Montgomery | Eagle Ray Homes

Highlights

• Value Add Opportunity via Rent Raise and Renovations
• New Debt is Available at Acquisition
• Rental Income Loss to Lease 14.82%
• Pro Forma Cap Rate 5.68% | Pro Forma NOI $44,196.80
• Centrally Located Portfolio | Montgomery Alabama
• Portfolio Mix of Single Family Homes and Multifamily Residential
• 5 Single Family Homes | 135 Total Units Available Across Multiple Portfolio Offerings
• Strategic Ability to Sell Individually Into Historically Strong Single Family Market
• Notable Economic Drivers | Hyundai Plant, Maxwell-Gunter Air Force Base
• State Capitol Alabama State University, Amazon, Alfa Insurance

Description

The Montgomery Residential Portfolio is a rare opportunity to acquire a very centrally located and easy to manage portfolio of residential properties in the growing Sun Belt city of Montgomery, Alabama. The portfolio represents a mix of single family and multifamily residential properties for this Capitol city of Alabama.

Current ownership self manages with local boots on the ground by way of a family partnership structure. This very well managed asset has been acquired over many years and is operationally sound with plenty of opportunity to push renovations and increase the rent roll in a meaningful way. Management utilizes maintenance staff and third party vendors for all service needs of the portfolio. They currently offer unique tenant incentives and maintenance programs that assist in retention efforts that may add value to new ownership.

The Montgomery Residential Portfolio is perfectly positioned as a city of growth with a new vision for economic prosperity and quality of life improvements. There are major revitalization efforts in place to continue attracting top talent and companies alike. Residents and large corporations are attracted to the State of Alabama's pro business climate of low taxes and Sun Belt weather. Montgomery is situated right in between the major cities of Atlanta, Birmingham, Mobile and the pristine beaches of the Gulf Coast. There are major manufacturers and distribution centers as local economic drivers that help support a high quality of life for its' residents.

This offering represents a wonderful investment opportunity for groups looking for exposure to the typically pro business environment that the Sun Belt region offers along with better weather overall. There is more and more capital migrating to this climate with a need for good affordable housing for area residents. With ultimate flexibility, the Montgomery Residential Portfolio has the economies of scale that out of area investors look for including the ability to hire a full management staff. This portfolio should serve well as an acquisition target for institutional and private equity investors locally, regionally and nationally!

Montgomery, Alabama is centrally located and perfectly positioned in the Sun Belt. The Alabama State Capitol in Montgomery is located 153 miles from the Atlanta, Georgia International Airport along Interstate 85. Birmingham is a short drive to the north of 92 miles while the port and surrounding City of Mobile is 169 miles away. Some of the countries finest beaches including but not limited to Pensacola, Navarre, and Destin are 3 or so hours from Montgomery for easy weekend trips to the waters of the Gulf of Mexico.

The City of Montgomery is the Capital of Alabama with a robust economic environment that has produced multiple awards of excellence at the Chamber of Commerce level. As consecutive Mac Conway Award Winners for Excellence recipients, Montgomery is well positioned through their "Imagine a Greater Montgomery" initiative to re-shape the city vision. The Economic Development there is focused on building competitive regional talent, diversifying the regional economy, transforming Montgomery's image and building diverse community capacity.

Major economic drivers to the area include Hyundai manufacturing, Maxwell & Gunter Air Force Base, major Amazon distribution, Alabama State Capitol, Alfa Insurance, Kinpak, H2 Pharma, Dollar General transport/logistics, Dow Chemical, and Conner Industries to name a few. The Port of Mobile is the ninth largest port in the country and is one reason why economic growth to the state continues to grow. Major exports include containers, coal, laminate, flooring, iron, steel, frozen poultry, chemicals, soybeans, and various lumber products.

Overall, the City of Montgomery is highly focused on attracting large companies to its' vastly diverse and well trained workforce. They are focused on expanding air service whilst improving passenger traffic and experience. Major initiatives that support this broad vision are in place now and supported by robust economic policies of low taxes and greater economic benefit.