BRIX VATTENBUILDING
THE BRIX VATTEN AND NILSEN BUILDINGS are offered together or separately. These two fully occupied street front retail/office buildings are located in the heart of Downtown Poulsbo’s popular waterfront and marina, and benefit from destination and daily-needs exposure with high foot traffic counts. Nearby amenities support downtown Poulsbo’s status as a walkable corridor conducive to office and retail, in close proximity to a number of art galleries, museums, and several restaurants.
NILSENBUILDING
INDIVIDUAL PRICE$1,120,000
CAP RATE6.25%
NUMBER OF TENANTSFour
LEASEABLE SF4,226 SF
PPSF$265
OCCUPANCY87%*
SUBMARKET VACANCY3.4%
YEAR BUILT1978
Brix VattenInvestment Summary
*Seller to provide a rent guaran-ty at closing for a single 560 SF vacancy.
18955 ANDERSON PKWY NE POULSBO, WA 98370
INDIVIDUAL PRICE$995,000
CAP RATE6.25%
NUMBER OF TENANTSThree
LEASEABLE SF3,753 SF
PPSF$265
OCCUPANCY100%
SUBMARKET VACANCY3.4%
YEAR BUILT1920
Nilsen BuildingInvestment Summary18961 FRONT STREET NE, POULSBO, WA, 98370
PAGE 5
LOCATED IN THE HEART OF LITTLE NORWAY, POULSBO’S MOST POPULAR DESTINATION FOR VISITORS.
EXPOSED TO HIGH TRAFFIC AND FOOT COUNTS IN DOWNTOWN.
ALL TENANTS ARE ON NNN LEASES WITH ANNUAL RENT INCREASES.
WHILE POULSBO THRIVES OFF TOURISM, MANY SHOPS HAVE STRONG CLIENTELE FROM LOCAL RESIDENTS, PROVIDING A YEAR-ROUND CUSTOMER BASE DURING THE OFF-SEASON.
POULSBO HAS SHOWN STEADY POPULATION GROWTH WITH ANNUAL INCREASES THE PAST 5 YEARS.
Investment Highlights
JEN
SEN
WAY
NE
FRONT STREET NE
LIBERTY BAY WATERFRONT PARK
& MARINAApprox 170 Slips
PORT OF POULSBO
BRIX VATTEN& NILSEN
POULSBO MARINA15 boathouses
384 Moorage Slips (254 permanent
& 130 guest)
POULSBO,WASHINGTON
Named “Best City/Town” by Westsound (2019) 2,000+ Businesses 3.4% Vacancy Rate
MORAICED CREAMERYVoted One of the
Top 10 Ice Cream Shops in the U.S.
(foodandwine.com)
Surrounding Retail
PAGE 7
Q: DOES EITHER PARCEL INCLUDE PARKING?A: Neither property includes parking, yet benefit from close proximity to a 1.5+ acre public parking lot owned by the City of Poulsbo. Additional public parking is provided via street parking throughout the downtown Poulsbo area.
Q&A
Site Plan
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
Property Sale Price NOI Cap Rate
Brix Vatten $1,120,000 $70,032 6.25%
Nilsen Building $995,000 $62,158 6.25%
Totals $2,115,000 $132,190 6.25%
Combined Pricing
PRICING BREAKDOWN
Combined Financial Summary
RentRoll
TO JUMP TO THE FULL FINANCIAL SUMMARY INCLUDING RENT ROLL, PLEASE CLICK HERE.
Combined Financial Summary
PAGE 11
POULSBO, WASHINGTON is located in the northern part of Kitsap County and is a popular regional tourist destination that maintains a Scandinavian theme to honor its early history throughout the downtown area. One of its local products, Poulsbo Bread, is made locally at Sluy’s Bakery and used to be sold internationally. Many visitors arrive by boat; there are three marinas near the town, and the town’s harbor is an excellent anchorage.
Poulsbo,Washington
Location
POPULATION
5 MINS 10 MINS 15 MINS
2010 3,848 12,751 40,305
2019 4,231 14,896 44,065
2024 4,484 15,928 46,194
2019 HH INCOME
5 MINS 10 MINS 15 MINS
Average $75,214 $93,745 $96,781
Median $58,772 $75,904 $77,521
KEY 5 MINS 10 MINS 15 MINS
DriveTime
48 MILES
Tacoma,Washington
23 MILES
Seattle, Washington
Distanceto
Demographics
PAGE 15
Property Sale Price NOI Cap Rate
Brix Vatten $1,120,000 $70,032 6.25%
Nilsen Building $995,000 $62,158 6.25%
Totals $2,115,000 $132,190 6.25%
Combined Pricing
PRICING BREAKDOWN
Combined Pricing PAGE 17
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
Combined Pricing
Income & Expense
PRICE $1,120,000CAPITALIZATION RATE 6.25%PRICE PER FOOT $265
CASH FLOW SUMMARYSCHEDULED INCOME PER SFBase Rent for the Period of: 11/1/2019 - 10/31/2020 $17.54 $74,118
Rent Increases Over Base Rent $0.26 $1,093
Operating Expense Reimbursement $4.72 $19,929
Equals: Scheduled Gross Income $22.51 $95,140
Vacancy Factor 5% ($1.13) ($4,757)
Total Effective Gross Income (EGI) $21.39 $90,383
OPERATING EXPENSES PER SFCAMS $1.69 $7,122
Property Taxes $1.53 $6,487
Insurance $0.42 $1,790Management Fee of EGI $1.07 $4,530
Reserves $0.10 $423
Total Operating Expenses $4.82 $20,352
NET OPERATING INCOME $16.57 $70,032
5.0%
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Financial Summary PAGE 18
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Brix Vatten Building
Rent Roll
LEASE TYPE
TENANT NAME SUITE SIZE % OF SF RENT START LEASE EXPIRATION
MONTHLY BASE RENT RENT/SF/YR DATE OF
INCREASEMONTHLY BASE RENT
Foster Financial Services, Inc. 111 539 12.75% 11/6/17 11/5/20 NNN $849 $18.90 6/1/20 $874
Eye Candy Salon 121-131 1,479 35.00% 5/1/13 4/30/21 NNN $2,000 $16.23 5/1/20 $2,100
Available - Rent Guaranty 211 560 13.25% 6/15/19 5/31/21 NNN $887 $19.00
Law Offices of Stephen T. King 221 548 12.97% 12/17/18 12/16/21 NNN $850 $18.61 6/1/20 $875
Miles Yanick and Company 231 1,100 26.03% 4/1/17 3/31/22 NNN $1,591 $17.36 6/1/20 $1,639
TOTALS 4,226 100% $6,176 $17.54
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information.Buyer must verify the information and bears all risk for any inaccuracies.
90-Day Notice
Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.
Comments: Seller to provide a 1-year rent and NNN guaranty if suite remains vacant at closing.
Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.
Comments: Option rent to increase to FMR, not to be less than the rent for the immediately preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends unless 90 prior days notice to terminate is provided.
FMR - See comment90-Day Notice
Annual Inc. > of CPI. or 3%.
CURRENT RENT RENT INCREASES OPTIONSTENANT INFO
1, 3-YrFMR - See commentAnnual Inc. > of CPI. or 3%.
90-Day Notice
LEASE TERMS
1, 3-YrAnnual 3% Increases
1, 5-YrFMR - See comment
2, 2-Yr
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Rent Roll PAGE 19
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Brix Vatten Building
Operating Expenses
REIMBURSEMENTS
TOTAL PER SF NOTES IN-PLACE
TOTAL EXPENSES $20,352 $4.82 $19,929
NOTES:1) Based on 2018 P&L with assumed 3% increase.
2) Based on 2019 Kitsap County Tax Assessment.
3) Based on 5% of EGI.
4) Methodology: $0.10/SF.
$423 $0.10 4RESERVES
$6,487
INSURANCE
PROJECTED OPERATING EXPENSES
$1,790 $1,790 $0.42 1
$7,122
$4,530 $1.07 3 $4,530
$6,487 $1.53
1$7,122 $1.69
2
CAMS
PROPERTY TAXES
MANAGEMENT
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Operating Expenses PAGE 20
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Brix Vatten Building
Reimbursements
TENANT NAME PRO RATA CAMS PROPERTY TAX INSURANCE MGMT TENANT TOTALS
EXPENSE TOTAL $7,122 $6,487 $1,790 $4,530
Foster Financial Services, Inc. 12.75% $908 $827 $228 $578 $2,542
Eye Candy Salon 35.00% $2,492 $2,270 $626 $1,586 $6,975
Available - Rent Guaranty 13.25% $944 $860 $237 $600 $2,641
Law Offices of Stephen T. King 12.97% $924 $841 $232 $587 $2,584
Miles Yanick and Company 26.03% $1,854 $1,688 $466 $1,179 $5,187
TOTAL 100.00% $7,122 $6,487 $1,790 $4,530 $19,929
NOTES:1) Tenants operate on full NNN leases.2) Upside through collection of 3rd Party Management fees permitted per Tenant leases, yet not collected by Seller.
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Reimbursements PAGE 21
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Brix Vatten Building
Income & Expense
PRICE $995,000CAPITALIZATION RATE 6.25%PRICE PER FOOT $265
CASH FLOW SUMMARYSCHEDULED INCOME PER SFBase Rent for the Period of: 11/1/2019 - 10/31/2020 $18.10 $67,926
Rent Increases Over Base Rent $0.23 $849
Operating Expense Reimbursement $6.13 $22,996
Equals: Scheduled Gross Income $24.45 $91,771
Vacancy Factor 5% ($1.22) ($4,589)
Total Effective Gross Income (EGI) $23.23 $87,182
OPERATING EXPENSES PER SFCAMS $2.46 $9,245
Property Taxes $2.35 $8,830
Insurance $0.59 $2,203Management Fee of EGI $1.16 $4,370
Reserves $0.10 $375
Total Operating Expenses $6.67 $25,024
NET OPERATING INCOME $16.56 $62,158
5.0%
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Financial Summary PAGE 22
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Nilsen Building
Rent Roll
LEASE TYPE
TENANT NAME SUITE SIZE % OF SF RENT START LEASE EXPIRATION
MONTHLY BASE RENT RENT/SF/YR DATE OF
INCREASEMONTHLY BASE RENT
Home Connect Real Estate Office 101 1,540 41.03% 7/1/19 6/30/24 NNN $2,310 $18.00 6/1/20 $2,379
iDope 103 1,013 26.99% 11/2/18 10/31/23 NNN $1,600 $18.95 6/1/20 $1,648
White Lotus Yoga 105 1,200 31.97% 1/1/18 2/29/20 NNN $1,750 $17.50 6/1/20 $1,803
TOTALS 3,753 100% $5,660 $18.10
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information.Buyer must verify the information and bears all risk for any inaccuracies.
Annual Inc. > of CPI or 3%
Annual 3% Inc.
Annual Inc. > of CPI or 3%
LEASE TERMSTENANT INFO
Comments: Rent abatement through 11/2019. Option rent to increase to FMR, not to be less than the preceding period. Rent increases annually per CPI, not to be less than 3%. Personal guaranty. Option automatically extends, unless terminated with 90 days notice.
Comments: Personal guaranty. Option automatically extends, unless terminated with 90 days notice.
Comments: Personal guaranty. Option automatically extends, unless terminated with 90 days notice.
CURRENT RENT RENT INCREASES OPTIONS
1, 5-YrFMR > Prior
FMR > Prior90-Day Notice
90-Day Notice1, 1-Yr
FMR > Prior90-Day Notice
1, 3-Yr
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*Building includes an additional 3,600 SF basement, not reflected in the Rent Roll.
Rent Roll PAGE 23
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Nilsen Building
Operating Expenses
REIMBURSEMENTS
TOTAL PER SF NOTES IN-PLACE
TOTAL EXPENSES $25,024 $6.67 $22,996
NOTES:1) Based on Annualized July 2019 Expenses.
2) Based on 2019 Kitsap County Tax Assessment.
3) Based on 5% of EGI.
4) Methodology: $0.10/SF.
MANAGEMENT
1$9,245 $2.46
2
CAMS
PROPERTY TAXES
$4,370 $1.16 3 $4,370
$8,830 $2.35 $8,830
INSURANCE
PROJECTED OPERATING EXPENSES
$2,203 $2,203 $0.59 1
$7,592
$375 $0.10 4RESERVES
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Operating Expenses PAGE 24
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Nilsen Building
Reimbursements
TENANT NAME PRO RATA CAMS PROPERTY TAX INSURANCE MGMT NOTES TENANT TOTALS
EXPENSE TOTAL $9,245 $8,830 $2,203 $4,370
Home Connect Real Estate Office 41.03% $3,794 $3,623 $904 $1,793 1 $10,114
iDope 26.99% $842 $2,383 $595 $1,180 2 $5,000
White Lotus Yoga 31.97% $2,956 $2,823 $705 $1,397 $7,881
TOTAL 100.00% $7,592 $8,830 $2,203 $4,370 $22,996
NOTES:1) NNN is capped at $1,000 monthly; Tenant is not hitting this Cap.2) NNN (including Management) is capped at $5,000 annually.3) Upside through collection of 3rd Party Management fees permitted per Tenant leases, yet not collected by Seller.
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Reimbursements PAGE 25
This information has been secured from sources we believe to be reliable but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.
- Nilsen Building
DAVID [email protected]: 206.693.3349
SEAN [email protected]: 206.693.3352
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