for sale multifamily investment herbshire ......311 - 7th st. s & 401 - 7th st. s, waite park,...

PRESENTED BY: RICE REAL ESTATE SERVICES1019 Industrial Drive South, Sauk Rapids, MN 56379320.257.5400 | RICEPROPERTIES.COM

FOR SALEMULTIFAMILY INVESTMENT

HERBSHIRE APARTMENTS

311 - 7th St. S & 401 - 7th St. SWaite Park, MN 56387

CURRAN POGANSKIBROKER | [email protected]

CASEY O’MALLEYPRIMARY BROKER | [email protected]

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This Marketing Brochure has been prepared to provide summary information to potential buyers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a complete due diligence inspection. Rice Real Estate Services has not made any investigation, and makes no warranty or representation, with respect to the income and expenses for the subject property, nor future projected financial performance of the property or other salient facts or information regarding the subject property.

The information contained in this Marketing Brochure has been obtained from sourced we believe to be reliable, however, Rice Real Estate has not verified and will not verify any of the information contained herein, nor has Rice Real Estate 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 the information set forth herein.

Tax questions should be discussed by the buyer with an accountant or tax attorney. Title questions should be discussed by the party with the title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable government requirements should be discussed by the buyer with appropriate engineers, architects, contractors, other consultants and government authority. Legal questions should be discussed by the buyer with legal professionals. All services are marketed by Rice Real Estate comply with applicable fair housing and equal opportunity laws.

Rice Real Estate Services | Multifamily Investment OfferingINFORMATION FROM SOURCES DEEMED RELIABLE BUT NOT GUARANTEED

CONFIDENTIALITY & DISCLAIMER:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

CONFIDENTIALITY & DISCLAIMER:

OFFERING SUMMARY:

Asking Price: $3,224,327

Units: 48• 16 One-Bedroom• 8 Two-Bedroom (745SF)• 24 Two Bedroom (820SF)• 3 story walk-up• Steel siding and brick exterior

Number of buildings: 2

Number of Garages: 12 stalls, 2 buildings

Cap Rate: 7.00%

NOI (based off Market Rents): $225,702.90

Year Built: 1977

PID: 98.60860.0000 & 98.60860.0000

PROPERTY INFORMATION:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

of 13Rice Real Estate Services | Multifamily Investment OfferingINFORMATION FROM SOURCES DEEMED RELIABLE BUT NOT GUARANTEED

The Herbshire Apartments are located in Waite Park and within the County of Stearns. Waite Park is a western suburb of Saint Cloud and is the main retail hub of the city, anchored by Crossroads Mall which is approximately one mile north of the subject property. The high retail density near the subject property provides tenants with a vast amount of employment opportunities within walking distance even during the winter months. The City of Waite Park includes two major thoroughfares, Hwy 23 and CR 75, which connect I94 to the west and HWY 10 to the east. HWY 23 is less than 1 mile north of the property and features retailers such as Menards, Home Depot, Dollar Tree, Dicks Sporting Goods, Hobby Lobby, ALDI, Starbucks, Fresh Thyme and Kohl’s, as well as many others.

Surrounding neighborhoods to the north and west of the subject are home to many large manufacturing/construction/distribution companies such as, Bernicks, McDowall Company, International Precision Machining, Starrett Tru Stone, Stone Holding Company, and Bens Structural Fabrication.

In addition to the close proximity to jobs, the property is directly across 7th St S from Discovery Community School and Quarryview Education Center. Quarryview Education Center is a 68,000 SF early childhood education center that was completed July 1 of 2018 at a total cost of roughly $14.5 Million. The Center houses early childhood classes for children from birth to age 5 and their families, as well as early intervention programming and preschool classes.

LOCATION INFORMATION:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

LOCATION OVERVIEW:


• 20 tenants have been there longer than 5 years• 42 of 48 units have been updated• New garage roof in 2016• Both water heaters replaced in 2015/16• Entire parking lot resurfaced and striped in 2019• Boilers replaced in 2013/14• 1 vacant unit (under remodel)• Historical occupancy very strong, reflected in

consistent rental income• Clean and well maintained by owner/manager• Directly across the street from k-6 Elementary

School and Early Childhood Education Center


SALE HIGHLIGHTS:

KITCHEN BATHROOM

INTERIOR ENTRY WAY



311 7th St. S &401 7th St.

PROPERTY LOCATION:



PROPERTY AERIALS:

311 7th St S.401 7th St S.


FINANCIAL ANALYSIS:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

PROFORMA:

Market Rents $384,961.00

Garage Income $10,080.00

Laundry Income $12,000.00

LESS Vacancy @ 5% ($19,248.05)

Effective Gross Income $387,792.95

Expenses

Real Estate Taxes (2020 Payable) $40,310.00

Professional Management $19,248.05

Pest Control (2019 Actual) $1,200.00

Trash (2019 Actual) $4,416.00

Water/ Sewer (2019 Actual) $21,948.00

Insurance (2019 Actual) $15,180.00

Laundry Machine Rental (2019 Actual) $3,060.00

Utilities - Gas/ Electric (2019 Actual) $16,716.00

Repairs and maintenance ($1.00 PSF) $35,512.00

Snow Removal/ Lawn Care (2020 Est) $4,500.00

Total Expenses $162,090.05

NOI $225,702.90



311 7th St S. Rent Per Month Rent SF Per Month

Unit # Unit Type SQ FT Current Market Current Market

101 2 820 $640.00 $713.40 $0.78 $0.87

102 2 820 $575.00 $713.40 $0.70 $0.87

103 1 617 $500.00 $610.83 $0.81 $0.99

104 1 617 $545.00 $610.83 $0.88 $0.99

105 1 617 $545.00 $610.83 $0.88 $0.99

106 1 617 $475.00 $610.83 $0.77 $0.99

107 2 820 $640.00 $713.40 $0.78 $0.87

108 2 820 $615.00 $713.40 $0.75 $0.87

201 2 820 $625.00 $713.40 $0.76 $0.87

202 2 820 $625.00 $713.40 $0.76 $0.87

203 1 617 $540.00 $610.83 $0.88 $0.99

204 2 745 $535.00 $648.15 $0.72 $0.87

205 2 745 $525.00 $648.15 $0.70 $0.87

206 1 617 VACANT $610.83 VACANT $0.99

207 2 820 $600.00 $713.40 $0.73 $0.87

208 2 820 $640.00 $713.40 $0.78 $0.87

301 2 820 $625.00 $713.40 $0.76 $0.87

302 2 820 $645.00 $713.40 $0.79 $0.87

303 1 617 $500.00 $610.83 $0.81 $0.99

304 2 745 $540.00 $548.15 $0.72 $0.87

305 2 745 $560.00 $648.15 $0.75 $0.87

306 1 617 $450.00 $610.83 $0.73 $0.99

307 2 820 $625.00 $713.40 $0.76 $0.87

308 2 820 $625.00 $713.40 $0.76 $0.87

RENT ROLLS:



401 7th St S. Rent Per Month Rent SF Per Month

Unit # Unit Type SQ FT Current Market Current Market

101 2 820 $555.00 $713.40 $0.68 $0.87

102 2 820 $635.00 $713.40 $0.77 $0.87

103 1 617 $540.00 $610.83 $0.88 $0.99

104 1 617 $540.00 $610.83 $0.88 $0.99

105 1 617 $520.00 $610.83 $0.84 $0.99

106 1 617 $525.00 $610.83 $0.85 $0.99

107 2 820 $640.00 $713.40 $0.78 $0.87

108 2 820 $615.00 $713.40 $0.75 $0.87

201 2 820 $625.00 $713.40 $0.76 $0.87

202 2 820 $640.00 $713.40 $0.78 $0.87

203 1 617 $500.00 $610.83 $0.81 $0.99

204 2 745 $580.00 $648.15 $0.78 $0.87

205 2 745 $580.00 $648.15 $0.78 $0.87

206 1 617 $475.00 $610.83 $0.77 $0.99

207 2 820 $615.00 $713.40 $0.75 $0.87

208 2 820 $555.00 $713.40 $0.68 $0.87

301 2 820 $540.00 $713.40 $0.66 $0.87

302 2 820 $640.00 $713.40 $0.78 $0.87

303 1 617 $525.00 $610.83 $0.85 $0.99

304 2 745 $560.00 $548.15 $0.75 $0.87

305 2 745 $560.00 $648.15 $0.75 $0.87

306 1 617 $540.00 $610.83 $0.88 $0.99

307 2 820 $585.00 $713.40 $0.71 $0.87

308 2 820 $625.00 $713.40 $0.76 $0.87

Total $35,512.00 $26,910.00 $32,080.08 $0.78 $0.91

SF Per Mo. Per Mo. Per SF Per SF

RENT ROLLS:


RENT COMPARABLES:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

RENT COMPARABLES:

Comparable #

Name Address # of beds

SF Rent Rent/ SF

Year Built

1 Carrington Apartments 701 7th St SWaite Park

12

620805

$665.00$775.00

$1.07$0.96

1975

2 Avonlea Apartments 601 7th St SWaite Park

12

660804

$596.00$661.00

$0.90$0.82

1975

3 The Afton Apartments 525 2nd Ave SWaite Park

12

550750

$650.00$775.00

$1.18$1.03

1975

4 Bright River Estates 1 Rivercrest DrSt. Cloud

12

660770

$575.00$605.00

$0.87$0.79

1975

5 Silver Creek Estates 511 7th St SWaite Park

12

660804

$596.00$661.00

$0.90$0.82

1988

Averages 5 Properties 12

$0.99$0.87

1

3

25

4

CROSSROADSCENTER

HWY 23 - 2ND ST S

HW

Y 1

5


ADVISOR BIOS:311 - 7th St. S & 401 - 7th St. S, Waite Park, MN 56387

// CURRAN POGANSKIEMAIL: [email protected]: 320.291.9297BIO:Curran was born and raised in Central Minnesota, with his teenage years being spent learning construction trades while working with multiple subcontractors. He graduated from St. Cloud State University with a B.A. in Business Economics upon graduation, Curran worked for Northmarq Capital as a Portfolio Analyst, managing a diverse portfolio of commercial mortgages in the retail, office and multi-family sectors. Curran returned to Central Minnesota and transitioned into community banking as a Credit Analyst, however his desire for customer interaction and his natural relationship management abilities made a for a quick transition into the role of a Commercial Lender. Curran brings a unique skill set to his customers, having a background focused on finance, real estate finance, credit, real estate lending, negotiation and relationship management. Curran spends his free time with his loving wife chasing around their two young girls. He is also an avid outdoorsman and is always willing to hear and share good hunting stories and adventures with co-workers and customers.

// CASEY O’MALLEYEMAIL: [email protected]: 320.260.6815BIO:Casey O’Malley is the Primary Broker-President of Rice Commercial Real Estate Services. Prior to joining Rice Properties, Casey was the Vice President at INH Commercial Real Estate where he specialized in Commercial Sales, Leasing and Development. Casey relies on his in-depth market knowledge, research skills/resources and his financial analysis capabilities to help Client’s make informed, complete and sound Real Estate decisions.

Mr. O’Malley is a native of Central Minnesota and graduated from Saint John’s University where he earned a B.A in Communications. He has nearly a decade of Commercial Real Estate experience in the St. Cloud Market and is a member of industry related programs such as; MNCar Exchange, Loop Net, Co-Star and CCIM designee.

Since entering the Commercial Real Estate Industry, Casey’s excellent communication skills, strong work ethic and experience in the industry has helped him build and develop relationships with Clients such as AIM (Canada), Geringhoff (Germany), Edmonton Manufacturing (Canada) and various other private equity groups throughout Central Minnesota.

Casey’s primary focus at Rice Real Estate Services is not to only meet, but to exceed the Client’s goals and expectations and continually earn their business again and again.


for sale multifamily investment herbshire ......311 - 7th st. s & 401 - 7th st. s, waite park,...

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