havana palms ii - spear capital group...apartments average price per square foot avg. $168,407 $0...

Post on 19-Sep-2020

7 Views

Category:

Documents

0 Downloads

Preview:

Click to see full reader

TRANSCRIPT

HAVANA PALMS II

931 SW 3RD STREET | MIAMI, FL 33130 | OFFERING MEMORANDUM

CONTACTS

ARTHUR POROSOFF Senior Vice President Investments 786.522.7058 arthur.porosoff@marcusmillichap.com

DAVID COHEN Senior Associate 786.522.7075 david.cohen@marcusmillichap.com

FERNANDO POLANCO Senior Associate 305.879.9916 fernando.polanco@marcusmillichap.com

JAVIER UBEDA Associate 786.522.7039 javier.ubeda@marcusmillichap.com

RYAN SHAW First Vice President Investments 786.522.7087 ryan.shaw@marcusmillichap.com

5201 BLUE LAGOON DRIVE #100

MIAMI, FL 33126

WWW.POROSOFF.COM

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party re-

ceiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap.

This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level

of interest in the subject property. The information contained herein is not a substitute for a thorough due

diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or ex-

penses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements,

the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects

of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure

has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained

herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regard-ing the accuracy or completeness of the information provided. All potential

buyers must take appropriate measures to verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate

Investment Services, Inc.© 2018 Marcus & Millichap. All rights reserved.

NON-ENDORSEMENT NOTICEMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any

commercial tenant or lessee identified in thismarketing package. The presence of any corporation’s logo or name is not

intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is

solely included for the purpose of providing tenant lesseeinformation about this listing to prospective customers.

CONFIDENTIALITY & CONDITIONS

2 HAVANA PALMS II

HAVANA PALMS II 3

TABLE OF CONTENTS

4 PROPERTY OVERVIEW

14 FINANCIAL ANALYSIS

26 SALE COMPARABLES

32 RENT COMPARABLES

PROPERTY OVERVIEW

Marcus & Millichap has been selected to exclusively market for sale the Havana Palms II Portfolio located at 931 SW 3rd Street and 910 SW 2nd Street in Miami, Florida. This is a rare investment opportunity with economies of scale in Miami’s booming Little Havana area, just west of downtown Miami and the Brickell area. The portfolio consists of 10 two-story buildings sitting on a 94,134-square-foot lot and has a combined rentable square footage of 51,774 square feet. The buildings consist of three studio/one-bathroom apartments, 48 one-bedroom/one-bathroom apartments and 28 two-bedroom/one-bathroom apartments, totaling 79 units. The average unit size is 651 square feet. As prices continue to rise in downtown Miami and the surrounding Brickell area, investors have seized on the opportunity to revitalize and redevelop Little Havana, pushing rents up while maintaining a high level of demand due to limited affordable rental inventory. This has resulted in nearly 100 percent occupancy in the market, with demand higher than ever. Little Havana offers a stable single-family, middle income, residential neighborhood and an overall residential mix that includes a diverse blend of low- and high-rise multifamily apartment buildings, duplexes and single-family homes. The centrally located business district is comprised of offices, restaurants, entertainment and diverse shopping opportunities. The portion of 8th street that runs west of 17th Avenue, Calle Ocho, as it has become known to the world, is the social and commercial Main Street of Little Havana. This cultural melting pot of Miami is undergoing a transformation with a growing arts scene, new nightclubs, restaurants, bars and retail offerings, in addition to existing landmarks such as the world famous Versailles Restaurant and Domino Park. Many of the businesses along Calle Ocho have undergone renovations that have resulted in a thriving nightlife scene. The plan for downtown is to create jobs through seven different industries. Those seven industries include financial services (international banking and venture capital), international trade, motion picture/media production, urban tourism, biomedical, and IT/telecommunications. The projection is that by 2030, 31,000 new residents will reside in the CBD. This population growth will focus on the seven core industries. In addition to urban growth, the city of Miami is exploring ways to make the main corridor on 8th Street more accessible and street friendly by slowing down the flow of traffic and up-zoning the area to foster more development. This investment opportunity should be on the radar of every investor who is looking for a value-add opportunity in a submarket with rare economies of scale in an area seeing explosive growth as Miami expands.

• Rare multifamily investment opportunity in Miami’s booming Little Havana area

• 10 two-story buildings on a 94,134-square-foot lot

• Combined rentable square footage of 51,774 square feet

• Value-add opportunity in a submarket with rare economies of scale in an area

INVESTMENT OVERVIEW

INVESTMENT HIGHLIGHT

6 HAVANA PALMS II

HAVANA PALMS II 7

8 HAVANA PALMS II

HAVANA PALMS II 9

10 HAVANA PALMS II

HAVANA PALMS II 11

12 HAVANA PALMS II

PROPERTY SUMMARY

Address:931 SW 3rd StreetMiami, FL 33130

Total Number of Units: 79

Year Built: 1947

Total Rentable Square Feet: 51,400

Lot Size: 1.95

Parcel Number: 01-4138-003-1340 01-4138-003-1330

Number of Buildings: 10

MAST DEVELOPMENT

HAVANA PALMS II 13

FINANCIAL ANALYSIS

16 HAVANA PALMS II

RENT ROLL DETAIL

HAVANA PALMS II 17

RENT ROLL

18 HAVANA PALMS II

RENT ROLL

HAVANA PALMS II 19

RENT ROLL

20 HAVANA PALMS II

PRICING DETAIL

HAVANA PALMS II 21

OPERATING STATEMENT

Parking Income 12,600

9,679

Notes: Pro Forma Laundry / $18 per unit a month Pro Forma Parking / $50 per spot a month Pro Forma Taxes / Assessed at 64% of market value Water / Water is lowered due to leak

TRASH QUOTE

22 HAVANA PALMS II

INSURANCE QUOTE

HAVANA PALMS II 23

T4R-ZONING

24 HAVANA PALMS II

HAVANA PALMS II 25

SALES COMPARABLE PROPERTIES

28 HAVANA PALMS II

610 SW 14TH AVENUE

610 SW 14th Ave

Miami, FL 33135

Close of Escrow:

11/22/2017

Sales Price: $1,100,000

Price/Unit: $183,333

Price/SF: $209.52

No. of Units: 6

Year Built: 2002

Zoning: T4

971 FLAGLER

971 W Flagler St

Miami, FL 33130

Close of Escrow: 2/9/2018

Sales Price: $4,600,000

Price/Unit: $164,286

Price/SF: $210.05

No. of Units: 28

Year Built: 2017

Zoning: T6

1740-1750 SW 6TH STREET

1740-1750 SW 6th St

Miami, FL 33135

Close of Escrow: 01/18/2018

Sales Price: $1,800,000

Price/Unit: $150,000

Price/SF: $242.52

No. of Units: 12

Year Built: 1975

Zoning: T4

SALES COMPARABLE PROPERTIES

1 2 3

HAVANA PALMS II 29

427 SW 7TH STREET

427 SW 7th St.

Miami, FL 33130

Close of Escrow:

11/17/2017

Sales Price: $1,050,000

Price/Unit: $210,000

Price/SF: $219.71

No. of Units: 6

Year Built: 1980

Zoning: T5

LAS PALMAS CONDOMINIUMS

2120 W Flagler St

Miami, FL 33135

Close of Escrow:

09/29/2017

Sales Price: $2,225,000

Price/Unit: $171,154

Price/SF: $226.28

No. of Units: 13

Year Built: 2007

Zoning: T6

NATHANIEL APARTMENTS

921 SW 7th St

Miami, FL 33130

Close of Escrow: 03/30/2017

Sales Price: $1,000,000

Price/Unit: $166,667

Price/SF: $211.01

No. of Units: 6

Year Built: 1974

Zoning: T5

4 5 6

30 HAVANA PALMS II

COMPARABLE SALE PROPERTIES MAP

3

1

6

5

HAVANA PALMS II

610 SW 14TH AVE

971 FLAGLER LAS PALMAS CONDOMINIUMS

NATHANIEL APARTMENTS

2

1740-1750 SW 6TH ST

427 SW 7TH ST4

Avg. $219.85

$0.00

$30.00

$60.00

$90.00

$120.00

$150.00

$180.00

$210.00

$240.00

$270.00

$300.00

HavanaPalms II

971 Flagler 1740-1750SW 6th St

610 SW 14thAvenue

427 SW 7thStreet

2120 WestFlaglerStreet

NathanielApartments

Average Price Per Square Foot

Avg. $168,407

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

$200,000

HavanaPalms II

971 Flagler 1740-1750SW 6th St

610 SW 14thAvenue

427 SW 7thStreet

2120 WestFlaglerStreet

NathanielApartments

Average Price Per Unit

HAVANA PALMS II 31

RENT COMPARABLE PROPERTIES

COMPARABLE RENTAL PROPERTIES SUMMARY

PROPERTY ADDRESSYEAR BUILT

# OF UNITS

AVERAGE SF

MARKET RENT

MARKET RENT / SF

HAVANA PALMS II 1947 79 651 $1,040 $1.60

1. Villa La Pinta Apartments 1925 1 554 $1,100 $1.99

2. 1752 NW 1st St 1920 1 425 $1,100 $2.59

3. 3237 SW 4th St 1925 1 490 $990 $2.02

4. 450 SW 3rd St 2006 1 555 $1,300 $2.34

5. 102 SW 6th Ave 2005 1 594 $1,230 $2.07

6. 401 SW 17th Ave 2016 1 643 $1,550 $2.41

7. 446 SW 3rd St 2017 1 450 $1,200 $2.67

8. 856 SW 6th St 1937 1 479 $1,200 $2.51

9. 680 SW 10th St 1968 1 555 $1,250 $2.25

10. 120 SW 8th Ave 2010 1 846 $1,600 $1.89

11. 1000 SW 12th Ct 1924 1 772 $1,500 $1.94

12. 940 SW 6th St 1997 1 779 $1,550 $1.99

13. 1530 SW 2nd St 1973 1 656 $1,500 $2.29

34 HAVANA PALMS II

COMPARABLE RENTAL PROPERTIES MAP

1

2

4

11

313

57

9

12

8

10

6

HAVANA PALMS II 35

3237 SW 4TH ST

1752 NW 1ST ST

VILLA LA PINTA APARTMENTS

102 SW 6TH AVE

940 SW 6TH ST

401 SW 17TH AVE

1000 SW 12TH CT

450 SW 3RD ST

120 SW 8TH AVE

1530 SW 2ND ST

856 SW 6TH ST

680 SW 10TH ST

HAVANA PALMS II

446 SW 3RD ST

AVERAGE RENT - MULTIFAMILY

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

HavanaPalms II

450SW 3rd St

102 SW 6thAve

446SW 3rd St

856SW 6th St

680SW 10th St

1 Bedroom

Avg. $1,236

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

HavanaPalms II

1063SW 2nd St

Villa LaPinta

Apartments

428SW 9th St

1565SW 6th St

1752 NW1st Street

Studios

Avg. $1,018

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

HavanaPalms II

Villa LaPinta

Apartments

1752 NW1st Street

3237SW 4th St

Studios

Avg. $1,083

36 HAVANA PALMS II

AVERAGE RENT - MULTIFAMILY

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

HavanaPalms II

401 SW 17thAve

120 SW 8thAve

1000 SW12th Ct

940SW 6th St

1530SW 2nd St

2 Bedroom

Avg. $1,540

HAVANA PALMS II 37

1 VILLA LA PINTA APARTMENTS501 SW 6TH CT Miami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

Studio 1 554-554 $1,100 $1.99 1925

TOTAL / AVG. 1 554 $1,100 $1.99

38 HAVANA PALMS II

2 1752 NW 1ST STMiami, FL 33125

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

Studio 1 425-425 $1,100-$1,100 $2.59 1920

TOTAL / AVG. 1 425 $1,100 $2.59

HAVANA PALMS II 39

3 3237 SW 4TH STMiami, FL 33135

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

Studio 1 525-525 $1,050-$1,050 $2.00 1925

TOTAL / AVG. 1 525 $1,050 $2.00

40 HAVANA PALMS II

4 450 SW 3RD STMiami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

1 Bed / 1 Bath 1 555-555 $1,300-$1,300 $2.34 2006

TOTAL / AVG. 1 555 $1,300 $2.34

HAVANA PALMS II 41

5 102 SW 6TH AVEMiami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

1 Bed / 1 Bath 1 594-594 $1,230 $2.07 2005

TOTAL / AVG. 1 594 $1,230 $2.07

42 HAVANA PALMS II

6 401 SW 17TH AVEMiami, FL 33135

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

2 Bed / 1 Bath 1 643-643 $1,550-$1,550 $2.41 2016

TOTAL / AVG. 1 643 $1,550 $2.41

HAVANA PALMS II 43

7 446 SW 3RD STMiami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

1 Bed / 1 Bath 1 450-450 $1,200-$1,200 $2.67 2017

TOTAL / AVG. 1 450 $1,200 $2.67

44 HAVANA PALMS II

8 856 SW 6TH ST Miami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

1 Bed / 1 Bath 1 479-479 $1,200-$1,200 $2.51 1937

TOTAL / AVG. 1 479 $1,200 $2.51

HAVANA PALMS II 45

9 680 SW 10TH STMiami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

1 Bed / 1 Bath 1 555-555 $1,250-$1,250 $2.25 1968

TOTAL / AVG. 1 555 $1,250 $2.25

46 HAVANA PALMS II

10 120 SW 8TH AVEMiami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

2 Bed / 1 Bath 1 846-846 $1,600-$1,600 $1.89 2010

TOTAL / AVG. 1 846 $1,600 $1.89

HAVANA PALMS II 47

11 1000 SW 12TH CTMiami, FL 33135

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

2 Bed / 1 Bath 1 772-772 $1,500-$1,500 $1.94 1924

TOTAL / AVG. 1 772 $1,500 $1.94

48 HAVANA PALMS II

12 940 SW 6TH ST Miami, FL 33130

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

2 Bed / 1 Bath 1 779-779 $1,550-1,550 $1.99 1997

TOTAL / AVG. 1 779 $1,550 $1.99

HAVANA PALMS II 49

13 1530 SW 2ND STMiami, FL 33135

UNIT TYPENO. OF UNITS UNIT SF

MARKET RENT

MARKET RENT / SF YEAR BUILT

2 Bed / 1 Bath 1 656-656 $1,500-$1,500 $2.29 1973

TOTAL / AVG. 1 656 $1,500 $2.29

50 HAVANA PALMS II

CONTACTS

ARTHUR POROSOFF Senior Vice President Investments 786.522.7058 arthur.porosoff@marcusmillichap.com

DAVID COHEN Senior Associate 786.522.7075 david.cohen@marcusmillichap.com

FERNANDO POLANCO Senior Associate 305.879.9916 fernando.polanco@marcusmillichap.com

RYAN SHAW First Vice President Investments 786.522.7087 ryan.shaw@marcusmillichap.com

JAVIER UBEDA Associate 786.522.7039 jaview.ubeda@marcusmillichap.com

5201 BLUE LAGOON DRIVE #100 MIAMI, FL 33126

WWW.POROSOFF.COM

top related