10849 Fruitland Dr

PRICING & FINANCIAL ANALYSIS

10849 Fruitland Dr, Studio City, CA 91604

PREPARED FOR

Melody Torbati

TABLE OF

Contents CONTENTS

SECTION

Property Overview

01

Financial Analysis

02

Comparables

03

Location Overview

04

James Capital Advantage

05

MEET YOUR ADVISORS

danny spiwak Associate (424) 325-2645

MIke HANASSAB Senior Director (424) 325-2642

ELLIOT HASSAN Senior Director (424) 325-2643

10849 FRUITLAND DR, STUDIO CITY, CA 91604

10849 FRUITLAND DR

STUDIO CITY, CA 91604

4

SECTION ONE

PROPERTY OVERVIEW

5

10849 FRUITLAND DR, STUDIO CITY, CA 91604

PROPERTY OVERVIEW

DETAILS

Street Address City State Zip Code APN

Studio City CA 91604 2378-004-019

Number of Units Occupancy

24 Units

Flat

Parking

Subterranean Parking

Number of Buildings

1

Zoning

R3

Number of Stories

3

Unit Mix

Water

Master-Metered

26,514 SF

Electric

Individually Metered

Lot Size

14,996 SF

Gas

Individually Metered

Construction

Wood-Frame Stucco

2002

Roof

100%

Rentable Square Feet

Year Built

6

10849 Fruitland Dr

(12) 2 Bed / 2 Bath (12) 3 Bed / 2 Bath

PROPERTY OVERVIEW

property photos

7

10849 FRUITLAND DR, STUDIO CITY, CA 91604

PROPERTY OVERVIEW

property photos

8

10849 FRUITLAND DR

STUDIO CITY, CA 91604

10

SECTION TWO

FINANCIAL ANALYSIS

11

10849 FRUITLAND DR, STUDIO CITY, CA 91604

FINANCIAL ANALYSIS

PRICING ANALYSIS

$11,000,000 Price Price per Unit Price per Square Foot

CURRENT

PRO FORMA

4.31%

5.46%

15.13

12.73

$705,326

$838,080

Expenses

$231,729

$237,203

NOI

$473,597

$600,877

CAP Rate GRM

$11,000,000 $458,333 $414.88

Gross Income

This information has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless James Capital Advisors, Inc. from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.

12

FINANCIAL ANALYSIS

FINANCING

Down Payment

$4,400,000

Loan Amount

$6,600,000

Interest Rate

3.75%

Amortization / Fixed-Period

30 Years / 5 Years

Term

13

360 Months

CURRENT

PRO FORMA

Debt Service

-$366,788

-$366,788

Pre-Tax Cash Flow

$106,810

Principle Reduction

$121,359

Total Return

$228,169

(2.43%)

$234,089

(5.32%)

$121,359 (5.19%)

$355,449

(8.08%)

10849 FRUITLAND DR, STUDIO CITY, CA 91604

FINANCIAL ANALYSIS

INCOME AND EXPENSE ANNUAL

INCOME

CURRENT

PRO FORMA

Base Rental Income

$727,140

Gross Potential Income

ANNUAL

EXPENSE

CURRENT

PRO FORMA

$864,000

Property Taxes

$128,700

$128,700

$727,140

$864,000

Insurance

$6,800

$6,800

Vacancy Allowance

$21,814

$25,920

Utilities

$22,800

$22,800

Effective Gross Income

$705,326

$838,080

Elevator

$3,250

$3,250

Operating Expenses

$231,729

$237,203

Telephone

$888

$888

Net Operating Income

$473,597

$600,877

Repairs & Maintenance

$12,000

$12,000

Trash

$7,515

$7,515

On-Site Manager

$7,200

$7,200

Management Fee

$29,086

$34,560

Janitorial

$3,200

$3,200

Pest Control

$900

$900

Landscaping

$1,200

$1,200

Direct Assessments

$2,790

$2,790

Reserves

$5,400

$5,400

Operating Expenses

$231,729

$237,203

* Some Expenses Are Estimated

14

FINANCIAL ANALYSIS

RENT SCHEDULE

16

PRO FORMA

PRO FORMA

$2.28

$2,800

$2.80

$1,700

$1.70

$2,800

$2.80

1,000 SF

$2,345

$2.35

$2,800

$2.80

3 Bed / 2 Bath

1,200 SF

$2,750

$2.29

$3,200

$2.67

105

3 Bed / 2 Bath

1,200 SF

$2,800

$2.33

$3,200

$2.67

106

2 Bed / 2 Bath

1,000 SF

$2,275

$2.28

$2,800

$2.80

107

3 Bed / 2 Bath

1,200 SF

$2,750

$2.29

$3,200

$2.67

108

2 Bed / 2 Bath

1,000 SF

$2,300

$2.30

$2,800

$2.80

201

3 Bed / 2 Bath

1,200 SF

$2,900

$2.42

$3,200

$2.67

202

2 Bed / 2 Bath

1,000 SF

$2,300

$2.30

$2,800

$2.80

203

2 Bed / 2 Bath

1,000 SF

$2,295

$2.30

$2,800

$2.80

204

3 Bed / 2 Bath

1,200 SF

$2,835

$2.36

$3,200

$2.67

205

3 Bed / 2 Bath

1,200 SF

$2,600

$2.17

$3,200

$2.67

206

3 Bed / 2 Bath

1,200 SF

$2,275

$1.90

$3,200

$2.67

207

3 Bed / 2 Bath

1,200 SF

$2,800

$2.33

$3,200

$2.67

208

2 Bed / 2 Bath

1,000 SF

$2,500

$2.50

$2,800

$2.80

UNIT #

UNIT TYPE

SQ. FOOTAGE

RENT

RENT PER SF

101

2 Bed / 2 Bath

1,000 SF

$2,280

102*

2 Bed / 2 Bath

1,000 SF

103

2 Bed / 2 Bath

104

RENT

RENT PER SF

FINANCIAL ANALYSIS

RENT SCHEDULE

PRO FORMA

PRO FORMA

$2.42

$3,200

$2.67

$2,395

$2.40

$2,800

$2.80

1,000 SF

$2,325

$2.33

$2,800

$2.80

3 Bed / 2 Bath

1,200 SF

$2,850

$2.38

$3,200

$2.67

305

3 Bed / 2 Bath

1,200 SF

$2,850

$2.38

$3,200

$2.67

306

2 Bed / 2 Bath

1,000 SF

$2,200

$2.20

$2,800

$2.80

307

3 Bed / 2 Bath

1,200 SF

$3,075

$2.56

$3,200

$2.67

308

2 Bed / 2 Bath

1,000 SF

$2,295

$2.30

$2,800

$2.80

26,400 SF

$60,595

UNIT #

UNIT TYPE

SQ. FOOTAGE

RENT

RENT PER SF

301

3 Bed / 2 Bath

1,200 SF

$2,900

302

2 Bed / 2 Bath

1,000 SF

303

2 Bed / 2 Bath

304

TOTAL

RENT

RENT PER SF

$72,000

* Manager’s Unit

17

10849 FRUITLAND DR, STUDIO CITY, CA 91604

10849 FRUITLAND DR

STUDIO CITY, CA 91604

18

SECTION THREE

COMPARABLES

19

10849 FRUITLAND DR, STUDIO CITY, CA 91604

COMPARABLES

SALES COMPARABLES

20

#

ADDRESS

SALE PRICE

# OF UNITS

CAP RATE

GRM

PRICE / UNIT

PRICE / SF

01

12659 Moorpark St, Studio City, CA 91604

$9,300,000

28 Units

4.01%

17.80

$332,143

$278

02

4341 Ventura Canyon Ave, Sherman Oaks, CA 91423

$7,000,000

15 Units

3.71%

17.75

$466,667

$430

03

4610 Natick Ave, Sherman Oaks, CA 91403

$10,250,000

36 Units

3.64%

15.75

$284,722

$453

04

10650-10656 Moorpark St, West Toluca Lake, CA 91602

$16,425,000

40 Units

4.02%

14.95

$410,625

$375

05

4297 Coldwater Canyon Ave, Studio City, CA 91604

$6,500,000

10 Units

5.08%

13.06

$650,000

$327

06

4417 Hazeltine Ave, Sherman Oaks, CA 91423

$9,000,000

24 Units

3.07%

17.22

$375,000

$398

COMPARABLES

SALES COMPARABLES

01

10849 Fruitland Dr

12659 Moorpark St

Studio City, CA 91604

Close of Escrow

Sherman Oaks, CA 91423

6/13/2019

Close of Escrow

3/19/2019

List Price

$11,000,000

Sale Price

$9,300,000

Sale Price

$7,000,000

CAP Rate

4.31%

CAP Rate

4.01%

CAP Rate

3.71%

GRM

17.80

GRM

17.75

GRM Number of Units Year Built

15.13 24 Units 2002

Number of Units Year Built

28 Units 1969

Number of Units Year Built

15 Units 1997

Rentable Square Feet

26,514 SF

Rentable Square Feet

33,384 SF

Rentable Square Feet

16,260 SF

Price per Square Foot

$414

Price per Square Foot

$278

Price per Square Foot

$430

Price per Unit Unit Mix

21

Close of Escrow

oSale Éå í

4341 Ventura Canyon Ave

Studio City, CA 91604

N/A

02

oSale Éå í

o Éå í Subject

$458,333 (12) 2 Bed / 2 Bath (12) 3 Bed / 2 Bath

Price per Unit Unit Mix

$332,143 (14) 1 Bed / 1 Bath (10) 2 Bed / 2 Bath (4) 3 Bed / 2 Bath

Price per Unit Unit Mix

$466,667 (1) Single / 1 Bath (1) 1 Bed / 1 Bath (13) 2 Bed / 2 Bath

10849 FRUITLAND DR, STUDIO CITY, CA 91604

COMPARABLES

SALES COMPARABLES

03

04

oSale Éå í

4610 Natick Ave

Sherman Oaks, CA 91403

Close of Escrow

4297 Coldwater Canyon Ave

Close of Escrow

Close of Escrow

Studio City, CA 91604

4/16/2019

8/26/2019

Sale Price

$10,250,000

Sale Price

$16,425,000

Sale Price

$6,500,000

CAP Rate

3.64%

CAP Rate

4.02%

CAP Rate

5.08%

GRM Number of Units Year Built

15.75 36 Units 1974

GRM

14.95

Number of Units

40 Units

Year Built

1991

GRM Number of Units Year Built

13.06 10 Units 2005

Rentable Square Feet

22,616 SF

Rentable Square Feet

43,745 SF

Rentable Square Feet

19,680 SF

Price per Square Foot

$453

Price per Square Foot

$375

Price per Square Foot

$327

Price per Unit Unit Mix

22

oSale Éå í

10650-10656 Moorpark St West Toluca Lake, CA 91602

2/28/2019

05

oSale Éå í

$284,722 (36) 1 Bed / 1 Bath

Price per Unit Unit Mix

$410,625 (13) 1 Bed / 1 Bath (27) 2 Bed / 2 Bath

Price per Unit Unit Mix

$650,000 (6) 2 Bed / 2 Bath (4) 4 Bed / 2 Bath

COMPARABLES

SALES COMPARABLES

06

oSale Éå í

4417 Hazeltine Ave Sherman Oaks, CA 91423

Close of Escrow Sale Price

$9,000,000

CAP Rate

3.07%

GRM Number of Units Year Built

17.22 24 Units 1990

Rentable Square Feet

22,585 SF

Price per Square Foot

$398

Price per Unit Unit Mix

23

8/15/209

$375,000 (8) 1 Bed / 1 Bath (8) 2 Bed / 1 Bath (8) 3 Bed / 1 Bath

10849 FRUITLAND DR, STUDIO CITY, CA 91604

COMPARABLES

RENT COMPARABLES

24

#

ADDRESS

UNIT TYPE

RENT

SQ. FOOTAGE

RENT PER SF

01

10937 Fruitland Dr, Studio City, CA 91604

2 Bed / 2 Bath

$2,695

1,000 SF

$2.70

02

11023 Fruitland Dr, Studio City, CA 91604

3 Bed / 3 Bath

$5,400

1,560 SF

$3.46

03

4055 Lankershim Blvd, Studio City, CA 91604

2 Bed / 2 Bath

$3,400

1,031 SF

$3.30

04

10915 Bluffside Dr, Studio City, CA 91604

2 Bed / 1 Bath

$2,300

800 SF

$2.88

05

10865 Bluffside Dr, Studio City, CA 91604

2 Bed / 2 Bath

$2,295

985 SF

$2.33

COMPARABLES

RENT COMPARABLES

01

02

oRent Éå í

10937 Fruitland Dr

11023 Fruitland Dr

Studio City, CA 91604

Unit Type Monthly Rent Square Footage Rent per Square Foot Year Built Number of Units

25

$2,695 1,000 SF $2.70 1971 44 Units

Unit Type Monthly Rent Square Footage Rent per Square Foot Year Built Number of Units

oRent Éå í

4055 Lankershim Blvd

Studio City, CA 91604

2 Bed / 2 Bath

03

oRent Éå í

Studio City, CA 91604

3 Bed / 3 Bath $5,400 1,560 SF $3.46 2010 18 Units

Unit Type

2 Bed / 2 Bath

Monthly Rent

$3,400

Square Footage

1,031 SF

Rent per Square Foot

$3.30

Year Built

2006

Number of Units

138 Units

10849 FRUITLAND DR, STUDIO CITY, CA 91604

COMPARABLES

RENT COMPARABLES

04

05

oRent Éå í

10915 Bluffside Dr

10865 Bluffside Dr

Studio City, CA 91604

Unit Type

Studio City, CA 91604

2 Bed / 1 Bath

Unit Type

2 Bed / 2 Bath

Monthly Rent

$2,300

Monthly Rent

$2,295

Square Footage

800 SF

Square Footage

985 SF

Rent per Square Foot Year Built Number of Units

26

oRent Éå í

$2.88 1986 105 Units

Rent per Square Foot Year Built Number of Units

$2.33 1985 58 Units

SECTION FOUR

LOCATION OVERVIEW

28

LOCATION OVERVIEW

DEMOGRAPHICS

29

Population

1-Mile

3-Mile

5-Mile

2024 Projection

21,526

181,751

654,730

2019 Estimate

21,052

179,363

643,802

2010 Census

19,180

172,289

605,844

Growth ‘19 - ‘24

2.25%

1.33%

1.70%

Growth ‘10 - ‘19

9.76%

4.11%

6.27%

Households

1-Mile

3-Mile

5-Mile

2024 Projection

11,106

86,945

293,921

2019 Estimate

10,907

86,010

289,339

2010 Census

10,197

83,800

274,206

Growth ‘19 - ‘24

1.82%

1.09%

1.58%

Growth ‘10 - ‘19

6.96%

2.64%

5.52%

Average Income

$127,669

$108,733

$96,290

Median Income

$96,162

$76,281

$65,920

10849 FRUITLAND DR, STUDIO CITY, CA 91604

10849 FRUITLAND DR

STUDIO CITY, CA 91604

30

SECTION FIVE

JAMES CAPITAL ADVANTAGE

31

10849 FRUITLAND DR, STUDIO CITY, CA 91604

JAMES CAPITAL ADVISORS

JAMES CAPITAL ADVANTAGE 32

WHO WE ARE OUR BACKGROUND James Capital Advisors, Inc. (JCA) is a commercial real estate brokerage firm that specializes in net lease and multifamily investment sales throughout the U.S. Originally founded by Mike James as “The James Group” in 2012, the firm rebranded to “James Capital Advisors” in 2018 and set out to develop the next generation of real estate brokerage services. In the 18 months that followed, the firm experienced 400% growth and established a new flagship office in Los Angeles, CA. James Capital Advisors operates on a transparency-driven shared client management platform. This allows us to avoid duplicate agent outreach, and ensures that we provide our clients with a singular advisor-client experience. Every agent in our firm specializes in either net lease, multifamily. The firm’s dedicated focus on net lease and multifamily stems from the synergy between the two product types. With California multifamily exchange clients accounting for a significant portion of the net lease buyer pool, our Los Angeles-based team is uniquely positioned to leverage California capital.

OUR MISSION Provide a first class commercial real estate experience through collaboration, transparency and innovation.

OUR CORE VALUES Collaboration Transparency Growth Innovation

33

10849 FRUITLAND DR, STUDIO CITY, CA 91604

WHAT WE DO NET LEASE With fluctuating operating costs and rising e-commerce competition, net lease investors need an expert to identify a strategic approach hand-tailored to their investment portfolio.

Our net lease experts deliver two facets of specialization; tenant/brand and locational expertise.

By taking ownership of a dedicated territory, our agents are able to keep their finger on the pulse of the market and provide actionable insights. With a deep understanding of demographic trends, transitioning locality, exposure and accessibility, we deliver an unrivaled competitive edge.

Niche Expertise When it comes to national net lease investments, it is essential for property owners to partner with a singular advisor who is most adept with their respective market. Our expert advisors not only specialize in net lease transactions, but also within their dedicated territory. As a result, investors benefit from boots-on-the-ground market expertise combined with the nation’s leading investment sales team.

MULTIFAMILY James Capital’s multifamily division focuses on transactions between $1 million and $30 million in Southern California. Each broker specializes in a devoted submarket to provide clients with the highest level of expertise, and an unrivaled understanding of their dedicated zip code.

NET LEASE

With new ordinances and regulations constantly introduced in Los Angeles, investors need to be supported by a specialist who understands all aspects of the multifamily market. While each agent focuses on a core market, our collaborative approach allows advisors to leverage each other’s relationships and experiences, ensuring the best outcome for our clients.

Our undivided attention in the greater Los Angeles multifamily real estate market, backed by the national inventory of our net lease division uniquely positions James Capital to create optimal opportunities for our clients.

34

WHAT WE DO CORPORATE REAL ESTATE James Capital’s corporate real estate division provides creative solutions to public and private corporations, investment banks, private equity firms and independent sponsors.

Services • M&A Real Estate Advisory and Execution

• Financing and Debt Sourcing

• Valuation and Portfolio Advisory

• Catch & Release Real Estate Optimization

• Portfolio Sale-Leaseback Structuring & Execution

• Real Estate Tax Advisory

• Private Markets Sale-Leaseback Structuring and Execution (Individual Property Sales)

TRACK RECORD As a market leader, James Capital Advisors has sold over $5 Billion in value of real estate between Multifamily and Net Lease properties nationwide. Our specialized expertise, platform, and team of purpose-driven advisors guide us in our mission to disrupt the industry, and prove our staying power.

$6 B 3,000 60+ $6 B

TRANSACTION VOLUME

35

3,000+ Properties SOLD

60+

Investment Professionals

10849 FRUITLAND DR, STUDIO CITY, CA 91604

MULTIFAMILY

SPECIALIZATION James Capital’s multifamily division focuses on transactions between $1 million and $30 million in Southern California. Each broker specializes in a devoted submarket to provide clients with the highest level of expertise, and an unrivaled understanding of their dedicated zip code.

With new ordinances and regulations constantly introduced in Los Angeles, investors need to be supported by a specialist who understands all aspects of the multifamily market. While each agent focuses on a core market, our collaborative approach allows advisors to leverage each other’s relationships and experiences, ensuring the best outcome for our clients.

Our undivided attention in the greater Los Angeles multifamily real estate market, backed by the national inventory of our net lease division uniquely positions James Capital to create optimal opportunities for our clients.

Niche Expertise When it comes to the Los Angeles multifamily market, investors deserve an advisory team with extensive knowledge of each specific submarket. Our agent’s hyper-focus within their dedicated zip codes ensure that our clients receive the best possible service and execution every step of the way.

Mid-Market Minded We deliver results for institutions, developers, family-owned and private capital investors.

Exclusive Exchange Inventory The synergy between our net lease and multifamily divisions open the door to exclusive exchange opportunities for our clients. Considering an exchange? Click here to fill out a brief survey and one of our advisors will reach out to start the process.

36

MEET OUR

SENIOR LEADERSHIP Mike James

Founder, Managing Director As Founding Member and Managing Director of James Capital Advisors, Mike guides the company in its vision, dedication, work culture, and commitment to success. In his role as Managing Partner and head of the corporate M&A real estate department, he oversees and evaluates all major corporate decisions and institutional accounts.

Mike boasts an undeniable track record of success in managing large portfolio saleleaseback transactions. A graduate of the Argyros School of Business and Economics, he shares his expertise with his clients, advising them on matters great and small in the world of commercial real estate mergers and acquisitions.

(424) 325-2601 mike@jamescapitaladvisors.com CA RE Lic. 01869890

Wayne Vance Chief Financial Officer

Wayne Vance is JCA’s chief financial officer reporting to CEO Nate Barnes. As CFO, Wayne oversees the accounting, financial planning and analysis, internal audit and tax functions at JCA. Wayne joined James Capital in 2019 and has worked closely with JCA’s senior leadership since his arrival.

Wayne has nearly two decades of experince within various industries and a passion for working with high-paced, high-growth companies. He began his career in Silicon Valley as an auditor, growing a start up from $8M to $350M in revenue and 35 to 1,200 employees globally within 6 years.

(424) 325-2600 info@jamescapitaladvisors.com

37

Nate Barnes

Chief Executive Officer As James Capital Advisors CEO, Nate manages the corporate direction and strategy of the company. His responsibilities include sales and marketing leadership, business development strategy, and financial and operational oversight. With degrees in both finance and real estate from California State University, Northridge, Nate’s astute grasp on the real estate market was pivotal in the early expansion and growth of James Capital Advisors.

Before signing on with James Capital Advisors, Nate served as the managing partner for Los Angeles-based regional franchise LA Tasty Food, LLC, operating popular brands like El Pollo Loco, Carl’s Jr, and Sbarro.

(424) 325-2603 nate@jamescapitaladvisors.com CA RE Lic. 01908103

Mark Richardson Owner, Vice Chairman

An American businessman, real estate expert, and former co-owner of the Carolina Panthers, Mark is a part owner and Vice Chairman of James Capital Advisors and an integral part of the company’s breakaway success. Graduating from Clemson University in 1987, he went on to receive his Master’s of Business Administration from the University of Virginia in 1987 and in 2013 was named a lifetime trustee of Clemson University.

Mark is also a shrewd franchise investor, with more than 50 Bojangles’ Famous Chicken ‘n Biscuits restaurants under his proprietorship across the U.S. (424) 325-2600 info@jamescapitaladvisors.com

10849 FRUITLAND DR, STUDIO CITY, CA 91604

JAMES CAPITAL ADVANTAGE

EQUITY SPONSOR

Mark Richardson Owner, Vice Chairman

An American businessman, real estate expert, and former co-owner of the Carolina Panthers, Mark is a part owner and Vice Chairman of James Capital Advisors and an integral part of the company’s breakaway success. Graduating from Clemson University in 1983, he went on to receive his Master’s of Business Administration from the University of Virginia in 1987 and in 2013 was named a lifetime trustee of Clemson University. Mark is also a shrewd franchise investor, with more than 50 Bojangles’ Famous Chicken ‘n Biscuits restaurants under his proprietorship across the U.S. At James Capital Advisors, Mark uses his expertise as a professional real estate developer to focus on single-tenant projects in the southeast.

(424) 325-2600 info@jamescapitaladvisors.com www.jamescapitaladivsors.com

In July of 2018, Former Founder & Owner of the NFL’s Carolina Panthers, Mark Richardson, invested a significant amount of capital into JCA.

38

•

Former Owner of the Carolina Panthers

•

Extensive Real Estate Portfolio

•

50+ Unit Bojangles’ Franchisee

•

Lifetime Trustee of Clemson University

•

Co-Owner & Vice Chairman of JCA

JAMES CAPITAL ADVISORS

MARKETING CAMPAIGN

WEEK

WEEK

01

02

03

CONTROLLED LISTING

HYPERTARGETING

JCA MASS OUTREACH

Upon execution of the listing agreement, JCA will quietly distribute the offer to a strategically selected group of buyers.

Upon completion of a perfect marketing package, JCA will publish across all platforms and target tier one prospects.

Large-scale digital distribution utilizing our industry-first CRM platform, reaching 250,000+ brokers and principals.

WEEK

WEEK

WEEK

04

39

WEEK

05

06

PREMIUM PLATFORMS

BROKER RELATIONSHIPS

BUYER QUALIFICATION

Coordinated campaigns leveraging our third-party property marketing partners.

JCA maintains strong credibility with all other representatives of buyers across the country.

JCA understand the necessary questions to ask and required terms to achieve a smooth closing process.

10849 FRUITLAND DR, STUDIO CITY, CA 91604

JAMES CAPITAL ADVISORS, INC.

DISCLAIMER

The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guarantees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation

by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto.

The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants.

A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or comparable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property.

Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property.

CONFIDENTIALITY This Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker.

RELEASE This Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.

NON-ENDORSEMENT Broker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.

FOR INQUIRIES

PLEASE CONTACT

danny spiwak

mike hanassab

elliot hassan

(424) 325-2645

(424) 325-2642

(424) 325-2643

Associate

danny.spiwak@jamescapitaladvisors.com CA RE Lic. 02031346

Senior Director

mike.hanassab@jamescapitaladvisors.com CA RE Lic. 01484891

Senior Director

elliot.hassan@jamescapitaladvisors.com CA RE Lic. 01481211