brighton place apartments & townhomes...unit type approx. square feet 38 brighton place east 976...

BRIGHTON PLACE APARTMENTS & TOWNHOMES2000-2040 Mill Ln • Williamsport, PA 17701

Offering Memorandum

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N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I CE

Confidentiality and DisclaimerThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving 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 expenses 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 regarding 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 this marketing 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 lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

WILLIAMSPORT - BRIGHTON PLACE

Williamsport, PA

ACT ID ZAA0300255

Marcus & Millichap Real Estate Investment Services of Seattle, Inc.

215-531-7000

License #: RB062197C

Sean Beuche, Broker of Record

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TABLE OF CONTENTS

SECTION

INVESTMENT OVERVIEW 01Offering Summary

Regional Map

Local Map

Aerial Photo

Site Plan

Parcel Map

FINANCIAL ANALYSIS 02Rent Roll Summary

Rent Roll Detail

Operating Statement

Notes

Pricing Detail

Acquisition Financing

MARKET OVERVIEW 03Demographic Analysis


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INVESTMENT

OVERVIEW

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BRIGHTON PLACE- NEW CONSTRUCTION APARTMENTS

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EXECUTIVE SUMMARY

OFFERING SUMMARY

MAJOR EMPLOYERS

EMPLOYER # OF EMPLOYEES

Penn College 1,500

Susquehanna Physician Services 1,263

DISTRICT SERVICE CENTER 850

Shop Vac Corporation 800

County of Lycoming 723

Behavioral Health Outpatient 700

Hope Enterprises Inc 590

SPS-Bhl 560

Books and Automation Division 471

Primus Technologies Corp 467

Wirerope Works 412

Lycoming County Treasurer 400

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2018 Estimate Pop 5,557 39,428 56,359

2010 Census Pop 5,596 39,126 56,251

2018 Estimate HH 2,419 15,939 23,163

2010 Census HH 2,434 15,773 23,065

Median HH Income $42,796 $37,971 $41,702

Per Capita Income $22,647 $22,476 $24,391

Average HH Income $51,618 $53,222 $57,505

UNIT MIX

NUMBEROF UNITS

UNIT TYPEAPPROX.SQUARE FEET

38 Brighton Place East 976

26 Brighton Place Central 674

40 Brighton Place West 1,200

104 Total 102,630

VITAL DATA

Price $13,300,000 CURRENT YEAR 1

Loan Amount $9,975,000 CAP Rate 6.46% 7.46%

Loan Type Proposed New GRM 11.72 8.92

Interest Rate / Amortization

3.75% / 30 YearsNet Operating Income

$859,202 $992,716

Price/Unit $127,885Net Cash Flow After Debt Service

9.17% / $304,853 13.18% / $438,367

Price/SF $129.59 Total Return 14.68% / $488,271 18.91% / $628,783

Number of Units 104

Rentable Square Feet 102,630

Year Built / Renovated 1950 / 2013

Lot Size 9.88 acre(s)

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OFFERING SUMMARY

INVESTMENT HIGHLIGHTS

Newly Constructed and Renovated Luxury Apartment Building Complex

Low Sub-Market Vacancy Rate of 3.6%

Value-Add Component of 40-60 Plus Additional Units in Phase III (Available Separately)

Stabilized Luxury Apartment Complex - Turn-Key Operation

Low Market Rents w/ Tremendous Upside.

***Financial Updated Through Owners Full Due Diligence Transfer Completed – 7-18-2019***

INVESTMENT OVERVIEW

Marcus and Millichap is please to offer to qualified Buyers the opportunity to purchase a 104 Unit Luxury apartment building complex located in Williamsport, PA. The

Complex current sites on approximately 9.88 acres, and is ideal located with in the sub-market - close to all local amenities.

The local sub-market have a low vacancy rate of approximately 3.2%

*** All Financial Updated Through Owners Full Due Diligence Transfer Completed - 7-18-2019***

The subject offering is further broken down into three (3) separately deeded (townhouse/apartment building complexes) & one (1) future development site (Brighton Place

North *not included in the sale*) - a true value add opportunity.

Brighton Place East is a 38 unit property that was renovated in 2014-15 from an old factory. This property consists of eight-1 bedroom, twenty-six 2 bedroom and four 3

bedroom units. All have open floor plans and loft style ceilings with exposed steel beams and skylights.

Brighton Place Central is a 26 unit, one and two story two bedroom townhouses. These were the original apartments on the property. Ownership has a plan in place to

substantially renovate the apartments to bring the rents up to market value.

Brighton Place West is the newest addition to the complex. This consists of forty (40) brand new 2 bedroom, 2 bathroom townhouses. All units have hardwood floors, brand

new appliances including washers and dryers, and some feature granite countertops.

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OFFERING SUMMARY

INVESTMENT OVERVIEW

We are also in the process of planning for the next phase of this development Brighton Place North (not included in sale). This will feature an additional forty –to-sixty plus

(40-60+) units that will mirror the existing Brighton Place West townhouses with the center building being constructed into storage units. There is currently a commercial

tenant on-site with a long term lease.

All tenants pay their own utilities including water and sewer.

The property is located just north of Williamsport off of business Route 15 and has easy accessibility to I-180. Williamsport is home to some of the areas largest employers

including UPMC Susquehanna, Pennsylvania College of Technology, and Textron.

*** All Financial Updated Through Owners Full Due Diligence Transfer Completed - 7-18-2019***

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PROPERTY SUMMARY

OFFERING SUMMARY

THE OFFERING

Property Williamsport - Brighton Place

Price $13,300,000

Property Address 2000-2040 Mill Ln, Williamsport, PA

SITE DESCRIPTION

Number of Units 104

Year Built/Renovated Brighton Place Central Originally Built in 1950/

Brighton Place East Fully Renovated in 2015

w/ Brighton Place West newly Built in 2019

Rentable Square Feet 102,004

Lot Size 9.88 acre(s)

Type of Ownership Fee Simple

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PROPOSED FINANCING

First Trust Deed

Loan Amount $9,975,000

Loan Type Proposed New

Interest Rate 3.75%

Amortization 30 Years

Loan Term 10 Years

Loan to Value 75%

Debt Coverage Ratio 1.54

AERIAL PHOTO


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REGIONAL MAP


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SITE

REGIONAL MAP


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LOCAL MAP


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Marcus & Millichap closes

more transactions than any other

brokerage firm.

WILLIAMSPORT – BRIGHTON PLACE

PROPERTY PHOTO

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SITE PLAN


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FLOOR PLAN


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SITE PLAN


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SITE PLAN


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SITE PLAN


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PARCEL MAP


1

19

2 3

(4)Development

Site


OFFERING SUMMARY

INVESTMENT HIGHLIGHTS

Newly Constructed and Renovated Luxury Apartment Building Complex

Low Sub-Market Vacancy Rate of 3.6%

Value-Add Component of 40-60 Plus Additional Units in Phase III (Available Separately)

Stabilized Luxury Apartment Complex - Turn-Key Operation

Low Market Rents w/ Tremendous Upside.

Attractive IRR

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Geisinger Plans New Hospital near Muncy - Geisinger has purchased 22 acres of land off Route 220 in Lycoming

County. The medical facility plans to build a new hospital near Muncy just a few miles away from UPMC

Susquehanna Muncy Valley Hospital. Geisinger confirms that the health system recently bought the land for

$1.9 million. The new facility would include an emergency department, operating suites, patient rooms, and

other diagnostic and care areas. Right now, Geisinger Medical Center near Danville is the closest Geisinger

facility with an emergency room. There is an emergency room a few miles from Geisinger's new lot at UPMC

Susquehanna Muncy.

Lycoming College Announces New Gateway Project - One of the 50 oldest colleges in the United States has plans

to revamp the entrance to its campus. Lycoming College announced plans for a gateway building on the east

edge of campus. The building is a 28,000-square-foot, $12.5 million project. The gateway building will house

college admissions and alumni relations. There will be presentation and seminar rooms, study rooms, a cafe,

and a climbing wall in the new building. Part of the new entranceway project includes expanding a portion of

Basin Street to make it a two-way road. Lycoming college is working with the city in hopes of revamping the

east end of Williamsport. The project should be complete sometime in 2019.

UPMC Susquehanna Announces $113M in expansion projects - UPMC Susquehanna is expanding with $113

million for two projects. The brunt of the cost is wrapped up in a $100 million expansion project to extend

UPMC Susquehanna Tower to the medical office building at 699 High St., which will be completely overhauled.

The four-story addition creates the infrastructure needed in the operating rooms, medical and surgical suites

and critical units to support the advanced lifesaving and rehabilitation services necessary to provide full trauma

services by 2020. The project entails a 120,000-square-foot $100 million facility designed to support

Williamsport Hospital’s full transformation into a trauma center and bring in a new era of comprehensive

physical medicine and rehabilitation services to the region. The other portion of the project is the $13 million

renovation of the Cancer Center at Divine Providence, to be called the UPMC Hillman Cancer Center and added to

the list of more than 60 Hillman Cancer Center locations statewide.

Nearby Projects/Developments


FINANCIAL

ANALYSIS

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FINANCIAL ANALYSIS


RENT ROLL SUMMARY

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FINANCIAL ANALYSIS


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RENT ROLL DETAIL

FINANCIAL ANALYSIS


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RENT ROLL DETAIL

FINANCIAL ANALYSIS


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RENT ROLL DETAIL

FINANCIAL ANALYSIS


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RENT ROLL DETAIL

FINANCIAL ANALYSIS


OPERATING STATEMENT

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$150,000 – was input into the repairs and maintenance section for year 1 to make improvements to Brighton Central due to the true value-add potential to substantially increase rents in those specific units. – Contact agents for more information.

FINANCIAL ANALYSIS


NOTES

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FINANCIAL ANALYSIS


NOTES

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FINANCIAL ANALYSIS


PRICING DETAIL

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MARCUS & MILLICHAP CAPITALCORPORATION

CAPABILITIES

MMCC—our fully integrated, dedicated financing arm—is committed to

providing superior capital market expertise, precisely managed execution, and

unparalleled access to capital sources providing the most competitive rates and

terms.

We leverage our prominent capital market relationships with commercial banks,

life insurance companies, CMBS, private and public debt/equity funds, Fannie

Mae, Freddie Mac and HUD to provide our clients with the greatest range of

financing options.

Our dedicated, knowledgeable experts understand the challenges of financing

and work tirelessly to resolve all potential issues to the benefit of our clients.

National platform

operating

within the firm’s

brokerage offices

$6.24 billion

total national

volume in 2018

Access to more

capital sources

than any other

firm in the

industry

Our ability to enhance buyer

pool by expanding finance

options

Our ability to enhance

seller control

• Through buyer

qualification support

• Our ability to manage buyers

finance expectations

• Ability to monitor and

manage buyer/lender progress,

insuring timely,

predictable closings

• By relying on a world class

set of debt/equity sources

and presenting a tightly

underwritten credit file

WHY MMCC?

Optimum financing solutions to

enhance value

Closed 1,678

debt and equity

financings

in 2018

ACQUISITION FINANCING

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MARKET

OVERVIEW

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PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS

Source: © 2018 Experian

Created on June 2019

POPULATION 1 Miles 3 Miles 5 Miles

2023 Projection

Total Population 5,449 38,552 55,492

2018 Estimate


2010 Census


2000 Census


Daytime Population

2018 Estimate 4,279 55,748 74,946

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

2023 Projection

Total Households 2,389 15,683 22,972

2018 Estimate


Average (Mean) Household Size 2.26 2.28 2.28

2010 Census


2000 Census


Growth 2015-2020 -1.24% -1.61% -0.82%

HOUSING UNITS 1 Miles 3 Miles 5 Miles

Occupied Units

2023 Projection 2,389 15,683 22,972

2018 Estimate 2,552 17,307 24,939

Owner Occupied 1,519 8,077 13,257

Renter Occupied 900 7,862 9,906

Vacant 134 1,368 1,776

Persons In Units

2018 Estimate Total Occupied Units 2,419 15,939 23,163

1 Person Units 32.00% 33.82% 32.73%

2 Person Units 36.42% 32.60% 34.30%

3 Person Units 15.05% 15.70% 15.43%

4 Person Units 9.76% 10.87% 10.81%

5 Person Units 4.46% 4.59% 4.42%

6+ Person Units 2.27% 2.42% 2.31%

HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

2018 Estimate

$200,000 or More 0.40% 1.70% 2.02%

$150,000 - $199,000 0.85% 1.63% 2.05%

$100,000 - $149,000 8.37% 8.97% 9.70%

$75,000 - $99,999 11.31% 9.78% 10.76%

$50,000 - $74,999 22.64% 17.47% 18.29%

$35,000 - $49,999 14.24% 13.13% 13.26%

$25,000 - $34,999 14.99% 12.58% 12.45%

$15,000 - $24,999 16.35% 14.35% 14.05%

Under $15,000 10.86% 20.38% 17.42%

Average Household Income $51,618 $53,222 $57,505

Median Household Income $42,796 $37,971 $41,702

Per Capita Income $22,647 $22,476 $24,391

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

Population By Age

2018 Estimate Total Population 5,557 39,428 56,359

Under 20 21.56% 25.79% 24.44%

20 to 34 Years 18.96% 25.36% 22.81%

35 to 39 Years 5.38% 5.10% 5.12%

40 to 49 Years 11.30% 10.13% 10.39%

50 to 64 Years 21.84% 18.47% 19.88%

Age 65+ 20.97% 15.15% 17.32%

Median Age 43.89 34.04 37.58

Population 25+ by Education Level

2018 Estimate Population Age 25+ 4,092 25,130 37,719

Elementary (0-8) 2.12% 2.69% 2.34%

Some High School (9-11) 10.76% 9.71% 8.80%

High School Graduate (12) 41.20% 39.46% 39.76%

Some College (13-15) 18.89% 17.43% 17.60%

Associate Degree Only 9.81% 9.27% 9.67%

Bachelors Degree Only 10.86% 12.64% 13.12%

Graduate Degree 4.56% 7.45% 7.46%

Population by Gender

2018 Estimate Total Population 5,557 39,428 56,359

Male Population 48.26% 50.69% 49.91%

Female Population 51.74% 49.31% 50.09%

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Income

In 2018, the median household income for your selected geography is

$42,796, compare this to the US average which is currently $58,754.

The median household income for your area has changed by 34.02%

since 2000. It is estimated that the median household income in your

area will be $49,740 five years from now, which represents a change

of 16.23% from the current year.

The current year per capita income in your area is $22,647, compare

this to the US average, which is $32,356. The current year average

household income in your area is $51,618, compare this to the US

average which is $84,609.

Population

In 2018, the population in your selected geography is 5,557. The

population has changed by -6.89% since 2000. It is estimated that

the population in your area will be 5,449.00 five years from now,

which represents a change of -1.94% from the current year. The

current population is 48.26% male and 51.74% female. The median

age of the population in your area is 43.89, compare this to the US

average which is 37.95. The population density in your area is

1,765.55 people per square mile.

Households

There are currently 2,419 households in your selected geography. The

number of households has changed by -4.20% since 2000. It is

estimated that the number of households in your area will be 2,389

five years from now, which represents a change of -1.24% from the

current year. The average household size in your area is 2.26 persons.

Employment

In 2018, there are 1,636 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

51.65% of employees are employed in white-collar occupations in

this geography, and 50.44% are employed in blue-collar occupations.

In 2018, unemployment in this area is 4.63%. In 2000, the average

time traveled to work was 18.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows:

90.28% White, 5.36% Black, 0.03% Native American and 0.64%

Asian/Pacific Islander. Compare these to US averages which are:

70.20% White, 12.89% Black, 0.19% Native American and 5.59%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 2.01% of the current year

population in your selected area. Compare this to the US average of

18.01%.


Housing

The median housing value in your area was $126,612 in 2018,

compare this to the US average of $201,842. In 2000, there were

1,592 owner occupied housing units in your area and there were 933

renter occupied housing units in your area. The median rent at the

time was $402.

DEMOGRAPHICS

Source: © 2018 Experian

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DEMOGRAPHICS

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brighton place apartments & townhomes...unit type approx. square feet 38 brighton place east 976...

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