POTENTIAL COVERED LAND PLAY FOR SALE PRESENTED BY
EXECUTIVE SUMMARY PROPERTY DETAILS 26,388 SF 23,580 SF Lot Asking Price: Zoning: Density: Gross Development SF: Lot Coverage: Height: To be determined by market T5 O NRD 81 du 162 keys 169,776 SF 80% - 90% w/bonuses 5-8 Stories w/bonuses Ideal for adaptive reuse as well as development DOWNLOAD ZONING FLOOR PLAN NW NW 22 STREET ONE STORY DOUBLE-HEIGHT DOWNLOAD MARKET REPORT PARKING 10 SPACES DESCRIPTION Metro 1 Commercial is proud to present for sale 1 Avenue ( The Property ). The Property consists of a 26,388 SF building on a 23,580 SF lot, which can be adaptively repurposed to capture an active large-tenant base, or develop an office or hotel in Miami s fastest growing office and hotel market. Located in the SE quadrant of Wynwood, The Property is surrounded by Redsky, Baz Baz, Soho Studios, The Wynwood Arcade, and Ford s new selfdriving car facility. Wynwood s SE Quadrant is getting the highest amount of construction activity in Wynwood in the next 3 years as Carpe RE Partners (The Oasis), CIM Group (Wynwood Square), Redsky, and BazBaz, will develop within that time frame. DOUBLE STORY 1 Avenue metro1.com 305.571.9991 info@metro1.com 2
PROFORMA ADAPTIVE REUSE DOWNLOAD EXCEL 1 Ave Land Size 23,580 Building Size 26,388 Proforma Rents 2020 $45.00 Recommended Purchase Price $ 12,000,000 CapEx PSF $ 50 CapEx $ 1,319,400 Leasing Fees 6% of 5 Years Base Rent $ 382,062.82 Annual Lease Increases 3.50% FINANCIAL SUMMARY Adjusted Basis $ 13,319,400 Terminal Cap Rate 6.50% Terminal Value $ 20,963,656 Profit $ 12,015,022 IRR 10.74% Proforma Rent Y1 Y2 Y3 Y4 Y5 Y6 Y7 Use Size Proforma Rent 2019 2020 2021 2022 2023 2024 Exit Single Tenant 26,388 $45.00 $ 1,187,460 $ 1,229,021 $ 1,272,037 $ 1,316,558 $ 1,362,638 Total $ 1,187,460 $ 1,229,021 $ 1,272,037 $ 1,316,558 $ 1,362,638 $ 20,963,656 EXPENSES (Assumes Mod Gross Leases) Y1 (2019) Y2 (2020) Y3 (2021) Y4 (2022) Y5 (2023) Y6 (2024) Y7 (2025) Taxes $ 112,387 $ 216,000 $ 222,480 $ 229,154 $ 236,029 $ 243,110 $ 250,403 Insurance $ 20,000 $ 20,600 $ 21,218 $ 21,855 $ 22,510 $ 23,185 $ 23,881 Management $ 6,600 $ 6,798 $ 7,002 $ 7,212 $ 7,428 $ 7,651 $ 7,881 Waste $ 1,836 $ 1,891 $ 1,948 $ 2,006 $ 2,066 $ 2,128 $ 2,192 Dept of Revenue $ 5,720 $ 5,892 $ 6,068 $ 6,250 $ 6,438 $ 6,631 $ 6,830 FPL $ 886 $ 913 $ 940 $ 968 $ 997 $ 1,027 $ 1,058 Total Expenses PSF $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 Total $ 147,429 $ 252,093 $ 259,656 $ 267,446 $ 275,469 $ 283,733 $ 292,245 TOTALS Y1 (2019) Y2 (2020) Y3 (2021) Y4 (2022) Y5 (2023) Y6 (2024) Exit GROSS INCOME $ - $ 1,187,460 $ 1,229,021 $ 1,272,037 $ 1,316,558 $ 1,362,638 EXPENSES NNN (Reimbursed by Tenant) $ 529,492 $ - $ - $ - $ - $ - NOI $ (13,319,400.00) $ (529,492) $ 1,187,460 $ 1,229,021 $ 1,272,037 $ 1,316,558 $ 1,362,638 $ 20,963,656 Cap Rate 8.92% 9.23% 9.55% 9.88% 10.23% Return Metrics Investment Analysis 2019 2020 2021 2022 2023 2024 Exit (Closing Costs 2% Commissions 5%) Unlevered Cash Flow $ (13,319,400) $ (529,492) $ 1,187,460 $ 1,229,021 $ 1,272,037 $ 1,316,558 $ 1,362,638 $ 19,496,200 IRR 10.74% Cap Rate 9.90% 10.24% 10.60% 10.97% 11.36% Equity Multiple 1.46x Net Gain/Loss $ 12,015,022 Duration 6 Years Debt Value $ 12,000,000.00 Investment Analysis Levered LTV 50% Year 0 2019 2020 2021 2022 2023 2024 Exit Principal $ 6,000,000.00 Debt Service -$ 442,143 -$ 442,143 -$ 442,143 -$ 442,143 -$ 442,143 -$ 442,143 $ 5,099,372 Equity $ 6,000,000.00 Cash Flows $ (6,000,000.00) -$ 971,635 $ 745,317 $ 786,878 $ 829,894 $ 874,415 $ 920,495 $ 14,396,828 Term (Yrs) 25 DSCR 2.69 2.78 2.88 2.98 3.08 Payment per term 12 Cash on Cash Return 12.42% 13.11% 13.83% 14.57% 15.34% Rate 5.50% Return Metrics Levered Equity Multiple 2.4x Net Gain (Loss) $11,582,192 Duration 6 Years ROE (2020 Stabilized) 13.11% Internal IRR 17.59% Profit $ 11,582,192.09 1 Avenue metro1.com 305.571.9991 info@metro1.com 3
PROFORMA OFFICE DEVELOPMENT DOWNLOAD EXCEL BACK OF THE ENVELOPE ANALYSIS 1 Ave Recommended Purchase Price $ 12,000,000 Building Size 26,388 Price PSF Bldg $ 455 Land Size 23,580 Land Size PSF $ 509 Zoning Zoning T5 O NRD Density 150 Units/Acre Hotel Density 300 Keys/Acre Lot Coverage Ratio 80% Lot Coverage Ratio (w/bonuses) 90% Min Height 3 Stories Max Height 5 Stories Max Height (w/bonuses) 8 Stories Office Portion Gross Development SF 169,776 Gross Rentable Area 77,028 Rentable Area % 45.4% Retail Portion Gross Retail SF 14,148 Parking Parking per 1,000 SF (Office) 2 Parking per 1,000 SF (Retail) 3 Parking 197 Avg SF per Space 400 Parking Area 78,600 Construction Parking Construction Cost PSF $ 130 Parking Construction Cost $ 10,218,000 Office Development Cost PSF $ 200 Office Development Cost $ 15,405,600 Retail Development Cost PSF $ 300 Retail Development Cost $ 4,244,400 Total Project Cost $ 41,868,000 Income Office Lease Rent PSF NNN $ 45.00 Retail Lease Rent PSF NNN $ 65.00 Annual Proforma NOI $ 4,385,880 Returns Return on Cost 10.48% Terminal Cap Rate 7.0% Terminal Value $ 62,655,429 Profit $ 20,787,429 1 Avenue metro1.com 305.571.9991 info@metro1.com 4
MARKET ANALYSIS DOWNLOAD MARKET REPORT COMPARABLE SALES ID Property Address Price Per SF Price Per SF Land Bldg SF Land Area SF Sale Price Buyer Sale Date Zoning 1 199 NW 20th St $ 1,739 $ 437 2300 9147 $ 4,000,000 10/24/2018 T6-8 O 2 2043 N Miami Ave (3 Properties) $ 1,281 $ 299 4683 20037 $ 6,000,000 Miami OMNI CRA 7/13/2018 T6-8 O 3 295 NW 27th St (2 Properties) $ 1,144 $ 902 9616 12196 $ 11,000,000 Block Capital Group 3/10/2017 T5 O 4 151 NW 24th St $ 1,144 $ 631 8000 14501 $ 9,150,000 Rincon Capital Partners, LLC 7/16/2018 T5 O 5 251-255 NW 23rd St (2 Properties) $ 870 $ 452 7470 14374 $ 6,500,000 Haber Slade Law 1/27/2017 T5 O 6 271 NW 23rd St $ 807 $ 626 3717 4791 $ 3,000,000 Phil Kakon 8/21/2018 T5 O 7 359 NW 28th St $ 699 $ 401 4250 7405 $ 2,970,000 Jonathan Drew Sann 6/12/2018 T5 O 8 36 NW 29th St $ 678 $ 232 2359 6899 $ 1,600,000 ItalKraft 6/8/2017 T6-8 O 9 2641 NW 5th Ave (2 Properties) $ 588 $ 449 30600 40075 $ 18,000,000 Tristar Capital 9/14/2018 T5 O 10 48 NW 25th St $ 546 $ 337 22335 36154 $ 12,200,000 Alex Karakhanian 5/11/2018 T5 O 11 153 NW 29th St $ 506 $ 290 3954 6899 $ 2,000,000 Florida Marketing & Research 3/31/2017 T6-8 O 12 42 NE 25th St $ 464 $ 371 22709 28409 $ 10,535,000 Lagunitas Brewing Company 5/1/2018 T5 O 13 2301-2323 NE Miami Ct (2 Properties) $ 456 $ 202 31778 71874 $ 14,500,000 Carpe Real Estate Partners 3/16/2018 T6-8 O T5 O 14 2900 NW 1st Ave $ 386 $ 406 29800 28309 $ 11,500,000 Link Real Estate 9/15/2017 T6-8 O 15 282 NW 25th St (3 Properties) $ 329 $ 161 15765 32234 $ 5,187,600 The Related Group 5/10/2017 T5 O 16 2830 NW 5th Ave $ 286 $ 235 14000 16988 $ 4,000,000 Damian Narvaez 12/29/2017 T6-8 O 17 2509 N Miami Ave $ 270 $ 400 20000 13503 $ 5,400,000 Link Real Estate 12/8/2017 T6-8 O 18 55 NE 24th St $ 131 $ 82 14630 15960 $ 1,750,000 Centaur Realty Organization, I4/3/2017 T5 O 19 53 NE 24th St $ 62 $ 160 36180 14000 $ 2,246,000 Douglas Levine 7/9/2018 T5 O 20 2201 N Miami Ave (2 Properties) $ - $ 213 0 78050 $ 16,635,400 CIM Group LP 11/2/2018 T6-8 O 21 269 NW 27th Ter $ - $ 397 0 14749 $ 5,850,000 Block Capital Group 3/28/2018 T5 O COMPARABLE LEASES Property Address Tenant Size Date Signed Rental Rate Lease Type Term Use 2050 NW Miami Ct Ford Argo AI 20,000 1Q2018 $ 40.00 NNN 5 Years Flex Office 222 NW 24 St Spaces 21,800 2Q2017 $ 42.00 NNN 10 Years Office 3415 NE 2 Avenue Anatomy 1220 15,000 4Q2017 $ 45.00 NNN 10 Years Gym 127 NW 27 St Undisclosed 21,000 4Q2017 $ 40.00 NNN 10 Years Retail F&B Entertainment 2801 NW 2 Ave Jaguar Hospitality 3,262 1Q2017 $ 60.00 NNN 10 Years Retail F&B 310 NW 24 St Le Chik 2,925 2Q2017 $ 65.00 NNN 5 Years Retail F&B 2200 NW 2 Ave Taylor & Taylor 1,725 1Q2017 $ 45.00 NNN 2 Years Retail 50 NW 24 St Innerride Fitness 1,565 2Q2017 $ 62.50 NNN 5 Years Retail 2601 NW 2 Ave Undisclosed 1,275 1Q2017 $ 75.00 NNN 10 Years Retail 97 Nw 25 St California Bliss 1,250 3Q2017 $ 55.00 NNN 5 Years Retail F&B 2085 NW 2nd Ave House of Mac 1,200 4Q2018 $ 50.00 NNN Long Term Retail F&B 151 NW 24 St Poke Life 1,159 3Q2017 $ 100.00 NNN 5 Years Retail F&B 2601 NW 2 Ave PIQ Gifts 1,077 2Q2017 $ 100.00 NNN 10 Years Retail 2600 NW 2 Ave Cool National Coffee Shop 1,000 3Q2018 $ 100.00 NNN Long Term Retail F&B 275 NW 26 Street Butcher & Sons 2,000 4Q2017 $ 90.00 NNN 10 Years Retail F&B 122 NW 25 Street Minds Co/Work 9,500 4Q2018 $ 35.00 NNN 5 Years Office 1 Avenue metro1.com 305.571.9991 info@metro1.com 5
SUBJECT PROPERTY 1 Avenue metro1.com 305.571.9991 info@metro1.com 6
RETAIL CONTEXT MAP N. ENTRANCE 11 14 GATEWAY TO WYN- WOOD MIDTOWN 16 7 PLANT WALK GATEWAY LENNAR GREEN 8 22 THOR ROCKWOOD 3 FORUM: BY RED SKY & ENRIQUE NORTEN TRI- STAR GOLDMAN GARAGE PARK 26 9 545 WYN REDSKY WALLS 17 15 25 10 12 4 6 5 CUBE WYNWD 18 19 OASIS 13 1 REDSKY DEVELOP- MENT 2143 NW 1 AVE 2217 NW MIAMI CT BAZ BAZ DEVELOP- MENT 20 2 SOUTH EAST QUADRANT SUBJECT PROPERTY DEVELOPMENTS TRAFFIC FLOW MAIN CORRIDORS WOONERF 1 COMPARABLE SALE 1 Avenue metro1.com 305.571.9991 info@metro1.com 7
MIDTOWN BUILDING WALK GREEN POTENTIAL TRI-RAIL STOP GARAGE BLOC THE BRADLEY WALLS 25 SOUTH EAST QUADRANT MIAMI ARTS CHARTER SCHOOL ARCADE OASIS REDSKY DEVELOPMENT SOHO STUDIOS 2143 NW 1 AVE 2217 NW MIAMI CT SQUARE SOLD: $17.5M Q4 2018 BUYER: CIM GROUP 267 UNITS 53K SF OFFICE 25K SF RETAIL BAZ BAZ DEVELOPMENT OMNI CRA FORD ARGO SELF-DRIVING CAR FACILITY 1 Avenue metro1.com 305.571.9991 info@metro1.com 8
1 Avenue metro1.com 305.571.9991 info@metro1.com 9
POTENTIAL COVERED LAND PLAY FOR SALE PRESENTED BY CONCEPTUAL RENDERING; CURRENTLY UNDER CONSTRUCTION