The Waller Group is proud to present the 100.0% occupied, 32- unit stabilized property in Balch Springs, TX. Current ownership has spent over $310,000 renovating the property. Exterior renovations include: resurfaced the parking lot in 2018, installed a security gate, and painted the exterior. Interior renovations include: faux wood plank flooring, new countertops, two-tone paint, stainless steel appliances, new electrical and plumbing fixtures, and build-in microwaves. Additionally, there is a laundry facility on-site with new equipment installed in January 2019. Unit sizes are larger than average for the area, and 2 BD units feature W/D connections and wood-burning fireplaces. The property is available due to the size of the property (current ownership is focusing on larger assets and divesting partnership).
Current ownership is achieving $181,515 in annual NOI. New ownership, based upon move-in rents and high YoY submarket rent growth, can raise rents by $99 / unit, which is a $0.14 / sqft bump. With this bump, new ownership can achieve an annual NOI of $228,857. Additionally, there is the opportunity to implement additional income fees through continuing to renew leases with the current $50 / unit utility billbacks implemented last summer, 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 a 3rd party management group with a wealth of experience in the DFW market. Current management has agreed to stay on for new ownership at 5.0% of EGI.