BEAR CREEK apartments
OFFERING Paragon Real Estate Advisors is pleased to exclusively offer for sale the Bear Creek Apartments, an 8 unit apartment building located in the highly sought after and walkable Redmond neighborhood. The property has undergone a complete high-end renovation to both the interior and exterior of the building. With a WalkScore of 84 and modern looking units, the Bear Creek Apartments cater well to tenants who work in the strong tech employment markets on the Eastside. BEAR CREEK apartments NAME Bear Creek Apartments ADDRESS 17121 NE 80th St, Redmond WA 98052 TOTAL UNITS 8 BUILT 1984 SQUARE FEET 7,408 Total Net Rentable PRICE $3,300,000 PRICE PER UNIT $412,500 PRICE PER FOOT $445.46 CURRENT GRM/CAP 18.1/4.0% MARKET GRM/CAP 15.0/5.0% LOT SIZE ZONING 14,549 Square Feet R30 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify all information and bears all risk for inaccuracies.
SEATTLE CBD UNIVERSITY OF WASHINGTON BELLEVUE BRIDLE TRAILS STATE PARK KIRKLAND MARYMOOR PARK REDMOND TOWN CENTER
INVESTMENT HIGHLIGHTS Rare opportunity to purchase Eastside location apartments 8 well appointed homes High end renovation; marble, tile, hardwoods, stainless steel All units have washer and dryers 12 covered parking spaces Located in the heart of Redmond Private decks with territorial views Large dedicated storage units for each unit BEAR CREEK apartments
LOCATION HIGHLIGHTS Redmond is the seventh most populous city in King County and the 15th most populous city in the State of Washington. The city is located 11 miles north east of downtown Seattle, at the east end of State Route 520 along the north end of Lake Sammamish. Redmond is well known as a center of technology and the location for a number of nationally known high-tech, gaming, aerospace and biomedical companies, as well as innovative start-ups. The daytime employment population is approximately 110,000. Walkscore of 84 - Very Walkable WALK SCORE 84 Ten minutes from downtown Bellevue and twenty minutes from downtown Seattle Convenient access to Safeway, Trader Joe s, PCC Natural Markets and Whole Foods Blocks to Redmond Town Center Minutes away from Marymoor Park and Redmond Watershed Nature Preserve Close urban heart of the city, featuring local favorite restaurants, bars and delis like the Tipsy Cow, Molly Moon s Homemade Ice Cream, Mahoney s, Palmer s East and Woodblock MEDIAN INCOME $103,409 Within ten minutes of the largest employers in the region including Microsoft and Amazon Redmond Named Best Place To Live In Washington - (Niche.com, 2017) POPULATION 64,050 *https://www.ofm.wa.gov/washington-data-research/population-demographics/population-estimates/april-1-official-population-estimates
REDMOND Redmond has acted to maintain a strong economy and a diverse job base. The city is the home to many small, medium-size and locally owned businesses and services, as well as nationally and internationally recognized corporations. Redmond has a comprehensive Plan, known as the Redmond 2030. The plan is set in place to help the city grow, develop, and enhance the livability of the neighborhoods, and to deliver high-quality services in partnership with the community by the year 2030. Redmond s 2030 transportation system offers people a variety of real choices for how we get between where we live, work, shop and play. Each year, more people walk, bicycle, carpool or use transit to travel within the city to access the regional bus and light rail system because land uses that reflect our vibrant community character have created a strong market demand for these options. The City has invested strategically and leveraged regional funds to ensure a safe, well-maintained system, improve transportation choices and mobility, and support our two Urban Centers, Downtown and Overlake.
TRANSPORTATION Sound Transit s East Link light rail extension project is bringing highquality rail transit to Redmond with service starting at two stations in Overlake in 2023: Overlake Village (SR 520 at 152nd Ave NE) and Redmond Technology Center (SR 520 at NE 40th St). Once the project is complete, travelers from the Redmond Technology Center station will enjoy 10-minute trips to Downtown Bellevue and 30-minute trips to Downtown Seattle on tracks separated from automobile traffic. When East Link light rail opens in 2023 there will be multiple ways to access the stations, including: Walking and biking: Redmond stations include pedestrian-bicycle bridges over SR 520 to help people conveniently access the stations, including using the 520 Trail 2023 2021 2023 2025 Transit: bus transit will be restructured in advance of light rail opening to make it easier to access East Link Getting a ride: both stations in Redmond will have pick-up and drop-off areas Vehicle parking: vehicle parking will be available at the Redmond Technology Center station, Bel-Red/130th station and South Bellevue station. In addition, the Overlake Park-and-Ride on 152nd Ave NE is located about a six-minute walk from the Overlake Village station. In November of 2016 voters approved the extension of the East Link Light Rail project from the Redmond Technology Center Station at NE 40th St. in Overlake, which opens in 2023, to southeast Redmond and Downtown, with service targeted to begin in 2024. 2016 2023
TOP 20 REDMOND EMPLOYERS RANK COMPANY FTE JOBS* 1 Microsoft Corporation 38,657 2 Terex Washington & USA 2,136 3 Lake Washington School District 1,512 4 Eurest Dining Services 1,241 5 Nintendo of America 953 6 AT&T Mobility 941 7 Honeywell International Inc. 867 8 United Parcel Service 797 9 Stryker Corporation 704 10 City of Redmond 671 11 Mindtree Limited 637 12 CBRE Inc. 535 13 Accenture 448 14 Aerojet 421 15 MV Public Transportation Inc. 339 16 Wyndham Vacation Ownership Inc. 339 17 Wipro Limited 268 18 Securitas Security Services USA Inc. 258 19 Costco Wholesale Corporation 257 20 Pacific Bioscience Laboratories Inc. 253 Total 52,234 * Full-time equivalent number of jobs - 2016
AREA DEVELOPMENTS Microsoft Expansion : Microsoft is currently undergoing a multi billion dollar campus renovation and expansion. Over the next five to seven years, the company will construct 18 new buildings on the campus. It will also renovate several other buildings to give them a modern, open feel similar to the workplaces at Amazon, Google and other big tech companies. In total the expansion will add about 2.5 million square feet in new construction, creating room for 8,000 future jobs. Facebook : Facebook has plans to grow it s Oculus virtual reality company to nearly one million square feet of office space in the city of Redmond. Facebook purchased the company in 2014 for over 3 Billion dollars and stated their goal is to get the device into the hands of 1 billion consumers. The company recently purchased a 16 acre site on Willows road to facilitate this goal. Space X: Space X, which currently operates a 30,000 square foot facility in Redmond has leased an additional 40,000 feet of office in the Redmond Ridge Corporate Center. This facility will be used for the research, design and production of Satellites. The CEO of Space X, Elon Musk predicts that this business will eventually employ over 1,000 people in Redmond. Overlake Plaza Redevelopment: This project, led by Seritage Growth Properties would transform roughly 14 acres in the Overlake neighborhood into a mixed use development. The site is located at 2200 148th Ave NE and is commonly known as the Sears site. The project plans to build 500 apartments, 100,000 square feet of retail space, a 200 room hotel, 267,000 square feet of office and underground parking to accommodate 2,250 vehicles.
BUILDING RENOVATIONS UNIT RENOVATIONS New combination lock mailboxes - 2016 New skylights - 2016 New maintenance storage room - 2016 New electric keypad locks on all doors 2016 Storage room updating with metal doors 2016 New walkway and stairs to parking 2017 New exterior lighting and landscaping 2017 Main sewer line clean out 2017 New decks and gutters 2017 New exterior paint - 2018 New windows and sliders 2018 New appliances and ventilation hoods New plumbing through out New vinyl plank flooring New blinds and curtains New bathroom fixtures New washer and dryers New heating/thermostats New lighting New cabinets, countertops and bathrooms New lighting through out New SMURF-tubing, TV insert and wall mounts New roof, underlayment and ventilation 2018
BUILDING PHOTOS
UNIT PHOTOS
UNIT PHOTOS
Unit Breakdown BEAR CREEK apartments APPROXIMATE CURRENT CURRENT MARKET MARKET UNIT TYPE UNIT SIZE RENT RENT/SQ.FT. RENT RENT/SQ.FT. 17121 2 Bd/1.5 Bth 1,144 Sq.Ft. $2,200 $1.92 $2,500 $2.19 17123 2 Bd/1.5 Bth 1,144 Sq.Ft. $2,200 $1.92 $2,500 $2.19 17125 2 Bd/1.5 Bth 1,144 Sq.Ft. $2,300 $2.01 $2,500 $2.19 17127 2 Bd/1.5 Bth 1,144 Sq.Ft. $2,275 $1.99 $2,500 $2.19 17129 1 Bd/1 Bth 708 Sq.Ft. $1,450 $2.05 $1,850 $2.61 17131 1 Bd/1 Bth 708 Sq.Ft. $1,450 $2.05 $1,850 $2.61 17133 1 Bd/1 Bth 708 Sq.Ft. $1,550 $2.19 $1,850 $2.61 17135 1 Bd/1 Bth 708 Sq.Ft. $1,775 $2.51 $1,850 $2.61 Totals/Avg 7,408 Sq.Ft. $15,200 $2.05 $17,400 $2.35
Income and Expenses Units 8 Price $3,300,000 Year Built 1984 Per Unit $412,500 Rentable Area 7,408 Per Sq. Ft. $445.46 Down Pmt $1,147,234 Current GRM 18.09 Loan Amount $2,152,766 Current CAP 4.01% Interest Rate 4.50% Market GRM 14.98 Amortization 30 years Market CAP 4.96% UNIT CURRENT MARKET UNITS TYPE SIZE RENT RENT 4 1 Bd/1 Bth 708 $1,450 - $1,775 $1,850 4 2 Bd/1.5 Bth 1,144 $2,200 - $2,300 $2,500 8 Total/Avg 926 $2.05 $2.35 ANNUALIZED OPERATING EXPENSES CURRENT MARKET Real Estate Taxes 2018 $19,891 $19,891 Insurance 2017 $7,438 $2,400 Utilities 2017 $7,086 $9,600 Contract Services 2017 $4,400 $2,000 Maint & Repairs 2017 $1,800 $6,400 Professional Mgmt 2017 $0 $4,800 Administration 2017 $0 $800 Reserves $250/unit $2,000 $2,000 Total Expenses $42,615 $47,891 CURRENT OPERATIONS Expense/Unit $5,327 Expense/Foot $5.75 Percent of EGI 23.36% MARKET OPERATIONS Expense/Unit $5,986 Expense/Foot $6.46 Percent of EGI 21.74% MONTHLY INCOME CURRENT MARKET Gross Potential Rent $15,200 $17,400 Utility Bill Back $0 $800 Other Income $0 $160 Gross Potential Income $15,200 $18,360 BEAR CREEK apartments ANNUALIZED OPERATING DATA CURRENT MARKET Scheduled Gross Income $182,400 $220,320 Less Vacancy 4.0% $7,296 4.0% $8,813 Gross Operating Income $175,104 $211,507 Less Expenses $42,615 $47,891 Net Operating Income $132,489 $163,616 Annual Debt Service ($10,908/mo) $130,893 $130,893 Cash Flow Before Tax 0.14% $1,596 2.85% $32,723 Principal Reduction $34,729 $34,729 Total Return Before Tax 3.17% $36,325 5.88% $67,452
SALES COMPARABLES Bear Creek Apartments 17121 NE 80th St Redmond, WA 98052 Year Built 1984 Units 8 Sales Price $3,300,000 Price/Unit $412,500 Price/Foot $445.46 Current GRM/CAP 18.1/4.0% Market GRM/CAP 15.0/5.0% 1 4 5 BEAR CREEK apartments 3 1 Year Built 1901 Units 10 Sales Price $3,390,000 Price/Unit $339,000 Price/Foot $647.94 GRM/CAP 19.6/3.7% Residences at 518 518 2nd St Kirkland, WA 98033 Townside Flats 7910 170th Pl NE Redmond, WA 98052 Sales Date 9.17.2018 Year Built 3 1988 Units 39 Sales Price $13,350,000 Price/Unit $342,308 Price/Foot $425.70 GRM/CAP 14.7/4.8% Sales Date 4.20.2018 5 Year Built 1962 Units 5 Sales Price $1,875,000 Price/Unit $375,000 Price/Foot $501.34 GRM/CAP 26.3/2.5% Jewell Apartments 324 6th Ave S Kirkland, WA 98033 Sales Date 10.31.2017 2 Year Built 1965 Units 7 Sales Price $3,100,000 Price/Unit $442,857 Price/Foot $345.37 GRM/CAP 5.8/2.5% The Coachman 520 104th Ave SE Bellevue, WA 98004 4 Year Built 1990 Units 8 Sales Price $2,810,000 Price/Unit $351,250 Price/Foot $330.90 GRM/CAP 25.1/2.2% Juanita Townhomes 11611 100th Ave NE Kirkland, WA 98034 Sales Date 8.1.2017 Sales Date 2.12.2018 2
RENT COMPARABLES Bear Creek Apartments 17121 NE 80th St Redmond, WA 98052 1 Bd/1 Bth 2 Bd/1.5 Bth 708 1,144 $1,450 - $1,775 $2,200 - $2,300 $2.05 - $2.51 $1.92 - $2.01 1984-8 Units 1 Delano Apartments 7805 170th Pl NE Redmond, WA 98052 1 Bd/1 Bth 727 $1,827 $2.51 3 BEAR CREEK apartments 2009-66 Units 2 2 Ravello Apartments 16180 NE 80th St Redmond, WA 98052 1 Bd/1 Bth 2 Bd/1 Bth 770 1,021 $1,889 $2,725 $2.45 $2.66 4 5 1 2017-102 Units 3 Allez Apartments 8397 158th Ave NE Redmond, WA 98052 1 Bd/1 Bth 736 $1,924 $2.61 2013-148 Units 4 Sixty01 Townhomes 13896 NE 66th St Redmond, WA 98052 2 Bd/1.5 Bth 1,050 $2,600 $2.47 1972-121 Units 5 Carter on the Park 7508 159th Pl NE Redmond, WA 98052 2 Bd/1 Bth 840 $2,635 $3.14 2016-180 Units
600 University St, Suite 2018 Seattle Washington 98101 206 623-8880 / info@paragonrea.com www.paragonrea.com This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify all information and bears all risk for inaccuracies.