1 0 5 2 WEST PEACHTREE
INVESTMENT SUMMARY
1 0 5 2 W E S T PE A C H T R E E SUNGARD AVAILABILITY SERVICES NET LEASED DATA CENTER - MIDTOWN ATLANTA
AC Q U I S I T I O N S, L L C
INVESTMENT SUMMARY
DAN MARKEE 612-850-4609
O F F E R I N G D ISC L OSU R E THIS INVESTMENT SUMMARY IS NOT A SOLICITATION TO INVEST, BUT IS INTENDED AS SUPPORTING INFORMATION TO A CONFIDENTIAL PRIVATE PLACEMENT MEMORANDUM (THE “MEMORANDUM”) WHICH IS BEING FURNISHED TO PROSPECTIVE INVESTORS (INDIVIDUALLY, AN “INVESTOR” AND COLLECTIVELY, “INVESTORS”) ON A CONFIDENTIAL BASIS TO CONSIDER AN INVESTMENT IN FORTERRA MIDTOWN ATLANTA, LLC, A GEORGIA LIMITED LIABILITY COMPANY (THE “COMPANY”), AND MAY NOT BE USED FOR ANY OTHER PURPOSE. THE MEMORANDUM, INCLUDING THIS INVESTMENT SUMMARY, MAY NOT BE REPRODUCED OR PROVIDED TO OTHERS WITHOUT THE PRIOR WRITTEN PERMISSION OF THE COMPANY’S MANAGING MEMBER, FORTERRA ACQUISITIONS, LLC, A GEORGIA LIMITED LIABILITY COMPANY ( “MANAGING MEMBER”). BY ACCEPTING DELIVERY OF THE MEMORANDUM AND/OR THE INVESTMENT SUMMARY, EACH PROSPECTIVE INVESTOR AGREES TO THE FOREGOING. INVESTMENTS DO NOT NECESSARILY ACCRUE INTEREST OR GENERATE ANY RETURNS UPON PAYMENT OF SUBSCRIPTION AMOUNTS TO THE COMPANY, AND CERTAIN EXPENSES ARE EXCLUDED FROM RETURN CALCULATIONS. EACH INVESTOR SHOULD READ THIS MEMORANDUM AND THE OPERATING AGREEMENT (DEFINED BELOW) IN THEIR ENTIRETY BEFORE INVESTING.
[email protected] This confidential Investment Summary is intended solely for your limited use and beneit in determining whether you desire to express further interest in an investment in the Company. Only execution and delivery of the Subscription Agreement which is attached as part of the Memorandum. This Investment Summary contains selected information pertaining to the Property and does not purport to be a representation of the state of affairs of the Property as of this writing. Some of the information contained herein were provided to the Company by the seller of the property or their agents and may have not been independently verified as of the date of this Investment Summary. The Company will use its best efforts during its due diligence to verify all of the information which is material to the Company may require to evaluate a purchase of real property. All inancial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of the Company. Therefore, all projections, assumptions and other information provided and made herein are subject to material variation. All references to acreages, square footages, and other measurements are approximations and will be verified prior to acquistion of the Property by the Company. Additional information in this Investment Summary, including leases and other materials, are described in summary form. These summaries do not purport to be complete descriptions of the full agreements referenced. The Company expressly reserved the right, at its sole discretion, to reject any or all expressions of interest or offers to invest in the Company, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Investment Summary or the Memorandum. The Company shall have no legal commitment or obligation to any entity reviewing this Investment Summary or the Memorandum. By receipt of this Investment Summary or the Memorandum, you agree that thse documents and its contents are of a confi dential nature, that you will hold and treat it in the strictest confidence and that you will not disclose this Investment Summary and the Memorandum or any of its contents to any other entity without the prior written authorization of the Company. You also agree that you will not use this Investment Summary or the Memorandum or any of its contents in any manner detrimental to the interest of the Copmany or Forterra Acquistions, LLC. If after reviewing this Investment Summary and the Memorandum, you have no further interest in investing in the Company, kindly return these documents to Forterra Acquisitions LLC and destroy and and all copies of electronic copies.
AC Q U I S I T I O N S, L L C 4604 IDS Center EightySouthEighthStreet Minneapolis, Minnesota 55402
1052 WEST PEACHTREE Midtown Atlanta
TABLE OF CONTENTS 0 1 0 2 0 3 0 4 0 5 0 6 0 7
INVESTMENT OVERVIEW
TENANT SUMMARY IRREPLACEABLE LOCATION INFRASTRUCTURE – HI-RELY GRID MIDTOWN ATLANTA DATA CENTER SPECS FINANCIAL SUMMARY
0 1 0 9 1 7 2 3 2 7 3 5 3 9
AC Q U I S I T I O N S, L L C
1052 West Peachtree |
INVESTMENT OVERVIEW 01
AC Q U I S I T I O N S, L L C
1052 We st Pe a chtre e offers a n o ppo rtunity ra re ly found in to da y’s inve stme nt la ndsca pe . The building ’s e xtra o rdina ry loca tio n in the he a rt of Midtow n A tla nta is posit ioned in t he pat h of progress. Ca sh flow is secured during the holding period by a net lease with a rated credit tenant allowing for value to build as development occurs throughout this limited high-density area.
SERVICES PROVIDED BY SUNGARD AT 1 0 5 2 WEST PEACHTREE • • •
E nterprise C loud Se rvice s • Ba ckup So lutio ns E nterprise We b • Sto ra g e R eplica tion R e mote Ma na g e d IT Se rvice s • IT D isa ster H o sting R ecove ry
1052 West Peachtree Street
City/State/Zip
Atlanta / Georgia / 30309
Frontage:
West Peachtree St. & Spring St.
Parcel Layout:
Rectangle
Property Type:
Office / Data Center
Parcel ID:
17 0010700050365
Zoning:
SPI-16 (SA1)
Site Size:
1.78 ACRES / 77,537 SF
Building Size:
35,191 SF
Year Built:
1948
Renovated:
1998 & 2010
Raised Floor:
19,500 SF
Watts PSF of Raised Floor (est.):
100 Watts PSF
Occupancy: Tenant:
INVESTMENT OVERVIEW
In 2010, SunGard initiate d an e arly le ase e xte nsion and agre e d to an 82% incre a se in re nt in exchange for extending the lease and allowing the tenant to continue occupancy of the site in which it has heavily invested. Since the renewal, SunGard has contributed a signif i ca nt amount of capital on core infrastructure to boost power capabilities a t the subject and ensure its clients are properly served. The site is connected to 5 major fibe r/ carrie r hote ls, T im e Warne r, A T &T , Ve rizo n Busine ss, Le vel 3, and XO, tha t are loca ted only a mile away and supply the bulk of Atlanta’s fiber needs. To secure the highly valuable site, SunGard has installed two separate modern security systems that are designed to protect the data, systems, and underlying infrastructure.
Address:
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1052 West Peachtree is a fully leased, single-story, 35,191 square foot, drive-up da ta center situa ted in a pristine location at 1052 West Peachtree Street in Midtown, Atlanta. The site benefi ts from fronta ge along two major Midtown roa ds (Spring St. & West Peachtree St.) and immedia te proximity to I-75 and heavily traveled Peachtree Street. The facility is currently 10 0 % le a se d to SunGard A vaila bility Se rvice s LP thro ug h June 20 22 . SunGard has proven itself as a fi rmly entrenched tenant through its continuous occupancy since 20 0 0 and the multi-million dollar improvements it ha s implemented a t the site. In a ddition, the site also benei ts from annual parking income genera ted from 28 secured spa ces leased by SunGard a s well as an a dditional surfa ce lot (41 spaces) fronting West Peachtree Street tha t is operated by a parking mana gement company.
1052 West Peachtree
INVESTMENT OVERVIEW – ASSET DESCRIPTION
100% SunGard Availability Services LP
Guarantor:
SunGard Data Systems, Inc.
Occupied Since: Remaining Term at Closing:
2000 / 14 years 7 Years 6 Months
Current Net Rent:
$36.07 PSF
Public Parking Income (approx.)
$48,000 /yr
2015 NOI:
$1,280,703
AC Q U I S I T I O N S, L L C
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FORTERRA ACQUISITIONS, LLC is offering membership investments interests in Forterra Midtown Atlanta LLC, a single purpose entity created to hold fee title of 1052 We st Pe a chtre e i n A t l a n t a , G e o r g i a . F o r t e r r a A c q u i s i t i o n s a n d i t s a f f i l i a t e d companies have been provided sponsored investments in commercial real estate and real estate related operating companies since 1995.
INVESTMENT SPONSOR & ASSET MANAGER
1052 West Peachtree
INVESTMENT OVERVIEW – SPONSORSHIP
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INVESTMENT OVERVIEW
FORTERRA ACQUISITIONS, LLC Forterra Acquisitions, LLC is led by Dan Markee who founded the company in 1995 following 7 years of leading a real estate investment team at Northwestern National Life Insurance Company. Forterra places debt and equity into real estate investments on either a direct basis or in partnership with developers. Having managed investments in nearly every property type and in 43 states from coast to coast, Forterra has extensive experience in underwriting, transaction structuring, debt negotiations and origination of compelling real estate investments. Forterra operates as the primary asset manager of projects in which they invest or is an active co-sponsor with its third-party developer partners.
BUSINESS PLAN & INVESTMENT RATIONALE 1 0 5 2 WEST PEACHTREE Our investment in 1052 West Peachtree will provide investors with the security of a financially strong tenant and stable cash flow through the holding period as a vehicle for increasing value over time given its location in the high-rise core of Midtown Atlanta. Possible exit strategies include: • Lease renewal with SunGard at the end of their lease or mid-term; • Possible expansion of the building on adjacent parking lot in concert with a long-term lease extension or re-lease to a new data center operator; • Sale of the building site for development of a new office, hotel, apartment community or condominium project – all of which fall under the current zoning that would provide for as much as 790,000 sf of developed space.
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Dan Markee 4604 IDS Center 80 S. Eighth Street Minneapolis, MN 55402 612-353-5139
AC Q U I S I T I O N S, L L C
1052 We st Pe a chtre e offers a n o ppo rtunity ra re ly found in to da y’s inve stme nt la ndsca pe . The building ’s e xtra o rdina ry loca tio n in the he a rt of Midtow n A tla nta is posit ioned in t he pat h of progress. Ca sh flow is secured during the holding period by a net lease with a rated credit tenant allowing for value to build as development occurs throughout this limited high-density area.
TRANSACTION STRUCTURE Investment Structure
The Managing Member is currently negotiating debt financing for the project from one of a number of local and region banks in the Atlanta area. The following is a summary of the minimum terms anticipated based on those negotiations: 5 year initial term Three year extension rights with interest re-set Fixed interest rate for initialterm of approximately 4.25% 25 year amortization Non-recourse
USES OF FUNDS Acquisition
Purchase Price Closing Costs
Per RSF
$19,400,000 19,400,000
$551.28 $0.00 $551.28
7,000 7,000 8,000 5,000 35,000 35,000 105,000 150,000 140,000 58,000 550,000 19,950,000
$0.20 $0.20 $0.23 $0.14 $0.99 $0.99 $2.98 $4.26 $3.98 $1.65 $15.63 $566.91
Comments
INVESTMENT OVERVIEW
PROJECT DEBT FINANCING
1052 WEST PEACHTREE - SUNGARD DATA CENTER - ATLANTA, GA 35,191 sq ft SOURCES OF FUNDS Total Acquisition Cost 19,950,000 Less: Loan Proceeds 14,000,000 70% Equity Required 5,950,000
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Forterra Midtown Atlanta, LLC (the “Company”) will consist of Forterra Acquisitions, LLC (Managing Member) and one or more Investor Members (Investors). The Managing Member will invest a minimum of $500,000 of the total equity or a minimum of 8.4%. Closing is scheduled for late December, 2014 Cash distributions will be made as follows: Distributions of Cash From Operations First, 100% to Investors, including the Managing Member, pro rata until all invested capital has been paid a 7% preferred return; and then 70% pro rata to all invested capital and 30% to the Managing Member. Distributions from the Sale or Refinance of the Property First, to Investors, including the Managing Member, pro rata until all invested capital has been paid a 10% look-back IRR preferred return; and then 80% pro rata to all invested capital and 20% to the Managing Member.
SOURCES & USES OF FUNDS
1052 West Peachtree
INVESTMENT OVERVIEW TRANSACTION STRUCTURE
Indirect Costs
Appraisal Surveys (Incl. As Built) Environmental Assessment Pre Closing Reimbursables Legal Expenses Title Insurance Lender Fee and Costs Equity Placement Fees Loan Placement Fee Contingency for Working Capital Subtotal: Indirect Costs TOTAL USES OF FUNDS
0.75%
3% of $5m 1% of loan
AC Q U I S I T I O N S, L L C
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INVESTMENT OVERVIEW
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1052 West Peachtree
HISTORY
05
AC Q U I S I T I O N S, L L C
O riginally constructed in 1948, 1052 West Peachtree Street was developed as a commercial ofi ce building and renovated in 1998 in a dvance of being leased to Inflow, Inc., a large data center operator. Inflow Inc. signed a 10 year lease through 2010 and, a fter taking occupa ncy, initiated a range of capital improvements, tailoring the facility to a specii c data center usa ge. Four years later, in December 20 04, the tenant executed an early renewal, extending the lease term an a dditional 2 years through June 2012. Soon after the 20 04 Amendment extending the term, Inflow Inc. was a cquired by SunGard Availability Services LP (20 05), a wholly-owned subsidiary of 1052 Data Systems, Inc. At the time of the acquisition, SunGard Data Systems was a publicly tra ded company on the New York Stock Exchange tra ding under the ticker SDS (SunGard has since reverted to a private ownership structure). Concurrent with the acquisition, all lease obligations were assigned to SunGard Availability Services, who continued to occupy and operate the facility as a data center. In Februa ry 20 06, the tenant executed a guaranty of the lease naming SunGard Data Systems, Inc. a s guarantor to all lease obligations. Later in February 2006, the property was purcha sed by Novare Group. SunGard initiated early lease renewal conversations and the two parties agreed to extend the term for an additional ten year period through June 2022 in exchange for an initial 82% incre ase in re nt with 3% a nnual e scala tions for the re mainde r of the te rm. Novare was not required to contribute any TI allowance other than providing a credit (applied to base rent throughout the term) for $125,000 in roof improvements that 1052 implemented in order to install new, additional rooftop HVAC units. Including the roof work, SunGard inve ste d an e stimate d $8 million to upgrade and boost infrastructure
and powe r capabilities at the site after this most recent renewal.
1052 West Peachtree |
INVESTMENT OVERVIEW
1052 WEST PEACHTREE ST.
SUNGARD DATA CENTER 3 5 ,191 SF 1.78 A C R E S 06
AC Q U I S I T I O N S, L L C
A T L A N TA D A TA C EN T ER D E MA N D H A S G R OWN 2 0 % 3 0 % A N N U A L L Y FO R T H E PA ST SE V E R A L Y E A R S
1052 West Peachtree
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INVESTMENT OVERVIEW
AC Q U I S I T I O N S, L L C
1 0 5 2 W EST PEACHTREE
1052 West Peachtree |
INVESTMENT OVERVIEW 08
AC Q U I S I T I O N S, L L C
A T L A N TA R A N K ED A S A M E R IC A ’S # 1 C IT Y F OR D A T A C E N T E R S
1052 West Peachtree
ON - SIT E C O N F E R E N C E RO OM F OR S U N G A R D C LIEN T S
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TENANT SUMMARY 09
TENANT SUMMARY
AC Q U I S I T I O N S, L L C
1052 West Peachtree |
TENANT SUMMARY 10
AC Q U I S I T I O N S, L L C
TENANT SUMMARY |
1052 West Peachtree
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1052 West Peachtree |
TENANT SUMMARY 12
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TENANT SUMMARY |
1052 West Peachtree
TENANT SUMMARY
41 SPA C E S L E A SE D T O A PA R K IN G MA N A G E ME N T C OMPA N Y
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1052 West Peachtree is improved with 69 total parking spaces that are available for use at the site. 28 of the spa ces are highly secured spa ces leased to 1052 and are only accessed via biometric keycard. The remaining 41 spaces are accessed via West Peachtree Street and are leased to a parking mana gement company.
H IG H L Y SE C U R E D T E N A N T PA R K IN G
1052 West Peachtree
PARKING INCOME
14
AC Q U I S I T I O N S, L L C
1052 West Peachtree |
TENANT SUMMARY 15
IN 2 010, 1052 IN ST A L L E D A 2 N D 2 ,0 0 0 KV A G E N E R A T OR
AC Q U I S I T I O N S, L L C
1052 West Peachtree |
TENANT SUMMARY 16
AC Q U I S I T I O N S, L L C
SE C U R E D L OBBY R E QU I R E S V I SI T OR R E G IST R A T ION & A N ON -SI T E PE R SON N E L E SC OR T
AC Q U I S I T I O N S, L L C
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IRREPLACEABLE LOCATION
1 0 5 2 W E ST PE A C H T R E E
1052 West Peachtree
1052 West Peachtree enjoys sound cash flow from rental operations as well as a pristine location in the Midtown, Atlanta submarket. The site reaps the benei ts of the Hi-Rely Grid by offering outstanding accessibility to SunGard and its customers. In a ddition, the site could easily be reconfi gured for new development. Very fe w lo cations e xist within Midtown that offe r such a size able site with frontage along two major ro ads, imme dia te proximity to I-75, a nd that can be de ve lope d. Provided the a cceleration of current market values, this would allow for a disposition of the property in 2022 at or above premium Midtown land pricing like that attained during the market peak. The residual land value is a key component in value and hedges future investors a gainst any a dverse issues that may arise with 1052 in the future.
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AC Q U I S I T I O N S, L L C
ATLANTA’S MIDTOWN “CORE” CONTAINS TWICE AS MUCH AREA AS CHICAGO’S MAGNIFICENT MILE & NYC’S COMMERCIAL NODES
IRREPLACEABLE LOCATION |
1052 West Peachtree
1052 WE ST PE A C H T R E E IS LOC A T E D IN T H E E PIC E N T E R OF T H E MID T OWN “C OR E ”
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AC Q U I S I T I O N S, L L C
1052 West Peachtree |
1052 WEST PEACHTREE ENJOYS A DESIRABLE SPI-16 (SA1) ZONING THAT ALLOWS FOR ALMOST ANY COMMERCIAL USE.
IRREPLACEABLE LOCATION 20
AC Q U I S I T I O N S, L L C
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AC Q U I S I T I O N S, L L C
IRREPLACEABLE LOCATION |
1052 West Peachtree
1052 West Peachtree
AC Q U I S I T I O N S, L L C
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IRREPLACEABLE LOCATION 22
AC Q U I S I T I O N S, L L C
1052 West Peachtree
1052 West Peachtree
INFRASTRUCTURE: HI-RELY GRID
1052 West Peachtree
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1052 West Peachtree is currently equipped with the most up-toda te, modern technology and is well engineered for the technological services tha t it offers. The facility fea tures 19,50 0 SF of raised floor area tha t has been constructed over a sloped sla b (height of 24 - 36 inches) and wa s designed with estima ted power of 10 0 Wa tts PSF of raised floor. The valuable site also enjoys a prime loca tion along the Hi-Rely G rid, which was installed by G eorgia Power in prepara tion of the 1996 O lympics. 1052 West Peachtree's ability to dra w from the Hi-Rely power grid allows the site to provide tenants access to a colossal uninterrupted source of power. In a ddition, 1052 recently installed a second 2,50 0 kVA transformer, a second 2,0 0 0 kVA genera tor, a second 6,0 0 0 gallon fuel stora ge tank, and just over $50 0,0 0 0 in recent roof work to support the a dditional 10 0 tons of HVAC and cooling systems tha t were a dded in order to effectively operate the servers.
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AC Q U I S I T I O N S, L L C
1052 West Peachtree
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AC Q U I S I T I O N S, L L C
INFRASTRUCTURE: HI-RELY GRID | 1052 West Peachtree
1052 West Peachtree |
INFRASTRUCTURE: HI-RELY GRID 26
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1052 West Peachtree |
MIDTOWN ATLANTA 28
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MIDTOWN ATLANTA |
1052 West Peachtree
1052 West Peachtree |
MIDTOWN ATLANTA 30
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AC Q U I S I T I O N S, L L C
MIDTOWN ATLANTA |
1052 West Peachtree
1052 West Peachtree |
MIDTOWN ATLANTA 32
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MIDTOWN ATLANTA |
1052 West Peachtree
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1052 West Peachtree |
MIDTOWN ATLANTA 34
AC Q U I S I T I O N S, L L C
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1052 West Peachtree |
DATA CENTER SPECS 36
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DATA CENTER SPECS |
1052 West Peachtree
AC Q U I S I T I O N S, L L C
1052 West Peachtree
1052 AVAILABILITY SERVICES / MIDTOWN DATA CENTER
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DATA CENTER SPECS 38
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1052 West Peachtree |
FINANCIAL SUMMARY 40
AC Q U I S I T I O N S, L L C
FINANCIAL SUMMARY |
1052 West Peachtree
AC Q U I S I T I O N S, L L C
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2016
2017
2018
2019
2020
2021
2022
2023
2024
REVENUE Net Rent Revenue Tenant Parking Public Parking Less: Tenant Roof Credit GROSS RENTAL INCOME
1,288,406 17,778 48,000 (12,497) 1,341,687
1,327,053 18,311 49,440 (12,497) 1,382,307
1,366,865 18,861 50,923 (12,497) 1,424,152
1,407,870 19,427 52,451 (12,497) 1,467,251
1,450,107 20,009 54,024 (12,497) 1,511,643
1,493,610 20,610 55,645 (12,497) 1,557,367
1,538,418 21,228 57,315 (12,497) 1,604,463
1,584,571 21,865 59,034 (12,497) 1,652,972
1,632,108 22,521 60,805 (12,497) 1,702,936
1,681,071 23,196 62,629 (12,496) 1,754,400
40,251 (5,103) 10,000 15,836 60,984
41,469 (5,103) 10,000 15,836 62,202
42,725 (5,103) 10,000 15,836 63,457
44,018 (5,103) 10,000 15,836 64,750
45,349 (5,103) 10,000 15,836 66,082
46,721 (5,103) 10,000 15,836 67,454
48,134 (5,103) 10,000 15,836 68,867
49,589 (5,103) 10,000 15,836 70,322
51,088 (5,103) 10,000 15,836 71,821
52,632 (5,103) 10,000 15,836 73,365
1,280,703
1,320,105
1,360,694
1,402,500
1,445,561
1,489,914
1,535,597
1,582,650
1,631,115
1,681,035
(910,120) 370,583
(910,120) 409,985
(910,120) 450,574
(910,120) 492,380
(910,120) 535,441
(1,118,169) 371,745
(1,118,169) 417,428
(1,118,169) 464,482
(1,118,169) 512,947
(1,118,169) 562,867
(416,500) (45,917) (133,257) 370,583 -
(416,500) (6,515) (218,978) 409,985 -
(416,500) 34,074 (144,136) 450,574 -
(416,500) 75,880 (4,433) 434,858 -
(416,500) 118,941 416,500 -
(416,500) (44,755) 416,500 -
(416,500) 928 416,500 -
(416,500) 47,982 416,500 -
(416,500) 96,447 416,500 -
(416,500) 146,367 416,500 -
370,583
409,985
450,574
57,523 40,266 17,257 475,124
118,941 83,259 35,682 499,759
(44,755) (31,329) (13,427) 385,171
928 650 278 417,150
47,982 33,587 14,394 450,087
96,447 67,513 28,934 484,013
146,367 102,457 43,910 518,957
EXPENSES Management Fee (3%) Less: Tenant portion Legal & Accounting Reserves for Roof & Structure TOTAL EXPENSES TOTAL NET INCOME B/F DEBT SVC Debt Service Cash Flow Investor Cash Flow Pref Excess (Shortfall) Cumulative Cash Flow Toward Pref
7.0%
Overage available for Distribution Investor Share in Overage Sponsor Share in Overage TOTAL CASH FLOW TO INVESTORS
70% 30%
AC Q U I S I T I O N S, L L C
FINANCIAL SUMMARY
2015
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Holding Period Cash Flows From Operations Assume Closing December 31, 2014 Year
1052 West Peachtree
PRO FORMA CASH FLOWS
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1052 West Peachtree
PRO FORMA SALE & RETURN ON INVESTMENT EXIT STRATEGIES & RETURN CALCULATIONS Assume Sale December 31, 2024
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Tenant Renewal/Release PER SQ FT
Current Land Value
19,000,000
Annual Growth Rate
3%
$245
PER SQ FT Current Market Lease Rate
per year
Annual Growth Rate
$346
Annual Rent at Sale
1,759,550 3%
Estimated Land Value at Sale
26,801,376
Debt Repayment
(8,946,454)
Cap Rate at Sale
Residual Distributable Cash
17,854,922
Estimated Value at Sale
29,200,224
Success Fee to Sponsor
(1,540,971) *
Debt Repayment
(8,946,454)
Distribution from Sale
16,313,951
Residual Distributable Cash
20,253,770
Success Fee to Sponsor
(2,288,754) *
Distribution from Sale
17,965,016
Total IRR
*20% after a 10% look-back IRR
14.06%
$50
2,482,019
$71
FINANCIAL SUMMARY
Land Sale for Development
8.50%
Total IRR
14.69%
AC Q U I S I T I O N S, L L C
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AC Q U I S I T I O N S, L L C