Pinnacle Announces Sale of Two Apartment Assets in Aurora
Pinnacle Real Estate Advisors, LLC is pleased to announce the sale of 1631 Clinton Street and 1633 Alton Street. The multifamily properties have a combined 11 units. The buildings are located south of the Stanley Marketplace in Aurora. The capital improvements for each asset include a new roof, new exterior paint, and updated vinyl windows. The Clinton Street property sold for $565,000 or $94,167 per unit, and the Alton Street property sold for $410,000 or $82,000 per unit. Andrew Monette and Jeff Johnson, with the Johnson Ritter Team, represented the seller in the transaction and Josh Newell and Barton Thompson, of the Newell Team, represented the buyers.
“Because the seller owned the properties outright, his return on equity was nowhere near what it should have been. We were able to help the seller dispose of these assets at a 6.28% CAP rate and traded him into a property operating at a 10.45% CAP rate,” stated Monette. “This ultimately resulted in an increase in his annual cash flow of over $86,000.”
“These properties fit well into the buyers’ value-add acquisition model,” added Newell.