To the investors in Illustrative: 200-unit multifamily development,
The property earned $940,172 of net operating income in Nov 2030 to Jan 2031, $6,622 (0.7%) behind the plan of $946,794.
Leasing. 25 new households moved in and 25 moved out. Of the 55 leases that came up for renewal, 30 renewed, a renewal rate of 54.5%. The building ended the quarter with 190 of its 200 homes occupied, and occupancy averaged 94.9% against a plan of 94.6%.
Income and expenses. Income collected was $1,447,872 against a plan of $1,439,116, $8,756 ahead of plan. Higher occupancy than planned added $4,295 of rent. Operating expenses were $391,100 against a budget of $390,321, $779 over budget. Property tax was $116,600 against a budget of $102,000, $14,600 over budget.
The county's first assessment of the stabilized building came in above the underwritten value, and the property tax true-up for the year landed in this quarter.
For operating year four as a whole, net operating income was $3,727,705 against a plan of $3,787,177, $59,473 behind plan.
Market. We track asking rents at 10 apartment properties in the West End; 4 of them post prices online. On November 8, 2026 the median asking rent across them was $2,368 a month ($2.43 per square foot), and 3 properties were offering concessions. Our pro forma rents, in today's dollars, sit above the West End median for studios and one bedroom homes and below it for two bedroom homes. No tracked property posts a price for three bedroom homes, so there is nothing to compare them to. Since the November 7, 2026 snapshot, the median asking rent fell $33; 0 posted plans went up in price and 0 came down. These are today's asking rents, not rents during the quarter this letter covers.
Your account. You received a distribution of $35,944 this quarter. That brings distributions to date to $35,944 on contributions of $500,000. Net invested, contributions less distributions, is $464,056.
The loan. The construction loan balance was $33,922,221 at quarter end (the $33,922,000 commitment plus $221 of draw-schedule rounding). The plan repays it with a $47,032,000 permanent loan in Feb 2032.
Next quarter. Feb to Apr 2031 is the first quarter of operating year five. The plan for it is $970,464 of net operating income, and the refinance remains scheduled for Feb 2032. These are the plan's figures, not a forecast.
Sample Sponsor LLC