121-125 Clement Street Proposal

121-125 Clement StreetSAN FRANCISCO, CALIFORNIA

O ering Memorandum

Table of Contents

INVESTMENT SUMMARY

FINANCIAL OVERVIEW

PROPERTY PHOTOS

P.3 - P.5

P.6 - P.7

P.8. - P.11

121-125 Clement StreetSAN FRANCISCO, CALIFORNIA

Nicholas BonnSenior Associate Marcus & Millichap

415.625.2107 [email protected] CA 01952724

121-125 CLEMENT STREET TABLE OF CONTENTS P.2

C o n f i d e n t i a l i t y a n d D i s c l a i m e r" e information contained in the following Marketing Brochure is proprietary and strictly con# dential. It is intended to be reviewed only by the party

receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus &

Millichap. " is Marketing Brochure has been prepared to provide summary, unveri# ed information to prospective purchasers, and to establish only

a preliminary level of interest in the subject property. " e information contained herein is not a substitute for a thorough due diligence investigation.

Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject

property, the future projected # nancial performance of the property, the size and square footage of the property and improvements, the presence or

absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements

thereon, or the # nancial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject

property. " e information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap

has not veri# ed, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these

matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers

must take appropriate measures to verify all of the information set forth herein.

NON-ENDORSEMENT NOTICEMarcus & Millichap is not a$ liated with, sponsored by, or endorsed by any commercial tenant or lessee identi# ed in this marketing package. " e presence of any corporation’s logo or name is not intended to indicate or imply a$ liation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its a$ liates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

Tour Dates

TUESDAY, 6/5

THURSDAY, 6/7

TUESDAY, 6/12

THURSDAY, 6/14

11:00am-12:30pm

4:00pm-5:00pm

11:30am-1:00pm

3:00pm-4:00pm

Offer DateFRIDAY, 6/15 by 5:00pm

Exclusively Listed by

InvestmentSummary

121-125 CLEMENT STREET INVESTMENT SUMMARY P.3

PROPERT Y INFORMATION

Property Location:

Address:

Cross Street:

Neighborhood:

Block & Lot #:

121-125 Clement Street

2nd Avenue

Inner Richmond

1434 - 043

Construction:

Year Built:

Structure:

Facade:

Foundation:

Roof:

1904

Wood-frame

Stucco

Concrete

Rolled on Composite,

Utilities:

Gas Service:

Electrical Service:

Heat Source:

Seperately Metered

Seperately Metered

Electric Baseboard Heaters

Residential: Commercial:

Property Size:

# of Units:

Building Size:

Lot Size:

Lot Dimensions:

3 Units

4,780 Square Feet

2,750 Square Feet

100’ X 25’ Feet

Walk Score:

Walk Score:

Transit Score :

Bike Score:

96 - Walker’s Paradise

79 - Excellent Transit

95 - Biker’s Paradise

Tenant:

Lease Expires:

One Master Tenant

12/31/2018

Tenant:

Lease Expires:

Color Me French

4/10/2021

Two (2) Three Year Options

Investment Summary


PROPERT Y LOCATION

FinancialOverview

121-125 CLEMENT STREET FINANCIAL OVERVIEW P.6

RENT ROLL

Unit No.

121

123

125

Unit Type

4 Bedroom Flat

3 Bedroom Flat

Retail Commercial

Monthly Total

Annual Total

Current Rent

$4,250.00

$3,000.00

$6,365.40

$13,615.40

$163,384.80

Market Rent

$5,200.00

$4,000.00

$6,500.00

$15,700.00

$188,400.00

NOTES

1. Units 121 & 123 are currently zoned as o$ ce but are being used as residential.

2. Units 121 & 123 are rented under one commercial lease which expires 12/31/2017.

3. Unit 125 commercial lease term is from 4/11/2016 - 4/10/2021. " e commercial tenant has two three year options to extend at a rate of (i) the greater of an additional 5% percent of the rent of when the original term expires or (ii) at the Fair Market Value (FMV) at the time of renewal.

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FinancialOverview

121-125 CLEMENT STREET FINANCIAL OVERVIEW P.7

FINANCIAL SUMMARYPrice

Price/SqFt

Price/Unit

Cap Rate

GRM

Pro Forma Cap Rate

Pro Forma GRM

$2,595,000

$543 (4,780 sq+ )

$865,000 (3 units)

4.36%

15.88

5.25%

13.77

ANNUAL INCOME

Gross Annual Income

Vacancy Factor (3%)

Adjusted Gross Income

Annual Expenes

Net Operating Income

$163,384.80

($4,901.54)

$158,483.26

($45,362)

$113,121.60

ANNUAL EXPENSES

Property Taxes (1.1723%)

Insurance

Utilities

Fire Protection Services

Business Registration Fee

Management (4%)

Annual Total

$30,421

$4,500

$3,000

$750

$156

$6,535

$45,362

Current Market

$30,421

$4,500

$3,000

$750

$156

$7,536

$46,363

Current

$188,400.00

($5,652.00)

$182,748.00

($46,363)

$136,385.00

Market

% of Exp

67%

10%

6.6%

1.7%

.35%

14%

100%

% of Exp

65%

10%

6.5%

1.6%

.33%

16%

100%

FINANCINGLoan Amount

Down PaymentLoan Type

Interest RateFixed Term

Amortization

$1,500,000$1,095,000Proposed New4.55%5 Years30 years

Net Operating IncomeLess Debt Service

Cash FlowPrincipal Reduction

Total ReturnTotal Return %

$113,121.60($91,378)

$21,743.60+ $23,984$45,727.60

4.17%

Current Market$136,385.00

($91,378)$45,007

+ $23,984$68,9916.30%

ANNUAL RETURN

NOTES1. Commercial tenant pays for 1/3 of property insurance.2. Commerial tenant responsible for all utilities costs and maintenance of unit.

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PROPERTY PHOTOS

121-125 CLEMENT STREET PROPERTY PHOTOS P.8

UNIT 121

PROPERTY PHOTOS


UNIT 123


PROPERTY PHOTOS

UNIT 125

Nicholas BonnSenior Associate Marcus & Millichap

415 625 2107 [email protected] CA 01952724

LISTED BY:

121-125 Clement Street Proposal

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