915 CARR STREET Lakewood, CO 80214 Jeff Johnson, Co-Founder, Principal Matt Ritter, Co-Founder, Principal Cody Stambaugh, Advisor Peter Sengelmann, Advisor Andrew Monette, Associate Advisor Corey Sandberg, Associate Advisor Nghi Nguyen, Senior Financial Analyst Briana Masullo, Transaction Manager Dallas Sandberg, Transaction Associate One Broadway Suite A300 | Denver, CO 80203 303.962.9555 | www.PinnacleREA.com
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L O C AT I O N O V E R V I E WAbout LakewoodThe City of Lakewood is the fifth-largest city in the state of Colorado. Home to the nearly completed West Corridor Light Rail Line, Lakewood offers numerous opportunities for commercial and residential development with easy access to Interstates 25 and 70, Colorado 470, U.S. 6, and Denver International Airport. Lakewood is located 10 minutes west of downtown Denver, 10 minutes east of the foothills and right next to the region’s major educational and research institutions. About Jefferson CountyLakewood is the largest city in Jefferson County. Jefferson County is on the west side of the Denver metro area and the county seat is Golden. Jefferson County is part of the Denver-Aurora-Boulder Combined Statistical Area. Outdoor RecreationParks and Trails abound in Lakewood. Some popular trails include the Green Mountain Loop, Bear Creek Trail Loop, Apex Gulch Loop and Belmar Park.
Sources: 2010 U.S. Census; American Community Survey 2006-2010
CITY OF LAKEWOOD POPULATION ................................................................................................................................. 142,980
MEDIAN AGE ........................................................................................................................................ 39.2
RACE AND HISPANIC ORIGIN RACE WHITE ...................................................... 118,487 82.9% BLACK OR AFRICAN AMERICAN ....................... 2,231 1.6% AMERICAN INDIAN OR ALASKA NATIVE ............ 1,974 1.4% ASIAN ........................................................... 4,493 3.1% NATIVE HAWAIIAN OR PACIFIC ISLANDER ........... 164 0.1% OTHER RACE .............................................. 10,949 7.7% TWO OR MORE RACES ................................... 4,682 3.3%
AVERAGE HOUSEHOLD SIZE ........................... 2.27
HOUSHOLD STATUS OWNER OCCUPIED POPULATION .................. 84,726 60.2% RENTER OCCUPIED POPULATION ................. 56,083 39.8%
TOTAL NUMBER OF HOUSING UNITS ..... 65,758 SINGLE FAMILY HOUSEHOLDS ...................... 38,853 59.1 % MULTI-FAMILY HOUSEHOLDS ....................... 26,905 40.9 %TOTAL NUMBER OF OCCUPIED UNITS .... 61,986 VACANT ........................................................ 3,772 5.7 %
MEDIAN HOUSEHOLD INCOME ................. $52,960
POVERTY STATUS PERSONS BELOW POVERTY LEVEL............... 16,729 11.7%
MEDIAN RENT OF HOUSING UNITS ............. $876
MEDIAN VALUE OWNER OCCUPIED HOUSING UNITS .......................................... $237,300
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TheWest Light Rail Line• The W Line— is the first light rail line to open under
the FasTracks program.• The 12.1-mile light rail transit system extends from
Denver’s Union Station to• Jefferson County Government Center, traversing
through Denver, Lakewood and Golden.
There are 11 stations along the line: Six stations along the line with parking• Decatur• Federal• Sheridan• Lakewood• Wadsworth• Oak• Federal Center• Jefferson County Government Center-Golden
Six with walkup/Kiss-n-Ride stations• Auraria West• Knox• Perry• Lamar• Garrison• Red Rocks College
L O C AT I O N O V E R V I E W
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S A L E S C O M PA R A B L E SCOMPARABLES
Sales
Number of Units: 8 Number of Units: 18 Number of Units: 16 Number of Units: 8 Number of Units: 22
Total Expenses: 34% 94,316$ Total Expenses: 31% 99,859$ Before Tax Cash Flow: $99,136
3,930$ 4,161$ Debt Coverage Ratio: 1.62
4.58$ 4.85$ Cash-on-Cash Return: 8.26%
Total Return: 12.37%
Cap Rate: 6.49%
INCOME:
New Estimated Loan
As-Is NOI: $210,245
Proforma NOI: $259,548
3.00%General Vacancy: (10,044)$
Wednesday, August 23, 2017
915 Carr Street Proforma
Multifamily Investment AnalysisPRICING ANALYSIS
Gross Rental Income: Gross Rental Income:
Estimated As-IsINCOME:
Effective Rental Income:
259,548
Gross Operating Income:
Expenses Per Unit:
Expenses Per SF:
Net Operating Income:
24
Unit Breakdown
47,740 SF
1968
Underwriting Assumptions:
• Building GSF and Land SF based on Jefferson County Assessor.• "As-Is" Rental Income based on annualizing Rent Roll dated 6/30/17; "Proforma" based on market rate assumptions.• Miscellaneous Income includes these categories are itemized on the T12 P&L: Move Out, Late Fee, Applications, Other and Prepaid Income.• "Proforma" assumes RUBs are $50/month for 1BR units, $75/month for 2BR units and $100/month for 3BR unit.• "As-Is" and "Proforma" assume Management Fee of 8.0% of Effective Rental Income, and R&M of $750/unit/year.• "As-Is" Property Taxes based on 2017 Payable 2018 Jefferson County assessment.• "Proforma" Expenses are 3.0% increases over "As-Is".
20,592 SF
Property Description3.00% (8,530)$
Effective Rental Income:
General Vacancy:
Expenses Per Unit:
Gross Operating Income:
Expenses Per SF:
Net Operating Income: 210,245
Information contained in this analysis has been obtained from sources believed to be reliable, however we accept no responsibility for its correctness, and encourage the verification of all information. 8/23/2017
I N V E S T M E N T A N A LY S I S
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D I S C L O S U R E This confidential Offering Memorandum, has been prepared by Pinnacle Real Estate Advisors, LLC (“Pinnacle REA”) for use by a limited number of qualified parties. This Offering Memorandum has been provided to you at your request based upon your assurances that you are a knowledgeable and sophisticated investor in commercial real estate projects and developments. Pinnacle REA recommends you, as a potential buyer/investor, should perform your own independent examination and inspection of the property described herein as 915 Carr Street located in Lakewood, Colorado (the “Property”) and of all of the information provided herein related to the Property. By accepting this Offering Memorandum, you acknowledge and agree that you shall rely solely upon your own examination and investigation of the Property and you shall not rely on any statements made in this Offering Memorandum or upon any other materials, statements or information provided by Pinnacle REA or its brokers.
Pinnacle REA makes no guarantee, warranty or representation about the completeness or accuracy of the information set forth in this Offering Memorandum. You are responsible to independently verify its accuracy and completeness. Pinnacle REA has prepared the information concerning the Property based upon assumptions relating to the general economy, its knowledge of other similar properties in the market, and on other market assumptions including factors beyond the control of the Pinnacle REA and the Owner of the Property. Pinnacle Real Estate Advisors make no representation or warranty as to either the accuracy or completeness of the information contained herein, and the information set forth in this Offering Memorandum in not intended to be a promise or representation as to the future performance of the Property. Although the information contained herein is believed to be accurate, Pinnacle REA and the Property Owner disclaim any responsibility or liability for any inaccuracies. Further, Pinnacle REA and the Property Owner disclaim any and all liability for any express or implied representations and warranties contained in, or for any omissions from, the Offering Memorandum and for any other written or oral communication transmitted or made available to you. Pinnacle REA shall make available to you, as a qualified prospective investor, additional information concerning the Property and an opportunity to inspect the Property upon written request.
This Offering Memorandum and the contents are intended to remain confidential except for such information which is in the public domain or is otherwise available to the public. By accepting this Offering Memorandum, you agree that you will hold and treat Offering Memorandum in the strictest confidence, that you will not photocopy or duplicate it, or distribute it. You agree you will not disclose this Offering Memorandum or its contents to any other person or entity, except to outside advisors retained by you and from whom you have obtained an agreement of confidentiality, without the prior written authorization of Pinnacle REA. You agree that you will use the information in this Offering Memorandum for the sole purpose of evaluating your interest in the Property. If you determine you have no interest in the property, kindly return the Offering Memorandum to Pinnacle REA at your earliest convenience.