EMERALD FOREST CABINS & RV TRINIDAD EXTENDED STAY RV Northern California Redwoods Coast Amazing Outdoor Hospitality Location 173 Total Sites with 21 Cabins Reasonable Rental Rates, Booming Occupancy Increases, No Rent Control 9.3% Cap Rate, 16% Cash Flow, 20% Total Return $10,500,000 Sales Price Information contained herein has been obtained from the owner of the property or from other sources that we deem reliable. We have no reason to doubt its accuracy but we do not guarantee it. John Grant 858‐586‐9400 Email: [email protected]
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EMERALD FOREST CABINS & RVTRINIDAD EXTENDED STAY RV Northern California Redwoods CoastAmazing Outdoor Hospitality Location173 Total Sites with 21 CabinsReasonable Rental Rates, Booming Occupancy Increases, No Rent Control9.3% Cap Rate, 16% Cash Flow, 20% Total Return$10,500,000 Sales Price
Information contained herein has been obtained from the owner of the property or from other sources that we deem reliable. We have no reason to doubt its accuracy but we do not guarantee it.
LOAN INFORMATION:Broker anticipates Buyer obtaining new 70% loan tovalue of $7,350,000 at 4.875% fixed for 5 years, thenrolling to an adjustable rate with monthly paymentsamortized over 30 years, monthly payment$38,896.80
PROPERTY DESCRIPTION AND RENTAL INFORMATION: Beautiful redwoods resorts one-half mile from the ocean in Humboldt County. Emerald Forest has 21 renovated cabins with radiant heat floors, redwood walls, slate floors, wood burning stoves, attractive kitchens and bathrooms with claw foot tubs, and beautiful bedding and design, 35 full hookup and 7 water+electric RV sites, and 38 tent sites. Amenities include approximately 600 redwoods trees, creek thru the property, rec room, two bath houses, office and store, video arcade, gazebo, laundry room, wifi, and an open meadow used for games and picnicking. Please see their excellent web page at www.emeraldforestcabins.com. Emerald Forest is a unique and rapidly growing OUTDOOR HOSPITALITY EXPERIENCE and demand just keeps increasing and increasing . Trinidad Extended Stay RV is an almost all permanent occupancy, 72 sites RV and mobile home park just down the street from Emerald Forest. It was built in the 70’s and contains four beautiful manufactured homes (one included in the sales price), two singlewide mobile homes, 13 park models, and 53 RV full hookup RV sites. All but approximately 15 sites are permanent tenancy with the others being seasonal. Rental rates are $500 per month for 1 year or longer, and $600-$750 per month for shorter monthly stays. Amenities include a clubhouse, office, bath house, laundry, and picnic area. Both parks have state of the art new and newer well water and septic systems.
Park was on track to reach this amountuntil massive fires in Redding area reduced occupancy in July and August. Park should easily reach next 12 months going forward
Startup website and Google pay per click, Expedia, and other advertising sources now being reduced.
Utilities Cable $ 24,171 24,171 Electric $ 57,368 57,368 Garbage $ 5,463 5,463 Gas $ 13,805 13,805 Internet $ 280 280 Water $ 9,982 9,982
Total Expenses $ 1,056,134 $ 915,206
Net Operating Income $ 454,751 $ 656,305
Organizational costs for acquisitions
Most of R&M for cabin remodels capex
New property taxes per Prop. 13
High travel cost for New York owner
Broker Proforma
Total TotalIncome Lodging Sales 479,910 518,000 ←Total Income 479,910 518,000Cost of Goods Sold Purchases - Resale Items 5,729 5,729Total Cost of Goods Sold 5,729 5,729Gross Profit 474,181 512,271Expenses
Advertising and Promotion Website 3,322 3,322 Total Advertising and Promotion 3,322 3,322
Bank Service Charges 423 423 Business Licenses and Permits 3,936 3,936 Cancellation Refund 2,628 2,628
Insurance Expense General Liability 6,773 6,773 Total Insurance Expense 6,773 6,773
5% rate increase Jan/18 plus owner mobile home rented at $1,500 per month. New moveins are $500 per month but approx 35 residents at $460 after rate increase.
Professional Fees Accountant 3,340 3,340 Bookkeeping 767 767 Lawyer 9,965 2,000 ← Total Professional Fees 14,072 6,107 Property Taxes 42,093 50,000 ← Repairs and Maintenance 23,059 10,000 ← Shipping and Postage 434 434 Supplies 166 166 Telephone Expense 474 474 Travel 139 139 Utilities Cable 17,175 17,175 Electric 47,375 47,375 Garbage 16,648 16,648 Gas 3,413 3,413 Water 14,490 14,490 Total Utilities 99,101 99,101Total Expenses 202,381 189,264Net Operating Income 271,800 323,007
One time organizational expenses
Most of expense was road paving completed at the end of 2017. Park is almost completely repaved.
Resnexus Cabin Max occ Rooms Beds Full Kitchen Bath Summer (5/31- Fall (9/16-12/19 Winter (1/5- Spring (3/14-pets C 10 Bedrooms 3Q/2T Yes T/S & S $349 $299 $199 $319
bunkhouse, sleeps 6 D 10 Bedrooms Q/2T Yes Shower $259 $209 $189 $219pets N 4 1 Room Q/2T No T/S $219 149-169 $129 $179
added 4 sites since purchase - haven't raised rates in 2 years
fee is waived if group books more than 10 sites in aggregate
added 1 site since purchase - haven't raised rates in 2 yearshaven't raised rates in 2 yearshaven't raised rates in 2 yearshaven't raised rates in 2 yearshaven't raised rates in 2 years
This report shows the period from 6/12/2017 to 6/11/2018 (365 days) compared to the same period in the previous 1year(s).
Revenue Summary (Total)*Dates Value
6/12/2016 to 6/11/2017$943,098.54
6/12/2017 to 6/11/2018$1,377,396.46
Total Variance +46.05 %
Revenue Summary (Room)Dates Value
6/12/2016 to 6/11/2017$953,196.16
6/12/2017 to 6/11/2018$1,290,473.51
Total Variance +35.38 %
Revenue Summary (Retail)Dates Value
6/12/2016 to 6/11/2017$68,594.27
6/12/2017 to 6/11/2018$115,017.98
Total Variance +67.68 %
Revenue Summary (Discounts)Dates Value
6/12/2016 to 6/11/2017($78,691.89)
6/12/2017 to 6/11/2018($28,095.03)
Total Variance -64.30 %
Taxes By Date (Total)Dates Value
6/12/2016 to 6/11/2017$78,506.58
6/12/2017 to 6/11/2018$119,459.28
Total Variance +52.16 %
Total Occupied DaysDates Value6/12/2016 to 6/11/2017117376/12/2017 to 6/11/201814506
