Greenwood Star Portfolio

$1,650,000

Multiple Addresses, Louisville, KY 40210

For Sale

Multifamily Garden Low Rise

Active

Last Updated: 07/29/2024

Details:

Cap Rate: 6.62%

Building Size: 20,783 sqft

Lot Area: 2 acres

Units: 9

Year Built: 1900

Price Per Unit: $86,842

Year Last Renovated: 2009

Offered by

Tim VanWingerden

Associate Vice President

Matthews

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Description:

Greenwood Star Portfolio, is a portfolio of 19 units consisting of (17) single family rentals and (1) duplex. The majority of the units are located in West Louisville across Shawnee and Parkland submarkets and offer a unit mix of (1) 1 Bedroom, (12) 2 Bedrooms, (5) 3 Bedrooms, (1) 4 Bedroom houses.

2024 RENT GUIDELINES PROVIDE 9% INCREASE ON LEASE RENEWALS
The Louisville Metro Housing Authority has provided guidance on the max allowable rent for Property Owners with Housing Choice Voucher (HCV) participants. The allowable rent increase is 9% for lease renewals, provides an opportunity for an incoming investor to renew leases at an accelerated rate.

SFR SELLOUT OPPORTUNITY
Average homes sales for renovated properties are selling for $112/sf on average over the past 6 months. This provides an opportunity to renovate the SFR portfolio and sellout individually capturing an estimated $136.8k per home on average, over 20% return on cost assuming a $20k rehab budget.

RECENT CAPEX
Units have undergone upgrades on an as-needed basis which includes a number of appliances and HVAC replacements.

RESILIENCE WITHIN MARKET UNCERTAINTY
Louisville is experiencing back to back record breaking years for economic development in a market that is poised for continued growth as Kentucky quickly develops into the leading EV hub of the nation. Furthermore, in the turbulent rental market of 2023, Louisville has proven its resilience with rent growth posting among the top in the nation according to Costar (Nov 2023)

RECENT WEST END DEVELOPMENTS
Stellar Snacks announced a $137 million investment to create 350 jobs over the next decade in West Louisville, marking the largest economic development project in the community in over 20 years. The company plans to establish its newest and largest industrial pretzel bakery in Louisville, partnering with local community colleges and trade schools to provide career opportunities. Stellar Snacks' commitment aligns with recent economic momentum in Kentucky, including record-breaking job creation and investment figures, solidifying the state's position as a hub for economic growth and