Milford Professional Park

Milford Professional Park, located on 10 Buist Rd, Milford, PA is a Professional Business Park with 35,000 square feet of leasable space in 18 units on a total of 10.5 acres. The Park is currently 83% occupied with the majority being long-standing tenants. The closing of the property was completed September of 2018.

Background – Property Summary:

Zoning: Resort Commercial

Lot Size: 10.5 Acres

Year Built/Remodeled: 1990, New Roof 2015

Units for Lease: 18

Square Feet: 35,000

Construction: Wood

Exterior: Vinyl,  Interior – Drywall

Flooring: Sheetrock Carpet and Tile

Investment Strategy

The property will maintain all current operating expenses at a minimum 67.5% occupancy level based on the current average rate per square foot lease rate.  The Fund Manager anticipates 90% occupancy and a minimum annual lease rate increase of 4.0% over the next two year period.  The property also offers the opportunity to build additional commercial rental units within the same property.

Investment Data

Current Occupancy: 83%

Current Annual Lease Income: $370,030.00

Current Annual Operating Expenses: $255,225.00

Current Anticipated Distribution: $114,805.00

Current Anticipated Distribution Rate: 15.20%

Projected Annual Lease Income at 90% Occupancy: $446,566.00

Projected Annual Operating Expenses: $285,225.00

Projected Annual Distribution: $161,341.00

Projected Annual Distribution Rate: 21.36%

Financial Data

Total Purchase Price at Settlement: $1,850,000.00

Total Closing Costs: $76,020.00

Total amount Financed: $1,202,500.00

Non-Recourse Loan

Total Fund Investment: $723,520.00

Total Raise for Project: $755,000.00

Excess Funding Provides for working Capital for Real Estate Taxes Due.