Page 4 - Anthem House Academic Year 2021-22 Quarter 2

Dear Investors,

Anthem House had a successful lease up post-construction and is
continuing a strong start into Q2. Below is a brief update on industry
trends, investment return and investment performance.

INDUSTRY TREND

Anthem House is currently 96% occupied, on par with a strong lease up
in the Gainesville student housing market. The University of Florida (UF)
welcomed a record-high number of students for Fall 2021 semester.
According to the school enrollment office’s official count, 60,613 students
are enrolled for the fall semester, an increase of nearly 5% from last fall’s
enrollment of 57,841 students. UF’s population rise is reflected in both the
students on main campus and in online students. Students enrolled through
the main campus went up by 7% since Fall 2020, while enrollment for UF
Online increased by about 2.5%. Consequently, the off-campus student
market was impacted by the flood of students, and Anthem House was a
direct recipient of this surge. Part of the Anthem House lease up success
pertained to the mix of graduate students and young professionals.

INVESTMENT RETURN

Recently, the Manager approved the cash distribution to the Members for
Q1 in the amount of $240,000. The distribution will be split according to
the 90/10 membership interest as outlined in the operating agreement.
Additionally, the Manager will aim to distribute any construction savings
after refinance. With regards to the refinance, we are working through the
details of a thirty-six (36) mini-perm loan with Seacoast National Bank.
The loan provides for 24 months of interest only payments followed by
monthly principal and interest payments until maturity. We believe this is the
sufficient route to exit the construction loan and restore gross potential rent
to original projections prior to assuming a permanent loan. The refinance is
estimated to close by March 2022.

INVESTMENT PERFORMANCE

Anthem House is 27% preleased, securing 44 renewals and 6 new leases.
The team is 25% ahead of the prelease goal. Current preleasing pace is
steady. The team has captured an average of two renewals per week for the
past seven weeks. Five leases a week are needed to hit 100% occupancy
for Fall 2022. Traffic is anticipated to grow once the competitors in lower
price brackets lease-up. We will continue to monitor progress through the
remainder of the year.

Thank you for your partnership.