701 NE Northlake Ave N | Seattle, WA 98105P 206-274-8000 | www.portagebayadvisors.com

The Aloha House2460 NE Northgate Way | Seattle, WA 98125

$2,675,000

Will Gibsono: 206-274-8108c: 206-491-4292will@portagebayadvisors.com

Portage Bay AdvisorsWorld Headquarters701 Northlake Ave NSeattle, WA 98105

The information included in this document has been obtained by sources we believe to be reliable. While we do not doubt itsaccuracy, we have not verified it and cannot make any guarantee, warranty or representation about it. It is your responsibility toindependently confirm its accuracy and completeness. Any projections, opinions, assumptions, or estimates used are for exampleonly and may not accurately represent the current or future performance of the property. The value of any proposed transactionto you depends on tax and other factors which should be evaluated by your tax, financial and legal advisors. You and youradvisors should conduct a careful, independent investigation of the property to determine to you satisfaction the suitability ofthe property for your needs.

Property Overview

Building Name The Aloha House

Address 2460 NE Northgate Way | Seattle, WA 98125

Total Units 10

Year Built 1962; renovated in 2018

Square Feet 5,800 net rentable / 6,320 gross square feet

Price $2,675,000

Price Per Unit $267,500

Price Per Foot Net $461.21 / Gross $423.26

Current GRM/CAP 14.92 / 4.76%

Expense Per Unit $4,302

Terms All cash to seller

Lot Size 8,000 sf

Zoning NC3-30

Portage Bay Advisors is pleased to exclusively offer for sale The Aloha House, a 10 unit multifamily on NE Northgate Way in the Victory Heights neighborhood of Seattle, Washington.

The Aloha House is a two story, 10 unit building that was in 1962, but has just been totally renovated down to the studs and massively updated both inside and out. Upgrades include new double-pane vinyl windows; new plumbing throughout; updated common areas; a brand new 30 year TPO roof (with warranty); updated envelope & common areas; & all new unit interiors have been massively renovated to feature high end finishes including custom acrylic cabinets & quartz countertops in the kitchens and bathrooms; cork floors in the upper units & polished concrete floors in the lower units; & new stainless steel Blomberg appliances throughout. There are common coin-operated laundry facilities located on-site, along with 10 tenant storage lockers in the laundry room available for rent by tenants.

The building offers a good mix of units: five large ground floor studios; four 1bd/1ba units, each with individual balconies; & one 2bd/1ba unit with a study, and has 8 off-street parking spots.

The Aloha House offers investors an opportunity to acquire a newly renovated, turn key property ideally located to benefit from the Northgate Light Rail Station scheduled to open in 2021 as part of a massive redevelopment of the Northgate Mall property.

offering summary _____________

Turn-key asset at a desirable Northgate location

Building recently totally renovated from the studs

All new plumbing & electrical distribution throughout

Brand new TPO roof (with warranty)

All new energy efficient double-paned vinyl windows

Custom acrylic cabinetry & quartz countertops in kitchens & bathrooms

Polished concrete or cork floors throughout

All brand new Blomberg appliances

Some units have private balconies

8 off-street parking spaces

Coin-operated laundry facilities on-site

High Visibility location

The Aloha House offers investors an opportunity to acquire a newly renovated, turn key property ideally located to benefit from the Northgate Light Rail Station scheduled to open in 2021 as part of a massive redevelopment of the Northgate Mall and surrounding area.

The Aloha House is located in close proximity to (just to the east of) Northgate, which is planned to undergo a massive 33 acre redevelopment that will add nearly 600,000 square feet of new retail, over 750,000 square feet of new office space, two new hotels, over 1,200 new apartment units, and a hockey arena slated to be the home of Seattle’s NHL Hockey Expansion team in a new mixed-use project that will be developed in four phases which will incorporate a network of pedestrian friendly open spaces surrounding a Central Park Plaza.

investment overview____________

Subject Property Profile

OFFERING SUMMARY

Monthly Income

Unit Unit Type Square Footage Current Rent Current Rent/SF

1 Studio 450sf $1,195 $2.66/sf

2 Studio 450sf $1,195 $2.66sf

3 Studio 450sf $1,195 $2.66/sf

4 Studio 450sf $1,195 $2.66/sf

5 Studio 450sf $1,275 $2.83/sf

6 1bd/1ba 700sf $1,475 $2.11/sf

7 1bd/1ba 650sf $1,325 $2.04/sf

8 1bd/1ba 675sf $1,395 $2.07/sf

9 1bd/1ba 675sf $1,395 $2.07/sf

10 2bd/1ba 850sf $1,795 $2.11/sf

Totals $13,440

580sf avg $1,344avg $2.32/sf avg

rent roll______________________

Subject Property Profile

#

Rent Income

Units Type Approximate Size Current Rent Rent per sf Monthly Income

5 Studio 450sf $1,195-$1,275 $2.66-$2.83/sf $6,055

4 1bd/1ba 675sf $1,325-$1,395 $1.96-$1.99/sf $4,115

1 2bd/1ba 850sf $1,795 $2.11/sf $1,795

10 580 sf avg. $2.32/sf avg $13,440

Annualized Operating Expenses Current

Real Estate Taxes (2019 actual) $10,555

Insurance (pf $350 per unit) $3,500

Utilities (pf $850 per unit) $8,500

Maintenance & Repairs (pf $900 per unit) $9,000

On-site Management (pf 5%) $8,964

Reserves (pf $250 per unit) $2,500

Total Expenses $43,019

Annualized Operating Data Current

Gross Scheduled Income $179,280

Vacancy (4%) ($8,964)

Gross Operating Income $170,316

Less Expenses ($43,019)

Net Operating Income $127,297

Annual Debt Service ($97,233)

Cash Flow Before Tax $30,064

Principal Reduction $29,100

Total Return Before Tax $59,164

Total Monthly Income Current

Rent Income $13,440

Utility Income $700

Parking Income $450

Laundry Income $200

Pet/ Other Income $150

Total Income $14,940

Building Overview

Price $2,675,000 Units 10

Price Per Unit $267,500 Year Built 1962

Price/Net SF $461.21 Net Rentable SF 5,800

Price/Gross SF $423.26 Gross SF 6,320

Current GRM 14.92 Down Payment $1,000,000

Current CAP 4.76% Loan Amount $1,675,000

Interest Rate 4.1%

Amortization 30 Years

Current Operations

Expenses per Unit $4,302

Expenses per Foot $7.42

Percentage of Gross 24.00%

operating summary____________

OFFE2207RING SUMMARY

Year Built UnitsPrice

Per UnitPrice

Per SFGRM CAP Selling Price Sale Date

Subject Property2460 NE Northgate WaySeattle, WA 98125

The Aloha House

1962 10 $267,500 $461.21 14.92 4.76% $2,675,000

Sales Comparable 13116 NW 85th StreetSeattle, WA 98117

Golden Gardens Apartments

1962 11 $209,909 $438.96 13.65 4.87% $3,200,000 12/10/2018

Sales Comparable 29030 Greenwood Avenue NSeattle, WA 98103

Greenwood Inn

1971 23 $209,348 $470.44 12.47 5.15% $4,815,000 5/21/2018

Sales Comparable 3730 N 85th StreetSeattle, WA 98103

Terra

1971 17 $344,118 $392.22 13.3 5.09% $5,850,000 6/15/2018

Sales Comparable 3Sales Comparable 2Subject Property Sales Comparable 1

sales comparables ___________

Subject Property Profile

building photography____________

Subject Property Profile

OFFERING SUMMARY

building photography____________

Subject Property Profile

building photography____________

for more informationplease contact

Will Gibsono: 206-274-8000d: 206-274-8108c: 206-491-4292will@portagebayadvisors.com

World Headquarters701 NE Northlake Ave N

Seattle, WA 98105www.portagebayadvisors.com