LOW BASIS | HIGH UPSIDE | 100% OCCUPIED
40-UNIT MIXED-USE VALUE-ADD OPPORTUNITY
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OFFERING SUMMARY
Asking Price: $2,275,000
Units: 40 (36 Residential + 4 Commercial)
Location: Lorain, Ohio
Gross Building Area (GBA): 31,700 SF
Gross Income: $304,608
NOI: $130,636
Cap Rate (In-Place): 5.74%
GRM: 7.47
Occupancy: 100%
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TOP 5 REASONS TO BUY
1. BELOW-MARKET RENTS (10–40%+)
Clear path to increased income through rent normalization
2. LOW BASIS – $71.77/SF
Well below replacement cost and attractive entry point
3. 100% OCCUPIED – IMMEDIATE CASH FLOW
No lease-up risk, stabilized tenant base
4. MIXED-USE INCOME DIVERSIFICATION
36 residential units + 4 commercial storefronts
5. FORCED APPRECIATION OPPORTUNITY
Projected $60K–$400K+ in value creation
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UNIT MIX:
1 Efficiency – $499
23 One-Bedroom – $623 avg
12 Two-Bedroom – $713 avg
4 Commercial Units – $500 avg
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PRICE METRICS:
Price per Unit: $56,875
Price per SF: $71.77/SF
?? Well below replacement cost with a strong basis for value-add execution
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VALUE-ADD OPPORTUNITY?:
Current rents are significantly below market for Lorain, Ohio, where:
1BR units average ~$700+
2BR units average ~$900+
Opportunity: Increase rents through natural turnover and operational improvements.
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INVESTMENT HIGHLIGHTS?:
Fully stabilized asset with immediate cash flow
Below-market rents with measurable upside (10–40%+)
Mixed-use income stream (residential + retail)
Central heating (30 units) + individual systems (10 units)
Two boiler systems
Tenant-paid electric minimizes expense exposure
38 on-site parking spaces
Durable brick construction with strong infrastructure
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INVESTOR RETURNS (ILLUSTRATIVE)
Initial Cash-on-Cash: ~1–2%
Stabilized Cash-on-Cash: ~6–8%
Target IRR (2–3 Year Hold): ~10–14%
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NOTE: There are 9 addresses altogether for the 40-unit mixed-use investment.
Detailed financials, rent roll, and additional documentation available upon execution of a Non-Disclosure Agreement (NDA).