The Waller Group is proud to present the 97.2% occupied, 36- unit stabilized property in Melbourne, AR. Current ownership has renovated the property by rehabbing the exterior and interior. The subject property is the only apartment building in town and has an extensive waiting list. The property consists of 7 buildings: 6 buildings with dwelling units, and 1 additional building with an office, laundry, and storage. The property is available because current ownership is retiring.
The roof was replaced 2 years ago. 22 new HVACs installed 3 years ago, 8 replaced 5 years ago, and 6 old HVACs. 80% of units have been renovated. Current ownership is achieving $113,849 in annual NOI. New ownership, based upon area rent comps, can raise rents by $49 / unit, which is a $0.07 / sqft bump. With this bump, new ownership can achieve an annual NOI of $150,090. Additionally, there is the opportunity to implement additional income fees through implementing a ratio utility billing system, application fees, late fees, month to month 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. Property currently has a manager on site, and the current manager is willing to stay on for new ownership.