12 LUXURY MULT IFA MILY UNIT S FOR SALE
THE MILL AT BROADWAY PAGE 11
Get all the prestige of a high-end residence in the city and all the
convenience of a private home. Imagine living just five minutes
from the Golden 1 Center, with easy access to the best sports
events and shows. Not only will you easily get to the game,
you’ll also be the place where the after-game party gathers.
rooftop decks, but having a great view doesn’t mean you have
to sacrifice on the day-to-day conveniences. They also provide
luxurious living with a house designed for entertainment.
Penthomes are our most spacious homes starting at about 1,100
square feet and expanding to 1,500 square feet. Each four-story
building contains six homes with the kitchen, living room, private
outdoor balcony, bedrooms, and bathrooms all on a single floor
and a private garage with secure, direct access to your home. All
residences are serviced by a controlled-access elevator, giving
only you and your neighbor access to your floor. Residences
rooftop decks and mezzanines and two-car garages.
Contents of this magazine are intended for information only. All information (including but not limited to prices, availability, incentives, floor plans, site
plans, features, standards and options, assessments and fees, planned amenities, programs, conceptual artist renderings, and community development
plans) is not guaranteed and remains subject to change or delay without notice. Maps and plans are not to scale and all dimensions are approximate.
2131 CAPITOL, STE 100 SACRAMENTO, CA 95816
916.573.3300 TURTONCOM.COM
© 2020 The information contained in the Offering memorandum is confidential and is not to be used for any other purpose or made available to other persons without the express written consent of Turton Commercial Real Estate (“TCRE”), Ken Turton or the owner. The material contained herein is based upon information supplied by owner in coordination with information provided by TCRE from sources it deems reasonably reliable. Summaries of documents are not intended to be comprehensive or all-inclusive but rather a general outline of the provisions contained herein and subject to more diligent investigation on the part of the prospective purchaser. No warranty, expressed or implied, is made by owner, TCRE or any other respec-tive affiliates, as to the accuracy or completeness of the information contained herein or any other written or aral communication provided to a prospective purchaser in the course of its evaluation of the Property. No legal liability is assumed or to be applied in connection with the information or such other communication. Without limiting the general nature of the foregoing, the information shall not be deemed a representation of the state of affairs of the Property or constitute an indication that there has been no change in the business affairs, specific finances or specific condition of the Property since the date of preparation of the information. Prospective purchaser shall make their own projections and conclusions without reliance upon the materials contained herein and conduct their own independent due diligence, inspection and review of the Property, including but not limited to engineering and environmental inspec-tions, to determine the condition of the Property and the existence of any potential hazardous material located at the site.
SCOTT KINGSTONVICE PRESIDENT - LIC. 01485640916.573.3309SCOT [email protected]
KEN TURTONPRESIDENT - LIC. [email protected]
ZACHARY HOOKERDIRECTOR - LIC. [email protected]
0 2
Turton Commercial Real Estate is pleased to bring
to market The Penthomes at The Mill at Broadway, a
high-end and modern design 12-unit, 14,960 square
foot (“SF”) fee simple multi-family apartment
complex in the heart of The Mill at Broadway
residential development project, located in a federal
Opportunity Zone.
The Penthomes are comprised of two six-plexes for
a total of twelve luxury apartments overlooking the
public park and dog park, each with private, enclosed
parking garages. All of the luxury apartments are
located on the second, third or fourth floor. The
fourth floor Penthomes include mezzanine loft space
and roof deck patios with spectacular views of
Sacramento’s urban core and The Mill at Broadway’s
amenities. Best-in-class finishes include balconies,
luxury vinyl flooring in living areas, upgraded padded
S e c t i o n O n e : T he Opp o r tuni t y
0 3
carpet in the bedrooms, and Daltile tile flooring in
the bathrooms. Kitchens include 2 centimater quartz
counters, stainless steel appliances, Whirlpool front
load washer/dryers and and an integrated smart
home system. Almost all comparable apartments
in the urban core average rent starts at $3.00 per
square foot per month.
The Penthomes are offered at $4,550,000,
representing a 6% cap rate on conservative pro
forma rents of $2.44 per SF per month and generous
operating expenses of $9.36 per SF annually.
The 2 Penthomes consist of 12 total units of which
four are 1,110 square feet, four are 1,156 square
feet, two are 1,445 square feet and two are 1,503
square feet. The opportunity provides an investor
with an opportunity to fully lease the 12-unit project
at market rate rents and place permanent financing
on it at 3.25% interest, providing a healthy 7.5%
cash-on-cash return. Alternatively, an investor
can re-sell the fully leased Penthomes. Based on
historical disposition capitalization rates of 4.5%
for fully stabilized new construction apartments,
the prudent investor can potentially resell the
fully leased project for approximately $5,850,000.
Assuming five months to stabilize the property, and
depending on buyer leverage, a cash on cash return
approaching 100% in one year may be achievable.
Alternatively, a future owner can resell individual
units as condominiums.
We are confident that after learning more about
The Penthomes at The Mill at Broadway, you will
agree the property represents one of the best and
easiest value-add investment opportunities in the
Sacramento region!
THIS IS A RARE MULTIFAMILY OPPORTUNITY IN SACRAMENTO’S URBAN CORE
THE OPPORTUNITY$4.55 M12
SALES PRICEUNITS
2SIXPLEXES
6%PROFORMA CAP RATE
General:
Number of Units: 12
4 Units, 2 Bed, 2 Bath: 1,110 SF
4 Units, 2 Bed, 2 Bath: 1,156 SF
2 Units, 3 Bed, 3 Bath, Rooftop Patio: 1,445 SF
2 Units, 3 Bed, 3 Bath, Rooftop Patio: 1,503 SF
(plus rooftop patio)
Year Built: 2020
Stories: 4.5
Net Rentable Area: 14,960 SF
Zoning: R-4-PU
Covered Parking: 10 single stalls for 2nd & 3rd floor units
2 tandem stalls for 4th floor units
Structure: 4.5 story wood framed structure with
stucco and masonry veneer
Roofing: GAF 60 mil. white flat roof with 2 year
installer warranty, 30 year manufacturer
warranty
Solar: 7.85 kWp with 24 panels (for common
areas only) for each building
Site:
Addresses: 429 Tailoff Lane (Building 108)
455 Tailoff Lane (Building 107),
Sacramento, CA 95818
County: Sacramento, USA
APNs:
009-0410-027-0001 through 0006
(429 Tailoff Lane, Building 108)
009-0410-026-0001 through 0006
(455 Tailoff Lane, Building 107)
Utilities:
Electricity: SMUD
Water: City of Sacramento
Sewer/Stormwater: City of Sacramento
Gas: Pacific Gas & Electric
Condominium Mapped: Yes (12 units)
PROPERTY DETAILS
0 6
Section One: The Opportunity
MODERN FINISHES & MODERN FLOORPLANS FOR A MODERN INVESTMENT
S e c t i o n O n e : T he Opp o r tuni t y
0 8
A VARIETY OF SHARED SPACES FOR EVERYDAY MODERN LIVING
Residential Systems:
Smart Home System: Zero-Wire and Liberty Bell
Ultrasync Keypad
Ultra Secure Mini Dome Camera
Wireless Window Contacts
Hard Wired Door Contact
HVAC: Electric, individually metered
Life Safety: Fully sprinklered with fire life safety
system
Elevator:
Water Heaters: Tankless
Interiors:
Walls and Ceilings: Paint
Cabinets: Custom slab door (satin white)
Backsplash: Full height throughout kitchen
Kitchen Appliances: Stainless steel
Laundry Appliances: Whirlpool 4.3 cubic foot front Load
closet-depth washer
Whirlpool 7.4 cubic foot front load long
vent gas dryer
Flooring:
Living Areas: Luxury Vinyl Plank
Bath Areas: Tile
Bedrooms: Carpet
Counters:
Kitchen: 2 CM quartz with full backsplash and 3CM
laminated mitered edge
Bath Areas: 2 CM e-Stone with 4” backsplash and 3
CM laminated square edge
PROPERTY DETAILS CONT.
1 0
Section One: The Opportunity
BEST-IN-CLASS FINISHES INCLUDING BALCONIES, LUXURY FLORRING AND HIGH-END KITCHEN APPLIANCES
The Mill at Broadway is one of the most transformative
development projects in urban Sacramento.
Before Downtown had high-rises, before Broadway
was Broadway, before hops farms were transformed
into Land Park, a young man opened a sawmill.
Nestled on the southern border of downtown where
the river curves and heads south, this sawmill
brought new life to the region. The warm rich smell
of pine and the bright metallic whir of saw blades
flourished. There, they turned the raw felled trees
S e c t i o n Tw o : T he D eve lopmen t
1 1
of the Sierra Nevada into fruit crates that travelled
the world. These crates were filled with tomatoes,
almonds, pears, asparagus, peaches, and much
more. Some crossed the country by train, others
ventured to Europe by boat, and many filled the
tables of Sacramento homes.
As time progressed, Sacramento’s grid filled out and
Land Park spread north to meet it at Broadway. The
sawmill began to evolve, making door and window
frames, then lumber and ornate crown molding, and
the company continued to grow.
Today, The Mill at Broadway completes the
metamorphosis as beautiful new homes inherit the
sawmill’s site. Like the final piece in a jigsaw puzzle,
it weaves the grid and Land Park communities
back together bringing a sense of completeness
and renewed life. In total, The Mill at Broadway
has more than 470 for sale homes and numerous
shared amenities creating a Sacramento landmark
community.
AMENITIES INCLUDE: ELECTRIC VEHICLE SHARING, DOG PARK, MILL PARK, MILL PLAZA, URBAN FARM, EVENT LAWN,
MILL AT BROADWAY3.5470
ACRE PARKHOMES
32ACRES
70MILES OF TRAILS
FLEXIBLE COURTS, PICNIC AREA, CYCLING/JOGGING LOOP
Lane Homes
Cottages
Penthomes #107-108
Courts
Bungalows
Garden Villas
Market Club
Dog ParkEvent Lawn
Neighborhood CenterThe Mill Park
Picnic AreaBocce Ball
Section Two: The Development
URBAN FARM - COMING SOON!Farm-to-table is going to get a little cozier with The
Mill’s Urban Farm project.
Crops will be grown on 2.5 acres within walking
distance of The Penthomes. Each resident can
support sustainable land use and local growers
by buying food harvested from the Urban Farm
operated by a Sacramento-based non-profit, the
Food Literacy Center. Each resident also has the
option of cultivating their own fruits and vegetables,
even flowers, in their very own plot.
A section of the garden will be reserved as a teaching
environment for school students and community
residents so they can increase their learning as well
as their yield.
BIKE PATHS AND PARK Urban community living shouldn’t feel cramped or
constricting. There’s room to run, bike, and play at
the beautifully designed 4.5 acre Mill Park. In the
center of the park is the Crate House, an 11,000
square foot neighborhood center. Play bocce ball,
shuffleboard or beach volleyball in one of the three
courts on the southeeast corner of the park.
Residents can walk their dog at the large dog park.
Or they can track their time and distance with the 1/4
mile bike and jogging loop that surrounds the park. A
series of meandering paths connect all elements of
the park. Setzer Run Trail will connect you up to the
American River Bike trail, Sacramento Marina and
Miller Park, leading you to Downtown Sacramento,
the river or the foothills.
PUBLIC ART SCENE Public art expresses a community’s personality
to its guests and brings a sense of identity to its
residents. Sacramento-based artist Jose Di Gregorio
painted a 30-foot tall wood-mill hopper at The Mill at
Broadway as part of Sacramento’s Wide Open Walls
mural festival. The Mill has also added a new mural
off of 5th Street across from the community by local
artist Brianne Chaney. park as a repurposed shade
areas to cool off heated walkers, joggers and cyclists
The Mill at Broadway’s public art is a declaration
that The Mill is completely unique.
1 3
A MODERN VILLAGE
ON-SITE ART PIECE BY JOSE DIGREGORIO
ON-SITE ART PIECE BY JOSE DIGREGORIO
Get all the prestige of a high-end residence in the
city and all the convenience of a private home.
Future residents will live just five minutes from the
Golden 1 Center, with easy access to the best sports
events and shows. Not only will they easily get to the
game, they’ll also be the place where the after-game
party gathers.
The Penthomes offer luxurious views with mezzanine
S e c t i o n T h r e e : T he P r op e r t y
1 5
plazas and rooftop decks, but having a great view
doesn’t mean you have to sacrifice on the day-
to-day conveniences. They also provide luxurious
living with a house designed for entertainment. The
Penthomes are incredibly spacious, starting at about
1,100 square feet and expanding to more than 1,500
square feet with a large rooftop balcony. Each four-
story building contains six homes with the kitchen,
living room, private outdoor balcony, bedrooms,
and bathrooms all on a single floor and a private
garage with secure, direct access to each home.
All residences are serviced by a controlled-access
elevator, giving only the resident and their neighbor
access to your floor. Residences on the fourth floor
offer voluminous living rooms with spacious rooftop
decks and mezzanines and two-car garages.
THE PENTHOMES1,100 - 1,5004
SF FLOOR PLANSBUILDINGS TOTAL
2BUILDINGS FOR SALE
FLOOR PLANS
Sect ion Four : F l oo r P lans
1 7
GARAGE + ELEVAT ION
42FLOOPLANSPENTHOMES
12UNITS
2GARAGES
GARAGE
RESIDENCE 1
RESIDENCE 2
RESIDENCE 4
GARAGE
RESIDENCE 1
RESIDENCE 2
RESIDENCE 3
Sect ion Four : F l oo r P lans
1 9GARAGE LEVEL
ELEVATION
RESIDENCE ONE 1,110 sq. ft. 1 Floor 2 Bedrooms 2 Baths 1-2 Car Garage
PENTHOMES - RES IDENCE ONE
21,100BEDROOMSSQUAREFEET
1STORY
2BATHS
1-2CAR GARAGE
4OF THESE UNITS
PENTHOMES - RES IDENCE TWO
21,156BEDROOMSSQUARE FEET
1FLOOR
2BATHS
1-2CAR GARAGE
4OF THESE UNITSRESIDENCE TWO 1,156 sq. ft. 1 Floor 2 Bedrooms 2 Baths 1-2 Car Garage
GARAGE LEVEL
ELEVATION
Sect ion Four : F l oo r P lans
2 1
PENTHOMES - RES IDENCE THREE
GARAGE LEVEL
MEZZANINE LEVEL
RESIDENCE THREE
ELEVATION
1,445 sq. ft. 2 Floors 2/3 Bedrooms 3 Baths 2 Car Garage2/31,445BEDROOMSSQUARE FEET
2FLOORS
3BATHS
2CAR GARAGE
2OF THESE UNITS
GARAGE LEVEL
MEZZANINE LEVEL
RESIDENCE THREE
ELEVATION
1,445 sq. ft. 2 Floors 2/3 Bedrooms 3 Baths 2 Car Garage
Sect ion Four : F l oo r P lans
2 3
PENTHOMES - RES IDENCE FOUR
MEZZANINE LEVEL
RESIDENCE FOUR
GARAGE LEVEL
ELEVATION
1,503 sq. ft. 2 Floors 2/3 Bedrooms 3 Baths 2 Car Garage2/31,503BEDROOMSSQUARE FEET
2FLOORS
3BATHS
2CAR GARAGE
MEZZANINE LEVEL
RESIDENCE FOUR
GARAGE LEVEL
ELEVATION
1,503 sq. ft. 2 Floors 2/3 Bedrooms 3 Baths 2 Car Garage
2OF THESE UNITS
2 5
Section Five: The Location
On the cusp of Land Park and Southside Park
neighborhoods, but soon to be a destination all its
own, Sacramento’s East Marina district, as a portion
of the Broadway Corridor, is coming alive.
Several key investment/developments have been
made nearby and the path of progress is beginning
to accelerate. The street improvement program,
the Broadway/WestSac Bridge, development of
numerous high-end mixed-use projects and new
retail/restaurant amenities are all helping to breathe
new life into this iconic blvd.
City Councilman Steve Hansen says he sees
Broadway as the next major downtown corridor
to modernize now that K Street and R Street are
maturing corridors. “The opportunities really abound
here” Hansen said.
BUILDING LOCATIONBroadway i s Sacramento ’s nex t majo r downtown co r r ido r
1 0
NEARBY MURAL BY BRYAN VALENZUELA
GREAT FOOD Broadway is home to an eclectic and multicultural culinary scene with some of the most-
loved restaurants in Downtown Sacramento, some with a long and unique local history.
These include Tower Cafe, Willie’s Burgers, Iron Steakhouse, Jamie’s Broadway Grille, and
other Ethiopian, Thai, Indian, Japanese, Vegetarian, and Mexican restaurants. Just off
Broadway down Riverside Avenue, you will find old favorites like the Riverside Clubhouse
and Vic’s Ice Cream, as well as new up-and-coming places like Massulo Pizza.
BROADWAY BRIDGE The Broadway Bridge is a government-led improvement that will connect Broadway to
West Sacramento over the Sacramento River. This will allow convenient walkable access
to the various amenities available in West Sacramento.
SELLAND’S MARKET CAFE Selland’s Market Cafe – a Sacramento favorite – opened their Broadway location in late
2017. This provides an additional place to eat and enjoy along Broadway, just a short walk
or ride from the subject property. Whether dining in or bringing food back home, Selland’s
is sure to impress.
WEEKLY FARMERS MARKET Sacramento’s largest weekly farmers market is held right off of X Street in the Broadway
Corridor. A unique selection of items are available, including: the finest fruits, vegetables,
baked goods, flowers, herbs, juices and cheeses.
PEDESTRIAN IMPROVEMENTS The city has plans to narrow the busy thoroughfare from two lanes in each direction to
one with center turn lanes in order to slow traffic and encourage a main-street feel where
people can ride bikes and restaurants can use the sidewalks to create patio seating. The
early reaction among business, property owners and nearby residents has been largely
positive.
Below are some of the exciting developments and amenities advancing the greater Broadway region and the entire urban core.
NEARBY DEVELOPMENT PROJECTS
BROADWAY REDUX PHASE I & II Local infill builder Indie Capital is nearing completion of Phase II of their Broadway
Redux project, a 9-home urban infill project. They are completing the remaining
5 units and have sold out prior to completion. Designed by Johnsen Schmaling
Architects., the award-winning designs are helping to bolster the Broadway corridor
as an exciting place to be.
ONYX BOUTIQUE APARTMENTS Directly north of (and essentially adjacent to) the subject property is ONYX, a new
41-unit boutique apartment development that features modern design, a community
courtyard for gathering, and is tailored to foodies and urban enthusiasts.
THE TOWER THEATRE The Tower Theatre is one of Sacramento’s most iconic landmarks that opened its
doors in 1938. More than 75 years later, it is still the premier place to catch some of
the best independent and foreign films within 100 miles.
1817 BROADWAYLocal developers will develop a 74 unit over 8,500 square feet of retail mixed-use
development at the northwest corner of 19th and Broadway.
16TH AND BROADWAYLocal developer Jon Gianiulias plans to construct a five-story, 60,00 square foot
mixed-use development on the iconic corner where Tower Records used to be. This
project includes 14,205 square feet of retail space and 53 multi-family units.
1901 BROADWAYBay Area-based affordable housing developer EAH Housing has submitted plans for two
five-story buildings at 1901 Broadway, with 150 apartments and about 1,700 square feet of
retail space.
2 7
Section Five: The Location
BROADWAY
R
FREEPORT
18th
19th
Upper Land Park
Masullo Pizza
Jamie’s Bar & Grill
DMV Headquarters
Light Rail Station
Miller Park/Marina
Southside ParkState Capitol
Golden 1 Center
Roosevelt Park
Fremont Park
Target
Selland’s MarketBike Dog Brewing
STAB! Comedy ClubNew Helvetia Brewing
Broadway Redux
The Mill
Ice Blocks Tower Theatre
Willie’s BurgersQueen ShebaJamba JuiceWalgreensJoe Marty’s
O’Neil ParkFarmers’ Market
16th & Broadway Dev
Onyx Apartments16th & Broadway Dev
1901 Broadway
POPULAR RESTAURANTS NEAR THE MILL AT BROADWAY (NOT ALL ARE MENTIONED HERE):
58 Degrees & Holding Co.Ace of SpadesAioli Bodega EspanolaAmaro Italian Bistro & BarAndy Nguyen’sAzul MexicanBar WestBike DogBombay Bar & GrillBottle & BarlowBroderick MidtownBuckhorn GrillBurger PatchBurgers and BrewCafe BernardoCantina AlleyCentro Cocina MexicanaChada Thai CuisineCornerstoneCrepevilleDad’s Sandwiches
Der BiergartenDim Sum HouseElixir Bar & GrillElla DiningErnesto’s MexicanFederalist Public HouseFieldwork Brewing Co.FishFace Poke BarFox & Goose Public HouseFrank FatsGinger Elizabeth ChocolatesGrangeHighwaterHook & LadderIdentity CoffeeIron Horse TavernJack’s Urban EatsJamie’s Bar & GrillJin Jin NoodleKarma BrewKru Japanese
Kupros Craft HouseKyoto Sushi BarLa GarnachaLe CroissantLowbrauLuccaLuna’s Cafe & Juice BarMake FishMango’s/BurgertownMas Taco BarMassulo PizzaMasullo PizzaMathmandu KitchenMikuni SushiMiso JapaneseMulvaney’s B&LN Street CafeNekterNishiki SushiOld Soul CoffeePachamama Coffee Coop
Paesano’sParagary’sPizzeria UrbanoPortofino’sPress BistroPushkin’s BakeryQ Street Bar & GrillQueen ShebaR15Red RabbitRick’s Dessert DinerRiverside ClubhouseRoxie Deli and BarbecueSaddle RockSakamotoSelland’sShady LadyShoki Ramen HouseSlice of BroadwaySouthSun & Soil Juice
Tank House BBQTaste of ThaiTemple CoffeeThai BasilThai CanteenThe Bread StoreThe Coconut on TThe Golden BearThe Mill Coffee HouseThe PorchThe PressThe RindThe WaterboyTres HermanasUncle Vito’s PizzaVic’s Ice CreamWaffle Square Country KitchenWillie’s BurgersX O LoungeZelda’s PizzaZocalo
Sutter’s Fort
Winn Park
Truitt Bark ParkFremont Park
Golden 1 Center
Located on the Broadway Corridor - Sacramento’s up-and-coming submarket. Residents of the Penthomes at The Mill will enjoy being near the urban core with easy access to every corner of the city.
NEARBY AMENITIES
2 9
Section Five: The Location
Southside Park
State Capitol
Roosevelt Park
The Mill at Broadway
O’Neil ParkS
5th
Broadway
10th
SACRAMENTO
Cal i fo rn ia ’s fas tes t g rowing met ropo l i tan
The word “renaissance” is often overused and
inappropriate to describe economic improvement
in the urban core of cities throughout the Unit-
ed States. However, that’s not the case for Sac-
ramento. Since the formal approval to construct
Golden 1 Center, the floodgates have figuratively
opened to the urban migration of retailers, busi-
nesses and residents. Huge chunks of the urban
core have been revamped, with more redevelop-
ment currently underway. New projects surround-
ing the property, namely the Downtown Commons
and The Railyards, are contributing to this an
215+15.3 MILLION 71,335DAYTIME EMPLOYEESANNUAL REGIONAL VISITORS BARS / RESTAURANTS
exciting time for the city. In California, nowhere
is the word “renaissance” more applicable and
demonstrable than in Downtown Sacramento, and
1920 20th Street is situated in the middle of ev-
erything.
3 1
Section Six: Sacramento
THERE’S A REASON EVERYONE IS COMING HERE.
#1 Happiest workers in midsized cities
#2 Top 10 most fun, affordable U.S. cities
#4 U.S metro clean tech index
#4 Best cities for nerds
#5 Hot startup cities
#10 Best cities for women in the workforce
#10 Best cities for coffee snobs
#10 Least Stressed-out cities
#14 America’s coolest cities
#16 Best cities for millennials
SACRAMENTO’S CITY RANKINGS
SACRAMENTO REGION ANNUAL SALARY BREAKDOWN:
Over $100,000 - 17%$75,000 - $100,000 - 11%
$60,000 - $75,000 - 10%$40,000 - $60,000 - 18%
$30,000 - $40,000 - 12%Under $30,000 - 32%
LARGEST EMPLOYMENT INDUSTRIES WITHIN 1 MILE RADIUS OF THE PROPERTY:
ANNUAL CONSUMER SPENDING WITHIN A ONE MILE RADIUS OF THE URBAN CORE:
Entertainment
Eateries/alc.
Transport
Health & ed.
Household
20 40 60 80*Numbers in millions0
*Based on data from 2019
NUMBER OF EMPLOYEESWITHIN VARYING RADIUS OF THE URBAN CORE
1 MILE 2 3
83,188
137,034
181,382
48% Public Admin. & Sales
17% Science & Tech.
4% Information
5% Healthcare & Social
7% Hospitality & Food
19% Other
SACRAMENTO OFFICE VACANCY:
2016 2017 2018 20199%
10%
11%
12%
13%
14%
WALKSCORE:
53BIKE
SCORE:
92TRANSITSCORE:
38
SACRAMENTO DATA BITESSacramento’s relative affordability versus amenities remains one of its biggest draws. Population growth is expected
to average about 1% (20,000 annually for the region) over the next five years and is expected to outpace the national
average. Household growth continues to far outpace the rate of single-family and apartment deliveries. In recent years,
Bay Area residents have flocked to Sacramento to escape exorbitant housing costs.
3 3
Section Six: Sacramento
Section Seven: The Market
3 5
Sacramento’s strong economic momentum has
continued through 2020. Apartment demand began
in 2012 driven by distress in the housing market,
forcing many former homeowners to become rent-
ers, in addition to a steady rebound in employment
beginning that same year. The metro’s vacancy re-
covery has not yet been burdened by large-scale
supply additions, which has allowed vacancies to
remain near historical lows. Greater net in-migra-
tion, particularly from the Bay Area, and solid de-
mographics have helped boost demand. Covid-19
has accelerated this migration with urban Sacra-
mento living being one of their top choices/
Improving economic conditions have support-
ed steady demand. Construction, Education and
Health services led the way in job growth year-
to-date and this trend is expected to continue in
Sacramento’s urban core with Kaiser expected to
THE MARKETDEM A ND
occupy their new 200,000 sf location at 6th and J
Street as well as their new medical campus spread
out over 17 acres in the Railyards over the next
decade. Above-average employment growth is also
expected to continue in the leisure and hospitality
sector, thanks in large part to the new retail and
hotels opening in relation to the Golden 1 Center
development.
A few developers have focused on market rate urban
core properties such as 19J, a 160 unit development
in Midtown, Ice House, a 146-unit development, (oc-
cupancy October, 2017), Q19 (44 units occupancy
Q2/2018), the 700 Block of K Street (136 units on K
Street occupancy Q2/2018), Eviva (118-unit modu-
lar development) and the 800 Block of K Street (170
units scheduled for Q3/2019). This does not even
come close to supplying the apparent demand for ur-
ban core apartments as most of these projects have
waiting lists at rents above pro forma (and pro forma
is over $3 per sf). As stated earlier and pointed out
in the recent study completed by Bay Area Econom-
ics, the pending demand for higher end fair market
SUP PLY
apartments is at least 2,000. Given the scarcity of
available land, the emphasis at the City level for pro-
viding “low income” housing options, the increasing
cost of permit fees and the ever-extending construc-
tion timelines for project completions, it appears the
supply of market rate housing in urban Sacramento
will be constrained for the foreseeable future.
We did what many multifamily landlords don’t have time to do: directly ask apartment tenants in the urban core what they want. The Penthomes at the Mill at Broadway has it all.
what tenants want
Section Seven: The Market
3 7
B R E N N A K E N N E A L Y
"I've got a lot to say about one thing: laundry.
Why do so few apartments have on-site laun-
dry? I have been trying to move to urban Sac
for over a year and very few decent one-bed-
rooms with on-site laundry are in my price
range. How do people deal with leaving the
house to wash their clothes? It's become a
luxury service down there.
To top it off, half of the places WITH on-site
laundry have coin-operated machines that
take like three dollars to do a load. If I do
two loads a week, that means I'm spending
an extra $300 per year on laundry. Non-
sense! I confess that my perception may be
skewed by my Cameron Park upbringing,
but still. Dang."
I like the location to either be close to my work or to close to the areas of town I like to frequent in my free time. I also really enjoy having communal / public space that I can host in without having to dirty up my own apartment. My friend lived in a really cool complex which had a rooftop deck with a barbecue and couches. I like the idea of having that option!M O R G A N C O N L E Y
O O H ,S H EM A D
"I know this sounds a little
high-maintenance, but I vastly
prefer brand new modern apart-
ments and condos to older ones.
I like stuff that's clean and works
well. Also, I like high ceilings or
else I feel cramped."
G A R R E T T H A N K S
It's gotta be nice
Communal hangout space
16 Powerhouse - Photo by Nicholas Wray
Dataphilia:WHAT MATTERS MOST IN A RENTAL?
For your consumption, we gave our local friends 10 points to distribute amongst qualities they value most in a rental and averaged them! n=16
5
4
3
2
1
ON-SITE LAUNDRY
NEWFINISHES
PETFRIENDLY
WALKABLE LOCATION
PARKING
Living room at Q19
Common Room at Warehouse Artist Lofts
"I moved to Midtown because I love being in the
middle of everything! I like the energy and activ-
ity, of all the people walking around and going
out at night. Since I go out pretty often, I don't
mind the music and revelry. I’m so happy that
I found an apartment that was centrally located
and close to public transit!"
"I love how cool Midtown is as much as the next
guy, but living outside of Midtown fits my lifestyle
better with less noise and action. I love getting a
great night of sleep and catching a run at Sut-
ter's Landing before the sun comes up, so the
quiet outskirt neighborhoods are my preference."
In the actionvs.
On the outskirts
C A S S I E M A N C I N I
P H I L I P P E T E R S O N
"Four years ago, I sold my car and moved to the Grid. I needed to live in a highly walkable part of town. I remember studying the area on Google Maps, noting the distance of prospective apartments to the locations of grocery stores, restaurants, exciting bars, parks, river entrances, and my office. Living in the Grid without a car is so normal to me now, everything I could ever need or want is within walking distance."
Easy to live car-free S C O T T P O L A S K E
"I really try to limit my driving, so having walkable access to
coffee shops, restaurants, and my work was important to me.
As someone that's an avid cooker, I also consider the usability
of the kitchen - I NEED a gas range and big kitchen to cook, so
that's one of my priorities." K Y R A K L O P P
3 9
Section Eight: Economics
The Property is being marketed on offer-by-offer basis based on a conservative pro forma net operating income of $403,132.22 inclusive of a 5% of gross revenue concession allowance and a 3% vacancy reserve. Seller reserves the right to accept an offer at any time.
ECONOMICS
PRO FORMA 10-YEAR CASH FLOWTHE MILL AT BROADWAY PENTHOMES
Revenue Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Gross Scheduled Residential Rental Income/Unit/Month
UNIT # SIZE PER SF
Unit 107A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 107F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Unit 108A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 108F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Gross Scheduled Monthly Residential Rental Income $36,515.60 $37,428.49 $38,364.20 $39,323.31 $40,306.39 $41,314.05 $42,346.90 $43,405.57 $44,490.71 $45,602.98
Gross Schedled Annual Residential Rental Income $438,187.20 $449,141.88 $460,370.43 $471,879.69 $483,676.68 $495,768.60 $508,162.81 $520,866.88 $533,888.55 $547,235.77
Concessions $21,909.36 $22,457.09 $23,018.52 $23,593.98 $24,183.83 $24,788.43 $25,408.14 $26,043.34 $26,694.43 $27,361.79 5% of gross
Vacancy $13,145.62 $13,474.26 $13,811.11 $14,156.39 $14,510.30 $14,873.06 $15,244.88 $15,626.01 $16,016.66 $16,417.07 3% of gross
Total Rental and Parking Income $403,132.22 $413,210.53 $423,540.79 $434,129.31 $444,982.55 $456,107.11 $467,509.79 $479,197.53 $491,177.47 $503,456.91
Expenses Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Property Management $16,125.29 $16,528.42 $16,941.63 $17,365.17 $17,799.30 $18,244.28 $18,700.39 $19,167.90 $19,647.10 $20,138.28 4% of total revenue
HOA Dues $60,127.20 $61,630.38 $63,171.14 $64,750.42 $66,369.18 $68,028.41 $69,729.12 $71,472.35 $73,259.15 $75,090.63 $400/unit/month with 2.5% annual increases
Utilities $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Property Taxes (1.15% @ $4.5m) $51,750.00 $52,785.00 $53,840.70 $54,917.51 $56,015.86 $57,136.18 $58,278.91 $59,444.48 $60,633.37 $61,846.04 2% annual increase
Special Assessments $4,000.00 $4,080.00 $4,161.60 $4,244.83 $4,329.73 $4,416.32 $4,504.65 $4,594.74 $4,686.64 $4,780.37 2% annual increase
Insurance $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (unit) $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (exterior) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Total Expenses $140,065.13 $143,247.70 $146,503.45 $149,834.08 $153,241.34 $156,727.01 $160,292.91 $163,940.92 $167,672.94 $171,490.93
Net Operating Income $263,067.09 $269,962.83 $277,037.35 $284,295.23 $291,741.21 $299,380.10 $307,216.88 $315,256.61 $323,504.53 $331,965.98
Value at 5.78% Capitalization Rate $4,550,000.00 Year 1 sale price
Value at 4.75% Capitalization Rate $5,683,428.02 $5,832,365.19 $5,985,162.81 $6,141,920.14 $6,302,738.97 $6,467,723.69 $6,636,981.35 $6,810,621.74 $6,988,757.46 Resale price for future buyer
PRO FORMA 10-YEAR CASH FLOWTHE MILL AT BROADWAY PENTHOMES
Revenue Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Gross Scheduled Residential Rental Income/Unit/Month
UNIT # SIZE PER SF
Unit 107A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 107F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Unit 108A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 108F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Gross Scheduled Monthly Residential Rental Income $36,515.60 $37,428.49 $38,364.20 $39,323.31 $40,306.39 $41,314.05 $42,346.90 $43,405.57 $44,490.71 $45,602.98
Gross Schedled Annual Residential Rental Income $438,187.20 $449,141.88 $460,370.43 $471,879.69 $483,676.68 $495,768.60 $508,162.81 $520,866.88 $533,888.55 $547,235.77
Concessions $21,909.36 $22,457.09 $23,018.52 $23,593.98 $24,183.83 $24,788.43 $25,408.14 $26,043.34 $26,694.43 $27,361.79 5% of gross
Vacancy $13,145.62 $13,474.26 $13,811.11 $14,156.39 $14,510.30 $14,873.06 $15,244.88 $15,626.01 $16,016.66 $16,417.07 3% of gross
Total Rental and Parking Income $403,132.22 $413,210.53 $423,540.79 $434,129.31 $444,982.55 $456,107.11 $467,509.79 $479,197.53 $491,177.47 $503,456.91
Expenses Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Property Management $16,125.29 $16,528.42 $16,941.63 $17,365.17 $17,799.30 $18,244.28 $18,700.39 $19,167.90 $19,647.10 $20,138.28 4% of total revenue
HOA Dues $60,127.20 $61,630.38 $63,171.14 $64,750.42 $66,369.18 $68,028.41 $69,729.12 $71,472.35 $73,259.15 $75,090.63 $400/unit/month with 2.5% annual increases
Utilities $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Property Taxes (1.15% @ $4.5m) $51,750.00 $52,785.00 $53,840.70 $54,917.51 $56,015.86 $57,136.18 $58,278.91 $59,444.48 $60,633.37 $61,846.04 2% annual increase
Special Assessments $4,000.00 $4,080.00 $4,161.60 $4,244.83 $4,329.73 $4,416.32 $4,504.65 $4,594.74 $4,686.64 $4,780.37 2% annual increase
Insurance $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (unit) $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (exterior) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Total Expenses $140,065.13 $143,247.70 $146,503.45 $149,834.08 $153,241.34 $156,727.01 $160,292.91 $163,940.92 $167,672.94 $171,490.93
Net Operating Income $263,067.09 $269,962.83 $277,037.35 $284,295.23 $291,741.21 $299,380.10 $307,216.88 $315,256.61 $323,504.53 $331,965.98
Value at 5.78% Capitalization Rate $4,550,000.00 Year 1 sale price
Value at 4.75% Capitalization Rate $5,683,428.02 $5,832,365.19 $5,985,162.81 $6,141,920.14 $6,302,738.97 $6,467,723.69 $6,636,981.35 $6,810,621.74 $6,988,757.46 Resale price for future buyer
4 1
PRO FORMA 10-YEAR CASH FLOWTHE MILL AT BROADWAY PENTHOMES
Revenue Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Gross Scheduled Residential Rental Income/Unit/Month
UNIT # SIZE PER SF
Unit 107A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 107F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Unit 108A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 108F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Gross Scheduled Monthly Residential Rental Income $36,515.60 $37,428.49 $38,364.20 $39,323.31 $40,306.39 $41,314.05 $42,346.90 $43,405.57 $44,490.71 $45,602.98
Gross Schedled Annual Residential Rental Income $438,187.20 $449,141.88 $460,370.43 $471,879.69 $483,676.68 $495,768.60 $508,162.81 $520,866.88 $533,888.55 $547,235.77
Concessions $21,909.36 $22,457.09 $23,018.52 $23,593.98 $24,183.83 $24,788.43 $25,408.14 $26,043.34 $26,694.43 $27,361.79 5% of gross
Vacancy $13,145.62 $13,474.26 $13,811.11 $14,156.39 $14,510.30 $14,873.06 $15,244.88 $15,626.01 $16,016.66 $16,417.07 3% of gross
Total Rental and Parking Income $403,132.22 $413,210.53 $423,540.79 $434,129.31 $444,982.55 $456,107.11 $467,509.79 $479,197.53 $491,177.47 $503,456.91
Expenses Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Property Management $16,125.29 $16,528.42 $16,941.63 $17,365.17 $17,799.30 $18,244.28 $18,700.39 $19,167.90 $19,647.10 $20,138.28 4% of total revenue
HOA Dues $60,127.20 $61,630.38 $63,171.14 $64,750.42 $66,369.18 $68,028.41 $69,729.12 $71,472.35 $73,259.15 $75,090.63 $400/unit/month with 2.5% annual increases
Utilities $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Property Taxes (1.15% @ $4.5m) $51,750.00 $52,785.00 $53,840.70 $54,917.51 $56,015.86 $57,136.18 $58,278.91 $59,444.48 $60,633.37 $61,846.04 2% annual increase
Special Assessments $4,000.00 $4,080.00 $4,161.60 $4,244.83 $4,329.73 $4,416.32 $4,504.65 $4,594.74 $4,686.64 $4,780.37 2% annual increase
Insurance $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (unit) $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (exterior) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Total Expenses $140,065.13 $143,247.70 $146,503.45 $149,834.08 $153,241.34 $156,727.01 $160,292.91 $163,940.92 $167,672.94 $171,490.93
Net Operating Income $263,067.09 $269,962.83 $277,037.35 $284,295.23 $291,741.21 $299,380.10 $307,216.88 $315,256.61 $323,504.53 $331,965.98
Value at 5.78% Capitalization Rate $4,550,000.00 Year 1 sale price
Value at 4.75% Capitalization Rate $5,683,428.02 $5,832,365.19 $5,985,162.81 $6,141,920.14 $6,302,738.97 $6,467,723.69 $6,636,981.35 $6,810,621.74 $6,988,757.46 Resale price for future buyer
PRO FORMA 10-YEAR CASH FLOWTHE MILL AT BROADWAY PENTHOMES
Revenue Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Gross Scheduled Residential Rental Income/Unit/Month
UNIT # SIZE PER SF
Unit 107A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 107D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 107E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 107F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Unit 108A 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108B 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108C 1,110 $2.50 $2,775.00 $2,844.38 $2,915.48 $2,988.37 $3,063.08 $3,139.66 $3,218.15 $3,298.60 $3,381.07 $3,465.59 2.5% annual rent growth
Unit 108D 1,156 $2.50 $2,890.00 $2,962.25 $3,036.31 $3,112.21 $3,190.02 $3,269.77 $3,351.51 $3,435.30 $3,521.18 $3,609.21 2.5% annual rent growth
Unit 108E 1,445 $2.35 $3,395.75 $3,480.64 $3,567.66 $3,656.85 $3,748.27 $3,841.98 $3,938.03 $4,036.48 $4,137.39 $4,240.83 2.5% annual rent growth
Unit 108F 1,503 $2.35 $3,532.05 $3,620.35 $3,710.86 $3,803.63 $3,898.72 $3,996.19 $4,096.10 $4,198.50 $4,303.46 $4,411.05 2.5% annual rent growth
Gross Scheduled Monthly Residential Rental Income $36,515.60 $37,428.49 $38,364.20 $39,323.31 $40,306.39 $41,314.05 $42,346.90 $43,405.57 $44,490.71 $45,602.98
Gross Schedled Annual Residential Rental Income $438,187.20 $449,141.88 $460,370.43 $471,879.69 $483,676.68 $495,768.60 $508,162.81 $520,866.88 $533,888.55 $547,235.77
Concessions $21,909.36 $22,457.09 $23,018.52 $23,593.98 $24,183.83 $24,788.43 $25,408.14 $26,043.34 $26,694.43 $27,361.79 5% of gross
Vacancy $13,145.62 $13,474.26 $13,811.11 $14,156.39 $14,510.30 $14,873.06 $15,244.88 $15,626.01 $16,016.66 $16,417.07 3% of gross
Total Rental and Parking Income $403,132.22 $413,210.53 $423,540.79 $434,129.31 $444,982.55 $456,107.11 $467,509.79 $479,197.53 $491,177.47 $503,456.91
Expenses Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Notes
Property Management $16,125.29 $16,528.42 $16,941.63 $17,365.17 $17,799.30 $18,244.28 $18,700.39 $19,167.90 $19,647.10 $20,138.28 4% of total revenue
HOA Dues $60,127.20 $61,630.38 $63,171.14 $64,750.42 $66,369.18 $68,028.41 $69,729.12 $71,472.35 $73,259.15 $75,090.63 $400/unit/month with 2.5% annual increases
Utilities $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Property Taxes (1.15% @ $4.5m) $51,750.00 $52,785.00 $53,840.70 $54,917.51 $56,015.86 $57,136.18 $58,278.91 $59,444.48 $60,633.37 $61,846.04 2% annual increase
Special Assessments $4,000.00 $4,080.00 $4,161.60 $4,244.83 $4,329.73 $4,416.32 $4,504.65 $4,594.74 $4,686.64 $4,780.37 2% annual increase
Insurance $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (unit) $4,031.32 $4,111.95 $4,194.19 $4,278.07 $4,363.63 $4,450.91 $4,539.92 $4,630.72 $4,723.34 $4,817.80 1% of total revenue
Operating and Maintenance (exterior) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Total Expenses $140,065.13 $143,247.70 $146,503.45 $149,834.08 $153,241.34 $156,727.01 $160,292.91 $163,940.92 $167,672.94 $171,490.93
Net Operating Income $263,067.09 $269,962.83 $277,037.35 $284,295.23 $291,741.21 $299,380.10 $307,216.88 $315,256.61 $323,504.53 $331,965.98
Value at 5.78% Capitalization Rate $4,550,000.00 Year 1 sale price
Value at 4.75% Capitalization Rate $5,683,428.02 $5,832,365.19 $5,985,162.81 $6,141,920.14 $6,302,738.97 $6,467,723.69 $6,636,981.35 $6,810,621.74 $6,988,757.46 Resale price for future buyer
Section Eight: Economics
THE MILL AT BROADWAY PENTHOMES
Project Name Address Year Built Total Units Unit Br Unit Bth Unit Size in
SF Asking Rent
Gross Asking
Rent/SF Occupancy Appliances Range Flooring Countertops Ceilings Washer/Dryer Closets Patios16 Powerhouse 1606 P Street 2015 50 2 2 1100 3,675$ 3.34$ 100% Bosch Stainless Steel Electric Wood Cesar Stone 10-18ft Bosch HE Walk In Yes
2 2 1053 3,055$ 2.90$ 100% Bosch Stainless Steel Electric Wood Cesar Stone 10-18ft Bosch HE Walk In Yes1801 L Street 1123 18th Street 2006 170 2 2 1021 2,710$ 2.65$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes
2 2 1063 2,920$ 2.75$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1054 2,840$ 2.69$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1025 2,815$ 2.75$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1062 2,900$ 2.73$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1071 2,920$ 2.73$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1084 2,945$ 2.72$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1074 3,045$ 2.84$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1037 2,940$ 2.84$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1150 3,500$ 3.04$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1111 3,073$ 2.77$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes
Fremont Mews 1400 P Street 2005 119 2 2 1303 2,700$ 2.07$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1008 2,280$ 2.26$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1019 2,600$ 2.55$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1008 2,660$ 2.64$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes
Legado De Ravel 1520 16th Street 2014 84 2 2 1080 2,530$ 2.34$ 98% Whirlpool SS Electric Carpet Formica 9ft GE No Yes2 2 972 2,505$ 2.58$ 98% Whirlpool SS Electric Wood Granite 10ft GE No Yes
Eviva 1531 N Street 2016 118 2 2 1007 2,800$ 2.78$ 93% Whirlpool SS Electric Wood Granite 10ft Whirlpool No No2 2 1212 3,150$ 2.60$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No
Ice House 1710 R Street 2017 148 2 2 864 2,500$ 2.89$ 95% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool Yes No2 1 864 2,500$ 2.89$ 95% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool Yes No
J Street Lofts 800 J Street 2006 225 2 2 1100 2,726$ 2.48$ 93% GE Stainless Steel Electric Wood Granite 12-14ft GE Yes No2 2 943 2,919$ 3.10$ 93% GE Stainless Steel Electric Wood Granite 12-14ft GE Yes No2 2 1362 -$ 100% 9-10ft Electric Wood Granite 12-14ft GE Yes No
1430 Q 1430 Q Street 2020 75 2 2 1165 3,500$ 3.00$ 100% 9-10ft Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2.5 1280 3,900$ 3.05$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2 1330 4,100$ 3.08$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2.5 1675 5,250$ 3.13$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes
Q19 1907 Q Street 2018 68 2 2 1146 2,835$ 2.47$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes2 2 969 2,833$ 2.92$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes2 2 1076 2,843$ 2.64$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes
The Press 1714 21st Street 2020 277 2 2 850 3,100$ 3.65$ 100% Whirlpool SS Electric Wood Granite 9-10ft Whirlpool SS Yes Yes2 2 905 3,355$ 3.71$ 100% Whirlpool SS Electric Wood Granite 9-10ft Whirlpool SS Yes Yes
Eviva 1531 N St 2016 118 2 2 1146 2,800$ 2.44$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No2 2 969 2,833$ 2.92$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No2 2 1076 2,843$ 2.64$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No
Penthouses at Capitol Park 1127 15th Street 2007 19 2 2 1114 2,900$ 2.60$ 100% GE Stainless Steel Electric Wood Quartz 9-10ft GE Walk In Yes2813 Q Street Winn Park Lofts 2019 9 2 2 1043 2,430$ 2.33$ 100% GE Stainless Steel Vinyl Quartz 9ft Samsung Yes Yes1818 X St Onyx Midtown 2020 41 2 2 1060 2,487$ 2.35$ 100% GE Stainless Steel Vinyl Quartz 9ft Samsung Yes Yes945 48th St Angelino 2019 20 2 2 1009 2,922$ 2.90$ 100% Whirlpool Gas Vinyl Quartz 9ft Whirlpool Yes Yes
2 2.5 984 2,955$ 3.00$ 100% Whirlpool Gas Vinyl Quartz 9ft Whirlpool Yes Yes
RENT COMPARABLES - 2 BEDROOMTHE MILL AT BROADWAY PENTHOMES
Project Name Address Year Built Total Units Unit Br Unit Bth Unit Size in
SF Asking Rent
Gross Asking
Rent/SF Occupancy Appliances Range Flooring Countertops Ceilings Washer/Dryer Closets Patios16 Powerhouse 1606 P Street 2015 50 2 2 1100 3,675$ 3.34$ 100% Bosch Stainless Steel Electric Wood Cesar Stone 10-18ft Bosch HE Walk In Yes
2 2 1053 3,055$ 2.90$ 100% Bosch Stainless Steel Electric Wood Cesar Stone 10-18ft Bosch HE Walk In Yes1801 L Street 1123 18th Street 2006 170 2 2 1021 2,710$ 2.65$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes
2 2 1063 2,920$ 2.75$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1054 2,840$ 2.69$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1025 2,815$ 2.75$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1062 2,900$ 2.73$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1071 2,920$ 2.73$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1084 2,945$ 2.72$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1074 3,045$ 2.84$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1037 2,940$ 2.84$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1150 3,500$ 3.04$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes2 2 1111 3,073$ 2.77$ 93% GE Stainless Steel Electric Vinyl Formica 9ft GE Walk In Yes
Fremont Mews 1400 P Street 2005 119 2 2 1303 2,700$ 2.07$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1008 2,280$ 2.26$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1019 2,600$ 2.55$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes2 2 1008 2,660$ 2.64$ 100% Whirlpool SS Electric Carpet Formica 9ft Whirlpool No Yes
Legado De Ravel 1520 16th Street 2014 84 2 2 1080 2,530$ 2.34$ 98% Whirlpool SS Electric Carpet Formica 9ft GE No Yes2 2 972 2,505$ 2.58$ 98% Whirlpool SS Electric Wood Granite 10ft GE No Yes
Eviva 1531 N Street 2016 118 2 2 1007 2,800$ 2.78$ 93% Whirlpool SS Electric Wood Granite 10ft Whirlpool No No2 2 1212 3,150$ 2.60$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No
Ice House 1710 R Street 2017 148 2 2 864 2,500$ 2.89$ 95% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool Yes No2 1 864 2,500$ 2.89$ 95% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool Yes No
J Street Lofts 800 J Street 2006 225 2 2 1100 2,726$ 2.48$ 93% GE Stainless Steel Electric Wood Granite 12-14ft GE Yes No2 2 943 2,919$ 3.10$ 93% GE Stainless Steel Electric Wood Granite 12-14ft GE Yes No2 2 1362 -$ 100% 9-10ft Electric Wood Granite 12-14ft GE Yes No
1430 Q 1430 Q Street 2020 75 2 2 1165 3,500$ 3.00$ 100% 9-10ft Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2.5 1280 3,900$ 3.05$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2 1330 4,100$ 3.08$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes2 2.5 1675 5,250$ 3.13$ 100% GE Stainless Steel Gas Wood Quartz Slab Waterfall Counter Tops 9-10ft Whirlpool SS Yes Yes
Q19 1907 Q Street 2018 68 2 2 1146 2,835$ 2.47$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes2 2 969 2,833$ 2.92$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes2 2 1076 2,843$ 2.64$ 93% GE Stainless Steel Electric Vinyl Quartz 10-11ft GE Diamond Grey Yes Yes
The Press 1714 21st Street 2020 277 2 2 850 3,100$ 3.65$ 100% Whirlpool SS Electric Wood Granite 9-10ft Whirlpool SS Yes Yes2 2 905 3,355$ 3.71$ 100% Whirlpool SS Electric Wood Granite 9-10ft Whirlpool SS Yes Yes
Eviva 1531 N St 2016 118 2 2 1146 2,800$ 2.44$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No2 2 969 2,833$ 2.92$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No2 2 1076 2,843$ 2.64$ 100% Whirlpool SS Electric Vinyl Quartz 9ft Whirlpool No No
Penthouses at Capitol Park 1127 15th Street 2007 19 2 2 1114 2,900$ 2.60$ 100% GE Stainless Steel Electric Wood Quartz 9-10ft GE Walk In Yes2813 Q Street Winn Park Lofts 2019 9 2 2 1043 2,430$ 2.33$ 100% GE Stainless Steel Vinyl Quartz 9ft Samsung Yes Yes1818 X St Onyx Midtown 2020 41 2 2 1060 2,487$ 2.35$ 100% GE Stainless Steel Vinyl Quartz 9ft Samsung Yes Yes945 48th St Angelino 2019 20 2 2 1009 2,922$ 2.90$ 100% Whirlpool Gas Vinyl Quartz 9ft Whirlpool Yes Yes
2 2.5 984 2,955$ 3.00$ 100% Whirlpool Gas Vinyl Quartz 9ft Whirlpool Yes Yes
RENT COMPARABLES - 2 BEDROOM
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Section Eight: Economics
2131 CAPITOL, STE 100 SACRAMENTO, CA 95816
916.573.3300 TURTONCOM.COM
© 2020 The information contained in the Offering memorandum is confidential and is not to be used for any other purpose or made available to other persons without the express written consent of Turton Commercial Real Estate (“TCRE”), Ken Turton or the owner. The material contained herein is based upon information supplied by owner in coordination with information provided by TCRE from sources it deems reasonably reliable. Summaries of documents are not intended to be comprehensive or all-inclusive but rather a general outline of the provisions contained herein and subject to more diligent investigation on the part of the prospective purchaser. No warranty, expressed or implied, is made by owner, TCRE or any other respec-tive affiliates, as to the accuracy or completeness of the information contained herein or any other written or aral communication provided to a prospective purchaser in the course of its evaluation of the Property. No legal liability is assumed or to be applied in connection with the information or such other communication. Without limiting the general nature of the foregoing, the information shall not be deemed a representation of the state of affairs of the Property or constitute an indication that there has been no change in the business affairs, specific finances or specific condition of the Property since the date of preparation of the information. Prospective purchaser shall make their own projections and conclusions without reliance upon the materials contained herein and conduct their own independent due diligence, inspection and review of the Property, including but not limited to engineering and environmental inspec-tions, to determine the condition of the Property and the existence of any potential hazardous material located at the site.
SCOTT KINGSTONVICE PRESIDENT - LIC. 01485640916.573.3309SCOT [email protected]
KEN TURTONPRESIDENT - LIC. [email protected]
ZACHARY HOOKERDIRECTOR - LIC. [email protected]
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