O F F E R I N G M E M O R A N D U M

980 WHITE KNOLL DRIVEL O S A N G E L E S , C A

M A T T H E W S R E A L E S T A T E I N V E S T M E N T S E R V I C E S T M2

DOWNTOWN LOS ANGELES

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E X C L U S I V E LY L I S T E D B Y

K Y L E M I R R A FA T IS E N I O R A S S O C I A T E - M U L T I F A M I L Y

Direct +1.310.295.4269 Mobile +1.949.533.4650 Kyle.Mirrafati@matthews.com License No. 01911204 (CA)

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| P R O P E R T Y O V E R V I E W

| F I N A N C I A L A N A L Y S I S

| R E N T R O L L

| A R E A O V E R V I E W

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ISECT ION

PROPERTY OVERVIEW

NO. OF UNITS8

YEAR BUILT1992

APN5406-021-003

GROSS SF6,890

AVG SF PER UNIT861

LOT SIZE6,984

OPPORTUNITY » Prime Chinatown Neighborhood of Los Angeles

» Great Units Mix of Large 1- & 2-Bedroom Units

» Over 25% Rental Upside Potential

» 1990’s Construction – Allowable Rental Increase of 5% + CPI

» High Density Rental Market with Strong Demographics

PROPERTY DESCRIPTION » 8 Units, Built in 1992 on a Quiet Street with Stunning Views of Downtown Los Angeles

» Units Mix: (3) – 1Bed/1Bath ; (2) – 2Bed/1Bath ; (3) – 2bed/2Bath

» Great Curb Appeal - New Paint, Upgraded Landscaping & Irrigation, New Window Screens, New Fence & Security Gate

» Upgraded Plumbing & Fire Alarm Systems

» Select Units with Upgraded Flooring, Countertops, Cabinets, Bathrooms, Etc.

» 8 Gated On-Site Parking Spaces – No Soft Story Retrofit Requirement

» Individually Metered for Gas & Electric

» Owned On-Site Laundry Facility for Additional Income

» Centrally Located between the Elysian Heights, Silverlake, Chinatown, and Downtown

» Minutes Away from the 110 & 101 Freeway Accessing the Entire Los Angeles

» A Walk Score of 77 – “Very Walkable”

» A Transit Score of 74 – “Excellent Transit”

» 6,890 Rentable SqFt on a 6,984 SqFt Lot with LAR3 Zoning

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LOCATION MAP

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Upgraded Bathrooms

Updated Flooring

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Individually Metered for Gas & Electric

Updated Countertops & Cabinets

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S U B J E C TP RO P E R T Y

MAR

K

FORU

MTAPER

WOODCATC O F F E E B A R

C O F F E EE I G H T F O L D

S U B J E C TP RO P E R T Y

L I T T L E J O YOSTRICH FARM

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WOODCATC O F F E E B A R

C O F F E EE I G H T F O L D

S U B J E C TP RO P E R T Y

L I T T L E J O YOSTRICH FARM

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UNIT MIXTotal Units Unit Mix Unit Mix % Current Avg Rent Current Monthly Rent Market Rent Market Monthly Rent

3 1+1 38% $1,917 $5,751 $2,150 $6,4502 2+1 25% $1,935 $3,870 $2,500 $5,0003 2+2 38% $1,881 $5,644 $2,600 $7,800

Scheduled Monthly Rent: $15,265 $19,250Scheduled Yearly Rent: $183,180 $231,000

INVESTMENT SUMMARYOffering Price: $2,900,000

Property Address: 980 White Knoll DriveLos Angeles, CA 90012

Price Per Unit: $362,500Price Per S.F.: $420.90Cap (current/market): 4.10% / 5.63%GRM (current /market): 15.64 / 12.43

PROPERTY DESCRIPTIONNumber of Units: 8Year Built: 1992APN: 5406-021-003Gross Sq. Ft.: 6,890 SFAverage S.F. Per Unit: 861 SFLot Size: 6,984 SFZoning: LAR 3

FINANCIAL ANALYSISI IS ECT IO N

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ANNUALIZED OPERATING DATA CURRENT MARKETScheduled Gross Income: $183,180 $231,000 26% UpsideLess Vacancy Reserve: 3.0% $5,495 3.0% $6,930*Laundry Income: Actual 2019 $2,227 $2,227Gross Operating Income: $179,912 $226,297Expenses: 33.4% $61,139 27.3% $62,994*Net Operating Income: $118,773 $163,303Loan Payments: $98,976 $98,976Cash-on-Cash Return: 1.8% $19,797 5.9% $64,327*** As a percent of Scheduled Gross Income** As a percent of Down Payment

PRO FORMA ANNUAL OPERATING EXPENSES CURRENT PER UNIT % OF SGI*Taxes 1.230% x Sale Price $35,670 $4,459 19%*Insurance $0.45 x GSF $3,101 $388 2%Off-Site Management 4.0% x GOI $7,196 $900 4%Repairs & Maintenance $500 x Units $4,000 $500 2%Contract Services Actual 2019 $3,270 $409 2%Utilities Actual 2019 $6,702 $838 4%General Administration $150 x Units $1,200 $150 0.66%Total Expenses $61,139 $7,642 33.4%

CURRENT PER UNIT % OF SGINon-controllable expenses: Taxes, Insurance $38,771 $4,846 21.2%Total Expense with out Taxes $25,469 $3,184 13.90%

FINANCINGLoan Amount $1,803,000 Terms: 30Down Payment: 38% $1,097,000 Interest: 3.65%Yearly Pmt: $98,976 Monthly Pmt: $8,248Debt Coverage: 1.20

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RENT ROLL

Unit Mix Rent Market Rent1 1+1 $2,150 $2,1502 2+2 $1,559 $2,6003 1+1 $1,828 $2,1504 2+2 $2,043 $2,6005 2+1 $1,935 $2,5006 1+1 $1,774 $2,1507 2+2 $2,043 $2,6008 2+1 $1,935 $2,500

TOTALS $15,265 $19,250

AVERAGES $1,908 $2,406

RENT ROLL

I I ISECT IO N

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LOS ANGELES, CAAs the second-largest metropolitan area in the United States, the Los Angeles Metropolitan Statistical Area, or the Southland, consists of both Los Angeles and Orange Counties. These two counties also make up the inner core of the Greater Los Angeles urbanized region. Los Angeles County, one of California’s original 27 counties, is one of the nation’s largest counties both in land area and population. With nearly 10 million residents, the Los Angeles population accounts for approximately 27 percent of California’s population. The area continues to grow, especially given the vigorous residential development in downtown LA.

Leisure and hospitality is also a leading industry and has experienced recent growth in employment. It is now the sixth-largest hotel market in the United States. The Los Angeles-Orange County metro area alone has an enormous economy with an estimated $866 billion GMP. Together with Ventura, Riverside and San Bernardino Counties, Orange and Los Angeles county make up the Greater Los Angeles Area, a combined statistical area that is the third-largest economic center in the world after the Greater Tokyo and New York metropolitan areas.

AREA OVERVIEWIVSECT I O N

ECONOMY The LA economy is famously and heavily based on the entertainment industry, with a particular focus on television, motion pictures, interactive games, and recorded music - the Hollywood district of Los Angeles and its surrounding areas are known as the “Movie Capital of the United States” due to the region’s extreme commercial and historical importance to the American motion picture industry. Other significant sectors include shipping/ international trade - particularly at the adjacent Port of Los Angeles and Port of Long Beach, together comprising the United States’ busiest seaport - as well as aerospace, technology, petroleum, fashion and apparel, and tourism.

TOP EMPLOYERS

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CHINATOWN

DEMOGRAPHICSPOPULATION 1-MILE 3-MILE 5-MILE2025 Projection 40,847 478,329 1,222,3732020 Estimate 39,228 464,519 1,195,3412010 Census 35,912 435,073 1,149,4122000 Census 35,516 435,697 1,172,196

POPULATION GROWTH 1-MILE 3-MILE 5-MILEGrowth 2020-2025 4.13% 2.97% 2.26%Growth 2010-2020 9.23% 6.77% 4.00%HOUSEHOLDS 1-MILE 3-MILE 5-MILE2025 Projection 16,121 174,646 412,9552020 Estimate 15,406 168,409 401,7432010 Census 13,639 153,726 379,7312000 Census 12,266 138,526 363,482

INCOME 1-MILE 3-MILE 5-MILE2020 Avg. Household Income $77,326 $73,818 $74,063

Chinatown is a neighborhood in Downtown Los Angeles. Street and natural limits of the Chinatown neighborhood are: north, Beaudry Avenue, Stadium Way, North Broadway; east, the Los Angeles River; and southwest, Cesar Chavez Avenue.

Chinatown is a festive destination for dining and shopping. Pagoda-style buildings with red lanterns house traditional Chinese restaurants, dim sum houses and bakeries, plus specialty grocery stores and gift shops. There’s also the Taoist Thien Hau Temple, small art galleries and dark bars. Foodies head to creative Asian-fusion eateries and the landmark Philippe the Original, lauded for its French dip sandwich.

M A T T H E W S R E A L E S T A T E I N V E S T M E N T S E R V I C E S T M18

This Offering Memorandum contains select information pertaining to the business and affairs of Shell located at 980 White Knoll Drive, Los Angeles, CA (“Property”). It has been prepared by Matthews Real Estate Investment Services. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum for the Property, you agree:

1. The Offering Memorandum and its contents are confidential;2. You will hold it and treat it in the strictest of confidence; and3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner

detrimental to the interest of the Seller.

Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

CONFIDENTIALITY AGREEMENT & DISCLAIMER

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O F F E R I N G M E M O R A N D U M

E X C L U S I V E LY L I S T E D B Y

K Y L E M I R R A FA T IS E N I O R A S S O C I A T E - M U L T I F A M I L Y

Direct +1.310.295.4269 Mobile +1.949.533.4650 Kyle.Mirrafati@matthews.com License No. 01911204 (CA)

980 WHITE KNOLL DRIVEL O S A N G E L E S , C A