Investment Overview

Marcus & Millichap, as exclusive listing agent, is pleased to bring to market the Atlantic Heights Portfolio a seventeen-unit apartment portfolio located in the city of Pompano Beach, Florida. Atlantic Heights Portfolio consists of five individually folioed, one-story buildings, built between 1955-1972, and constructed of concrete block with painted stucco exterior. The roofs are either flat concrete or pitched asphalt shingle. The unit mix consists of eleven one-bedroom and one-bathroom apartments, and six two-bedroom and one-bathroom which are separately metered for electricity, telephone, and cable, while water, sewer, and trash removal are paid by the owner. The current average in-place rent is $1,516, which is approximately 14 percent below the market rent of $1,759. This provides an investor with the opportunity to increase rents through lease renewals, while still receiving a strong cash flow at the time of takeover. All apartments have had significant renovations including impact windows and doors, new kitchens and bathrooms with granite countertops and stainless-steel appliances, tile flooring throughout, and new mini-split and central air conditioning units. The buildings also include separate coin laundry rooms with washer and dryers. The buildings sit on a total of 0.66 acres of land which provides for abundant greenspace. Additionally, the buildings are under the minimum required square-footage to have the 40/10-year recertification requirement. Atlantic Heights Portfolio is located just north, and just south of Atlantic Boulevard, between Interstate 95 and Dixie Highway, in the Blanche Ely submarket. Pompano Beach Airpark, where the Goodyear Blimp houses, is a few blocks to the east, as well as Pompano Beach Middle School. City Hall, the public library and cultural center, the fire department, sheriff’s office, and Publix Supermarket are all within a few blocks. Interstate 95 can be accessed off of Atlantic Boulevard, as well as Florida’s Turnpike. The beach and Pompano Pier are approximately three miles to the east. The City of Pompano Beach has been going through explosive growth over the past two years, including many new luxury apartment buildings, residential developments, and commercial properties. With the intention of creating a vibrant and pedestrian-friendly, urban, mixed-use downtown to attract new commerce, the city has created the Innovation District. Following a “Smart City” concept that integrates people and places, the City and CRA have acquired over 30-acres along Interstate 95 and Atlantic Boulevard to create a “Downtown” which will be a hub for activity. This area was rezoned as a transit-oriented district enabling higher density. The area will include a series of canal systems inspired by Amsterdam and The Riverwalk in San Antonio. Developers will capitalize on drainage systems for maximum buildout by eliminating retention ponds. Offices, shops, restaurants, and outdoor cafes will line the streets. The Innovation District is less than 0.25 miles from The Atlantic Heights. Furthermore, Blanche Ely High School is directly across the street from many of the buildings, and Mitchell Moore Park and Aquatic Center are just to the west. Approximately three miles to the west is Isle Casino Racing Pompano Park. Announced in late 2021, the owner has unveiled plans to redevelop the 222-acre site. It will include the renovation of the existing building into new two-story retail, sports bars, a 4,000 square foot bull riding arena, and a mechanical bull section. There will also be the addition of an outdoor lawn event area with two outdoor stages, retail pavilions, 1.5 million square feet of warehouses, 4,100 residential units, 1.3 million square feet of commercial, 950 hotel rooms, and a 300-seat arena. This venue is less than a 10-minute drive from the subject property and will not only help transform the area but also bring many service-oriented jobs.