Note 14 – Subsequent Events

Alexan Blaire House Construction Financing

On April 7, 2015, the Company, through an indirect subsidiary, entered into a $31.8 million construction loan with Bank of America, NA which is secured by the leasehold interest in the Alexan Blaire House property. The loan matures on April 7, 2019, and contains a one-year extension option, subject to certain conditions including a debt service coverage, loan to value ratio and payment of an extension fee. The loan bears interest on a floating basis on the amount drawn based on the base rate plus 1.25% or LIBOR plus 2.25%. Regular monthly payments are interest-only during the initial term, with payments during the extension period based on a thirty year amortization. The loan can be prepaid without penalty.

Declaration of Dividends

On April 10, 2015, the Board declared monthly dividends for the second quarter of 2015 equal to a quarterly rate of $0.29 per share on the Company’s Class A common stock and $0.29 per share on the Company’s Class B common stock, payable monthly to the stockholders of record as of April 25, 2015, May 25, 2015 and June 25, 2015, which will be paid in cash on May 5, 2015, June 5, 2015 and July 5, 2015, respectively. Holders of OP and LTIP Units are entitled to receive "distribution equivalents" at the same time as dividends are paid to holders of the Company's Class A common stock.

The declared dividends equal a monthly dividend on the Class A common stock and the Class B common stock as follows: $0.096666 per share for the dividend paid to stockholders of record as of April 25, 2015, $0.096667 per share for the dividend paid to stockholders of record as of May 25, 2015, and $0.096667 per share for the dividend paid to stockholders of record as of June 25, 2015. A portion of each dividend may constitute a return of capital for tax purposes. There is no assurance that the Company will continue to declare dividends or at this rate.

Distributions Paid

The following distributions were paid to the Company's holders of Class A, Class B-2 and B-3 common stock as well as holders of OP and LTIP Units subsequent to March 31, 2015 (amounts in thousands):

Shares	Declaration Date	Record Date	Date Paid	Distributions per Share		Total Distribution
Class A Common Stock	Jan. 9, 2015	March 25, 2015	April 5, 2015	$	0.096667	$	1,208
Class B-2 Common Stock	Jan. 9, 2015	March 25, 2015	April 5, 2015	$	0.096667	$	34
Class B-3 Common Stock	Jan. 9, 2015	March 25, 2015	April 5, 2015	$	0.096667	$	34
OP Units	Jan. 9, 2015	March 25, 2015	April 5, 2015	$	0.096667	$	27
LTIP Units	Jan. 9, 2015	March 25, 2015	April 5, 2015	$	0.096667	$	33

Class A Common Stock	April 10, 2015	April 25, 2015	May 5, 2015	$	0.096666	$	1,208
Class B-2 Common Stock	April 10, 2015	April 25, 2015	May 5, 2015	$	0.096666	$	34
Class B-3 Common Stock	April 10, 2015	April 25, 2015	May 5, 2015	$	0.096666	$	34
OP Units	April 10, 2015	April 25, 2015	May 5, 2015	$	0.096666	$	27
LTIP Units	April 10, 2015	April 25, 2015	May 5, 2015	$	0.096666	$	33
Total						$	2,672

Entrance into Purchase Agreement for Ashton Reserve

On May 12, 2015, the Company, through a subsidiary of its Operating Partnership, entered into an Assignment Agreement with Bluerock, pursuant to which the Company was assigned a purchase agreement to acquire a 322-unit apartment community located in Charlotte, North Carolina known as Ashton Reserve at Northlake (“Ashton Phase I”). The purchase price of $44.8 million will be funded, in part, by the assumption of the existing loan secured by the property which has an expected principal amount as of the anticipated closing date of approximately $31.9 million. The Company expects to invest approximately $13.7 million of equity in Ashton Phase I.

The purchase agreement further provides that on the closing date for Ashton Phase I, the seller’s parent will assign a purchase agreement to acquire approximately 9.1 acres of land that are contiguous with Ashton Phase I, together with a 151-unit apartment community currently under construction thereon (“Ashton Phase II”) to the Company. The purchase price for Ashton Phase II will be a maximum of $21.8 million.