Coachella, 16 lots, Listing Package - Hansen PSC 16 lots, Listing Package.pdf · of Coachella ¾Environmental review by Hansen PSC, Inc. ¾Planning commission and City Council entitlement

16 Single Family Lots 4.77 Acres

Coachella, California

Hansen PSC, Inc.Acquisition • Investment • Development

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Site Offering Package

16 Lots, 4.77 AcresCoachella, CA


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All information is received from sources we deem reliable. Estimates only. It is the obligation of buyer to investigate andconfirm to their satisfaction.© 2005 Hansen PSC, Inc.

Confidentiality & Disclosure

Confidentiality Agreement

The information contained in the following site offering package is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Hansen PSC, Inc. and should not be made available to any other person or entity without the written consent of Hansen PSC, Inc. The analysis herein has been created to provide a summary synopsis of the investment opportunity. Further, this synopsis is not a substitute for a thorough due diligence investigation of the opportunity, local, state and federal rules and regulations. The information contained in this project analysis has been obtained from sources we believe to be reliable; however Hansen PSC, Inc. has not verified the information herein, nor has Hansen PSC, Inc. conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. Potential purchasers are strongly encouraged to take appropriate measures to verify all information set fourth herein to make educated investment decisions. All figures represented in our pro-forma analysis are from our own calculations based on figures and facts we believe to be accurate, however we assume no responsibility for the accuracy of the revenue and expense predictions. Purchasers are encouraged to verify our figures from their own sources.



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Investment Overview

$49,500/paper lotPrice per Lot

$792,000.00Price

4.77 AcresSize

Land purchase/investmentProposed Project Type

Comparable new home sales for the region are selling for approximately $221.78 per square foot.

Sales velocity is high in the city of Coachella and throughout the county of Riverside.

Estimated 40 people per day move to Coachella Valley

New Home Comparables

Currently undergoing entitlement process that includes the commencement of the following studies:

GeotechnicalPhase 1 EnvironmentalArchaeologicalPaleontologicalBiologicalAcoustical

Seeking tentative subdivision map with city of Coachella

Environmental review by Hansen PSC, Inc.Planning commission and City Council

entitlement approval on March 25, 2005

Entitlement Process

Currently under contract with sellers by Hansen PSC, Inc.

Site Acquisition

86800 Avenue 52Coachella, CA 92236

Located within the city limits of CoachellaFlat, infill location

Location

R-M: Low density, 0-6 single family homes per acre

Zoning

763-412-040Parcels



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Plan Map



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Site Plan



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Engineering Estimates



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Engineering Estimates



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Business in the 21st Century requires a location with all the right tools. Coachella is a small, stable community located in the center of the fastest growing region in the area, the eastern Coachella Valley. The City offers a wealth of economic opportunity and the unmatched lifestyle for which the whole valley is internationally known. You'll find low cost industrial and commercial land, a young and willing labor force and fast track entitlement processing.

Coachella's business assets include its stable, family oriented community. The population is long established, with a young median age, and is growing fast, 30% since 1990.

Coachella's stability is evidenced by its unusually high rate of 60% home ownership. The city offers residents extensive community facilities, services and parks. Coachella is truly a location for 21st Century business and living.

Location Overview

Coachella Overview

Source: www.coachella.org

4.801Persons per household

4.33% vacant dwellings

5,751Occupied dwellings

455Mobile Homes

1,042Multiple dwellings - 5 plus

700Multiple dwellings - 2 to 4

3,495Single detached dwellings

319Single attached dwellings

6,011Total Dwellings

27,655Total Population - @ 01/01/2004



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GENERAL INFORMATION:Mayor: Richard MacknickiCity Hall: 1515 6th Street, Coachella: 760-398-3502Population: 26,772Median Age: 23.9Average Household Income: $29,931Average House/Condo Price: $88,726Households with children: 92%Permanent Residents: 99%Sheriff: 911 (Administration: 760-863-8990)Fire: 911 (Administration: 760-398-8895)Hospital: 911 Chamber of Commerce: 760-398-8089Post Office: 1412 6th Street 760-275-8777

Schools: The Coachella Valley Unified School District 760-399-5137

Central Shopping District:6th Street: Hwy 86 & Hwy 111Coachella Ranch Market, Hwy 86 & Avenue 50

Central Restaurant District:Coachella Ranch Market Area

Utilities:Phone Company: Verizon 800-483-4000Electricity: Imperial Irrigation District 760-398-5811Gas: Southern California Gas Company 800-427-2200Water: City of Coachella Water District: 760-398-2651Time Warner: 760-340-2225Sanitation: Waste Management of the Desert: 760-340-2113

Location Overview



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Assumptions: • 2003 Population = 26,700 (State Department of Finance) • Projections based on 600 new units occupied each year (trend established in 2003

and projected-through 2008) • Projections based on 4.76 persons per household (pph) • * New Occupied Units

Source: City of Coachella, Department of Community Development and Building/Engineering

Total Increase = 13,438% Increase = 50%

40,138600 (4.76 pph) = 2,8562008

37,282600 (4.76 pph) = 2,8562007

34,426600 (4.76 pph) = 2,8562006

31,570600 (4.76 pph) = 2,8562005

28,714423* (4.76 pph) = 2,0142004

26,7002003

POPULATION PROJECTIONSMULTIPLIERYEAR (AS OF JANUARY 1)

Population Projections



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Area Home Prices



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Article 1

CATHEDRAL CITY -- Some uncertainty lies on the horizon, but the Coachella Valley housing market is in no danger of collapsing, experts told a Tuesday gathering of more than 400 real estate professionals. Thanks to expected robust population growth in the decades ahead, demand for valley homes is expected to stay strong. And even if home prices aren’t jumping like they were in early 2004 when some cities saw 30 percent year-to-year increases, buyers and investors can expect annual appreciation ranging from 10 to 18 percent starting next year.

"The sky is not falling," researcher Patrick Veling said during the State of Real Estate in the Coachella Valley forum. "The market is just taking a needed breather.“ Veling, president of Real Data Strategies in Brea, said valley inventory is growing and homes are staying on the market longer. That’s mostly because many sellers have priced their homes too high, and potential buyers are balking. "This is simply an affordability issue," Velingsaid. "Prices have climbed so far so fast that (some) buyers have stepped off the curb. Buyers simply have more options than they had previously."

According to research firm DataQuick Information Systems, the September median sales price of valley homes was $296,000, the first time since March that the median fell below $300,000. The year-over-year price gain was 22.3 percent, down from the 30 percent and higher increases seen in the first half of 2004. The California Desert Association of Realtors notes that current unsold valley resale inventory stands at about 2,400 properties, well above the 1,500 seen in April. Veling predicted that the current relative market flatness could last through the second quarter of 2005, but by the end of next summer, the market could be back on track for annual price gains of 12 to 18 percent. Unmotivated sellers will likely take their homes off the market in late 2004 and early 2005, bringing market supply more in line with demand, he said. Right now, he noted, "sellers are in denial."

Valley still ripe for growth

Experts noted that since valley home prices remain lower than those in coastal communities -- and the valley has more land available than other regions for new development -- the local housing market should keep growing. In fact, that growth could span decades if population projections hold true.

John Wohlmuth, executive director of the Coachella Valley Association of Governments, pointed to estimates that by the time the valley is fully built out around the year 2066, its population is likely to reach 1.24 million. The current 360,000 full-time residents is projected to grow to 684,700 by 2030. Unlike coastal areas like Orange County, he noted there is still plenty more land in the valley available for development.

Currently, about 83,000 acres have been developed in the valley, and another 183,000 acres are available. While growth will mean many challenges -- including providing for increased traffic and service needs --Wohlmuth said the geography of the valley will help it ward off some of the woes seen elsewhere. "We have essentially had a connected urban area," Wohlmuth told the audience. "As we grow, you probably won’t see the kind of sprawl you see in western Riverside County."

Experts: Housing market stable Forum participants seek to reassure homeowners their investments are safeBy Lou HirshThe Desert SunOctober 27th, 2004



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… continued from previous page

Obstacles, water concerns

There will be obstacles to meeting demand for homes, including local movements to curb home-building in places like hillside regions. Dennis Cunningham, managing member and partner with builder Palm Springs Modern Homes, said if opposition like that seen in parts of Palm Springs spreads to other areas, the amount of developable land could shrink and building costs could rise, further affecting affordability. It could also bring burdens for communities.

"Palm Springs is going to have to defend (against anti-growth) lawsuits," Cunningham cautioned the gathering. "It is coming to your town next.“ So far, the valley is handling the infrastructure demands created by growth. David K. Luker, general manager of the Desert Water Agency, which serves much of the western valley, said conservation efforts and regional water pacts should allow the valley to support the expected influx of new residents.

"There’s a lot of concern out there that we’re growing too fast," Luker said. "Well, we’re not.“ Heath Hilgenberg, sales manager for Keller Williams Realty in Rancho Mirage, who attended the forum, said the experts painted an accurate picture of the valley real estate scene.

"There are still sellers out there saying ‘I’m going to price my home 15 to 20 percent higher than what that other house sold for.’ " Hilgenberg said. "I think that’s going to change.“ Hilgenberg’s company projects that home prices in the coming months will see a "healthy correction" and will still be appreciating 10 to 15 percent annually by the middle of next year. The Tuesday forum was held at the Doral Palm Springs resort in Cathedral City. It was presented by the California Desert Association of Realtors and several other corporate sponsors, including The Desert Sun.

Article 1



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Hansen PSC, Inc.



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Hansen PSC, Inc.


Hansen PSC, Inc. is a premier land development company specializing in land entitlements and investments throughout California. Our services have created projects ranging from residential land developments and self-storage facilities to multi-family homes and office buildings.

As we continue our rapid growth into this millennium we strive to locate economically rich land throughout America on which to manifest environmentally friendly and socially respectable projects.

We seek to operate in areas rich with growth and provide the highest return on investment for our partners, investors and end clients through sound investment and acquisition decisions.

We pride ourselves by moving forward under the values of trust, honesty and rational thinking. At Hansen PSC we practice probability development, not possibility speculation.

Recent & Current* Residential Land Projects

• 75 residential lots in Santa Rosa

• 140 residential lots in Modesto


• 110 residential lots in Daly City

• 8 residential lots in Mountain View


• 32 residential lots in Roseville

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• 34 residential lots in South San Francisco

• 74 residential lots in Daly City

• 164 apartment units in Hayward

• 288 Condo units in South San Francisco

• 16 residential lots in South San Francisco*

• 137 room hotel in Daly City*

• 44 residential lots in Daly City*


• 31 residential lots in La Quinta*

• 16 residential lots in Coachella*


[email protected]

661 Live Oak, Suite 3Menlo Park, CA 94025

PHONE: (650)326-3301FAX: (650)234-9983www.hansenpsc.com


Documents

Coachella, 16 lots, Listing Package - Hansen PSC 16 lots, Listing Package.pdf · of Coachella ¾Environmental review by Hansen PSC, Inc. ¾Planning commission and City Council entitlement