TITLE:
VALUE ADD RETAIL CENTER - PASSIVE OPPORTUNITY
CONTROL:
Owner
VALUE:
$2,325,000
LOAN:
$1,627,500
EQUITY:
$697,500
TYPE:
Retail/Commercial
HAVE:
20,030 sf retail center shadow anchored by an Aldi grocery store and Rural King. Located at the main retail corner. Out of State seller is undercapitalized and not an experienced owner of retail assets. This spells "Opportunity." Current appraisal at $3M.
WEBSITE URL:
ADDRESS:
113 South Memorial Drive, New Castle, Indiana
BENEFITS TO NEW OWNER:
Passive income with proven Sponsors. The Sponsors will sign on the debt. No personal liability to the investors. Tremendous upside from stabilizing a troubled asset. Once the asset is stabilized and interest rates have subsided, the plan is to exit.
GROSS SCHEDULED INCOME:
$414,897 Actual
VACANCY LOSS:
$98,832
GROSS EFFECTIVE INCOME:
$316,065
EXPENSES:
$115,399
NOI:
$200,666
DEBT SERVICE:
$139,595
CASH FLOW:
$61,071
CAP RATE:
8.63%
ENCUMBRANCE
BALANCE
PAYMENT
RATE
DUE
ASSUMABLE
LOAN 1
$1,627,500
$11,633
7%
08/15/2029
No
BENEFITS SOUGHT:
Looking for investors who seek a passive income from acquiring a troubled asset and allowing the Sponsors to stabilize the property and prepare it for eventual sale.
CAN ADD:
Commercial lot in St Johns, Michigan. Development opportunity in Amarillo, Texas. Retail center in Jackson, Mississippi. Cash. Signature. Management and leasing expertise.
REMARKS:
The asset is being purchased at a cap rate of 8.63% on actual numbers with 70% occupancy. Debt coverage ratio of 1.44 at current occupancy. We are projecting a 3-year period to stabilize the property at market occupancy rates. The IRR projection is 15.0%.
COUNSELOR:
Eric Hillenbrand
SEPG Associates LLC
7515 Holliday Drive West
Indianapolis, Indiana, 46240
Cell: 317-590-0638
Email ehillenbrand@ccim.net
