Fresco Apartments 3939 15Th Ave S | Seattle, Wa 98108 for More Information
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FRESCO APARTMENTS 3939 15TH AVE S | SEATTLE, WA 98108 FOR MORE INFORMATION: STEVE FISCHER TYLER D SMITH PRINCIPAL | BROKER PRINCIPAL | BROKER 206.505.9435 206.505.9425 fischer@ tylersmith@ westlakeassociates.com westlakeassociates.com OFFERING SUMMARY THE FRESCO APARTMENTS IS A TURNKEY PROPERTY CENTRALLY LOCATED NEAR DOWNTOWN SEATTLE IN THE THRIVING BEACON HILL NEIGHBORHOOD. The offering provides an opportunity to acquire a beautiful turnkey, practically newly constructed asset less than 7 minutes from downtown Seattle and directly across the street from renowned Jefferson park. The interiors of the units offer tenants state of the art finishes, as all of the units have been updated with new kitchens, including cabinets and quartz counters, stainless steel appliances, bathrooms - including tile surrounds, the addition of in-unit laundry, new modern flooring, fixtures and all new mill work. In addition to the interior upgrades the building has been updated with new electrical panels, new plumbing, hot water tanks, heating, landscaping, structural upgrades, security access, new roof and windows. The building consists of 16 one bed / one bath units, and 4 two bed / one bath units, with the ground floor units having large private patios. This is a chance to own a building with irreplaceable midcentury charm combined with finishes and systems of a brand new building. ADDRESS 3939 15th Ave S | Seattle, WA 98108 PROPERTY HIGHLIGHTS Price: $5,200,000 + MAJOR SYSTEM UPGRADES / FULL UNIT REMODELS Cap: 5.22% + NEW CABINETS, QUARTZ COUNTERS, STAINLESS APPLIANCES GRM: 13.28 AND MODERN FLOORING THROUGHOUT + LARGE PRIVATE PATIOS Price Per Unit: $260,000 + EQUIPPED WITH MODERN TECHNOLOGY INCLUDING USB PORTS Price Per SF: $393.34 AND KEYLESS ENTRY + POTENTIAL TO ADD 1 UNIT + ACROSS THE STREET FROM RENOWNED JEFFERSON PARK + 6 MINUTES TO DOWNTOWN SEATTLE + DIRECT ACCESS TO INTERSTATE 5 VIA COLUMBIA WAY + 5 MINUTES TO SAFECO FIELD, CENTURY LINK AND PROPOSED SEATTLE ARENA + 10 BLOCKS FROM BEACON HILL LIGHT RAIL STATION + 1.5 MILES TO COLUMBIA CITY RETAIL, PCC NATURAL MARKET, AND THE LIGHT RAIL + PERFECTLY SITUATED SOUTH OF NEW EAST LINK LIGHT RAIL VIA I-90 WESTLAKE ASSOCIATES, INC. WESTLAKE ASSOCIATES, INC INVESTMENT CONSIDERATIONS Price: $5,200,000 Units: 20 RENT SCHEDULE MARKET RENTS CURRENT RENTS Cap Rate: 5.22% (PRO-FORMA) No. of AVG SIZE UNIT TYPE CURRENT PSF PRO FORMA PSF Price Per Unit: $260,000 Units (SF) Price Per SF: $393.34 1 Bed | 1 Bath 16 620 $1,437 $2.32 $1,550 $2.50 2 Bed | 1 Bath 4 825 $1,845 $2.24 $1,895 $2.30 Type: Two Story, Wood Frame, Brick Veneer TOTALS 20 13,220 $30,372 $2.30 $32,200 $2.45 Year Built: 1959 TOTAL MONTHLY RENT: $30,385 $32,380 Lot Size: ±17,520 TOTAL ANNUAL RENT: $364,464 $386,560 Neighborhood: Beacon Hill Zoning: LR3 WESTLAKE ASSOCIATES, INC WESTLAKE ASSOCIATES, INC AMENITIES SAMPLING OF BEACON HILL CENTURYLINK MAJOR RETAIL FIELD PACIFIC TOWER & Bartell Drugs WAMU THEATER PACIFIC MEDICAL CENTER Domino’s Pizza SAFECO FIELD 90 Ezell’s Famous Chicken Lowe’s Home Improvement 5 McDonald’s PROPOSED MERCER LOCATION FOR NEW O’Reilly Auto Parts SEATTLE ARENA ISLAND Pizza Hut QFC 99 JEFFERSON PARK, Ross Dress for Less JEFFERSON PARK GOLF COURSE Safeway OLD RAINIER & BEACON FOOD FOREST BREWERY Starbucks Subway WEST SEATTLE BRIDGE Taco Bell FRESCO Taco Time APARTMENTS T-Mobile Walgreens COSTCO Wendy’s BEACON COLUMBIA GEORGETOWN MICROBREWERIES HILL CITY & URBAN WINERIES Charles Smith Wine Cloudlift Cellars Elysian Airport Way Brewery 509 Georgetown Brewing Co Laurelhurst Cellars GEORGETOWN Machine House Brewery OS Winery 5 BOEING FIELD 99 WESTLAKEN ASSOCIATES, INC WESTLAKE ASSOCIATES, INC FEATURED INTERIOR PHOTOS | ONE BEDROOM CLICK HER E TO TA KE A VIRTUAL TOUR HIGHLIGHTS + ONE BEDROOM + ONE FULL BATH + KITCHEN WITH STAINLESS STEEL APPLIANCES + LIVING ROOM, KITCHEN, BEDROOM & BATHROOM HAVE WITH VINYL WOOD FLOORS THROUGHOUT WESTLAKE ASSOCIATES, INC WESTLAKE ASSOCIATES, INC FEATURED INTERIOR PHOTOS | TWO BEDROOM CLICK HER E TO TA KE A VIRTUAL TOUR HIGHLIGHTS + TWO BEDROOMS + ONE FULL BATH + KITCHEN WITH STAINLESS STEEL APPLIANCES + LIVING ROOM, KITCHEN, BEDROOMS & BATHROOM HAVE WITH VINYL WOOD FLOORS THROUGHOUT WESTLAKE ASSOCIATES, INC WESTLAKE ASSOCIATES, INC FINANCIAL OFFERING PROPERTY OVERVIEWPROPERTY OVERVIEW# of UNITS UNIT# ofTYPE UNITS AVG SIZEUNIT TYPECURRENT AVGPSF SIZEPROCURRENT FORMA PSFPSF PRO FORMA PSF Number of Units Number of Units 20 16 201 Bedroom16 | 1 Bath 1 620Bedroom | 1 Bath$1,437 $2.32620 $1,550$1,437 $2.50$2.32 $1,550 $2.50 Year Constructed Year Constructed1959 4 19592 Bedroom4 | 1 Bath 2825 Bedroom | 1 Bath$1,845 $2.24825 $1,895$1,845 $2.30$2.24 $1,895 $2.30 Remodel 2016 Total | AVG 13,220 $30,385 $2.30 $32,380 $2.45 Remodel 2016 Total | AVG 13,220 $30,385 $2.30 $32,380 $2.45 Rentable SF 13,220 Rentable SF INCOME 13,220 Lot Size 17,520 INCOME Lot Size 17,520 CURRENT PRO FORMA Zoning LR3 CURRENT PRO FORMA Zoning Scheduled RentalLR3 Income $364,620 $388,560 Roof Flat Scheduled Rental Income $364,620 $388,560 + Utility Bill Back $1,940 | $23,280 $2,035 | $24,420 Roof Flat Exterior Brick | Wood Frame + Parking + Utility Bill Back $0 | $0 $1,940$200 | |$2,400 $23,280 $2,035 | $24,420 Heat Exterior Electric Brick | Wood Frame + Misc Income + Parking $300 | $3,600 $300$0 | $3,600 | $0 $200 | $2,400 Heat Electric PRICE ANALYSIS Scheduled Gross Income + Misc Income $391,500 $300$418,980 | $3,600 $300 | $3,600 Sale Price PRICE ANALYSIS$5,200,000 - Vacancy & Cr Losses Scheduled Gross Income5.0% ($19,575) ($20,949)$391,500 $418,980 Price per Unit $260,000 Sale Price Gross$5,200,000 Income - Vacancy & Cr Losses $371,9255.0% $398,031($19,575) ($20,949) Price per NRSF Price per Unit$393.34 $260,000 EXPENSES Gross Income $371,925 $398,031 Price per Land SF $296,80 Price per NRSF $393.34 CURRENT PER UNIT PRO FORMA PER UNIT Current CAP Rate 5.22% EXPENSES Price per Land SF Real Estate$296,80 Taxes (2016) $19,287 $964 $35,000 $1,750 Current GRM 13.28 CURRENT PER UNIT PRO FORMA PER UNIT Current CAP Rate Insurance 5.22% $4,408 $220 $4,408 $220 Pro Forma CAP Rate 5.40% Real Estate Taxes (2016) $19,287 $964 $35,000 $1,750 Current GRM Utilities: W|S|G|Electric13.28 $24,000 $1,200 $24,000 $1,200 Pro Forma GRM 12.41 Insurance $4,408 $220 $4,408 $220 Pro Forma CAP Rate Professional 5.40%Management $14,877 $744 $15,839 $792 FINANCING Utilities: W|S|G|Electric $24,000 $1,200 $24,000 $1,200 Pro Forma GRM Resident Manager12.41 $8,400 $420 $8,400 $420 Loan Amount $3,700,000 Maintenances Professional Management $17,000 $850 $14,877$17,000 $850$744 $15,839 $792 Down Payment FINANCING$1,500,000 Miscellaneous Resident Manager $4,000 $200 $8,400$4,000 $200$420 $8,400 $420 Rate Loan Amount 3.25% $3,700,000 Landscaping Maintenances $3,600 $180 $17,000$3,600 $180$850 $17,000 $850 % Down Down Payment28.8% $1,500,000 Reserves Miscellaneous $5,000 $25 $4,000$5,000 $200$25 $4,000 $200 Amortization Rate 30 3.25% Total Operating ExpensesLandscaping $100,572 $5,029 $3,600$117,329 $5,866$180 $3,600 $180 Term % Down 5 28.8% Net Operating Income Reserves $271,353 $280,702$5,000 $25 $5,000 $25 Monthly Payment $16,103 Amortization 30 Less Annual Debt ServiceTotal Operating Expenses($193,232) $100,572($193,232) $5,029 $117,329 $5,866 Annual Payment $193,232 Term 5 Cash Before Taxes $78,121 5.21% $87,470 5.83% Net Operating Income $271,353 $280,702 Monthly Payment Plus Principal$16,103 Reduction $67,881 $67,881 Less Annual Debt Service ($193,232) ($193,232) The statements, figures & Annualcomputations Payment herein, while not $193,232 guaranteed, are secured from sources we believe reliable. Total Return Before Taxes $146,002 9.73% $155,351 10.36% Investors should verify all numbers, computations, and Cash Before Taxes $78,121 5.21% $87,470 5.83% assumptions before committing to an investment. Plus Principal Reduction $67,881 $67,881 Total Return Before Taxes $146,002 9.73% $155,351 10.36% WESTLAKE ASSOCIATES, INC WESTLAKE ASSOCIATES, INC LOAN TERMS Matt Couch Vice President 720 4th Avenue, Suite 120 Kirkland, WA 98033 425-602-1250 [email protected] 10/19/2016 For property known as: LLC TBD Fresco Apts L15154 3939 15th Ave S Seattle, WA 98108 We have received the preliminary package for the above referenced property. It appears to be an appropriate candidate for our income property loan program. Based on the information you provided to us, we should be able to achieve the following loan terms: Check Desired Program [ ] [ ] Programs 5 Year Fixed / Adjustable 7 Year Fixed / Adjustable Loan Amount $3,700,000 $3,700,000 Est. Initial Interest Rate 3.250% 3.650% Initial Index & Rate SWAP 5 Year (1.280%) SWAP 7 Year (1.430%) Pricing Spread/Margin 1.900% 2.000% Interest Rate Floor 3.250% 3.650% Interest Rate Ceiling 9.500% 9.500% Reset Index & Margin 6 Month LIBOR (2.050%) 6 Month LIBOR (2.150%) Reset Rate Floor Initial Interest Rate Initial Interest Rate Loan Term / Amortization 30 / 30 30 / 30 Prepayment Program 3,2,1% 4,3,2,1% Operating Account Yes Yes Recourse Yes Yes Assumable 1% - Subject to credit approval 1% - Subject to credit approval Maximum LTV 75.00% 75.00% Minimum DSCR 1.15 1.15 Loan Fee 0.500% 0.500% Processing Fee $4,625 $4,625 Good Faith Deposit $5,000 $5,000 Periodic Rate Cap 1.00%/6 months 1.00%/6 months Comment: Non recourse available to qualified buyers.