14 units plus retail in okc's paseo arts district...• wilson elementary school (pre-k through...

14 UNITS PLUS RETAIL IN OKC'S PASEO ARTS DISTRICT3017 North Lee Avenue | Oklahoma City, Oklahoma 73103

StateCapitol

BHGE EnergyInnovation Center

Veterans AffairsMedical Center

North Shartel Avenue Paseo Drive

NW Walker Avenue

Paseo Drive

40

23577

23577

353535

35

62

62

77

BrookingsInnovation District

OKCCBD

PASEO DRIVESixTwelve Inc.

Paseo Gallery OneJonque Mode

Oklahoma ShakespeareContemporary Art Gallery

OSO PaseoSauced on PaseoSamir Groceries

Scratch Kitchen & Cocktails, PaseoPaseo Grill

Annex BarbershopThe Daley

Frida Southwest

The Paseo PlungeStudio Six

Paseo PotteryPrairie Arts Collective

ReModernOKBrayer & BrushPicasso CaféHoley Rollers

Old Trinity of Paseo Event VenueIn Your Eye Studio & Gallery

Literati Press BookshopBetsy King. A Shoe Boutique

Gun IzakayaPaseo Farmers Market

Oklahoma City Office 204 North Robinson Suite 700 Oklahoma City, OK 73102 T 405-840-1500

Ted Prince T 405-630-0862 [email protected]

Justin Wilson T 405-605-2546 [email protected]

Tim McKay T 405-879-4768 [email protected]

Brandon Lamb, CCIM T 918-551-7600 [email protected]

Ben McKay T 405-213-2991 [email protected]

Licensed as Newmark Knight Frank Multifamily in Oklahoma.

EXCLUSIVE REPRESENTATIONNewmark Knight Frank Multifamily has been exclusively retained to represent the Seller in the disposition of Chardonnay (Property). All inquiries about the Offering or the Property should be directed to Newmark Knight Frank Multifamily.

PROPERTY VISITATIONProspective purchasers will have the opportunity to visit the Property via pre-scheduled property tours. These tours will include access to a representative sampling of units and access to common areas and other similar facilities. In order to accommodate the property’s ongoing operations, visitation will require advance notice and scheduling through Newmark Knight Frank.

OFFER SUBMISSIONOffers should be presented in the form of a non-binding Letter of Intent, spelling out the significant terms and conditions of Purchaser’s offers including, but not limited to:

(1) asset pricing (2) due diligence and closing time frame(3) Earnest Money deposit(4) a description of the debt / equity structure(5) qualifications to close

The purchase terms shall require that All Cash be paid at closing. Offers should be delivered to the attention of one of the brokers at the address and / or emails listed.

FINANCINGFor parties interested in receiving debt quotes, Newmark Knight Frank facilitates agency, life company, bank, bridge, and mezzanine financing options for the acquisition of Chardonnay.

Steven Leitch T 301-347-4822 [email protected]

George Wisecarver T 301-347-4870 [email protected]

Confidential Offering Memorandum

2 Offering Summary

StateCapitol

BHGE EnergyInnovation Center

Veterans AffairsMedical Center

North Shartel Avenue Paseo Drive

NW Walker Avenue

Paseo Drive

40

23577

23577

353535

35

62

62

77

BrookingsInnovation District

OKCCBD

PASEO DRIVESixTwelve Inc.

Paseo Gallery OneJonque Mode

Oklahoma ShakespeareContemporary Art Gallery

OSO PaseoSauced on PaseoSamir Groceries

Scratch Kitchen & Cocktails, PaseoPaseo Grill

Annex BarbershopThe Daley

Frida Southwest

The Paseo PlungeStudio Six

Paseo PotteryPrairie Arts Collective

ReModernOKBrayer & BrushPicasso CaféHoley Rollers

Old Trinity of Paseo Event VenueIn Your Eye Studio & Gallery

Literati Press BookshopBetsy King. A Shoe Boutique

Gun IzakayaPaseo Farmers Market

3

Chardonnay | 96 Multifamily Units

PRICE

TBD

RESIDENTIAL OCCUPANCY

(AUGUST 2020)

85.7%

YEAR BUILT

1949

TOTAL NUMBER OF UNITS

14

AVG MARKET RENT PER SF

$0.96

NET RENTABLE AREA (SF)

10,500

TERMS

CASH

AVERAGE UNIT SIZE (SF)

750

AVG MARKET RENT PER MONTH

$719


4 Executive Summary

Chardonnay3017 North Lee Avenue

Oklahoma City, Oklahoma 73103Oklahoma County

5Property HighlightsSTRONG PROPERTY FUNDAMENTALS• Three-story vintage workforce asset with ground-level

retail in Oklahoma City’s Paseo Arts District

• Average $60 monthly rent premiums on partly- or fully-renovated units since 4Q 2018 for all new leases and renewals

• Video security, assigned parking, and community laundry room

ADVANTAGEOUS LOCATION• Walking distance to Paseo Drive’s fine dining, galleries, and boutique retail

• Short commute times to Oklahoma City University (1.0 mile), SSM Health St. Anthony Hospital (1.7 miles), the Oklahoma State Capital (2.1 miles), and the Central Business District (2.5 miles)

• Over 14,000 businesses and 211,000 employees within a five-mile radius: 56.3% white collar workforce

STRONG MARKET AND SUBMARKET FUNDAMENTALS• Nearly 50% renter-occupied households with a high

concentration of Millennials (ESRI). No market-rate units delivered in the submarket since 3Q 2017 and no deliveries projected though 3Q 2022 (CoStar)

• Average submarket asking rents have increased for 13 consecutive quarters (REIS)

• Submarket average occupancy rate is expected to increase to 94.7% by year-end 2020 and average 94.6% from 2021 to 2023 (RealPage, 2Q 2020, Intown Oklahoma City submarket)

• Positive OKC MSA net migration, population growth rate exceeds the U.S. average (Moody’s), MSA civilian labor force recovery rate from COVID-19 exceeds state and national averages (BLS)

• 7.0% December, 2019 Oklahoma City MSA unemployment rate continues to track well below the same-month 11.1% national average (BLS)


6 Property Information

YEAR BUILT 1949

LAND SIZE 0.34 Acres

DENSITY 41.18 Units Per Acre

ZONING NC; Neighborhood Conservation

MECHANICAL SYSTEM / UTILITIES

Electric MeteringHVACHot WaterWater / Sewer BillingGas MeteringTrash FeePest Fee

Individual; resident pays directly to providerIndividualIndividualMaster; owner pays

NoneNoneNone

CONSTRUCTIONStyleExteriorRoof

GardenBrick Veneer / Stone VeneerPitch / Clay Tile

NO. of BUILDINGS 1 Residential Building with Ground-level Retail

PARKING 14 Total Spaces (assigned)• 6 Covered Spaces• 2 Covered Handicap Spaces• 6 Open Spaces

SCHOOL DISTRICT Oklahoma City Public Schools• Wilson Elementary School

(pre-K through grade 4) 0.8 mile• F. D. Moon Middle School

(grades 5 through 8) 3.8 miles• Frederick Douglass High School

(grades 9 through 12) 4.5 miles

EMPLOYEE UNITS None

MODEL UNITS None

NON- OR REDUCED-REVENUE UNIT None

7


Unit Mix

TOTALS / AVERAGESTOTAL # OF UNITS 14NET RENTABLE SF (APPROXIMATE) 10,500SCHEDULED MONTHLY RENT $10,059 AVERAGE MARKET RENT/MONTH $719 AVERAGE MARKET RENT/SF $0.96 AVERAGE UNIT SIZE 750 SF

CURRENT CONCESSIONSNONE

CURRENT OCCUPANCY | August 2020

Residential: 85.7% – Physical Commercial: 0%

# of Units Bed / Bath % of

TotalUnit

Size SFTotal

Unit SFAverage

Market Rent Per Month

Average Market Rent

Per SF

6 1 BR / 1 BA 42.9% 700 4,200 $687 $0.98

2 1 BR / 1 BA 14.3% 725 1,450 $699 $0.96

1 1 BR / 1 BA 7.1% 800 800 $699 $0.87

4 2 BR / 1 BA 28.6% 800 3,200 $793 $0.99

1 1 BR / 1 BA 7.1% 850 850 $670 $0.79

14 100.0% 750 10,500 $719 $0.96

700 SF

725 SF

29%

1 BEDROOM

71%

2 BEDROOM

14%

800 SF850 SF

36%

7%

43%

U N I T T Y P E

U N I T S I Z E

RESIDENTIAL UNIT MIX

# of Units Tenant Unit

Size SFAverage

Market Rent Per Month

Average Market Rent

Per SF

1 Vacant 2,100 $3,105 $1.48

COMMERCIAL UNIT MIX


8 Site Plan

COVERED PARKING

OPEN PARKING

GATE(NOT IN USE)

GATE(NOT IN USE)

GATE

NORTH LEE AVENUE

NORTHWEST 30TH STREET

Subfloor Commercial Space / 1st and 2nd Floor ResidentialSubfloor Laundry Room / 1st and 2nd Floor ResidentialSubfloor Storage / 1st Floor Patio / 2nd Floor BalconyResidentialFence


9Floor Plans – Sublevel

KITCHEN

KITCHEN

DINING

DINING

LIVING

LIVING

STORAGE

RETAIL

LAUNDRY

BEDROOM

BEDROOM

ENTRY

BATH

BATH

CLOSET

CLOSET

UP

DOWN

UP

HVAC

HVAC

HOT WATER

HOT WATER

ENTRY


10 Floor Plans – First Floor

DOWN

KITCHENKITCHEN

KITCHEN

KITCHENDINING

DINING

DINING

DINING

STORAGE

LIVING

LIVING

LIVING

LIVING

BEDROOMBEDROOMBEDROOM

BEDROOM

PATIO

BEDROOM BEDROOM

CLOSETCLOSET

BATHBATH

BATH

BATH

ENTRY

ENTRY

HVAC

HVAC HOT WATER

HOT WATER

KITCHEN

KITCHEN

DINING

DINING

LIVING

LIVING

BEDROOM BEDROOM

BATH

BATH

HVAC

CLOSET

CLOSET

CLOSET

CLOSET

CLOSET

HOT WATER

HVAC

HOT WATER

CLOSET

CLOSET

CLOSET

CLOSET

HVAC

HVAC

HOT WATER

HOT WATER

CLOSET

CLOSET

ENTRY

DOWN

UP

DOWN

DOWN

DOWN

DOWN

ENTRY

ENTRY

COVERED PARKING

11


Floor Plans – Second Floor

KITCHENKITCHEN

KITCHEN

KITCHENDINING

DINING

DINING

DINING

STORAGE

LIVING

LIVING

LIVING

LIVING

BEDROOMBEDROOMBEDROOM

BEDROOM

BALCONY

BALCONY BALCONY

BEDROOM BEDROOM

CLOSETCLOSET

BATHBATH

BATH

BATH

ENTRY

ENTRY

HVAC

HVAC HOT WATER

HOT WATER

KITCHEN

KITCHEN

DINING

DINING

LIVING

LIVING

BEDROOM BEDROOM

BATH

BATH

HVAC

CLOSET

CLOSET

CLOSET

CLOSET

CLOSET

HOT WATER

HVAC

HOT WATER

CLOSET

CLOSET

CLOSET

CLOSET

HVAC

HVAC

HOT WATER

HOT WATER

CLOSET

CLOSET

ENTRY

DOWN

UP

DOWN

DOWN

DOWN

ENTRY

ENTRY


12 Community Amenities

• Laundry Room

• Courtyard with Seating Area

• Ground-floor Retail Unit

• Gated Parking Access (not in use)

• Covered Parking (assigned)

• 24 Hour Emergency Maintenance

13


• Deadbolt and Viewer on Entry Door

• Faux Plank Flooring in Entry, Kitchen, and Bathroom

• Carpeted Living and Dining Areas

• Brushed Nickel Hardware

• Coat Closet *

• Patio or Balcony *

• CleanSteel Appliance Package * >> Frost-free Refrigerator >> Self-cleaning Oven >> Multi-cycle Dishwasher

• Double Stainless Steel Sink with Disposal and Vegetable Sprayer

• Lighted Ceiling Fan in Master Bedroom *

• Carpeted Bedroom(s)

* select units

Unit Appointments

14


15



16 Proforma

REVENUES Per SF Per Unit

GROSS SCHEDULED RENT (1) $123,726 $11.78 $8,838

Vacancy Loss (10%) ($12,373) ($1.18) ($884)

Concessions (2%) ($2,475) ($0.24) ($177)

TOTAL RENTAL INCOME $108,879 $10.37 $7,777

Other Income (2) $213 $0.02 $15

Plus: Commercial Income (3) $37,260 $3.55 $2,661

Total Other Income $37,473 $3.57 $2,677

EFFECTIVE GROSS INCOME $146,352 $13.94 $10,454

OPERATING EXPENSES

CONTROLLABLE EXPENSES

Repairs and Maintenance ($11,200) ($1.07) ($800)

Trash ($5,180) ($0.49) ($370)

Administrative ($2,100) ($0.20) ($150)

Marketing ($700) ($0.07) ($50)

Utilities (4) ($19,600) ($1.87) ($1,400)

Total Variable Expenses ($38,780) ($3.69) ($2,770)

Real Estate Tax (5) ($10,488) ($1.00) ($749)

Insurance ($6,300) ($0.60) ($450)

Management Fee ($11,708) ($1.12) ($836)

TOTAL EXPENSES ($67,277) ($6.41) ($4,805)

NET OPERATING INCOME $79,075 $7.53 $5,648

NOTES

(1) GSR grown 2.5% from the August 2020 Unit Mix

(2) Other Income grown 3% from July 2020 T-12 Actual

(3) Commercial Income based on submarket-comparable properties

(4) Adjusted Utilities based on submarket-comparable properties

(5) Preliminary Real Estate Tax = 2020 Assessed Value x 2019 Tax Rate

Actual numbers are based upon financial information provided by the client. Buyers are advised to consult their tax counsel with regard to tax matters.

17


Taxes + Deposits & Fees

Account Number R047248760

Improvements $711,898

Land Value $89,352

Taxable Market Value $801,250

Assessment Ratio 11%

Gross Assessed Value $88,137

Preliminary 2020 Taxes *Tax Value

Per $1,000 of Assessed Value

Oklahoma City $1,358 15.41

Oklahoma City #89 $5,176 58.73

Metro Tech Center #22 $1,883 21.37

Oklahoma County $2,070 23.49

Preliminary 2020 Tax Bill * $10,488 119.00

TAX INFORMATION

DEPOSITS & FEESApplication Fee $30 per applicant

Security Deposit $200 (all floor plans)

Administration Fee None

Transfer Fee None

Pet Fee (non-refundable) $150 per pet

Pet Deposit * None

Additional Pet Rent $15 per pet per month

* Two-pet maximum

* Using 2020 Assessed Value and 2019 Tax Rates


18 Rent Comparables Summary

Effective Rents calculated as Market Rent minus ConcessionsSource: CoStar, and property websites

PROPERTYYEAR BUILT

(RENOVATED)# OF

UNITS

TOTAL NET RENTABLE

SF

AVERAGE UNIT SIZE

(SF)MARKET

RENTMARKET

RENT PSF

EFFECTIVE RENT

PER MO.

EFFECTIVE RENT PSF PER MO.

CURRENT OCCUPANCY

1Casa Rosa524 Northwest 30th Street 1955 13 7,800 600 $625 $1.04 $619 $1.03 84.6%

2The Market at Paseo 600 Northwest 29th Street 1966 32 24,800 775 $849 $1.10 $844 $1.09 93.7%

Totals / Averages 45 32,600 724 $784 $1.08 $779 $1.07 91.1%

Chardonnay 3017 North Lee Avenue 1949 14 10,500 750 $719 $0.96 $722 $0.96 85.7%

235

235

235

NE 4TH STREET NE 4TH STREETNE 4TH STREET

RENO AVENUE RENO AVENUERENO AVENUE

OKLAHOMA CITY BOULEVARD

LINWOOD BOULEVARD

NE 13TH STREETNE 13TH STREET

NW 23RD STREET

NORTH PENNSYLVANIA AVENUE

N CLASSEN BOULEVARD

N WESTERN AVENUE

N BROADWAY AVENUE

N LINCOLN BOULEVARDN LINCOLN BOULEVARD

N KELLEY AVENUE N PROSPECT AVENUE

N KELLEY AVENUE

N LOTTIE AVENUE

N CLASSEN BOULEVARD

NW 36TH STREET

NW 30 TH STREET

NW 36TH STREET

NW 23RD STREET NW 23RD STREET

NE 16TH STREET

NE 10TH STREET NE 10TH STREET

NE 8TH STREET

NW 10TH STREET

NW 16TH STREET

NW 36TH STREET


NORTH VIRGINIA AVENUE

N WESTERN AVENUE

N WALKER AVENUE

OKLAHOMASTATE

CAPITOL

GOODHOLMPARK

SPARROWPARK

EDGEWOODPARK

MEMORIALPARK

UNIVERSITY OFOKLAHOMA

MEDICAL CENTER

OKLAHOMACITY

UNIVERSITY

SSM ST. ANTHONYHOSPITAL

MYRIADBOTANICALGARDENS

12

1

2Casa RosaThe Market at Paseo

19

20


Rent Comparable 1

CASA ROSA

Address 524 Northwest 30th Street

City, State, Zip Oklahoma City, OK 73118

No. of Units 13

Avg Unit Size 600

Year Built 1955

Current Occupancy 84.6%

Current ConcessionsVaries according to available floor plan

Avg Market Rent Per Mo. $625

Avg Market Rent Per SF $1.04

$1.06

COMMUNITY AMENITIES• Leasing Office• Courtyard

• Koi Pond • Laundry Facility

• Limited Access Gates

WiFi Hotspot

UNIT AMENITIES• Carpeting• Frost-free Refrigerator

• Multi-cycle Dishwasher• Spacious Closets

Bed / Bath No. Units

% of Total

Average Unit Size

(SF)

Average Market Rent per Month

Average Market Rent

PSF per Month

Average Effective Rent

per Month

Average Effective

Rent PSF per Month

1 BR / 1 BA 13 100.0% 600 $625 $1.04 $619 $1.03

13 100.0% 600 $625 $1.04 $619 $1.03


21Rent Comparable 2

THE MARKET AT PASEO

Address 600 Northwest 29th Street

City, State, Zip Oklahoma City, OK 73103

No. of Units 32

Avg Unit Size 775

Year Built 1966

Current Occupancy 93.7%

Current Concessions Varies according to available floor plan

Avg Market Rent Per Mo. $849

Avg Market Rent Per SF $1.10

$1.06

COMMUNITY AMENITIES• Leasing Office• Courtyard

• 24 Hour Emergency Maintenance

UNIT AMENITIES• Stained Concrete Flooring• Black Appliance Package• Frost-free Refrigerator

• Multi-cycle Dishwasher• Built-in Microwave *• Granite Countertops

• Washer / Dryer Included in Unit• Spacious Closets * select units

Bed / Bath No. Units

% of Total

Average Unit Size

(SF)

Average Market Rent per Month

Average Market Rent

PSF per Month

Average Effective Rent

per Month

Average Effective

Rent PSF per Month

Studio 16 50.0% 750 $803 $1.07 $801 $1.07

2 BR / 1 BA 16 50.0% 800 $895 $1.12 $886 $1.11

32 100.0% 775 $849 $1.10 $844 $1.09


22 Area Demographics1-Mile Radius 3-Mile Radius 5-Mile Radius

2010 Population Census 11,582 81,237 185,344

2020 Population Estimate 12,233 88,282 197,628

2025 Population Projection 12,628 92,058 204,151

Population Growth Annual Rate 2020 - 2025 0.64% 0.84% 0.65%

2020 Estimated Median Age 35.8 36.6 35.7

2020 Renter Occupied Percentage 47.2% 46.9% 43.8%

2020 Estimated Average Household Income $84,840 $68,536 $65,954

2020 Estimated Average Owner-Occupied Housing Value $291,509 $208,101 $208,271

Total Number of Businesses 864 8,612 14,573

Total Number of Employees 9,591 136,617 211,516

Source: 2020 Esri Online Analysis

235

235

235

NE 4TH STREET NE 4TH STREETNE 4TH STREET

RENO AVENUE RENO AVENUERENO AVENUE

OKLAHOMA CITY BOULEVARD

LINWOOD BOULEVARD

NE 13TH STREETNE 13TH STREET

NW 23RD STREET


WESTERN AVENUE

N CLASSEN BOULEVARD

N WESTERN AVENUE

N BROADWAY AVENUE

N LINCOLN BOULEVARDN LINCOLN BOULEVARD

N KELLEY AVENUE N PROSPECT AVENUE

N KELLEY AVENUE

N LOTTIE AVENUE

N CLASSEN BOULEVARD

NW 36TH STREET

NW 30 TH STREET

NW 36TH STREET

NW 23RD STREET NW 23RD STREET

NE 16TH STREET

NE 10TH STREET NE 10TH STREET

NE 8TH STREET

NW 10TH STREET

NW 16TH STREET

NW 36TH STREET


NORTH VIRGINIA AVENUE

N WESTERN AVENUE

OKLAHOMASTATE

CAPITOL

GOODHOLMPARK

SPARROWPARK

EDGEWOODPARK

MEMORIALPARK

UNIVERSITY OFOKLAHOMA

MEDICAL CENTER

OKLAHOMACITY

UNIVERSITY

MYRIADBOTANICALGARDENS

3,156 cars/day

6,841 cars/day 3,867 cars/day

5,140 cars/day

2,800 cars/day

76,571 cars/day

20,178 cars/day

22,276 cars/day

17,852 cars/day

15,882 cars/day

95,600 cars/day

87,000 cars/day

120,900 cars/day

24,660 cars/day

26,420 cars/day

22,140 cars/day

91,700 cars/day

28,640 cars/day

N WALKER AVENUE

SSM ST. ANTHONYHOSPITAL

23Traffic Counts

24 Oklahoma City Metro Overview


26 Oklahoma City at a GlanceOklahoma City’s diverse business landscape consists of major employers in aerospace, biosciences, manufacturing, healthcare, education, finance / insurance, transportation, construction, and telecommunications, including a growing base of private companies headquartered in the Metro. Love’s Travel Stops ranks 17th on Forbes’ list of largest U.S. private companies, software giant Paycom ranks sixth among Fortune’s 100 fastest-growing companies and Hobby Lobby, BancFirst, INTEGRIS Health, and Love’s Travel Stops are all included in Forbes’ 2020 list of America’s Best Employers.

AVERAGE ASKING RENT INCREASE

SINCE 1Q 2010(REIS, 1Q 2020)

2.8% OKLAHOMA CITY BOND RATING

(Moody’s / S&P, March 2020)AAA

MSA POPULATION

GROWTH SINCE 2010

(Esri, July 2020)

15.6%FY 2019 SALES TAX REVENUES

(3.1% YOY INCREASE)(The Oklahoman)

$256M 2019 MULTIFAMILY

TRANSACTION SALES VOLUME(The Journal, Record,

January 2020)

$541.3M

MSA EMPLOYMENT BY INDUSTRYBUREAU OF LABOR STATISTICS, JULY 2020

MSA KEY DEMOGRAPHIC INDICATORSESRI, AUGUST 2020

GOVERNMENT

TRADE, TRANSPORTATION, AND UTILITIES

PROFESSIONAL AND BUSINESS SERVICES

LEISURE AND HOSPITALITY

MINING AND LOGGING

19.3%

INFORMATION

MANUFACTURING

CONSTRUCTION

FINANCIAL

OTHER

EDUCATION AND HEALTH SERVICES

18.0%

15.2%

13.7%

10.9%

5.4%

5.2%

4.9%

4.4%

2.0%

1.0%

36.5Median

Age

$79,854Household Income

$215,197Home Value

1,421,338Population

550,162Households

2.52Average Size

Household

24.1%25.5%

19.1%Generation X:

Born 1965 to 1980

20.0%Baby Boomer:

Born 1946 to 1964

6.0%Greatest Generation

Born 1945/Earlier

5.3%Generation Z:

Born 1999 to 2016Alpha:

2017 to PresentBornMillennial:

Born 1981 to 1998

Average Average

27


Economic Strength and Diversity

Oklahoma City-based Paycom Software Inc. has been selected for inclusion in the S&P 500, becoming the fifth Oklahoma business listed on the well-known index of large publicly-traded U.S. companies. Founded in 1998, the human capital management company reported 4Q 2019 revenues of $242.4 million, a 21% year-over-year increase, and beat analyst’s earnings estimates for 1Q 2020.

Seven national and international organizations have signed contracts for conferences and conventions to be held in the all-new $288 million Oklahoma City Convention Center. Organizers anticipate a total of more than 37,000 room nights and $20 million in direct economic impact from these bookings when the facility and adjoining $141 million Omni Hotel opens March 1, 2021.

Construction is underway on Boeing’s new $20M B-52 Modernization and Sustainment facility at Oklahoma City’s Tinker Air Force Base. The facility is tasked with researching the re-engining of the B-52 and upgrading the 1950s-era bomber with the latest electronics. Tinker is also the maintenance HQ for the KC-46A next-generation aerial tanker and will provide maintenance for the B-21 Raider stealth bomber, scheduled to fly in the mid-2020s. With over 26,000 employees, Tinker generates an annual economic impact of $4.83B.

Big-box retail giant Costco is opening an operations and customer care center at the former Hertz corporate campus in north Oklahoma City, creating more than 1,500 eCommerce and Travel Division jobs over the next three years. Plans call for an initial hiring of 500 workers in the first year with 1,503 total jobs added over the next five to seven years. Projected average annual salary for the new jobs is $53,876

Oklahoma City’s MAPS 4 is the current extension of the city’s debt-free Metropolitan Area Projects Plan. Projects include a multipurpose soccer stadium, addressing homelessness and community mental health issues and improvements to area transit systems. Funded by a temporary 1-cent tax, MAPS 4 will raise a projected $978 million over and above the estimated 25,000 jobs and $7 billion in total economic impact directly attributable to the MAPS program to date.

Amazon’s presence in Oklahoma City is expanding again with a new 1 million-SF sorting facility immediately north of its 2.5 million-SF OKC Fulfillment Center. The new facility is projected to add 1,000 jobs to the 5,000 full-time, part-time and seasonal workers Amazon currently employs in Oklahoma City. Other facilities operated by the eCommerce giant in Oklahoma City include a 300,000-SF Sortation Center, and 60,000-SF Delivery Center.

Ground-breaking discoveries made by Oklahoma City-based biotechnical researchers have helped put Oklahoma City on the map as a contender in the bioscience and technology marketplace. Oklahoma City’s bioscience companies boast annual revenues of more than $6.7 billion and support 51,000 workers with total compensation of $2.2 billion.

Oklahoma City’s dynamic Tech Sector accounts for an estimated $2.7 billion in direct economic impact and employs over 39,000 people. Leading OKC Tech industry sectors include IT and custom software services, R&D and engineering services, and telecommunications and Internet Services.

Mike Monroney Aeronautical Center houses the largest concentration of Department of Transportation employees outside of Washington D.C. and generates an annual economic impact of $1.65 billion. The center and its work are involved in all aspects of the nation’s airspace system, which manages 85,000 flights and 2.5 million passengers traveling to nearly 20,000 airports annually.

Kratos Defense & Security Solutions, a leading military drone manufacturer, has been awarded a five-year, $400- million IDIQ contract to develop specialty AI drone solutions for the Air Force “loyal wingman” program. The program seeks to develop a highly-evolved air defense concept based upon teaming piloted F-35 and F-15EX aircraft with semi-autonomous AI-piloted drones to provide enhanced weapons delivery and air superiority.


28 Metropolitan Area Projects Plan (MAPS)The $777 million MAPS 3 initiative has generated an estimated 25,000 new jobs and funded numerous projects including a downtown convention center and 70-acre park and the recently-opened streetcar line; to date, an estimated $7 billion in economic impact can be directly attributed to the original MAPS program

A 2017 extension of the debt-free MAPS program, Oklahoma City’s “Better Streets, Safer City” is a 10-year $967 million bond package investing in streets, fire and police facilities, parks, and other municipal upgrades

As of January 2019, the one-cent MAPS sales tax has generated over $20 million in surplus revenue, allowing city leaders to develop a fifth senior

center, fund renovations to the historic downtown Union Station, and provide additional funds for other ongoing MAPS projects

Oklahoma City voters passed MAPS 4 on December 10, 2019 by a historic 73% margin. Projects include a multipurpose soccer stadium, a new multipurpose coliseum for the Oklahoma City Fairgrounds, addressing homelessness and community mental health issues, and improvements to area transit systems. MAPS 4 will raise a projected $978 million over eight years, debt-free, funded by a temporary one-cent sales tax which will go into effect April 1st, 2020 when the “Better Streets, Safer City” temporary sales tax expires

Voters approved

MAPS projects

MAPS extension for Arena and NBA

practice facility

Voters approved MAPS extension

for six months

MAPS 3 approved

Groundbreaking for MAPS 3

convention center

MAPS for Kids approved

MAPS extension for Better Streets,

Safer City

MAPS 4 passed by 72%

1993 20081998 2009 20182001 2017 2019

the first set of

29


In December 2019, voters approved MAPS 4 by a 73% margin, which included 16 projects to address items ranging from sports and entertainment venues to help for those struggling with poverty and victims of abuse. A voluntary advisory board will work with the City Council to plan and implement the projects with input from the public.

Parks$140 million will fund improvements to all of the parks in the city. Youth Centers$110 million will fund four new youth centers to provide activities and education.

Senior Wellness Centers$15 million for a fifth Senior Wellness Center, and $15 million for scholarships for low-income seniors. Mental Health and Addiction$40 million for mental health and substance abuse services. Family Justice Center Operated by Palomar$38 million will pay for a family justice center for victims of abuse and violence.

Transit$87 million for upgrades, more buses and rapid transit lines.

Sidewalks, Bike Lanes, Trails and Streetlights$87 million dedicated to bike and pedestrian roads and trails. Beautification$30 million for beautification projects around the city.

Homelessness$50 million to reduce homelessness with affordable housing options.

Chesapeake Energy Arena$115 million for capital maintenance and improvements for tenants and fans.

Animal Shelter$38 million for a city animal shelter to replace the current outdated facility.

Fairgrounds Coliseum$63 million to partially fund an arena that will replace the aging Jim Norick Arena.

Diversion Hub$17 million to work to keep low-level offenders out of jail. Innovation District$71 million to create a hub of innovation in the OU Health Sciences area.

Freedom Center and Clara Luper Civil Rights Center$25 million to renovate Freedom Center and construct center to celebrate civil rights history.

Multipurpose Stadium$37 million for a multipurpose stadium to host outdoor sporting events downtown.

MAPS 4

23RD Street23RD StreetState

Capital

13TH Street

4TH Street

8TH Street

10TH Street 10TH Street

Lincoln Boulevard Lottie Avenue

235

4040

High-Intensity Mixed-Use

Corridor Commercial

General Urban

NeighborhoodSpecial District: Historic


30 Brookings Innovation DistrictOKC’s Automobile Alley and OU Health Center were the focus of an 18-month study by the Brookings Institution and Project for Public Spaces; issues under study included accessibility, collaboration between industries, and community outreach.

The area has already shown promise in developing new startups in the city’s dynamic bioscience sector, which contributes more than $6.7 billion in economic activity, supports more than 51,000 jobs across the state, and has annual revenues of more than $4.1 billion. The Brookings Institution estimates that 77% of all NIH investment in Oklahoma is directed toward companies and research in the Innovation District.

Following recommendations made in the Brookings study, architecture firm Perkins + Will has unveiled strategic development plans for the Innovation District which will connect it to the surrounding community and greatly expand support for research and entrepreneurial development. With Phase I of the Core Development plan scheduled to be completed by 2025 and Phase II by 2040, Perkins + Will forecasts the Innovation District will create 6,600 permanent jobs and $423 million in wages with 16% in engineering and research and development, 31% in data sciences, and 53% in pharmaceuticals, biotech, medical devices, and healthcare. Overall economic impact is projected to be $1.2 billion.

Plans for improved access to the Innovation District include shuttle service, mass transit, and improvements to the 10th Street bridge with bike paths, greenspaces, and pedestrian walkways.

31


Plan Phase 1A and 1B Core Development

INNOVATION HALL

OFFICE/LABORATORY

HOTEL

PARKING GARAGE

RESIDENTIAL

FUTURE OURP BUILDING

FUTURE/ADJACENT MIXED-USE DEVELOPMENT

1

2345

6

EXPANDED FOUNDERS PLAZA/STILES CIRCLE

10TH STREET BRIDGE EXPANSION

ENHANCED STREETSCAPE AND BICYCLE/PEDESTRIAN FACILITIES

DIRECT LINK BETWEEN BAKER HUGHES-GE, THE INNOVATION DISTRICT CORE AND THE OU RESEARCH PARK

7

A

CORE BUILDINGS OTHER ELEMENTS

B

C

D

41

2

3

LINC

OLN

BLV

D

STI

LES

AV

E

ENERGYINNOVATIONCENTER

OKLAHOMABLOODINSTITUTE

8TH STREET

5

6

22

2

2

2

47

7

7

7

2

2

2A

B

CD

10TH ST

7PHASE APPROX. SQUARE FOOTAGE

Core Phase 1A 270,000

Core Phase 1B 700,000

Adjacent Parcels (long-term, by others) 2,500,000

Total Potential Development 3,470,000

Total Parking (all structured) 3800 spaces

235

Study Area / Land Use Plan BoundaryInnovation District Core Development

Innovation District

Phase IA Completion (estimated)

2025Phase IB

Completion (estimated)

2040

Total Economic

Impact (estimated)

$1.2BTotal

Labor Income

(estimated)$423M

PROJECTIONS


32COMPANY HQ Fortune 500 EMPLOYMENT SECTOR

State of Oklahoma 47,300 GovernmentTinker Air Force Base 26,694 MilitaryUniversity of Oklahoma - Norman 12,700 Higher EducationINTEGRIS Health ü 9,000 HealthcareUniversity of Oklahoma Health Sciences Center 7,500 Higher EducationFAA Mike Monroney Aeronautical Center 7,000 AerospaceMercy Hospital ü 5,500 HealthcareHobby Lobby Stores Inc. ü 5,100 Wholesale & RetailAmazon * 5,000 Wholesale & RetailCity of Oklahoma City 4,800 GovernmentOklahoma City Public Schools 4,633 EducationOGE Energy Corporation ü 3,400 UtilityOU Medical Center 3,300 HealthcareThe Boeing Company * 3,200 AerospaceSSM Health Care of Oklahoma, Incorporated ü 3,000 HealthcareUniversity of Central Oklahoma 3,000 Higher EducationNorman Regional Hospital 2,950 HealthcareEdmond Public Schools 2,926 EducationAT&T * 2,700 TelecommunicationsDevon Energy Corporation ü * 2,500 Oil & GasPaycom ü 2,500 Business ServicesSonic Corporation ü 2,460 Wholesale & RetailDell * 2.300 Business ServicesOklahoma City Community College 2,100 Higher EducationMidFirst Bank ü 2,000 FinanceUPS * 1,800 LogisticsBancFirst ü 1,700 FinanceHertz Corporation * 1,700 Rental ServicesChesapeake Energy Corporation ü * 1,600 Oil & GasEnable Midstream Partners ü 1,600 Oil & GasLove's Travel Stops & Country Stores ü 1,500 RetailAmerican Fidelity ü 1,400 Finance / InsuranceCox Communications 1,400 TelecommunicationsGreat Plains Coca-Cola Bottling Company 1,300 Beverage DistributionJohnson Controls International 1,200 ManufacturingFarmers Insurance Group * 1,100 Customer ServiceBank of Oklahoma 1,100 FinanceContinental Resources ü 1,080 Oil & GasDolese Brothers Company ü 1,000 ConstructionINTEGRIS Deaconess Hospital ü 1,000 Healthcareü Indicates headquarters in metro area; employee counts subject to change* Indicates Fortune 500 company; subject to change

Source: Oklahoma Department of Commerce, The Greater Oklahoma City Partnership, putnamcityschools.org, Fortune.com/Fortune500/list, OKCPS Statistical Profile, EPS District Profile, Oklahoma City Chamber

Select MSA Employers

#7 Best Cities for Retirees

Kiplinger (July 2020)

#7Best Cities for Recent

College GraduatesHeyTutor.com

(October 2019)

AAAGeneral Obligation

Bonds Rating(10th Consecutive Year)

Standard & Poor’s (March 2020)

Top 50 Travel Destinations

for 2020 Travel + Leisure

(December 2019)

#4Places with the Most

Incoming Investments in Oklahoma

Smartadvisormatch.com (June 2019)

#1Easiest Places to

Do Business CoStar

(October 2019)

#9Best Cities to Start a Career

Zippia (July 2020)

#2Cities with the Lowest Property and Income

Taxes per Capita Tax Foundation (March 2019)

#11Best American Cities

for Live Music

Reader's Digest (February 2020)

Top 20Best Run Cities

in AmericaWalletHub

(June 2020)

Top 10Biggest Millennial

Boomtowns in America MagnifyMoney (October 2019)

Top 10Myriad Gardens, OKC Top Ten Public Parks

to Visit in the U.S.Minnesota Star-Tribune

(January 2019)

#1Ease of Doing Business

ASU Center for the Study of Economic Liberty

(September 2019)

America’s Most Livable CommunityPartners for Livable

Communities (November 2018)

33Accolades

34 Appendix


36 Brokerage Services

Before working with a real estate broker, you should know that the duties of a broker depend on whom the broker represents. If you are a prospective seller or landlord (owner) or a prospective buyer or tenant (buyer), you should know that the broker who lists the Property for sale or lease is the owner’s agent. A broker who acts as a subagent represents the owner in cooperation with the listing broker. A broker who acts as a buyer’s agent represents the buyer. A broker may act as an intermediary between the parties if the parties consent in writing. A broker can assist you in locating a property, preparing a contract or lease, or obtaining financing without representing you. A broker is obligated by law to treat you honestly.

IF THE BROKER REPRESENTS THE OWNERThe broker becomes the owner’s agent by entering into an agreement with the owner, usually through a written listing agreement, or by agreeing to act as a subagent by accepting an offer of subagency from the listing broker. A subagent may work in a different real estate office. A listing broker or subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first. The buyer should not tell the owner’s agent anything the buyer would not want the owner to know because an owner’s agent must disclose to the owner any material information known to the agent.

IF THE BROKER REPRESENTS THE BUYERThe broker becomes the buyer’s agent by entering into an agreement to represent the buyer, usually through a written buyer representation agreement. A buyer’s agent can assist the owner but does not represent the owner and must place the interests of the buyer first. The owner should not tell a buyer’s agent anything the owner would not want the buyer to know because a buyer’s agent must disclose to the buyer any material information known to the agent.

IF THE BROKER ACTS AS AN INTERMEDIARYA broker may act as an intermediary between the parties if the broker complies with the laws of the state. The broker must obtain the written consent of each party to the transaction to act as an intermediary. The written consent must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker’s obligations as an intermediary. The broker is required to treat each party honestly and fairly. A broker who acts as an intermediary in a transaction:

(1) shall treat all parties honestly;

(2) may not disclose that the owner will accept a price less than the asking price unless authorized in writing to do so by the owner;

(3) may not disclose that the buyer will pay a price greater than the price submitted in a written offer unless authorized in writing to do so by the buyer; and

(4) may not disclose any confidential information or any information that a party specifically instructs the broker in writing not to disclose unless authorized in writing to disclose the information or required to do so by a court order or if the information materially relates to the condition of the Property.

With the parties’ consent, a broker acting as an intermediary between the parties may appoint a person who is licensed under the state and associated with the broker to communicate with and carry out instructions of one party and another person who is licensed and associated with the broker to communicate with and carry out instructions of the other party.

IF YOU CHOOSE TO HAVE A BROKER REPRESENT YOU, you should enter into a written agreement with the broker that clearly establishes the broker’s obligations and your obligations. The agreement should state how and by whom the broker will be paid. You have the right to choose the type of representation, if any, you wish to receive. Your payment of a fee to a broker does not necessarily establish that the broker represents you. If you have any questions regarding the duties and responsibilities of the broker, you should resolve those questions before proceeding.

Listing Agent represents the Owner of Chardonnay.

37


Disclaimer

Prospective purchasers are hereby advised the Owner (“Owner”) of Chardonnay (“Property”) is soliciting offers through Newmark Knight Frank Multifamily, which may be accepted or rejected by the Owner at the Owner’s sole discretion.

Any solicitation of an offer for the Property offered hereunder will be governed by this Offering, as it may be modified or supplemented. Prospective purchasers are advised that as part of the offer process, the Owner will be evaluating several factors including the experience and financial qualifications of the purchasing entity.

The Owner shall have no obligation to accept any offer from any prospective purchaser. The Owner reserves the right to withdraw the Property from consideration at any time prior to final execution of a Purchase Agreement.

This Offering document is furnished to prospective purchasers for the purpose of determining whether to invest in the Property offered hereby. The information contained herein, or any other related information provided by the Owner, may not be reproduced, redistributed or used in whole or in part without the prior written consent of the Owner.

No person has been authorized to give any information or make any representation or warranty, either expressed or implied and, if given or made, such information or representation must not be relied upon.

While the Owner and Newmark Knight Frank have no reason to believe that the information provided herein or in subsequent information updates delivered to potential purchasers hereunder contains any material inaccuracies, neither the Owner nor Newmark Knight Frank nor any of the Owner’s or Newmark Knight Frank’s respective subsidiaries, affiliates, companies, or the officers, directors, employees, agents and representatives of any such entities, etc., make any representations or warranties, expressed or implied, as to the validity, accuracy or completeness of the information provided or to be provided, and nothing herein shall be deemed to constitute a representation, warranty or promise by any such parties as to the future performance of the Property or any other matters set forth herein.

Any obligations to prospective purchasers that the Owner may have with respect to the Property are limited to those expressly set forth in a fully executed Purchase Agreement between the parties. Prospective purchaser’s sole and exclusive rights against the Owner, with respect to this prospective transaction, the Property, or information provided herein or subsequently, shall be limited to those remedies expressly provided in an executed Purchase Agreement, which shall not survive the closing. Further, in no event shall prospective purchasers have any claims against the Owner, Newmark Knight Frank, or any of their respective affiliates for any damages, liability, or causes of action relating to the Purchase Agreement.

Prospective purchasers are not to construe the contents of this Offering or any prior or subsequent information communications from the Owner or any of their respective officers, employees or agents as legal, tax or other advice. Prior to purchasing, prospective purchasers should consult with their own legal counsel and personal and tax advisors to determine the consequences of an investment in the Property and arrive at an independent evaluation of such investment.

No commission or finder’s fee shall be payable to any party by the Owner nor any affiliate or agent thereof in connection with the sale of the Property unless otherwise agreed to by the Owner in writing.

Acquisition of Property such as that offered hereunder involves a high degree of risk and is suitable only for persons and entities of substantial financial means.

Information for Chardonnay is available on our website at www.ngkf.com

0820www.ngkf.com© 2020 Newmark Knight Frank, All Rights ReservedLicensed as Newmark Knight Frank Multifamily in Oklahoma.

Ted Prince T 405-630-0862 [email protected]

Justin Wilson T 405-605-2546 [email protected]

Tim McKay T 405-879-4768 [email protected]

OKLAHOMA CITY OFFICE204 North RobinsonSuite 700 Oklahoma City, OK 73102 T 405-840-1500

Brandon Lamb, CCIM T 918-551-7600 [email protected]

Ben McKay T 405-213-2991 [email protected]

14 units plus retail in okc's paseo arts district...• wilson elementary school (pre-k through...

Documents