Property details

Michigan Upside Apartment Building With Student Housing Potential, Great Lakes - Big Rivers Region

Property Description

Michigan Upside Apartment Building With Student Housing Potential

Owner wants to sell.

Owner is FIRM at asking price.

Premier Multi Family Investment Opportunity

The subject property is within one half mile of a major University with over 20,000 Undergraduate students.

This property is currently operating as a general market multifamily and not geared towards student housing even though the campus is only a mile away and a new medical school is even closer.

This property is also located across from a major High School.

The owner built them himself back in 2001 and has taken very good care of the property since, so there are no major capital needs. The upside is the increase to the rents. The owner has not increased rents, inside being satisfied with the current cash flow he receives from his investment despite having high occupancy rates. There is an apartment complex directly across the street that has smaller units and an inferior product that has rents that are $25 more for their 2 bedroom units.

Research indicates that the rents are below market by as much as $75/unit, translating to an increase to the potential gross income of over $75,600/year which in turn could increase the value by over a million dollars.

The property is comprised of 20 buildings, each apartment having their own individual entrances.

The spacious complex allows for large, open common area for tenants to enjoy leisure activities.

Each unit is individually metered for electricity and gas allowing an investor to pass these costs on to the tenant.

Additionally there are six vacant lots on the property which allows an investor the ability to construct twenty-five more units.

This stabilized asset has tremendous value by raising rental rates to market rate and by building the additional units.

This property is a regional centre for healthcare, commerce, retail, casino gaming and tourism, and most importantly, higher education.

The University is one of the 100 largest public universities in the country.

The University helps the local economy by creating jobs and driving demand for local businesses and housing.

The University is also growing in prestige and importance, most notably, the university added a Medical School in 2013 and currently continues academic expansion.

With a student body growing in size, and with the addition of more graduate students, the multi-family sector is poised to capitalize on increased demand throughout County.

84 units consisting of:
80 Two Bed / One Bath units
4 One Bed / One Bath units

Common area Amenities
Ample Parking
Park Like Setting
Well Maintained Landscape
Spacious Open Areas

Unit amenities
Large Modern Units
Gas & Electric Utilities Paid By Tenant
Laundry in Each Unit
Individual Entrances






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Highlights

Status:
Available
Price:
$5,080,000
Cap Rate:
7.50%
 

Property Information

Property Type:
Apartments
Industry Type:
Apartment - Multifamily
Units/Spaces:
84
Year Built:
2001
Purchase Tenure:
Fee Simple
 

Existing financing information

N/A

The information contained herein contains confidential and/or privileged material. Any review, retransmission, dissemination or other use of, or taking of any action in reliance upon, this information by persons or entities other than the intended recipient will be prohibited. The information contained herein has been obtained from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty or representation about the accuracy or completeness of the information. As a buyer, it is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this property to you depends on factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. We have no knowledge of this offering other than the information received from Seller or their representatives. We are neither your agent or an agent for the seller. We will not participate in the negotiation of the purchase price or attend the showing of this property. As a buyer, you will be required to indemnify us and hold us harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this property.