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A 40 Lot Manufactured Home Community Investment Opportunity 31 Cimarron Dr Spring Lake NC 28390 Cimarron MHC

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Page 1: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

A 40 Lot Manufactured Home Community Investment Opportunity

31 Cimarron Dr Spring Lake NC 28390

Cimarron MHC

P 02wwwestersonmhcteamcom Cimarron MHC

Disclaimer Notice

Non-EndorsementMarcus amp Millichap is not affiliated with sponsored by or endorsed by

any commercial tenant or lessee identified in this marketing package The

presence of any corporationrsquos logo or name is not intended to indicate or

imply affiliation with or sponsorship or endorsement by said occupation

of Marcus amp Millichap its affiliates or subsidiaries and any agent

product service or commercial listing of Marcus amp Millichap and is solely

intended for the purpose of providing tenant lease information about this

listing to prospective customers ALL PROPERTY SHOWINGS ARE BY

APPOINTMENT ONLY PLEASE CONSULT YOUR MARCUS amp MILLICHAP

AGENT FOR MORE DETAILS Marcus amp Millichap Offices throughout the

US and Canada wwwmarcusampmillichapcom

Guidelines

The offering is being distributed exclusively by Marcus amp Millichap REIS to the investment community Following the initial

bids the owner will select an investor to purchase the property or request from a group of investors to submit a best and final

offer from which one will be selected The selection will be based on a variety of factors including purchase price contract

terms financial strength ability to close timing and experience in closing similar transactions

All offers must be presented in writing and include

bull Pricebull Source of capitalbull Proof of fundsbull Relevant experiencebull Proposed schedule of due diligence and closingbull Amount of earnest moneybull List of contingencies including committee approvals possible 1031 exchanges etc

All interested investors are encouraged to schedule a property tour to visit the community and the surrounding market with an

approved representative to fully appreciate its market position quality and strong fundamentals

The information contained in this marketing brochure is proprietary and

strictly confidential It is intended to be reviewed by the party receiving

it from Marcus amp Millichap This marketing brochure has been prepared

to provide summarized unverified information to prospective purchasers

and to establish only a preliminary level of interest in the subject property

The information contained herein is not a substitute for a thorough

due diligence investigation Marcus amp Millichap has not made any

investigation and makes no warranty or representation with respect to

the income or expenses for the subject property the future projected

financial performance of the property the size and square footage of the

property and improvements the presence or absence of contaminating

substances PCBs or asbestos the compliance with state and Federal

regulations the physical condition of the improvements thereon or the

financial condition or business prospects of any tenant or any tenantrsquos

plans or intentions to continue its occupancy of the subject property

The information contained in this marketing brochure has been obtained

from sources we believe to be reliable however Marcus amp Millichap has

not verified and will not verify any of the information contained herein

nor has Marcus amp Millichap conducted any investigation regarding these

matters and makes no warranty or representation what so ever regarding

the accuracy or completeness of the information provided All potential

buyers must take appropriate measures to verify all of the information set

forth herein Marcus amp Millichap is a service mark of Marcus amp Millichap

Investment Services Inc 2020 Marcus amp Millichap All rights reserved

Note to the reader you will find links throughout the OM pages containing important information we advise that you click on these links to learn more

Table of Contents

IndexWelcome Page

Property Description

Rental Units and Investment Summary

Property Expenses (Actual Year 1 amp PF)

Property Photos amp Parcel Outline

Sales Agent Team Leader and Admin

02

03

04

05

06-07

08

WELCOME

All potential buyers are strongly advised to take advantage of their

opportunities and obligations to conduct thorough due diligence and

seek expert opinions as they may deem necessary especially given the

unpredictable changes resulting from the continuing COVID-19 pandemic

Marcus amp Millichap has not been retained to perform and cannot conduct

due diligence on behalf of any prospective purchaser Marcus amp Millichaprsquos

principal expertise is in marketing investment properties and acting as

intermediaries between buyers and sellers Marcus amp Millichap and its

investment professionals cannot and will not act as lawyers accountants

contractors or engineers All potential buyers are admonished and advised

to engage other professionals on legal issues tax regulatory financial

and accounting matters and for questions involving the propertyrsquos

physical condition or financial outlook Projections and pro forma financial

statements are not guarantees and given the potential volatility created

by COVID-19 all potential buyers should be comfortable with and rely

solely on their own projections analyses and decision-making)

SPECIAL COVID-19 NOTICE

P 03wwwestersonmhcteamcom Cimarron MHC

STEP 1

Schedule a callwith your Agent(720) MHP-4YOU

STEP 2

Property Description

Cimarron MHC has a total of 40 lots that consist of 4 lot rent only

tenants 12 tenants on rent to own contracts 11 rented POHrsquos

9 vacant lots and 4 vacant POHrsquos All 4 of the vacant POHrsquos will

need to be renovated or demolished Lot rent is $195 and home

rent averages $375 There are 3 brand new Clayton homes 2

of which are on a rent to own contract with a roughly $45000

balance to the tenant POHrsquos are an average vintage of 1993

with some being renovated and in above average condition

some average and 4 in rough shape

Cimarron MHC is on all public utilities with direct billing for

water sewer and electricity Trash is billed back to the tenants

The roads are paved Tenants mow their lawns The manager

responsible for bringing the park from 5 tenants to 27 tenants

is willing to continue managing There is a flood zone slightly

affecting 2 lots 5 additoinal lots are in a low-risk floodzone

This deal is being offered as a value add investment with an

842 normalized cap rate on current lot rent and a 942 gross

cap rate including POH income and expenses 3 new homes

have a mortgage that needs to be assume Balance is $109k

debt service is $12k per year and is accounted for in the POH

expenses Pro forma returns of 185 cash on cash and 22

total return

Cimarron MHC is a 40 lot value add investment located in a strong growing market just 14 miles from downtown Fayetteville Spring Lake has seen a 78 growth in population and has a median home price of $115500 with Harnett County growing 181 to 129000 people and a median home price of $169200

bull Public utilities- direct billed

bull Below market lot rents

bull 3 brand new homes

bull Population growth of 18 in Harnett County

bull Flood zone (low-risk zone 5-7 homes)

bull Recent turn around

bull Heavy POH

Investment Highlights

Known Issues

Property Location

Propery Address31 Cimarron Dr Spring Lake NC 28390

County Harnett

Metro Area Fayatteville Metro Area

Parcel Number(s) 010513 0086

Site Description

Purchase Price $740000

Total Rental Units 40

Mobile Home Lots 40

CommercialRetail 0

Total Land Area 763

Year Built NA

Roads Private ndash Paved

Flood Zone Yes

Opportunity Zone No

Mechanical

Water Public-Tenants Pay (Direct to Provider)

Sewer Public-Tenants Pay (Direct to Provider)

Electrical Public - Direct Billed

Gas NA

Trash Public - Direct Billed

Cable Public - Direct Billed

Landscape Tenant

Snow Removal NA

Property Overview

STEP 3

Highlights amp Known Issues

Make an offer (use our template or use your own)

1 Letter of Intent CLICK HERE

2 State Required Disclosures CLICK HERE

Send offers toYour Local MampM Agent

1 Watch short video from listing broker about this opportunity CLICK HERE

2 View brokerrsquos excel sheet CLICK HERE

Rental Units amp Investment Summary

Local Mobile Home Park Rents

P 04wwwestersonmhcteamcom Cimarron MHC

Unit Breakdown

Total Rental Units 40 Pro Forma

Total Tenants 27 30

Total Mobile Home Lots 40 40

Total RV Lots 0 0

Tenant Owned Homes 4 4

Abandoned Homes 0 0

Vacant Lots 9 9

Rent to Own POHs 12 12

Rented POHs 11 14

Vacant POHs 4 1

Average Lot Rent $195 $210

Average RTO Payment $325 $325

Average POH Rent $375 $375

Total Commercial Retail Units 0 0

Rent Comps Lot Rent POH Rent Utility Info

Cimarron MHC $195 $386 Public - Direct Bill

Southlawn MHC $250 NA Public - Direct Bill

Lone Pine MHP $205 NA Public - WampSBilled Back

Golden Gate MHP $225 NA Public - WampS Billed Back

Golden Creek Subdivision $190 NA Public - Direct Bill

The Fayetteville Metro area has strong population growth

median home price and median income Mobile home

parks in this metro range widely in quality and condition

with lot rents ranging from $150 to the low $300rsquos Utilities

are a mix of public and private with the majority of parks

having public utilities that are billed back or billed to

tenants directly from the utility company

Rent Comp Comments

Click on the following links for additional property information

Other MaterialsParcel Map2017-20 PampLJune-20 Rent Roll

Capitalized Revenues amp Investment Summary

Actuals Normalized Pro Forma

Total Gross Income $113936 $164438 $190181

Lot Revenue $47149 $63180 $75600

RV Revenue $0 $0 $0

Single Family Home amp Apartment Revenue $0 $0 $0

CommercialRetail Revenue $0 $0 $0

Self Storage Revenue $0 $0 $0

Other Income $5003 $6162 $6218

Capitalized Income $52152 $68078 $80306

Capitalized Expenses $19115 $32100 $35502

Net Operating Income (excludes POH income) $33037 $35979 $44804

Park Owned Home Revenues - Not Capitalized

Total Gross Income (includes POH amp all revenue sources) $113936 $164438 $190181

Total POH Revenue $60165 $96360 $109876

POH amp RTO Expenses $6783 $62634 $71419

POH RTO Net Income $53382 $33726 $38456

Per POH Value $11404 $11404 $11404

Total POH Value $171064 $171064 $171064

Total RTO Value $141400 $141400 $141400

Investment Metric Table

Lot Rent Cap Rate 773 842 1048

Gross Cap Rate (includes POH IampE) 1168 942 1125

Cash On Cash Levered 1968 1323 1846

Total Return 2324 1679 2202

Price Per Lot $18500 $18500 $18500

Price Per Occupied Lot $27407 $27407 $27407

There is signifcant upside by executing minor lot rent

increases and filling vacant homeslots Raising lot rent $10

throughout the park and only filling only 3 vacant homes

results in pro forma returns of 183 cash on cash and

218 total return

Upside Comments

P 05wwwestersonmhcteamcom Cimarron MHC

Property ExpensesActuals Normalized Actuals Pro Forma

Total Revenue $52152 $68078 $80306

Local MarketInformationOnce an important inland port on the Cape Fear River Fayetteville houses two large

military installations Fort Bragg and Pope Air Force Base The two facilities provide

the cityrsquos main economic base Median home prices represent a good value and there

are appealing developments of homes and golf courses as the area becomes more

desirable as a retirement destination The metrorsquos population has been growing by

78 per year and is hoome to over 385000 residents

Local Market Statistics

Spring Lake Harnett Fayatteville

Population 12746 128753 385337

Growth 0078 0181 0079

Medium Home Price $115500 $169200 $141600

Average Apartment Rent $850 $787 $893

Family Median Home $37154 $44417 $44692

Unemployment Rate 510 460 510

Expense Category Note On Expense Item

POH Expenses CAPEX Actuals Normalized Actuals Pro Forma

Property Taxes Estimated at 15 of Real Estate Value Allocation $758 $0 $4856 $4856 $6413

Property Insurance Normalized to Industry Averages 22 Pro Forma Increase $521 $0 $1805 $2000 $2044

Repairs amp Maintenance PF models $75 maint for vacant lots and $150 maint for occupied lots $2226 $0 $2226 $4290 $5250

Mowing amp Landscaping Tenants mow their own lawns and management mows vacant and common areas $0 $0 $0 $1500 $1533

Public Water PF models $35 per lot per month charge for vacancy from Harnett Regional Water $0 $0 $4673 $4673 $4620

Trash Normalized Equals Sellers Disclosure 22 Pro Forma Increase $0 $0 $2662 $2662 $2721

Employee Salaries Tenant gets free lot rent to mow and pick up trash $3278 $0 $1740 $4740 $4844

Payroll Taxes amp Expenses 10 of Total Payroll $0 $0 $0 $474 $484

3rd Party Management 5 of Total Revenue $0 $0 $0 $3404 $4015

Office Supplies amp Expenses Broker Estimate $0 $0 $0 $750 $767

Legal Fees Broker Estimate $0 $0 $1152 $750 $767

Accounting Fees Broker Estimate $0 $0 $0 $750 $767

Licenses Permits Dues Broker Estimate $0 $0 $0 $250 $256

Advertising Broker Estimate $0 $0 $0 $500 $511

Credit Checks amp Application Fees Broker Estimate $0 $0 $0 $500 $511

Cap Ex $0 $17811 $0 $0 $0

Total Expense $6783 $17811 $19115 $32100 $35502

Expense Ratio 3665 4715 4421

Net Operating Income (Excluding POH Income) $3303720 $3597879 $4480394

Capitalization Rate (lot rent only) 773 842 1048

Net Operating Income (Including POH Income) $86419 $69705 $83260

Capitalization Rate (lot rent amp park owned home income) 1168 942 1125

Debt Service Loan 1 (65 LTV 55 interest rate 25 year amortization Recourse) $35445 $35445 $35445

Cash Flow $50974 $34260 $47815

Debt Service Coverage Ratio 244 197 235

Cash-On-Cash Return 1968 1323 1846

Total Return 2324 1679 2202

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 2: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

P 02wwwestersonmhcteamcom Cimarron MHC

Disclaimer Notice

Non-EndorsementMarcus amp Millichap is not affiliated with sponsored by or endorsed by

any commercial tenant or lessee identified in this marketing package The

presence of any corporationrsquos logo or name is not intended to indicate or

imply affiliation with or sponsorship or endorsement by said occupation

of Marcus amp Millichap its affiliates or subsidiaries and any agent

product service or commercial listing of Marcus amp Millichap and is solely

intended for the purpose of providing tenant lease information about this

listing to prospective customers ALL PROPERTY SHOWINGS ARE BY

APPOINTMENT ONLY PLEASE CONSULT YOUR MARCUS amp MILLICHAP

AGENT FOR MORE DETAILS Marcus amp Millichap Offices throughout the

US and Canada wwwmarcusampmillichapcom

Guidelines

The offering is being distributed exclusively by Marcus amp Millichap REIS to the investment community Following the initial

bids the owner will select an investor to purchase the property or request from a group of investors to submit a best and final

offer from which one will be selected The selection will be based on a variety of factors including purchase price contract

terms financial strength ability to close timing and experience in closing similar transactions

All offers must be presented in writing and include

bull Pricebull Source of capitalbull Proof of fundsbull Relevant experiencebull Proposed schedule of due diligence and closingbull Amount of earnest moneybull List of contingencies including committee approvals possible 1031 exchanges etc

All interested investors are encouraged to schedule a property tour to visit the community and the surrounding market with an

approved representative to fully appreciate its market position quality and strong fundamentals

The information contained in this marketing brochure is proprietary and

strictly confidential It is intended to be reviewed by the party receiving

it from Marcus amp Millichap This marketing brochure has been prepared

to provide summarized unverified information to prospective purchasers

and to establish only a preliminary level of interest in the subject property

The information contained herein is not a substitute for a thorough

due diligence investigation Marcus amp Millichap has not made any

investigation and makes no warranty or representation with respect to

the income or expenses for the subject property the future projected

financial performance of the property the size and square footage of the

property and improvements the presence or absence of contaminating

substances PCBs or asbestos the compliance with state and Federal

regulations the physical condition of the improvements thereon or the

financial condition or business prospects of any tenant or any tenantrsquos

plans or intentions to continue its occupancy of the subject property

The information contained in this marketing brochure has been obtained

from sources we believe to be reliable however Marcus amp Millichap has

not verified and will not verify any of the information contained herein

nor has Marcus amp Millichap conducted any investigation regarding these

matters and makes no warranty or representation what so ever regarding

the accuracy or completeness of the information provided All potential

buyers must take appropriate measures to verify all of the information set

forth herein Marcus amp Millichap is a service mark of Marcus amp Millichap

Investment Services Inc 2020 Marcus amp Millichap All rights reserved

Note to the reader you will find links throughout the OM pages containing important information we advise that you click on these links to learn more

Table of Contents

IndexWelcome Page

Property Description

Rental Units and Investment Summary

Property Expenses (Actual Year 1 amp PF)

Property Photos amp Parcel Outline

Sales Agent Team Leader and Admin

02

03

04

05

06-07

08

WELCOME

All potential buyers are strongly advised to take advantage of their

opportunities and obligations to conduct thorough due diligence and

seek expert opinions as they may deem necessary especially given the

unpredictable changes resulting from the continuing COVID-19 pandemic

Marcus amp Millichap has not been retained to perform and cannot conduct

due diligence on behalf of any prospective purchaser Marcus amp Millichaprsquos

principal expertise is in marketing investment properties and acting as

intermediaries between buyers and sellers Marcus amp Millichap and its

investment professionals cannot and will not act as lawyers accountants

contractors or engineers All potential buyers are admonished and advised

to engage other professionals on legal issues tax regulatory financial

and accounting matters and for questions involving the propertyrsquos

physical condition or financial outlook Projections and pro forma financial

statements are not guarantees and given the potential volatility created

by COVID-19 all potential buyers should be comfortable with and rely

solely on their own projections analyses and decision-making)

SPECIAL COVID-19 NOTICE

P 03wwwestersonmhcteamcom Cimarron MHC

STEP 1

Schedule a callwith your Agent(720) MHP-4YOU

STEP 2

Property Description

Cimarron MHC has a total of 40 lots that consist of 4 lot rent only

tenants 12 tenants on rent to own contracts 11 rented POHrsquos

9 vacant lots and 4 vacant POHrsquos All 4 of the vacant POHrsquos will

need to be renovated or demolished Lot rent is $195 and home

rent averages $375 There are 3 brand new Clayton homes 2

of which are on a rent to own contract with a roughly $45000

balance to the tenant POHrsquos are an average vintage of 1993

with some being renovated and in above average condition

some average and 4 in rough shape

Cimarron MHC is on all public utilities with direct billing for

water sewer and electricity Trash is billed back to the tenants

The roads are paved Tenants mow their lawns The manager

responsible for bringing the park from 5 tenants to 27 tenants

is willing to continue managing There is a flood zone slightly

affecting 2 lots 5 additoinal lots are in a low-risk floodzone

This deal is being offered as a value add investment with an

842 normalized cap rate on current lot rent and a 942 gross

cap rate including POH income and expenses 3 new homes

have a mortgage that needs to be assume Balance is $109k

debt service is $12k per year and is accounted for in the POH

expenses Pro forma returns of 185 cash on cash and 22

total return

Cimarron MHC is a 40 lot value add investment located in a strong growing market just 14 miles from downtown Fayetteville Spring Lake has seen a 78 growth in population and has a median home price of $115500 with Harnett County growing 181 to 129000 people and a median home price of $169200

bull Public utilities- direct billed

bull Below market lot rents

bull 3 brand new homes

bull Population growth of 18 in Harnett County

bull Flood zone (low-risk zone 5-7 homes)

bull Recent turn around

bull Heavy POH

Investment Highlights

Known Issues

Property Location

Propery Address31 Cimarron Dr Spring Lake NC 28390

County Harnett

Metro Area Fayatteville Metro Area

Parcel Number(s) 010513 0086

Site Description

Purchase Price $740000

Total Rental Units 40

Mobile Home Lots 40

CommercialRetail 0

Total Land Area 763

Year Built NA

Roads Private ndash Paved

Flood Zone Yes

Opportunity Zone No

Mechanical

Water Public-Tenants Pay (Direct to Provider)

Sewer Public-Tenants Pay (Direct to Provider)

Electrical Public - Direct Billed

Gas NA

Trash Public - Direct Billed

Cable Public - Direct Billed

Landscape Tenant

Snow Removal NA

Property Overview

STEP 3

Highlights amp Known Issues

Make an offer (use our template or use your own)

1 Letter of Intent CLICK HERE

2 State Required Disclosures CLICK HERE

Send offers toYour Local MampM Agent

1 Watch short video from listing broker about this opportunity CLICK HERE

2 View brokerrsquos excel sheet CLICK HERE

Rental Units amp Investment Summary

Local Mobile Home Park Rents

P 04wwwestersonmhcteamcom Cimarron MHC

Unit Breakdown

Total Rental Units 40 Pro Forma

Total Tenants 27 30

Total Mobile Home Lots 40 40

Total RV Lots 0 0

Tenant Owned Homes 4 4

Abandoned Homes 0 0

Vacant Lots 9 9

Rent to Own POHs 12 12

Rented POHs 11 14

Vacant POHs 4 1

Average Lot Rent $195 $210

Average RTO Payment $325 $325

Average POH Rent $375 $375

Total Commercial Retail Units 0 0

Rent Comps Lot Rent POH Rent Utility Info

Cimarron MHC $195 $386 Public - Direct Bill

Southlawn MHC $250 NA Public - Direct Bill

Lone Pine MHP $205 NA Public - WampSBilled Back

Golden Gate MHP $225 NA Public - WampS Billed Back

Golden Creek Subdivision $190 NA Public - Direct Bill

The Fayetteville Metro area has strong population growth

median home price and median income Mobile home

parks in this metro range widely in quality and condition

with lot rents ranging from $150 to the low $300rsquos Utilities

are a mix of public and private with the majority of parks

having public utilities that are billed back or billed to

tenants directly from the utility company

Rent Comp Comments

Click on the following links for additional property information

Other MaterialsParcel Map2017-20 PampLJune-20 Rent Roll

Capitalized Revenues amp Investment Summary

Actuals Normalized Pro Forma

Total Gross Income $113936 $164438 $190181

Lot Revenue $47149 $63180 $75600

RV Revenue $0 $0 $0

Single Family Home amp Apartment Revenue $0 $0 $0

CommercialRetail Revenue $0 $0 $0

Self Storage Revenue $0 $0 $0

Other Income $5003 $6162 $6218

Capitalized Income $52152 $68078 $80306

Capitalized Expenses $19115 $32100 $35502

Net Operating Income (excludes POH income) $33037 $35979 $44804

Park Owned Home Revenues - Not Capitalized

Total Gross Income (includes POH amp all revenue sources) $113936 $164438 $190181

Total POH Revenue $60165 $96360 $109876

POH amp RTO Expenses $6783 $62634 $71419

POH RTO Net Income $53382 $33726 $38456

Per POH Value $11404 $11404 $11404

Total POH Value $171064 $171064 $171064

Total RTO Value $141400 $141400 $141400

Investment Metric Table

Lot Rent Cap Rate 773 842 1048

Gross Cap Rate (includes POH IampE) 1168 942 1125

Cash On Cash Levered 1968 1323 1846

Total Return 2324 1679 2202

Price Per Lot $18500 $18500 $18500

Price Per Occupied Lot $27407 $27407 $27407

There is signifcant upside by executing minor lot rent

increases and filling vacant homeslots Raising lot rent $10

throughout the park and only filling only 3 vacant homes

results in pro forma returns of 183 cash on cash and

218 total return

Upside Comments

P 05wwwestersonmhcteamcom Cimarron MHC

Property ExpensesActuals Normalized Actuals Pro Forma

Total Revenue $52152 $68078 $80306

Local MarketInformationOnce an important inland port on the Cape Fear River Fayetteville houses two large

military installations Fort Bragg and Pope Air Force Base The two facilities provide

the cityrsquos main economic base Median home prices represent a good value and there

are appealing developments of homes and golf courses as the area becomes more

desirable as a retirement destination The metrorsquos population has been growing by

78 per year and is hoome to over 385000 residents

Local Market Statistics

Spring Lake Harnett Fayatteville

Population 12746 128753 385337

Growth 0078 0181 0079

Medium Home Price $115500 $169200 $141600

Average Apartment Rent $850 $787 $893

Family Median Home $37154 $44417 $44692

Unemployment Rate 510 460 510

Expense Category Note On Expense Item

POH Expenses CAPEX Actuals Normalized Actuals Pro Forma

Property Taxes Estimated at 15 of Real Estate Value Allocation $758 $0 $4856 $4856 $6413

Property Insurance Normalized to Industry Averages 22 Pro Forma Increase $521 $0 $1805 $2000 $2044

Repairs amp Maintenance PF models $75 maint for vacant lots and $150 maint for occupied lots $2226 $0 $2226 $4290 $5250

Mowing amp Landscaping Tenants mow their own lawns and management mows vacant and common areas $0 $0 $0 $1500 $1533

Public Water PF models $35 per lot per month charge for vacancy from Harnett Regional Water $0 $0 $4673 $4673 $4620

Trash Normalized Equals Sellers Disclosure 22 Pro Forma Increase $0 $0 $2662 $2662 $2721

Employee Salaries Tenant gets free lot rent to mow and pick up trash $3278 $0 $1740 $4740 $4844

Payroll Taxes amp Expenses 10 of Total Payroll $0 $0 $0 $474 $484

3rd Party Management 5 of Total Revenue $0 $0 $0 $3404 $4015

Office Supplies amp Expenses Broker Estimate $0 $0 $0 $750 $767

Legal Fees Broker Estimate $0 $0 $1152 $750 $767

Accounting Fees Broker Estimate $0 $0 $0 $750 $767

Licenses Permits Dues Broker Estimate $0 $0 $0 $250 $256

Advertising Broker Estimate $0 $0 $0 $500 $511

Credit Checks amp Application Fees Broker Estimate $0 $0 $0 $500 $511

Cap Ex $0 $17811 $0 $0 $0

Total Expense $6783 $17811 $19115 $32100 $35502

Expense Ratio 3665 4715 4421

Net Operating Income (Excluding POH Income) $3303720 $3597879 $4480394

Capitalization Rate (lot rent only) 773 842 1048

Net Operating Income (Including POH Income) $86419 $69705 $83260

Capitalization Rate (lot rent amp park owned home income) 1168 942 1125

Debt Service Loan 1 (65 LTV 55 interest rate 25 year amortization Recourse) $35445 $35445 $35445

Cash Flow $50974 $34260 $47815

Debt Service Coverage Ratio 244 197 235

Cash-On-Cash Return 1968 1323 1846

Total Return 2324 1679 2202

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 3: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

P 03wwwestersonmhcteamcom Cimarron MHC

STEP 1

Schedule a callwith your Agent(720) MHP-4YOU

STEP 2

Property Description

Cimarron MHC has a total of 40 lots that consist of 4 lot rent only

tenants 12 tenants on rent to own contracts 11 rented POHrsquos

9 vacant lots and 4 vacant POHrsquos All 4 of the vacant POHrsquos will

need to be renovated or demolished Lot rent is $195 and home

rent averages $375 There are 3 brand new Clayton homes 2

of which are on a rent to own contract with a roughly $45000

balance to the tenant POHrsquos are an average vintage of 1993

with some being renovated and in above average condition

some average and 4 in rough shape

Cimarron MHC is on all public utilities with direct billing for

water sewer and electricity Trash is billed back to the tenants

The roads are paved Tenants mow their lawns The manager

responsible for bringing the park from 5 tenants to 27 tenants

is willing to continue managing There is a flood zone slightly

affecting 2 lots 5 additoinal lots are in a low-risk floodzone

This deal is being offered as a value add investment with an

842 normalized cap rate on current lot rent and a 942 gross

cap rate including POH income and expenses 3 new homes

have a mortgage that needs to be assume Balance is $109k

debt service is $12k per year and is accounted for in the POH

expenses Pro forma returns of 185 cash on cash and 22

total return

Cimarron MHC is a 40 lot value add investment located in a strong growing market just 14 miles from downtown Fayetteville Spring Lake has seen a 78 growth in population and has a median home price of $115500 with Harnett County growing 181 to 129000 people and a median home price of $169200

bull Public utilities- direct billed

bull Below market lot rents

bull 3 brand new homes

bull Population growth of 18 in Harnett County

bull Flood zone (low-risk zone 5-7 homes)

bull Recent turn around

bull Heavy POH

Investment Highlights

Known Issues

Property Location

Propery Address31 Cimarron Dr Spring Lake NC 28390

County Harnett

Metro Area Fayatteville Metro Area

Parcel Number(s) 010513 0086

Site Description

Purchase Price $740000

Total Rental Units 40

Mobile Home Lots 40

CommercialRetail 0

Total Land Area 763

Year Built NA

Roads Private ndash Paved

Flood Zone Yes

Opportunity Zone No

Mechanical

Water Public-Tenants Pay (Direct to Provider)

Sewer Public-Tenants Pay (Direct to Provider)

Electrical Public - Direct Billed

Gas NA

Trash Public - Direct Billed

Cable Public - Direct Billed

Landscape Tenant

Snow Removal NA

Property Overview

STEP 3

Highlights amp Known Issues

Make an offer (use our template or use your own)

1 Letter of Intent CLICK HERE

2 State Required Disclosures CLICK HERE

Send offers toYour Local MampM Agent

1 Watch short video from listing broker about this opportunity CLICK HERE

2 View brokerrsquos excel sheet CLICK HERE

Rental Units amp Investment Summary

Local Mobile Home Park Rents

P 04wwwestersonmhcteamcom Cimarron MHC

Unit Breakdown

Total Rental Units 40 Pro Forma

Total Tenants 27 30

Total Mobile Home Lots 40 40

Total RV Lots 0 0

Tenant Owned Homes 4 4

Abandoned Homes 0 0

Vacant Lots 9 9

Rent to Own POHs 12 12

Rented POHs 11 14

Vacant POHs 4 1

Average Lot Rent $195 $210

Average RTO Payment $325 $325

Average POH Rent $375 $375

Total Commercial Retail Units 0 0

Rent Comps Lot Rent POH Rent Utility Info

Cimarron MHC $195 $386 Public - Direct Bill

Southlawn MHC $250 NA Public - Direct Bill

Lone Pine MHP $205 NA Public - WampSBilled Back

Golden Gate MHP $225 NA Public - WampS Billed Back

Golden Creek Subdivision $190 NA Public - Direct Bill

The Fayetteville Metro area has strong population growth

median home price and median income Mobile home

parks in this metro range widely in quality and condition

with lot rents ranging from $150 to the low $300rsquos Utilities

are a mix of public and private with the majority of parks

having public utilities that are billed back or billed to

tenants directly from the utility company

Rent Comp Comments

Click on the following links for additional property information

Other MaterialsParcel Map2017-20 PampLJune-20 Rent Roll

Capitalized Revenues amp Investment Summary

Actuals Normalized Pro Forma

Total Gross Income $113936 $164438 $190181

Lot Revenue $47149 $63180 $75600

RV Revenue $0 $0 $0

Single Family Home amp Apartment Revenue $0 $0 $0

CommercialRetail Revenue $0 $0 $0

Self Storage Revenue $0 $0 $0

Other Income $5003 $6162 $6218

Capitalized Income $52152 $68078 $80306

Capitalized Expenses $19115 $32100 $35502

Net Operating Income (excludes POH income) $33037 $35979 $44804

Park Owned Home Revenues - Not Capitalized

Total Gross Income (includes POH amp all revenue sources) $113936 $164438 $190181

Total POH Revenue $60165 $96360 $109876

POH amp RTO Expenses $6783 $62634 $71419

POH RTO Net Income $53382 $33726 $38456

Per POH Value $11404 $11404 $11404

Total POH Value $171064 $171064 $171064

Total RTO Value $141400 $141400 $141400

Investment Metric Table

Lot Rent Cap Rate 773 842 1048

Gross Cap Rate (includes POH IampE) 1168 942 1125

Cash On Cash Levered 1968 1323 1846

Total Return 2324 1679 2202

Price Per Lot $18500 $18500 $18500

Price Per Occupied Lot $27407 $27407 $27407

There is signifcant upside by executing minor lot rent

increases and filling vacant homeslots Raising lot rent $10

throughout the park and only filling only 3 vacant homes

results in pro forma returns of 183 cash on cash and

218 total return

Upside Comments

P 05wwwestersonmhcteamcom Cimarron MHC

Property ExpensesActuals Normalized Actuals Pro Forma

Total Revenue $52152 $68078 $80306

Local MarketInformationOnce an important inland port on the Cape Fear River Fayetteville houses two large

military installations Fort Bragg and Pope Air Force Base The two facilities provide

the cityrsquos main economic base Median home prices represent a good value and there

are appealing developments of homes and golf courses as the area becomes more

desirable as a retirement destination The metrorsquos population has been growing by

78 per year and is hoome to over 385000 residents

Local Market Statistics

Spring Lake Harnett Fayatteville

Population 12746 128753 385337

Growth 0078 0181 0079

Medium Home Price $115500 $169200 $141600

Average Apartment Rent $850 $787 $893

Family Median Home $37154 $44417 $44692

Unemployment Rate 510 460 510

Expense Category Note On Expense Item

POH Expenses CAPEX Actuals Normalized Actuals Pro Forma

Property Taxes Estimated at 15 of Real Estate Value Allocation $758 $0 $4856 $4856 $6413

Property Insurance Normalized to Industry Averages 22 Pro Forma Increase $521 $0 $1805 $2000 $2044

Repairs amp Maintenance PF models $75 maint for vacant lots and $150 maint for occupied lots $2226 $0 $2226 $4290 $5250

Mowing amp Landscaping Tenants mow their own lawns and management mows vacant and common areas $0 $0 $0 $1500 $1533

Public Water PF models $35 per lot per month charge for vacancy from Harnett Regional Water $0 $0 $4673 $4673 $4620

Trash Normalized Equals Sellers Disclosure 22 Pro Forma Increase $0 $0 $2662 $2662 $2721

Employee Salaries Tenant gets free lot rent to mow and pick up trash $3278 $0 $1740 $4740 $4844

Payroll Taxes amp Expenses 10 of Total Payroll $0 $0 $0 $474 $484

3rd Party Management 5 of Total Revenue $0 $0 $0 $3404 $4015

Office Supplies amp Expenses Broker Estimate $0 $0 $0 $750 $767

Legal Fees Broker Estimate $0 $0 $1152 $750 $767

Accounting Fees Broker Estimate $0 $0 $0 $750 $767

Licenses Permits Dues Broker Estimate $0 $0 $0 $250 $256

Advertising Broker Estimate $0 $0 $0 $500 $511

Credit Checks amp Application Fees Broker Estimate $0 $0 $0 $500 $511

Cap Ex $0 $17811 $0 $0 $0

Total Expense $6783 $17811 $19115 $32100 $35502

Expense Ratio 3665 4715 4421

Net Operating Income (Excluding POH Income) $3303720 $3597879 $4480394

Capitalization Rate (lot rent only) 773 842 1048

Net Operating Income (Including POH Income) $86419 $69705 $83260

Capitalization Rate (lot rent amp park owned home income) 1168 942 1125

Debt Service Loan 1 (65 LTV 55 interest rate 25 year amortization Recourse) $35445 $35445 $35445

Cash Flow $50974 $34260 $47815

Debt Service Coverage Ratio 244 197 235

Cash-On-Cash Return 1968 1323 1846

Total Return 2324 1679 2202

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 4: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

Rental Units amp Investment Summary

Local Mobile Home Park Rents

P 04wwwestersonmhcteamcom Cimarron MHC

Unit Breakdown

Total Rental Units 40 Pro Forma

Total Tenants 27 30

Total Mobile Home Lots 40 40

Total RV Lots 0 0

Tenant Owned Homes 4 4

Abandoned Homes 0 0

Vacant Lots 9 9

Rent to Own POHs 12 12

Rented POHs 11 14

Vacant POHs 4 1

Average Lot Rent $195 $210

Average RTO Payment $325 $325

Average POH Rent $375 $375

Total Commercial Retail Units 0 0

Rent Comps Lot Rent POH Rent Utility Info

Cimarron MHC $195 $386 Public - Direct Bill

Southlawn MHC $250 NA Public - Direct Bill

Lone Pine MHP $205 NA Public - WampSBilled Back

Golden Gate MHP $225 NA Public - WampS Billed Back

Golden Creek Subdivision $190 NA Public - Direct Bill

The Fayetteville Metro area has strong population growth

median home price and median income Mobile home

parks in this metro range widely in quality and condition

with lot rents ranging from $150 to the low $300rsquos Utilities

are a mix of public and private with the majority of parks

having public utilities that are billed back or billed to

tenants directly from the utility company

Rent Comp Comments

Click on the following links for additional property information

Other MaterialsParcel Map2017-20 PampLJune-20 Rent Roll

Capitalized Revenues amp Investment Summary

Actuals Normalized Pro Forma

Total Gross Income $113936 $164438 $190181

Lot Revenue $47149 $63180 $75600

RV Revenue $0 $0 $0

Single Family Home amp Apartment Revenue $0 $0 $0

CommercialRetail Revenue $0 $0 $0

Self Storage Revenue $0 $0 $0

Other Income $5003 $6162 $6218

Capitalized Income $52152 $68078 $80306

Capitalized Expenses $19115 $32100 $35502

Net Operating Income (excludes POH income) $33037 $35979 $44804

Park Owned Home Revenues - Not Capitalized

Total Gross Income (includes POH amp all revenue sources) $113936 $164438 $190181

Total POH Revenue $60165 $96360 $109876

POH amp RTO Expenses $6783 $62634 $71419

POH RTO Net Income $53382 $33726 $38456

Per POH Value $11404 $11404 $11404

Total POH Value $171064 $171064 $171064

Total RTO Value $141400 $141400 $141400

Investment Metric Table

Lot Rent Cap Rate 773 842 1048

Gross Cap Rate (includes POH IampE) 1168 942 1125

Cash On Cash Levered 1968 1323 1846

Total Return 2324 1679 2202

Price Per Lot $18500 $18500 $18500

Price Per Occupied Lot $27407 $27407 $27407

There is signifcant upside by executing minor lot rent

increases and filling vacant homeslots Raising lot rent $10

throughout the park and only filling only 3 vacant homes

results in pro forma returns of 183 cash on cash and

218 total return

Upside Comments

P 05wwwestersonmhcteamcom Cimarron MHC

Property ExpensesActuals Normalized Actuals Pro Forma

Total Revenue $52152 $68078 $80306

Local MarketInformationOnce an important inland port on the Cape Fear River Fayetteville houses two large

military installations Fort Bragg and Pope Air Force Base The two facilities provide

the cityrsquos main economic base Median home prices represent a good value and there

are appealing developments of homes and golf courses as the area becomes more

desirable as a retirement destination The metrorsquos population has been growing by

78 per year and is hoome to over 385000 residents

Local Market Statistics

Spring Lake Harnett Fayatteville

Population 12746 128753 385337

Growth 0078 0181 0079

Medium Home Price $115500 $169200 $141600

Average Apartment Rent $850 $787 $893

Family Median Home $37154 $44417 $44692

Unemployment Rate 510 460 510

Expense Category Note On Expense Item

POH Expenses CAPEX Actuals Normalized Actuals Pro Forma

Property Taxes Estimated at 15 of Real Estate Value Allocation $758 $0 $4856 $4856 $6413

Property Insurance Normalized to Industry Averages 22 Pro Forma Increase $521 $0 $1805 $2000 $2044

Repairs amp Maintenance PF models $75 maint for vacant lots and $150 maint for occupied lots $2226 $0 $2226 $4290 $5250

Mowing amp Landscaping Tenants mow their own lawns and management mows vacant and common areas $0 $0 $0 $1500 $1533

Public Water PF models $35 per lot per month charge for vacancy from Harnett Regional Water $0 $0 $4673 $4673 $4620

Trash Normalized Equals Sellers Disclosure 22 Pro Forma Increase $0 $0 $2662 $2662 $2721

Employee Salaries Tenant gets free lot rent to mow and pick up trash $3278 $0 $1740 $4740 $4844

Payroll Taxes amp Expenses 10 of Total Payroll $0 $0 $0 $474 $484

3rd Party Management 5 of Total Revenue $0 $0 $0 $3404 $4015

Office Supplies amp Expenses Broker Estimate $0 $0 $0 $750 $767

Legal Fees Broker Estimate $0 $0 $1152 $750 $767

Accounting Fees Broker Estimate $0 $0 $0 $750 $767

Licenses Permits Dues Broker Estimate $0 $0 $0 $250 $256

Advertising Broker Estimate $0 $0 $0 $500 $511

Credit Checks amp Application Fees Broker Estimate $0 $0 $0 $500 $511

Cap Ex $0 $17811 $0 $0 $0

Total Expense $6783 $17811 $19115 $32100 $35502

Expense Ratio 3665 4715 4421

Net Operating Income (Excluding POH Income) $3303720 $3597879 $4480394

Capitalization Rate (lot rent only) 773 842 1048

Net Operating Income (Including POH Income) $86419 $69705 $83260

Capitalization Rate (lot rent amp park owned home income) 1168 942 1125

Debt Service Loan 1 (65 LTV 55 interest rate 25 year amortization Recourse) $35445 $35445 $35445

Cash Flow $50974 $34260 $47815

Debt Service Coverage Ratio 244 197 235

Cash-On-Cash Return 1968 1323 1846

Total Return 2324 1679 2202

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 5: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

P 05wwwestersonmhcteamcom Cimarron MHC

Property ExpensesActuals Normalized Actuals Pro Forma

Total Revenue $52152 $68078 $80306

Local MarketInformationOnce an important inland port on the Cape Fear River Fayetteville houses two large

military installations Fort Bragg and Pope Air Force Base The two facilities provide

the cityrsquos main economic base Median home prices represent a good value and there

are appealing developments of homes and golf courses as the area becomes more

desirable as a retirement destination The metrorsquos population has been growing by

78 per year and is hoome to over 385000 residents

Local Market Statistics

Spring Lake Harnett Fayatteville

Population 12746 128753 385337

Growth 0078 0181 0079

Medium Home Price $115500 $169200 $141600

Average Apartment Rent $850 $787 $893

Family Median Home $37154 $44417 $44692

Unemployment Rate 510 460 510

Expense Category Note On Expense Item

POH Expenses CAPEX Actuals Normalized Actuals Pro Forma

Property Taxes Estimated at 15 of Real Estate Value Allocation $758 $0 $4856 $4856 $6413

Property Insurance Normalized to Industry Averages 22 Pro Forma Increase $521 $0 $1805 $2000 $2044

Repairs amp Maintenance PF models $75 maint for vacant lots and $150 maint for occupied lots $2226 $0 $2226 $4290 $5250

Mowing amp Landscaping Tenants mow their own lawns and management mows vacant and common areas $0 $0 $0 $1500 $1533

Public Water PF models $35 per lot per month charge for vacancy from Harnett Regional Water $0 $0 $4673 $4673 $4620

Trash Normalized Equals Sellers Disclosure 22 Pro Forma Increase $0 $0 $2662 $2662 $2721

Employee Salaries Tenant gets free lot rent to mow and pick up trash $3278 $0 $1740 $4740 $4844

Payroll Taxes amp Expenses 10 of Total Payroll $0 $0 $0 $474 $484

3rd Party Management 5 of Total Revenue $0 $0 $0 $3404 $4015

Office Supplies amp Expenses Broker Estimate $0 $0 $0 $750 $767

Legal Fees Broker Estimate $0 $0 $1152 $750 $767

Accounting Fees Broker Estimate $0 $0 $0 $750 $767

Licenses Permits Dues Broker Estimate $0 $0 $0 $250 $256

Advertising Broker Estimate $0 $0 $0 $500 $511

Credit Checks amp Application Fees Broker Estimate $0 $0 $0 $500 $511

Cap Ex $0 $17811 $0 $0 $0

Total Expense $6783 $17811 $19115 $32100 $35502

Expense Ratio 3665 4715 4421

Net Operating Income (Excluding POH Income) $3303720 $3597879 $4480394

Capitalization Rate (lot rent only) 773 842 1048

Net Operating Income (Including POH Income) $86419 $69705 $83260

Capitalization Rate (lot rent amp park owned home income) 1168 942 1125

Debt Service Loan 1 (65 LTV 55 interest rate 25 year amortization Recourse) $35445 $35445 $35445

Cash Flow $50974 $34260 $47815

Debt Service Coverage Ratio 244 197 235

Cash-On-Cash Return 1968 1323 1846

Total Return 2324 1679 2202

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 6: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

P 06wwwestersonmhcteamcom Cimarron MHC

Property PhotosClick here for additional property photos

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 7: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

P 13wwwmarcusmilichapcom Werner Hancock MHP

Brokerage Team

Dylan joined The Esterson MHC Team of Marcus amp Millichap in 2019

with the vision of assisting buyers and sellers nation wide with their

manufactured housing transaction needs His team is quickly gaining

a reputation as one of the top brokerage teams in the industry

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

(720) MHP-4YOU

ESTERSON MANUFACTURED HOUSING TEAM

GlennEstersonmarcusmillichapcom

wwwestersonmhcteamcom

Marcus amp Millichap Denver CO

Phone (720) 419-4319

BrandonPearsonmarcusmillichapcom

Marcus amp Millichap Charlotte NC

Phone (423) 483-0492

GlennEstersonmarcusmillichapcom

TEAM AGENT SENIOR BROKER

Brandon Pearson Glenn D Esterson

Marcus amp Millichap Atlanta GA

Phone (678) 677-9515

ParkerKellymarcusmillichapcom

Marcus amp Millichap Seattle WA

Phone (206) 963-6076

VasiliArvanitidismarcusmillichapcom

TEAM AGENT

TEAM AGENT

Parker Kelly

Vasili Arvanitidis

Marcus amp Millichap Charleston SC

Phone (843) 469-0347

DylanHellbergmarcusmillichapcom

TEAM AGENT

Dylan Hellberg

Marcus amp Millichap Tampa FL

Phone (276) 237-4311

CharlesDeHartmarcusmillichapcom

OPERATIONS MANAGER

Charles Dehart

Marcus amp Millichap Atlanta GA

Phone (770) 262-6707

SallieWhitehurstmarcusmillichapcom

LICENSED ASSISTANT

Sallie Whitehurst

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc

Page 8: Cimarron MHC€¦ · Cimarron MHC is on all public utilities, with direct billing for . water, sewer, and electricity. Trash is billed back to the tenants. The roads are paved. Tenants

Cimarron MHC

Offices throughout the US and Canadawwwmarcusmillichapcom

wwwestersonmhcteamcom

ALL PROPERTY SHOWINGS AREBY APPOINTMENT ONLY Pleaseconsult your Marcus amp Milichap

(720) MHP - 4YOU

Ben YelmLic 303785 - Broker of RecordMarcus amp Millichap Real Estate

Investment Services of Charlotte Inc