dovetail presentation
DESCRIPTION
Presentation for a Development Project in an Development Class at Sauder School of BusinessTRANSCRIPT
Fit Together Easily.
Fit Together Easily
220 Residential Units
17 Retail Spaces91K sqft Office
SpacesLEED Gold
Timeline
Purpose DoveTailPricing & Analysis
Returns
Overview
Construction
Goals
Residential
Retail / Office
Pricing
Consumer
Marketing
Investments
Profits
Culture
Timeline
Purpose DoveTail Returns
Overview
Construction
Goals
Residential
Pricing
Consumer
Marketing
Investments
Profits
Retail / Office
Pricing & Analysis
Culture
Purpose
Community
Environment
People Profit
Retail Services for Students
Enhance Public Transportation
Provide Public Space
Achieve LEED Gold
Sustainable Long Term
Enhance Space with Greenery
Self-Sustaining Community
Create Sense of Place
Live, Work, Eat, Play
Short-Timeline for Exit
High Price per Sq Ft
Sell-Ability
Timeline
Purpose DoveTailPricing & Analysis
Returns
Overview
Construction
Goals
Residential
Pricing
Consumer
Marketing
Investments
Profits
Retail / Office
Culture
Residential, Retail, and Office10 Stories, U Shaped Building with CourtyardLEED Gold, Green Roofs, Community Square86% Building Site Efficiency
$15.8 Project Profit
DoveTail Project
Construction
University Ave
March 2011
December 2014
Pre-ConstructionMar 11 – Feb 12
ConstructionMar 12 – Feb
14Sales/LeasingMar 14 – Dec
14
87,000 SqFt Site10
Stories 85% SCR Bus Stop
Bike Racks
Sunny Courtyard
Residential
Residential
220 Units170
2BDR50 1BDR
950-1050 Sq Ft
650-750 Sq Ft
$418,000 - $462,000
$292,000 - $337,000330 Parking
Stalls$80.9M
Revenue
Residential
2BR 1100 SqFt
1BR 700 SqFt
2BR 1100 SqFt
2BR 900 SqFt
Retail & Office
Retail One
Retail Two
Retail Three
$2.2M NOI, 145 Parking Stalls
Retail & Office
Retail One
18,000 sq.ft Frontage on University AvenueHigh vehicle and foot trafficFast-food / take-out retailersBus stop
Retail & Office
Retail One
Retail Two
Retail Three
Retail & Office
Retail Two
12,300 sq.ftCourtyard with Public SpaceLounge SeatingProtection from street noiseAccessible from side streets
Retail & Office
Retail One
Retail Two
Retail Three
Retail & Office
Retail Three
18,000 sq.ftAccessible from side streetsIncreased amenitiesLarge tenants
Office
Office
273 Parking StallsNOI $3.45M91,092 SF over 2 FloorsEase of accessProximity to public transitOn-site shower facilities for bike commutersGym for employee use Incentive membership planGreen building LT cost savings
Sustainability
LEED GoldSustainable Site Alternative Transportation
Green Roof
Water Efficiency Recycled water, and Low flow appliances
Recycled Materials & Waste Management during Construction and Demolition.
Environmental Quality maximize daylight, views, and open space ventilation.
Sustainability
Bike Racks Bus StopGreen Roof
Ease of access for retail users and office commuters
2 minute walk or less for residents, shoppers, and employees
Communal access to urban agriculture and therapeutic gardening Water capture, reduced Heat Island Effect
Culture
Courtyard
Tenant Mix to Promote SittingPublic SeatingCollaboration with the UniversitySunlightUniversity Art
Tenants: No obnoxious smells, late hours, etc.
Synergies
Work Live Shop
Retail for both commuters, workers, residentsMinimize Cannibalization
Leverage University Community and livelinessTransportation hubs near retail
Ability to live fully in Community, low barriers to external
Timeline
Purpose DoveTailPricing & Analysis
Returns
Overview
Construction
Goals
Residential
Pricing
Consumer
Marketing
Investments
Profits
Retail / Office
Culture
Pricing - Consumer
25-32 $94,000 (2013) Urban, Local
Emerging Tech / Law
Average Salary $94,000Median Salary $81,400
Median Affordable $333,000 Average Affordable $408,000
2BR $418-462K1BR $292-337K
Marketing Strategies
Hire External
Enable Public
Enable Realtors
Synergies
University Link
Timeline
Purpose DoveTailPricing & Analysis
Returns
Overview
Construction
Goals
Residential
Pricing
Consumer
Marketing
Investments
Profits
Retail / Office
Sustainability
Deal Structure
Developer - $5M
Equity - $15.6M
Mezzanine- $20M
Cons. Loan - $125M
$3.99M (20.16% IRR)
$1.92M (12% Int)
$12M (33% IRR)
$7.6M (4.2% Int)
Financial Performance
Retail Value $33.8M
Office Value $53.8M
Residential Value $80.9M
TOTAL VALUE$167.8M
TOTAL COSTS$151.2M
$15.8M
ProfitBefore Tax Return on Equity=79.77%Equity IRR= 20.16%After Tax Return on Equity=57.03%Equity IRR= 15.15%
Conclusion
Thank You!
HERBERTS | HVIDSTEN | SMYTH | WOLANSKI | BARNARD | WEISS
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