890 ROAD MOBILE HOME PARK 338511 E 890 RD, CHANDLER OK 74834€¦ · chandler ok 74834 county...

890 ROAD MOBILE HOME PARK

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KELLER WILLIAMS PLATINUM REATLY338511 E 890 RD, CHANDLER OK 74834

890 Road Mobile Home ParkCONTENTS

Marketed By

Stratton Group Laura Green Caleb GlennMulti_Family Specialist Multi-Family Specialist

855.596.7976 (405) 514-6950 (520) 256-2891License # OK: 139714 License # AZ: SA682765000

[email protected] [email protected] [email protected]

We obtained the following information above from sources we believe to be reliable. However, we have not verified its accuracy and make no guarantee, warranty or representation about it. It is submitted subject to the possibility of errors, omissions, change of price, rental or otherconditions, prior sale, lease or financing, or withdrawal without notice. We include projections, opinions, assumptions or estimates for example only, and they may not represent the current or future performance of the property. You and your tax and legal advisors should conduct yourown investigation of the property and transaction.

01 Executive Summary Investment Summary 5 Unit Mix Summary 7 Location Summary 8

02 Property Description Property Features 10 Aerial Map 11 Property Images 12

03 Rent Roll Rent Roll Details 16

04 Financial Analysis Income & Expense Analysis 18 Cash Flow Analysis 19

05 Demographics Demographics 22 Demographic Charts 23

The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Stratton Group and it shouldnot be made available to any other person or entity without the written consent of Stratton Group. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees thatrecipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property, please promptly return this offering memorandum to Stratton Group.This offering memorandum has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest inthe subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Stratton Group has not made any investigation, and makes no warranty or representation withrespect 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 presenceor absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or financial condition orbusiness prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe reliable; however, Stratton Group has not verified, and will not verify, any of the informationcontained herein, nor has Stratton Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of theinformation provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses ofinvestigating the subject property.

890 Road Mobile Home Park Confidentiality and Disclaimer | 03

CONFIDENTIALITY AND DISCLAIMER:

PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.PLEASE CONTACT STRATTON GROUP FOR MORE DETAILS.Copyright © 2019 CREOP, LLC. All Rights Reserved.

890 Road M

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Executive Summary

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Investment Summary

Unit Mix Summary

Location Summary

890 Road Mobile Home Park Investment Summary | 05

OFFERING SUMMARYADDRESS 338511 E 890 Rd

Chandler OK 74834COUNTY Lincoln CountyBUILDING SF 9,912LAND SF 1,752,419NUMBER OF SPACES 7YEAR BUILT 2000APN 0000-02-14N-03E-2-001-00

FINANCIAL SUMMARYOFFERING PRICE $535,000PRICE PSF $53.98PRICE PER UNIT $76,429OCCUPANCY 94.00 %NOI (CURRENT) $28,694NOI (Pro Forma) $40,217CAP RATE (CURRENT) 5.36 %CAP RATE (Pro Forma) 7.52 %GRM (CURRENT) 9.72GRM (Pro Forma) 9.72

DEMOGRAPHICS 1 MILE 3 MILE 5 MILE2019 Population 112 1,061 4,5222019 Median HH Income $55,591 $53,396 $45,3872019 Average HH Income $65,245 $64,603 $58,955

7 Homes - 100% Occupied

40 Acres - Expansion Opportunity

Rural Water & Well/Septic

Sub-Metered Electric Direct-Billed

2 Comm Bldgs & 3 Underground Storm Shelters

Newly Refurbished Units - Good Condition

Stocked Pond Onsite

7 Trailers over 40 acres offered at $535k; 6 3-bed/2-baths averaging$640/unit and 1 2-bed/2-bath at $500/month - all units are park-ownedwith good-quality, long-term tenants (somes over 12 years); each unit isoccupied. Average age of the homes range from '92-'06. 2 commercial-use buildings onsite; one is a 480 SF storage building with 4 10'x12'storage units ($60/month) and the other is a 30'x30' shop totaling 900 SF($200/month). Property grosses $4,585 each month, or $55,020 per year.

890 Road Mobile Home Park Investment Summary | 06

6 of the homes are set on the eastern front of the parcel and the 7th is onthe other side of the property, on the northwestern front, and has a10'x16' porch add-on. Of the 6 eastern-front homes, all are on a septicsystem and 2 are serviced by a well, while the other 4 and the 7th homeare connected to rural water; the 7th home to the west has a dedicatedseptic tank with lateral lines, also EPA approved. Owner does recoverwater expenditures on the four homes hooked to rural water; thesehomes are metered and billed for usage. Electric is sub-metered at eachof the 7 sites and directly-billed to the residents. 3 underground stormshelters included as well. 2 are in close proximity of the 6 mobiles and thethird is near the 7th trailer.

Owner has refurbished most of the units in the last 24 months; all are ingood condition, some with new carpets and appliances, cabinets, hotwater heaters and new paint. If there is any deferred maintenance, it isminimal.

Private pond located east-central in the parcel established 2007, totaling3-5 acres and stocked with fish by the owner for the residents, with amini-waterfall at the north end of the creek. With over 30 undevelopedacres, there is plenty of room to expand the park.

890 Road Mobile Home Park Unit Mix Summary | 07

Actual MarketUnit Mix # Units Square Feet Current Rent Rent PSF Monthly Income Market Rent Market Rent

PSFMarket Income

3 bd / 2 ba 6 1,259 $638 $0.51 $3,828 $650 $0.52 $3,9002 bd / 2 ba 1 980 $500 $0.51 $500 $515 $0.53 $515

Totals/Averages 7 1,219 $618 $0.51 $4,328 $631 $0.52 $4,415

890 Road Mobile Home Park Location Summary | 08

Located 50 minutes northeast of the center of OklahomaCity, the property boasts close access to Interestate-44 (4min), US-177 (10 min), OK-18 (12 min) & OK-66 (5 min).The park is just south of Bell Cow Lake, a 1,153 acreresovoir offering boating, fishing, swimming, camping,picnicking, and horseback riding, and not too far west ofChandler Lake. Stillwater is 40 minutes north and Edmondis 40 minutes west.

Ioway Casino is 3 miles south of the park on the other sideon the interstate. The casino has 250 slot machines, a newsteakhouse, an outside patio area with a stage for liveevents as well as a new full service bar as part of theexpansion.

Besides the Casino, Chandler also has a WalmartSupercenter, McDonald's, Ford, GMC & Dodgedealerships, Dollar General, several local automotive shopsand a Hiland Dairy facility.

Regional Map

Locator Map

890 Road M

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Property Description

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Property Features

Aerial Map

Parcel Map

Additional Maps

Property Images

890 Road Mobile Home Park Property Features | 10

PROPERTY FEATURESNUMBER OF SPACES 7BUILDING SF 9,912LAND SF 1,752,419LAND ACRES 40.23YEAR BUILT 2000# OF PARCELS 7PRIMARY PARCEL NUMBER 0000-02-14N-03E-2-001-00

UTILITIESWATER Well - Included in RentSEWER Septic - Included in RentELECTRIC Sub-Metered & Direct-Billed

Unit BreakdownNUMBER OF PARK-OWNED HOMES 7NUMBER OF TENANT-OWNEDHOMES

0

TOTAL NUMBER OF UNITS 7TOTAL NUMBER OF VACANCIES 0OCCUPANCY 100%AVERAGE RENT / UNIT $620AVERAGE UNIT SQUARE FOOTAGE 1,220

890 Road Mobile Home Park Aerial Map | 11

890 Road Mobile Home Park Property Images | 12

890 Road M

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Rent Roll

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Rent Roll Details

890 Road Mobile Home Park Rent Roll Details | 16

Unit Square Feet Unit Mix Monthly Rent PSF Market Rent Notes339243 1,280 3-bed/2-bath $700 $0.55 $700 2006 Skyline 16x80 w/ 10x16 add-on890061 1,216 3-bed/2-bath $625 $0.51 $640 1993 Fleetwood 16x80890083 980 2-bed/2-bath $500 $0.51 $515 1996 Belmont 14x70890121 1,216 3-bed/2-bath $625 $0.51 $640 1996 Skyline 14x70890178 1,280 3-bed/2-bath $625 $0.49 $640 2000 Redmond 16x80890200 1,280 3-bed/2-bath $625 $0.49 $640 1992 Fleetwood 16x80890220 1,280 3-bed/2-bath $625 $0.49 $640 2002 Clayton 16x80

Totals/Averages $4,325 $0.51 $4,415

890 Road M

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Financial Analysis

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Income & Expense

Multiyear Cash Flow Projections

890 Road Mobile Home Park Income & Expense Analysis | 18

INCOME CURRENT PRO FORMAGross Potential Income $55,020 $55,020

Less: General Vacancy $3,527

Effective Gross Income $51,493 $55,020

Less: Expenses $22,799 $14,803

Net Operating Income $28,694 $40,217

EXPENSES CURRENT PRO FORMA

Real Estate Taxes $106 $743 $107 $750

Insurance $475 $3,326 $500 $3,500

Advertising $27 $192 $21 $150

Cleaning & Maintenance $89 $625 $118 $825

Repairs $1,539 $10,775 $786 $5,502

Supplies $968 $6,778 $511 $3,576

Utilities $51 $360 $71 $500

Total Operating Expense $3,257 $22,799 $2,115 $14,803

Expense / SF $2.30 $1.49

% of EGI 44.28 % 26.90 %

Per Unit Per Unit

Expense Notes: Owner spent more on repairs in 2018 than previous years; we're not anticipating35% repair expenses on proforma; it's at 18% and still likely estimating on the highside. Industry average between 10% & 15%.

REVENUE ALLOCATION

DISTRIBUTION OF EXPENSES

890 Road Mobile Home Park Cash Flow Analysis | 19

CASH FLOWCalendar Year CURRENT Year 2 Year 3 Year 4Gross Potential RevenueGross Rental Income $55,020 $55,020 $56,120 $57,243Gross Potential Income $55,020 $55,020 $56,120 $57,243General Vacancy $3,527 $0 $0 $0Effective Gross Income $51,493 $55,020 $56,120 $57,243Operating ExpensesReal Estate Taxes $743 $750 $765 $780Insurance $3,326 $3,500 $3,570 $3,641Advertising $192 $150 $153 $156Cleaning & Maintenance $625 $825 $842 $858Repairs $10,775 $5,502 $5,612 $5,724Supplies $6,778 $3,576 $3,648 $3,720Utilities $360 $500 $510 $520Total Operating Expense $22,799 $14,803 $15,099 $15,401Net Operating Income $28,694 $40,217 $41,021 $41,842

Effective Gross Income vs Operating Expenses Cash Flow

890 Road Mobile Home Park Cash Flow Analysis | 20

Calendar Year CURRENT Year 2 Year 3 Year 4Financial MetricsCash on Cash Return b/t 5.36 % 7.52 % 7.67 % 7.82 %CAP Rate 5.36 % 7.52 % 7.67 % 7.82 %Operating Expense Ratio 44.27 % 26.90 % 26.90 % 26.90 %Gross Multiplier (GRM) 9.72 9.72 9.53 9.35Breakeven Ratio 44.28 % 26.90 % 26.90 % 26.90 %Price / SF $53.98 $53.98 $53.98 $53.98Price / Unit $76,429 $76,429 $76,429 $76,429Income / SF $5.19 $5.55 $5.66 $5.77Expense / SF $2.30 $1.49 $1.52 $1.55

890 Road M

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Demographics

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Demographic Details

Demographic Charts

890 Road Mobile Home Park Demographics | 22

POPULATION 1 MILE 3 MILE 5 MILE

2000 Population 105 919 4,192

2010 Population 117 1,038 4,495

2019 Population 112 1,061 4,522

2024 Population 110 1,070 4,523

2019 African American 1 15 218

2019 American Indian 4 48 224

2019 Asian 0 3 20

2019 Hispanic 3 31 154

2019 White 101 938 3,728

2019 Other Race 1 8 40

2019 Multiracial 4 50 285

2019-2024: Population: Growth Rate -1.80 % 0.85 % 0.00 %

2019 HOUSEHOLD INCOME 1 MILE 3 MILE 5 MILE

less than $15,000 6 54 273

$15,000-$24,999 3 39 227

$25,000-$34,999 2 31 174

$35,000-$49,999 4 49 229

$50,000-$74,999 8 85 345

$75,000-$99,999 7 55 200

$100,000-$149,999 4 49 162

$150,000-$199,999 1 11 51

$200,000 or greater 0 7 32

Median HH Income $55,591 $53,396 $45,387

Average HH Income $65,245 $64,603 $58,955

HOUSEHOLDS 1 MILE 3 MILE 5 MILE

2000 Total Housing 36 355 1,810

2010 Total Households 37 373 1,692



2019 Average Household Size 3.14 2.73 2.56

2000 Owner Occupied Housing 29 280 1,165

2000 Renter Occupied Housing 3 45 438



2019 Vacant Housing 7 53 315

2019 Total Housing 42 433 2,009



2024 Vacant Housing 7 58 334

2024 Total Housing 42 440 2,025

2019-2024: Households: Growth Rate 0.00 % 0.55 % -0.20 %

Source: esri

890 Road Mobile Home Park Demographic Charts | 23

1 Mile Radius 3 Mile Radius 5 Mile Radius

2019 Household Income

1 Mile Radius 3 Mile Radius 5 Mile Radius

2019 Population by Race

890 Road Mobile Home Park Demographic Charts | 24

2019 Household Occupancy - 1 Mile Radius

Average Income Median Income

2019 Household Income Average and Median

890 Road Mobile Home Park

Marketed By

Stratton Group Laura Green Caleb GlennMulti_Family Specialist Multi-Family Specialist

855.596.7976 (405) 514-6950 (520) 256-2891License # OK: 139714 License # AZ: SA682765000

[email protected] [email protected] [email protected]

powered by CREOP

890 ROAD MOBILE HOME PARK 338511 E 890 RD, CHANDLER OK 74834€¦ · chandler ok 74834 county...

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