AVAILABLE FOR SALE COUNTRY CLUB 71 715 N. COUNTRY CLUB DRIVE, MESA AZ 85201
$16,000,000 Price
71 Units
2019 Under Construction
1,002+ SF Avg. Unit Size
Three-Story Construction Type
FOR MORE INFORMATION, PLEASE CONTACT:
Todd Braun [email protected] D 602.474.9550
3200 East Camelback Road, Suite 100 | Phoenix, Arizona 85018 | 602-956-7777 | www.leearizona.com TABLE OF CONTENTS
PROPERTY INFORMATION
Offering Summary...... 4
Opportunity...... 5
Property Overview...... 6
Property Characteristics...... 7
LOCATION PRESENTED BY: Aerial Overview...... 9
Todd Braun [email protected] D 602.474.9550 FINANCIAL ANALYSIS
Proforma...... 12
SALE/RENT COMPARABLES
Sale Comparables...... 14
LEE & ASSOCIATES ARIZONA 3200 East Camelback Road, Suite 100 WHY MESA Phoenix, Arizona 85018 Mesa Overview...... 16 P 602-956-7777 W www.leearizona.com
All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made to the accuracy thereof and same is submitted to errors, omissions, change of price, rental or other conditions prior to sale, lease or financing or withdrawal without notice. No liability of any kind is to be imposed on the broker herein.
Lee & Associates Arizona 2 PROPERTY INFORMATION PROPERTY INFORMATION BRAUN APARTMENT GROUP
EVERGREEN HISTORICAL DISTRICT
OFFERING SUMMARY Lee & Associates is pleased to present the rare opportunity to acquire the newly constructed Country Club 71 Apartments. The 71-unit complex is comprised of 60 two bedroom/ one and half bath and 11 three bedroom/two bath units. The property is three-story, frame and block construction and is scheduled to receive its Certificate of Occupancy in November 2019.
PRICE: $16,000,000
COUNTRY CLUB DR. PRICE/UNIT: $225,352 PRICE/S.F.: $224.90
PROPERTY TOURS: By appointment only.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 4 FINANCIAL ANALYSIS BRAUN APARTMENT GROUP
OPPORTUNITY
The Country Club 71 offering provides an investor the opportunity to acquire a newly constructed property in a submarket that has significant nearby growth. Country Club 71 is located in Mesa, Arizona, which is arguably the most pro-growth city in Metropolitan Phoenix. The property’s design, location, quality, drive-by exposure, and especially the unit mix, are all significant property characteristics that should produce strong future operations. It is rare for investors to have the ability to acquire a newly constructed property that is less than 100 units, which this opportunity presents.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 5 PROPERTY INFORMATION BRAUN APARTMENT GROUP
PROPERTY OVERVIEW
Units: 71 Luxury Units SCOTTSDALE
Year Built: Under Construction - Scheduled C of O November 2019 202
Construction Type: Frame & Block
RIO SALADO PKWY. Style: 3-Story, Garden Style
Roofs: Flat COUNTRY CLUB DR.
Metering: Individually metered for utilities (electric) and water.
Location: Strong georgraphic location near Downtown Mesa and located adjacent to the Evergreen Historic District neighborhood.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 6 PROPERTY INFORMATION BRAUN APARTMENT GROUP
PROPERTY CHARACTERISTICS
• Individually metered for electricity • Individual water meters • Charming pedestrian neighborhood adjacent to the east • Drive-by frontage on heavily traveled Country Club Drive (approx. 25,000/day) • 3-story frame & block buildings • All 2 bedroom & 3 bedroom units with patio or balcony • Exceptionally large walk-in closets • Abundant parking: ±150 spaces total with 72 covered stalls • Full size washer/dryers in all units • Stainless steel appliances • Pool, on-site fitness center and individual leasing office • 9-foot ceilings • Controlled access to enter buildings
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 7 DOWNTOWN MESA MESA INDUSTRIAL CORRIDOR
LIGHT RAIL
EVERGREEN HISTORICAL DISTRICT EVERGREEN PARK
COUNTRY CLUB DR.
LOCATION LOCATION BRAUN APARTMENT GROUP
AERIAL OVERVIEW
“THE WATERMARK” Country Club 71 is located in the high 595,000 SF MIXED-USE DEVELOPMENT growth city of Mesa, which experienced significant job and population growth during the last few years. Located less than a mile north of Downtown Mesa, 202 COUNTRY CLUB DR. CLUB COUNTRY MESA DR. ALMA SCHOOL RD. which has had a renaissance during last five years with new and renovated RIO SALADO PKWY. COUNTRY CLUB 71 museums/art centers, hotel rooms, 71 UNIT MULTI-FAMILY PROJECT “RIO 2100” 400,000 SF OFFICE DEVELOPMENT EVERGREEN business relocations and first-class HISTORIC DISTRICT restaurants. Other nearby amenities UNIVERSITY DR. include Mesa Riverview, Sloan Park, home of the Chicago Cubs, Tempe LIGHT RAIL MAIN ST. LIGHT RAIL Marketplace, and Tempe Town Lake, DOWNTOWN MESA “NOVUS INNOVATION CORRIDOR” 31 RESTAURANTS 4 MILLION SF MESA INDUSTRIAL 665 BUSINESSES all within a few miles to the northeast MIXED-USE DEVELOPMENT CORRIDOR 383 HOTEL ROOMS 2,415 RESIDENTS 4 MUSEUMS & ART CENTERS of Country Club 71. The light rail line DOBSON RD. BROADWAY RD.
FIESTA MALL “THE GRID” is located approximately 1 mile to REDEVELOPMENT $59M MIXED-USE DEVELOPMENT the south, and the Loop 101 and 202 freeways are also within a couple of miles 101 of the property. The Mesa Industrial MILL AVE. RD. RURAL DR. MCCLINTOCK Corridor, which is about a mile to the SOUTHERN AVE. south and extends westward, contains significant employment generators and is an excellent epicenter of potential 60 residents for Country Club 71. Lastly Banner Health Desert Medical Center, Mesa Community College and Arizona State University are approximately 5 miles away.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 9 LOCATION BRAUN APARTMENT GROUP
PHOENIX SCOTTSDALE
202 TEMPE 101
WESTWOOD HIGH SCHOOL RIO SALADO PKWY.
COUNTRY CLUB DR.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 10 FINANCIAL ANALYSIS FINANCIAL ANALYSIS BRAUN APARTMENT GROUP
PROFORMA Unit Type # of Units Size +/- Scheduled Rent 2BD/1.5BA 60 971 $ 1,295 3BD/2BA 11 1170 $ 1,450 Total/Avg 71 1071 $ 1,319 Gross Annual Total $ 1,123,800
Income Summary Value Per Unit Percentage GPRI/Economic Rent $ 1,123,800 $ 15,828 Less: Vacancy Loss $ (44,952) $ (633) 4% Less: Loss To Lease/Bad Debt $ (5,619) $ (79) 0.5% Net Rental Income $ 1,073,229 $ 15,116 4.5% Misc. Income $ 25,560 $ 360 RUBS $ 38,806 $ 518 Water Bill-Back $ 28,613 $ 403
Total Other Income $ 92,979 $ 1,281 Effective Gross Income (EGI) $ 1,166,208 $ 16,397
Expense Summary Value Per Unit Percentage Insurance $ 14,200 $ 200 1% Property Tax $ 78,100 $ 1,100 7% Repairs & Maintenance $ 35,500 $ 500 3% Management Fee $ 40,817 $ 575 3.5% Payroll $ 63,900 $ 900 5% Utilities $ 28,400 $ 400 2% Advertising/Admin. $ 5,325 $ 75 0.5% $ 266,242 $ 3,750 23%
Total Expenses $ 266,242 $ 3,750 23%
Value Per Unit Percentage Net Operating Income $ 899,966 $ 12,676 77%
Information contained herein has been obtained from the owner of the property or from other sources that we deem reliable. We have no reason to doubt its accuracy, but we do not guarantee it.
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 12 SALE & RENT COMPARABLES SALE & RENT COMPARABLES BRAUN APARTMENT GROUP
SALE COMPARABLES
1 2 3 4
The Premiere At Dana Park The Alan 1938 N. Alta Mesa Drive Ten01 on the Lake 1439 S. Val Vista Drive 2340 E. McKellips Road Mesa, AZ 85205 1001 E. Playa del Norte Drive Mesa, AZ 85204 Mesa, AZ 85213 Tempe, AZ 85281 • Units: 31 • Units: 198 • Units: 17 • Year Built: 2018 • Units: 523 • Year Built: 2018 • Year Built: 2018 • Sale Date: 05/25/2018 • Year Built: 2008 • Sale Date: 3/21/2019 • Sale Date: 2/28/2019 • Price: $8,200,000 • Sale Date: 03/28/2018 • Price: $41,950,000 • Price: $4,850,000 • Price/Unit: $264,516 • Price: $115,000,000 • Price/Unit: $211,868 • Price/Unit: $285,294 • Price/Unit: $219,885
5 6 7 8
1221 Broadway Apartments The Place on Jentilly Sol Apartments The Hyve 1221 E. Broadway Road 1717 S. Jentilly Lane 1949 E. University Drive 1260 E. University Drive Tempe, AZ 85282 Tempe, AZ 85281 Tempe, AZ 85281 Tempe, AZ 85281 • Units: 194 • Units: 33 • Units: 225 • Units: 296 • Year Built: 2016 • Year Built: 2016 • Year Built: 2010 • Year Built: 2015 • Sale Date: 06/19/2018 • Sale Date: 04/24/2018 • Sale Date: 03/01/2017 • Sale Date: 11/22/2016 • Price: $41,810,000 • Price: $9,300,000 • Price: $52,975,000 • Price: $67,900,000 • Price/Unit: $215,515 • Price/Unit: $281,818 • Price/Unit: $235,444 • Price/Unit: $229,392
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 14 SALE & RENT COMPARABLES BRAUN APARTMENT GROUP
RENT COMPARABLES: TWO BEDROOM / TWO BATH
S 1 2 3
Country Club 71 The Polo Club The Traditions Envision 715 N. Country Club Dr. 3319 E University Dr 4450 E. Southern Ave 1361 S Greenfield Rd Mesa, AZ 85201 Mesa, AZ 85213 Mesa, AZ 85206 Mesa, AZ 85206
• Size: 971 Sq. Ft. • Size: 1,090 Sq. Ft. • Size: 1,112 Sq. Ft. • Size: 1,236 Sq. Ft. • Rate: $1,275 • Rate: $1,217 • Rate: $1,200 • Rate: $1,178 • Rate/Sq. Ft.: $1.31 • Rate/Sq. Ft.: $1.12 • Rate/Sq. Ft.: $1.08 • Rate/Sq. Ft.: $0.95 • Year Built: 2019 • Year Built: 1997 • Year Built: 1997 • Year Built: 1997
4 5 6 7
Lindsay Palms Villas on Hampton Avenue The Premiere at Dana Park Colonial Grand at Inverness Commons 1001 E. Playa del Norte Dr 5120 E Hampton Ave 1439 S Val Vista Dr 5332 E Baseline Rd Tempe, AZ 85281 Mesa, AZ 85206 Mesa, AZ 85204 Mesa, AZ 85206
• Size: 1,144 Sq. Ft. • Size: 1,247 Sq. Ft. • Size: 1,043 Sq. Ft. • Size: 1,207 Sq. Ft. • Rate: $1,135 • Rate: $1,650 • Rate: $1,527 • Rate: $1,363 • Rate/Sq. Ft.: $0.99 • Rate/Sq. Ft.: $1.32 • Rate/Sq. Ft.: $1.46 • Rate/Sq. Ft.: $1.13 • Year Built: 1998 • Year Built: 2001 • Year Built: 2018 • Year Built: 2002
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 15 SALE & RENT COMPARABLES BRAUN APARTMENT GROUP
RENT COMPARABLES: TWO BEDROOM / TWO BATH
8 9 10 11
Montero at Dana Park Highland Groves at Morrison Ranch Lakeview at Superstition Springs Apartments Stone Canyon 3636 E Inverness Ave 105 N Beebe St 1849 S Power Rd 5210 E Hampton Ave Mesa, AZ 85206 Gilbert, AZ 85234 Mesa, AZ 85206 Mesa, AZ 85206
• Size: 976 Sq. Ft. • Size: 1,036 Sq. Ft. • Size: 1,093 Sq. Ft. • Size: 1,084 Sq. Ft. • Rate: $1,315 • Rate: $1,310 • Rate: $1,301 • Rate: $1,285 • Rate/Sq. Ft.: $1.35 • Rate/Sq. Ft.: $1.26 • Rate/Sq. Ft.: $1.19 • Rate/Sq. Ft.: $1.19 • Year Built: 2000 • Year Built: 2014 • Year Built: 1995 • Year Built: 2001
12 13 14 15
Southern Avenue Villas Green Leaf Tempe Station IMT Riverview Luxe 1930 855 W Southern Ave 2323 E Apache Blvd 711 N Evergreen Rd 1930 N Country Club Dr Mesa, AZ 85210 Tempe, AZ 85281 Mesa, AZ 85201 Mesa, AZ 85201
• Size: 1,1140 Sq. Ft. • Size: 1,119 Sq. Ft. • Size: 1,132 Sq. Ft. • Size: 1,068 Sq. Ft. • Rate: $1,362 • Rate: $1,282 • Rate: $1,280 • Rate: $1,200 • Rate/Sq. Ft.: $1.19 • Rate/Sq. Ft.: $1.15 • Rate/Sq. Ft.: $1.13 • Rate/Sq. Ft.: $1.12 • Year Built: 2017 • Year Built: 2001 • Year Built: 1998 • Year Built: 2000
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 16 SALE & RENT COMPARABLES BRAUN APARTMENT GROUP
RENT COMPARABLES: THREE BEDROOM / TWO BATH
S 1 2 3
Country Club 71 Villas on Hampton Avenue Vistara at SanTan Village The Premiere at Dana Park 715 N. Country Club Dr. 5120 E Hampton Ave 1725 S Coronado Rd 1439 S Val Vista Dr Mesa, AZ 85201 Mesa, AZ 85206 Gilbert, AZ 85295 Mesa, AZ 85204
• Size: 1,170 Sq. Ft. • Size: 1,495 Sq. Ft. • Size: 1,360 Sq. Ft. • Size: 1,251 Sq. Ft. • Rate: $1,450 • Rate: $1,900 • Rate: $1,863 • Rate: $1,710 • Rate/Sq. Ft.: $1.24 • Rate/Sq. Ft.: $1.27 • Rate/Sq. Ft.: $1.37 • Rate/Sq. Ft.: $1.37 • Year Built: 2019 • Year Built: 2001 • Year Built: 2017 • Year Built: 2018
4 5 6 7
Village at Lindsay Park Apartments Montero at Dana Park The Springs at Alta Mesa San Posada 1441 S Lindsay Rd 3636 E Inverness Ave 1865 N Higley Rd 2318 S Country Club Dr Mesa, AZ 85204 Mesa, AZ 85206 Mesa, AZ 85205 Mesa, AZ 85210
• Size: 1,245 Sq. Ft. • Size: 1,323 Sq. Ft. • Size: 1,227 Sq. Ft. • Size: 1,445 Sq. Ft. • Rate: $1,583 • Rate: $1,580 • Rate: $1,540 • Rate: $1,880 • Rate/Sq. Ft.: $1.27 • Rate/Sq. Ft.: $1.19 • Rate/Sq. Ft.: $1.26 • Rate/Sq. Ft.: $1.30 • Year Built: 1997 • Year Built: 2000 • Year Built: 2000 • Year Built: 2017
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 17 SALE & RENT COMPARABLES BRAUN APARTMENT GROUP
RENT COMPARABLES: THREE BEDROOM / TWO BATH
8 9 10 11
Lindsay Palms Envision Colonial Grand at Inverness Commons San Piedra 1001 E. Playa del Norte Dr 1361 S Greenfield Rd 5332 E Baseline Rd 4510 E Banner Gateway Dr Tempe, AZ 85281 Mesa, AZ 85206 Mesa, AZ 85206 Mesa, AZ 85206
• Size: 1,426 Sq. Ft. • Size: 1,450 Sq. Ft. • Size: 1,370 Sq. Ft. • Size: 1,445 Sq. Ft. • Rate: $1,481 • Rate: $1,460 • Rate: $1,418 • Rate: $1,899 • Rate/Sq. Ft.: $1.04 • Rate/Sq. Ft.: $1.01 • Rate/Sq. Ft.: $1.04 • Rate/Sq. Ft.: $1.31 • Year Built: 1998 • Year Built: 1997 • Year Built: 2002 • Year Built: 2019
12
Green Leaf Tempe Station 2323 E Apache Blvd Tempe, AZ 85281
• Size: 1,251 Sq. Ft. • Rate: $1,384 • Rate/Sq. Ft.: $1.11 • Year Built: 2001
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 18 WHY MESA WHY MESA BRAUN APARTMENT GROUP
36 38.0%* 500,000 MEDIAN AGE ASSOCIATES DEGREE MESA POPULATION AZ: 37.3 | U.S. 38.3 OR HIGHER* $51,084 $243,075 MEDIAN HOUSEHOLD MEDIAN HOME INCOME SALE PRICE
1.4M 35TH LARGEST 2ND LARGEST WORKFORCE POPULATION CITY IN THE U.S. LARGER THAN CITY IN PHOENIX-MESA WITHIN A 30-MINUTE DRIVE MIAMI, MINNEAPOLIS & ATLANTA METRO
INFORMATION COURTESY OF SELECTMESA.COM
Country Club 71 | Mesa, Arizona Lee & Associates Arizona 20 PRESENTED BY:
Todd Braun [email protected] D 602.474.9550
LEE & ASSOCIATES ARIZONA 3200 East Camelback Road, Suite 100 Phoenix, Arizona 85018 P 602-956-7777 W www.leearizona.com