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OM Example 3

  1. 1. MEDFORD/GOLD HILL KOA RV PARK A 100- S I T E R V PA R K I N C E N T RA L P O I N T, O R
  2. 2. C O N F I D E N T I A L I T Y & D I S C L A I M E R The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap Real Estate Investment Services, Inc. and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, 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 & 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, PCB’s 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 tenant’s 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 & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever 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 & Millichap is a service mark of “Marcus & Millichap Real Estate Investment Services, Inc. © 2020 Marcus & Millichap. All rights reserved. N O N - E N D O R S E M E N T N O T I C E Marcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT LISTING AGENT FOR MORE DETAILS. S P E C I A L C O V I D - 1 9 N O T I C E 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 & Millichap has not been retained to perform, and cannot conduct, due diligence on behalf of any prospective purchaser. Marcus & Millichap’s principal expertise is in marketing investment properties and acting as intermediaries between buyers and sellers. Marcus & 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 property’s 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.) Activity ID: ZAB0380463
  3. 3. TABLE OF CONTENTS FINANCIAL SUMMARY 04 MARKET OVERVIEW 05 EXECUTIVE SUMMARY 01 PROPERTY OVERVIEW 02 MARKET COMPARABLES 03 JEFF BENSON Senior Vice President Investments Director, National Multi Housing Group Direct | 310.909.5420 jeff.benson@marcusmillichap.com License: CA 01327285 SAM NEUMARK Investment Sales Associate Direct | 310.909.5433 samuel.neumark@marcusmillichap.com License: CA 02090800 ADAM LEWIS Regional Manager, Oregon License: OR 201209561 Firm License: 200709023
  4. 4. 01 EXECUTIVE SUMMARY INVESTMENT OVERVIEW INVESTMENT HIGHLIGHTS OFFERING SUMMARY
  5. 5. 6 Marcus & Millichap is pleased to present the opportunity to acquire Medford/Gold Hill KOA RV Park, located at 12297 Blackwell Rd in Central Point, Oregon. The park sits on two parcels, totaling 16.22 acres and is on well and private septic services. The property includes amenities such as a clubhouse, onsite laundry room, pool, basketball court, and bathrooms/showers. The park has a total of 100 sites, which are broken out as follows: 64 full hookup sites 20 Sites with water & electric hookups 4 one-room camping cabins 9 tent sites 2 mobile homes 1 apartment Additional information regarding the site breakouts are included within the property overview section. Based on the financial summary, an investor could expect to purchase the property at a 9.02% going- in cap rate, which is based on historical actuals at a 50.41% expense ratio. There is additional acreage that comes with the property, providing an opportunity for a future owner to potentially expand the park. With a high in-place, year-round cash flow, coupled with recent increased demand for RV parks, this offering presents significant upside to a potential investor. **Based on the existing septic permit and updated county/city guidelines, the park is limited in the number of monthly sites allowed. We encourage buyers to investigate further during due diligence. MEDFORD/GOLD HILL KOA RV PARK I N V E S T M E N T O V E R V I E W • • • • • •
  6. 6. 7
  7. 7. 8 I N V E S T M E N T H I G H L I G H T S
  8. 8. 9 MEDFORD/GOLD HILL KOA MOBILE HOME PARK STRONG CASH FLOW AND MARKET GROWTH OPPORTUNITY • 9.02% going-in cap rate • Potential expansion opportunity (buyer shall determine feasibility during due diligence period) WELL MAINTAINED KOA RV PARKS WITH AMENITIES • Amenities include: clubhouse with media center, onsite laundry room, pool, basketball court, full hookup sites, wifi, cable, bathroom/showers • Mix of daily, weekly, and monthly sites WELL LOCATED • 11 Miles from Rogue Valley International- Medford Airport • Only half a mile from the I-5, located between Medford and Grants Pass • Median home value of $309,000, an increase of 8.4% in 2020 • Close to Ashland’s Shakespeare Festival Britt Music Festival, river rafting and jet boating on the Rouge River
  9. 9. 10 O F F E R I N G S U M M A R Y $ $4,200,000 12297 BLACKWELL RD CENTRAL POINT, OR 97502 9.02% CAP RATE
  10. 10. 11
  11. 11. 12 I N T H E N E W S “RVing has long been a popular travel option, but as the coronavirus pandemic led to border shutdowns around the world, many Americans have turned to old- fashioned domestic road travel to satiate their cabin fever.” bit.ly/3pmpd8Q Despite COVID-19 causing economic uncertainty across all industries, RV parks have proven to be able to withstand the travel complications. Americans have turned to the pastime of road tripping in RVs as travel options became limited, and RV dealers, manufacturers, and rental companies are reporting spikes in sales. Here are a few notable articles highlighting the strengths of the RV industry. RV PARKS IN THE NEWS
  12. 12. 13 “...the RV market is showing signs of resiliency despite a beleaguered economy and sky-high unemployment rates.” “Dealers report strong demand for RV rentals and sales as would-be travelers look for options that minimize the risk of catching the virus.” bit.ly/3eO9gU5 “The coronavirus pandemic appears to be sparking another boom in the industry as travelers concerned about the risks of flying are packing their families into RVs and seeking out campgrounds around the country.” cnb.cx/2JW3HaB
  13. 13. 02 PROPERTY OVERVIEW PROPERTY DESCRIPTION PROPERTY PHOTOS STRATEGIC VALUE-ADD
  14. 14. 16 P R O P E R T Y D E S C R I P T I O N
  15. 15. 17 MEDFORD/GOLD HILL KOA RV PARK Address 12297 Blackwell Rd Central Point, OR 97502 APN 1-0166444 & 1-0166436 Sites 100 Total Acreage 16.22 County Jackson Type of Park All Age Amenities Clubhouse, Pool, Basketball Court, Horseshoes, Pool Table WiFi, Bathroom/Showers, Laundry, Cable Utilities Water Private Well Septic Private System Electricity Passed Through To Permanent Tenants SITE BREAKDOWN Full Hookup Sites* 64 Sites With Water & Electric Hookups 20 One-Room Camping Cabins 4 Tent Sites 9 Mobile Homes** 2 Apartment*** 1 44 of these sites were designated as monthly sites. 20 of these were used for overnight guests for four months during summertime when demand is high. The remaining RV, Cabin and Tent sites are designated to overnight. Buyer should expect to transition all monthly sites into weekly/nightly sites due to septic compliance issues. Currently occupied by the ownership, but will be vacated upon sale of the property Currently being rented out monthly * ** ***
  16. 16. 18
  17. 17. 19
  18. 18. 20 S T R A T E G I C V A L U E - A D D
  19. 19. 21 POTENTIAL UPGRADES TO COMMON AREAS CLUBHOUSE LAUNDRY ROOM POOL AREA PLAYGROUND DOG PARK
  20. 20. 03 MARKET COMPARABLES RENT COMPARABLES SALES COMPARABLES
  21. 21. 24 R E N T C O M P A R A B L E S $43 AVERAGE DAILY | $623 AVERAGE MONTHLY PROPERTY DAILY WEEKLY MONTHLY AMENITIES DISTANCE MEDFORD/GOLD HILL KOA 12297 Blackwell Rd Central Point, OR 97502 $46 $460 Clubhouse, Pool, Basketball Court, Horseshoes, Pool table, WIFI, Bathroom/Showers, Laundry, Cable, Full Hookup 1 11 Peninger St Central Point, OR 97502 $49 Clubhouse, Pool, WIFI, Bathroom/ Showers, Laundry Room, Dog Run, Full Hookup 6.83 mi 2 1700 NW 6th St Grants Pass, OR 97526 $37 $425 Clubhouse, Pool, WIFI, Bathroom/ Showers, Laundry Room, Full Hookup 14.76 mi 3 201 N Phoenix Rd Phoenix, OR 97535 $49 $295 $800 Clubhouse, Pool, WIFI, Bathroom/ Showers, Laundry Room, Cable, Full Hookup 14.94 mi 4 7049 OR-140 Eagle Point, OR 97524 $35 $550 Clubhouse, Pool, WIFI, Bathroom/ Showers, Laundry Room, Full Hookup 15.53 mi 5 405 W Valley View Rd Talent, OR 97540 $715 Full Hookup 18.2 mi
  22. 22. 25 1 2 3 4 5
  23. 23. 26 S A L E S C O M P A R A B L E S $41,077 AVERAGE PRICE PER SITE PROPERTY SITES SALES PRICE PRICE/ SITE SALE DATE AMENITIES DISTANCE MEDFORD/GOLD HILL KOA 12297 Blackwell Rd Central Point, OR 97502 100 $4,200,000 $42,000 Clubhouse, Pool, Basketball Court, Horseshoes, Pool table, WIFI, Bathroom/Showers, Laundry, Cable, Full Hookup 1 16011 Lower Harbor Rd Harbor, OR 97415 109 $4,825,000 $44,266 1/21/21 Bathroom/Showers, Laundry Facilities, Cable, Wifi, Full Hookup, Convinience Store, Storage 68.19 mi 2 187 N Old Pacific Hwy Myrtle Creek, OR 97457 70 $2,720,000 $39,830 12/21/20 Bathroom/Showers, Laundry Facilities, Cable, Wifi, Full Hookup, Convinience Store, Storage 41.12 mi 3 935 2nd St SE Bandon, OR 97411 45 $1,600,000 $35,556 5/12/20 Clubhouse, Bathroom/Showers, Laundry Facilities, Cable, Wifi, Full Hookup 84.39 mi 4 17600 Ocean Blvd Rockaway Beach, OR 97136 106 $4,200,000 $38,857 4/16/19 Bathrooms/Shower, Wifi, Full Hookup 223.52 mi 5 305 NE Burnside Ave Bend, OR 97701 32 $1,500,000 $46,875 5/31/18 Bathroom/Showers, Laumdry Facilites, Wifi, Full Hookup 142.64 mi
  24. 24. 27 2 1 3 4 5
  25. 25. 04 FINANCIAL SUMMARY MONTH-TO-MONTH REGISTRATION PRICING ANALYSIS
  26. 26. 30 M O N T H - T O - M O N T H R E G I S T R A T I O N MEDFORD/GOLD HILL KOA RV PARK TOTAL REGISTRATION BY MONTH J A N 2 0 2 0 F E B 2 0 2 0 M A R 2 0 2 0 A P R 2 0 2 0 M AY 2 0 2 0 J U N 2 0 2 0 J U L 2 0 2 0 A U G 2 0 2 0 S E P 2 0 2 0 O C T 2 0 2 0 N O V 2 0 2 0 D E C 2 0 2 0 0 $ 1 0 , 0 0 0 $ 2 0 , 0 0 0 $ 3 0 , 0 0 0 $ 4 0 , 0 0 0 $ 5 0 , 0 0 0 $ 6 0 , 0 0 0 $ 7 0 , 0 0 0 $ 8 0 , 0 0 0 $ 9 0 , 0 0 0 $ 1 0 0 , 0 0 0 TRAILING 12 MONTHS
  27. 27. 31 P R I C I N G A N A L Y S I S INCOME CURRENT Gross Scheduled Rent $711,263 Laundry $2,585 Store $26,134 Propane $17,732 Other Income $6,055 EFFECTIVE GROSS INCOME $763,769 EXPENSES CURRENT Real Estate Taxes $15,790 Administrative $5,988 Advertising $1,862 Bank Charge $75 Business Licenses $3,728 Credit Card Settelment $14,891 Dues & Subs $841 Entertainment $133 Garbage $7,110 Insurance $8,203 Office & Cleaning Supplies $2,802 Payroll Expenses $76,178 Propane For Sale $10,678 Misc Repairs $4,931 Pool $1,393 Rental Equipment $74 Supplies $16,642 Septic & Water $3,121 Store Purchases $17,868 Charter Internet $1,320 Electric $61,453 Phone $4,355 Propane $1,663 Satellite T.V $8,311 VKRC Campground Expense $805 KOA Royalty $72,081 Management Fee (6%)* $42,676 Work Kamper Campground Expense $42 TOTAL EXPENSES $385,013 Per Site $3,850 Percent of EGI 50.41% NET OPERATING INCOME $378,757 PRICE $4,200,000 CAP RATE 9.02% TYPE OF OWNERSHIP Fee Simple • Property is running at a 70% occupancy rate based on trailing 12 month actuals • M&M added based on industry standards FINANCIAL ASSUMPTIONS
  28. 28. 05 MARKET OVERVIEW LOCATION OVERVIEW DEMOGRAPHICS THE NEIGHBORHOOD MAJOR EMPLOYERS
  29. 29. 34 Located less than 30 miles from the heart of Medford, Grants Pass, and Ashland, Medford/Gold Hill KOA RV Park is conveniently located less than a half mile off the I-5. The town is well situated for the enjoyment of both the city and the outdoors. Although Central Point is located close to Medford’s MSA, the town is able to keep the “small town” feel and is a wonderful place for residents and visitors alike. World famous for Rouge Creamery and Lillie Belle Farms Artisan Chocolates, Central Point offers a unique get away for its guests. The scenic Rouge River, The Pacific Crest Trail, and numerous mountains, lakes and wilderness area provide great outdoor activities like hiking, biking, swimming, skiing, fishing, rafting. Cultural events like the nationally acclaimed Oregon Shakespeare Festival (which brings in hundreds of thousands of people a year), and a variety of events that are held Jackson County Expo and Bi- Mart Amphitheater. CENTRAL POINT, OREGON L O C A T I O N O V E R V I E W
  30. 30. 35 258,104 TOTAL POPULATION WITHIN 20-MILE RADIUS 48.79% MALE 51.21% FEMALE $54,211 AVERAGE HOUSEHOLD INCOME WITHIN 20-MILE RADIUS $307,759 AVERAGE HOUSING VALUE 105,390 TOTAL HOUSEHOLDS IN 20-MILE RADIUS 28.15% FROM 2000 CENTRAL POINT BY THE NUMBERS
  31. 31. 36 D E M O G R A P H I C S
  32. 32. 37 CENTRAL POINT POPULATION & HOUSING POPULATION 5 MILES 10 MILES 20 MILES 2000 Population Total Population 5,853 47,077 208,719 2010 Population Total Population 5,877 54,812 235,899 2020 Estimate Total Population 6,322 60,160 258,104 2025 Projection Total Population 6,511 62,647 267,959 Daytime Population 2020 Estimate 4,213 63,959 251,031 HOUSEHOLDS BY INCOME 5 MILES 10 MILES 20 MILES 2020 Estimate Under $14,999 9.7% 10.0% 11.8% $15,000 - $24,999 12.1% 10.3% 11.0% $25,000 - $34,999 10.4% 10.1% 10.3% $35,000 - $49,999 10.6% 12.2% 13.0% $50,000 - $74,999 24.4% 23.9% 22.3% $75,000 - $99,999 14.2% 14.4% 13.2% $100,000 - $124,999 7.4% 8.2% 7.4% $125,000 - $149,999 4.9% 4.4% 4.2% $150,000 - $199,999 4.0% 3.4% 3.5% $200,000 - $249,999 0.9% 1.3% 1.5% $250,000 + 1.4% 1.8% 2.0% Median Household Income $57,690 $57,447 $54,211 Per Capita Income $29,880 $29,421 $29,199 Average Household Income $69,261 $71,693 $70,891 HOUSEHOLDS 5 MILES 10 MILES 20 MILES 2000 Households Total Population 2,349 18,232 82,238 2010 Households Total Population 2,492 22,038 95,445 2020 Estimate Total Population 2,724 24,561 105,390 2025 Projection Total Population 2,830 25,802 110,376 HOUSING UNITS 5 MILES 10 MILES 20 MILES Occupied Units 2020 Estimate Owner Occupied 77.8% 67.9% 63.7% Renter Occupied 22.2% 32.2% 36.3% Vacant 5.0% 4.8% 5.9%
  33. 33. 38 T H E N E I G H B O R H O O D GRANTS PASS ASHLAND
  34. 34. 39 MEDFORD/GOLD HILL KOA ROGUE VALLEY INTERNATIONAL- MEDRFORD AIRPORT GRANTS PASS ASHLAND JACKSON COUNTY EXPO & BI-MART AMPHITHEATER
  35. 35. 40 M A J O R E M P L O Y E R S 2 3 4 5 1
  36. 36. 41 CENTRAL POINT AREA (MEDFORD) MAJOR EMPLOYERS ASANTE ROGUE REGIONAL MEDICAL CENTER 1 HARRY AND DAVID 2 JACKSON COUNTY 3 PROVIDENCE MEDICAL CENTER 4 PACIFIC RETIREMENT SERVICES 5
  37. 37. MEDFORD/GOLD HILL KOA RV PARK ADAM LEWIS Regional Manager, Oregon License: OR 201209561 Firm License: 200709023 JEFF BENSON Senior Vice President Investments Director, National Multi Housing Group Direct | 310.909.5420 jeff.benson@marcusmillichap.com License: CA 01327285 SAM NEUMARK Investment Sales Associate Direct | 310.909.5433 samuel.neumark@marcusmillichap.com License: CA 02090800

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