Edgewood Apartments |
Southview Townhomes |
Fountainview Apartments |
Cortland I & II |
Brookmeade |
Each property is for sale, individually, although you may purchase the portfolio. |
We are pleased to present 5 quality assets in the Hagerstown Market. These assets range from class B+ to class A with excellent locations. There is an opportunity to control a substantial segment of the market by purchasing all 5 properties totaling 885 units and a 10,850 s.f. retail center, or purchase each asset individually. The stabilized properties are all encumbered by below market financing. In addition, there is an opportunity to significantly increase the net operating income.
Please contact Allen Manesh to discuss these assets, or fill out the fax confidentiality for more information.
Stabilized:
- Edgewood Apartments (110 units) plus 10,560SF Shopping Center: $11,500,000
- Fountainview Apt. (60 units) and Fountainview deeded THs (67 units): $14,500,000
- Southview Townhomes (96 units): $9,000,000
Built in 2006-2007
- Brookmeade (120 units): $14,000,000
- Cortland I (216 units): $29,000,000 (60% occupied)
To be built:
- Cortland II (216 units): $29,000,000
About the Hagerstown Market
Hagerstown is knows nationally as a “Hub City” due to it’s transportation oriented venues such as I-81, I-70, I-68, the CSX Rail Station and the large corporate distribution centers with dominate the area. Hagerstown, the County seat and business center, is Maryland’s sixth largest city and is easily accessible to both Baltimore, Maryland and Washington, D.C.
Hagerstown is a high-growth Washington, DC submarket with approximately a 142,000 population. The $70 Million Dollar Hagerstown Regional Airport expansion is inducting US Airways and American Airlines in 2007 to further grow the area. Home Depot, Fed Ex, the new Washington County Hospital, the 4,500 job outputting Fort Ritchie development, First Data Corp and the remaining 3,120 business confirm the aggressive growth in this bedroom community.
The current building moratorium in Hagerstown has virtually created an impasse for any multifamily developer for the next five years. Currently, the county excise tax or “impact fees” are $31,500 per unit. Sewer and Water allocations are bottlenecked for years creating unbelievable barriers to entry. In the past three years, Hagerstown has shifted from a $0.60 PSF to $0.84 PSF. The county has demonstrated a strong occupancy average of 97%.
Furthermore, our survey of the rental market shows a 97%+ occupancy rate and should easily be able to absorb these new units. The seller has rented at 17 units per month on Cortland Manor thus far.
The job market here is also very strong. The opening of Washington County’s new hospital, a new high school, a new medical center and the expansion of the runway at Hagerstown Regional Airport are projected to bring an additional 1,300 jobs here in Hagerstown.
The entire portfolio provides an excellent return for investors who is looking to purchase assets below replacement costs and at the same time establish a management company in a strong market. |
