Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
INTRODUCTION
Hi, my name is Michael Simpson,
My entire focus is on your complete satisfaction. In fact, I
work to get the job done so well, you will want to tell your
friends and associates about it. Maybe that's why more than
{AGENT PHOTO}
50% of my business comes from repeat customers and
referrals.
You may also be interested to know that in addition to listing
and selling, I have been teaching other Realtors how to list
and sell for several years (video available). I have taught
hundreds of agents thought-out Southern Ca how to list/sell
and provide great service, as great service speaks for itself. I
look forward to delivering that great service to you!
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
OUR COVERAGE
Keller Williams Realty is the 3rd largest
real estate franchise in the United States
– with more than 77,000 associates, 900
commercial brokers and presence in 690
offices across North America.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
{BUYERS NAME}
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
OUR KW COMMERCIAL
PHILOSOPHY
At KW Commercial, we believe that you
OUR MISSION:
To build careers worth having, businesses worth owning and lives
worth living.
are only as good as the people you are in
business with. That’s why we make it a
OUR VISION:
priority to be in business with the best.
To be the commercial real estate company of choice for a new
generation of real estate agents and owners.
The Keller Williams philosophy of success
through people and of seeking out win-
OUR VALUES:
win partnerships has fueled our
God, Family, then Business
company’s growth to the third-largest real
estate company in the United States.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
OUR BELIEFS
● Win-Win
Or no deal
● Integrity
Do the right thing
● Customers
Always come first
● Commitment
In all things
● Communication
Seek first to understand
● Creativity
Ideas before results
● Teamwork
Together everyone achieves more
● Trust
Starts with honesty
● Success
Results through people
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
WHAT OTHER PEOPLE ARE SAYING ABOUT US
Inc. Magazine
No.1645 of the Fastest Growing Companies in
America, 2007
The Wall Street Journal named Keller
Williams Realty to its elite “Franchise High
Performers” list in 2006, a list of franchises
that are, according to an independent
research group, FRANdata, “well
established, have experienced leadership,
exhibit overall financial health and have a
Selling Power Magazine
Real Estate Sales Organization of the Year,
Stevie Award, 2007
proven record of franchising success.”
Source: StartupJournal.com, the Wall Street
Journal Center for Entrepreneurs
Franchise Times
Top Quartile of Franchise Operations in the
U.S., 2009
Entrepreneur Magazine consistently ranks
Keller Williams Realty as one of the
strongest franchise models in the country.
Entrepreneur Magazine
No. 71 – Franchise 500 List - 2009
No. 54 – Fastest-Growing Franchises - 2009
No. 61 – America’s Top Global Franchises - 2009
Source: Entrepreneur Magazine rankings
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
OUR COMMUNITY OUTREACH
THE KELLER CENTER AT BAYLOR UNIVERSITY
Funded through the vision and generosity of Gary Keller, chairman and
co-founder of Keller Williams Realty in 2007, Baylor University
established the Keller Center for Residential Real Estate Research in
the Hankamer School of Business to study issues affecting real estate
companies, brokers and agents in today’s marketplace.
KW CARES
Established in 2003, KW Cares is a 501(c)(3) public charity
primarily supported by Keller Williams offices across North
America and provides emergency financial assistance to members
of the KW family in need and their immediate families, as well as
outside charitable organizations.
In 2006, in the aftermath of Hurricane Katrina, KW Cares raised
more than $5.3 million in relief to aid Keller Williams associates in
the Gulf States.
In 2007 and 2008, KW Cares supported other charities aligned with the mission and values of
Keller Williams Realty, including: Ryan’s Well Foundation, University of Texas M.D. Anderson
Cancer Center, Memorial Sloan-Kettering Cancer Center, Sidney Kimmel Comprehensive
Cancer Center at Johns Hopkins.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
KELLER WILLIAMS REALTY EXECUTIVE TEAM
Chairman of the Board Gary Keller, Vice Chairman Mo Anderson, CEO Mark Willis and
President/COO Mary Tennant provide strategic direction for Keller Williams Realty. With
more than 100 years combined real estate experience, KW’s executive team strives for
continual growth for the company’s offices, owners, brokers and agents.
BUDDY NORMAN, PRESIDENT, KW COMMERCIAL
Buddy Norman was named president of KW Commercial in 2008. A true leader in
commercial real estate with approximately two decades of experience within the industry,
Norman served in several leadership positions within international commercial firms such
as The Staubach Company and Burnham Real Estate before joining Keller Williams Realty.
He has built new divisions and trained commercial brokers all over the United States –
including Dallas, Atlanta, Washington D.C. and San Diego. A consistent top producer,
Norman has averaged approximately 400,000 square feet per year of commercial leasing
and sales transactions over the last 10 years.
THE KW COMMERCIAL LEADERSHIP COUNCIL (CLC)
KW Commercial, in keeping with the structure and culture of Keller William Realty, has
been built through an “agent-centric” business model. The Commercial Leadership
Council (CLC) is a group of top Keller Williams Realty commercial agents from across the
United States and Canada. The CLC guides the direction, policy and strategy of KW
Commercial and is instrumental in the division’s growth and development.
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
WHO WE ARE
INDUSTRIAL
KW Commercial’s commitment to excellence
OFFICE
has been proven time and time again by the
results that our agents produce for their clients.
INVESTMENT SALES
RETAIL SERVICES
When you engage KW Commercial, you aren’t
simply hiring a broker, you’re hiring an entire
EDUCATION & MUNICIAL SERVICES
company and a network of dedicated
DESIGN, CONSTRUCTION SERVICES
& DEVELOPMENT MANAGEMENT
professionals across North America.
LAND BROKERAGE
MULTI-FAMILY
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
INDUSTRIAL PROPERTIES
Regardless of the industrial space a company
needs, our Industrial Properties associates have
the knowledge and expertise necessary to assist in
a purchase, sale or lease. Industrial real estate
consumers rely on our associates for consultation
on site selection, dock high, clear height and power
requirements, as well as all the other factors
necessary when deciding on an industrial location.
Stephen C Bello 562-961-1600
stephen@stephencbello.com
KW Commercial Lead Director
Specializes in Industrial
Sales/Leasing
Industrial property owners can also rely on KW
Commercial’s network of associates to assist in the
marketing of their industrial property and ensure
the property is sold for the best price as quickly as
possible.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
Stephen C. Bello, Broker Associate
Keller Williams Coastal Properties
6621 E. Pacific Coast Hwy., Ste. 150 • Long Beach CA 90803
(562) 961-1600 • stephen@stephencbello.com
Stephen is a broker with 20+ years of commercial real estate
experience. His experience has given him a clear understanding of
contracts, negotiations, and the power of compromise in delicate
situations. Mr. Bello has extensive experience in the leasing and sales
of commercial properties. During his seventeen-year career including
Matlow-Kennedy/Cushman & Wakefield, and INCO Co., he has
consummated in excess of 625 transactions. Mr. Bello oversaw team
management for the leasing and sales of commercial properties. Aside
from serving his clients, he is committed to serving his community.
He has earned respect from his clients and colleagues, and has
consistent history of successful real estate sales achievement
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
OFFICE PROPERTIES
Finding the right office space entails many
considerations and complications beyond simply
finding the right location. Office tenant
representation demands knowledge of local market
conditions and trends, as well as a keen set of
negotiating skills to successfully structure a client’s
lease document. Tracking rents, rent concessions,
operating expense pass throughs, changes in
technology and other factors are part of what our
KW Commercial Office Property associates are
dedicated to knowing. Commercial landlords can
also rely on our associates to have intimate
knowledge of the local office market and existing
tenant base in order to successfully lease office
projects at the highest rental structure possible.
“The BEST Team and Michael Simpson were
hardworking, knowledgeable, through-out this
entire process. They made me feel as though
he would do whatever was necessary to
complete my request. For all future
commercial transactions, I would hope to use
The BEST Team and Michael Simpson - Larry
Stephens, Brylaw Accounting Firm, Inc.”
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
“I have worked with Michael Simpson and
INVESTMENT SALES
satisfied with their services that I called on
his team for years, they have assisted with
several REO properties for our bank. I am so
him for a personal transaction and had them
sell my father’s multi family property in Los
Representing buyers and sellers of investment real
Angeles.” Elvia Jaramillo, First Bank and Trust
estate requires local market knowledge, knowledge
of financing instruments and capital markets both
domestically and abroad. KW Commercial’s
Investment Properties associates keep abreast of
the latest trends and fluctuations in equity and debt
markets, as well as local and national cap rates.
Our vast network of international, private and
institutional investors allows us to match our clients
with the right investment opportunity, and maximize
return on the investment.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
RETAIL SERVICES
For our retail user and developer clients, the
advantages of partnering with a KW Commercial
Retail Properties associate are significant. Whether
leasing a retail strip center or finding a new facility
for a restaurant customer; location, speed to
market and economic performance are as
important to us as they are to our clients.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
NONPROFIT & MUNICIPAL
SERVICES
Nonprofit organizations, school systems and
Stephen C Bello 562-961-1600
stephen@stephencbello.com
KW Commercial Lead Director Specializes
in Industrial Sales/Leasing/NonProfit &
Municipal Services
government agencies have unique real estate
requirements, and our KW Commercial associates
understand how to best serve these organizations.
We understand the unique budget constraints and
the multiple stakeholder environment in which they
operate. Portfolio assessment, real estate strategy,
financing and project management are critical to
our education and municipal clients, and we deliver.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
DESIGN, CONSTRUCTION
SERVICES & DEVELOPMENT
MANAGEMENT
Building on time and on budget are two passions of
our KW Commercial Construction and
Development Management associates. To ensure
the best outcome for our clients, KW Commercial
has an extensive network of experienced
construction professionals who provide effective
leadership, sharp attention to detail and a valued
partnership.
KW Commercial also has broad-based strategic
alliances with fee developers capable of overseeing
and managing any type of real estate development.
Our partners, who are established in local markets
across the United States and Canada, can guide
our clients through governmental
approvals for both small and large development
projects.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
LAND BROKERAGE
“Each and everyone of The BEST Team is
great. We are looking forward to finding
the next property or project and working
with ROCK!" – Steven Moraldo
Moraldo Inc. “
KW Commercial associates specializing in land
brokerage and assemblage possess an exceptional
understanding of the complex factors that influence the
land brokerage transaction and have the extensive
experience and contacts to get the deal done right.
Our associates provide solutions based on constantly
evolving factors such as zoning and regulatory issues,
demographic and traffic patterns, and overall political
and economic trends. Expanding on the fundamentals
of land brokerage, our associates ensure that the
client’s unique business considerations are addressed
and that the negotiation process is a win-win. Working
in coordination with our other specialties, our land
brokerage services offer a solid and well-rounded
approach to land acquisition and disposition.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
MULTI-FAMILY HOUSING
No one has taken more time to advertise and show my property
More than The BEST Team and Michael Simpson. I appreciate
The BEST Team and Michael Simpson efforts and their
exceptional service. I would recommend them to my friends and
business associates." Phyllis McGreevey, Esq.
KW Commercial associates provide multi-family
owners and investors with market knowledge,
research, financing and analysis of market trends in
vacancy, rent escalations, comparable cap rates
and buyer trends. Our associates have expertise in
sales, acquisition, development, finance and
valuation, which extends to conventional apartment
properties, condo development and conversions,
student housing and residential income
development land.
Whether you are selling a single asset or a national
portfolio, our associates provide you with
unparalleled market information and will achieve
the highest level of results. If expanding your
portfolio is the objective, our local experts can help
you identify and acquire properties which meet or
exceed your investment goals. And it doesn’t stop
there. Whether the next steps are finding the right
property management company, providing current
rental and vacancy data, assessing local rent
control issues or assisting with tenant leasing, our
associates continue to be a valued resource.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
EXTENDED MARKETING RESEARCH
We will market your commercial property 24/7 through the most popular Commercial real estate Websites on the Web.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
MARKETING
Here are just a few of the services we use to
market your property.
Web Sites
www.loopnet.comp as premium Members we will
expose your property to 1.5 Million average
monthly unique visitors.
35 million page views per month.
Over 4 million members on LoopNet.
Popular Commercial Web Site
Links for Lending and Appraiser Services
News feeds, e-mail’s “matched new listings”
Property Line www.propertyline.com
Market your property to both local and national
databases with proven tools.
Emarket email digital brochures directly to the
inboxes of up to 200,000 Commercial Real
Estate Professionals.
Costar www.Costar.com
We will input your property to Costar and expose your property to
one of the Internet's most qualified audiences of professionals searching
commercial properties for sale or lease. Reach the industry's top
dealmakers for free Showcase your listings and get priority placement on
Google.
The Smith Guide, Inc. www.smithguide.com
Real-time commercial (mostly industrial) real estate
listing service
REI Wise
www.reiWise.com
Great Tool to generate analysis and Superior
Marketing packages
Email digital brochures to over 75,000 real
estate brokers through KW Commercial’s
platform
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
Networking
Realty Investment Association of California (RIAOC)
Meetings are held at several locations in Southern
California - as often as weekly, depending on location.
Long Beach Commercial Real
Estate Council
www.lbcrec.com
We will be networking and marketing
your property to several commercial
brokers locally listing and selling
primarily in Long Beach.
We will be Networking and distributing hundreds of
marketing packages to members and visitors every week.
Packages contain detailed information on your property.
We will also advertise your property in the weekly Gold
Sheet. About 1,000 real estate associates from all over
Southern California, Los Angeles and Orange County
www.kwcommercial.intranets.com
International networking, tools, discussions etc.
www.SocalProperties.com
www.Facebook.com/SoCalCommercial
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
BUDDY NORMAN
President, KW Commercial
Keller Williams Realty International
BACKGROUND - EDUCATION
2006 - 2007
1990 - 1995
Burnham Real Estate, Managing Director/Principal
Merrill Lynch, Financial Consultant
1997 - 2005
1986 - 1990
Staubach Company, Co-Founding Principal – San Diego
The Staubach Company of Dallas, Atlanta, &
Washington D.C., Vice President
1995 - 1997
1985
Paine Webber, Financial Consultant
Bachelor Of Business Administration, Baylor University
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
SUMMARY:
Buddy Norman, President of KW Commercial, joined
BUDDY NORMAN cont.
Keller Williams Realty in 2008 to lead the development
and growth of the company’s new commercial division.
REPRESENTATIVE CLIENTS:
Buddy is a proven leader of character and integrity, and
demands excellence as a standard. With two decades of
• Fair Isaac Corporation
commercial real estate experience, Buddy has a proven
• Intuit, Inc.
record of building commercial brokerage teams across
• Iomega Corporation
the United States.
• Computer Sciences Corporation
• Qualcomm, Inc.
While attending Baylor, he founded “Baylor Buddies”, a
• Nextel Communications
nonprofit organization that matches Baylor students with
Waco’s underprivileged children in a mentoring program.
“Baylor Buddies” is still an active program today. Buddy,
his wife and three children live in New Braunfels, Texas.
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Michael Simpson & The BEST Team
Broker /Owner
“Helping You Move From Dreaming To Doing”
FAIR ISSAC & COMPANY
Location: San Diego, California
Size: 130,000 SF
SERVICES PROVIDED:
● Relocation Services
● Lease Negotiations
● Tenant Improvement Management
* Transaction completed before joining KW Commercial
Michael Simpson • 562-961-1403 • Michael@Socalproperties.com • www.socalproperties.com
Income Property Analysis
1525 Pine Avenue, Long Beach, CA
Presented By: Michael Simpson
KW Commercial – Coastal Properties
Long Beach CA
RENT COMPARABLE SURVEY
I General Information
a. Addres s
b. Nam e
c. No. of Units
d. Age of Building
e. No. of Stories
II Exterior
a. Building Exterior
b. Neighborhood
c. Lands caping
d. Parking Surfaces
e. No. of Carports /Garages
f. No. Balconies /Patios
g. General Cleanlines s
III Interior
a. Refrigerator
b. Dis hwas her
c. Stove
d. Dis pos al
e. Sm oke Detectors
f. General Cleanlines s
IV Amenities
a. Pool
b. Other
V Clim ate Control
a. Heat (G/E)
b. Air Cond. (Central/Room )
VI Utilities
a. Sep. Meter (gas /elect.)
b. Mas ter Meter (gas /elect.)
c. Water (tenant/landlord)
VII Tenants
a. Tenant Rating
b. Pets (Y/N)
VIII Rent
a. Bachelor Rent
Rating
b. Single Rent
Rating
c. 1 Bed. Rent
Rating
d. 2 Bed. Rent
Rating
e. ____ Bed. Rent
Rating
IX Overall Occupancy %
Subject
Rent Comp A
Rent Comp B
Rent Comp C
1525 Pine
Mel Alm
32
38
3
3
3
3
3
3
16
16
3
3
4500 E. 7th
Fox Glen
21
45
2
3
3
3
3
3
14
0
3
3
1133 Pine
French Qtr
20
39
2
3
3
3
3
3
0
0
3
3
2420 E. 5th St.
Riviera
28
32
2
3
3
3
3
3
28
14
3
3
Y
Y
Y
3
Y
Y
Y
3
Y
Y
Y
3
Y
Y
Y
3
Y
Y
Y
Y
E
E
E
E
E
E
E
E
ALL
ALL
ALL
ALL
L
L
L
L
3
N
3
N
3
N
3
N
750
550
725
625
875
675
975
96
98
97
98
4500 E.
th
7
Street
1133 Pine Ave.
2420 E. 5th Street
Recent Sale Information
3595 Elm Avenue
Address:
City:
State:
Parcel No.:
Thomas Guide No.:
Rental Policy:
Utilities:
Year Built:
Ammenities:
Price:
Down Payment:
% Down Payment:
Cost Per Unit:
Number Of Units:
GRM:
Date Sold:
No. of Buildings:
3595 Elm Ave.
Long Beach
CA
7145-006-033
765-E/7
Monthly, No Pets
Water
1961
Laundry
1525000
747250
49
63541.66
24
6.72
2/22/2002
1
Selling Terms and General Information:
Scheduled Income
# Units
# Bed/Bath
24
New 1st, 49 % down
Mo. Rental
18911.25
3595 Elm Avenue
Recent Sale Information
5149 E. Anaheim Road
Address:
City:
State:
Parcel No.:
Thomas Guide No.:
Rental Policy:
Utilities:
Year Built:
Ammenities:
5149 E. Anaheim Road
Long Beach
CA
7240-010-001,002
796-B/5
Monthly, No Pets
Water
1950
Laundry
Price:
Down Payment:
% Down Payment:
Cost Per Unit:
Number Of Units:
GRM:
Date Sold:
No. of Buildings:
$1,957,680.00
$480,180.00
25
$54,380.00
36
6.79
3/21/2002
2
Selling Terms and General Information:
Scheduled Income
# Units
# Bed/Bath
36
New 1st, 25% DOWN
Mo. Rental
$241,010.00
5149 E. Anahiem Road
Recent Sale Information
833 Cherry Ave.
Address:
City:
State:
Parcel No.:
Thomas Guide No.:
Rental Policy:
Utilities:
Year Built:
Ammenities:
Price:
Down Payment:
% Down Payment:
Cost Per Unit:
Number Of Units:
GRM:
Date Sold:
No. of Buildings:
833 Cherry Avenue
Long Beach
CA
7267-015-017
795-G/6
Monthly, No Pets
Water
1963
Laundry, Pool, Jacuzzi
$1,700,000.00
$475,000.00
28
$47,222.00
36
8.01
1/2/2002
1
Selling Terms and General Information:
Scheduled Income
# Units
# Bed/Bath
36
New 1st, 28% down
Mo. Rental
$17,708.00
833 Cherry Avenue
Recent Sales Multi-Residential
#
Unit
36
36
24
Property Address
833 Cherry
5149 E. Anaheim Rd.
3595 Elm
Age
39
47
41
GRM Cst./Sq. Ft.
8.01 $78.46
6.79 $67.28
6.72 $72.00
AVERAGE
42 32 7.17 $75.28
Cst./Unit
$47,222
$54,380
$63,541
$55,048
Date/Sale Price
1/2/2002 $1,700,000.00
3/21/2002 $1,957,680.00
2/22/2002 $1,525,000.00
Down
28%
25%
49%
Terms
New 1st
New 1st
New 1st
Map for Recent Sales
Map for Rent Comps
Buyer R.O.I. ANALYSIS
Assumptions
Current Rents
25% down
GRM
CAP
PRICE
DOWN PAYMENT
FIRST T.D.
INT./AMORT.
8.01
8.10%
$1,950,000.00
$487,500.00
$1,462,500.00
7.5% /30 years
SECOND T.D
INT./YRS.
S.G.I.
VACANCY
G.O.I.
EXPENSES
N.O.I.
$243,456.00
$12,173.00
$231,283.00
$73,037.00
$158,246.00
DEBT SERVICE FIRST
DEBT. COV. Ratio
$122,712.00
1.29
SECOND
TOTAL
DEBT. COV. RATIO
CASH FLOW
122,712.00
1.29
$35,534.00
(PRE TAX)
% RETURN
7.30%
Seller’s Net Proceeds
CASH GENERATED FROM SALE
New Loan Balance
Existing Loan Balance
Net Loan Funds Generated
Interest In Advance at Close of Escrow
Cash Down Payment
Other ___________
TOTAL CASH GENERATED FROM SALE
$1,462,500.00
$509,106.00
$953,394.00
$487,500.00
$1,440,894.00
EXPENSE OF SALE
Title Policy
Escrow Fee
Commission
Other
$4,875.00
$2,969.00
$117,000.00
TOTAL EXPENSE OF SALE
NET CASH TO SELLER
NOTES RECEIVABLE
TOTAL INTEREST RECEIVED FROM NOTE
TOTAL NET PROCEEDS TO SELLER (NOT INCLUDING NOTE INTEREST)
$124,844.00
$1,316,050.00
$1,316,050.00
Seller’s Current Annual
Operating Return
SCHEDULED GROSS INCOME
LESS VACANCY RESERVE
GROSS OPERATING INCOME
LESS EXPENSES
NET OPERATING INCOME
LESS DEBT SERVICE
PRE-TAX CASH FLOW
TAX (PAYABLE) RECEIVABLE
AFTER TAX CASH FLOW
EQUITY BUILD-UP (PRINCIPAL REDUCTION)
TOTAL AFTER TAX RETURN
Income (G.O.I)
Interest (Loans)
Expenses
Depreciation
Taxable Income (Loss)
Tax Brackett Assumed %
Tax (Payable) Receivable
$231,283.00
$33,724.00
$73,037.00
$29,091.00
$95,431.00
33
-$31,492.00
$243,456.00
$12,173.00
$231,283.00
$73,037.00
$158,246.00
$53,772.00
$104,474.00
-$31,492.00
$72,982.00
$20,048.00
$93,030.00
Recommended Price & Terms of SALE
PRICE:
$1,950,000.00
DOWN PAYMENT:
$487,500.00
TERMS:
25% down
Seller’s Rates of Return on Net
Equity
PRICE
$1,950,000.00
EQUITY (net of selling expense)
$1,316,050.00
Amount
Type
$104,474.00
PRE-TAX CASH FLOW
7.94 %
$72,982.00
AFTER TAX CASH FLOW
5.55 %
$20,048.00
EQUITY BUILD-UP
(Principal Reduction)
1.52 %
$93,030.00
TOTAL AFTER-TAX RETURN (R.O.E)
7.07 %
Rates of Return