poulsbo waterfront buildings€¦ · poulsbo, washington is located in the northern part of kitsap...

Poulsbo Waterfront BuildingsPOULSBO, WASHINGTON

BRIX VATTENBUILDING

THE BRIX VATTEN AND NILSEN BUILDINGS are offered together or separately. These two fully occupied street front retail/office buildings are located in the heart of Downtown Poulsbo’s popular waterfront and marina, and benefit from destination and daily-needs exposure with high foot traffic counts. Nearby amenities support downtown Poulsbo’s status as a walkable corridor conducive to office and retail, in close proximity to a number of art galleries, museums, and several restaurants.

NILSENBUILDING

Brix Vatten & Nilsen

6.25%CAP RATE

$2,115,000COMBINED PRICE

Overview

INDIVIDUAL PRICE$1,120,000

CAP RATE6.25%

NUMBER OF TENANTSFour

LEASEABLE SF4,226 SF

PPSF$265

OCCUPANCY87%*

SUBMARKET VACANCY3.4%

YEAR BUILT1978

Brix VattenInvestment Summary

*Seller to provide a rent guaran-ty at closing for a single 560 SF vacancy.

18955 ANDERSON PKWY NE POULSBO, WA 98370

INDIVIDUAL PRICE$995,000

CAP RATE6.25%

NUMBER OF TENANTSThree

LEASEABLE SF3,753 SF

PPSF$265

OCCUPANCY100%

SUBMARKET VACANCY3.4%

YEAR BUILT1920

Nilsen BuildingInvestment Summary18961 FRONT STREET NE, POULSBO, WA, 98370

PAGE 5

https://goo.gl/maps/w8LhCfpAqRaJrGpe7

https://goo.gl/maps/egmYPhUbnc6MHSjo9

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LOCATED IN THE HEART OF LITTLE NORWAY, POULSBO’S MOST POPULAR DESTINATION FOR VISITORS.

EXPOSED TO HIGH TRAFFIC AND FOOT COUNTS IN DOWNTOWN.

ALL TENANTS ARE ON NNN LEASES WITH ANNUAL RENT INCREASES.

WHILE POULSBO THRIVES OFF TOURISM, MANY SHOPS HAVE STRONG CLIENTELE FROM LOCAL RESIDENTS, PROVIDING A YEAR-ROUND CUSTOMER BASE DURING THE OFF-SEASON.

POULSBO HAS SHOWN STEADY POPULATION GROWTH WITH ANNUAL INCREASES THE PAST 5 YEARS.

Investment Highlights

JEN

SEN

WAY

NE

FRONT STREET NE

LIBERTY BAY WATERFRONT PARK

& MARINAApprox 170 Slips

PORT OF POULSBO

BRIX VATTEN& NILSEN

POULSBO MARINA15 boathouses

384 Moorage Slips (254 permanent

& 130 guest)

POULSBO,WASHINGTON

Named “Best City/Town” by Westsound (2019) 2,000+ Businesses 3.4% Vacancy Rate

MORAICED CREAMERYVoted One of the

Top 10 Ice Cream Shops in the U.S.

(foodandwine.com)

Surrounding Retail

PAGE 7

Q: DOES EITHER PARCEL INCLUDE PARKING?A: Neither property includes parking, yet benefit from close proximity to a 1.5+ acre public parking lot owned by the City of Poulsbo. Additional public parking is provided via street parking throughout the downtown Poulsbo area.

Q&A

Site Plan

SITE PLAN NOT TO SCALE

BRIX VATTENBUILDING

NILSENBUILDING

Site Plan

PAGE 9

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.

Property Sale Price NOI Cap Rate

Brix Vatten $1,120,000 $70,032 6.25%

Nilsen Building $995,000 $62,158 6.25%

Totals $2,115,000 $132,190 6.25%

Combined Pricing

PRICING BREAKDOWN

Combined Financial Summary

RentRoll

TO JUMP TO THE FULL FINANCIAL SUMMARY INCLUDING RENT ROLL, PLEASE CLICK HERE.

Combined Financial Summary

PAGE 11

Featured Photography - Brix Vatten Building

Featured Photography - Nilsen Building

PAGE 13

POULSBO, WASHINGTON is located in the northern part of Kitsap County and is a popular regional tourist destination that maintains a Scandinavian theme to honor its early history throughout the downtown area. One of its local products, Poulsbo Bread, is made locally at Sluy’s Bakery and used to be sold internationally. Many visitors arrive by boat; there are three marinas near the town, and the town’s harbor is an excellent anchorage.

Poulsbo,Washington

Location

POPULATION

5 MINS 10 MINS 15 MINS

2010 3,848 12,751 40,305

2019 4,231 14,896 44,065

2024 4,484 15,928 46,194

2019 HH INCOME

5 MINS 10 MINS 15 MINS

Average $75,214 $93,745 $96,781

Median $58,772 $75,904 $77,521

KEY 5 MINS 10 MINS 15 MINS

DriveTime

48 MILES

Tacoma,Washington

23 MILES

Seattle, Washington

Distanceto

Demographics

PAGE 15

Brix Vatten& NilsenPOULSBO, WASHINGTON FINANCIAL SUMMARY

Property Sale Price NOI Cap Rate

Brix Vatten $1,120,000 $70,032 6.25%

Nilsen Building $995,000 $62,158 6.25%

Totals $2,115,000 $132,190 6.25%

Combined Pricing

PRICING BREAKDOWN

Combined Pricing PAGE 17


Combined Pricing

Income & Expense

PRICE $1,120,000CAPITALIZATION RATE 6.25%PRICE PER FOOT $265

CASH FLOW SUMMARYSCHEDULED INCOME PER SFBase Rent for the Period of: 11/1/2019 - 10/31/2020 $17.54 $74,118

Rent Increases Over Base Rent $0.26 $1,093

Operating Expense Reimbursement $4.72 $19,929

Equals: Scheduled Gross Income $22.51 $95,140

Vacancy Factor 5% ($1.13) ($4,757)

Total Effective Gross Income (EGI) $21.39 $90,383

OPERATING EXPENSES PER SFCAMS $1.69 $7,122

Property Taxes $1.53 $6,487

Insurance $0.42 $1,790Management Fee of EGI $1.07 $4,530

Reserves $0.10 $423

Total Operating Expenses $4.82 $20,352

NET OPERATING INCOME $16.57 $70,032

5.0%

7/30/2019 [ <www.CapitalPacific.com> ]

Financial Summary PAGE 18


- Brix Vatten Building

Rent Roll

LEASE TYPE

TENANT NAME SUITE SIZE % OF SF RENT START LEASE EXPIRATION

MONTHLY BASE RENT RENT/SF/YR DATE OF

INCREASEMONTHLY BASE RENT

Foster Financial Services, Inc. 111 539 12.75% 11/6/17 11/5/20 NNN $849 $18.90 6/1/20 $874

Eye Candy Salon 121-131 1,479 35.00% 5/1/13 4/30/21 NNN $2,000 $16.23 5/1/20 $2,100

Available - Rent Guaranty 211 560 13.25% 6/15/19 5/31/21 NNN $887 $19.00

Law Offices of Stephen T. King 221 548 12.97% 12/17/18 12/16/21 NNN $850 $18.61 6/1/20 $875

Miles Yanick and Company 231 1,100 26.03% 4/1/17 3/31/22 NNN $1,591 $17.36 6/1/20 $1,639

TOTALS 4,226 100% $6,176 $17.54

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information.Buyer must verify the information and bears all risk for any inaccuracies.

90-Day Notice

Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.

Comments: Seller to provide a 1-year rent and NNN guaranty if suite remains vacant at closing.

Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.

Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.

FMR - See comment90-Day Notice

Annual Inc. > of CPI. or 3%.

CURRENT RENT RENT INCREASES OPTIONSTENANT INFO

1, 3-YrFMR - See commentAnnual Inc. > of CPI. or 3%.

90-Day Notice

LEASE TERMS

1, 3-YrAnnual 3% Increases

1, 5-YrFMR - See comment

2, 2-Yr


Rent Roll PAGE 19



Operating Expenses

REIMBURSEMENTS

TOTAL PER SF NOTES IN-PLACE

TOTAL EXPENSES $20,352 $4.82 $19,929

NOTES:1) Based on 2018 P&L with assumed 3% increase.

2) Based on 2019 Kitsap County Tax Assessment.

3) Based on 5% of EGI.

4) Methodology: $0.10/SF.

$423 $0.10 4RESERVES

$6,487

INSURANCE

PROJECTED OPERATING EXPENSES

$1,790 $1,790 $0.42 1

$7,122

$4,530 $1.07 3 $4,530

$6,487 $1.53

1$7,122 $1.69

2

CAMS

PROPERTY TAXES

MANAGEMENT


Operating Expenses PAGE 20



Reimbursements

TENANT NAME PRO RATA CAMS PROPERTY TAX INSURANCE MGMT TENANT TOTALS

EXPENSE TOTAL $7,122 $6,487 $1,790 $4,530

Foster Financial Services, Inc. 12.75% $908 $827 $228 $578 $2,542

Eye Candy Salon 35.00% $2,492 $2,270 $626 $1,586 $6,975

Available - Rent Guaranty 13.25% $944 $860 $237 $600 $2,641

Law Offices of Stephen T. King 12.97% $924 $841 $232 $587 $2,584

Miles Yanick and Company 26.03% $1,854 $1,688 $466 $1,179 $5,187

TOTAL 100.00% $7,122 $6,487 $1,790 $4,530 $19,929

NOTES:1) Tenants operate on full NNN leases.2) Upside through collection of 3rd Party Management fees permitted per Tenant leases, yet not collected by Seller.


Reimbursements PAGE 21



Income & Expense

PRICE $995,000CAPITALIZATION RATE 6.25%PRICE PER FOOT $265

CASH FLOW SUMMARYSCHEDULED INCOME PER SFBase Rent for the Period of: 11/1/2019 - 10/31/2020 $18.10 $67,926

Rent Increases Over Base Rent $0.23 $849

Operating Expense Reimbursement $6.13 $22,996

Equals: Scheduled Gross Income $24.45 $91,771

Vacancy Factor 5% ($1.22) ($4,589)

Total Effective Gross Income (EGI) $23.23 $87,182

OPERATING EXPENSES PER SFCAMS $2.46 $9,245

Property Taxes $2.35 $8,830

Insurance $0.59 $2,203Management Fee of EGI $1.16 $4,370

Reserves $0.10 $375

Total Operating Expenses $6.67 $25,024

NET OPERATING INCOME $16.56 $62,158

5.0%


Financial Summary PAGE 22


- Nilsen Building

Rent Roll

LEASE TYPE

TENANT NAME SUITE SIZE % OF SF RENT START LEASE EXPIRATION

MONTHLY BASE RENT RENT/SF/YR DATE OF

INCREASEMONTHLY BASE RENT

Home Connect Real Estate Office 101 1,540 41.03% 7/1/19 6/30/24 NNN $2,310 $18.00 6/1/20 $2,379

iDope 103 1,013 26.99% 11/2/18 10/31/23 NNN $1,600 $18.95 6/1/20 $1,648

White Lotus Yoga 105 1,200 31.97% 1/1/18 2/29/20 NNN $1,750 $17.50 6/1/20 $1,803

TOTALS 3,753 100% $5,660 $18.10

This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information.Buyer must verify the information and bears all risk for any inaccuracies.

Annual Inc. > of CPI or 3%

Annual 3% Inc.

Annual Inc. > of CPI or 3%

LEASE TERMSTENANT INFO

Comments: Rent abatement through 11/2019. Option rent to increase to FMR, not to be less than the preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends, unless terminated with 90 days notice.

Comments: Personal guaranty. Option automatically extends, unless terminated with 90 days notice.

Comments: Personal guaranty. Option automatically extends, unless terminated with 90 days notice.

CURRENT RENT RENT INCREASES OPTIONS

1, 5-YrFMR > Prior

FMR > Prior90-Day Notice

90-Day Notice1, 1-Yr

FMR > Prior90-Day Notice

1, 3-Yr


*Building includes an additional 3,600 SF basement, not reflected in the Rent Roll.

Rent Roll PAGE 23


- Nilsen Building

Operating Expenses

REIMBURSEMENTS

TOTAL PER SF NOTES IN-PLACE

TOTAL EXPENSES $25,024 $6.67 $22,996

NOTES:1) Based on Annualized July 2019 Expenses.

2) Based on 2019 Kitsap County Tax Assessment.

3) Based on 5% of EGI.

4) Methodology: $0.10/SF.

MANAGEMENT

1$9,245 $2.46

2

CAMS

PROPERTY TAXES

$4,370 $1.16 3 $4,370

$8,830 $2.35 $8,830

INSURANCE

PROJECTED OPERATING EXPENSES

$2,203 $2,203 $0.59 1

$7,592

$375 $0.10 4RESERVES


Operating Expenses PAGE 24


- Nilsen Building

Reimbursements

TENANT NAME PRO RATA CAMS PROPERTY TAX INSURANCE MGMT NOTES TENANT TOTALS

EXPENSE TOTAL $9,245 $8,830 $2,203 $4,370

Home Connect Real Estate Office 41.03% $3,794 $3,623 $904 $1,793 1 $10,114

iDope 26.99% $842 $2,383 $595 $1,180 2 $5,000

White Lotus Yoga 31.97% $2,956 $2,823 $705 $1,397 $7,881

TOTAL 100.00% $7,592 $8,830 $2,203 $4,370 $22,996

NOTES:1) NNN is capped at $1,000 monthly; Tenant is not hitting this Cap.2) NNN (including Management) is capped at $5,000 annually.3) Upside through collection of 3rd Party Management fees permitted per Tenant leases, yet not collected by Seller.


Reimbursements PAGE 25


- Nilsen Building

DAVID [email protected]: 206.693.3349

SEAN [email protected]: 206.693.3352

We’d love to hearfrom you.

Contact

poulsbo waterfront buildings€¦ · poulsbo, washington is located in the northern part of kitsap...

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