Page 28 - I-78-Logistics-Park-OM-v4a

28 EXECUTIVE SUMMARY | LOCATION HIGHLIGHTS | FINANCIAL ANALYSIS | MARKET SURVEY

Summary of Financials

Pricing Summary Review Analysis

Price $3,750,000 Year 1 - Leveraged Cash On Cash Return 4.99%
Price Per Unit $75,000 3 Year Avg - Leveraged Cash on Cash Return 7.18%
Price Per Square Foot $69.03 Equity Multiple 2.8
10 Year Hold - Unleveraged IRR 7.34%
Analysis Period Cap Rate 10 Year Hold - Leveraged IRR 13.81%
Year One 6.24%
Year End Jan-Dec 2014 6.34% Net Residual Value

Year Capitalized 2024
Market Financing Capitalization Rate - Terminal 8.00%
Cost of Sale 0.00%
Interest Rate 5.15%
Amortization Period 30 Years
Years of Interest Only 0 Years Property Detail
Annual Loan Constant 6.55%
Loan Term 10 Years Current Physical Occupancy 100.00%
Loan to Value 80% Average Monthly Rent Per Unit $919
Loan Amount $3,000,000 Total Number of Units 50
Down Payment $750,000 Total Square Feet 54,328
Average Sq Ft/Unit 1,087
Debt Service Coverage - Year 1 1.19 Year of Construction 1996
Debt Service Coverage - Year 2 1.28

Rental Revenue Summary

Total Market Gross Average Average Gross
Unit Square Square Rent/Unit/ Potential Rent/Unit/ Rent/SF/ Scheduled
Count Feet Feet Month Rents Month Month Rents
One bedroom, one bath 3 735 2,205 $775 $27,900 $775 $1.05 $27,900
Two bedroom, two-bathroom 47 1,109 52,123 $975 $549,900 $928 $0.84 $523,392
50 1,087 54,328 $963 $577,800 $919 $0.85 $551,292

$1,200 Average vs. Market Rents 60% Two Bedroom Rent Distribution
Bars Represent Market Rent, Lines Represent Market Rent is $975; only 5 units meet or exceed Market Rent.
$1,000
Average Rent 50%

$800
40%
$600
30%
$400
20%
$200
10%
$0
One bedroom, one bath Two bedroom, two- 0%
bathroom
$600 $875 $900 $950 $1,000