Value-Add Opportunity: 36 units were built in 2021 and have finishes far exceeding the remaining 288 units, including stainless steel appliances, backsplashes, vinyl plank floors, and granite countertops. New ownership will have the opportunity to renovate the original 288 units to the level of the newly constructed 36 units to potentially increase NOI.
Well Maintained Asset: Current ownership has spent over $3.6 million in capital improvements and renovation expenses in the last 24 months, including exterior renovations, asphalt overlay, new doors and automatic openers on garages, replacement of all exterior siding with cement board, asphalt shingles on pitched roofs replaced, LED exterior lights, and new landscaping. A new office was built in 2021.
Historic Submarket Rent Growth: Rents have increased over 21.9% in the last year in the West Knoxville submarket, which is the strongest annual performance in over 10 years. Brendon Park has increased rents 7 times in the last 12 months for a total increase of 30.94%.
Excellent Market Fundamentals: The Knoxville multifamily market is in great condition near an all-time high occupancy rate, rapidly growing rent, and absorption outperforming deliveries.
Proximity to Knoxville’s Best Retail: Brendon Park is conveniently positioned near Knoxville’s premier shopping centers, including:
Massive Healthcare Sector: Led by major healthcare brands, Knoxville offers a robust healthcare sector to area residents:
Nearby Oak Ridge Provides $5.6 Billion in Economic Impact: Oak Ridge is home to the Oak Ridge National Laboratory and the Department of Energy, which combine for over 12,000 jobs. The ORNL is currently undergoing a $6.5 billion construction project, one of the largest in Tennessee’s history. The project will bring more than 2,000 construction workers to the site and is expected to be completed by 2025.
Central Location to Major Knoxville Employers: Over 340,000 jobs are within a 30 minute drive of Brendon Park. Tenants have quick access to the major employment nodes in Knoxville, including Downtown Knoxville, Oak Ridge, Turkey Creek, and Maryville.
Creative Knoxville Program Retains Local Talent: The Knoxville Fellows annual program consists of 14 postgraduate men and women who spend focused time with city leaders and obtain a master’s degree upon graduation. Most of these graduates accept jobs in Knoxville’s schools, nonprofits, or corporations after the program.
THIS CONFIDENTIALITY AGREEMENT (“Agreement”) is made and agreed to by The Kirkland Company (“Broker”), exclusive listing broker for the Property, and (“Buyer”) regarding the sale of the property known as Brendon Park (“Property”) located in Knoxville, Tennessee. The obligation of confidentiality undertaken pursuant to this Agreement shall survive the terms of the Broker’s listing agreement with the Owner.
BUYER HAS REQUESTED information from Broker for the purpose of evaluating a possible acquisition of the Property. The Owner of the property has instructed Broker to deliver information concerning the Property, much of which is highly confidential, only to those potential purchasers who sign this Agreement. To receive an Offering Memorandum (“Offering Memorandum”) please read, sign and return this Confidentiality Agreement to Broker. The Offering Memorandum has been prepared by Broker for use by a limited number of parties and does not purport to provide a necessarily accurate summary of the property or any of the documents related thereto, nor does it purport to be all-inclusive or to contain all of the information which prospective Buyers may need or desire. All projections have been developed by Broker and designated sources and are based upon assumptions relating to the general economy, competition, and other factors beyond the control of the Seller and therefore are subject to variation.
THEREFORE, THE PARTIES AGREE, in consideration of the covenants and agreements contained herein, as follows:
In connection with your interest in a potential, negotiated acquisition of those certain properties listed in Exhibit A hereto (individually or collectively as the context may require, the “Property”) from [Seller] (individually or collectively as the context may require, the “Company”), you have requested certain information concerning the Property from the Company and its affiliates and its and their respective directors, officers, members, partners, employees, representatives, agents and/or advisors (including without limitation, attorneys, accountants, consultants and financial advisors) (individually or collectively as the context may require, the “Company’s Representatives”). In consideration of furnishing you with the Evaluation Material (as defined herein), the Company requests your agreement to the following: