7900 ney avenue oakland, ca 94605...7900 ney avenue is a great opportunity to own an apartment...

7900 NEY AVENUE

OAKLAND, CA 94605

Price: $1,950,000

Nolan Jones Broker | Real Estate Services

510.398.1622

[email protected]#01509417

Don VitalisAssociate | Real Estate Services

510.398.1621


David WeglarzSenior Partner | Real Estate Services

510.398.1027


www.theprescottcompany.com

Rodger AllenAssociate | Real Estate Services

510.398.1624


7900 NEY AVENUE, OAKLAND, CA 94605

The information contained in this marketing brochure (“Materials”) is proprietary and confidential. It is

intended to be reviewed only by the person or entity receiving it from The Prescott Company (“Agent”).

The Materials are intended to be used for the sole purpose of preliminary evaluation of the subject

property (“Property”) for potential purchase.

The Materials have been prepared to provide unverified summary financial, physical, and market

information to prospective buyers to enable them to establish a preliminary level of interest in potential

purchase of the Property. The Materials are not to be considered fact. The information contained in the

Materials is not a substitute for thorough investigation of the financial, physical, and market conditions

relating to the Property.

The information contained in the Materials has been obtained by Agent from sources believed to be

reliable, however, no representation or warranty is made regarding the accuracy or completeness of the

Materials. Agent makes no representation or warranty regarding the Property, including but not limited to

income, expenses, or financial performance (past, present, or future); size, square footage, condition, or

quality of the land and improvements; presence or absence of contaminating substances (PCB’s, asbestos,

mold, etc.); Compliance with laws and regulations (local, state, and federal); or, financial condition or

business prospects of any tenant (tenant’s intentions regarding continued occupancy, payment of rent,

etc). Any prospective buyer must independently investigate and verify all of the information set forth in the

Materials. Any prospective buyer is solely responsible for any and all costs and expenses incurred in

reviewing the Materials and/ or investigating and evaluating the Property.

By receiving the Materials you are agreeing to the Confidentiality and Disclaimer set forth herein.

All Property showings are by appointment only and must be coordinated through the Agent.

confidentiality & disclaimer


table of contents

property overview 4property summary 4

property highlights 4

property narrative 5

investment highlights 5

floor plans 6

property photos 7

location overview 9regional and local map 9

local context 10

parcel map 11

operating summary 12financial overview 12

rent roll 13

pricing 14

property overview


property highlights▪ 11 UNITS TOTAL, WITH 2 NON-CONFORMING UNITS

▪ GREAT UNIT MIX INCLUDES: (1) STUDIO UNIT (NON-CONFORMING), (3)

SPACIOUS 3X1 UNITS (ONE NON-CONFORMING), AND (7) 2X1 UNITS

▪ GATED, OFF-STREET CARPORT PARKING FOR 10 CARS (9 SPACES ARE

COVERED)

▪ NEW ROOF, SURVEILLANCE CAMERAS AND SECURITY BARS

▪ APPROXIMATELY 28.83% RENTAL UPSIDE CURRENTLY AVAILABLE

APN 040A-3420-038

Property Type Multi-Family

Year Built 1963

Units 11

Stories 3.00

Gross Living Area ± 9,390 SF

Parcel Size ± 13,500 SF

Parking Off-Street Carport Spaces

Occupancy Rate 91%

property summary

Gas Tenant

Electric Tenant

Water Owner

Garbage Owner

utilities


7900 Ney Avenue offers investors an opportunity to purchase a multi-family property with a great

unit mix, spacious floor plans and tremendous upside. Built in 1963, 7900 Ney Avenue is a three-

story, wood-framed building with stucco exterior, that sits on a spacious 13,500 square foot lot

with 9,390 rentable square feet. There are 11 units total – 9 legal units and 2 non-conforming

units. The diverse unit mix includes (1) studio unit (non-conforming), (3) spacious three bedroom,

one bathroom units (one non-conforming), and (7) two bedroom, one bathroom units. There is

gated carport parking for up to 9 vehicles, with a tenth uncovered stall.

The subject property is located directly across the street from Parker Elementary School, making

this building attractive to east Oakland families. The subject property is also conveniently located

near the Oakland Airport, Oakland Coliseum, Downtown Oakland, AC Transit, and just minutes

away from both I-880 and I-580.

7900 Ney Avenue has undergone some recent improvements including new roof in 2017, new

quick release security bars, surveillance cameras, as well as various unit upgrades. Investors

should also note that there is approximately 28.83% rental upside available.

7900 Ney Avenue is a great opportunity to own an apartment building with strong cash flow,

diverse mix of large units, and substantial upside.

property overview

investment highlights▪ 7.24% cap rate / 10.68% cap rate pro forma

▪ 8.13 GRM / 6.31 GRM pro forma

▪ $177,273 per unit / $207.67 per square foot

▪ 9.96% cash-on-cash return / 13.72% total return

property narrative


property overview

3 bedroom floor plan

2 bedroom floor plan


property overview

exterior photos


property overview

interior photos


location overview

PROPERTY

regional and local maps

PROPERTY


location overview

local context map

PROPERTY


location overview

PROPERTY

parcel map

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied as to the accuracy

of this information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.


operating summary

financial overviewLOCATION ANNUALIZED OPERATING DATA

7900 Ney Avenue

Oakland, CA 94605

CURRENTPRO

FORMAINCOME CURRENT

PRO

FORMA

Price $1,950,000 $1,950,000 Gross Potential Rent $239,844 $309,000

Down Payment 30% $585,000 $585,000 Other Income $0 $0

Number of Units 11 11 Gross Potential Income $239,844 $309,000

Price/Unit $177,273 $177,273 Less: Vacancy/Deductions (GPR) 3.00% $7,195 $9,270

Rentable Square Feet 9,390 9,390 Effective Gross Income $232,649 $299,730

Price/SF $207.67 $207.67 Less: Expenses $91,415 $91,415

Cap Rate - Current 7.24% 10.68% Net Operating Income $141,234 $208,315

GRM - Current 8.13 6.31 Debt Service $82,995 $82,995

Year Built 1963 1963 Net Cash Flow After Debt Service 9.96% $58,239 $125,320

Lot Size 13,500 13,500 Principal Reduction $22,021 $22,021

Total Return 13.72% $80,260 $147,341

FINANCING* EXPENSES

Real Estate Taxes 1.3486% $26,298 $26,298

FIRST TRUST DEED Special Assessments $3,979 $3,979

Loan Amount $1,365,000 PG&E (Estimated) $7,303 $7,303

Interest Rate 4.50% Garbage (Estimated) $12,100 $12,100

Amortization (years) 30 Water (Estimated) $9,597 $9,597

Repairs/Maintenance (Est. @ $650/unit) $7,150 $7,150

Insurance (Estimated) $5,500 $5,500

Management Fee (% of EGI) 5.00% $11,632 $14,987

Reserves/Replacements (Est. @ $350/unit) $3,850 $3,850

Oakland Business Tax (% of EGI) 1.40% $3,257 $4,196

Oakland Rent Board Fee ($68 per unit) $748 $748

SCHEDULED INCOME Total Expenses $91,415 $95,708

Expenses / Unit $8,310 $8,701

Expenses / SF $9.74 $10.19

1 Studio 490 $742.00 $1.51 $742 $1,500.00 $1,500 39.29% 31.93%

7 2x1 800 $1,842.14 $2.30 $12,895 $2,200.00 $15,400

3 3x1 1,100 $2,116.67 $1.92 $6,350 $2,950.00 $8,850

Totals 9,390 $19,987 $25,750

*Loan information is time sensitive and subject to change.

Please contact a Prescott Company representative for up-to-date information.

Expenses % of EGI

PF MONTHLY

INCOMEPF RENTS

MONTHLY

INCOME

RENT

PER SF

CURRENT

RENTSAVG. SF

UNIT

TYPENO.




rent roll

operating summary

UNIT

NO.

NO.

BR

NO.

Bath NOTES

UNIT

SF

CURRENT

RENT

RENT

PER SF PF RENT

PF RENT

PER SF OCC.

1 2 1 800 $1,950.00 $2.44 $2,200.00 $2.75 Y

2 2 1 800 $1,395.00 $1.74 $2,200.00 $2.75 Y

3 2 1 800 $1,950.00 $2.44 $2,200.00 $2.75 Y

4 2 1 Vacant 800 $2,200.00 $2.75 $2,200.00 $2.75 N

5 3 1 1,100 $2,100.00 $1.91 $3,000.00 $2.73 Y

6 2 1 800 $1,950.00 $2.44 $2,200.00 $2.75 Y

7 2 1 800 $1,500.00 $1.88 $2,200.00 $2.75 Y

8 2 1 800 $1,950.00 $2.44 $2,200.00 $2.75 Y

9 3 1 1,100 $1,850.00 $1.68 $3,000.00 $2.73 Y

9A 3 1 Non-Conforming 1,100 $2,400.00 $2.18 $2,850.00 $2.59 Y

9B 0 1 Non-Conforming 490 $742.00 $1.51 $1,500.00 $3.06 Y

800 $2,200 1

8,590 $17,787 10

9,390 $19,987 $25,750 11

TOTAL OCCUPIED

TOTAL VACANT

TOTAL




pricing

operating summary

LIST PRICE

Price $1,950,000

Down Payment 30% $585,000

First Trust Deed/Mortgage $1,365,000

Interest Rate/Amortization 4.50%

Net Operating Income $141,234

CASH FLOW ANALYSIS

Debt Service $82,995

Debt Coverage Ratio 1.70

Net Cash Flow After Debt Service $58,239

Cash on Cash Return % 9.96%

Principal Reduction $22,021

Total Return $80,260

Total Return % 13.72%

VALUE INDICATORS

CAP Rate 7.24%

GRM 8.13

Price / Unit $177,273

Price / SF $207.67

We strive to build high quality relationships, generated through honest communication,

tireless work ethic, and by providing clients with overall excellent service and flawless

execution. The priority of The Prescott Company is to achieve the absolute best price and

terms for our client’s real estate, meet or exceed our client’s needs and to continue to

conduct repeat business for years to come.

We believe that the core of our company stems largely from the culture that we have

created through the values that we practice.

▪ Integrity

▪ Humility

▪ Accessibility

▪ Dynamic

▪ Tireless Work Ethic

▪ Enjoyable Work Environment

▪ Relationship Driven And Not Commission Driven

www.theprescottcompany.com

7900 ney avenue oakland, ca 94605...7900 ney avenue is a great opportunity to own an apartment...

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