Marketplace One Realizes 47.5% Annualized Rate of Return on Sale of Surprise Acreage

VIZZDA—May 8th, 2013 — Tim Brislin of Harvard Investments paid $14.35m for 359.91 acres of roughly graded residential land within the Desert Oasis and Sunrise Ranch subdivisions in Surprise. The sales price represents a $39,871 Per Acre Price and a $0.91 Per Square Foot Price. Harvard paid cash for the property and annexed 1.27 adjacent acres pursuant to an outstanding agreement prior to the acquisition.

Desert Oasis is planned for 2,691 total lots and Sunrise Ranch is planned for approximately 400 total lots. The portion which conveyed to Harvard Investments was comprised of the final 229.64 acres of unfinished land within Desert Oasis and substantially all of Sunrise Ranch’s 130.27 acres. The two subdivisions are located west of the northwest corner of 163rd Avenue and Jomax Road. They were assembled and entitled by Desert Troon and Centex Homes before selling to Marketplace One in 2011.

Marketplace One and its partner, BayNorth Capital of California, acquired the parcels—less the property annexed in this transaction—for $7.08m or $19,721.24 per acre and $0.45 per square foot—on March 3rd, 2011 in an all cash purchase. The current sale price of $14.35m reflects an absolute rate of return of 102.6% which annualizes to a greater than 47.5% rate of return.

By:

Paul Dionne

Director of Analytics

Vizzda.com

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