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AUSTIN, TEXAS

CONFIDENTIAL OFFERING MEMORANDUM

SHOVEL READY EAST AUSTIN LAND19 UNIT CONDO OR MULTIFAMILY DEVELOPMENT

TOD

DISCLAIMERHolliday Fenoglio Fowler, L.P. acting by and through Holliday GP Corp a Texas licensed real estate broker (“HFF”). This Offering Memorandum has been prepared by HFF for use by a limited number of parties and has been obtained from sources believed reliable. While we do not doubt its accuracy, we have not verified it, and make no guarantee, warranty or representation about it. It is your responsibility to confirm, independently, its accuracy and completeness. All projections have been developed by HFF, Owner and designated sources, are based upon assumptions relating to the general economy, competition, and other factors beyond the control of Owner, and therefore are subject to variation. No representation is made by HFF or Owner as to the accuracy or completeness of the information contained herein, and nothing contained herein is or shall be relied on as a promise or representation as to the future performance of the property. Although the information contained herein is believed to be correct, Owner and its employees disclaim any responsibility for inaccuracies and expect prospective purchasers to exercise independent due diligence in verifying all such information. Further, HFF, Owner and its employees disclaim any and all liability for representations and warranties, expressed and implied, contained in, or for omissions from, the Offering Memorandum or any other written or oral communication transmitted or made available to the recipient.

The Offering Memorandum does not constitute a representation that there has been no change in the business or affairs of the property or Owner since the date of preparation of the Offering Memorandum. Analysis and verification of the information contained in the Offering Memorandum is solely the responsibility of the prospective purchaser. Additional information and an opportunity to inspect the property will be made available upon written request to interested and qualified prospective investors.

Owner and HFF each expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers regarding the property and/or terminate discussions with any entity at any time with or without notice. Owner shall have no legal commitment or obligations to any entity reviewing this Offering Memorandum or making an offer to purchase the property unless and until such offer is approved by Owner, a written agreement for the purchase of the property has been fully executed, delivered and approved by Owner and its legal counsel, and any obligations set by Owner thereunder have been satisfied or waived.

This Offering Memorandum and the contents, except such information, which is a matter of public record or is provided in sources available to the public, are of a confidential nature. By accepting this Offering Memorandum, you agree that you will hold and treat it in the strictest confidence, that you will not photocopy or duplicate it, that you will not disclose this Offering Memorandum or any of the contents to any other entity (except to outside advisors retained by you, if necessary, for your determination of whether or not to make a proposal and from whom you have obtained an agreement of confidentiality) without the prior written authorization of Owner or HFF and that you will use the information in this Offering Memorandum for the sole purpose of evaluating your interest in the property and you will not use the Offering Memorandum or any of the contents in any fashion or manner detrimental to the interest of Owner or HFF If you have no interest in the property, please return the Offering Memorandum forthwith.

EXECUTIVE SUMMARY ........4

PROPERTY OVERVIEW .......8

TABLE OF CONTENTS

DOWNTOWN AUSTIN

CEDAR PARK ROUND ROCK

AUSTIN

GEORGETOWN

LEANDER

HUTTO

PFLUGERVILLE

MANOR

TECH RIDGE

AIRPORT

4

EXECUTIVE SUMMARY

HFF has been exclusively retained to offer qualified investors the opportunity to acquire the East 12th Street land site “The Property”, perfectly positioned for residential development with completed plans already in place. Located in the unique urban setting of Austin’s famed East Austin District at 2724 East 12th Street, the property is one of Austin’s last premier east side infill sites totaling .6010 acres. Approximately 5 mins from Downtown, the greater East side of Austin has become one of the trendiest residential destinations in the city, as the neighborhood has been heavily revitalized with popular restaurants, bars, retailers, and housing. The property offers already formulated plans to develop 19 residential units to be utilized as apartments, condos, or short term rentals. Designated as a Transit Oriented Development site, the site is located directly along Austin’s Metro Rail line, offering residents quick accessibility to the entire metro. The 12th Street rail line is a “silent crossing” and building plans incorporate noise insulation. The East 12th Street property offers a very compelling, one of a kind opportunity to acquire a TOD urban infill land site in the popular East Austin neighborhood.

DOWNTOWN AUSTIN

CEDAR PARK ROUND ROCK

AUSTIN

GEORGETOWN

LEANDER

HUTTO

PFLUGERVILLE

MANOR

TECH RIDGE

AIRPORT

5EXECUTIVE OVERVIEW | PROPERTY OVERVIEW

LADY BIRD LAKE

EAST

12TH

STR

EET MLK BOULEVARD

EAST 7TH STREET

EAST AUSTIN

AUSTIN CBD

RAINEY STREET UNIVERSITY OF TEXAS

INNOVATION DISTRICTUT/DELL MED SCHOOL

SOCO DISTRICT

ACC: EASTVIEW CAMPUS

METRORAIL

PLAZA SALTILLO STATIONPLAZA SALTILLO STATION

MLK STATIONMLK STATION

DOWNTOWN STATIONDOWNTOWN STATION

6

INVESTMENT HIGHLIGHTS

Robust Urban Growth Corridor

• Positioned in the path of continued growth as Austin’s urban core, residents and local attractions expand east, offering desirable urban living without paying exorbitant downtown rents

• Last piece of land available in the Chestnut neighborhood area for Multi-housing development

• Centered among Austin’s largest business centers and economic drivers: CBD, Oracle HQ campus, UT, Health & Innovation Districts & Mueller

• Surrounding new developments including the Foundry, Upcycle, South Shore mixed-use project, Lakeshore redevelopment and Oracle’s HQ campus continue to fuel gentrification of southeast Austin and increase rental demand for the area

Highly Visible and Connected Location

• Located along the Metro Rail line and just a short walk from the MLK Rail station - Austin’s CBD and the entire metro area are directly accessible.

• The property is just a short drive from key economic hubs and major employers including being only 3 mins from Downtown (80,000 jobs), 5 mins from The University of Texas (55,000 students), 7 minutes from Mueller Master Planned Community, 10 mins from Austin Bergstrom International Airport (4,000 jobs) and Oracle’s new HQ campus (2,500 jobs)

• Highly visible and connected location offering rapid access to Austin’s key destinations and employment drivers provided by East 12th Street to IH-35, US Hwy 183, US 290/SH 71, and Airport Blvd. thoroughfares

• Situated in a transforming, vibrant area with direct access to Austin’s famed outdoor amenities and retail destinations including Lady Bird Lake, the newly constructed Boardwalk Trail, as well as the renowned South Congress District

• Proximity to the city’s most desirable entertainment venues and economic drivers give young professional residents all the benefits of a “live, work, play” lifestyle

FRENCH PLACE

CHERRYWOODHYDE PARK

EAST AUSTIN

CHESNUT

UNIVERSITY OF TEXAS


EAST 12TH STREET

AIRPORT BLVD

MUELLER


Dynamic East Austin Culture

• Favorable location in famed East Austin District – among the trendiest, most desirable residential areas in the city

• Vibrant, walkable enclave offering an eclectic assortment of art studios, cocktail bars, music venues, and culinary delights

• Embodying the quintessential Austin lifestyle - enticing a young, hip crowd as well as those who want to experience Austin beyond the downtown area

• Appealing to the prolific Millennial generation, which places a premium on experiences and prefers living in unique, walkable urban environments

• East Austin continues to experience rapid rejuvenation with an influx of new retailers and creative office developments fetching some of the highest rents in the city

FRENCH PLACE

CHERRYWOODHYDE PARK

EAST AUSTIN

CHESNUT

UNIVERSITY OF TEXAS


EAST 12TH STREET

AIRPORT BLVD

MUELLER

• 700-Acre Master-Planned Community;

33-Acres Under Development

• 2 Million SF Commercial/Institutional;

312,000 SF Under Construction

• 2,600 Homes Completed; 1,200 Homes Under Construction

• Dell Children’s Medical Center, The Thinkery, AISD PAC

8

LAND SUMMARY

Address: 2724 East 12th Street Austin, TX 78702

Land Size: .6010 Acres

Zoning: TOD-NP-CO

Parcel Number: 200508

PLANS

Property Type: Multi-Residential

Floors: 3

Units: 19

Total Square Feet: 24,906

Parking: 20

Average Unit Size: 745

METRORAILMETRORAIL

EAST 12TH STREETLAND SITE


METRORAILMETRORAIL

EAST 12TH STREETLAND SITE

THRIVING AUSTIN ECONOMY

Although it maintains a laid-back vibe, the city dedicated to “Keeping Austin Weird” shows no signs of slowing down. A booming economy, growing job market, high quality of life and low cost of living make Austin a sought-after city for all ages. As one of the nation’s top economic performers, Austin is a thriving city with a young, highly educated and vibrant population that attracts business and tourism. The metro leads the nation in terms of population growth, fueled largely by the strongest rate of in-migration with an impressive 159 people moving to the city a day. The 11th largest population among U.S. cities and the 4th largest in Texas, Austin’s population has expanded 16% between 2010 and 2015. Compared to all large metros in the country, Austin ranked No. 2 in growth for the five-year period. The population explosion of the Texas capital, which reached approximately 2.1 million last year, is expected to soar 98.5% to nearly 4 million by 2040. Nearly doubling in size, Austin’s population is projected to grow faster than any other large U.S. city in the next 25 years. Named among Forbes 10 Best Cities for Jobs, Austin has one of the best job markets in the nation. In the 12 months ending in September 2017, the Austin metro added 22,500 net new jobs, a growth rate of 2.0% and a seasonally adjusted unemployment rate is currently 2.9%.

90%

91%

92%

93%

94%

95%

96%

97%

98%

20162015201420132012201120102009

United States Texas Austin

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

201620152014201320122011

United States Texas Austin

EMPLOYMENT GROWTH POPULATION GROWTH

10

0% 100%

200%

300%

400%

500%

600%

700%

AustinSan Antonio

Dallas-Fort Worth

Houston

Nashville

San Jose

Raleigh-Cary

New Orleans

Denver

Salt Lake City

Washington DC

Boston

San Francisco-Oakland

Seattle

Orlando

Portland

New York City

Atlanta

Charlotte

San Diego

Baltimore

Minneapolis-St. Paul

Miami-Fort Lauderdale

Cincinnati

Philadelphia

Los Angeles

Phoenix

Chicago

Las Vegas

Pittsburgh

Memphis

Detroit

% OF JOBS ADDED BACK SINCE RECESSION

Austin has created 7.09x the number of jobs lost during the recession

OVERALL REAL ESTATE PROSPECTS BY RANKING

1. AUSTIN2. DALLAS3. PORTLAND4. SEATTLE5. LOS ANGELES6. NASHVILLE7. RALEIGH/DURHAM8. ORANGE COUNTY9. CHARLOTTE10. SAN FRANCISCO

Overall score based on combined investment and development rankings.

DEVELOPMENT RANKINGINVESTMENT RANKING

10 2 3 4 5 6 7 8 9 10 11 12 13RANKING


PRIME DESTINATION

Consistently named among the best places to live and work, Austin is universally regarded for its thriving economy, low cost of living and enviable quality of life. Austinites enjoy a reasonable cost of living with a median home price that is below the national average, lack of state income taxes and the highest per capita income of all major cities in the Lone Star State. In addition to a burgeoning downtown and prosperous employment opportunities the city offers many museums, performing arts venues, sporting events and recreational activities. Affectionately deemed The Live Music Capital of the World, Austin boasts over 1,700 live music venues and is home to South by Southwest (SXSW) and the ACL Music Festival, two of America’s largest media events. Austin is an enchanting city celebrated for its robust natural beauty and abundance of outdoor amenities, including Lady Bird Lake, Austin Hike and Bike Trail, Barton Creek, Lake Austin and numerous greenbelts. Central Texas boasts a cosmopolitan atmosphere without the big city stress and it is not hard to see why many people love to call Austin home.

AUSTIN FESTIVAL REVENUE

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$600

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$800

$900

$1,000

ACLSXSWCOTA

(RE

VE

NU

E I

N M

ILLI

ON

S) $7B

Annual Economic Impact From

Visitor Spending

24.1MAnnual AustinMSA Visitors

ANNUAL VISITORS$9 BILLION 24.1 MILLIONANNUAL ECONOMIC IMPACT FROM

VISITOR SPENDING

12

1

AUSTINAUSTIN

CEDAR PARKCEDAR PARKROUND ROCKROUND ROCK

CENTRAL BUSINESS DISTRICT

SILICON HILLS

Austin’s economy continues to benefit from the technology sector boom that began in the 1990s, dubbing the metropolitan area “Silicon Hills”.

TECH JOBS ADDED

IN AUSTIN VS THE U.S.

VC FUNDING

IN 2016

$834M

# OF AUSTINCORPORATE

RELOCATIONSSINCE 2004

CORPORATERELOCATIONS

CORPORATEEXPANSIONS97 113

CORPORATE GROWTH IN AUSTIN2015-2016

TECH STARTUP DESTINATION

Austin is quickly emerging as a destination of choice for tech startups, as many of the nation’s top technology companies have a significant presence in Silicon Hills, including Apple, Google, Facebook, Amazon. Oracle, National Instruments, Dell, IBM and Samsung to name a few.


GARRETT [email protected]

SEAN [email protected]

500 West 5th StreetSuite 1200Austin, TX 78701T. 512.532.1900F. 512.532.1901hfflp.com

DEAL TEAM

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