TABLE OF CONTENT

PROJECT DETAILS & METRICS................................................ 03

ABOUT US........................................................................................04

INVESTMENT DETAILS................................................................. 10

LOCATION OVERVIEW................................................................. 16

MULTIFAMILY FUNDAMENTALS............................................... 19

DISCLAIMER................................................................................... 28
PROJECT DETAILS & METRICS
PROPERTY NAME: - CANVAS APARTMENTS
• LOCATION: OCEAN SPRINGS, MS
• TOTAL OF UNITS - 152
• TOTAL HOLD PERIOD - 5 YEARS
• PURCHASE PRICE - $19,760,000O
• NEW DEVELOPMENT APARTMENTS

30.74% 18.29%
5 YEAR TARGETED IRR 5 YEAR AVERAGE COC

$5.35 152 UNITS

MILLION TOTAL EQUITY CLASS TYPE A

03
 STRATEGY

The vision of Providence’s leadership is to deliver qualified returns on investment by hedging risk and
acquiring multi-family assets that meet or exceed our criteria. Our firm focuses on providing high returns
to our partner investors in all targeted capital markets. Location is critical and our priority in
identifying when investing. US emerging markets with a high barrier to entry have
demonstrated to be vital locations of high potential return on investments. Quality class assets,
strong job growth, strong leadership, the path of development, key demographics, high rental demand,
and competitive occupancy are proven essentials to a high-yield investment. In addition, we focus on
stabilized assets with solid physical qualities requiring minor repairs with potential value-add components.
Our goal is to maximize returns for our partners and investors without compromising our
conservative approach.

ABOUT US 04
 WHY US?

We have over 40+ years of combined commercial real estate experience. Our partnership has led over
4,000 units throughout the Southeast and other primary and secondary markets in the US. All of our assets
are well-performing assets managed and operated within our partnership. We have also
allied with other top national management firms to maximize our returns and investment efforts.
Providence Investments and its partners are very familiar with multi-million dollar complex repositioning
projects and large multifamily development. You can be confident that with Providence Investments and its
affiliated partners, your investment is in the hands of highly competitive and knowledgeable real estate
professionals.

ABOUT US 05
 JOHN MEJIA, CEO AND FOUNDER

JOHN MEJIA
Principal, Providence Investments,LLC.

Providence Investments was founded by John Mejia, a native New Yorker

and a seasoned real estate professional. Their principles deliver trustworthy
and solid real estate solutions while providing sound strategic investment
opportunities. John has over $500MM in acquisition and development
transactions, with superb returns and a proven track record. Since his
first apartment purchase in 2012, John’s related entities have been involved
with over 4,000 apartment units in the Southeast. In addition, he has
developed Providence’s property management platform capable of servicing
more than 10,000 units. Before his real estate career, John attended
Syracuse University where he graduated with a Bachelor of Science degree.

ABOUT US 06
Upon graduating from S.U., John attended AOCS (Aviation Officer Candidate School), was
commissioned as an officer in the United States Navy, and later became an airline pilot for U.S.
Airways. He is also fluent in Italian, Spanish, and Portuguese Guest speaker at Auburn University
School of Business. With over 40 years of combined experience, Providence Investments
is a group of highly competitive and knowledgeable real estate professionals.

PROFESSIONAL ACHIEVEMENTS

• Guest speaker at the Auburn University Harbert College of Business and the
University of Alabama Manderson Graduate School of Business Member of Children’s
• Hospital of Alabama Philanthropy and the Monday Morning Quarterback Club.
• Responsible for operations of the southeastern region multifamily portfolio
• Responsible for directing and executing Providence’s National Multi-Family acquisition
strategy.
• National speaker for IMN Conference

EDUCATION

Syracuse University, B.A.

ABOUT US 07
 PROVIDENCE INVESTMENTS TRACK

*Please Note Only Deals Controlled by Providence are shown below, Providence has Invested in other
deals as silent partners bringing unit count above 5K

Providence Investments GP Track Record /

Property Name Loca�on Original Project Cost Units Vintage Purchase Date Sale / Refi Date Price EM COC XIRR
The Lenox Augusta, GA $6,680,000 190 1971 2011 2018 $12,150,000 4.77 17.20% 37.10%
Waterford Landing Birmingham, AL $15,720,000 220 1992 2012 2016 $18,185,000 1.68 14.15% 24.00%
Wellington Manor Birmingham, AL $22,107,616 312 1998 2012 2019 ReFi $45,000,000 5.09 15.30% 25.00%
The Retreat at Greystone Birmingham, AL $32,100,000 240 2013 2013 2015 $50,000,000 3.21 7.80% 32.00%
Tree Haven Huntsville, AL $3,000,000 71 1986 2014 2014 $5,000,000 1.50 12.00% 18.00%
Eagle Pointe Durham, NC $7,640,000 223 1967 2014 2016 $14,150,000 3.78 18.50% 58.11%
Heritage Pensacola, FL $13,500,000 194 1970 2014 2019 $17,800,000 1.98 15.10% 38.66%
Stone Crossing Huntsville, AL $16,090,000 256 1986 2016 2019 $18,100,000 1.40 10.20% 13.60%
Hunters Pointe Pensacola, FL $12,285,000 204 1989 2016 2018 $17,450,000 2.54 13.50% 33.70%
Woodstream Fayetteville, NC $5,900,000 202 1973 2016 2018 $8,650,000 2.53 16.00% 47.82%
Arbors On The Lake New Orleans, LA $8,205,000 132 1986 2017 Own $11,250,000 1.90 12.55% 27.29%
Parham Pointe Little Rock, AR $16,496,821 184 2003 2019 Own $22,000,000 1.30 11.87% 59.05%
Puerto Del Mar Corpus Christi, TX $58,950,000 580 1973 2021 Own $61,000,000 TBD TBD TBD
La Sienna Apartments+ Edinburgh, TX $38,512,744 288 2022 2019 Under Dev $51,700,000 N/A Under Dev Under Dev
The Oaks at Grants Mill+ Birmingham, AL $42,824,583 264 2022 2021 Under Dev $5,500,000 N/A Under Dev Under Dev
Canvas Apartments+ Ocean Springs, MS $19,760,000 152 2022 2021 Under Dev $25,080,000 N/A Under Dev Under Dev
Callaway Cove+ Panama City, FL $17,000,000 96 2022 2021 Under Dev $24,000,000 N/A Under Dev Under Dev
City Block Apartments+ Wilmington, NC $33,182,028 168 2015 & 2022 2015 & 2022 Under Dev $42,000,000 N/A Under Dev Under Dev
Avalon Kemah+ Houston, TX $44,260,324 198 2022 2022 Under Dev $49,500,000 N/A Under Dev Under Dev
Rancho Sante Fe+ Sante Fe, NM $39,747,041 156 2022 2022 Under Dev $42,900,000 N/A Under Dev Under Dev
Totals/Averages $453,961,157 4,330 1997 2017 $541,415,000 2.64 13.68% 34.53%

+Developments shown using projected stabilied values

ABOUT US 08
 TESTIMONIALS

I have been personally invested in several multifamily
properties with you and your group and have seen them
perform exceptionally in operations, value add scenarios
and value enhancement. In some select cases your
group completely outperformed the market against
strong odds. I would definitely recommend your team for
management assignments in the future.
- Ron C
“Working with a company that not only makes
sound investments but operates with honesty
and integrity is invaluable. I have invested with
Providence for the past nine years and could not
be more pleased.”
- David H

John and his team do an excellent job

creating a desirable cash flow for investors.
In all my years, this is one team that has
truly delivered a great experience for
apartment investments.
- Keeley M

ABOUT US 09
 INVESTMENT HIGHLIGHTS

• Located within high barrier to entry location in the most desirable

submarket along the Mississippi Gulf Coast
• Ocean Springs leads the way when it comes to Median household
income along the Mississippi Gulf Coast.
• The asset is brand new and features a top-of-market physical plant.
The asset is being acquired well-below replacement costs
which continue to soar nationally.
• Opportunity to increase rents on second generation leases

INVESTMENT DETAILS 10
 INVESTMENT HIGHLIGHTS CONTINUED

HIGH BARRIERS TO ENTRY

There is limited to no new multifamily development

in the pipeline outside of Canvas Apartments.
Ocean Springs is a community which limits multifamily
development. The lack of future supply along with
continued population growth will enhance rent growth
over the long term.

Median household
LEADING HOUSEHOLD INCOME City income (in 2020
dollars), 2016-2020
Out of the largest cities along the Mississippi Gulf Coast & Ocean Springs, MS $60,859
Mobile, AL Ocean Springs Median Household Income per the Biloxi, MS $48,999
latest census is nearly $12,000 or 20% higher than the next Mobile, AL $43,456
closest city. Ocean Springs has set itself apart from other cities
Pascagoula, MS $41,167
nearby in terms of quality of lifestyle and livability.
Gulfport, MS $40,554

INVESTMENT DETAILS 11
 INVESTMENT HIGHLIGHTS CONTINUED

SECOND GENERATION LEASES

Providence has conservatively projected rents to range from

$900-$1400 upon takeover. However recent leasing data
has second and third story floor plans leasing $50-$100
higher than initially projected. With the already stronger
than anticipated rents Providence will be able to push
second generation leases.

QUALITY CONSTRUCTION OFFERED

RENT MATRIX Market Rent WELL BELOW REPLACEMENT COST
Units Bed Bath Unit SF Total SF Market Rent Market Rent/SF Annual Market Rent
As construction costs continue to expand nationally,
32 1 1 726 23232 $900.00 $1.24 $345,600
88 2 2 1001 88088 $1,200.00 $1.20 $1,267,200
investor demand for in-place multifamily assets
32 3 2 1181 37792 $1,400.00 $1.19 $537,600 grows simultaneously. Cost estimates to build
152 981 149112 $1,179 $1.20 $2,150,400 similar product approach $175k+ per unit.
Additionally, the property was constructed by
a long tenured and well-respected developer.

INVESTMENT DETAILS 12
 EXECUTIVE SUMMARY

Property Informa�on
Name Canvas Apartments
Year Built 2022
Units 152
City Ocean Springs
County Jackson
State Mississippi

Building Informa�on
Schools Great Schools Ra�ng
Net Rentable SF 149112
Ocean Springs High School 9/10
Framing Wood Ocean Springs Middle School 8/10
Roof Pitched - Composite Ocean Springs Upper Elementary 8/10
Exterior Hardi-Plank Oak Park Elementary 9/10

INVESTMENT DETAILS 13
 FLOOR PLANS

BR / 2 BA |
1181 Sq. Ft. | $1400+
1 BR / 1 BA |
726 Sq. Ft. | $900+

BR / 2 BA |
1001 Sq. Ft. | $1200+

INVESTMENT DETAILS 14
 SITE MAP

INVESTMENT DETAILS 15
 WHY INVEST IN
OCEAN SPRINGS, MS

LOCATION OVERVIEW 16
 MSA OVERVIEW

The Gulfport-Biloxi-Ocean Springs- Pascagoula, MS combined statistical area is located on the Gulf Coast of Mississippi.
The MSA has a combined population of 404,600. Located along Interstate 10, the MSA is situated approximately 80 miles east of
New Orleans and 75 miles west of Mobile. The area boasts some of the most beautiful white sand beaches in the state.
With approximately 62 miles of scenic shoreline, highlighted by a chain of barrier reef islands, thousands of visitor's flock to the
Mississippi Gulf Coast each year to enjoy the beaches, first-rate fishing and several championship golf courses. The metro also
draws thousands of tourists every year for their renowned casino and gaming facilities.

LOCATION OVERVIEW 17
 OCEAN SPRINGS OVERVIEW

Ocean Springs, Mississippi, lies at the heart of the beautiful Mississippi Gulf Coast on the eastern shore of Biloxi Bay.
It's known as the City of Discovery in recognition of the French establishment of a settlement here in 1699. Long before
the French arrived, however, the area was appreciated for its beauty and natural resources by Native Americans.
The attributes that brought these early residents have attracted a diverse stream of people during the past 300 years.
Ocean Springs has been flavored by many influences during its rich history, and now in the 21st century, it has a
unique character that makes us happy to call it home.
Nestled along the warm waters of the Gulf of Mexico, the City of Ocean Springs is a vibrant and eclectic arts community.
It is home to numerous galleries, artist studios, and over 100 restaurants, and recently opened its first micro-brewery.
With relatively affordable housing (the median home value is just over $204,000), schools that are among the best in the
State of Mississippi, premier healthcare facilities, and a unique beauty found all over town, it is easy to understand
why 17,000 people are proud to call Ocean Springs home!

LOCATION OVERVIEW 18
 MAJOR EMPLOYERS / INDUSTRIES

The Keesler Air Force Base is located in Biloxi and serves a number of purposes, most
noteworthy being a major technical training facility educating over 30,000 enlisted members
annually across the U.S. Air Force, Army, Navy, Marine Corps, Coast Guard, and other federal
KEESLER AIR FORCE BASE
agencies. Over 10,814 people are employed at the base. The base generates an estimated
total economic impact of $1.57 billion to the surrounding area. Additionally, the MSA is home
to the Naval Construction Battalion Center, an operation established in 1942 which
currently employs approximately 5,500 people

MULTIFAMILY FUNDAMENTALS 19
 MAJOR EMPLOYERS / INDUSTRIES

GAMING

Within the MSA there are 12 casinos, and the leisure and
hospitability industry employs over 29,000. Major casino
operators that have representation in the market include
Caesars, Landry’s, Boyd Gaming, and MGM Resorts.
Collectively, the 12 casinos generated revenues of
$1.08+ billion for the year 2020 with strong expectations
for further growth In 2019, the Biloxi gaming industry
generated over $883 million in gaming revenue, which has
led to continued development activity of both casinos and
non-gaming hotels.
Foxwoods Resort Casino is investing $265 million in a new 500-room casino development with an estimated completion date of
2021 at the earliest. Additionally, in October of 2020, Universal Music Group, the largest music company in the world, announced
it had received local approval to build a $1.2 billion UMUSIC Broadwater hotel and casino in Biloxi county. The 266-acre
development will be the first of three UMUSIC hotels in the world and is set to be completed in 2023. The resort is expected to
attract more than 2M people annually and will create 1,000 construction jobs in addition to the 2,500 permanent jobs.

MULTIFAMILY FUNDAMENTALS 20
 MAJOR EMPLOYERS / INDUSTRIES

SHIPBUILDING

Huntington Ingalls is the largest manufacturing employer in

Mississippi, with over 11,500 employees. Ingalls, a subsidiary
of Northrop Grumman Ship Systems, has built nearly 70% of
the U.S. Navy’s fleet of warships and holds contracts with the
U.S. Coast Guard to build their state of the art “Cutters.”
The Port of Gulfport and the Port of Pascagoula, as well as the
Naval Construction Battalion Center, make it possible to have
such a large shipbuilding base in the Mississippi Gulf Coast
Region. Ingalls was recently awarded a $5.1 billion contract to and larger ships to come through the port. The Port of
build 6 additional U.S. Navy destroyers over the next 5 years, Pascagoula is the largest seaport in the state of Mississippi
creating jobs for around 500 additional employees. The Port of with over 25 million tons of cargo passing through the port
Gulfport, which was designated as a Strategic Seaport by the annually. According to a 2004 study conducted by Michael
Military Surface Deployment and Distribution Command, is Baker Corporation, operations associated with the Jackson
nearing completion of a large-scale restoration project that County Port Authority are responsible for 19,370 direct jobs,
will total $570 million, bringing over 1,300 jobs to the area. $902 million in personal income, $393 million in spending,
Over the next 10 years, the Port of Gulfport, which handles $50 million in state tax revenue and $27 million in tax revenues
2.2 million tons of cargo passing through the port annually, to Jackson County. These ports serve as major entry and
will look to increase its depth to 46 feet allowing for newer export points for crude petroleum and petroleum products.

MULTIFAMILY FUNDAMENTALS 21
 MAJOR EMPLOYERS / INDUSTRIES
ENERGY

Gulfport-Biloxi-Pascagoula is home to the largest Chevron refinery in the United States, with over $4.5 billion invested.
It is one of the top petroleum producing refineries in the U.S., producing over 6.6 million gallons of gas every day.
The Pascagoula Chevron refinery is located on a 3,000-acre site adjacent to the Mississippi Sound.
It is responsible for over 3,300 jobs and a direct local economic impact of $835.7 million.

MULTIFAMILY FUNDAMENTALS 22
 MAJOR EMPLOYERS / INDUSTRIES

AEROSPACE

The Gulf Coast area has also seen an increase in aerospace

manufacturing with the new Airbus facility in Mobile. Given its close
proximity to Mobile and Aeroplex at Brookley via I-10 and CSX rail,
and its close proximity to major ports, the Mississippi Gulf Coast has
quickly become a hotbed for the aerospace industry. Three aerospace
centers have emerged and include operations in unmanned aerial
vehicles, composites, propulsion, and geospatial activity. Only 45
minutes away from Gulfport, the Stennis Space hosts NASA, SpaceX,
Rolls-Royce and numerous other companies, all conducting research
and development in the aerospace industry. The 3,900 acre facility is
also home to Lockheed Martin’s Mississippi Space & Technology
Center, where workers build satellite propulsion cores and Aerojet
Rocketdyne assembles the RS-68 and J-2X rocket engines at its plant in
the former Mississippi Army Ammunition Cent. In nearby Moss Point,
Northrup Grumman builds unmanned aircraft systems in a 101,000 SF
facility.

MULTIFAMILY FUNDAMENTALS 23
 ACCOLADES & NEWS

Business is booming in Ocean Springs - gulflive.com “Ocean Springs is a unique town whose character from the
"We're not the quiet little town we used to be, but it's a good art, night life, nature and people make it a top place to eat,
thing, because it's all good development." shop and stay.”

City leaders in Ocean Springs looking to bring more

development to the City of Discovery (wlox.com)
“I am very excited," said the mayor. “We are big on economic
development and we want to do everything we can to make it
as easy as possible for developers to come in here and do
business in our city.”
List: Projects in Gulfport, Biloxi MS getting BP funding |
Biloxi Sun Herald
“Cities across South Mississippi will share nearly $38 million
from the Gulf Coast Restoration Fund to pay for schools,
harbors, downtown revitalization and more parking.”
Ocean Springs named “Coolest Small Town in America” - Our
Mississippi Home (ourmshome.com)
Cynthia Sutton, executive director of the Ocean Springs
Chamber of Commerce – Main Street – Tourism Bureau.

MULTIFAMILY FUNDAMENTALS 24
 RENT COMPS

Name City Year Built Units Avg SF 1 BR 2 BR 3 BR Rent/SF

Canvas Apartments* Ocean Springs, MS 2021 152 981 $900.00 $1,200.00 $1,400.00 $1.20
Toulon Apartments Ocean Springs, MS 2011 240 736 $1,035.00 $1,135.00 - $1.47
Emerald Lakes Ocean Springs, MS 2021 106 1656 - - $1,940.00 $1.23
Grand Biscayne Biloxi, MS 2008 316 1115 $1,037.00 $1,375.00 $1,595.00 $1.19
Oceanaire Biloxi, MS 2008 196 1056 $1,095.00 $1,235.00 $1,415.00 $1.14
The Grove Biloxi, MS 1999 244 1131 $1,059.00 $1,221.00 $1,410.00 $1.07
Grand View Biloxi, MS 2003 240 1218 $1,063.00 $1,317.00 $1,614.00 $1.06
Average: 2010 213 1128 $1,031.50 $1,247.17 $1,562.33 $1.19
Delta From Subject -11 61 147 $131.50 $47.17 $162.33 -$0.01

MULTIFAMILY FUNDAMENTALS 25
 PROFORMA
Pro Forma
Cash Flow Projection
T-3 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Revenues Economic Occupancy 92.50% 92.32% 92.82% 92.85% 92.87% 92.89% 92.91% 92.92% 92.94% 92.95%
Physical Occupancy 94.0% 94.0% 94.0% 94.0% 94.0% 94.0% 94.0% 94.0% 94.0% 94.0%
Market Rents 2,293,776 2,391,920 2,492,926 2,555,250 2,619,131 2,684,609 2,751,724 2,820,517 2,891,030 2,963,306
Loss to Lease -11,469 -23,919 -12,465 -12,776 -13,096 -13,423 -13,759 -14,103 -14,455 -14,817
Vacancy -137,627 -142,080 -148,828 152,548 -156,362 -160,271 -164,278 -168,385 -172,595 -176,909
Concessions -11,469 -5,734 -5,161 -4,645 -4,180 -3,762 -3,386 -3,048 -2,743 -2,468
Non-Revenue Units 0 0 0 0 0 0 0 0 0 0
Collection Loss / Bad Debt -11,469 -11,960 -12,465 -12,776 -13,096 -13,423 -13,759 -14,103 -14,455 -14,817
Rental Collections 2,121,743 2,208,227 2,314,008 2,372,504 2,432,397 2,493,729 2,556,543 2,620,880 2,686,783 2,754,295
Utility Reimbursement + Internet 76,000 77,900 79,848 81,844 83,890 85,987 88,137 90,340 92,599 94,914
Other Income 109,744 112,488 115,300 118,182 121,137 124,165 127,269 130,451 133,712 137,055
Effective Gross Income 2,307,487 2,398,615 2,509,156 2,572,530 2,637,424 $ 2,703,882 $ 2,771,949 $ 2,841,671 $ 2,913,094 $ 2,986,264
EGI Delta 2,307,487 91,128 110,541 63,374 64,894 66,458 68,067 69,722 71,423 73,170

Expenses T -12
Utilities 91,200 93,936 96,754 99,657 102,646 105,726 108,898 112,164 115,529 118,995
Property Tax 366,396 373,724 381,198 388,822 396,599 408,497 420,752 433,374 446,375 459,767
Insurance 125,400 129,162 133,037 137,028 141,139 145,373 149,734 154,226 158,853 163,619
Management Fee 3.5% 80,762 83,952 87,820 90,039 92,310 94,636 97,018 99,458 101,958 104,519
Admin. / Marketing + Onesite 68,400 70,452 72,566 74,743 76,985 79,294 81,673 84,123 86,647 89,246
Maint. / Repair 70,680 72,800 74,984 77,234 79,551 81,937 84,396 86,927 89,535 92,221
Contract Services 30,400 31,312 32,251 33,219 34,215 35,242 36,299 37,388 38,510 39,665
Payroll & Benefits 163,400 168,302 173,351 178,552 183,908 189,425 195,108 200,961 206,990 213,200
Total Expenses 996,638 1,023,640 1,051,962 1,079,293 1,107,353 1,140,131 1,173,878 1,208,624 1,244,399 1,281,233
Less: Capital Expenditures Budgeted 53,200 54,796 56,440 58,133 59,877 61,673 63,524 65,429 67,392 69,414
Net Operating Income 1,257,649 1,320,179 1,400,754 1,435,104 1,470,193 1,502,078 1,534,548 1,567,618 1,601,303 1,635,617
Less: Interest 461,238 923,122 916,091 903,584 892,984 881,833 872,538 857,893 844,921 831,277
Principal - $184,752.52 $191,783.27 $204,290.58 $214,891.01 $226,041.49 $235,336.49 $249,981.92 $262,953.23 $276,597.61
Total Debt Service 461,238 1,107,875 1,107,875 1,107,875 1,107,875 1,107,875 1,107,875 1,107,875 1,107,875 1,107,875
DSCR 2.73 1.19 1.26 1.30 1.33 1.36 1.39 1.41 1.45 1.48
Cash Flow From Asset 796,410 212,304 292,879 327,230 362,319 394,203 426,673 459,743 493,428 527,743

These financial Projections are based in part on information furnished by the seller and have not been audited.

MULTIFAMILY FUNDAMENTALS 26
 CANVAS APARTMENTS INVESTMENT SUMMARY

A Single Purpose Delaware limited liability company (the “Company”) will be created to acquire
the Property, either directly or through a wholly-owned subsidiary, and hold the investment between all of the Investors
(the “LPs”) and the Sponsor (the “GP”). Additionally, the Sponsor shall defer a portion of its Acquisition Fee (the “Waived Fee”)
in exchange for a profits interest in the Company, and with respect to such profits interest shall be considered an LP.
All LPs will get monthly distributions from operating cash flows while the bridge loan is in place. All operating cash flows
shall be distributed as follows: first, the LPs (including the Sponsor with respect to its Waived Fee) will receive an
8% preferred return on their initial equity Contributed, and after the preferred return is paid, the excess cash flow will be
split 60% to the LPs (pro rata) and 40% to the GP.
After year 1, the Sponsor will cause the Company to refinance the bridge loan with a permanent loan, which replacement
permanent loan will be a HUD 223F loan. This is a 35-year amortizing schedule loan providing a lower rate than traditional
agencies with several benefits. This refinancing will produce refinancing proceeds of approximately $2,717,479
which equates to about 50% of the total initial equity of the LPs. The refinancing proceeds shall be distributed as follows:
first, the LPs (including the Sponsor with respect to its Waived Fee) will receive an 8% preferred return on their
initial equity contributed, and after the preferred return is paid, the excess refinancing proceeds will be distributed to
the LPs as a return of capital, effectively resulting in a return of nearly 50% of the LPs initial contributed equity after year 1.
Additionally, these proceeds will also be distributed tax-free as loan proceeds are not eligible to be taxed.

MULTIFAMILY FUNDAMENTALS 27
 CANVAS APARTMENTS INVESTMENT SUMMARY

Finally, following a sale of the Property, the sale proceeds shall be distributed as follows: first, the LPs (including the
Sponsor with respect to its Waived Fee) will receive an 8% preferred return on their initial equity contributed; second, after
the preferred return is paid, the LPs (not included in the Sponsor) shall receive a return of their remaining capital contributions;
third, Sponsor shall receive the amount of its Waived Fee not previously paid during the refinancing; and finally,
the excess sales proceeds will be distributed 60% to the LPs (pro rata) and 40% to the GP.
The deal is currently in lease-up and will be stabilized upon closing. Our plan is to hold this asset long-term to build wealth
and capital preservation to avoid capital gains by focusing on tax expense reduction and cash flow maximization.
Please see all return metrics on the next page.

MULTIFAMILY FUNDAMENTALS 28
 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Cash Flow From Asset 796,410 212,304 292,879 327,230 362,319 394,203 426,673 459,743 493,428 527,743

1% Asset Management Fee + 0.25%

$ 54,507 73,065 73,065 73,065 73,065 73,065 73,065 73,065 73,065 73,065
Guarantee Fee starting Year 2

Cash Flow Available $ 741,903 139,239 219,814 254,164 289,254 321,138 353,608 386,678 420,363 454,678

Total Preferred Return 8% $ 436,058 139,239 218,660 218,660 218,660 218,660 218,660 218,660 218,660 218,660
GP Share of Equity 9.06% $ 39,520 12,619 19,817 19,817 19,817 19,817 19,817 19,817 19,817 19,817
LP Equity 90.94% $ 396,538 126,620 198,843 198,843 198,843 198,843 198,843 198,843 198,843 198,843

Cash Flow After Preferred Return $ 305,845 - 1,154 35,504 70,593 102,478 134,948 168,018 201,703 236,017

Promote
LP 60% $ 183,507 - 692.26 21,303 42,356 61,487 80,969 100,811 121,022 141,610
GP Share of Equity 9.06% $ 16,631 - 62.74 1,931 3,839 5,573 7,338 9,136 10,968 12,834
LP Equity 90.94% $ 166,876 - 629.52 19,372 38,517 55,914 73,631 91,674 110,054 128,776

Sale Proceeds $ - - - - - - 11,039,234 - - -

LP 60% $ - - - - - - 7,716,841 - - -
GP Share of Proceeds 9.06% $ - - - - - - 699,378 - - -
LP Share of Proceeds 90.94% $ - - - - - - 7,017,463 - - -

Refi Procceds $ 2,717,479

GP Share of Proceeds 9.06% $ 246,285

LP Share of Proceeds 90.94% $ 2,471,193

Total Cash Flow

LP Equity $ 3,034,607 $ 126,620 $ 199,472 $ 218,215 $ 237,360 $ 254,757 $ 7,289,936 $ 290,517 $ 308,897 $ 327,619

COC
LP Equity 60.03% 5.09% 8.03% 8.78% 9.55% 10.25% 10.96% 11.69% 12.43% 13.18%

Return Metrics LP Equity Multiple 4.26 4.57 5.12

5 Year 100% Fund IRR 30.74%
5 Year Average Cash-On-Cash to LP 18.29%
7 Year 100% Fund IRR 26.15%
7 Year Average Cash-On-Cash to LP 16.10%
10 Year 100% Fund IRR 22.58%
10 Year Average Cash-On-Cash to LP 15.00%
 ORGANIZATIONAL STRUCTURE

Property Owner

Canvas, 2022 LLC

(A Delaware Single Purpose Entity Limited Liability Company)

Manager / Individual InvestorUnits

MULTIFAMILY FUNDAMENTALS 30
 DISCLAIMER

This material does not constitute and should not be construed as an Offering of advisory services or an offer to
sell or solicitation to buy any securities or related financial instruments in any jurisdiction in which such offer or solicitation,
purchase or sale would be unlawful under the securities, insurance or other laws of such jurisdiction. Responses to any inquiry
which may involve rendering of personalized investment advice for compensation or effecting or attempting to effect
transactions in securities will not be made absent compliance with state broker dealer, investment advisor or applicable
agent or representative registration requirements, or applicable exemptions or exclusions therefrom. The term
“Providence Investments” used herein refers to Providence Investments, LLC, an Alabama limited liability company,
and its affiliates.
A potential investor considering an investment in this project through a vehicle sponsored by Providence Investments
(the “Fund”) should read this brochure in conjunction with the Fund’s confidential private placement memorandum (the “PPM”).
The PPM contains a more complete description of the Fund’s investment practices, restrictions, risks and other factors relevant
to a decision to invest. All information herein is subject to and is qualified in its entirety by the PPM. Terms used but not defined
herein shall have the meanings set forth in the PPM. Any potential investor should direct all inquiries regarding the Fund to a
client service representative of Providence Investments or such other placement agent.

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 DISCLAIMER

This brochure is being provided on a confidential basis solely for the information of those persons to whom it is given. The
materials, including the information contained herein, may not be copied, reproduced, republished, posted, transmitted,
distributed, disseminated or disclosed, in whole or in part, to any other person in any way without the prior written consent of
Providence Investments. By accepting this brochure, you agree that you will comply with these confidentiality restrictions and
acknowledge that your compliance is a material inducement to our providing this brochure to you.
Any targeted returns, projections or other estimates in this investment summary, including estimates of refinancing
proceeds, returns or performance, are forward-looking statements and are based upon certain assumptions.
Sponsor believes there is a sound basis for achieving any targeted returns contained herein; however, other events, which
may not have been taken into account, may occur and may significantly affect the outcome. Any assumptions should not be
construed to be indicative of the actual events that will occur. Actual events are difficult to predict and may depend upon
factors that are beyond the control of the Company and the Sponsor. Certain assumptions have been made to simplify the
presentation and, accordingly, actual results may differ, and may differ significantly, from those presented herein.

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