Further - CWS Capital Partners LLC

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Further
CWS Capital Partners has evolved from the company that was founded in 1969. Its key principals and advisors, CEO -Steve Sherwood,
President-Gary Carmell, Chief Investment Officer-Mike Engels and
Bill Williams, have a combined 124 years with the firm. If we had to
title ourselves, it would be “a fully-integrated real estate investment
management company.” We search throughout America for real estate investment opportunities and negotiate the purchase and sale of
the properties. We access debt and equity capital to finance both the
purchase and development of those properties. And finally, we manage
them. Throughout each project, we correspond regularly with our investment partners and coordinate all the necessary financial reporting and
tax return generation. Importantly, the CWS principals believe in these
projects strongly enough to personally invest in every single one.
The road ahead is not always
straight and smooth. Often times it
is filled with obstacles and different
surfaces. CWS Capital Partners is a
high-performance vehicle equipped to traverse any road condition,
while keeping our passengers safe
and out of harms way. Join us in
our continued journey as we charge
ahead of our competition with our
experienced drivers and real-time
navigation system.
Page 1
3 CWS Capital Partners LLC
Apartment Portfolio Performance Summary
From January 1 to December 31, 2013
ACTUAL
Total Revenue
Total Operating Expenses
Net Operating Income/(Loss)
$
$
$
263,333,561
118,021,454
145,312,107
BUDGET
$
$
$
1031 Exchange History
Properties Refinanced in 2013
VARIANCE
$
$
$
$
$
$
462,436
2,988,418
537,560
10,912,000
7,382,742
12,181,590
34,464,746
PERCENT
176,700
(450,401)
(273,701)
0.07%
(0.38)%
(0.19)%
COMBINED
EQUITY
EXCHANGED
PRIVATE TIC
EQUITY EXCHANGED
YEAR
1985
1986
1989
1990
1991
1992
1993
1995
1996
1997
1998
1999
2000
2002
2003
2004
2006
2007
2008
2011
2012
2013
Grand Total
263,156,861
117,571,053
145,585,808
$
4,969,908
596,835
1,238,238
3,591,187
1,267,266
1,800,396
4,219,577
1,252,827
5,578,435
12,737,361
30,945,816
31,046,933
31,828,056
14,187,460
1,305,981
10,427,349
12,345,388
36,790,440
6,176,165
13,973,008
14,590,820
35,693,171
276,562,617
DEFERRED
GAIN ASSOCIATED
WITH THE EQUITY
$
$
7,496,092
618,897
1,871,750
9,283,218
575,893
4,759,007
4,546,184
2,115,161
10,424,092
19,012,046
43,385,626
55,438,498
37,942,895
23,078,845
4,334,016
16,610,408
14,347,576
50,402,997
10,402,648
3,586,255(1)
12,928,368(1)
27,565,714(1)
360,726,186
PROPERTY
MONTH
REFINANCED
SoCo on the Lake, Phase II
The Marquis at Caprock Canyon
The Marquis at Walker's Ranch
The Marquis at Willow Lake
The Marquis at Lantana
The Marquis Downtown Apartments
The Marquis at Stone Oak
Regents West at 26th
March
April
July
August
November
November
November
December
Properties Sold in 2013
PROPERTY
The Marquis at West Village
The Marquis at Park Central
The Marquis at Bellaire
The Marquis at Stone Briar
The Marquis at Riverchase
The Marquis at Edwards Mill
The Marquis on Cary Parkway
The Marquis at Northcross
The Marquis on Eldridge Parkway
MONTH SOLD
July
September
September
September
September
September
September
September
September
Track Record
PROPERTY
Ashbury Parke
The Marquis at Ladera Vista (2)
Barton’s Lodge (3)
Plaza Villa
The Marquis of Carmel Valley (2)
Marquis Apartments
Argonne Forest
Edge Creek
O’Connor Ridge
Waterbury Place
Laguna Terrace
Montclair Parc
Northcreek Apartments
The Marquis at Castle Hills
The Marquis at Walker’s Bluff
The Marquis at Frankford Springs
Shoal Creek
Huntington Cove
Papillon Parc
The Marquis at Quarry
The Marquis at Iron Rock Ranch
Talavera (4)
The Marquis at DTC
Town Lake of Coppell
The Marquis at Crossroads
Marquis at Lantana
The Marquis on McKinney
Park at Fox Trails
The Marquis at Barton Creek
Block Phase I
Block Phase II
The Marquis at West Village
The Marquis at Park Central
Windsor at Barton Creek
The Marquis at Gaston
The Marquis at Silver Oaks
The Marquis at Silverton
Marquis at the Parkway
The Park at Spring Creek
The Marquis at Bellaire
The Marquis at Stone Briar
The Marquis at Riverchase
The Marquis at Edwards Mill
The Marquis on Cary Parkway
The Marquis at Northcross
The Marquis on Eldridge Parkway
The Marquis at Westchase
The Marquis at Pin Oak
The Marquis on Westheimer
The Marquis at Great Hills
The Marquis on Memorial
Portfolio Weighted Average
LOCATION
DATE ACQUIRED
SALE DATE
Austin, TX
Austin, TX
Austin, TX
Montclair, CA
Charlotte, NC
Austin, TX
Austin, TX
Austin, TX
Dallas, TX
Arlington, TX
Dallas, TX
Charlotte, NC
Durham, NC
San Antonio, TX
Austin, TX
Dallas, TX
Bedford, TX
Farmers Branch, TX
Fort Worth, TX
San Antonio, TX
Austin, TX
San Antonio, TX
Denver, CO
Coppell, TX
Raleigh, NC
Flower Mound, TX
Dallas, TX
Plano, TX
Austin, TX
Austin, TX
Austin, TX
Dallas, TX
Dallas, TX
Austin, TX
Dallas, TX
Dallas, TX
Raleigh, NC
Denver, CO
Dallas, TX
Houston, TX
Dallas, TX
Dallas, TX
Raleigh, NC
Raleigh, NC
Charlotte, NC
Houston, TX
Houston, TX
Houston, TX
Houston, TX
Austin, TX
Houston, TX
Jul–93
Nov–94
Dec–90
Feb–95
Jan–97
Nov–92
Dec–91
Aug–93
Nov–95
Jun–90
Jul–96
Jul–97
Jul–97
Jun–03
Oct–98
Sep–04
Nov–97
Dec–89
Mar–89
Jan–04
Dec–04
Apr–98
Sep–99
Mar–04
Dec–00
Jul–06
Apr–02
Dec–06
Jul–00
Mar–06
Oct–06
Jun–04
Feb–05
Apr–05
May–05
Sep–05
Dec–05
Dec–05
Mar–06
May–06
Jul–06
Jul–06
Jul–06
Oct–06
Dec–06
Mar–07
May–07
May–07
Jul–07
Sep–07
Nov–07
Jun–96
Nov–96
Mar–98
Aug–98
May–99
Jun–00
Aug–00
Dec–00
Feb–02
Mar–02
Apr–03
Oct–04
Oct–04
Mar–06
Apr–06
Jun–06
Jun–06
Aug–06
Mar–07
Mar–07
Apr–07
Jun–07
Jul–07
Sep–07
Sep–08
Dec–08
Jun–11
Dec–11
May–12
Dec–12
Dec–12
Jul–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
Sep–13
INVESTOR RETURNS
NET OF FEES
22.36%
13.54%
20.10%
21.91%
28.78%
18.23%
19.65%
22.88%
10.12%
8.97%
9.58%
5.27%
9.50%
28.49%
8.15%
10.30%
9.38%
7.57%
11.35%
29.44%
38.03%
3.92%
9.29%
38.11%
7.37%
3.51%
9.63%
7.70%
7.41%
13.37%
12.14%
22.41%
12.22%
13.97%
11.70%
15.01%
11.15%
6.23%
7.52%
11.47%
8.03%
7.53%
9.59%
14.22%
5.69%
15.49%
11.31%
12.03%
14.98%
5.17%
14.76%
11.29%
MULTIPLE
NET OF FEES
1.71
1.27
2.78
1.92
1.66
2.30
2.85
2.83
1.70
2.17
1.57
1.37
1.67
1.92
1.63
1.18
1.87
2.57
3.62
2.16
2.11
1.34
1.84
2.99
1.59
1.09
2.16
1.43
2.28
2.40
1.99
3.03
2.43
2.57
2.34
2.79
2.12
1.46
1.68
2.12
1.72
1.66
1.87
2.36
1.44
2.48
1.95
2.03
2.28
1.35
2.13
1.91
(1) Deferred gain from new 1031 exchange investor not included as the investor’s personal gain from non-CWS original properties was not tracked
by CWS.” (2) These investments were recapitalized after the development was complete. These returns represent the IRRs produced for investors
exiting after the development phase. (3) A portion of the investment was set aside for investors completing a 1031 exchange. Because their
capital was invested later their IRR is higher than the initial investors. (4) This property investment IRR was calculated with the inclusion of lender
group investments and returns. These two lender groups produced IRRs of 18.97% and 8.04% respectively.
Experienced Handling
In years past, our view of the road reflected
more of a two-lane highway without much traffic combined with pretty good visibility as the
weather conditions were improving. The roads
were in decent shape and we had a horizon that
gave us some confidence that we could continue to move at a pretty good speed in a high-performance vehicle, such that the rewards clearly
outweighed the risks.
This year the road is getting more crowded, but as we continue to progress down it
there are more lanes that are opening up so
the traffic continues to move relatively unimpeded. Even though there are more drivers on
the road, we are cognizant that some may not
be as skilled as the ones with whom we shared
the road previously.
While we are seeing more new supply of
apartments, evidence leads us to believe that
they’re leasing up quite rapidly at higher rents
than were projected. This supports the thesis that looking in the rearview mirror and trying to calibrate apartment starts today with
where they were historically misses the point
to some degree that there’s just not enough
housing being built in the U.S. and that new
apartments are necessary to pick up the slack
caused by single-family underproduction.
There are estimates that the U.S. should
be producing new households in the range of
around 1.3 to 1.5 million per year based on demographic factors and economic growth, but
currently we’re only producing about a million
new housing units when you combine apart-
Page 6
ments with single-family units. Obviously, those
are national statistics and every local market
is different, but we’re seeing this shortfall occurring pretty prevalently in our markets, notably in Atlanta, Houston, Dallas/Fort Worth, and
Denver. Austin is probably the one market that
is most in balance.
As we look out in the year ahead, we remain
fairly optimistic that apartments will continue
their successful run that we’ve been experiencing since 2010. We’ve had significant Net Operating Income growth in the last three years in
our portfolio, generally averaging about 6–7%
per year. This translates into very compelling return on investments, particularly when you have
leveraged assets as the return is magnified.
We have also been utilizing quite effectively variable-rate debt that has resulted in a cost
of funds that has been significantly lower compared to the fixed-rate alternatives while offering us tremendous optionality and flexibility as
these variable-rate loans have relatively inexpensive prepayment penalties, which gives us
the ability to sell assets if we think that’s the
right thing to do. The high pre-payment penalties associated with fixed-rate loans require
sellers to market their properties necessitating the assumption of the current financing by
prospective buyers which serves to limit the
number of interested purchasers. We are generating a cost of funds of approximately 1–2%
less than the fixed-rate alternatives, which
translates into a significantly enhanced return
on investment.
“We will be driving a well-engineered,
high performance vehicle and navigate
confidently during those times when
the conditions may not be as favorable.”
We believe that interest rates will continue to remain low for the foreseeable future.
Although labor conditions are not as robust
as past recoveries, jobs continue to grow,
which is good for apartment owners like CWS
and younger people are getting jobs at a relatively impressive rate, which is particularly
good for apartment owners. At the same time,
the mortgage market is constrained in ways
that make it difficult for these younger people to get credit to buy homes. They’re often
hampered by student loan debt and a lack of
credit history that’s needed in today’s more
stringent underwriting environment.
Texas is really outperforming the nation as
the fracking revolution is generating a significant amount of domestic oil production. In
addition, Houston is now the Silicon Valley of
energy with the strong job growth to go along
with it. This makes for a strong market that
continues to do well. Dallas has exposure to
energy firms as well and prospers accordingly.
Despite increasing supply and more cars
on the road, the lanes have expanded and
we’re feeling that 2014 should continue to
be a good year for our portfolio, although
probably with a little slower growth than
we’ve experienced, due to a little bit more
competition. We may also see more pressure on people’s wages not growing as rapidly to absorb the rent increases like they
had before. All in all, we should continue to
see compelling growth, particularly in this
low-yielding environment.
Page 7
We think that we can produce total rates of
return that are very competitive with other investments, particularly with the risks incurred.
We like being exposed to an industry with very
favorable demographics, some competitive
80
headwinds in terms of the homeownership
and
45 mi/hr
mortgage market and the greater regulation
that’s coming to bear there. We are also keeping our eye on more aggressive financing and
capital that’s coming into the apartment business, which can be the early signs of a little
froth building if people can access credit more
easily and on aggressive terms that rely on a
lot of future growth to justify that lending.
We’re trying to attune our GPS system to be
able to separate the signal from the noise in
ways that we can look out ahead and get better visibility, perhaps better than some of our
competitors. We will be driving a really wellengineered high performance vehicle with a
well-trained crew to maintain it and navigate
confidently during those times when the conditions may not be as favorable. We are going to
selectively continue to find acquisitions in markets that we think are under-supplied and we
will look for ways to add value.
In conclusion, it’s a bit more of the same,
which is a good thing because the same has
been very profitable for us over the last few
years and we look forward to continuing to add
value to the portfolio and bringing some compelling new investments to our investors in 2014.
Gary Carmell, CFA Partner -- President
80
45 mi/hr
MENU
8:10 AM
Developing a
Well-Engineered Vehicle
by Steve Sherwood
Founder, Chief Executive Officer
& Chairman of the Board
For 44 years, CWS has focused on sustainability and
durability. Using a vehicle performance analogy, we
ask ourselves questions like, “What type of vehicle
would still be running well 50 years from now?” and
“How do we operate and maintain the CWS vehicle in
a manner that ensures it is still running well in 2064?”
A big part of our strategy to achieve long-term success is to use every bit of information available to us
to predict a market’s strength into the future. Having
a correct market insight just a short time ahead of
our competition has resulted in significant returns.
Using our proprietary model, our team analyzes all of
the available public data concerning job growth and
construction permits and incorporates the real-time
experiences of our on-site teams. This process has
been quite good at letting CWS see the road ahead
before others. It recently led us to increase our acquisitions in Houston and Atlanta which have proved
to be very valuable insights. We expect to have continued success in 2014 and beyond buying existing
well-located properties in our target markets.
As we look ahead, our road map shows significant
profits will be made from the development of apartment communities in several of our markets. We
asked ourselves questions like “Should we develop?”,
“Should we take on additional risk?”, and “Is the return
worth it?” In our opinion, the answer is an overwhelm-
Page 8
Keeping the Engine Running: “As we look
ahead, our road map shows significant profits
will be made from the development of apartment communities in several of our markets.”
ing “Yes”– especially when we can implement
a build and hold strategy. The value-adding processes
of site selection, entitlement, design, build and leaseup have resulted in significant gains. Some recent
development completions have resulted in values exceeding costs by greater than 30%. With 70% debt,
the equity value is doubled.
At least one benefit emerged in the wake of the recession. Those who allocate capital, both debt and
equity, for development of apartments still have vivid
memories of the downturn in 2008 and have become
much more conservative. The debt used today is 65 –
70% of costs vs. 85 –90% in the past. The additional
equity requires a larger margin between costs and value which makes it harder to fund apartment development projects and leads to less volatility in the market.
Today’s drivers are looking for more features in their
vehicles. Similarly, the demand from customers for new
apartment communities with more modern features, floor
plans, and amenities has been greater than expected.
Not surprisingly, our newly developed properties have little or no capital expenditure costs in the early years and
have also been well below average capital costs in the later years. The care CWS takes when building a property to
hold tends to be greater than the care taken by those who
build to sell. This helps explain the difference in capital
costs in the later years of a property life.
Considering new apartment construction and singlefamily home construction, all of our markets are either in
balance or a shortage of supply exists. CWS will continue
to seek out unique sites and break ground on two development projects during each of the next couple of years.
My final comment on our development approach is
that we won’t be faced with the need to build because
our development team at CWS is small and flexible.
Fueling Growth: “We maintain and
selectively upgrade our car’s parts
and features to increase its longterm value and longevity.”
We would want to build if the margins are high and we
can obtain great sites in high demand markets. However, we are comfortable not building new projects if the
opportunity diminishes. This strategy for development
is designed to have CWS running well in 2064 versus
some of our competitors. We expect to enjoy handsome
returns from our development activity well into the
future, but also want to be early to slow the car when
markets dictate the profit margins will be shrinking.
Maintaining & Upgrading
For Better Performance
by Mike Engels
Partner -- Chief Investment Officer
At CWS, we maintain and selectively upgrade our car’s
parts and features to increase its long-term value
and longevity. One of our most important functions at
CWS is the capital expenditures process. We believe
that it is essential for us to perform these functions
for our properties in order to grow rents and keep the
structural integrity of our assets over the long haul.
For the 2014 year, we are projecting to invest $33.76
million at our 69 communities and 19,359 units. This
equates to $489,300 per community and $1,744 per
unit. Of this amount, 34% is devoted to “Reposition
Capex,” which is capital dedicated to upgrading our
assets in search of higher rents.
Philosophy
At CWS, capital spending can fall into one of
two areas:
1. Asset Preservation or 2. Reposition Capex
Page 9
Here are our philosophies on each:
• Asset Preservation “A stitch in time saves nine.”
Our goal is to keep our assets in tip-top condition
and do the work necessary to prevent far more significant costs down the road. Our major asset preservation philosophy is “keep water away from the
building,” which includes roofing, siding, exterior paint, and drainage. Other major areas include
foundation support and mechanical and electrical
replacements, such as HVAC units, appliances or
elevators, where present.
• Reposition Capex In our portfolio, there are opportunities to upgrade select properties and
achieve higher rents from our residents. We seek
returns of 20% or higher on the incremental capital that we invest in these upgrades. Our most
typical upgrades involve the interiors of our units.
The following is a table of typical upgrades and
costs, with a minimum rent premium required for
each to be feasible:
Item
Typical
Cost
20%
of Cost
Minimum
Monthly
Premium
Appliances: Refrigerator, etc.
$2,300
$460
$38
Granite Countertops
1,200
240
20
Hard Surface Flooring
1,100
220
18
Upgraded Lighting
300
60
5
2-inch Blinds
250
50
4
Ceiling Fans
250
50
4
Hardware: Door Knobs, etc.
400
80
7
60
12
1
$5,860
$1,172
$97
Kitchen Faucet
Total
A couple of comments in regard to upgrading assets
at our properties:
• Depending on the combination of upgrades at a particular property, a thorough interior upgrade generally costs $5000 –7000 per unit. With a typical
Preventing Costs Down the Road:
“CWS is spending the time, talent and
treasure to keep our assets in top condition to prevent costs down the road.”
300-unit community, we get economies of scale
in materials and labor, which allows us to provide a
great service to our residents relatively inexpensively.
• There are certain upgrades that our customers
will pay for in most every circumstance. One such
upgrade is hard surface flooring in place of carpeting. Not only will residents pay in the neighborhood of a $50 per month premium, but the
product lasts approximately five times longer than
carpeting, making it a particularly good idea and
the reason that we do it throughout our portfolio.
Another highly desirable upgrade is a new appliance package. The stainless steel look is quite
appealing to our residents.
Execution
Sound execution requires a dedicated, knowledgeable, and experienced team coupled with strong
processes.
• The Teams CWS has dedicated on-site teams at
each of our assets, which includes experienced
maintenance personnel. In addition to our onsite teams and their supervisory Regional Directors, CWS has experienced and knowledgeable
teams for Capital Projects Management, Construction Management, and Asset Management.
All of these teams, with the help of outside experts when necessary, work closely to support
our on-site teams in ensuring we do an excellent
job identifying the right capital projects and then
implementing them proficiently.
• The Process Each summer we commence our
budget process for the following year with our
“Capex Walks.” Our team tours each of our assets and works closely with the on-site teams to
identify necessary capital projects for the coming
year. The team obtains formal bids for the cap-
Page 10
ital projects work that has been identified so we
can budget accurately. Once the budget process
begins in the fall, the operations and asset management teams carefully study our assets and the
markets they are in to best determine how much
Reposition Capex we should budget for and the
particular items. Next, the partners review the
cash position of each asset to make a final determination of what capital should be budgeted for
the following year. Finally, once the budgets are
approved and the new year begins, the implementation phase commences.
Keeping Our Assets Strong & Growing
Rest assured, CWS is spending the time, talent and
treasure to keep our assets in top condition that will
enable them to compete well in the housing market
and provide growing cash flows and distributions for
our investors for many years to come.
Our Track Record:
Preservation, Cash Flow & Safety
by Bill Williams
Founder & Advisory Board Member
Looking back over my 45 years with CWS there were
memorable years when real estate in general and our
property portfolio in particular were at the top of a
cycle, and I recall reading a phrase that stuck in my
mind, “The seeds of trouble are sown in good times.”
This phrase encouraged us to be careful when buying a new property and to look hard at our currently
owned properties whose locations may have deteriorated slightly or substantially and put them up for sale
while prices were attractive at the top of the cycle.
Safety: “We stick with Class A
properties in good locations because
they have proven to be the safest
repository of our invested capital.”
At the bottom of a cycle, the most important thing
was staying power, having the capital and perseverance to work our way through the downturn. We carefully nurtured our capital, our credit lines, and our
“Lender Group” Program to be prepared for the few
occasions we needed to shore up a property.
Goal #1
“Have an Automobile with Plenty of Power”
In all 45 years, our goal has been preservation of invested capital or, in reality, the purchasing power of
the dollars invested—this means a return on invested capital that exceeds the average 3% inflation
rate as a minimum over the 5 to 10–year holding
period. Our full-cycle investments have returned an
average internal rate of return of 11.29%.(1)
Real estate is the only investment that has consistently had this kind of return for me. I have invested in stocks and bonds and none have done as
well as income producing real estate. In real estate
we give up immediate liquidity but the improved return has been worthwhile for long-term investors.
Goal #2
“Ensure That Our Automobile Has Plenty of Fuel”
Over the past 45 years, the plan was to concentrate
on properties producing good cash flows annually.
We like a regular return on our capital invested
as well as return of our investment at the end of our
holding period. This concept sounds simple enough,
the only problem is about a million other real estate
investors with a similar goal are competing with us
for the best in-class properties. We have excelled by
knowing our markets and treating brokers well and
fairly to gain their long-term goodwill, which has resulted in them bringing us their best listings first.
We work very hard for those good opportunities.
Page 11
On the other hand, we have been willing to sell
when someone offers a really great price or, when
we visualize our property in a deteriorating market,
believing in the theory that “One Must Sell One’s
Horse Before it Dies.”
Goal #3
“Purchase High-Quality Vehicles That Will
Last a Long Time”
We stick with Class A properties in good locations
because over the past 45 years they have proven to
be the safest repository of our invested capital for a
long-term hold. Most of these Class A locations have
improved substantially due to the addition of quality
property developments around them while improving our properties’ value as well as the value of the
neighborhood.
In fact, as many of our properties have matured
and their neighborhoods have improved, we find
that we are much better off upgrading the units in
our property to match newer units built within the
area. In doing so, we can often raise our rents materially while still being less than the newer unit
rents and maintain our property with consistent
cash flow without going through the work, fees,
and expense of selling, exchanging, and buying
another property.
In summary, our three goals are:
1. Preservation of capital.
2. Buying good properties with good annual cash
flows for the holding period of 5 –10 years or more
and capturing a rise in the value of the property at
the time of sale.
3. Delivering property investments that allow
investors to sleep well at night as the years go
by, feeling you are well taken care of at CWS.
(1) Past performance should not be taken as an indicator of future performance. More information can be found in the track record section.
Envisioning the Outcome
Staying alert and focused on the road ahead is imperative
while traversing uncertain road conditions. By attuning our
GPS to map our course while anticipating road and weather
conditions, we can move forward knowing that we have put
ourselves in a position to arrive at our destination efficiently
and safely. CWS Capital Partners always has safety in mind,
as a primary objective, but is keen to take advantage of improved road visibility ahead that may allow for more speed.
14 CWS Capital Partners LLC
PROPERTY NAME
LOCATION
The Marquis at Ladera Vista
Austin
UNITS
224
The Marquis at Volente
Austin
208
The Marquis at Caprock Canyon
Austin
336
Northwest Hills Apartments
Austin
314
Windsor at Barton Creek
Austin
134
Regents West at 26th
Austin
139
SoCo on the Lake
Austin
100
The Marquis at Great Hills
Austin
406
The Marquis at Tree Tops
Austin
240
Austin Midtown Apartments
Austin
276
The Marquis at Canyon Ridge
Austin
264
The Marquis Round Rock
Austin
224
Marquis at Tech Ridge
Austin
294
Marquis at Center Ridge
Austin
348
CURRENT DEVELOPMENT
LOCATION
Marquis at Barton Trails
Austin
150
SoCo Phase I Redevelopment (2015)
Austin
Marquis Shoreline
Austin
280
Regents West at 24th (2014)
Austin
93
Marquis at Brushy Creek
Austin
360
Marquis at Barton Trails, Phase II (2015) Austin
157
SoNA
Austin
164
7 Rio (2015)
220
Total
4,461
Total
Austin
UNITS
260
730
Austin
The Austin-San Marcos, TX MSA is home to
over 1.8 million people and is one of the fastest
growing MSA’s in the country. According to
the U.S Bureau of Labor Statistics (BLS), total
annual average non-farm employment increased
by 23,600 (2.8%) from November 2012 to
November 2013, down from an increase of
31,100 (3.8%) a year earlier. The job market is
expected to pick back up in 2014 according to
Moody’s Economy.com who forecasts 35,400
(4.1%) new jobs. As of December, according to
the BLS, the unemployment rate had fallen to
just 4.5%, down from 5.0% 12 months prior.
Austin has landed at the top of Forbes’ list of the
country’s fastest-growing cities for the fourth year
in a row, adding 47,700 (2.6%) people in 2013
and is expected to continue to grow.
Entering 2014, Austin is facing a development
boom with 10,409 units expected versus 5,133
delivered in 2013. Occupancy remained stable
from 2012 to 2013 moving just 0.1% from 95.6%
to 95.5% and is expected to remain strong in
2014 at 95.1%. The new supply will slow rents
slightly in 2014 to a forecasted increase of 4.0%,
down from increases of 4.5% experienced in
2013. We will be keeping a close eye on the glut
of new supply hitting the market in 2014 but
overall we anticipate a strong year for Austin.
PROPERTY NAME
LOCATION
The Marquis at Turtle Creek
Dallas
98
The Marquis on Gaston
Dallas
480
The Marquis on Cedar Springs
Dallas
165
The Marquis at Texas Street
Dallas
302
The Marquis of State Thomas
Dallas
211
Marquis West End
Dallas
146
L2 Uptown
Dallas
321
Marquis at Lantana
Flower Mound
248
The Park at Flower Mound
Flower Mound
352
The Marquis at Stonegate
Fort Worth
308
The Marquis at Willow Lake
Fort Worth
138
The Marquis at Bellaire Ranch
Fort Worth
316
Firestone West 7th
Fort Worth
350
The Marquis at Silver Oaks
Grapevine
480
Brooks on Preston
Plano
342
The Park on Spring Creek
Plano
278
The Marquis at Waterview
Richardson
528
Total
UNITS
5,063
Dallas/Fort Worth
The Dallas/Fort Worth apartment market continues
to post very strong results. In fact, though a relatively
robust level of new apartment unit supply is entering
the market, the demand for apartment units is exceeding the number of new units. This has resulted
in a 12–year high occupancy rate. The Dallas/Fort
Worth market recorded a demand for 16,647 units
in 2013 (through year end) versus a new supply of
12,977 units. However, MPF Research, a leading
third party market research firm, is forecasting that
new supply will outstrip demand in 2014 with new
supply of 16,915 units versus a demand of 11,545
units. MPF Research estimates that this will result in
occupancy falling to 93.7% from the current 94.4%.
Though lower than the 2013 occupancy level, this is
still widely viewed as a healthy occupancy level for
the Dallas/Fort Worth apartment market.
Page 16
Employment growth has been very strong in the
metro. Through November 2013, the combined
metro area saw job growth in the amount of 83,700
jobs. It is also forecasted that Dallas/Fort Worth
should see job growth near 100,000 jobs each
year for the next two years. That job growth should
further bolster apartment unit demand. Hiring in
the metro areas has been most pronounced in the
well-paying fields of professional/business services,
trade/transportation/utilities, and financial activities.
Dallas and Fort Worth are each in the top 10 markets
nationally for absolute and proportional job change
since the recession. In fact, both metros (Dallas and
Fort Worth) are on average 7.2% above their prerecession job count as of November 2013.
18 CWS Capital Partners LLC
PROPERTY NAME
LOCATION
The Marquis at Deerfield
San Antonio
UNITS
The Marquis at Rogers Ranch
San Antonio
246
The Park at Walker’s Ranch
San Antonio
300
340
The Marquis at Stone Oak
San Antonio
332
Marquis La Cantera
San Antonio
208
Total
1,426
San Antonio
San Antonio is the seventh-largest city in the United
States. Famous for its Riverwalk, the Alamo, the
Tejano culture, and home to world-class theme parks,
the city of San Antonio is a haven for corporate and
residential relocations. Currently, USAA, H-E-B,
Rackspace, Valero Energy, Tesoro, and Clear Channel
Communications, among others, call this city home.
After a relatively slow 2013, San Antonio’s
apartment fundamentals should strengthen in 2014
as increased job creation and population growth drive
demand for housing. The San Antonio metropolitan
area experienced slower than expected growth
in 2013 largely in part to sequestration cuts that
furloughed workers. The area finished 2013 with a
1.1% job-growth rate that produced approximately
13,200 jobs. The lackluster job growth, coupled
with new supply of 3,862 units, led to the decline in
average apartment occupancy to 92.7% and effective
rent growth of just 2.1%.
With a more stable outlook for government
spending, 2014 is expected to be a much stronger
year. Job growth is forecasted to be 2.5% for the year
creating about 22,400 jobs. We are also expecting
new supply of 4,320 units in 2014. Witten Advisors
projects all of the new supply to be absorbed and
projects occupancy to increase to 93.5%. Witten
Advisors also expects effective rent growth to
accelerate in 2014 to a rate of 3.8%. The main
drivers in San Antonio continue to be health care,
tourism, and the Eagle Ford Shale drilling activity.
PROPERTY NAME
LOCATION
The Marquis at Pin Oak Park
Houston
UNITS
474
The Marquis at Westchase
Houston
216
The Marquis on Briar Forest
Houston
396
The Marquis on Memorial
Houston
104
The Marquis on Westheimer
Houston
288
Marquis Downtown Lofts
Houston
244
The Marq on Voss
Houston
307
Marquis Lofts at Hermann Park
Houston
380
Marquis Lofts on Sabine
Houston
198
Marquis at Katy
Katy
258
The Marquis at the Woodlands
Spring
280
The Marquis at Sugar Land
Sugar Land
312
CURRENT DEVELOPMENT
LOCATION
The Marquis at Clear Lake
Webster
364
Broadstone Greenhouse (2014)
Katy
370
Marquis on Park Row
Houston
400
Broadstone Fountain View (2015)
Houston
281
Total
4,221
Total
UNITS
651
Houston
Houston is one of the fastest growing metropolitan
areas in the United States and has a population
of roughly 2.2 million people. In 2013, Houston’s
economy had another strong year of employment
growth with 97,700 jobs added equating to a 3.6%
job growth figure. Job growth is expected to slow in
2014 with local economists projecting the city to add
roughly 70,000 jobs, which is still a healthy growth
rate. Houston’s relatively recession proof economic
drivers include: the energy industry, international
trade through the Port of Houston, and the Texas
Medical Center, the largest medical complex in
the nation. These industries have helped to shield
Page 20
Houston’s unemployment rate at levels that are
lower than the national average. For example, as of
November 2013, Houston’s unemployment rate
stood at 5.6% down from 6.3% one year earlier.
All the factors listed above have fueled
apartment rental demand not seen since 2005.
While new supply is accelerating, it is anticipated
that Houston’s continued job growth will ensure
the new units will be absorbed. Over the past
12 months, Houston added 8,485 units and
absorbed 14,162 units, which lowered average
vacancy from 7.2% to 6.0%. During this same
time frame effective rents increased 4.4%.
CWS Portfolio
STATE
CITY
PROPERTY NAME
YEAR
ACQUIRED
YEAR
BUILT
UNITS
POTENTIAL
BUILD-OUT
TOTAL
POTENTIAL
UNITS
California
Folsom
Fairmont at Willow Creek*
2001
2001
260
0
260
Colorado
Georgia
North
Carolina
Texas
Broomfield
The Marquis at Town Centre
2000
2000
283
0
283
Denver
Marquis at the Parkway
2005
1983
460
0
460
Atlanta
The Marquis at Briarcliff
2006
1995
104
0
104
Atlanta
The Marquis at Perimeter Center
2012
1980
204
0
204
Atlanta
Marquis of North Druid Hills
2013
1994
182
0
182
Atlanta
Marquis Midtown West
2013
1997
156
0
156
Atlanta
Marquis 2200
2013
2010
399
0
399
Duluth
Marquis on Berkeley
2013
2002
323
0
323
Duluth
Marquis at Sugarloaf
2013
1995
303
0
303
Cary
The Marquis at Preston
2000
1996
292
0
292
Cary
The Marquis at Silverton
2005
1996
216
0
216
Charlotte
The Marquis of Carmel Valley*
1998
1998
424
0
424
Charlotte
The Preserve at Ballantyne Commons 1999
1998
270
0
270
Charlotte
The Marquis at Carmel Commons*
2001
2001
312
0
312
Austin
The Marquis at Ladera Vista*
1996
1996
224
0
224
Austin
The Marquis at Caprock Canyon
2000
1994
336
0
336
134
Austin
Windsor at Barton Creek
2005
1978
134
0
Austin
Northwest Hills Apartments
2005
1978/79
314
0
314
Austin
SoCo on the Lake
2006
1973
100
0
100
Austin
The Marquis at Great Hills
2007
1995
406
0
406
240
Austin
The Marquis at Tree Tops
2007
1997
240
0
Austin
Austin Midtown Apartments
2011
1978
276
0
276
Austin
Marquis at Canyon Ridge
2011
2008
264
0
264
Austin
Marquis at Volente
2011
1999
208
0
208
Austin
Marquis Round Rock Apartments
2011
2008
224
0
224
Austin
The Marquis at Tech Ridge
2012
2007
294
0
294
Austin
The Marquis at Center Ridge
2012
2008
348
0
348
Austin
Marquis Shoreline
2012
2001
280
0
280
Austin
The Marquis at Barton Trails
2012
1998
150
0
150
Austin
Regents West at 26th Street*
2013
2013
139
0
139
Austin
Marquis at Brushy Creek
2013
2009
360
0
360
Austin
SoNA
2013
1985
164
0
164
Dallas
The Marquis at Turtle Creek
2002
1998
98
0
98
Dallas
The Marquis on Gaston
2005
1996
480
0
480
Dallas
The Marquis on Cedar Springs
2006
2002
165
0
165
Dallas
The Marquis at Texas Street
2007
2003
302
0
302
Dallas
The Marquis of State Thomas*
2010
2010
211
0
211
Dallas
Marquis West End
2012
2008
146
0
146
Dallas
L2 Uptown*
2013
2013
321
0
321
2008
2000
248
0
248
Flower Mound The Marquis at Lantana
CWS Portfolio (cont.)
YEAR
ACQUIRED
YEAR
BUILT
UNITS
POTENTIAL
BUILD-OUT
TOTAL
POTENTIAL
UNITS
Flower Mound The Park at Flower Mound
2011
1984/98
352
0
352
Fort Worth
The Marquis at Stonegate
2002
1996
308
0
308
Fort Worth
The Marquis at Willow Lake
2002
1996
138
0
138
Fort Worth
The Marquis at Bellaire Ranch
2003
1997
316
0
316
Fort Worth
Firestone West 7th
2012
1999
350
0
350
480
STATE
CITY
Texas
PROPERTY NAME
Grapevine
The Marquis at Silver Oaks
2005
2002
480
0
Houston
The Marquis at Pin Oak Park
2007
1992
474
0
474
Houston
The Marquis at Westchase
2007
1995
216
0
216
Houston
The Marquis on Westheimer
2007
1998/99
288
0
288
Houston
The Marquis on Memorial
2007
1992
104
0
104
Houston
The Marquis on Briar Forest
2007
2004
396
0
396
Houston
Marquis Downtown Lofts
2010
2002
244
0
244
Houston
The Marq on Voss
2012
2009
307
0
307
Houston
Marquis Lofts at Hermann Park
2012
2005
380
0
380
Houston
Marquis Lofts on Sabine
2013
2002
198
0
198
Houston
Marquis on Park Row
2013
1999
400
0
400
Katy
The Marquis at Katy
2012
2008
258
0
258
342
Plano
Brooks on Preston
1998
1998
342
0
Plano
The Park on Spring Creek
2006
1984
278
0
278
Richardson
The Marquis at Waterview
1999
1998
528
0
528
San Antonio
The Marquis at Deerfield*
1996
1996
340
0
340
San Antonio
The Marquis at Rogers Ranch*
2000
1999
246
0
246
San Antonio
The Park at Walker’s Ranch
2007
1995
300
0
300
San Antonio
The Marquis at Stone Oak
2012
2000
332
0
332
San Antonio
Marquis La Cantera
2012
2000
208
0
208
280
Spring
The Marquis at the Woodlands
2012
2007
280
0
Sugar Land
The Marquis at Sugar Land
2012
2009
312
0
312
Webster
The Marquis at Clear Lake
2012
2006
364
0
364
Apartment Totals
19,359
0
19,359
260
Current Developments
Texas
Austin
SoCo on the Lake Phase I Redevelopment
0
260
Austin
Regents West at 24th Street
0
93
93
Austin
Marquis at Barton Trails, Phase II
0
157
157
Austin
7 Rio
0
220
220
Katy
Broadstone Greenhouse
0
370
370
Houston
Broadstone Fountain View
0
281
281
0
1,381
1,381
Development Totals
Manufactured Housing Communities
Texas
Dallas
411
0
411
411
0
411
CWS Portfolio Totals 19,770
1,381
21,151
Harston Woods
MHC Totals
*CWS Developments
Page 24
PROPERTY NAME
LOCATION
The Marquis at Briarcliff
Atlanta
UNITS
104
Marquis at Perimeter Center
Atlanta
204
182
Marquis of North Druid Hills
Atlanta
Marquis Midtown West Apartments
Atlanta
156
Marquis at Sugarloaf
Duluth
303
Marquis on Berkeley
Duluth
323
Marquis 2200
Atlanta
399
Total
1,671
Atlanta
With a metro population estimated at 5.55 million
as of the end of 2013, the Atlanta MSA is the ninth
largest in the nation. Over the next five years,
the population is projected to total 6.1 million,
translating into average annual population growth of
approximately 110,000 per annum over this period.
Employment numbers continue to climb as Atlanta
has now posted employment gains for each of the last
three years, the last decline being posted in 2010.
Almost 59,000 jobs were added in the metro over
the twelve months ending November of 2013; this is
an increase of 2.5% which is well above the national
average of 1.6%. Industries with the greatest increase
in jobs include construction, trade, transportation,
utilities, professional and business services, education
and health services, and leisure and hospitality. The
outlook is for employment gains to accelerate in 2014,
potentially adding as many as 70,000 new jobs.
Construction activity is picking up from the minimal
levels of the past few years but remains much lower
than the levels posted between 2000 and 2009.
During that period, single-family and multi-family
permits averaged 54,000 units (22% multi-family) per
annum; the number of permits issued in 2013 totaled
only 23,300 units (39% multi-family), almost 57%
below the 10-year average. The limited amount of new
units being added to supply bodes well for both multifamily rent growth and occupancy. Over the past twelve
months, effective rental rates have climbed by 3.6%
while occupancy increased by 1.0%. Effective rents are
projected to increase by another 3.3% in 2014 while
occupancy is expected to tick down by a mere 0.2%.
PROPERTY NAME
LOCATION
The Marquis of Carmel Valley
Charlotte
The Marquis at Carmel Commons
Charlotte
312
The Preserve at Ballantyne Commons
Charlotte
270
Total
UNITS
424
1,006
Charlotte
The Charlotte MSA is a six-county area with a current
population of approximately 1.9 million. Over the
next five years, the population is expected to exceed
2.1 million, indicating annual growth upwards of
45,000 per annum.
Local employment grew by 23,000 jobs or 2.6%
during 2013, well ahead of the national average of
1.6%. The relatively strong pace of employment
growth is expected to continue through 2016 with
the addition of an estimated 25,000 to 29,000 new
jobs annually.
Multi-family permits moderated in 2013, dropping
to almost 4,800 units from the recent peak of 5,300
units in 2012. The number of units permitted in
2013 was about 20% above average since 2000.
This pace of development could pose a challenge
to the health of the apartment market. However,
occupancy is currently 95.4% and the timeframe
Page 26
over which these units will be delivered is long
enough that the adverse impact on occupancy rates
is expected to be modest. Occupancy is expected
to remain over 94% through 2016 despite these
additions. Absorption of these new units is generally
expected to keep pace with deliveries.
Demand for apartments in the Charlotte MSA
should remain strong due to the area’s favorable
rental demographic and homeownership not being as
competitive as in many other metros. Effective rents
climbed 3.8% in 2013, but some moderation in this
growth rate is expected in 2014 and beyond. The growth
expected for 2014 is pegged at 2.6%, followed by 2.4%
in 2015. For the 2016 –18 period, projected rental rate
growth is projected to be in the range of 1.0 –1.3%.
This strikes us as very conservative growth given that
occupancy is expected to be above 93% over this period
and employment is expected to continue to grow.
Page 28
PROPERTY NAME
LOCATION
The Marquis at Preston
Cary
The Marquis at Silverton
Cary
Total
UNITS
292
216
508
Raleigh
The Raleigh-Durham Cary CSA (or Raleigh/Durham)
currently has a population of nearly 1.77 million
people, with an expansion of 37,000 in 2013. Over
the next five years, Raleigh/Durham’s population is
expected to increase to approximately 1.96 million,
equating to an average increase of nearly 40,000
per annum.
Raleigh/Durham has a diverse employment base
consisting primarily of technology, government,
biotechnology, and education. This diversity has
enabled the local economy to fare better than most
through the recent economic challenges. In 2013,
approximately 19,700 jobs were added in Raleigh/
Durham, equating to a 2.4% gain and exceeding the
national average of 1.6%. This pace is expected to
accelerate substantially in 2014 with a projected
26,000 new jobs being added.
Multi-family development activity remains at above
average levels with over 6,300 units permitted in 2013.
However, this is a reduction from 2012 activity levels
when permits peaked at almost 8,100 units. Despite
this level of activity, the occupancy rate ended 2013
at 95.8%, an improvement of 0.2% during the year.
Furthermore, effective rental rates climbed by 2.9%
during this same period. With job growth expected
to accelerate in 2014, the outlook remains favorable
moving forward. Despite the significant additions to
inventory, occupancy is expected to be at 95% or higher
through 2016. Rental growth is also expected to be in
the low–3% range over the same period.
PROPERTY NAME
LOCATION
The Marquis at Town Centre
Broomfield
283
Marquis at the Parkway
Denver
460
Total
UNITS
743
Denver
Metro Denver, with a population of over 2.7 million
people, has achieved a growth rate that is consistently
above that of the nation. Over the next five years,
Metro Denver’s population is anticipated to increase
to more than 2.9 million, equating to average
annual increases of slightly more than 40,000.
Metro Denver has an enviable quality of life that
makes it one of the best places in the United States
to live and work. Denver continues to offer a lifestyle
that attracts young, educated workers and is also
home to nine Fortune 500 companies such as Dish
Network and Liberty Media. In 2013, employment
in Denver grew with the addition of 30,700 jobs,
equating to a 2.4% increase, well above the national
average of 1.6%. This pace is expected to accelerate
strongly in 2014 as 40,000 new jobs are projected.
In this economic environment, demand for rental
housing continues to expand as vacancy dropped from
4.0% at the end of 2012 to 3.6% as 2013 ended.
Page 30
Over the same period, effective rents climbed by
4.7%. With a large percentage of younger workers
(below age 30), recent declines in the homeownership
percentage, and construction of new housing units
at multi-decade lows, market conditions continue to
improve. Apartment completions in 2013 climbed to
3,776 units, but this is only 2.2% of total inventory.
Apartment construction activity will be increasing
from the current level, as almost 13,700 units are
expected to be delivered between now and the end of
2015. However, absorption is expected to keep pace
with these deliveries as vacancy should increase to
only 4.1% at the end of 2015. This is a below average
vacancy rate and one indicative of very strong market
conditions. Rental rate growth in the Denver apartment
market is expected to climb to 4.8% in 2014 and then
begin to moderate. But even while slowing down over
the next five years, rental rate growth is projected to
be above 2% per annum throughout the period.
B.R.I.D.G.E.
B.R.I.D.G.E. is a corporate volunteer
program designed to encourage employees to give back to their community
through volunteer work. B.R.I.D.G.E.
contributes $20 for each hour of community service an employee completes
up to a maximum of 12 hours ($240).
An employee may volunteer time at any
type of institution, agency, or community
service program, except activities that
directly relate to a political party or office. An employee can decide where half
of the annual contribution goes at any
time during the year. The remaining half
of an employee’s contribution is put into
a company-wide pool and distributed
based on employee nominations taken
at the end of the year. Since its inception
in 1996, B.R.I.D.G.E. has become an
integral part of CWS culture and a means
to demonstrate our company values on
a daily basis. From 2001 to 2013, over
$603,000 was donated to hundreds of
organizations and donation recipients.
2013 B.R.I.D.G.E. Service Organizations & Donation Recipients
A Precious Child
Abigail Herrera Medical Fund
AIDS Foundation of Houston
Alzheimer’s Association
Amber’s Angels
American Heart Association
Angel Fund
Angel House
Arkansas Prostate Cancer Foundation
Austin New Church
Austin Performance Volleyball
Autism Speaks
Bert’s Big Adventure
Big Brothers Big Sisters
of Orange County
Black Alliance for Educational Options
Block House Elementary School PTA
Burke Center for Youth
Casa Marianella
CCPALS San Antonio
Celebration of Love/Solidiers of America
Cystic Fibrosis Foundation
Chabad Center, Jewish Living
Child Advocacy Center
Children’s Courtyard
Christ the Incarnate Word
Citizens for Animal Protection
Community Partners of Dallas
Cook Children’s Health Foundation
Craig Hospital Foundation
Cub Scouts, Pack 820
Cypress Assistance Ministries
Cystic Fibrosis Foundation
Dallas CASA
Dress for Success
Florence Head Start
Gateway Church
Girl Scouts Troop 1450
Habitat for Humanity, Williamson County
Harvest House Transitional Center,
Esther’s House
Heart Support
Highland Lakes SPCA
His Grace Foundation
Holy Angels
Holy Cross Catholic Church
Humane Society of Charlotte
Journey Church
Junior Diabetes Research Foundation
Leukemia and Lymphoma Society
Lighthouse Family Network
Liverpool Community Sports
LSU Foundation,
Erin Krielow Lahr Memorial Scholarship
March of Dimes
Metro Crest Social Services
Northwest Fellowship
OneSight
Pats Place Child Advocacy Center
PAWS – Paw Prints Animal Rescue
Philippine Caring for the Community Inc.
Red Cross of Austin
Resource Center Dallas
Rock the Block
SA Heroes
Sacha Patin,
Cancer Support/Medical Exp.
Salvation Army Austin
Salvation Army Kroc Community Center
Santa’s Workshop
Second Mile Mission Center
South Texas PGA
Springer Elementary Library
St. Jude Children’s Research Hospital
Star of Hope
Starfish Charities
Stephanie’s Second Year Treatment
Susan G. Komen
Texas PTA
The Christi Center
The Journey
The Ultimate Healing Kit
The Water Project, Kenya
Veterans, Inc.
Village Bicycle Project
Villalobos Rescue Center
We Build People
Wheelers for the Wounded, SA Chapter
World Vision,
Philippines Disaster Response Fund
Wounded Warriors Project
Yugo Ministries
Corporate Officers
Founders
Capital Partners
Investments
Steve Sherwood
Founding Partner, CEO,
& Chairman of the Board
Since 1977
Gary Carmell
Partner -- President
Since 1987
Mike Engels
Partner -- Chief Investment Officer
Since 1998
Brian Rose
Chief Financial Officer
Since 1997
Daniel Ebner
Senior Vice President,
Investments
Since 2004
Bill Williams
Founding Partner
& Advisory Board Member
Since 1969
Jim Clayton
Founder
Since 1969
Corporate Housing
Sue Mills
Vice President,
Human Resources, Training & Risk
Since 1991
Mary Ellen Barlow
Director, Transaction Services
Since 1995
Tracy Hayes
President, Corporate Housing
Since 1994
Trevor Dallas
Managing Director,
CWS Strategic Apartment Fund
Since 2005
Manufactured Housing
Marcus Lam
Director of Investments
Since 2005
Joe Sherwood
Senior Vice President,
Manufactured Housing
Since 1986
Page 34
Albert Stein
Performance Analyst
Since 2009
Mike Brittingham
Investments
Austin & San Antonio, TX
Since 2006
Gregg Kantak
Investments,
Charlotte/Raleigh, NC
& Atlanta, GA
Since 2007
Justin Leahy
Investments,
Houston, TX & Atlanta, GA
Since 2011
Capital Partners
Operations (cont.)
Operations (cont.)
Lauretta Anderson
Vice President, Investor Relations
Since 1986
Carey McDonald
Director of
Revenue Management
Since 2012
Amber Cox
Regional Director
Fort Worth, TX
Since 1998
Janis T. Cowey
Director of Operational
Excellence
Since 1997
Rich Fagan
Director of Due Diligence
& Integration
Since 2001
Christine Donegan
Operations/Development
Director
Since 2013
Paige Gutierrez
Regional Director
Austin, TX
Since 1998
Development
Brett McDaniel
Regional Director
Dallas & San Antonio, TX
Since 2001
Sunnie Juarez-Mills
Investor Services Relationship
Manager
Since 1997
Susan Rayshell
Director, Investor Relations
Information Systems
Since 2008
Mark Ruggles
Compliance Officer
Since 2009
Operations
Marcellus Mosley
Vice President,
Director of Operations
Since 2002
Shellie Albosta
Vice President, Marketing
Since 2001
Julie Halsey
Marketing Director
Since 2013
Sarah Colandra
Due Diligence &
Integrations Manager
Since 2007
Greg Miller
Vice President, Development
Since 1994
Brad Brakhage
Vice President,
Construction
Since 2000
Jeff Lahr
Development Manager
Since 2012
Operations
Gina Roberts
Assistant Director of Operations
& Regional Director,
Charlotte/Raleigh, NC
& Atlanta, GA
Since 1997
Debra Buck
Regional Director
Houston, TX
Since 2007
Page 35
Joe Krumrey
Regional Director
Dallas, TX
Since 2004
Lindsay Nylander
Regional Director
Denver, CO & Austin, TX
Since 2009
Monica Escobedo
Regional Director
Houston, TX
Since 2006
Leslie White
Assistant Regional Director
San Antonio, TX
Since 2001
Tracey Glover
Regional Director
North Carolina
Since 2013
Recognition
Investor Information
Additional Information
Top Workplace of Greater Austin
The Austin American-Statesman
hosts an annual survey program
wherein local area associates rank
companies in a number of workplace categories and provide their
feedback. CWS has made the Top
Places to Work list in 2011, 2012
and 2013. More information can be
found on the Statesman website at
www.statesman.com.
Limited partners, financial advisors,
investment advisors, or CPAs seeking
additional information about CWS
Investments or 1031 Exchange candidate investments should contact:
Marcus Lam
Director of Investments
(800) 466 – 0020
[email protected]
For additional information on
CWS and its affiliated companies,
please see the following websites:
cwscapital.com, cwsapartments.com,
cwshousing.com, or cwsbridge.com.
Page 36
Supplemental Information
An electronic file of the Supplemental Report is available behind
our Investor Portal for all existing investors and potential investors
that have registered with our office. To view detailed earnings
overviews for each of our properties and submarket discussions
for each of our regions, please visit www.cwscapital.com and log
in to your account by clicking on the “My Account” link. If you
have trouble accessing your account, please call Investor Relations at (800) 466 – 0020.
CWS Capital Partners LLC
14 Corporate Plaza, Suite 210
Newport Beach, CA 92660
Telephone 949.640.4200
cwscapital.com