234-UNIT MULTIFAMILY PORTFOLIOSTANLEY, TIOGA AND WILLISTON, ND

INVESTMENT

BROCHURE

234-UNIT MULTIFAMILY PORTFOLIOINVESTMENT SUMMARY

FAST FACTS

TOTAL PROPERTIES 4

TOTAL BUILDINGS 12

TOTAL GROSS BUILDING AREA (SF) 310,444

TOTAL RENTABLE SQUARE FEET 245,888

TOTAL ACREAGE 11.18

TOTAL APARTMENT UNITS 234

- TOTAL ONE BED/ONE BATH 7

- TOTAL TWO BED/ONE BATH 17

- TOTAL TWO BED/TWO BATH 177

- TOTAL THREE BED/TWO BATH 33

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ROOSEVELT WEST | TWO BUILDINGS | 94 UNITS

215 & 223 EAST 32ND STREETWILLISTON, ND 58801

EAGLE POINT | ONE BUILDING | 24 UNITS

2209 27TH AVENUE WESTWILLISTON, ND 58801

DAKOTA B | TWO BUILDINGS | 32 UNITS

25 7TH AVENUE SOUTHWESTSTANLEY, ND 58784

OLSON APARTMENTS | SEVEN BUILDINGS | 84 UNITS

109 – 213 SOUTHWEST 7TH STREETTIOGA, ND 58852

The portfolio contains 17 buildings with 354 spacious apartmentunits. Unit layouts vary by property, but contain the following:

• One bed/One bath• Two bed/One bath• Two bed/Two bath• Three bed/Two bath

Each property is well-located in its respective market near to areashopping, dining, schools, parks, airports, hospitals and highways.These properties offer numerous amenities and are poised to offer ahigh investor return.

INCREASED BAKKEN OIL PRODUCTION ACTIVITY

234-UNIT MULTIFAMILY PORTFOLIOINVESTMENT HIGHLIGHTS

3

1.4MILLION

6.4%VACANCY

Bakken multifamily vacancy rate as of March 2019

Number of North Dakota oil barrels produced per day in January 2019

28-32PERCENT

Bakken multifamily rental rate increases

The demand for Bakken oil in the global market is keeping North Dakota shale playmarkets on an upward economic trajectory. In January, North Dakota productionreached a new record of 1.4 million barrels per day, a change of +9.4% from sixmonths prior and +16.1% from a year prior…and there is no signs of slowing.

CONSTRAINED HOUSING SUPPLY

Due to the resurgence of Bakken oil production activity, Western North Dakota energymarkets are experiencing a rapid influx of service workers which is increasing areahousing demand. With this demand inching toward outweighing supply, this multifamilyportfolio is well-positioned as an investment with high-return potential.

INCREASING RENTAL RATES; DECREASING VACANCY

In the beginning of 2019, there has been a huge uptick in Bakken multifamily sales dueto decreasing vacancy and sharply increasing rental rates. As of March 2019, we areseeing Bakken multifamily vacancy rates at about 6.4% as rental rates increased 28%-32% over the past year. In the Tioga market we are even seeing rate increases hit 50%.

AVERAGE ASKING RENTAL RATES BY UNIT TYPE

UNIT TYPE CURRENT(AS OF MARCH 2019)

5-YEAR AVERAGE

Studio $ 872 $ 792

1 Bed $ 962 $ 1,038

2 Bed $ 1,155 $ 1,226

3+ Bed $ 1,497 $ 1,586

Concession 0.7% 4.5%

HIGH DEMAND; EMPTY DEVELOPMENT PIPELINE

With the increased sales activity demand in the market multifamily asset prices areincreasing substantially as more investors are entering this desirable high-returnmarket that has a limited supply. Although the market is stabilized, due to the overbuilding during the oil boom, there have not been any new apartments constructedsince 2015 and there is no new supply in the pipeline making this portfolio a highlysought-after investment.

234-UNIT MULTIFAMILY PORTFOLIOWESTERN NORTH DAKOTA MARKET LOCATIONS

OLSONAPARTMENTS

TIOGA

4

WILLISTON

EAGLE POINTROOSEVELT WEST

STANLEY

DAKOTA B APARTMENTS

234-UNIT MULTIFAMILY PORTFOLIOPROPERTY PHOTOS

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FOR QUESTIONS REGARDING THIS INVESTMENT PLEASE CONTACT:

MIKE ELLIOTTManaging BrokerEnergy Real Estate Solutions701.713.6606mike.elliott@energyreco.com