Description
Marcus & Millichap is pleased to present Franklin 29, a 29-unit apartment complex located in Franklin, OH. The community consists of eight one-bedroom, one-bathroom and twenty-one two-bedroom, one-bathroom apartments. The asset is currently 100% occupied and has 22,650 rentable sqft. on a total of 1.65 acres. Franklin 29 offers incoming investors the opportunity capitalize on the desirable characteristics of the property, cash flow by being 100% occupied, benefit from the recent capital expenditures, and increase NOI through value-add opportunities.
Positive Property Characteristics – Franklin 29 benefits from having a higher ratio of two-bedroom units, which are highly desirable in the area and tend to attract longer-term tenants compared to studio and one-bedroom units. Each unit has electric baseboards for heat and the tenants cover the expense to operate these through their electricity bill. Additionally, the median household income for the two-mile radius around Franklin 29 is $55,529 (Costar). This supports continued rental growth for the property. Finally, the asset is 100% occupied, which will provide an incoming investor with immediate cash flow.
Recent Capital Improvements – The current ownership of Franklin 29 has invested heavily into the asset over the past three years. The improvements during this timeframe include new windows, roofs, and metal siding on all buildings. Also, twenty-five of the twenty-nine units were renovated in this timeframe.
Value Add Opportunities – Franklin 29 implemented a $35/bedroom/month utility fee at the beginning of 2024 to help offset the water and trash expenses. This has been implemented with nine tenants as of March 2024. By implementing this with the remaining twenty units, an additional $19,950 in yearly income can be captured. An incoming investor can also renovate the final four units to push these rents. Finally, with the asset’s rents below their competitors and it being 100% occupied, there is a strong case to renew leases at the higher market rate to recapture the $5,880 in yearly income from loss-to-lease.
Listing Details
| Price: | $Market Bid |
|---|---|
| Address: | 212-220 Bridge Street |
| City: | Franklin |
| State: | Ohio |
| Zip Code: | 45005 |
| Year Built: | 1973 |