casa bella - loopnet€¦ · 10/08/2019 · casa bella 425 western skies dr. se, albuquerque, nm,...
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CASA BELLA425 Western Skies Drive SE, Albuquerque, New Mexico 87123
Offering Memorandum
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CASA BELLA425 Western Skies Dr. SE, Albuquerque, NM, 87123
This document/email has been prepared by NorthMarq for advertising and general information only. NorthMarq 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. NorthMarq 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 NorthMarq and/or its licensor(s). © 2019. All rights reserved.
VISIT US ONLINE:
Albuquerque Office 100 SUN AVENUE NE, SUITE 650 ALBUQUERQUE, NM 87109 505.219.0724
LISTED BY: NORTHMARQ
Cynthia Meister VICE PRESIDENT T 505.219.0724 C 505.803.6232 [email protected]
Trevor Koskovich PRESIDENT T 602.952.4040 C 480.227.7420 [email protected]
Bill Hahn EXECUTIVE VICE PRESIDENT T 602.952.4041 C 602.415.9578 [email protected]
Jesse Hudson VICE PRESIDENT T 602.952.4042 C 480.437.4953 [email protected]
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CO
NT
EN
TS 06
The Opportunity
10Property Information
22Rent Comparables
38Sales Comparables
36Financial Analysis
48Market Overview
56Location Maps
CASA BELLA
CASA BELLA
EXECUTIVESUMMARY
CASA BELLA | OFFERING MEMORANDUM6
THE OPPORTUNITYCasa Bella presents the opportunity to acquire a professionally owned and managed
garden-style community with substantial value-add upside, strategically located in a
dynamic Albuquerque submarket. Albuquerque continues to experience unprecedented
job growth, which is fueling robust demand for multifamily housing in the submarket. The
asset is poised for significant revenue growth via organic market rent increases; currently
asking rents are below market. Investors have a tremendous opportunity to additionally
increase revenue by implementing a modernized exterior/interior renovation program and
charge rent premiums.
NORTHMARQ INVESTMENT SALES 7
ASSETHIGHLIGHTS
• Scaling opportunity of 152 units located in near the foothills of Sandia Mountains.
• Proximity to major economic drivers including the Sandia National Labs (currently hiring for 1,900 positions), National Nuclear Security (less than 2 miles away, under construction, and will house 1,200 employees) Kirtland AFB, Journal Center, Lovelace Health System, University of New Mexico, Downtown Albuquerque, Netflix Studios, and Los Lunas’s Facebook data center.
• Strong rental submarket - currently experiencing over 5% rent rate increases from first quarter of 2019.
• Diverse unit mix - floor plans include one, two, and three bedrooms.
• Opportunity to install dishwasher and landlord-owned washer and dryer in units and re-purpose the laundry room.
• Painting exterior with modern color palette, re-branding, modernization of signage, addition of dog park, and remodeling common areas will further enhance the community experience for prospective residents.
• Opportunity to implement reserved/covered parking – currently no available covered parking and not charging for premium parking.
• Cost savings can be realized by installing more water-efficient landscaping, low-flow water faucets & toilets, and CFL/LED lighting and fixtures - will decrease utility & contract service expenses.
CASA BELLA
CASA BELLA
PROPERTYINFORMATION
CASA BELLA | OFFERING MEMORANDUM10
PROPERTYINFORMATION
Apartment Community Casa Bella
Location425 Western Skies Dr. SE Albuquerque, NM 87123
Total Units 152
Year Built 1973
Net Rentable Square Feet 113,802
Number of Buildings 7
Number of Stories 2 &3
Sub-market Southeast Heights
Land Size 8.12 Acres
Density 18.72 Units Per Acre
Parking 379 Uncovered Spaces
Laundry On-Site Laundry Facility
Site Description
Price Market Price
Terms Cash - Fee Simple
Offering
NORTHMARQ INVESTMENT SALES 11
Style Garden Style
Foundation Concrete
Framing Masonry
Exterior Painted Stucco
Roof Built-Up
Parking Surface Asphalt
Construction
Number of Parcels 1
Tax Parcel Number 1-022-056-159-266-20103
2019 Property Tax $61,698
Property Taxes
Heating / Cooling Evaporative Coolers
Hot Water Commercial Boiler
Electricity Partially Reimbursed by Tenant
Water / Sewer Partially Reimbursed by Tenant
Mechanical
11
CASA BELLA | OFFERING MEMORANDUM12
UN
IT M
IX B
RE
AK
DO
WN
UNIT TYPE# OF
UNITS% OF
COMPLEXSQUARE
FEET VACANT
ASKING RENT
ASKING RENT / SF
AVERAGE IN-PLACE RENT
AVERAGE RENT / SF
TOTAL ASKING RENT
TOTAL AVERAGE RENT
1BD/1BA 35 23.03% 606 2 $560 $0.92 $560 $0.92 $19,600 $19,600
2BD/1BA 81 53.29% 736 5 $659 $0.90 $611 $0.83 $53,379 $49,491
3BD/2BA 36 23.68% 916 6 $750 $0.82 $743 $0.81 $27,000 $26,748
TOTAL / AVERAGE 152 100% 749 13 $658 $0.88 $631 $0.84 $99,979 $95,839
INFORMATION AS OF: 8/10/2019
NORTHMARQ INVESTMENT SALES 13
23%24%
53%
1BD/1BA3BD/2BA
2BD/1BA
UNIT TYPE# OF
UNITS% OF
COMPLEXSQUARE
FEET VACANT
ASKING RENT
ASKING RENT / SF
AVERAGE IN-PLACE RENT
AVERAGE RENT / SF
TOTAL ASKING RENT
TOTAL AVERAGE RENT
1BD/1BA 35 23.03% 606 2 $560 $0.92 $560 $0.92 $19,600 $19,600
2BD/1BA 81 53.29% 736 5 $659 $0.90 $611 $0.83 $53,379 $49,491
3BD/2BA 36 23.68% 916 6 $750 $0.82 $743 $0.81 $27,000 $26,748
TOTAL / AVERAGE 152 100% 749 13 $658 $0.88 $631 $0.84 $99,979 $95,839
INFORMATION AS OF: 8/10/2019
CASA BELLA | OFFERING MEMORANDUM14
COMMUNITY FEATURES
Basketballcourt
Swimmingpool
On-sitelaundry
Gatedcommunity
Pet stations
Communityclubhouse
Children’splayground
Fitnesscenter
Businesscenter
Playfield
CASA BELLA | OFFERING MEMORANDUM
NORTHMARQ INVESTMENT SALES 15
COMMUNITY FEATURES
NORTHMARQ INVESTMENT SALES 15
CASA BELLA | OFFERING MEMORANDUM16 CASA BELLA | OFFERING MEMORANDUM16
NORTHMARQ INVESTMENT SALES 17NORTHMARQ INVESTMENT SALES 1717
FLOOR PLANS
1BD+1BA±606 SF
CASA BELLA | OFFERING MEMORANDUM18
FLOOR PLANS
2BD+1BA±736 SF
3BD+2BA±916 SF
NORTHMARQ INVESTMENT SALES 19
CASA BELLA
CASA BELLA
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COMPARABLES & ANALYSIS
CASA BELLA | OFFERING MEMORANDUM2222
$768Asking Rent/Unit
841Unit Size Average SF
PROPERTY YEAR BUILT UNITS UNIT SIZE
AVG. SFPHYSICAL
OCCUPANCYASKING
RENT/UNITASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
MANAGED BY
Casa Bella 1973 152 749 91% $658 $0.88 $658 $0.88 Neiders
Borderman’s Reef 1971 53 736 94% $732 $0.99 $732 $0.99 T & C
Manzano Vista 1973 178 1001 100% $713 $0.71 $713 $0.71 Monarch
Copper Ridge 1972 180 917 95% $911 $0.99 $911 $0.99 TEAM
River Rock 1972 60 711 97% $717 $1.01 $717 $1.01 Evans
01020304
01
03 04
02
$0.91Asking Rent/SF
97%Physical Occupancy
RENT COMPARABLES
CASA BELLA | OFFERING MEMORANDUM22
NORTHMARQ INVESTMENT SALES 23
03
04
02
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RENT AVERAGES
$768Asking Rent/Unit
841Unit Size Average SF
ASTER GARDENS
$0.91Asking Rent/SF
97%Physical Occupancy
01
NORTHMARQ INVESTMENT SALES 23
CASA BELLA | OFFERING MEMORANDUM24
APARTMENT FEATURES UNIT MIX
Casa Bella425 Western Skies Dr. SEAlbuquerque, NM 87123
Owner: Western Skies TNC LLC
RUBS: Included
GAS: Master
ELECTRIC: Master
WATER: Master
W/D IN UNIT:
GATED ACCESS: Yes
DOG PARK:
CLUBHOUSE: Yes
GYM: Yes
SPORT COURT: Yes
COVERED PARKING:
KIDS PLAYGROUND: Yes
UNIT TYPE UNITS SF ASKING RENT/UNIT
ASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
1BD/1BA 35 606 $560 $0.92 $560 $0.92
2BD/1BA 81 736 $660 $0.90 $660 $0.90
3BD/2BA 36 916 $750 $0.82 $750 $0.82
TOTAL/AVG. 152 749 $658 $0.88 $658 $0.88
24 CASA BELLA | OFFERING MEMORANDUM24
NORTHMARQ INVESTMENT SALES 25
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APARTMENT FEATURES UNIT MIX
Borderman’s Reef11201 Lomas Blvd. NEAlbuquerque, NM 87112
Owner: Fremontia Properties LLC
01
RUBS: Included
GAS: None
ELECTRIC: Master
WATER: Master
W/D IN UNIT:
GATED ACCESS:
DOG PARK:
CLUBHOUSE:
GYM: Yes
SPORT COURT:
COVERED PARKING:
KIDS PLAYGROUND:
UNIT TYPE UNITS SF ASKING RENT/UNIT
ASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
1BD/1BA 2 635 $689 $1.09 $689 $1.09
1BD/1BA 34 700 $701 $1.00 $701 $1.00
2BD/1BA 17 820 $798 $0.97 $798 $0.97
TOTAL/AVG. 53 736 $732 $0.99 $732 $0.99
NORTHMARQ INVESTMENT SALES 25NORTHMARQ INVESTMENT SALES 25
CASA BELLA | OFFERING MEMORANDUM26
APARTMENT FEATURES UNIT MIX
Manzano Vista300 Dorado Pl. SEAlbuquerque, NM 87123
Owner: City of Albuquerque
RUBS: Included
GAS: Master
ELECTRIC: Master
WATER: Master
W/D IN UNIT: Select + Hooks-Ups
GATED ACCESS: Yes
DOG PARK:
CLUBHOUSE:
GYM:
SPORT COURT: Yes
COVERED PARKING:
KIDS PLAYGROUND:
UNIT TYPE UNITS SF ASKING RENT/UNIT
ASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
1BD/1BA 21 750 $610 $0.81 $610 $0.81
2BD/1.5BA 104 975 $680 $0.70 $680 $0.70
3BD/1.5BA 53 1150 $820 $0.71 $820 $0.71
TOTAL/AVG. 178 1001 $713 $0.71 $713 $0.71
02
* Partially affordable
26 CASA BELLA | OFFERING MEMORANDUM26
NORTHMARQ INVESTMENT SALES 27
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APARTMENT FEATURES UNIT MIX
Copper Ridge557 Tramway Blvd. NEAlbuquerque, NM 87123
Owner: Bean Investments
03
RUBS: Included
GAS: Master
ELECTRIC: Master
WATER: Master
W/D IN UNIT:
GATED ACCESS: Yes
DOG PARK: Yes
CLUBHOUSE:
GYM: Yes
SPORT COURT: Yes
COVERED PARKING:
KIDS PLAYGROUND: Yes
UNIT TYPE UNITS SF ASKING RENT/UNIT
ASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
1BD/1BA 40 656 $800 $1.22 $800 $1.22
2BD/1BA 80 891 $850 $0.95 $850 $0.95
3BD/2BA 60 1126 $1,065 $0.95 $1,065 $0.95
TOTAL/AVG. 180 917 $911 $0.99 $911 $0.99
NORTHMARQ INVESTMENT SALES 27NORTHMARQ INVESTMENT SALES 27
CASA BELLA | OFFERING MEMORANDUM28
APARTMENT FEATURES UNIT MIX
River Rock12301 Lomas Blvd. NEAlbuquerque, NM 87112
Owner: River Rock Apartments LLC
RUBS: Included
GAS: None
ELECTRIC: Master
WATER: Master
W/D IN UNIT:
GATED ACCESS:
DOG PARK:
CLUBHOUSE:
GYM:
SPORT COURT:
COVERED PARKING:
KIDS PLAYGROUND:
UNIT TYPE UNITS SF ASKING RENT/UNIT
ASKING RENT/SF
NET RENT/UNIT
NET RENT/SF
1BD/1BA 46 672 $715 $1.06 $715 $1.06
2BD/1BA 14 840 $725 $0.86 $725 $0.86
TOTAL/AVG. 60 711 $717 $1.01 $717 $1.01
04
CASA BELLA | OFFERING MEMORANDUM28
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NORTHMARQ INVESTMENT SALES 29
CASA BELLA | OFFERING MEMORANDUM30
RENTANALYSIS
# PROPERTY UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1 Casa Bella 1BD/1BA 35 606 $560 $0.92
2 Borderman's Reef 1BD/1BA 2 635 $689 $1.09
3 Borderman's Reef 1BD/1BA 34 700 $701 $1.00
4 Manzano Vista 1BD/1BA 21 750 $610 $0.81
5 Copper Ridge 1BD/1BA 40 656 $800 $1.22
6 River Rock 1BD/1BA 46 672 $715 $1.06
7 TOTAL/AVG. 178 670 $688 $1.03
ONE BEDROOM RENTS
1
23
4
5
6
7
$560
$585
$610
$635
$660
$685
$710
$735
$760
$785
$810
$0.80 $0.90 $1.00 $1.10 $1.20 $1.30
RENT/UNIT
RENT/SF
CASA BELLA | OFFERING MEMORANDUM30
NORTHMARQ INVESTMENT SALES 31
CURRENT ASKING TO SUBMARKET AVERAGES
$560 $128
$525 $550 $575 $600 $625 $650 $675 $700
1BD/1BA
Asking Rent Rent Differential
ONE BEDROOM CURRENT ASKING AVERAGES ARE CURRENTLY $128 BELOW SUBJECT ASKING RENTS
NORTHMARQ INVESTMENT SALES 31
CASA BELLA | OFFERING MEMORANDUM32
# PROPERTY UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1 Casa Bella 2BD/1BA 81 736 $660 $0.90
2 Borderman's Reef 2BD/1BA 17 820 $798 $0.97
3 Manzano Vista 2BD/1.5BA 104 975 $680 $0.70
4 Copper Ridge 2BD/1BA 80 891 $850 $0.95
5 River Rock 2BD/1BA 14 840 $725 $0.86
6 TOTAL/AVG. 296 872 $729 $0.84
TWO BEDROOM RENTS
1
2
3
4
56
$660
$680
$700
$720
$740
$760
$780
$800
$820
$840
$860
$0.65 $0.70 $0.75 $0.80 $0.85 $0.90 $0.95 $1.00
RENT/UNIT
RENT/SF
NORTHMARQ INVESTMENT SALES 33
IN-PLACE AVERAGE TO ASKING RENTS
$611 $48
$600 $610 $620 $630 $640 $650 $660
2BD/1BA
In-Place Avg Rent Differential
TWO BEDROOM IN-PLACE AVERAGE RENTS CURRENTLY $48 BELOW SUBJECT ASKING RENTS
CURRENT ASKING TO SUBMARKET AVERAGES
$659 $70
$650 $660 $670 $680 $690 $700 $710 $720 $730
2BD/1BA
Asking Rent Rent Differential
TWO BEDROOM CURRENT ASKING AVERAGES ARE CURRENTLY $70 BELOW SUBJECT ASKING RENTS
33
CASA BELLA | OFFERING MEMORANDUM34 CASA BELLA | OFFERING MEMORANDUM34
NORTHMARQ INVESTMENT SALES 35
# PROPERTY UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1 Casa Bella 3BD/2BA 36 916 $750 $0.82
2 Manzano Vista 3BD/1.5BA 53 1150 $820 $0.71
3 Copper Ridge 3BD/2BA 60 1126 $1,065 $0.95
4 TOTAL/AVG. 149 1084 $902 $0.83
THREE BEDROOM RENTS
1
2
3
4
$750$775
$800$825$850$875$900$925$950$975
$1,000$1,025$1,050$1,075
$0.71 $0.74 $0.77 $0.80 $0.83 $0.86 $0.89 $0.92 $0.95
RENT/UNIT
RENT/SF
IN-PLACE AVERAGE TO ASKING RENTS
$743 $7
$730 $735 $740 $745 $750
3BD/2BA
In-Place Avg Rent Differential
THREE BEDROOM IN-PLACE AVERAGE RENTS CURRENTLY $7 BELOW SUBJECT ASKING RENTS
CURRENT ASKING TO SUBMARKET AVERAGES
$750 $152
$730 $750 $770 $790 $810 $830 $850 $870 $890 $910
3BD/2BA
Asking Rent Rent Differential
THREE BEDROOM CURRENT ASKING AVERAGES ARE CURRENTLY $152 BELOW SUBJECT ASKING RENTS
CASA BELLA | OFFERING MEMORANDUM36
OPERATING INCOME
Monthly Scheduled Gross Rent $99,979
Annual Scheduled Gross Rent $1,199,748
Physical Vacancy 8.55% -$102,610
Loss to Lease 3.96% -$47,544
Concessions 0.79% -$9,468
Model & Employee Units 0.11% -$1,344
Economic Vacancy 4.87% -$58,430
Net Rental Income $980,352
RUBS $152,528
Laundry Income $1,322
Other Income (Late Fees, Pet Fees, Application Fees, Etc.) $72,079
Gross Operating Income $1,206,281
OPERATING EXPENSES PER UNIT
Property Taxes $406 $61,698
Insurance $203 $30,888
Maintenance & Repairs $453 $68,800
Contract Services $254 $38,586
Electricity $407 $61,851
Gas $252 $38,261
Sewer and Water $642 $97,626
Trash $189 $28,714
Other Utilities $15 $2,329
Payroll $1,907 $289,856
Management Fee 3%OF GOI $206 $31,387
Marketing $77 $11,743
Administrative Expenses $252 $38,257
TOTAL OPERATING EXPENSES $799,996
Operating Cost Per Unit $5,263
Operating Cost Per Sq Ft $7.03
NET OPERATING INCOME $406,285
Capital Reserve $300 $45,600
ADJUSTED NET OPERATING INCOME $360,685
GROSS INCOME
UNIT TYPE UNITS SF ASKING RENT/UNIT
MONTHLY RENT
1BD/1BA 35 606 $560 $19,600
2BD/1BA 81 736 $659 $53,379
3BD/2BA 36 916 $750 $27,000
TOTAL/AVG. 152 749 $658 $99,979
T-1 INCOME ANNUALIZED / T-12 EXPENSES
RENTSCurrent asking rents.
PHYSICAL VACANCYRent Roll dated August 29, 2019
ECONOMIC VACANCYIncludes Historical Physical Vacancy and Bad Debt
INCOMEAnnualized one month P&L statement from July 2019.
EXPENSESTrailing 12 month P&L statement from August 2018 through July 2019.
PROPERTY TAXES2018 annual property taxes quoted from the Bernalillo County Treasurer.
T-1 INCOME / T-12 EXPENSES WITH ADJUSTMENT NOTES
NORTHMARQ INVESTMENT SALES 37
T-1 INCOME ANNUALIZED / T-12 EXPENSESGROSS INCOME
UNIT TYPE UNITS SF ASKING RENT/UNIT
MONTHLY RENT
1BD/1BA 35 606 $577 $20,188
2BD/1BA 81 736 $679 $54,980
3BD/2BA 36 916 $773 $27,810
TOTAL/AVG. 152 749 $677 $102,978
RENTSIncreased asking rents 3%.
PHYSICAL VACANCYConsistent with submarket performance.
RUBSEstimated $90/month/occupied unit.Increased 3% from T-12 income operations.
LAUNDRY & OTHER INCOMEIncreased 3% from T-12 income operations.
PROPERTY TAXESProperty Tax projections based on a 2019 purchase and the County catches the sale and reassesses based on cost.
Estimate provided by Synergy Ventures Inc., a National Property Tax Group Member.
INSURANCEQuote provided by Garzella Group
UTILITIESIncreased 3% from adjusted T-12 operations.
OPERATIONAL EXPENSESBased on industry standards of similar properties.
NOTES
PRO FORMA OPERATING INCOME
Monthly Scheduled Gross Rent $102,978
Annual Scheduled Gross Rent $1,235,740
Physical Vacancy 4.00% -$49,430
Loss to Lease 1.50% -$18,536
Economic Vacancy 3.00% -$37,072
Net Rental Income $1,130,703
RUBS $157,104
Laundry Income $1,362
Other Income $74,241
Gross Operating Income $1,363,409
PRO FORMA OPERATING PER UNIT
Property Taxes $592 $89,975
Insurance $193 $29,358
Maintenance & Repairs $350 $53,200
Turnover $250 $38,000
Contract Services $100 $15,200
Electricity $419 $63,707
Gas $259 $39,409
Sewer and Water $662 $100,555
Trash $195 $29,575
Cable & Internet $16 $2,399
Payroll $1,300 $197,600
Management Fee 3.00%OF GOI $269 $40,902
Marketing $125 $19,000
Administrative Expenses $250 $38,000
Capital Reserve $300 $45,600
TOTAL OPERATING EXPENS- $802,479
Operating Cost Per Unit $5,279
Operating Cost Per Sq Ft $7.05
PRO FORMA NET OPERATING $560,930
PRO FORMA INCOME & EXPENSES
CASA BELLA | OFFERING MEMORANDUM3838
PROPERTY YEAR BUILT UNITS PRICE $/UNIT $/SF SALE DATE
Casa Bella 1973 152 On Market
Via Tijeras 1987 120 $6,242,000 $52,017 $70.16 6/24/2019
Stoney Brook 1979 52 $2,000,000 $38,462 $59.95 12/14/2018
Mountain Vista 1978 220 $11,600,000 $52,727 $59.92 11/6/2018
Sage Canyon 1982 105 $8,300,100 $79,049 $99.39 8/24/2018
Rising Phoenix 1971, 1973, 1978, 1979 512 $18,500,000 $36,133 $68.35 6/15/2018
0102030405
01
03 04 05
02
194 Units
$51,677$/Unit
1978Year Built
$71.55 Asking Rent/SF
SALES COMPARABLES
CASA BELLA | OFFERING MEMORANDUM38
NORTHMARQ INVESTMENT SALES 39
04
05
03
`
ASTER GARDENS
SALES AVERAGES
194 Units
$51,677$/Unit
1978Year Built
$71.55 Asking Rent/SF
02
01
NORTHMARQ INVESTMENT SALES
CASA BELLA | OFFERING MEMORANDUM40
01
UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1BD/1BA 39 567 $594 $1.05
2BD/1BA 81 825 $790 $0.96
TOTAL/AVG. 120 741 $726 $0.98
VIA TIJERAS13101-13115 Wenonah Ave. SE, Albuquerque, NM 87123 BUYER
Wenonah NM LLC 10531 4S Commons DrSan Diego, CA 92127
SELLERWakeland Housing and Development1230 Columbia St, Suite 950San Diego, CA 92101
SALE PRICE $6,242,000
PRICE / UNIT $52,017
PRICE / SF $70.16
SALE DATE 6/24/2019
SUBMARKET Canada Village
LOCATION/PROPERTY C / C
ELECTRIC METERING Individual
YEAR BUILT 1987
BUILDING S.F. 88,965
TOTAL UNITS 120
FINANCING
LENDER Washington Federal
LOAN AMOUNT $5,722,500
LOAN-TO-VALUE 91.68%
CASA BELLA | OFFERING MEMORANDUM40 CASA BELLA | OFFERING MEMORANDUM40
NORTHMARQ INVESTMENT SALES 41
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02
UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1BD/1BA 36 555 $601 $1.08
2BD/1BA 16 750 $700 $0.93
TOTAL/AVG. 52 615 $631 $1.03
STONEY BROOK4901 San Mateo Ln. NE, Albuquerque, NM 87109 BUYER
San Mateo Suites5001 San Mateo Ln NEAlbuquerque, NM 87109
SELLERFranco Frank TrustAlbuquerque, NM 87198
SALE PRICE $2,000,000
PRICE / UNIT $38,462
PRICE / SF $59.95
SALE DATE 12/14/2018
SUBMARKET Far Northeast Heights
LOCATION/PROPERTY B- / C+
ELECTRIC METERING Individual
YEAR BUILT 1979
BUILDING S.F. 33,360
TOTAL UNITS 52
FINANCING
LENDER
LOAN AMOUNT
LOAN-TO-VALUE
NORTHMARQ INVESTMENT SALES 41NORTHMARQ INVESTMENT SALES 41
CASA BELLA | OFFERING MEMORANDUM42
03
UNIT TYPE UNITS SF RENT/UNIT RENT/SF
1 BD / 1 BA 59 629 $650 $1.03
2 BD / 1 BA 57 829 $775 $0.93
3 BD / 2 BA 104 1,050 $880 $0.84
TOTAL/AVG. 220 880 $791 $0.90
MOUNTAIN VISTA1501 Tramway Blvd. NE, Albuquerque, NM 87112 BUYER
CEG Multifamily Encinitas, CA 92023
SELLERPhilip J Salley 3345 Caminito Daniella Del Mar, CA 92014
SALE PRICE $11,600,000
PRICE / UNIT $52,727
PRICE / SF $59.92
SALE DATE 11/6/2018
SUBMARKET Northeast Heights
LOCATION/PROPERTY B / B-
ELECTRIC METERING Individual
YEAR BUILT 1978
BUILDING S.F. 193,600
TOTAL UNITS 220
FINANCING
LENDER
LOAN AMOUNT
LOAN-TO-VALUE
CASA BELLA | OFFERING MEMORANDUM42 CASA BELLA | OFFERING MEMORANDUM42
NORTHMARQ INVESTMENT SALES 43
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NORTHMARQ INVESTMENT SALES 43NORTHMARQ INVESTMENT SALES 43
04
UNIT TYPE UNITS SF RENT/UNIT RENT/SF
STUDIO 8 500 $669 $1.34
1 BD / 1 BA 56 706 $769 $1.09
2 BD / 1 BA 12 975 $849 $0.87
2 BD / 1.5 BA 17 975 $874 $0.90
2 BD / 2 BA 12 975 $919 $0.94
TOTAL/AVG. 105 795 $804 $1.01
SAGE CANYON6134 4th St. NM, Albuquerque, NM 87107 BUYER
Cooper Street Capital2350 Taylor St.San Francisco, CA 94133
SELLERPost Investment Group1801 Century Park ELos Angeles, CA 90067
SALE PRICE $8,300,100
PRICE / UNIT $79,049
PRICE / SF $99.39
SALE DATE 8/24/2018
SUBMARKET North Valley
LOCATION/PROPERTY C+ / B-
ELECTRIC METERING Individual
YEAR BUILT 1982
BUILDING S.F. 83,511
TOTAL UNITS 105
FINANCING
LENDER Private Lender
LOAN AMOUNT $6,640,000
LOAN-TO-VALUE 80%
CASA BELLA | OFFERING MEMORANDUM44
05
UNIT TYPE UNITS SF RENT/UNIT RENT/SF
STUDIO 237 350 $431 $1.28
1 BD / 1 BA 112 554 $524 $0.95
2 BD / 1 BA 136 733 $593 $0.81
3 BD / 1 BA 19 879 $692 $0.79
4 BD / 2 BA 8 1,180 $817 $0.69
TOTAL/AVG. 105 795 $804 $1.01
RISING PHOENIX950 Louisiana Blvd. SE., Albuquerque, NM 87108 BUYER
MKJS Enterprises LP 15635 Cobalt Sylmar, CA 91342
SELLERAMG Realty Group 8033 Ridgeway Ave. Skokie, IL 60076
SALE PRICE $18,500,000
PRICE / UNIT $36,133
PRICE / SF $68.35
SALE DATE 6/15/2018
SUBMARKET Southeast Heights
LOCATION/PROPERTY C+ / C
ELECTRIC METERING Master
YEAR BUILT 1971, 1973, 1978, 1979
BUILDING S.F. 270,684
TOTAL UNITS 512
FINANCING
LENDER
LOAN AMOUNT
LOAN-TO-VALUE
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1`v ̀
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CASA BELLA
CASA BELLA
MARKETOVERVIEW
CASA BELLA | OFFERING MEMORANDUM48
AREADESCRIPTIONCasa Bella is located at 425 Western Skies Drive SE in Albuquerque, New Mexico. The
property is situated near the Sandia Mountains directly south of the I-40 and along
Central Avenue, a major east-west thoroughfare leading to University of New Mexico.
Residents of Casa Bella are close-by to major employers and points of interest,
including shopping, dining, recreational facilities, high-rated school and transportation
networks. A defining feature of the surrounding area is its stability and maturity.
The immediate neighborhood surrounding Casa Bella comprises a mixture of single-
family homes, multifamily projects, and commercial/industrial developments. Casa
Bella is less than one mile west of the recently renovated Four Hills Village Shopping
Center which features the Icon Theatres with VIP seating, Sprouts Farmers’ Market,
Starbucks, and Wells Fargo. Additionally at the intersection of Tramway Boulevard SE
and Central Avenue SE is Smith’s, providing more grocery options. The Home Depot
and Costco are less than two miles west of the property at the intersection of Central
Avenue SE and Eubank Boulevard NE. Nearby shopping malls include the Sears and
Macy’s-anchored Coronado Center, Dillard’s-anchored Winrock Shopping Center, and
ABQ Uptown, Albuquerque’s upscale option for shopping, home furnishings,
entertainment and dining is located at the intersection of Louisiana Boulevard and
Indian School Road.
The University of New Mexico, the largest postsecondary institution in the state and
one of the state’s largest employers, is a short drive away from the subject property.
Nearby Junior Colleges include Carrington College, located at Broadbent Boulevard NE
and Menaul Boulevard NW, as well as Central New Mexico Community College located
at Coal Avenue SE and University Boulevard SE. Casa Bella is minutes away from
Kirtland Air Force Base and Sandia National Laboratories. Major employment
generators such as Women’s Lovelace Hospital, Presbyterian Hospital, Journal Center,
The Balloon Field Industrial Park, Kirtland AFB, Albuquerque International Sunport,
and The University of New Mexico provide a considerable amount of business and
housing demand to the immediate area. Recently, the Department of Energy’s National
Nuclear Security Administration (DOE/NNSA) broke ground on 3-story 33,000-square-
foot structure that will house 1,200 federal and contractor employees, located less
than two miles from Casa Bella.
Los Lunas is another rapidly expanding submarket worth noting located thirty minutes
south of Albuquerque. Facebook recently opened its 7th data center in the world in Los
Lunas. The $1 billion project broke ground in 2017 and has opened its second of six
buildings and employs 150 people so far. The construction alone is expected to last
through 2023, with about 1,100 construction workers until it’s complete. The
employment has surged rental demand in the immediate area as there are very few
market rate apartment complexes.
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T R A F F I C C O U N T P E R D AY C E N T R A L AV E N U E S E
25,111SOURCE: COSTAR
AVERAGE AGE WITHIN 1 MILE S O U R C E : C O S T A R
38
S U B M A R K E T O C C U P A N C YS O U R C E :C O S T A R
94%2 0 1 9 - 2 0 2 4P O P U L A T I O N G R O W T HS O U R C E : C O S T A R
3.6%
$46,542M E D I A N HOUSEHOLDI N C O M E W I T H I N 3 M I L E S
S O U R C E : C O S T A R
$198,700S F H O M EM E D I A N L I S T P R I C ESOURCE: ZILLOW/87123
WO R K F O R C E WITHIN 5 MILESS O U R C E : C O S T A R
83,001W ITHIN 5 M I L E SS O U R C E : C O S T A R
8,068BUSINESSES
1 MILE
3 MILES
5 MILES
±3,196JOBS
±28,384JOBS
±83,001 JOBS
±2,571 JOBS WITHIN A ONE-MILE RADIUS
±30,569 JOBS WITHIN A THREE-MILE RADIUS
±127,342 JOBS WITHIN A FIVE-MILE RADIUS
NUMBER OF JOBS IN THE AREA
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ALBUQUERQUEECONOMYThe Albuquerque metro area is the largest city in New Mexico. The local population is more than 900,000
residents, including nearly 550,000 residents in the city of Albuquerque. The city is historic, having been
officially founded more than 300 years ago in 1706.
Albuquerque is located in north central New Mexico in Bernalillo County. The city is located approximately
an hour southwest of Santa Fe, along the Interstate 25. The city is located approximately 450 miles south of
Denver, 420 miles north and east of Phoenix and 290 miles west of Amarillo.
The Albuquerque metro area has total workforce that topped 400,000 jobs in 2018. The market has been
expanding since 2012, but the most recent year proved to be the period with the strongest growth. Employers
added more than 10,000 net new jobs in 2018, a growth rate of 2.6 percent. The jobs added in 2018 nearly
matched the combined total from the preceding three years.
The government sector accounts for the largest employment segment in the local economy, which generally
provides steadiness in the local labor market, but causes some issues when state and local budgets are under
stress. The health of the local economy was fairly strong in 2018, supporting growth of nearly 3 percent in the
government sector, with payrolls expanding by 2,400 positions.
In the private sector, white-collar jobs were in expansion mode in 2018. The professional and business
services sector grew by more than 6 percent in 2018, with nearly 4,000 new professional jobs. Other
industries that have expanded in the past year include leisure and hospitality, and mining/construction.
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# OF COMPANY EMPLOYEES DESCRIPTION
Albuquerque Public Schools 14,810 Public School District Kirtland Air Force Base* 10,125 Air Force Materiel Command Sandia National Labs 9,852 Technology Presbyterian Hospital 7,310 Hospital/Medical Services UNM Hospital 6,021 Hospital/Medical Services City of Albuquerque 5,500 Government State of New Mexico 4,950 Government University of New Mexico 4,210 Educational Institution Lovelace Health Systems 4,000 Hospital/Medical ServicesBernalillo County 2,425 Government Rio Rancho Public Schools 2,000 Educational Institution Sandia Resort & Casino 2,000 Resort & Casino PNM Electric Services 1,935 Utilities Provider Central New Mexico CC 1,840 Educational Institution T-Mobile 1,700 Customer Service CenterIntel Corporation 1,200 Technology
Source: Albuquerque MSA Business Location Overview 5-2017
*Kirtland’s employment number includes active duty military, guard reserve, civil service and contract employees. Sandia National Laboratories employees are located at Kirtland Air Force Base, but employment number is shown separately.
LARGEST EMPLOYERS ALBUQUERQUE MSA
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CASA BELLA | OFFERING MEMORANDUM52
A CITY OF THE FUTUREThe Albuquerque metro area offers forward-thinking business leaders, entrepreneurs
and companies a supportive business environment that encourages idea generation,
growth and innovation. It’s no wonder that Foreign Direct Investment Magazine ranks
the metro area in the top 10 American Cities of the Future. Here you’ll find a
community that applauds diversity, celebrates collaboration and promotes success.
Innovate ABQ is a non-profit private-public partnership created to develop a 7-acre
innovation center in downtown Albuquerque to foster economic development and job
creation in New Mexico. With its first buildings opened in fall 2017, Innovate ABQ
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A CITY OF THE FUTURE
aims to develop more than 600,000 square feet of dense, walkable space devoted to
bringing together New Mexico’s innovators to foster the creation of long-term,
job-creating ventures. The urban living and learning environment is the result of a
partnership between the University of New Mexico, Innovate ABQ, the City of
Albuquerque, Nusenda Credit Union and Bernalillo County.
Innovate ABQ is a non-profit private-public partnership created to develop a 7-acre
innovation center in downtown Albuquerque to foster economic development and job
creation in New Mexico. With its first buildings opened in fall 2017, Innovate ABQ
aims to develop more than 600,000 square feet of dense, walkable space devoted to
bringing together New Mexico’s innovators to foster the creation of long-term,
job-creating ventures. The urban living and learning environment is the result of a
partnership between the University of New Mexico, Innovate ABQ, the City of
Albuquerque, Nusenda Credit Union and Bernalillo County.
Here you’ll find a community that applauds diversity, celebrates collaboration and promotes success.
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CASA BELLA
CASA BELLA
LOCATIONMAPS
CASA BELLA | OFFERING MEMORANDUM56
Central NM Community
College
Lovelace Women’s Hospital
Grand Canyon University College
of Nursing
Sandia Resort & Casino
Cottonwood Mall
National Nuclear Security Administration
University of New Mexico
Presbyterian Hospital
University of New Mexico
Hospital
Kindred Hospital
PMN Services
Downtown
Albuquerque International Sunport
FacebookNetflix
Coronado Center ABQ Uptown
Windrock Center
Far North Shopping Center
Arroyo Del Oso Park
ABQ BioPark Aquarium
ABQ BioPark - Zoo
CASA BELLA
Kirtland AFB
Sandia National Laboratories
ALBUQUERQUE MSA REGIONAL MAP
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CASA BELLA
ALBUQUERQUE MSA REGIONAL MAP
CASA BELLA | OFFERING MEMORANDUM58
CASA BELLA
BIRDS EYE & PARCEL
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CASA BELLA1-022-056-159-66-20103
BIRDS EYE & PARCEL
Albuquerque Office 100 SUN AVENUE NE, SUITE 650
ALBUQUERQUE, NM 87109 505.219.0724
Cynthia Meister VICE PRESIDENT T 505.219.0724
C 505.803.6232 [email protected]
Trevor Koskovich PRESIDENT
T 602.952.4040 C 480.227.7420
Bill Hahn EXECUTIVE VICE PRESIDENT
T 602.952.4041 C 602.415.9578
Jesse Hudson VICE PRESIDENT
T 602.952.4042 C 480.437.4953