Brett Lyon REDONDO BEACH DUPLEX. 127 S Prospect Ave Redondo Beach, CA 90277

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1 Brett Lyon REDONDO BEACH DUPLEX

2 EXCLUSIVELY MARKETED BY : Lyon Stahl Investment Real Estate INVESTMENT SUMMARY Investment Overview Regional Map Brett D. Lyon Brett@LyonStahl.com J Woody Stahl Woody@LyonStahl.com AREA OVERVIEW Local Map City Overview County Overview Aerial Map PROPERTY DESCRIPTION Property Details 3D Map FINANCIALS Offering Summary Net Income Statment Rent Roll Unit Mix COMPARABLES Sales Comparable Map Sales Comparables Rental Comparable Map Rental Comparables On Market Comparable Map On Market Comparables

3 Investment Summary Price $1,495,000 Cap Rate.65% NOI $39,68.00 GRM 3.73 Units Occupancy % Building Size,664 SF Price per Square Foot $ Land Area 7,156 Sq. Feet Ownership Fee Simple Investment Description Lyon Stahl is excited to present, a duplex in the heart of Redondo Beach just minutes away from the King Harbor Marina, Pier, and nationally ranked Redondo Union High School. This property features a unit mix of (1) 3bed/.75bath unit and (1) 3bed/1.5bath unit, with a total of (3) garages. These units are situated on a large 7,156 sq. ft. lot, and each have their own wellmaintained lawn and backyard area. Located roughly a mile from the potential $300 million waterfront development project, this is an incredible investment opportunity for anyone looking to acquire property in the rapidly appreciating South Bay! Investment Highlights Over 30% in upside rent potential 3.9% CAP Potential Situated on 7,156 sq. ft. lot Minutes away from Redondo Beach Pier and King Harbor Marina Duplex Featuring (1) 3bed/.75bath unit and (1) 3bed/1.5bath unit Investment Summary

4 Regional Map Investment Summary

5 Local Map Area Overview

6 Area Overview County Overview The most heavily populated county in the country is Los Angeles County with approximately 9.9 million people, including about 1 million that live in unincorporated areas of the county. The metropolis formed by the six neighboring counties of Los Angeles, Ventura, Kern, San Bernardino, Riverside, and Orange is home to approximately 19 million residents. Los Angeles County is home to one of the most educated labor pools in the country and offers a labor force of more than 4.7 million, of which more than 1.5 million are college graduates. Los Angeles County has the largest population of any county in the nation, exceeded only by eight states. According to the United States Conference of Mayors, Los Angeles County boasts a GDP among the twenty largest in the world. Los Angeles County s continued economic growth, in contrast to other areas of the state and nation, is due to its diversified economy and abundant, welltrained workforce. Los Angeles County is well located on the Southern Coast of the California, and covers 4,061 square miles, including the San Clemente and Santa Catalina islands. The County is comprised of approximately 88 vibrant and diverse cities hosting more than 44,000 business establishments the greatest concentration in the state. Los Angeles County has a Gross Domestic Product (GDP) of approximately $446 billion placing it among the top 0 economies in the world. The combined GDP of Los Angeles and its five surrounding neighboring counties places it in the top 10. California is generally considered to be in the top five. If Los Angeles County were its own nation, its economy would be the 18th largest in the world. It is home to more than 44,000 businesses, with more minority and women owned businesses than any other in the nation and is the nation s top international trade center and manufacturing center. Los Angeles is recognized worldwide as a leader in entertainment, health sciences, business services, aerospace and international trade. Because the Los Angeles area is so large and diverse, it has something to offer to everyone. While Hollywood and the Los Angeles beach culture are part of our collective image of Los Angeles, the city also has more museums than any other city and some of the best hotels in the world are located in Los Angeles. aerospace, homeland security and in the private business sector have contributed positively to the County's economy. Los Angeles' well educated labor pool, many universities, wonderful climate, and world class infrastructure will enable Greater Los Angeles to continue to be a world leader in economic and cultural significance. County Highlights Los Angeles County is the world s 18th largest economy. Los Angeles part of the "Tech Coast" and is regarded as the of the main entrepreneurial regions of the world. It has approximately 00,000 small businesses, which is twice as many small businesses as can be found in any other region of the United States. If Los Angeles' five county area were a state, it would be the fourth largest in the United States. Los Angeles has more than 80 stage theaters and 300 museums, more than any other U.S city. Over the years, Los Angeles County has developed a diverse economic base, supported by a number of Fortune 500 companies with headquarters in the area, including Hilton Hotels, Walt Disney, Occidental Petroleum, DirecTV Group, Northrop Grumman, Computer Sciences, KB Home, Health Net, Mattel, and Avery Dennison. Key factors positively impacting the region s economic position include increased local media production by the entertainment industry and a continuing expansion of import flows. Moreover, growth in Area Overview

7 Aerial Map Area Overview

8 Property Details Address Redondo Beach, CA Square Footage,664 SF Land Area 7,156 Sq. Feet Year Built 195 Assessors Parcel Number Site Zoning RBR3 Number of Buildings 1 Number of Stories Parking 3 Garage Spaces + Driveway Property Description

9 Financial Offering Summary Price $1,495,000 Building Size,664 SF Ownership Fee Simple Land Area 7,156 Sq. Feet Number of Units Number of Stories Year Built 195 Parking 3 Garage Spaces + Driveway Occupancy % Price per Unit $747, Price per Square Foot $ Current CAP Rate.65% Pro Forma Cap Rate 3.89% Current GRM 3.73 Pro Forma GRM 18.3 NOI $39,68 Pro Forma NOI $58,8 Financing Loan Type New/Proposed Loan Amount $747,500 Down Payment $747,500 Interest Rate 3.70% Amortization Period 30 Years Annual Payment $41,87 Financials

10 Net Income Statement Current Annual Income REVENUES Gross Potential Rent $63,000 $81,600 Effective Gross Income $63,000 $81,600 Proforma Annual Income OPERATING EXPENSES Real Estate Taxes 17,750 17,750 Insurance Utilities 1,600 1,600 Landscaping 1,00 1,00 Maintenance 1,890 1,890 TOTAL EXPENSES $3,37 $3,37 NET OPERATING INCOME $39,68 $58,8 Debt Service $41,87 $41,87 NET CASH FLOW AFTER DEBT SERVICE $1,659 $16,941 Principal Reduction $13,863 $13,863 TOTAL RETURN 1.63% 4.1% Expenses Per SF $8.77 $8.77 % of EGR 37.10% 8.64% Financials

11 Rent Roll Unit Information Lease Rental Rates Unit No Unit Type App. Square Footage Status Move In Date Current Monthly Rent PSF Pro Forma Monthly Rent PSF Loss to Lease 1 3 BR 1.50 BTH 99 Occupied $, $.5 $ 3,00.00 $ 3.3 $ BR.75 BTH 1,67 Occupied $, $ 1.64 $ 3, $.15 $ Unit Note: Vacant Units TOTALS,664 Occ: Vac:0 $5,50.00 $6, $1, Financials

12 Unit Mix Unit Info Occupancy Square Footage Current Monthly Rent Pro Forma Monthly Rent Number of Units Unit Type Occ Vac % Occ Average Unit SF Total Unit SF AVG Low High Total AVG PSF AVG Total AVG PSF Vacancy Loss 1 3 BR 1.50 BTH % $,500 $,500 $,500 $,500 $.5 $3,00 $3,00 $3.3 $0 1 3 BR.75 BTH % 1,67 1,67 $,750 $,750 $,750 $,750 $1.64 $3,600 $3,600 $.15 $0 TOTALS %,664 SF $5,50 $1.97 $6,800 $.55 $0 Financials

13 Sales Comparable Map Comparables

14 Sales Comparables Photos Address Sale Price Sale Date Total Units Price Per Unit Total SF $/SF CAP GRM Unit Mix Year Built Land Area Days on Market Redondo Beach, CA $1,595,000 N/A 797,500,664 SF $ % BR BTH 1 3BR +.75BTH 195 7,156 SF N/A 14 S Guadalupe Av Redondo Beach, CA $,05,000 10/31/016 $1,06,000 3,346 SF $ ,030 SF Avenue B Redondo beach, CA $1,35,000 04/8/017 $66,500 1,963 SF $ ,7 SF Avenue F Redondo Beach, CA $1,475,775 03/01/017 $737,888,84 SF $ % ,60 SF 8 Comparables

15 Photos Address Sale Price Sale Date Total Units Price Per Unit Total SF $/SF CAP GRM Unit Mix Year Built Land Area Days on Market 91 S Juanita Av Redondo Beach, CA $1,669,000 08/0/017 $834,500,46 SF $ % ,41 SF S Broadway Redondo Beach, CA $1,600,000 10/4/016 $800,000 1,636 SF $ % ,609 SF 10 Averages $1,64,355 $81,178,450 SF $ % 31.3 Comparables

16 Rental Comparable Map Comparables

17 Rental Comparables Photos Address Date Surveyed Total Units Year Built Bldg SF Occupancy Units Types Avg Unit SF Avg Unit Rent Avg Rent Per SF Redondo Beach, CA 195,664 SF % 3 BR / 1.50 BTH 3 BR /.75 BTH 99 SF 1,67 SF $,500 $,750 $.5 $ S Prospect Av # 10 Redondo Beach, CA ,55 SF 3BR /BTH 1,55 SF $3,400 $ S Juanita Av Redondo Beach, CA ,00 SF 3BR /BTH 1,00 SF $3,750 $ S Irena Av # A, Redondo Beach, CA ,316 SF 3BR /1BTH 1,316 SF $3,600 $.74 Comparables

18 Photos Address Date Surveyed Total Units Year Built Bldg SF Occupancy Units Types Avg Unit SF Avg Unit Rent Avg Rent Per SF 05 S Francisca Av # 6, Redondo Beach, CA ,693 SF 3BR /3BTH 1,693 SF $3,500 $.07 Averages 1,434 SF 1,434 SF $ 3,563 $.54 Comparables

19 On Market Comparable Map Comparables

20 On Market Comparables Photos Address Sale Price Total Units Price Per Unit Total SF $/SF CAP GRM Unit Mix Year Built Land Area Redondo Beach, CA $1,595,000 $ 797,500,664 SF $ % BR BTH 1 3BR +.75BTH 195 7,156 SF 118 S Helberta Av Redondo Beach, CA $1,99,000 $649,500 1,50 SF $1, ,487 SF 517 S Juanita Av Redondo Beach, CA $1,350,000 $675,000 1,740 SF $ % ,811 SF 1 S Helberta Av Redondo Beach, CA $1,150,000 $575,000 1,718 SF $ % ,034 SF Averages $1,66,333 $633,167 1,569 SF $88.10 % Comparables

21 CONFIDENTIALITY AND DISCLAIMER The information contained in this Offering Memorandum ( Memorandum ) is proprietary and strictly confidential; it is intended to be reviewed only by the party receiving it from Broker and should not be made available to anyone else without the written consent of Broker. By retention or use of this Memorandum, you agree that its contents are confidential, that you will hold it in the strictest confidence, and that you will not disclose any of its contents contrary to these terms. This Memorandum has been prepared to provide summary, unverified information to establish a preliminary level of interest in the subject property ( Property ). The information in this Memorandum has been obtained from sources Broker believes to be reliable; however, Broker has not conducted sufficient investigation to make any warranty or representation whatsoever including but not limited to the accuracy or completeness of the information, veracity or accuracy of the information, condition of the Property or its compliance or lack of compliance with applicable governmental requirements, developability, suitability or financial performance of the Property, income or expenses for the Property, the size and square footage of the Property and improvements, the presence or absence of contaminating substances, PCB s or asbestos, the compliance with State or Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant or any tenant s plans or intentions to continue occupancy of the Property. The Memorandum has selected information relating to the Property and does not purport to be an all inclusive representation regarding the Property or to contain all or part of the information which prospective investors may require to evaluate the purchase of the Property. Additional information and an opportunity to investigate the Property will be made available to interested and qualified prospective purchasers. All information is based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of Broker, therefore, all information is subject to material variation. The information contained herein is not a substitute for a thorough due diligence investigation. Interested parties are expected to review all information of whatever nature independently and not rely on the contents of this Memorandum in any manner. The Property owner ( Owner ) expressly reserves the right, at its sole discretion, to reject any or all offers to purchase the Property, and/or to terminate discussions at any time with or without notice. The Owner shall have no legal commitment or obligation unless and until written agreement(s) have been fully executed, delivered and approved by the Owner and any conditions to the Owner s obligations therein have been satisfied or waived. Exclusively Marketed By: Lyon Stahl Investment Real Estate Lyon Stahl Agents@lyonStahl.com