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LOCATION INFORMATION
Building Name
Street Address
City, State, Zip
County/Township
Market
Submarket
Cross Streets
Sunridge Villas II
10001 Westpark Dr�
Houston, TX 77042
Harris
Houston
Westchase
Westpark at S. Gessner
BUILDING INFORMATION
PROPERTY DETAILS
Property Type�Property Subtype�
Multifamily�Low-Rise/Garden�
SALE PRICE: $1,450,000
NUMBER OF UNITS:
LOT SIZE: 2.76 Acres
YEAR BUILT: 1983
BUILDING SIZE: 25,184 SF
Qty. 29 out of 67
SUNRIDGE VILLAS II 10001 WESTPARK
Property Details
$50,000 per Unit
PRICE / SF: $ 57.58 / SF
n nc Multiple
oo nits
2 oo nits
Qty. 11
Qty. 18
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SUNRIDGE VILLAS II 10001 WESTPARK 1 | PROPERTY INFORMATION
Executive Summary
29-Plex 9.54% CAP Rate Cash Producing Villas LIST PRICE = 7.58 sfStabilized 25,184sf at ONLY 7.58 r Sq t 1 450 000ARV on Market CLOSED Unit within the community 68 sfMLS# 91165275 10001 Westpark Drive Unit#37 CLOSED at $68/sf February 1st 2019
We are pleased to present a stabilized high cash flowing asset. Sunrid illas 2 offers an opportunity to acquire 29 individual condominium units with a high initial return on investment. All units for sale are leased, with 13 units receiving government subsidies through the Housing Choice Voucher (Section 8) program.
AL A 33.33 L Mark t nt oll as d on 101 M i cod 77042
The property currently has below market rents as follows: 11 one-bedroom units averaging $809 per month. Maximized section 8 rent $913 per month.18 two-bedroom units averaging $860 per month. Maximized section 8 rent $1,119 per month.Currently if OPTIMIZED the rent-roll may�be amplified by an ADDITIONAL $69,000 in yearly NOI2018 12 9.54 CA at Sta ili d 138K timi d 69K 207K at 14. 6
Additional nformation on th ro rt
Built in 1983, Sunridge Villas Phase 2 is a 67-unit condominium community that sits on 2.76 acres in the heart of Houston’s Westchase District. The is a rental market in this area is historically strong with low vacancy and growing rents. The property is in a prime location near the cross-streets of Westpark and Gessner. Large commercial developments and a bus stop in front of the community offer residents high walkability and easy access to transportation. The area is fully developed and surrounding comparables have sold at higher prices.
Currently, rent collection is handled by the existing owner with the assistance of an on-site maintenance person. The property is being sold as a high yield investment with excellent upside potential through gradual improvements. There is a strong demand for Class C rentals, and surrounding areas are fully developed, thereby limiting competition.
Each condominium has its own central air unit, individual water heater, and electric meter. The HOA is responsible for the exterior maintenance of the property and carries a roof reserve to handle replacements as needed. HOA dues include insurance for the structure and covers water, sewer, and trash for all residents in the community.
Properties can be left as-is for continued cash flow. This investment is offered at a lucrative 9.54% cap rate. Existing section 8 rents can be increased immediately to offset the cost of adding on-site property management to handle rent collection, tenant screenings, and maintenance requests.
With further improvements and make ready on the units rents can be improved to Exponentially increase cash flow, ultimately raise the equitable value of the property. All units require varying make-ready or updates estimated between $1,500 to $6,500 per unit. By gradually improving units, new tenants can be on-boarded at Fair Market Rents (FMR). The FMR for two-bedroom units in the Housing Choice Voucher program is $1119, an increase of 33.33% above existing averages. By converting all units to the voucher program, an investor will realize an additional $69,000 in NOI. resulting in an effective cap rate of 14.56% or respectively 13.7%. after hiring on onsite property management.
AL A 15 L MA K A L S C on r Sq t
Each Office Independently Owned and Operated kwcommercial.com
Additional PhotosSUNRIDGE VILLAS 10001 WESTPARK 1 | PROPERTY INFORMATION
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SUNRIDGE VILLAS 10001 WESTPARK 1 | PROPERTY INFORMATION
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Additional PhotosSUNRIDGE VILLAS 10001 WESTPARK 1 | PROPERTY INFORMATION
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Additional PhotosSUNRIDGE VILLAS 10001 WESTPARK 1 | PROPERTY INFORMATION
LOCATION INFORMATION
2 | LOCATION INFORMATION
REGIONAL MAP
LOCATION MAPS
AERIAL MAP
2LOCATION INFORMATION D I
SUNRIDGE VILLAS 10001 WESTPARK
OFFERING MEMORANDUM
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POPULATION 1 MILE 3 MILES 5 MILES
Total population 27,607 188,304 530,265
Median age 30.0 32.8 33.1
Median age (Male) 29.7 32.1 32.4
Median age (Female) 31.6 33.9 33.8
HOUSEHOLDS & INCOME 1 MILE 3 MILES 5 MILES
Total households 11,549 77,933 209,162
# of persons per HH 2.4 2.4 2.5
Average HH income $49,409 $65,190 $71,303
Average house value $146,884 $281,819 $303,867
* Demographic data derived from 2010 US Census
Demographics Map & Report
SUNRIDGE VILLAS 10001 WESTPARK 2 | DEMOGRAPHICS
• 2017 TraffJc Count: 30,740 vpd on Westpark at S Gessner
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Location Maps
SUNRIDGE VILLAS 10001 WESTPARK 2 | LOCATION INFORMATION
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Sunridge Villas 10001Westpark
Aerial Map
SUNRIDGE VILLAS 10001 WESTPARK 2 | LOCATION INFORMATION
FINANCIAL ANALYSIS
3 | FINANCIAL ANALYSIS
FINANCIAL SUMMARY
INCOME & EXPENSES
RENT ROLL
UNIT MIX SUMMARY
3FINANCIAL ANALYSISSUNRIDGE VILLAS 10001 WESTPARK
OFFERING MEMORANDUM
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DISCLAIMER: Year 5 sales price based on estimated NOI in year 6. All information is based on estimated forecast and are intended for the purpose of example projections and analysis. The information presented herein is provided as is, without warranty of any kind. Konrad Realty Group nor CRE Tech, Inc. assume any liability for errors or omissions. This information is not intended to replace or serve as substitute for any legal, investment, real estate or other professional advice, consultation or service.
PPaaggee 11 ooff 33
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EFFECTIVE RENTAL INCOME (ERI)EFFECTIVE RENTAL INCOME (ERI) $278,334 $278,334 $343,884 $343,884 $350,762 $350,762 $357,777 $357,777 $364,932 $364,932
++ Other IncomeOther Income $0 $0 $0 $0 $0
GROSS OPERATING INCOME (GOI)GROSS OPERATING INCOME (GOI) $278,334 $278,334 $343,884 $343,884 $350,762 $350,762 $357,777 $357,777 $364,932 $364,932
INCOMEINCOME
EXPENSE DETAILEXPENSE DETAIL
Sunridge Villas IISunridge Villas II10001 Westpark Dr
Expense Detail AnalysisExpense Detail Analysis
Fiscal Year Beginning April 2019
DISCLAIMER: Year 5 sales price based on estimated NOI in year 6. All information is based on estimated forecast and are intended for the purpose of example projections and analysis.The information presented herein is provided as is, without warranty of any kind. Konrad Realty Group nor CRE Tech, Inc. assume any liability for errors or omissions. This information is notintended to replace or serve as substitute for any legal, investment, real estate or other professional advice, consultation or service.
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3 | FINANCIAL ANALYSIS
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DISCLAIMER: Year 5 sales price based on estimated NOI in year 6. All information is based on estimated forecast and are intended for the purpose of example projections and analysis.The information presented herein is provided as is, without warranty of any kind. Konrad Realty Group nor CRE Tech, Inc. assume any liability for errors or omissions. This information is notintended to replace or serve as substitute for any legal, investment, real estate or other professional advice, consultation or service.
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3 | FINANCIAL ANALYSIS
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SALE COMPARABLES
4 | SALE COMPARABLES
SALE COMPS
SALE COMPS SUMMARY
SALE COMPS MAP
4SALE COMPARABLESSUNRIDGE VILLAS 10001 WESTPARK
OFFERING MEMORANDUM
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Sale Comps
SUNRIDGE VILLAS 10001 WESTPARK 4 | SALE COMPARABLES
Class C Multi-FamilyApartmentsBuilt 1978 Renov 2019 Age: 40598,401 SF
--
GRM/GIM: -
# of Units: 810Price/Unit: $62,963Price/SF:
4134212Comp ID:
3 11490 Harwin Dr - Waters at Westchase SOLD
Houston, TX 77072 Harris County
Nizinski Family Waters, LLCRecorded Buyer: Recorded Seller: A K Interests-Remington1407 Beachton StHouston, TX 77007(818) 908-5942
True Buyer: Loren Nizinski
9535 Katy FwyHouston, TX 77024
Atrium Cellini Management, Inc.True Seller:
Sale Date:
– Research Status:
PrFrma Cap Rate:
Sale Price:
Actual Cap Rate:
$84.69$16,450,000 - Approximate07/17/2017 (286 days on mkt) Bldg Type:
Zoning:Sale Conditions:
Year Built/Age:GBA:
-5.68%
Parcel No:Financing:
1087250000013-
Approximate
Class C Multi-FamilyApartmentsBuilt 1979 Renov 2006 Age: 38194,240 SF
--
GRM/GIM: -
# of Units: 260Price/Unit: $63,269Price/SF:
3959319Comp ID:
We obtained the information above from sources we believe to be reliable. However, we have not verified its accuracy and make no guarantee, warranty or representation about
it.It is submitted subject to the possibility of errors omissions or changes. Copyrighted report licensed to Keller Williams Realty, Inc. - 1041629.
3/12/2019
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4 2305 Hayes Rd - The Estates at Westchase (Part of Portfolio) SOLD
Houston, TX 77077 Harris County
Gpe 1331 LLCRecorded Buyer: Recorded Seller: AM Hayes Place LLC3203 McKinney AveDallas, TX 75204
1145510020002$26,100,000 from Berkeley Point Capital, LLC; Acquisition & Development loan type
Approximate
Class C Multi-FamilyApartmentsBuilt 1983 Age: 35308,972 SF
--
GRM/GIM: -
# of Units: 456Price/Unit: $80,526Price/SF:
4482499Comp ID:
3/12/2019
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9Sale PriceBuilding SizePrice per SFActual Cap Rate
Days on MarketSale Price to Asking Price Ratio -
$16,450,000194,240 SF
$84.695.68%
286
$34,266,011353,253 SF
$97.006.24%
286-
$36,720,000308,972 SF
$98.856.20%
286-
$51,000,000598,401 SF
$118.856.85%
286-
993
1-
Gross Income MultiplierGross Rent Multiplier# of UnitsPrice per Unit $62,963
--
260
--
448$76,563
--
436$80,526
--
810$97,991
--99
Totals
Sold Transactions $308,394,102 Total Sales Transactions:Total Sales Volume: 9
Survey Criteria
basic criteria: Type of Property - Multi-Family; Year Built - 1960 - 1990; CoStar Rating - 1 Star, 2 Star, 3 Star;Sale Price - from $1,000,000; Sale Date - from 1/1/2017; Sale Status - Sold; Return and Search on PortfolioSales as Individual Properties - Yes
geography criteria: Geography - User Defined Search
Comps Statistics
CountHighMedianAverageLow
Quick Stats Report
3/12/2019
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� � � �
11-2-2015
Information About Brokerage Services Texas law requires all real estate license holders to give the following informaƟon about
brokerage services to prospecƟve buyers, tenants, sellers and landlords.
TYPES OF REAL ESTATE LICENSE HOLDERS: .• A BROKER is responsible for all brokerage acƟviƟes, including acts performed by sales agents sponsored by the broker.• A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.
A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests;• Inform the client of any material informaƟon about the property or transacƟon received by the broker;• Answer the client’s quesƟons and present any oīer to or counter-oīer from the client; and• Treat all parƟes to a real estate transacƟon honestly and fairly.
A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION:
AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner's agent through an agreement with the owner, usually in a wriƩen lisƟng to sell or property management agreement. An owner's agent must perform the broker’s minimum duƟes above and must inform the owner of any material informaƟon about the property or transacƟon known by the agent, including informaƟon disclosed to the agent or subagent by the buyer or buyer’s agent.
AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant's agent by agreeing to represent the buyer, usually through a wriƩen representaƟon agreement. A buyer's agent must perform the broker’s minimum duƟes above and must inform the buyer of any material informaƟon about the property or transacƟon known by the agent, including informaƟon disclosed to the agent by the seller or seller’s agent.
AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parƟes the broker must first obtain the wriƩen agreement of each party to the transacƟon. The wriƩen agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker's obligaƟons as an intermediary. A broker who acts as an intermediary:
• Must treat all parƟes to the transacƟon imparƟally and fairly;• May, with the parƟes' wriƩen consent, appoint a diīerent license holder associated with the broker to each party (owner and
buyer) to communicate with, provide opinions and advice to, and carry out the instrucƟons of each party to the transacƟon.• Must not, unless specifically authorized in wriƟng to do so by the party, disclose:
େ that the owner will accept a price less than the wriƩen asking price;େ that the buyer/tenant will pay a price greater than the price submiƩed in a wriƩen oīer; andେ any confidenƟal informaƟon or any other informaƟon that a party specifically instructs the broker in wriƟng not to
disclose, unless required to do so by law.
AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transacƟon without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.
TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duƟes and responsibiliƟes to you, and your obligaƟons under the representaƟon agreement.• Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.
LICENSE HOLDER CONTACT INFORMATION: This noƟce is being provided for informaƟon purposes. It does not create an obligaƟon for you to use the broker’s services. Please acknowledge receipt of this noƟce below and retain a copy for your records.
Licensed Broker /Broker Firm Name or Primary Assumed Business Name
License No. Email Phone
Designated Broker of Firm License No. Email Phone
Licensed Supervisor of Sales Agent/Associate
License No. Email Phone
Sales Agent/Associate’s Name License No. Email Phone
Regulated by the Texas Real Estate Commission
Buyer/Tenant/Seller/Landlord Initials
InformaƟon available at www.trec.texas.gov
IABS 1-0
Date
TAR 2501
Keller Williams Signature Realty 9004054 [email protected] 281-599-7600