Redevelopment Opportunity in Albuquerque s Development friendly Downtown 2025 District Rare opportunity to own cash flowing property with redevelopment potential (fast track zoning allows quick approval for development up to 40 stories tall) ABQ is # 5 in the nation for rent growth (abodo.com) 1 Irreplaceable Nob Hill Location 419 Monroe NE Excellent Brew Pub Location
The Property #1 The Combined Offering The Property #2 On behalf of the owners, NM Apartment Advisors Inc., is pleased to present a rare opportunity to acquire an assembled quarter block of downtown Albuquerque. This site and 15 unit community offers the trifecta in high walk score (93), bike score (77) and transit score (57), making it an ideal location 2 Address # of units 8 Year Built: 1920 Bldg. Size 210-230 6th SW Rentable 5,613 sf Gross 5,613 sf Avg. Unit Size 702 square feet Site 3,550 sf List Price $550,000 $/ unit $68,750 $ /sf $97.99 Actual Proforma Avg. Rent $692 $819 GRM 8.28 6.94 Cap Rate Before reserves Cap Rate After reserves 8.10 % 10.1% 7.80 % 9.8% Year 1 NOI $43,006 $53,990 Amenities Restaurant & excess storage UPC# 1-014-057-092378-22301 for a millennial redevelopment. Combined Portfolio # of units 15 Bldg. Size Net Rentable 10,701 sf Gross 11,201 sf Avg. Unit Size 713 square feet Site Size: 14,004 sf or 0.32 acres List Price: $1,200,000 $/ unit: $80,000 $ /sf: $112.14 Actual Proforma Avg. Rent: $672 $783 GRM: 9.93 8.51 Cap Rate Before reserves: Cap Rate After reserves: 6.72% 8.23% 6.44% 7.94% Year 1 NOI: $77,225 $95,331 Legal: Lots 21, 22, 23 & 24, Block 25, NM Town Company Original Townsite Zoning: SU-3 /Downtown 2025 Address # of units 7 Year Built 1901 Bldg. Size 517-521 Silver SW Rentable 5,088 sf Gross 5,582 sf Avg. Unit Size 727 square feet Site 10,454 sf List Price $650,000 $/ unit $92,857 $ /sf $128.75 Actual Appraisal Avg. Rent $654 $742 GRM 12.25 10.42 Cap Rate Before reserves Cap Rate After reserves 5.30% 7.50% 5.10% 7.40% Year 1 NOI $32,885 $48,201 Amenities Extra parking lot area produces income UPC# 1-014-057-096377-22302 1-014-057-099376-22303
Annual Property Operating Data (APOD) - Income Additional Income includes: Per month Per year Utility reimbursement units 210, 212, 21, 218 & 220 $30 each x 5 $150 $1,800 Parking Income $45 x 15 spaces $630 $7,560 $9,360 3
4 Annual Property Operating Data (APOD) - Expenses
5 5 year hold analysis with internal rate of returns (IRR)
Comparable Multifamily Sales Both properties appraised in 2015 for $1,200,000 6
Property Surveys 210-230 6th SW 517-521 Silver SW 7 3,550 sf of land 10,454 sf of land
8 Property photographs 210-230 Sixth SW
9 Property photographs 517-521 Silver SW
Precedent Development Study 700 2nd NW Address # of units 72 Year of construction: Bldg. Size 700 2nd NW 2009 Net Rentable 18,048 Gross 39,048 sf Avg. Unit Size 308 square feet Site 0.73 Acres Amenities Current Status: LEED certified, 17 parking spaces, common area garden, community coffee shop Low Income Housing Tax Credit community 10
11 Potential Redevelopment Possible Floorplans
12 Potential Redevelopment 84 units
The Location Downtown vs. Other ABQ CBD s Demographics Downtown to UNM is the millennial corridor to with an average age of 32, fully a decade younger than Nob Hill and 8 years younger than North I-25. Adding jobs + residents, Downtown has 42% more people in its trade area than the next biggest submarket, Uptown. Business / Employment Downtown has 14 jobs per acre, twice as many as Uptown at 7 per acre and more than North I-25 at 9 per acre or Nob Hill at 4 per acre. Downtown has 111 Restaurants within a one mile radius of 4 th / Central. Our gourmet district, Nob Hill has 86, and our retail mecca, Uptown has 84, and Journal Center - just 35. Downtown has 209 retail businesses, Uptown has 363, Nob Hill has 318 and North I-25 has 116 Downtown has one recently renovated grocery store and a new one that is breaking ground Q1-2015 13 Getting Around Downtown has a walkability score of 92, transit score of 59 (Manhattan with its subways is a 100), and a bike score of 91, and on average is a full 10 points higher than Nob Hill The Downtown ABQ Rail Runner stop has almost twice as many people enparting/departing trains as the next stop, North Valley/ Journal center. There are seven freeway entrances to downtown and Downtown is 2.5 miles to the airport, 1 mile to UNM, and a mile and a half to the Bosque. Real Estate Since 2000 and the inception of the Downtown 2010 zoning plan, Downtown has added over 1,800 units of housing and 3,000 new residents. The Downtown 2010 plan was updated to include maker spaces and brew pubs and is now the Downtown 2025 plan. The City has just completed its $25M renovation of our convention center. Parking there are 18,592 parking spaces downtown, and over 6,500 are vacant at any moment (Coronado Shopping Center only has 5,500 spaces). The City recently completed the 4th Street renovation (the only place in the nation where Route 66 crosses itself!).
14 The Location Downtown Contextual Fabric
The Location - In the news, new jobs Subject 15
16 The Location - A hub of
The Location - Millennials, craft brew pubs and coffee Subject Source: Downtown Main Street 17
Downtown Zoning and Districts Created in 1999 as the Downtown 2010 sector development plan, the Downtown 2025 sector plan has recently been revised to incorporate the needs of the millennials (3D printing, brew pubs, etc.) The zoning is a form based code that has a fast track approval process. Locations located near the core can build up to 40 stories, locations along the edges are limited to 8 stories. Downtown 2025 Sector Development Plan EDO Regulatory Plan Downtown Trade Area Subject 18
Aspen Institute, October 2007 19 The Market Albuquerque, NM Although the rest of the country might know Albuquerque for its award winning TV Show, Breaking Bad, astute investors are looking at Albuquerque as the place to invest. With neither a boom or bust mentality, Albuquerque has a strong record of rent increases and a lack of new product. This results in high barriers to entry for competing apartments making multifamily investment a solid choice. Thanks to major employers like Sandia National Laboratories and Intel Albuquerque is home to more PhD s per capita than in any city in North America. Albuquerque has an exceptional quality of living, offering over 147 miles of hiking and biking trails inside the city as well as mile high Sandia mountains, and North Americas largest cottonwood forest, Albuquerque is known for its 300+ days of sunshine, skiing and golf in the same day, stunning sunsets, and abundance of outdoor activities, Albuquerque is the amenity for most apartment residents. #1 place where home prices are likely to rise Albuquerque, New Mexico in the news 5th highest rent increases in nation - ABQ Journal / ABDO 12/2015 9th best mid-sized city of the Future Foreign Direct Investment magazine 03/2015 6th best city to travel to for food snobs Travel+Leisure 03/2015 America s best city for Global Trade for Skilled Workforce Global Trade magazine 11/2014 3rd best city for rent growth All Property Management as reported in ABQ Journal 10/2013 6th best city in US for connecting workers to jobs using Public Transportation Brookings Institute July 2012 One of the 10 best park systems in the nation Trust for Public Land 2012 3rd most fittest city Men s Fitness Magazine 2012 3rd best city to make movies Moviemaker.com June 2012 Top 25 best places to Retire CNNMoney.com Sept. 2011 15th best city in Bloomberg s Business Week (best cities) Bloomberg s Business Week 2011 #17th best bike friendly city Bicycling Magazine 2010 Top Ten for Being a Healthy Community Outside Magazine #6 August 2009 One of the Best Cities in the Nation Kiplinger Magazine #2 July 2009 Top 10 places to Live U.S. News & World Report June 2009 AAA rates Albuquerque 2nd in vacation affordability American Automobile Association June 2008 UNM Anderson School Ranked in Global 100 Forbes Ranks Albuquerque #8 in Best Cities for Jobs Forbes, October 2007 UNM Schools Ranked Among Best Hispanic Business- September 2007 Albuquerque Named 25th Among America's Hottest Job Markets Albuquerque Named Among the 50 Best Adventure Towns National Geographic Magazine, September 2007 New Mexico Ranked Fifth Nationally for Manufacturing Momentum Business Facilities, June 2007 Albuquerque Ranked #9 Among Cities for Most Educated Workforce Business Facilities- June 2007 New Mexico Ranked #7 for Pro-Business Climate (#1 in the Southwest) Business Facilities, June 2007 Albuquerque Ranked #2 Arts Destination Albuquerque Named Among the Top 20 Metros for Nanotech Wilson Center's Project on Emerging Nanotechnologies, May 2007 Albuquerque Named one of the Top 20 Midsize Cities for Doing Business Inc.com, April 2007 Albuquerque Fittest City in the Nation Men's Fitness, March 2007 Albuquerque One of America's 50 Hottest Cities, Expansion Management, February 2007 Albuquerque Named a Top 10 City for Movie Making, Albuquerque Ranked 3rd Smartest City to Live, Kiplinger s Personal Finance, May 2006 Albuquerque One of the Top Metros in U.S. Overall for Public Schools- Expansion Management, May 2006 Bizjournals Survey Ranks Albuquerque 18th for Jobs, BizJournals, November 2006 Albuquerque Best in Nation for Business and Careers Forbes, May 2006 Forbes Magazine Ranks Albuquerque as 5th Best Metro Overall and Lowest Cost City for Doing Business- Forbes, May 2005
Key Dates Property Tour : Contact agent to schedule, please do not disturb residents Register online for the tour at www.nmapartment.com/downtownabq15 Disclosure: The listing broker owns one of the two properties in this portfolio, is a licensed broker operating on his own account Marketing Advisors In the event of a multiple offer situation occurs, NM Apartments will be using the Bid Process additional info can be found here: www.nmapartment.com/bidprocess/bidprocess.pdf The owner(s) and property are represented by Todd Clarke CCIM of NM Apartment Advisors, who has twenty-seven years of experience in marketing apartments in the New Mexico area. If there is any information you need on the market, submarket, or the property, please do not hesitate to ask. Todd Clarke CEO NM Apartment Advisors Inc. 2823 Richmond NE Albuquerque, NM 87102 505-440-TODD tclarke@nmapartment.com 20 www.nmapartment.com