Download - INVESTMENT OFFERING - LoopNet
24 UNITS
INVESTMENTOFFERING
THE ACADIA NORTHAPARTMENTS
133 SOUTH 900 EASTSALT LAKE CITY, UT
170 South Main Street, Suite 1600Salt Lake City, UT cushmanwakefield.com
Contact
KIP PAULVice Chairman - Investment Sales +1 801 303 5555 [email protected]
JORGI PAULSenior Associate - Investment Sales +1 801 303 5570 [email protected]
RHETT BUEDirector - Investment Sales +1 801 303 5416 [email protected]
THE ACADIA NORTH133 South 900 East | Salt Lake City, UT
This Investment Offering provides the opportunity to acquire THE ACADIA NORTH, 24 newly renovated apartments located centrally between downtown Salt Lake City and the University of Utah.
HIGHLIGHTS INCLUDE:
• Quality location in urban area
• Property features over $1mm in recent improvements ($45,000/unit), with all units renovated identically
• Exterior renovation consisted of transforming the façade from a brick veneer to a mixture of dark metals, rich hardwood buildouts and a contemporary paint scheme to provide a sophisticated, modern appearance
• Functional obsolescence was cured in the form of central HVAC, energy efficient vinyl windows, combination washer/dryer units, and LED lighting throughout
• Interior renovation consisted of open floor plan configuration and high-end finishes including matte black plumbing and lighting fixtures, Stratamax flooring, tile backsplashes and tub surrounds, quartz countertops, and stainless-steel appliances
• In-place avg. rental rate of $1,128/mo. ($1.92 psf)
• Sufficient surface parking of one space per unit (includes four covered parking spaces)
INVESTMENT SUMMARY
Unit Mix: 1 BR, 1 BA (avg. 569 sf): 18 units2 BR, 1 BA (avg. 642 sf): 6 unitsTotal: 24 units
Site Size: 0.45 acres
Parcel Number: 16-05-133-029
Age: 1967/2018
Zoning: RMF-35
VALUE
Sales Price: $5,065,000 ($211,042/unit)
Cap Rate: 4.80% (In-Place NOI)5.30% (Proforma NOI)
Buyer to Assume Exiting Debt
Please see Operating Statement for Details
Cash on Cash Return:
6.01% (In-Place NOI)7.28% (Proforma NOI)
Contact
KIP PAULVice Chairman - Investment Sales +1 801 303 5555 [email protected]
JORGI PAULSenior Associate - Investment Sales +1 801 303 5570 [email protected]
RHETT BUEDirector - Investment Sales +1 801 303 5416 [email protected]
THE ACADIA NORTH133 South 900 East | Salt Lake City, UT
INCOME STATEMENT
Income T-12 (May)In-Place Income &T-12 Expenses Proforma
Rent $ 329,605 $ 324,900 (Avg. $1,128/mo. - $1.92 psf)
$ 358,560 (Avg. $1,245/mo. - $2.12 psf)
Parking $ 7,014 $ 7,200 ($25/space/mo. - 24 spaces)
$ 30,794Internet $ 16,839 $ 17,340
($60/u/mo.)
Insurance, Taxes, Pet Rent $ 6,941 $ 8,016
RUBS $ 10,312 $ 10,312 $ 10,312
Other $ 4,139 $ 4,139 $ 4,139
Total Income $ 374,850 $ 371,907 $ 403,805
Collection Loss/Bad Debt <$ 314> n/a n/a
Concessions <$ 1,643> n/a <$ 1,793>
Vacancy <$ 8,778> (2.7%) <$ 11,157> (3%) <$ 17,928> (4%)
Gross Operating Income $ 364,115 $ 360,750 $ 384,084
Expenses
Admin/Licenses & Permits $ 12,416 $ 12,416 $ 11,783
Marketing $ 2,211 $ 2,211 $ 2,211
Utilities $ 9,263 $ 9,263 $ 9,263
Contract Services $ 6,823 $ 6,823 $ 6,823
Repairs & Maintenance $ 7,361 $ 7,361 $ 7,361
Turnover $ 4,891 $ 4,891 $ 4,891
Payroll $ 33,385 $ 33,385 $ 33,385
Management Fee $ 12,666 (3.5%) $ 12,626 (3.5%) $ 11,523 (3%)
Insurance $ 5,974 $ 5,974 $ 5,974
Real Estate Taxes $ 19,614 (2019 Actual)
$ 22,804 (2020 Anticipated)
$ 22,804 (2020 Anticipated)
Total Expenses $ 114,605 ($4,775/u/yr)
$ 117,755 ($4,906/u/yr)
$ 116,018 ($4,834/u/yr)
Net Operating Income $ 249,511 $ 242,995 $ 268,066
Contact
KIP PAULVice Chairman - Investment Sales +1 801 303 5555 [email protected]
JORGI PAULSenior Associate - Investment Sales +1 801 303 5570 [email protected]
RHETT BUEDirector - Investment Sales +1 801 303 5416 [email protected]
THE ACADIA NORTH133 South 900 East | Salt Lake City, UT
TRANSACTION STRUCTURE - IN-PLACE NOIValue at 4.80% Cap Rate $ 5,065,000 ($211,042/unit)
Equity - 39% $ 1,968,000
Debt Assumption $ 3,097,000
Net Operating Income $ 242,995 (In-Place)
Debt Service $ 124,800
Cash Flow $ 118,195
Cash on Cash Return 6.01%
TRANSACTION STRUCTURE - PROFORMA NOIValue at 5.30% Cap Rate $ 5,065,000 ($211,042/unit)
Equity - 39% $ 1,968,000
Debt Assumption $ 3,097,000
Net Operating Income $ 268,066 (Proforma)
Debt Service $ 124,800
Cash Flow $ 143,266
Cash on Cash Return 7.28%
BUYER TO ASSUME EXISTING DEBT• Fannie Mae, Tier III Loan
• Non-recourse, no warm body carveouts, no monthly escrows for reserves, taxes, or insurance
• Remaining Principal: $3,097,000
• Monthly Payment: $10,400 (Full Term I/O at 3.9%)
• 6 Years remaining (due date of Note is 84 months from 5/31/19)
• Prepayment penalty – 44 months left of yield maintenance, then 1% of principal balance thereafter
• Supplemental debt available until 05/31/2021
Contact
KIP PAULVice Chairman - Investment Sales +1 801 303 5555 [email protected]
JORGI PAULSenior Associate - Investment Sales +1 801 303 5570 [email protected]
RHETT BUEDirector - Investment Sales +1 801 303 5416 [email protected]
THE ACADIA NORTH133 South 900 East | Salt Lake City, UT
RENT ROLL
Unit No. Unit TypeUnit
Size (SF)LeaseEnd
MonthlyRent
MonthlyRent PSF Media Parking Taxes Insurance Pet
1 2 BDR/ 1 BTH 641 Rented $ 1,195 $1.86 $ 60 $ 25 $ 10 $ 12
2 1 BDR/ 1 BTH 536 9/30/2020 $ 995 $1.86 $ 60 $ 25 $ 10 $ 12
3 1 BDR/ 1 BTH 534 Vacant $ 995 $1.86 $ 60 $ 25 $ 10 $ 12
4 1 BDR/ 1 BTH 571 3/31/2021 $ 1,095 $1.92 $ 60 $ 25 $ 10 $ 12 $ 35
5 1 BDR/ 1 BTH 570 7/31/2020 $ 1,195 $2.10 $ 60 $ 25 $ 10 $ 12
6 1 BDR/ 1 BTH 572 8/31/2020 $ 1,025 $1.79 $ 60 $ 25 $ 10 $ 12 $ 35
7 1 BDR/ 1 BTH 574 8/31/2020 $ 1,095 $1.91 $ 60 $ 25 $ 10 $ 12
8 2 BDR/ 1 BTH 637 Rented $ 1,195 $1.88 $ 60 $ 25 $ 10 $ 12
9 2 BDR/ 1 BTH 645 9/30/2020 $ 1,350 $2.09 $ 60 $ 25 $ 10 $ 12
10 1 BDR/ 1 BTH 571 7/31/2020 $ 1,045 $1.83 $ 60 $ 25 $ 10 $ 12
11 1 BDR/ 1 BTH 573 6/30/2020 $ 1,045 $1.82 $ 60 $ 25 $ 10 $ 12
12 1 BDR/ 1 BTH 573 4/30/2021 $ 1,045 $1.82 $ 60 $ 25 $ 10 $ 12
13 1 BDR/ 1 BTH 572 Vacant $ 1,045 $1.83 $ 60 $ 25 $ 10 $ 12
14 1 BDR/ 1 BTH 574 3/31/2021 $ 1,095 $1.91 $ 60 $ 25 $ 10 $ 12
15 1 BDR/ 1 BTH 576 6/30/2021 $ 995 $1.73 $ 60 $ 25 $ 10 $ 12
16 2 BDR/ 1 BTH 641 6/30/2021 $ 1,245 $1.94 $ 65 $ 25 $ 12 $ 10
17 2 BDR/ 1 BTH 645 6/30/2020 $ 1,245 $1.93 $ 60 $ 25 $ 10 $ 12
18 1 BDR/ 1 BTH 571 4/30/2021 $ 1,145 $2.01 $ 60 $ 25 $ 10 $ 12 $ 35
19 1 BDR/ 1 BTH 573 8/31/2020 $ 1,095 $1.91 $ 60 $ 25 $ 10 $ 12
20 1 BDR/ 1 BTH 573 5/31/2021 $ 1,125 $1.96 $ 60 $ 25 $ 10 $ 12
21 1 BDR/ 1 BTH 572 6/30/2020 $ 1,195 $2.09 $ 60 $ 25 $ 10 $ 12
22 1 BDR/ 1 BTH 574 2/28/2021 $ 1,225 $2.13 $ 60 $ 25 $ 10 $ 12 $ 35
23 1 BDR/ 1 BTH 576 Vacant $ 1,095 $1.90 $ 60 $ 25 $ 10 $ 12
24 2 BDR/ 1 BTH 641 9/30/2020 $ 1,295 $2.02 $ 60 $ 25 $ 10 $ 12
24 Units 14,085 $27,075 $1.92 $1,445 $600 $242 $286 $140
SUMMARY
Units Unit TypeAvg. UnitSize (SF)
Avg. MonthlyRent
MonthlyRent PSF
18 1 BDR/ 1 BTH 569 $1,086 $1.91
6 2 BDR/ 1 BTH 642 $1,254 $1.95
24 587 $1,128 $1.92
15
1580
80
80
80
215 215
80
UTA FrontRunner
UTA FrontRunner
TRAX Green Line
TRAX Green Line
TRAX S-LineTRAX S-Line
LibertyPark
Sugar HousePark
TRAX Red Line
TRAX Red Line TRAX Main Line
TRAX Main Line
400 South200 South
North Temple Street
South Temple StreetMain Street
300 West
State Street
900 South
1300 South
toPark City
Intermodal Intermodal HubHub
TRAXTRAX
Blue Line
Blue Line
UTA FrontRunner
UTA FrontRunner
Imagery: Google Earth/Landsat/Copernicus
CBD and CBD and PeripheryPeriphery
The Granary The Granary DistrictDistrict
The AvenuesThe Avenues
Sugar HouseSugar HouseUrban CoreUrban Core
HistoricTrolley Square
THE ACADIA NORTH
39 MinuteDrivetime(approx.)
40 MinuteDrivetime(approx.)
39 MinuteDrivetime(approx.)
9th & 9thDistrict
Contact
©2020 Cushman & Wakefield. All rights reserved. The information contained in this communication is strictly confidential. This information has been obtained from sources believed to be reliable but has not been verified. NO WARRANTY OR REPRESENTATION, EXPRESS OR IMPLIED, IS MADE AS TO THE CONDITION OF THE PROPERTY (OR PROPERTIES) REFERENCED HEREIN OR AS TO THE ACCURACY OR COMPLETENESS OF THE INFORMATION CONTAINED HEREIN, AND SAME IS SUBMITTED SUBJECT TO ERRORS, OMISSIONS, CHANGE OF PRICE, RENTAL OR OTHER CONDITIONS, WITHDRAWAL WITHOUT NOTICE, AND TO ANY SPECIAL LISTING CONDITIONS IMPOSED BY THE PROPERTY OWNER(S). ANY PROJECTIONS, OPINIONS OR ESTIMATES ARE SUBJECT TO UNCERTAINTY AND DO NOT SIGNIFY CURRENT OR FUTURE PROPERTY PERFORMANCE. path: U:\1 - Projects\Paul, K\1 - Flyers\133s900e
KIP PAULVice Chairman - Investment Sales +1 801 303 5555 [email protected]
JORGI PAULSenior Associate - Investment Sales +1 801 303 5570 [email protected]
RHETT BUEDirector - Investment Sales +1 801 303 5416 [email protected]
THE ACADIA NORTH133 South 900 East | Salt Lake City, UT