38 BED HOUSING WITH SUPPORT - 14% CAP RATE

Generic photo to protect the privacy of residents

 

$2,900,000

Government subsidized.

Currently at capacity with a waiting list.

Turnkey operation with management in place.

40 minutes from Ottawa

PROFORMA  
Housing with Support  
       
Revenue    $769,783 *
Less Vacancy 5%    $38,489  
     $731,294  
EXPENSES      
   Insurance    $8,359  
   Interest & Bank Charges    $3,500  
   Office & General    $4,000  
   Professional Fee    $2,500  
   Property Taxes    $16,500  
   Repairs & Maintenance    $10,000  
   Salaries & Wages    $138,000  
   Supplies    $75,000  
   Travel/Vehicle    $7,000  
   Utilities    $55,623  
TOTAL EXPENSES    $320,482  
       
NET OPERATING INCOME    $410,812  
       
       
 *Based on 38 x $1,688.12 x 12months. At the time of preparation of this Proforma some residents were waiting for enrolment into County program.
Proforma based on 2021 operating costs and the recent full occupancy
of 38 residents. Currently there is a 4-6 person waiting list.
Information provided by the Seller. Buyer MUST verify all information.

 

RETURN ON INVESTMENT  
           
REVENUE          
Gross Revenue     $769,783.00  
   Less Vacancy   5% $38,489.15  
Net Revenue       $731,293.85  
           
EXPENSES          
Insurance       $8,359.00  
Interest & Bank Charges   $3,500.00  
Office & General     $4,000.00  
Professional Fee     $2,500.00  
Property Taxes     $16,500.00  
Repairs & Maintenance   $10,000.00  
Salaries & Wages     $138,000.00  
Supplies       $75,000.00  
Travel/Vehicle     $7,000.00  
Utilities       $55,623.00  
Total Expenses     $320,482.00  
Net Operating Income     $410,811.85  
           
CAPITALIZATION RATE  
Purchase Price     $2,900,000.00  
Capitalization Rate     14.17%  
           
FINANCING ASSUMPTIONS  
Purchase Price     $2,900,000.00  
30.00% Down Payment $870,000.00  
1st Mortgage 5 YR at 4.00% $2,030,000.00  
Monthly P&I       $10,678.21  
           
5 YEAR RETURN ON INVESTMENT  
5 YRS x N.O.I       $2,054,059.25  
INTEREST for 5YRS     $377,887.11  
Net 5 YR Income     $1,676,172.14  
Total R.O.I       192.66%  
Average R.O.I per year     38.53%  
           
MONTHLY CASH FLOW  
Operating Income     $34,234.32  
Monthly P&I       $10,678.21  
Net Cash Flow       $23,556.11  
           
Note: All data provided by Sellers. Buyers to varify all data.