STEADFAST APARTMENT REIT III, INC. ANNOUNCES
RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 2018

Contact: Jennifer Franklin
Phone: 949.333.1721
Email: jfranklin@Stiracmg.com

Irvine, Calif., May 11, 2018 — Steadfast Apartment REIT III, Inc. (the “Company”) announced today its operating results for the three months ended March 31, 2018.
For the three months ended March 31, 2018, the Company had total revenues of $8.8 million compared to $3.1 million for the three months ended March 31, 2017. Net loss was $3.9 million for the three months ended March 31, 2018, compared to $2.3 million for the three months ended March 31, 2017. Total assets of the Company grew from $381.6 million at December 31, 2017, to $388.5 million at March 31, 2018.

Highlights:

The Company:

• Owned a multifamily property portfolio of nine properties with 2,592 apartment homes with an aggregate
purchase price of $369.1 million as of March 31, 2018.
• Increased modified funds from operations (“MFFO”), as defined by the Institute for Portfolio Alternatives
(formerly known as the Investment Program Association) (“IPA”), to $0.4 million for the three months ended March 31, 2018, from $0.3 million for the three months ended March 31, 2017. (See the reconciliation of MFFO to net loss and accompanying notes contained within this release for additional information on how the Company calculates MFFO.)
• Increased funds from operations (“FFO”), as defined by the National Association of Real Estate Investment Trusts (“NAREIT”), to $0.8 million for the three months ended March 31, 2018, from $38,556 for the three months ended March 31, 2017. (See the reconciliation of FFO to net loss and accompanying notes contained within this release for additional information on how the Company calculates FFO.)
• Increased net operating income (“NOI”) to $4.8 million for the three months ended March 31, 2018, from $1.8 million for the three months ended March 31, 2017. (See the reconciliation of NOI to net loss and accompanying notes contained within this release for additional information on how the Company calculates NOI.)
• Increased cash payments used for improvements to the Company’s real estate portfolio to $0.9 million for the three months ended March 31, 2018, from $0.4 million for the three months ended March 31, 2017.
• Had $156.0 million of variable rate debt with a weighted average interest rate of 4.22% and $102.5 million of fixed rate debt with a weighted average interest rate of 3.89% as of March 31, 2018. The weighted average interest rate on the Company’s total outstanding debt was 4.09% as of March 31, 2018.
• Reported net cash used in operating activities of $1.4 million for the three months ended March 31, 2018, compared to $0.2 million for the three months ended March 31, 2017. Net cash used in investing activities was $0.9 million for the three months ended March 31, 2018, compared to $33.2 million for the three months ended March 31, 2017.
• Reported net cash provided by financing activities of $12.3 million and $44.7 million for the three months ended March 31, 2018 and 2017, respectively, which included $1.2 million and $0.4 million of distributions paid, net of $1.1 million and $0.4 million in non-cash distributions paid pursuant to the Company’s distribution reinvestment plan, respectively.
• Raised $153.1 million in public offering proceeds through March 31, 2018, net of offering costs, from the sale of 3.1 million shares of Class A common stock, 0.4 million shares of Class R common stock and 3.8 million shares of Class T common stock in the Company’s public offering, including shares issued pursuant to its distribution reinvestment plan.
“According to a recent Freddie Mac survey, the top reason renters across all age groups said they prefer to rent was convenience and flexibility,” said Ella Neyland, president of the Company. “That suggests the trend toward renting is being driven less by necessity and more by preference and lifestyle, which means it might not reverse anytime soon.”
About Steadfast Apartment REIT III, Inc.
Steadfast Apartment REIT III, Inc. is a real estate investment trust and was formed to acquire and operate a diverse portfolio of well-positioned, institutional-quality multifamily and independent senior-living apartment communities in targeted markets throughout the United States that have demonstrated high occupancy and income levels across market cycles.
Steadfast Apartment REIT III, Inc. is sponsored by Steadfast REIT Investments, LLC, an affiliate of Steadfast Companies, an Orange County, California-based group of affiliated real estate investment and operating companies that acquire, develop and manage real estate in the U.S. and Mexico.
This release contains certain forward-looking statements. Words such as “anticipates”, “expects”, “intends”, “plans”, “believes”, “seeks”, “estimates”, “may” and “should” and their variations identify forward-looking statements.
Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements and you should not place undue reliance on any such statements. A number of important factors could cause actual results to differ materially from the forward-looking
statements contained in this release. Such factors include those described in the Risk Factors section of the Company’s public filings with the Securities and Exchange Commission. Forward-looking statements in this document speak only as of the date on which such statements were made, and the Company undertakes no obligation to update any such statements that may become untrue because of subsequent events. Such forward-looking statements are subject to the safe harbor protection for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

THIS PRESS RELEASE SHALL NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY SECURITIES.
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