5536 Atlantic Ave BOV - Portrait

LO NG BE ACH, CA

B RO K E R O P I N I O N O F VA LU E

BROKER OPINION OF VALUE I NVE STME N T CON TACTS

JASON DUFAULT Managing Director 714.292.6478 jason@jdufault.com Lic. #01844551

JOSEPH SIOUNIT Co-Listing Broker 310.779.1145 joseph4realestate@yahoo.com Lic. #01299382

6621 E PCH, SUITE 150 LONG BEACH, CA 90803 10960 WILSHIRE BLVD, SUITE 100 LOS ANGELES, CA 90024

This project contains select information pertaining to the Property and the Owner, and does not purport to be all-inclusive or contain all or part of the information which prospective investors may require to evaluate a purchase of the Property. The information contained in this project has been obtained from sources believed to be reliable, but has not been verified for accuracy, completeness, or fitness for any particular purpose.

All information is presented “as is” without representation or warranty of any kind. Such information includes estimates based on forwardlooking assumptions relating to the general economy, market conditions, competition and other factors which are subject to uncertainty and may not represent the current or future performance of the Property.

All references to acreages, square footages, and other measurements are approximations. This project describes certain documents, including leases and other materials, in summary form. These summaries may not be complete nor accurate descriptions of the full agreements referenced. Additional information and an opportunity to inspect the Property may be made available to qualified prospective purchasers.

You are advised to independently verify the accuracy and completeness of all summaries and information contained herein, to consult with independent legal and financial advisors, and carefully investigate the economics of this transaction and Property’s suitability for your needs. The Owner expressly reserves 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 at any time with or without notice to you. All offers, counteroffers, and negotiations shall be nonbinding and neither Keller Williams, Inc. nor the Owner shall have any legal commitment or obligation except as set forth in a fully executed, definitive purchase and sale agreement delivered by the Owner.

Keller Williams & the Keller Williams logo are service marks of Kelller Williams. All other marks displayed on this document are the property of their respective owners, and the use of such logos does not imply any affiliation with or endorsement of Kelller Williams.

Each

Office

is

Independently

Owned

and

Operated.

Broker

and Broker’s Agents do not represent or guarantee accuracy of square footage, lot size, condition, features. It is the Buyer’s sole

D I SC L AIMER

responsibility

to

perform

investigations

and

© 2020 Keller Williams, Inc. All Rights Reserved.

satisfy

themselves.

CO N T ENTS

01

KW INTRO PAGE

04

MARKET OVERVIEW

02

PROPERTY DESCRIPTION

05

SALES PLAN

03

LOCATION OVERVIEW

06

OFFERING TERMS

In one of the most stunning David and Goliath stories in

Keller Williams is a leader in global real estate. We offer

real estate history, Keller Williams has surged past industry

comprehensive services to investors, property owners,

giants like RE/MAX, Coldwell Banker, and Berkshire

tenants, and developers around the world. We have an

Hathaway HomeServices to become the number one real

established network and a proven model that sets the

estate franchise in agent count, closed units, and closed

framework for profitability in markets across the globe.

sales volume in the United States*. In 2017, the company’s

We know that the strongest enterprises are driven by top

155,000 U.S. agents closed more than 1 million units,

talent, and our growth strategy is completely centered on

generating more than $300 billion in sales revenue.

getting in business with the very best people in the real estate industry across the globe.

6

5 CONTINENTS

36 REGIONS

LARGEST

195+ LOCATIONS

NUMBER ONE

INDEPENDENT REAL ESTATE FRANCHISE IN THE WORLD

IN UNITS & SALES VOLUME IN THE UNITED STATES

1,000+

180,000

OFFICES IN THE US AND CANADA & 5 CONTINENTS

REAL ESTATE PROFESSIONALS IN THE KW NETWORK

EXCELLENCE

MOST INNOVATIVE

IN TRAINING, COACHING AND REAL ESTATE EDUCATION

REAL ESTATE COMPANY (INMAN NEWS)

7

FLOOR

PLAN

8

SITE

PLAN

LOCATION:

The Property is bordered by E 55th Street on the South, E 56th Street on the North, Atlantic Avenue on the West and Lime Avenue on the East.

ADDRESS:

5536 Atlantic Avenue Long Beach, CA 90805

9

LOCATION

OVERVIEW

Atlantic Ave

PROPERTY SUMMARY TYPE

Storefront

GLA

4,200 SF

YEAR BUILT

1947

FLOORS

1

CONSTRUCTION

Wood Frame

LAND

0.10 AC

VACANCY

100%

NNN ASKING RENTS

$14.40 Per SF

MARKET RENT

$25.51 Per SF

10

POPULATION

1 MILE

3 MILES

5 MILES

10 MILES

10 MIN. DRIVE

Population

50,225

231,474

677,487

2,542,513

570,567

5 Yr Growth

-0.4%

-0.6%

-0.4%

-0.3%

-1.3%

Median Age

32

34

34

35

34

5 Yr Forecast

34

36

36

37

36

White / Black / Hispanic

60% / 18% / 58%

63% / 18% / 54%

65% / 18% / 56%

68% / 13% / 58%

64% / 18% / 54%

5 Yr Forecast

60% / 17% / 58%

63% / 18% / 54%

65% / 18% / 57%

68% / 13% / 59%

64% / 17% / 55%

Employment

3,558

88,762

220,037

952,742

251,853

Buying Power

$758.1M

$4.5B

$12.5B

$47.6B

$11.1B

5 Yr Growth

2.7%

2.1%

2.0%

2.0%

1.3%

College Graduates

11.4%

15.8%

15.4%

18.1%

23.5%

Households

14,343

68,218

191,956

755,696

163,692

5 Yr Growth

-0.3%

-0.7%

-0.4%

-0.3%

-1.3%

Median Household Income

$52,855

$65,324

$65,343

$63,053

$67,894

5 Yr Forecast

$54,486

$67,144

$66,892

$64,511

$69,738

Average Household Income

$69,382

$81,390

$82,116

$82,361

$86,985

5 Yr Forecast

$71,233

$83,217

$83,929

$84,214

$89,225

% High Income (>$75k)

37%

43%

43%

42%

45%

Median Home Value

$410,776

$467,033

$481,813

$530,114

$543,033

Median Year Built

1955

1957

1958

1960

1958

Owner / Renter Occupied

43% / 57%

52% / 48%

53% / 47%

49% / 51%

52% / 48%

HOUSEHOLD

HOUSING

MARKET

OVERVIEW NET ABSORPTION, NET DELIVERIES & VACANCY

YEAR OVER YEAR JOB GROWTH

12

POPULATION GROWTH

LABOR FORCE GROWTH

INCOME GROWTH

LOS ANGELES ECONOMIC SUMMARY Recent months have seen progress, digging out from the depths of the coronavirus downturn, but the hole already dug is deep, and the outlook going forward remains highly uncertain. The metro was hit particularly hard with job losses. Unemployment has improved from its peak in May, but remains well above the national average. Los Angeles’ position as the entertainment capital of the world and the increased demand for video streaming and social media had been a boon to the L.A. economy during the past several years. While production of content is down and the economic impacts on the sector are clear, longer term, the industry should remain a key driver of growth in the metro. The content war never went away; it just went in hibernation. The entertainment business directly or indirectly employs one out of five workers in L.A. County, so it will be critical to see activity improve from the industry to create a sustainable recovery.

Tourism is important for the local economy, and with leisure travel down considerably, the impact to this sector and its employees has been profound. Before the pandemic, over 500,000 people in the county were employed in the leisure and hospitality industry. L.A. saw 50 million visitors in 2019.

Air travel remains highly depressed. September passenger volumes out of Los Angeles International Airport (LAX) were down over 75% from volumes seen the same month a year ago. Stores, restaurants, and lodging in tourist hotspots like Downtown L.A., Hollywood, Beverly Hills, and Santa Monica have been particularly impacted. Luckily trade, another staple of the economy, has seen its fortunes improve in

recent months. Trade volumes through the Los Angeles and Long Beach ports have been notably strong since July. Prior to the uptick, levels had been depressed as a result of the early stages of the pandemic and the trade war with China.

The rhetoric between the U.S. and China remains heated, but with the election of Joe Biden as President, relations between the two nations could change. Roughly half of the goods that enter through the twin ports of Los Angeles and Long Beach come from China, a significantly higher ratio than at other major U.S. ports.

As more of a structural issue that needs to be addressed long term, the prohibitive cost of housing in L.A. is a major impediment to hiring and is often cited as a motivating factor for companies to relocate to other parts of the country. L.A.’s population did not grow last year and has averaged only 0.3% annual population growth over the past 10 years. Lower-income households have been relocating to more affordable areas of the country for decades.

Despite near-term doom-and-gloom, the metro economy possesses many positive attributes. The economy is diverse and largely matches the profile of the national economy.

The metro is an attractive location for immigrants and educated talent throughout the nation. More people making six-figure paychecks continue to move to L.A. than are leaving. Education levels, while below the national average, continue to improve every year.

13

SALES

PLAN S O LU TIO N : K EL L ER WI L L I AMS PREM IER S ALES T EA M C O M M ITS TO THE F OL L OWING T O PR O V IDE M A X I MUM RESULTS

• Position the project as the exciting new townhome development in the region.

• Implement strong marketing campaign using targeted strategy & consistent process through multiple distribution channels • Utilize database of national, regional, and local Buyer and Agents to create awareness of the development

SALES

MARKET

AGENT 14

15

OFFERING

TERMS Noviverdi itam firmiliem ervigno nessoli caequam fecris; Cato ium moretrum unum aperem il unumures temusqua mum aceps, me mors suppli consum ant. Ivid ia publibus, quam niamdii ssenter emnirmis consul hoc, se, non dici int. At ius la vir atuit, que ipionsultus culessul vite confectu esupicerdit apesimmo pra tes verevignat, spioste ssentra, side pere nononvo, qua Sp. Maribes firis, nos atus conequam. Grat, supplis.

Dum teat pliuro cre aute ego iam st virmaios, mentess iliura re, tuam omaio pessoltum maionsum aucivid simus cons huctum es ficit et; in aucont publicerfec restil verit; num et opublicaed inculin veridees? P. Bitantiam inte ex morissula ninam, ublin nimilicii culium actum patamdien non te que con teri preo hebefac ivemoves es consuli civerumus huis.

Um intem et esensigitam posusquit.

FINANCIAL INFORMATION

Noviverdi itam firmiliem ervigno nessoli caequam

Price

xx

fecris; Cato ium moretrum unum aperem il unumures

Net Rentable Area (BOMA)

xx

Percentage Leased

temusqua mum aceps, me mors suppli consum ant. Ivid

xx

In-Place NOI

ia publibus, quam niamdii ssenter emnirmis consul hoc,

xx

Year 1 NOI

se, non dici int. At ius la vir atuit, que ipionsultus culessul

xx

vite confectu esupicerdit apesimmo pra tes verevignat, spioste ssentra, side pere nononvo, qua Sp. Maribes firis,

TENANT INFORMATION

nos atus conequam. Grat, supplis. Dum teat pliuro cre

Vacancy

xx

NRA

aute ego iam st virmaios, mentess iliura re, tuam omaio

xx

In-Place ROI

pessoltum maionsum aucivid simus cons huctum es ficit

xx

WALT

et; in aucont publicerfec restil verit; num et opublicaed

xx

No. of Tenants

inculin veridees? P. Bitantiam inte ex morissula ninam,

xx

ublin nimilicii culium actum patamdien non te que con teri preo hebefac ivemoves es consuli civerumus huis. Um intem et esensigitam posusquit.

16

Noviverdi itam firmiliem ervigno nessoli caequam fecris;

Maribes firis, nos atus conequam. Grat, supplis. Dum teat

Cato ium moretrum unum aperem il unumures temusqua

pliuro cre aute ego iam st virmaios, mentess iliura re, tuam

mum aceps, me mors suppli consum ant. Ivid ia publibus,

omaio pessoltum maionsum aucivid simus cons huctum es

quam niamdii ssenter emnirmis consul hoc, se, non dici

ficit et; in aucont publicerfec restil verit; num et opublicaed

int. At ius la vir atuit, que ipionsultus culessul vite confectu

inculin veridees? P. Bitantiam inte ex morissula ninam, ublin

esupicerdit apesimmo pra tes verevignat, spioste ssentra,

nimilicii culium actum patamdien non te que con teri preo

side pere nononvo, qua Sp. Maribes firis, nos atus conequam.

hebefac ivemoves es consuli civerumus huis.

Grat, supplis. Dum teat pliuro cre aute ego iam st virmaios, mentess iliura re, tuam omaio pessoltum maionsum aucivid

P. Bitantiam inte ex morissula ninam, ublin nimilicii culium

simus cons huctum es ficit et; in aucont publicerfec restil

actum patamdien non te que con teri preo hebefac ivemoves

verit; num et opublicaed inculin veridees?

es consuli civerumus huis. Um intem et esensigitam posusquit, condam ina, conihili, mus Ad maximul ibusquerox

P. Bitantiam inte ex morissula ninam, ublin nimilicii culium

siliurorum ex sussid nicastrae, alegiterum atum nonem di se

actum patamdien non te que con teri preo hebefac ivemoves

cone num conernimum ad con te.

es consuli civerumus huis. Um intem et esensigitam posusquit, condam ina, conihili, mus Ad maximul ibusquerox siliurorum ex sussid nicastrae, alegiterum atum nonem di se cone num conernimum ad con te.

17

JASON DUFAULT Managing Director 714.292.6478 jason@jdufault.com Lic. #01844551 JOSEPH SIOUNIT Co-Listing Broker 310.779.1145 joseph4realestate@yahoo.com Lic. #01299382 6621 E PCH, SUITE 150 LONG BEACH, CA 90803 10960 WILSHIRE BLVD, SUITE 100 LOS ANGELES, CA 90024