24-unit multifamily investment

FOR SALE

30220 RANCHO VIEJO ROAD SUITE ASan Juan Capistrano, CA 92675

701.428.1243www.lunnennorthdakota.com

24-Unit Multifamily Investment1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

PRESENTED BY:

Jeff [email protected]

PROPERTY INFORMATION

3LOCATION INFORMATION

7FINANCIAL ANALYSIS

12DEMOGRAPHICS

18ADDITIONAL INFORMATION

21ADVISOR BIOS

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30220 RANCHO VIEJO ROAD SUITE A, San Juan Capistrano, CA 92675 • www.lunnennorthdakota.com

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Table Of Contents1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

Confidentiality & Disclaimer ContentsAll materials and information received or derived from Lunnen Real Estate Services its directors,officers, agents, advisors, affiliates and/or any third party sources are provided withoutrepresentation or warranty as to completeness , veracity, or accuracy, condition of the property,compliance or lack of compliance with applicable governmental requirements, developability orsuitability, financial performance of the property, projected financial performance of theproperty for any party’s intended use or any and all other matters.

Neither Lunnen Real Estate Services its directors, officers, agents, advisors, or affiliates makesany representation or warranty, express or implied, as to accuracy or completeness of the anymaterials or information provided, derived, or received. Materials and information from anysource, whether written or verbal, that may be furnished for review are not a substitute for aparty’s active conduct of its own due diligence to determine these and other matters ofsignificance to such party. Lunnen Real Estate Services will not investigate or verify any suchmatters or conduct due diligence for a party unless otherwise agreed in writing.

EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE.

Any party contemplating or under contract or in escrow for a transaction is urged to verify allinformation and to conduct their own inspections and investigations including throughappropriate third party independent professionals selected by such party. All financial datashould be verified by the party including by obtaining and reading applicable documents andreports and consulting appropriate independent professionals. Lunnen Real Estate Servicesmakes no warranties and/or representations regarding the veracity, completeness, or relevanceof any financial data or assumptions. Lunnen Real Estate Services does not serve as a financialadvisor to any party regarding any proposed transaction. All data and assumptions regardingfinancial performance, including that used for financial modeling purposes, may differ fromactual data or performance. Any estimates of market rents and/or projected rents that may beprovided to a party do not necessarily mean that rents can be established at or increased to thatlevel. Parties must evaluate any applicable contractual and governmental limitations as well asmarket conditions,vacancy factors and other issues in order to determine rents from or for theproperty.

Legal questions should be discussed by the party with an attorney. Tax questions should bediscussed by the party with a certified public accountant or tax attorney. Title questions shouldbe discussed by the party with a title officer or attorney. Questions regarding the condition ofthe property and whether the property complies with applicable governmental requirementsshould be discussed by the party with appropriate engineers, architects, contractors, otherconsultants and governmental agencies. All properties and services are marketed by LunnenReal Estate Services in compliance with all applicable fair housing and equal opportunity laws.

1PROPERTY INFORMATION1 7 2 2 - 1 7 2 6 1 4 T H A V E . W E S T , W I L L I S T O N , N D 5 8 8 0 1


PRESENTED BY:30220 RANCHO VIEJO ROAD SUITE A

San Juan Capistrano, CA 92675701.428.1243

www.lunnennorthdakota.com


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PROPERTY OVERVIEWLunnen Real Estate Services Inc. is pleased to offer for sale the opportunity to acquire the fee simpleinterest of Bison Apartments, a 24 units located in the heart of the Bakken Oil Fields. Each unit has 2bedrooms, 1 bathroom and includes in-unit washer/dryer. The 24 units are split between 2 buildings,each with 12 units. The current rental rates are significantly below current market rates. Due to thecurrent boom in oil production, Williston is experiencing high demand for housing/apartments.

PROPERTY HIGHLIGHTS

• Significant Upside Potential (rental rates below current market rates!)

• (24) 2 bedroom 1 bathroom units, units are 850 SF, with outside deck and in-unit washer/dryer

• All units have full 3 color paint throughout, top to bottom, all base and trim removed, painted and re

installed

• 15 units have new vinyl and carpet throughout, all units have complete new light fixtures all rooms with

new bulbs

• All units have new bathroom medicine cabinets with lighting, all units have new window blinds and

verticals installed

• All units have new toilet seating, new vent fans in bathrooms, new faucets in kitchens and baths as

needed

• 14 units have new Hot Water Heaters and new ball valves

• 20 new appliances, Stoves, Refrigerators, Dishwasher, W/D

• 24 garbage disposals removed and sinks replumbed, 24 kitchen double sinks have new baskets

installed, 24 specialty cleaned and polished bathroom tubs

• New exterior siding and roof in 2011

• Common area, 3 floors, two buildings, all new paint, carpet, lighting and new city fire exit lighting and

smoke alarms

• Full concrete front and back parking lot striping for 55 parking spaces in 2011

• Management/Maintenance in place for new Ownership, if desired..

• Due to current boom in oil production, Williston is experiencing high-demand in area housing

PROPERTY SUMMARY

Sale Price: $1,499,000

Number Of Units: 24

Cap Rate: 9.57%

NOI: $143,528

Lot Size: 0.76 Acres

Building Size: 22,704 SF

Year Built: 1988

Renovated: 2017

Zoning: R-4 High Density

PROPERTYINFORMATION

Executive Summary1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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PROPERTYINFORMATION

Additional Photos1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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PROPERTYINFORMATION

Additional Photos1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

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1722 - 1726 14th Ave. West

LOCATIONINFORMATION

Regional Map1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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LOCATIONINFORMATION

Location Maps1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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LOCATIONINFORMATION

Aerial Map1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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LOCATIONINFORMATION

Retailer Map1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

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INVESTMENT OVERVIEW 24-UNIT MULTIFAMILY INVESTMENT

Price $1,499,000Price per Unit $62,458GRM 7.3CAP Rate 9.6%Cash-on-Cash Return (yr 1) 9.2 %Total Return (yr 1) $93,672Debt Coverage Ratio 1.58

OPERATING DATA 24-UNIT MULTIFAMILY INVESTMENT

Gross Scheduled Income $204,852Other Income $0Total Scheduled Income $204,852Vacancy Cost $6,145Gross Income $198,706Operating Expenses $55,178Net Operating Income $143,528Pre-Tax Cash Flow $52,832

FINANCING DATA 24-UNIT MULTIFAMILY INVESTMENT

Down Payment $574,000Loan Amount $925,000Debt Service $90,696Debt Service Monthly $7,558Principal Reduction (yr 1) $40,840

FINANCIALANALYSIS

Financial Summary1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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FINANCIALANALYSIS

Income & Expenses1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

INCOME SUMMARY 24-UNIT MULTIFAMILY INVESTMENT PER SF

Base Rent $204,582 $9.01

GROSS INCOME $198,706 $8.75

EXPENSE SUMMARY 24-UNIT MULTIFAMILY INVESTMENT PER SF

Management Fee $8,128 $0.36Payroll0 $7,200 $0.32Utilities $6,850 $0.30Insruance $9,000 $0.40Repairs and Maintenance $6,000 $0.26Real Estate Taxes $12,000 $0.53Other Expenses $6,000 $0.26

GROSS EXPENSES $55,178 $2.43

NET OPERATING INCOME $143,528 $6.32


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UNITNUMBER

UNITBED

UNITBATH

UNITSIZE (SF)

LEASESTART

LEASEEND

CURRENTRENT

CURRENTRENT (PER SF)

MARKETRENT

SECURITYDEPOSIT

213 2 1 850 11/1/17 10/31/18 $675 $0.79 $776 $500

214 2 1 850 11/18/17 11/30/18 $775 $0.91 $891 $500

215 2 1 850 1/12/17 12/31/18 $675 $0.79 $776 $500

216 2 1 850 10/7/17 9/30/18 $675 $0.79 $776 $500

217 2 1 850 11/1/17 11/30/18 $800 $0.94 $920 $500

218 2 1 850 10/7/17 10/31/18 $700 $0.82 $805 $500

219 2 1 850 10/14/17 10/31/18 $800 $0.94 $920 $500

220 2 1 850 1/11/17 10/31/18 $750 $0.88 $862 $500

221 2 1 850 12/1/17 5/31/18 $725 $0.85 $833 $500

222 2 1 850 11/1/17 10/31/18 $725 $0.85 $833 $500

223 2 1 850 10/15/17 10/31/18 $800 $0.94 $920 $500

224 2 1 850 1/16/17 1/31/18 $800 $0.94 $920 $800

325 2 1 850 1/24/18 7/31/18 $599 $0.70 $688 $599

326 2 1 850 2/2/18 7/31/18 $599 $0.70 $688 $599

327 2 1 850 2/1/18 7/31/18 $599 $0.70 $688 $599

328 2 1 850 2/15/18 8/31/18 $599 $0.70 $688 $599

329 2 1 850 11/1/17 10/31/18 $750 $0.88 $862 $750

330 2 1 850 1/16/18 6/30/18 $700 $0.82 $805 $700

331 2 1 850 1/19/18 6/30/18 $700 $0.82 $805 $700

332 2 1 850 2/10/18 8/31/18 $700 $0.82 $805 $700

333 2 1 850 11/1/17 10/31/18 $800 $0.94 $920 $500

334 2 1 850 12/26/17 12/31/18 $700 $0.82 $805 $700

335 2 1 850 11/1/17 10/31/18 $725 $0.85 $833 $500

FINANCIALANALYSIS

Rent Roll1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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UNITNUMBER

UNITBED

UNITBATH

UNITSIZE (SF)

LEASESTART

LEASEEND

CURRENTRENT

CURRENTRENT (PER SF)

MARKETRENT

SECURITYDEPOSIT

336 2 1 850 1/1/18 12/31/18 $700 $0.82 $805 $500

20,400 $17,071 $0.84 $19,624 $13,746

FINANCIALANALYSIS

Rent Roll1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801


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UNIT TYPE COUNT % TOTAL SIZE (SF) RENT RENT/SF MARKET RENT

2 BD 1 BATH 24 100.0 850 $17,071 $20.08 $19,624

Totals / Averages 24 100% 20,400 $409,704 $20.08 $470,976

FINANCIALANALYSIS

Unit Mix Summary1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

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DEMOGRAPHICSDemographics Report1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

1 MILE 5 MILES 10 MILES

Total households 1,343 9,329 10,162

Total persons per hh 2.4 2.3 2.3

Average hh income $60,223 $67,675 $68,105

Average house value $99,553 $99,788 $102,163

1 MILE 5 MILES 10 MILES

Total population 3,192 21,811 23,787

Median age 45.8 37.5 37.3

Median age (male) 40.5 35.6 35.7

Median age (female) 50.0 40.5 40.0

* Demographic data derived from 2010 US Census


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* Demographic data derived from 2010 US Census

1 Mile 5 Miles 10 Miles

Total Population 3,192 21,811 23,787

Population Density 1,016 278 76

Median Age 45.8 37.5 37.3

Median Age (Male) 40.5 35.6 35.7

Median Age (Female) 50.0 40.5 40.0

Total Households 1,343 9,329 10,162

# of Persons Per HH 2.4 2.3 2.3

Average HH Income $60,223 $67,675 $68,105

Average House Value $99,553 $99,788 $102,163

DEMOGRAPHICSDemographics Map1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

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ADDITIONALINFORMATION

Floor Plans1722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

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30220 RANCHO VIEJO ROADSan Juan Capistrano, CA 92675

T [email protected] #9171

Managing Principal & BrokerJEFF LUNNEN Professional Background

Lunnen Real Estate Services Inc. is a multi-state Real Estate Development, Brokerage & Investment Company witha 35 year tradition of successful development of over 2 million square feet of creative office, industrial, residentialand retail developments. The company has had a hand in the development of over 13,000 acres in Colorado,Utah, California and North Dakota.

Lunnen has been involved in over $100MM in real estate transactions in the Bakken, created 5 industrial parksand built over 500,000 SF of industrial space for lease and sale.

Jeff Lunnen is a Commercial Real Estate Broker who specializes in the analysis, marketing, and disposition ofcommercial and residential real estate portfolios held by both private individuals and community and nationalbanking institutions.

Using his experience and insight into the marketing and disposition processes Jeff has marketed over 900 millionin commercial and residential assets throughout the country.

Jeff manages all facets of the business including business development, graphic design, media coordination,marketing, budgets, contracts, negotiations, escrows, and client interface. His record of success includessuccessful sales of Coca-Cola Enterprises bottling/distribution centers, ski resorts, tentative maps, finished lots,business condos, retail centers, RV parks, apartments, industrial/warehouses and vacant land.

Memberships & AffiliationsJeff is a licensed Real Estate Broker in both California & North Dakota, licensed by FINRA, and is a CA RegisteredSecurities Agent.

EducationJeff holds a BA in Business and Public Administration from Arizona State and a certificate in Light Constructionand Development Management from UC Irvine.

ADVISOR BIOSAdvisor Bio & Contact 11722 - 1726 14TH AVE. WEST, WILL ISTON, ND 58801

24-unit multifamily investment

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