DApice of The Mega Group completes mixed-use sale

Danvers, MA Brian DApice of The Mega Group has completed the sale of 72 Holten St.; representing both the seller, 72 Murphy LLC, and its managers Jeanne E & Brian F Murphy and the buyer, Christopher Patrick DApice, beneficiary of the DApice Family Trust I, for which the recorded buyer 2CRAZYMFS4US I LLC is under.

The subject property is three total units; a two-unit residential apartment building out front with a one-unit commercial garage in the rear and featuring ten off-street parking spaces. The asset, which sold for $850,000, was a very creative opportunity for both parties as the buyer came to closing with $100,000 in cash along with a private mortgage of $750,000 provided by the seller. In this deal the seller will take advantage of a capital gains tax deferment for at least 5-years where they will have an option to extend terms and the buyer will take advantage of a competitive down-payment requirement and keep cash on-hand to make capital improvements and increase value. 

Upon closing, immediate renovations include a new roof, new windows for the first floor and completing the first-floor renovation that the seller had started prior to the sale. 

72 Holten Street is located just off downtown Danvers Massachusetts within walking distance to Tapley Park and the historic Rebecca Nurse Homestead.

The buyer, Christopher DApice, is about two-months shy of his sixteenth birthday and a sophomore at St. John’s Prepatory School in Danvers Massachusetts. Christopher completes this acquisition with a cash contribution that was matched by his parents, using savings from his Edward Jones Investment account that he had been actively trading with since the age of 11 years old under the supervision of his mother, Jennifer, formerly of Fidelity Investments. Christopher was mentored from initial investment analysis to future value to closing by his father, Brian, a real estate investment professional and Principal of The Mega Group. DApice states his son “Christopher will learn about annual tax reporting, Profit & Loss, Cash Flow Analysis, and a Capital Improvements Budget that will increase property value, simultaneously increasing equity, which will fund his college education.” Christopher states “The pro forma is showing us a market value of about $1,350,000 in five-years if we inject $75,000 in cash after closing for improvements and bring all three rents to market value, which gives me a net equity of $325,000 for college when we account for the cash-in for down-payment and immediate improvements against the $500,000 in equity that is predicted.”

James M Sears of the Sears Law Office in Danvers Massachusetts represented the seller and Marc D Kornitsky of Barrett Kornitsky LLP in Peabody Massachusetts represented the buyer.

Brian M DApice of The Mega Group holds a BS in Accounting from Northeastern University and specializes in retail, industrial & investment sales, hotels & other hospitality investments, and 1031 Tax Deferred Exchanges.