Investment Overview

Marcus & Millichap is pleased to present the Lynnwood Apartments, a 24-unit apartment property in Woodburn, Indiana. Woodburn is a small city 20 minutes east of Fort Wayne, which is Indiana’s second-largest city. There is a lack of housing available in the market, and the Lynnwood Apartments have had very strong demand and occupancy as a result. The property was constructed in 1983 and was originally a Rural Housing affordable property. It is now 100% market rate. The property’s unit mix consists of 8 1-bed/1-bath units, 4 2-bed/1-bath units, and 12 3-bed/2-bath units. Despite 2/3 of the units being 2 and 3 bedrooms, the current average rent is only $861 per month. For every floorplan, there are units demonstrating the rent increase potential simply from leveling rents. The rents per square foot also suggest additional rent growth potential beyond leveling rents. For example, the in-place average rent for the 3-bedroom units is only $0.81, and for the highest rented 3-bedroom ($1,050/month), it is still only $0.875. The Lynnwood Apartments offer the prospective investor the opportunity to acquire a stabilized, well-performing apartment property with rental upside. The current third-party management is also interested in continuing management, allowing for a very smooth transition to new ownership.