Value-Add Multi-Housing Community for Sale in Chester County, Pennsylvania

Monday, July 9, 2018

Holliday Fenoglio Fowler, L.P. (HFF), on behalf of the owner, is pleased to present the opportunity for qualified investors to acquire Stone Rise, a 216-unit, value-add, multi-housing community for sale in affluent Chester County, Pennsylvania. Constructed in 2008, the unit interiors at Stone Rise contain original finishes, affording investors the unique opportunity to implement a luxury renovation program and achieve the associated rental premiums. The property has been institutionally owned and maintained since construction, free of deferred maintenance; setting the stage for an investor to capitalize on direct revenue-enhancing improvements.

Stone Rise’s 216 apartments are housed in eight buildings spread across 21 low-density acres in an irreplaceably picturesque country-side setting. The unit mix is a diverse blend of spacious one and two-bedroom apartment homes with open floorplans. The apartment property for sale offers a competitive amenity package highlighted by a resort-style pool, a contemporary 24-hour fitness center and a large dog park.

Stone Rise is centrally located at 900 Selwyn Place in Glenmoore, a community approximately 40 miles northwest of downtown Philadelphia and in the heart of Chester County, which is the wealthiest county in Pennsylvania. Chester County offers high-end single-family homes, luxury retail, award-winning restaurants and sought-after schools. Residents benefit from proximity to a several heavily-traveled thoroughfares, including the Pennsylvania Turnpike, Route 202, Route 30 and Route 422, affording direct and convenient access to various employment hubs such as Reading, King of Prussia, West Chester, Exton and Downingtown.

Value-Add Apartment Property for Sale Investment Highlights

  • Compelling Value-Add Opportunity:  Stone Rise was completed in 2008 and has been institutionally maintained ever since, setting the stage for new ownership to complete a contemporary unit renovation and capitalize on the associated premiums. The affluence of the market and demographics of the current residents affords investors the opportunity to enhance the outdated original finishes with granite countertops, stainless steel appliances and various other luxury upgrades. Current ownership has maintained the property’s exterior and invested capital to upgrade common areas, resulting in minimal deferred maintenance. New ownership can achieve a strong return-on-cost on future capital allocated directly towards interior renovations.
  • Outstanding Area Demographics:  Stone Rise is in a strong and stable submarket in wealthy Chester County. The multifamily property’s submarket is projected to achieve annual effective rent growth of 2.7 percent through 2022, according to Axiometrics. The submarket’s occupancy was 95.1 percent as of 2Q18 and is expected to average 95.2 percent through 2022. The unemployment rate for Chester County is 3.2 percent, below the national average of 3.9 percent.
  • Best-in-Class Amenities:  The multi-housing property for sale features best-in-class amenities, including a resort-style pool with cabana and grill, 24-hour fitness center, internet café, business center, car care center, poolside WIFI, dog bark park, 24-hour emergency service and garages and storage rooms in select units.
  • Luxury Apartment Features:  The units average 1,078 square feet and feature nine-foot ceilings, private patios or balconies, Whirlpool™ appliances that includes microwaves, crown molding in living and dining rooms, chair rail in dining rooms, breakfast bars, built-in computer desks, garden tubs and washers and dryers in select units.

For more information on this multifamily property for sale or other commercial real estate listing in Philadelphia and the Mid-Atlantic, please contact Mark Thomson, Carl Fiebig or Francis Coyne in HFF’s Philadelphia office. To view HFF’s current real estate investment sales listings, please click here.

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