PORTFOLIO OF SELECTED

SINGLE FAMILY RESIDENTIAL PROPERTIES

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Preliminary Statement

Portfolio Of Selected Single Family Residential Properties | i

This Summary is being furnished by Rothschild Capital, L.P. solely for use of the recipient and may

not be copied or distributed to other persons. This document does not contain a complete

statement of all information which might be relevant. Further information will be provided upon

request. All information contained herein is preliminary and subject to change.

While Rothschild Capital has no reason to believe that any of the information provided herein, or in

subsequent information updates delivered, contains any material inaccuracies, neither Rothschild

Capital nor its officers, directors, employees, agents or representatives make any representation or

warranty, express or implied, (a) as to the accuracy of information from third-party sources included

herein, (b) as to the validity of the assumptions contained herein or (c) that the actual performance of

the project will be consistent with the projections included herein.

All articles and related documents are never considered to be a solicitation for any purpose, in any

form or content. Upon reading the articles and information herein, you hereby acknowledge this

warning and disclaimer. All information provided is for informational purposes only, and shall not be

relied upon as personal financial advice. Any reference to a specific strategy is only to assist in

learning, and shall NEVER be relied upon when making future decisions.

Table of Contents

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I. Introduction∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙1

II. Investment Opportunity∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙2

III. Investment Offer∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙3

IV. Financial Projections∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙4

V. Portfolio of Selected Properties∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙5

VI. Portfolio Rent Roll∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙∙6

Introduction

Portfolio Of Selected Single Family Residential Properties | 1

othschild Capital LP is a fully integrated and internally managed real estate investment company

formed to acquire distressed or underperforming real estate assets. . We view the broad

markets to help us use debt and equity in order to recapitalize and restructure existing real

estate portfolios. Rothschild Capital LP also can assist strategic partners with debt and equity

investments to acquire distressed real estate portfolios that have undertaken a thorough due diligence

process.

We believe that there is an excess demand for single family home rentals, driven by a fundamental

imbalance between the supply of homes for rent and increasing consumer demand. Limited supply is

evidenced by continuing low vacancy rates in multi-family properties across the United States.

According to the JBREC, total renter households are expected to increase 22 % from 2010-2015.

Assuming a lag in the supply of housing and with other variables held constant, substantial increase in

demand for homes to rent and put upward pressure on house prices rental occupancy level and rental

prices.

R

Investment Opportunity

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The Atlanta metropolitan area is the most populous metro area in the State of Georgia and the ninth-

largest metropolitan statistical area in the United States. Atlanta’s economic, cultural, and

demographic center is Atlanta, Georgia’s capital and largest city. The Atlanta Combined Statistical

area spans 39 counties in Northern Georgia and has an estimated population in excess of 5.5 million

people. Atlanta is the second largest metropolitan region in the Southeast and ranks fourth in the

number of Fortune 500 companies.

Atlanta experienced some of the largest residential property price declines following the subprime

crisis of 2008 which created an unprecedented opportunity for investors to secure residential property

well below replacement value. However, the Atlanta real estate market currently shows strong signs of

recovery with the National Association of Realtors noting that the Atlanta residential market has

experienced a 14.75 percent increase in the median house price since 2012 and a dramatic decrease in

median number of days dwellings remain listed for sale.

Atlanta is a top 10 city for housing markets in the country for investing in single family homes. Job

growth, particularly in lower paying jobs, population growth and relatively low home prices are factors

in making investments in single family homes as rental properties are nearly risk free opportunity.

It is within this backdrop that Rothschild Capital has selected a portfolio of 2 very high quality single

family residential investment properties contained within this offering. All homes feature Rothschild’s

signature level of renovation which includes fresh paint, new floor coverings and all new appliances.

In addition, every home needing HVAC units and other major repairs were meticulously repaired to

like-new status if not replaced.

Rothschild Capital is proud to place its name on this selected portfolio of investment properties

currently made available to its investment partners. For further information, please feel free to contact

Rothschild’s Acquisition Department at 415-992-9120 or at info@rothschildcapital1.com.

Note: There is significant additional information available to potential investors including, though not

limited to: floor plans, photos, lease summaries, property inspections, and other information.

Investment Offer

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Investment Assets: A portion of Rothschild Capital’s Atlanta Single Family Residential

Portfolio is being offered. The properties are either single family

detached or townhome properties. The properties age is 1987 to

present and each property has a minimum of three bedrooms, two

bathroom as well as a minimum of 1,200 square feet. Rental rates in the

area are particularly high in relation to the acquisition price of the asset

and produces yields that meet expectations of individual investors and

investment funds alike.

Asset Location: The properties in the portfolio are all located within 30 miles of the

central Atlanta business district and are close to amenities such as

shopping, dining, health facilities and major highways. The properties’

locations are chosen due to their favorable supply and demand

imbalances that support further growth in home prices. These locations

were severely affected by the financial crisis but have strong market

drivers going forward due to domestic migration and overall

improvement in the market.

Potential Investment: The purchase price of the portfolio of Rothschild Capital turn-key

investment properties is $169,500.

Indebtedness: The projections contained herein assume a non-leveraged position

involving 100% cash.

Projected Returns: Assuming the projections herein perform in substantial accord with the

assumptions anticipated, the following returns should be expected: an

annual internal rate of return above 9%, and cumulatively over 54%

over 5 years as shown on the projections next page following.

Financial Projections

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PROPERTY LEVEL

End of Year 1 2 3 4 5

End of Month Dec Dec Dec Dec Dec

MONTHLY INCOME STATEMENT

Income

Revenue 1,635 1,668 1,701 1,735 1,770

Expense (405) (412) (419) (426) (434)

Insurance (102) (104) (106) (108) (110)

Property Taxes (90) (92) (94) (96) (98)

Property Management (164) (167) (170) (174) (177)

Association Fees 0 0 0 0 0

Commissions on Turn-Over 0 0 0 0 0

Closing Cost 0 0 0 0 0

Interest Expense 0 0 0 0 0

Vacancy (49) (49) (49) (49) (49)

Net Income 1,230 1,256 1,282 1,309 1,336

Add: Interest Expense 0 0 0 0 0

EBITDA 1,230 1,256 1,282 1,309 1,336

Monthly Debt Repayment 0 0 0 0 0

Debt Paid Down 0 0 0 0 0

Free Cash Flow 1,230 1,256 1,282 1,309 1,336

BALANCE SHEET

House Value 172,921 176,412 179,972 183,605 187,311

Retained Cash 14,787 29,880 45,287 61,013 77,066

Asset 187,708 206,292 225,259 244,618 264,376

Debt 0 0 0 0 0

Equity (171,500) 187,708 206,292 225,259 244,618 264,376

IRR - 5 Year 9.04%

5 Year Cumulative 54.16%

NOTE: The above projections are based on current actual performance of the selected portfolio of assets as

well as reasonable market based assumptions of future economic results. While Rothschild Capital has made

every effort to ensure the accuracy of these projections, it cannot guarantee such results. It is expected the

investor(s) will undertake its own due diligence regarding this selected portfolio of assets prior to purchasing.

Portfolio of Selected Properties

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Property Features

70 Lewis Lane

Covington, GA 30016

Year Built BR/BA Area

2004 3/2 1284

Property Value 82,000

Gross Annual Income 9,000

Insurance 600

Taxes 589

Property Features

2995 Valley View

Powder Springs, GA 30127

Year Built BR/BA Area

1987 3/2 1297

Property Value 87,500

Gross Annual Income 10,620

Insurance 600

Taxes 473

Portfolio Rent Roll

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Unit Rent Insurance Tax BR/BA Area Lease From Lease To

70 Lewis Lane 9,000 600 589 3/2 1284 2014/7/31 2015/7/31

2995 Valley View

10,620 600 473 3/2 1297 2014/6/30 2015/6/30

PORTFOLIO OF SELECTED

SINGLE FAMILY RESIDENTIAL PROPERTIES