Two Class A Multifamily Properties, Great Lakes - Big Rivers Region

Property Description

Two Class A Multifamily Properties

Two Apartment Complexes.

Both are ground-ups, to-be-built.

Both are Class A+ projects.

One located in a major Missouri market.

The other is located in a major Arkansas market.

Completion Time - on or before March 30th, 2024

Both sites are attached in this executive summary overview.

The owner will need to speak on the phone with all qualified principal buyers prior to releasing any further informaton.

Executive Summary

Timing: These projects are sufficient multifamily zoned land tracts currently in “contract pending” status.

Projected time for construction completion is on or before 24 months with a Phase 1 of 2 on each project opening first probably within 18 months.

Developer/Builder: This Developer/Builder is very experienced developer/ builder for both hotels and multifamily.

Currently he is has several multifamily projects going and two Hilton Hotel projects underway.

Prospective Buyer Requirements

Buyer must have experience at start up stage purchases and working relationship with lender if borrowing for such.

These projects will be sold at an unstabiized rate for the cap rates determined for the market rates as of March 2022 around a 5%+ capitalization rate.

Should market rates increase in time between now and completion then that would represent added value and opportunity to the investor.

Additionally, investor may be able to scale up or down around the desire to remove or add amenities for potential net revenues.

Down payment, Terms and Conditions

The Buyer will obtain own construction loan and be responsible for the down payment of 20-30% or what they negotiate with Buyer’s lender.

Builder has working construction payment plan he uses for partner investment companies.

Payments to builder are conditioned where the banks designate independent construction inspectors to approve upon conditional measured construction improvement status.

Package Purchase

If both locations are purchased, then there may be some negotiation room on total.

First Phases on each project completed sooner.

Steps of structure

1) Buyer/Seller come to agreement for terms and conditions

2) Buyer purchases land contracts from Seller prior to construction and conditioned upon approval of large scale plans by local municipalities.

3) Buyer takes it to their lender and set’s up construction loan.

4) Bank typically requires Buyer to place their down payment/preconstruction funds up front (i.e. - 20-30%). Part of their down payment to bank for construction loan due must include: All real estate fees, architect, land cost all paid by Buyers upon closing of land.

5) Working construction contract standard inspection/approval/ payment

Project Description

Amenities on each apartment project to include:

High-end LUXURY A+(1/2 will have garages); amenities to include gym, large outdoor pool, kitchen to rent, conference room, coffee bar, dog-washing station, gift-wrapping station, drop-off delivery and shipping system room, and more. Photographs/prototype to be forwarded with interest. Each will have nearly the same amenities.

Letter from Buyer attorney or engineer responsible for taking their respective project through large scale approval process for the respective municipal authority will send letter to Buyer for estimated approval process within 5 business days of contract sales agreement execution. Buyer has contract pending and taking property through zoning currently.

Descriptions

Project 1: Missouri - across the street from major retail development and ¼ mile from new HQ employment campus for the city’s largest employer of 25,000 total employees incoming. Status- Contract Pending, Builder Developer going through zoning approval.

Project 2: Arkansas - walking distance from a Distribution Center of a major National Retail Tenant, A major Boulevard

Same Builder/Developer/Seller: To be disclosed upon agreement of terms for contract. Phone conference available for meeting and discussion for terms and conditions with registered client

Proforma: Proforma with respective regional information to be provided upon approved Buyer.

Project 1: Missouri
Total Project Sales Price: $71 million
Land Cost: $5,651,256 - land acquisition from Seller will come first and cost is part of the Total Project Sales Price, but to be paid for upon execution of contract.
Size: 15.5+/- acre @ $8.37 psf.; 2 different parcels (addresses to be determined)
Number of units: 300 units @ $237K per unit base price
Additional Costs of Project: Soft Costs will have an allowance line item for soft costs (phone/internet, furniture, pool, W/D, product for such/kind of amenities. Investment Buyer may upgrade such items upon request Rent: starting from $2,000+ per month minimum.

Project 2: Arkansas
Total Project Sales Price: $68,100,000
Land Cost: $5.86 psf. or $3,650,00.00
Size: 15 acres +/- Tract in process of being surveyed off and split off from larger parcel. 15+/- acres land acquisition from Seller will come first and cost is part of the Total Project Sales Price, but to be paid for upon execution of contract.
Number of Units: 300 @ $227K per unit
Additional Costs of Project: Soft Costs will have an allowance line item for soft costs (phone/internet, furniture, pool, W/D, product for such/kind of amenities. Investment Buyer may upgrade such items upon request.
Rent: starting from $1600 per month

Images