41 Cleveland apartments
Quality Tenanted Block Of 41 Apartments. Great 24% NET Yield. We are pleased to offer for sale a great value quality block of 41 one bedroom apartments which are located in Euclid Avenue, East Cleveland which enjoys high ongoing rental demand.
The current owner has been refurbishing and leasing the apartments. 32 units are now occupied and the remaining units will be refurbished and tenanted in the next 2-3 weeks to ensure close to maximum occupancy by the time of closing.
The refurbishment works have been carried out to a high and include new replacement vinyl windows throughout. The apartments have individual cooking gas and electric meters but the landlord pays heating gas for the 6 winter months.
The projected Net Annual Operating Income at 95% occupancy (allowing for 5% vacancy) is $128,700 which means a fantastic net yield of 23.87%.
There is the opportunity to significantly improve income still further by increasing current Rents to Market Rates and leasing units in conjunction with the Subsidy Voucher Program. This would provide a stable, consistent tenant base with guaranteed rent payments. This is a Fantastic Opportunity to purchase an Apartment Complex for a bargain price
Please complete the Enquiry Form to receive detailed financial analysis and rent schedule.
KEY FINANCIALS: (Based upon 1.5% vacancy)
SALES PRICE: $499,000
CLOSING COSTS: $30,000
AGENCY FEE: $10,000
POTENTIAL RENTAL INCOME $221,400
-Vacancy & Credit Losses $3,321
GROSS OPERATING INCOME $218,079
Real Estate Taxes $11,860
Property Insurance $10,800
Property Management $21,808
Garbage Dumpster $250
Quarterly Water $3,000
Landscaping June to October $100
Repairs and Maintenance $10,904
Turnover Expenses) $5,000
Common Area Electric $4,200
Water & Sewer $3,000
Heating November - April $15,000
Accounting and Legal $200
TOTAL OPERATING EXPENSES $86,122
NET OPERATING INCOME $131,957
At 98.5% occupancy, this represents a superb net yield of 24.48%.
This opportunity is priced to sell now so please contact us as soon as possible for further details or to reserve the deal!