elm street apartments - loopnet...2 3 bedroom / 2 baths 1,340 2 2 bedroom / 2 baths 900 4 total...

ELM STREET APARTMENTS38-42 Elm Street • North Easton, MA 02356

Offering Memorandum

1

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 C E

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.

ELM STREET APARTMENTS

North Easton, MA

ACT ID Z0560256

2

Matthew Pierce

National Multi Housing Group

Boston Office

Tel: (617) 896-7214

Fax: (617) 539-8331

[email protected]

Licenses: MA 9506948

TABLE OF CONTENTS

SECTION

INVESTMENT OVERVIEW 01Offering Summary

Regional Map

Local Map

Aerial Photo

FINANCIAL ANALYSIS 02

Rent Roll Summary

Rent Roll Detail

Operating Statement

Pricing Detail

MARKET COMPARABLES 03

Sales Comparables

Rent Comparables

MARKET OVERVIEW 04

Market Analysis

Demographic Analysis


3


4

INVESTMENT

OVERVIEW


#

EXECUTIVE SUMMARY

OFFERING SUMMARY

MAJOR EMPLOYERS

EMPLOYER # OF EMPLOYEES

City Council 7,760

City of Brckton Dept Pub Works 5,012

City of Brockton 3,878

Justice of The Peace 2,910

Brockton W Roxbury Medical Ctr 1,400

Oneblood Foundation Inc 1,194

City Hall 773

Bayponte Rhblttion Nursing Ctr 750

Stonehill College Inc 642

Old Colony Y 570

Titalist and Footjoy Worldwide 536

Brockton High School 500

DEMOGRAPHICS

1-Miles 3-Miles 5-Miles

2017 Estimate Pop 3,410 31,817 140,304

2010 Census Pop 3,211 30,415 135,387

2017 Estimate HH 1,273 10,756 50,054

2010 Census HH 1,182 10,266 48,345

Median HH Income $96,960 $86,274 $65,139

Per Capita Income $56,712 $41,120 $33,599

Average HH Income $139,049 $117,953 $93,094

UNIT MIX

NUMBEROF UNITS

UNIT TYPEAPPROX.SQUARE FEET

2 3 Bedroom / 2 Baths 1,340

2 2 Bedroom / 2 Baths 900

4 Total 4,480

5

VITAL DATA

Price $1,495,000 CURRENT YEAR 1

Loan Type All Cash CAP Rate 6.43% 7.40%

Price/Unit $373,750 GRM 13.25 10.59

Price/SF $333.71Net Operating Income

$96,129 $110,690

Number of Units 4Net Cash Flow After Debt Service

6.43% / $96,129 7.40% / $110,690

Rentable Square Feet 4,480 Total Return 6.43% / $96,129 7.40% / $110,690

Number of Buildings 2

Number of Stories 2

Year Built 2018

Lot Size 0.37 acre(s)


OFFERING SUMMARY

▪ Four Newly Constructed Apartments in Easton, Massachusetts

▪ All New Plumbing, Electrical, Insulation, Flooring, Kitchens & Baths Etc.

▪ Large Three & Two Bedroom Duplex-Open Floor Plan Apartments

▪ Solid Cash-Flowing Buildings with Significant Upside or Condo Conversion

▪ Centrally Located Between Boston, MA and Providence, RI

▪ Close to Major Highways, Transit, Downtown, Shopping, Schools and Stonehill College

INVESTMENT HIGHLIGHTS

Marcus & Millichap is excited to present the newly constructed Elm Street Apartments in North Easton, Massachusetts. Completed in 2018, the four apartment property is

comprised of two buildings. The front building hosts (2) two-bedroom, 1 1/2 bath and the rear building includes (2) three-bedroom, 1 1/2 bath duplex apartments. The

spacious open floor plans feature new kitchen and dining rooms with beautiful quartz countertops and backsplashes, new energy-efficient Samsung electric appliances,

new hardwood floors throughout and a large half-bath. The upstairs feature the bedrooms with ample closet space, full quartz bathroom and additional storage in

attic/basements. Both buildings have all new siding, roofs, plumbing, electrical, insulation, oil/forced hot water systems and LED lighting throughout. Additional amenities

include two off-street parking spaces, new Samsung washer and dryers and private outdoor patio/deck space.

The Elm Street Apartments are ideally situated in fundamentally desirable and growing submarkets throughtout the metropolitan Boston area. Conveniently located just

30-minutes south of Boston and just 40-minutes north of Providence, RI, easy access to major highways, including Route-24, I-95 & I-495, are within minutes of the

property; along with Stonehill College (2-miles), Massasoit Community College (7-miles) and the MBTA Commuter Rail with express train to Boston (5-miles). The Town of

Easton is host to a population of nearly 25,000 people, and in a continued effort, the town is working to ensure continued growth and development by preserving historic

and environmental resources, creating new housing options, enhancing agricultural and recreational opportunities and allowing safe and efficient transportation options

that will align its goals for the future for decades to come.

INVESTMENT OVERVIEW

6

LOCAL MAP


7

AERIAL PHOTO


8

Marcus & Millichap

closes

more transactions

than any other

brokerage firm.

12


9

PROPERTY PHOTO

Marcus & Millichap

closes

more transactions

than any other

brokerage firm.

12


10

PROPERTY PHOTO


11

FINANCIAL

ANALYSIS

FINANCIAL ANALYSIS


RENT ROLL SUMMARY

12

RENT ROLL DETAIL

FINANCIAL ANALYSIS


OPERATING STATEMENT

13

FINANCIAL ANALYSIS


PRICING DETAIL

14

MARCUS & MILLICHAP CAPITAL CORPORATION

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

$5.63 billion

total national

volume in 2017

Access to

more capital

sources than

any other firm

in the industry

Optimum financing solutions

to enhance value

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?

Closed 1,707

debt and equity

financings

in 2017

ACQUISITION FINANCING


15


16

SALE

COMPARABLES

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES

rentpropertyname1

rentpropertyaddress1

rentpropertyname1


rentpropertyname1


17

SALES COMPARABLES

1

Units Unit Type

Close Of Escrow: 6/6/2018 17 1 Bdr 1 Bath

Sales Price: $8,500,000 20 2 Bdr 1 Bath

Price/Unit: $223,684 1 3 Bdr 1 Bath

Price/SF: $212.50

CAP Rate: 6.05%

Total No. of Units: 38

Year Built: 2015

NOTES

Similar vintage, unit quality.

244 WASHINGTON ST244 Washington St, Easton, MA, 02356

Units Unit Type

Close Of Escrow: 6/6/2018 3 2 Bdr 2 Bath

Sales Price: $700,000

Price/Unit: $233,333

Price/SF: $145.08


Year Built: 1900

2

250 ELM ST250 Elm St, North Easton, MA, 02356

Units Unit Type

Offering Price: $1,495,000 2 3 Bdr 2 Baths

Price/Unit: $373,750 2 2 Bdr 2 Baths

Price/SF: $333.71

CAP Rate: 6.43%

GRM: 13.25


Year Built: 2018

Underwriting Criteria

Income $112,800 Expenses $16,671

NOI $96,129

38-42 ELM STREET38-42 Elm Street, North Easton, MA, 02356


18

RENTAL

COMPARABLES

PROPERTY NAMEELM STREET APARTMENTS

RENT COMPARABLES

19

AVERAGE RENT - MULTIFAMILY

$0

$300

$600

$900

$1,200

$1,500

$1,800

$2,100

$2,400

$2,700

$3,000

38-42 Elm

Street

244

Washington

St

Ames Shovel

Apartments

Avalon

Easton

Edgewater

at Queset

Commons

3 Bedroom

Avg. $2,576

$0

$400

$800

$1,200

$1,600

$2,000

$2,400

$2,800

$3,200

$3,600

$4,000

38-42 Elm

Street

244

Washington

St

Ames Shovel

Apartments

Avalon

Easton

Edgewater

at Queset

Commons

2 Bedroom

PROPERTY NAME

MARKETING TEAM


RENT COMPARABLES

rentpropertyname1


rentpropertyname1


rentpropertyname1


20

YEAR BUILT: 2018

rentpropertyname1


Unit Type Units SF Rent Rent/SF

3 Bdr 2 Baths 2 1,340 $2,750 $2.05

2 Bdr 2 Baths 2 900 $1,950 $2.17

Total/Avg. 4 1,120 $2,350 $2.10

38-42 ELM STREET38-42 Elm Street, North Easton, MA, 02356

YEAR BUILT: 2015

1


2 Bdr 2 Bath 20 1,000-1,200$2,300-$2,400

$2.14

3 Bdr 1 Bath 1 1,300-1,300$00-

$3,500$1.92

Total/Avg. 21 1,110 $2,357 $2.12

244 WASHINGTON ST244 Washington St, Easton, MA, 02356

2

YEAR BUILT: 2010


2 Bdr 2 Bath 858-1,288$2,245-$3,955

$2.89

Total/Avg. $3,100

AMES SHOVEL APARTMENTSAmes Shovel Apartments, North Easton, MA, 02356

PROPERTY NAME

MARKETING TEAM


RENT COMPARABLES

rentpropertyname1


rentpropertyname1


rentpropertyname1


21

YEAR BUILT: 2017

3


2 Bdr 2 Bath 1,180-1,649$2,270-$2,735

$1.77

3 Bdr 2 Bath 1,384-1,691$2,830-$3,080

$1.92

Total/Avg. $2,729

AVALON EASTON60 Robert Dr, South Easton, MA, 02375

YEAR BUILT: 2014

4


2 Bdr 2 Bath 1,000-1,100$2,300-$2,400

$2.24

Total/Avg. $2,350

EDGEWATER AT QUESET COMMONS11 Roosevelt Cir, Easton, MA, 02375


22

MARKET

OVERVIEW

MARKET OVERVIEW

OVERVIEW

PROVIDENCE

Covering most of Rhode Island, the Providence metro also incorporates

a portion of Southern Massachusetts. The market encompasses more

than 1.6 million residents and 634,000 households. It spans across six

counties: Providence, Bristol, Kent, Newport and Washington in Rhode

Island and Bristol in Massachusetts. The city of Providence was one of

the first cities in the nation, hosts an ivy league school, Fortune 500

companies and houses the state capitol.

▪ The healthcare industry employs a significant number of workers through Care New England,

CharterCARE Health Partners and Lifespan hospitals.

▪ Citizens Financial is a leading employer in the state, with more than 5,000 workers within 25

locations, including its company headquarters.

▪ Rhode Island has the highest concentration of jobs in the jewelry industry in the United States,

accounting for 18 percent of the state's manufacturing base.

▪ The metro is also the home of the Rhode Island School of Design and the RISD museum.

DEMOGRAPHICS

1

ECONOMY

METRO HIGHLIGHTS

* Forecast

Sources: Marcus & Millichap Research Services; BLS; Bureau of Economic Analysis; Experian; Fortune; Moody’s Analytics; U.S. Census Bureau


IVY LEAGUE EDUCATION

Brown University enrolls approximately 9,000 students and employs over 4,000

workers. Off-campus student spending is estimated at over $60 million annually.

DIVERSE ECONOMY

Providence is a major industrial, commercial, medical and financial center for

New England. The city is a major supplier of jewelry and silverware.

POPULATION CENTER

Founded in 1636, Providence is one of the oldest cities in the nation and today

is the third most populous city in New England after Boston and Worcester.

1.6M

2017POPULATION:

634K

2017HOUSEHOLDS:

40.3

2017MEDIAN AGE:

$57,900

2017 MEDIAN HOUSEHOLD INCOME:

U.S. Median:

37.8U.S. Median:

$56,3002.3%

Growth2017-2022*:

1%

Growth2017-2022*:

PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS

Source: © 2017 Experian

Created on July 2018

POPULATION 1 Miles 3 Miles 5 Miles

▪ 2022 Projection

Total Population 3,464 32,042 139,335

▪ 2017 Estimate


▪ 2010 Census


▪ 2000 Census


▪ Daytime Population

2017 Estimate 4,720 39,501 133,494

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

▪ 2022 Projection

Total Households 1,311 10,996 50,698

▪ 2017 Estimate


Average (Mean) Household Size 2.69 2.67 2.69

▪ 2010 Census


▪ 2000 Census


Growth 2015-2020 2.99% 2.23% 1.29%

HOUSING UNITS 1 Miles 3 Miles 5 Miles

▪ Occupied Units

2022 Projection 1,311 10,996 50,698

2017 Estimate 1,304 10,948 51,821

Owner Occupied 982 8,032 31,014

Renter Occupied 291 2,723 19,040

Vacant 31 192 1,767

▪ Persons In Units

2017 Estimate Total Occupied Units 1,273 10,756 50,054

1 Person Units 22.78% 22.81% 26.36%

2 Person Units 30.40% 31.80% 28.25%

3 Person Units 17.83% 18.15% 17.23%

4 Person Units 16.97% 15.93% 15.69%

5 Person Units 9.27% 7.84% 7.52%

6+ Person Units 2.83% 3.49% 4.95%

HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

▪ 2017 Estimate

$200,000 or More 15.78% 10.78% 7.01%

$150,000 - $199,000 11.88% 11.85% 8.09%

$100,000 - $149,000 20.80% 20.16% 16.83%

$75,000 - $99,999 13.55% 13.54% 12.23%

$50,000 - $74,999 13.40% 14.08% 15.40%

$35,000 - $49,999 5.84% 9.11% 11.61%

$25,000 - $34,999 7.01% 6.81% 8.19%

$15,000 - $24,999 6.09% 6.89% 9.04%

Under $15,000 5.66% 6.78% 11.63%

Average Household Income $139,049 $117,953 $93,094

Median Household Income $96,960 $86,274 $65,139

Per Capita Income $56,712 $41,120 $33,599

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

▪ Population By Age

2017 Estimate Total Population 3,410 31,817 140,304

Under 20 29.74% 25.35% 26.14%

20 to 34 Years 23.84% 17.67% 19.47%

35 to 39 Years 3.36% 4.90% 5.86%

40 to 49 Years 11.31% 12.88% 13.47%

50 to 64 Years 19.04% 22.11% 20.79%

Age 65+ 12.70% 17.07% 14.24%

Median Age 28.91 41.88 38.75

▪ Population 25+ by Education Level

2017 Estimate Population Age 25+ 1,794 20,945 93,303

Elementary (0-8) 0.70% 1.50% 4.13%

Some High School (9-11) 2.78% 4.61% 7.18%

High School Graduate (12) 21.07% 24.86% 27.76%

Some College (13-15) 13.07% 16.99% 18.89%

Associate Degree Only 10.06% 9.28% 8.93%

Bachelors Degree Only 31.69% 27.02% 20.41%

Graduate Degree 19.89% 14.93% 10.85%

▪ Population by Gender

2017 Estimate Total Population 3,410 31,817 140,304

Male Population 46.42% 47.98% 48.06%

Female Population 53.58% 52.02% 51.94%

24

Income

In 2017, the median household income for your selected geography is

$96,960, compare this to the US average which is currently $56,286.

The median household income for your area has changed by 43.00%

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

area will be $111,197 five years from now, which represents a change

of 14.68% from the current year.

The current year per capita income in your area is $56,712, compare

this to the US average, which is $30,982. The current year average

household income in your area is $139,049, compare this to the US

average which is $81,217.

Population

In 2017, the population in your selected geography is 3,410. The

population has changed by 13.67% since 2000. It is estimated that

the population in your area will be 3,464.00 five years from now,

which represents a change of 1.58% from the current year. The

current population is 46.42% male and 53.58% female. The median

age of the population in your area is 28.91, compare this to the US

average which is 37.83. The population density in your area is

1,083.36 people per square mile.

Households

There are currently 1,273 households in your selected geography. The

number of households has changed by 13.97% since 2000. It is

estimated that the number of households in your area will be 1,311

five years from now, which represents a change of 2.99% from the

current year. The average household size in your area is 2.69 persons.

Employment

In 2017, there are 1,894 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

75.90% of employees are employed in white-collar occupations in

this geography, and 24.17% are employed in blue-collar occupations.

In 2017, unemployment in this area is 4.76%. In 2000, the average

time traveled to work was 32.00 minutes.

Race and Ethnicity

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

92.10% White, 3.25% Black, 0.02% Native American and 1.87%

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

70.42% White, 12.85% Black, 0.19% Native American and 5.53%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 3.50% of the current year

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

17.88%.

PROPERTY NAME

MARKETING TEAM


Housing

The median housing value in your area was $395,663 in 2017,

compare this to the US average of $193,953. In 2000, there were 909

owner occupied housing units in your area and there were 208 renter

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

$633.

Source: © 2017 Experian

DEMOGRAPHICS

25

8


DEMOGRAPHICS

26

www.MarcusMillichap.com

Matthew Pierce

National Multi Housing Group

Boston Office

Tel: (617) 896-7214

Fax: (617) 539-8331

[email protected]

Licenses: MA 9506948

P R E S E N T E D B Y

27

elm street apartments - loopnet...2 3 bedroom / 2 baths 1,340 2 2 bedroom / 2 baths 900 4 total...

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