1. Decisions Early morning ski….? Early morning ski….? Midday fly casting to a spring hatch….? Midday fly casting to a spring hatch….? Twilight round of golf….? Twilight round of golf….? Where else can you do it all in a single day...and within a 15-mile radius of downtown? Where else can you do it all in a single day...and within a 15-mile radius of downtown?

2. This is Bend, Oregon (Ory-gun) L unch break on Mirror Pond of the Deschutes River in downtown Bend Photo ©2010 by Lee Hicks

3. A summer sunset-Mirror Pond on the Deschutes River Photos ©2010 by Lee Hicks

4. Mt. Bachelor in summer K ayakers on Sparks Lake in a summer view of Mt. Bachelor’s “back side” ski runs. Photo by Lee Hicks

5. Mt. Bachelor in winter I t’s a long, beautiful trip from Mt. Bachelor’s 9,000-foot summit to the base village. Photos courtesy Mt. Bachelor

6. Fall on the Crooked River A placid stretch of the Crooked River in Smith Rock State Park, a favorite with rock climbers and hikers. Photo by Lee Hicks

7. Mt. Jefferson A t 10, 497 feet, Mt. Jefferson anchors its namesake wilderness in the Central Oregon Cascades. Photo by Lee Hicks

8. The Three Sisters Peaks H orses are a way to enjoy Central Oregon’s spectacular views while riding public lands. Photo by Lee Hicks

9. The Metolius River F ly fishing on the Metolius River attracts anglers from around the country Photo by Lee Hicks

10. Fall River F all River near Sunriver Resort is a catch and release gem that feeds the upper Deschutes River. Photos by Lee Hicks

11. Early Spring Golfing T he Widgi Creek course on the road to Mt. Bachelor tempts late season skiers to get in a round before putting away the boards. (photo taken in March on the way back from a day skiing ) Photos by Lee Hicks

12. A cycling destination USA Cycling chooses Bend for its national championship Cyclocross races. Photos by Lee Hicks

13. The downtown criterium The Cascade Cycling Classic has attracted top international cyclists Photo ©2010 by Lee Hicks

14. Cross country skiing Cross county skiing at Meissner Sno-park is only20 minutes from downtown Bend. Photo by Lee Hicks

15. Rock Climbing T he rock faces in Smith Rock State Park draw climbers from around the country. Photo by Lee Hicks

16. Rafting the “Big Eddy” B oiling rapids of the “Big Eddy” are 15 minutes from downtown Bend. Photo by Lee Hicks

17. A special tour- the Cascade Lakes Highway One of the most spectacular drives in the Cascades begins just outside Bend…66 miles of lakes and mountains. One of the most spectacular drives in the Cascades begins just outside Bend…66 miles of lakes and mountains.

18. The South Sister and Elk Lake Photos by Lee Hicks Along the Cascades Lakes Hwy..upper and lower left boating Hosmer Lake

19. Bend Basics WEATHER - At an altitude of over 3,600 feet Bend is the population and commercial hub of Central Oregon. This high desert environment enjoys approximately 300 days annually of at least some sunshine. Bend averages less than 35 inches annually of snowfall. But Mt. Bachelor, at a base elevation of more than 6,000 feet 21 miles southwest of town has averaged 387 inches of snowfall from 2000-2009. The mountain often has a base of 100-150 inches and typically is open Thanksgiving through Memorial Day. WEATHER - At an altitude of over 3,600 feet Bend is the population and commercial hub of Central Oregon. This high desert environment enjoys approximately 300 days annually of at least some sunshine. Bend averages less than 35 inches annually of snowfall. But Mt. Bachelor, at a base elevation of more than 6,000 feet 21 miles southwest of town has averaged 387 inches of snowfall from 2000-2009. The mountain often has a base of 100-150 inches and typically is open Thanksgiving through Memorial Day. POPULATION – Bend, nearly 82,000; Deschutes County more than 155,000 according to updated Census estimates in 2010. The second largest city in the county is Redmond, estimated population of 25,000. Sisters to the northwest of Bend has about 1,800 residents but a school district population of about 10,000. POPULATION – Bend, nearly 82,000; Deschutes County more than 155,000 according to updated Census estimates in 2010. The second largest city in the county is Redmond, estimated population of 25,000. Sisters to the northwest of Bend has about 1,800 residents but a school district population of about 10,000. PUBLIC LANDS – Extensive Forest Service and Bureau of Land Management lands ranging from sagebrush and juniper high desert to sub-alpine pine and fir forests. PUBLIC LANDS – Extensive Forest Service and Bureau of Land Management lands ranging from sagebrush and juniper high desert to sub-alpine pine and fir forests. MAJOR PEAKS – The Three Sisters and Mt. Jefferson, all approx. 10,000 feet; Mt. Bachelor, 9,065 ft. Broken Top, 9,175 ft., Mt. Washington, 7,694 ft and Three Fingered Jack, 7,841 ft. MAJOR PEAKS – The Three Sisters and Mt. Jefferson, all approx. 10,000 feet; Mt. Bachelor, 9,065 ft. Broken Top, 9,175 ft., Mt. Washington, 7,694 ft and Three Fingered Jack, 7,841 ft. RIVERS & LAKES – Deschutes River and its major tributaries. the Metolius and Crooked rivers, along with pristine Fall River south of Bend, and Wychus Creek which flows through Sisters. The Deschutes is a legendary steelhead trout fishery in its lower reaches south of Bend to the Columbia River. RIVERS & LAKES – Deschutes River and its major tributaries. the Metolius and Crooked rivers, along with pristine Fall River south of Bend, and Wychus Creek which flows through Sisters. The Deschutes is a legendary steelhead trout fishery in its lower reaches south of Bend to the Columbia River. LAKES– A chain of lakes along the Cascades Lakes scenic route offer blue ribbon trout fishing, power boating and sailing opportunities. Several are designated for fly fishing only where no motor boating is allowed. LAKES– A chain of lakes along the Cascades Lakes scenic route offer blue ribbon trout fishing, power boating and sailing opportunities. Several are designated for fly fishing only where no motor boating is allowed. AIR SERVICE - daily direct air service from Redmond (18 minutes north of Bend) to Portland, Seattle, Los Angeles, San Francisco, Denver and Salt Lake City. Airlines include Horizon (regional carrier of Alaska Airlines); Delta, American and United. The Sunriver Resort Airport and Bend Municipal Airport also have lighted runways capable of accommodating general aviation jets. AIR SERVICE - daily direct air service from Redmond (18 minutes north of Bend) to Portland, Seattle, Los Angeles, San Francisco, Denver and Salt Lake City. Airlines include Horizon (regional carrier of Alaska Airlines); Delta, American and United. The Sunriver Resort Airport and Bend Municipal Airport also have lighted runways capable of accommodating general aviation jets.

20. Find your way in Bend Click the map to locate lodging and other services- Click the map to locate lodging and other services- map courtesy Visit Bend map courtesy Visit Bend

21. Regional map Bend to key destinations: Portland, 163 mi Portland, 163 mi Seattle, 327 mi Seattle, 327 mi Spokane, 386 mi Spokane, 386 mi San Francisco, 491 mi San Francisco, 491 mi Boise, 319 mi Boise, 319 mi Reno, 406 mi Reno, 406 mi Salt Lake City, 657 mi Salt Lake City, 657 mi Jackson Hole, 683 mi Jackson Hole, 683 mi

22. Men’s Journal- “best adventure town” Sunset - “you’ll find Central Oregon’s adventure hub hopelessly addictive..” USA Today – Bend’s 2 nd home seekers go full- time Business Week- market cools and savvy buyers eye Bend National & regional media look at Bend Where to Retire - March/April 2012 Seattle Times - March 2012 USA Today - March 2012 Seattle Times - February 2012 Adventure Journal.com - Fall 2011 Northwest Fly Fishing Magazine - May/June 2010 Ski Magazine - Feb 2009 Endless Vacation - Sept/Oct 2008 Sunset Magazine - Feb 2008

23. The Old Mill District Photo by Lee Hicks

24. S culpture in the main plaza of the Old Mill District reflects its history as the region’s leading timber mill site. An REI store is now housed in the former mill’s renovated powerhouse which retains the massive smokestacks of a previous era. Preserving history for today Photo by Lee Hicks

25. Old Mill stacks above REI Photo ©2010 by Lee Hicks

26. Old Mill Shops aerial view

27. Old Mill on the Deschutes T he Deschutes River once carried massive logs to be milled in Bend. Now it’s a scenic waterway attracting kayakers and fly fishers inside the city limits at the Old Mill District. Photo by Lee Hicks

28. Music on the River A pedestrian bridge connects the Old Mill District shops to the Les Schwab Amphitheater. Bob Dylan, Sheryl Crow, BB King, Willie Nelson, Bonnie Raitt, Diana Krall, Jack Johnson and Ben Harper are among musicians who have performed on the river. Photo by Lee Hicks

29. National retailers in Bend REI Barnes & Noble Costco Office Max/Office Depot Staples Best Buy World Market Starbucks Bed Bath & Beyond Olive Garden Target Home Depot Lowe’s Trader Joe’s Whole Foods Macy’s Pier 1 Old Navy WalMart GAP Victoria’s Secret Banana Republic Chicos American Eagle Michael’s

30. Destination resorts and golf courses golf coursesgolf courses Bend and Central Oregon have five major destination resorts with multiple golf courses in operation, and several others in various stages of planning or construction. Bend and Central Oregon have five major destination resorts with multiple golf courses in operation, and several others in various stages of planning or construction. There are more than 25 golf courses, including resort courses open for public play and several within the Bend city limits. There are more than 25 golf courses, including resort courses open for public play and several within the Bend city limits. Bend has excellent memberhip athletic clubs with guest privileges that include indoor pools and tennis courts. Bend has excellent memberhip athletic clubs with guest privileges that include indoor pools and tennis courts.

31. Bend Real Estate Market 2014

32. Market recovers to more sustainable levels Central Oregon and Bend--the region’s hub-- have long been known to Northwesterners seeking sunnier climates and abundant recreation variety. Central Oregon and Bend--the region’s hub-- have long been known to Northwesterners seeking sunnier climates and abundant recreation variety. In the recent period of rapid national housing growth Bend was also “discovered” by many buyers from outside the region. In the recent period of rapid national housing growth Bend was also “discovered” by many buyers from outside the region. A BIG SWING IN 5 YEARS By the second quarter of 2006 the Bend Statistical Metropolitan Area (encompassing most of Central Oregon) led the country in housing appreciation according to the government’s Office of Federal Housing Enterprise Oversight. By the second quarter of 2006 the Bend Statistical Metropolitan Area (encompassing most of Central Oregon) led the country in housing appreciation according to the government’s Office of Federal Housing Enterprise Oversight. By year end 2009 Bend had fallen to last position—299 th among 299 SMAs tracked by the federal agency. By year end 2009 Bend had fallen to last position—299 th among 299 SMAs tracked by the federal agency. In 2014, Bend is back in the top 10 of federal housing appreciation statistics, albeit at prices that reflect a more stable but growing region rather than a “bubble.” In 2014, Bend is back in the top 10 of federal housing appreciation statistics, albeit at prices that reflect a more stable but growing region rather than a “bubble.”

33. Bend housing appreciation National rank 1 year % Quarter% 5 year% National rank 1 year % Quarter% 5 year% 2Q 2006 1 +36.65 +7.37 +96.36 2Q 2006 1 +36.65 +7.37 +96.36 4Q 2010293 - 7.72 +0.51 -30.09 4Q 2010293 - 7.72 +0.51 -30.09 3Q 2014 8 +18.99 +4.61 + 7.25 3Q 2014 8 +18.99 +4.61 + 7.25 Source: Federal Housing Finance Agency statistics for 309 MSAs (Metropolitan Statistical Areas). ---------------------------------------------------------------------- Bend rose to the top of the national appreciation charts in 2006 but by 2009 was at the bottom of the statistics. It has emerged back in the top 10 in federal housing statistics, although at median prices reset to more sustainable levels. However, Bend is joined in the top 10 by Modesto, Merced and Stockton in California—all of whom were bottom dwellers along with Bend only a few years back. Bend rose to the top of the national appreciation charts in 2006 but by 2009 was at the bottom of the statistics. It has emerged back in the top 10 in federal housing statistics, although at median prices reset to more sustainable levels. However, Bend is joined in the top 10 by Modesto, Merced and Stockton in California—all of whom were bottom dwellers along with Bend only a few years back.

35. New home construction & sales on upswing in 2014 Data in chart provided by www.NewHomeSalesdata.comwww.NewHomeSalesdata.com

36. Home sales by price segments – through YTD Q3 2013 & Q3 2014 Data in chart from Multiple Listing Service of Central Oregon

37. Home sales by price segment 2013 Data in chart from Multiple Listing Service of Central Oregon

38. Home sales on all lot sizes by sub-market YTD Q3 2014 Data in chart from Multiple Listing Service of Central Oregon

39. Home sales on lots less than 1 acre YTD Q3 2014 Data in chart from Multiple Listing Service of Central Oregon

40. Presented by R. Lee Hicks Principal Broker Licensed in oregon and Washington CASCADES SOTHEBY’S INTERNATIONAL REALTY 650 SW Bond St., Ste 100, Bend, OR 97702 541-383-7600 206-953-3041 (primary VM) lee.hicks@cascadesothebysrealty.com www.cascadesothebysrealty.comFootnote The information herein is deemed reliable but not guaranteed. Interested parties are advised to seek advice from government agencies and independent counsel regarding land use, zoning, water rights, utilities and other issues related to the acquisition or sale of real estate. T his presentation of the Bend and regional real estate market in late 2014 is intended as an overview of the area’s natural appeal and opportunities, whether as a fulltime working or a retired resident, or as the owner of vacation or investment property. I enjoy working in Central Oregon and living the lifestyle that I discuss with my clients--fly fishing, river rafting, cross-country skiing, mountain biking, the quality and variety of restaurants, friendly people proud of their community… and many days of sunshine….. Lee Sotheby’s International Realty is a registered trademark of Sotheby’s International Realty Affiliates LLC. Each Office is Independently Owned and Operated.