Sample Deals

Direct Investment

4355 Kearney Denver, CO

4355 Kearney is a 218,000 sft. industrial building located between Holly and Monaco on the south side of Interstate 70 in Denver, CO. It is surrounded by older industrial buildings and virtually no vacant land. The building has 800 feet frontage on I70 which has traffic counts of 46,000,000 per year and 124,000 per day. It is one of the only >200,000 sft vacant buildings available for lease in the marketplace. The business plan calls for leasing the vacant building up at aggressive lease rates after a $1.5m exterior/interior renovation. Investor level IRR is projected to be in the 30 to 40% range. Dividend Realty Group is part of the general partner entity and was responsible for raising the equity on this deal.

Havana Self Storage Aurora, CO

Havana Self Storage is a 116 unit self storage facility in Aurora, CO. The facility is unique as it is located in a retail location, next to BigO Tires and across the street from Lowes Home Improvement on Havana Street where 40,000 cars drive by each day. The facility was severely mismanaged and could not reach an occupancy rate above 30% from its inception in 2002. Dividend acquired the property in 2006 and with its aggressive leasing plan, had it stabilized within 8 months. One of the most attractive features of this deal is the 70% seller carry loan which requires no interest payments over the first 2 years. Investor IRRs will range in the 25 to 50% range dependent on holding period. Feel free to visit the property web site at www.havanaselfstorage.com.

Copper Junction Copper Mountain, CO

Copper Junction is a 6,057sft retail property located at the base of the Copper Mountain Ski Resort in CO. Its location sets it apart from others within the base village as it is only 30 feet from the American Eagle ski lift. The building is occupied by Specially Sports Venture, a retail sports corporation with over 120 locations throughout the US. While under contract, Dividend was able to negotiate a 10 year lease term with the tenant resulting in $500,000 of added value. The non recourse 10-year loan provides flexibility to the disposition plan which may be to flip the asset in one year for a 70% IRR or hold long term for average cash on cash returns in the 10 to 20% range.

Broncos Plaza Centennial, CO

Broncos Plaza is a 16,000 sft office condominium development located just off the Arapahoe and Broncos Parkway interchange. It is within 1/2 mile of the high end retail located on Arapahoe and Parker road. Pre-sales will begin first quarter 2008 and office condos are on track to be delivered second quarter 2009. When developed, Broncos Plaza will be 2 stories and will provide separate entrances for most first floor suites. It will also provide mountain views on the second floor and roof top terrace. Broncos Plaza will offer spaces for sale in the 500 to 8,000 sft range as market demands. Dividend Realty Group believes there is strong demand for the smaller office condominiums as they are not offered in the marketplace and as demographics seem to support such. Projected investor IRRs range in the 25 to 35% range depending on holding periods.

204 N. Union Colorado Springs, CO

204 Union is a 7,500 sft Class C+ retail strip center located just off the Union and Pikes Peak interchange in Colorado Springs, CO. It is located next to a Burger King and is just across the street from a newly developed Walgreens. The asset was acquired at a 9% cap rate on as-income with an occupancy rate of only 66%. After a complete renovation of the exterior the property should reach stabilization and investor Cash on Cash Returns will be in the 25%+ range. The renovation will include new parking, landscape, exterior and signage.

Limited Partner Investment

Kauer Building Littleton, CO

Dividend and its investors have an ownership interest in this 10,000 sft mixed use value-add opportunity located in the Historic Downtown Littleton District. The business plan calls for vacating the building of all retail and office tenants, a complete interior/exterior renovation and an aggressive lease up program. Dividend and its investors will be the beneficiary of above market cash on cash returns (ranging in the 10 to 17%) on this target 10 year investment hold.

Union Bank Building Orange County, CA

Dividend and its Investors have a 1031 Exchange TIC ownership interest in this 385,000 sft office building located in Orange County, CA. Approximately 75% of the building is occupied by credit tenants and it is within walking distance to dining, Main Place Mall, banking and Children’s Hospital of Orange County. Dividend and its investors traded into this asset at $112 per sft which is 50% of replacement cost. The investment generates a 7.0%+ cash on cash return and the projected IRR is in the 18 to 25% range dependent on investment hold.