LOCATED IN AN OPPORTUNITY ZONE CORPORATE HOUSING · 2019-10-09 · LOCATED IN AN OPPORTUNITY ZONE...

LOCATED IN AN OPPORTUNITY ZONECORPORATE HOUSING

• Entire property leased to an international company • Turn Key Operation• Stabilized cash flow of 10.5 cap with much upside• Value add opportunity with 5 acres left to build on and• Additional newly remodeled furnished unit to lease or

keep as an office• Includes 2 Storage units for the property.• Quiet, peaceful park-like setting • Well maintained property • Completely furnished units • Karnes County is the second highest oil producing

county in the US

Sales Price: $1,850,000

Cap Rate: 10.5%Occupied: 100%Plus Additional

UpsideJanice Landers - 512.535.0262 [email protected] information contained herein was obtained from sources deemed reliable; however, Commercial Solutions makes no guaranties, warranties or representations to the completeness or accuracy thereof. The presentation of this real estate information is subject to errors; omissions; change of price; prior sale or lease; or withdrawal without notice. Commercial Solutions, which provides real estate brokerage services, is a division of Reliance Retail, LLC, a Texas Limited Liability Company.

Corporate Mobile HousingEAGLE FORD SHALE

Kenedy, Texas 78119

For More Information:www.commercialsolutionstx.com


Kenedy, Texas 78119

The information contained herein was obtained from sources deemed reliable; however, Commercial Solutions makes no guaranties, warranties or representations to the completeness or accuracy thereof. The presentation of this real estate information is subject to errors; omissions; change of price; prior sale or lease; or withdrawal without notice. Commercial Solutions, which provides real estate brokerage services, is a division of Reliance Retail, LLC, a Texas Limited Liability Company.

Confidential Memorandum and DisclaimerPlease note that the use of this Offering Memorandum and the Information (“Information”) provided is subject to the terms, provisions and limitations of the confidentiality agreement which we have provided to you (“Buyer”) and requested an executed copy.

Brokerage Relationships: By taking possession of and reviewing the information contained herein, Buyer acknowledges that the Listing Team of Retail Solutions (“Brokers”) are acting as Seller’s Agent in the disposition assignment for the property. Buyer acknowledges receipt of the form entitled Information About Brokerage Services.

Non-disclosure of Information: By taking possession of and reviewing the Information contained herein, Buyer agrees not to disclose, permit the disclosure of, release, disseminate or transfer any of the Information obtained from Broker or the Property owner (“Owner”) to any other person or entity except as permitted herein. Buyer shall take all appropriate precautions to limit the dissemination of the Information only to those persons within the firm who need to know the Information. The phrase “within the firm” shall be deemed to include outside attorneys, accountants and investors.

Disclaimer and Waiver: By taking possession of and reviewing the Information contained herein, Buyer understands and acknowledges that neither Brokers nor Owner make any representations or warranty, expressed or implied, as to the accuracy or completeness of any Information provided. Neither the Broker or the Owner shall have any liability whatsoever for the accuracy or completeness of the Information contained herein or any other written or oral communication or Information transmitted or made available or any action taken or decision made by the Buyer with respect to the Property. Buyer understands and acknowledges that they should make their own investigations, projections and conclusions without reliance upon the Information contained herein. Buyer assumes full and complete responsibility for confirmation and verification of all information received and expressly waives all rights of recourse against Owner, Brokers and Retail Solutions.


Kenedy, Texas 78119


Offering Summary Property HighlightsSale PriceCAP Rate

Number of Beds

Tenant

NOILand Size

UtilitiesZoning

$1,850,00010.5%19 - 100% Occupied Plus 1 newly remodeled 1 bedroom 1 bath unit One international corporate tenant has been leasing the facility since February$191,261.008.93 Acres (Housing currently on +/- 4 AC +/- 5 AC left to build on)City Water and SepticNone - County property is located just outside city limits

• Turn Key Operation

• Stabilized cash flow of 10.5 cap with much upside

• Value add opportunity with 5 acres left to build on and additional newly remodeled furnished unit to lease or keep as an office

• Includes 2 Storage units for the property.

• Quiet, peaceful park-like setting

• Well maintained property

• Completely furnished units

• Built in 2012/2014, Reopened January 2018

• Owner works a full time job & lives in Houston

• Opportunity available because owner is retiring


Kenedy, Texas 78119


Features and AmenitiesProperty Description• Paved Streets

• Fully Furnished

• Covered Parking

• Daily Cleaning Service

• Maintenance Service

• Large Decks & Outdoor Space

• BBQ Grills provided

• Washer & Dryer

• Business Center with Printer

• Patio Furniture

• Security Gates

• 60” HD TV

• TV, Internet, Cable, etc

• Turn Key Operation

• Owner has been self-managing from Houston

• Housekeeper and landscaping/ maintenance are local and prefer to stay on.

• Staff looks after the place

• Each unit is cleaned once a week.

• New clients are handled by telephone.

• New locks and cleaning is performed by staff

• In the event of shorter term stay locks can be changed

• Owner has typically rented by the month

• Rent is paid in advance and has been by credit card.

• Owner has never advertised


Kenedy, Texas 78119


Site Aerial & Survey


Kenedy, Texas 78119

Janice Landers - 512.535.0262 [email protected]



Kenedy Aerial


Kenedy, Texas 78119




Oil & Gas Well Locations


Kenedy, Texas 78119




Karnes County

• 1,665 Producing Leases• 55 Producing Operators• 7,905 Drilled Wells• 7,528,343 BBLs of Oil Produced in Apr 2019• 27,842,884 MCF of Gas Produced in Apr 2019• Click here to see all of the Drilling Wells around the site!

Top Producing Operators in Karnes County, TX Based on April 2019 Production

Operator Oil Prod (BBLS) Gas Prod (MCF) Active Leases Active Wells1776 Energy Operators, LLC 100,472 244,373 39 46BHP Billiton Pet(Txla Op) Co 150,862 4,950,122 524 1Blackbrush O & G, LLC 76,511 970,695 105 140Burlington Resources O & G Co LP 3,606,690 15,252,351 671 11Devon Energy Production Co, L.P. 1,181,371 28,622,434 4,222 4,801Earthstone Operating, LLC 377,779 775,580 70 166Encana Oil & Gas(USA) Inc. 2,436,371 7,692,332 736 68EOG Resources, Inc. 9,093,935 27,528,319 2,485 70Equinor Texas Onshore Prop LLC 74,049 5,142,667 376 1Inpex Eagle Ford, LLC 99,639 237,447 14 22Magnolia Oil & Gas Operating LLC 754,214 3,604,983 952 4Marathon Oil Ef LLC 2,478,701 13,148,624 743 1,655Matador Production Company 282,597 1,031,438 84 9Murphy Expl. & Prod. Co. - USA 1,305,233 2,126,081 229 802Pioneer Natural Res. USA, Inc. 7,307,214 22,157,955 2,487 36Protege Energy III LLC 35,362 525,937 61 97Summit Discovery Res II LLC 10,954 5,656 1 4Teal Operating, LLC 26,526 742,997 54 76Tidal Petroleum, Inc. 33,809 55,509 16 24Verdun Oil & Gas LLC 332,023 1,044,169 101 177

http://www.drillingedge.com/texas/karnes-county


Kenedy, Texas 78119




Regional Map


Kenedy, Texas 78119


• Contains an estimated 8.5 billion barrels of oil and 66 trillion cubic feet (TcF) of natural gas.• Is the second largest oil producing region in the country and accounts for 13% of all U.S. production.• Is the fourth largest natural gas producing region in the country“Texas is so well-known for its history of oil and gas production that it’s almost synonymous with petroleum,” said Dr. Jim Reilly, USGS Director. “Texas continues to remain in the forefront of our Nation’s energy supply chain with remarkable increases in production and reserves due to the revolutionary unconventional techniques used to release previously unrecoverable resources.”

The Eagle Ford Shale


Kenedy, Texas 78119




Texas average daily oil production jumps 19.4% in November

Preliminary production figures show Texas produced over 90.20 million barrels (Mmbbls) of crude oil and 634.86 billion cubic feet of natural gas in November 2018, according to the Railroad Commission of Texas.

Those figures will be updated as additional and revised data is filed with the state commission.

Texas initially reported 75.57 Mmbbls of crude oil production in November 2017, updated to 100.14 Mmbbls, while initial natural gas production was 543.21 Bcf, updated to 698.51 Bcf.

The state’s average daily production was 2.52 million barrels per day (Mmbpd) in November 2017, increased to 3.01 Mmbpd in November 2018, the Texas commission reported, a 19.4% increase, Kallanish Energy reports.

Average daily production of natural gas grew from 18.11 Bcf/d, to 21.16 Bcf/d, an 16.9% increase.

From October 2017 through November 2018, total Texas production was 1.27 trillion barrels of crude oil and 8.5 trillion cubic feet of natural gas. That production came from 180,472 oil wells and 90,168 gas wells.

The Top 5 counties for oil production in November 2018 were: Midland, Karnes, Reeves, Martin and Loving. The Top 5 counties for natural gas production in that month were Webb, Reeves, Tarrant, Midland and Karnes.

The Top 5 counties for condensate production in November 2018 were Reeves, Culberson, Loving, Karnes and Webb.

Source: http://www.kallanishenergy.com/2019/02/06/texas-average-daily-oil-production-jumps-19-4-in-november/


Kenedy, Texas 78119




Eagle Ford Shale in the US is making a comeback

Eagle Ford Shale, of South Texas in the US, has re-emerged as an attractive destination for oil and gas companies over the next four years, according to a report by GlobalData.During 2018, recoverable resources in the Eagle Ford Shale play became a lucrative destination for the oil and gas companies, a 51-page report evaluating the area’s exploration and production outlook from 2019 to 2023, has found.Future of Eagle Ford Shale: a reversal of fortunesThe shale play reverted a production decline and leading operators continue to increase the scale of their operations, GlobalData analysts said.There are still some sections within the Eagle Ford shale play which are underdeveloped, especially in the northern part comprising the Burleson and Brazos counties and some companies are also assessing the overlying Austin Chalk formation.Recent M&A activity, such as the one involving Chesapeake Energy’s acquisition of WildHorse Resources, confirms that operators are looking for development opportunities outside the crowded Karnes Trough area of the play.The location of the shale play allows for better oil and natural gas pricing in comparison to Permian output with proximity to major hydrocarbon processing facilities and export terminals on the Gulf Coast.All this along with sufficiently developed midstream infrastructure are important aspects in the enduring attractiveness of Eagle Ford for oil and gas companies.The major counties for prolific crude oil and condensate production in the Eagle Ford play include Karnes, De Witt, La Salle, Dimmit, and Gonzales.The Eagle Ford play also constitutes largely of condensates and dry gas resources. The major producing counties for natural gas include Webb, Karnes, De Witt, Dimmit and La Salle.

Total production across major counties in the Eagle Ford shale play

Source: https://www.offshore-technology.com/ comment/future-of-eagle-ford-shale/


Kenedy, Texas 78119




Look Beyond the Permian: Focus on 4 Eagle Ford Oil Producers

For several years now, the Permian basin has been considered the most significant shale field in the United States. As the prolific region soaks up the spotlight, another unconventional play – the Eagle Ford in Texas – is slowly eying a comeback post the oil bust. In particular, over the past 12 months, the basin has seen steady output growth and a flurry of M&A activity.Make no mistake, the Permian Basin still remains the most sought-after unconventional basin and continues to post the biggest production gains in the United States. However, pipeline bottlenecks out of the region, which is expected to last through the most of 2019, has triggered spending outside of the Permian with one of the beneficiaries being the Eagle Ford.The Eagle Ford Shale is already a well-known domestic oil play that churns out around 16% of America’s daily crude. But the producing basin is likely to experience heightened activity in the near-to-medium term with a portion of Permian capital landing in this rich oil and gas-producing formation.Eagle Ford Shale: Awash in Oil and GasA sedimentary rock formation spread over 400 miles across Texas, the Eagle Ford Shale stretches from the Mexican border in the west to the Texas-Louisiana border in the east. It’s roughly 50 miles wide with massive recoverable oil and natural gas resources. Per the U.S. Geological Survey, Eagle Ford has an estimated average of 8.5 billion barrels of oil, 66 trillion cubic feet of natural gas, and 1.9 billion barrels of natural gas liquids there for the taking.Apart from abundant resources, the Eagle Ford shale’s strengths include shorter cycle times, attractive economics and high oil ratio. The low-cost basin also enjoys premium pricing, based on the Louisiana Light Sweet benchmark. This allows the upstream Eagle Ford operators to generate positive free cash flow No Pipeline Transport Issues Like PermianBy now, it is well documented that serious logistical constraints in West Texas’s Permian ‘super basin’ forced operators in the region – especially those without committed pipeline capacity – to sell their produce at hefty discounts last year, which went up to $20 per barrel at one point. EIA’s latest Drilling Productivity Report puts Permian oil production at around 4.2 million barrels per day, ahead of the current pipeline capacity of about 3.5 million barrels per day.


Kenedy, Texas 78119




Look Beyond the Permian: Focus on 4 Eagle Ford Oil Producers

While the situation has eased a lot following the expansion of the Sunrise Pipeline and partial conversion of the natural gas liquids carrier Seminole-Red line to a crude conduit, infrastructure to take oil out of the Permian Basin to U.S.Gulf Coast still remain inadequate. Consequently, producers in the fastest-growing shale in America will need to take minor cutbacks until the next phase of additional capacity buildouts come online by late 2019. The Permian bottleneck issue has also compelled companies to shift drilling capital out of the area to other shale basins in the United States and the Eagle Ford has received a boost as a result.Investors Flock to Eagle FordOil production from the Eagle Ford shale play is expected to revolve around 1.4 million barrels a day, according to the most recent figures available. One must also note that the formation has strongly rebounded from the low of 1.1 million barrels of a day in August 2017. Meanwhile, some 71 drilling rigs are currently active in the region. Investment in Eagle Ford is picking up as well. According to consulting firm Deloitte, M&As in the field hit a whopping $10 billion last year – second only to Permian’s $25.7 billion. While not as ‘hot’ as the Permian, the region’s cheap acreage, coupled with proximity to the pipelines and refineries in the Gulf Coast, keeps the assets very relevant indeed. Finally, with oil prices likely to head higher, output in this shale play is expected to stay strong.Eagle Ford Shale Oil Stocks in FocusWith the hectic pace of drilling activity set to continue in the Eagle Ford play and investor’s strong appetite for stocks focused in that region, we present four companies, each carrying Zacks Rank #3 (Hold), that investors should watch out for.


Kenedy, Texas 78119




Photos


Kenedy, Texas 78119


Listing Agent

Janice Landers | Principal - Hospitality [email protected]

Janice Landers began her real estate career in 2001 after selling her industrial supply company, which she also founded and operated. She has been actively involved in a broad range of real estate, such as land development, retail, medical, office, industrial, 1031 exchanges, acquisitions, tenant representation, leasing and sales. She has also been successful in raising equity for real estate projects, negotiating joint ventures and working with EB-5. With her many years of experience putting together the right teams, she has sold thousands of acres of land and has leased/sold over one million square feet of commercial space. She also assembled over $150M in real estate, over $200M in joint venture assets for a REIT and helped put together a $500M fund.Janice continues to sharpen her financial knowledge through continuing education courses and is a candidate working towards the Certified Commercial Investment Member (CCIM) designation. She is also a member of the International Council of Shopping Centers (ICSC) and of Central Texas Council of Realtors (CTCAR).


Kenedy, Texas 78119


CONTACT US

JANICE LANDERSPrincipal - Hospitality Division

[email protected]

FOR MORE INFORMATION, PLEASE VISIT:www.retailsolutionsre.com

AUSTIN7320 N Mopac ExpresswaySuite 101Austin, Texas 78731

DALLAS5151 Belt Line RdSuite 620Dallas, Texas 75254

HOUSTON9432 Katy FreewaySuite 300Houston, Texas 77055

MCALLEN200 S 10th StreetSuite 805McAllen, Texas 78501

MIDLAND4607 Pine Meadow DriveSuite 2Midland, Texas 79705

LOUISIANA600 Jefferson StreetSuite 407Lafayette, Louisiana 70501

EL PASO6006 North Mesa St., Suite 510El Paso, Texas 79912

ALBUQUERQUE2155 Louisiana Blvd N.E.Suite 7200Albuquerque, NM 87110


Kenedy, Texas 78119


11-2-2015

Information About Brokerage ServicesTexas law requires all real estate license holders to give the following informaƟon about

brokerage services to prospecƟve buyers, tenants, sellers and landlords.

TYPES OF REAL ESTATE LICENSE HOLDERS: .• A BROKER is responsible for all brokerage acƟviƟes, including acts performed by sales agents sponsored by the broker.• A SALES AGENT must be sponsored by a broker and works with clients on behalf of the broker.

A BROKER’S MINIMUM DUTIES REQUIRED BY LAW (A client is the person or party that the broker represents): • Put the interests of the client above all others, including the broker’s own interests;• Inform the client of any material informaƟon about the property or transacƟon received by the broker;• Answer the client’s quesƟons and present any offer to or counter-offer from the client; and• Treat all parƟes to a real estate transacƟon honestly and fairly.

A LICENSE HOLDER CAN REPRESENT A PARTY IN A REAL ESTATE TRANSACTION:

AS AGENT FOR OWNER (SELLER/LANDLORD): The broker becomes the property owner's agent through an agreement with the owner, usually in a wriƩen lisƟng to sell or property management agreement. An owner's agent must perform the broker’s minimum duƟes above and must inform the owner of any material informaƟon about the property or transacƟon known by the agent, including informaƟon disclosed to the agent or subagent by the buyer or buyer’s agent.

AS AGENT FOR BUYER/TENANT: The broker becomes the buyer/tenant's agent by agreeing to represent the buyer, usually through a wriƩen representaƟon agreement. A buyer's agent must perform the broker’s minimum duƟes above and must inform the buyer of any material informaƟon about the property or transacƟon known by the agent, including informaƟon disclosed to the agent by the seller or seller’s agent.

AS AGENT FOR BOTH - INTERMEDIARY: To act as an intermediary between the parƟes the broker must first obtain the wriƩen agreement of each party to the transacƟon. The wriƩen agreement must state who will pay the broker and, in conspicuous bold or underlined print, set forth the broker's obligaƟons as an intermediary. A broker who acts as an intermediary:

• Must treat all parƟes to the transacƟon imparƟally and fairly;• May, with the parƟes' wriƩen consent, appoint a different license holder associated with the broker to each party (owner and

buyer) to communicate with, provide opinions and advice to, and carry out the instrucƟons of each party to the transacƟon.• Must not, unless specifically authorized in wriƟng to do so by the party, disclose:

ᴑ that the owner will accept a price less than the wriƩen asking price;ᴑ that the buyer/tenant will pay a price greater than the price submiƩed in a wriƩen offer; andᴑ any confidenƟal informaƟon or any other informaƟon that a party specifically instructs the broker in wriƟng not to

disclose, unless required to do so by law.

AS SUBAGENT: A license holder acts as a subagent when aiding a buyer in a transacƟon without an agreement to represent the buyer. A subagent can assist the buyer but does not represent the buyer and must place the interests of the owner first.

TO AVOID DISPUTES, ALL AGREEMENTS BETWEEN YOU AND A BROKER SHOULD BE IN WRITING AND CLEARLY ESTABLISH: • The broker’s duƟes and responsibiliƟes to you, and your obligaƟons under the representaƟon agreement.• Who will pay the broker for services provided to you, when payment will be made and how the payment will be calculated.

LICENSE HOLDER CONTACT INFORMATION: This noƟce is being provided for informaƟon purposes. It does not create an obligaƟon for you to use the broker’s services. Please acknowledge receipt of this noƟce below and retain a copy for your records.

Licensed Broker /Broker Firm Name or Primary Assumed Business Name

License No. Email Phone

License No.

Licensed Supervisor of Sales Agent/Associate

License No. Email Phone

Sales Agent/Associate’s Name License No. Email Phone

Regulated by the Texas Real Estate Commission

Buyer/Tenant/Seller/Landlord Initials

InformaƟon available at www.trec.texas.gov IABS 1-0

Date

Reliance Retail LLC OR Texas RS LLC dba "Retail Solutions " 603091 OR 9003193 [email protected] 512-474-5557

David J. Simmonds OR David Russell Burggraaf

Designated Broker of Firm

459263 OR 518156

David J. Simmonds OR David Russell Burggraaf 459263 OR 518156

[email protected] 512-474-5557

[email protected] 512-474-5557Email Phone

LOCATED IN AN OPPORTUNITY ZONE CORPORATE HOUSING · 2019-10-09 · LOCATED IN AN OPPORTUNITY ZONE...

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