THE BELLEAIR APARTMENTS - CityFeet · Grimaldi Commercial Realty Corp • 115 W Bearss Ave •...

CONFIDENTIAL OFFERING MEMORANDUM • SEPTEMBER 18, 2019

Grimaldi Commercial Realty Corp • 115 W Bearss Ave • Tampa, FL 33613 • 813.882.0884grimaldicommercialrealty.com

811 Lotus Path , Clearwater, FL 33756

THE BELLEAIR APARTMENTS

David [email protected]

THE BELLEAIR APARTMENTS FOR SALE- SELLER FINANCING AVAILABLE!

https://www.grimaldicommercialrealty.com/index.php


MULTIFAMILY PROPERTY FOR SALE

2

presented by:

PROPERTY INFORMATION 3

FINANCIAL ANALYSIS 8

LOCATION INFORMATION 11

ADVISOR BIOS 16

AssociateO: 813.882.0884C: 813.245.7333E: [email protected]

David Rosenthal

The information contained in the following offering memorandum is proprietary and strictlyconfidential. It is intended to be reviewed only by the party receiving it from GrimaldiCommercial Realty and it should not be made available to any other person or entity withoutthe written consent of Grimaldi Commercial Realty.

By taking possession of and reviewing the information contained herein the recipient agrees tohold and treat all such information in the strictest confidence.

The recipient further agrees that recipient will not photocopy or duplicate any part of theoffering memorandum. If you have no interest in the subject property, please promptly returnthis offering memorandum to Grimaldi Commercial Realty.

This offering memorandum has been prepared to provide summary, unverified financial andphysical information to prospective purchasers, and to establish only a preliminary level ofinterest in the subject property.

The information contained herein is not a substitute for a thorough due diligenceinvestigation.

Grimaldi Commercial Realty has not made any investigation, and makes no warranty orrepresentation with respect to the income or expenses for the subject property, the futureprojected financial performance of the property, the size and square footage of the propertyand improvements, the presence of absence of contaminating substances, PCBs or asbestos,the compliance with local, state and federal regulations, the physical condition of theimprovements thereon, or financial condition or business prospects of any tenant, or anytenant’s plans or intentions to continue its occupancy of the subject property.

The information contained in this offering memorandum has been obtained from sources webelieve reliable; however, Grimaldi Commercial Realty has not verified, and will not verify, anyof the information contained herein, nor has Grimaldi Commercial Realty conducted anyinvestigation regarding these matters and makes no warranty or representation whatsoeverregarding the accuracy or completeness of the information provided.

All potential buyers must take appropriate measures to verify all of the information set forthherein.

Prospective buyers shall be responsible for their costs and expenses of investigating thesubject property.

CONTENTS CONFIDENTIALITY & DISCLAIMER

THE BELLEAIR APARTMENTS811 Lotus Path , Clearwater, FL 33756

TABLE OF CONTENTS


PROPERTY INFORMATION


SECTION 1 • PROPERTY INFORMATION

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OFFERING SUMMARY

Sale Price: $525,000

Number Of Units: 6

CAP RATE 2020: 9%

CASH-ON-CASH RETURN 2020 16%

Lot Size: 0.26 Acres

Year Built: 1963

Building Size: 4,063 SF

Renovated: 2019

Zoning: MF

Market: CLEARWATER

Submarket: BELLEAIR BLUFFS

PROPERTY OVERVIEWSELLER FINANCING IS AVAILABLE WITH AT LEAST $200,000 IN THE FORM OF ADOWN PAYMENT, WITH AN AMAZING INTEREST RATE AND THE POSSIBILITY OFINTEREST ONLY PAYMENTS!

THE BELLEAIR APARTMENT COMPLEX IS A 6-UNIT BUILDING LOCATED INBEAUTIFUL BELLEAIR, FL. THE PROPERTY HAS FIVE (2-BEDROOM/2-BATHROOM)UNITS AND ONE (1-BEDROOM/1-BATHROOM) UNIT WITH EXTREMELY UNDERMARKET RENTAL RATES CURRENTLY IN-PLACE. THE PROPERTY HAS A UNIQUEMIXTURE OF UNITS WITH BUILDING 1 CONTAINING TWO UNITS AND BUILDING2 CONTAINING THE REMAINING 4. THIS FANTASTIC LAYOUT ALLOWS FORSPACIOUS APARTMENTS AND A LARGE PARKING LOT IN THE REAR OF THECOMPLEX FOR TENANTS AND THEIR GUESTS. EACH UNIT HAS A VERY SIMILARLAYOUT, AND THE LARGE INTERIOR OF THESE UNITS IS EXTREMELY RARE FOR APROPERTY IN THIS AMAZING LOCATION! A BUYER CAN EASILY OBTAIN A CAPRATE OF OVER 9% AND A CASH-ON-CASH RETURN OF OVER 16% BY THEBEGINNING OF 2020! THE SELLER IS ALSO OFFERING SELLER FINANCING WITHINTEREST ONLY PAYMENTS, WHICH MAKES THIS DEAL EVEN BETTER!

THE BELLEAIR APARTMENTS ARE LOCATED MINUTES FROM THE GULF OFMEXICO AND WORLD-FAMOUS CLEARWATER BEACH, MAKING THIS ONE OFTHE MOST DESIRABLE LOCATIONS IN ALL OF SOUTH FLORIDA!


EXECUTIVE SUMMARY




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PROPERTY DESCRIPTION

THE BELLEAIR APARTMENT COMPLEX IS CURRENTLY 100% OCCUPIED AND HAS EXTREMELY LOW RENTAL RATES, MAKING THIS ANIDEAL VALUE-ADD OPPORTUNITY FOR AN INVESTOR LOOKING FOR THE PERFECT CASH-FLOWING ASSET. THE PROPERTY CONSISTSOF APARTMENTS THAT ARE SEVERELY BELOW MARKET RENTAL RATES FOR THE AREA AND PRESENTS MASSIVE UPSIDE FOR ANINVESTOR. CURRENTLY, ALL TENANTS ARE ON MONTH-TO-MONTH LEASES, ALLOWING A BUYER TO INCREASE THEIR RENTAL RATESIMMEDIATELY. ONE OF THE BEST FEATURES OF THIS AMAZING ASSET IS THE FACT THAT, ON AVERAGE, THE TENANTS HAVEOCCUPIED THEIR RESPECTIVE UNITS FOR OVER 3 YEARS. THIS CLEARLY SHOWS THE LOW-TURNOVER AND LONG-TERM NATURE OFTHE CURRENT TENANTS.

THE PROPERTY IS CURRENTLY IN FANTASTIC CONDITION AND HAS BEEN WELL MAINTAINED BY THE OWNER. WITH THE MASSIVE2-BEDROOM/ 2-BATH FLOOR PLAN THAT ALL BUT ONE OF THE UNITS POSSESSES, THE BUYER WILL BE ABLE TO RAISE THE RENTSWITHOUT ISSUE. DUE TO THE LACK OF QUALITY 2-BEDROOM/ 2-BATHROOM UNITS CURRENTLY AVAILABLE FOR RENT IN BELLEAIR,THE DEMAND HAS NEVER BEEN HIGHER. THESE UNITS WILL STAY RENTED FOR YEARS TO COME AS THE PROPERTY VALUE WILLONLY CONTINUE TO RISE!

A 2-BEDROOM/2-BATHROOM APARTMENT IN THIS PART OF BELLEAIR (OR CLEARWATER), FL SHOULD BE RENTING FOR NO LESSTHAN $925 PER MONTH. SOME COMPARABLE UNITS ARE RENTING FOR AS MUCH AS $1,000 PER MONTH! DUE TO THE FACT THATTHE PROPERTY HAS CONSISTENTLY STAYED OCCUPIED WITH HIGH-QUALITY TENANTS, THE OWNER HAS NOT ACTIVELY TRIED TOINCREASE THE RENTAL RATES. HOWEVER, BASED ON THE RENTAL RATES OF COMPARABLE PROPERTIES IN VERY SIMILARCONDITION, A $200-$325 INCREASE SHOULD BE VERY EASILY ATTAINABLE. THIS IS THE IDEAL SCENARIO FOR AN INVESTOR AS THEYCAN RAISE THE RENTS INSTANTLY WITHOUT HAVING TO SPEND MUCH, IF ANY, ON CAPEX. AS A RESULT, THE PROPERTY SHOULDPRODUCE A CASH-ON-CASH RETURN ALMOST IMPOSSIBLE TO FIND ANYWHERE ELSE IN THE BELLEAIR/CLEARWATER AREA.

THE PROPERTY HAS BEEN RECENTLY RENOVATED WITH MANY GREAT ADDITIONS AND IMPROVEMENTS WHICH INCLUDE, BUT ARENOT LIMITED TO, NEW TILE FLOORING, HVAC AND ROOF MAINTENANCE AND REPAIRS, INTERIOR AND EXTERIOR PAINTING, NEWTOILETS, NEW BATHROOM TILES AND, NEW KITCHEN APPLIANCES AND COUNTERTOPS IN VARIOUS UNITS. GIVEN ALL OF THESERECENT UPGRADES, THE PROPERTY IS CLEARLY IN GREAT CONDITION AND WILL BE EASY TO MAINTAIN IN THE FUTURE. THE ROOFON BUILDING TWO WAS REPLACED LESS THAN 3 YEARS AGO, WHILE THE ROOF ON BUILDING 1 IS APPROXIMATELY 8-10 YEARSOLD. THE PROPERTY CAN ALSO BE EASILY SELF-MANAGED AS IT CONTAINS A SMALL NUMBER OF UNITS WITH VERY RESPECTFULTENANTS WHO HAVE OCCUPIED THEIR RESPECTIVE UNITS FOR A VERY LONG TIME. THIS SHOULD ALLOW THE BUYER TO SAVEMONEY EACH YEAR THAT WOULD OTHERWISE BE SPENT ON A MANAGEMENT FEE.


PROPERTY DESCRIPTION




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RENT ROLL*




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INCOME STATEMENT*


FINANCIAL ANALYSIS


SECTION 2 • FINANCIAL ANALYSIS

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SALE HIGHLIGHTS

• SELLER FINANCING IS AVAILABLE!

• 6-UNIT APARTMENT COMPLEX IN BELLEAIR, FL!

• 9% CAP RATE IN 2020!

• 16%+ CASH-ON-CASH RETURN!

• 100% OCCUPIED!

• EXTREMELY LOW RENTAL RATES, GIVING THE

BUYER MASSIVE UPSIDE!

• ALL TENANTS ARE ON SHORT-TERM LEASES,

ALLOWING A BUYER TO IMMEDIATELY RAISE THE

RENTAL RATES TO INCREASE THEIR NOI

INSTANTLY!

• LONG-TERM TENANTS ALL CURRENTLY ON

MONTH-TO-MONTH LEASES!

• CURRENT RENTAL RATES ARE APPROXIMATELY

$200-$325 BELOW THE CURRENT AVERAGE

MARKET RENTAL RATES!

• FANTASTIC UNIT MIX CONSISTING OF FIVE

2-BEDROOM/2-BATHROOM UNITS, AND ONE

1-BEDROOM/1-BATHROOM UNIT!

• PROPERTY IS IN FANTASTIC CONDITION WITH

MANY UPGRADES AND RENOVATIONS!


COMPLETE HIGHLIGHTS



SECTION 2 • FINANCIAL ANALYSIS

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INTERIOR UNIT PHOTOS


LOCATION INFORMATION


SECTION 3 • LOCATION INFORMATION

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ADDITIONAL PHOTOS




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Clearwater, FL


REGIONAL MAP




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811 Lotus Path


AERIAL MAPS




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POPULATION 1 MILE 3 MILES 5 MILES

Total population 11,037 86,369 205,755

Median age 39.3 43.3 46.2

Median age (Male) 40.4 42.5 44.8

Median age (Female) 38.6 43.2 47.1

HOUSEHOLDS & INCOME 1 MILE 3 MILES 5 MILES

Total households 4,789 35,052 90,443

# of persons per HH 2.3 2.5 2.3

Average HH income $41,692 $52,389 $55,850

Average house value $493,540 $241,031 $208,808

* Demographic data derived from 2010 US Census


DEMOGRAPHICS MAP & REPORT


ADVISOR BIOS


SECTION 4 • ADVISOR BIOS

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115 W Bearss AveTampa, FL 33613T 813.882.0884C [email protected]

PROFESSIONAL BACKGROUND

David began his career at Ernst & Young, David serving as a Big FourAccountant, focusing on client services and analyzing Financial Statements.Before joining Grimaldi Commercial Realty, David worked with many local RealEstate Investment Trusts, learning the financial side of the Real Estate market.

Experience in the following:Retail Sales & LeasesFinancial PlanningReal Estate Investment TrustsDividend Reinvestment Plans & Dividend Payout RatiosSeller and Investor FinancingContract negotiations and due diligenceInvestment & Financial AnalysisProperty Valuation>

EDUCATION

David graduated from Tulane University in New Orleans, Louisiana, where hereceived a Bachelor's in Finance and a Masters in Accounting.A Tampa native since 1991, David attended Tampa Preparatory High School inDowntown Tampa where he played Soccer, Basketball, and ran Cross Country.When he is not working, David enjoys watching sports, working out and playinggolf.

MEMBERSHIPS & AFFILIATIONS

David is an outgoing individual whose drive and passion are evident in hispersistence to provide outstanding service. His business is built on: Dedication,Communication, Determination, & Trust while embodying the ability to caterand adapt to all of his client's Real Estate needs.

DAVID ROSENTHAL

Associate


ADVISOR BIO & CONTACT 1


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