Worcester, MA A stabilized portfolio of 110 buildings encompassing 250 apartment units in one of the United States’ strongest rental markets is being offered for sale by Madison Hawk Capital Markets Group.
94% of the 110 properties included in the offering are located in Mass., the majority situated in Worcester County, which boasts the lowest vacancy rate of the top 75 metropolitan statistical areas in the country. The remaining units are located in Rhode Island (5%) and Connecticut (1%).
The well-performing portfolio consists of 41 single-family homes, 19 two-family homes, 35 three-family homes and 15 buildings with four or more units, all of which have undergone extensive capital improvements over the past five years. The owner-managed properties maintain a 98.5% occupancy rate with a high quality tenant base and generates a net operating income of $1.77 million.
“This is a turnkey real estate investment opportunity that will immediately generate cash flow,” said Jeff Hubbard, president of Madison Hawk. “The owner has brought these homes up to market standards by investing more than $30,000 per unit in improvements. This has attracted and retained tenants with exceptional credit and above average household income, allowing for competitive rent increases. The end result of the portfolio-wide renovations is high yielding assets in a tight housing market with limited inventory and strong demand. Additionally, the portfolio has an internal management company already in place and willing to serve as property manager after the sale.”
The bid deadline for this portfolio is March 3. Bids should be sent to the New York City offices of Madison Hawk Partners, LLC, 575 Lexington Ave., Suite 4017, New York, NY.
Situated less than 50 miles from Boston, the Worcester metro area has been home to some of the largest business and residential growth over the past five years. The County has seen a tremendous increase in new and quality jobs in the service sector. It is also home to 13 local and regional colleges and universities which are helping to fuel the economy.
Worcester has benefitted from over $1 billion invested in both public and private infrastructure and commercial development over the last decade. It has been named a top 10 city for families, the fourth best metropolitan statistical area in the country for Job Gainers, a top five housing market in the country and ranked third of 30 best cities for employment. In 2015 Worcester had the lowest rental vacancy rate of any top 75 MSA according to the US Census Bureau. Three of the top five markets were all in Massachusetts and are encompassed in this portfolio.
Madison Hawk is a national real estate firm and industry leader specializing in structured portfolio sales and capital market solutions to complex real estate situations across all asset classes. The Madison Hawk team is among the most experienced in the industry, having designed and executed over $10 billion worth of commercial and residential sales across all asset classes including; apartment buildings, office buildings, industrial buildings, shopping centers, development land, condominium developments, luxury homes and other special purpose properties.
