Catylist ID:
#30722857
46 Unit Multifamily Codo Community / Value Add / Opportunity Zone
Multi-Family
for Sale
| Catylist Listing ID: | 30722857 |
| Property Subtypes: | Low-Rise/Garden |
| Number of Units: | 46 Units |
| Building Size (RSF): | 34,555 SF |
| Gross Building Area: | See Agent |
| Sale Price: | $5,000,000 |
| Unit Price: | $108,695.65 Per Unit |
| In Opportunity Zone? | Yes |
| Property Use Type: | Investment, Business |
| Building Name: | College Court Condo Apartments |
| Sale Terms: | Cash to Seller |
| Cap Rate: | Undisclosed |
| Average Occupancy Rate: | 100 |
| Last Updated: | 3/29/2024 |
Overview / Comments
|
LOUISVILLE HOUSING MARKET: Per Chandan Economics Report, Louisville has the highest occupancy rate in the USA - 98.8%. See Report attached. OPPORTUNITY ZONE: Smart money is moving to opportunity zone properties. See link attached titled Opportunity Zone v 1031. LOCATION: College Court is at the leading edge of property that is increasing in value. Significant increases in rent rates and values are inevitable. It lies between two private colleges, close to the rejuvenated “Old Louisville”, and a few minutes drive to downtown and the bridge to Indiana. See attached news articles and links re 9th St., Broadway and Downtown. APPEAL: This community's layout and structure were designed to mimic the “cottage” appeal of housing in Limerick, Ireland. It is in Louisville's Limerick neighborhood - most of the original residents were from Limerick, It has a huge central walkway with attractive lawns and mature trees. New trees were planted in 3/2023. All buildings are either 1 or 2-stories, all units have individual porches. Unique setting and air of shared community. RENTS: Rents are well below market. Owner has begun raising them. See Fair Market Rent Flyer in the Documents section. Support material available on request. Some of the units are occupied by Section 8 tenants. OWNERSHIP: Seller owns 46 (of the 100 units), giving him effective control of the HOA. CONSTRUCTION: Exteriors are brick. Interior walls are dense lath and plaster, providing superior insulation, fire resistance, and soundproofing, All floors are concrete, covered by either tile or LVP. Copper flashing on roofs. Most buildings have full concrete basements. ROOFS: The 100 condos are housed in 12 buildings. 9 have new roofs. HOA DUES AND COVERAGE: +- $8,300 per month:: 1. Management, 2. Master condo insurance policy, 3. Water, sewage, drainage. 4. Trash, dumpster service, 5. Landscaping, grounds-keeping, litter pickup, and snow removal, 6. All exterior building maintenance and upgrades, 7. Common electric. Current owner pays only property taxes and interior condo maintenance. UTILITIES: Water is common, paid by HOA. All other utilities are separately metered. About 6 of the 16 electrical panels, have been replaced. HVACs are individual forced-air systems, the furnace using hot water. It’s inexpensive to run, robust, efficient, virtually maintenance-free, inexpensive to replace. See video. COMMON AREAS: 1 Clubhouse. It has washer/dryer hookups, needs rehab, and is not currently used. 2. Maintenance Garage. Currently being used for storing lawnmowers etc. They could be put to much better use. RECENT HOA UPDATES: The HOA is constantly making repairs and upgrades. Here are the latest: (1) Replaced most of the roofs.(2) Undertaken to replace the electrical panel meter bases on the 12 buildings. 3 already completed. (3) $18,639.90 rebuilding of the 7th Street parking lot. For now, 8th Street parking is okay and on the back burner.” BUILD MORE UNITS The zoning allows for 176 units to be built on this campus. It currently contains only 100. The last 2 photos are renderings showing two places where some of these additional units could be added. Special permit required for more than 2 story construction. BOTTOM LINE: These are very sturdy "tenant-proof" condos, now operating at underpriced rent rates. UPSIDE: *Keep as low income housing and raise rents *Acquire more units - 54 *Build more units - (theoretically) 76 *Go upscale and *raise rents or *sell off the units as condos See Documents section for Fair Market Rent/Sect 8. |
Attachments & Media
Additional Details
| Nearest MSA: | Louisville/Jefferson County |
| County: | Jefferson |
| Tax ID/APN: | 029E01080000 |
| Zoning: | R-7 - Residential Multi-Family District |
| Community Amenities: | Community Building |
| Property Located Between: | 7th and 8th Streets AND W Kentucky St and Garland Ave |
| Site Description: | IMMEDIATE NEIGHBORS: North: new warehouse/office - Trade Mark Floors West: new Spaulding University athletic fields and complex, South: Simmons College, main campus. Historically Black College and University, East: Limerick, Old Louisville, Shelby Park - all with increased property values. |
| Area Description: | Go to https://louisvilledowntown.org/development-activity/ to see Louisville's recent real estate developments. You will see that the College Court development is part of the SoBro (South of Broadway) area - see link attached, and is a minute away from 9th Street and also from Broadway, In other words it is at the epicenter of enormous change that is sweeping through Louisville's downtown and long-neglected west end. Yet critically, it is still east of 9th street, the great divide in Louisville. So it will continue to benefit from the enormous developments taking place and planned in downtown, 9th street, Broadway and SoBro. Location, location, location. And if you are able to find another development nearby with the wide open spaces and potential like that of College Court, please let me know. |
| Number of Stories: | 2 |
| Year Built: | 1988 |
| Construction/Siding: | Brick |
| Exterior Description: | THE LOUISVILLE HOUSING MARKET - CHALDERON ECONOMICS REPORT MAY, 2023 (1) Louisville, KY, has the highest rental occupancy rate in the USA, averaging 98.8% through the first quarter of 2023 (2) Louisville's 7.5% rent growth is well above average. (3) Realtor.com ranked Louisville as the number 3 housing market for growth. (4) Despite the high growth rate of rental and sales prices, renters and homebuyers are finding entry price points in Louisville more attractive than regional alternatives: according to the WWJ Rental Index, Louisville’s average rent price of $1,341 is 11.3% lower than rents in Memphis and 31.3% lower than in Nashville. |
| Parking Description: | Zoning does not require any parking spots be provided. Parking on and around the property is adequate. |
| Laundry: | In Each Unit |
| Interior Description: | REHAB OF SELLER's CONDOS: Most units have had an extensive, durable renovation. The HOA continues to make capital improvements. In most cases Seller's units have had these improvements: All flooring replaced with ceramic tile (most units) or vinyl planking. HVAC repaired, replaced, or renovated. Water heaters were replaced as needed. All units are air-conditioned. Kitchens rebuilt with Formica countertops and durable cabinetry (no particle board). All window mechanisms were rebuilt. Washer and dryer hookups were added to most units. Windows repaired or replaced. Repaired all walls, and painted with quality semi-gloss high-durability paint. Bathrooms re-tiled as needed. All supply-side plumbing was replaced with "Pex". 45 units are in good habitable condition, and 1 needs rehab. |
| Zoning Description: | R7 in the Opportunity Zone |
| Water Service: | Municipal |
| Sewer Type: | Municipal |
Demographic Statistics
| Proximity: | 1 mile | 3 miles | 5 miles |
|---|---|---|---|
| Total Population: | 23,148 | 142,067 | 306,098 |
| Median Age: | 35.1 | 35.58 | 36.76 |
| Households: | 11,720 | 61,142 | 131,862 |
| © Copyright 2024 Moody's. All Rights Reserved. The information presented herein is provided as is, without warranty of any kind. Neither Kentucky Commercial Real Estate Alliance nor Moody's assume any liability for errors or omissions. |
