Overview

Description

Contact:
TOM JOHNSTON
Managing Director | Designated Broker
SVN | SFRhub Marketplace
T: 602.441.5354
C: 602.403.3695
tom.johnston@svn.com
License #: BR507919000

BOR:
SVN | ArkBest Realty, LLC
Traci Allen
Designated Broker

Visit www.SFRhub.com and search for portfolio 101564 for more information. 

SVN | SFRhub Marketplace is excited to present a compelling opportunity for qualified investors: a portfolio comprising nine scattered homes in Little Rock, AR. This portfolio offers immediate scalability in a burgeoning tertiary market, featuring six 2-bedroom and three 3-bedroom homes. The assets include five single-family detached residences and two duplexes, boasting an average vintage of 1967. Currently, all properties are fully leased to meticulously screened tenants, with the oldest home built in 1942 and the newest in 1980, all impeccably maintained.

Strategically clustered, these homes provide operational efficiencies for property management. Ranging from 900 to 6,672 square feet, with an average size of 2,040 square feet, they offer ample living space. Despite their potential, rental rates are currently 20-30% below market averages, presenting an opportunity for immediate value enhancement.

With an average monthly rental rate of $864, there's significant potential to increase returns. Property management is already in place, willing to seamlessly transition to the new owner. The market context in Little Rock is favorable, with home values averaging $227,853, while this portfolio's homes are attractively priced at an average of $105,556.

Little Rock's real estate market has demonstrated steady growth, with home values increasing by over 7.65% in the past twelve months and 41% over the past five years. Rental demand remains robust, with 44% of the population opting for tenancy. Vacancy rates are low, with Little Rock homes typically vacant for just 28 days on average.

This portfolio, priced competitively to sell, offers a Year 1 stabilized cap rate of 7.36% and a gross yield of 10.68%. By capitalizing on the opportunity to adjust rental rates, investors can maximize returns in this thriving market.

Little Rock, Arkansas, the state's capital and most populous city, sits along the banks of the Arkansas River. It's a city rich in history, offering a blend of southern charm and modern development.

Little Rock's economy is diverse, with a historical foundation in government and transportation. The city is home to several major corporations, including the global headquarters of Dillard's, one of the nation's largest fashion retailers. Additionally, healthcare plays a significant role, with the presence of the University of Arkansas for Medical Sciences (UAMS) and the Arkansas Children's Hospital. The city is also a transportation hub, thanks to its central location and the presence of the Bill and Hillary Clinton National Airport.

Over the years, Little Rock has seen strategic urban development initiatives. The River Market District, situated along the Arkansas River, has undergone revitalization, becoming a vibrant area with restaurants, shops, and a farmer's market. The Creative Corridor, connecting the River Market District to the Arkansas Arts Center, emphasizes walkability and cultural experiences. Furthermore, the development of the Little Rock Technology Park underscores the city's commitment to fostering innovation and technological advancements.

Little Rock is a hub for education with several institutions catering to diverse academic needs. The University of Arkansas at Little Rock (UALR) offers a range of undergraduate and graduate programs, contributing to the city's educational landscape. The Little Rock School District, serving the city, focuses on providing quality K-12 education, with both traditional and specialized magnet schools.

Little Rock is a destination with a variety of attractions for residents and visitors. The William J. Clinton Presidential Library and Museum, located along the river, showcases the legacy of the 42nd U.S. President. The Historic Arkansas Museum provides a glimpse into the state's past, and the Little Rock Central High School National Historic Site commemorates the Civil Rights Movement.

Nature enthusiasts can explore the Big Dam Bridge and the Arkansas River Trail, offering scenic views of the river and the city skyline. Meanwhile, the Little Rock Zoo provides family-friendly entertainment.

The city also hosts cultural events and festivals, such as the Riverfest and the Little Rock Film Festival, attracting visitors with diverse interests.

Little Rock, with its diverse economic base, strategic city development, and educational opportunities, offers a balanced and appealing environment for residents. Its tourism attractions, blending history, culture, and outdoor activities, contribute to a dynamic cityscape. As Little Rock continues to evolve, it stands as a testament to the fusion of tradition and progress in the heart of Arkansas.

Highlights

• Price Reduced!
• 9 Homes strategically located throughout Little Rock, AR
• Asset types include single-family detached residences and duplexes
• All homes underwent renovation upon acquisition
• Professional property management is already in place
• The average size of homes is 2,040 square feet
• Homes were constructed between 1942 and 1980
• Average monthly rent of $864, currently 20-30% below market rates
• The portfolio boasts 100% occupancy with fully vetted tenants
• Average home price stands at $105,556, significantly lower than the market's median of $227,853
• Year 1 Stabilized net cap rate of 7.36%
• Year 1 Stabilized annual gross yield of 10.68%
• Year 1 Stabilized Net Operating Income (NOI) of $69,884
• All SVN® Offices Are Independently Owned & Operated
• Local Broker License Information: www.SFRhub.com/realestatelicensing

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