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HZ News Press Release

September 24, 2018

Hamilton Zanze Purchased The Quarters at Towson Town Center in Second Joint Venture With Cantor Fitzgerald

BALTIMORE – September 24, 2018 – Real estate investment firm Hamilton Zanze (HZ), in partnership with Cantor Fitzgerald, L.P., (“Cantor Fitzgerald”), recently acquired The Quarters at Towson Town Center residential community in Towson, Maryland. The purchase price was $100 million.

The 430-unit community was built in 2009 on just under six acres of land and had a 94% occupancy rate as of July. This is HZ’s second acquisition in Maryland, and, along with recent acquisitions in Virginia and Connecticut, signals the company’s strong expansion of investment in the East Coast region.

“The Quarters at Towson Town Center fits our investment criteria perfectly — a large asset above a 5% cap rate in a growing market,” said David Nelson, managing director of acquisitions for Hamilton Zanze. “We look forward to continuing to acquire high-quality real estate at good capitalization rates in the Mid-Atlantic and throughout the country in the second half of the year.”

Ken Carpenter, managing director for Cantor Fitzgerald, added, “This is our second acquisition with Hamilton Zanze this year. Our combined real estate investing experience creates synergies that support our goal of investing in high-quality properties, in strong markets, at favorable cap rates.”

The Quarters at Towson Town Center is located at 960 Southerly Road in Towson, a suburban market just 10 miles north of Downtown Baltimore. The community is designed with a highly urban, walkable approach to align with the greater Towson Town Center’s design. Its 477,939 net rentable square feet comprises one-, two-, and three-bedroom units, with a heavy emphasis on two-bedroom units. Community amenities include a resident clubhouse, fitness center, business center, theatre room, pool, and large outdoor courtyards.

HZ and Cantor Fitzgerald plan to expand The Quarters’ amenity package and will execute improvements on a number of deferred maintenance items, investing in the long-term value of the community. Property management responsibilities will be transitioned to Mission Rock Residential, HZ’s Denver-based affiliate company.

The Quarters is located in the Baltimore metro area, Maryland’s second-largest job center and the largest U.S. seaport in the Mid-Atlantic. Baltimore is closer to the major Midwestern markets than any other major seaport on the East Coast, and more than 60 federal agencies and research labs are located within 30 miles of the city, bringing substantial federal spending and jobs to the area.

To learn more about the Quarters at Towson Town Center, please visit http://www.quarterstowson.com/

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ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment firm that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 83 properties (19,304 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



September 22, 2018

Hamilton Zanze Acquires Westminster’s Environs Residential Rental Community

DENVER – August 17, 2018 – Real estate investment firm Hamilton Zanze (HZ) has acquired Environs Residential Rental Community in Westminster, Colorado. The $82 million purchase closed August 31st.

The unique community is spread across 33 acres of land and had a most recent occupancy rate of 92% at the time of sale. Offering 318 rental units, the community is a mix of market-rate single-family houses, patio homes, townhomes, and condominiums. The purchase brings the firm’s total Colorado portfolio to 15 properties, with nine of those in the Metro Denver area.

“Environs presented an opportunity to buy a great asset in a strong submarket,” said David Nelson, managing director of acquisitions for Hamilton Zanze. “With all of the demand for single family homes today, we believe this property’s unique mix of condominiums, townhomes, patio homes, and houses will appeal to a wide renter pool around the region.”

Built in 1984, Environs Residential Rental Community is located at 3323 W 96th Circle in Westminster. The community is designed around a lush landscape, with easy walkability in mind. Its 383,653 net leasable square feet includes numerous amenities including an updated clubhouse, a 24-7 fitness center, two pools, a basketball court, and outdoor barbecue areas.

HZ purchased the property from Seagate Colorado Partners, LLC, who owned it for three years. Select units have been upgraded with black or stainless-steel appliances, new cabinetry, new lighting packages, refinished countertops, and new vinyl plank flooring. HZ plans to undertake similar upgrades to the remaining 119 units. Property management responsibilities will be transitioned to Mission Rock Residential, HZ’s Denver-based affiliate.

The Metro Denver market is home to one of the nation’s most educated workforces and a diverse industry mix that include the aerospace, healthcare, technology, and manufacturing sectors. Westminster, a northwest suburb of Denver just 10 miles from the Colorado State Capitol, is the seventh most populous city in Colorado. The community is located along the U.S. 36 Tech Corridor and is well-positioned to attract both the Denver and Boulder workforce populations.

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________________________________________________________________________________________________

ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment firm that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 83 properties (19,304 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



September 6, 2018

Hamilton Zanze Sells Edgewood Park Apartments in Salt Lake City

Salt Lake City, UT – September 6, 2018 – San Francisco-based real estate investment firm Hamilton Zanze (HZ) sold Edgewood Park Apartments in Salt Lake City, Utah to Los Angeles-based ARB Investments.

Edgewood Park Apartments is located 13 miles south of Salt Lake City in the Cottonwood Heights district. Situated along I-215, the property is located near major retail, dining, entertainment and employment centers. HZ purchased the property in 2011.

Built in 1994, Edgewood Park Apartments comprises 64 one- and two-bedroom units, totaling 62,928 rentable square feet. HZ recorded an impressive occupancy rate of 100% at the time of the disposition due to significant enhancements and improved market conditions during the time of ownership.

“Edgewood is our seventh Utah disposition in the last 36 months,” said Ashlee Cabeal, HZ’s senior director of dispositions. “We are proud to have been able to capitalize on the strong Salt Lake City market in recent years, achieving a great outcome for our investors.”

During its ownership, HZ added significant value to the property through unit renovations, which included new flooring, two-tone paint, new kitchen and bath lighting fixtures, resurfaced countertops, and new blinds. Select units were enhanced with painted cabinetry, upgraded appliances and new doors.

Salt Lake City was recently named one of the 50 best U.S. cities to live in by Business Insider for its variety of outdoor activities and tremendous economic growth. The state had one of the fastest-growing and most diverse economies in the nation in 2017, supported by a net in-migration of over 100,000 people in the last four years. Strong market conditions and favorable forecasts for population and job growth provided HZ an opportune time to sell the property.

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ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment company that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3.2 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 83 properties (19,304 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



September 6, 2018

Hamilton Zanze Completes Sale of Bradford Park Apartments in Washington

SEATTLE, WA – September 6, 2018 – San Francisco-based real estate investment firm Hamilton Zanze (HZ), has sold Bradford Park Apartment Homes in Lynnwood, Washington. California-based Freshwater Investments purchased the property for $24.6 million.

Bradford Park Apartment Homes is located just three miles from the Puget Sound coast and within a 30 minute drive of downtown Seattle. HZ purchased the property in December 2010.

Built in 1989, Bradford Park is located at 16604 48th Avenue West and comprises 100 one-, two-, and three-bedroom units totaling 94,640 square feet. HZ recorded a 96% occupancy rate at the time of the disposition.

“Bradford Park was a great property for us,” said Ashlee Cabeal, senior director of dispositions for Hamilton Zanze. “This deal really showcases Hamilton Zanze’s ability as a multifamily operator. We are glad to have achieved such a great outcome for our investors.”

During its eight years of ownership, HZ added significant value to the 11-building property through unit upgrades that included new appliances and cabinetry and upgraded flooring, lighting, hardware, and paint. HZ completed window replacements, roofing repairs, and significant landscaping upgrades throughout the property.

Well-situated just north of the Seattle metro area, Lynnwood has experienced significant rent growth in the past 36 months. The community is located 16 miles north of Downtown Seattle and a popular home for Seattle commuters.

The Seattle metro area continues to outpace the U.S. in terms of economic growth. Amazon, Microsoft, and Boeing are locally headquartered, which continues to attract other top employers to the area. The greater Puget Sound region benefits from steady population growth, strong post-recession economic recovery, and an increasingly diverse economy.

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ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment company that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3.2 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 82 properties (19,284 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



August 31, 2018

Hamilton Zanze Acquires Westminster’s Environs Residential Rental Community

DENVER – August 17, 2018 – Real estate investment firm Hamilton Zanze (HZ) has acquired Environs Residential Rental Community in Westminster, Colorado. The $82 million purchase closed August 31st.

The unique community is spread across 33 acres of land and had a most recent occupancy rate of 92% at the time of sale. Offering 318 rental units, the community is a mix of market-rate single-family houses, patio homes, townhomes, and condominiums. The purchase brings the firm’s total Colorado portfolio to 15 properties, with nine of those in the Metro Denver area.

“Environs presented an opportunity to buy a great asset in a strong submarket,” said David Nelson, managing director of acquisitions for Hamilton Zanze. “With all of the demand for single-family homes today, we believe this property’s unique mix of condominiums, townhomes, patio homes, and houses will appeal to a wide renter pool around the region.”

Built in 1984, Environs Residential Rental Community is located at 3323 W 96th Circle in Westminster. The community is designed around a lush landscape, with easy walkability in mind. Its 383,653 net leasable square feet includes numerous amenities including an updated clubhouse, a 24-7 fitness center, two pools, a basketball court, and outdoor barbecue areas.

HZ purchased the property from Seagate, who owned it for four years. Select units have been upgraded with black or stainless-steel appliances, new cabinetry, new lighting packages, refinished countertops, and new vinyl plank flooring. HZ plans to undertake similar upgrades to the remaining 119 units. Property management responsibilities will be transitioned to Mission Rock Residential, HZ’s Denver-based affiliate.

The Metro Denver market is home to one of the nation’s most educated workforces and a diverse industry mix that include the aerospace, healthcare, technology, and manufacturing sectors. Westminster, a northwest suburb of Denver just 10 miles from the Colorado State Capitol, is the seventh most populous city in Colorado. The community is located along the U.S. 36 Tech Corridor and is well-positioned to attract both the Denver and Boulder workforce populations.

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ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment company that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 82 properties (19,284 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



August 6, 2018

Hamilton Zanze Sells Pointe East Apartments in Washington

TACOMA, WA – August 6, 2018 – San Francisco-based real estate investment firm Hamilton Zanze (HZ) recently sold Pointe East Apartments in Fife, Washington. California-based OpenPath Investments purchased the property for $21 million.

Pointe East Apartments is located just south of Seattle in the suburban community of Fife. HZ purchased the property in March 2015.

Built in 1986, Pointe East Apartments is located at 2524 62nd Ave, and consists of 124 one- and two-bedroom units, totaling 110,542 square feet. HZ recorded an impressive occupancy rate of 99% at the time of the disposition. With a sale price of $169,355 per unit, the opportunistic transaction provided a great opportunity to deliver value for investors just three years after the group’s initial acquisition.

“Pointe East was a tremendous asset for us,” said Ashlee Cabeal, HZ’s senior director of dispositions. “We were able to execute on our business plan and achieve a great outcome for our investors.”

During its ownership, HZ added value to the property through turnkey unit renovations including updated cabinetry, new flooring, and upgraded appliances for all units. In addition, the firm performed significant renovations to the shared community clubhouse and fitness center.

Well-situated in proximity to Tacoma and Seattle, Fife has grown alongside Tacoma’s thriving Port operations. Fife offers easy access to the region’s rail infrastructure, is just a 20-minute drive from the Seattle-Tacoma International Airport, and is a 30-minute drive from Downtown Seattle.

The Seattle metro area continues to outpace the U.S. in terms of economic growth and was ranked third on Forbes’ list of “Best Places for Business and Careers” in 2017. The presence of headquarters for major companies like Amazon, Microsoft, and Boeing continues to draw top employers to the area. In addition, the entire Puget Sound region benefits from population growth, a strong post-recession economic recovery, and an increasingly diverse economy.

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ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment company that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3.2 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently owns and operates 83 properties (19,304 units) across 13 states. For additional information, visit www.hamiltonzanze.com.



June 15, 2018

Hamilton Zanze Sells Seasons at Pebble Creek in Salt Lake City

SALT LAKE CITY, UT – June 15, 2018 – San Francisco-based real estate investment firm Hamilton Zanze (HZ) is pleased to announce the sale of Seasons at Pebble Creek Apartments to DiNapoli Capital Partners, a California-based real estate investment firm. The apartment community is located in the northern heart of Salt Lake City, in close proximity to the city’s international airport. HZ originally purchased the property in January 2007.

Seasons at Pebble Creek is located at 1616 West Snow Queen Place and offers 300 rentable units across its 263,000 enclosed square feet. Units range from one to four bedrooms in size and were upgraded during HZ’s ownership. They each offer private outdoor patios or balconies as well as large, walk-in closets in each bedroom.

The community features two pools and parks, an inviting clubhouse and fitness center, and design well-suited to its mountain setting with exterior stone and natural wood finishes. HZ also renovated the clubhouse during its ownership.

“Seasons at Pebble Creek was one of our first Utah assets,” said HZ President & Chief Investment Officer Kurt Houtkooper. “Two years ago, with our loan maturity, we saw an opportunity to further enhance the asset and capitalize on the thriving Salt Lake City market. Using bridge debt, we carried out a unit upgrade program and renovated the clubhouse and leasing office.”

“We are very pleased with our execution and ability to recognize further value in the property,” he continued. “This is a great outcome for our investors and continues our strong track record in Utah.”

Salt Lake City has outperformed almost all other rental markets in the active Western United States over the past several years. Utah has a low unemployment rate of 3.5% and a high year-over-year job growth at 2.5%. Assets like Seasons at Pebble Creek will be nearly impossible to replicate, especially in the downtown Salt Lake City district where land is locked by the Great Salt Lake and the Wasatch Mountains, some of the most attractive quality of life assets attracting residents to the community.

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 ABOUT HAMILTON ZANZE
Hamilton Zanze (HZ) is a private, San Francisco-based real estate investment company that owns and operates apartment communities. Since its founding in 2001, Hamilton Zanze has acquired over $3.4 billion in multifamily assets primarily in the Western, Southwestern, and Eastern U.S. The company currently



May 11, 2018

Hamilton Zanze Acquires Kingscrest Apartments, Enters State of Maryland

BALTIMORE – May 11, 2018 – Real estate investment firm Hamilton Zanze (HZ) has acquired the 404-unit Kingscrest Apartments in Frederick, Maryland, entering the state for the first time. The purchase, brokered by Transwestern Mid-Atlantic Multifamily Group, closed May 10.

The 356,632-square-foot community sits on just under 25 acres and had an occupancy rate of 94.6% at the opening of 2018. Though this is the first property the company has acquired in Maryland, it comes on the heels of acquisitions in Virginia and Connecticut, signaling a strong expansion on investment into the Northeast for HZ.

“Kingscrest is a true value-add opportunity in a great submarket, allowing us to further expand our growing presence on the East Coast,” said David Nelson, managing director of acquisitions for Hamilton Zanze. “We believe Kingscrest presented an opportunity to buy a great asset in a stable market, with strong cash flow. We are planning an extensive interior renovation campaign, resulting in a strategically positioned asset in a fabulous location.”

Constructed in phases between 1990 and 1992, Kingscrest Apartments is located at 6959 Castle Ct, and offers one- and two-bedroom units. Community amenities include a pool, dog park, playground, barbecue area, tennis and volleyball courts, and a clubhouse for residents with both a business and fitness center. The garden apartments each include bay windows with window seats, a patio or balcony, walk-in closets, recessed lighting, and full-sized washers and dryers.

HZ plans to execute a $4.2 million capital improvements program that will include upgrades to the community amenities, such as an expansion of the dog park, and more than $10,000 of improvements to each interior unit, including the addition of new stainless-steel appliances, new fixtures and lighting, new countertops, and more. Property management responsibilities will be transitioned to Mission Rock Residential, a Denver-based company.

Located within the Washington-Arlington-Alexandrea metro area, the region touts one of the nation’s most educated workforces, with roughly 50% of the working age population holding bachelor’s degrees or higher. Frederick County is home to the second largest concentration of biotech companies in the State of Maryland, many of which are located in I-270 tech corridor. The market also offers easy transportation access to both the Washington D.C. and Baltimore areas.

To learn more about the Kingscrest Apartments, please visit www.kingscrestapts.com.



March 19, 2018

Hamilton Zanze and Cantor Fitzgerald Joint Venture Acquires Las Vegas Multifamily Property

LAS VEGAS, NV – March 19, 2018 – Hamilton Zanze (HZ), in a joint venture with Cantor Fitzgerald L.P., (“Cantor Fitzgerald”), has acquired the 426-unit Arrow Canyon apartment community in Las Vegas, Nevada. Located north of the city, the $60 million purchase marks HZ’s 11th investment in the Las Vegas metro area.

“This Las Vegas property fits our platform perfectly, as we are looking to acquire large assets at stabilized cap rates above 5% in markets throughout the United States,” said David Nelson, managing director of acquisitions for HZ. “We are excited to continue investing significantly through this platform in the year ahead.”

The property has been rebranded Norterra Canyon Apartments and also transitioned to new management under Mission Rock Residential, an HZ property management affiliate.

The acquisition was financed with a $30 million, ten-year, fixed rate loan from Cantor Commercial Real Estate in collaboration with Berkeley Point Capital. In addition to the Cantor Fitzgerald equity investment, affiliates of Cantor brokered and financed the acquisition, while affiliates of Hamilton Zanze co-invested in the equity.

“This transaction represents the first joint acquisition for HZ and Cantor Fitzgerald, in realization of the breadth of our combined real estate capabilities,” said Ken Carpenter, managing director for Cantor Fitzgerald. “We continue to look for high quality, multifamily properties in growing markets and seek to acquire $1 billion of property in 2018.”

The property was built in 2007 on nearly 17 acres and comprises 458,294 net rentable square feet in 20 three-story buildings featuring one-, two-, and three-bedroom units. Community amenities include a complete fitness center, community playground, bocce ball court, covered parking, three-hole putting green, and a resort-style swimming pool and spa with poolside cabanas. Nellis Air Force Base is located less than five miles east of the property and is home to more Air Force squadrons than any other base nationwide. Additionally, I-15 and I-215 onramps are less than three miles from the property, providing easy access to fine dining, shopping, several schools, and entertainment venues.

HZ and Cantor Fitzgerald have an estimated $1.4 million ($3,286 per unit) of capital improvements planned, including pool area enhancements, clubhouse renovation, and upgrades for select unit interiors.

Job growth in Las Vegas over the past several quarters has supported multifamily demand, rising rents, and low vacancy, and Las Vegas appears to have entered a period of steady growth. Northern Las Vegas, in particular, has experienced considerable industrial expansion, driven largely by e-commerce, with projects like Amazon’s new 800,000-square-foot warehouse in North Las Vegas dramatically adding to the area’s industrial footprint.

To learn more about the new Norterra Canyon Apartments please visit www.norterracanyonapts.com.



March 16, 2018

Hamilton Zanze Completes Sale of Utah’s Fox Creek Apartments

SALT LAKE CITY, UT – May 17, 2018 – San Francisco-based real estate investment firm Hamilton Zanze is pleased to announce the sale of the Fox Creek Apartments to Olympus Holdings, a New Jersey-based investment firm. The apartment community is located just outside of Salt Lake City, in the suburban community of Layton, Utah. Hamilton Zanze has owned the property since late 2012.

Built in 1985, Fox Creek is located at 1656 N Hill Field Road and offers 186 one- and two-bedroom units. Its 152,309 net rentable square feet had a high occupancy rate at the time of disposition. The community features a central exterior pool and hot tub, an inviting fitness center, and beautiful architecture well-suited to its mountain context. Most units also benefit from spectacular mountain views.

“With Fox Creek, Hamilton Zanze owned an asset with significant upside,” said Ashlee Cabeal, Hamilton Zanze’s senior director of dispositions. “We were able to execute our business plan through strategic property improvements, which added great value for the residents and attracted buyer interest. Given the property’s high growth location, we believe this was an ideal time to sell, resulting in a great outcome for HZ and our investors.”

During its ownership, Hamilton Zanze added value to the property though renovation projects that included significant upgrades to the individual units, upgraded plumbing across the entire community, a remodel of the leasing office, and the addition of both a fitness center and a dog park.

Well-situated between Utah’s largest markets of Salt Lake City and Ogden, Layton is a community ideal for urban commuters looking for a quieter home base. It lies adjacent to the FrontRunner commuter rail system, easing access to these nearby metro markets.

The city is also a regional leader for economic development, with immediate adjacency to Hill Air Force Base, a large hospitality district and conference center, the East Gate Business Park, and the Weber State University-Davis campus. Its proximity to the Wasatch mountain range also makes the market a popular one for Utah’s numerous outdoors aficionados.