Proudly offers for Sale: Centennial Parkway Town Home Project 1223 Centennial Parkway Tyler, TX 75703 Town Home Development Currently Under Construction Originally $4,500,000 Price Negotiable Executive Summary
Origin: Centennial Parkway Town Homes 1223 Centennial Parkway, Tyler, TX 75703 Centennial Project LLC was formed by three Tyler surgeons and Randy Hanson, a long-time local builder, who saw the need for additional quality rental housing in the growing Tyler market. Tyler is the hub of East Texas for a number of important industries, most notably the medical industry that is positioned for continued growth and services for an expanding geographical area. Medical professionals in the Tyler area will continue to require quality housing without the commitment of purchasing a permanent residence. Their vision led to this multi-family complex project. The project is located on 19 acres of prime real estate in south Tyler. If completed as originally planned, this project would consist of twenty (20) incomeproducing four-plex s and a couple of duplexes. The plan is to build, lease and then sell all the buildings as income-producing investments as construction is completed on each. The total value of the completed project is estimated to be $18,000,000 PLUS the value of the remaining undeveloped plats 23-55.
Project for Sale: Due to partnership issues, Centennial Project LLC is offering this project for sale while under construction. This promising project is an outstanding opportunity for the right party to accelerate the completion of this project. Currently, there are five structures under construction at various stages as follows: one four-plex is 90% complete, two more four-plex s are 65% complete and two duplexes are 65% complete. The aggregate value of these structures at this stage of construction is approximately $2,850,000. Additionally, the 19 acres of prime real estate on which this project is being developed is conservatively valued of $1,900,000. A current valuation has been included. The recent annexation of this project by the City of Tyler has also provided a significant infrastructure investment by the city of about $350,000. A developer can use the current blueprints or reconfigure the development as desired. An investor has the option of hiring or partnering with the current on-site builder, Randy Hanson (Pack Construction, www.packtyler.com), and his crews to continue and complete construction.
Alternative investment Opportunities: Individual Four-plexes: The builder is currently planning to complete the first ten (10) four-plexes. The first four-plex is almost ready and the units will be leased., Each completed four-plex will be offered for $900,000 and will deliver a 7.5% cap rate on a pro-forma basis for any potential investor. A Buy and Hold Analysis is included. Undeveloped land: If the project is not purchased in its entirely, both the center section (plats 11-21) and the eastern section plats 22-55 will be offered separately. There is a current valuation break-down for the three sections of this great tract of land. Combined, all of the above provides any developer or investor with solid collateral and value well above the list price of $4,500,000. The completion and sales of the current structures under construction will return most of the initial purchase price and position the new developer or investor for an outstanding opportunity to accelerate and complete the project.
Current Valuation Breakdown: Assumptions: Total Land; 19..0 Acres 2,100 SF units will be leased for $2,100 per month. Each fourplex will sell for $900,000. At a purchase price of $900,000, a buyer will realize a 8.5% cap rate on their investment. West End of Tract: Plats 1 to 10 Plat 9 Four-plex 90% Complete Current Value $810,000 Plat 8 Four-plex 65% Complete $585,000 Plat 3 Four-plex 65% Complete $565,000 The current plan is to complete building out a total of 10 four-plexes. The first ten four-plexes will potentially sell for a total $9,000,000. Middle Part of Tract - Plats 11-21 5.66 Acres Undeveloped Land A versatile tract of land in its own right. At 5.66 acres, there is enough room here for a significant multi-family complex. It is currently comprised of 10 plats and a 30 ft private street. The plats range in size from 0.407 acres to.78 acres. This tract of land could also be developed as a single-family residential housing community or ten additiuonal fourplexes. Land Value: Currently offered for $1,000,000. East End of Tract - Plats 22-55 These plats have been recorded but can be adjusted as needed a depending purpose. Two high-end duplexes were started and are 50% complete. These duplexes are similar 4,800 SF total each / $2,400 SF per unit. These duplexes are expected to sell for $650,000 each. These two duplexes sit on Plats 40-42 based on my best estimate. Summary: When the above valuations are combined with the value of the remaining undeveloped land, the current total value of the project easily exceeds the current list price of $4,500,00. All serious offers for all or part of the project will be considered.
Individual Four-plex Specifications and Projections: Attached is a rental property calculator on the first four-plex to be completed. Each four-plex has a total of 8,400 SF of spacious living area (2,100 SF per unit). Each 2-story unit will have 3 Bedrooms, 2 ½ Bathrooms and an enclosed 2-car garage. Each unit is expected to initially rent for $1.00/SF or $2,100 per month. On this basis, each four-plex will produce a gross income of $8,400 per month or $100,800 per year. At a sale price of $900,000 each, investors will achieve a cap rate of 7.5% and a Cash-on-Cash ROI of 10.4% on these newlyconstructed four-plex s. Rather than leasing and selling these four-plex s, a developer or investor has the option of leasing and holding these units to achieve these returns after construction is completed. Local property management is available. I encourage you to call and arrange to visit our construction site to provide you with a better understanding of this outstanding investment opportunity. Richard Garza, Realtor VIP Realty Cell: 214-886-9840 Email: rgarza@viprealtyinfo.com Website: rgarza.viprealtyinfo.com
About Tyler, TX Charming brick streets. Antique shops and unique specialty stores. Crystal-clear lakes. Challenging golf courses and scenic campgrounds. Tyler, Texas has something for everyone. Tyler is America s Rose Capital, home of the annual Texas Rose Festival and one of Livability.com s Top 10 Gardens to Inspire. We are also proud to host a breathtaking Azalea & Spring Flower Trail each year when Spring rolls around. Located 95 miles east of Dallas, Tyler is the advanced manufacturing, health-care and retail center of East Texas, as well as Texas first Certified Retirement City. The city has an impressive youth recreation program, ballet, symphony orchestra, art museums and is also home to several colleges, including the University of Texas-Tyler. As a regional educational and technology center, Tyler is the host for more than 20,000 higher education students, a College of Engineering and a University Health Science Center, two regional billion-dollar hospital systems and a variety of technology startups.