DomusFINAL Version 07-19-2012 Email

8/12/2019 DomusFINAL Version 07-19-2012 Email

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DOMUS@3 RD S A N D I E G O , C AA N A L Y S I S

F E A S I B I L I T Y

GORDONR. CARRIERFAIA, NCARB


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DOMUS@3 RDA N A L Y S I S


I N T R O D U C T I O N

The Opportunity : 90 Urban Apartments

This prospectus describes an unique opportunity to become part of the investor

development team responsible for the creation of 90 urban sophisticated market rate

apartments located in the heart of downtown San Diego, one of the nations strongest

growing urban settings.

The Setting : Location

The projects immediate access to San Diegos beautiful waterfront, the citys primary

entertainment, theater, shopping, and restaurant districts, combined with its proximity

to the city government center, light rail, the freeway system, and international airport, all

serve to make it unique among investment properties and development opportunities. Asthey say, location, location, location!

Agency Requirements : Approvals

This site and project is governed by an already approved Planned District Ordinance

(PDO), complete with environmental approvals for immediate development. As a result

the project does not require discretionary approvals (ie: no noticed public hearings)

but rather a straight forward administrative review by the Center City Development

Corporation assuring the project is within the already approved parameters of the PDO.

Market Research : This Study

This market study is focused on describing relevant influencing characteristics affecting

the successful development of this site as market rate apartments located within the

El Cortez District of Downtown San Diego, California redevelopment area. Efforts were

made to understand the marketplace as to population trends, relevant population growth

projections, current apartment rental vacancy rates, market rent trends, as well as

existing and upcoming competitive project composition.


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S U M M A R Y T H I N K I N G + C O N C L U S I O N

The Development Opportunity:An Urban Market Rate Apartment Project

Data strongly suggests this property has great capacity for development as a market rate apartment

site, with limited, but PDO defined ground floor retail space supplementing as amenity offering to its

tenants (fitness, club room, caf etc.) and the pedestrian public.

Approved rights for development are as follows:

THE SITUATION

Site

+ Far 8 @ 25,000 sf of land = 200,000 gsf of building area allowed above grade.

Height limit varies from 85 at the north end of the site to 300at its south end.

Construction Strategy

+ Type 3 Construction under 85 solution (5 stories over 1 story of concrete parking/retail podium)

+ While this proposal does not fully utilize the sites approved FAR of 8, it gains the advantage of a

lesser construction cost on a per square foot basis.

+ Current apartment unit rents of $2.60-2.80/rsf and retail rents of $3.10/rsf support the

potential of a project yield of the following (see following page):

PROJECT INTENT ION

A STREET

ASH STREET

THIRDA

VE

FOURTHA

V

E

SITE

SITE

THIRDA

VE

A STREET

ASH STREET

BEECH STREET

FO

URTHAVE


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( C O N T . ) S U M M A R Y T H I N K I N G + C O N C L U S I O N

PROGRAMMED USES PHYSICAL COMPOSITION OF PROGRAMUSES

Apartment Units

90 units @ Market Size of 856 rsf/unit

Apartment Units

Retail/Commercial Space

Total Rentable Square Footage

90 Living Unitswithin this 100,000 available

gsf: However, given site dimensions and setback

requirements this actually translates to a maximum

floor plate size of 18,192 gsf (90,960 gsf over 5

floors).

Assuming 80% unit efficiency, this translates to

72,770 sf of rentable apartment space and with the

addition of 6th floor mezzanine space at 4,366 rsf, theresultant total rentable apartment space area equals

72,770 rsf.

6 suites at 1,333 rsf

Apartment Units = 72,770 rsf

Retail/Commercial = 8,000 rsf

The Mix

Studio (30) at 618 rsf = 18,550 rsf

1 Bedroom (35) at 750 rsf = 26,250 rsf

2 Bedroom (25) at 1,119 rsf = 27,975 rsf

6th level mezzanine space in the topfloor units = 4,366 rsf

Retail/Commercial Space

8,000 rsf retail ground floor (revenue generating) at

ground floor

Parking

Mezzanine : 14,209 sf

B-1 : 26,836 sf

B-2 : 26,836 sf


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INCOME ASSUMPTIONS

$2.70/rsf/month

Sub-Total @ 100% Occupancy = $208,148/month

5% Vacancy Assumption less $10,407/month

$3.25/rsf/month

Sub-Total @ 100% Occupancy = $26,000/month

5% Vacancy Assumption less $1,300/month

SUB-TOTALAPARTMENTUNITRENT= $197,741 / MONTH

SUB-TOTALUNITRENT= $24,700 / MONTH

Gross Effective Rent

$222,441/month or $2,669,292 annually

Operating Expenses

35% of Gross Effective Rent =

$77,854/month or $934,252 annually

Valuation @ 4% UPS at Stabilization

5.5% CAP and stabilization

($2,029,757) /.055 (5.5 % CAP) = $36,904,572

Cost Assumptions : Estimated Project Cost of Building

The estimated hard and soft costs of construction for thisproject are $25,750,000

Return on Investment (ROI)

Income over cost of $5,800,000 or 22% against build costs

Apartment Units

Retail/Commercial


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GRADELEVELPLAN FLOORS2 - 6



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FLOORB1 FLOORB2



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Residential Net Rentable Area

Units SF

Level 1 0 0

Level 2 18 14,544

Level 3 18 14,544

Level 4 18 14,544

Level 5 18 14,544Level 6 18 18,876

Subtotal 90 77,092

Unit Average 856

Retail Gross Area

Units SF

Retail 8,000

Subtotal 8,000

Circ. and Accessory Gross Area

Units SF

Lobby 4,440

Other 12,560

Subtotal 25,000

Building Total Gross 110,658

GROSSAREASUMMARY



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Studio A Studio B 1 BD A 1 BD B 2 BD A 2 BD B Total

Level 1 0 0 0 0 0 0 0

Level 2 5 1 6 1 4 1 18

Level 3 5 1 6 1 4 1 18

Level 4 5 1 6 1 4 1 18

Level 5 5 1 6 1 4 1 18

Level 6 w/ mezzanine 5 1 6 1 4 1 18

Totals 25 5 30 5 20 5 90

% of Totals 27.78% 5.56% 33.33% 5.56% 22.22% 5.56% 100%

Level 1 Level 2 Level 3 Level 4 Level 5 Level 6 Total Avg SFStudio 0 3,710 3,710 3,710 3,710 4,934 18,550 659

1 BD 0 5,250 5,250 5,250 5,250 6,983 26,250 799

2 BD 0 5,594 5,594 5,594 5,594 7,440 27,970 1,192

Total SF 0 14,554 14,554 14,554 14,554 19,357 77,092

UNITMIX

UNITTYPEAREA



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Parking Total Gross

SF

Level Mez 14,209

Level B1 26,836

Level B2 26,836

Total 67,881

Parking Count

Level Mez 19

Level B1 49

Level B2 53

Total 121

PARKING



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B A C K G R O U N D + S E T T I N G

This 25,000 sf property address (physical dimensions 100

x 250) is located at1301 Third Avenue in the downtown

PDOs El Cortez District of San Diego. It fronts on A street

to its immediate South (a one way street heading east), and

Third Avenue to its immediate West (a one way street heading

north). Each of these streets are two lane, one way streets,

with parallel metered parking along both sides and Right

Of Way (ROW) dimensions at 80ft. This property is within

the regulatory requirements as described in the El Cortez

Redevelopment Neighborhood of the PDO.

The property has an existing 30,000 gsf three story office

building with additional basement space (8,500 gsf).

The building sits on the southern most portion of the site

occupying 10,000 sf of the 25,500 sf site and is a Class C

steel frame building built in the mid 50s. It has 52 surface

parking spaces adjacent and directly north of the building

on the remaining 15,000 sf of land. The building currently

houses an architectural/interior design firm, structural

engineering firm and accountancy practice. The building is

leased on a master reside on the third floor. The building cash

flows approximately $270,000 annually to its owners based

upon this master lease. Assuming a 6.5% CAP rate, this value

is $4,154,000.

LOCATION W ITHINTHECITY OF SAN DIEGO:AREA CODE92101

EXISTING FACILITIES

SITE CORTEZ DISTRICT


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The property is part of what was the Center City

Development Corporations redevelopment district until

its abolishment by Gov. Jerry Brown as a State deficit cost

savings measure throughout California implemented March

2012. However, its development rights are still determined by

this prior approved Planned District Ordinance (PDO) setting

forth the detail of the development capacity of the site.

The site has a designation to build a Minimum of FAR 5.0

(125,000 gsf) with a Maximum by right development capacity

of FAR 8.0 (200,000 gsf) and the capacity to bonus the FAR

to 10.0 (250,000 gsf) with the inclusion of bonus incentive

elements in the project such as Urban Open Space,

Affordable Housing, Family Units, Green Roofs etc.

PLANNEDDISTRICTORDINANCEDEVELOPMENTRIGHTS

This calculation is based upon above grade build out and

does not include additional space which might be built below

grade (parking etc.). The site is covered by the PDOs master

EIR, provided the property is developed within its regulations.

The site has a height limit slope contour that requires a

project does not exceed 85 above mean sea level at its north

edge and 300 at its southernmost edge. On site parking

requirements for the site depend upon the ultimate use

defined for the property but are generally calculated at 1car

per unit of residential development

( C O N T . ) B A C K G R O U N D + S E T T I N G


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Adjacent site to the west is vacant (60,000 sf used for surface parking)

This parking may be rented by the hour or the month.

Adjacent buildings on the same 60,000 sf block this site is within:

Our site is located at the Southwest corner of the block

To Our Eastrecently renovated 10,000 sf building used as an office

hoteling site

To Our Northeast ..Church of Scientology Office building on

15,000 sf of land with a three story building on it. First floor is used

for parking under the building, resulting in a 30,000 gsf building.

To Our North North5,000sf single story historic office building

currently housing a small law practice

Existing 1960s City Government Office Complex two blocks from

the subject site with plans slated for redevelopment as a new City

Government Office District Complex.

SURROUNDINGPROPERTY INFLUENCES

Set directly adjacent to the most densely planned downtown core district this site

is in the immediate surround of many of the citys most desirable offerings.

SITE : V IEW OF TH E WEST SIDE ENTRY

ADJACENTBLDG, NORTH: LA WF IRM ADJACENT BLDG, NORTH: SCIENTOLOGY ADJACENTBLDG, EAST : HOTELINGOFF ICE FUTUREBLDG: CENTRALLIBRARY



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San Diego Trolley

Metropolitan Transit District Trolley System is accessed two blocks away and

provides easy transport via rail loop to all of the downtown (ie: restaurants,

convention center, waterfront, PetCo Park, Library etc), QualComm Football

Stadium home of the San Diego Chargers, Historic Old Town San Diego, Tijuana

Mexico, and San Diego State University including all of East County. Additional

lines are in the planning stage to extend this service to UCSD and the northern

regions of the city.

Freeway System

Access to I-5 (coastal north/south connector) and Highway 163/I-15 (inland

north/south connector) is five blocks from the site.

San Diego Lindberg Field

The San Diego Airport International Airport is a 7 minute drive by car from the

site.

Bus Access

Bus stop are available within three blocks of the site.

TRANSPORTATIONACCESS



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S A N D I E G O C O U N T Y - W I D E D E M O G R A P H I C SSource: County of San Diego HHSA, Community Statistics Unit: Year 2009

Total Population

Types of Households By Percentage (2009)

Observation:

1,923,939

Married Couples/Families50% (961,969)

Other Families16% (307,830)

People Living Alone26% (500,224)

Other Non-Family Households8% (153,915)

34% of the population is notmarried or considered a family,equaling 654,139 people.additionally some percentageof the married couple category

representing 961,969 persons arewithout children. Assume a 20%number conservatively this equals192,393 persons, or 96,196households.

Types of Housing Units (2009)

Single Unit Structures 61%

Multi-Unit Structures 35%

Mobile Homes 4%

Occupants with a Housing Cost Burden (2009)

(Percent paying 30% or more ofincome for housing)

Owners with Mortgage 53% Average $2,409/month

Owners without mortgage 15%...Average $442

Renters 56%...Average $1,198

Observation:

Metric for rent assessment equals56% of the population andrepresents an ability to pay onaverage $1,198/month

Educational Attainment by Percent for Persons

25 Years or Older (2009)

Graduate or Professional Degree13%

Bachelors Degree21%

Associates Degree8%

Some College, No Degree23%

High School Diploma or Equivalent20%

Less than High School Diploma15%

Observation:

This age group represents 41% ofthe population indicating highereconomic capacity per individual

Age Distribution (2009)

65 and over 11%...(211,633)

45-64 24%...(461,745)

Observation:

35% of population exceeds 45years of age (673,378)

Observation:

40% of the population is between18 and 24 years of age (769,575)

25-44 29%...(557,942)

18-2411%...(211,633)Under 1825%...(480,984)

While the property is located in the 92101 Zip code, the greater pool for this opportunity comes from the larger county demographic offered by the following data:


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S A N D I E G O A R E A Z I P C O D E 9 2 1 0 1

D E M O G R A P H I C S Y E A R 2 0 1 0Source: San Diego Association of Governments

Total Population Population by Age Group : Reference Year 2010

Average # of Persons/Household

Population By Age, And Predicted Growth To

The Year 2020:

Observation:

Observation:

50,117Predicted 2020:60,073 (+995 persons/year)

Median Age41.10Predicted Age Year 202037.9

1.67

18-19 1,842

Predicted Year 20201,938 (+.5%/year)

20-24 5,068Predicted Year 20206,060 (+1.96%/year)



+ 995 persons /year growth for thenext ten years (+2%/year). At 1.67persons per unit this equates to 596units need per year. This personper household calculation wouldindicate the need for a total 30,010units to meet the 2010 populationwith an existing housing pool of24,004 or a predicted net need of6,006 or average 600 units /year.Considering a contingency of 15%applied to this number,predicted net

need may be more conservativelylook like 511units /year.

From 2010 thru 2020 age 20-34 ispredicted to increase in populationby 3,085 persons.if currentknown occupancy demographicshold at 1.67 persons per householdthis equates to an additional needof 184 units per year for the years2012 thru 2020.

Total Existing Housing Units (as of 2010)

Existing Single Family

Existing Multi Family

Observation:

24,004

Predicted 2020:30,044 (+2.5%/year)

476 unitsPredicted 2020:375 (-30%)

23,526 unitsPredicted 2020:29,667 (+2.6%/year)

The population is leaning moretoward multi-family versus singlefamily home living, renderinggreater strength in the need for

multi-family provision in themarketplace. The #s appear toindicate a 648 unit/year short fallbased upon a persons/unit metric of1.67.

Mobile Homes

Multi-Family Unit Vacancy Rate

Observation:

2

4.32%(Source: Market Pointe RealtyAdvisors March 22,2012)

5% vacancy rate is considered anideal market condition..this wouldindicate a more than favorabledemographic for rental multi-familyhousing


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( C O N T . ) S A N D I E G O A R E A Z I P C O D E 9 2 1 0 1

D E M O G R A P H I C S Y E A R 2 0 1 0

(continued) ...Population By Age, And Predicted

Growth To The Year 2020:

Observation:

35-39 4,090Predicted Year 20204,435 (+.84%/year)

40-44 4,473Predicted Year 20203,841 (-1.41%/year)

45-49 4,400Predicted Year 20203,766 (-1.4%/year)


This age group represents adeclining population of -.27%/year,thus a less likely target market forfuture building activity



Observation:

75 + ..3,372Predicted Year 20204,090 (+2.1%/year)

Observation: This would seem adifferent category of clientele,requiring more extensive medicalservices given the advanced agedemographic represented. While agrowth sector, the advanced servicerequirement to serve this growth agegroup must also be considered. Thisage category represents a 2.1%/year growth market for the ten yearperiod in question (2010-2020)



Observation:



This group, including ages 55-74, is an increasing demographic,representing predicted growth of53% over 10 years or 5.3%/year.Using a most conservative caseof 1.67 persons per unit typical forthis advanced age group within the92101 demographic market, thisrepresents a potential need for 252units per year dedicated solely tothis age group. However, it is morelikely this age category would result

in a lower persons per unit ratiogiven the greater propensity forspousal death, and health issues.This result would create a demandexceeding 252 units per year butdesigned and exclusively dedicated

to seniors. However, to date seniorhousing solutions have beensubsidized events. Additionally, theevents of the State of Californiavia elimination of RedevelomentAgencies has taken several of thepotential subsidy funding sourcesaway. (20% Affordable Housingrequirement, Tax Credit Funding,Housing Commission Funding).If this property can find a wayto attract the elite income

categories of the senior populationor the private equity and debtnecessary to allow them to bebuilt, these subsidies may be lessimportant.


70-74 1,262Predicted Year 20202061 (+6.3%/year)


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Current 92101 Population by Gender and Marital Status

(cont)...Current 92101 Population by Gender and Marital

Status

Observation:

62.97% Male (20,939)

37.03% Female (11,990)

Never married45.31%

Married27.36%

This population factor by gender coulddefine certain design characteristics worthy ofoffering occupants for a development lookingforward, such as entertainment centers with

TV (ie: sports events etc), soft seating, cardroom, health facility with weight room, bocceball court, etc.

Household Income 92101 Year 2010

Observation:

Average Household Income

$58,007

Income between $35,000 and $200,000 +in zip code 92101 represents 35.62% of thepopulation

Assuming 30% of income capable ofbeing dedicated to housing cost currentmedian income = rental income capacity of$15,270/year or an average of $1,450/monthdisposable rental income.

Renter Occupied Units In The 92101 Zip Code

81.39% of all occupied units

Of The 4.32% Vacant Housing Units Available In

The 92101 Zip Code

59.38% are rental units

Observation:

This speaks to the strong rental demographicsof the subject project site environment.

( C O N T . ) S A N D I E G O A R E A Z I P C O D E 9 2 1 0 1

D E M O G R A P H I C S Y E A R 2 0 1 0


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U P C O M I N G M U L T I - F A M I L Y H O U S I N G S U P P L Y C H A I NSource: Urban Housing Partners


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Source Urban Housing Partners

( C O N T . ) U P C O M I N G M U L T I - F A M I L Y H O U S I N G S U P P L Y C H A I N


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Source Urban Housing Partners

( C O N T . ) U P C O M I N G M U L T I - F A M I L Y H O U S I N G S U P P L Y C H A I N


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( C O N T . ) U P C O M I N G M U L T I - F A M I L Y H O U S I N G S U P P L Y C H A I NSource Urban Housing Partners


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Merrill Gardens2537 2nd Ave

84 units

619-752-1099

contact: Jennifer

Westminister Manor1730 3rd Ave

155 units

619-233-7001

contact: Marasella

Luther Tower1455 2nd Ave

200 units

619-234-1272

contact: Jonathan

Sanford Hotel1301 5th Ave

130 units

619-235-7900

contact: David

Coronado Village299 Prospect

90 units

619-437-1777

contact: Liset

Lions Manor310 Market Street

125 units

619-235-4433

contact: Gloria

Horton House333 G Street

150 units

619-239-5171

contact: Bob (female)

Potiker Center525 14th Street

200 units

619-237-8004

contact: Leslie

Cathedral Arms3911 Park Blvd

unknown units

619-291-3883

possible bad number

Grace Tower3955 Park Blvd

unknown units

619-298-4632

possible bad number

Balboa Nursing/Rehab3520 4th Ave

170 units

619-291-5270

contact: Erika

Green Manor4041 Ibis Street

150 units

619-297-1601

contact: Gloria



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S A N D I E G O 9 2 1 0 1 Z I P C O D E H O U S I N G R E N T A L R A T E S + T R E N D S

Observation:

While this 2010 data supports a lesser rental rate, thecurrent offering rates for rental on a per square foot basisindicate a strong leasing market and or a greater amount ofexpendable income being spent for housing needs (ie: greaterthan 30% of typical earnings). The extent to which a projectcan be designed to maintain a lower per month rental metric(something closer to a $1,141rental rate ) the stronger thecapacity to minimize vacancy in a competitive marketplace

Median Rent

$1,141/month

Average Rent / Month

$1,387/month average

Range of Rents

$750-$999/month

2,841 units17.62%

$1,000- $1,249/month3,385 units20.99%

Median Household Income for 2011

$62,31430 % of income predicted as spendable for housing thisequals a median buyer capacity of $1,558/month

2010SANDIEGO92101 Z IPCODEHOUSING RENTALRATES

2011FOURTHQUARTERSA NDIEGO92101ZI PCODEHOUSINGRENTALRATETRENDS

$1,250-$1,499/month

2,000 units12.4%

$1,500-$1,999/month2,724 units16.69%


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DOMUS@3 RD S A N D I E G O , C A

F E A S I B I L I T Y A N A L Y S I S


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DOMUS@ 3RD

The following outlines the financial feasibility of the 90 Unit Domus @ 3rd project to be located in

downtown San Diego, California

Conclusion:

This project is conservatively pro-formad exclusive of the idea that market forces are trending higher

than projected in these assumptions, and if true, our assumptions will simply create an enhanced

financial outlook. We have not relied on trending rentsthese numbers are based upon our market

research and set at the reasonable range of expectation for this building type and marketplace.

Please enjoy as you view the results for :

Domus @ 3rd


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F O R R E N T - A P A R T M E N T S C E N A R I O

DOMUS@3 RD S A N D I E G O , C A


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DOMUS@3RD

A N A L Y S I S


FORRENT-APARTMENTASSUMPTIONS INCOME

Total Land Area = 25,000 gsf

Apartments - 90 units @ 808 rsf/unit average = 72,770 rsf6th Floor Mezzanine space at 4,366 rsf = 77,092 rsf

Unit Mix

Studio, 30 : 618 rsf

One Bedroom, 35 : 750 rsf

Two bedroom, 20 : 1,119 rsf

6th Floor Mezzanine Space : 4,366 rsf

Retail /Commercial

Ground Floor : 8,000 rsf

Apartment Rent@ $2.70/rsf @ 77,092 rsf (with mezzanine) =Potential Apartment Gross Income of $208,148 /month

Less Vacancy of 5% = $10,407 Total Apartment Project Gross Effective Income = $197,755/

monthRetail Rent

@ $3.25/rsf @ 8,000 rsf = Potential Retail Gross Income of$26,000/month

Less Vacancy of 5% = $1,300/month Total Retail Gross Effective Income of $24,700/monthTotal Project Total Apartment and Rental Gross Effective Income =

$222,415/month Annualized = $2,668,980/year

Less Operating Expenses @ 35% = $934,143/year

F O R R E N T - A P A R T M E N T

Net Operating Income (NOI) =$1,734,837/yearTotal Rentable Square Footage =85,092 rsf


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DOMUS@3RD

A N A L Y S I S


PROJECTVALUE@STABILIZATION PROJECTPROFITANALYSIS

@5.50% CAP = $36,882,000

@ 5.25% CAP = $38,639,000

@ 5% CAP = $40,578,000 (researched current assumption)

@ 4.75% CAP= $42,706,000

@ 5.50% CAP

Build Profit = $5,800,000 or 22% on Total Build Costs

@ 5.25% CAP

Build Profit = $7,298,000 or 28% on Total Build Costs

( C O N T . ) F O R R E N T - A P A R T M E N T

4%UPS


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DOMUS@3RD

A N A L Y S I S


Land

Hard Costs

Soft Costs @ 15% of Hard Cost of Construction/Contingency

Cost @ $200/sf @ 25,000sf = $5,000,000

Land Cost/Residential Unit = $56,000

Above Grade Costs:

Residential @ $106/gsf (Type 3 Construction) @ 88,679 gsf (87%) =$9,408,000

First Floor Garage/ @ $100/gsf @ 25,000 gsf = $2,500,000

Off Site Costs = $313,000

Below Grade Costs:

Garage @ $92.50/gsf @ 53,672 gsf = $4,964,660

Hard Costs Sub-Total = $17,185,000

5% contingency = $859,250

Architectural and Engineering

Permits and Impact fees

Title Closing

Professional Fees

Inspecting Engineer

FFE Set Up

Operating Deficit

Loan CostsDeveloper Fee

TI and Retail Leasing Commissions

Contingency

Soft Costs Sub-Total @ 15% of hard costs/contingency = $2,706,750

MARKETRATERESIDENTIALCONSTRUCTIONCOSTESTIMATEASSUMPTIONS

TOTALLAND/HARD/SOFTCOSTS*: $23,044,000 + 2,706,000 = $25,750,000


* Assume land sale @ $5,000,000


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DOMUS@3RD

A N A L Y S I S


CASHFLOWANALYSIS(000S)

carry/land

soft ttl $2,728,000

a/e 5%

dev cost 3.5%

other

offsite

totals

construction

income $2.70/sf4% ups

sale 5.5% cap

0

(35) (35) (35) (35) (5,000)

(636)

(125)

(25)

(205)

(125)

(100)

(69)

(125)

(100)

0

(125)

(100)

0

(136)

(825)

0 (188) (188) 0 0

0 (13,638) (4,547) 0 0

0 0 1,255 1,948 2,025

0

(821)

0

(14,291)

0

(3,809)

0

1,688

36,818

32,882

1 2 3 4

Discounted Cash Flow and IRR

24% @ 5.5% CAP



36/36

M A R K E T I N G +

DOMUS@3RD

A N A L Y S I S


Conclusion:

Domus @ 3rd provides potential investors an opportunity to be part of a spectacular real

estate play in the strong San Diego market.

Supported by growth demographics of the downtown area, as well as the competitive

financing rates of our current time, this 90 unit project is packaged neatly for success.

Its size, its simplicity, its location and its available right to build approvals make it

attractive to an investor who desires to minimize risks while participating in a deal which

creates good return. Domus @ 3rd is an attractive opportunity for any savvy investor, and we

welcome your interest.

Best Regards,

Gordon R Carrier FAIA

Managing MemberDomus@3rd LLC

Documents

DomusFINAL Version 07-19-2012 Email