Green Bridge Real Estate is pleased to present the 24 Unit Shire Cove Apartments located at 1544, 1550, 1558, 1566 and 1570 Coventry Road in East Cleveland, Ohio 44118. The Shire Cove Apartments are located on the border of Cleveland Heights and the City of East Cleveland near the Coventry Retail and Student Housing area. The Property consists of a Three Story, All Brick, Walk up Apartment Building built in 1946 totaling approximately 22,992 sq.ft. on 0.91 Acres, consisting of 19 one bedroom, one bath units and 5 Two Bedroom, 1 Bath Units. Excellent Value Added Opportunity by Improving the property to increase the significantly under valued rents or to begin to accept subsidy based (Section 8 Voucher) tenants that provide “guaranteed” rent payments provided by Federal and State Funding for assistance to low income individuals. The potential exists to continue to operate this complex as a “market” (no-subsidy) type of property. Currently 100% occupied and has historically been very strong. Owner directs immediate sale at $960,000 or $40,000 per unit or an 9.42% Projected Cap rate based on 100% Occupancy at current market rate rental amounts.
The property has 25 rear surface parking spaces. Landlord paid Heat (Gas), Trash, Water & Sewer utilities. Tenant paid Electric. Heat is supplied by a gas-fired hot water boiler system. Gable Roof. The building is currently owner managed. Leased Coin Operated Laundry units provide additional income.
August 2017 Comparable Sales of neighboring buildings reflect $35,000 to $41,000 per unit for similar product with lower occupancy at the time of sale.
This property can be combined with an additional 200+ units (4 different sellers, on and off market) at a similar price point on the same block for ease of management, and to maximize the growth of this area for a prospective purchasing group.
LOCATION
The Shire Cove Apartments are located in the Forest Hills neighborhood adjacent to Forest Hills Park, former home of the Rockefeller estate. This neighborhood borders East Cleveland and Cleveland Heights, Ohio. With easy access to I-90 to the North and Cedar Road to the South, the
apartments are only 1.5 miles from Little Italy, Case Western Reserve University and the Cleveland Clinic’s World Headquarters, 6.5 miles from Downtown Cleveland and .25 miles from the Coventry Shopping district, one of the strongest rental markets in Northeast Ohio. RTA Public transportation is also readily available within the neighborhood with numerous bus stops
within walking distance. The property benefits from its proximity to Shopping and amenities.
INCOME
The Shire Cove Apartments are currently 100% Occupied (24/24). The current Projected Net Annual Operating Income is $52,916 or a 5.51% Capitalization rate at the asking price of $960,000 ($40,000 per unit) at significantly under market Rents. Pro-Forma Capitalization Rate at 100% Occupancy with units rented at Market rates is 9.42%.
