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SOUTH MIAMI INDUSTRIAL PORTFOLIO | HISTORICAL EXPENSES - SOUTH DADE INDUSTRIAL CENTER
South Dade Industrial Center (SDIC) was purchased in February, 2015; therefore, the figures below represent annualized 2015 figures based on 11 months of financials.
The six buildings within the Maksanim ownership were purchased in December, 2012, at which time the property was in the low-60% occupancy range. At the time of
purchase, the property was in a pre-foreclosure situation, after years of neglect and distress. As such, in addition to the high vacancy, there were numerous tenants
that were in default that were either subsequently evicted or signed new leases.
Expenses across the Portfolio have been reduced drastically since being purchased when capital and labor were required (both in “Repairs & Maintenance”) for
repositioning of the Portfolio, including R&M to get suites ready for occupancy.
For this asset—and all those that follow—the 2017 Budget accounts for reduced
labor and property management expenses following a successful lease-up strategy and stabilization of operations. Subsequent to sale, Real Estate Taxes will be
reassessed by the Miami-Dade County Property Appraiser. Because the Portfolio is being offered unpriced, we have not accounted for this in our underwriting.
Also note that all tenants pay electric directly and reimburse Landlord for water use. Tenants also pay for trash directly at all properties except SDIC.
Square Feet:
33,945
Total $
$ PSF
Total $
$ PSF
Total $
$ PSF
Total $
$ PSF
(4)
REAL ESTATE TAXES
$32,391
$0.95
$33,312
$0.98
$33,312
$0.98
$34,311
$1.01
INSURANCE
$26,517
$0.78
$12,536
$0.37
$12,590
$0.37
$12,590
$0.37
(5)
MANAGEMENT FEE
$14,805
$0.44
$12,150
$0.36
$13,604
$0.40
$12,739
$0.38
ADMINISTRATIVE
$11,291
$0.33
$8,022
$0.24
$8,640
$0.25
$8,640
$0.25
(6)
REPAIRS & MAINTENANCE
$43,255
$1.27
$22,854
$0.67
$9,535
$0.28
$9,535
$0.28
LANDSCAPING
$7,281
$0.21
$7,200
$0.21
$2,400
$0.07
$2,400
$0.07
TRASH REMOVAL
$4,594
$0.14
$8,638
$0.25
$7,620
$0.22
$7,620
$0.22
ELECTRIC
$2,210
$0.07
$2,019
$0.06
$1,800
$0.05
$1,800
$0.05
WATER
$3,240
$0.10
$5,044
$0.15
$6,540
$0.19
$6,540
$0.19
Total Expenses
$145,583 $4.29
$111,775 $3.29
$96,041 $2.83
$96,175 $2.83
NOTES:
(1) Excluded seller's corporate payroll allocations and excess management fee.
(2) Budget reflects reduced labor and property management expenses following a successful lease-up strategy and stabilization of operations.
(3) Based on 2017 Budget, except where noted.
(4) In-Place RE Taxes inflated 2016 discounted taxes by 3%.
(5) Pro Forma is calculated at 4% of Effective Gross Revenue.
(6) Historically contained property repositioning R&M costs, including labor for both an additional Property Manager (PM) and maintenance engineer during property
repositioning. For 2017/In-Place, PM allocation as been moved to Administrative.
SOUTH DADE INDUSTRIAL CENTER
GENET SOUTH MIAMI INDUSTRIAL
Historical and Pro Forma Expenses
2015 Annualized
2016 Actual (1)
In-Place (3)
2017 Budget (2)
GENET SOUTH MIAMI INDUSTRIAL
PORTFOLIO OCCUPANCY SUMMARY
RENT ROLL
Jan-17
RBA
(SF)
Pro Rata
%
RBA
Rent PSF Monthly Annual
PSF Monthly Annual
Security
Deposit
Rent
PSF Annual
Occupied Property
355,662 97.1% $9.38 $278,142 $3,337,703 $0.38 $11,319 $135,826 $294,376
Vacant Property
10,753 2.9% $9.82 $8,803 $105,630 $0.45 $400 $4,800
Total Property
366,415 100.0% $9.40 $286,944 $3,443,333 $0.38 $11,719 $140,626
$10.50 $3,847,120
MARKET RENT
BASE RENT
CAM RECOVERIES
PORTFOL I O OCCUPANCY SUMMARY
EXPENSES NOTES
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