B-Class multi-family under $80,000 per unit in Augusta MSA. Currently property has 70% occupancy. Property consists of 24 units half of which are 2br/1ba. Four units are 1br/1ba and 8 units are 3br/1.5ba. Currently rents are below market but new leases are being executed closer to market rents. Property has undergone substantial upgrades the last 5 years and is positioned to increase NOI simply by leasing vacant units.
At the current asking price the cap rate is 5.36% but that is based on a 70% current occupancy. Market vacancy is under 10%. Using a 10% vacancy rate would put the cap rate at 9.85%. Raising current tenants rents to market would also increase cap rate further.
This property is located just outside of Trenton, SC in Edgefield County, off of Woodyard Road. Edgefield is located in the Central Savannah River Area (CSRA) which is also part of the Augusta, GA MSA. Columbia County GA and Aiken County SC both of which are in the CSRA are two of the fastest growing counties in the USA. Edgefield, SC is the location of several industrial and manufacturing companies that support jobs for the CSRA.