Appraisal of Multifamily Property

The subject site is located in an established multifamily submarket of Denver, CO, with frontage and access typical of competing properties. The site is zoned multifamily residential (medium-high density), and the existing use is a legal, conforming use under current regulation. Topography is generally level and at street grade; all municipal utilities (water, sewer, electric, gas, telecommunications) are available and connected. The site is not located within a designated Special Flood Hazard Area, and no adverse easements or encroachments were noted that would affect marketability. Access and parking conform to code and to the standards of competing properties.

The improvements comprise 312 residential units, originally constructed in 2018, of wood frame over podium with stucco and brick veneer. The layout and finishes are functional and competitive for the property type and submarket, with no material functional obsolescence observed beyond ordinary depreciation for the effective age. Mechanical, electrical, and life-safety systems appear adequate and operational. The improvements are well suited to the highest and best use as improved.

Full interior & exterior MAI field inspection by Jane Whitfield, MAI on 2026-06-10. Overall condition: Good. The subject is a wood frame over podium with stucco and brick veneer improvement in good overall condition, with an estimated effective age of 6 years against a longer chronological age where renovations were noted.

The multifamily submarket of Denver, CO has exhibited stable-to-improving fundamentals, with absorption broadly tracking new supply and vacancy within a normal range for the asset class. Investor demand is supported by the metro's population and employment growth. The 12 comparable transactions analyzed (averaging approximately 9 months in age) reflect overall capitalization rates ranging from 5.24% to 6.29%, with a central tendency near 5.65%. Rent and expense levels used in the income approach are consistent with prevailing submarket evidence. No unusual market conditions were observed that would warrant departure from typical methodology.

As vacant: Development of a multifamily residential use to current market standards. The site was tested for the use that is legally permissible, physically possible, financially feasible, and maximally productive.

• Legally permissible: Current zoning and land-use regulation permit multifamily residential use; the existing improvement conforms.
• Physically possible: The site supports the existing multifamily residential improvement; size, access, and utilities are adequate.
• Financially feasible: multifamily residential use generates net operating income that supports a value above land value, so improved use is financially feasible.
• Maximally productive: Among legal, physical, and feasible uses, continued multifamily residential use produces the highest value; redevelopment is not warranted.

As improved: Continued use as a multifamily residential property. The improvements are functional and the value as improved exceeds land value, so the highest and best use as improved is continuation of the existing multifamily residential use. The income, sales-comparison, and cost approaches are developed consistent with this conclusion.

Income Capitalization Approach

Rent, vacancy, and expense basis: Strata Valuation regional rent index — Denver, CO multifamily: market rent $22,680/unit/yr, submarket vacancy 7%, expense ratio 45%.

Sales Comparison Approach

The three approaches were reconciled by evidence quality and relevance rather than averaged. The income approach carries the most weight because a buyer of this asset underwrites to its cash flow; the sales-comparison approach corroborates on a per-unit basis; the cost approach is retained at low weight as a secondary check. The final value reflects this weighting and the agreement between the approaches.

Giving primary weight as stated above, the appraiser reconciles to a final opinion of value of $116,599,122 as of 2026-06-10, with a 90% confidence interval of $102,607,227 to $130,591,017. The approaches diverged beyond the 20% tolerance; the interval was widened accordingly rather than averaging the disagreement.

None. This appraisal relies on no extraordinary assumptions or hypothetical conditions.

• The appraiser assumes the information provided regarding the subject is accurate.
• No responsibility is assumed for matters legal in nature; title is assumed marketable.
• The value reflects market conditions as of the effective date and may change.
• This is an indicative valuation for screening only — not a USPAP-compliant appraisal and not to be relied upon for a regulated transaction. (USPAP SR 1/2 (advisory))
• Elevated uncertainty driven by price-per-size dispersion (43% of CI width).
• Appraiser adjustment: Tightening to 5.15% — LoDo / Union Station multifamily has compressed and the subject's amenity package and 95% occupancy support the lower end of the range.

I certify that, to the best of my knowledge and belief:

• The statements of fact in this report are true and correct.
• The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions.
• I have no present or prospective interest in the property and no personal interest with respect to the parties involved.
• This assignment was accepted and developed in compliance with appraiser-independence requirements (Dodd-Frank / Interagency guidance). The appraiser's compensation is not contingent on the value reported, on a predetermined result, or on the consummation of the transaction.
• The appraiser is competent to complete this assignment, having the requisite knowledge and experience with multifamily properties in the Denver, CO market, in conformity with the USPAP Competency Rule.
• The reported value exceeds the $500,000 commercial de minimis for federally related transactions. This appraisal was developed to be consistent with FIRREA and the Interagency Appraisal and Evaluation Guidelines, by a state-certified appraiser, for use by a regulated financial institution.
• My analyses, opinions, and conclusions were developed, and this report prepared, in conformity with USPAP. Strata Valuation's analytical agents assisted in developing the analyses; I reviewed their work, applied my own judgment including the adjustments recorded herein, and take full responsibility for the opinions and conclusions.

Marcus Reyes, MAI (License TX-1102883-MAI), acting as an independent review appraiser distinct from the appraiser of record, performed an appraisal review of the analyses and this report under USPAP Standard 3. The work was found credible and USPAP-compliant; material agent decisions were reviewed and, where warranted, overridden and re-verified before sign-off. This review and the resulting opinions are the reviewer's own.