W T h e W e d n e s d a y G r o u p D E V E L O P M E N T C O M - - PowerPoint PPT Presentation

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I n v e s t o r P r e s e n t a t i o n C o d e N a m e : T h e N o l i t a B u i l d i n g

T h e W e d n e s d a y G r o u p

D E V E L O P M E N T C O M P A N Y

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Contents

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Introduction The Problem The Solution The Opportunity Proposed Renderings Floor Plans Financial Snapshots Behind the Group Contact

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The following is a proposal to create a new, mixed use multi- family development based on the classic Italianate style at the corners of E. New York and Hudson St., Indianapolis, IN.

The Wednesday Group Development Company

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Tie PROBLEM

Real Estate Development is an optimization problem: how to build the most cost effective structure while charging the highest amount in rent. Developers today solve this equation by finding and adding: + Cost effective materials, such as cement board paneling + Modern amenities to attract Millennials = Higher net operating income While materials such as cement board help reduce costs, and modern amenities attribute to the ability to charge higher rents, modern architecture has lost sight on design and is out of touch with what today’s renters actually seek. The “Millennials” in today’s renting environment tend to seek a deeper connection to everything in their lives—from their possessions, to their jobs, to their places of residence. These young professionals often find the “cookie cutter” developments to be uninspiring, sterile, and unoriginal. With all that we have gained in modern builds and amenities, we have equally sacrificed in design. The lack of visible conceptual originality is where The Wednesday Group comes in. We recognize that the current approach to development is both profitable and practical; however, we at The Wednesday Group want to add an element of uniqueness that inspires residents and makes them feel at home.

Today’s developments are missing something that The Wednesday Group will bring to the table.

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Tie SOLUTION

The Wednesday Group addresses the optimization problem in modern developments in a unique, affordable, and creative way; by looking to the past for inspiration. This is how: it is now possible to utilize architectural blueprints for buildings designed in the late 1800’s-early 1900’s, as these are now public domain. Anyone can use these designs, free of charge. At the Wednesday Group, this means modern buildings can be built with beautiful historic facades—all at a fraction

• f cost.

By employing these existing blueprints, we save countless hours that would have been spent in designing, planning, and seeking approvals within the city. Consequently, we significantly reduce architectural costs. The historic facade acts to enhance the cultural fabric and aesthetic beauty of Indianapolis, while delivering a higher perception of value to the renter. The modern luxuries today’s renter has come to expect will be found in the interior of our buildings. Amenities such as a rooftop deck, gym, and recreation area will not go unnoticed.

Developing the future, while remembering the past.

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Tie OPPORTUNITY

This project is a replicant development of the Italianate apartment buildings that you will find in old neighborhoods of most major cities. This style of building pays homage to designs of the late 1800’s and early 1900’s; as such, there will be a historic facade on the exterior of the building coupled with modern, updated

• interiors. Here we are able to recover the beauty of the past in a modern and

exciting way. The building is poised to be centrally located in downtown Indianapolis, adjacent to the Massachusetts Avenue corridor. Our development would not only complement existing entertainment in the area but also attract new, in-demand restaurants, shops, bars, and other bespoke businesses. This development proposal in its entirety is for sale at a price of $100,000, which includes all intellectual property including the concept and designs. In addition, the purchase price also includes The Wednesday Group’s guidance and advisory to help facilitate concept to construction.

Be part of a development that is poised to impact both the cultural fabric of the city as well as drive economic growth.

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External View

Level 3 24' - 0" Level 4 36' - 0" Level 5 48' - 0" Level 6 60' - 0" Level 7 72' - 0" Level 8 84' - 0" Level 9 96' - 0" Level 10 108' - 0" Level 11 120' - 0" Level 12 132' - 0"

Scale Project number Date Drawn by Checked by Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail

A-301

• E. NEW YORK

STREET ELEVATION

219 E. NEW YORK STREET, INDIANAPOLIS, IN

GROUP

No. Description 7 ISSUED FOR DESIGN DEVELOPMENT 80% 8 ISSUED FOR REVIEW

1/8" = 1'-0" 1 FRONT ELEVATION

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Highlights of the building include 6 stories above ground and a cellar. Ground Floor is commercial with 5 residential floors above.

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Hudson Street Elevation

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Level 3 24' - 0" Level 4 36' - 0" Level 5 48' - 0" Level 6 60' - 0" Level 7 72' - 0" Level 8 84' - 0"

Scale Project number Date Drawn by Checked by Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail

A-302

HUDSON STREET ELEVATION

219 E. NEW YORK STREET, INDIANAPOLIS, IN

GROUP

No. Description 8 ISSUED FOR REVIEW

1/8" = 1'-0" 1 SIDE ELEVATION

The building includes 2 separate commercial spaces and a private entrance/lobby for the residents. The entrance to the residential is located on Hudson Street.

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Ground Floor Retail

UP

3264 SF RETAIL 1 2952 SF RETAIL 2 740 SF LOBBY 98 SF ELEVATOR MACHINE ROOM

Scale Project number Date Drawn by Checked by Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail

1/8" = 1'-0"

6/16/2019 5:28:03 PM

A-305

1ST LEVEL AREA PLAN

1901 219 E. NEW YORK STREET, INDIANAPOLIS, IN

THE WEDNESDAY GROUP

02/04/2019 Author Checker

No. Description Date

1/8" = 1'-0" 1 1ST LEVEL

The first floor will consist of two retail spaces, one with frontage to New York Street and one with frontage to Hudson street. It is possible to combine both retail spaces into one large retail space if needed. Private residential lobby includes stairwell and elevator access.

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Ground Floor Lobby

A view inside the Lobby.

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2nd - 6th Floor Elevation

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DN

836 SF

• APT. 202

836 SF

• APT. 203

615 SF

• APT. 204

426 SF

• APT. 201

532 SF

• APT. 205

619 SF

• APT. 206

776 SF

• APT. 207

775 SF

• APT. 208

618 SF

• APT. 209

426 SF

• APT. 210

602 SF HALLWAY 200

Scale Project number Date Drawn by Checked by Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail Consultant Address Address Phone Fax e-mail

1/8" = 1'-0"

6/16/2019 5:28:04 PM

A-306

2ND LEVEL AREA PLAN

1901 219 E. NEW YORK STREET, INDIANAPOLIS, IN

THE WEDNESDAY GROUP

02/04/2019 Author Checker

No. Description Date

1/8" = 1'-0" 1 2ND LEVEL

All five residential floors will have the same layout. Each floor contains four 2-Bedroom units, five 1-Bedroom Units, and one studio for a total of 10 rooms per floor. The long wall opposite the stairwell and elevator will house special works of art, creating an art gallery, unique to each floor.

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2 Bedroom Apartment

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A view inside the two bedroom apartment.

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Basement Cellar

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1136 SF LOUNGE/ GAME ROOM 5 271 SF BIKE STORAGE 12 986 SF GYM 13 760 SF

• MECH. RM.

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Scale Project number Date Drawn by Checked by

Client Name: Project Name:

1/8" = 1'-0" 4/19/2019 4:42:33 PM

A-101

CELLAR FLOOR PLAN

1901

THE WEDNESDAY GROUP

219 E. NEW YORK STREET, INDIANAPOLIS, IN

02/04/2019 M.R.

• No.

Description Date 4 ISSUED FOR REVIEW 01/26/2019 7 ISSUED FOR DESIGN DEVELOPMENT 80% 03/14/2019 8 ISSUED FOR REVIEW 03/22/2019 9 ISSUED FOR REVIEW 03/28/2019

Basement includes a lounge room equipped with desk space, a Large TV, and space for bike

• storage. Additionally, a small gym,

which includes treadmills and bikes, are available to residents at no extra charge.

Note that this basement does not extend the entire length of the building and only covers the area beginning from the stairwell extend- ing to the rear of the building.

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Rooftop

D N 130' - 9 3/8" 4 9 '

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1 1 1 / 1 6 " 73' - 9 1/32" 2 1 '

• 3

1 / 1 6 " 3 5 '

• 8

1 / 4 "

2442 SF ROOF DECK 10

Scale Project number Date Drawn by Checked by

Client Name: Project Name:

1/8" = 1'-0" 4/19/2019 4:42:34 PM

A-104

ROOF PLAN

1901

THE WEDNESDAY GROUP

219 E. NEW YORK STREET, INDIANAPOLIS, IN

02/04/2019 MR

• No.

Description Date 1 ISSUED FOR SCHEMATIC DESIGN 01/13/2019 3 SCHEMATIC DESIGN REVISION 2 01/23/2019 9 ISSUED FOR REVIEW 03/28/2019

The building’s Rooftop is equipped with a large wooden deck for residents to enjoy.

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Rooftop

The view of the rooftop looking north.

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Site Plan

3238 SF RETAIL 1 2937 SF RETAIL 2 3

HUDSON STREET MIAMI STREET

671 SF LOBBY 2

• E. NEW YORK STREET
• N. ALLEY 265 E

1/8" = 1'-0"

A-105

SITE PLAN

1901 219 E. NEW YORK STREET, INDIANAPOLIS, IN

THE WEDNESDAY GROUP

02/04/2019 MR

• No.

The building’s envelope extends as close to Hudson and New York Streets as

• allowable. The site will include 14

parking spaces for residents to rent monthly.

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Top Down Map

The building has easy access to the Mass Ave. corridor.

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Rental Revenue Summary

Financial Snap Shots

• 50 rentable residential units
• 2 rentable retail units
• 14 rentable parking spaces

Stage 1a - Rental Revenue Summary

Apartment Unit Types

• No. of

Units Rent/Ft2 Area/Unit (ft2) Total Ft2 Rent/Month/U nit Total Annual Rent

• Apt. 201 Sudio

5 $25.44 426 2,130 $903 $54,187

• Apt. 210 Jr. 1 Bedroom

5 $25.44 426 2,130 $903 $54,187

• Apt. 202 & 203 2 Bedroom

10 $23.04 836 8,360 $1,605 $192,614

• Apt. 204 & 206 & 209 1 Bedroom

15 $22.20 615 9,225 $1,138 $204,795

• Apt. 205 1 Bedroom

5 $22.80 532 2,660 $1,011 $60,648

• Apt. 207 & 208 2 Bedroom

10 $23.40 775 7,750 $1,511 $181,350 Total Apartment Rental Revenue 50 $23.18 645 32,255 $7,071 $747,782 Total Retail Rental Revenue (see below) 2 $33.58 3,108 6,216 $17,392 $208,704 Other Rental Revenuea $1,200 Parkingb $6,720 Total Rental Revenue 52 $25.07 740 38,471 $24,463 $964,406 Retail Tenants

• No. of

Units Rent/Ft2 Area/Unit (ft2) Total Ft2 Rent/Month/U nit Total Annual Rent Retail Tenant 1 1 $35.00 3,264 3,264 $9,520 $114,240 Retail Tenant 2 1 $32.00 2,952 2,952 $7,872 $94,464 Total Rental Revenue 2 $33.58 3,108 6,216 $17,392 $208,704

aOther Rental Revenue includes additional revenue as a result of conducting daily business activities. Examples of Other

Miscellaneous Revenue include late fees and penalties, forfeiture of deposits, and lost key fees. Specific to this case,

bParking for 14 Spaces at $40 per space per month.

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Pro Forma NOI

Stage 1b - Pro Forma NOI Factor Annual Revenue/Cost Revenue Gross Potential Revenuea $964,406 Less: Vacancy 3.00% ($28,932) Less: Bad Debt 0.50% ($4,822) Effective Gross Revenue $930,652 Expensesb Property Management 12.00% of Effective Gross Revenue $111,678 Controllable Costsc 1,950 $ per unit $97,500 Real Estate Taxes 1.36% of estimated total project cost $135,000 CAM 0.75% $6,980 Other Costs $500 per unit $25,000 Insurance $400 per unit $20,000 Utilities $500 per unit $25,000 Replacement Reserve $150 per unit $7,500 Total Expenses $428,658 Net Operating Income $501,994

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Maximum Debt Calculation

Stage 1c - Maximum Debt Calculation

Pro Forma Net Operating Income (NOI) and Value Pro Forma NOIa $501,994 Capitalization Rate 5.21% Value of Income Property Only (NOI / Cap Rate) $9,635,192 Loan Terms Interest Rateb 5.00% Amortization (years) 30 Debt Based on Loan to Value (LTV) Maximum LTV Percentageb 75.00% Maximum Loan Based on LTV for Income Property $7,226,394 Using Debt Coverage Ratio (DCR) Monthly NOI 41,833 Maximum DCR 1.20 Maximum Monthly Payment (NOI/DCR/12) $34,861 Maximum Loan Based on DCR for Income Property $6,493,900 Maximum Loan (Lesser of LTV or DCR Result) Maximum Loan for Income Propertyc $6,493,900 Add: Loan for For-Sale Property d $0 Total Initial Project Debt $6,493,900

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Development Costs

Working financial excel model deliverable upon request.

Gross f Total Usable Apartments and Retail 1 Number of Units 52 52 52 2 Square Footage (Input Gross) 52,566 38,471 38,471 3 Percentage of Total Square Footage 100% 100% 4 Development Costsa 5 Land $30.00 per gross ft2 1,500,000 $ 1,500,000 $ 6 Land Carryb 3.65% rate 12 months 36,484 36,484 7 Approval Fees $1.17 per gross ft2 61,666 61,666 8 Environmental Remediation $1.46 per gross ft2 76,787 76,787 9 Construction Hard Cost $127.00 per gross ft2 6,675,882 6,675,882 10 Soft Costs: 11 Architecture & Engineering & Other 5.06%

• f hard cost

337,511 337,511 12 Legal & Other Related Fees $228,910 estimate 228,910 228,910 13 Appraisal & Title $10,883 estimate 10,883 10,883 14 Marketing $1,225 per total units 63,700 63,700 15 Taxes during Construction $50,000 estimate 50,000 50,000 16 Insurance during Construction $19,800 estimate 19,800 19,800 17 Total Soft Costs 710,804 710,804 18 Contingency 2.82%

• f hard cost

188,243 188,243 19 Total Development Cost before Interest and Operating Reserve 9,249,866 $ 9,249,866 $ 20 Estimate of Construction Interestc 21 Construction Loan $6,493,900 22 Construction Interest 4.25% 23 Construction Period (months) 18 24 Average Draw 65.00% 25 Estimated Construction Loan Interest 269,091 269,091 26 Total Project Cost before Operating Reserve 9,518,957 $ 9,518,957 $ 27 Estimate of Operating Reserved 28 Gross Potential Rent (monthly) $80,367 29 Lease-Up Period (months until stabilization) 6.0 30 Average Occupancy during Lease-Up 65% 31 Estimated Rent during Lease-Up 313,432 32 Estimated Op. Expenses during Lease-Up 214,329 33 NOI during Lease-Up 99,103 34 Construction Interest during Lease-Up 137,995 35 First-Year Operating Reserve Required 38,893 38,893 36 Total Project Costs 9,557,850 $ 9,557,850 $ 37 Less: Development Cost Subsidies e (286,735) (286,735) 38 Total Project Costs after Subsidies 9,271,114 $ 9,271,114 $

Stage 1d - Development Costs

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The Wednesday Group Development Company has set out to deliver top-quality developments that pay homage to the past while maintaining the modern luxuries of the present. Owner - David Yazell David has been passionate about real estate development his whole life. He has four years of finance experience, most recently working as a credit analyst on Wall Street. He graduated Indiana University with a degree in Finance and Entrepreneurship. He is hard-working, reliable, and enjoys working face-to-face with colleagues and clients. David is inspired by the beauty of the past and looks forward to bringing these historic structures back to life. David currently resides in New York City. Lead Designer - Marsha Robinson Marsha Robinson is an architect that has been steadily working in the Architecture/ Construction industry since 2008. Marsha was born and raised in Mansfield, OH. She studied at Kent State University and received a master’s of architecture with a concentration in urban design, before moving to New York. She works for a mid-Manhattan firm and oversees the production of construction documents for luxury high rise buildings and interior fit-out renovations. In 2017 she was chosen to be one of Commercial Observer’s 20 A.E.C. Pros Under 35 to Watch. Marsha currently resides in New York City.

Behind THE GROUP

23 Wednesdaygroupdevelopment.com | P.O. Box 8072, New York, NY 10150 | 812-569-5260 | Wednesdaygroupdevelopment@gmail.com

T h e W e d n e s d a y G r o u p

D E V E L O P M E N T C O M P A N Y

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