Marbella Place

Marbella Place Apartment Homes

Confidential Investment Summary

MARBELLA PLACE APARTMENT HOMES

Dr. Vikram Raya Managing Partner

Dr. Ravi Gupta Managing Partner

Dipen Patel Managing Partner

Legal Disclosures The following information is an investment summary provided to prospective investors. This information is not a formal offering to sell either a security or a solicitation to sell a security. At the request of a recipient, the Company will provide a private placement memorandum, subscription agreement and the Limited Liability Company Operating Agreement. The Managing Member in no way guarantees the projections contained herein. Real estate values, income, expenses and development costs are all affected by a multitude of forces outside the Managing Member’s control.

This investment is illiquid and only those persons that are able and prudence in your decision is strongly suggested. Please consult your attorney, CPA and/or professional financial advisor regarding the suitability of an investment by you.

Table Of Contents Executive Summary Property Profile Financial Analysis Market Analysis Portfolio Index

Executive Summary Investment Summary Investment Offering

Investment Summary MARBELLA PLACE STOCKBRIDGE, GA The Viking Capital Investments Team has identified Marbella Place for acquisition.

Viking Capital is acquiring Marbella Place, a 368 unit B class garden style, Core Plus asset built in 1999 located in Stockbridge, GA. The property features sixteen 3-story buildings located in the heart of the rapidly growing South Atlanta Industrial Submarket, the second largest market in the Atlanta MSA. Marbella Place is ideally located between major interstates I-75 and I-675, combining to see nearly 200,000/vehicles per day.

The future job growth over the next ten years is predicted to be 45.4% in Stockbridge, which is higher than the US average of 33.5%. The highly visible location also boasts excellent access to Hartsfield-Jackson International Airport, the world’s busiest airport and Georgia’s largest employer with more than 63,000 workers. Marbella Place boasts premium construction across a low- density site, brick veneer and vinyl exteriors provide quality and durability.

OFFERING SUMMARY Cap (T-12) Reversion Cap

4.92% 5.17%

Expense Ration (T-12)

46%

Physical Occupancy (as of 10/30/20)

94%

DSCR Yr 1

2.45

DSCR avg.

3.07

Purchase Price Hold Period Equity

$52,700,000 5 years 19,465,397

LP Class A Equity

$4,866,349

LP Class B Equity

$14,599,048

LP Class A IRR

10%

LP Class B IRR

16.48%

LP Class B Equity Multiple LP Class B Average Annual Returns incl. Sale

2.01x 20.19%

Location, Location, Location!

Marbella Place is ideally located between major interstates I-75 and I-675, combining to see nearly 200,000/vehicles per day. The highly visible location also boasts excellent access to Hartsfield-Jackson International Airport, the world’s busiest airport and Georgia’s largest employer with more than 63,000 workers. Marbella Place also sits in the heart of the rapidly growing South Atlanta Industrial Submarket, the second largest market in the Atlanta MSA, home to more than 27% of the MSA’s Industrial SF.

High-Quality Asset That Has Been Excellently Maintained Marbella Place boasts premium construction across a low- density site, brick veneer and vinyl exteriors provide quality and durability. Gently rolling hills amidst a wooded site provide neighborhood feel and ample greenspace.

Attractive Financing Provides Stable Returns Marbella Place’s current loan has nearly 4 years of interest-only period remaining, allowing new ownership to enjoy, solid, stable yields deep into the hold period. The 10-year Fannie Mae Green loan has a fixed interest rate at 4.44%.

Outstanding Property Performance Through the Pandemic Occupancy at Marbella Place has averaged an impressive 95% between March 2020 - Oct 2020, illustrating the strong rental demand in the area in spite of the challenges of COVID-19.

Two-Tiered Equity Structure Allows Investors to Match Investment Goals Two-Tiered Return Structure: A two-tiered return structure gives investors several choices when placing their equity. Investors have the ability to invest in either tier of equity Class A, Class B or a combination of both Class A and Class B. Diversifying in both classes allows for a risk adjusted and blended return.

Limited Partner (A) Class A investors sit behind the debt in the capital stack. Class A Limited Partners earn a preferred rate of return of 10% per year. Minimum investment $100,000.

Limited Partner (B) Class B investors sit behind Class A investors in the capital stack, per the diagram. Class B Limited Partners receive a preferred rate of return of 7% per year. Class B Limited Partners will receive 70% percent ownership of the property. Minimum investment $50, 000.

General Partners Limited Partner (B)

$19,465,397

Limited Partner (A)

Debt

$38,582,000

Investment Offering

$52,700,000

Purchase Price Debt Total Equity

LP Equity Pref.

Hold Period

$38,582,000 $19,465,397 Class A

Class B

$4,866,349

$14,599,048

10%

7%

5 Years

5 Years

30% Ownership

70% Ownership

Investor Returns Based on $1,000,000 Investment Class A Investment

Investor Annual Percent Return Limited Partner Annual Return Limited Partner Return At Exit Total Projected Return

Year 1

($1,000,000)

10% $100,000

Year 2

Year 3

10% $100,000

10% $100,000

Year 4

10% $100,000

Year 5

10% $100,000 $1,000,000 $1,500,000

Investor Returns Based on $1,000,000 Investment Class B Investor Annual Percent Return Total Return - Limited Partner Limited Partner Return At Exit Total Projected Return

Investment

Year 1

Year 2

Year 3

Year 4

($1,000,000)

6.39% $63,910

7.61% $76,090

7.00% $70,000

7.00% $70,000

Return Summary IRR

Equity Multiple

Avg. CoC*

Limited Partner (Class A)

10.00%

1.50x

10.00%

Limited Partner (Class B)

16.48%

2.01x

20.19%

Year 5 73% $70,000 $1,656,560 $2,009,260

Investment Offering The Viking Capital Investments team is pleased to present this investment offering of the 368-unit, Marbella Place apartment homes. Delivered in 1999, the property is located in the highly desired suburb of Stockbridge, GA located just 19 miles south of Atlanta, GA. Marbella Place is surrounded by dynamic demand drivers including Hartsfield Jackson International Airport, the #1 busiest airport in the world (6 miles), the ever expanding Piedmont Henry Hospital (7 min drive), in addition to the rapid growth of e-commerce bolstering big-box warehouse demand in South Atlanta. The residents of Marabella also enjoy seamless access to the premier retail in the area including several major retailers.

368

$52,700,000

94%

83,000+

Units

Occupancy

Purchase Price

Employment Growth by 2025

1999

2017

20 mins

5.5%

Year Built

To Downtown Atlanta

Interior Renovations

Annual Rent Growth Since 2016

Property Profile Property Specification Amenities Property Details Site Plan

Value-Add Business Strategy Our business plan is to raise in-place below market rents to the market average. Viking will upgrade the property's exterior and strategically enhance apartment interiors. Our aim is to ensure Marbella achieves bestin-market rents and attracts high quality tenants.

Property Specifications UTILITIES

LOCATION

PROPERTY 1999

PAINT/ROOF HISTORY WASHER/DRYER PARKING/GARAGE/STORAGE

3 BR 16.3% 1 BR 35.9%

Unit Mix

2 BR 47.8%

Elite Community Amenities Two Children's Playground, Newly Redesigned Clubhouse and WiFi Cafe, Detached Garages, ResortStyle Pool and Outdoor Furniture result in high tenant satisfaction.

The Amenities Marbella Place is a core plus caliber property with significant upside. All of the Marabella Place unit interiors were renovated in 2017 and feature stainless steel appliances, tile backsplashes, upgraded lighting, resurfaced countertops, new windows/blinds, USB ports, upgraded bathrooms, kitchen vinyl plank flooring (common areas as well in first floor units), and washer/dryers in 245 of units - all units have w/d connections. Community Amenities include a newly renovated clubhouse with a business center and cafe, fitness center, pool, detached garages, storage units, outdoor grilling stations, dog park, two playgrounds, remote-access package lockers, and a green space with a gazebo.

Private Garage Spaces

Luxurious Cabana

Pool Club House

Gazebo & Walking Trails

Outdoor Kitchen & Entertaining

Executive Workspace

Two Outdoor Playgrounds

Spacious Dog Park

Site Plan

Floor Plans

1 Bed 1 Bath

2 Bed 2 Bath 3 Bed 2 Bath

Open Concept Kitchen

Generous Entertaining Living Room

Sophisticated Finishes

Sizable Bedrooms

Abundant Natural Lighting

Energy Conservation Finishes

Tranquil Patios

Financial Analysis Return on Investment Overview Debt and Cash Flows Pro Forma Projections Rent Comps Sale Comps

Financial Overview

OFFERING SUMMARY Cap (T-12) Reversion Cap Expense Ration (T-12) Physical Occupancy (as of 10/30/20) DSCR Yr 1 DSCR avg.

Purchase Price Hold Period Equity LP Class A Equity LP Class B Equity LP Class A IRR LP Class B IRR LP Class B Equity Multiple LP Class B Average Annual Returns incl. Sale

4.92% 5.17% 46% 94% 2.45 3.07 $52,700,000 5 years 19,465,397 4,866,349 14,599,048 10% 16.48% 2.01 20.19%

Debt Financing* Loan Principal Balance

$38,582,000

Loan to Value

73%

Interest Rate

2.8%

Interest Only Payments (Months)

60

Term (Years)

10

Fixed or Adjustable

Adjustable

Amortizing Period (Years) Prepayment Penalty

30 1% after Yr 1

*Subject to change before closing

Pro Forma Projections Table

Rent Comps

Sales Comps

Market Analysis Stockbridge Overview Atlanta Market Hartsfield Airport Piedmont Henry Hospital Warehouse Demand

Stockbridge, GA 19.38%

$71,901

Growth Since 2010

Average Household Income

5.13%

30,604

Employment YoY Growth

2020 Population

Situated 19 miles southeast of Atlanta, Stockbridge provides the tranquil, peripheral environment many seek outside of the bustling city center, evidenced by the extensive growth experienced over the last decade.

Stockbridge is currently growing at a rate of 1.60% annually and its population has increased by 19.38% since the most recent census, which recorded a population of 25,636 in 2010. Spanning over 14 miles, Stockbridge has a population density of 2,239 people per square mile. Whether you are looking for a nice place to dine, entertainment, or shopping, Marbella is located in a supreme location that offers a unique and diverse experience.

Stockbridge is home to a wealth of outdoor attractions.

Travelers in search of adventure can spend time on the trails at Panola Mountain State Park, where 25 miles of hiking trails offer an excellent opportunity to appreciate the region’s natural appeal and diverse ecosystems. Other activities at the park include primitive camping, archery, tree-climbing and more.

Leading Job Providers 1. Delta Air Lines (34,500) 2. Emory University & Emory Healthcare (32,091) 3. The Home Depot (16,510) 4. Northside Hospital (16,000+) 5. Piedmont Healthcare (15,900) 6. Publix Super Markets (15, 591) 7. WellStar Health System (15,353) 8. The Kroger Co. (15,000+) 9. AT&T (15,000) 10. UPS (14,594)

SF TOTALS WITHIN 1.5MI. RADIUS

BUSINESSES WITHIN 1.5MI. RADIUS

Atlanta, GA

Hartsfield-Jackson International Airport Located 6 miles from Hartsfield-Jackson Atlanta International Airport, the world's busiest airport, Marbella Place ideally positioned to reap the benefits of the state's most significant, and ever-expanding economic driver.

Piedmont Henry Hospital Continues to Expand

Warehouse Demand in South Atlanta Continues to Pace the Southeast AIRPORT/SOUTH ATLANTA INDUSTRIAL SUBMARKET HIGHLIGHTS:

Amazon’s Macon Distribution Center Illustrates Outsized Logistics and Industrial Demand South of Atlanta

Viking Capital Portfolio Viking Capital Investments Portfolio

VIKING CAPITAL INVESTMENT PORTFOLIO Property Wildcreek (Sold 2018) Villas of South Cobb I (Sold 2018) Villas of South Cobb II (Sold 2018) Ascent at Riverdale I (Sold 2019) Ascent at Riverdale II (Sold 2019) Mira Vista Ranch Pennington Pointe (Hills at East Cobb) Town Oakes Townhomes Park Village Apartments Reserve at Walnut Creek Marabella Apartments 1136 Crescent Ave. Mixed- Use Project (The Hype) Bella Grand (Veritas at East Cobb) The Griffin Total

Market

Units

Atlanta, GA Atlanta, GA Atlanta, GA Atlanta, GA Atlanta, GA Dallas, TX Atlanta, GA Tyler, TX Dallas, TX

242 188 152 118 62 304 268 90 350

Austin, TX Dallas, TX Atlanta, GA Atlanta, GA Washington, DC

284 415 16 192 49 2,730

Market Value $22,350,000 $17,782,494 $15,317,506 $7,600,000 $5,900,000 $41,000,000 $35,000,000 $7,000,000 $31,350,000 $36,300,000 $61,750,000 $6,700,000 $25,800,000 $19,300,000 $333,100,000

DIPEN PATEL INVESTMENT PORTFOLIO Property

Market

Units

Meadow Crossing (Sold 2018)

Atlanta, GA

184

$14,150,000

Terra Creek (Sold 2019) Brookstone at Brookhaven

Atlanta, GA Atlanta, GA

193 160

$9,600,00 $24,100,000

West Eleven Ashford Walk 550 Abernathy

Atlanta, GA Atlanta, GA Atlanta, GA

224 306 228

$36,400,000 $39,000,000 $44,290,000

1,295

$167,540,000

Total

Market Value

VIKING CAPITAL INVESTMENT EXITS Property

Units

Hold Period

Market Value

Wildcreek - Clarkston, GA Villas of South Cobb - Smyrna, GA

242 188

3.25 Years 2.5 Years

20.1% 19.1%

Villas of South Cobb II - Smyrna, GA Ascent at Riverdale I & II - Riverdale, GA

152 180

2.5 years 2.0 years

19.1% 38.0%

Total

762

Avg 2.56 years

Avg 24.1%

eading

Sponsorship/ Management Team The Viking Capital team as been investing in commercial real estate assets since 2015 with a portfolio in access of $333MM with 2,730 apartment units.

Dr. Vikram Raya Managing Partner

Dr. Ravi Gupta Managing Partner

Dipen Patel Managing Partner

Index Property Management Real Estate Terms & Definitions Sponsorship / Management Teams

Property Management

Real Estate Terms Capitalization Rate (Cap Rate) – A rate of return on a real estate investment property based on the expected income that the property will generate. Capitalization rate is used to estimate the investor's potential return on his or her investment. This is done by dividing the income the property will generate (after fixed costs and variable costs) by the total value of the property. When acquiring income property, the higher the capitalization rate (“Cap Rate”), the better. When selling income property, the lower the Cap Rate the better. A higher cap rate implies a lower price, a lower cap rate implies a higher price.

Cash Flow – Cash generated from the operations of a company, generally defined as revenues less all operating expenses.

Cash-on-Cash – A rate of return often used in real estate transactions. The calculation determines the cash income on the cash invested. Calculated: Annual Dollar Income Return / Total Equity Invested = Cash-on-Cash Debt Service Coverage Ratio (DSCR) – It is the multiples of cash flow available to meet annual interest and principal payments on debt. This ratio should ideally be over 1. That would mean the property is generating enough income to pay its debt obligations.

Return on Equity (ROE) – The amount of net income returned as a percentage of shareholders equity.

Investor Average Annual Return, excluding disposition – The average return per year during the investment hold.

Investor Average Annual Return, including disposition – The average return per year including profits from disposition. This calculation does not include the return of invested capital.

Internal Rate of Return (IRR) – The rate of return that would make the present value of future cash flows plus the final market value of an investment opportunity equal the current market price of the investment or opportunity. The higher a project's internal rate of return, the more desirable it is to undertake the project.

Return on Equity (ROE) – The amount of net income returned as a percentage of shareholders equity.

ROE is expressed as a percentage and calculated as: Return on Equity = Net Income/Shareholder's Equity

Contact Us agalloway@vikingcapllc.com