MLS# 6726810 – 1602 W Olney Avenue, Phoenix, AZ 85041

Seller says highest and best use to lot split into 3 half acre lots ! – 1602 W. Olney Ave, Phoenix, AZ, 85041 – 2-acre lot – Zoned R10 – one house per 10,000 sqft lot – Former fire damage property – Recently been scrapped – Water meter on site – use to be on septic tank – Access to water less that 50 yards away INFORMATION FROM SELLER: Active comps are at 1.2 – 1.7 mill for a product that is over 4,000 sq ft with over 12k lots – 8503 S 9th dr, phoenix az, – Active at 1.3 mill Sold comp at 1.7 mill sold 2 months ago that really helps substantiate the values for larger builds that will help new build projects to price out for us – 1009 W Ardmore rd., Phoenix, AZ, 85041 numbers for build-out for 3 Lots 20k lots with 4000 sq ft houses (type of product I think should be built) Homes are worth 1.5 mill plus for resale Cost per lot (2 payoff notes) 160k a lot X 3 = 480k (Cost for the dirt) Cost for Infrastructure at 70k per lot X 3 = 210k Build out $200 sq ft X 4000 sq ft = 800k x 3 houses =2.4 mill Total cost (not including holding cost) = $3,090,000 List all 3 new builds for 1.5 mill X 3 = $4,500,000 Total profit: $4,500,000 – $3,090,000 – $337,500 = $1,072,500 Return on Cash: $1,072,500 / $3,090,000 = 34.7% ROI (cash on cash) Holding cost: $3,090,000 X 10% = $463,500k for 18-month Final ROI: $609,000 / $3,553,500 = 17% Cash on cash Final ROI Some May View ROI: 19.7% (if you don’t add holding cost to cash basis)