concessions Allowance EFFECTIVE GROSS INCOME

$4,362,915 ($267,323) ($17,100) ($38,189) ($76,378) $3,963,926

$4,439,788 ($193,972) ($17,458) ($38,794) ($19,397) $4,170,167

$4,572,982 ($199,792) ($17,981) ($39,958) ($19,979) $4,295,272

$4,710,171 ($205,785) ($18,521) ($41,157) ($20,579) $4,424,130

$4,845,532 ($211,959) ($19,076) ($42,392) ($21,196) $4,550,909

$4,984,834 ($218,318) ($19,649) ($43,664) ($21,832) $4,681,373

$5,128,194 ($224,867) ($20,238) ($44,973) ($22,487) $4,815,629

$5,275,732 ($231,613) ($20,845) ($46,323) ($23,161) $4,953,789

$5,427,569 ($238,562) ($21,471) ($47,712) ($23,856) $5,095,968

$5,583,833 ($245,718) ($22,115) ($49,144) ($24,572) $5,242,284

$5,744,653 ($253,090) ($22,778) ($50,618) ($25,309) $5,392,858

Real Estate Taxes Insurance Utilities Contract Services Repairs & Maintenance Marketing & Promotion On-Site Payroll Payroll Taxes & Benefits General & Administrative Management Fee Cable & Internet contract Replacement & Reserves TOTAL EXPENSES

$150,000 $45,000 $168,200 $31,320 $116,000 $23,200 $185,600 $34,800 $34,800 $118,918 $139,200 $59,160 $1,106,198

$350,000 $58,000 $171,564 $31,320 $127,600 $17,400 $208,800 $34,800 $34,800 $125,105 $8,120 $60,343 $1,227,852

$606,000 $59,160 $174,995 $31,946 $130,152 $17,748 $212,976 $35,496 $35,496 $128,858 $8,282 $61,550 $1,502,660

$606,000 $60,343 $178,495 $32,585 $132,755 $18,103 $217,236 $36,206 $36,206 $132,724 $8,448 $62,781 $1,521,882

$618,120 $61,550 $182,065 $33,237 $135,410 $18,465 $221,580 $36,930 $36,930 $136,527 $8,617 $64,037 $1,553,469

$630,482 $62,781 $185,706 $33,902 $138,118 $18,834 $226,012 $37,669 $37,669 $140,441 $8,789 $65,317 $1,585,721

$643,092 $64,037 $189,421 $34,580 $140,881 $19,211 $230,532 $38,422 $38,422 $144,469 $8,965 $66,624 $1,618,655

$655,954 $65,317 $193,209 $35,271 $143,698 $19,595 $235,143 $39,190 $39,190 $148,614 $9,144 $67,956 $1,652,283

$669,073 $66,624 $197,073 $35,977 $146,572 $19,987 $239,846 $39,974 $39,974 $152,879 $9,327 $69,315 $1,686,622

$682,454 $67,956 $201,015 $36,696 $149,504 $20,387 $244,642 $40,774 $40,774 $157,269 $9,514 $70,702 $1,721,686

$696,104 $69,315 $205,035 $37,430 $152,494 $20,795 $249,535 $41,589 $41,589 $161,786 $9,704 $72,116 $1,757,492

NET OPERATING INCOME

$2,857,728

$2,942,314

$2,792,611

$2,902,248

$2,997,440

$3,095,651

$3,196,974

$3,301,506

$3,409,346

$3,520,598

$3,635,366

Principal Payments Interest Payments TOTAL DS - Proposed New Loan

$561,293 $1,715,697 $2,276,991

$561,293 $1,715,697 $2,276,991

$588,543 $1,688,448 $2,276,991

$617,115 $1,659,875 $2,276,991

$647,075 $1,629,916 $2,276,991

$678,489 $1,598,501 $2,276,991

$711,428 $1,565,562 $2,276,991

$745,967 $1,531,024 $2,276,991

$782,182 $1,494,809 $2,276,991

$820,155 $1,456,835 $2,276,991

$859,972 $1,417,019 $2,276,991

CONSOLIDATED DEBT SERVICE

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

$2,276,991

NET CASH FLOW AFTER DEBT SERVICE

DEBT SERVICE COVERAGE RATIO

$580,737 1.26

$665,324 1.29

$515,621 1.23

$625,257 1.27

$720,450 1.32

$818,661 1.36

$919,984 1.40

$1,024,516 1.45

$1,132,356 1.50

$1,243,607 1.55

$1,358,376 1.60

RETURN ANALYSIS CAP Rate (Purchase Price) 'All-In' CAP Rate (Total Cost) Cash-on-Cash Return IRR

TRAILING 5.89% 5.89% 4.79% n/a

YR 1 6.07% 6.07% 5.49% 69.09%

YR 2 5.76% 5.76% 4.25% 21.21%

YR 3 5.98% 5.98% 5.16% 20.64%

YR 4 6.18% 6.18% 5.94% 18.17%

YR 5 6.38% 6.38% 6.75% 16.73%

YR 6 6.59% 6.59% 7.59% 15.80%

YR 7 6.81% 6.81% 8.45% 15.15%

YR 8 7.03% 7.03% 9.34% 14.67%

YR 9 7.26% 7.26% 10.26% 14.31%

YR 10 7.50% 7.50% 11.20% 14.03%

DEBT SERVICE - Proposed New Loan

64

CASH FLOW PROJECTION GROWTH RATE ASSUMPTIONS YR 1

YR 2

YR 3

YR 4

YR 5

YR 6

YR 7

YR 8

YR 9

YR 10

3.66% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00% 2.00% 3.00%

3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

2.00% 3.00%

Income Gross Potential Rent (Loss) / Gain to Lease* Other Income Expenses Expenses Management Fee**

CASH FLOW PROJECTION GROWTH RATE ASSUMPTIONS Physical Vacancy Non-Revenue Units Bad Debt Concessions Allowance Total Economic Loss

YR 1

YR 2

YR 3

YR 4

YR 5

YR 6

YR 7

YR 8

YR 9

YR 10

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

5.00% 0.45% 1.00% 0.50% 6.95%

*Calculated as a percentage of Gross Potential Rent | **Calculated as a percentage of Effective Gross Income

U N I ON SQUAR E

65

PRICING THE DISTILLERY P U RC H A S E P R I C E

Target Purchase Price Per Unit Per RSF

A N A LY S I S A S S U M P T I O N S

$48,500,000 $209,052 $206.18

Analysis Period Analysis Start Date Terminal Cap Rate Cost of Sale

R E N T S U M M A RY ( M O N T H LY )

10.00 Years Dec-2023 5.25% 1.00%

ACQUISITION / ADDITIONAL COSTS

Projected Capital Expenditures Renovation Cost Closing Costs Transfer Tax Total Loan Fees

$0 $0 $0 $0 $0

Total Acquisition Costs

$0

P U RC H A S E P R I C E

Total Cost Per Unit Per RSF

66

$48,500,000 $209,052 $206.18

ACQUISITION FINANCING SUMMARY

Loan Amount Loan to Value (LTV) Loan to Cost (LTC) Existing or Proposed Loan Origination Date Interest Rate Years Interest Only

$36,375,000

Equity Required Equity to Value Equity to Cost

$12,125,000

75.00%

Avg. Effective Rent Avg. Current Market Rent Avg. Projected Rent

$1,372 $1,372 $1,422

T O TA L E X P E N S E S S U M M A RY ( P E R U N I T )

Trailing Year 1 Year 2

$4,768 $5,292 $6,477

75.00% Proposed Dec-2023 4.75% 0.00

25.00% 25.00%

N O X I S U M M A RY

Trailing Year 1 Year 2

$2,857,728 $2,942,314 $2,792,611

E C O N O M I C L O S S S U M M A RY

Trailing Year 1 10-Year Projected Avg.

10.45% 6.95% 6.95%

PRICING THE DISTILLERY PRICE

PER UNIT

PER RSF

TRAILING

A L L- I N C A P R AT E YEAR 1

YEAR 2

TRAILING

YEAR 1

CAS H - O N - CAS H R E T U R N S YEAR 2

$50,925,000 $50,116,667 $49,308,333 $48,500,000 $47,691,667 $46,883,333 $46,075,000

$219,504 $216,020 $212,536 $209,052 $205,568 $202,083 $198,599

$216.48 $213.05 $209.61 $206.18 $202.74 $199.30 $195.87

5.61% 5.70% 5.80% 5.89% 5.99% 6.10% 6.20%

5.78% 5.87% 5.97% 6.07% 6.17% 6.28% 6.39%

5.48% 5.57% 5.66% 5.76% 5.86% 5.96% 6.06%

4.56% 4.64% 4.71% 4.79% 4.87% 4.95% 5.04%

5.23% 5.31% 5.40% 5.49% 5.58% 5.68% 5.78%

4.05% 4.12% 4.18% 4.25% 4.32% 4.40% 4.48%

SUGGESTED LIST PRICE: MARKET BID

Y E A R 3 ( F U L LY A M O R T I Z I N G )

4.91% 4.99% 5.07% 5.16% 5.24% 5.33% 5.43%

Marketing 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 requirements.

Thus facilitating a competitive bidding environment and ultimately maximizing the value of the 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 Internal Rate of Return (IRR) CAP Rate (Purchase Price)

4.79% n/a 5.89%

5.49% 69.09% 6.07%

4.25% 21.21% 5.76%

5.16% 20.64% 5.98%

5.94% 18.17% 6.18%

6.75% 16.73% 6.38%

7.59% 15.80% 6.59%

8.45% 15.15% 6.81%

9.34% 14.67% 7.03%

10.26% 14.31% 7.26%

11.20% 14.03% 7.50%

CAP Rate ("All-In") Gross Revenue Multiplier (GRM)

5.89% 12.70

6.07% 12.50

5.76% 12.14

5.98%

6.18%

6.38%

6.59%

6.81%

7.03%

7.26%

7.50%

U N I ON SQUAR E

67

THE DISTILLERY EST 2024

68

Jordan Dickman

Nick Andrews

Austin Sum

First Vice President Investments Cincinnati Office D. 513.878.7735 jordan.dickman@marcusmillichap.com

First Vice President Investments Cincinnati Office D. 513.878.7741 nicholas.andrews@marcusmillichap.com

Senior Associate Cincinnati Office D. 513.878.7747 austin.sum@marcusmillichap.com