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Property Package

[NAME OF PROPERTY][# OF

UNITS][PURCHASE

PRICE][CITY AND STATE]

Questions Should Be Directed To:

[YOUR NAME HERE] [YOUR PHONE NUMBER HERE]

~~~~~~~~~~~~~~~~~~~This information is authorized for use only by a limited number of existing clients who have been qualified and accepted as accredited investors by [YOUR COMPANY NAME], income (200,000/yr or $300,000/yr if married) over the current last two years, or a net worth of $1,000,000, and/or extensive investment experience. Neither the Securities and Exchange Commission

nor any state securities commission has approved or disapproved of the real estate interests in this property package, or passed upon the adequacy or accuracy of this document. Any representation to the contrary is a criminal offense.

This material does not constitute an offer or a solicitation to purchase securities. An offer can only be made by the private placement memorandum. This document is an informational summary and is authorized for use only by accredited investors

who are existing clients and have been accepted as qualified and accredited investors by our investment group by virtue of their experience and financial circumstance.

OVERVIEW

[YOUR COMPANY NAME], is a [STATE INCORPORATED] [TYPE OF CORPORATION], with

offices in [CITY/STATE]. The managing partners for this acquisition have over [NUMBER] years of

collective experience in commercial ownership, management and rehab. [YOUR COMPANY NAME] is

arranging debt equity in this property by a limited number of accredited and qualified investment clients.

QUESTION S SHOUL D B E DIRECTE D TO :

[COMPANY NAME] [YOUR NAME][YOUR PHONE

NUMBER]Email: [YOUR EMAIL ADDRESS]

[YOUR COMPANY NAME] Presents

A Short Term Investment with Extremely Large Returns!

Short Term Investment (36 months)

Simple Interest preferred return per year paid at refinance.

Investors will be providing a mortgage.

ACQUISITION COST: A steal at [PURCHASE PRICE]! Bank Owned Property [OR TRADITIONAL SALE]

Financial structure: Investors will provide a portion of the bridge financing, with the balance provided by a

first mortgage from a local bank. The investor’s contribution will be in the form of debt.

EXIT STRATEGY;

We will purchase the property with bridge financing and private debt partners, then refinance into a long term

HUD insured mortgage. At refinance the debt partners will receive their money back plus their preferred

return interest.

Property sold for over [PRICE] in [YEAR], we are buying it for [PERCENTAGE] of that sale price. A [CITY/STATE] Mortgage Banker strongly believes it will appraise today at [HIGHER PRICE]!

PROPERTY AMENITIES INCLUDE:

[INCLUDE AMMENITITES SUCH AS…] Pool; fitness center; clubhouse with billiards room; picnic and BBQ area; large playground; laundry facilities;

Huge property- [NUMBER] acres with [NUMBER] units!

UNIT IMPROVEMENTS:

Large unit size; modern kitchens; balcony/patio ; ceiling fans; cable ready; high speed Internet; The property

was renovated in [YEAR, IF APPLICABLE] and the lender has spent over [AMOUNT] in capital expenses in

the past [NUMBER] years, with [AMOUNT] spent in [YEAR].

ACQUISITION TEAM:

Our management / acquisition team has a [NUMBER] year relationship with one of the leading mortgage

bankers in the area, who specializes in HUD insured mortgages. Our team has owned or operated over

2,500 HUD insured apartments across the southeast. We have "Prior Performance” approval from HUD

which is a requirement for a HUD insured mortgage. Our management company is also HUD approved.

LOCATION HIGHLIGHTS:

[ADD YOUR OWN PROPERTY HIGHLIGHTS SUCH AS…] Minutes from Downtown - Very strong rental submarket - Adjacent to I - 40. C + property in a B Class Neighborhood. Home to an enormous amount of blue collar and white collar workers. Area employers include; (Within five miles of the complex)

[ADD BULLETED HIGHLIGHTS SUCH AS…]

o State of [STATE] - 20,085

o University and Hospital- 17,158

o Hospital Corporation of America- 8,742

o Hospital- 6,300

o U.S. Government- 11,146

o Music Row- 19, 200

[ADD ADDITIONAL AREA HIGHLIGHTS SUCH AS…] Also within five miles of the complex;

[STATE] State University, [ADDITIONAL COLLEGE OR UNIVERSITY], [GOVERNMENT OR

MILITARY BASE] and [NAME] Hospital. A lot of new development only one mile away from the

property, including a brand new [COSTCO, WALMART OR OTHER LARGE RETAILER].

STRATEGY – ABUNDANT VALUE PLAYS

The property has been run by a servicing company for a bank and has been running the property enormously

high on expenses. Upon take over we will drastically be able to reduce those expenses and create a much

higher net operating income. We will also be sub-metering the property immediately for all utilities including

water. The property is being bought at about 40% of its value.

[YOUR COMPANY NAME] owns many units in the area and is well connected with a very established local

management company and local contractors and vendors.

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IMPORTANT LEGAL NOTICE:

Though information has been secured from sources that appear to be reliable, no representation by [YOUR COMPANY],

either expressed or implied is made as to the accuracy of any information on this property. All information contained

herein is further subject to correction, modification, or withdrawal without further notice. Although this package contains

the initial information received, an independent appraisal is pending.

Prior to receipt of any deposits [YOUR COMPANY], for acquiring this property, all buyers must first acknowledge by

signing and returning to [YOUR COMPANY] the acknowledgement form found at the end of this package that they

have received, read and understand information in this package including the risks factors, the interest only investor,

or the equity investor owner and management agreements.

This information is confidential in nature, and should not be reproduced in whole or in part without the express written permission of

[YOUR COMPANY NAME]. Returns are subject to change due to loan terms, new discovery, occupancy, additional capital investment,

owner decisions, and various factors involved in property management, and therefore [YOUR COMPANY NAME], and its affiliates do

not guarantee these returns, and further do not guarantee that the property will close nor the specific date it will close. Income

distributions are made as approved by the owners, not by [YOUR COMPANY NAME], and may not occur for a few months after

closing to allow the property’s cash flow to be verified and stabilized. Income distributions are made on a quarterly basis.

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Part 1 – [NAME OF PROPERTY] Package

1. Investment Overview

2. Executive Summary

3. Property Location – Photo Gallery

4. Budget

5. Risks

6. Commitment Form

Part 2 – [NAME OF PROPERTY Materials

7. [YEAR] Appraisal

8. Report of Operations

9. Tax Information

10. Map, Floor Plans & Survey

11. Radon Test Results

12. Title Commitment

QUESTION S SHOUL D B E DIRECTE D TO :

[YOUR COMPANY NAME][YOUR NAME] [YOUR PHONE NUMBER]

Email: [YOUR EMAIL]

Unit Type TotalUnits

Sq Ft Rent

1/1 # # $X

2/1 # # $X

2/2 # # $X

3/2 # # $X

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Executive Summary

[NAME OF PROPERTY], consist of over [NUMBER] C quality units, well located in a B area in the highly desirable

[CITY/STATE]. The properties are in good condition newly renovated in [YEAR] and provide an excellent opportunity to

buy at an extremely reduced price. The property presents an opportunity to greatly increase in value by reducing operating

expenses.

Community

Amenities

Apartment

Amenities

Such as…

Large Clubhouse

Swimming Pool

Hot Tub

Tennis Courts

Fitness Center

Pool Tables

Laundry Facility

Play Area

Ample Parking

On-site Management

Such as…

Washer/Dryer connect in 2 bed units

Large Unit Sizes

Ceiling Fans

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Specification Description

Units [#]

Building Square

Feet [#]

Acreage [#] Acres

No. of Stories [#] Stories

Year Built [YEAR]

Year Rennovated [YEAR]

Roof Structure [STRUCTURE]

Construction

Frame [FRAME TYPE]

Exterior Wall [TYPE]

Utilities Water & Electric: [SEPARATELY

METERED?]

Parking Spaces Ample

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LOCATION MAP

[USE A MAP FROM GOOGLE MAPS OR GOOGLE EARTH LIKE THE ONE ABOVE.]

[STREET ADDRESS][CITY/STATE/ZIP CODE]

Directions: [DIRECTIONS TO THE PROPERTY HERE]

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Use A LOT of Pictures, Taking Up Several Pages Such As These Presented

Below…

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[NAME OF PROPERTY] Operating Budget

Year 1

Per Unit Actual Per Unit

Gross Potent Rent $X $X $X $X

Physical Vacancy -$X -$X -$X -$X

Concessions -$X -$X -$X -$X

Utility Reimbursement $X $X $X $X

Other Income $X $X $X $X

Total Income $X $X $X $X

Expenses

Taxes $X $X $X $X

Repairs and Main $X $X $X $X

General Admin $X $X $X $X

Management Fee $X $X $X $X

Utilities $X $X $X $X

Payroll $X $X $X $X

Insurance $X $X $X $X

Marketing $X $X $X $X

Contract Services $X $X $X $X

Total Expenses $X $X $X $X

Net Operating Income $X $X

Cap Reserves $X $X $X $X

Note: The rates of return displayed on this page are only projections, and are not guarantees of any sort. Actual returns may vary widely, due to many economic and marketplace factors beyond our control.

Actual operating income and expenses are annualized and based on the current manager’s income and expense.

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RISKSThe value of this property and the corresponding equity of the owners (hereinafter Owners) of this property will fluctuate based on the value of the property and the income the property generates. Though the potential risk of investing in multi- family housing is moderate, Owners can lose some or all of their investment by investing in this property. The property’s value and rental income can be affected by many factors, and you should consider the specific risks presented below before investing in this property.

General Risks Prior to Closing on Real Property: These may include the following:

Returns are subject to change due to new discovery changes in loan terms, occupancy, additional capital investment, owner decisions, and various factors involved in property management, and therefore [YOUR COMPANY NAME] and its affiliates do not guarantee these returns. These potential changes may also affect the feasibility of acquiring this property.

Prior to acquisitions, several costs are incurred to pay for due diligence on real property. The prospective owners agree to utilize their deposits to pay for these costs, though there is no guarantee from [YOUR COMPANY NAME] and its affiliates that the property may close, or the date it will close. Potential owners with 1031 exchanges should take appropriate precautions with their Exchange Accommodator to have appropriate backup alternatives.

General Risks of Owning Real Property: All owners will be subject to the risks inherent in owning real property including:

Income distributions are made as approved by the owners, not by [YOUR COMPANY NAME] and may not occur for a few months after closing to allow the property’s cash flow to be verified and stabilized. As with any investment, distributions are not guaranteed.

Each Owner’s property values or rental and occupancy rates could go down due to general economic conditions, a weak market for real estate generally, changing supply and demand for certain types of properties, and natural disasters or man- made events.

A property may be unable to attract and retain tenants, which means that rental income would decline.

Each owner could lose revenue if tenants don’t pay rent, or if the Owners are forced to terminate a lease for nonpayment. Any disputes with tenants could also involve costly litigation.

A property’s profitability could go down if operating costs, such as property taxes, utilities, maintenance and insurance costs

go up in relation to gross rental income, or the property needs unanticipated repairs and renovations. A negative cash flow may require additional investment from the owners should there be insufficient reserves.

General Risks of Property Management. While [YOUR COMPANY NAME] does not manage the property, it does consult the owners on property management activities and performance. Each owner’s property values, rental income, and operating expenses could vary up or down depending on the performance and diligence of both on-site and off-site management of the property manager and the accuracy of their financial accounting.

General Risks of Selling Real Estate: Among the risks of selling real estate investments are:

The eventual sale price of this property might differ from its estimated or appraised value, leading to losses or reduced profits to each owner.

Because of the nature of real estate, the Owners might not be able to sell a property at a particular time for its full value, particularly in a poor market. This might make it difficult to raise cash quickly and also could lead to Owner losses.

Risks of Borrowing: Among the risks of borrowing money and investing in a property subject to a mortgage are:

The owners may not be able to make the loan payments, which could result in a default on its loan. The lender then could foreclose on the underlying property and Owners would lose the value of its investment in the foreclosed property.

If the Owners obtain a mortgage loan that involves a balloon payment, there is a risk that the Owners may not be able to make the lump sum principal payment due under the loan at the end of the loan term, or otherwise obtain adequate refinancing. The Owners then may be forced to sell the property or other properties under unfavorable market conditions or default on its mortgage.

If the Owners take out variable-rate loans, the Owner’s returns may be volatile when interest rates are volatile.

Regulatory Risks: Government regulation, including zoning laws, property taxes, fiscal, environmental, capital gains or1031 exchange treatments, or other government policies,could operate or change in a way that hurts the Owners’ property. For example, regulations could raise the cost of owning and maintaining properties or make it harder to sell, rent finance or refinance properties due to the increased costs associates with regulatory compliance.

Environmental Risks: The Owners may be liable for damage to the environment caused by hazardous substances used or found on its properties. Under various environmental regulations, the Owners may also be liable, as a current or

previous property owner or mortgagee, for the cost of removing or cleaning-up hazardous substances found on a property, even if it didn’t know of and wasn’t responsible for the hazardous substances. If any hazardous substances are present or the Owners do not property clean up any hazardous substances, or if the Owners fail to comply with regulations requiring it to actively monitor the business activities on its premises, the Owners may have difficulty selling or renting a property or be liable for monetary penalties. The cost of any required clean-up and the Owner’s potential liability for environmental damage to a single real estate investment could exceed the value of Owners’ investment in the property, the property’s value, or in an extreme case, a significant portion of Owner’s assets.

Uninsurable Losses: Certain catastrophic losses (e.g., from earthquakes, wars, terrorist acts, nuclear accidents, floods, or environmental or industrial hazards or accidents) are uninsurable or so expensive to insure against that it doesn’t make sense to buy insurance for them. If a disaster that we haven’t insured against occurs, the Owners could lose both its original investment and any future profits form the property affected. In addition, some leases may permit a tenant to terminate its obligations in certain situations, regardless of whether those events are fully covered by insurance. In that case, the Owners would not receive rental income form the property while that tenant’s space is vacant.

Risks of Developing Real Estate or Buying RecentlyConstructed Properties:

If developing real estate, there may be delays or unexpected increases in the cost of property development and construction due to strikes, bad weather, material shortages, increases in material and labor costs or other events.

Because external factors may have changed form when the project was originally conceived (e.g., slower growth in local economy, higher interest rates, or overbuilding in the area), the property, if purchased when unleased, may not operate at the income and expense levels first projected or may not be developed in the way originally planned.

The seller or other party may not be able to carry out any agreement to provide certain minimum levels of income, or that agreement could expire, which could reduce operating income and lower returns.

Appraisal Risks: Real estate Appraisals are only estimates of property values based on a professional’s opinion and may not be accurate predictors of the amount Owners would actually receive if it sold a property. If an appraisal is too high, each Owner’s value cold go down upon reappraisal or if the property is sold for a lower price than the appraisal. If appraisals are too low, those who redeem prior to an adjustment to the valuation or a property sale will have received less than the true value of the Owners’ assets.

General Risks of Mortgage Loans: Owners will be subject to the risks inherent in making mortgage loans, including:

Deterioration in the financial condition of tenants, or the bankruptcy or insolvency of a major tenant, may adversely affect the income of a property, which could increase the likelihood that the owners will default under their obligations.

Since mortgage loans used are usually non-recourse, the Owners must rely solely on the value of a property for its security. The larger the mortgage loan compared to the value of the property securing it, the greater the loan’s risk. Upon default, Owners may not be able to sell the property for its estimated or appraised value. Also, certain liens on the property, such as mechanics or tax liens, may have priority over the Owner’s security investment.

The owners may not be able to make a lump sum principal payment due under a mortgage loan at the end of the loan term, unless it can refinance the mortgage loan with another lender.

If interest rates are volatile during the loan period, the Owners’variable rate mortgage loans could have lower yields.

Use of IRA Funds: The Limited Liability Company may generate unrelated business taxable income, which is the responsibility of the IRA holder.

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Commitment InstructionsThe undersigned accredited investors, having been qualified as such by experience and financial circumstances, acknowledges that returns are subject to change due to loan terms, new discovery, occupancy, additional capital investment, Member decisions, and various factors involved in property management. Income distributions to the Member are made as approved by the Members. [YOUR COMPANY NAME] does not guarantee these returns or the amount and timing of income distributions to the Members, and further do not guarantee that the property will close nor the specific date that it will close. Prospective Members’ funds will be held in escrow by the closing attorney for [NAME OF PROPERTY]. If the property does not close, all Member funds will be returned to each Member. The undersigned wish to purchase ownership in the property listed below with a payment as follows:

Commitment Amount: $

IMPORTANT: The undersigned agree that [YOUR COMPANY NAME] may utilize deposits to cover necessary earnest money costs or due diligence expenses related to this property. Deposits received shall be paid as part of the purchase price upon final closing. It is further understood and agreed that said deposit is irrevocable and may not be withdrawn or returned to the buyer prior to the completion of the purchaser without penalty. [YOUR COMPANY NAME], upon receipt of the deposit, will return a copy of this form as a receipt to confirm the undersigned’s deposit and commitment for the above designated property. It is agreed that other documents, including, but not limited to, an Accredited Investor Qualification Form, an Operating Agreement and a Subscription Agreement signed by all parties will be necessary to complete the transaction. These documents assure that the undersigned and all Members will have ultimate control and responsibility in the operation and profitability of the project at all times.

Please read, sign and return to: [YOUR COMPANY NAME]

Fax Number: [YOUR FAX NUMBER]

Name of Proposed Member:

Signed: X Date:

Title:

Address:

City,State, Zip

Phone: Email:

Transfer/wiring instructions will be forwarded separately.

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