National Leaders in Real Estate Research Annual Apartment Survey 2007 “Are We There Yet?” Ken Danter The Danter Company Columbus Apartment Association May 17, 2007

Outline n Demographic Trends n Employment Trends n Housing Starts n Single Family Trends n Condominium Trends n Apartment Trends

Demographic Trends Columbus MSA

Columbus MSA TrendsPopulationHouseholds 19901,345,454513, ,540,157610,757 Change ,70397,257 Percent Change %18.9% 20061,707,963677,333 Change ,80666,576 Percent Change % 20111,862,944741,140 Change ,98163,807 Percent Change %9.4%

Employment Trends Columbus MSA

Building Permit Trends Columbus MSA

SURPLUS

Single-Family Trends Columbus MSA

SUSTAINABLE

Condominium Trends Columbus MSA

Apartment Trends Columbus, Ohio

Columbus, Ohio Vacancy Rate Trends

Columbus, Ohio Vacancy Rate By Unit Type

Columbus, Ohio Vacancy Rate By Quadrant Northwest5.7% Northeast6.1% Southeast10.1% Southwest15.2% Central City7.8%

Columbus, Ohio Median Rent Trends One-BedroomTwo-Bedroom 2007$513$ $499$ $497$ $496$ $495$ $495$ $480$ $470$585 Avg. Annual Increase 2000 – – % 2.8% 1.0%

Columbus, Ohio Median Rent By Quadrant One-BedroomTwo-Bedroom Northwest$614$736 Northeast$525$628 Southeast$443$578 Southwest$499$594 Central City$415$590 Overall$513$625

The Future n Single family entry level construction to be below sustainable levels for 3 to 5 years n Continued conversions will reduce number of apartments in the market (and the same number of renters) n Decreasing vacancies to stabilize at 6% to 7% over the next two years n Rent increases of 1% to 1.5% per year n Declining concessions

For a Copy of Today’s Presentation n Go to and look for Columbus Apartment Association Presentation – May 17, 2007www.danter.com