what would you offer?

[John Roth]

Bank note for 22MM, bank is wanting to sell for 8MM. Has a negative cash flow right now.

398 Units, 1,2 and 3. New roofs in 2004. Updated units 1998 and 2003-04.

Rents are below market rents. Complex's nearby have a vacancy of about 9%.

Gross Scheduled Income: $2,414,064
Loss to Lease: ($13,340)
Gross potentail Income: $2,400,724

Vacancy Loss: ($518,886)
Rent Concession: ($147,515)
Delinquencies/Bad Debit: ($157,515)
Total Vacancy Loss: ($1,093,187)

Net Rental Income:$1,307,537

Utility Charges: $32,201
Late Fees $58,409
Applicatiion Fees: $8,705
Misc. Income: 67,029
Total Other Income: $166,344

Effective Gross Income: $1,473,881

Real Estate Taxes: $139,664
Property Insureance: $89,244
Electricity-Occupied: $19,371
Electricity-Common/Club House: $43,756
Electricity Vacant: $29,573
Gas-Occupied: $23,116
Gas-Common/Clubhouse: $3,242
Gas-Vacant: $35,125
Water/Sewer: $77,314
Trash: $15,377
Total Fixed Expenses: $475,782

Payroll, Tax & Benefits: $542,428
Management Fee: $49,036

Maintenance & Repairs: $73,388
Turnover: $71,901
Contract Services: $158,815

Advertising/Marketing: $9,292
Administrative:$104,168
Total Variable Expenses: $1,009,028

Total Expenses: $1,484,810
Net Operating Income: ($10,929)

2009 NOI Was $203,877