The FURLANIA P A R T M E N T S

WEST SEATTLE

SEATTLE CBD

WHITE CENTER

BEACON HILL

NORMANDY PARK

SEATTLE TACOMA INTERNATIONAL AIRPORT

BURIEN

RAINIER VALLEY

Paragon Real Estate Advisors is pleased to offer for sale The Furlani Apartments. This charming and well-maintained 8 unit apartment community is located in the quiet residential area of Normandy Park.

The Furlani Apartments offers an investor the opportunity to acquire a well-located, easy to manage apartment community with income upside and potential to add value. The buyer can take advantage of a strong, rising rental market while increasing rents to market levels and charging for utilities and will reap the rewards of immediate upside and long-term appreciation.

NAME The Furlani Apartments

ADDRESS 130 SW 184th St, Normandy Park WA 98166

TOTAL UNITS 8

BUILT 1967

SQUARE FEET 5,760 Total Net Rentable

PRICE $1,545,000

PRICE PER UNIT $193,125

PRICE PER FOOT $268.23

CURRENT GRM/CAP 12.8/4.6%

MARKET GRM/CAP 10.7/6.0%

LOT SIZE 11,916 Square Feet

ZONING RM 1800

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify all information and bears all risk for inaccuracies.

O F F E R I N G

The FURLANIA P A R T M E N T S

� Excellent Normandy Park location

� Significant upside in rental income and value-add opportunity through renovation

� Well-maintained, easy to manage property with low historic vacancy

� Located within walking distance of shopping and amenities – QFC, Starbucks, Access Pharmacy, Teak House Thai, Ian Fitness, Dunn Lumber, UPS Store, Key Bank, Shelly’s and more

� Quick access to freeways and public transportation

� Easy access to Burien, Des Moines, SeaTac, Tukwila/Southcenter and downtown Seattle

� Mix of 7 two-bedroom/one-bathroom and 1 one-bedroom units

� 2 completely renovated units including high-end modern finishes

� New TPO roof (2017), fresh exterior paint and updated exterior fixtures

� Double-paned windows

� On-site coin-operated laundry

� 15 off-street parking spaces – lots of parking

The FURLANIA P A R T M E N T S

I N V E S T M E N T H I G H L I G H T S

Units 8

Structures One, eight unit building

Parcel Number 312304-9103

Net Rentable Sq.Ft. 5,760

Lot Sq.Ft. 11,916

Zoning RM 1800

Year Built 1967

Construction Type Two-story, wood framed

Average Unit Size 720 Sq.Ft.

Parking Spaces 15 open stalls

Storage Units N/A

Roof TPO installed in 2017

Windows Double-paned (mix of vinyl and aluminum)

Plumbing Some plumbing upgraded to PEX

Electrical Copper

Heating Electric baseboard

Electrical Panel Square D in-unit

Laundry Common

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify all information and bears all risk for inaccuracies.

Q U I C K F A C T S

L O C A T I O N H I G H L I G H T S

Normandy Park is a beautiful waterfront community located along the shores of Puget Sound in King County, with convenient access to downtown Seattle and the SeaTac International Airport.

With approximately 6,600 residents and covering an area of about 2.5 square miles, the community places its highest priorities on maintaining and enhancing its quiet pedestrian-friendly setting and providing a healthy and safe environment in which residents can raise their families

� Easy access to Burien, Des Moines, SeaTac, Tukwila/Southcenter and downtown Seattle

� Quiet neighborhood with strong community ties

� Urban area close to the city with a residential feel

� Six major city parks and over 100 acres of public parkland

POPULATION

6,615

MEDIAN INCOME

$97,704

A HIGHLY-SKILLED WORKFORCE The region’s highly skilled and educated workforce provides a deep talent pool, with 47 percent of adults holding a bachelor’s degree or higher.

Top-tier talent is one of the key reasons out-of-state companies, such as Google, Facebook, Apple, Dropbox, Twitter, Alibaba, and SpaceX, are attracted to opening strategic locations in Seattle-King County. ESTABLISHED INDUSTRY CLUSTERS The success of the clusters has contributed to innovation for emerging industry segments such as biomedical devices, interactive media, e-commerce, clean energy, and space exploration. Small and medium-sized businesses provide a vital contribution to the cluster ecosystem, and in turn benefit from the collaborative climate for which the Seattle-King County region is known CUTTING-EDGE RESEARCH Top-ranked research institutions, including the world-renowned University of Washington, contribute to a high-caliber talent pipeline and encourage record levels of research & development spending from the private, non-profit and public sectors. The region has always fostered the next generation of business, from early-stage startups to high-growth companies with long-term success.

*Data Sources: Washington State Employment Security Department, 2015; Washington State Department of Revenue, 2015; Washington Military Alliance; Washington Aerospace Economic Impacts 2016 Update; US International Trade Administration, 2014.

W H Y C H O O S E S E A T T L E - K I N G C O U N T Y ?

King County contains estimated 872,411 households. This number is forecast to increase to more than 912,000 by the year 2021. The county currently has 18 cities with populations greater than 20,000.

Seattle is one of the most educated cities in the United States. Over 57 percent of Seattle’s adult residents have a Bachelor’s degree or higher, nearly twice the national average. An educated city means an educated workforce—a solid backbone for the innovative, knowledge-based industries that drive Seattle’s economy. King County also boasts high educational attainment, with 47 percent of residents over 25 having received a Bachelor’s degree or higher.

Roughly 28 percent of King County residents are in professional business/managerial positions. As a result, median household income in King County is well above the U.S. average. Cost of living is generally higher than the U.S. average, but it is in line with other metropolitan areas with similar income levels.

P O P U L A T I O N , E D U C A T I O N , I N C O M E

� Very well-maintained, turn-key property

� Mix of 7, two-bedroom/one-bathroom and 1, one-bedroom apartments

� Charming secluded courtyard

� New low-pitch TPO roof installed in 2017

� Two completely renovated apartments – new cabinets, quartz countertops, SS appliances, LVP/carpet flooring, fixtures, tile backsplash and more!

� Newly painted exterior and updated exterior fixtures

� Double-paned windows

� 15 off-street parking spaces – lots of parking

� Electric baseboard heating

� On-site coin-operated laundry

B U I L D I N G H I G H L I G H T S

The FURLANIA P A R T M E N T S

B U I L D I N G P H O T O S

U N I T P H O T O S

Unit Breakdown The FURLANIA P A R T M E N T S

UNIT

TYPE

APPROXIMATE

UNIT SIZE

CURRENT

RENT

CURRENT

RENT/SQ.FT.

MARKET

RENT

MARKET

RENT/SQ.FT.

1 1 Bd/1 Bth 600 Sq.Ft. $800 $1.33 $1,200 $2.00

2 * 2 Bd/1 Bth 740 Sq.Ft. $1,350 $1.82 $1,450 $1.96

3 2 Bd/1 Bth - Renovated 740 Sq.Ft. $1,375 $1.86 $1,450 $1.96

4 2 Bd/1 Bth 740 Sq.Ft. $1,275 $1.72 $1,450 $1.96

5 2 Bd/1 Bth 740 Sq.Ft. $1,050 $1.42 $1,450 $1.96

6 2 Bd/1 Bth - Renovated 740 Sq.Ft. $1,375 $1.86 $1,450 $1.96

7 2 Bd/1 Bth 740 Sq.Ft. $1,200 $1.62 $1,450 $1.96

8 2 Bd/1 Bth 740 Sq.Ft. $1,250 $1.69 $1,450 $1.96

Totals/Avg 720 Sq.Ft. $9,675 $1.68 $11,350 $1.97

* On-Site Manager’s Unit. Manager pays a reduced rent of $700 as a credit.

MONTHLY INCOME CURRENT MARKET

Gross Monthly Rent $9,675 $11,350

Utility Bill Back $225 $600

Parking Income - 15 Spaces $0 $0

Laundry Income $80 $80

Other Income/Misc Fees $50 $50

Gross Potential Income $10,030 $12,080

ANNUALIZED OPERATING DATA CURRENT MARKET

Scheduled Gross Income $120,360 $144,960

Less Vacancy 4.0% $4,814 4.0% $5,798

Gross Operating Income $115,546 $139,162

Less Expenses $44,387 $45,782

Net Operating Income $71,158 $93,380

Annual Debt Service ($5,088/mo) $61,061 $61,061

Cash Flow Before Tax 1.87% $10,098 5.98% $32,319

Principal Reduction $16,201 $16,201

Total Return Before Tax 4.86% $26,298 8.97% $48,520

Income and Expenses

ANNUALIZED OPERATING EXPENSES CURRENT MARKET

Real Estate Taxes 2019 Estimated $13,605 $15,000

Insurance Farmers Quote $3,782 $3,782

Utilities Proforma $9,200 $9,200

On-Site Payroll Proforma $7,800 $7,800

Maint & Repairs Proforma $6,000 $6,000

Turnover Proforma $1,200 $1,200

Administration Proforma $800 $800

Reserves Proforma $2,000 $2,000

Total Expenses $44,387 $45,782

UNITS

UNIT

TYPE

SIZE

CURRENT

RENT

MARKET

RENT

1 1 Bd/1 Bth 600 $800 $1,200

7 2 Bd/1 Bth 740 $1,050 - $1,375 $1,450

8 Total/Avg 720 $1.68 $1.97

Units 8

Year Built 1967

Rentable Area 5,760

Price $1,545,000

Per Unit $193,125

Per Sq. Ft. $268.23

Current GRM 12.84

Current CAP 4.61%

Market GRM 10.66

Market CAP 6.04%

Expense/Unit $5,548

Expense/Foot $7.71

Percent of EGI 36.88%

Expense/Unit $5,723

Expense/Foot $7.95

Percent of EGI 31.58%

CURRENT

OPERATIONS

MARKET

OPERATIONS

PROPOSED FINANCING

Down Pmt $540,750

Loan Amount $1,004,250

Interest Rate 4.50%

Amortization 30 years

Maria II Apartments 15238 10th Ave SW Burien, WA 98166

1 Year Built 1974 Units 9 (8 + 1 NC) Sales Price $1,625,000 Price/Unit $180,556 Price/Foot $207 GRM/CAP 11.2/5.5% Sales Date 9.24.2018

Totem Apartments 16644 31st Ave S SeaTac, WA 98188

2 Year Built 1977 Units 12 Sales Price $2,300,000 Price/Unit $191,667 Price/Foot $227 GRM/CAP 13.9/4.7% Sales Date 6.14.2018

Heather Apartments 816 N 4th St Renton, WA 98055

3 Year Built 1968 Units 10 Sales Price $1,570,000 Price/Unit $157,000 Price/Foot $226 GRM/CAP 14.0/3.7% Sales Date 4.3.2018

Cedar Crest 2911 S 200th St SeaTac, WA 98198

4 Year Built 1963 Units 8 Sales Price $1,225,000 Price/Unit $153,125 Price/Foot $260 GRM/CAP 15.4/4.0% Sales Date 12.26.2017

1

3

4

2

S A L E S C O M P A R A B L E S

The Olive Branch 427 SW 154th St Burien, WA 98166

5 Year Built 1976 Units 6 Sales Price $1,250,000 Price/Unit $208,333 Price/Foot $259 GRM/CAP 12.7/5.3% Sales Date 9.6.2017

Landmarc Apartments 811 S 227th Pl Des Moines, WA 98198

6 Year Built 1975 Units 9 Sales Price $2,150,000 Price/Unit $238,889 Price/Foot $199 GRM/CAP 18.8/2.9% Sales Date Pending

5

6

THE FURLANI APARTMENTS 130 SW 184th St Normandy Park, WA 98166Year Built 1967 Units 8 Sales Price $1,545,000 Price/Unit $193,125 Price/Foot $268 Current GRM/CAP 12.8/4.6% Market GRM/CAP 10.7/6.0%

The FURLANIA P A R T M E N T S

600 University St, Suite 2018

Seattle Washington 98101

206 623-8880 / info@ParagonREA.com

www.ParagonREA.com

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify all information and bears all risk for inaccuracies.