Park West at Stockdale River Ranch

Site Information:

• Land Use Zone: R-3 (Multiple Family Dwelling)
• General Plan Land Use: HR (High Density Residential)
• Site Area: 25.552 Acres (Gross) | 17.624 (Net)
• Density: 17.7 Units/Acre
• Neighborhood: The project is located on the west side of Bakersfield. It is the first multifamily project within the larger Stockdale River Ranch Master planned community being developed by Bolthouse Properties. The site is conveniently located where Stockdale Highways meets the new Westside Parkway, allowing for quick and easy access to downtown.

Project Information:

• Total Units: 312 units (120 1-Bedrooms, 192 2-Bedrooms), 24 Buildings
• Total Building Sq. Footage: 357,376 sq. ft (Total Gross Residential w/ balconies/partitions + Community Buildings + Fitness + Maintenance)
• Total Rentable Sq. Footage: 310,752 sq. ft.
• Efficiency Ratio (net rentable interior s.f. space to gross s.f. of building area less parking): 86.95% (w/ amenities), 90.09% w/out amenities
• Projected Total Rent Collected/Month: $466,560
• Projected Total Rent Collected/Year: $5,598,720
• Average Rent/Sq. Ft.: $1.50
• Average Monthly Rent/Door: $1,449
• Residential NOI/sqft/mo: $0.98
• Residential NOI Total Annual Estimate: $3,655,000
• NOI/sqft/year: $11.76
• Total Project Cost: $60,250,000
• Estimated Total Cost of Construction: $43,250,000
• Land Cost: $3,120,000
• Target Cap Rate at initial stabilzation: 6.07%
• Lease Terms: Standard Residential Lease (min. 6 month term)
• Project Ownership: Park West at Stockdale River Ranch Partners LLC

• Debt to Equity (at total debt to actual total hard cost): 65%
• Debt to Equity (at anticipated appraised value at stabilization): 54% @ 5.5 cap rate
• Coverage Ratio: 1.63 based on 30 year amort
• Estimated Debt: Approx $39,000,000 to $40,000,000

Bakersfield/Kern County Highlights:

• 9th most populous city in California (386,839 city limits, 541,500 greater metro area)
• No.2 oil-producing county in the United States (10% of U.S. production)
• No. 1 metro area for Fastest-Growing Workforce (Bureau of Labor Statistics)
• No. 2 producing county for Agricultural Commodities
• No. 2 metro area for Millennial job growth creation (Forbes)
• No. 4 region for STEM job creation (Brookings Institute)
• No. 5 metro area for upward mobility (National Bureau of Economic Research)
• No. 9 metro area for engineering jobs per capita (Forbes)
• No. 11 strongest recovering metro area (Brookings Institute)
• No. 14 fastest-growing metro GDP (Bureau of Economic Analysis)
• No. 19 best performing metro area (Milken Institute)
• 1 State University (California State University – Bakersfield)
• Other 4-year universities (Fresno Pacific University, University of Laverne, and University of Phoenix)
• Community colleges and trade schools (Bakersfield College, DeVry University, Kaplan College, San Joaquin Valley College, National University, and Santa Barbara Business College)
• Professional sports teams: Bakersfield Condors (American Hockey League – Edmonton Oilers affiliate) and Bakersfield Jam (NBA Developmental League – Phoenix Suns affiliate)
• Commercial airport (Meadows Field – BFL) and municipal airport (Bakersfield Airpark)
• Top 25 busiest Amtrak station in the United States
• Over 5000 hotel rooms
• Home to Rabobank Arena, Theater and Convention Center
• Ranked #20 in the Nation for Livability (Wallethub)

Housing:

• Operating Expenses for comparable properties: +/-28%
• Vacancy Rate: 6.4%
• Median Home Value: $235,700 (increase of 4% from 2017)
• Median Rent: $1,475

Employment:

• Average Household Income: $58,669 (2016)
• Unemployment: 6.6% (October 2018)
• YoY Job Growth: 0.6%
• Top Employers:
  • Amazon Distribution Center - COMING SOON
  • Edwards Air Force Base - 9,353 Employees
  • County of Kern - 9,300 Employees
  • China Lake - 7,000 Employees
  • Naval Weapons Center - 7,000 Employees
  • Grimmway - 3,700 Employees
  • Dignity Health - 3,296 Employees
  • Adventist Health Bakersfield - 2,718 Employees
  • WM. Bolthouse Farms - 2,250 Employees
  • Kern Medical - 1,800 Employees
  • Sun World International - 1,600 Employees
  • City of Bakersfield -1,600 Employees
  • Amazon - 1,500 Employees (2020)

Economic Advantage:

• Strategic Location
  • California’s population center
  • Access 14% of the U.S. population, within a 300 mile radius
  • More than 40 million consumers within 4-hour truck drive
  • Proximity to world’s 5th largest economy
  • Inland port helps lower drayage costs
  • Access: Interstate 5, Highway 99 North & South, Highway 46 West to Central Coast, and Highway 58 East to Interstate 15
• Quality, Affordable Workforce
  • Cost of doing business is 85% of the national average
  • Low employee turnover rates
  • Lowest labor costs in Western U.S.
  • Employees enjoy the best wage-to living standard ratio of any major logistics hub in the Western 13
• Available Land & Facilities
  • Single-digit vacancy rate
  • Cost-competitive commercial real estate
  • Class 1 rail from Union Pacific and BNSF
  • Intermodal service