341BROADWAY ROAD341

Approved | 278 Unit DevelopmentDracut, MA

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113

113

Dunkin Donuts

CVS

Scola’s

Frobie’s Cafe

Prime Storage

Village Inn

ML Shaw’s Country Kitchen

Gravity Fitness ClubBlue Angus Cafe

Village House of Pizza

Market Basket

Washington Savings Bank

Edge 24 Hour Private Fitness

Barre on Broadway

Katz & Hounds

Eastern Bank

Thantawan Thai

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Executive Summary

Process & Pricing

Colliers International’s Multi-Family Advisory Group is pleased to offer for sale Broadway Village, a fully permitted 278-unit ground-up apartment development opportunity in the town of Dracut, Massachusetts. The comprehensive permit for the project allows for 278 rental units in four (4) elevatored buildings on the expansive 47.5-acre site. The project is envisioned as four (4) story wood framed construction with surface parking (at a ratio of +/- 2 spaces per unit) and 58 structured/garage spaces. The thoughtfully designed community is replete with abundant tenant amenity spaces, including café areas, lounges, pet grooming, outdoor grills, cinema room, fitness center, bike storage and a large courtyard lawn and swimming pool.

The town of Dracut is a tightknit residential community with a well-recognized school system. Located about 27 miles north of Boston, the town is bordered by New Hampshire to the north, Methuen to the east, Tewksbury and Lowell to the south, and Tyngsborough to the west, and is considered part of the Greater Lowell region. The town is accessible

to major transportation routes, including I-93 and I-495, and convenient to various employment centers in northern Massachusetts, southern New Hampshire and areas north and west of Boston. MBTA commuter rail service to Boston’s North Station is available in Lowell (Lowell Station) just 3.5 miles, less than a 15-minute drive, south of the property.

Located at 341 Broadway Road (Route 113), the site is proximate to many local amenities along Route 113 in Dracut as well as convenient to commercial areas and amenities in the surrounding communities, as well as tax-free shopping in the adjacent southern New Hampshire towns. The University of Massachusetts’ Lowell campus is located just 3 miles from the site, representing a substantial potential demand driver for the project. With over 18,000 students and 1,110 faculty, UMass Lowell is the second-largest public institution in Massachusetts and the university, as well as the greater Lowell region in general, is underserved by high quality modern housing options.

Broadway Village is offered for sale on an “as-is, where-is” basis and without a formal asking price. Upon receipt of a signed confidentiality agreement, qualified investors will be provided with the offering and access to additional due diligence materials via the Real Capital Markets website. Once investors have had an opportunity to review the offering materials, Colliers will schedule a “Call for Offers” date with advanced notice.

For more information on this offering and to sign the Confidentiality Agreement, please visit 341Broadway.colliers.com.

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Project SummaryAddress 341 Broadway Road, Dracut MASite Size 47.5 AcresPermit Type 40B Comprehensive PermitUnits 278Design Four (4) four (4) story buildings; no age restrictions. Rentable Area 291,050 SFAvg Unit Size 1,047Parking 570 spaces - 512 surface and 58 below grade (structured) spaces Affordability 20%-25% of the units are to be set aside for households earning 50% or 80% of the area median income (depending on the Subsidizing Agency). The existing permit stipulates 20% of units at 50% of the AMI (per DHCD/HUD guidelines). The incoming developer has the flexibility to select a different Subsidizing Agency (i.e. MHP, MassHousing or MassDevelopment) and change the unit percentage and AMI threshold structure (e.g. 25% at 80% AMI).

Investment Highlights

With most permits in-place, the project is poised to move forward immediately enabling the incoming developer to capitalize on today’s attractive rental and capital market fundamentals.

The project will benefit from strong underlying demographics --- including an average household income of $107,000 and a median home value of $375,000 in the town of Dracut and more than 560,000 people living within ten miles of the site.

Due to extraordinarily high rental rates in the Boston area, surrounding submarkets and similar towns such as Methuen, Billerica, Andover, and Tewksbury have become attractive value alternatives for residents. In outlying towns around Boston, recently built apartment communities that offer modern living amenities, convenience and access to transit and employers are consistently achieving rents of $2.00-$2.50+/SF.

According to CoStar, the Lowell/Dracut submarket has experienced solid rent growth, sustained high occupancy and very little new supply of apartments in the last decade.

*Per CoStar as of 1/1/20

ENTITLEMENTS/APPROVALS IN-PLACE

STRONG DEMOGRAPHICS

PROVEN DEMAND

GREAT RENTAL MARKET FUNDAMENTALS

Inventory 10,282 units

Vacancy Rate 2.8%

Rent Growth (since 2015) 18% (all vintages/types)

Delivered (since 2010) 233 units

Under Construction 315 units (including 240 units at Crosspoint Towers)

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128

2

2A

9

20

140

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28

101

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NEW HAMPSHIRE

93

95

95

95

90

93

93

495

495

190 290

Demographics

Travel Times/Distances

Population Dracut 1 Mile 3 Mile 5 Mile 10 MileEstimated Population (2019) 31,910 3,251 67,675 178,964 560,686

Projected Population (2024) 32,602 3,317 69,871 184,728 578,370

Historical Annual Growth (2010 to 2019)

2,488 0.9% 498 1.7% 5,668 0.9% 12,292 0.8% 37,985 0.8%

HouseholdsEstimated Households (2019) 11,817 1,147 25,002 64,511 203,844

Estimated Average Household Income (2019)

$107,317 $130,001 $87,507 $91,797 $107,412

Estimated Median Household Income (2019)

$96,955 $123,523 $75,102 $76,750 $89,245

Estimated Average Household Size (2019)

2.70 2.83 2.59 2.71 2.70

Labor Force Unemployment Rate 1.5% 1.3% 1.9% 2.1% 1.9%

Home ValuesMedian Home Value $375,808 $426,699 $361,586 $360,348 $387,904

Travel Times/Distances Miles MinutesMBTA Commuter Rail (Lowell Station) 3.5 miles 15 mins

Commute Time to North Station 45 minutes

UMass Lowell Campus 3 miles 8 mins

Boston/Cambridge 30 miles 50 mins

Manchester, NH 30 miles 40 mins

Nashua, NH 14 miles 30 mins

Waltham, MA 25 miles 45 mins

Portsmouth, NH 45 miles 50 mins

MANCHESTER

BOSTON

NEWBURYPORT

PORTSMOUTH

NASHUA

DRACUT

LOWELL LINE

CAMBRIDGE

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View of Commons Area

BWV

First Dracut Development, 2014

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Colliers Boston160 Federal St, 11th Floor

Boston, MA 02110colliers.com/boston

Bruce LusaSenior Vice President617.330.8043Bruce.Lusa@colliers.com

Jonathan BryantAssistant Vice President617.330.8081Jonathan.Bryant@colliers.com

John FlahertyAssistant Vice President 617.330.8151John.Flaherty@colliers.com

Chris SowerExecutive Vice President617.330.8141Chris.Sower@colliers.com

MULTIFAMILY ADVISORY GROUP

This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and/or its licensor(s). ©2019. All rights reserved.