16th Street Commercial Property
• Appraised for 2.4m within the last 90 days
• Average length of the tenant is 12 yrs
• Existing owner of property could act as property manager
• Current owner has owned the property (w parents at one point) for over 40 years
o The restaurant is an OC icon
o He wants the restaurant to continue to be the anchor of the subject property;
this would benefit any new owner or someone looking to act as the bank.
• Looking for $2m financing in 2 different ways:
o Either a potential buyer could buy the old note out for $2m or
o Lend the current owner $2m to buyout existing note; w property as collateral
• Property approvedjgrandfathered through town of OC to go up 5.5 stories and contain:
o Retail
o Condo
o Boutique hotel
o Or any combo of the above
• There is a remaining 6k sf space within this property that has 4 interested parties
reviewing the space; all have submitted letters of intent to occupy (some letters
stronger than others)
• Without the 6k rented, the property cash-flows $146,964jyear (triple net leases)
• With the 6k space rented, the property cash-flows an additional 60-120kjyear
o 60k would be a sweatheart lease to allow a new tenant to improve the property
by 200k+
• In reference to the 2 options above:
o If they purchased the note for $2m, then the current owner will sign a 50 year
lease
o If they want to act as the bank and lend the money to the current owner, he is
willing to pay up to 8%
This is an incredible opportunity for someone to make some great recurring income with a fabulous exist
strategy. Ocean City has just been defined as a stable market. the timing for a potential buyer has
never been better.
Rent Roll is available upon request.
Call Charlene Perry for more information on this GREAT OPPORTUNITY
410-663-7444
Comments(0)