24-27 unit apartment building with 10 one bedroom units, 10 two bedroom units, 2 floor of commercial space to suite, ground floor restaurant/nightclub
This property is 100% vacant and has been for over 15 years. This property is recognized as "Holyoke's first skyscraper" and still is the second tallest building in the city, behind city hall. The property has 33,000 sq ft of opportunity and is on the national historic registry, making it eligible for state and federal historic tax credit incentives. The total amount of eligible tax credits is $4M based on $10M in qualifying expenses. For the past two years, we have been diligently working through the tax credit approval process, and with a little luck, we will have our approval for $2M of federal tax credits approved by March. Construction plans include 20 residential units, 2 floors of of maker/flex space, and a ground floor restaurant and nightclub concept, The Paper Factory, with an operational partner who has $28M of restaurant management experience.
Property Type - Mixed Use
Total Units - 24-27
Unit Mix - 10 one bedroom units, 10 two bedroom units, 2 floor of commercial space to suite, ground floor restaurant/nightclub anchor
Purchase Price - $475,000
Renovation Budget - $7,500,000
Stabilized Annual Rent after improvements - $687,000
Stabilized Value - $8,000,000
Projected Stabilization - End of year 2025
