FOR SALE OFFICE WALNEY ROAD OFFICE BUILDING 4221 Walney Rd Chantilly, VA 20151 PRESENTED BY: KAYVAN MEHRBAKHSH, CCIM, MBA Managing Director 703.734.2822 kayvan@svn.com VA #0225084011 MATTHEW JENKINS Associate Advisor 703.734.2822 matthew.jenkins@svn.com VA #0225211354 PROPERTY HIGHLIGHTS Central Chantilly Location Easy access to Route 50, Route 28, I-66 and Dulles Airport Parking Ratio of 3.6/1,000 sq ft allowing for ample parking Less than a Mile to numerous area Hotels and Restaurants
DISCLAIMER The material contained in this Offering Brochure is furnished solely for the purpose of considering the purchase of the property within and is not to be used for any other purpose. This information should not, under any circumstances, be photocopied or disclosed to any third party without the written consent of the SVN Advisor or Property Owner, or used for any purpose whatsoever other than to evaluate the possible purchase of the Property. The only party authorized to represent the Owner in connection with the sale of the Property is the SVN Advisor listed in this proposal, and no other person is authorized by the Owner to provide any information or to make any representations other than contained in this Offering Brochure. If the person receiving these materials does not choose to pursue a purchase of the Property, this Offering Brochure must be returned to the SVN Advisor. Neither the SVN Advisor nor the Owner make any representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein, and nothing contained herein is or shall be relied upon as a promise or representation as to the future representation of the Property. This Offering Brochure may include certain statements and estimates with respect to the Property. These Assumptions may or may not be proven to be correct, and there can be no assurance that such estimates will be achieved. Further, the SVN Advisor and the Owner disclaim any and all liability for representations or warranties, expressed or implied, contained in or omitted from this Offering Brochure, or any other written or oral communication transmitted or made available to the recipient. The recipient shall be entitled to rely solely on those representations and warranties that may be made to it in any final, fully executed and delivered Real Estate Purchase Agreement between it and Owner. The information contained herein is subject to change without notice and the recipient of these materials shall not look to Owner or the SVN Advisor nor any of their officers, employees, representatives, independent contractors or affiliates, for the accuracy or completeness thereof. Recipients of this Offering Brochure are advised and encouraged to conduct their own comprehensive review and analysis of the Property. This Offering Brochure is a solicitation of interest only and is not an offer to sell the Property. The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest to purchase the Property and expressly reserves the right, at its sole discretion, to terminate negotiations with any entity, for any reason, at any time with or without notice. The Owner shall have no legal commitment or obligation to any entity reviewing the Offering Brochure or making an offer to purchase the Property unless and until the Owner executes and delivers a signed Real Estate Purchase Agreement on terms acceptable to Owner, in Owner s sole discretion. By submitting an offer, a prospective purchaser will be deemed to have acknowledged the foregoing and agreed to release the Owner and the SVN Advisor from any liability with respect thereto. To the extent Owner or any agent of Owner corresponds with any prospective purchaser, any prospective purchaser should not rely on any such correspondence or statements as binding Owner. Only a fully executed Real Estate Purchase Agreement shall bind the property and each prospective purchaser proceeds at its own risk.
TABLE OF CONTENTS 1. PROPERTY INFORMATION 4 Executive Summary 5 Complete Highlights 6 Property Overview 7 2. LOCATION INFORMATION 8 Location Maps 9 3. FINANCIAL ANALYSIS 10 Financial Summary 11 Income & Expenses 12 Rent Roll 13 4. DEMOGRAPHICS 14 Demographics Report 15 Demographics Map 16 5. ADDITIONAL INFORMATION 17 Additional Photos 18 6. ADVISOR BIOS 19 Advisor Bio & Contact 1 20 Advisor Bio & Contact 2 21
1 PROPERTY INFORMATION
SECTION 1 PROPERTY INFORMATION Executive Summary SALE OVERVIEWVIEW SALE PRICE: $6,900,000 CAP RATE: 2.01% NOI: $138,419 LOT SIZE: 1.11 Acres BUILDING SIZE: 28,161 SF PROPERTY DESCRIPTION SVN - K&M Commercial Real Estate as the exclusive representative for the owner is happy to present this Bank/ Office Bldg which is a 5 story brick building constructed in 1986 on 1.11 acres in Chantilly VA. The building consists of 28,163 SF of quality office space with elevator access and utilizes a superb security system by Kastle for sensitive government work. The ground floor is currently used by Access Bank as a walk in Bank with ATM machines. BUILDING CLASS: B YEAR BUILT: 1986 RENOVATED: 2009 ZONING: I-5 MARKET: SUB MARKET: CROSS STREETS: Northern Virginia Chantilly Leesburg Pike 5
SECTION 1 PROPERTY INFORMATION Complete Highlights PROPERTY HIGHLIGHTS Central Chantilly Location Easy access to Route 50, Route 28, I-66 and Dulles Airport Parking Ratio of 3.6/1,000 sq ft allowing for ample parking Less than a Mile to numerous area Hotels and Restaurants 6
SECTION 1 PROPERTY INFORMATION Property Overview Physical Description Property Name: Walney Road Office Building Type of Ownership: Fee Simple Property Type: Office APN: 044-2-08-0035 Lot Size: 1.11 AC Building Size: 28,161 SF Rentable SF: 28,161 SF Building Class: B Zoning: I-5 Parking Spaces: 103 Parking Ratio: 3.6 Building Frontage: 220 Cross Streets: Leesburg Pike Construction Year Built: 1986 Construction Type: Existing Number of Stories: 5 Average Floor Size: 5,751 SF Foundation: Concreat Parking Type: Surface Number of Units: 6 Roof: Flat Interior Finish Walls: Ceilings: Floor Coverings: Restrooms: Corridors: Drywall Drop Ceillings Carpet/Tile Two per floor Tile 7
2 LOCATION INFORMATION
SECTION 2 LOCATION INFORMATION Location Maps 9
3 FINANCIAL ANALYSIS
SECTION 3 FINANCIAL ANALYSIS Financial Summary INVESTMENT OVERVIEWVIEW Price $6,900,000 Price per SF $245.02 CAP Rate 2.0% Cash-on-Cash Return (yr 1) -6.74 % Total Return (yr 1) -$62,041 Debt Coverage Ratio 0.46 OPERATING DATA Gross Scheduled Income $434,319 Other Income - Total Scheduled Income $434,319 Vacancy Cost $0 Gross Income $434,319 Operating Expenses $295,900 Net Operating Income $138,419 Pre-Tax Cash Flow -$161,731 FINANCING DATA Down Payment $2,400,000 Loan Amount $4,500,000 Debt Service $300,150 Debt Service Monthly $25,012 Principal Reduction (yr 1) $99,689 11
SECTION 3 FINANCIAL ANALYSIS Income & Expenses INCOME SUMMARY PER UNIT United Bank $158,210 $26,368 Access Bank $101,018 $16,836 Sprint/Nextel $30,044 $5,007 Sprint/Nextel/Clearwire $4,944 $824 VenSoft IT $92,016 $15,336 Vacant (Second & Third Floor) $253,044 $42,174 Vacant (First Floor Retail) $94,848 $15,808 GROSS INCOME $734,124 $122,354 EXPENSE SUMMARY PER UNIT Total Admin Exp $36,000 $6,000 Insurance $5,200 $866 Property Tax $116,000 $19,333 Lic & Permit $5,000 $833 Trash $2,700 $450 Utility $131,000 $21,833 GROSS EXPENSES $295,900 $49,316 NET OPERATING INCOME $138,419 $23,069 12
SECTION 3 FINANCIAL ANALYSIS Rent Roll TENANT NAME UNIT NUMBER UNIT SIZE (SF) LEASE START LEASE END MARKET RENT ANNUALAL RENT % OF BUILDING PRICE PER SF/YR Vacant 2&3 Fl 11,502 4/1/2005 3/31/2015 $0 40.84 $0.00 United Bank 4th Fl 5,751 1/1/2007 12/31/2016 $158,210 20.42 $27.51 Access Bank 1-2 2,661 06/1/2014 05/31/2023 $101,118 9.45 $38.00 Sprint/Nextel Roof 1 9/1/2001 8/31/2020 $30,044 0.0 $30,044.00 Sprint/Nextel/Clearwire Roof 1 8/31/2010 8/31/2020 $4,944 0.0 $4,944.00 VenSoft IT 5th FL 5,751 07/01/2015 06/30/2020 $97,767 20.42 $17.00 Hamilton Flooring 1-2A 2,498 05/01/2016 04/30/2021 $47,987 8.87 $19.21 Totals/Averages 28,165 $0 $440,070 $15.62 13
4 DEMOGRAPHICS
SECTION 4 DEMOGRAPHICS Demographics Report 1 MILE 2 MILES 3 MILES Total households 3,494 11,121 25,281 Total persons per hh 3.1 3.1 3.0 Average hh income $109,597 $129,389 $133,359 Average house value $431,404 $479,682 $531,781 1 MILE 2 MILES 3 MILES Total population 10,985 34,439 75,932 Median age 32.3 34.9 35.6 Median age (male) 32.6 34.9 35.1 Median age (female) 32.1 35.2 36.4 * Demographic data derived from 2010 US Census 15
SECTION 4 DEMOGRAPHICS Demographics Map POPULATION 1 MILE 2 MILES 3 MILES TOTAL POPULATION 10,985 34,439 75,932 MEDIAN AGE 32.3 34.9 35.6 MEDIAN AGE (MALE) 32.6 34.9 35.1 MEDIAN AGE (FEMALE) 32.1 35.2 36.4 HOUSEHOLDS & INCOME 1 MILE 2 MILES 3 MILES TOTAL HOUSEHOLDS 3,494 11,121 25,281 # OF PERSONS PER HH 3.1 3.1 3.0 AVERAGE HH INCOME $109,597 $129,389 $133,359 AVERAGE HOUSE VALUE $431,404 $479,682 $531,781 16
5 ADDITIONAL INFORMATION
SECTION 5 ADDITIONAL INFORMATION Additional Photos 18
6 ADVISOR BIOS
SECTION 6 ADVISOR BIOS Advisor Bio & Contact 1 Kayvan Mehrbakhsh, CCIM, MBA Managing Director SVN K & M Commercial Real Estate Memberships & Affiliations CCIM - Certified Commercial Investment Member NC #180850 VA #0225084011 Phone: 703.734.2822 Fax: 703.734.1560 Cell: 703.851.1070 Email: kayvan@svn.com Address: 459 Herndon Parkway Suite 21 Herndon, VA 20170 Kayvan Mehrbakhsh, CCIM serves as Managing Director for the SVN K&M Commercial Real Estate Office in Herndon, Virginia. Mr. Mehrbakhsh specializes in the sale and leasing of both medical and government properties, as well as similar transactions for office facilities outfitted with high-tech networking systems, in the Northern Virginia region. Over the duration of his seventeen-year career, Mr. Mehrbakhsh has closed in excess of $940 million in transactions. He continues to diligently monitor market conditions to effectively advise clients and ensure that they receive fair market rates for leases, property investments, and sales. Prior to his service at SVN, Mr. Mehrbakhsh was an associate commercial broker at Fairfax Realty, Inc., where he provided expert advice and served as a broker for financial institutions, corporate landowners, and other investors. Mr. Mehrbakhsh also has previous experience as Senior Project Manager at MCI Telecommunications where he oversaw land acquisition transactions, building design and construction, and the migration of data centers throughout both the United States and Europe. A member of the Northern Virginia Association of Realtors, Mr. Mehrbakhsh sits as Chairman of the Associations Commercial Alliance. He has also served as president of the Mid Atlantic Real Estate Marketing Association (MAREMA) in 2007 and continues his service as a board member of that organization. He also maintains membership in the following organizations: International Council of Shopping Centers (ICSC), the Realtors Land Institute, the Greater Washington Commercial Association of Realtors, and the North Carolina Association of Realtors. Mr. Mehrbakhsh has earned the prestigious designation of Council of Commercial Investment Member (CCIM) and holds a seat on the board of their Washington DC-Maryland chapter. Mr. Mehrbakhsh earned his Masters of Business Administration from American University holds a Bachelor of Science in Information Systems from Radford University. Mr. Mehrbakhsh is licensed in Virginia, North Carolina, and Washington DC. and Maryland. 20
SECTION 6 ADVISOR BIOS Advisor Bio & Contact 2 Matthew Jenkins Associate Advisor SVN K & M Commercial Real Estate Matthew Jenkins MBA, CCIM Candidate, serves as an Investment Adviser for the Sperry Van Ness Office in Fairfax, VA. Mr. Jenkins has a broad and well-rounded business career that spans over industries in banking, lending, registered investment advising, venture capitalism, and retail/multifamily ownership. At Sperry Van Ness, Mr. Jenkins focus and expertise is geared towards the selling and/or leasing of office, retail, industrial and international business projects. VA #0225211354 DC #SP98375921 Phone: 703.734.2822 Fax: 703.734.1560 Cell: 814.244.2152 Email: matthew.jenkins@svn.com Address: 459 Herndon Parkway Suite 21 Herndon, VA 20170 Prior to his experience at Sperry Van Ness, Mr. Jenkins career started in banking where he was a consumer and commercial lender with a strong background in community banking. He built on that experience as a (previously) FINRA Series 7 and Series 66 Registered Investment Adviser with Nationwide Insurance. His focus while working at Nationwide was in asset preservation and long-term investment advising. After leaving Nationwide, Mr. Jenkins joined a small venture capitalist investment company in Reston, VA were he worked as their Operations and Finance Manager and oversaw the project management of their metallurgical and thermal coal operations. Mr. Jenkins earned his Masters of Business Administration from Seton Hill University in Greensburg, PA and holds a Bachelor of Science in Business Administration/Marketing from California University of Pennsylvania. Mr. Jenkins is currently licensed in Virginia and Washington D.C. 21