Ares US Real Estate Opportunity Fund III, L.P Market and Portfolio Update slide image

Ares US Real Estate Opportunity Fund III, L.P Market and Portfolio Update

Las Vegas Industrial Development of 1.1MM SF of bulk distribution industrial product in an infill Las Vegas submarket Investment Summary and Rationale Investment in the development of 1.1MM SF of bulk distribution/warehouse space along the 1-15 Freeway Investment Date: Location: Sector: Size: Investment Theme: Key Metrics February 2020 Las Vegas, NV Industrial 1.1MM SF Industrial development in strong MSA ● ● ● Value Drivers Strong Las Vegas market benefiting from in-migration driven by unaffordability and space constraints facing the Inland Empire Complex land assemblage and preferred basis Construction risk mitigation ● ● Two add-on investments comprising an additional 572K SF in process, with one closed and the other expected to close in Q2 2021 ● Aim to capitalize on robust supply/demand fundamentals both in the local market and across the southwestern region of the United States Investment Status ● Lease executed with a major ecommerce company for 78% of space and an additional 13% leased to a Fortune 500 packaging company Construction commenced in Q4 2020 with expected completion in Q3 2021 As of December 31, 2020 unless otherwise noted. Please refer to the notes on page 9. This case study represents the first industrial transaction in AREOF III and the largest transaction made by the fund to date in the West region of the U.S. Investments shown are for illustrative purposes only and are not representative of all fund investments made by AREOF III. There can be no assurance that AREOF III will achieve its investment objectives. Forward looking statements are not reliable indicators of future events and no guarantee or assurance is given that such activities will occur as expected or at all.
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