mecklenburg manor apartments offering...mecklenburg manor apartments s charles wentworth vice...

MECKLENBURG MANOR APARTMENTSs

CHARLES WENTWORTHVice [email protected]

A 51 UNIT MULTI-FAMILY INVESTMENT OPPORTUNITY719 EAST FERRELL STREET, SOUTH HILL, VIRGINIA 23970

Part of the CBRE affiliate network

:: A CBRE RICHMOND MULTI-HOUSING OPPORTUNITY

This is a confidential memorandum (the “Memorandum”) intended solely for your limited use and benefit in determining whether you desire to

express further interest in the acquisition of the Mecklenburg Manor Apartments (the “Property”).

This Memorandum contains selected information pertaining to the Property and does not purport to be a representation of the state of affairs of the

owner or the Property, to be all-inclusive or to contain all or part of the information which prospective investors may require to evaluate a purchase

of real property. All financial projections and information are provided for general reference purposes only and are based on assumptions relating

to the general economy, market conditions, competition, and other factors beyond the control of the owner and CBRE | Richmond. Therefore, all

projections, assumptions and other information provided and made herein are subject to material variation. All references to acreages, square

footages, and other measurements are approximations. Additional information and an opportunity to inspect the Property will be made available

to interested and qualified prospective purchasers. Neither the owner or CBRE | Richmond, nor any of their respective directors, officers, affiliates

or representatives make any representation or warranty, expressed or implied, as to the accuracy or completeness of this Memorandum or any of

its contents, and no legal commitment or obligation shall arise by reason of your receipt of this Memorandum or use of its contents; and you are

to rely solely on your investigations and inspections of the Property in evaluating a possible purchase of the real property.

The owner expressly reserved the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or

to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Memorandum. The owner

shall have no legal commitment or obligation to any entity reviewing this Memorandum or making an offer to purchase the Property unless and

until written agreement(s) for the purchase of the Property have been fully executed, delivered and approved by the owner and any conditions to

the owner’s obligations therein have been satisfied or waived.

By receipt of this Memorandum, you agree that this Memorandum and its contents are of a confidential nature, that you will hold and treat it in the

strictest confidence and that you will not disclose this Memorandum or any of its contents to any other entity without the prior written authorization

of the owner or CBRE | Richmond. You also agree that you will not use this Memorandum or any of its contents in any manner detrimental to the

interest of the owner or CBRE | Richmond.

In this Memorandum, certain documents and other materials are described in summary form. These summaries do not purport to be

complete nor necessarily accurate descriptions of the full agreements referenced. Interested parties are expected to review all such

summaries and other documents of whatever nature independently and not rely on the contents of this Memorandum in any manner.

All terms and conditions as expressed within this Memorandum are also applicable to associated materials and information gathered from the

website dedicated to this offering located at www.cbremarketplace.com/mecklenburgmanor.

If after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return this Memorandum to CBRE | Richmond.

CONFIDENTIALITY

: : A CBRE | RICHMOND MULTI-HOUSING OPPORTUNITY2

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MECKLENBURG MANOR APARTMENTS

OFFERING MEMORANDUM

THE OFFERING

Executive Summary ....................................3

Property Description ..................................4

Weatherization Assistance Program ..........5

Financial Analysis ..................................... 7

12 Month Income Statement ................... 12

Rent Roll .................................................. 14

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EXECUTIVE SUMMARYMecklenburg Manor, a 51-unit community with an ideal mix of one, two, and three

bedroom apartment homes, affords an advantageous location in the town of South

Hill with close proximity to the highly-traveled interstate system and immediate access

to the historic downtown district. Strategically located only minutes from Interstate 85,

the property sits less than ten miles from the Virginia/North Carolina border, roughly

half way between Richmond, Virginia and Raleigh, North Carolina.

The community has benefitted from substantial improvements in the past twelve months.

Through the Virginia Weatherization Assistance Program, Mecklenburg Manor received

over $150,000 to install new hot water heaters, stoves, furnaces, and window treat-

ment which has greatly enhanced the living experience at the property. Future owner-

ship will undoubtedly benefit from the careful and detailed stewardship of the asset by

the current owners as the property has historically provided a solid cash flow.

Based upon current earnings and historic performance, the asking price of $1,030,000

provides an investor with an excellent cash-on-cash return from the outset.

Solid cash flow at the property and a competitive lending environment for multi-family

assets should result in a Year One cash return of nearly 15%. The average annual

return over a ten year hold period should be approximately 18%.

Please see the financial analysis on pages 9-13 for a complete summary of debt and

annual cash flow projections.

NUMBER OF UNITS 5 1BR/1BA Section 8

14 2BR/1BA Section 8

5 3BR/1BA Section 8

3 1BR/1BA Non Section 8 (Section 236 units)



51 Total Units

NET RENTABLE AREA

39,819 SF

YEAR BUILT

1974

AVG. UNIT SIZE

781 SF

AVG. MONTHLY MARKET RENT (11/26/12)

$484

OCCUPANCY (11/26/2012)

86%

* Current Section 8 Housing Assistance Payments

(HAP) were renewed on February 1st, 2010 and

will expire on January 31, 2014

: : A CBRE RICHMOND MULTI-HOUSING OPPORTUNITY 3

PROPERTY DESCRIPTION:

MECKLENBURG MANOR APARTMENT AMENITIES• Central Air/Heat

• Ample Closet Space

• Laundry Facility on-site

• Spacious Floor plans

• New water heaters, stoves, and

furnaces (select units)

Washer Dryer Laundry Facility on site

Site Area Total 5.19 acres

Number of Buildings 8 including Manager’s Office

Density 9.83 units/acre

Zoning R2-16

Building Style Garden

Roofing Flat

Exterior Materials Metal, vertical Paneling with Brick Breezeways

Construction Concrete Slab

Stairs Metal Frame with Concrete Steps

Parking 64

BUILDING DESCRIPTION

HVAC Electric heat pump/Gas Furnace

Water Heater One Gas Water Heater per UnitElectrical Services CopperPlumbing Copper and Poly Supply Lines, PVC Waste

MECHANICAL/ ELECTRICAL/ PLUMBING

CAPITAL IMPROVEMENTS

Through the Virginia Weatherization Assistance Program, the

property benefitted from over $150,000 in improvements to install

new water heaters, furnaces, stoves, and window treatments in the

last twelve months.

ASSESSMENTS AND TAXES

Parcel 24348

Land Value: $175,900

Building and other Structures: $949,800

Total: $1,125,700

Mecklenburg County: $.38/$100 of Assessed Value

Town of South Hill: $.34/$100 of Assessed Value

UNIT BREAKDOWN

Unit Type Units Sq. Ft.

Rent 11/26/2012

Estimated Rent Beg. 2/1/2013*

1BR/1BA (Section 8)

5 618 $489 $499

2BR/1BA (Section 8)

14 765 $535 $546

3BR/1BA (Section 8)

5 897 $576 $588

1BR/1BA (Non Section 8)

3 618 $397 $397


14 765 $431 $431


10 897 $462 $462

Total 51 39,819 $24,660 $24,924 Average 781 $484 $489

Current Annual Rent $295,920

Est. Market Rent $299,088

* Section 8 and Non-Section 8 Rents are renewed on February 1 of every year. It is anticipated that HUD will adjust Section 8 rents by 2% for 2013; in all likelihood, non-Section 8 rents will not change.


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WEATHERIZATION ASSISTANCE PROGRAM

APT # Heating & Electrical Replacement/Repair Cost

701 A stove, furnace $1,042.08701 B general repairs $183.84 701 C stove $907.19701 D general repairs $460.02 703 A general repairs $495.15 703 B stove $920.82703 C stove, furnace $3,060.46703 D water heater $977.89705 A tune furnace $347.90705 B stove $1,228.81705 C stove $944.21707 A stove thermostat $1,315.68707 B general repairs $164.35 707 C tune furnace, tune thermostat $423.35707 D stove, tune furnace $1,370.32709 A stove, furnace $3,243.72709 B stove, tune furnace $441.67709 C general repairs $1,497.76 709 D furnace $2,182.79711 A general repairs $485.53 711 B stove, furnace $2,914.35711 C stove $927.99711 D clean burner, tune furnace $314.35713 A tune furnace $314.35713 B clean burner, tune furnace $652.41713 C furnace $2,173.88713 D water heater $964.35715 A stove, thermostat $1,014.52

APT # Heating & Electrical Replacement/Repair Cost

715 B clean burner, tune furnace $290.41715 C general repairs $155.52 715 D general repairs $423.34 717 A stove $1,240.23717 B stove, furnace $2,903.44717 C thermostat $3,349.43717 D furnace $2,184.26721 A tune & clean burner $314.35721 B tune & clean furnance $329.35721 C stove, thermostat $1,315.68721 D stove, furnace $3,213.16723 A stove tune, clean furnace $1,517.90723 B furnace 11 $2,137.25723 C stove $1,245.71723 D water heater $936.66725 A general repairs $171.56 725 B tune furnance $296.14725 C general repairs $778.90 725 D general repairs $170.82 727 A stove $1,223.96727 B general repairs $316.77 727 C stove, furnace $3,220.32727 D furnace, thermostat $2,568.19

Subtotal Est. weatherization materials & subcontract (where applicable) $61,273.09

Estimate Labor: Crew and Office $92,849.71

Total Estimate for Materials & Labor $154,122.80*

Estimated Owner Contribution 33% $50,860.52

ESTIMATED WORKSCOPE FOR MECKLENBURG MANOR APARTMENTS:


: : A CB RICHARD ELLIS WASHINGTON DC MULTI-HOUSING OPPORTUNITY:: A CBRE | RICHMOND MULTI-HOUSING OPPORTUNITY6

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LoanLoanProperty Type Apartment Original Loan Principal $775,379Property Owner Mecklenburg Manor Associates Loan Commencement Date Feb-13Property Address 719 East Ferrell Street Loan Term 10 Years

South Hill, VA 23970 Loan Maturity Date Jan-23Size of Improvements 39,819 SF Interest Rate 4.00%Units 51 Units Amortization Period 30 YearsOccupancy as of November 26, 2012 86.27% Interest Only Period 0 YearsYear Built 1974 Loan-to-Value Ratio 75.00%

Origination Fee 1.00%

Purchase Pr ice Purchase Pr ice $1,033,839$1,033,839Capitalization Rate on Pro Forma NOI after ReserveCapitalization Rate on Pro Forma NOI after Reserves 8.00%8.00% DSCR (Amortizing) 1.86Pr ice Per UnitPr ice Per Unit $20,271$20,271Pr ice Per Square FootPr ice Per Square Foot $25.96$25.96

Acquisition Cost $1,033,839Loan Principal ($775,379)

Net Residual Value as of January 31, 2023Net Residual Value as of January 31, 2023 $1,104,989$1,104,989 Origination Fee $7,754Residual Capitalization RateResidual Capitalization Rate 8.00%8.00% Capital Expenditures $0Residual Cost of SaleResidual Cost of Sale 1.50%1.50% Equity Requirement $266,213

Leveraged IRRLeveraged IRR 18.72%18.72%10-Year Avg Cash-on-Cash10-Year Avg Cash-on-Cash 15.57%15.57%Year 1 Cash-on-CashYear 1 Cash-on-Cash 14.38%14.38%

Mecklenburg Manor

EXECUTIVE SUMMARY

LOAN SUMMARYLOAN SUMMARY

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PROPERTY DESCRIPTIONPROPERTY DESCRIPTION

ACQUISITION AND RESIDUAL SUMMARYACQUISITION AND RESIDUAL SUMMARY

LEVERAGE SUMMARYLEVERAGE SUMMARY


FINANCIAL ANALYSIS


GLOBALGLOBAL DEDUCTIONSDEDUCTIONS

Analysis PeriodAnalysis Period Loss to LeaseLoss to LeaseCommencement Date February 1, 2013 (Applied against Projected Market Rent)End Date January 31, 2023 Pro Forma - 0.00% FY 2018 - 0.00%Term 10 Years FY 2014 - 0.00% FY 2019 - 0.00%

FY 2015 - 0.00% FY 2020 - 0.00%Area MeasuresArea Measures FY 2016 - 0.00% FY 2021 - 0.00%

Building Square Feet 39,819 SF FY 2017 - 0.00% FY 2022 - 0.00%Number of Units 51 Units Vacant Units 7 Units Vacancy LossVacancy Loss

86.27% (Applied against Gross Potential Rent)Pro Forma - 4.00% FY 2018 - 4.00%

REVENUESREVENUES FY 2014 - 4.00% FY 2019 - 4.00%FY 2015 - 4.00% FY 2020 - 4.00%

Annualized Cont ract Rent GrowthAnnualized Cont ract Rent Growth FY 2016 - 4.00% FY 2021 - 4.00%Pro Forma - 0.00% FY 2018 - 1.60% FY 2017 - 4.00% FY 2022 - 4.00%FY 2014 - 1.60% FY 2019 - 1.60%FY 2015 - 1.60% FY 2020 - 1.60% Non-Revenue Unit sNon-Revenue Unit sFY 2016 - 1.60% FY 2021 - 1.60% Admin/Down 0 UnitsFY 2017 - 1.60% FY 2022 - 1.60%

Other Income Other Income $7,650 Rent Concessions/Employee DiscountRent Concessions/Employee Discount(Applied against Gross Potential Rent)

Other Income Growth RateOther Income Growth Rate 3.50% Pro Forma - 0.00% FY 2018 - 0.00%FY 2014 - 0.00% FY 2019 - 0.00%

EXPENSESEXPENSES FY 2015 - 0.00% FY 2020 - 0.00%FY 2016 - 0.00% FY 2021 - 0.00%

Growth Rates Growth Rates FY 2017 - 0.00% FY 2022 - 0.00%Operating Expenses 2.00%Property Taxes 2.00% Bad Debt ExpenseBad Debt ExpenseCapital Reserves 2.00% (Applied against Gross Potential Rent)

Pro Forma - 0.80% FY 2018 - 0.80%Management Fee (Percent of EGI)Management Fee (Percent of EGI) 7.00% FY 2014 - 0.80% FY 2019 - 0.80%

FY 2015 - 0.80% FY 2020 - 0.80%Capital Reserves Per Unit (2012)Capital Reserves Per Unit (2012) $300 FY 2016 - 0.80% FY 2021 - 0.80%

FY 2017 - 0.80% FY 2022 - 0.80%

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Physical Occupancy as of November 26, 2012

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SUMMARY OF FINANCIAL ASSUMPTIONS

Mecklenburg Manor

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FINANCIAL ANALYSIS


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ResidualResidualAcquisitionAcquisition 20132013 20142014 20152015 20162016 20172017 20182018 20192019 20202020 20212021 20222022 20232023

GROSS INCOMEGROSS INCOMETotal Projected Market Rents $0 $299,088 $303,873 $308,735 $313,675 $318,694 $323,793 $328,974 $334,237 $339,585 $345,018 $350,539Loss To Lease $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

GROSS POTENTIAL RENTGROSS POTENTIAL RENT $0 $299,088 $303,873 $308,735 $313,675 $318,694 $323,793 $328,974 $334,237 $339,585 $345,018 $350,539

Vacancy Loss $0 ($11,964) ($12,155) ($12,349) ($12,547) ($12,748) ($12,952) ($13,159) ($13,369) ($13,583) ($13,801) ($14,022)Management Office/Model $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0Concessions $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0Bad Debt $0 ($2,393) ($2,431) ($2,470) ($2,509) ($2,550) ($2,590) ($2,632) ($2,674) ($2,717) ($2,760) ($2,804)Delinquency/Prepaid Adjustments $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

RENTAL INCOMERENTAL INCOME $0 $284,732 $289,287 $293,916 $298,619 $303,397 $308,251 $313,183 $318,194 $323,285 $328,458 $333,713

Miscellaneous Income $0 $7,650 $7,918 $8,195 $8,482 $8,779 $9,086 $9,404 $9,733 $10,074 $10,426 $10,791…………………………………………………………………………………………………………………………………………………………………………………………………………………………

EFFECTIVE GROSS INCOMEEFFECTIVE GROSS INCOME $0 $292,382 $297,205 $302,111 $307,100 $312,175 $317,337 $322,587 $327,927 $333,359 $338,884 $344,504

EXPENSESEXPENSESOffice Supplies $0 ($2,550) ($2,601) ($2,653) ($2,706) ($2,760) ($2,815) ($2,872) ($2,929) ($2,988) ($3,047) ($3,108)Advertising & Marketing $0 ($2,550) ($2,601) ($2,653) ($2,706) ($2,760) ($2,815) ($2,872) ($2,929) ($2,988) ($3,047) ($3,108)Personnel $0 ($51,000) ($52,020) ($53,060) ($54,122) ($55,204) ($56,308) ($57,434) ($58,583) ($59,755) ($60,950) ($62,169)Maintenance Supplies $0 ($19,125) ($19,508) ($19,898) ($20,296) ($20,702) ($21,116) ($21,538) ($21,969) ($22,408) ($22,856) ($23,313)Contract Services $0 ($10,200) ($10,404) ($10,612) ($10,824) ($11,041) ($11,262) ($11,487) ($11,717) ($11,951) ($12,190) ($12,434)Utilities $0 ($73,078) ($74,539) ($76,030) ($77,551) ($79,102) ($80,684) ($82,298) ($83,944) ($85,622) ($87,335) ($89,082)Real Estate Tax $0 ($7,755) ($7,910) ($8,068) ($8,230) ($8,394) ($8,562) ($8,733) ($8,908) ($9,086) ($9,268) ($9,453)Insurance $0 ($7,650) ($7,803) ($7,959) ($8,118) ($8,281) ($8,446) ($8,615) ($8,787) ($8,963) ($9,142) ($9,325)Management Fee $0 ($20,467) ($20,804) ($21,148) ($21,497) ($21,852) ($22,214) ($22,581) ($22,955) ($23,335) ($23,722) ($24,115)

………………………………………………………………………………………………………………………………………………………………………………………………………………………… TOTAL EXPENSESTOTAL EXPENSES $0 ($194,375) ($198,190) ($202,082) ($206,050) ($210,096) ($214,222) ($218,430) ($222,720) ($227,096) ($231,558) ($236,108)

NET OPERATING INCOMENET OPERATING INCOME $0 $98,007 $99,015 $100,029 $101,051 $102,079 $103,115 $104,157 $105,206 $106,263 $107,326 $108,396

CAPITAL EXPENDITURESCAPITAL EXPENDITURESCapital Reserves $0 ($15,300) ($15,606) ($15,918) ($16,236) ($16,561) ($16,892) ($17,230) ($17,575) ($17,926) ($18,285) ($18,651)

………………………………………………………………………………………………………………………………………………………………………………………………………………………… OPERATING CASH FLOWOPERATING CASH FLOW $0 $82,707 $83,409 $84,111 $84,814 $85,518 $86,222 $86,927 $87,632 $88,336 $89,041 $89,745

ACQUISIT ION / RESIDUALACQUISIT ION / RESIDUALAcquisition Cost ($1,033,839) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 All CashAll CashNet Residual Value $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,104,989 YieldYield

CASH FLOW BEFORE DEBTCASH FLOW BEFORE DEBT ($1,033,839) $82,707 $83,409 $84,111 $84,814 $85,518 $86,222 $86,927 $87,632 $88,336 $1,194,030 8.72%8.72%

FINANCINGFINANCINGPrincipal $775,379 $0 $0 $0 $0 $0 $0 $0 $0 $0 ($610,902) LeveragedLeveragedLoan Fees & Debt Service ($7,754) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) ($44,421) YieldYield

Capital ExpendituresCASH FLOW AFTER DEBTCASH FLOW AFTER DEBT ($266,213) $38,286 $38,987 $39,690 $40,393 $41,097 $41,801 $42,506 $43,210 $43,915 $538,706 18.72%18.72%

Cash-on-Cash ReturnCash-on-Cash ReturnAll Cash 8.00% 8.07% 8.14% 8.20% 8.27% 8.34% 8.41% 8.48% 8.54% 8.61%Leveraged 14.38% 14.65% 14.91% 15.17% 15.44% 15.70% 15.97% 16.23% 16.50% 16.76%

Debt Coverage RatioDebt Coverage Ratio 1.86 1.88 1.89 1.91 1.93 1.94 1.96 1.97 1.99 2.00

Capitalization Rate - Before Reserves 9.48% 9.58% 9.68% 9.77% 9.87% 9.97% 10.07% 10.18% 10.28% 10.38%Capitalization Rate - After Capital Reserves 8.00% 8.07% 8.14% 8.20% 8.27% 8.34% 8.41% 8.48% 8.54% 8.61%

Leveraged (Amortizing) 14.38% 14.65% 14.91% 15.17% 15.44% 15.70% 15.97% 16.23% 16.50% 16.76%

Mecklenburg Manor

CASH FLOW PROJECTIONS Year Ending January 31 Year Ending January 31

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FINANCIAL ANALYSIS

9


AverageAverage PercentagePercentageMonthlyMonthly AnnualAnnual Per UnitPer Unit Per S.F.Per S.F. of EGIof EGI

GROSS INCOMEGROSS INCOMETotal Projected Market Rents $24,924 $299,088 $5,864 $7.51 102.3%Loss to Lease $0 $0 $0 $0.00 0.0%

GROSS POTENTIAL RENTGROSS POTENTIAL RENT $24,924 $299,088 $5,864 $7.51 102.3%

Vacancy Loss ($997) ($11,964) ($235) ($0.30) -4.1%Management Office/Model $0 $0 $0 $0.00 0.0%Concessions $0 $0 $0 $0.00Bad Debt ($199) ($2,393) ($47) ($0.06) -0.8%Delinquency/Prepaid Adjustments $0 $0 $0 $0.00 0.0%

RENTAL INCOMERENTAL INCOME $23,728 $284,732 $5,583 $7.15 97.4%

Miscellaneous Income $638 $7,650 $150 $0.19 2.6%

EFFECTIVE GROSS INCOMEEFFECTIVE GROSS INCOME $24,365 $292,382 $5,733 $7.34 100.0%

EXPENSESEXPENSESOffice Supplies ($213) ($2,550) ($50) ($0.06) -0.9%Advertising & Marketing ($213) ($2,550) ($50) ($0.06) -0.9%Personnel ($4,250) ($51,000) ($1,000) ($1.28) -17.4%Maintenance Supplies ($1,594) ($19,125) ($375) ($0.48) -6.5%Contract Services ($850) ($10,200) ($200) ($0.26) -3.5%Utilities ($6,090) ($73,078) ($1,433) ($1.84) -25.0%Real Estate Tax ($646) ($7,755) ($152) ($0.19) -2.7%Insurance ($638) ($7,650) ($150) ($0.19) -2.6%Management Fee ($1,706) ($20,467) ($401) ($0.51) -7.0%

TOTAL EXPENSESTOTAL EXPENSES ($16,198) ($194,375) ($3,811) ($4.88) -66.5%

NET OPERATING INCOMENET OPERATING INCOME $8,167 $98,007 $1,922 $2.46 33.5%

CAPITAL EXPENDITURESCAPITAL EXPENDITURESCapital Expenditures $0 $0 $0 $0.00 0.0%Capital Reserves ($1,275) ($15,300) ($300) ($0.38) -5.2%

OPERATING CASH FLOWOPERATING CASH FLOW $6,892 $82,707 $1,622 $2.08 28.3%

Debt Service ($3,702) ($44,421) ($871) ($1.12) -15.2%

CASH FLOW AFTER DEBTCASH FLOW AFTER DEBT $3,190 $38,286 $751 $0.96 13.1%

Mecklenburg Manor

YEAR ONE PRO FORMA

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FINANCIAL ANALYSIS

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T5A ActualT5A Actual 2013 Pro Forma2013 Pro FormaGROSS INCOMEGROSS INCOME

Total Projected Market Rents $295,240 $299,088Loss to Lease $0 $0

GROSS POTENTIAL RENTGROSS POTENTIAL RENT $295,240 $299,088

Vacancy Loss ($16,598) ($11,964)Management Office/Model $0 $0Concessions $0 $0Bad Debt ($1,313) ($2,393)Delinquency/Prepaid Adjustments $0 $0

RENTAL INCOMERENTAL INCOME $277,329 $284,732

Miscellaneous Income $3,994 $7,650

EFFECTIVE GROSS INCOMEEFFECTIVE GROSS INCOME $281,323 $292,382

EXPENSESEXPENSESOffice Supplies ($10,150) ($2,550)Advertising & Marketing ($154) ($2,550)Personnel ($61,123) ($51,000)Maintenance Supplies ($28,217) ($19,125)Contract Services ($17,304) ($10,200)Utilities ($71,645) ($73,078)Real Estate Tax ($7,603) ($7,755)Insurance ($571) ($7,650)Management Fee ($32,542) ($20,467)

TOTAL EXPENSESTOTAL EXPENSES ($229,309) ($194,375)

NET OPERATING INCOMENET OPERATING INCOME $52,014 $98,007

CAPITAL EXPENDITURESCAPITAL EXPENDITURESCapital Expenditures $0 $0Capital Reserves $0 ($15,300)

OPERATING CASH FLOWOPERATING CASH FLOW $52,014 $82,707

Mecklenburg Manor

HISTORICAL OPERATING STATEMENTPart of the CBRE affiliate network

FINANCIAL ANALYSIS


INCOME STATEMENT


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INCOME STATEMENT


RENT ROLL


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RENT ROLL


6641 WEST BROAD STREET | SUITE 101 | RICHMOND, VA 23230 | 804.320.5500

© 2012 CB Richard Ellis of Virginia, Inc. The information contained in this document has been obtained from sources believed reliable. While CB Richard Ellis of Virginia, Inc. does not doubt its accuracy, CB Richard Ellis of Virginia, Inc. has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suit-ability of the property for your needs.


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