419 W Flora St. 10-unit Multifamily Close to Downtown. Stockton, CA FOR SALE. kiddermathews.com. Sean O Brian

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1 FOR SALE 10-unit Multifamily Close to Downtown

2 Executive Summary Kidder Mathews is pleased to present reet, a ten-unit apartment community located in the thriving sub market of Stockton, California. Built in 1970, the property consists of eight one-bedroom/one-bathroom units and two two-bedroom/one-bathroom units. Five of the ten total units have been lightly renovated with new flooring, carpets, and interior paint, leaving upside potential for a new owner. Residents of reet are just minutes away from Stockton s downtown entertainment district, shopping, and employment opportunities, making it an excellent location for this apartment community to live, work, and play. BUILDING 2-story wood frame construction YEAR BUILT 1970 APN RENTABLE SF ±5,800 PARCEL SIZE ±0.17 AC / 7,500 SF ROOF Flat An investor will benefit from the ability to acquire a value-add property in a compelling location within the accelerating Stockton rental market. 419 W Flora Street offers an opportunity to significantly increase cash flows through implementing a Ratio Utility Billing System (RUBS), executing moderate interior renovations, and the ability to raise rents to market. Investment Highlights HEATING & AIR WINDOWS WATER HEATING LAUNDRY PARKING Wall Unit Single Pane Boiler On-site Off-street Significant upside through aggressive management and implementation of a RUBS Program. POPLAR Excellent value-add opportunity with potential to renovate interiors, update exterior, and increase cash flow. Desirable location with close proximity to Downtown, Stockton Arena, and Banner Island Park. HARRISON LINCOLN VAN BUREN Ability for an investor to place new debt. FLORA

3 AMERICAN LEGION PARK uren St ln St N Linco N Persh ing Ave The Haggin Museum N Van B ing Wy W Hard SUBJECT PROPERTY r St W Popla W Flora St University Plaza Waterfront Stockton Arena DOWNTOWN Banner Island Ballpark Weber Point Events Center MCLEOD LAKE N

4 Financials Scheduled Rent Market Rent # Units Unit Type Sq. Ft. Avg. Rent Avg. Rent/SF Monthly Income Avg. Rent Avg. Rent/SF Monthly Income 8 1 BD/1 BA 550 $800 $1.45 $6,400 $900 $1.64 $7, BD/1BA 700 $870 $1.24 $1,740 $1,050 $1.50 $2,100 Price $890, Totaled/ Weighted Avg. 5,800 $814 $1.40 $8,140 $930 $1.60 $9,300 Gross Annualized rents $97,680 $111,600 Price/Unit $89,000 Annualized Gross Income Current Pro-Forma 97, ,600 Price/SF $ Cap Rate 5.91% Vacancy (3%) (2,930) (3,348) Adjusted Gross Income 94, ,252 Laundry Income Effective Gross Income 95, ,552 Market Cap 7.35% Expenses Real Estate Taxes (1.25%) $11, $11, Property Insurance $1, $1, Price $890,000 GRM 9.11 Market GRM 7.97 Management Fee (5%) $4, $5, Price/Unit $89,000 Repairs & Maintenance $5, $5, Price/SF $ Third Party Services $3, $3, CAP Rate 5.91% Utilities $13, $13, Market CAP Rate 7.35% Reserves & Replacements $2, $2, GRM 9.11 $42, $43, Market GRM 7.97 NOI $52, $65,393.40

5 Sales Comparables Address Qty Units Year Built Unit Type(s) Sale Date Sales Price Price/Unit Price/SF Cap Rate 419 W Flora (8) 1BD/1BA (2) 1BD/1BA FOR SALE $890, $89, $ % 1905 N El Dorado St (20) 1BD/1BA 12/19/2017 $1,900, $95, $ % 324 E Magnolia Ct (6) 2BD/1BA (8) 3BD/1BA 7/3/2018 $1,695, $121, $ % 940 N San Joaquin St (24) 1BD/1BA 7/20/2018 $1,575, $65, $ % 1142 N Sutter St (16) 1BD/1BA 4/18/2018 $1,300, $81, $ % Yosemite Court 843 N Yosemite St (16) 1BD/1BA 3/1/2008 $1,280, $80, $ %

6 Sales Comparables continued Address Qty Units Year Built Unit Type(s) Sale Date Sales Price Price/Unit Price/SF Cap Rate 529 W Flora St (12) 1BD/1BA 5/1/2018 $880, $73, $ % Park Street Apartments 525 E Park St (12) 1BD/1BA (2) 2BD/1BA 4/27/2018 $865, $61, $ % Parkside Apartments 621 N Monroe St (10) 1BD/1BA 5/4/2018 $807, $80, $ N San Joaquin St (10) 1BD/1BA 7/26/2018 $695, $69, $

7 Rent Comparables Address Qty Units Year Built Occupancy Unit Type(s) SF Rent PSF/Mo Building Notes % (8) 1BD/1BA (2) 2BD/1BA $ $ $1.45 $1.25 On-site laundry 519 N Madison St % (8) 1BD/1BA (1) 2BD/1BA (1) 2BD/1BA $ $ $ $1.43 $1.20 $1.17 On-site laundry 525 N Madison St % (13) 1BD/1BA 475 $ $1.58 Balconies and patios Lindsay Apartments 715 E Lindsay St % (10) STUDIO (15) 1BD/1BA $ $1, $1.59 $1.89 Wireless internet provided, fully equiped kitchen N Madison St % (20) 1BD/1BA (4) 2BD/1BA $ $ $1.30 $1.32 On-site laundry Park Villa Apartments 322 W Park St (23) 1BD/1BA (1) 2BD/1BA $ $ $1.25 $1.06 On-site laundry

8 Rent Comparables continued Address Qty Units Year Built Occupancy Unit Type(s) SF Rent PSF/Mo Building Notes Madison Apartments 946 N Madison St % (24) 1BD/1BA 512 $ $1.32 On-site laundry 15 N Sierra Nevada Ave % (28) 2BD/1BA 425 $ $2.00 On-site laundry

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10 Vice President Multi-Family Investments Multi-Family Specialist CAREER SUMMARY is the Vice President of Multifamily Investments for the Central Valley in the Sacramento division of Kidder Mathews. Ben recently joined Kidder Mathews in the fall of 2017, with almost a decade of commercial investment experience. Ben s clients benefit from his consultative approach. As a Sacramento local, Ben knows the area and its specific market conditions; using that knowledge to maximize the value of each investment. He builds long term relationships with clients due to his customer centric attitude. Involved in every step of the transaction process, from underwriting through escrow, Ben increases their net worth through acquisition, disposition and implementing innovative management strategies to increase monthly cash flow. He delivers first-rate results for private and institutional investors. Prior to Ben s affiliation with Kidder Matthews, he closed over $250M in transactions at another major commercial real estate firm. His experience is expansive, ranging from Institutional Investments, Tax Credit properties and private clients. CAREER SUMMARY joined Kidder Mathews in 2018 as a multifamily specialist representing both buyers and sellers throughout Northern California, and the Sacramento/Central Valley. Born and raised in the Sacramento suburb of Fair Oaks, Sean s market knowledge and clientcentric approach adds unparalleled value to each client he serves. He is a shining example of conscious business as he strives to provide the pinnacle of service to each of his clients through enacting the Golden Rule. Prior to uniting with the Kidder Mathews team, Sean was a business owner in the Holistic Health field for 10 years. More recently Sean served with one of the world s most influential companies, Tesla. In Tesla s energy sector, he was endowed with multiple top sales, service, and charitable awards for his successes. s clients entrust him to represent them with the highest degree of ethics, service, and skill while maximizing their experience and benefit.