© 2018 Greysteel

1308 Gallaudet1308 Gallaudet Street NE | Washington, D.C.

OFFERING MEMORANDUM

Rapidly Developing SubmarketThe Property is located in the rapidly-developing Ivy City neighborhood. Hecht Warehouse was the catalyst for this development; redevelopment of the Crummell School is expected to begin soon, eventually delivering several hundred thousand square feet of residential and commercial space.

Self-Contained UnitsEach unit is individually metered for electricity and natural gas. With individual heating, cooling, and domestic hot water systems, the owner’s only utility responsibility is water/sewer.

Renovated Unit InteriorsMany of the units have been modernized including upgrades to kitchen and bathroom interiors. However, there is still room for the investor seeking opportunity to add their own value.

Hot SubmarketTake this opportunity to acquire a multifamily property in Ivy City, a sought-after neighborhood located between the rapidly developing Union Market, Trinidad, and Rhode Island Avenue Corridor submarkets.

THE HECHT WAREHOUSE AT IVY CITY (0.2 MILES)

© 2018 GreysteelLOCAL RETAIL MAP

NOMA-GALLAUDET U NEW YORK AVE METRO STATION

MCKINLEY TECHNOLOGY HIGH SCHOOL

LANGLEY ELEMENTARY

SCHOOLHARRY THOMAS

RECREATION CENTER

RHODE ISLAND ROW

KIPP DC WEBB CAMPUS

DC STREETCAR

BUS LINE D8

HECHINGER MALL

RHODE ISLAND AVENUE METRO STATION

UNION STATION METRO STATION

1308 GALLAUDET

H S

TREE

T N

E

BLADENSBURG ROAD NE

FLO

RIDA

AVE

NUE

NE

N. CAPITOL STREET NE

RHOD

E ISLAND

AVENUE N

E

NEW

YORK AVEN

UE NE

1

50

NEWCITYDC

CRUMMELL SCHOOL

REDEVELOPMENT

FLATS AT ATLAS

© 2018 Greysteel

AREA MAP

16 Kenilworth Park & Aquatic Gardens

17 National Mall

18 Nationals Park

19 United States National Arboretum

20 Walter E. Washington Convention Center

SHOPPING & RESTAURANTS 21 14th & U Street Retail

22 Barracks Row

23 CityCenterDC

24 DCUSA

25 Eastern Market

26 H Street Corridor

27 Rhode Island Avenue Shopping Center

28 Rhode Island Row

29 Shops at Dakota Crossing

30 The Hecht Warehouse at Ivy City

31 Union Market

TRANSIT32 Union Station

DEVELOPMENTS 1 Hill East Development

2 McMillan Sand Filtration Site

3 NewCityDC

4 RFK Stadium Redevelopment

5 The Yards

EDUCATION6 Gallaudet University

7 Howard University

8 The Catholic University of America

9 Trinity Washington University

GOVERNMENT10 United States Capitol

HEALTH SERVICES11 Children’s National Hospital

12 Howard University Hospital

13 MedStar Health Washington Medical Center

PARKS & RECREATION14 Capital One Arena

15 Echostage

1

7

11

1215

21

13

16

22

14

17

23

18

24

4

25

19

26

20

2728

32

29

30

31

2

8

3

9

5

10

6

1308 GALLAUDET

1-MILE2-MILE3-MILE

295

1

50

1

ALT

695

395

66

© 2018 Greysteel

1308 Gallaudet1308 Gallaudet Street NE | Washington, D.C. 20002

Property Details

78WALK SCORE (Very Walkable)

64TRANSIT SCORE

(Good Transit)

53BIKE SCORE

(Bikeable)

UNIT MIX

Unit Type No. of Units

Avg SF

Effective Rent/Unit

Market Rent/Unit

1 BDR 4 700 $1,275 $1,449

Totals/Wtd. Averages

4 700 $1,275 $1,449

Stories 2

Units 4

Building 1

Year Built 1942

UTILITY SERVICE

POWER SOURCE

PAID BY

SERVICE PROVIDER

Heat Electric Resident Pepco

Cooking Electric Resident Pepco

Hot Water Electric Resident Pepco

Air Conditioning Electric Resident Pepco

Lights and Plugs Electric Resident Pepco

Water/Sewer - Property DC Water

TAXES

TAX YEAR

TOTAL ASSESSED VALUE TAX RATE TAXES

PAID

2018 $484,250 0.85% $4,116

2019 $523,080 0.85% $4,446

UTILITIES

CONSTRUCTIONFraming Stick-Built

Exterior Brick Masonry

Parking Street

Roof Flat

Windows Dual-Pane

MECHANICALSPlumbing Galvanized/Copper/PVC

Air Conditioning Split-System

Electrical Breakers

Heating Forced Air

2,800RENTABLE SF

LOT SIZE TYPE OF OWNERSHIP ZONING PARCEL

1,950 SF Fee Simple RF-1 4049-0028

© 2018 Greysteel

Rent Comparables

WES

T VIR

GINIA

AVEN

UE NE

BLAD

ENSB

URG

ROAD

NE

MONTANA AVENUE NE

BRENTW

OOD AVENUE N

E

9TH STREET NE

RHODE ISLAND AVENUE NE

NEW YORK AVENUE NE

2

1

3

4

1

ALT

1

501308 GALLAUDET

PROPERTY UNITSYEARBUILT

AVG SFASKING RENT

PER UNITASKING RENT

PER SFOCC.RATE

DIST. TO SUBJECT (MILES)

1 Rhode Island Row 111 2011 733 $2,255 $3.08 98% 0.7

2 Hecht Warehouse 102 2015 666 $2,203 $3.31 96% 0.2

HCVP Rents -- -- -- $1,449 -- -- --

1308 Gallaudet Street NE* 4 1942 700 $1,275 $1.82 100% --

3 The Franklin 23 1931 760 $1,197 $1.58 96% 0.9

4 Dahlgreen Court Apartments 74 1929 563 $1,070 $1.90 94% 0.8

Survey Average 673 $1,869 $2.78 96%

$0.60

$1.10

$1.60

$2.10

$2.60

$3.10

$3.60

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

$2,200

$2,400

Rhode Island Row Hecht Warehouse Survey Average HCVP Rents 1308 GallaudetStreet NE*

The Franklin Dahlgreen CourtApartments

Ask

ing

Rent

Per

SF

Ask

ing

Rent

Per

Uni

t

Asking Rent Per Unit Asking Rent Per SF

*Subject property effective rent

© 2018 Greysteel

1 BDR

PROPERTYYEARBUILT

UNITS SFASKING

RENTUTILITY-ADJUSTED

RENT PER UNITUTILITY-ADJUSTED

RENT PER SFOCC.RATE

DIST. TO SUBJECT (MILES)

Rhode Island Row 2011 111 733 $2,255 $2,487 $3.39 98% 0.7

Hecht Warehouse 2015 102 666 $2,203 $2,435 $3.66 95% 0.2

HCVP Rents -- -- -- $1,449 $1,636 -- -- --

The Franklin 1931 23 760 $1,197 $1,413 $1.86 96% 0.9

Dahlgreen Court Apartments 1929 74 563 $1,070 $1,221 $2.17 94% 0.8

Survey Average 672 $1,876 $2,088 $3.11 96.1%

1308 Gallaudet Street NE* 1942 4 700 $1,275 $1,426 $2.04 100% --

1. This rent survey was completed in July 2018.2. Utility-adjusted rent is based on HUD-prescribed values for the various utilities residents pay for. HUD tables may be provided upon request.3. Survey Average excludes the Subject Property.4. Subject Property reflects in-place rents.

1 BDR

PROPERTYYEARBUILT

UNITS SFASKING

RENTUTILITY-ADJUSTED

RENT PER UNITUTILITY-ADJUSTED

RENT PER SFOCC.RATE

DIST. TO SUBJECT (MILES)

Hecht Warehouse 2015 102 666 $2,203 $2,435 $3.66 95% 0.2

Rhode Island Row 2011 111 733 $2,255 $2,487 $3.39 98% 0.7

Dahlgreen Court Apartments 1929 74 563 $1,070 $1,221 $2.17 94% 0.8

The Franklin 1931 23 760 $1,197 $1,413 $1.86 96% 0.9

HCVP Rents -- -- -- $1,449 $1,636 -- -- --

Survey Average 672 $1,876 $2,088 $3.11 96.1%

1308 Gallaudet Street NE* 1942 4 700 $1,275 $1,426 $2.04 100% --

1. This rent survey was completed in July 2018.2. Utility-adjusted rent is based on HUD-prescribed values for the various utilities residents pay for. HUD tables may be provided upon request.3. Survey Average excludes the Subject Property.4. Subject Property reflects in-place rents.

UTILITY ADJUSTED RENT PER UNIT

UTILITY ADJUSTED RENT PER SQUARE FOOT

© 2018 GreysteelGALLAUDET UNIVERSITY (<0.1 MILES) UNION MARKET (0.6 MILES)

RHODE ISLAND ROW (0.7 MILES) RHODE ISLAND AVE METRO STATION (0.8 MILES)

NEWCITYDC (0.7 MILES)

© 2018 Greysteel

SALES: FINANCE:

W. KYLE TANGNEY HERBERT SCHWAT BRENDAN SCANLONManaging Director202.280.2730ktangney@greysteel.com

Senior Investment Associate202.618.3419hschwat@greysteel.com

Senior Director202.803.5810bscanlon@greysteel.com

For more information or to inquire about Greysteel, please contact Ari Firoozabadi, President & CEO (af@greysteel.com | 202.417.3873)

Greysteel, seller, and their respective representatives make no representations or warranties, express or implied, regarding the accuracy or completeness of the information in this Offering Summary. Prospective purchasers shall be responsible for performing their own independent due diligence with respect to a possible transaction. This offering is subject to prior placement, withdrawal, cancellation or modification without notice. All references to acreage, square footage, and other measurements are approximations and must be independently verified.

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