212 Central Avenue, Orange, New Jersey
A six-story multifamily residential apartment complex. Originally constructed circa 1945, the improvements consist of 52 rental apartments and two retail units. The building contains 45,600± square feet of gross building area (GBA), with a net rentable area (NRA) of approximately 38,750± square feet.
The unit mix is comprised of:
37 one-bedroom units
10 two-bedroom units
5 studio units
2 grade-level retail units
110 Washington Street, East Orange, New Jersey
An 11-story residential apartment complex, known as Washington Plaza. Originally constructed circa 1955, the improvements consist of 103 rental apartments in a building that contains 150,810± square feet of gross building area (GBA), with a net rentable area (NRA) of approximately 102,200± square feet.
The unit mix is comprised of:
1 three-bedroom unit
61 two-bedroom units
21 one-bedroom units
20 studio units
The two assets are located on 212 Central Ave, and 110 Washington St. in East Orange, a primarily residential neighborhood with close proximity to shopping and primary transportation access.
Both assets are conveniently located near Garden State Parkway and Interstate 280; less than 30 minutes commute to New York City.
110 Washington St.
Public transportation - one mile from three different stops along the Gladstone Branch and Morris & Essex lines of the New Jersey Transit system, and 1.5 miles from a stop on the Montclair-Boonton line, all with service into New York’s Pennsylvania Station (roughly 30-minute train ride).
Less than eight miles from Newark Liberty International Airport (EWR) in the nearby cities of Newark and Elizabeth.
212 Central Ave.
Less than one mile from three different train stations of the New Jersey Transit system.
Essex County, New Jersey
The asset is located in the City of East Orange in Essex County, New Jersey, which is considered to be part of the Northern New Jersey Region, bounded by the State of New York to the north, the Hudson River and Raritan Bay to the east, the Delaware River to the west, and Monmouth and Mercer counties to the south.
Northern New Jersey region is comprised of 11 counties, including Essex County where the assets are located; the northeastern area of the region, is heavily urbanized and densely developed, while the remainder is largely suburban and semi-rural. Bergen, Essex, Hudson, Middlesex and Union counties are suburban to urban, housing 68.0% of the region’s population and 41.0% of the state’s population. The region extends 45 to 55 miles west of Midtown Manhattan.
“The Crossroads of New Jersey”
East Orange, New Jersey, also known as “The Crossroads of New Jersey,” is located at the intersection of the Garden State Parkway and Interstate 280, just several miles from Newark Liberty International Airport and less than 30 minutes from New York City, enabling a convenient commute to its residents.
East Orange became incorporated as a city on January 1, 1909. By the close of the 19th century, East Orange was an agriculturally rich area populated by oil tycoons and Newark industrialists. East Orange experienced a huge population surge between 1940-1950, paving the way for the addition of luxury high-rise buildings and a boom of commercial businesses along Main Street and Central Avenue.
Nowadays East Orange populates nearly 65,000 culturally diverse residents from around the globe. Ideal for urban renewal, East Orange combines urban and suburban living. Spacious and affordable housing, a low crime rate, main commercial corridors, distinctive Caribbean and Southern cuisine, transit access and green spaces.
Transportation continues to be one of East Orange’s greatest assets; the city is one of 28 cities to be designated as a Transit Village and its Brick Church and East Orange Train Stations offer daily direct service to midtown Manhattan.
The two assets are located on 212 Central Ave and 110 Washington Ave. in East Orange, a primarily residential neighborhood with good proximity to shopping and primary transportation access. Overall, both neighborhoods are considered a desirable place to live at and have an adequate supply of retail, commercial, educational and recreational facilities.
With regards to the assets’ marketing stance, the area is beginning to experience gentrification, emerging the presence of residential improvements in the properties’ immediate area and thus, making the properties compatible with its surrounding. With effective marketing and management, the assets should continue operating on a stabilized basis over the foreseeable future.
Raise Closing 36 Months 36 Months
Projected sale of assets Projected project completion
|Sources of finance||%||Ownership||amount|
|iintoo Equity||$ 1,239,000|
|Debt investors||$ 619,500|
|Sponsor and other investors Equity||$ 2,530,000|
|Property Owner Mortgage||$ 10,226,250|
iintoo's Investment in JV
Deal Initiation Costs
Total Capital Raise
Investment structure *
* The $ 1,408,000 represents the maximum gross potential equity raise. In addition, up to a gross amount of $ 667,000 may be raised through an offshore debt offering.
One Wall Partners Track record
One Wall Partners is a vertically integrated investment and management firm that focuses on transit-oriented workforce housing. Their headquarters is located in Newark, NJ, within 10 miles of all their assets, They run an in-house property management group, One Wall Management, to control 100% of their value chain while simultaneously realizing significant operational efficiencies.
SQF track record
Since 2010, the company has purchased a $95M portfolio, including 21 multi-family properties totaling over 1,190 units.
Unit track record
The company owns another management company.
Region of expertise
Northern New Jersey
Andy Wallace // CEO
Andy has more than 30 years of executive experience in real estate acquisitions, entitlements, developments and business operations. As the company CEO he primarily supports the executive and management team; oversees the company’s Strategic Plan; leads risk management, HR management and marketing/brand management and marketing/brand management and drives capital raises.
Ron Kutas // Chief Operating Officer
Ron has more than 11 years of experience in real estate development, construction and project management, financial oversight and property management operations. As the COO he primarily leads day-to-day operations and execution of our property management company, One Wall Management. Additionally, he oversees legal matters and assists with capital/debt structures and acquisitions.
Nate Kline// Chief Investment Officer
Nate has more than 13 years of institutional finance and private equity investment experience with six years focused on commercial real estate. As the CIO, he primarily formulates investment strategies; sources underwrites and executes acquisitions; designs capital structures; monitors performance and compliance and provides day-to-day asset management oversight of our portfolio.
|Projected cash flows ($)||Year 1||Year 2||Year 3|
|Repairs, maintenance & turnover||91,533||93,821||96,166|
|Market & administration||5,125||5,253||5,384|
|Net operating income||917,505||969,727||1,023,897|
|Net cash flow before tax||307,195||307,195||307,195|
|Expected cash flow for iintoo investors||130,095||130,095||130,095|
|Expected cash flow for iintoo - Debt investors (10% interest)||66,700||66,700||66,700|
|Expected cash flow for iintoo - equity investors||63,395||63,395||63,395|
|Expected CoC for iintoo - equity investores||4.5%||4.5%||4.5%|
|Distribution waterfall between iintoo, sponsor, and other investors in the JV|
|Third year NOI||1,023,897|
|Residual asset value @ 5.80% CAP||17,653,399|
|Cost of sale 5%||(882,670)|
|Net sale proceeds||16,770,729|
|Net sale proceeds||16,770,729|
|Proceeds from operation||921,585|
|Return of capital||(4,388,500)|
|Total profits for distribution||3,491,062|
|Expected cash flow for iintoo investors (equity debt) - pro rata||390,285|
|Expected cash flow for developer and other equity investors - pro rata||531,300|
|Return of the rest of capital contribution - iintoo investors - pro rata||1,468,215|
|Return of the rest of capital contribution - developer and other equity investors - pro rata||1,998,700|
|Hurdle return for iintoo investor entity (7%) - Pro rata||390,285|
|Hurdle return for developer and other equity investors (7%) - Pro rata||531,300|
|iintoo share of profits above hurdle return (30%)||770,843|
|Developer and other equity investors share of profits above hurdle return (70%)||1,798,634|
|Total proceeds - iintoo investors||3,019,628|
|Total proceeds- developer and other equity investors||4,859,934|
|Total project proceeds||7,879,562|
|Projected profit distribution - iintoo investors||3,001,628|
|Return of capital contribution for iintoo debt investors||667,000|
|Interest payments for debt investors 10% per annum (including iintoo success fee)||250,125|
|Return of capital contribution for iintoo equity investors||1,408,000|
|Profit remain for distribution for equity investors (not including iintoo success fee)||676,503|
|Total projected profit distribution for iintoo investors||3,001,628|
|Net cash flow - equity unit $ 25,000||Projected sale of assets after 36 months|
|iintoo success fee (%)||20%|
|iintoo success fee ($)||135,301|
|Total return to investors||1,949,202|
|Deduction of principal||1,408,000|
|Total profit for 36 months (before Tax)||541,202|
|Target annual return||12.81%|
|Net profit per capital unit||34,609|
|Expected profit per capital unit||9,609|
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