Press Release brought to you by LichtensteinRE

LichtensteinRE has just sold a package of 3 Apartment Buildings in The Bronx, New York for $7,700,000 with 20%/Year Return on

09/11/2014

Riverdale, New York. (September 11th, 2014) Andrew Lichtenstein, President of LichtensteinRE, has just sold a package of three multifamily properties in the Bronx for $7,700,000 cash.

This portfolio consists of three walk up apartment buildings located at 1405 Rowland Street, 2220 Adams Place and 2327 Walton Place. The properties are in excellent condition and beautifully maintained with lovely architectural ornately detailed terracotta tile and marble. All the properties have new security systems.

The buildings contain 60 large mostly renovated apartments with a total of 197 rooms. The buildings are 100% rented averaging $1,273+/- a month. They are comprised of 4 studio, 39 one bedroom, 13 two bedroom and 4 three bedroom apartments.    

“These large apartments are rented below market value representing great upside potential for the new owner. After he raises the properties’ rents, his return on investment will be even greater,” Andrew Lichtenstein the exclusive seller’s broker said.

The properties contain 53,423 total square feet of usable space plus 12,395 of unused developable square footage. The contract price represents $128,333 Per Unit, a $144 Per Square Foot and a Cap Rate of 6.9%.

Andrew Lichtenstein explains that “What was most amazing is the extraordinary positive leverage and tremendous cash on cash return that our buyer should enjoy. Our buyer locked in a rate of only 2.9%. Paying 6.9% cap rate gives the buyer an unbelievable 4% profitable positive leverage on every dollar borrowed. With 80% loan to purchase price our buyer’s starting return on investment should be 14% and at the end of year 1 when adding back the mortgage amortization our buyer’s return on equity should be 20% which is the best way I know to create great tremendous wealth with real estate. I always strive to create a win-win sale and purchase that benefits our buyer and seller clients and this sale is a textbook example I strive to duplicate in every sale.”

The first property located at 1405 Rowland Street in Westchester Village was built in 1927. It’s a 4 story excellent condition walk-up apartment building containing 27 large apartments in 22,560 square feet.

The second property located at 2220 Adams Place in Belmont was built in 1931. It’s a 5 story walk-up apartment building containing 16 large apartments in 14,663 square feet. Belmont is also known as the famous “Little Italy of The Bronx”.

Finally, the third property located at 2327 Walton Avenue in Fordham Heights was built in 1926.  It’s a 4 story walk-up excellent condition apartment building containing 17 large apartments in 16,200 square feet.

Andrew Lichtenstein exclusively marketed this transaction and represented both seller and buyer.

LichtensteinRE has been actively selling multifamily property for its clients in and around New York City.

 

About LichtensteinRE

LichtensteinRE specializes in the exclusive sales of multifamily and mixed use commercial real estate properties in New York City’s 5 boroughs. LichtensteinRE is a full service Commercial Real Estate Sales, Financing and Advisory Service Boutique based in New York City, the financial capital of the world. LichtensteinRE’s proven experience, financing ability and exclusive connections with tens of thousands of potential buyers assures their selling clients the best possible price.

DoctorMortgage, which is LichtensteinRE’s financing division, has been a leader in commercial real estate mortgage debt financing since 1991. DoctorMortgage is able to negotiate and facilitate financing to deliver the best price, leverage and return on investment possible.

LichtensteinRE’s greatest ability is creativity and problem solving. After selling the owner’s property, LichtensteinRE has assisted successful sellers in locating replacement 1031 tax deferred exchanges and in some cases has more than doubled the seller’s net income post-closing. To learn more contact Andrew Lichtenstein at AL@LichtensteinRE.com

###

09/11/2014 - 11:39

Source

LichtensteinRE

Want more news about LichtensteinRE? Click here