10 Duplexes All 3/2 Apts

Transcription

1 10 Duplexes All 3/2 Apts 112 PLANTATION POINT DR ST. AUGUSTINE, FLORIDA OFFER MEMORANDUM $3,180,000 PeterDacko Media Realty & Advisors

2 CONFIDENTIALITY AND DISCLAIMER The information contained in the following Proposal to Market (P T M) is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Media Realty & Advisors, Inc. (Media Realty) and should not be made available to any other person or entity without the written consent of Media Realty. This P T M has been prepared to provide summary, unverified information to prospective owners/sellers, and to establish only a preliminary level of value for the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Media Realty has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of 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 and 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 its occupancy of the subject property. The information contained in this P T M has been obtained from sources we believe to be reliable; however, Media Realty has not verified, and will not verify, any of the information contained herein, nor has Media Realty conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential investors must take appropriate measures to verify all of the information set forth herein. 2

3 INTRODUCTION TO ST JOHNS COUNTY St. Johns County is a county of the U.S. state of Florida. As of the 2010 United States Census, the county's population was 190,039. The county seat and largest incorporated city is St. Augustine. St. Johns County is part of the Jacksonville metropolitan area. The county was established in It is one of the two original counties established after Florida was ceded to the United States, at the start of the Florida Territorial period, and corresponded roughly with the former colonial province of East Florida. It was named for the St. Johns River, which runs along its western border. Today, St. Johns County is primarily made up of residential bedroom communities for those who commute to Jacksonville. Tourism, primarily associated with St. Augustine and the many golf courses in the area, is the chief economic industry. St. Johns County, in northeast Florida, is a highly-desirable, amenity-rich location of choice for starting, relocating, or expanding your business. Bordered by the scenic Atlantic Ocean and St. Johns River, St. Johns County embraces its historic heritage and uniquely diverse communities such as the City of St. Augustine the Nation's Oldest City; St. Augustine Beach, Ponte Vedra, and Hastings the Potato Capital of Florida; which have attracted visitors for centuries. Capitalizing on its global appeal, St. Johns County is poised for economic growth through its strategic location, favorable climate, local economic development incentives, and outstanding community services. This analysis has been prepared solely for informational purposes to assist the investor(s) in determining whether to proceed with the sale of the property. No representation as to the accuracy or appropriateness of the information is made. Although we believe the information to be reliable, we will not be liable for misstatements of facts, errors, omissions, or prior sale of the property. Owners must verify the information when3 determining their best choice of action.

4 INTRODUCTION TO SAINT AUGUSTINE St. Augustine (Spanish: San Agustín) is a city in the Southeastern United States, on the Atlantic coast of northeastern Florida. Founded in 1565 by Spanish explorers, it is the oldest continuously occupied European-established settlement within the borders of the continental United States. The county seat of St. Johns County, St. Augustine is part of Florida's First Coast region and the Jacksonville metropolitan area. According to the 2010 census, the city population was 12,975. The United States Census Bureau's 2013 estimate of the city's population was 13,679, while the urban area had a population of 71,379 in St. Augustine was founded on September 8, 1565, by Spanish admiral Pedro Menéndez de Avilés, Florida's first governor. He named the settlement "San Agustín", as his ships bearing settlers, troops, and supplies from Spain had first sighted land in Florida eleven days earlier on August 28, the feast day of St. Augustine. The city served as the capital of Spanish Florida for over 200 years. It was designated as the capital of British East Florida when the territory briefly changed hands between Spain and Britain. Spain ceded Florida to the United States in 1819, and St. Augustine was designated the capital of the Florida Territory upon ratification of the Adams-Onís Treaty in The Florida National Guard made the city its headquarters that same year. The territorial government moved and made Tallahassee the capital in Since the late 19th century, St. Augustine's distinct historical character has made the city a major tourist attraction. According to the United States Census Bureau, the city has a total area of 10.7 square miles (27.8 km2), 8.4 square miles (21.7 km2) of which is land and 2.4 square miles (6.1 km2) (21.99%) is water. Access to the Atlantic Ocean is via the St. Augustine Inlet of the Matanzas River This analysis has been prepared solely for informational purposes to assist the investor(s) in determining whether to proceed with the sale of the property. No representation as to the accuracy or appropriateness of the information is made. Although we believe the information to be reliable, we will not be liable for misstatements of facts, errors, omissions, or prior sale of the property. Owners must verify the information when4 determining their best choice of action.

5 SUBJECT PROPERTY 5

6 COMMENTS ON THE SUBJECT PROPERTY The subject property consists of 10 duplexes located on Plantation Point Drive in St. Augustine Florida and is in close proximity to the beaches, downtown core door and the central business district. The property itself was constructed in 2014/2015 and consists of 20 well maintained (3/2) apartments each containing 1322 ft.². The units contain wall to wall carpeting, vinyl flooring, central air conditioning, washer and dryer hookups, breakfast bar and storage room. 6

7 ST JOHNS COUNTY PROPERTY APPRAISER CLICK HERE TO VIEW PROPERTY CARD Parcel ID Location Address Description 112 PLANTATION POINT DR SAINT AUGUSTINE Duplexes; 20 (3/2) Apts. Each Building Contains 2644 Gross SQFT. Built in 2014/2015 Neighborhood M&B(dev) On&N SR16-W US1N-On&S InternGolf-EI95 ( ) Tax Description* 6-1B PT OF LOT 9 SEC 35 & PT OF F J FATIO GRANT SEC LYING W OF RD S16- A - BEING (PROPOSED) BLDG 4 UNITS 112 & 114 & BLDG 5 UNITS 116 & 118 & BLDG 6 UNITS 120 & 122 & BLDG 7 UNITS 124 & 126 & BLDG 8 UNITS 128 & 130 & BLDG 9 UNITS 129 & 131 & BLDG 10 UNITS 125 & 127 & BLDG 11 UNITS 121 & 123 & BLDG 12 UNITS 117 & 119 & BLDG 13 UNITS 113 & 115 (OF PROPOSED PHASES & 5 OF NEW PLANTATION POINT CONDO) AS PER SURVEY PROVIDED OR3701/434 &4057/1053 Property Use Code Multi-Family (Less than 10 Units) (0800) Subdivision N/A Sec/Twp/Rng District South Ponte Vedra & US 1 North Area (District 450) Millage Rate Acreage Homestead N 7

8 AERIAL VIEW ZONING TC-1 8

9 LOCATION MAP Click Here to view Google Maps 9

10 TYPICAL PROPERTY SKETCH 10

11 PHOTO ADDENDUM

12 PHOTO ADDENDUM

13 PHOTO ADDENDUM

14 PHOTO ADDENDUM

15 COMPARABLE SALES

16 COMMENTS DIRECT SALES COMPARISON A comparable sale is property that is similar to the subject property in most respects. It is located in a nearby location. It has recently sold for a fair market value. The selection of comparable sales is in most appraisals is the single most determining factor in establishing the value. The responsibility is to fully research the local real estate market and determine which comparable sales represent the best value characteristics of the subject property. The market or direct sales comparison approach to an estimate of value is a process of comparing market data, that is, prices paid for similar properties, prices asked by owners, and offers made by prospective buyers or the tenants willing to buy or lease. Typically a comparison grid is used and adjustments are made to each comparable sales used for major differences between the comparable and the subject property for such items as location, construction quality and significant amentias, etc. In the market approach, the attempts are made to both gauge and reflect the anticipated reaction by a typical purchaser to the subject property. This analysis has been prepared solely for informational purposes to assist the owner(s) in determining whether to proceed with the sale of the property. No representation as to the accuracy or appropriateness of the information is made. Although we believe the information to be reliable, we will not be liable for misstatements of facts, errors, omissions, or prior sale of the property. Owners must verify the information when determining their best choice of action. 16

17 COMPARABLE SALES GRID PRIMARY EMPHASIS ST JOHNS COUNTY Parcel ID Address Sale Date Sale Price Finished Sqft # Units Acres Year Built Price/SF Price/Unit POWELL RD 10/6/2017 $310, $ $155, DAVIS ST 10/6/2017 $445, $ $111, RIO VISTA AVE 10/2/2017 $425, $99.35 $106, OLD SPANISH TRL 8/15/2017 $216, $ $108, ONEIDA ST 8/4/2017 $180, $ $60, ATLANTIC OAKS CIR 7/31/2017 $316, $ $158, JOE ASHTON RD 7/31/2017 $200, $68.17 $100, DOUGLAS AVE 7/18/2017 $345, n/d $ PACETTI RD UNIT D 7/10/2017 $395, n/d $ E ST 7/6/2017 $250, $ $125, USINA RD 7/5/2017 $177, $64.76 $88, SAN MARCO AVE 6/23/2017 $200, $64.81 $66, ATLANTIC OAKS CIR 6/13/2017 $275, $ $137, A1A S 5/31/2017 $220, $ $110, WHITE ST E 5/31/2017 $419, $ $83, TH ST 5/30/2017 $310, $ $155, ROHDE AVE 5/24/2017 $480, $ $96, SARAGOSSA ST 5/15/2017 $679, $ $169, ST GEORGE ST 5/11/2017 $747, $81.83 $67, VENETIAN BLVD 5/5/2017 $190, $ $95, TH ST 5/2/2017 $480, $ $160, SAN MARCO AVE 4/28/2017 $329, $ $109, HOPE ST 4/17/2017 $270, $ $90, OSPREY CIR 4/12/2017 $175, $81.02 $43, CARRERA ST 4/10/2017 $871, $ $108, DE SOTO PL 4/7/2017 $475, $ $95, ATLANTIC OAKS CIR 4/4/2017 $250, $ $125, HOPE ST 3/23/2017 $225, $ ATLANTIC OAKS CIR 3/15/2017 $235, $ $117, ONEIDA ST 3/13/2017 $325, $ $162, A1A S 3/10/2017 $185, $ $92, JOINER ST 3/8/2017 ######### $ $129, LOCUST ST 2/22/2017 $522, $ $174, ND ST 2/15/2017 $800, $ $133, SANFORD ST 2/14/2017 $330, $ $165,000 $ $115,646 17

18 COMPARABLE SALES GRID PRIMARY EMPHASIS AREA SPECIFIC Property Street Property City/State/Zip Parcel ID Building Last Sale Lot Sq. Number Price/Sq. Last Sale Date Unit Breakdown Sq. Feet Price Feet of Units Foot Price/Unit 7 2nd St Saint Augustine, FL /15/2017 $800, $ $133, Carrera St Saint Augustine, FL /10/2017 $871, (2/2); 4 (1/1) $ $108, Desoto Pl Saint Augustine, FL /07/2017 $475, $ $95, M L King Ave Saint Augustine, FL /22/2016 $395, (0/1) (2/1) (3/2) $ $65, Mulvey St Saint Augustine, FL /12/2016 $435, $ $72, Osprey Cir Saint Augustine, FL /12/2017 $175, $81.02 $43, Saint Francis St Saint Augustine, FL /16/2015 $570, $ $114,000 18

19 COMPARABLE SALES GRID CLICK HERE TO VIEW REPORT AREA SPECIFIC 19

20 COMPARABLE SALES GRID CLICK HERE TO VIEW REPORT AREA SPECIFIC 20

21 INCOME & EXPENSES Section 4

22 CASH FLOW ANALYSIS POTENTIAL GROSS INCOME (PGI) less VACANCIES Equals EFFECTIVE GROSS INCOME (EGI) less OPERATING EXPENSES equals NET OPERATING INCOME (NOI) less DEBT SERVICE equals CASH ON CASH RETURN This analysis has been prepared solely for informational purposes to assist the investor(s) in determining whether to proceed with the sale of the property. No representation as to the accuracy or appropriateness of the information is made. Although we believe the information to be reliable, we will not be liable for misstatements of facts, errors, omissions, or prior sale of the property. Owners must verify the information when determining their best choice of action.

23 UNDERSTANDING CAP RATES Capitalization Rate = Net Operating Income (NOI) Value Example: A property has a NOI of $100,000 and a Cap Rate of 10%. Thus a value of $1,000,000 $100,000 10% = $1,000,000 As the Cap increases to 11% the price decreases to $909,000 $100,000 11% = $909,091 Conversely as the Cap Rate decreases to 9% the overall value has increased to $1,100,000 $100,000 9% = $1,111,111 Sub-Market: For each $1,000 of NOI, our market responds with between $11,000 to $12,000 of value Buyer: Cap Rate goes up Seller: Cap Rate goes down

24 INCOME AND EXPENSE Summary Price: Down Payment: Number of Units: Price per Unit Current GRM: Current CAP: Market GRM: Market CAP: Annual Rent per Square Foot: Approximate Age: Approximate Lot Size: Approximate Net RSF: Cost per Net RSF: $3,180, % $795,000 Terms: 20 $159, % % $ , ,440 $ SQ FT Proposed Financing New 1st Mortgage 4.50% 30 Monthly Payment: interest yr. amortization $2,385,000 $12, Scheduled Gross Income: Less Vacancy Rate Reserve: Gross Operating Income: Less Expenses: Net Operating Income: Less Loan Payments: Pre Tax Cash Flow: Plus Principal Reduction: Total Return Before Taxes: Annualized Operating Data Current Rents $323,700 16, % $ 307,515 94, % $ 213,095 $ 146,419 66, % * $ 11,573 78, % * Market Rent $330,000 16,500 $ 313,500 94,420 $ 219, ,419 $ 72,661 11,573 $ 84, % 30.12% 9.14% 10.60% *As Percent of Down Payment Scheduled Income Annualized Expenses Current Rents Market Rent Taxes: $ 41,394 UNIT BDRMS/ Unit Monthly Monthly Monthly Monthly Insurance: 17,500 NUM BATHS Size Rent/Unit Income Rent/Unit Income Maintenance: 8, /2 1,322 $1,300 $25,700 $1,375 $26,125 Water & Trash Tenants 1 3/2 1,322 $1,275 $1,275 $1,375 $1,375 Landscaping Licenses Management Utilities 10, , Total Scheduled Rent: $26,975 $27,500 Total Expenses: $ 94,420 Monthly Scheduled Gross Income: $26,975 $27,500 Per Net Sq.Ft.: $3.57 Annual Scheduled Gross Income: $323,700 $330,000 Per Unit: $4, This analysis has been prepared solely for informational purposes to assist the investor(s) in determining whether to proceed with the sale of the property. No representation as to the accuracy or appropriateness of the information is made. Although we believe the information to be reliable, we will not be liable for misstatements of facts, errors, omissions, or prior sale of the property. Owners must verify the information when determining their best choice of action. 24