Lyon On The Hill Apartments
223-225 Lyon St NE, Grand Rapids, MI 49503
Sale Price: $692,750
Price Per Unit: $173,188
Average Unit SF: 925 SF
Unit Count: 4 Units
Property Type: Prime Heritage Hill Quadplex
Stabilized Asset with Upside Potential: Offers investors stable cash flow and consistent cash flow, along with the opportunity to generate significant parking income and utility expense reduction. Valuable parking permits are currently offered free with rent. All units are separately metered for gas and electric, but landlord currently pays both utilities for 3 out of 4 tenants. Heat to each unit is provided by a dedicated forced air gas furnace.
Strong Rental Submarket: Submarket occupancy exceeds 95% and the subject property is 100%, thus supporting healthy annual rental rate increases.
Impressive Walk Score: The property boasts a favorable 95 Walk Score, indicating high walkability for residents.
Little Deferred Maintenance: Well maintained property with significant capital improvements made recently - reduces the need for major capital expense in the near future (keep more of your cash flow!).
New Financing Opportunity: The property is offered free and clear of existing debt, providing an investor the opportunity to take advantage of the highly aggressive capital markets, low interest rates, long-term financing with interest only period, and maximum leverage.
Stable and Diverse Economy: Grand Rapids metropolitan area is a dynamic and growing market with a stable and diverse economy anchored by over 90 international companies, including 4 of Forbes's largest private companies, in addition to a strong medical component.
Priced Below Replacement Cost: Maintain rental pricing advantage over any new product constructed in the market.
Strong Demographics: Average Household Income in a 5-mile radius is $71,673, which results in a market rent to income ratio of 23.4%. 71.5% of households with a one-mile radius and 39.7% of households within a five-mile radius are renters. The total population in the five-mile ring is 256,014 people (ESRI-2020). The median age is 32.5 years old with a one-mile radius and 33.6 years old within a five-mile radius (ESRI-2020), which is within the prime renter age demographic of 20-34 years old.