1. 2007 UCONN REAL ESTATE CONFERENCE
Michael Stone MULTI-HOUSING MARKET
NOVEMBER 8, 2007

2. CT Fundamentals Stable Construction/Absorption and Vacancy
Source: REIS

3. A New Era – Renters are Back
STRONG RENTAL DEMAND FORECASTED……
Increasing Household Formations
Declining Homeownership Rates

4. A New Era – Renters are Back
Echo Boomers are Nearing Prime Renting Age
Source: National Multi Housing Council

5. Change in Population Growth
A New Era – Renters are Back
Change in Population Growth
Age Group
Source: U.S. Census

6. A New Era – Renters are Back
1915
1967
2006
4.5 people / household
3.3 people / household
2.6 people / household
Population 100 million
Population 200 million
Population 350 million
Source: U.S. Census Bureau

7. A New Era – Renters are Back
*As of 2Q07
Source: U.S. Census Bureau.

8. A New Era – Renters are Back Strongest Rental Demand Since Early 1980s…
Increasing Household Formations:
Echo Boomers = Prime Rental Ages
Baby Boomers = Lifestyle Renters
Shrinking Household Sizes
Declining Homeownership Rates:
Renting Still Cheaper & More Predictable
Subprime Mess

10. Credit Crunch National: Central CT.:
Going in Cap Rates bps – CORE MARKETS
25-50 bps– SECONDARY MARKETS
Value %
Central CT.:
No major changes

11. Glenbrook - Rocky Hill, Connecticut
Seller: Capital Properties Buyer: Robert Martin Company/Paredim Partners
Units: 400
Price: $35,500, $88,750/unit

12. Stony Brook Apartments- East Haven, CT.
Seller: HP Stony Brook LLC
Buyer: Stony Brook Village LLC
Units: 165
Price: $22,200,000
$134,545/unit
Cap Rate: 6.27 %

13. The Ledges - Groton, Connecticut
Seller: Groton Community LLC C/O GRP Realty
Buyer: LCOR Groton Apartments LLC
Units: 329 Units
Price: $51,000,000 $155,015 /unit Cap Rate: 5.7 %

14. Newbury Village - Meriden, Connecticut
Seller: Tarragon Corporation Buyer: Newbury Property LLC
Units: 180
Price: $30,300,000 $168,333/unit
Cap Rate 5.73 % Trailing-Twelve

15. The Hawthorne at Gillette Ridge - Bloomfield, CT
Seller: CIGNA Realty Investors/Bozutto Group
Buyer: Fairfield Residential
Units: 246 Units
Price: $52,500,000 $213,415/unit

16. Tishman Speyer/Lehman Brothers
ARCHSTONE SMITH REIT Privatization
Seller: REIT – Archstone Smith
Buyers: Tishman Speyer & Lehman Brothers
Units: 87,667 (359 Communities)
Price: $22,200,000,000 ($253,231/unit)
Largest ever apartment financing deal in Fannie May history
(closed post credit crunch)

17. 50 Cent’s Mansion in Farmington, CT.
$18.5 Million Asking Price
48, 000 SF
18 Bedrooms
33 Bathrooms
5 Kitchens

18. 2007 UCONN REAL ESTATE CONFERENCE
Michael Stone MULTI-HOUSING MARKET
NOVEMBER 8, 2007

19. THANK YOU