50%+ ROI in 12-18 Months / 10 Unit MF Excellent Area Oakland
550 Fairmount Ave, Oakland, CA 94611
550 Fairmount is a 10 unit apartment building located in Oakland, California. 6 x 1Bd/1Ba and 4 x 2Bd/1Ba. Desirable area between Pill Hill and Adams Point, near Piedmont. Walkscore of 85. “Class C” asset in “Class A” area, with significant upside potential. Excellent transport links and walkable access to upscale shops and restaurants. 4 mins walk from Kaiser Permanente, Oakland’s largest employer.
Market rents in the same area are 180% of current rents. Tenant buyout situation in rent controlled area. Majority of existing tenants open to settlement. Able to raise rents to market on 6+ units.
3 story, garden-style walk-up. 6632 rentable sq ft. Coin-operated laundry room + locker room. Built in 1963. Good structural condition with some external improvements required. 9+ Parking spaces.
Sample Project Costs:
Acquisition cost: $1,750,000
Renovations: $350,000
Tenant Buyouts: $200,000
Capital Reserve: $200,000
Total Project Capitalization:$2,500,000
Pro-forma exit valuation: $3,300,000
We are looking for sophisticated and accredited investors for a minimum investment of $50,000. Our projected cash-on-cash return is 50%+ in a 12-18 month time-frame.
Oakland is one of the nation’s most attractive and rapidly evolving communities. Rents have soared in recent years with the spillover from San Francisco. Vacancy rate in the 150,000 Oakland-East Bay apartment market is approximately 2.6%.
“Oakland’s time has clearly arrived,” according to GlobeSt.com, with institutional capital seeking more affordable deals than are available across the bay in San Francisco. – REIS Report, March 2015
Please message me for additional details. [email protected] 415 691 1031