EXCLUSIVE MULTIFAMILY OFFERINGEXCLUSIVE OFFICE OFFERING
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EXCLUSIVE MULTIFAMILY OFFERING EXCLUSIVE OFFICE OFFERING OFFERING SUMMARY Price $7,200,000 Down Payment 25% / $1,800,000 Loan Amount $5,400,000 Loan Type Proposed New Interest Rate / Amortization 5.75% / 25 Years Rentable SF 92,185 Year Built 1982 Lot Size 4.80 acre(s) Price/SF $78.10 Park Plaza Business Park 11104 W AIRPORT BLVD STAFFORD, TX 77477 • Occupancy has increased from 31% to 67.90%, an increase of 119%, since Ownership took over leasing three years ago (September 2015). Averaging +/-11,400/RSF/Year • Room to Increase Occupancy; Currently 67.90% occupied as compared to a submarket average of 87% • Upside in rents; 11104 West Airport Boulevard’s average rent of $17.46/RSF/YR as compared to a submarket average of $21/RSF/YR = 20% below submarket comparables • Stable tenant base with an average of only 13% of current leases expiring annually over the next five years • Located in Fort Bend County, the fastest growing large county in the U.S. from 2013-2016 and the No. 4 county in the U.S. and No. 2 in Texas for incoming investment (Smart Asset, 2017) • Business-friendly municipality and reduced operating costs due to significantly lower ad valorem taxes than adjacent Harris County INVESTMENT HIGHLIGHTS PROPERTY INVESTMENT SUMMARY CURRENT PRO FORMA CAP Rate 7.40% 13.33% Net Operating Income $532,796 $959,485 Net Cash Flow After Debt Service $102,089 $528,778 Total Return 11.21% / $201,851 35.25% / $634,431 This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc.© 2018 Marcus & Millichap. All rights reserved. (Activity ID: Z0040250 Property ID: 1791517) Texas Real Estate Commission Consumer Protection Notice: https://www.trec.texas.gov/sites/default/files/pdf-forms/CN%201-2.pdf Texas Real Estate Commission Information About Brokerage Services: https://www.trec.texas.gov/sites/default/files/pdf-forms/IABS%201-0.pdf
Transcript of EXCLUSIVE MULTIFAMILY OFFERINGEXCLUSIVE OFFICE OFFERING
EXCLUSIVE MULTIFAMILY OFFERINGEXCLUSIVE OFFICE OFFERING
OFFERING SUMMARYPrice $7,200,000Down Payment 25% / $1,800,000Loan Amount $5,400,000
Loan Type Proposed NewInterest Rate / Amortization 5.75% / 25 Years
Rentable SF 92,185Year Built 1982Lot Size 4.80 acre(s)Price/SF $78.10
Park Plaza Business Park 11104 W AIRPORT BLVD STAFFORD, TX 77477
• Occupancy has increased from 31% to 67.90%, an increase of 119%, since Ownership tookover leasing three years ago (September 2015). Averaging +/-11,400/RSF/Year• Room to Increase Occupancy; Currently 67.90% occupied as compared to a submarketaverage of 87%• Upside in rents; 11104 West Airport Boulevard’s average rent of $17.46/RSF/YR ascompared to a submarket average of $21/RSF/YR = 20% below submarket comparables• Stable tenant base with an average of only 13% of current leases expiring annually over thenext five years• Located in Fort Bend County, the fastest growing large county in the U.S. from 2013-2016and the No. 4 county in the U.S. and No. 2 in Texas for incoming investment (Smart Asset,2017)• Business-friendly municipality and reduced operating costs due to significantly lower advalorem taxes than adjacent Harris County
INVESTMENT HIGHLIGHTS
PROPERTY INVESTMENT SUMMARYCURRENT PRO FORMA
CAP Rate 7.40% 13.33%Net Operating Income $532,796 $959,485Net Cash Flow After Debt Service $102,089 $528,778Total Return 11.21% / $201,851 35.25% / $634,431
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc.© 2018 Marcus & Millichap. All rights reserved. (Activity ID: Z0040250 Property ID: 1791517)
Texas Real Estate Commission Consumer Protection Notice: https://www.trec.texas.gov/sites/default/files/pdf-forms/CN%201-2.pdfTexas Real Estate Commission Information About Brokerage Services: https://www.trec.texas.gov/sites/default/files/pdf-forms/IABS%201-0.pdf
EXCLUSIVE MULTIFAMILY OFFERINGEXCLUSIVE OFFICE OFFERING
101 West Elm Street, Suite 600, Conshocken, PA 19428 | Tel (215) 531-7000 Fax: (215) 531-7010
EXPENSESCAM $412,869 $4.48 $412,869 $4.48Real Estate Taxes $136,803 $1.48 $136,803 $1.48Insurance $23,013 $0.25 $23,013 $0.25Management Fee $31,972 $0.35 $42,000 $0.46Total Expenses $604,657 $6.56 $614,685 $6.67
NET OPERATING INCOME
Net Operating Income $532,796 $5.78 $959,485 $10.41
REVENUE
CURRENT $/SF PRO FORMA $/SF
Scheduled Base Rent $1,611,503 $17.48 $1,611,503 $17.48Expense Reimbursement Income $36,265 $0.39 $36,265 $0.39Miscellaneous Income $6,977 $6,977Potential Gross Revenue $1,654,745 $17.95 $1,654,745 $17.95General Vacancy ($517,292) ($5.61) ($80,575) ($0.87)Effective Gross Income $1,137,453 $12.34 $1,574,170 $17.08
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc.© 2018 Marcus & Millichap. All rights reserved. (Activity ID: Z0040250 Property ID: 1791517)
This outstanding property with its strategic location allows for an investor to place their capital into a growing sub-market with a major new mixed-use development underway named The Grid by Street Level Investments. The Grid is a major redevelopment and re-adaptive use of the former Texas Instruments Campus which is located across the street from the subject property. “The 192-acre site is currently being developed into 350,000 square feet of destination retail, restaurants, office space, as well as 350 plus multifamily units.” The Grid is expected to create a significant economic boom for both the city of Stafford and the surrounding communities of Sugar Land, Missouri City and Southwest Houston. All in all, the total projected cost of the multi-phase project is expected to be approximately $500 million..
Park Plaza Business Park 11104 W AIRPORT BLVD STAFFORD, TX 77477
