4108 Deeboyar Ave Positioning Analysis

NOTES
INCOME
Pro forma rents represent all units at adjusted market rents. Market rent levels underwritten using comparable market rents and assumes
that the buyer will continue to upgrade the units to market levels, with similar features, upgrades, and amenities as surrounding area properties.
OTHER INCOME
Other Income is based on a current parking rent roll and historic monthly laundry operations. Laundry income is underwritten at $250 per
month, and garages at $850 per month.
ECONOMIC LOSSES
Pro forma vacancy loss is underwritten at 3%, which is common for an asset located in this area. Loss-to-lease is underwritten as market
rents, less the properties current rent roll.
REAL ESTATE TAXES
Real Estate Taxes are calculated on proposed pricing at an ad valorem rate of 1.124997% on the full value of the land and improvements
and $2923.91 for special assessments which was obtained from the LA County Tax Assessors Office.
INSURANCE
Pro forma insurance is underwritten as provided from historical operations.
UTILITIES
Pro forma utilities is underwritten as provided from historical operations.
REPAIRS & MAINTENANCE
Pro forma repairs and maintenance is underwritten as provided from historical operations, and is well over $500 per unit, a standard R&M
expense for an asset of this size and age.
MARKETING
Pro forma marketing is underwritten as 0.5% of current gross potential rent. The property currently does not have a marketing program or
expense in place.
MANAGEMENT FEE
Pro forma management fee expense is underwritten as 5% of gross potential rent which is industry standard for an asset of this size in this
location.
LANDSCAPING
Pro forma landscaping is underwritten as provided from historical operations.
CAPEX/RESERVES
Pro forma replacements and reserves is underwritten at $200 per unit, and represents industry standards for an asset of this size and age.
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