MARKETING PACKAGE
15436 VANOWEN ST, VAN NUYS, CA 91406
15436 VANOWEN ST
MARKETING PACKAGE TABLE OF CONTENTS 01
Property Overview
02 Financial Analysis 03 Location Overview CONTACT INFORMATION
mike hanassab Senior Director (424) 325-2642
elliot hassAn Senior Director (424) 325-2643
John katnik Senior Associate (424) 325-2644
danny spiwak Associate (424) 325-2645
02
15436 VANOWEN ST, VAN NUYS, CA 91406
SECTION ONE
PROPERTY OVERVIEW
03
15436 VANOWEN ST, VAN NUYS, CA 91406
PROPERTY OVERVIEW
DETAILS
Street Address City State Zip Code APN
15436 Vanowen St Van Nuys CA 91406 2234-023-007
Number of Units
16
Parking
On-Site
Number of Buildings
1
Zoning
LAR3
Number of Stories
2
Unit Mix
Water
Master-Metered
Electric
Individually Metered
Rentable Square Feet
11,954 SF
Gas
Individually Metered
Lot Size
13,016 SF
Construction
Wood-frame Stucco
Year Built
04
1964
Roof
(8) 1 Bed / 1 Bath (8) 2 Bed / 1 Bath
Flat
15436 VANOWEN ST, VAN NUYS, CA 91406
PROPERTY OVERVIEW
HIGHLIGHTS
Ideal 1031 Exchange Investment Opportunity The subject property is an attractive and ideal 1031 Exchange investment opportunity.
Great Van Nuys Location The subject property is located walking distance to Sepulveda Blvd and the Valley Presbyterian Hospital.
Attractive Unit-Mix The property consists of (8) 1 bed / 1 bath units and (8) 2 bed / 1 bath units.
Strong In-Place Income Investors can benefit from a strong yield which allows for attractive financing.
Rental Upside There is approximately 20% upside in the rental income making the subject property a value-add opportunity.
05
15436 VANOWEN ST, VAN NUYS, CA 91406
SECTION TWO
FINANCIAL ANALYSIS
06
15436 VANOWEN ST, VAN NUYS, CA 91406
FINANCIAL ANALYSIS
PRICING ANALYSIS
$3,400,000 Price Price per Unit Price per Square Foot
CURRENT
PRO FORMA
3.86%
5.78%
13.42
10.51
Gross Income
$247,741
$315,713
Expenses
$116,559
$119,278
$131,181
$196,435
CAP Rate GRM $3,400,000 $212,500 $284.42
NOI
This information has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless James Capital Advisors, Inc. from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.
07
15436 VANOWEN ST, VAN NUYS, CA 91406
FINANCIAL ANALYSIS
FINANCING
Down Payment
$1,360,000 (40.00%)
Loan Amount
$2,040,000
Interest Rate
3.55%
Amortization / Fixed Period
30-Year / 5-Year
Term
360 Month
CURRENT
PRO FORMA
Debt Service
-$110,611
-$110,611
Pre-Tax Cash Flow
$20,571
Principle Reduction
-$38,818
Total Return
$59,389
08
(1.51%)
$85,825
(6.31%)
-$38,818 (4.37%)
$124,643
(9.16%)
15436 VANOWEN ST, VAN NUYS, CA 91406
FINANCIAL ANALYSIS
INCOME AND EXPENSE ANNUAL
INCOME
CURRENT
PRO FORMA
Base Rental Income
$253,445
Laundry Income
ANNUAL
EXPENSE
CURRENT
PRO FORMA
$323,520
Taxes
$39,925
$39,925
$1,899
$1,899
Insurance
$7,211
$7,211
Gross Potential Income
$255,344
$325,419
Utilities
$20,617
$20,617
Vacancy Allowance
$7,603
Repairs & Maintenance
$8,000
$8,000
Effective Gross Income
$247,741
Management Fee
$9,910
$12,629
Operating Expenses
$116,559
Gardener
$1,500
$1,500
Net Operating Income
$131,181
Pest Control
$900
$900
Reserves
$3,200
$3,200
Onsite Management
$17,700
$17,700
Direct Assessments
$1,710
$1,710
Trash
$5,886
$5,886
Operating Expenses
$116,559
$119,278
09
(3%)
$9,706
(3%)
$315,713 (47%)
$119,278 $196,435
(38%)
15436 VANOWEN ST, VAN NUYS, CA 91406
FINANCIAL ANALYSIS
RENT SCHEDULE
PRO FORMA
UNIT TYPE
SQ. FOOTAGE
RENT
RENT PER SF
1
1 Bed / 1 Bath
644 SF
$1,055
$1.64
$1,475
$2.29
2
1 Bed / 1 Bath
644 SF
$1,038
$1.61
$1,475
$2.29
3
1 Bed / 1 Bath
644 SF
$1,182
$1.84
$1,475
$2.29
4
1 Bed / 1 Bath
644 SF
$1,446
$2.25
$1,475
$2.29
5*
2 Bed / 1 Bath
850 SF
$1,895
$2.23
$1,895
$2.23
6
2 Bed / 1 Bath
850 SF
$1,386
$1.63
$1,895
$2.23
7
1 Bed / 1 Bath
644 SF
$1,120
$1.74
$1,475
$2.29
8
2 Bed / 1 Bath
850 SF
$1,385
$1.63
$1,895
$2.23
9
2 Bed / 1 Bath
850 SF
$1,767
$2.08
$1,895
$2.23
10**
1 Bed / 1 Bath
644 SF
$1,475
$2.29
$1,475
$2.29
11
1 Bed / 1 Bath
644 SF
$1,045
$1.62
$1,475
$2.29
12
2 Bed / 1 Bath
850 SF
$1,173
$1.38
$1,895
$2.23
14
2 Bed / 1 Bath
850 SF
$1,291
$1.52
$1,895
$2.23
15
2 Bed / 1 Bath
850 SF
$1,600
$1.88
$1,895
$2.23
16
1 Bed / 1 Bath
644 SF
$878
$1.36
$1,475
$2.29
12A
2 Bed / 1 Bath
850 SF
$1,385
$1.63
$1,895
$2.23
11,954 SF
$21,121
TOTAL
RENT
PRO FORMA
UNIT #
RENT PER SF
$26,200
* Vacant ** Manager’s unit. *** Sq. ft. of all units are estimated.
10
15436 VANOWEN ST, VAN NUYS, CA 91406
SECTION THREE
LOCATION OVERVIEW
11
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
San Fernando Valley San Fernando Valley The San Fernando Valley is located within the Los Angeles County which includes the cities of Burbank, Glendale, San Fernando, Hidden Hills, and Calabasas. As home to the world’s major movie studios, the San Fernando Valley is where Angelinos come to escape the busy city life to live, work and play. The San Fernando Valley has it all. It’s made up of gorgeous suburbs and mini-malls strategically placed all around the valley for easy access. Through the years, major network and movie studios have stationed in the Valley and now call it home. The Valley has anything you need or want: great food, great fun, and definitely great shopping. With more than 100 sound stages producing everything from “Jurassic Park” to “The Tonight Show,” the “Valley of the Stars” is home to the Walt Disney Company, NBC Universal Studios, Warner Bros., CBS Studio Center as well as NBC and ABC Television Studios. In addition to the many popular studio tours, historical sites, theaters and museums, the San Fernando Valley offers an incredible array of fine dining, shopping, lodging and recreational opportunities, along with world -class attractions at each of the scenic entrances to the Valley, including the magnificent new Getty Center, the Hollywood Bowl and the Los Angeles Zoo. Whether your travel plans include business or pleasure, come enjoy the friendly hospitality and rich heritage of the San Fernando Valley.
12
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
VAn NUYS
Van Nuys Van Nuys is a densely-populated neighborhood located in central San Fernando Valley. It’s bordered by other popular neighborhoods in the Valley, such as Valley Glen, Lake Balboa, Sherman Oaks, and Panorama City. Even though the San Fernando Valley has a reputation for being suburban, the Van Nuys neighborhood offers residents a more metropolitan feel, perhaps due to the community’s courthouse and many government buildings. Although this neighborhood has been in transition throughout the years, the arrival of new businesses, hotels, residences, restaurants, and shops has transformed the area. Located less than 20 miles away from LA’s Westside, Hollywood, Downtown LA, and other popular neighborhoods in the Valley, residents living in Van Nuys can easily get around town without a hitch. Cutting through the middle of the neighborhood is the 405 freeway (San Diego Freeway), but the community is also near the 101 (Ventura Freeway), 170 (Hollywood Freeway), 118 (Simi Valley Freeway), and the I-5 (Golden State Freeway). Residents living in this neighborhood can also skip the busy commute to LAX, and instead, hop on a flight out of Van Nuys Airport. Many residents in Van Nuys include families, professionals, and students from both UCLA and USC. Residents enjoy the neighborhood’s overall walkability as well as the community’s proximity to the middle of the action in both the San Fernando Valley and LA County.
13
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
AERIAL
14
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
AERIAL
15
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
DEVELOPMENTS
Apartments at the Van Nuys Metrolink Station Architectural plans posted by the Van Nuys Neighborhood Council offer a first look at a multifamily residential complex near the neighborhood’s Metrolink commuter rail station. Less than 2 miles away from the subject property, the project calls for the construction of a fivestory edifice containing 124 studio, one-, and two-bedroom apartments - including 13 extremely low-income affordable units - above semisubterranean parking for 126 vehicles. Floor plans show that the project would have a U-shaped footprint above its podium level, with space for a courtyard-level swimming pool and a landscaped roof deck. 174 Mixed-Use Apartment Complex Demolition is underway at a pair of small commercial buildings in Van Nuys, and a mixeduse apartment complex is slated to rise in its place. The project, less than 2 miles away from the subject property, will consist of a six-story building containing 174 apartments, 18,400 square feet of ground-floor retail space, and 400 parking stalls. Plans call for a mix of studio, one-, and two-bedroom apartments, including 10 to be set aside for very low-income households. Ketter Construction is developing and designing the podium-type building, which will feature amenities such as a swimming pool, a fitness center, and multiple outdoor decks.
16
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
WALKABILITY 1.
Valley Presbyterian Hospital 15107 Vanowen St, Van Nuys, CA 91405 0.5 MILES FROM SUBJECT PROPERTY
2. LA Fitness 6161 Sepulveda Blvd, Van Nuys, CA 91411 1 MILE FROM SUBJECT PROPERTY
3. Windsor Village 6411 Sepulveda Blvd, Van Nuys, CA 91411 0.8 MILES FROM SUBJECT PROPERTY
4. Costco 6100 Sepulveda Blvd, Van Nuys, CA 91411 1.1 MILES FROM SUBJECT PROPERTY
5. Van Nuys High School 6535 Cedros Ave, Van Nuys, CA 91411 0.9 MILES FROM SUBJECT PROPERTY
6. Bassett Street Elementary School 15756 Bassett St, Lake Balboa, CA 91406 0.5 MILES FROM SUBJECT PROPERTY
17
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
WALKABILITY
01 VALLEY PRESBYTERIAN HOSPITAL
Founded in 1958, this Van Nuys hospital has more than 350 beds.
02 LA FITNESS
American gym chain with more than 700 clubs across the United States.
04 COSTCO
The world’s largest multinational corporation of bulk goods.
18
03 WINDSOR VILLAGE
This strip center shopping mall has more than 30 stores.
05 VAN NUYS HIGH SCHOOL
This highschool has more than 2,700 annually enrolled students.
06 BASSETT STREET ELEMENTARY SCHOOL
Built in 1958, this elementary school has more than 700 annual students.
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
Points of Interest 1.
Lake Balboa Park 6300 Balboa Blvd, Van Nuys, CA 91406 2.8 MILES FROM SUBJECT PROPERTY
2. Van Nuys Airport 16461 Sherman Way, Van Nuys, CA 91406 1.9 MILES FROM SUBJECT PROPERTY
3. CSU Northridge 18111 Nordhoff St, Northridge, CA 91330 6.2 MILES FROM SUBJECT PROPERTY
4. The Japanese Garden 6100 Woodley Ave, Lake Balboa, CA 91406 2.8 MILES FROM SUBJECT PROPERTY
5. The Getty 1200 Getty Center Dr, Los Angeles, CA 90049 8.2 MILES FROM SUBJECT PROPERTY
6. Westfield Topanga & The Village 6600 Topanga Canyon Blvd, Canoga Park, CA 91303 8.3 MILES FROM SUBJECT PROPERTY
19
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
Points of Interest
01 LAKE BALBOA PARK
open space with a 19,600 sq. ft. maritime-themed playground.
02 VAN NUYS AIRPORT
This general aviation airport has more than 200,000 annual flights.
04 THE JAPANESE GARDEN
This 6.5 Acre public Japanese Garden is a popular spot for visitors.
20
03 CSU NORTHRIDGE
this public university has more than 39,000 enrolled students.
05 THE GETTY
the $1.3 billion center offers thousands of precious artworks.
06 WESTFIELD TOPANGA & THE VILLAGE
this mall spans 2,100,000 sq. ft. and houses anchor stores like macy’s.
15436 VANOWEN ST, VAN NUYS, CA 91406
LOCATION OVERVIEW
DEMOGRAPHICS
POPULATION
1-Mile
3-Mile
5-Mile
52,060
330,735
749,107
51,183
326,642
743,855
45,366
297,596
699,425
Growth ‘20 - ‘25
1.71%
1.25%
0.71%
Growth ‘10 - ‘20
12.82%
9.76%
6.35%
1-Mile
3-Mile
5-Mile
2025 Projection
17,087
107,208
247,014
2020 Estimate
16,840
106,172
245,791
2010 Census
15,152
98,333
233,945
Growth ‘20 - ‘25
1.47%
0.98%
0.50%
Growth ‘10 - ‘20
11.14%
7.97%
5.06%
Average Income
$63,836
$80,754
$91,478
Median Income
$45,554
$56,255
$65,768
2025 Projection 2020 Estimate 2010 Census
HOUSEHOLDS
21
15436 VANOWEN ST, VAN NUYS, CA 91406
JAMES CAPITAL ADVISORS, INC.
DISCLAIMER
The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guarantees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto. The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants. A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or comparable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property. Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property.
CONFIDENTIALITY This Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker.
RELEASE This Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.
NON-ENDORSEMENT Broker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.
22
www.jamescapitaladvisors.com
@jamescapitaladvisors
JAMES CAPITAL ADVISORS, INC.
THANK YOU FOR YOUR TIME CONTACT
mike hanassab Senior Director
(424) 325-2642
mike.hanassab@jamescapitaladvisors.com CA RE Lic. 01484891
elliot hassan Senior Director
(424) 325-2643
elliot.hassan@jamescapitaladvisors.com CA RE Lic. 01481211
John katnik Senior Associate
(424) 325-2644
john.katnik@jamescapitaladvisors.com CA RE Lic. 02002695
danny spiwak Associate
(424) 325-2645
danny.spiwak@jamescapitaladvisors.com CA RE Lic. 02031346
James Capital Advisors, Inc.
www.jamescapitaladvisors.com
@jamescapitaladvisors