PROVEN ABILITY FOR CONTINUED REVENUE GROWTH – 6.7% CAP RATE AT CURRENT RENTS
After an extensive period of extremely low market rents, in 2023 the current owner increased them by $200/unit. 100% of the leases signed in 2023 (60+ leases) are at the new, higher market rent. Simply continuing to push the current market rent on renewals and new leases equates to a 6.7% cap rate year one. The average length of tenancy for leases prior to 2023 is unprecedented at nearly 6 years. In 2022, annual turnover was only 18.3%.
PRIME VALUE-ADD OPPORTUNITY SOLD BY ORIGINAL DEVELOPER
Golfview presents the opportunity to obtain a well-maintained property sold by its original developer, located within the affluent city of Valparaiso, IN. Even the recently increased Market Rents trail the rents at comparable properties and are poised to benefit from a value-add initiative. Through an interior renovation program, an incoming investor can dramatically increase effective rents, with NOI growth of at least 15%, and generate a $400+ average rental premium. Additionally, revenue can be increased by initiating a bill-back for water, sewer, and trash, and introducing desirable amenities.
POPULAR & FLOURISHING VALPARAISO
Valparaiso’s exceptional quality of life shines through its lively downtown, plethora of green spaces, exciting economic developments, presence of the nationally acclaimed Valparaiso University, and an outstanding public school system. With only 38% rental housing and very little new development in Valparaiso, it’s no surprise this market consistently maintains a high occupancy, currently 96.5% and 4.6% rent growth in 2023.
BORDERING GOLF COURSE IN PROSPEROUS NEIGHBORHOOD
Nestled within an opulent and coveted locale, Golfview gracefully meanders alongside the serene Forest Park Golf Course, providing picturesque views enhanced by lush foliage. The immediate area is quite affluent with average household incomes and home values exceeding $122K and $346K, respectively.
PROMINENT CHICAGO MSA/NORTHWEST INDIANA REGION
Golfview boasts a prime, central location in Northwest Indiana (The Region), within the Chicago MSA. A mere one-hour drive from Chicago—the nation’s 3rd largest city—Golfview benefits from proximity to an abundance of employment, amenities and entertainment opportunities, while avoiding the exorbitant costs and inconveniences of a large metro. Northwestern Indiana is benefiting from a boom of new residents as people look to escape Chicago in favor of small-town charm, lower taxes and a more suburban environment.
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