20%+ High Cash flow Multifamily 7-Unit in New Windsor, Maryland

[John Herbert]

• Deal Story:  Ownership dissolving for retirement
• Location: New Windsor, Carroll County, MD -- 6 Miles outside of Westminster
• Property Management:  Managed professionally for 10+ years; property manager will stay on with new buyer for Turn-Key acquisition --- 10 Years of Books & Records!!  All showing long history of 100% occupancy 
• Inspection complete:  All minor items; no deferred maintenance -- everything recently updated/replaced: roof (2016) , siding, systems, etc. most with warranties
• Unit Mix:  2 3bd/1ba; 4 2bd/1ba;  1bd/1ba -- all 100% occupied amounting to 6500/mo rent roll
• Value Add Opportunity:  Vacant 2bd/1ba cottage on premise that requires ~$15k to increase rent roll by $1000/mo
• Deal is already under-written by Revere Bank; with the following terms provided:
  
  • 4.5% Interest
  • 75% LTV
  • 6 Months I/O; transition to 25 Yr Amortization
  • 6 Year term:   3 year fixed; small adjustment for another 3 years [with the expectation that the buyer will cash-out refi after year 3]
• Financials
  • 2016 Actuals: $57,000 NOI
  • Deal Price:  $549,000
  • Trailing 12-mo Cap Rate:  10.38%
  • Proforma Cap Rate [based on aforementioned Value-Add Cottage rehab assumption]:  12.23% 
  • Actuals -- Cash on Cash with 25% Down-Payment: 20%+    

Full disclosure: This is a killer deal -- we will likely purchase; taking back-up offers for optionality and to provide an opportunity to those who already invest in the Westminster / Carroll County area-- please have POF ready so we can qualify potential investors in a timely manner -- the contingency timelines are very tight right now.

John

[email protected]