Ares US Real Estate Opportunity Fund III

Opportunistic Funds Raised in Recessions Have Outperformed Other Vintages 35% 25% 15% 5% -5% 2.5 2.0 1.5 1.0 0.5 1994* 1995 Pooled IRRs of Opportunistic Funds by Vintage Year 1996 1997 Recession Year 1998 Recession Year 2001 1998 2002 2003 Confidential - Not for Publication or Distribution 2004 2005 2009 Pooled Net Multiples of Opportunistic Funds by Vintage Year 2005 2010 2011 2012 33 2013 ● Funds raised and deployed in or around the early 90s, 2001 and 2009 recessions were poised to capitalize on widespread market distress Net IRRs/net multiples for these vintages of opportunistic funds outperformed adjacent vintages Source: Cambridge Associates LLC. For illustrative purposes only. There is no assurance the above trends will continue or that the current recession will yield results similar to that of past recessions. Past performance is not indicative of future results. *Return data series begins in 1994. Data is across Global Funds. Performance based upon 602 opportunistic funds around globe. Cambridge Associates "Q4 2019 Real Estate Index Benchmark Statistics". ARES We believe that we will be similarly positioned at the outset of a deep and unpredictable economic crisis

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