16 Luxury Del Rey Apartments Apartments · throughout. Large Mirrored door closet (floor to ceiling) with “Closet Maid” adjustable closet organizers. Designer features. Laundry

7676 Hazard Center Drive, Suite 500 San Diego, California 92108www.BeaconInvestmentRealty.comDRE #: 01892704

Gabe CandeaMulti-Family [email protected] O: (619) 497-2575 | M: (619) 243-9892

Del Rey Apartments16 Luxury

Apartments3455 Del Rey Street

Pacific Beach, CA 92109

SECTION 1: PROPERTY DESCRIPTIONProperty DescriptionInterior PhotographyAerial Photography Amenities

INVESTMENT HIGHLIGHTS✓ Prime Bay / Coastal Location

✓ Assigned Off-Street Parking

✓ Easy Access to Local Services

3455 Del Rey Street is a Sixteen unit multi-family investment property in the San Diego coastal community of Pacific Beach and is comprised of two 2 Bedroom/1 Bath units and fourteen 1 Bedroom/1 Bath units. The Del Rey Apartments are located on the 3400 block of Del Rey Street and 2 blocks east of Mission Bay. The property has 18 off-street parking spaces located on the property. The property consists of approximately 9,048 square feet of improvements which are situated on a 12,792 square-foot lot. The construction is wood frame with stucco façade. Built in 1965 and underwent an extensive renovation in 2019.

AMENITIESNew full Gourmet Kitchen with Stainless Steel Appliances (Dishwasher, Range, Microwave, and Refrigerator). Elegant new Marble-Quartz countertops. Air Conditioning. New Flooring throughout. Large Mirrored door closet (floor to ceiling) with “Closet Maid” adjustable closet organizers. Designer features. Laundry onsite. Umbrella table enclosed courtyard. Assigned parking.

INVESTMENT SUMMARY

PROPERTY Del Rey Apartments

ADDRESS 3455 Del Rey Street

YEAR BUILT / RENOVATED 1965 / 2019

NUMBER OF UNITS 16

PRICE $6,400,000

PRICE PER UNIT $400,000

PRICE PER SQUARE FOOT $707.34

CAP 4.02%

GRM 16.97

Property Description

3455 Del Rey Street | Pacific Beach | 16 Units | Beacon Investment Realty | 3

✓ Custom Designed Gourmet Kitchens and Baths

✓ Air Conditioning, “Closet Maid”, Furnished Courtyard

✓ Close to Beach, Bay, Restaurants, and Entertainment

Interior Photography


Aerial Photography


Amenities


SECTION 2: NEIGHBORHOOD DESCRIPTIONNeighborhood DescriptionLifestyle Map Demographic Overview Age & Education

Neighborhood Description

Pacific BeachPacific Beach is a community in San Diego, California. Located north of Ocean Beach, west of Clairemont, and south of La Jolla. Its close proximity to arterial freeways, Interstate 5 & Interstate 8, gives its residents an ideal position to central San Diego’s expanding employment base.

Pacific Beach offers a work, move, and play lifestyle that San Diego residents relish. The superb coastal San Diego location makes it a highly desirable destination. The neighborhood is in close proximity to San Diego’s primary employment and activity hubs including Downtown, Mission Valley, UTC/Sorrento Mesa, and Kearny Mesa. In addition, residents are just blocks away from the Pacific Ocean and Mission Bay, and can walk or bike to an endless array of restaurants and nightlife venues. Numerous recreational activities are available to residents, including surfing, paddle boarding, water skiing, and sailing.

The location is also classified as very walkable, as most errands can be accomplished on foot. Pacific Beach’s main shopping center, Pacific Plaza, is centrally located for most residents. The area is also conducive to bikes, and residents have access to multiple bus stops.

Additionally, the Mid-Coast Trolley expansion has begun with estimated completion in 2019 with a Pacific Beach/Balboa stop. The new Trolley line will support several new communities while traveling through La Jolla to the UTC Westfield Shopping Mall.

Rental demand in Pacific Beach remains strong due to a perpetual desire to live in proximity to the wide sandy beaches and exciting nightlife that this highly unique community offers. Students at SDSU, UCSD, USD and several community colleges, as well as young professionals with college degrees, make up a strong component to the local tenant profile.


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Lifestyle Map


Demographic Overview


Age & Education


SECTION 3: SALES COMPARABLESRecent Sales Recent Sales Map Recent Sales Statistics

Recent Sales


Recent Sales


Recent Sales


Recent Sales Map


Recent Sales Statistics

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SECTION 4: PRICING & FINANCIAL ANALYSISUnit Mix & Income Summary Pricing & Financial Analysis

# OF UNITS BED BATHAPPROXIMATE

SQ. FT.AVERAGE RENT MONTHLY TOTAL

2 2 1 700 $2,225 $4,450

14 1 1 550 $1,896 $26,544

39Laundry Income $400

Storage Income $450

Gross Monthly Total $31,844

Gross Annual Total $382,128

Unit Mix and Income Summary

12%

88%

Unit Mix

2Br 1Ba

1Br 1Ba


$3.00

$3.10

$3.20

$3.30

$3.40

$3.50

2Br 1Ba 1Br 1Ba

$3.21

$3.45

Rent / SF

INVESTMENT SUMMARY

PRICE $6,400,000

DOWN PAYMENT (66%) $4,250,000

PRICE PER SF $707.34

PRICE PER UNIT $400,000

CAP 4.02%

GRM 16.97

INCOME

GROSS SCHEDULED INCOME $382,128

LESS: VACANCY/DEDUCTIONS (1.0%) ($3,770)

EFFECTIVE GROSS INCOME $373,270

EXPENSES

REAL ESTATE TAXES (1.17%) $74,880

OPERATING EXPENSES $40,834

LESS: TOTAL EXPENSES ($115,714)

% OF EGI 31.00%

NET OPERATING INCOME

NET OPERATING INCOME $257,556

DEBT SERVICE ($107,500)

NET CASH FLOW AFTER DEBT SERVICE $150,056

CASH ON CASH RETURN (%) 3.53%

FINANCING SUMMARY

LOAN AMOUNT $2,150,000

LOAN TYPE Private Financing (Must Assume)

INTEREST RATE 5.00% / 6.00%

TERM (Beg. Feb 2018) 5 YEARS / 5 YEARS

DEBT COVERAGE RATIO 2.36

Pricing & Financial Analysis


Confidentiality Agreement and Disclaimer


ABSOLUTELY NO PROPERTY TOURS OR DISCUSSIONS WITH TENANTS WITHOUT WRITTEN CONSENT.

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 Beacon Investment Realty and it should not be made available to any other person or entity without the written consent of Beacon Investment Realty. 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 that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Beacon Investment Realty.

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 in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Beacon Investment Realty has not made any investigation, and makes no warranty or representation with respect 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 presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business 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 to be reliable; however, Beacon Investment Realty has not verified, and will not verify, any of the information contained herein, nor has Beacon Investment Realty conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information 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 of investigating the subject property.

Gabe Candea

Coastal Multi-Family Specialist

[email protected]

O: (619) 497-2575 | M: (619) 243-9892

7676 Hazard Center Drive, Suite 500

San Diego, California 92018

www.BeaconInvestmentRealty.com

DRE #: 01892704

Documents

16 Luxury Del Rey Apartments Apartments · throughout. Large Mirrored door closet (floor to ceiling) with “Closet Maid” adjustable closet organizers. Designer features. Laundry