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MULTI-FAMILY APARTMENT COMPLEX FOR SALE 435 Fulton Avenue, San Antonio, Texas 78212
TC AUSTIN REALTY ADVISORS
12950 Country Parkway. Suite 180
San Antonio, Texas 78216
Phone 210-495-5015
www.tcaustin.com
MICHEAL E. REYNA, CCIM, CPM, CRE President
210.325.3397
TROY R. VAN BRUNT Vice President
210.495.5015
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OFFERING NOTES
TC Austin Realty Advisors (“Broker”) has been retained on an exclusive basis to market the property described herein (“Property”). Broker has been authorized by the Seller of the Property (“Seller”) to prepare and distribute the enclosed information (“Material”) for the purpose of soliciting offers to
purchase from interested parties. More detailed financial, title and rent roll information may be made available upon request following the mutual execution of a letter of intent or contract to purchase between the Seller and a prospective purchaser. You are invited to review this opportunity and make an
offer to purchase based upon your analysis. If your offer results in the Seller choosing to open negotiations with you, then you will be asked to provide financial references. The eventual purchaser will be chosen based upon an assessment of price, terms, ability to close the transaction, and such other
matters as the Seller deems appropriate. The Material is intended solely for the purpose of soliciting expressions of interest from qualified investors for the acquisition of the Property. The Material is not to be copied and/or used for any other purpose or made available to any other person without the
express written consent of Broker or Seller. The Material does not purport to be all-inclusive or to contain all of the information that a prospective buyer may require. The information contained in the Material has been obtained from the Seller and other sources and has not been verified by the Seller or
its affiliates. The pro forma is delivered only as an accommodation and neither the Seller, Broker, nor any of their respective affiliates, agents, representatives, employees, parents, subsidiaries, members, managers, partners, shareholders, directors, or officers, makes any representation or warranty
regarding such pro forma. Purchaser must make its own investigation of the Property and any existing or available financing, and must independently confirm the accuracy of the projections contained in the pro forma. Seller reserves the right, for any reason, to withdraw the Property from the market.
Seller has no obligation, express or implied, to accept any offer. Further, Seller has no obligation to sell the Property unless and until the Seller executes and delivers a signed agreement of purchase and sale on terms acceptable to the Seller, in its sole discretion. By submitting an offer, a purchaser will
be deemed to have acknowledged the foregoing and agreed to release Seller and Broker from any liability with respect thereto. Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information.
DISCLAMIER
TROY VAN BRUNT
Vice President
956.763.6811
MICHEAL E. REYNA CCIM, CPM, CRE
President
210.325.3397
Purchasers wishing to make an offer on the property are requested to submit:
• Letter of intent
• Lender or Bank funding Letter with Offer
Upon receipt of an acceptable Letter of Intent, a Purchase and Sale
Agreement shall be provided.
PLEASE DO NOT CONTACT THE PROPERTY DIRECTLY. TENANTS ARE NOT TO BE DISTURB. TOURS
WILL BE SCHEDULED AFTER ESCROW. Seller reserves the right to remove the property from the market
at any time. Seller expressly reserves the right, in its sole and absolute discretion, to accept a preemptive
offer, to reject any and all proposals or expressions of interest in the property or to terminate discussions
with any party at any time.
OFFERING PROCEDURES
TOURING NOTICE
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TABLE OF CONTENTS
EXECUTIVE SUMMARY………………………………………………………………………………………………………………...….5
THE PROPERTY………………………………………………………………………………………………………..…………………....6
LOCATION MAP………………………………………………………………………………………………………………………..7
AERIALS………………………………………………………………………………………………………...……………………..9
PHOTOS………………………………………………………………………………………………………...……………………11
THE FINANCIALS……….……………………………………………………………………………………………..…………………...12
FINANCIAL SUMMARY…...……………………………………………………………………………………………………………13
HISTORICAL CASH FLOW…...…………………………………………………………………………………………………………14
PROFORMA CASH FLOW…...………………………………………………………………………………………………………….15
RENT COMPARABLES…...………………………………………………………………………………………………………….….16
THE MARKET………………………………………………………………………………….……………………………………………17
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PROPERTY BUILDING SF 5,616 SF
MULTI-FAMILY 8-UNIT APARTMENT LAND SIZE 0.2118 ACRES (9,225.00 SF)
LOCATION 435 FULTON AVENUE, SAN ANTONIO, TEXAS 78212 PARKING COUNT 8 SPACES
+ 100% Occupied
+ Under Market Rents
+ Low Maintenance Complex
+ Corner location with Excellent Exposure
+ Maintained with New Roof
+ Ample Rear Parking
+ Average Household Income $69,635 (1-Mile)
+ Median Age 39.5 (1-Mile)
+ Population 149,178 (3-Mile)
INVESTMENT HIGHLIGHTS PROPERTY HIGHLIGHTS DEMOGRAPHICS
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OFFERING SUMMARY
ADDRESS 435 FULTON AVE, SAN ANTONIO, TEXAS 78212
LAND AREA 0.2118 ACRES (9,225.00 SF)
TOTAL BUILDING SF 5,616 SF
YEAR BUILD 1928
ZONING MF-33 NCD-2
TAX AUTHORITY BEXAR / 06428-006-0210
BUILDING EXTERIOR PIER & BEAM (CONCRETE); BRICK
ROOF COMPOSITION
HVAC / HEATING WINDOW UNITS ONLY
UTILITIES LANDLORD PAYS WATER ONLY
FINANCIAL SUMMARY
OFFERING PRICE $695,000.00
PRICE PSF $123.75
PRICE PER UNIT $86,875
OCCUPANCY 100.00%
NET OPERATING INCOME $59,701 (PROFORMA)
PROFORMA CAP RATE 8.59% (PROFORMA YIELD)
DEMOGRAPHIC SNAPSHOT
1 MILE 2 MILE 3 MILE
TOTAL POPULATION 18,356 65,030 149,178
POPULATION GROWTH 0.42% 0.75% 0.94%
AVERAGE HOUSEHOLD INCOME $69,635 $61,191 $60,874
TC Austin Realty Advisors is pleased to present the exclusive listing of
435 Fulton Avenue, an 8 unit apartment complex located in the
established neighborhood of the Alta Vista Subdivision just north of
Downtown San Antonio. At 100% occupied, this is a great investment
opportunity for an investor.
The property is well maintained and a new roof was installed within the
last two years. Historic features such as beautiful refinished wood floors
and high ceilings. Ample parking in the rear of the building as well as
street parking is available for tenants. The units do not stay vacant very
long and are all under market rents.
Great location within 3 miles from the Pearl, Downtown San Antonio,
San Antonio College, Incarnate Word University, San Antonio Zoo, local
parks, and more. Located off of San Pedro Avenue, the apartment
complex has easy access to all major highways systems including I-35,
US 281 and I-10 Hwy.
TC AUSTIN REALTY ADVISORS PAGE 5
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THE PROPERTY
PROPERTY MAPS /
AERIALS /
PHOTOS /
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PROPERTY MAP LOCATION
TC AUSTIN REALTY ADVISORS PAGE 7
435 FULTON AVE
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PROPERTY LOCATION CLOSE-UP
TC AUSTIN REALTY ADVISORS PAGE 8
435 FULTON AVE
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TC AUSTIN REALTY ADVISORS PAGE 9
FULTON AVE
BR
EED
EN S
TREE
T
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TC AUSTIN REALTY ADVISORS PAGE 10
PROPERTY LOCATION AREA MAP
DOWNTOWN SAN ANTONIO
2.6 MILES
THE PEARL DISTRICT
2.4 MILES
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PROPERTY PHOTOS
TC AUSTIN REALTY ADVISORS PAGE 11
FRONT ENTRANCE
REAR PARKING SPACES SPACIOUS LIVING AREAS
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PROPERTY PHOTOS
TC AUSTIN REALTY ADVISORS PAGE 11
BATHROOM KITCHEN AREA
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THE FINANCIALS
FINANCIAL SUMMARY /
HISTORICAL CASH FLOW /
PRO FORMA CASH FLOW /
RENT COMPARABLES /
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FINANCIAL SUMMARY
ANALYSIS OVERVIEW
PROPERTY NAME FULTON 8 UNIT APARTMENT
ADDRESS 435 FULTON AVENUE
CITY, STATE SAN ANTONIO, TEXAS
ANALYSIS START DATE 1/2020
HOLD PERIOD 10
PROPERTY OVERVIEW
NUMBER OF UNITS 8
RENTABLE SQUARE FEET 5,616
ACRES 0.2118
YEAR BUILT 1928
CURRENT OCCUPANCY AS OF 10/1/2019 100%
MEDIAN MONTHLY RENT PER UNIT $700.00
MEDIAN MONTHLY RENT PSF $1.00
POTENTIAL GROSS RENT MULTIPLIER 9.10
435 FULTON AVENUE
UNIT BEDROOM /
BATHROOM UNITS
% OF PROP-
ERTY UNIT SQ FT TOTAL SQFT
IN-PLACE IN-PLACE IN-PLACE
MONTHLY
RENT TOTAL
IN-PLACE
ANNUAL
MARKET
RENT TOTAL
MEDIAN.
COMP RENT
MEDIAN.
COMP RENT MONTHLY
MARKET
RENT TOTAL
ANNUAL
MARKET
RENT TOTAL TYPE RENTS RENT PSF PER UNIT RENT PSF
1A 1 BEDROOM /
1 BATH 8 100% 702 5,616 $700.00 $1.00 $5,600 $67,200 $795 $1.13 $6,360 $76,320
TOTAL / AVERAGE 8 100% 702 5,616 $700.00 $1.00 $5,600 $67,200 $795 $1.13 $6,360 $76,320
TC AUSTIN REALTY ADVISORS PAGE 13
DEBT CAPITAL STRUCTURE
PRINCIPAL BALANCE $556,000
LOAN TO VALUE RATIO 80%
LOAN FEE 1%
EQUITY REQUIRED
(INCLUDING LOAN FEE) $139,000
INTEREST RATE 5.25%
TERM 20
AMORTIZATION PERIOD 240 Months
REVERSION SUMMARY
DISPOSITION PRICE (YEAR 10) $1,022,357
PER UNIT $127,795
CAP RATE 7.0%
CASH TO PURCHASE PRICE (PROFORMA
SUMMATION) 10-YEAR HOLD $651,672
YIELD ON EQUITY (AVERAGE)-10-YEAR HOLD 12.19%
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HISTORICAL CASH FLOW
12 MONTH ACTUALS 12-MONTH FINANCIALS YEAR 1 PRO FORMA
% PER YEAR PROFORMA % PER YEAR
RENTAL INCOME
SCHEDULED MARKET RENTS
435 FULTON APARTMENTS $59,842 $76,320
GROSS POTENTIAL RENT $59,842 $76,320
VACANCY (HISTORICALLY 100%) (INCLUDED) ($1,908) 2.50%
EFFECTIVE RENTAL INCOME $59,842 $74,412
EFFECTIVE GROSS INCOME $59,842 $74,412
OPERATING EXPENSES PER UNIT PER UNIT % OF EGI
MARKETING $250 $31 $300 $38 0.40%
UTILITIES $3,600 $450 $3,600 $450 4.84%
REPAIRS & MAINTENANCE $1,200 $150 $1,200 $150 1.61%
INSURANCE $1,440 $180 $1,500 $188 2.02%
PROPERTY TAXES $8,111 $1,014 $8,111 $1,014 10.90%
TOTAL OPERATING EXPENSES $14,601 $1,825 $14,711 $1,839 19.77%
EXPENSE RATIO 24.40% 19.77%
NET OPERATING INCOME $45,241 $59,701 80.23%
NET OPERATING INCOME YIELD % 6.51% 8.59%
$45,241 $59,701
NON-OPERATING EXPENSES PER UNIT PER UNIT
DEBT SERVICES $44,959 $5,620 60.42%
CAPITAL RESERVES (5%) $2,985 $373 4.01%
TOTAL NON-OPERATING EXPENSES $47,944 $5,993 64.43%
CASH FLOW BEFORE DEBT SERVICE $45,241 $11,757 15.80%
TC AUSTIN REALTY ADVISORS PAGE 14
*ASSUMPTIONS
- Income Proforma Income based on Median Market Asking Rent of $795.00 for all units. Proforma Cashflow Annual Rent inflation at 1.0-2.0%. Vacancy is historically low for property and adjusted for long term tenancy. -Expenses Proforma assumes self management for complex. All expenses inflated 1.0% per year on Proforma Cash Flow .
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PROFORMA CASH FLOW
TC AUSTIN REALTY ADVISORS PAGE 15
PRO FORMA YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7 YEAR 8 YEAR 9 YEAR 10
% PER YEAR PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA
RENTAL INCOME
SCHEDULED MARKET RENTS
POTENTIAL MARKET RENT $76,320 $77,083 $78,625 $80,197 $81,801 $83,437 $85,106 $86,808 $88,544 $90,315
GROSS POTENTIAL RENT $76,320 $77,083 $78,625 $80,197 $81,801 $83,437 $85,106 $86,808 $88,544 $90,315
VACANCY 2.50% ($1,908) ($1,927) ($1,966) ($2,005) ($2,045) ($2,086) ($2,128) ($2,170) ($2,214) ($2,258)
EFFECTIVE RENTAL INCOME $74,412 $75,156 $76,659 $78,192 $79,756 $81,351 $82,978 $84,638 $86,331 $88,057
EFFECTIVE GROSS INCOME $9,302 $74,412 $75,156 $76,659 $78,192 $79,756 $81,351 $82,978 $84,638 $86,331 $88,057
OPERATING EXPENSES PER UNIT
MARKETING $38 $300 $303 $306 $309 $312 $315 $318 $322 $325 $328
UTILITIES $450 $3,600 $3,636 $3,672 $3,709 $3,746 $3,784 $3,821 $3,860 $3,898 $3,937
REPAIRS & MAINTENANCE $150 $1,200 $1,212 $1,224 $1,236 $1,249 $1,261 $1,274 $1,287 $1,299 $1,312
INSURANCE $188 $1,500 $1,515 $1,530 $1,545 $1,561 $1,577 $1,592 $1,608 $1,624 $1,641
PROPERTY TAXES $1,014 $8,111 $8,233 $8,356 $8,481 $8,609 $8,738 $8,869 $9,002 $9,137 $9,274
TOTAL OPERATING EXPENSES $1,839 $14,711 $14,899 $15,089 $15,281 $15,477 $15,675 $15,875 $16,078 $16,284 $16,492
EXPENSE RATIO 19.77% 19.82% 19.68% 19.54% 19.41% 19.27% 19.13% 19.00% 18.86% 18.73%
NET OPERATING INCOME $59,701 $60,257 $61,570 $62,911 $64,280 $65,677 $67,103 $68,560 $70,047 $71,565
8.59% 8.67% 8.86% 9.05% 9.25% 9.45% 9.66% 9.86% 10.08% 10.30%
NON-OPERATING EXPENSES PER UNIT
DEBT SERVICES $5,620 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959
CAPITAL RESERVES (5%) $373 $2,985 $3,013 $3,079 $3,146 $3,214 $3,284 $3,355 $3,428 $3,502 $3,578
TOTAL NON-OPERATING EXPENSES $5,993 $47,944 $47,972 $48,037 $48,104 $48,173 $48,243 $48,314 $48,387 $48,461 $48,537
CASH FLOW AFTER DEBT SERVICE $11,757 $12,286 $13,533 $14,807 $16,107 $17,434 $18,789 $20,173 $21,586 $23,028
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RENT COMPARABLES
ADDRESS CITY, STATE
DISTANCE FROM
SUBJECT (MILES) YEAR BUILT UNIT SIZE ASKING RENT MARKET RENT/SF
Subject 435 FULTON AVE SAN ANTONIO, TX - 1928 702
1 514 FULTON AVE SAN ANTONIO, TX LESS THAN 1 MILE 1950 954 $900 $0.94
2 409 LYNWOOD SAN ANTONIO, TX LESS THAN 1 MILE 1950 725 $900 $1.24
3 834 W RUSSELL PL SAN ANTONIO, TX 1.1 MILES 1925 650 $625 $0.96
4 405 W ROSEWOOD AVE SAN ANTONIO, TX LESS THAN 1 MILE 1966 745 $795 $1.07
5 634 W MISTLETOE AVE SAN ANTONIO, TX LESS THAN 1 MILE 1915 432 $625 $1.45
MEDIIAN ASKING RENT-> $795 $1.13
TC AUSTIN REALTY ADVISORS PAGE 16
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THE MARKET LOCATION OVERVIEW /
DEMOGRAPICS /
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LOCATION OVERVIEW—SAN ANTONIO
TC AUSTIN REALTY ADVISORS PAGE 18
San Antonio – named the fastest-growing city in the nation by the US
Census Bureau – continues to be recognized for its thriving economy,
maintaining an unemployment rate of 3.2% compared to the 2018 national
average of 3.7%. San Antonio’s populations surpassed 1.5 million in 2018
making it the second most populated city in Texas and the seventh in the
US. By 2030, the city expects to add another million more residents.
Known for the San Antonio Spurs, Alamo, Riverwalk, theme parks, and
Tejano culture, the city of San Antonio has quickly become a top candidate
for corporate and residential relocations. Much of this economic growth
can be attributed to the San Antonio Economic Development Incentive
Fund (EDIF) and Tax Abatements focus on recruiting companies in the
Aerospace & Advanced Manufacturing, Bioscience/Healthcare, IT &
Cyber-Security, and New Energy industry.
Several companies, including Czech information technology giant Okin
Business Process Services (1,400+ jobs), have announced growth
plans in the city’s core in 2019.
The city has seen an aggressive revitalization of its downtown area
with a surge in new office construction including the new Frost
Bank Tower and the University of Texas at San Antonio’s
expansion plans of a $90 million expansion that will form a new
tech corridor in the city. Currently, San Antonio is home to
headquarters for major companies including H-E-B, USAA,
Methodist Healthcare, and Rackspace, among others.
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DEMOGRAPHICS
1 Mile Radius 2 Mile Radius 3 Mile Radius
POPULATION
Population 18,356 65,030 149,178
Households 8,023 24,145 53,825
Families 3,829 13,434 30,822
Average Household Size 3.06 3.43 3.40
Owner Occupied Housing Units 39.0% 42.0% 40.4%
Renter Occupied Housing Units 47.6% 43.8% 45.0%
Median Age 39.5 37.1 36.5
Median Household Income $41,223 $38,472 $36,994
Average Household Income $69,635 $61,191 $60,874
BUSINESS DEMOGRAPHICS
Total Businesses 878 3,082 7,983
Total Employees 8,193 34,486 120,753
Total Residential Population 18,356 65,030 149,178
Employee/Residential Population Ratio (per 100 Residents) 45 53 81
2019 POPULATION BY AGE
0 -4 4.9% 5.9% 6.2%
5 -9 4.7% 5.7% 6.1%
10 -14 4.8% 5.8% 5.9%
15 -24 14.1% 15.3% 14.9%
25 -34 15.3% 14.6% 14.9%
35 -44 12.8% 12.2% 12.3%
45 -54 12.0% 11.9% 11.9%
55 -64 13.2% 12.5% 12.0%
65 -74 10.2% 9.4% 9.0%
75 -84 5.1% 4.5% 4.5%
85 + 3.0% 2.1% 2.2%
18 + 82.9% 79.4% 78.4%
TC AUSTIN REALTY ADVISORS PAGE 19