Waller Group Properties is proud to present The Brown Estates, a rare 28-Unit, townhome community in LaFayette, Georgia. Built in 2006, the property consists of 4 – 2 bedroom 1.5-bath units averaging 938 SF, 2 – 3 bedroom 1.5-bath units averaging 1,525 SF, 21 – 3 bedroom 2-bath units averaging 1,536 SF, and 1 – 4 bedroom 2.5-bath unit at 1,600 SF. Each unit is equipped with its own back door access and all have separate patios. The new owner will significantly benefit from the recent construction and avoiding large capital expenditures in the near future. The Brown Estates create a unique opportunity not found elsewhere. The asset is stabilized at 96.4% occupancy with room for rental growth and the potential to develop more units. The asset currently includes 2.3 acres that are entitled for 4 buildings (16 units) and 5.9 acres for future development of an additional 8 buildings (40 units). The current owner built, developed, and manages the asset. He will consider built to rent possibilities with new ownership for future development. Based on comps within the market, new ownership can achieve over $0.11 per square foot in rental increases and unlock over $40,000 in annual top-line revenues upon raising rents. The Brown Estates have consistently achieved vacancy rates 2-4% below comparable properties in the Chattanooga market due to being a townhome product in addition to offering a unique single-family opportunity within a community. The property should retain its competitive advantages as limited construction and deliveries are in the pipeline for the next twelve months within a 10-mile radius. The area has seen less than 75 units come online since 2010, and only 60 are planned for the next 36 months. The asset is currently self-managed for 3% of EGI. A new management company has been identified in Auben MGMT for 6%.
