Mid Month Update-July 15, 2017

I have the immense pleasure of announcing the newest member of the Jinks family has arrived! Shiloh Brene’ Jinks, born July 12, 2017 at 4:53 AM. We could not be more thrilled for Forrest and Melissa and their growing family. 
 
Here is a recap of what has been going on in the last month.
 
On the Horizon:
 
Norman Portfolio
 
(11 Properties, 339 Units, Norman OK)
 
o You may have seen the recent marketing package for our first syndication offered since Rockwell Plaza. We are fully reserved for this opportunity. However we are taking names for our wait list. If you would like to see a copy of the marketing type please contact the office at 707-932-5887. The prospectus is currently being reviewed by our accounting firm and should be ready to be distributed in the coming week. 
o We released all contingencies on 7/12 and have a closing date of 8/15. 
o Our team is working on all 11 property project plans as we gear up for the takeover. 
 
Currently Repositioning:
 
Village on the Lake
 
(160 units, Oklahoma City)
 
• Construction is beginning to hit its stride as 15 units have now been completed. This includes two model units that the onsite staff is showing regularly. 
• The exterior of the complex has seen a major transformation that the surrounding community noticed and greatly appreciates. New signage makes the property pop and the stream of leasing traffic is ramping up. 
 
AE Rockwell
 
(304 units, Oklahoma City) 
 
• Construction is 100% complete at this project! 
• We are now leased at 87.5%, a 4% increase over last month. Getting over 85% allowed us to formally submit the HUD loan package, which is in process and we hope to finalize by the third week of July.
 
AE Sunset 
 
(98 units, Edmond OK)
 
• Construction is now 100% complete at this property, well over 6 months ahead of schedule. 
• While leasing has slowed down slightly, we are currently occupied at 69% and preleased at 83% (a 16% increase in preleases from last month). 
 
Normandy Place
 
(80 units, Little Rock AR) 
 
• 45% Occupancy
• As we continued to work diligently with the property management company on improving this complex it became clear that our expectations were not being met. We have chosen to replace the third-party management team, which will go into effect at the end of July. A replacement management company has been chosen and will be ready to take over management August 1st.. 
 
Crosswinds and Crosswinds Cove
 
(194 units, Oklahoma City)
 
• Leasing these properties has been a main focus of mine the past few months. With a new onsite manager at the helm we are starting to see an increase applications and improvements to occupancy. 
• Crosswinds is leased to 82% and Cove is leased to 91%, a 3% and 7% increase respectively over last month. 
 
Stabilized Properties:
 
French Villa 
 
(110 Units, Tulsa OK)
 
• This complex closed on 6/23. 
• At closing occupancy was at 96% and since taking over we have already been able to lease two of the vacant units at our pro forma project rates. 
• Minimal interior improvements are planned to increase efficiencies as this is an all bills paid complex. Construction is planned to begin at the end of July and will occur in occupied units.
 
AE Bodega 
 
(11 units, Petaluma)
 
• 100% occupied. 
• This property was pulled from the market temporarily last month for some tweaks on the listing and will be placed back for sale next week. 
 
Cedar Hills
 
(124 units, Del City OK)
 
• Occupancy remains at 91%. 
• We have been partnering with the local library for resident events! Library staff come to the property for a children’s reading hour and to provide library cards to anyone that is interested, feedback has been fantastic from the residents.  
 
AE Commerce
 
(20,000 SF Commercial Space, Rohnert Park)
 
• We have taken this property off the market and are focusing in house efforts on leasing up the back building and working on renegotiating the lease with the large tenant in the front building.
 
AE Three -1500 Farmers Lane
 
(17,400 SF Commercial Space, Santa Rosa)
 
• Construction continues to move along, however tenants portion of the construction has been impacted by ongoing changes by the City to the previously approved plans.
 
 
405 5th Street, West, Sonoma, CA
 
 (7 townhomes, Sonoma)
 
• 1 of the 7 units remains for sale. The property was restaged last week to give it a fresh look and traffic has picked back up, check out the new listing HERE.
Other:
• Lending activity remains elevated from previous years despite the amount of effort being put into our equity projects. Currently we have one loan in process. Please call our office at 707-932-5887 if you have any interest in either lending or borrowing or would like more information.  
 
 
If you have any interest in discussing any of the above opportunities in greater detail, please reply to this email or call our office at (707) 932-5887.  We will gladly add you to our distribution list and/or schedule an appointment to discuss your investing needs further.
 
Best,
 
 
Ali Negus