Affordable Housing Investment Brokerage Inc. recently sold a 14-building, 249-unit affordable housing portfolio in Gary, Indiana for $10,375,000. Managing director Kyle Shoemaker represented both the purchaser, a private investor, and seller, a private investor, to complete the transactions.
“All units at the property are covered by a Mark to Market HAP contract that expires in January of 2024,” said Shoemaker. “The properties were well positioned for a preservation transaction, selling to a regional landlord experienced with running HAP properties.”
All 14 buildings in the portfolio are all located within a one-mile radius, with the majority of the properties located along West 5th Avenue. The portfolio comprises 106 one-bedroom units, 110 two-bedroom units and 33 studio units. Rents range from $836 to $1,021 per month.
“The stability provided by the HAP contract is appealing to real estate investors with the hands-on capability to operate in Gary, making this an excellent opportunity for the buyer,” said Shoemaker.