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Proactive Sustainable BondsTM

Proactive Sustainable BondsTM are a real estate-backed, fixed-income-based, impact investments.

Our fund is designed to generate current income while supporting affordable and workforce housing preservation.

$26MAssets under management
647Units across the portfolio
9%–15%Annual interest
Impact Verified By Morningstar Sustainalytics UN PRI Impact Evaluation Lab BlueMark
Rule 506(c) — Institutional Investors Only
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Impact-First. Fixed-Income.
Third-Party Verified. Real Estate-Backed.
www.sustainablebonds.com invest@sustainablebonds.com  |  +1 (206) 686-9293
Managed by The Proactive Realty Group, LLC
Rule 506(c) — Institutional Investors Only
Legal

Important Disclosures

This presentation is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security; any such offer may be made only by means of the Fund's confidential Private Placement Memorandum, Operating Agreement, and subscription documents.

The interests described are offered in reliance on Rule 506(c) of Regulation D under the Securities Act of 1933 and are available only to "accredited investors" as defined in Rule 501(a); the issuer will take reasonable steps to verify accredited investor status before accepting any subscription.

The securities are unregistered, speculative, illiquid, and involve a high degree of risk; investors should be able to bear the economic risk of an indefinite investment and a possible complete loss of capital.

Investors are purchasing interests in a private fund, not direct interests in any specific real estate asset, and any collateral or security interests in underlying assets may not be sufficient to avoid losses.

Past performance is not indicative, predictive, or a guarantee of future results. Any targets, projections, or forward-looking statements are illustrative only, based on assumptions that may not prove accurate; actual results may differ materially.

Any performance, return, or valuation information presented may include estimated, unaudited, modeled, or hypothetical results and/or third-party data, each subject to inherent limitations and revision.

This material is intended solely for use by registered investment advisers and other institutional or professional intermediaries and is not intended for distribution to retail investors except as permitted by applicable law.

The interests described are not bank deposits or obligations of, or guaranteed by, any bank, and are not insured by the FDIC, the SIPC, or any other governmental or private insurance program.

See PPM for full legal disclosures.

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The Proactive Realty Income Fund II, LLC

Above Market-Rate Returns.
Impact-First. Third-Party Verified.

An impact-first, fixed-income platform designed to deliver stable above-market-rate returns while advancing meaningful social and environmental outcomes through disciplined real-asset investing.

Capital Positioning
  • Backed by real assets — Naturally Occurring Affordable Housing (NOAH) properties
  • Priority repayment ahead of Sponsor equity
Underwriting Metrics

Current LTV: <65%

Current Debt Service Coverage Ratio (DSCR): 1.45x – 1.65x

Stabilized / Pro Forma: ~3.25x+

Vetted by Multiple Impact Partners
Morningstar Sustainalytics UN PRI Impact Evaluation Lab BlueMark
Access Impact Reports, IMM Framework & Scoring
Due Diligence report available upon request (centarusps.net).
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Market Thesis

A Structural Imbalance in
Low-Income Workforce U.S. Housing

Capitalizing on housing dislocation across Naturally Occurring Affordable Housing (NOAH), such as manufactured, multifamily, and SRO / workforce units

4 to 6 Million
National Housing Unit Shortage

The Dislocation

Costs of housing and household formation are rising faster than wages.

The Solution

Manufactured housing and distressed multifamily properties carry a far lower land and materials cost basis to support housing.

The Advantage

Provide naturally occurring affordable housing at 20%–30% below market rents while offering attractive, predictable cash-flow returns for investors.

Affordable housing community
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Our Strategy

The Proactive Flywheel

A self-reinforcing cycle — every turn compounds financial returns and social impact.

STAGE 01
Deploy
Acquire and renovate under-stabilized affordable housing with investor capital.
STAGE 02
Improve
Lease-up campaigns and operational upgrades push occupancy and NOI higher.
STAGE 04
Refinance
Refinancing returns capital to investors and recycles equity into the next deal.
STAGE 03
Cash Flow
Stabilized communities pay steady, recurring quarterly distributions.
Per Turn Each cycle typically returns over 4× MOIC and recycles equity in 24–36 months.
(<65% LTV)
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Capital Deployment

Typical Use of Proceeds

SOURCE $5.0M Investor Capital Raise SECURED VIA FDIC-Insured Account Held until deployment DEBT RETIREMENT OPERATIONAL IMPROVEMENTS Deployed across the portfolio Senior Lender paydown Renovations Unit Activation / Turns Infrastructure & Utilities Amenities & Curb Appeal Reserves & Contingency Code Compliance Investor Distributions Quarterly income + return of principal
Debt Retirement — senior lender paydown Operational Improvements — portfolio deployment
  • Senior debt paydown reduces leverage, lowers portfolio LTV and increases DSCR.
  • Less senior debt ahead of investor capital strengthens collateral coverage.
  • Increased property values, higher DSCR, and lowers portfolio LTV.
  • These improvements are designed to increase occupancy, NOI, and stabilized property values.
  • Higher property values, combined with lower debt, can meaningfully reduce portfolio LTV.
  • Reduced debt pressure and higher NOI support stronger DSCR and distribution coverage.
  • Allocation is illustrative and subject to final underwriting and PPM terms.
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Debt-based Return
Investor Testimony

Why Choose Proactive
Sustainable BondsTM?

Investor testimonial video
$1.3M
Debt Invested
30%+
Returned

"It has been remarkable to witness what Dr. Williams has done in… helping communities and providing above-average returns for investors…

I got my own family and network of friends involved in investing with Dr. Williams to help drive that model."

Russell Sage
Strike Eagle Consulting, LLC — Current Institutional Investor (2025), invested October 2022 to June 2025
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In Their Words

Meet Our Residents

Our residents are the heart of Proactive Sustainable BondsTM.

Note: Testimonials are not representative of all investor experiences and are not guarantees of future performance.
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Performance

Demonstrated Track Record & Resilience

Consistent performance through unprecedented market volatility.

$26M
Affordable Housing Assets
Transacted in affordable housing assets.
14
Community Projects
Completed community transformation projects.
$7.5M
Returned to Debt Investors
$7.5M returned to debt investors to date.
<65%
Portfolio LTV
Conservative leverage across the portfolio.

The COVID-19 Stress Test

During the 2020–2021 pandemic, our manufactured housing portfolio demonstrated remarkable recession resistance.

100%
Rent Collection
100%
Uninterrupted Distributions
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Risk Architecture

What This Mitigates

A 9%–15% offering deserves a complete risk mitigation story.

Asset-level risk mitigation
What if a property underperforms?
  • Cross-collateralization across 22 affordable-housing communities — no single asset can sink the bond.
  • Current LTV: <65% portfolio-wide.
  • Current DSCR of 1.45×–1.65×, with stabilized pro-forma ~3.25×+ — meaningful debt-service cushion.
  • Priority repayment ahead of Sponsor equity — you get paid first.
Market risk mitigation
What if the market turns?
  • 100% rent collection and uninterrupted distributions through the 2020–2021 COVID stress test.
  • NOAH demand resilience — the affordability gap widens in downturns, not narrows.
  • Sub-market rents with structural upside to market parity — rent floor, not rent ceiling.
Liquidity risk mitigation
What if I need liquidity?
  • Quarterly distributions paid at the start of each quarter — cash flow from day one.
  • 2-year minimum hold with a clearly defined return-of-capital date.
  • Secondary considerations reviewed case-by-case for qualifying investors.
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For Institutional Investors

Tiered, Impact-first, Fixed Income

2, 3, or 4 Year Sustainable Investment Bond Tiers.

Tier One
$20K–$99K
Minimum investment
2 yearsHold duration
9%Interest / year
Distribution Schedule · paid quarterly
Year 16%3% deferred
Year 26%3% deferred
End of Month 2426%+ full capital returned
Tier Two
$100K–$999K
Minimum investment
2 yearsHold duration
15%Interest / year
Distribution Schedule · paid quarterly
Year 17%5% deferred
Year 27%5% deferred
End of Month 24210%+ full capital returned
Tier Three
$250K–$999K
Minimum investment
2 yearsHold duration
15%Interest / year
Distribution Schedule · paid quarterly
Year 15%10% deferred
Year 25%10% deferred
End of Month 24220%+ full capital returned
Tier Four
$1M–$1.9M
Minimum investment
2–4 yrsHold duration1
15%Interest / year
Distribution Schedule · paid quarterly
Year 110%5% deferred
Year 210%5% deferred
End of Month 24210%+ full capital returned
Tier Five
$2M+
Minimum investment
3 yearsHold duration
15%Interest / year
Distribution Schedule · paid quarterly
Year 16%9% deferred
Year 28%7% deferred
Year 38%7% deferred
End of Month 36223%+ full capital returned

Note: Projected returns are net of fees and cumulative, not compounded. Distributions are paid quarterly, at the beginning of the quarter. All income is reported on a 1099.

1 Tier 4 carries a minimum 2-year hold.  2 Interest received with full return of initial capital investment.

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Returns Comparison

Why this vs. your current options

Annual return potential vs. traditional fixed-income alternatives.

Mutual Funds long-term avg
10%
Fixed Annuity
5%
Treasury Bonds 10-year
5%
2-Year CD
4%
The Proactive Sustainable Bonds™ target reflects actual annual returns ranging from 9% to 15% depending on tier size. Comparison values for other instruments are illustrative, drawn from publicly available indices. All investment involves risk of loss.
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Debt-based Return
Case Study

Hammonds MHC (Orangeburg, SC)

Hammonds MHC
Manufactured Housing Community
1

Acquisition · Nov 2018

$1.27 Million

A failing manufactured home park.

2

Value Creation

Dedicated infrastructure, renovations, and new homes — rehabilitation expense of +$685,000.

3

Exit · Aug 2022

$5.2 Million

Sold to a 100% affordable housing group (NYSE: UMH).

49.3% The result — delivered a 49.3% annualized debt-based return.
Past performance is not a guarantee of future results.
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Debt-based Return
Case Study

Rancho Affordable Living (Las Vegas, NV)

Rancho Affordable Living
Manufactured Housing / Multifamily Affordable Housing
1

Acquisition · Dec 2022

$800,000

An underperforming asset with below-market rents.

2

Value Creation

Rent growth, operational stabilization, and targeted capital improvements — rehabilitation expense of +$676,000.

3

Exit · June 2025

$2.5 Million

Strategic sale to a 100% affordable housing provider.

33.1% The result — delivered a 33.1% annualized debt-based return.
Past performance is not a guarantee of future results.
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Scale

Nationwide Portfolio Snapshot

22
Total Properties
647
Total Units
$26M
Total Assets Under Management
→  Click any pin on the map to see property details
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Investment Strategy

Strategic Allocation Framework

Manufactured housing community
01

Manufactured Housing Communities (MHCs)

Off-market parks acquired below replacement cost, then stabilized through infrastructure and new home placement.

Distressed multifamily housing
02

Distressed Multifamily Affordable Housing

Underperforming affordable assets repositioned through rent growth and disciplined operational stabilization.

SRO and workforce-housing residence interior
03

Single Room Occupancy (SRO) & Workforce Housing (Motels)

Transitional and workforce housing serving the most underserved segments of the rental market.

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Leadership & Governance

Experienced Stewards of Capital

Dr. Canaan Van Williams
Dr. Canaan Van Williams
Founder & Managing Partner
25+ years in real estate investment. An industry leader in sourcing, revitalizing, and managing Class B and C value-add properties. Author of "Driving Social Impact Investment."
Let's Connect
Greg C. Simonian
Greg C. Simonian
Senior Vice President
20+ years as an alternative investment distribution executive, raising over $4.5 billion across hedge funds, private equity, managed futures, and real estate strategies.
Bob Totaro
Bob Totaro
Vice President of Sales
40+ years of successful investment experience across multiple financial products, with an extensive network of Broker-Dealers, RIAs, and Family Offices.
Tony Lawrence
Tony Lawrence
Director of Operations
Operations-focused leader managing investor relations, portfolio operations, and scalable systems that align financial returns with measurable outcomes.
Jesse Hollander
Jesse Hollander
Director
20+ years in financial services across private equity, venture capital, and mission-driven philanthropy, specializing in values-aligned fund structuring.
Alicia Galloway
Alicia Galloway
Investor Relations Manager
15+ years working with high-net-worth investors, supporting the raise of tens of millions of dollars across multifamily real estate acquisitions.
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Frequently Asked

Honest answers to common questions

Minimum, term & liquidity?
$250K minimum across 2–4 year terms. Bonds are illiquid by design; interest is paid quarterly and principal is returned at maturity.
What if a property underperforms?
Returns are cross-collateralized across 22 NOAH properties with priority repayment ahead of sponsor equity. Current LTV: <65%. Current DSCR: 1.45×–1.65×, stabilized 3.25×+.
How does this perform in a recession?
Through 2020–2021 our manufactured-housing portfolio delivered 100% rent collection and 100% uninterrupted distributions — affordable housing is structurally recession-resilient.
Do I receive Schedule K-1 or Form 1099?
All distributions are reported annually on Form 1099. Consult your tax advisor for treatment specific to your situation.
What's the sponsor's track record?
25+ years across 14 community transformations with debt-based returns of 33% and 49% annualized. Third-party verified by Morningstar Sustainalytics, UN PRI, BlueMark, and Impact Evaluation Lab.
Can I redeem early?
Bonds are illiquid by design (2–4 year terms). Early redemption is at the issuer's discretion under the PPM. Please review the PPM for full terms.
Full investor FAQ →
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Get Started

Your next 3 steps

A simple, transparent path from interest to investment.

1

Schedule a 30-min call

Intro with our team. We'll walk through your goals, the offering structure, and answer any questions.

Book a time →
2

Review the PPM & data room

Diligence on your timeline. PPM, audited financials, current portfolio detail, and verified impact reports.

Access data room →
3

Wire funds & receive your bonds

Sign the subscription documents, wire your allocation, and begin receiving steady quarterly distributions in the following quarter.

Reserve My Allocation

Rule 506(c) · Institutional & accredited investors only

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The Opportunity

More Than Returns

Proactive Sustainable BondsTM offer more than returns — they represent a commitment to creating a better world while improving your financial future.

KEY HIGHLIGHTS
  • $175M targeted raise for real estate asset-backed NOAH properties
  • 30%, 45%, or 60% total returns with <65% leverage
  • Third-party verified impact; recession-resilient cash flows
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Thank You
www.sustainablebonds.com
invest@sustainablebonds.com  ·  +1 (206) 686-9293
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