RealNex Investment Analysis Software · 2020. 8. 18. · Debt Service ($188,009) Cash Flow Before Taxes $160,673 Financial Indicators Cash-on-Cash Return Before Taxes 16.13% Debt

Property Highlightsb 58 UNITS b 3 LOCATIONS SAN ANTONIO TX b GARDEN STYLEb GRANADA APARTMENTS 20 Unitsb 1404 Somerset Rd, San Antonio TX 78211b MONTEREY APARTMENTS 10 Unitsb 1022 Monterrey St, San Antonio TX 78207b SIERRA MADRE APARTMENTS 28 Unitsb 4426 N Hein Rd, San Antonio TX 78220b -b -b -b -

3 Properties ANTUN DOMITDomit International Real Estate LLC

210-241-3260

ANTUN [email protected], Texas

, http://www.domitrealestate.com

ANTUN [email protected], Texas

TABLE OF CONTENTS

Executive Summary 3Unit Mix Report 4

Unit Rent Roll 5Cash Flow Analysis 6

Cash In Cash Out 7Detailed General Expenses 8

Investment Return Analysis 9Cumulative Analysis 10

Loan Analysis 11Financial Indicators 12

Equity vs. Debt 13Cumulative Wealth Analysis 14Operating Income Analysis 15

Location Map 16Aerial Map 17

Regional Map 18Demographics 19

Detailed Demographics 20

EXECUTIVE SUMMARYSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207

ANTUN [email protected]

Acquisition Costs Purchase Price, Points and Closing Costs $4,596,000 Investment - Cash $996,000 First Loan $3,600,000

Investment Information Purchase Price $4,500,000 Price per Unit $77,586 Price per Sq. Ft. $112.23 Expenses per Unit ($4,200)

Income, Expenses & Cash Flow Gross Scheduled Income $622,044 Total Vacancy and Credits ($29,784) Operating Expenses ($243,578)

Net Operating Income $348,682 Debt Service ($188,009)

Cash Flow Before Taxes $160,673

Financial Indicators Cash-on-Cash Return Before Taxes 16.13% Debt Coverage Ratio 1.85 Capitalization Rate 7.75% Gross Rent Multiplier 7.23 Gross Income / Square Feet $15.51 Gross Expenses / Square Feet ($6.07) Operating Expense Ratio 41.13%

03

UNIT MIX REPORTSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Units Type Approx. SqFt Avg. Rents Monthly Mkt Rents Monthly26 2+1 707 $850.00 $22,100.00 $850.00 $22,100.009 2+1 707 $800.00 $7,200.00 $800.00 $7,200.003 1+1 480 $700.00 $2,100.00 $700.00 $2,100.002 2+1 707 $900.00 $1,800.00 $900.00 $1,800.001 2+1 707 $902.00 $902.00 $902.00 $902.001 2+1 707 $999.00 $999.00 $999.00 $999.001 2+1 707 $912.00 $912.00 $912.00 $912.001 2+1 707 $960.00 $960.00 $960.00 $960.001 2+1 707 $848.00 $848.00 $848.00 $848.001 2+1 707 $993.00 $993.00 $993.00 $993.001 2+1 707 $943.00 $943.00 $943.00 $943.001 2+1 707 $912.00 $912.00 $912.00 $912.001 2+1 707 $843.00 $843.00 $843.00 $843.001 2+1 707 $1,026.00 $1,026.00 $1,026.00 $1,026.001 2+1 707 $1,020.00 $1,020.00 $1,020.00 $1,020.001 2+1 707 $875.00 $875.00 $875.00 $875.001 2+1 707 $950.00 $950.00 $950.00 $950.001 2+1 707 $885.00 $885.00 $885.00 $885.001 2+1 707 $956.00 $956.00 $956.00 $956.001 2+1 707 $750.00 $750.00 $750.00 $750.001 1+1 480 $716.00 $716.00 $716.00 $716.001 2+1 707 $950.00 $950.00 $950.00 $950.0058 40,098 $49,640.00 $49,640.00

04

UNIT RENT ROLLSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Unit Description Comments

05

CASH FLOW ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Before Tax Cash Flow Year 1 Year 2 Year 3 Year 4 Year 5 Gross Scheduled Income $622,044 $640,705 $659,926 $679,724 $700,116 Turnover Vacancy ($29,784) ($30,678) ($31,598) ($32,546) ($33,522) Total Operating Expenses ($243,578) ($250,885) ($258,412) ($266,164) ($274,149)

Net Operating Income $348,682 $359,142 $369,917 $381,014 $392,445 Loan Payment ($188,009) ($188,009) ($188,009) ($188,009) ($188,009)

NET CASH FLOW (B/T) $160,673 $171,133 $181,907 $193,005 $204,435 Cash-On-Cash Return b/t 16.13% 17.18% 18.26% 19.38% 20.53%

* b/t = before taxes; a/t = after taxes

06

CASH IN CASH OUTSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Description Year 1 Year 2 Year 3 Year 4 Year 5 INCOME Rental Income $595,680 $613,550 $631,957 $650,916 $670,443 Other Income $26,364 $27,155 $27,970 $28,809 $29,673

Gross Scheduled Income $622,044 $640,705 $659,926 $679,724 $700,116 Turnover Vacancy ($29,784) ($30,678) ($31,598) ($32,546) ($33,522)

Gross Operating Income $592,260 $610,028 $628,329 $647,178 $666,594

EXPENSES Property Management Fee ($37,323) ($38,442) ($39,596) ($40,783) ($42,007) Accounting ($8,077) ($8,319) ($8,569) ($8,826) ($9,091) Advertising ($2,400) ($2,472) ($2,546) ($2,623) ($2,701) Building Insurance ($24,608) ($25,346) ($26,107) ($26,890) ($27,697) General Supplies ($228) ($235) ($242) ($249) ($257) Pest Control ($1,973) ($2,032) ($2,093) ($2,156) ($2,220) Maintenance ($18,272) ($18,820) ($19,385) ($19,966) ($20,565) Dues and Subscriptions ($472) ($486) ($501) ($516) ($531) Taxes - Real Estate ($64,475) ($66,409) ($68,401) ($70,453) ($72,567) Trash ($5,830) ($6,005) ($6,185) ($6,371) ($6,562) Utility - Water ($43,221) ($44,518) ($45,853) ($47,229) ($48,646) Utility - Electric ($31,431) ($32,374) ($33,345) ($34,346) ($35,376) Fire Sprinkler Alarm ($5,269) ($5,427) ($5,590) ($5,757) ($5,930)

Total Operating Expenses ($243,578) ($250,885) ($258,412) ($266,164) ($274,149) Operating Expense Ratio 41.13% 41.13% 41.13% 41.13% 41.13%

Net Operating Income $348,682 $359,142 $369,917 $381,014 $392,445

DEBT SERVICE Loan Interest ($115,933) ($113,555) ($111,099) ($108,562) ($105,941) Principal Payments ($72,076) ($74,454) ($76,910) ($79,447) ($82,068)

Net Cash Flow (b/t) $160,673 $171,133 $181,907 $193,005 $204,435

PROJECTED PROPERTY VALUE $6,973,638 $7,182,847 $7,398,333 $7,620,283 $7,848,891 Resale Expenses ($69,736) ($71,828) ($73,983) ($76,203) ($78,489)

PROCEEDS B/F DEBT PAYOFF $6,903,902 $7,111,019 $7,324,349 $7,544,080 $7,770,402 Loan Principal Balance ($3,527,924) ($3,453,469) ($3,376,559) ($3,297,112) ($3,215,043)

NET PROCEEDS FROM SALE $3,375,978 $3,657,549 $3,947,790 $4,246,968 $4,555,359 BEFORE TAX IRR N/A N/A 69.89% 54.86% 46.45%

* Cash Flow IRR based upon net cash flow and principal payments

07

DETAILED GENERAL EXPENSESSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Description Year 1 Year 2 Year 3 Year 4 Year 5 Property Management Fee ($37,323) ($38,442) ($39,596) ($40,783) ($42,007)

Accounting ($8,077) ($8,319) ($8,569) ($8,826) ($9,091)

Advertising ($2,400) ($2,472) ($2,546) ($2,623) ($2,701)

Building Insurance ($24,608) ($25,346) ($26,107) ($26,890) ($27,697)

General Supplies ($228) ($235) ($242) ($249) ($257)

Pest Control ($1,973) ($2,032) ($2,093) ($2,156) ($2,220)

Maintenance ($18,272) ($18,820) ($19,385) ($19,966) ($20,565)

Dues and Subscriptions ($472) ($486) ($501) ($516) ($531)

Taxes - Real Estate ($64,475) ($66,409) ($68,401) ($70,453) ($72,567)

Trash ($5,830) ($6,005) ($6,185) ($6,371) ($6,562)

Utility - Water ($43,221) ($44,518) ($45,853) ($47,229) ($48,646)

Utility - Electric ($31,431) ($32,374) ($33,345) ($34,346) ($35,376)

Fire Sprinkler Alarm ($5,269) ($5,427) ($5,590) ($5,757) ($5,930)

Total Expenses ($243,578) ($250,885) ($258,412) ($266,164) ($274,149)

Operating Expense Ratio 41.13% 41.13% 41.13% 41.13% 41.13%

08

INVESTMENT RETURN ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Description Year 1 Year 2 Year 3 Year 4 Year 5 Cash Flow - To Date $160,673 $331,806 $513,713 $706,718 $911,154 Net Resale Proceeds $3,375,978 $3,657,549 $3,947,790 $4,246,968 $4,555,359 Invested Capital ($996,000) ($996,000) ($996,000) ($996,000) ($996,000) Net Return on Investment $2,540,651 $2,993,355 $3,465,504 $3,957,687 $4,470,513 Internal Rate of Return N/A N/A 69.89% 54.86% 46.45% Modified IRR 255.09% 100.13% 64.84% 49.34% 40.57% NPV (cash flow + reversion) $2,540,651 $2,993,355 $3,465,504 $3,957,687 $4,470,513 PV (NOI + reversion) $7,252,584 $7,818,843 $8,402,090 $9,002,835 $9,621,602

* a/t = after taxes; Modified IRR = Modified Internal Rate of Return; PV = Present Value; NPV = Net

09

CUMULATIVE ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Description Year 1 Year 2 Year 3 Year 4 Year 5 Equity (appreciation) $2,473,638 $2,682,847 $2,898,333 $3,120,283 $3,348,891 Equity (loan reduction) $72,076 $146,531 $223,441 $302,888 $384,957

Cash Flow (a/t) $160,673 $331,806 $513,713 $706,718 $911,154

Totals - To Date $2,706,387 $3,161,184 $3,635,487 $4,129,889 $4,645,002 Invested Capital ($996,000) ($996,000) ($996,000) ($996,000) ($996,000) ROIC - To Date 271.73% 317.39% 365.01% 414.65% 466.37%

* a/t = after taxes; ROIC = Return On Invested Capital

10

LOAN ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Loan 1 Debt Service Analysis Year 1 Year 2 Year 3 Year 4 Year 5 Principal Payments $72,076 $74,454 $76,910 $79,447 $82,068 Interest Payments $115,933 $113,555 $111,099 $108,562 $105,941 Total Debt Service $188,009 $188,009 $188,009 $188,009 $188,009

Principal Balance Analysis Beginning Principal Balance $3,600,000 $3,527,924 $3,453,469 $3,376,559 $3,297,112 Principal Reductions $72,076 $74,454 $76,910 $79,447 $82,068 Ending Principal Balance $3,527,924 $3,453,469 $3,376,559 $3,297,112 $3,215,043

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FINANCIAL INDICATORSSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Description Year 1 Year 2 Year 3 Year 4 Year 5 Gross Income per Sq. Ft. $15.51 $15.98 $16.46 $16.95 $17.46 Expenses per Sq. Ft. ($6.07) ($6.26) ($6.44) ($6.64) ($6.84)

Gross Rent Multiplier 11.21 11.21 11.21 11.21 11.21 Capitalization Rate 7.75% 7.98% 8.22% 8.47% 8.72%

Operating Expense Ratio 41.13% 41.13% 41.13% 41.13% 41.13% Net Income Multiplier 20.00 20.00 20.00 20.00 20.00

Loan To Value Ratio 50.59% 48.08% 45.64% 43.27% 40.96% Debt Coverage Ratio 1.85 1.91 1.97 2.03 2.09

Cash-On-Cash Return b/t 16.13% 17.18% 18.26% 19.38% 20.53% Cash-On-Cash Return a/t 16.13% 17.18% 18.26% 19.38% 20.53%

* b/t = before taxes; a/t = after taxes

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EQUITY VS. DEBTSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


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CUMULATIVE WEALTH ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


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OPERATING INCOME ANALYSISSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


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LOCATION MAPSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207

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AERIAL MAPSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207

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REGIONAL MAPSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207

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DEMOGRAPHICSSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Population 1 Mile 3 Miles 5 MilesMale 11,573 79,174 193,493Female 11,517 79,243 197,722Total Population 23,090 158,417 391,215

Age 1 Mile 3 Miles 5 MilesAges 0-14 4,592 36,284 91,614Ages 15-24 2,904 22,350 56,570Ages 25-54 9,239 64,325 156,509Ages 55-64 2,290 15,481 38,516Ages 65+ 4,065 19,977 48,006

Race 1 Mile 3 Miles 5 MilesWhite 17,372 120,185 290,666Black 1,368 4,068 14,796Am In/AK Nat 92 422 903Hawaiian N/A N/A 3Hispanic 18,849 138,082 336,951Multi-Racial 8,448 66,800 168,560

Income 1 Mile 3 Miles 5 MilesMedian $21,272 $27,049 $28,960< $15,000 2,512 14,933 33,881$15,000-$24,999 1,035 9,224 22,737$25,000-$34,999 1,153 7,873 19,142$35,000-$49,999 881 7,541 20,443$50,000-$74,999 630 6,812 17,941$75,000-$99,999 182 2,930 7,487$10,0000-$149,999 71 1,625 5,290$150,000-$199,999 133 601 1,475> $200,000 36 642 1,971

Housing 1 Mile 3 Miles 5 MilesTotal Units 7,810 62,833 152,335Occupied 6,990 55,376 135,832Owner Occupied 2,607 28,160 75,021Renter Occupied 4,383 27,216 60,811Vacant 820 7,457 16,503

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DETAILED DEMOGRAPHICSSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Population 1 Mile 3 Miles 5 MilesMale 11,573 79,174 193,493Female 11,517 79,243 197,722Total Population 23,090 158,417 391,215

Housing 1 Mile 3 Miles 5 MilesTotal Units 7,810 62,833 152,335Occupied 6,990 55,376 135,832Owner Occupied 2,607 28,160 75,021Renter Occupied 4,383 27,216 60,811Vacant 820 7,457 16,503

Race 1 Mile 3 Miles 5 MilesWhite 17,372 120,185 290,666Black 1,368 4,068 14,796Am In/AK Nat 92 422 903Hawaiian N/A N/A 3Hispanic 18,849 138,082 336,951Multi-Racial 8,448 66,800 168,560

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DETAILED DEMOGRAPHICSSierra Madre - Granada- Monterrey 1022 Monterey Street | San Antonio, TX 78207


Age 1 Mile 3 Miles 5 MilesAges 0-4 1,464 11,350 28,452Ages 5-9 1,640 12,983 32,785Ages 10-14 1,488 11,951 30,377Ages 15-19 1,390 11,108 28,272Ages 20-24 1,514 11,242 28,298Ages 25-29 1,643 11,681 28,821Ages 30-34 1,569 11,490 28,020Ages 35-39 1,535 11,043 26,675Ages 40-44 1,616 10,599 25,490Ages 45-49 1,467 10,122 24,654Ages 50-54 1,409 9,390 22,849Ages 55-59 1,330 8,503 20,822Ages 60-64 960 6,978 17,694Ages 65-69 783 5,564 14,160Ages 70-74 739 4,335 10,828Ages 74-79 794 3,375 7,914Ages 80-84 698 2,345 5,200Ages 85+ 1,051 4,358 9,904

Income 1 Mile 3 Miles 5 MilesMedian $21,272 $27,049 $28,960< $10,000 1,674 9,180 20,053$10,000-$14,999 838 5,753 13,828$15,000-$19,999 540 4,331 11,206$20,000-$24,999 495 4,893 11,531$25,000-$29,999 628 4,389 9,986$30,000-$34,999 525 3,484 9,156$35,000-$39,999 412 2,851 8,018$40,000-$44,999 220 2,440 6,605$45,000-$49,999 249 2,250 5,820$50,000-$60,000 394 3,809 9,427$60,000-$74,000 236 3,003 8,514$75,000-$99,999 182 2,930 7,487$10,0000-$124,999 41 1,062 3,674$125,000-$149,999 30 563 1,616$150,000-$199,999 133 601 1,475> $200,000 36 642 1,971

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Documents

RealNex Investment Analysis Software · 2020. 8. 18. · Debt Service ($188,009) Cash Flow Before Taxes $160,673 Financial Indicators Cash-on-Cash Return Before Taxes 16.13% Debt