Commercial Real Estate Investment Memorandum

Commercial Real Estate Investment Memorandum Prescott Presbyterian Church Property 137 N Marina Street, Prescott, AZ Yavapai County Assessor Parcel Numbers: 113-16-070 and 113-16-072 This proposal is intended solely for informational purposes to assist in determining if one wishes to proceed with a further due diligence investigation of this project. Information contained herein has been obtained from sources believed to be reliable, but no representations, guarantees, or warranties with respect to this information are being made. Risks are involved in a real estate purchase. It is the investor’s responsibility to independently verify any data relied upon for an investment using qualified legal, financial, and operations advisors. Projections, opinions, assumptions, or estimates used in this memorandum are illustrative examples only. Prior to investing in real estate, investors should also carefully consider possible tax consequences and legal requirements. 3% Courtesy to Brokers Executive Summary: Commercial Property in Prescott, AZ Building Land Estimated Potential Off-Street Parking List Price Current NOI Current Property Taxes 3,632 ft2 0.52 acres 75-80 spaces $1,390,000 $6,000 $0 Value in land Build over parking $61.4/ft2 for land APS Parking lease Non-Profit Owner Summary of Investment Potential This development opportunity is quite rare – three adjacent city lots (0.52 acre), zoned Business (Business General, BG), and only two blocks from Prescott’s downtown courthouse square. Prescott Area Association of Realtors’® MLS computer records go back approximately ten years. Those computer records show only two listings with these criteria, and only one of those sold. The highest and best use of this property would most likely require fully re-developing it, something on the order of a buildout of 18,000 – 20,000 ft2, perhaps over a parking garage. Assuming a use that fully develops this site, one summary of the data in this investment memorandum might be: Maximum market rates in this area indicate: Sales in the range of $350/ft2 were achieved OR Leases on the order of $30/ft2 were achieved OR Hotel room rates of around $100-150/night advertised Given these possibilities, could an investor acquire this property at its asking price and develop it to achieve profit, ROI, and investment risk goals? Page 2 of 13 Traffic and Access Prescott Presbyterian Church’s Marina Street property is in downtown Prescott Arizona. It is approximately 90 minutes from Phoenix and Flagstaff. From I-40, access to Prescott is via State Highway 89 or I-17. From I-17, access to Prescott is via State Highway 69. The church property is readily accessible to some of the highest density vehicle traffic in the Prescott area (25k-45k vpd). It is located on Marina Street, one to two blocks from each of three major thoroughfares in Prescott: Gurley Street, Sheldon Street, and Montezuma Street. The Marina/Gurley and Marina/Sheldon intersections are signaled. Page 3 of 13 The Neighborhood Character and Attractions The subject property is situated in what the Prescott Downtown Partnership describes as Historic Downtown Prescott. This area is generally within an easy walk (about two blocks) from the Courthouse and zoned business. This property is zoned Business General. 137 N Marina Street Map reprinted with permission Prescott Downtown Partnership, Inc. Please also note the property’s large size for this area (0.5 acres) and its private (non-government) ownership without historic register restrictions. Page 4 of 13 Buildings in this neighborhood might serve tenants or owners who desire to be close to the downtown courthouse square, for instance: Hotels whose customers can easily walk a block or two to downtown events rather than deal with downtown business’ often crowded parking High-end office or residential space tenants benefit from being near high traffic patterns, the courthouse square, and / or government entities. Retail or mixed use tenants desirous of synergy with downtown events and retail activities. For current lists, please go to www.prescottdowntown.com/ and www.thechamber.net/cgi-bin/foxweb.dll/wlx/cal/wlxcalemain?cc=PRSCC Activities at the Courthouse Plaza include arts and craft shows with artisan booths, outdoor movies and performances, re-enacted shootouts on Whiskey Row, hometown parades, Christmas tree lightings, the Acker Musical Festival, and many others. Other downtown attractions include Sharlot Hall Museum (for Prescott and AZ territorial history) Bashford Court, a boutique atrium mall, the Old Firehouse Plaza, Antique Row, the McCormick St Arts District, and the Prescott Fine Arts Center. Prescott repeatedly finds itself on lists of Best Places to live, work, visit, or retire. (Prescott Chamber of Commerce www.prescott.org/) Arizona Republic Best Performing Cities Index Inc. Magazine Money Magazine US News & World Report Photos on this page courtesy of Kaaren Weber Page 5 of 13 ... - tailieumienphi.vn