Lakeshore Towers FOR SALE 116 UNITS 2306 SW 13th Street plus land for an additional 100+ units Gainesville, FL 32608 Executive Summary Standing at 12 stories, Lakeshore Towers is the tallest apartment building in Gainesville, Florida. The property was developed in 1965 by the legendary Clark Butler of Butler Enterprises and is being sold by Trustees of the Butler family. Lakeshore Towers is within one mile of the University of Florida, the Malcolm Randall VA Center, Shands Hospital, City College, and just a few minutes from millions of square footage of retail, restaurants, groceries, movie theater, and numerous jobs and commerce at Butler Plaza and Celebration Pointe. This asset has been very attractive to both conventional and student renters over the years. It is a 116-unit mid-rise apartment community on 7.14 acres consisting of 16 studios, 76 one bedroom one bath units, 2 one bedroom two bath units, and 22 two bedroom two bath units. There are breathtaking views of Bivens Arm Lake to the south and west, views of downtown, and the University of Florida campus to the north and west. The property was completely vacated because the Seller intended to do a full restoration themselves but decided instead to concentrate on their main shopping center business (Butler Plaza). Formerly there was a pool and pool deck but the owner filled in the pool recently. The first floor has an awesome grand lobby entrance and kitchen lounge area. The basement has a loading dock for resident furniture and houses the garbage container for the building via interior garbage shoots on each floor. Floor 2 is composed of the former Butler Enterprises main office and maintenance and file storage for their operations. Floors 3 through 7 are all one bedrooms. Floor 8 is all two bedrooms. Floors 9 through 12 have studios, one bedrooms and two bedrooms. There is a chiller system on the roof for the building but it is recommended to remove the chiller system and go to individual mini splits for substantial utility savings and effectiveness for the residents. Each unit is individually metered for electric but the landlord pays for water and sewer. New buyer should charge back for water and sewer as this is customary in the market. Laundry facilities are located on each floor. Executive Summary (continued) There are also two cell tower leases on the roof of the building generating approximately $101,475 in annual NNN rent! Details included in this offering package. The current zoning allows for 50 units/acre and there is room for over 100 additional units to be built. There are few assets in the northern half of Florida with more value add potential than this offering. This is an A location asset with extremely unique characteristics compared to the rest of the inventory in this market. Lakeshore Towers is the perfect candidate to benefit from a substantial capital improvement plan to the exterior and interior of the property as well as updating outdated and inefficient MEP systems. VIDEO – Drone Property Tour Market Aerial Butler North Butler Town Center Walmart Total Wine Publix H&R Block Ashley Marshalls Miya Sushi Great Clips Dick’s Sporting Payless Rent A Center China King Children’s Longhorn TGIFridays The Hyppo Sleep Center Olive Garden Aldi McAlister’s Deli Cici’s Pizza Cancer Bahama Breeze Lowes Gigi’s Cupcakes Which Wich UF Shands Sam’s Club Jimmy Hulas 4 Rivers BBQ Smoothie King Hospital Jimmy John’s Gator Mania Falafel King Burger Fi Cancer VA Orange Theory Jersey Mikes Starbuck’s Center Medical Butler West Target Publix Carter’s Old Navy SW 20th Avenue Rack Room Shoes Massage Envy GNC Village Jeweler Hair Cuttery Maple Street Biscuit Kirklands Ale House Arby’s Pollo Tropical Dairy Queen Texas Roadhouse Celebration Pointe Celebration Pointe Butler Central Bass Pro Shop Eddie Montgomery’s Best Buy PetSmart Rascal Flatts Grill Liquid Ginger Ross Office Max Michael’s Pier 1 Reggae Shack Margaritaville Tuesday Morning Trader Joe’s Kilwin’s Confections Miller’s Ale House Zaxby’s AT&T Regal 10 Theatre Nike Shop InfoTech Hotel Indigo Outback Yogurtology Luxury Regal Theatre Outlet Shopping Hibbett Sports Zoe’s Property Aerial 5.41 Acres +/- 1.39 Acres +/- 0.34 Acres +/- Prairiewood Condos Anthem House – 2021 Delivery 124 Units/185 Beds Click for Info Property & Area Details DEMOGRAPHICS 1-Mile: 10,742 3-Mile: 77,175 5-Mile: 143,510 Population 1-Mile: $34,086 3-Mile: $28,120 Median Income 5-Mile: $37,431 *incomes skewed due to heavy nearby student population CONSTRUCTION UTILITIES Style Mid-rise Electric Tenant Year Built 1965 Water Landlord # of Bldgs. 1 Sewer Landlord 1-Mile: 66.8% # of Stories 12 Construction Reinforced concrete Exterior Cement Brick UNIT MIX 3-Mile: 64.9% Roof Gravel & Tar 16 Studios - 400 SF +/- Plumbing Cast Iron 76 1 BR/1 BA - 700 SF +/- Renter Occupied 5-Mile: 53.5% Electrical Aluminum & Copper 2 1 BR/2 BA - 750 SF +/- 22 2 BR/2 BA - 1,000 SF +/- Units PARCELS Source: U.S. Census Bureau, Census 2010 Summary File 1. Esri Alachua county: 15696-003-000, forecasts for 2020 and 2025 Esri converted Census 2000 data into 15696-005-000, 15696-004-001 2010 geography. Cell Tower Income Located on the roof Name Start End Monthly Rent Annual Rent Options T-Mobile 1/1/06 12/31/25 $3,894.92 $46,739.04 2x5 Years exercised 1/1/16 AT&T 5/1/01 4/30/21 $4,542.95 $54,736.44 None ~Both users have expressed interest in continuing their leases ~Each user is responsible for individual meter utilities, associated property taxes, insurance & maintenance of their asset ~A complete abstract of each lease is available upon a signed confidentiality agreement Fire Sprinklers Excerpts taken from the Florida Fire Prevention Code 7th Ed 101:13.3.2.26 Fire sprinklers are required for this building. None currently exist. Conceptual Entry from SW 13th Street Conceptual Site Study Conceptual Building Building Layout Floors 9-12 Studios & 1BR/1 BA & 2 BR/2 BA Floor 8 All 2 BR/2 BA Floors 3-7 All 1 BR/1 BA 2nd Floor Offices & Maintenance 1st Floor Lobby & Lounge P h o t o s (when in operation) Click here for more photos P h o t o s (when in operation) Click here for more photos P h o t o s (when in operation) Click here for more photos Views from Balconies Click here for more photos Stephen C. O’Connell Center Bivens Arm Lake Ben Hill Griffin Stadium Southern View Eastern View SW 13th Street Sale Comparables Center Court University Park Comps chosen on age, unit mix, and proximity to subject Point West 2 3 The Hammocks The Olser 1 Piccadilly 5 10 Sundowne Villas 4 6 7 9 Hamlet Cove 8 Silver Creek Summer Place Sale Comparables Lakeshore Towers Year Built # of Units Target Price 1965 116 Call for Offers Subject Property Subject 16 Studios, 78 – 1 Bedrooms, 22 – 2 Bedrooms 1 Point West – 500 SW 34th Street Year Built # of Units Sold Price Price/Unit Date Sold 1969 146 $13,225,000 $90,582 Jun 2019 48 – 1 Bedrooms, 85 – 2 Bedrooms, 12 – 3 Bedrooms No renovations to interior or exterior 2 Center Court – 1210 NW 11th Avenue Year Built # of Units Sold Price Price/Unit Date Sold 1980 16 $2,720,000 $170,000 Oct 2020 1 – 1 Bedroom, 15 – 2 Bedrooms Partial renovation to interior and exterior Sale Comparables 3 University Park – 1222 NW 8th Avenue Year Built # of Units Sold Price Price/Unit Date Sold 1960 17 $1,675,000 $98,529 Oct 2020 All Studios Partial renovation to interior and exterior 4 The Hammocks – 3751 SW 20th Avenue Year Built # of Units Sold Price Price/Unit Date Sold 1978 152 $10,630,731 $69,939 Jan 2020 All 1 Bedrooms Exterior renovation and 10 year old interior renovations 5 Piccadilly – 2220 SW 34th Street Year Built # of Units Sold Price Price/Unit Date Sold 1972 234 $16,275,000 $69,551 Feb 2020 169 – 1 Bedrooms, 65 – 2 Bedrooms No renovations to interior or exterior Sale Comparables 6 Sundowne Villas – 3600 Windmeadows Blvd Year Built # of Units Sold Price Price/Unit Date Sold 1977 141 $9,219,705 $65,388 Jan 2020 85 – Studios, 55 – Bedrooms, 1 – 2 Bedroom Full exterior renovation but no interior renovations 7 Silver Creek- 3009 SW Archer Road Year Built # of Units Sold Price Price/Unit Date Sold 1986 82 $8,000,000 $97,561 Mar 2019 1 – Studio, 24 – 1 Bedrooms, 37 – 2 Bedrooms, 20 – 3 Bedrooms Partial interior renovation but no exterior renovations 8 Summer Place – 3316 SW 41st Place Year Built # of Units Sold Price Price/Unit Date Sold 1977 69 $4,365,112 $63,262 Jan 2020 All 1 Bedrooms Exterior renovations but no interior renovations Sale Comparables 9 Hamlet Cove – 3010 SW 23rd Terrace Year Built # of Units Sold Price Price/Unit Date Sold 1979 131 $8,800,000 $67,176 Jun 2019 All 1 Bedrooms *Under contract for estimated $100k/unit Exterior renovations but no interior renovations 10 The Olser – 1903 SW 14th Terrace Year Built # of Units Sold Price Price/Unit Date Sold 1962 36 $3,150,000 $85,135 Jun 2020 24 – 1 Bedrooms, 24 – 2 Bedrooms Partial interior and exterior renovations Rent Comparables Wildflower Mount Vernon The Bartram The Commons 7 The Galen Country Village Williamsburg 8 Liv+ Silver Creek 3 6 9 2 4 5 Anthem House 1 10 Boardwalk Tivoli 11 Bivens Cove 12 13 Rent Comparables Lakeshore Towers Year # of Unit Size SF Rent/Unit Built Units 16 Studio 400 $875 Subject Property Subject 76 1 BR/1 BA 700 $1,025 1965 2 1 BR/2 BA 750 $1,050 22 2 BR/2 BA 1,000 $1,450 ~Market rents after renovations 1 Silver Creek – 3009 SW Archer Road Year # of Units Unit Size SF Rent/Unit Built 24 1 BR/1 BA 660 $1,007 1986 37 2 BR/2 BA 835 avg $1,309 ~Also has 20 – 3 BR/2 BA units 2 Country Village – 2700 SW Archer Road Year # of Units Unit Size SF Rent/Unit Built 45 1 BR/1 BA