Offering Summary

Address 2529 Yale Ave E, Seattle WA 98102
Price $2,700,000
Total Units 6
Built 1969
Square Feet 3,894 Total Net Rentable (Per King Co)
Price Per Unit $450,000
Price Per SQFT $693
Current GRM/CAP 21.13/3.48% (3% Vacancy)
Market GRM/CAP 16.49/4.50% (4% Vacancy)
Expenses Per Unit $5,022/Year
Zoning LR2
Lot Size 4,778 Square Feet

Laurey Ann Apartments

Laurey Ann Aparments

Paragon Real Estate Advisors is proud to list the Laurey Ann Apartments, a 6-unit apartment building located in the highly sought-after Eastlake neighborhood. Just minutes north of South Lake Union, the location offers quick access to Amazon headquarters and the fast-growing number of tech companies in the surrounding area.

The property offers a mix of one and two-bedroom units, with views of Lake Union and Downtown Seattle. The Laurey Ann has been meticulously maintained by the owners, and this is the first time the property has been on the market in over 20 years.

This is a rare opportunity to purchase a trophy asset in a neighborhood perfectly positioned for Seattle’s continued employment growth.

Highlights:
> Mix of one-bedroom and two-bedroom units
> Balconies with western views of Lake Union and Downtown
> Vaulted ceilings
> Vinyl windows
> Tenant storage
> Off-street parking
> Secured entry
> Potential to add units (Urban Village zoning, no parking required)



The Eastlake Neighborhood

Eastlake is one of Seattle’s most iconic neighborhoods, boasting the famous flotilla of boat houses on the lake, surrounded by an eclectic mix of historical townhomes, modern condominiums and colorful apartment buildings. It is a neighborhood with a rich and distinctive history and feel. Starting as little more than a floating shantytown for migrant workers has transformed over time into a diverse and electric neighborhood.

It’s perfectly positioned at the center of Seattle’s urban and cultural hub—UW, South Lake Union, Downtown and Capitol Hill, giving residents and visitors alike a unique and active springboard towards accessing work and play within the city. It's minutes away from Amazon’s 30,000+ employee campus in South Lake Union, and adjacent to many tech and biotech companies that make up a large part of the city’s employment infrastructure, such as Adaptive Biotechnologies and Immune Design Corporation. Local coffee shops, boutiques and other businesses also thrive alongside large chains.


One of the things unique to Eastlake, is the culture and entertainment. The area boasts a strong Walkscore of 80. Chains and local small grocery stores share space along the venerable Eastlake Avenue, and nestled alongside are a number of electric and quirky coffee shops like Le Fournil Bakery. For nightlife and something a little heartier, residents and visitors alike have a flurry of colorful choices ranging from scenic waterfront eateries to local bars and trendy evening cafes.

Transportation is varied and accessible. Eastlake provides quick access to 1-5, 520 and Highway 99, and public transportation is active and thorough via Metro bus Routes 71/72/73, all of which provide service to the downtown CBD and the University of Washington.

Operating Information

PRICING
Price$2,700,000
Price Per Unit$450,000
Price Per Sq.Ft.$693
Down Payment$1,350,000 (50%)
Loan Amount$1,350,000 (50%)
Interest Rate4.20% 5 Years
Amortization30 Years
 
Current CAP3.48%
Market CAP4.50%
Current GRM21.13
Market GRM16.49
 
CURRENT EXPENSES
Expenses/Unit$5,022
Expenses/Foot$7.74
% of GSI24.31%
MARKET EXPENSES
Expenses/Unit$5,952
Expenses/Foot$9.17
% of GSI22.72%


MONTHLY SCHEDULED INCOMECURRENTMARKET
Monthly Scheduled Rent$10,550$12,150
Parking (6 tandem)$0$900 ($150/sp)
Utility Bill Back$0$495 ($70/90)
Laundry (proforma)$100$100
Storage Lockers$0$0
Misc.$0$0
Total Monthly Income$10,650$13,645
 
ANNUALIZED OPERATING DATACURRENTMARKET
Scheduled Gross Income$127,800$163,740
Less Vacancy$3,834 (3.00%)$6,550 (3.00%)
Effectove Gross Income ('16 EGI: $104,665)$123,966$157,190
Less Expenses$30,130$35,709
Net Operating Income$93,836$121,481
Annual Debt Service ($6,602/mo)$79,221$79,221
Cash flow Before Tax$14,615 (1.08%)$42,261 (3.13%)
Principal Reduction$22,959$22,959
Total Return Before Tax$37,575 (2.78%)$65,220 (4.83%)
 
ANNUALIZED EXPENSE AND RESERVESCURRENTMARKET
Real Estate Taxes (2017 AV: $1.5m)$14,421$20,000
Insurance (2016)$2,292$2,292
Utilities (2016)$7,117$7,117
Maintenance & Repairs (2017: $11,002) (Proforma)$4,800$4,800
Reserves ($40/door)$1,500$1,500
 
Total Operating Expenses$30,130$35,709

Monthly Scheduled Unit Income

# OF UNITS UNIT TYPE SQFT CURRENT RENT CURRENT MONTHLY INCOME MARKET RENT MARKET MONTHLY INCOME
3 1BD/1BTH 503 SqFt $1,375 - $1,450 $4,275 $1,700 $5,100
3 2BD/1BTH 795 SqFt $1,875 - $2,200 $6,275 $2,350 $7,050
6 Average/Totals 649 SqFt $2.71/SF $10,550 $3.12/SF $12,150

A Look Around the Property.

Laurey Ann Unit Floor Plans

Sales Comparables

SUBJECT - Laurey Ann Apts
2529 Yale Ave E
Seattle, WA 98102
Year Built 1969
Units 6
Sales Price $2,700,000
Price/Unit $450,000
Price/Foot $693
GRM/CAP 21.1/3.5%
Sales Date TBD
6 Unit
2107 5th Ave N
Seattle, WA 98109
Year Built 1923
Units 6
Sales Price $2,975,000
Price/Unit $495,833
Price/Foot $448
GRM/CAP 14.7/4.8%
Sales Date 12.9.2016
The McKean
1404 10th Ave W
Seattle, WA 98199
Year Built 1928
Units 8
Sales Price $2,875,000
Price/Unit $359,375
Price/Foot $532
GRM/CAP 17.4/3.9%
Sales Date 11.18.2016
Heather Court
114 12th Ave E
Seattle, WA 98103
Year Built 1952
Units 10
Sales Price $4,000,000
Price/Unit $400,000
Price/Foot $466
GRM/CAP 16.3/4.4%
Sales Date 8.31.2016
Eastlake Fourplex
78 E Lynn St
Seattle, WA 98102
Year Built 1953
Units 4
Sales Price $1,980,000
Price/Unit $495,000
Price/Foot $576
GRM/CAP unnknown
Sales Date 8.29.2016
Franklin Ave 7 Unit
2211 Franklin Ave E
Seattle, WA 98102
Year Built 1959
Units 7
Sales Price $3,010,000
Price/Unit $430,000
Price/Foot $610
GRM/CAP 15.5/5%
Sales Date 7.29.2016

Sales Comparables MAP

SUBJECT - Laurey Ann Apts
2529 Yale Ave E
Seattle, WA 98102
6 Unit
2107 5th Ave N
Seattle, WA 98109
The McKean
1404 10th Ave W
Seattle, WA 98199
Heather Court
114 12th Ave E
Seattle, WA 98103
Eastlake Fourplex
78 E Lynn St
Seattle, WA 98102
Franklin Ave 7 Unit
2211 Franklin Ave E
Seattle, WA 98102

Puget Sound Region

The Seattle area, the nation’s 13th largest metropolitan area, is known for its strong business climate as well as its skilled workforce. Several factors contribute to the region’s thriving business community, from the prevailing entrepreneurial spirit to the education levels and skill sets of its work force. Innovative companies attract high-quality workers who typically possess a high level of education.

Seattle is the largest city in the four-county metropolitan area known as the Puget Sound region. The area’s other major metropolitan cities are Bellevue, Tacoma, Everett, and Bremerton. Surrounding these are growing cities that include Kirkland, Redmond, Kent, Renton, Bothell, and Issaquah.

According to Forbes, Seattle is one of the most popular cities in the country for the millennial generation (ages 20-34), with a growth rate of 20.3 percent since 2007. This is primarily due to the abundance of tech, engineering, and biotechnology employment opportunities in the region, which are highly sought after industries by millennials.