1737 NE BROADWAY OFFERING MEMORANDUM. Owner/User Office Building or Future Development Opportunity

Transcription

1 1737 NE BROADWAY OFFERING MEMORANDUM Owner/User Office Building or Future Development Opportunity CHRIS JOHNSON MARYKAY WEST CAITLIN MAGUIRE

2 1737 NE BROADWAY CONTENTS 3 OFFERING SUMMARY 4 INVESTMENT OVERVIEW 6 PROPERTY DESCRIPTION 8 SALES COMPS 10 MARKET OVERVIEW 16 OFFER GUIDELINES

3 OFFERING SUMMARY 1737 NE BROADWAY RBA: 2,284 SF Land Area: 4,356 SF /.10 Acres Year Built: 1900 Construction: Wood Frame Zoning: CM2 - Commercial Mixed Use 2 FAR: 2.5:1 (4:1 w/ bonus) Max Height: 45 ft (55 ft w/ bonus) NE BROADWAY STREET Page 3

4 INVESTMENT SUMMARY EXCEPTIONAL LOCATION AND ACCESS 1737 NE Broadway is ideally located along the NE Broadway retail corridor in the Lloyd District. The property features the potential to develop CM2 ZONE Commercial Mixed Use 2 45 ; 55 w/ bonus 2.5:1 FAR; 4:1 w/ bonus retail, office or mixed-use. The site is wellserved by transit with easy access to the Central Business District. Nearby amenities include the Lloyd Center Mall, surrounding restaurants, and substantial new mixed-use developments. Notable Eastside Tenants multifamily retail office *No change with 2035 Comp Plan. Page 4

5 NORTH 4 block development; phase residential units, 23,738 SF ground floor retail, 169 parking stalls Proposed apartments, 12 live-work units, 37,780 SF ground level retail, 536 parking spaces, 1,354 bike spaces Holladay Park Condos 1620 Broadway Condos Broadway/Weidler Corridor Weidler Commons Investment Highlights > DESIRABLE ZONING DESIGNATION. Good FAR and height allowances as well as allowing for a wide variety of commercial and/or multifamily development. Excellent potential for bonuses. > OUTSTANDING LOCATION WITHIN THE CENTRAL CITY. Located in the well-established Lloyd District, which is currently the strongest office submarket in the city. Close proximity to abundant retail and services, generous and varied housing options, and easy access to transit, freeways and major surface arterials. > NEARBY AMENITIES & WALKABILITY. The NE Broadway corridor rivals the retail and eating opportunities of Nob Hill s NW 23rd and the Pearl District. This vibrant area provides the work/live/play environment desired by today s workforce and residents. Page 5

6 PROPERTY DESCRIPTION Wood Frame Foundation Stories Year Built 2+basement 1900 Main Floor 2 private offices with breakroom and reception 2nd Floor 3 private offices with restroom Basement Ideal for storage Parking 5-6 onsite BIKE SCORE WALK SCORE TRANSIT SCORE Page 6

7 OPERATING EXPENSE SUMMARY Total Building Square Feet 2,284 $/SF Water/Sewer $910 $0.40 Electricity $1,720 $0.75 Alarm Monitoring $456 $0.20 Janitorial $2,880 $1.26 Trash Removal $456 $0.20 Building Maintenance $1,580 $0.69 Misc. $700 $0.31 Landscaping $1,200 $0.53 Property Insurance $1,600 $0.70 Property Taxes $3,900 $1.71 Deluxe Fuel $1,800 $0.79 TOTAL OPERATING EXPENSES $17, $7.54 Page 7

8 SALE COMPARABLES 1 2 Property Address 3350 NE Sandy Blvd NE 28th Ave City, State Portland, OR Portland, OR PROPERTY DATA Year Built/Renovated RBA / Land Area 3,383 SF / 0.22 AC 2,220 SF / 0.04 AC Zoning CG CS FINANCIAL DATA Sale Date 4/18/2018 4/6/2018 Sale Price $1,330,800 $715,000 Sale Price PSF $393 $

9 NE MLK Jr. Blvd 3535 NE MLK JR. Blvd 4946 N Vanvouver Ave Portland, OR Portland, OR Portland, OR ,370 SF / 0.13 AC 3,456 SF / 0.12 AC 1,788 SF / 0.07 AC M3 M3 C2 4/05/2018 2/01/2018 1/4/2018 $738,000 $600,000 $450,000 $311 $174 $ Page 9

10 THE PORTLAND ADVANTAGE #1 Moving Destination of all US states 4.3% Unemployment Rate (MSA) 95,000 + Tech Employees Highest % of Bike Commuters of Any US City 530+ Square Miles Served by Public Transport 45.5% with a Bachelor s Degree or Higher Page 10

11 PORTLAND STATS ECONOMY Nestled at the confluence of the Willamette and Columbia Rivers in northwestern Oregon, lies the city of Portland, nicknamed the Rose City, The City of Roses, and Beervana because it has more micro-breweries inside the city limits than any other city in the world. Once reliant on timber, fishing and agriculture, Portland s diversified economy now includes technology, healthcare and education with a special emphasis on clean technology, advanced manufacturing, software and active wear. Fortune 1,000 companies Nike (#115), Precision Castparts (#322), Stancorp Financial Group (#755) and Schnitzer Steel (#803) call Portland home. Providence, Legacy and Kaiser support a combined 33,863 jobs, underscoring the importance of the healthcare industry to the Portland-Vancouver-Hillsboro MSA. Straddling the healthcare and education sectors is the Oregon Health & Science University (OHSU). With over 13,000 employees and approximately 3,000 students, this nationally renowned public university is one of the nation s top 20 biomedical research facilities. POPULATION The City of Portland accounts for more than one quarter of the PMSA s approximately 2.3 million residents. It is the 29th largest city in the country. The metro area s median age is 37, a year younger than both San Francisco s and Philadelphia s. Population is projected to reach 2.8 million by Population growth of 6.14% is projected from #1 Best Places for Business and Careers (Forbes) #2 Nationally in High-Tech GDP Concentration #3 on ULI s Overall Real Estate Markets to Watch in 2017 #8 World s best cities for Millennials - Matador Network (2016) Top 10 U.S. Destinations for Solo Travel - FlipKey (2016) Page 11

12 EMPLOYMENT The Brookings Institute s January 2017 Metro Monitor composite index ranks the 100 largest MSAs across job growth, unemployment, gross product range and home prices. Portland ranked 30th for overall growth and also compares favorably to other top metropolitan areas. 6th in net inbound population growth (Allied Van Lines 2016). 7th in employment rate with a 8.1% increase over the past five years. 8th in average wage with a 8.5% increase over the past five years. 14th in jobs at young firms with a 15.3% increase over the past five years. 28th in jobs with a 13% increase over the past five years. PORTLAND S LARGEST EMPLOYERS 19,500 Employees 15,400 Employees 17,400 Employees 8,500 Employees 11,200 Employees 9,300 Employees 10,300 Employees 6,200 Employees 7,700 Employees 5,700 Employees Page 12

13 DOWNTOWN PORTLAND > EMPLOYMENT GROWTH Number of Employees 98,000 96,000 94,000 92,000 90,000 88,000 86,000 84,000 82, ,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1, Number of Enterprises Total Enterprises Total Employees COMPANIES WHO REPORTED BUSINESS IS HEALTHY 89.9% DOWNTOWN EMPLOYMENT BY INDUSTRY 26% Tech & Information COMPANIES WHO PLAN TO EXPAND IN THE NEXT 2 YEARS 29.9% 19% Education, Health & Public Services 16% Entertainment & Service 14% Finance & Real Estate TECH JOBS ADDED BETWEEN ,000 11% Management & Support Services 8% Trade & Transportation 5% Other Page 13

14 EDUCATION > WHO IS MOVING TO PORTLAND? 12,000 10,000 9,720 41% are Millennials 8,000 6,000 4,000 2,000 3,809 4,108 3,206 6,122 2,416 4,516 0 Children (0-17) College Age (18-24) Root-Setting (25-34) Peak Working (35-44) Peak Earning (45-54) Late Career (55-64) Retirees (65+) UNEMPLOYMENT RATE 4.3% YOY JOB GROWTH 3.0% MEDIAN HOUSEHOLD INCOME $60,300 PORTLAND METRO ESTIMATED POPULATION GROWTH BY , % OF WORKERS HAVE A BACHELORS DEGREE OR HIGHER 12.8% OF WORKERS HAVE A GRADUATE DEGREE 10% INCREASE OVER 2007 IN TERMS OF # OF RESIDENTS WITH BA OR HIGHER (A PACE THAT IS FASTER THAN SAN FRANCISCO, SEATTLE AND SAN JOSE) Page 14

15 AWARD-WINNING TRANSIT 11.9% OF COMMUTERS TAKE PUBLIC TRANSPORTATION (Ranked Top 10 Transit Friendly City by WalkScore.com) PORTLAND MIGHT BE THE MOST WALKING, BIKING, AND PUBLIC TRANSIT FRIENDLY CITY ON THE WEST COAST. - WALKSCORE.COM 5.7% OF COMMUTERS WALK TO WORK (U.S. average of 2.9%) 7.2% OF COMMUTERS BIKE TO WORK (Highest in the Nation) #1 AIRPORT IN THE NATION (Ranked by Travel + Leisure ) AVERAGE COMMUTE TIME OF 24.2 MINUTES (Below National Average) NEARLY 60 MILES OF MAX LIGHT RAIL THROUGHOUT THE REGION Page 15

16 OFFERING GUIDELINES OFFERING TERMS 1737 NE Broadway is being offered without an asking price. All offers should be based on an As-is, Where Is condition of the Property. OFFER DATE The due date for initial offers is to be determined. Interested parties will receive a Call for Offers . OFFER PROCESS We request that interested parties submit a formal Letter of Intent ( LOI ) to the offices of the Exclusive Advisors, Chris Johnson, MaryKay West and Caitlin Maguire of Colliers International, on the Offer Date, outlining the relevant points by which they intend to purchase the Property including: Purchase Price Due Diligence Period & Contingencies Deposit Terms - All Cash or Subject to Financing Closing Period Internal Approvals Company Background & Financial Capacity PROPERTY TOURS AND ADDITIONAL INFORMATION For additional information and a tour of the property contact: CHRIS JOHNSON MARYKAY WEST CAITLIN MAGUIRE chris.johnson@colliers.com marykay.west@colliers.com caitlin.maguire@colliers.com Page 16

17 1737 NE BROADWAY OFFERING MEMORANDUM Owner/User Office Building or Future Development Opportunity