450 MERRITT AVENUE OAKLAND, CA 94610 · 6 2x2 1,410 $2,004 $1.42 $12,025 $3,300 $19,800 Totals 12,344 $15,690 $28,800 *Loan information is time sensitive and subject to change. Please

www.theprescottcompany.com

450 MERRITT AVENUE

OAKLAND, CA 94610

Price: $3,500,000

Nolan Jones Broker | Real Estate Services

510.398.1622

[email protected]#01509417

Rodger AllenAssociate | Real Estate Services

510.398.1624

[email protected]#01965923

450 MERRITT AVENUE, OAKLAND, CA 94610

The information contained in this marketing brochure (“Materials”) is proprietary and confidential. It is

intended to be reviewed only by the person or entity receiving it from The Prescott Company (“Agent”).

The Materials are intended to be used for the sole purpose of preliminary evaluation of the subject

property (“Property”) for potential purchase.

The Materials have been prepared to provide unverified summary financial, physical, and market

information to prospective buyers to enable them to establish a preliminary level of interest in potential

purchase of the Property. The Materials are not to be considered fact. The information contained in the

Materials is not a substitute for thorough investigation of the financial, physical, and market conditions

relating to the Property.

The information contained in the Materials has been obtained by Agent from sources believed to be

reliable, however, no representation or warranty is made regarding the accuracy or completeness of the

Materials. Agent makes no representation or warranty regarding the Property, including but not limited to

income, expenses, or financial performance (past, present, or future); size, square footage, condition, or

quality of the land and improvements; presence or absence of contaminating substances (PCB’s, asbestos,

mold, etc.); Compliance with laws and regulations (local, state, and federal); or, financial condition or

business prospects of any tenant (tenant’s intentions regarding continued occupancy, payment of rent,

etc). Any prospective buyer must independently investigate and verify all of the information set forth in the

Materials. Any prospective buyer is solely responsible for any and all costs and expenses incurred in

reviewing the Materials and/ or investigating and evaluating the Property.

By receiving the Materials you are agreeing to the Confidentiality and Disclaimer set forth herein.

All Property showings are by appointment only and must be coordinated through the Agent.

confidentiality & disclaimer

property overview 4property summary 4

property highlights 4

property narrative 5

investment highlights 5

property photos 6

location overview 7regional and local map 7

local context 8

parcel map 9

operating summary 10financial overview 10

rent roll 11

pricing 12


table of contents

property overview


property highlights▪ (6) 2BR/2BA UNITS, (3) 2BR/1.5 BA UNITS

▪ SPACIOUS UNITS – WELL OVER 1,000 SF

▪ OFF STREET AND GARAGE PARKING

▪ ONE BLOCK FROM LAKE MERRITT

▪ BALCONIES

▪ 1.5 MILES TO LAKE MERRITT BART STATION

APN 023-0416-010-01

Property Type Multi-Family

Year Built 1957

Units 9

Stories 3.00

Gross Living Area ± 12,344 SF

Parcel Size ± 8,250 SF

Parking Garage and Off-Street Spaces

Occupancy Rate 78%

property summary

Gas Tenant

Electric Tenant

Water Owner

Garbage Owner

utilities


On the market for the first time in over three decades, 450 Merritt is an extremely rare

opportunity to acquire a core asset with tremendous upside in one of the most highly desired

locations in the Bay Area.

Construction was completed on this three-story apartment building in 1957. The building consists

of (6) two bedroom, two bathroom units and (3) two bedroom, one and a half bathroom units.

The subject property holds 12,344 square feet of rentable space and sits on an 8,250 square foot

lot. The structure has a wood frame with stucco exterior. Six units have balconies.

Each unit has garage parking. Tenants appreciate extremely spacious units as well as being one

block from the newly renovated shore of Lake Merritt. Tenants enjoy abundant retail and dining

options that surround Lake Merritt as well as being in close proximity to Downtown Oakland.

Residents also appreciate direct access to major Bay Area freeway arteries I-580 and I-880.

There is approximately 83.55% embedded rental upside.

450 Merritt is an outstanding chance to purchase an investment property in an irreplaceable

location with significant upside. Low vacancy rates, record rents and a nationally leading real

estate market are making Oakland one of the most exciting places to purchase property in the

country.

property overview

property narrative


property overview

property photos


location overview

PROPERTY

regional and local maps

PROPERTY


location overview

local context map

PROPERTY


location overview

PROPERTY

parcel map

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 this information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.


operating summary

financial overviewLOCATION ANNUALIZED OPERATING DATA

450 MERRITT AVENUE

OAKLAND, CA 94610

CURRENTPRO

FORMAINCOME CURRENT

PRO

FORMA

Price $3,500,000 $3,500,000 Gross Potential Rent $188,280 $345,600

Down Payment 100% $3,500,000 $3,500,000 Other Income (Laundry) $3,000 $3,000

Number of Units 9 9 Gross Potential Income $191,280 $348,600

Price/Unit $388,889 $388,889 Less: Vacancy/Deductions (GPR) 3.00% $5,648 $10,368

Rentable Square Feet 12,344 12,344 Effective Gross Income $185,632 $338,232

Price/SF $284 $284 Less: Expenses $76,111 $76,111

Cap Rate - Current 3.13% 7.49% Net Operating Income $109,521 $262,121

GRM - Current 18.59 10.13 Debt Service $0 $0

Year Built 1957 1957 Net Cash Flow After Debt Service 3.13% $109,521 $262,121

Lot Size 8,250 8,250 Principal Reduction $0 $0

Total Return 3.13% $109,521 $262,121

FINANCING* EXPENSES

Real Estate Taxes 1.3508% $47,278 $47,278

FIRST TRUST DEED Special Assessments $3,100 $3,100

Loan Amount $0 PG&E (Estimated) $2,568 $2,568

Interest Rate 0.00% Garbage (Estimated) $5,808 $5,808

Amortization (years) 30 Water (Estimated) $4,896 $4,896

Repairs/Maintenance (Est. @ $500/unit) $4,500 $4,500

Insurance (Estimated) $2,500 $2,500

Reserves/Replacements (Est. @ $250/unit) $2,250 $2,259

Oakland Business Tax (% of EGI) 1.40% $2,599 $4,735

Oakland Rent Board Fee ($68 per unit) $612 $612

Total Expenses $76,111 $78,256

SCHEDULED INCOME Expenses / Unit $8,457 $8,695

Expenses / SF $6.17 $6.34

41.00% 23.14%

3 2x1.5 1,295 $1,222 $0.94 $3,665 $3,000 $9,000

6 2x2 1,410 $2,004 $1.42 $12,025 $3,300 $19,800

Totals 12,344 $15,690 $28,800

*Loan information is time sensitive and subject to change.

Please contact a Prescott Company representative for up-to-date information.

Expenses % of EGI

PF MONTHLY

INCOMEPF RENTS

MONTHLY

INCOME

RENT

PER SF

CURRENT

RENTSAVG. SF

UNIT

TYPENO.




rent roll

operating summary

UNIT

NO.

NO.

BR

NO.

BathNOTES

UNIT

SF

CURRENT

RENT

RENT

PER SFPF RENT

PF RENT

PER SFOCC.

1 2 2 (Vacant) 1,410 $3,300 $2.34 $3,300 $2.34 N

2 2 2 (Vacant) 1,410 $3,300 $2.34 $3,300 $2.34 N

3 2 2 1,410 $1,507 $1.07 $3,300 $2.34 Y

4 2 2 1,410 $1,400 $0.99 $3,300 $2.34 Y

5 2 2 1,410 $1,615 $1.15 $3,300 $2.34 Y

6 2 2 1,410 $903 $0.64 $3,300 $2.34 Y

7 2 1.5 1,295 $1,205 $0.93 $3,000 $2.32 Y

8 2 1.5 1,295 $1,230 $0.95 $3,000 $2.32 Y

9 2 1.5 1,295 $1,230 $0.95 $3,000 $2.32 Y

2,820 $6,600 2

9,524 $9,090 7

12,344 $15,690 $28,800 9

TOTAL OCCUPIED

TOTAL VACANT

TOTAL




pricing

operating summary

LIST PRICE

Price $3,500,000

Down Payment 100% $3,500,000

First Trust Deed/Mortgage $0

Interest Rate/Amortization 0.00%

Net Operating Income $109,521

CASH FLOW ANALYSIS

Debt Service $0

Debt Coverage Ratio N/A

Net Cash Flow After Debt Service $109,521

Cash on Cash Return % 3.13%

Principal Reduction $0

Total Return $109,521

Total Return % 3.13%

VALUE INDICATORS

CAP Rate 3.13%

GRM 18.59

Price / Unit $388,889

Price / SF $283.54

We strive to build high quality relationships, generated through honest communication,

tireless work ethic, and by providing clients with overall excellent service and flawless

execution. The priority of The Prescott Company is to achieve the absolute best price and

terms for our client’s real estate, meet or exceed our client’s needs and to continue to

conduct repeat business for years to come.

We believe that the core of our company stems largely from the culture that we have

created through the values that we practice.

▪ Integrity

▪ Humility

▪ Accessibility

▪ Dynamic

▪ Tireless Work Ethic

▪ Enjoyable Work Environment

▪ Relationship Driven And Not Commission Driven

www.theprescottcompany.com

450 MERRITT AVENUE OAKLAND, CA 94610 · 6 2x2 1,410 $2,004 $1.42 $12,025 $3,300 $19,800 Totals 12,344 $15,690 $28,800 *Loan information is time sensitive and subject to change. Please

Documents