UNITED SELF STORAGE CALIPATRIA, CA EXCLUSIVE OFFERING. Brandon M. Robinson President & Broker. 715 N. Mountain Ave Suite 200 Upland, CA 91786

Transcription

1 EXCLUSIVE OFFERING UNITED SELF STORAGE CALIPATRIA, CA Brandon M. Robinson President & Broker 715 N. Mountain Ave Suite 200 Upland, CA Mobile: (760) Fax: (909) Cal BRE# Cal BRE# John 3:16

2 TABLE OF CONTENTS Investment Overview.. Property Profile... Photos & Maps... Unit Mix... Income & Expenses... Pricing & Financing.. Comparable Sales... Portable Storage Storage Developers.. Storage Lenders Broker Remarks.... buyer should carefully verify information contained herein. Romans 10:9

3 INVESTMENT OVERVIEW Imperial County is a middle class agricultural based community located just east of San Diego and South of Riverside County. Being formed in 1907, Imperial was the last county to be established in the State of California. The county has since grown to a population over 200,000 people. Imperial county was broken off of San Diego County and named after the Imperial Land Company, a Subsidiary of the California Land Company. The County is home to the Salton Sea which is the largest body of water in the State of California. Imperial County is a growing area with significant upside in terms of population growth and future development. United Self Storage is a Value Add property in the city of Calipatria, CA on the northeast side of Imperial County. The property is the only storage in the area and is located on a major thoroguhfare. United Self Storage is across the street from Grace Smith Elementary School and adjacent to Single and Multi Family Developments. An investor has a great opportunity to capitalize on Teachers and Staff needing to store items during school break periods. This 6,500 sq. ft. storage facility was constructed in1997 out of metal materials. There are currently 58 storage units and 8 RV spaces rented at this 75% occupied facility. The property comes with an office, manager's residence, and water tank. The property sits on 2.91 acres and has room for expansion or the addition of Uhaul truck rental. The city of Calipatria is home to the world famous development "Salvation Mountain", created by Leonard Knight. This landmark site attracts thousands of annual visitors to the city of Niland. In addition, hunting in Imperial County is another major attraction to the area. Major Employers & Local Attractions El Centro Regional Medical Center Pioneers Memorial Hospital Imperial Valley College Imperial Date Gardens Imperial County Sheriff Walmart Fort Yuma Blue Angels U.S. Navy Flight Squadron Anza-Borrego State Park Imperial Valley Expo & Fairgrounds Salton Sea Algodones San Dunes Colorado River Imperial Valley Mall Demographics Calipatria, CA Total Population: 7,500 Average Household Income: $40,626 Population Per Sq. Mile: 2,000 Median Household Income: $31,019 Median Age: 33 Income Per Capita: $18,866 Male / Female Ratio: N/A Average Disposable Income: $34,902 High School Graduate: 30.0% Median Home Value: $173,000 2-Year Degree: 25.0% Average Household Size: 3.93 Bachelor Degree: 2.0% Owners: 47.0% Post-Graduate Degree 1.0% Renters: 53.0% Votes Democrat: 65.2% Unemployment Rate: N/A Votes Republican: 33.1% Unemployment Number: N/A buyer should carefully verify information contained herein. John 14:6

4 PROPERTY PROFILE Property Name: United Self Storage Address: 8101 Highway 111 Road, Calipatria, CA Price: $350,000 Price Per Square Foot: $53.85 Actual Cap Rate: 6.24% Rentable Square Feet: 6,500 Gross Income: $35,490 Net Income: $21,854 Number of Units: 66 Storage Physical Occupancy: 76% Storage Economic Occupancy: 65% Acreage: 2.91 Gross Square Feet: 126,760 Year Built: 1997 Zoning / Use: Retail Trade APN: Number of Buildings: 2 Number of Stories Single Story Construction Type: Metal Land for Expansion: Yes Paving: Sand & Gravel Gate Software: N/A Cross Streets: 4th & Main Streets Nearest Freeway: Highway 111 Traffic Count: <5,000 Management Apartment: 1 Bed, 1 Bath Amenities: Drive Up Units Land for Expansion Room for Uhaul Truck Rental Website: N/A buyer should carefully verify information contained herein. Proverbs 3:5

5 PROPERTY PHOTOS buyer should carefully verify information contained herein. Jeremiah 29:11

6 AERIAL & LOCATION MAPS buyer should carefully verify information contained herein. Philippians 4:13

7 UNIT MIX & INCOME SUMMARY Size Sq. Ft. # Of Units Rentable Sq. Ft. Rate Rate / Sq. Ft. Monthly Income Annual Income 5x $55 $1.10 $550 $6,600 10x ,400 $70 $0.70 $1,680 $20,160 10x ,600 $80 $0.53 $1,920 $23,040 RV ,600 $50 $0.25 $400 $4, ,100 $4,550 $54,600 Units Sq. Ft. Average rate / sq. ft. $0.56 Self Storage 58 6,500 Average Size RV 8 1,600 Total 66 8,100 Total Units 66 Owner Occupied 0 Units Rented 50 Occupancy 76% Collections 65% buyer should carefully verify information contained herein. Matthew 7:21

8 INCOME & EXPENSES INCOME Gross Potential Income: $ 54,600 Vacancy: 19,110 Gross Storage Income (2016): $ 35,490 Admin & Late Fees: $ - $ 35.00% Rent Refunded: $ - Truck Rental $ - Total 2016 $ 35,490 EXPENSES New Real Estate Taxes: 4, Property Insurance: $ 1, Payroll: $ - Off-Site Management: $ 2, Advertisement: $ Bank Service Charges: $ Maintenance & Repairs: $ 1, Utilities: $ 4, License & Permits: $ - Postage & Delivery: $ - Total Expenses 13, $ % $ 38.42% NET INCOME $ 21, buyer should carefully verify information contained herein. John 10:10

9 PRICING & CLOSING COSTS Current Proforma PRICE RANGE $350,000 $350,000 GROSS COLLECTED INCOME (2016) $35,490 $49,140 EXPENSES $13,636 $13,636 NET INCOME $21,854 $35,504 CAP RATE 6.24% 10.14% GROSS REVENUE MULTIPLIER SELF STORAGE SQ. FT. 6,500 6,500 RV STORAGE SQ. FT. 1,600 1,600 PRICE PER SQ. FT. (Storage Only) $53.85 $53.85 PRICE PER SQ. FT. (Storage & RV) $43.21 $43.21 buyer should carefully verify information contained herein. Galatians 5:16

10 PROPOSED FINANCING PRICING & RETURNS Price $350,000 Sq. Ft. 6,500 Price / Sq. Ft. $53.85 Cap Rate 6.24% Gross Revenue Multiplier 9.86 Down Payment $100,000 29% Cash On Cash Return $5, % Total Return (With Principal Reduction) $9, % PROPOSED FINANCING Loan Amount 71% $250,000 Interest Rate 5.00% Amortization (Years) 30 Monthly Debt Service $1,342 Annualy Debt Service $16, Principal Reductions $3,605 LTV 71% DCR 1.36 Loan Terms 30 Year Amotirzation, Due in 10 Loan Due Date 10 Years from closing Loan Fees 2% INCOME & EXPENSE INFORMATION Potential Rental Revenue $54,600 Vacancy $19, % Actual Rental Revenue $35,490 Other Revenue $0 Total Revenue $35,490 Total Expenses $13,636 Net Operating Income $21,854 buyer should carefully verify information contained herein. Genesis 1:27

11 SALES COMPARABLES SUBJECT PROPERTY Calexico Mini Storage Closing Date On Market Closing Date 11/2/2015 Sales Price $350,000 Sales Price $4,100,000 Cap Rate 6.24% Cap Rate 7.00% Price / Sq. Ft. $53.85 Price / Sq. Ft. $71.96 Sq. Ft. 6,500 Sq. Ft. 56,975 Total Units 66 Total Units 584 Occupancy 76% Occupancy 95% Year Built 1998 Year Built 1998 Acreage 2.91 Acreage 6.91 Lot Size 126,760 Lot Size 301,000 Distance Subject Distance 43 Miles Address 8101 Highway 111 Road Address 95 West US Highway 98 Calipatria, CA Calexico, CA Portico Self Storage AM-PM Mini Storage Closing Date 9/6/2016 Closing Date 5/1/2017 Sales Price $4,100,000 Sales Price $1,650,000 Cap Rate 7.00% Cap Rate 3.00% Price / Sq. Ft. $85.94 Price / Sq. Ft. $33.54 Sq. Ft. 47,710 Sq. Ft. 49,200 Total Units 451 Total Units 384 Occupancy 88% Occupancy 50% Year Built 1998 Year Built 1985 Acreage 3.46 Acreage 10 Lot Size 150,718 Lot Size 435,600 Distance 40 Miles Distance 37 Miles Address 2420 Enterprise Blvd Address 502 E. Ross Avenue Calexico, CA El Centro, CA StoreMore Self Storage Amigo Mini Storage Closing Date 8/22/2016 Closing Date On Market Sales Price $950,000 Sales Price $3,000,000 Cap Rate 8.50% Cap Rate 5.00% Price / Sq. Ft. $38.31 Price / Sq. Ft. $90.24 Sq. Ft. 24,800 Sq. Ft. 33,244 Total Units 170 Total Units 271 Occupancy 90% Occupancy 75% Year Built 1999 Year Built 1970 Acreage 2.87 Acreage 6.87 Lot Size 125,017 Lot Size 299,257 Distance 30 Miles Distance 40 Miles Address 329 W. Aten Road Address 2360 Portico Blvd Imperial, CA Calexico, CA buyer should carefully verify information contained herein. Acts 2:38

12 SALES COMPARABLE SUMMARY Property Name Year Built Lot Size Square Feet # of Units Occupancy Rates Sales Price Price / Sq.Ft. Cap Rate Closing Date SUBJECT PROPERTY ,760 6, % $ 350,000 $ % On Market Calexico Mini Storage ,000 56, % $ 4,100,000 $ % 11/2/2015 Portico Self Storage ,718 47, % $ 4,100,000 $ % 9/6/2016 AM-PM Mini Storage ,600 49, % $ 1,650,000 $ % 5/1/2017 StoreMore Self Storage ,017 24, % $ 950,000 $ % 8/22/2016 Amigo Mini Storage ,257 33, % $ 3,000,000 $ % On Market Market Averages ,318 42, % $ 2,760,000 $ % buyer should carefully verify information contained herein. Matthew 22:37-40

13 PORTABLE STORAGE CONTAINER COMPANIES Below are companies that manufacture and sell portable storage in California. The rough cost of the shipping container units are between $10 - $15 per sq. ft. The traditional self storage units range between $30 - $40 per sq. ft. Please contact the companies below for exact pricing. Company Contact Phone Janus Blake Robinson (479) Blaker@janusintl.com Mako Steel Caesar Wright (760) cwright@makosteel.com USC John Cooley (303) john.cooley@universalstorage containers.com Aztec Container Steve Hyndman (800) info@azteccontainer.com Pac-Van Rob McDaniel (909) RMcDaniel@pacvan.com Mobile Mini Peter Synn (909) psynn@mobilemini.com Cube Depot Tara (562) LongBeach@CubeDepot.com Instant Storage Charles McCann (661) info@instantstorage.com Traditional Self Storage Style Shipping Container Style buyer should carefully verify information contained herein. Genesis 1:1

14 PERMANENT STORAGE CONSTRUCTION Two of the biggest names in self storage development are Kiwi Construction and Mako Steel. Both companies have been in business for over 20 years and are the preferred contractor for the largest storage operators in the country. Feel free to contact them for information regarding construction Keller Rd, Murrieta, CA (951) Phone (951) Fax El Camino Real, #100 Carlsbad, CA (760) Phone (760) Fax buyer should carefully verify information contained herein. Philippians 2:10

15 STORAGE LENDERS Bank of Hope (SBA) Gene Pac Senior Vice President 3200 Wilshire Blvd., 7th Floor Los Angeles, CA (213) Phone (213) Fax Pacific Premier Bank (SBA) Francisco Navas Senior Vice President 1249 E. Katella Ave, Orange, CA (805) Mobile (714) Fax Nortmarq Capital Michael Elmore Executive Vice President 500 Newport Center Drive Suite 650 Newport Beach, CA (949) Phone (949) Fax Talonvest Capital, Inc Thomas Sherlock Principal Von Karman Ave Suite 1650 Irvine, CA (949) Phone buyer should carefully verify information contained herein. Matthew 6:33

16 BROKER REMARKS United Self Storage is an excellent opportunity for someone seeking a small investment with significant upside. An investor can get into this storage at a low price and have a property that will grow over time. The property has just over 2 acres of undeveloped land that can be used to expand the storage as the Imperial county grows. This county continues to see population increase due to lower cost of living than that of the neighboring counties of Riverside and San Diego. Furthermore, there is room to immediately add revenue and marketing through the addition of U-Haul truck rental! There are currently no U-Haul dealers in the cities of Calipatria & Niland. The closest U-Haul truck dealer is 20 miles south in the city of Brawley. Do Not let this opportunity past you by! National Association of Realtors ID: Multiple Listing Service ID: CV37631 buyer should carefully verify information contained herein. Matthew 28:19