1441 Montiel Road, Escondido

FINANCIAL ANALYSIS

OPERATING STATEMENT COMPARATIVE ANALYSIS

1441 Montiel OM

Analysis Date: 2/6/2019

Operating Statement Comparative Analysis

Actual

Mark to Market

May-01-19

Year 1

CY 2017

In-Place

Pro Forma

Occupancy

N/A

85.6%

85.6%

92.8%

Operating Receipts

Base Rental Receipts Potential Base Rental Receipts Absorption/Turnover Vacancy

$543,115

$749,850 -107,736

$700,920 -107,736

$705,585 -53,865 651,720 -17,955 633,765 119,037

0

Total Base Rental Receipts Base Rent Abatements

543,115

642,114

593,184

0

0

0

Total Rental Receipts

543,115 71,407

642,114 144,384

593,184 106,212

Operating Disbursements Recoveries

0

0

0

0

Other Income

Total Operating Receipts before Vacancy/Credit Loss

614,522

786,498

699,396

752,802

Vacancy/Credit Loss [1]

0

0

0

0

Total Operating Receipts Operating Disbursements Utilities Repairs & Maintenance

614,522

786,498

699,396

752,802

-23,327 -4,705 -4,602

-23,328 -4,704 -4,608 -6,000 -20,976 -83,328

-23,328 -4,704 -4,608 -6,000 -20,976 -83,328

-23,327 -4,705 -4,602 -6,000 -22,584 -83,324

Landscaping

Insurance

0 0

Management Fee Property Taxes Non-Recoverable

-40,154

0

-1,440

-1,440

-718

Total Operating Disbursements

-72,788

-144,384 $642,114

-144,384 $555,012

-145,260

$541,734

$607,542

Net Operating Income

Mid-Point Price - $9,860,000

5.5%

6.5%

5.6%

6.2%

Operating Disbursements Recovery %

98.1%

100.0%

73.6%

81.9%

[1] Mark to Market and In-Place Vacancy/Credit Loss of 5.0% is reduced by actual property vacancy. Year 1 Pro Forma Vacancy/Credit Loss is reduced by Absorption/Turnover Vacancy.

OFFERING MEMORANDUM

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