multi-family apartment complex for sale · 1 bedroom / 1 bath 8 100% 702 5,616 $700.00 $1.00 $5,600...

MULTI-FAMILY APARTMENT COMPLEX FOR SALE 435 Fulton Avenue, San Antonio, Texas 78212

TC AUSTIN REALTY ADVISORS

12950 Country Parkway. Suite 180

San Antonio, Texas 78216

Phone 210-495-5015

www.tcaustin.com

MICHEAL E. REYNA, CCIM, CPM, CRE

President

[email protected]

210.325.3397

TROY R. VAN BRUNT Vice President

[email protected]

210.495.5015

OFFERING NOTES

TC Austin Realty Advisors (“Broker”) has been retained on an exclusive basis to market the property described herein (“Property”). Broker has been authorized by the Seller of the Property (“Seller”) to prepare and distribute the enclosed information (“Material”) for the purpose of soliciting offers to

purchase from interested parties. More detailed financial, title and rent roll information may be made available upon request following the mutual execution of a letter of intent or contract to purchase between the Seller and a prospective purchaser. You are invited to review this opportunity and make an

offer to purchase based upon your analysis. If your offer results in the Seller choosing to open negotiations with you, then you will be asked to provide financial references. The eventual purchaser will be chosen based upon an assessment of price, terms, ability to close the transaction, and such other

matters as the Seller deems appropriate. The Material is intended solely for the purpose of soliciting expressions of interest from qualified investors for the acquisition of the Property. The Material is not to be copied and/or used for any other purpose or made available to any other person without the

express written consent of Broker or Seller. The Material does not purport to be all-inclusive or to contain all of the information that a prospective buyer may require. The information contained in the Material has been obtained from the Seller and other sources and has not been verified by the Seller or

its affiliates. The pro forma is delivered only as an accommodation and neither the Seller, Broker, nor any of their respective affiliates, agents, representatives, employees, parents, subsidiaries, members, managers, partners, shareholders, directors, or officers, makes any representation or warranty

regarding such pro forma. Purchaser must make its own investigation of the Property and any existing or available financing, and must independently confirm the accuracy of the projections contained in the pro forma. Seller reserves the right, for any reason, to withdraw the Property from the market.

Seller has no obligation, express or implied, to accept any offer. Further, Seller has no obligation to sell the Property unless and until the Seller executes and delivers a signed agreement of purchase and sale on terms acceptable to the Seller, in its sole discretion. By submitting an offer, a purchaser will

be deemed to have acknowledged the foregoing and agreed to release Seller and Broker from any liability with respect thereto. Property walk-throughs are to be conducted by appointment only. Contact Broker for additional information.

DISCLAMIER

TROY VAN BRUNT

Vice President

[email protected]

956.763.6811

MICHEAL E. REYNA CCIM, CPM, CRE

President

[email protected]

210.325.3397

Purchasers wishing to make an offer on the property are requested to submit:

• Letter of intent

• Lender or Bank funding Letter with Offer

Upon receipt of an acceptable Letter of Intent, a Purchase and Sale

Agreement shall be provided.

PLEASE DO NOT CONTACT THE PROPERTY DIRECTLY. TENANTS ARE NOT TO BE DISTURB. TOURS

WILL BE SCHEDULED AFTER ESCROW. Seller reserves the right to remove the property from the market

at any time. Seller expressly reserves the right, in its sole and absolute discretion, to accept a preemptive

offer, to reject any and all proposals or expressions of interest in the property or to terminate discussions

with any party at any time.

OFFERING PROCEDURES

TOURING NOTICE

TABLE OF CONTENTS

EXECUTIVE SUMMARY………………………………………………………………………………………………………………...….5

THE PROPERTY………………………………………………………………………………………………………..…………………....6

LOCATION MAP………………………………………………………………………………………………………………………..7

AERIALS………………………………………………………………………………………………………...……………………..9

PHOTOS………………………………………………………………………………………………………...……………………11

THE FINANCIALS……….……………………………………………………………………………………………..…………………...12

FINANCIAL SUMMARY…...……………………………………………………………………………………………………………13

HISTORICAL CASH FLOW…...…………………………………………………………………………………………………………14

PROFORMA CASH FLOW…...………………………………………………………………………………………………………….15

RENT COMPARABLES…...………………………………………………………………………………………………………….….16

THE MARKET………………………………………………………………………………….……………………………………………17

PROPERTY BUILDING SF 5,616 SF

MULTI-FAMILY 8-UNIT APARTMENT LAND SIZE 0.2118 ACRES (9,225.00 SF)

LOCATION 435 FULTON AVENUE, SAN ANTONIO, TEXAS 78212 PARKING COUNT 8 SPACES

+ 100% Occupied

+ Under Market Rents

+ Low Maintenance Complex

+ Corner location with Excellent Exposure

+ Maintained with New Roof

+ Ample Rear Parking

+ Average Household Income $69,635 (1-Mile)

+ Median Age 39.5 (1-Mile)

+ Population 149,178 (3-Mile)

INVESTMENT HIGHLIGHTS PROPERTY HIGHLIGHTS DEMOGRAPHICS

OFFERING SUMMARY

ADDRESS 435 FULTON AVE, SAN ANTONIO, TEXAS 78212

LAND AREA 0.2118 ACRES (9,225.00 SF)

TOTAL BUILDING SF 5,616 SF

YEAR BUILD 1928

ZONING MF-33 NCD-2

TAX AUTHORITY BEXAR / 06428-006-0210

BUILDING EXTERIOR PIER & BEAM (CONCRETE); BRICK

ROOF COMPOSITION

HVAC / HEATING WINDOW UNITS ONLY

UTILITIES LANDLORD PAYS WATER ONLY

FINANCIAL SUMMARY

OFFERING PRICE $695,000.00

PRICE PSF $123.75

PRICE PER UNIT $86,875

OCCUPANCY 100.00%

NET OPERATING INCOME $59,701 (PROFORMA)

PROFORMA CAP RATE 8.59% (PROFORMA YIELD)

DEMOGRAPHIC SNAPSHOT

1 MILE 2 MILE 3 MILE

TOTAL POPULATION 18,356 65,030 149,178

POPULATION GROWTH 0.42% 0.75% 0.94%

AVERAGE HOUSEHOLD INCOME $69,635 $61,191 $60,874

TC Austin Realty Advisors is pleased to present the exclusive listing of

435 Fulton Avenue, an 8 unit apartment complex located in the

established neighborhood of the Alta Vista Subdivision just north of

Downtown San Antonio. At 100% occupied, this is a great investment

opportunity for an investor.

The property is well maintained and a new roof was installed within the

last two years. Historic features such as beautiful refinished wood floors

and high ceilings. Ample parking in the rear of the building as well as

street parking is available for tenants. The units do not stay vacant very

long and are all under market rents.

Great location within 3 miles from the Pearl, Downtown San Antonio,

San Antonio College, Incarnate Word University, San Antonio Zoo, local

parks, and more. Located off of San Pedro Avenue, the apartment

complex has easy access to all major highways systems including I-35,

US 281 and I-10 Hwy.

TC AUSTIN REALTY ADVISORS PAGE 5

THE PROPERTY

PROPERTY MAPS /

AERIALS /

PHOTOS /

PROPERTY MAP LOCATION


435 FULTON AVE

PROPERTY LOCATION CLOSE-UP


435 FULTON AVE


FULTON AVE

BR

EED

EN S

TREE

T


PROPERTY LOCATION AREA MAP

DOWNTOWN SAN ANTONIO

2.6 MILES

THE PEARL DISTRICT

2.4 MILES

PROPERTY PHOTOS


FRONT ENTRANCE

REAR PARKING SPACES SPACIOUS LIVING AREAS

PROPERTY PHOTOS


BATHROOM KITCHEN AREA

THE FINANCIALS

FINANCIAL SUMMARY /

HISTORICAL CASH FLOW /

PRO FORMA CASH FLOW /

RENT COMPARABLES /

FINANCIAL SUMMARY

ANALYSIS OVERVIEW

PROPERTY NAME FULTON 8 UNIT APARTMENT

ADDRESS 435 FULTON AVENUE

CITY, STATE SAN ANTONIO, TEXAS

ANALYSIS START DATE 1/2020

HOLD PERIOD 10

PROPERTY OVERVIEW

NUMBER OF UNITS 8

RENTABLE SQUARE FEET 5,616

ACRES 0.2118

YEAR BUILT 1928

CURRENT OCCUPANCY AS OF 10/1/2019 100%

MEDIAN MONTHLY RENT PER UNIT $700.00

MEDIAN MONTHLY RENT PSF $1.00

POTENTIAL GROSS RENT MULTIPLIER 9.10

435 FULTON AVENUE

UNIT BEDROOM /

BATHROOM UNITS

% OF PROP-

ERTY UNIT SQ FT TOTAL SQFT

IN-PLACE IN-PLACE IN-PLACE

MONTHLY

RENT TOTAL

IN-PLACE

ANNUAL

MARKET

RENT TOTAL

MEDIAN.

COMP RENT

MEDIAN.

COMP RENT MONTHLY

MARKET

RENT TOTAL

ANNUAL

MARKET

RENT TOTAL TYPE RENTS RENT PSF PER UNIT RENT PSF

1A 1 BEDROOM /

1 BATH 8 100% 702 5,616 $700.00 $1.00 $5,600 $67,200 $795 $1.13 $6,360 $76,320

TOTAL / AVERAGE 8 100% 702 5,616 $700.00 $1.00 $5,600 $67,200 $795 $1.13 $6,360 $76,320


DEBT CAPITAL STRUCTURE

PRINCIPAL BALANCE $556,000

LOAN TO VALUE RATIO 80%

LOAN FEE 1%

EQUITY REQUIRED

(INCLUDING LOAN FEE) $139,000

INTEREST RATE 5.25%

TERM 20

AMORTIZATION PERIOD 240 Months

REVERSION SUMMARY

DISPOSITION PRICE (YEAR 10) $1,022,357

PER UNIT $127,795

CAP RATE 7.0%

CASH TO PURCHASE PRICE (PROFORMA

SUMMATION) 10-YEAR HOLD $651,672

YIELD ON EQUITY (AVERAGE)-10-YEAR HOLD 12.19%

HISTORICAL CASH FLOW

12 MONTH ACTUALS 12-MONTH FINANCIALS YEAR 1 PRO FORMA

% PER YEAR PROFORMA % PER YEAR

RENTAL INCOME

SCHEDULED MARKET RENTS

435 FULTON APARTMENTS $59,842 $76,320

GROSS POTENTIAL RENT $59,842 $76,320

VACANCY (HISTORICALLY 100%) (INCLUDED) ($1,908) 2.50%

EFFECTIVE RENTAL INCOME $59,842 $74,412

EFFECTIVE GROSS INCOME $59,842 $74,412

OPERATING EXPENSES PER UNIT PER UNIT % OF EGI

MARKETING $250 $31 $300 $38 0.40%

UTILITIES $3,600 $450 $3,600 $450 4.84%

REPAIRS & MAINTENANCE $1,200 $150 $1,200 $150 1.61%

INSURANCE $1,440 $180 $1,500 $188 2.02%

PROPERTY TAXES $8,111 $1,014 $8,111 $1,014 10.90%

TOTAL OPERATING EXPENSES $14,601 $1,825 $14,711 $1,839 19.77%

EXPENSE RATIO 24.40% 19.77%

NET OPERATING INCOME $45,241 $59,701 80.23%

NET OPERATING INCOME YIELD % 6.51% 8.59%

$45,241 $59,701

NON-OPERATING EXPENSES PER UNIT PER UNIT

DEBT SERVICES $44,959 $5,620 60.42%

CAPITAL RESERVES (5%) $2,985 $373 4.01%

TOTAL NON-OPERATING EXPENSES $47,944 $5,993 64.43%

CASH FLOW BEFORE DEBT SERVICE $45,241 $11,757 15.80%


*ASSUMPTIONS

- Income Proforma Income based on Median Market Asking Rent of $795.00 for all units. Proforma Cashflow Annual Rent inflation at 1.0-2.0%. Vacancy is historically low for property and adjusted for long term tenancy. -Expenses Proforma assumes self management for complex. All expenses inflated 1.0% per year on Proforma Cash Flow .

PROFORMA CASH FLOW


PRO FORMA YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7 YEAR 8 YEAR 9 YEAR 10

% PER YEAR PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA PROFORMA

RENTAL INCOME

SCHEDULED MARKET RENTS

POTENTIAL MARKET RENT $76,320 $77,083 $78,625 $80,197 $81,801 $83,437 $85,106 $86,808 $88,544 $90,315

GROSS POTENTIAL RENT $76,320 $77,083 $78,625 $80,197 $81,801 $83,437 $85,106 $86,808 $88,544 $90,315

VACANCY 2.50% ($1,908) ($1,927) ($1,966) ($2,005) ($2,045) ($2,086) ($2,128) ($2,170) ($2,214) ($2,258)

EFFECTIVE RENTAL INCOME $74,412 $75,156 $76,659 $78,192 $79,756 $81,351 $82,978 $84,638 $86,331 $88,057

EFFECTIVE GROSS INCOME $9,302 $74,412 $75,156 $76,659 $78,192 $79,756 $81,351 $82,978 $84,638 $86,331 $88,057

OPERATING EXPENSES PER UNIT

MARKETING $38 $300 $303 $306 $309 $312 $315 $318 $322 $325 $328

UTILITIES $450 $3,600 $3,636 $3,672 $3,709 $3,746 $3,784 $3,821 $3,860 $3,898 $3,937

REPAIRS & MAINTENANCE $150 $1,200 $1,212 $1,224 $1,236 $1,249 $1,261 $1,274 $1,287 $1,299 $1,312

INSURANCE $188 $1,500 $1,515 $1,530 $1,545 $1,561 $1,577 $1,592 $1,608 $1,624 $1,641

PROPERTY TAXES $1,014 $8,111 $8,233 $8,356 $8,481 $8,609 $8,738 $8,869 $9,002 $9,137 $9,274

TOTAL OPERATING EXPENSES $1,839 $14,711 $14,899 $15,089 $15,281 $15,477 $15,675 $15,875 $16,078 $16,284 $16,492

EXPENSE RATIO 19.77% 19.82% 19.68% 19.54% 19.41% 19.27% 19.13% 19.00% 18.86% 18.73%

NET OPERATING INCOME $59,701 $60,257 $61,570 $62,911 $64,280 $65,677 $67,103 $68,560 $70,047 $71,565

8.59% 8.67% 8.86% 9.05% 9.25% 9.45% 9.66% 9.86% 10.08% 10.30%

NON-OPERATING EXPENSES PER UNIT

DEBT SERVICES $5,620 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959 $44,959

CAPITAL RESERVES (5%) $373 $2,985 $3,013 $3,079 $3,146 $3,214 $3,284 $3,355 $3,428 $3,502 $3,578

TOTAL NON-OPERATING EXPENSES $5,993 $47,944 $47,972 $48,037 $48,104 $48,173 $48,243 $48,314 $48,387 $48,461 $48,537

CASH FLOW AFTER DEBT SERVICE $11,757 $12,286 $13,533 $14,807 $16,107 $17,434 $18,789 $20,173 $21,586 $23,028

RENT COMPARABLES

ADDRESS CITY, STATE

DISTANCE FROM

SUBJECT (MILES) YEAR BUILT UNIT SIZE ASKING RENT MARKET RENT/SF

Subject 435 FULTON AVE SAN ANTONIO, TX - 1928 702

1 514 FULTON AVE SAN ANTONIO, TX LESS THAN 1 MILE 1950 954 $900 $0.94

2 409 LYNWOOD SAN ANTONIO, TX LESS THAN 1 MILE 1950 725 $900 $1.24

3 834 W RUSSELL PL SAN ANTONIO, TX 1.1 MILES 1925 650 $625 $0.96

4 405 W ROSEWOOD AVE SAN ANTONIO, TX LESS THAN 1 MILE 1966 745 $795 $1.07

5 634 W MISTLETOE AVE SAN ANTONIO, TX LESS THAN 1 MILE 1915 432 $625 $1.45

MEDIIAN ASKING RENT-> $795 $1.13


THE MARKET LOCATION OVERVIEW /

DEMOGRAPICS /

LOCATION OVERVIEW—SAN ANTONIO


San Antonio – named the fastest-growing city in the nation by the US

Census Bureau – continues to be recognized for its thriving economy,

maintaining an unemployment rate of 3.2% compared to the 2018 national

average of 3.7%. San Antonio’s populations surpassed 1.5 million in 2018

making it the second most populated city in Texas and the seventh in the

US. By 2030, the city expects to add another million more residents.

Known for the San Antonio Spurs, Alamo, Riverwalk, theme parks, and

Tejano culture, the city of San Antonio has quickly become a top candidate

for corporate and residential relocations. Much of this economic growth

can be attributed to the San Antonio Economic Development Incentive

Fund (EDIF) and Tax Abatements focus on recruiting companies in the

Aerospace & Advanced Manufacturing, Bioscience/Healthcare, IT &

Cyber-Security, and New Energy industry.

Several companies, including Czech information technology giant Okin

Business Process Services (1,400+ jobs), have announced growth

plans in the city’s core in 2019.

The city has seen an aggressive revitalization of its downtown area

with a surge in new office construction including the new Frost

Bank Tower and the University of Texas at San Antonio’s

expansion plans of a $90 million expansion that will form a new

tech corridor in the city. Currently, San Antonio is home to

headquarters for major companies including H-E-B, USAA,

Methodist Healthcare, and Rackspace, among others.

DEMOGRAPHICS

1 Mile Radius 2 Mile Radius 3 Mile Radius

POPULATION

Population 18,356 65,030 149,178

Households 8,023 24,145 53,825

Families 3,829 13,434 30,822

Average Household Size 3.06 3.43 3.40

Owner Occupied Housing Units 39.0% 42.0% 40.4%

Renter Occupied Housing Units 47.6% 43.8% 45.0%

Median Age 39.5 37.1 36.5

Median Household Income $41,223 $38,472 $36,994

Average Household Income $69,635 $61,191 $60,874

BUSINESS DEMOGRAPHICS

Total Businesses 878 3,082 7,983

Total Employees 8,193 34,486 120,753

Total Residential Population 18,356 65,030 149,178

Employee/Residential Population Ratio (per 100 Residents) 45 53 81

2019 POPULATION BY AGE

0 -4 4.9% 5.9% 6.2%

5 -9 4.7% 5.7% 6.1%

10 -14 4.8% 5.8% 5.9%

15 -24 14.1% 15.3% 14.9%

25 -34 15.3% 14.6% 14.9%

35 -44 12.8% 12.2% 12.3%

45 -54 12.0% 11.9% 11.9%

55 -64 13.2% 12.5% 12.0%

65 -74 10.2% 9.4% 9.0%

75 -84 5.1% 4.5% 4.5%

85 + 3.0% 2.1% 2.2%

18 + 82.9% 79.4% 78.4%


multi-family apartment complex for sale · 1 bedroom / 1 bath 8 100% 702 5,616 $700.00 $1.00 $5,600...

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