EFTA01375674.pdf

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Fund Profile I 2019 --- - — - Aiwr- Nof.ksr Retail Dist uti on I- f, GTIS Qualified Opportunity FundCLC ''''' ''' ' v .:— ' ^1-- if,... - ....7,,, GTIS Partners LP Opportunity Zone Overview Fund Profile • GTIS Qualified Opportunity Fund LLC ("Fund") will target investments in select Qualified Sponsor GTIS Partners ("GTIS- ) Opportunity Zones (QOZs), underserved areas designated by the 2017 Tax and Jobs Act • QOZ investments can qualify for substantial tax benefits at federal as well as state level: Strategy Qualified Opportunity Zones 1) Tax deferral of capital gains until 2026 from almost any investment- stocks, Target Fund Size $500 million real estate, art, business sale, K1 partnership gains Structure Private REIT 2) Tax reduction on the rollover gain by 10% if investment in QOZ is held for at Geographic Focus NY, SF, tA, DC, Boston, least 5 years, or 15% if held for 7 years by end of 2026 Seattle, Phoenix, Denver, 3) Tax elimination for gain on the new QOZ fund investment if held for >10 years Miami, Dallas, Orlando • Zone locations are quite wide ranging, not just distressed areas (>10,000 ZIP codes, Target Gross 13-14% 76% large urban MSAs) and have clear potential as well as need for investment Target Net IRO' 9-11% (before tax benefit) • Expected to become the largest economic development and tax incentive program in Target Gross Multiple's) 3.0x the last few decades as concentration of capital transforms communities over time Target Net Multiple) 2.5x (before tax benefit) • QOZ regulations lead to development oriented strategy, as they require Fees 1.6% on Committed capital 1) Original use of a ground up development in a 002, or during Investment Period 2) Substantial improvement by investing more than the original basis (ex land) 1.6% on NAV thereafter Preferred Return 8% to Investors GTIS Firm Overview Catch-up 60% GTIS / 40% Investor • Real estate fund manager founded in 2005 with $4.7 billion of AuM focused on the U.S. and Brazilel with 94 employees located across seven offices Incentive 20% Fund-wide waterfall • While experienced across all asset classes, GTIS strategy in the US is focused on residential and Term 12 years mixed use development in areas similar to OpportunityZones Minimum Investment $100,000 • Over $1.4 billion of equity capital committed to 81residential p in 30 markets comprising Investor Qualification U.S. Taxable $7.1billion in total project costal Accredited Investor • Over $12•3 million of equity committed to 7 projects that are now located in Opportunity Zones, including 1.8 million square feet of commercial space and 4,000 planned residential units Closings Monthly • Principals have development and operating background, but the firm invests as a capital alkxator, Full upfront commitment leading to a hytindAllocator/Operator model well suited for the QOZ strategy— enables Due Diligence Albourne Partners diversification across markets with local partners but also direct development oversight Rocaton Inv Advisors • Established fund management platform with extensive tax and structuring experience, Mercer and an investor base including some of the world's largest pensions and endowments Key QOZF Professional GTIS Qualified Opportunity Zone Strategy Tom Shapiro • Diversified — invest in residential and commercial development in up-and-coming President and CIO areas of major gateways (e.g. NY, SF) and select next-tier markets (e.g. PHX, ATL, DAL) • Previously Senior MD at Tishman Speyer, member of Investment and Management Committees Focused on growth markets — urban as well as suburban development (e.g. Multifamily • At Tishman for 17 years, managed JV between and Single family rental) with a focus on sunbelt markets that have stronger Tishman and Goldman Sachs, commercial leasing demographics, job growth, and business friendly climate and capital markets • Balanced portfolio — 10-15 'bite sized' assets (target $20-$50M commitment) vs. one- • 30 years of real estate experience off mega deals that carry idiosyncratic risks Contact Information • Commingled fund — REIT structure enables commingled pool with the flexibility to exit through IPO or individual property sales, and manager incentive tied to overall fund Peter Ciganik performance (fund-wide promote vs. deal-by-deal) and Investor Relations • Extensive sourcing network — prior investments with over 30 local development partners, and investment presence in 15 out of the 16 target markets 787 Seventh Avenue, 50: Floor • Proprietary research — dedicated research team and tools developed to evaluate New York, NY 10019 markets and submarkets to select QOZs with the most potential • Identified pipeline — $250M+ pipeline diversified across property types and markets, as a direct continuation of GTIS investment strategy carried out over the past 10 years NOT FOR DISTRIBUTION THROUGH BRANCH RETAIL CHANNELS SUCH AS THE FIDELITY WEALTH ADVISOR SOLUTIONS PROGRAM OR TD AMERITRADE ADVISOR DIRECT REFERRAL PROGRAM. GTIS RESERVES THE RIGHT NOT TO ACCEPT CAPITAL COMMITMENTS SOURCED THROUGH THESE OR SIMILAR BRANCH RETAIL CHANNEL REFERRALS. CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0071231 CONFIDENTIAL SDNY_GM_00217415 EFTA01375674