Monterey Apartments GIBRALTAR st Ave West Seattle, WA FOR SALE - MULTI FAMILY INVESTMENT OFFERING MONTEREY APARTMENTS

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1 GIBRALTAR FOR SALE - MULTI FAMILY INVESTMENT MONTEREY APARTMENTS 21 UNIT QUEEN ANNE APARTMENT BUILDING plus PARKING LOT Monterey Apartments 622 1st Ave West Seattle, WA INVESTMENT For more information contact: Laura Miller (206) MOBILE laura@gibraltarusa.com

2 The offering Gibraltar LLC is pleased to offer for sale the Monterey Apartments, a vintage 4-story, 21-unit apartment building with parking lot well located in Seattle s Uptown neighborhood on the south slope of Queen Anne Hill. The property is well suited for turnkey, long-term ownership as it sits or as a potential development piece given the large lot. This building is a highly desired vintage apartment building which is always in great demand renters, with upgraded electrical and plumbing systems and units fully renovated under current ownership investors. EXCELLENT LOCATION Situated on the south slope of Queen Anne Hill in the Uptown neighborhood, the Monterey Apartments are in one of the best rental submarkets in Seattle. This is evidenced by it s low vacancy rates which currently stand at 3.2% average for the last 5 years per Dupree & Scott. A Walk Score of 95 out of 100 makes this location a Walker s Paradise, offering residents the ability to do most errands by foot. The Uptown neighborhood hosts a multitude of local restaurants, bars, and shops, as well as the attraction heavy Seattle Center. PROPERTY DETAILS Purchase Price: $6,950,000 Units 21 I BD / 1Bath 20 Studio 1 Net SQFT 13,040 Gross SQFT 16,110 Year Built 1907 Lot SQFT 12,800 Parking Spaces 24 Zoning Assesor Parcel *Buyer to verify SQFT NC This information has been obtained from sources believed reliable. No guarantee, warranty or representation, express or implied, is made as to the accuracy of the information contained herein, and same is submitted subject to errors, omissions, change of price, rental or other conditions withdrawal without notice, and to any special listing conditions, imposed by our principals. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property PAGE 2

3 Current Market Unit Type Qty SF Average $/SF Monthly Income Average $/SF Monthly Income Studio/1BA $855 $2.14 $855 $925 $2.31 $925 1BR/1BA $1,227 $2.09 $24,530 $1,267 $2.16 $25,345 Average/Total $1,209 $2.09 $25,385 $1,251 $2.17 $26,270 Income Current Proforma Gross Income $304,620 $315,240 Pass thru W/S/G $14,841 $15,286 Parking $24,612 $24,612 Laundry/Vending $2,122 $2,122 Other Fees $5,133 $5,133 Gross Potential Income $351,328 $362,393 Less Vacancy (3%) $10,539 $10,872 Effective Gross Income $340,789 $351,521 Purchase Price $ 6,950,000 Current Proforma Cap Rate 3.34% 3.40% GRM Gross Net Price/SF $ Price/Unit $330,952 Expenses Current Proforma Real Estate Taxes $36,080 $40,907 Insurance $5,764 $5,937 Utilities $22,653 $23,332 Maintenance & Repairs $19,877 $20,473 G&A $1,882 $1,938 Resident Manager $8,820 $8,820 Prof 4% $13,632 $14,061 Total Operating Expenses $108,708 $115,468 Per Unit / Per Gross SQFT $5,176 $5,498 Net Operating Income $232,081 $236,053 proposed loan Loan Amount $3,550,000 Equity Required $3,400,000 Loan to Value 51% Interest Rate 3.75% Term 30 Initial Monthly Payment $16,439 Return Analysis Current Proforma Net Operating Income $232,081 $236,053 Debt Service $197,268 $197,268 Cash Flow (pre-tax) $34,813 $38,725 Cash on Cash Return 1.02% 1.14% Principle Reduction $54,226 $54,226 Total pre-tax return 2.62% 2.73% This information has been obtained from sources believed reliable. No guarantee, warranty or representation, express or implied, is made as to the accuracy of the information contained herein, and same is submitted subject to errors, omissions, change of price, rental or other conditions withdrawal without notice, and to any special listing conditions, imposed by our principals. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. PAGE 3

4 The Monterey Apartments - Features & Systems Overview Unit Features - Spacious and bright units average just over 620 SQFT while being renovated to include french doors and stainless steel appliances Structure - Wood frame Paint - In good condition. Last painted during 2008 renovation Siding - Stucco on West & South wall. Composite on North and East wall Roof - Torchdown with silvercoat in serviceable condition Foundation - Reinforced concrete slab Windows - Most all windows vinyl replaced in 2008 through City of Seattle window replacement program Environmental - The property has ongoing soil testing stemming from an agreement made over an environmental issue that has been endemnified by Texaco / Chevron. This agreement indemnifies the subject s owner (or future owners) against all liabilities, claims, damages or losses arising from any claims or suits by third parties related to the contamination affecting the subject and any requirement by the DOE for any action or clean-up needed on the subject property as it relates to the contamination caused by the former service/gas station. Entryway - Intercom Secured Electric - Units have been upgraded with breaker panels and heat is thermostatic controlled electric baseboard. Each unit is individually metered for electricity. Plumbing - Much has been upgraded to copper by the previous owner. Water pressure is good with consistent hot water delivery to all units. Hot water is serviced by two (2) 119 gallon building owned tanks. Laundry - 2 newer coin operated units in common laundry room Unit Upgrades - In 2008 the building underwent significant renovation in which unit interiors were upgraded. Roughly 75% of the subject s units include new stainless steel appliances and newly renovated interiors to include commercial carpets and french doors to the bedroom areas. Ceiling heights are 9ft in the units. PAGE 4

5 SUBJECT PROPERTY #1 #2 #3 1. Queen Anne 2. South Lake Union 3. Downtown Seattle Queen Anne is offers a multitude of dining and shopping options and is home to the Bill & Melinda Gates Foundation. Many major employers reside in South Lake Union, including the Amazon.com headquarters, PATH, University of WA Medicine, Fred Hutchinson, NBBJ, BioMed and more! The region s primary employment center is within minutes from the subject property, and easily accessed by foot, car or public transportation. PAGE 5

6 GIBRALTAR Property Photos W W W. G I B R A LTA R U S A. C O M PAGE 6