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13
<br /> SECTION II
<br />LRV OF THE PROJECT
<br />
<br />
<br />
<br />Related Bristol at 3600 South Bristol Street September 27, 2023
<br />Land Residual Value Study Report
<br />
<br />www.FinanceDTA.com
<br />Below is a summary of the value of the congregate care facility.
<br />Table 11: NAV for Congregate Care
<br />Congregate Car e Facility Per Room
<br />per Month
<br />Total Per
<br />Month Annual
<br />Revenues From Rooms $7,500 $1,500,000 $18,000,000
<br />Vacancy ($375) ($75,000) ($900,000)
<br />Revenues After Vacancy $7,125 $1,425,000 $17,100,000
<br />Revenues From Services $3,420 $684,000 $8,208,000
<br />Total Revenues $10,545 $2,109,000 $25,308,000
<br />Department Expenses ($4,451) ($890,288) ($10,683,450)
<br />Undistributed Operating Expenses ($2,925) ($585,000) ($7,020,000)
<br />Insurance and Property Tax ($143) ($28,500) ($342,000)
<br />Total Operating Expenses $3,026 $605,213 $7,262,550
<br />Capital Reserves ($143) ($28,500) ($342,000)
<br />Net Operating Income $2,884 $576,713 $6,920,550
<br />NAV @ 6.5% Cap Rate $106,470,000
<br />The Specific Plan specifies there will be 3,896 parking spaces. DTA assumed that all
<br />common spaces would generate $100 per month in NOI after operating expenses. We
<br />estimated the 121 spaces allocated to the hotel property would generate $600 per day after
<br />operating expenses. DTA further assumed the parking spaces would be valued at a cap rate
<br />of 6.0%.
<br />Table 12: Parking Summary
<br />Parking Spaces Phase 1 Phase 2 Phase 3 Total
<br />Common Spaces 1,667 664 1,444 3,775
<br />Hotel Spaces 121 0 0 121
<br />Total Spaces 1,788 664 1,444 3,896
<br />Monthly Revenue from Common Spaces $100 $100 $100 $377,500
<br />Monthly Revenue from Hotel Spaces $600 0 0 $72,600
<br />Annual Income Common Spaces $2,000,400 $796,800 $1,732,800 $4,530,000
<br />Annual Income Hotel Spaces $871,200 $0 $0 $871,200
<br />Total Annual Parking Income $2,871,600 $796,800 $1,732,800 $5,401,200
<br />NAV Parking Spaces @ 6% Cap Rate $47,860,000 $13,280,000 $28,880,000 $90,020,000
<br />
<br />Exhibit 10
<br />
<br />
<br />City Council 22 – 498 9/17/2024
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