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Investment Contacts:
Joe HornsteinScott FetterT. Keith Hardy
1 660 G A Y L O R D S T R E E T DENVER , C O 80206
3772 Perry StDenver, CO 80212
INVESTMENT CONTACTS:
Joe Hornstein Principal 720.738.1944 [email protected]
Scott Fetter Principal 720.738.1945 [email protected]
PERRY 6 APARTMENTS
OFFERING MEMORANDUM
1660 GAYLORD STREETD E N V E R , C O L O R A D O 8 0 2 0 6
This confidential Offering Memorandum, has been prepared by Pinnacle Real Estate Advisors, LLC (“Pinnacle REA”) for use by a limited number of qualified parties. This Offering Memorandum has been provided to you at your request based upon your assurances that you are a knowledgeable and sophisticated investor in commercial real estate projects and developments. Pinnacle REA recommends you, as a potential buyer/investor, should perform your own independent examination and inspection of the property described herein as 1660 Gaylord Street located in Denver, CO (the “Property”) and of all of the information provided herein related to the Property. By accepting this Offering Memorandum, you acknowledge and agree that you shall rely solely upon your own examination and investigation of the Property and you shall not rely on any statements made in this Offering Memorandum or upon any other materials, statements or information provided by Pinnacle REA or its brokers.
Pinnacle REA makes no guarantee, warranty or representation about the completeness or accuracy of the information set forth in this Offering Memorandum. You are responsible to independently verify its accuracy and completeness. Pinnacle REA has prepared the information concerning the Property based upon assumptions relating to the general economy, its knowledge of other similar properties in the market, and on other market assumptions including factors beyond the control of the Pinnacle REA and the Owner of the Property. Pinnacle Real Estate Advisors make no representation or warranty as to either the accuracy or completeness of the information contained herein, and the information set forth in this Offering Memorandum in not intended to be a promise or representation as to the future performance of the Property. Although the information contained herein is believed to be accurate, Pinnacle REA and the Property Owner disclaim any responsibility or liability for any inaccuracies. Further, Pinnacle REA and the Property Owner disclaim any and all liability for any express or implied representations and warranties contained in, or for any omissions from, the Offering Memorandum and for any other written or oral communication transmitted or made available to you. Pinnacle REA shall make available to you, as a qualified prospective investor, additional information concerning the Property and an opportunity to inspect the Property upon written request.
This Offering Memorandum and the contents are intended to remain confidential except forsuch information which is in the public domain or is otherwise available to the public. By accpting this Offering Memorandum,
you agree that you will hold and treat Offering Memorandm in the strictest confidence, that you will not photocopy or duplicate it, or distribute it. You agree you will not disclose this Offering Memorandum or its contents to any other person or entity, except to outside advisors retained by you and from whom you have obtained an agreement of confidentiality, without the prior written authorization of Pinnacle REA. You agree that you will use the information in this Offering Memorandum for the sole purpose of evaluating your interest in the Property. If you determine you have no interest in the property, kindly return the Offering Memorandum to Pinnacle REA at your earliest convenience.
Investment Contacts:
© 2019 Pinnacle Real Estate Advisors, LLC. All information contained herein has been obtained from sources we believe to be reliable. However, we accept no responsibility for its accuracy and encourage verification of all information prior to making financial decisions.
SCOTT [email protected]
T. KEITH HARDYTransaction [email protected]
D I S C L A I M E R
� EXECUTIVE SUMMARY
� PROPERTY OVERVIEW
� LOCATION OVERVIEW
� FINANCIAL ANALYSIS
�COMPARABLE SALES
INVESTMENT CONTACTS:
Joe Hornstein Principal 720.738.1944 [email protected]
Scott Fetter Principal 720.738.1945 [email protected]
Keith Hardy Advisor 720.738.1949 [email protected]
David Barocas Advisor 720.738.1949 [email protected]
1720 S Bellaire St. Suite 701 Denver, CO 80222 720.738.1949 • aqyre.com
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY:The Perry 6 is a 6-unit apartment community located in the highly desirable West Highland submarket is Northwest Denver conveniently located between 38th & Tennyson and 32nd & Lowell shopping districts. All units are 2Br/1Ba units between 913-977sf. The previous owner converted the apartment building to six individual condominiums but elected to lease out the condominiums on rental basis thereafter. There is no homeowner’s association, but current owner does have condominium map that can be used to transition the apartments back to individual “for sale” condominiums in the future, if desired.
PROPERTY FEATURES:
• Laundry equipment and dishwashers in all units• New $40k roof installed two years ago• Tenants pay Gas/Electric (individually metered), Owner pays Water expense• 5 off-street parking spaces• Updated electrical service throughout, new panels in all units, hardwired smoke detectors• Newer windows, central air conditioning, gas/forced air furnaces• Kitchens have stainless steel appliances, gas ranges and granite countertops• Metal fabricated railings and handrails; stamped concrete patio and walkway
OFFERING SUMMARY:
Address: 3772 Perry St Denver, CO 80212
Unit Mix: 6 - 2 Bed / 1 Bath
Lot Size: 6,250 SF
Building Size: 5,748 SF
Year Built: 1954
Parking: 5 Off-Street Spaces
Zoning: U-SU-B
PROPERTY OVERVIEW
Perry 6 Apartments
PROPERTY DESCRIPTION
Total Units 6 - 2 Bd /1 Ba
Year Built 1954
Zoning U-SU-B
Building GSF 5,748
Land SF 6,250
Rentable SF 5,670
Roof Flat
Heat Hot Water Individual Furnace
Parking 5 Off-Street
Construction Brick/Frame
INVESTMENT SUMMARY
Price $1,689,000
Price/Unit $281,500
Price/SF $294
FINANCING
Loan Amount $1,266,750
Down Payment $422,250
Interest 4.00%*
Amortization 30 Years
PROPERTY OVERVIEW
*5 yr fixed term, First Bank or other lender
FLOOR PLANS
LOCATION OVERVIEW
LOCATION OVERVIEW
HIGHLAND NEIGHBORHOOD, DENVER
Victorian-era homes and buildings; lush gardens and parks; hip independently owned shops; art galleries; and restaurants, all make the Denver Highlands neighborhood a great destination for visitors.
There are three diverse districts to discover here: Highlands Square, Tennyson Street and Lower Highland (LoHi). Boutiques, wine shops and bookstores, as well as popular restaurants and bars radiate out from Highland Square on West 32nd Avenue and Lowell Boulevard. And, in the Tennyson Street Cultural District, you can spend an afternoon browsing antique prints, photographs and paintings from Colorado artists, plus find live music venues and great ethnic foods.
LoHi is characterized by a mix of old and ultra-modern architecture, some of the city’s most innovative restaurants and bars, and incredible views of the Highland Bridge and downtown Denver.
LOCATION OVERVIEW
Perry 6 Apartments
FINANCIAL ANALYSIS
FINANCIAL ANALYSIS // UNIT MIX
UNIT TYPENO. OF UNITS APPROX. SF
CURRENT RENT
MONTHLY INCOME
PROFORMA RENT
PROFORMA MONTHLY RENT
PROFORMA RENT/SF
2Bd/1Ba 3 913 $1,683 $5,050 $1,800 $5,400 $1.97
2Bd/1Ba 3 977 $1,733 $5,200 $1,800 $5,400 $1.84
TOTAL/AVG 6 5,670 $1,708 $10,250 $1,800 $10,800 $1.90
INCOME CURRENT PROFORMA
Gross Scheduled Rent $123,000 $129,600
Vacancy (3%) ($6,150) ($6,480)
Gross Rental Income $116,850 $123,120
Parking Income $1,200 $1,200
Misc Income $38 $38
EFFECTIVE GROSS INCOME $118,088 $124,358
FINANCIAL ANALYSIS // CURRENT AND YEAR ONE PROJECTIONS
EXPENSES CURRENT PROFORMA
Property Tax (2020 Actual) $7,347 $7,347
Property Insurance (2020 Actual) $3,858 $3,858
Utilities (2019 Actual) $2,042 $2,042
Repairs and Maint. ($750/unit/year) $4,500 $4,500
Landscaping/Snow (2019 Actual) $4,507 $4,507
TOTAL OPERATING EXPENSES $22,254 $22,254
OPERATING EXPENSES PER UNIT $3,709 3,709
FINANCIAL ANALYSIS CURRENT PROFORMA
Net Operating Income $95,834 $102,104
Projected Debt Service ($68,684) ($68,684)
Before Tax Cash Flow $27,150 $33,420
CAP Rate 5.67% 6.05%
Cash-on-Cash Return 6.43% 7.91%
TOTAL RETURN 12.14% 13.62%
PROPOSED FINANCING
Loan Amount $1,266,750
Down Payment $422,250
Interest Rate 3.55%*
Amortization 30 Years
INVESTMENT SUMMARY
List Price $1,689,000
Price/Unit $281,500
Price/SF $294
*5 yr fixed term, CBRE Small Balance Lending Program – June 2020
LOAN QUOTE
2945 Irving St Denver, CO 80211
Price $1,330,000
# Units 6
Building SF 4,794
Price/Unit $221,667
Price/SF $277
Cap Rate -
Sold Date 8/5/2019
PERRY 6 APARTMENTS3772 Perry St Denver, CO 80212
Price $1,689,000
# Units 6
Building SF 5,748
Price/Unit $281,500
Price/SF $294
Cap Rate 5.67%
COMPARABLE SALES
SUBJECT PROPERTY
3023 W 36TH AVE Denver, CO 80211
Price $985,000
# Units 4
Building SF 3,266
Price/Unit $252,500
Price/SF $302
Cap Rate 5.65%
Sold Date 3/13/2020
#1 3300 CLAY STDenver, CO 80211
Price $1,010,000
# Units 4
Building SF 2,512
Price/Unit $252,500
Price/SF $402
Cap Rate 4.08%
Sold Date 12/23/2019
#2 4431 OSCEOLA ST Denver, CO 80212
Price $1,125,000
# Units 3
Building SF 5,016
Price/Unit $375,000
Price/SF $224
Cap Rate 3.95%
Sold Date 12/11/2019
#3 #4
INVESTMENT CONTACTS:
Joe Hornstein Principal 720.738.1944 [email protected]
Scott Fetter Principal 720.738.1945 [email protected]
Keith Hardy Advisor 720.738.1949 [email protected]
David Barocas Advisor 720.738.1949 [email protected]
1720 S Bellaire St. Suite 701 Denver, CO 80222 720.738.1949 • aqyre.com
