Exclusively Offered by Paragon Real Estate Advisors

Offering Summary

Address 3241 21st Ave W, Seattle, WA
Total Units 6
Built 1958/1987
Square Feet 3,170 Net Rentable
Price $1,435,000
Price Per Unit $239,167
Price Per Sq.Ft. $452.68
Current GRM/CAP 17.1/3.9% (3% Vacancy)
Market GRM/CAP 13.6/5.3% (3% Vacancy)
Lot Size 6,000

CNA Apartments

Paragon Real Estate Advisors is pleased to exclusively offer for sale the CNA Apartments. This property is conveniently located on the northeast edge of the Magnolia neighborhood within blocks of Bayview Playground, Magnolia’s Manor Park and the Interbay Golf Course.

The property is only 1.5 miles away from the brand new Expedia Campus scheduled to open in 2019. Residents also have easy access to Downtown Seattle, Magnolia Village, Ballard, Queen Anne, Seattle Pacific University, and the University of Washington. This is an excellent opportunity to purchase a well located 6 unit apartment building with upside in rents.

Investment Highlights:

  • Large 2 Bd/1.5 Bth owner’s unit
  • Rent upside
  • Double-pane vinyl windows
  • Common laundry room
  • Space to add washers and dryers to 1 Bd units
  • 1.5 miles to the new Expedia campus opening in 2019
  • Located within walking distance to Interbay Golf and Red Mill Burger
  • King County Metro’s Rapid Ride D line is just blocks away

Operating Statement

Down Payment$473,550 (40%)
Loan Amount$961,450 (60%)
Interest Rate4.25%
Amortization30 Years
Price Per Unit$239,167
Price Per Sq.Ft.$452.68
Current GRM/CAP17.10/3.86% (3% Vacancy)
Market GRM/CAP13.55/5.32% (3% Vacancy)
Current Expenses
% of GSI30.96%
Market Expenses
% of GSI24.90%

Monthly Scheduled IncomeCurrentMarket
Monthly Scheduled Rent$6,935$8,290
Utility Billback $0$390
Parking Income$0$75
Miscellaneous Income$0$10
Total Monthly Income$6,995$8,825
Annualized Operating DataCurrentMarket
Scheduled Gross Income$83,940$105,900
Less Vacancy$2,518 (3.00%)$3,177 (3.00%)
Gross Operating Income$81,422$102,723
Less Expenses$25,990$26,365
Net Operating Income$55,432$76,358
Annual Debt Service ($4,730/mo)$56,757$56,757
Cash flow Before Tax($1,325) (-0.28%)$19,601 (4.14%)
Principal Reduction$16,209$16,209
Total Return Before Tax$14,883 (3.14%)$35,810 (7.56%)
Annualized Operating ExpensesCurrentMarket
Real Estate Taxes (2017)$10,329$11,344
Insurance (Proforma)$2,740$2,100
Utilities (Proforma)$6,321$6,321
Maint & Repairs (Proforma)$5,100$5,100
Total Operating Expenses$25,990$26,365


Magnolia is the second largest neighborhood in Seattle, but retains scenic and bursting with local character. It’s ranked the 9th best out of the 127 Seattle neighborhoods to live in. It’s a gorgeous place of dual harmonic natures. It is home to Seattle’s largest park, the 534-acre Discovery Park, long stretches of well-kept beaches dotted with teeming cold-water tide pools, seven miles of scenic walking trails and nature habitat. The views available from Magnolia are impossible to beat with the shining Seattle skyline and the majesty of the Olympic Mountains on the horizon affording residents the comfort of the city right alongside the beauty of the natural world around them. West Point, the most westerly point in the city and home of the oldest lighthouse in the area keeps watch.

Magnolia sits on a peninsula, affording it a special status as sleek city neighborhood and right in the thick of the natural world as well as the marine industry that originally gave it its life. Of note is Fisherman’s Terminal, located on Salmon Bay near the 15th Street Bridge that offers residence plentiful ways to experience the local fishing culture and history, such as walking around on the docks and admiring the real-life fishing boats, then stopping in at the market to buy the seafood caught that very day. Though not as famous as the Pike Place Market, rumor has it that this is an even better way to experience the local fishing culture. In addition to this, Mangolia is also home of the venerable Daylight Star, a Native American cultural center complete with conference center, facilities for pow wows, and an art gallery.
Magnolia’s business district is home to many specialty stores, professional services as well as robust industrial and marine services with reputations for quality. Top restaurants such as Rogos, Palisades and Toulouse Petit color a glittering nightlife while cozy hang outs like Mulleady’s and Café Umbria offer comfort and variety. Both local small business and large chains exist alongside one another, providing character, convenience and a huge variety for residents.

Magnolia serves as a gateway to the city at large. It is well placed at the heart of the city and a quick commute away from the city’s major employers (Amazon, Starbucks, Fred Hutchinson Cancer Research Center, Paul Allen Institute, Holland America Cruise Line, REI, Real Networks, Big Fish, Expedia (2018), Zillow, Redfin, F-5 Networks, Nordstrom’s, Boeing, Expeditors International, Payscale, DocuSign, Zulily). It is serviced by King Country Metro bus lines 19 and 24 and has biking infrastructure that provides easy access to downtown via a 4-mile protected bike path that follows the water.

Seattle Employment

The Seattle metro area is currently characterized by positive job growth, with a 2.9% gain in employment, which represents an increase of 43,000 new jobs. Downtown Seattle ranks 12th among the 231 major employment markets in the U.S. for job density, and that ranking is expected to rise.

Some of the region’s largest employers are within minutes of the Centerview. In nearby South Lake Union, Amazon’s new 3.3 million square foot headquarters is currently under construction. The project is estimated to bring an additional 23,000 Amazon employees to the area, bringing Amazon’s total employment near 50,000. Amazon is expected to occupy a total of 10 million square feet of office space by 2019.

Other top area employers include F5 Networks, Zulily and the Bill and Melinda Gates Foundation which are all less than a mile away from Centerview, while other employers such as Expedia.com are in the process of locating their corporate headquarters in the immediate area. Bus stops are located along Denny Way and along First Avenue N providing convenient access to these and many other top employers.

A Look Around the Property

Unit Totals

Type Units Size Current Rent Monthly Income Market Rent Market Income
Studio 1 300 Sq.Ft. $1,025 $1,025 $1,095 $1,095
1 Bd/1 Bth 1 464 Sq.Ft. $1,095 $1,095 $1,250 $1,250
1 Bd/1 Bth 1 464 Sq.Ft. $1,195 $1,195 $1,250 $1,250
1 Bd/1 Bth 1 464 Sq.Ft. $1,075 $1,075 $1,250 $1,250
1 Bd/1 Bth 1 464 Sq.Ft. $1,050 $1,050 $1,250 $1,250
2 Bd/1.5 Bth 1 1,014 Sq.Ft. $1,495 $1,495 $2,195 $2,195
Totals/Averages 6 528 Sq.Ft. $2.19 $6,935 $2.62 $8,290

CNA Apartments