Ares US Real Estate Opportunity Fund III slide image

Ares US Real Estate Opportunity Fund III

Ares U.S. Opportunistic Strategy Track Record (¹) Demonstrated track record that has exceeded target returns ■ ■ Manage over $1.7 billion of equity capital raised across two recent U.S. opportunistic funds, AREOF and AREOF II, and Related Vehicles Of the 35 investments closed since 2012, 24 have been realized or substantially realized to date, and combined realized proceeds equal 130% of capital called to date H ■ As of June 30, 2020 ($ in Millions) Vehicle AREOF II & Related Vehicles AREOF & Related Vehicles AREOF II & Related Vehicles, which began investing in late 2015, is fully committed with $715 million in total equity commitments and over $588 million in realized proceeds from 9 realized or partially realized investments AREOF & Related Vehicles invested $732 million since 2012 and has realized proceeds equal to 164% of total committed capital Total Fund Vintage (8) 2015 2012 Vehicle Size(⁹) $1,000.9 $729.4 $1,730.3 Equity Realized Committed (10) Proceeds (11) Confidential - Not for Publication or Distribution $715.1 $732.2 $1,447.3 $588.9 $1,201.1 $1,790.1 Projected Unrealized Proceeds(12) $806.0 $12.7 $818.6 Total Projected Proceeds (13) 14 $1,394.9 $1,213.8 $2,608.7 Pro Forma Fair Value Returns Pro Forma Projected Returns Gross / Net IRR(1)(2)(3)5) 30% / 22% 20% / 14% 22% / 16% Gross / Net EM(1)(2)(3)(5) 1.5x / 1.4x 1.7x/ 1.5x 1.6x / 1.4x Gross / Net IRR(1)(2)(3)(4) 26% / 19% 20% / 14% 22% / 16% Gross / Net EM(1)(2)(3)(4) 2.0x / 1.7x 1.7x / 1.5x As of June 30, 2020. Past performance is not indicative of future results. Please refer to endnotes on pages 65-66 for detailed information regarding the methodology used to calculate the performance information in this table. Please refer to page 67 for a Summary of Vehicle Definitions. ARES 1.8x/ 1.6x
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