897 Independence Avenue Mountain View, CA 94043
Total Page:16
File Type:pdf, Size:1020Kb
Independence Avenue Wyandotte Street 897 Independence Avenue Mountain View, CA 94043 DON SUNG Senior Vice President +1 650 380 5188 [email protected] CA License No. 01935797 897 Independence Avenue TABLESECTION OF CONTENTS Table of Contents I. Property Highlights II. Return on Equity Analysis III. Development Analysis IV. Sales Comparables V. Property Description VI. Demographic Information COLLIERS INTERNATIONAL | MULTIFAMILY PROPERTYSECTION HIGHLIGHTS Property Highlights LOCATION: 897 Independence Avenue Mountain View, CA 94043 > Rarely available ±2.57 acre site with possibility for current development as standalone parcel or future assemblage. > AAA strategic location in Mountain View bordering Palo Alto, the epicenter of technology innovation. > Property located within one block south of Palo Alto and two blocks west of US 101 Rengstorff/Amphitheatre Parkway exit. > Current zoning: MM-40 (General Industrial/ Storage Use). Potential for future development of residential: R3-2 (Residential Use or Other Commercial Uses). > Site offers excellent intrinsic value: $241/land foot and $734/foot on existing improvements. > Multi-tenant property offers diversified income stream with below-market rents, plus tremendous future development potential given strategic location. > Attractive assumable financing: $4.78 million assumable loan at 3.8%. COLLIERS INTERNATIONAL | MULTIFAMILY PROPERTYSECTION HIGHLIGHTS PROPERTY DESCRIPTION Property Summary AAA+ Location in the Heart of Mountain View AAA+ Location in the HeartSignificant of Mountain Future Development View Potential | Significant Future Colliers International is pleased to present 897 Independence Ave, located in the Heart of Mountain View, CA.This AAA+ location provides easy access to Highway 101, and it is within a quarter mile of the Google HQ. The subject property was built in 1979, and it consists of Forty (40) total units, Two (2) of which are Storage Units. The units serve as Office, Warehouse, and other commercial uses with long-term tenants. Smaller units range from 625 SF to 725 SF, while larger units range from 1,025 SF to 1430 SF. The subject property offers 36,780 SF and it is situated on a rarely available 111,949 SF / 2.57 Acre Lot according to Santa Clara County Records. This Multi-Tenant commercial property offers investors immediate and diversified income stream with significant future development potential. These redevelopment possibilities include: Residential (R3.2 zoned properties nearby), and higher & better use commercial property with same existing zoning (MM-40) permitting: Industrial, R & D, Warehouse, Self-Storage Units, Educational/Schools, and other commercial uses. �uilding SF:�36,780 Sq Ft Land Area:�2.57 acres General Plan:�General Industrial Zoning:��MM-40 (General industrial) Allowed uses:�Includes high-intensity office as outlined in Zoning Section 36.20.20 •�b.MM (General Industrial) district. This district is designed to encourage sound industrial development in the city by providing and protecting an environment exclusively for such development, subject to regulations necessary to insure the purity of the air and waters in the bay area, and the protection of nearby residential uses of the land from hazards and noise or other radiated disturbances. The MM zoning district is consistent with the general industrial and high-intensity office land use designation of the general plan. •�SEC. 36.20.20. -� MM zoning district special land use standards. The following land uses have specific regulations pertaining to operations and development standards: a.Conditionally permitted uses. The following uses are conditionally permitted in the MM zoning district: 1.Office. Administrative, executive and financial offices which are deemed by the zoning administrator to be appropriate in the MM district, provided that the landscaping meets the approval of the zoning administrator. 2.Educational or recreational uses. Uses of an educational or recreational nature considered appropriate for the MM district such as service or industrial job training. 3.Research and development. Research and development offices, devoted to scientific and engineering research and the design, development and testing of new technology and products; usually includes some laboratory space or other small-scale manufacturing operations. Current Zoning and Potential Development and Uses:• Self-Storage Facility (MM Zoning): FAR: 0.55. Height Limit: 50'• Warehouse Facility (MM Zoning): FAR: 0.45. Height Limit: 50'• Industrial, Office, Retail (MM Zoning): FAR: 0.35. Height Limit: 50'Potential Future Zoning and Future Development and Uses:• Residential (R3.2 Zoning): For Sale Rowhouses (Townhouse- Style Homes). FAR: 0.35. Height Limit: 45' COLLIERS INTERNATIONAL | MULTIFAMILY P. 10 2013 Colliers International. All rights reserved. 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. RETURN ONSECTION EQUITY ANALYSIS Current Offering 897 Independence Avenue Independence Avenue Wyandotte Street Price $27 million Cost per square foot: $734 per square foot Cost per land foot: $241 per land foot Cost per acre: $10.5 million per acre Cost per zoned rowhouse unit: $519,231 per zoned rowhouse unit COLLIERS INTERNATIONAL | MULTIFAMILY RETURN ONSECTION EQUITY ANALYSIS Rent Roll PROPERTY ADDRESS: 897 Independence Ave, Mountain View, CA 94043 INCOME: CURRENT PRO‐FORMA Building # UNIT TYPE UNIT MONTHLY SIZE COST/SF ANNUAL MONTHLY ANNUAL SIZE COST/SF %DIFF NOTES 1 Lund Pearson McLaughlin 1A $ 2,050.00 1,350$ 1.52 $ 5,400.00 1,350$ 4.00 163% 1 3L &T 1B $ 2,200.00 1,350$ 1.63 $ 5,400.00 1,350$ 4.00 145% 1 Ski Renter of Mt View 1C $ 2,275.00 1,350$ 1.69 $ 5,400.00 1,350$ 4.00 137% 1 Lund Pearson McLaughlin 1D,1E,1F$ 7,100.00 4,050$ 1.75 $ 16,200.00 4,050$ 4.00 128% Lease Expires 1 Lund Pearson McLaughlin 1D,1E,1F Nov. 2019 1 Lund Pearson McLaughlin 1D,1E,1F 2 Streamline (Alex Piplani) 2A&2B$ 2,300.00 1,540$ 1.49 $ 6,160.00 1,540$ 4.00 168% 2 Streamline 2A&2B 2 Snap DNA 2C $ 1,300.00 770$ 1.69 $ 3,080.00 770$ 4.00 137% 2 Ski Renter of Mt View Inc 2D $ 1,200.00 770$ 1.56 $ 3,080.00 770$ 4.00 157% 2 Neurogami Medical 2E $ 1,200.00 770$ 1.56 $ 3,080.00 770$ 4.00 157% 2 Design Flowers 2F $ 1,050.00 770$ 1.36 $ 3,080.00 770$ 4.00 193% 2 Terrapin Energy 2G $ 1,200.00 770$ 1.56 $ 3,080.00 770$ 4.00 157% 3 Hancock Medical 3A $ 1,525.00 1,025$ 1.49 $ 4,100.00 1,025$ 4.00 169% 3 Hildy Licht Company 3B $ 1,475.00 1,025$ 1.44 $ 4,100.00 1,025$ 4.00 178% 3 Opal'z (Ann Jenkins) 3C $ 1,650.00 1,025$ 1.61 $ 4,100.00 1,025$ 4.00 148% 3 Waverly Consulting 3D $ 1,600.00 1,025$ 1.56 $ 4,100.00 1,025$ 4.00 156% 3 CT Screen Printing 3E $ 1,260.00 1,025$ 1.23 $ 4,100.00 1,025$ 4.00 225% 3 Milroy Construction 3F,3G,3H$ 3,350.00 2,050$ 1.63 $ 8,200.00 2,050$ 4.00 145% 3 Milroy Construction 3F,3G,3H 3 Milroy Construction 3F,3G,3H 4 Kinetic River 4A $ 2,500.00 1,250$ 2.00 $ 5,000.00 1,250$ 4.00 100% 4 3L&T 4B $ 920.00 625$ 1.47 $ 2,500.00 625$ 4.00 172% 4 DX ‐ Svs Inc 4C $ 950.00 625$ 1.52 $ 2,500.00 625$ 4.00 163% 4 DX ‐ Svs Inc 4D $ 950.00 625$ 1.52 $ 2,500.00 625$ 4.00 163% 4 DX ‐ Svs Inc 4E $ 900.00 625$ 1.44 $ 2,500.00 625$ 4.00 178% 4 Furry Puppets 4F $ 1,000.00 625$ 1.60 $ 2,500.00 625$ 4.00 150% 4 MEDHUS 4G $ 900.00 625$ 1.44 $ 2,500.00 625$ 4.00 178% 4 Cookie Knitwear 4H $ 950.00 625$ 1.52 $ 2,500.00 625$ 4.00 163% 4 Imbernon‐Moffett (Owner Office) 4J $ ‐ 625 $ ‐ $ 2,500.00 625$ 4.00 N/A Owner Office 4 DX ‐ Svs Inc 4K $ 920.00 625$ 1.47 $ 2,500.00 625$ 4.00 172% 4 Guitard Singing Studios 4L $ 975.00 625$ 1.56 $ 2,500.00 625$ 4.00 156% 5 DonMilroy Sung Construction – Senior Vice President 5A $ | Multifamily2,100.00 1,430 Investment$ 1.47 Sales $ 5,720.00 1,430$ 4.00 172% 5 203Compact Redwood Imaging Shores Parkway,5B $Su ite 125,2,100.00 Redwood1,430 $City, 1.47 CA 94065 $ 5,720.00 1,430$ 4.00 172% 5 [email protected] | www.colliers.com/don.sung5C $ 1,600.00 1,430 $ 1.12 $ 5,720.00 1,430$ 4.00 258% 5 OFC +1CBA 650 486 2228 | FAX5D +1 $650 4861,600.00 2201 1,430| MOB$ +1 1.12 650 380 5188 $ 5,720.00 1,430$ 4.00 258% 5 PRIVILEGEDCBA & CONFIDENTIAL5E $ – Prepared1,600.00 by1,430 Don $Sung 1.12 for his Preferred$ Clients5,720.00 Only 1,430$ 4.00 258% 5 CBA 5F $ 1,600.00 1,430$ 1.12 $ 5,720.00 1,430$ 4.00 258% SY Ski Renter of Mt View Inc Storage1 $ 75.00 600$ 0.13 $ 2,400.00 600$ 4.00 3100% SY Ski Renter of Mt View Inc Storage2$ 400.00 320$ 1.25 $ 1,280.00 320$ 4.00 220% Sub‐Total$ 54,775.00 37,665$ 1.40 $ 657,300.00 $ 150,660.00 $ 1,807,920.00 37,665$ 4.00 185% Vacancy (3%)$ (1,643.25) $ (4,519.80) TOTAL w/ Vacancy $ 53,131.75 $ 637,581.00 $ 146,140.20 $ 1,753,682.40 COLLIERS INTERNATIONALDon Sung – Senior | MULTIFAMILY Vice President | Multifamily Investment Sales 203 Redwood Shores Parkway, Suite 125, Redwood City, CA 94065 [email protected] | www.colliers.com/don.sung OFC +1 650 486 2228 | FAX +1 650 486 2201 | MOB +1 650 380 5188 PRIVILEGED & CONFIDENTIAL – Prepared by Don Sung for his Preferred Clients Only RETURN ONSECTION EQUITY ANALYSIS Value Analysis ANALYSIS & FINANCING: CURRENT PRO‐FORMA (GROSS Lease) PRO‐FORMA (NNN Lease) List Price$ 27,000,000.00 List Price$ 27,000,000.00 List Price$ 27,000,000.00 Cap Rate 0.87% Cap Rate 5.00% Cap Rate 6.35% GRM 41.08 GRM 14.93 GRM 14.93 Cost Per Unit$ 710,526.32 Cost Per Unit$ 710,526.32 Cost Per Unit$ 710,526.32 Down Payment$ 20,250,000.00 75% Down Payment$ 20,250,000.00 Down Payment$ 20,250,000.00 Financed / LTV$ 6,750,000.00