The Waller Group is proud to present the 87.5% occupied, 8- unit value-add property in Dallas, TX. The owner has recently upgraded the appliances in the units. Each unit has stackable washer/dryers available. Each unit has their own HVAC unit. The owner is responsible for water/sewer expenses, but management currently bills back $50 / unit / month. Current rents are 70% of existing market rents in the immediate area for similar vintage properties. The property is available because current ownership is looking to reinvest proceeds developing larger properties.
New ownership, based upon area rent comps, can raise rents up to $464 / unit, which is a $0.66 / sqft bump. With this bump and leasing up the vacant unit, new ownership can achieve an annual NOI of $81,239. Additionally, there is the opportunity to implement additional income fees through late fees, MTM fees, and parking fees. Another cost saving opportunity would be utilizing water conservation opportunities such as updates on faucets, showers, and low flow toilets, which can save up to 20% on water bills. The property is currently managed by WGPM. WGPM is willing to stay on for new ownership at 6.0% of EGI.