PRICE TO BE DETERMINED BY DEAL STRUCTURE- Joint Venture or Equity Partner-
$16MM-$25MM Possible Scenarios
Developer has over 50 years developing 80/20% Tax Credit Deals- Over 4000 in pipeline. Always built to own/hold. Now available to outside investors.
The project sits on a 3.1-acre site at Maple & Main Street, Hayward, Alameda County, California.
The apartment component will consist of 240 apartment units that include a mixture of studio,one, two and three-bedroom units.
The retail component will be comprised of 5,571 square feet.
The project will include affordable multi-family units. 20% of the multi-family units (or 48 units) will be rented at levels affordable to households earning 50% of AMI levels. The remaining 192 multi-family units will be market-rate units.
The Tax Credits to the owners are valued at $6,930.000.
The affordable units will have restricted rents which are set at well below market rent levels. The rents will be restricted for 30 years from the date of construction
“”The developer has a non-profit general partner as a part of the ownership structure which allows 20% of the value of the residential portion of the property to be exempted from assessment for property taxes.
A new owner would likely apply for this same exemption, which would be granted based on the affordable component and the partnership structure.
We have assumed that this ownership structure and tax reduction benefit will continue with a sale of the property and have assumed that the
assessment exemption on the residential portion will continue.
240 apartment units with 5,500 sf of retail/rental office.
This deal is shovel ready. Demolition started 2 weeks ago. GMAX contract in hand. Reputable builder.
80% Market rate 20% Affordable All inclusive for plans, CD’s, etc.- except building permits-
Price guidance $13MM-/+ OR TBD
Price guidance $18MM-/+or TBD
Secret sauce IS the financing on this project- 52% IRR -creative -complex = returns are fantastic and not found elsewhere-
Unentitled adjacent parcel – 85 units possible or Medical Building- Currently unentitled but zoned. First right of refusal to buyer of Phase 1
PRICE FOR PHASE 1 & PHASE 2
$24.5MM for everything/ HIGH Barrier to entry region
OFFERS WELCOME- Deal Structure & PIPELINE Open for discussions and consideration
FULL DILIGENCE TO QUALIFIED INVESTORS
- Stabilized 5% Cap Rate -Phase 1
- Income Approach Valuation
- FINANCE SET UP
SPECIAL BOND & TAX CREDITS-
“4% Credits” Tax-exempt bonds.
The construction financing is available from 2 sources ($74M).
Team in place to execute for maximum IRR return