Dear Investors,

I hope this email finds you well. We're thrilled to provide you with an update on our due diligence process for Atlas at Bay Point. As promised, we're committed to transparency and keeping you informed every step of the way.

I'm delighted to report that our due diligence efforts have been incredibly positive. We've conducted a thorough examination of the property, and I'm pleased to inform you that NO major issues have been identified. This includes critical areas such as foundation, roof, plumbing, electrical, pest, and mechanical systems. It's a testament to the property's solid infrastructure and confirms our initial assessment of its strong foundation.

Our due diligence process is meticulous, drawing upon our extensive industry experience and the expertise of our network of professionals. Three weeks ago, we conducted a detailed walkthrough of every unit with our team, accompanied by an independent Property Condition Assessment (PCA) Engineer. The engineer's report highlighted the flat roof and mansard feature as areas of concern, consistent with our initial underwriting assumptions. However, we're well-prepared to address these issues within our budget, with quotes from roofing contractors aligning with our projections.

While the property isn't without its minor imperfections, such as the need for flooring replacements in about 25% of the units, we view these as opportunities for value enhancement. Our CPI Value-Add Wealth Creation System is primed to capitalize on these issues, with plans to renovate units to a modern finish, enhance landscaping, and upgrade community amenities.

Additionally, during our inspection, we discovered "free real estate" opportunities within the property. Adjacent to each second-floor laundry room lies an idle maintenance shop, approximately 20’ x 12’, ripe for conversion into storage space. With plans to integrate washer dryer connections into all 2-bedroom units, we aim to reconfigure the existing laundry rooms to either expand storage capacity or enhance current facilities. This additional income stream, not factored into our initial projections, promises to augment cash-on-cash returns and overall property value.

During our property inspection, we were also pleasantly surprised by the demographic mix of tenants. Historically a working-class area, we found a diverse community of service providers, professionals, nurses, students, and small families. Meeting with tenants firsthand, we observed that their units were clean and organized, reflecting a strong sense of pride and community.

These findings only reinforce our confidence in the potential of Atlas at Bay Point. Despite the minor challenges, the property's strong fundamentals and strategic location make it an exceptional investment opportunity. We remain committed to maximizing its value for our investors and are excited about the journey ahead.

Thank you for your continued support and confidence in our team. We'll keep you updated as we progress with this exciting opportunity.

Sincerely,

Ava Benesocky & the CPI Capital team