1445 Mason Street - LoopNet

1445 MASON STREET Offering Memorandum - pg. 1

Offering Memorandum1445 Mason StreetMult i fami ly Investment Opportunity | Nob Hi l l - San Francisco, CA

Table of Contents

Showing Schedule

Call for Offers

Offering Summary ................................3-4

Financial Overview ...............................5-6

Property Photographs ..........................7-10

Amenities Map & location ....................11

Public Transportation ...........................12

Aerial of subject property ....................13

To be determined.

Brad Lagomarsino | lic 01058500 +1 415 288 7848 | [email protected]

James Devincenti | lic 00951916 +1 415 288 7848 | [email protected]

Dustin Dolby | lic 01963487 +1 415 288 7869 | [email protected]

www.theDLTeam.com

Colliers International 101 2nd Street, 11th Floor San Francisco, CA 94105

Tuesday September 17, 2019 - 9:00 to 10:30 AM

Tuesday September 24, 2019 - 9:30 to 11:00 AM

Tuesday October 1, 2019 - 9:30 to 11:00 AM


Offering Summary - OverviewColliers International is pleased to present 1445 Mason Street (between Broadway St and Pacific Ave) at the top of the Broadway Tunnel and the entrance to the Nob Hill District of San Francisco. Constructed in the early 1900’s, this well maintained property features fifteen (15) spacious units. Six (6) of the fifteen (15) units have been remodeled and outfit-ted with GE washers and dryers, Haier refrigerators, GE dishwashers, forced air heating and new flooring throughout.

The current owners have invested over $1.25 Million in capital improvements to the property including seismic upgrades, compliance with Fire Alarm Sleeping Area Requirements (SFFC Section 1103.7.6.1), new flooring and lighting in the common areas and adding three (3) accessory dwelling units. As apartments have become vacant, ownership has been converting the formal 1-bedrooms into 3-bedroom units with brand new bathrooms and kitchens.

Located a few blocks from the Financial District, 1445 Mason Street provide residents easy access to work and trans-portation throughout the city. Mason Street is a short walk from the incredible dining, retail and entertainment options offered around Washington Square Park and on Polk Street. With a walk score of ninety-nine (99) and transit score of one hundred (100), 1445 Mason Street is a renter’s paradise – situated a few minutes from the many amenities San Francisco has to offer.

1445 Mason Street provides an investor the opportunity to add value through converting 1-bedroom units into 3-bed-room units – increasing cash flow and equity growth while owning an asset in the centrally located Nob Hill District.


Property Information Building Composition

Building Systems

Address: 1445 Mason Street, San Francisco, CA 94133

District: Nob Hill

Property Type: Apartment building

APN: 0158-003

Building Square Feet: 13,132 square feet (per measurement)

Lot Size: 5,497 square feet (per tax record)

Constructed: 1913

Zoning: RM-2

Unit Mix: 10-one bedroom, 1 bath3-two bedroom, 1 bath2- three bedroom, 1 bath

*Kitchens: Stainless steel appliances

Haier refrigerator

Granite countertops

GE dishwashers

Gas stove/oven with Broan fan

Stainless steel sink

Microwave in remodeled units

*Bathrooms: Cabinet vanity

Granite countertops

Shower with tile surrounds

Tile flooring

*In remodeled units

*Bedrooms: Vinyl wood plank flooring

Mirrored sliding door closets

Large windows with mini blinds in remodeled units

Miscellaneous: Current owners invested over $1,250,000 to add additional three (3) ADUs to the property and complete seismic work

Units 5, 9, 4, 14, 15, 16 have been fully remodeled.

Foundation: Concrete (seismic retrofit completed)

Structure: Wood-frame

Soft Story: CFC issued

Façade: Brick and wood façade with decorative accents

Windows: Wood-frame

Roof Composition: Tar & gravel (10 years old)

Electrical Service: Separately metered, circuit breakers (in basement and remodeled units), 400 amps of service

Gas Service: Separately metered

Fire Protection System: Fire sprinklers in basement and ground floor common areas. AES-Intellinet 2.0 cellular fire alarm system throughout property. Property complies with fire alarm sleeping area require-ments (SFFC Section 1103.7.6.1).

Heat Source: Electric wall heat (forced air systems in ADU units)

Hot Water: Fifteen (15) Bradford & White 40-gallon tanks

Plumbing: Mix of copper & galvanized

Common Areas: Vinyl plank flooring or carpeted

Door Rntry System: DKS Doorking telephone entry system

Front Landing: Marble tile

Lobby: Vinyl plank flooring

Lobby Lighting: Dome lighting with wall sconces

Landing Areas/Hallways: Carpeted

Garbage: Located in tradesman alley

Laundry: 6 of the 15 units have in-unit washer and dryers. No common area laundry on-site.

Offering Summary - Property Details

Common Areas


Expense Categories Current Proforma

Property Taxes $82,061 $82,061

*Special Assessment Tax $2,052 $2,052

*Insurance $7,296 $7,296

*Repairs & Maintenance $7,500 $7,500

Utilities- PG&E $1,224 $1,224

Water & Sewer $16,800 $16,800

Scavenger/Recycling $6,485 $6,485

*Management Fees $15,710 $28,921

Janitorial $2,724 $2,724

*Reserves $7,500 $7,500

Total Operating Expenses $149,352 $162,562

*Expenses are estimated

Financial Overview1445 Mason Street, San Francisco, CA 94133

Sale Price $7,000,000

Down Payment $3,450,000

Number of Units 15

Price/Unit $466,667

*Gross Square Feet 13,132

Price/Square Foot $533

CAP Rate - Current 3.29%

CAP Rate - Pro Forma 7.65%

GRM - Current 17.82

GRM - Pro Forma 9.68

Year Built 1913

Lot Size 5,497

Financial Summary

Financing

Annual Gross Income

Annual Operating Expenses

Cash Flow After Debt Service

Current Proforma

Gross Potential Income $392,755 $723,024

Gross Rental Income $384,320 $714,600

Vacancy (3.5%) $13,451 $25,011

AGI $379,303 $698,013

Expenses $149,352 $162,562

NOI $229,952 $535,451

Loan Amount $3,500,000Loan Type Proposed New

Interest Rate 4.00%

Program 5 Year Interest Only

Loan to Value 51%

Quote: TBD (Buyer to have banking relations with First Republic Bank)

Current Proforma Less Debt Service $142,000 $142,000

Cash Flow $87,952 $393,451

Cash on Cash Return 2.55% 11.40%

Expenses as % of Gross 38% 22%

Expenses per Unit $9,957 $10,837

*Square Footage includes ADU Square Footage


Financial Overview (cont.)1445 Mason Street, San Francisco, CA 94133

Unit No. Unit Type Rent Cap Imp Pass Thru Market Rent Move In Date Note

1 1 Bedroom, 1Bath $1,770.19 $118.05 $4,250 5/1/1991

2 1 Bedroom, 1Bath $1,554.00 $4,250 10/1/1998 Sec 8

3 2 Bedroom, 1Bath $1,499.81 $118.05 $4,400 1/29/2011

4 3 Bedroom, 1Bath $4,250.00 $4,250 5/24/2019 remodeled


6 1 Bedroom, 1Bath $1,554.00 $4,250 5/5/2011

7 1 Bedroom, 1Bath $1,584.44 $118.05 $4,250 2/21/2012

8 1 Bedroom, 1Bath $723.04 $69.33 $4,250 10/1/2002


10 1 Bedroom, 1Bath $1,116.76 $108.70 $4,250 8/21/2009

11 1 Bedroom, 1Bath $770.68 $74.10 $4,250 1/1/1963

12 1 Bedroom, 1Bath $995.99 $96.63 $4,250 4/3/2010

14 1 Bedroom, 1Bath $2,516.79 $2,500 5/16/2018 ADU

15 2 Bedroom, 1Bath $3,516.79 $3,500 6/1/2018 ADU

16 1 Bedroom, 1Bath $2,400.00 $2,400 6/10/2018 ADU

Monthly Income $32,026.64 $702.91 $59,550

Cap Imp Pass Thru $702.91 $702.00

Total Monthly Income $32,729.55 $60,252

Annual Total $392,755 $723,024 Upside 84%

Rent Roll

NotesProjected rents based on most recent rents

Market rent assumes converting units into 3 bedroom units

Units1 Bedroom- 10

2 Bedroom - 3

3 Bedroom - 2


Cafe Isabella House of Nanking V J Grocery

Gallery Cafe Spicy King Grant & Green Market

Cable Car Corner Keiko a Nob Hill S & S Grocery

The Stinking Rose Mr. Jiu’s Giovanni Italian Specialties

Firenze by Night Allegro Romano Chase Bank

The House Venticello East West Bank

E’ Tutto Qua Tonga Room & Hurricane Bar Wells Fargo Bank

R & G Lounge Top of The Mark Bank of the West

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Restaurants & Bars Convenience & Grocery Stores Banks & ATM’sX X X

Neighborhood Amenities

Amenities1445 Mason Street, San Francisco, CA 94133

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St FrancisMemorialHospital

Subject Property1445 Mason St

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Public Transportation1445 Mason Street, San Francisco, CA 94133


Washington Square

BROADWAY ST/VAN NESS AVE

PACIFIC AVE

UNION ST

45 STOCKTON ST

CLAY/SACRAMENTO ST

POWELL ST STATION

MONTGOMERY ST STATION

EMBARCADERO ST STATION

CIVIC CENTER STATION

POWELL/MASON CABLE CAR (to Market St / Union Square /Bart & Muni)

HIGHWAY ACCESS VIA VAN NESS AVE

41 45

10 12

8 30 30

1

Bart & Muni Metro

30X

With Immediate Access to One of the Nation’s Best Public Transit Systems

The area around 1445 Mason Street offers an extensive transportation network which ensures superior regional access

throughout San Francisco and the surrounding Bay Area. Atlantic Cities’ “Access Across America, Transit 2018” ranked San

Francisco second only to Manhattan for public transit efficiency, based on how many jobs a resident can access within a 10 to

30 minute commute during the morning rush hours of 7am to 9am. 1445 Mason Street is within walking distance of a variety

of public transit, including the Civic Center/UN Plaza Bay Area Rapid Transit System (BART) station, the underground MUNI,

and street-level rail—all in addition to a variety of San Francisco’s caravan of ‘Tech Shuttles’ moving busloads of Google,

Genentech, Facebook, and Apple employees from their homes in San Francisco to their job centers in Silicon Valley.

(to Hwy 101 &

Marin County)


Confidentiality & Disclaimer StatementThis Offering Memorandum contains select information pertaining to the business and affairs of the Property at 1445 Mason Street San Francisco, CA 94133. It has been prepared by Colliers International. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Colliers International. The material is based in part upon information supplied by the Seller and in part upon financial information obtained by 1445 Mason Street from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness or this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum from 1445 Mason Street you agree:

1) The Offering Memorandum and its contents are confidential;

2) You will hold it and treat it in the strictest of confidence; and

3) You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Colliers International expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of 1445 Mason Street or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Colliers International or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date of this Offering Memorandum.

Aerial Map1445 Mason Street, San Francisco, CA 94133


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