FORTY 15APARTMENTS OFFERING MEMORANDUM - 4015 Covington Hwy | Decatur, GA 30032
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FORTY
15
APARTMENTS
4 0 1 5 C ovi n gt on H wy | D ecatur, GA 30032
OFFE RING MEMO RANDUM
™
1
FORTY
15
APARTMENTS
D E C AT U R , G A
EXCLUSIVELY LISTED BY
CONNOR KERNS AUSTIN GRAHAM
Associate VP, Multifamily Associate VP, Multifamily
DIR +1 (404) 445-1090 DIR +1 (404) 445-1091
MOB +1 (419) 733-5906 MOB +1 (407) 463-9752
connor.kerns@matthews.com austin.graham@matthews.com
License No. 408600 (GA) License No. 408272 (GA)
KYLE MATTHEWS
Broker of Record
License No. 67120 (GA)
2
FORTY
15
APARTMENTS
D E C AT U R , G A
TABLE OF CONTENTS
04 Property Overview
09 Area Overview
21 Financial Overview
PROPERTY
OVERVIEW
4
OPPORTUNITY
Matthews Real Estate Investment Services™ is proud to offer the Forty15 Apartments located at 4015 Covington Hwy, Decatur, GA 30032. This 110-unit apartment building is an
opportunity for an investor to purchase an asset with tremendous upside left to recapture in one of the top emerging markets in the United States. Located just inside of the I285
perimeter, this asset is well positioned near many attractions in the Belvedere Park area and other neighborhoods such as East Lake, Oakhurst, and downtown Decatur. The
property consists of (72) Two Bedroom/One Bathroom and (38) Two Bedroom/One and a Half Bathroom Units.
Based on the achievable market rent at comparable properties, there is an opportunity to increase the in-place current average rent nearly $350-300/unit through the implementation
of a strategic renovation plan. With YoY rent growth in this submarket at 10.6% and population growth projections through 2028 at 3.15-3.75%, this asset will continue to provide
steady improvement and appreciation growth well into the future.
PROPERTY HIGHLIGHTS
• 110 Units, Built in 1963 • Opportunity Zone: Yes
• Gross Building Square Footage of 110,076 SF • Option to build back Laundry Facility On-Site
• Average Unit: 1,001 SF • Washer/Dryer Hookups in the 2/1.5 Floorplans
only, option to build back laundry facility
• Consists of (72) Two Bedroom/One Bathroom
Flats & (38) Two Bedroom/One and a Half • Business Office, Playground, Grilling,
Bathroom Townhomes & Picnic Area
• Two Floor Plans: 943 SF & 1,110 SF • Cable Ready Units & High-Speed
Internet Access
• Number of Buildings: 21
• Wood Inspired Flooring
• Lot Size: 8.60 Acres
• Walk-In Closets, Balconies & Patios
• Density: 13 Units/AC
• Roofs: 5-7 Years Old
• Parking: 200 Surface Spaces
• Windows: Original
• Zoning: RM75
• Central HVAC in all the Townhome Units &
• Wood Frame Construction PTAC in all the Flats
• Walk Up Style Units • Tenant Rent Includes: Water, Sewer, &
Trash Removal
• Individually Metered for Electricity
• Property Taxes capped at a $8M valuation
through 2023
• Copper Wiring
• Assumable Financing Available
• Exterior Plumbing Replaced, and RUBS
system for Water/Sewer.
5
COMMUNITY FEATURES
Playground • Grill / Picnic Area
Pets Welcome • Business Office • On-Site Property Manager
UNIT AMENITIES
Ceiling Fans • Balconies • Dishwasher • Disposal
Refrigerator • Wood Inspired Flooring • Walk-In Closets • Cable Ready
Washer / Dryer Connections in the 2/1.5 Floor Plans • Heating & Air Conditioning
6
7
8
AREA
OVERVIEW
9
DECATUR, GA DEMOGRAPHICS
Located northeast of Atlanta, Decatur has a traditional small-town POPULATION 1-MILE 3-MILE 5-MILE
atmosphere mixed with the sophistication and excitement of a college 2027 Projection 11,699 95,774 290,898
town, and all the benefits of living in a major metropolitan area. A 2022 Estimate 11,405 93,387 282,993
stroll through town features friendly neighbors, tree-lined streets, Growth 2022-2027 2.58% 2.56% 2.79%
award winning schools, parks and playing fields, libraries, colleges, Growth 2010-2022 12.13% 7.57% 10.13%
and businesses. Decatur is just minutes from downtown Atlanta, Stone HOUSEHOLDS 1-MILE 3-MILE 5-MILE
Mountain, and a MARTA rail station is located in the downtown square. 2026 Projection 4,583 35,930 111,491
2021 Estimate 4,537 35,495 109,957
Growth 2022-2027 1.01% 1.23% 1.39%
Growth 2010-2022 11.67% 9.8% 11.09%
HOUSEHOLDS 1-MILE 3-MILE 5-MILE
Average HH Income $57,772 $73,306 $82,114
5 MILES NORTHEAST OF
DOWNTOWN ATLANTA
EVERYTHING IS GREATER
IN DECATUR
- Unofficial City Motto
10TOP 50 NATIONAL LIBERAL
ARTS COLLEGES
- U.S. News & World Report
#1 MOST INNOVATIVE
NATIONAL LIBERAL ARTS
COLLEGE
- U.S. News & World Report
AGNES SCOTT COLLEGE
Decatur is home to Agnes Scott College, recently ranked as one of the top 50
national liberal arts colleges, the Southeast’s best women’s college, No. 1 Most
Innovative National Liberal Arts College, and Georgia’s best liberal arts college
by U.S. News & World Report in its annual “America’s Best Colleges” survey.
Since 1889, Agnes Scott College has empowered students to fulfill their potential
ENROLLMENT
through an innovative liberal arts education. They believe in big questions, global
• ±1,115 Students & 11:1 Student/Faculty Ratio
perspectives, and leading change. The college is a community of dreamers, the
• 12 Countries Represented
intellectually curious, and the socially engaged fulfilling their potential.
• 9 Graduate and Post-Bacc Programs
Nestled in a corner of Decatur, the Agnes Scott College campus is a mix of green • 34 Undergraduate Majors
space, historic buildings, trees and walking paths. From the residence halls to the
classroom buildings to the dining hall and beyond, students feel right at home.
11ATLANTA, GA #2 MOVING DESTINATION
IN THE NATION
Atlanta is the capital of and the most populous city in the U.S.
- Penske, “Annual Top Moving
state of Georgia, the cultural and economic center of the Atlanta
Destinations List, 2020”
metropolitan area, and the ninth-largest metropolitan area in the
United States. Atlanta has a diversified economy with healthy
concentrations in transportation/logistics, media, information
technology, entertainment, tourism, financial services, government,
and education and healthcare. Atlanta is home to 30 headquarters
of Fortune 500/1000 companies. In fiscal year 2019, these 30
companies generated an aggregate revenue of $438 billion.
#2 METRO AREA FOR
Atlanta is an “alpha-” or “world city”, exerting a significant impact BUSINESS CLIMATE
upon commerce, finance, research, technology, education, media,
- Business Facilities, “2020 Metro
art, and entertainment. It ranks 36th among world cities and 8th in
Rankings Report”
the nation with a gross domestic product of $270 billion. Atlanta’s
economy is considered diverse, with dominant sectors including
logistics, professional and business services, media operations, and
information technology.
Atlanta is home to professional franchises for three major team sports:
the Atlanta Braves of Major League Baseball, the Atlanta Hawks of
the National Basketball Association, and the Atlanta Falcons of the #3 CITY FOR REAL ESTATE
National Football League. Due to the more than 30 colleges and
CONDITIONS
universities located in the city, Atlanta is considered a center for
- Site Selection Group, “2020 Tech City
higher education.
Ranking Report”
12#8 BEST CITY IN THE SOUTH
- Southern Living, “The South’s Best Cities, 2020”
ATLANTA TOURISM
Atlanta is the most-visited destination in the state of Georgia. Atlanta offers lots of tourist attractions such as the
Georgia Aquarium, the World of Coca-Cola, the Atlanta Botanical Garden, and many more. Atlanta also hosts several ATLANTA BRAVES
(Major League Baseball)
annual food, film, and music festivals each season. Atlanta is known for its fabulous shopping malls. Shopping
centers such as Lenox Square with 250 stores, Perimeter Mall with 158 stores, and Cumberland Mall with 143 stores
all make Atlanta a shopaholic’s paradise. Atlanta is also home to four professional sports teams: Atlanta Braves,
Atlanta Falcons, Atlanta Hawks, and Atlanta United FC. Over 50 million people visit Atlanta annually.
ATLANTA FALCONS
(National Football League)
ATLANTA HAWKS
(National Basketball Association)
ATLANTA EVENTS
Atlanta celebrates various events and festivals each year. Food festivals include the Beer, Bourbon, and BBQ
Festival in the spring, the Atlanta Food and Wine Festival in the summer, the Atlanta Greek Festival in the fall, and
the Oysterfest in the winter. Music and film festivals include the Shaky Knees Music Festival in the spring, the Tunes
from the Tombs at Historic Oakland Cemetery in the summer, the Imagine Music Festival in the fall, and the Atlanta ATLANTA UNITED FC
Jewish Film Festival in the winter. (Major League Soccer)
13M U S E U M S & ART
A M L K J R . N AT I O N A L H I STO R I C PA R K
B AT L A N TA H I STO RY C E N T E R
C F OX T H E AT R E
D N AT I O N A L C E N T E R F O R H U M A N R I G H TS
H
E FERNBANK MUSEUM
F D E LTA F L I G H T M U S E U M D
G J I M M Y CA RT E R L I B R A RY A N D M U S E U M
E
H H I G H M U S E U M O F A RT
A B
TO D O J
A P I E D M O N T PA R K C H AT TA H O O C H EE R I VER
I C
H N AT I O N A L R E C R E AT I O N AR EA
K
B AT L A N TA B OTA N I CA L GA R D E N
I
B
M E R C E D E S B E N Z STAD I U M
C AT L A N TA B E LT L I N E
J F
S KY V I E W AT L A N TA
D H
D C E N T E N N I A L O LY M P I C PA R K
A
E T R U I ST PA R K
C B E H FORTY
F STO N E M O U N TA I N PA R K
D F C 15
I E
APARTMENTS
G AT L A N TA ZO O
D G
SHOPPING J A
A I G
CUMBERLAND MALL B U C K H E A D STATI O N
B R O S W E L L -W I E U CA C E N T E R J PHIPPS PLAZA
C BRIARCLIFF SHOPPING CENTER K L E N OX S Q UA R E
D B U F O R D H I G H WAY FA R M E R S M A R K E T F
E E D G E WO O D R E TA I L D I ST R I C T
F AT L A N T I C STAT I O N
G T H E D I ST R I C T AT H OW E L L M I L L
H TO C O H I L L S S H O P P I N G C E N T E R
Area Overview 14ATLANTA ECONOMY GLOBAL HEADQUARTERS
Metro Atlanta is recognized as an international gateway and the economic engine of the Southeast.
As the largest economy of all metros in the region, metro Atlanta offers diverse businesses and
services, with dominant sectors including logistics, professional and business services, media
operations, and information technology. ACCORDING TO INVEST ATLANTA, 1.9M JOBS ARE TO
BE CREATED BY 2040 AND THE RESIDENT POPULATION WILL INCREASE TO 1.5M BY 2050.
Encompassing $304 billion, the Atlanta metropolitan area is the eighth-largest economy in the
country and 17th-largest in the world. HOME TO 26 OF AMERICA’S LARGEST CORPORATIONS
(FORTUNE 1000) AND 220 OF THE NATION’S FASTEST-GROWING PRIVATE COMPANIES (INC.
5000), metro Atlanta is a premier location for regional and global headquarters. In fact, Atlanta
contains the country’s third-largest concentration of Fortune 500 companies. Over 75 percent of
Fortune 1000 companies conduct business operations in the Atlanta metropolitan area, and the
region hosts offices of about 1,250 multinational corporations.
Metro Atlanta is a thriving ecosystem for entrepreneurs and new businesses. In 2017, ATLANTA
WAS NAMED A RUNNER-UP TO THE TOP 20 TECH STARTUP ECOSYSTEMS GLOBALLY AND
ONE OF THE TOP 10 CITIES FOR CORPORATE INNOVATION. There is an abundance of creative
energy, talent, and entrepreneurial spirit in metro Atlanta. Many companies choose metro Atlanta
to locate their innovation centers.
Atlanta is home to more than 64 accredited universities, colleges, and technical schools. Atlanta is
home to three national universities which together account for approximately 100,000 in students,
faculty, and staff. THE COLLEGES AND UNIVERSITIES IN THE ATLANTA REGION CREATE OVER
130,000 JOBS FOR THE STATE OF GEORGIA AND HAVE HIGH CONTRIBUTIONS TO THE
STATE’S ECONOMY. According to the Metro Atlanta Chamber of Commerce, Atlanta is a national
leader in attracting college-educated 25 to 34-year-olds to the region.
15TECHNOLOGY MAJOR EMPLOYERS
Atlanta is home to world-class technology community – from startups to FORTUNE 500
companies with strengths in FinTech, cybersecurity, IoT/mobile, health IT, digital media, and COMPANY # OF EMPLOYEES
supply chain. Headquartered in Atlanta’s Technology Square, the Advanced Technology
Delta Air Lines 34,500
Development Center (ATDC) is a startup incubator at Georgia Tech that helps technology
entrepreneurs in Georgia launch and build successful companies. ATDC serves as the hub for Emory University/Emory Healthcare 32,091
technology entrepreneurship in Georgia. ATDC Select is a three-year incubator program for high
potential technology companies. In addition, ATDC provides services open to all technology The Home Depot 16,510
entrepreneurs in Georgia. According to Forbes, ATDC is one of the twelve business incubators
Northside Hospital 16,000
changing the world.
Piedmont Healthcare 15,900
Publix Super Markets 15,591
WellStar Health Systems 15,353
SUPPLY CHAIN & ADVANCED MANUFACTURING
The Kroger Co. 15,000
Atlanta is the global logistics hub for the Southeast with an extensive intermodal network of air,
road, rail, and port. Atlanta ranks 5th in the nation for metro area transportation and logistics AT&T 15,000
employment and is the 6th largest U.S. industrial real estate market. Strengths include supply
UPS 14,594
chain management software, distribution services, food processing, aerospace, and automotive.
Marriot International 12,000
#1 METRO AREA TECH HUB Children’s Healthcare of Atlanta 9,000
- Business Facilities, “2020 Metro Rankings Report”
Cox Enterprises 8,894
Center for Disease Control and
8,403
#3 BEST CITY FOR YOUNG ENTREPRENEURS Prevention (CDC)
- Forbes The Coca-Cola Company 8,000
Source: Metro Atlanta Chamber
#4 METRO AREA FOR STEM PROFESSIONALS
- WalletHub, 2020
16D U LU TH
ASB URY AUTO GRO UP
P RIMERICA
D U NWOODY
UP S WO RLD H Q
KEN N ESAW
N EW ELL B RAN DS
A A RONS HQ
W ESTRO CK
VERITIV CO P O RATE
VINNINGS N ORT H B U C K H EAD B EAZER H O MES
HOM E DEPOT HQ PU LT E G R OU P GLO B AL PAYMEN T S IN C
G R AY T E L E V IS IO N IN C
FORTY
15
APARTMENTS
AT L A N TA
C U M B E RLA ND
T HE COCA CO LA H Q
G E N UI N E PART S CO M PA NY
S O U T HE R N CO MPAN Y
G R A P H I C PACKAG ING
I N T E R N ATIO NAL , L LC NCR G LOB AL H Q
I N T E R CONTIN ENTAL EXC HA NG E AG CO CORP O RATIO N
H D S U P P LY D EVE LOPM ENT C ENTER F L E E TCOR TECH N O LO GIES
B LUE L I NX CO RP ORAT I ON CA RT E R’ S H Q
F LO O R & D E COR HOLDI NG S E QU IFA X
ACU IT Y B RAN DS IN C
R O L L INS INC
H A PE V I L L E
D E LTA A IR L INE S
17#3 CITY FOR WORK-FROM-HOME CONDITIONS #3 METRO AREA FOR CORPORATE HEADQUARTERS
- Site Selection Group, “2020 Tech City Ranking Report” - Business Facilities, “2020 Metro Rankings Report”
#5 METRO AREA FOR ANNUAL JOB GROWTH #6 METRO AREA FOR STARTUP ECOSYSTEM
- Metro Atlanta Chamber analysis of U.S. Bureau of Labor Statistics, 2020 - Business Facilities, “2020 Metro Rankings Report”
ECONOMIC DEVELOPMENTS
COMMON TO OPEN SECOND HEADQUARTERS BOSTON CONSULTING GROUP EXPANSION
Common, one of the nation’s leading residential brands and operators Boston Consulting Group (BCG), one of the world’s leading management
of multifamily properties for renters, is planning on opening its second consulting firms, is expanding the company’s Atlanta Business Services
regional headquarters in Atlanta. The $7 million investment will create Center. The $18 million investment will add nearly 60,000 square feet of
274 additional jobs in the Atlanta metro area. space to the current Nexus office in Atlanta and bring 331 new jobs to
Fulton County.
KAINOS TO OPEN NORTH AMERICAN SALES & IT OFFICE IN ATLANTA
Kainos, a UK-based software company, is planning on opening a North America sales and IT office in the Buckhead district of Atlanta. The $1.2 million
investment will bring around 137 jobs to Fulton County.
18EMORY UNIVERSITY
Founded in 1836, Emory University is a private research university near downtown
Atlanta. As of Fall 2019, over 15,400 students attend the university. The university
offers over 70 undergraduate programs and over 40 Ph.D. programs. Emory
University is known for being the home of the largest and most comprehensive
healthcare system in the state of Georgia. Emory Healthcare is affiliated with
healthcare institutions such as the Carter Center and the Center for Disease
Control and Prevention.
The Emory University Eagles participate in 8 men’s sports and 9 women’s sports.
All varsity level sports teams play at the NCAA Division III level as a member of
the University Athletic Association. The Eagles have won a total of 206 UAA team ENROLLMENT
championships and a total of 27 Division III national championships. • ±15,400 Students & ±3,501 Full-Time Faculty
• 30.2% Regular Full-Time Tenured/Tenure-Track
In the fiscal year 2019, Emory University supported 92,000 jobs in Georgia. In Faculty
the last 6 years, the university has tackled $1.4 billion in capital projects. Emory • 153,000 + Graduates
University had a $14.8 billion economic impact in metro Atlanta and a $9.62 billion
economic impact on the state of Georgia in 2019.
Emory University broke ground on a new research facility in 2019, the Health QUICK FACTS
Sciences Research Building II. The facility will be funded in part from a $400 • $831 Million – Research Funding Awarded in FY
million gift from the Robert W. Woodruff Foundation. It will feature core research 2020
functions including advanced imaging, flow cytometry, a biorepository for storing • 50+ Major Research/Education Centers &
biological material, genomics and other state-of-the art technologies. Planned Partnerships
completion in April 2022. • 1,600+ Active Technology Innovations
• 159+ Research Partnerships Abroad
HEALTH SCIENCES RESEARCH BUILDING II
• Over $600 million - Research Awards Brought to
Georgia
RANKINGS (U.S. NEWS & WORLD REPORT, 2021)
• #21 in National Universities
• #23 in Best Value Schools
• #25 in Best Undergraduate Teaching
19ENROLLMENT
• ±40,000 Students & ±1,018 Full-Time Faculty
GEORGIA INSTITUTE OF TECHNOLOGY • 166,000 + Alumni
Founded in 1885, the Georgia Institute of Technology is a public research
university located in Atlanta. As of Fall 2020, around 40,000 students attend
Georgia Tech. The university offers over 36 undergraduate and 77 graduate
degrees across its six colleges.
QUICK FACTS
The Georgia Tech Yellow Jackets participate in 8 men’s sports and 7 women’s • Georgia Tech is one of the South’s largest industrial
and engineering research agencies.
sports. All varsity level sports teams play at the NCAA Division I level as a
• Georgia Tech plays a leading role in the Georgia
member of the Atlantic Coast Conference. The Yellow Jackets have won 4
Research Alliance, a centerpiece of the state’s
national football championships. economic development strategy.
• Research is conducted for industry and government
In 2018, Georgia Tech supported over 27,000 jobs in the metro Atlanta area
by the Georgia Tech Research Institute, various
and had an economic impact of $3.3 billion for that year. In the fiscal year academic schools and departments, and more than
2019, research and development attracted over a billion dollars in grants, 100 interdisciplinary research units.
contracts, and other awards from federal government agencies, companies, • More than 700 businesses, industries, and organizations
and private organizations. During the same year, the university filed for 87 U.S. throughout the U.S. and abroad employ Georgia Tech
co-op students and interns each year.
patent applications and 55 licenses for intellectual property. Over 300 startup
• The Advanced Technology Development Center
companies have been created due to Georgia Tech inventions. Georgia Tech (ATDC) is recognized by Forbes magazine as one of the
lives up to its motto of “Progress and Service”. 12 incubators “changing the world”. Founded in 1980,
ATDC is the oldest incubator in the U.S. with more than
$2 billion raised by 150 graduates.
RANKINGS (U.S. NEWS & WORLD REPORT, 2021)
• #4 in Most Innovative Schools
• #4 in Best Undergraduate Engineering Programs
• #8 in Top Public Schools
20FINANCIAL
OVERVIEW
21INVESTMENT SUMMARY
PRICE
TBD BY MARKET
LOCATION OCCUPANCY YEAR BUILT / RENOVATED AVG MARKET RENT/MO
DECATUR, GA 80% 1970 $954
TOTAL UNITS AVG UNIT SIZE RENTABLE SF AVG MARKET RENT/SF
110 1,001 SF 110,076 SF $0.95
UNIT MIX
Monthly Rent Renovation
Unit Mix Floor Plan Unit Size Beds # Units Occupied Vacant
Market In-Place Status
2+1 Classic 943 SF 2 BR 47 units 36 units 10 units $ 1,050 $ 902 -
2+1 Elite 943 SF 2 BR 16 units 12 units 4 units $ 1,006 $ 932 Premium
2+1 Premium 943 SF 2 BR 9 units 8 units 1 units $ 1,000 $ 942 Elite
2+1.5 Classic 1,110 SF 2 BR 16 units 13 units 3 units $ 1,250 $ 960 -
2+1.5 Elite 1,100 SF 2 BR 15 units 12 units 3 units $ 1,250 $ 1,066 Premium
2+1.5 Premium 1,100 SF 2 BR 7 units 6 units 1 units $ 1,293 $ 1,092 Elite
Total/Average 1,001 SF - 110 units 87 units 22 units $1,111 $954 -
FOR FINANCING INQUIRIES CONTACT:
CHAD PLUMLY
First Vice President
DIR +1 (404) 348-4873
MOB +1 (404) 580-0093
chad.plumly@matthews.com
22YEAR 1 PROFORMA
T12 Annualized Year 1 Pro Forma
$ Total Per Unit Mkt % $ Total Per Unit Mkt % Notes/ Comments
OPERATING REVENUE
Potential Market Rent $ 972,473 $ 8,864 100.00% $ 1,547,991 $ 14,073 100.00%
(Loss to Lease) / Gain to Lease - - - ($ 123,839) ($ 1,126) (8.00%) Assumed 8% in Yr1, 5% in Yr2, 2% in Yr3, and 1% thereafter
Gross Potential Revenue $ 972,473 $ 8,864 100.00% $ 1,424,152 $ 12,947 92.00%
Vacancy (incl. Renovation Downtime) - - - ($ 154,799) ($ 1,407) (10.00%) Assumed 10% Vacancy in Yr1, 8% in Yr 2, & 5% thereafter
Concessions - - - - - -
Non-Revenue Units - - - ($ 13,296) ($ 121) (0.86%)
Base Rental Revenue $ 972,473 $ 8,864 100.00% $ 1,256,057 $ 11,419 81.14%
Garage / Parking - - - - - -
Expense Reimbursements - - - $ 39,784 $ 362 2.57%
Other Residential Income $ 75,160 $ 602 6.79% $ 35,000 $ 318 2.26%
Other Income $ 75,160 $ 602 6.79% $ 74,784 $ 680 4.83%
EFFECTIVE GROSS REVENUE $ 1,047,632 $ 9,466 106.79% $ 1,330,841 $ 12,099 85.97%
Current Year 1 Pro Forma
OPERATING EXPENSES EGR
Repair & Maintenance $ 81,460 $ 741 7.82% $ 55,000 $ 500 4.13% Assumes $500/unit due to the renovation of units
Contract Services - - - $ 16,500 $ 150 1.24%
Security - - - $ 5,500 $ 50 0.41%
Landscaping / Grounds - - - $ 8,250 $ 75 0.62%
Personnel $ 148,895 $ 1,354 14.30% $ 143,000 $ 1,300 10.75%
Marketing / Advertising $ 1,659 $ 15 0.16% $ 8,250 $ 75 0.62%
Administrative Expenses $ 34,136 $ 310 3.28% $ 33,000 $ 300 2.48%
Assumes $50/unit in Year 1 & 2 due to planned renovations,
Turnover / Make-Ready $ 18,805 $ 171 1.81% $ 5,500 $ 50 0.41% assumes increasing to $150/unit in Year 3
Other Utilities $ 78,007 $ 709 7.49% $ 79,567 $ 723 5.98%
Insurance - - - $ 55,000 $ 500 4.13%
Real Estate Taxes $ 275,435 $ 2,504 26.45% $ 140,448 $ 1,277 10.55% T-12 includes RE Taxes and Insurance
Property Management Fee $ 38,559 $ 351 3.70% $ 39,925 $ 363 3.00%
TOTAL OPERATING EXPENSES $ 676,957 $ 6,154 65.01% $ 589,940 $ 5,363 44.33%
NET OPERATING INCOME
Net Operating Income (Bef. Reserves) $ 370,676 $ 3,312 34.99% $ 740,900 $ 6,735 55.67%
Replacement Reserves $ 22,000 $ 200 2.11% $ 22,000 $ 200 1.65%
NET OPERATING INCOME (AFT. RESERVES) $ 348,676 $ 3,112 32.87% $ 718,900 $ 6,535 54.02%
23SALE COMPARABLES
Number Building Size Per Square
Address Sale Price Per Unit Sale Date Year Built
of Units (SF) Foot
S Forty15 Apartment Homes
4015 Covington Hwy, Decatur, GA 30032
TBD TBD TBD 110 110,076 TBD 1970
1
Avondale Townhomes
$18,200,000 $149,180 12/20/2022 122 138,938 $130.99 1972
1055 Holcombe Rd, Decatur, GA 30032
2
Park 35
$40,500,000 $133,224 9/30/2022 304 266,530 $151.95 1980
3529 Robins Landing Way, Decatur, GA 30032
3 4371 Glenwood Rd, Decatur, GA 30032 $21,450,000 $122,571 8/16/2022 175 192,300 $111.54 1967
4
Cobbs Creek Apartment Homes
$18,900,000 $137,956 8/9/2022 137 115,628 $163.46 1962
3961 Covington Hwy (Portfolio), Decatur, GA 30032
5
Spring Creek Apartment Homes
$16,100,000 $133,058 8/9/2022 121 125,477 $128.31 1972
3859 Austin Cir (Portfolio), Decatur, GA 30032
6
Langley Place Apartments
$15,283,000 $129,517 7/18/2022 118 89,100 $171.53 1973
3801 Kensington Ct, Decatur, GA 30032
7
Villas at Decatur
$50,742,750 $116,382 4/28/2022 436 436,986 $116.12 1964
2892 Eastwyck Cir, Decatur, GA 30032
8
Forest at Columbia
$19,500,000 $112,717 4/28/2022 173 192,026 $101.55 1967
2505 Columbia Dr, Decatur, GA 30034
9
Brentwood Apartments
$24,180,000 $155,000 4/13/2022 156 163,480 $147.91 1969
3799 N Decatur Rd, Decatur, GA 30032
10
Rainbow Forest Apartments
$22,450,000 $143,910 3/25/2022 156 193,908 $115.78 1972
3100 Rainbow Forest Cir, Decatur, GA 30034
11 Rockwell Pointe
4565 Covington Hwy, Decatur, GA 30035
$25,750,000 $119,213 2/3/2022 216 259,200 $99.34 1973
Average $132,066 $130.77
24SALE COMPARABLES MAP
9
6
1
4
S
11
2 3
5
7 8
10
25RENT COMPARABLES
Building Monthly
Address Year Built Units Unit Mix SQ.FT PSF
Size (SF) Rent
S Forty15 Apartment Homes
4015 Covington Hwy, Decatur, GA 30032
1970 110 110,076
2+1
2+1.5
$856
$961
943
1,110
$0.91
$0.87
Cobbs Creek Apartment Homes
1 3975 Covington Hwy (Renovated Units)
Decatur, GA 30032
1962 136 122,250
2+1
2+1
$1,189
$1,319
810
1,000
$1.47
$1.32
2
Avondale Townhomes
1972 122 138,938 2+1.5 $1,370 1,054 $1.30
1055 Holcombe Rd (Renovated), Decatur, GA 30032
3
Park Estates
1985 100 105,000 2+2 $1,400 1,050 $1.33
1150 Maple Walk Cir, Decatur, GA 30032
4
Rockwell Pointe
1973 216 330,836 2+1.5 $1,270 1,100 $1.15
4565 Covington Hwy, Decatur, GA 30032
5
Langley Place Apartments
1973 118 89,100 2+1 $1,225-$1,342 900 $1.43
3801 Kensington Ct, Decatur, GA 30032
6
Spring Creek Apartment Homes
1972 118 123,558 2+2 $1,289 1,066 $1.21
3859 Austin Cir, Decatur, GA 30032
7
Hidden Woods 2+2 $1,450 1,144 $1.27
1973 166 205,278
4655 Glenwood Rd, Decatur, GA 30032 2+2 $1,550 1,298 $1.19
8 4371 Glenwood
4371 Glenwood Rd, Decatur, GA 30032
1967 175 192,300
2+1
2+1
$1,299-$1,425
$1,550
1,100
1,000
$1.24
$1.55
Average $1,376 $1.31
26RENT COMPARABLES MAP
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27CONFIDENTIALITY AGREEMENT & DISCLAIMER
This Offering Memorandum contains select information pertaining to the business and affairs of Forty15 Apartments located at 4015 Covington Hwy, Decatur, GA 30032
(“Property”). The Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this
Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose
or made available to any other person without the written consent of Seller or Matthews Real Estate Investment Services. The material and information in the Offering
Memorandum is unverified. Matthews Real Estate Investment Services has not made any investigation, and makes no warranty or representation, with respect to square
footage, income and expenses, the future financial performance of the property, future rent, and real estate value market conditions, the condition or financial prospects
of any tenant, or the tenants’ plans or intentions to continue to occupy space at the property. All prospective purchasers should conduct their own thorough due diligence
investigation of each of these areas with the assistance of their accounting, construction, and legal professionals, and seek expert opinions regarding volatile market
conditions given the unpredictable changes resulting from the continuing COVID-19 pandemic. The information is based in part upon information supplied by the Owner
and in part upon financial information obtained from sources the Owner deems reliable. Owner, nor their officers, employees, or real estate agents make any representation
or warranty, express or implied, as to the accuracy or completeness of this Offering Memorandum, or any of its content, and no legal liability is assumed or shall be implied
with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein.
By acknowledging your receipt of this Offering Memorandum for the Property, you agree:
1. The Offering Memorandum and its contents are confidential;
2. You will hold it and treat it in the strictest of confidence; and
3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest
of the Seller.
Matthews Real Estate Investment Services is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee in the Offering Memorandum. The presence
of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Matthews Real Estate Investment
Services.
Owner and Matthews Real Estate Investment Services expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase
the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a
written agreement for the purchase and sale of the Property has been fully executed and delivered.
If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such negotiations, then you agree to purge all materials
relating to this Property including this Offering Memorandum.
A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale
of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective
purchaser have any other claims against Seller or Matthews Real Estate Investment Services or any of their affiliates or any of their respective officers, Directors, shareholders,
owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.
This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of
affairs of the Property since the date this Offering Memorandum.
28FORTY
15
APARTMENTS
D E C AT U R , G A
EXCLUSIVELY LISTED BY
CONNOR KERNS AUSTIN GRAHAM
Associate VP, Multifamily Associate VP, Multifamily
DIR +1 (404) 445-1090 DIR +1 (404) 445-1091
MOB +1 (419) 733-5906 MOB +1 (407) 463-9752
connor.kerns@matthews.com austin.graham@matthews.com
License No. 408600 (GA) License No. 408272 (GA)
KYLE MATTHEWS
Broker of Record
License No. 67120 (GA)
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