FOR SALE2 7 8 7 & 2 8 0 1BRISTOL STREET
2787 & 2801BRISTOL ST
INVESTMENT HIGHLIGHTS
PROPERTY OVERVIEW
TENANT OVERVIEW
VALUATION SUMMARY
SECTION
1
2
3
4
SECTION #
INVESTMENT HIGHLIGHTS1
INVESTMENT HIGHLIGHTS
Executive Summary
2787 & 2801 Bristol Street (the “Properties”) represents a one of a kind opportunity to acquire the fee simple interest in a “Best of Class,” two (2) building commercial
office project. The high image buildings total 26,833 square feet and are within 10 minutes to Orange County beaches, and nestled in the heart of the John Wayne
Airport area. The Properties also boast quick accessibility to world renowned shopping and restaurants of South Coast Plaza and Fashion Island.
Investment Highlights
- Nationally recognized behavioral health and substance abuse operator
- Dedicated private lot with above standard surface and covered parking
- Strategically located with immediate access to the 55, 405 and 73 freeways
2787 & 2801 BRISTOL ST / INVESTMENT HIGHLIGHTS
- Current NOI $849,827
- 9 Years of remaining lease term
PROPERTY OVERVIEW2
PROPERTY OVERVIEW
2787 & 2801 BRISTOL ST / PROPERTY OVERVIEW
Address:
APN:
Building Size:
Land Size:
Sale Price:
Parking:
Frontage:
2787 & 2801 Bristol StreetCosta Mesa, California92626
418-181-10 / 418-181-12
+/- 26,833 SF (Rentable)2787 Bristol: +/- 11,315 SF2801 Bristol: +/- 15,518 SF
+/- 69,696 SF (1.60 Acres)2787 Bristol: +/- 33,977 SF (0.78 Acres)2801 Bristol: +/- 35,719 SF (0.82 Acres)
$14,163,799 (+/- $528 per square foot)
113 total parking stalls2787 Bristol: 55 total parking stalls2801 Bristol: 58 total parking stalls
210’ along Bristol Street
Two-story, two-building office campus on its own parcel
located just minutes from South Coast Plaza and other
numerous amenities.
Description:
UNIVERSITY OF CALIFORNIA, IRVINE
THE PACIFIC CLUB
SANTA ANA COUNTRY CLUB
JOHN WAYNE AIRPORT
THE CAMP
THE LAB
2787 & 2801BRISTOL ST
METRO POINT AT SOUTH COAST SOUTH COAST PLAZASEGERSTROM CENTER FOR THE ARTS
CENTER CLUB
THE CAMP
THE LAB
2787 & 2801BRISTOL ST
TENANT SUMMARY3
TENANT SUMMARY
2787 & 2801 BRISTOL ST / TENANT SUMMARY
Industry:
Square Footage:
% of Project:
Current Contract Rate:
Lease Expiration:
Tenant Website:
Headquarters:
Year Founded:
Behavioral Health (Men)
26,833
100%
$3.00/sf NNN
12/31/30 | 2/28/31
www.windwardway.com
Costa Mesa, CA
2008
Industry:
Square Footage:
% of Project:
Current Contract Rate:
Lease Expiration:
Tenant Website:
Headquarters:
Year Founded:
Behavioral Health (Women)
26,833
100%
$3.00/sf NNN
12/31/30 | 2/28/31
www.casacaprirecovery.com
Costa Mesa, CA
2012
Windward Way started 10 years ago as a men’s only
treatment facility. Today, it has grown into a large
operation with an even larger reputation. Windward
Way is one of the most reputable treatment facilities
for men 18-45 in the nation. Its duel accreditation
speaks to the fact that it is not just clients who think
so highly of its work, but also peers and
professionals in the treatment business. Windward
Way’s end goal is to create a seamless transition
from treatment and mental health issues into
long-term recovery.
Casa Capri was founded in 2012 as a women’s only
treatement facility. This women’s only program was
founded with the philosophy of delivering the very best
therapeutic tools, life skills, programming, exciting
activities and supportive community environment. Casa
Capri has quickly become one of the leading treatment
centers for women in Orange County. It’s personalized
addiction treatment programs, safe nurturing and
structured environment gives young women the very best
chance at long term recovery.
VALUATION SUMMARY4
MARKET OVERVIEW
2787 & 2801 BRISTOL ST / VALUATION SUMMARY
4220 Von Karman Ave14201 Franklin Ave
2787 Bristol St 2801 Bristol St
SUBJECT PROPERTIES
3822 Campus Dr 20377 Acacia St
Property Address Building SF Year Built Sale Price Sale PSF Cap Rate Sale Date
2787 Bristol St Costa Mesa, CA
2801 Bristol St Costa Mesa, CA
14201 Franklin Ave Tustin, CA
4220 Von Karman Ave Newport Beach, CA
3822 Campus Dr Newport Beach, CA
20377 Acacia St Newport Beach, CA
15,518
11,315
40,293
27,597
23,258
25,918
$5,972,622
$8,191,176
$16,647,500
$17,170,000
$12,275,000
$10,500,000
$527.85
$527.85
$408.68
$622.17
$527.78
$405.12
6.5%
6.5%
--
--
6.25%
5.48%
--
--
6/22/18
10/31/17
5/1/18
5/3/18
1980 / Ren 2015
2002 / Ren 2016
1983 / Ren 2017
1984 / Ren 2016
1973 / Ren 2018
2003
VALUATION ANALYSIS
2787 & 2801 BRISTOL ST / VALUATION SUMMARY
2787 & 2801 Bristol StreetLeveraged Analysis: 10-Year Fixed Rate, 60% LTV at T + 175
FINANCING ASSUMPTIONS LEVERED IRR SENSITIVITYPurchase Price $14,163,799 Price Exit Cap SensitivityPurchase Price / SF $528 Range 5.00% 5.50% 6.00%Total Loan Commitment (60% LTV) $8,498,279 $14,663,799 16.49% 15.18% 13.96%Total Loan / SF $317 $14,413,799 16.94% 15.65% 14.44%10 Year Swap Rate 3.00% $14,163,799 17.41% 16.13% 14.94%Spread 1.75% $13,913,799 17.88% 16.62% 15.44%Initial Rate (1) 4.75% $13,663,799 18.37% 17.11% 15.95%Loan Term (months) 120 Exit PSF $884 $804 $737Amortization Interest OnlyOrigination Fee 1.00%
Year 0 1 2 3 4 5 6 7 8 9 10 Total
PROPERTY CASH FLOW
Property NOI $0 $850,069 $879,049 $911,249 $943,448 $975,648 $1,007,847 $1,043,267 $1,081,907 $1,120,546 $1,159,186 $9,972,216- TI's/LC's/Reserves 0 0 0 0 0 0 0 0 0 0 0 0Property NCF $0 850,069 879,049 911,249 943,448 975,648 1,007,847 $1,043,267 $1,081,907 $1,120,546 $1,159,186 $9,972,216
Net Sales Proceeds $0 $0 $0 $0 $0 $0 $0 $0 $0 $21,560,850 $21,560,850
Total Property Cash Flow $850,069 $879,049 $911,249 $943,448 $975,648 $1,007,847 $1,043,267 $1,081,907 $1,120,546 $22,720,036 $31,533,066
Cash on Cash: NOI 6.0% 6.2% 6.4% 6.7% 6.9% 7.1% 7.4% 7.6% 7.9% 8.2% Cash on Cash: NCF 6.0% 6.2% 6.4% 6.7% 6.9% 7.1% 7.4% 7.6% 7.9% 8.2%
Average 10 Year Yield (NOI) 7.0% Average 10 Year COC (NCF) 7.0%
UNLEVERAGED IRR 10.4%
FINANCING CASH FLOW
Ending Balance $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $8,498,279 $0Ending Balance / SF $317 $317 $317 $317 $317 $317 $317 $317 $317 $317 $0
Avg. Interest Rate $0 4.82% 4.82% 4.83% 4.82% 4.82% 4.82% 4.83% 4.82% 4.82% 4.82%Interest $0 $409,275 $409,275 $410,396 $409,275 $409,275 $409,275 $410,396 $409,275 $409,275 $409,275 $4,094,990Loan Fees $84,983 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0Balloon $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $8,498,279 $8,498,279Total Debt Service $84,983 $409,275 $409,275 $410,396 $409,275 $409,275 $409,275 $410,396 $409,275 $409,275 $8,907,554 $12,593,270
Total CF After Debt Service ($5,750,502) $440,794 $469,774 $500,853 $534,173 $566,373 $598,572 $632,871 $672,632 $711,271 $13,812,482 $18,939,796
Cash on Cash: NOI 7.7% 8.2% 8.7% 9.3% 9.8% 10.4% 11.0% 11.7% 12.4% 13.0% Cash on Cash: NCF 7.7% 8.2% 8.7% 9.3% 9.8% 10.4% 11.0% 11.7% 12.4% 13.0%
Average 10 Year Yield (NOI) 10.2% Average 10 Year COC (NCF) 10.2%
LEVERAGED IRR 16.1%
(1) Fixed rate interest calculated based on 10 Year Treasury Rate as of 8/7/18.
John Pomer949.945.2649
[email protected] 01440689
Korbin Duley949.945.2647
[email protected] 01944912
Benjamin Gott949.945.2648
[email protected] 01724507
240 Newport Center Dr, Ste 219Newport Beach, CA 92660
949.945.2650
www.redwoodwest.com
FOR SALE2 7 8 7 & 2 8 0 1BRISTOL STREET
The information contained in this package is proprietary to Redwood West and shall be used soley for the purposes of evaluating this purchase. All such documentation remains the property of Redwood West and shall be kept confidential. Reproduction of any part of this package is authorized only to the extent necessary for its evaluation. It is not to be shown to any third party without the authorization of Redwood West. All information contained herein is from sources deemed reliable.