KW COMMERCIAL

1435 Anacapa Street

Santa Barbara, CA 93101PHIL JORDANMulti-Family Specialist0: 805.453.8353phil@jordanapartmentguys.comCA DRE #00966411

2105 Park Way

OFFERING MEMORANDUM

PRESENTED BY:

BAKERSFIELD, CA

OFFERING MEMORANDUM

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 2

KW COMMERCIAL

1435 Anacapa Street

Santa Barbara, CA 93101

Confidentiality & Disclaimer

PHIL JORDANMulti-Family Specialist0: 805.453.8353phil@jordanapartmentguys.comCA DRE# #00966411

All materials and information received or derived from KW Commercial its directors, officers, agents, advisors, affiliates and/or any third party sourcesare provided without representation or warranty as to completeness , veracity, or accuracy, condition of the property, compliance or lack of compliancewith applicable governmental requirements, developability or suitability, financial performance of the property, projected financial performance of theproperty for any party’s intended use or any and all other matters.

Neither KW Commercial its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy orcompleteness of the materials or information provided, derived, or received. Materials and information from any source, whether written or verbal, thatmay be furnished for review are not a substitute for a party’s active conduct of its own due diligence to determine these and other matters ofsignificance to such party. KW Commercial will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed inwriting.

EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE.

Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections andinvestigations including through appropriate third party independent professionals selected by such party. All financial data should be verified by theparty including by obtaining and reading applicable documents and reports and consulting appropriate independent professionals. KW Commercialmakes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. KW Commercialdoes not serve as a financial advisor to any party regarding any proposed transaction.

All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data orperformance. Any estimates of market rents and/or projected rents that may be provided to a party do not necessarily mean that rents can beestablished at or increased to that level. Parties must evaluate any applicable contractual and governmental limitations as well as marketconditions,vacancy factors and other issues in order to determine rents from or for the property. Legal questions should be discussed by the party withan attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by theparty with a title officer or attorney. Questions regarding the condition of the property and whether the property complies with applicable governmentalrequirements should be discussed by the party with appropriate engineers, architects, contractors, other consultants and governmental agencies. Allproperties and services are marketed by Santa Barbara in compliance with all applicable fair housing and equal opportunity laws.

We obtained the information above from sources we believe to be reliable. However, we have not verified its accuracy and make no guarantee, warranty or representation about it. Itis submitted subject to the possibility of errors, omissions, change of price, rental or other conditions, prior sale, lease or financing, or withdrawal without notice. We includeprojections, opinions, assumptions or estimates for example only, and they may not represent current or future performance of the property. You and your tax and legal advisorsshould conduct your own investigation of the property and transaction.

OFFERING MEMORANDUM

PRESENTED BY:

BAKERSFIELD, CA

PROPERTY INFORMATION

1 | PROPERTY INFORMATION

EXECUTIVE SUMMARY

PROPERTY DESCRIPTION

PROPERTY DETAILS

ADDITIONAL PHOTOS

1PROPERTY INFORMATION2105 PARK WAY

OFFERING MEMORANDUM

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 4

OFFERING SUMMARY

SALE PRICE: $385,000

NUMBER OF UNITS: 4

CAP RATE: 5.98%

NOI: $23,024

LOT SIZE: 6,969 SF

YEAR BUILT: 1919

BUILDING SIZE: 3,664 SF

ZONING: R3

MARKET: Central Bakersfield

SUBMARKET: Oleander Area

PRICE / SF: $105.08

PROPERTY OVERVIEWThe Crown Jewel Fourplex of the Oleander Area, with classic Craftsmanarchitectural features, is now available for sale. First time on the market in 32years. Unit #1 is a 2bed/1bath with beautiful hardwood floors, renting for $840.The other three are 1bed/1bath units renting in the $700 range. These spaciousapartments all have a built-in hutch with glass doors in the dining room. Kitchenand bathroom floors are all ceramic tile. Interior condition and upkeep of the unitsis impeccable. The original architectural style and flavor has been preserved withhigh standards by the owners. Electrical includes modern circuit breakers for allunits. Tenants have their own gas and electric meters and washer/dryer hookups.There is virtually no vacancy factor: owners have almost always had eager,qualified tenants ready to move in before any move-out! There truly is significantupside potential in the rents. Don't miss this opportunity to own a slice of history inthe heart of Bakersfield just one mile from downtown. Property is being offered in"As-is" condition. Please do not walk on property without an appointment.

PROPERTY HIGHLIGHTS• - Auto sprinklers for the yards

• -All units have balconies or covered porches.

• -Parking on the side or in the rear

• -Regular pest control service AND complete termite fumigation (tented) in 2006

Executive Summary

2105 PARK WAY 1 | PROPERTY INFORMATION

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 5

PROPERTY OVERVIEW

The Crown Jewel Fourplex of the Oleander Area, with classicCraftsman architectural features, is now available for sale. Firsttime on the market in 32 years. Unit #1 is a 2bed/1bath withbeautiful hardwood floors, renting for $840. The other three are1bed/1bath units renting in the $700 range. These spaciousapartments all have a built-in hutch with glass doors in the diningroom. Kitchen and bathroom floors are all ceramic tile. Interiorcondition and upkeep of the units is impeccable. The originalarchitectural style and flavor has been preserved with highstandards by the owners. Electrical includes modern circuitbreakers for all units. Tenants have their own gas and electricmeters and washer/dryer hookups. There is virtually no vacancyfactor: owners have almost always had eager, qualified tenantsready to move in before any move-out! There truly is significantupside potential in the rents. Don't miss this opportunity to own aslice of history in the heart of Bakersfield just one mile fromdowntown. Property is being offered in "As-is" condition. Pleasedo not walk on property without an appointment.

LOCATION OVERVIEW

2105 Park Way is in the Oleander Area which is a high demandarea of homes and apartments that display historic architecturalstyles.

Property Description

2105 PARK WAY 1 | PROPERTY INFORMATION

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 6

SALE PRICE $385,000

LOCATION INFORMATION

Building Name 2105 Park Way

Street Address 2105 Park Way

City, State, Zip Bakersfield, CA 93304

County/Township Kern

Market Central Bakersfield

Submarket Oleander Area

Cross Streets California Ave and Oleander

BUILDING INFORMATION

Building Size 3,664 SF

NOI $23,024

Cap Rate 5.98%

Price / SF $105.08

Year Built 1919

Occupancy % 100%

Tenancy Multiple

Load Factor Yes

PROPERTY DETAILS

Property Type Multifamily

Property Subtype Low-Rise/Garden

Zoning R3

Lot Size 6,969 SF

APN# 007-072-07-00-5

Submarket Oleander Area

Property Details

2105 PARK WAY 1 | PROPERTY INFORMATION

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 7

Additional Photos

2105 PARK WAY 1 | PROPERTY INFORMATION

LOCATION INFORMATION

2 | LOCATION INFORMATION

REGIONAL MAP

LOCATION MAPS

AERIAL MAP

2LOCATION INFORMATION2105 PARK WAY

OFFERING MEMORANDUM

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 9

2105 Park Way

Regional Map

2105 PARK WAY 2 | LOCATION INFORMATION

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 10

Location Maps

2105 PARK WAY 2 | LOCATION INFORMATION

Each Office Independently Owned and Operated kwcommercial.com/commercial/McCommercial.action?orgId=5692 11

2105 Park Way

Aerial Map

2105 PARK WAY 2 | LOCATION INFORMATION

FINANCIAL ANALYSIS

3 | FINANCIAL ANALYSIS

FINANCIAL SUMMARY

INCOME & EXPENSES

RENT ROLL

3FINANCIAL ANALYSIS2105 PARK WAY

OFFERING MEMORANDUM

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INVESTMENT OVERVIEW CURRENT SCHEDULED INCOME & EXPENSES PROJECTED SCHEDULED INCOME &EXPENSES

Price $385,000 $385,000

Price per Unit $96,250 $96,250

GRM 11.1 10.2

CAP Rate 6.0% 5.1%

Cash-on-Cash Return (yr 1) 4.9 % 2.08 %

Total Return (yr 1) $9,639 $6,373

Debt Coverage Ratio 1.33 1.14

OPERATING DATA CURRENT SCHEDULED INCOME & EXPENSES PROJECTED SCHEDULED INCOME &EXPENSES

Gross Scheduled Income $34,680 $37,800

Other Income - -

Total Scheduled Income $34,680 $37,800

Vacancy Cost $1,387 $1,512

Gross Income $33,292 $36,288

Operating Expenses $10,268 $16,529

Net Operating Income $23,024 $19,758

Pre-Tax Cash Flow $5,663 $2,397

FINANCING DATA CURRENT SCHEDULED INCOME & EXPENSES PROJECTED SCHEDULED INCOME &EXPENSES

Down Payment $115,500 $115,500

Loan Amount $269,500 $269,500

Debt Service $17,361 $17,361

Debt Service Monthly $1,446 $1,446

Principal Reduction (yr 1) $3,976 $3,976

Financial Summary

2105 PARK WAY 3 | FINANCIAL ANALYSIS

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UNIT

NUMBER

UNIT

BED

UNIT

BATH

UNIT

SIZE (SF)

CURRENT

RENT

CURRENT

RENT (PER SF)

MARKET

RENT

MARKET

RENT/SF

1 2 1 1,066 $840 $0.79 $900 $0.84

2 1 1 866 $700 $0.81 $750 $0.87

3 1 1 866 $650 $0.75 $750 $0.87

4 1 1 866 $700 $0.81 $750 $0.87

Totals/Averages 3,664 $2,890 $0.79 $3,150 $0.86

INCOME SUMMARY CURRENT SCHEDULED INCOME & EXPENSES PROJECTED SCHEDULED INCOME & EXPENSES

Unit 1 $10,080 $10,800Unit 2 $8,400 $9,000Unit 3 $7,800 $9,000Unit 4 $8,400 $9,000

Gross Income $34,680 $37,800

EXPENSE SUMMARY CURRENT SCHEDULED INCOME & EXPENSES PROJECTED SCHEDULED INCOME & EXPENSES

Property Taxes $2,735 $6,346Insurance $1,400 $1,400Gardening ($100 per month) $1,200 $1,200Property Management $0 -Pest Control ($58 every other month) $348 $348Repairs and Maintenance (estimated 8% of rents) $2,775 $2,775Garbage Binster $250 $250Sewer (included in taxes) $0 $0Electric (tenant paid) $0 $0Gas (tenant paid) $0 $0Water ($130 per month) $1,560 $1,560Property Management ($200 per month) - $2,400

Gross Expenses $10,268 $16,529

Net Operating Income $23,024 $19,758

Income & Expenses

2105 PARK WAY 3 | FINANCIAL ANALYSIS

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UNIT

NUMBER

UNIT

BED

UNIT

BATH

UNIT

SIZE (SF)

CURRENT

RENT

CURRENT

RENT (PER SF)

MARKET

RENT

MARKET

RENT/SF

1 2 1 1,066 $840 $0.79 $900 $0.84

2 1 1 866 $700 $0.81 $750 $0.87

3 1 1 866 $650 $0.75 $750 $0.87

4 1 1 866 $700 $0.81 $750 $0.87

Totals/Averages 3,664 $2,890 $0.79 $3,150 $0.86

Rent Roll

2105 PARK WAY 3 | FINANCIAL ANALYSIS