4046 mississippi street apartments · investment highlights value-add property the unit interiors...

4657-4663 Oregon Street North Park | 1

APARTMENTS4046 MISSISSIPPI STREET

7 Unit Apartment Community | North Park, San Diego

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Kidder Mathews and should not be made available to any other person or entity without the written consent of Kidder Mathews.

This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Kidder Mathews has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Kidder Mathews has not verified, and will not verify, any of the information contained herein, nor has Kidder Mathews conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

This information has been secured from sources we believe to be reliable. We make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Recipient of this report must verify the information and bears all risk for any inaccuracies.

KIDDER.COM

MERRICK MATRICARDI

[email protected] N° 01348986

CONTACT

ERIC COMER


JIM NEIL


TABLE OF CONTENTS

01INVESTMENT SUMMARY

The OfferingInvestment Highlights

02PROPERTY DESCRIPTION

Property DescriptionUnit AmenitiesAerial

03FINANCIALS

Rent RollIncome & Expense Notes

04COMPARABLES

Sale Comparables Rent Comparables

05MARKET OVERVIEW

Area OverviewDemographicsTransit

01INVESTMENT

SUMMARYTHE OFFERING

INVESTMENT HIGHLIGHTS

4046 MISSISSIPPI STREET APARTMENTS OFFERING MEMORANDUM KIDDER MATHEWS 5

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6 KIDDER MATHEWS OFFERING MEMORANDUM 4046 MISSISSIPPI STREET APARTMENTS

Kidder Mathews is pleased to present 4046 Mississippi Apartments for sale in the desirable North Park submarket of San Diego, California.

THE OFFERING

Kidder Mathews is pleased to present 4046 Mississippi as a well-located asset with a desirable unit mix and significant upside in rents.

Originally constructed in 1981, this well-designed community offers a mix of large 1-bedroom and two-bedroom townhomes. The functional floor plans include in-unit washer and dryers, oversized patios, large storage closets, wood burning

INVESTMENT SUMMARY

fireplaces and vaulted ceilings. The desirable construction and strategic location make it a prime renovation opportunity. Interior and exterior enhancements could result in increased rents.

The property is in the uptown community of North Park, one of San Diego’s trendiest and fastest-growing neighborhoods. In recent years, North Park has become known for its exciting nightlife, shopping, dining, arts, music and exploding craft beer scene.

PROPERTY OVERVIEW

Price $2,400,000

Price Per Unit $342,857

Price Per Square Foot $449

Year Built 1981

Rentable Square Feet 5,350

GRM 17.5

Market GRM 14.9

EXCLUSIVE REPRESENTATION

Kidder Mathews has been selected to exclusively represent 4046 Mississippi Street Apartments. All inquiries about this listing be directed to the lead broker, Jim Neil at 858.369.3083 or at [email protected]


INVESTMENT HIGHLIGHTS

VALUE-ADD PROPERTY The unit interiors are mostly in original condition, which makes the property a prime investment opportunity for investors who are looking to create value. The current rents are significantly under market. With the construction spike in the immediate area bringing a variety of luxury, high-end developments, there is plenty of room to raise rents and close the gap between current rents and the submarket’s highest rents.

EIGHTIES CONSTRUCTION WITH GOOD BONES 4046 Mississippi has pitched roofs, central air, balconies, vaulted ceilings on second floor and large patios.

RECORDED FINAL CONDOMINIUM MAP 4046 Mississippi has a Final Subdivision Tract Map for Condominiums which allows for individual condominium sales.

OPPORTUNITY TO IMPLEMENT RUBS AND RAISE

NOI Current ownership has not implemented a RUBs utility bill back method for water, sewer and trash. There is value-add potential for additional income by implementing a RUBs program.

WALKABLE LOCATION The property is located midway between Park Blvd and 30th Street, two major north/south thoroughfares in the Uptown neighborhoods. The property has a walk score of 88, which means it is walkable to numerous trendy restaurants, eclectic shops, and booming nightlife.

HIP URBAN NEIGHBORHOOD In recent years, the vibrant North Park San Diego community has become known for its exciting nightlife, shopping, dining, and exploding arts and music scene. Forbes’s Magazine named North Park #13 on the list of America’s Hippest Hipster Neighborhoods and Men’s Journal named 30th street “The Nation’s Best Beer Boulevard” thanks to its prominent craft beer culture

STRONG NEIGHBORHOOD DEMOGRAPHICS According to demographic lifestyle data, residents within the 92104 zip code are identified as very upscale and renter focused. The household type is primarily single and demands high-density and multi-unit rental housing.

CONVENIENT TRANSPORTATION NETWORK The property has easy access to 805 freeway which connects to other major San Diego freeways. The property is walking distance to several bus lines, including the Rapid Bus Transit, which offers high-speed, limited stop service between San Diego State University and Downtown.

CLOSE TO EMPLOYMENT CENTERS The subject has excellent proximity to major employment centers including downtown San Diego located 3 miles southwest and Mission Valley located 1 mile north.


114046 MISSISSIPPI STREET APARTMENTS OFFERING MEMORANDUM KIDDER MATHEWS

02PROPERTY

DESCRIPTIONPROPERTY DESCRIPTION

UNIT AMENITIES

AERIAL


MISSISSIPPI STR

EET

PROPERTY DESCRIPTION

Property Address 4046 Mississippi StreetSan Diego, CA 92104

No. of Units 7

APN 445-562-20-00

Square Feet Rentable: ± 5,350 SF

Year Built 1981

Land Area 6,997 SF

Density 43.75 dwelling units/ acre

Parking 13 total spaces including 2 tandem, 6 surfaces spaces and 3 single-car garages

Laundry Units are equipped with electric washer and dryer hook-ups

ZoningRM-3-7 allows 1 dwelling unit per 1,000 square feet of lot area or a maximum of 7 units

CONSTRUCTION

Building Type One, 2-story wood frame building with stucco exterior

Roof Covering Combination of flat and pitched Spanish tile

Windows Single pane aluminum windows

UTILITY SUMMARY

HVAC Central forced air and heat

Water Heating One 100-gallon gas fired water heater

MeteringUnits are separately metered for electric. with 120 amp service to each unit. There is no gas service to the units.

Cooking Energy Electric

PROPERTY DESCRIPTION



UNIT AMENITIESCentral forced air conditioning and heat

Washer & dryer hook ups

Dishwashers

Wood burning fireplace

Private patio or balcony with extra storage

Ceiling fans

Wet bar *

Vaulted ceilings *

* In Select Units

UNIVERSITY AVE

NORTH PARK

SOUTH PARK

BALBOA PARK

DOWNTOWN

CORONADO

SUBJECT PROPERTY

MISSiSSIPPI STREET

85WALK SCORE

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SOUTH VIEW AERIAL


03FINANCIALS

RENT ROLL

INCOME & EXPENSE NOTES

18

RENT ROLLUNIT MIX SUMMARY

Unit No Bed/Bath SF Rent Rent/SF Market Rent Market Rent/SF Move-In

1 1-Bed/ 1-Bath 620 $1,575 $2.54 $1,595 $2.57 06/13/2019

2 2-Bed/ 1.5-Bath Townhome 840 $1,500 $1.79 $2,025 $2.41 10/19/2018




6 2-Bed/ 1-Bath 750 $1,850 $2.47 $1,995 $2.66 10/24/2018

7 1-Bed/ 1-Bath 620 $1,179 $1.90 $1,595 $2.57 10/24/2018

Total 7 5,350 $11,299 $13,285

Average 764 $1,614 $2.11 $1,898 $2.48


FINANCIAL SUMMARY

Price $2,400,000

Price / Unit $342,857

Price / SF $449

GRM 17.5

Market GRM 14.9

INCOME

Garage Income

There are three detached single car garages located in the alley. One garage is rented for $100 per month, one garage is leased to unit 5 at no additional charge and one garage is vacant.

EXPENSES

Real Estate Taxes

Property Taxes are reassessed at time of sale and are based on a millage rate of 1.23199% with a fixed assessment of $174/year.

Property Insurance

The property is currently insured with Travelers Insurance.

Utilities

Water, sewer and trash are paid by the owner.

INCOME & EXPENSE NOTES



04COMPARABLES

SALE COMPARABLES

RENT COMPARABLES

22 4046 MISSISSIPPI STREET APARTMENTS OFFERING MEMORANDUM KIDDER MATHEWS

SALE COMPARABLES

AddressSUBJECT 4046 Mississippi Street

01 4440 Boundary St

023680 Alabama St

031756-1762 Robinson Ave

044011 Idaho St

054184 32nd St

# of Units 7 12 10 8 10 7

Rentable SF 5,350 8,096 10,475 5,712 6,426 6,271

Year Built 1981 1973 Renov 2017 1992 1953 1972 1978 Renov 2018

Date Sold For Sale 11/12/2019 11/12/2019 1/3/2020 6/26/2019 4/29/2019

Sales Price $2,400,000 $4,125,000 $3,650,000 $2,300,000 $2,700,000 $2,475,000

Price/Unit $342,857 $343,750 $365,000 $287,500 $270,000 $353,571

Price/SF $449 $510 $348 $403 $420 $395

Price/Land SF $343 $475 $322 $330 $386 $353

GRM (In Place) 17.5 15.0 17.0 14.2 not known 14.98

Unit Mix2 - 1bd/1ba1 - 2bd/1ba 4 - 2bd/1.5ba TH

8 - 1bd/1ba 2 - 2bd/1ba 2 - 2bd/2ba

10 - 2bd/2ba TH 8 - 2bd/1ba7 - 1bd/1ba 2 - 2bd/1.5ba 1 - 2bd/2ba

4 - 1bd/1ba 2 - 2bd/1.5ba 1 - 3bd/2ba TH

Laundry Washer/dryer hook-ups Common Laundry Facility In-unit washer/dryers Common Laundry Facility Common Laundry Facility Common Laundry Facility

Parking

3 single car garages and 10 surface spaces includ-ing 2 tandem Ratio of 1.86 spaces/unit

12 surface spaces Ratio of 1.0 spaces/unit

3 tandem garages and 14 surface spaces Ratio of 2.0 spaces/unit

None8 surface spaces Ratio of 1.14 spaces/unit

7 surface spaces and 1-garage Ratio of 1.14 spaces/unit

Notes Not renovated.Deep renovation in 2017 to interior and exterior.

Not renovated. Newer construction.

Not renovated. Value-add play for the Buyer.

Not renovated. Value-add play for the Buyer.

Deep renovation in 2018 to interior and exterior.

SAN DIEGO

HILLCREST

NORTH PARK

UNIVERSITY HEIGHTS

NORMAL HEIGHTS

Balboa Park

North Park Community

Park

UNIVERSITY AVE

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ROBINSON AVE

WASHINGTON STLINCOLN AVE

MYRTLE AVE

POLK AVE

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UPAS ST

REDWOOD ST

EL CAJON BLVD EL CAJON BLVD

ORANGE AVE

ADAMS AVE

MADISON AVE

MONROE AVE

LEGEND

1. 4440 Boundary St2. 3680 Alabama St3. 1756-1762 Robinson Ave4. 4011 Idaho St5. 4184 32nd St

SUBJECT PROPERTY

SALE COMP MAP

01

02

05

04

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24 4046 MISSISSIPPI STREET APARTMENTS OFFERING MEMORANDUM KIDDER MATHEWS

RENT COMPARABLES

SUBJECT 01 02 03 04 05Address 4046 Mississippi St 4172 Mississippi St 3954 Mississippi 4078 Hamilton Street 4366 Mississippi Street 3680 Alabama St

City San Diego, CA 92104 San Diego, CA 92104 San Diego, CA 92104 San Diego, CA 92104 San Diego, CA 92104 San Diego, CA 92104

# of Units 7 22 9 10 16 10

Built 1981 1961 not known 1971 Renov 2018 1956 Renov 2018 1992

1BR/1BA 2 18 9 6

Rent $1,575 $1,750 $1,650 $1,856

Avg SF 620 685 700 640

Rent/SF $2.54 $2.55 $2.36 $2.90

2BR/1BA 1 16

Rent $1,850 $2,123

Avg SF 750 765

Rent/SF $2.47 $2.78

2BR/2BA 4 2 4 10 Townhomes

Rent $1,995 $2,050 $2,456 $1,950

Avg SF 840 1,000 855 1050

Rent/SF $2.38 $2.87 $1.86

In-Unit Amenities

Fireplaces, vaulted ceilings

and skylights in select units

Light renovations to select

units including new stainless

steel appliances and

refinished countertops

Light renovation to select

units

Each unit has been

completely remodeled with

new kitchens, bathrooms,

white quartz countertops,

high-end cabinets, stainless-

steel appliances

All new interiors with

stainless steel appliances,

quartz countertops, and

modern bathrooms. Exterior

renovations include new

roofs and signature wood

façade.

No recent renovations.

Newer construction with

fireplaces, skylights.

Property Amenities Secured entry

Secured entry, pool,

community BBQSecured entry Community BBQ

Secured entry, community

BBQSecured entry

Laundry Washer/dryer hookups Common laundry room Common laundry room Common laundry room Common laundry room Washer/dryer hookups

ParkingSurface parking and single

car garagesSurface parking Surface parking

Combination carports and

surfaceSurface parking

Combination tandem

garages and surface parking

SAN DIEGO

HILLCREST

NORTH PARK

UNIVERSITY HEIGHTS

NORMAL HEIGHTS

Balboa Park

North Park Community

Park

UNIVERSITY AVE

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ROBINSON AVE

WASHINGTON STLINCOLN AVE

MYRTLE AVE

POLK AVE

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UPAS ST

REDWOOD ST

EL CAJON BLVD EL CAJON BLVD

ORANGE AVE

ADAMS AVE

MADISON AVE

MONROE AVE

LEGEND

1. 4172 Mississippi St2. 3954 Mississippi St3. 4078 Hamilton St4. 4366 Mississippi St5. 3680 Alabama St

RENT COMP MAP

SUBJECT PROPERTY

01

0203

04

05



05MARKET

OVERVIEWAREA OVERVIEW

DEMOGRAPHICS

TRANSPORTATION

North Park is one of San Diego’s hottest neighborhoods. The surge in interest is tied to the area’s reputation for exciting nightlife, dining and exploding arts and music scene.

Increasingly boutique stores, restaurants and other businesses are joining the established community. North Park’s strategic cultural location and easy access to Interstate 805 and State Route 163 and all points of interest in San Diego are important factors to the area’s appeal. Recent redevelopment and multifamily construction has rapidly increased, as many seasoned developers recognize the transformative nature of the area and seethe opportunity to acquire urban land at a significant value compared to other Downtown San Diego neighborhoods. Some interesting events, attractions and unique cultural aspects of North Park include:

30TH STREET

30th Street is the main north south thoroughfare in North Park. It connects several of the densest urban communities of Central San Diego. The thoroughfare runs through University Heights, Normal Heights, North Park, South Park, Burlingame and Golden Hill. In North Park, 30th Street has high pedestrian activity and offers the community abundant cafes, restaurants, bars and shops. San Diego foodies find their solace within eclectic North Park. The neighborhood boasts some of the most unique eateries and restaurants within the

city. 30th Street specifically features abundant eateries, bars, coffee shops and cafes including Urban Solace, Under Belly, The Smoking Goat Restaurant, Sipz and more.

CRAFT BEER SCENE

Over the last decade, North Park has become well-known nationally for its craft beer culture. In San Diego, 30th Street is the home to the city’s best craft beer bars and beer-friendly restaurants. The neighborhood is home to multiple breweries including Belching Beaver Brewery, Thorn Street Brewery, Modern Times Beer and Mike Hess Brewing. Numerous bars and restaurants specialize in local brews, including Hamilton’s Tavern, Tornado, Waypoint Public, Tiger! Tiger! and Ritual Tavern.

BALBOA PARK

Balboa Park is a 1,200-acre urban cultural park containing open space areas, natural vegetation zones, green belts, gardens, walking paths, museums, several theaters, and the world-famous San Diego Zoo. There are also many recreational facilities and several gift shops and restaurants within the boundaries of the park.

MARKET OVERVIEW NORTH PARK FARMER’S MARKET

Located on Park Way, North Park Farmer’s market offers a trendy and spacious atmosphere with live music, fresh produce and flower sales and exciting food up for purchase. The farmer’s market runs every Thursday from 2 pm to 7 pm.

SDCCU FESTIVAL OF ARTS

The SDCCU Festival Arts is a unique and vibrant neighborhood festival that brings out over 40,000 people from all over San Diego County to celebrate and enjoy live music, art, crafts, delicious foods and some of San Diego’s top Craft Beers. This year will be the 23rd year that North Park is hosting the festival. It is a true representation of the creativity that has come out for North Park.

TASTE OF NORTH PARK

The Taste of North Park is a foodie type festival that which features over 40 food tastes from San Diego’s best restaurants. However this event isn’t just for foodies, for those looking to enjoy some hops while they walk, approximately 15 craft brewers convene in North Park for the day to offer four ounce samples of their best releases.

NORTH PARK TOYLAND PARADEA tradition like unlike no other, the Toyland Parade recently celebrated its 55th year in North Park. Every year the North Park neighborhood comes together to put on a magical display of festive cheer. Local schools, marching bands, historic vintage cards, creative floats and Santa in fire truck walk the parade.

SMALL BUSINESS SATURDAYSThis annual event celebrates small North park businesses by inviting the community to come shop North Park’s local stores. This event takes place once a year and numerous shops offer special promotions for the day.


BALBOA PARK

UNIVERSITY AVE

EL CAJON BLVD

THE OBSERVATORY NORTH PARK

NORTH PARK COMMUNITY PARK

SAN DIEGO INDOOR SOCCER CENTER

HILLCREST FARMER’S MARKET

SUBJECTPROPERTY

AREA AMENITIES

Located in North Park, the property is surrounded by abundant well-known restaurants, coffee shops, night life and entertainment - many of which are walkable. When marketing, we will dive deeper into the North Park community to show the benefits of investing in San Diego’s most sought after and urban communities.


DEMOGRAPHICS


$74,735

AVG HOUSEHOLD INCOME

MEDIAN AGE

36.4

53%MARRIED

46%

BACHELOR’S DEGREE OR HIGHER

70%RENTER’S

81%

DIVERSITY INDEX

47,759POPULATION

2.1

AVG HOUSEHOLD SIZE

WHITE COLLAR EMPLOYMENT

64%

RAPID BUS LINE

North Park is served by the Rapid Bus Line.

The Mid-City Rapid 215 is a ten-mile, high-speed, limited-stop service between San Diego State University (SDSU) and downtown San Diego completed in October 2014. The Rapid Bus line is characterized by faster travel times (38 minutes from end to end), enhanced customer experience, and more frequent service (every 10 minutes during peak period, and every 15 minutes in the off-peak). The Rapid Bus is part of a transportation network providing access to major employment centers including Downtown, Sorrento Mesa, Rancho Bernardo and UTC.

REGIONAL BIKEWAY PROJECT

The Regional Bikeway Project is the creation of bikeways throughout San Diego county to improve travel and to create inviting and convenient bicycle corridors that connect key community destinations, including schools, parks, transit, and commercial centers. The Mid-City bikeway provides bike access to other adjacent bikeways north, east and west of the property. When completed, the corridors will feature design elements that enhance the bicycling and pedestrian experience. Features include traffic calming elements, safer crossings and other streetscape enhancements. Within the Mid-City - North Park bikeway are six bikeway segment. This bikeway connects vibrant communities of North Park, University Heights, Hillcrest, Kensington, Talmadge and City Heights.

NORTH PARK | MID-CITY BIKEWAYS

KeepSanDiegoMoving.com/NorthParkMidCityBikeways

BALBOAPARK

Proposed Georgia – Meade Bikeway

Proposed Monroe Bikeway

Proposed Howard – Orange Bikeway

Proposed University Bikeway

Proposed Robinson Bikeway

Proposed Landis Bikeway

Regional Bikeway Connections

LEGEND

EL CAJON BLVD

EL CAJON BLVD

LINCOLN AVE

HOWARD AVE

UNIVERSITY AVEUNIVERSITY AVE

POLK AVE

LANDIS ST LANDIS ST

WIGHTMAN ST

ORANGE AVE

35TH

ST

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NTRA

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PERS

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ST

UNIVERSITY AVE

UNIVERSITY AVE

MEADE AVE

MONROE AVE

ADAMS AVE

ALAB

AMA

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TEXA

S ST

70TH

ST

ROBINSON AVE

UNIVERSITY HEIGHTS

NORTH PARK

KENSINGTON

TALMADGENORMALHEIGHTS

LEMONGROVE

COLLEGE AREA

CITYHEIGHTS

LA MESA

ROLANDO

HILLCREST

Proposed Georgia – Meade Bikeway


LEGEND

Proposed Howard – Orange Bikeway


Proposed Robinson Bikeway

Proposed Monroe Bikeway (To Be Determined)

Regional Bikeway Connections

STREET CAR

San Diego Association of Governments (SANDAG) is in the preliminary planning stages for a City/Park Streetcar installation. The service would be the first segment of an urban streetcar network that would connect downtown to North Park’s edge (Park & University). The streetcar is included in the 2020 Regional Transportation Plan.

TRANSPORTATION


NORTH PARK | MID-CITY BIKEWAYS

KIDDER.COM

JIM NEIL


EXCLUSIVELY REPRESENTED BY

ERIC COMER

858.369.3084 [email protected] LIC N° 00842230

MERRICK MATRICARDI

858.369.3085 [email protected] LIC N° 01348986

4046 mississippi street apartments · investment highlights value-add property the unit interiors...

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