Christos Celmayster

Transcription

1 FOR SALE 823 E De La Guerra St Upgraded Santa Barbara Apartment With Views 6 Units 4.05% Cap Rate on Current s The information contained herein has been obtained from the owner of the property or from other sources deemed reliable. We have no reason to doubt its accuracy, but we do not guarantee i t. This is an Equal Housing Opportunity.

2 Property Overview Great value-add 6-unit apartment building at the base of the Lower Riviera close to downtown, shopping, and the Santa Barbara County Bowl. This property presents an opportunity to acquire a well-maintained, stabilized asset with upside in obtaining increases in all rents. Two 2BD/1BA units and four 1BD/1BA units in an approximate 3,900 square feet two-story structure have been recently upgraded to include new exterior paint, new wrought iron handrails, new carport roof, new sewer line to street (2018), and two updated units. All three upper units have open-beam ceilings with expansive views of Santa Barbara s Riviera hills. On-site laundry room, six parking stalls, and separate gas and electric meters. Price: $2,130,000 Units: 6 Unit Mix: 2 X 2BD/1BA 4 X 1BD/1BA APN: Building Size: Lot Size: Parking: Laundry Room: Zoning: Approx. 3,900 SF Approx. 7,405 SF 6 (5 carport & 1 uncovered) On-site C-G Year Built: 1966 Utilities: Cap Rate: Separate meters for gas & electric; house meter for gas & electric for laundry room & exterior lights 4.05% (current) 4.50% (proforma) GRM: (current) (proforma) CSO: 2.5% 222 E. Carrillo Street, Suite 101, Santa Barbara, California HayesCommercial.com 2

3 Income Analysis PROPERTY DETAILS UNIT MIX & RENT ROLL Price: $2,130,000 CURRENT RENTS (Note #2) # of Units: 6 Price Per Unit: $355,000 GRM: Current s 2BD/1BA $ 2,157 $ 2,157 $ 25,884 $ 2,400 $ 2,400 $ 28,800 CAP Rate: 4.05% Current s 1BD/1BA $ 1,750 $ 1,750 $ 21,000 $ 1,795 $ 1,750 $ 21,000 GRM: Market s 1BD/1BA $ 1,650 $ 1,650 $ 19,800 $ 1,795 $ 1,750 $ 21,000 CAP Rate: 4.50% Market s 2BD/1BA $ 1,950 $ 1,950 $ 23,400 $ 2,400 $ 2,400 $ 28,800 Land Area (Sq. Ft.): 7,405 1BD/1BA $ 1,700 $ 1,700 $ 20,400 $ 1,795 $ 1,750 $ 21,000 Price/Land Area: + 1BD/1BA $ 1,750 $ 1,750 $ 21,000 $ 1,795 $ 1,750 $ 21,000 Building Area (Sq. Ft.): 3,900 Price/Building Area: $ Unit Type # of Units Unit Size (Note #1) Monthly Total Monthly Total Annual Monthly MARKET RENTS (Note #3) Total Monthly Total Annual FINANCING (Note #5) Down Payment: $905,250 Down Payment (%): 43% Total Loan: $1,224, % LTV Debt Coverage Ratio: 1.14 TOTALS 6 3,900 $ 10,957 $ 131,484 $ 11,800 $ 141,600 Amortization: 30 Years Term: 5 Years Rate: 4.600% INCOME & EXPENSE ANALYSIS Monthly Loan Payment: $6,279 Total Gross Potential al Income $ 10,957 $ 131,484 $ 11,800 $ 141,600 Annual Loan Payment: $75,343 Laundry Income Est $ 26 $ 312 $ 26 $ 312 Annual Interest Payment: $55,933 Total Gross Potential Income $ 10,983 $ 131,796 $ 11,826 $ 141,912 DEPRECIATION (LESS) Vacancy Rate 2% $ (220) $ (2,636) $ (237) $ (2,838) Property Value: $2,130,000 EFFECTIVE GROSS INCOME (EGI) $ 10,763 $ 129,160 $ 11,589 $ 139,074 % of Improvements: 60% Estimated Notes % of EGI % of EGI Depreciable Basis: $1,278,000 Real Estate Taxes 1.05% 17.39% $ 1,872 $ 22, % $ 1,872 $ 22,459 Depreciation Schedule: 27.5 Years Insurance (Note #4) 2017 Act. 1.19% $ 128 $ 1, % $ 128 $ 1,537 Annual Depreciation: $46,473 Gas House Meter 0.26% $ 28 $ % $ 28 $ 338 NOTES Note 1: Units sizes are estimates but total SF is approx. from City Note 2: Current s are provided by Owner Note 3: Market s are estimates. Note 4: Total Annual Expenses are both actual and estimated Note 5: Financing is estimated. Buyer to verify. CURRENT RENTS (Note #2) MARKET RENTS (Note #3) Electric House Meter 0.51% $ 55 $ % $ 55 $ 665 Water/Sewer/Trash 2017 Actuals 4.65% $ 500 $ 6, % $ 13 $ 6,000 Supplies N/A 0.00% $ - $ % $ - $ - Repairs & Maintenance Est. $400/Unit/Year 1.86% $ 200 $ 2, % $ 200 $ 2,400 Turnover Expenses Est. $200/Unit/Year 0.93% $ 100 $ 1, % $ 100 $ 1,200 Property Manager 4% of EGI 4.00% $ 431 $ 5, % $ 464 $ 5,563 Taxes, Licenses & Prof. Fees Est. 0.19% $ 21 $ % $ 21 $ 250 Pest Control Act 0.15% $ 17 $ % $ 17 $ 200 Gardening Act 1.16% $ 125 $ 1, % $ 125 $ 1,500 Reserves Est. $200/Unit 0.93% $ 100 $ 1, % $ 100 $ 1,200 (LESS) TOTAL ANNUAL EXPENSES (Note #4) 33.23% $ (3,576) $ (42,915) 31.34% $ (3,122) $ (43,312) NET OPERATING INCOME (NOI) $ 7,187 $ 86,245 $ 8,467 $ 95, E. Carrillo Street, Suite 101, Santa Barbara, California HayesCommercial.com 3

4 Neighborhood Information - Milpas Street Less than a mile from Santa Barbara s upscale State Street shopping strip, Milpas Street is the heart of the dynamic neighborhood at the foot of the Riviera. The street runs from the hills embracing the Santa Barbara Bowl amphitheater, to Highway 101, to a wide, white beach bordered by swaying palms. The area has a mix of uses including retail, service retail, commercial office, industrial, single family residences and multi-family residential. Additionally, the subject property is located within walking distance to Santa Barbara High School, the Santa Barbara County Bowl, and numerous cafes and shops. 222 E. Carrillo Street, Suite 101, Santa Barbara, California HayesCommercial.com 4

5 Aerial Looking South