A RARE MODERN BUILT APARTMENT COMPLEX IN A DESIRABLE LOCATION!!
650 Virginia Park Street, Detroit, MI
- built in
1966 in an area where most complexes
are 80-100 years old
- 62% occupied
- 19 one
bedroom units and 2 two bedroom units
- eight units
have balconies (a competitive
advantage over other local complexes)
minute walk to future
M-1 Rail station
at Woodward Avenue and Grand Blvd for quick access to downtown
desirable New Center neighborhood
and located within the Virginia Park Historic District.
very quiet street surrounded by
nicely restored homes with no other complexes in immediate vicinity
sale being handled by court-ordered receiver
offer was accepted during multiple
contract purchase price is $277 416.00 ($13 210/unit)
roll and financials, title
commitment, and detailed pictures of all units available for review
estimate from established local
was based on a 12% cap
price may be renegotiated
based on repair estimate and new financials
There is tremendous upside in
this building! The
location is on the northern border of the New Center area, which is
currently experiencing rapid increase in demand for rentals due to the
construction of the M-1 Rail joining downtown to New Center, due to be
completed in 2016.
There is now a very short supply of available properties
south of this
bulding in New Center, Midtown (location of Wayne State University and
extensive development), and downtown Detroit. Property values
have more than doubled in the last two years. There are very
quality buildings available.
A much older complex with no balconies in the vicinity sold for about
$17,000/unit a year ago. There is also a very high demand for
condos and quality rentals near downtown and this building would be an
excellent condo conversion candidate.
The tax auction this past month demonstrated the demand for property in
this area. There were very few parcels available in the areas
south of this building and they all, including vacant land, sold at
escalated prices in comparision to recent years. There were
tax delinquent homes on Virginia Park Street in this historic district.
At the tax auction, a nearby condo sold for $65,000. The only
apartment building in this vicinity available at the auction, a much
older building which is totally vacant, appears to have extensive roof
leaks and ceiling damage, and allowed no access inside for potential
bidders, sold for $211,000 this past week.
I believe that multifamily values in Detroit will double
in the next five years and this building is positioned to do even
better. Multifamily prices in a market tend to follow
in single family home values.
Home prices in Detroit have been doing very well. Since
low of $11,500 in 2009, they slowly increased annually and averaged
$22,500 in 2013. When the bankruptcy process began to make
positive steps during the last six months, prices took off.
month the average home price in Detroit has hit $43,500.
Multifamily prices will soon start to follow. Asking prices
at an all-time low and need to double to match those of other similar
mid-western cities and the values in Detroit only 6 years ago.
According to Loopnet, the building on Virginia Park that I
contract was one of the most
viewed properties in Detroit on Loopnet during the past
This could be a very profitable deal for you and I am here to help.
I would like to retain 10% ownership in the property at
and will make sure my contractor completes all needed work and I will
oversee the lease-up of the remaining units. I would also
consider partnership with you in this purchase or wholesaling the
property to you as an investor.
Contact me immediately
for more pictures of all units, financials, and other due diligence
do your research and contact me with any questions. A
non-refundable deposit will be required to tie up the deal. First come first serve. Look
forward to doing business together!
Properties LLC is registered in Arizona.
Properties is a registered company in Alberta, Canada.