Foothills Villas Apartments

Transcription

1 Foothills Villas Apartments 16 Units Offered at $952, W Foothill Dr. Phoenix, Arizona Superior northwest Phoenix location, just west of I-17 and north of Highway 101. Great mix of one and two-bedroom units in this private garden-style setting. Buildings are single-level frame & stucco, or block & stucco with pitched roofs and are individually metered for electricity. Recent capital improvements include the installation of all new roofs, soffits and complete exterior repaint. All windows upgraded to energy efficient double-pane. Many units upgraded with tile, new fixtures and appliances. Tenants enjoy private and semi-private fenced side and rear yards and an on-site laundry facility. Property stays fully occupied in this sub-market with scarcity of competing apartment rentals in the area (upside in rents). The property provides great access to the valley freeway system, numerous north valley employers and retail while enjoying an excellent location between the Arrowhead Mall and the Deer Valley Regional Airport. - High demand NW Phoenix sub-market - Good unit mix (44% 2-bed units) - New roofs, soffits & exterior painting - Strong historic occupancy - Most units refurbished / tiled - Units have fenced back yards - All new double-pane windows installed - Individually metered for electricity - On-site laundry - Rent increases underway Exclusive Offered By: Scott Trevey CCIM Tel: Cell: Scott@klcommgroup.com E. Camelback Rd. Suite 105 Phoenix, AZ Tel: ; fax:

2 INCOME / EXPENSES Avg. Avg. current Total Market Total Units Type Size (sf) Rent Rent/sf Per Mo Rate Per Mo $552 $1.02 $4,968 $595 $5, $617 $0.95 $1,848 $675 $2, $719 $0.73 $1,438 $750 $1, /2 987 $680 $0.69 $1,359 $750 $1, ,756 SF/cnty $9,617 $10,380 INCOME 2013 Actual Projected GSI (annually) $115,408 $124,560 Vacancy ($11,102) ($6,228) On-site Mgr (rental unit disc) ($5,400) (5,400) Laundry Income $467 $500 Other income $1,429 $1,500 GOI $100,801 $114,932 ($43,711) ($46,178) NOI $57,090 $68,754 EXPENSES 2013 Actual Projected Office /Legal / Fees / Etc (387) (387) Professional Management 0 (5,917) On-site Mgr comp (3,450) Maint / Repair / Supplies (18,786) (18,786) Unit Turn / make ready (454) (454) Landscaping (4,038) (4,038) City of PHX priv taxes (2,326) (2,326) Utilities Water/Sewer (5,115) (5,115) Electricity (1,573) (1,573) Trash (932) (932) Insurance (2,300) (2,300) RE Taxes (4,350) (4,350) Total Expenses ($43,711) ($46,178) FINANCING & INVESTMENT SITE INFORMATION 2928 W Foothill Dr. Phoenix, AZ Units 16 Building SF 10,756 (per county) Lot Size 42,820 SF (0.98 AC) Parcel C Cool/Heat Roof-mount HVAC heat pumps Hot Water Indiv. electric water heaters Parking 26 spaces + some street parking Construction Block/stucco or wood-frame/stucco Year 1951, 1956 Utilities Indiv. metered for electricity Laundry 2 washers, 2 dryers (leased) Zoning R-4 PROPERTY INFORMATION The Foothills Villas Apartments consist of a mix of, and 2/2 rental units with a variety of floor plans. Buildings are single-level wood frame/stucco or block/ stucco with pitched roofs. Some units have hardwood floors. Most units have storm-type security doors and covered porches. All units have fenced rear or side yards making them easy to rent. Ownership has installed new double-pane windows throughout, new fiber-filled entry exit doors, all new roofs and soffits, fresh exterior paint and numerous interior upgrades from flooring and fixtures to appliances and cabinetry. Currently the rents charged are below market offering upside to cash flow. Located in a quiet residential neighborhood a few blocks north of Deer Valley Road off 31st Avenue, the property enjoys easy access to the I-17 and HWY 101 freeways. Surrounded by new and re-development projects, including upscale condos, this property offers tenants easy access to shopping, entertainment and a strong employment base. The property is positioned to benefit from continued job and retail growth in this NW Phoenix neighborhood with employers including the Deer Valley Airport, COX Communications and AAA. $ 952,000 Sale Price $ 380,800 Down Payment $ 571,200 Proposed Loan (4.25%, 25 yr. Amortization) Projected Cash Flow $68,754 NOI (37,133) Loan Payments $31,622 Annual Cash Flow Return on Investment (Projected) $31,622 / $380,800 = 8.3% (Cash on Cash) OFFERING SUMMARY Price $952,000 Price / Unit $59,500 Price / SF $88.51 Cap Rate 6.00% Current / 7.22% Projected GRM 7.64 The information contained herein is from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty or representation about it. The Purchaser is advised to independently verify the accuracy and completeness of the information in order to determine the suitability of the property for the Purchaser s needs. Directions: I-17 to Deer Valley Rd., west to 31st Av, north on 31st Av 3 blocks to Foothill Drive, east to property. Scott Trevey CCIM Kasten Long Commercial Group telephone facsimile Stcott@KLCommGroup.com

3 EXECUTIVE SUMMARY FOOTHILLS VILLAS APARTMENTS 2980 W Foothill Dr. Phoenix, AZ Units: 16 Size: Unit Mix: 10,757 total rentable (per county) Eight (8) 1-bedroom, 1-bath units (ranging in size from sf) One (1) 1-bedroom, 1-bath unit (of approximately 400 sf) Five (5) 2-bedroom, 1-bath units (ranging from 650 1,000 sf) Two (2) 2-bedroom, 2-bath units (approx 840 sf each) Construction: Block / stucco; wood / stucco Built: 1951, 1956, renovated Utilities: Individually-metered for electricity Parking: 26 reserved spaces plus street parking on 1 side of property Cooling: Roof-mounted heat-pump/ac units Buildings: Nine single story buildings; 6 block and stucco; 3 wood and stucco Roofs: Pitched composition shingle (replaced 2010); 3 flat Laundry: Leased (MacGrey) 2 washers, 2 dryers Parcel: C Acreage: 0.98 Acres (42,820 sf) Zoning: M-H The Foothills Villas Apartments consist of 9 separate single-story buildings on nearly one acre of land. Rental units include 9 (1-bed/1-bath) units ranging from approximately square feet; 5 (2-bed /1-bath) units ranging from 650-1,000 square feet, and 2 (2-bed/2-bath) units of approximately 840 square feet. Buildings are randomly positioned around the property in an attractive pattern allowing enclosed yards for each unit. Ongoing capital improvements to the property during current ownership include the installation of double-pane energy efficient windows in all units, as well as the installation of new soffits and roofing systems. Unit interiors are upgraded during unit turns often including upgraded cabinetry, doors, counters, fixtures and appliances. 26 reserved spaces and on-street parking are provided for tenants. On- site laundry is leased through MacGrey. Property amenities include exterior security lighting, designated tenant parking, pet doors in units leading directly to fenced backyards, and a courtyard setting in a low density development. The FOOTHILLS VILLAS APARTMENTS are located on West Foothill Avenue three blocks north of Deer Valley Road in North Phoenix. Close to I-17 and the 101 freeways, the property is surrounded by major employers and shopping. It is close to Deer Valley Airport, which is handles a significant amount of traffic and will be expanded into a commercial airport in the future. Recent development in the area is replacing trailer parks with condominiums and upscale apartments. Continued improvements to the property and within the area are expected to allow for ongoing rent growth. AREA Improving North Phoenix location Easy access to major freeways 1 mile from I-17 and I-101 Surrounded by condos / single family homes Proximity to fine dining/cultural venues Mature residential neighborhood AMENITIES Block / stucco construction Recent unit interior upgrades Individually-metered electric Large lot with several courtyard areas Large double-pane energy picture windows On-site laundry

4 Foothills Villas Apartments 2980 W Foothill DR., Phoenix, AZ Unit sf Unit sf Unit sf Unit sf North parking lot 14 reserved spaces Unit sf Unit 5 1,000 sf Unit 3 2/2 840 sf Unit sf laundry Unit sf Unit sf Unit sf Unit sf Unit sf Unit sf Unit 2 2/2 840 sf Unit sf South parking lot 12 Reserved spaces Measurements shown are approximate. Purchaser to independently verify the accuracy and completeness of this information in order to determine the suitability of the property for purchaser s needs.

5 Foothills Villas Apartments 2980 W Foothill DR., Phoenix, AZ

6 Foothill Villas Apartments 2980 W Foothill Dr. Phoenix, AZ SALES COMPS May 2014 Map Suggested Sale Rpt'd Avg. Tot. Size (sf) Price Price # SUBJECT Value Built Date Units BD Type Size (sf) Rent $/SF per County per Unit per sf Comments S Foothill Villas $952, $551 $ ,756 $59,500 $88.51 renovated W Foothill Dr $617 $0.92 tile floors, new windows $691 $0.70 doors, appiances, cabinets 2 2/2 987 $612 $0.62 roofs, AC units, ext paint SOLD PROPERTIES Sale Rpt'd Avg. Tot. Size (sf) Price Price Name Sale Price Built Date Units BD Type Size (sf) Rent $/SF per County per Unit per sf Comments 1 Koppinger Apts $700, /22/ studio 500 $475 $0.95 8,255 $58,333 $ bldg, no updating 1701 N 7th Ave $545 $0.84 good drive-by location, $595 $0.74 prime reposition candidate 2 Barron Apartments $615, / / ,200 $55,909 $54.91 No updating, 4120 N 22nd St 1 3/ value-add investment 3 Melrose Place $750, / $550 $ ,575 $57,692 $59.64 Citrus Acres location, 3110 N 40th St 7 2/ $650 $0.65 with huge floor plans. 1 2/ $700 $0.61 Bought to reposition/renovate 1 3/ $825 $0.69 property w/ modern & high-end 4 Casa Serena $550, /24/ $540 $0.90 6,600 $55,000 $83.33 Biltmore location, some 2222 N 27th St $645 $0.86 updates completed. 5 Camelback Springs $1,932, /10/ $550 $ ,950 $69,000 $96.84 fully renovated in 2009 with 4711 N 15th St 10 2/2 800 $700 $0.88 over $500k invested. Closed at actual 6.3% CAP Rate AVERAGES 11,716 $59,187 $75.91 Size(SF) Price/Unit Price/SF

7 2980 W Foothill Dr. SALES COMPS Images #S: Foothill Villas Apartments 2980 W foothill Dr. 16 units #1: Koppinger Apartments 12 units W Turney Ave #2: Barron Apartments 11 units 4120 N 22nd St. #3: Melrose Place 13 units 3110 N 40th St. #4: Casa Serena 10 units 2222 N 27th St. #5: Camelback Springs 28 units 4711 N 15th St.