Formed in August 2001, S-J Management LLC ("S-J") is the successor company to Jones & Murphy Incorporated ("JM"), a real estate investment, property management and brokerage company founded in 1972 by Winson Jones. 

S-J is a privately held real estate investment company based in Seattle, Washington with offices also in Phoenix, Arizona and Las Vergas, Nevada.  S-J is engaged in the business of acquiring, managing and selling larger multifamily properties.  S-J conducts its business by forming and serving as one of the managing members for each of the separate limited liability companies that directly own the real estate acquired with funds of third party investors. Through formation of these various companies (comprised of accredited investors, certain profit sharing trusts, pension funds, and individual retirement accounts), S-J coordinates acquisitions and dispositions of large, upscale apartment projects ranging in size from 100-750 units located throughout Washington and Arizona.  S-J also engages in property management and real estate brokerage services for the properties acquired and sold.

S-J Management LLC completed approximately one billion dollars worth of transactions during the past three years.  Among the highlights:

• February 2004 - Acquired the 180 unit Mandarina Apartments in Phoenix, AZ for $15,475,000.
• April 2004 - Acquired the 185 unit Belaflora Apartments in Phoenix, AZ for $16,100,000.
• July 2004 - Sold the 103 unit East Empire Gardens Apartments in Federal Way, WA for $6,430,235.
• August 2004 - Acquired the 22,749 square foot Biltmore Lakes Office Building located in the Camelback Corridor of Phoenix, AZ for $4,200,000.
• August 2004 - Sold the 108 unit Park 128 Apartments in Everett, WA for $6,850,000.
• November 2004 - Acquired the 257 unit Monterra Apartments in Phoenix, AZ for $18,160,000.
• February 2005 - Sold the 108 unit Meadowdale Apartments in Lynnwood, WA for $6,920,000.
• February 2005 - Sold the 156 unit Brierwood Manor Apartments in Everett, WA for $7,650,000.
• March 2005 - Sold the 190 unit Westhaven Apartments in Seattle, WA for $13,595,000.
• April 2005 - Sold the 464 unit Glen Park at West Campus Apartments in Federal Way, WA for $36,500,000.
• April 2005 - Sold  the 157 unit Amberview Apartments in Auburn, WA for $11,250,000.
• May 2005 - Sold the 98 unit Creekwood Apartments in Des Moines, WA for $5,925,000.
• May 2005 - Sold the 170 unit Ventura Vista Apartments in Phoenix, AZ for $16,700,000.
• July 2005 - Sold the 352 unit Covington Farms Apartments in Everett, WA for $25,650,000.
• August 2005 - Sold the 22,749 square foot Biltmore Lakes Office Building located in the Camelback Corridor of Phoenix, AZ for $4,950,000.
• September 2005 - Acquired the 480 unit MonteViejo Apartments in Phoenix, AZ for $50,500,000.
• October 2005 - Sold the 126 unit North Meadows Apartments in Everett, WA for $7,200,000.
• December 2005 - Acquired the 435 unit MonteVerde Apartments in Phoenix, AZ for $47,000,000.
• December 2005 - Acquired the 504 unit Villas at Camelback Crossing Apartments in Glendale, WA for $45,500,000.
• February 2006 - Sold the 185 unit Belaflora Apartments in Phoenix, AZ for $21,275,000.
• April 2006 - Sold the 180 unit Mandarina Apartments in Phoenix, AZ for $20,500,000.
• April 2006 - Sold the 225 unit Pointe at Redondo Apartments in Federal Way, WA for $21,250,000.
• April 2006 - Sold the 258 unit Monterra Apartments in Phoenix, AZ for $22,075,000.
• May 2006 - Acquired the 272 unit San Ventura Apartments in Chandler, AZ for $33,000,000.
• May 2006 - Acquired the 629 unit The Canyons Apartments in Phoenix, AZ for $81,000,000.
• August 2006 - Acquired the 258 unit Desert Mirage Apartments in Gilbert, AZ for $34,382,245.
• August 2006 - Acquired the 134 unit Montana Apartments in Phoenix, AZ for $15,710,000.
• September 2006 - Acquired the 200 unit Springs at Alta Mesa Apartments in Mesa, AZ for $26,300,000.
• September 2006 - Acquired the 196 unit Springs at Continental Ranch Apartments in Tucson, AZ for $21,864,000.
• November 2006 - Acquired the 272 unit Augusta Apartments in Las Vegas, NV for $38,956,375.
• December 2006 - Sold the 504 unit Villas at Camelback Crossing Apartments in Glendale, AZ for $62,750,000.
• February 2007 - Sold the 480 unit MonteViejo Apartments in Phoenix, AZ for $59,500,000.
• March 2007 - Acquired the 340 unit Sienna at Riverview Apartments in Mesa, AZ for $46,850,000.
• April 2007 - Acquired the 240 unit La Reserve Villas Condominium / Apartments in Tucson, AZ for $28,650,000.
• May 2007 - Sold the 272 unit San Ventura Apartments in Chandler, AZ for $41,000,000.
• June 2007 - Acquired the 238 unit Bear Canyon Apartments in Tucson, AZ for $30,000,000.
• July 2007 - Acquired the 304 unit Retreat at Speedway Apartments in Tucson, AZ for $34,650,000.

       (Note:  All multifamily assets considered "Class A" apartment properties)

The objectives of each investment program are to:

1. Realize cash flow from rental operations that will permit quarterly cash distributions to Investor Members; and
2. Invest in multifamily rental properties that will provide year-to-year incremental gain in value to permit profitable resale within a four-year to six-year cycle.

Michael J. Sauter, S-J's chief executive officer, remains as vice president of JM and was instrumental in its rapid growth.

During Mr. Sauter's association with Jones & Murphy and S‑J Management (1992 through the present), 45 programs have been formed to acquire 43 apartment projects and one office property.  34 programs have closed (the properties have been sold and entities subsequently dissolved), and 11 are ongoing.  Of the 34 programs closed, the average return on investment has been 47% per year.  Of the 7 programs closed in Arizona, the average return on investment has been 68%, or 57% per year.  Properties have been acquired at an average cap rate of 7.65%, and sold at an average cap rate of 4.85%.

Recent acquisitions of properties in the Phoenix, Arizona area include the following:

Ventura Vista Apartments (170 units, acquired July '03)

Purchase Price:     $14,300,000                      Sales Price:            $  16,700,000

(Note:  Sale completed May 16, 2005.  Investor Profit = 40%)

Belaflora Apartments (180 units, acquired April '04)

Purchase Price:     $16,100,000                      Sales Price:            $  21,275,000

(Note:  Sale completed February 28, 2006.  Investor Profit = 86%)

Mandarina Apartments (180 units, acquired February '04)

Purchase Price:     $15,475,000                      Sales Price:            $  20,500,000

(Note:  Sale completed April 10, 2006.  Investor Profit = 60%)

Biltmore Lakes Office Project (22,749 square feet, acquired August '04)

Purchase Price:     $4,200,000                       Sales Price:            $  4,950,000

(Note:  Sale completed August 20, 2005.  Investor Profit = 30%)

Monterra Apartments (258 units, acquired November '04)

Purchase Price:     $18,130,000                     Sales Price:            $  22,075,000

(Note:  Sale completed April 25, 2006.  Investor Profit = 52%)

MonteViejo Apartments (480 units, acquired September '05)

Purchase Price:     $50,500,000                      Sales Price:         $  59,391,243

(Note:  Sale completed February 2007.  Investor Profit = 55%)

MonteVerde Apartments (435 units, acquired December '05)

Purchase Price:     $47,000,000                     

Villas at Camelback Crossing Apartments (504 units, acquired December '05)

Purchase Price:     $45,500,000                      Sales Price:         $  62,750,000

(Note:  Sale completed December 2006.  Investor Profit = 182%)

San Ventura Apartments (272 units, acquired May '06)

Purchase Price:     $33,000,000                      Sales Price:        $  40,000,000(Note:  Sale completed May 2007.  Investor Profit = 50%)

The Canyons Apartments (629 units, acquired June '06)

Purchase Price:    $80,800,000                     

The Montana Apartments (134 units, acquired August '06)

Purchase Price:    $15,710,000                     

Desert Mirage Apartments (258 units, acquired August '06)

Purchase Price:    $34,382,245                     

The Springs at Alta Mesa Apartments (200 units, acquired September '06)

Purchase Price:    $26,300,000                     

The Springs at Continental Ranch Apartments (196 units, acquired September '06)

Purchase Price:    $21,864,000