Investment Overview

The Opportunity Marcus & Millichap, as the exclusive listing agent approved by the United States Bankruptcy Court for the District of Columbia, is pleased to present the exclusive offering of 1521 E Street SE, a 6-unit multifamily asset located in the Hill East/Capitol Hill neighborhood of Washington, DC. The sale is subject to a Chapter 11 Bankruptcy process, offering investors a rare opportunity to acquire a property free from the Tenant Opportunity to Purchase Act (TOPA) process due to the properties’ bankruptcy status. This exemption is granted under §42-3404.02 of DC code. This property provides a unique chance for an investor to acquire a well-located multifamily asset with significant upside. The Asset 1521 E Street SE is a 4,245 gross square foot multifamily asset situated on a 3,480 square foot lot zoned RF-1. The asset features a strong unit mix for the submarket with five (5) one-bedroom units and one (1) studio unit. The one-bedroom units are approximately 650 square feet and present an opportunity to have predictable rental income through demand for young professionals to rent an affordable unit in a blue-chip neighborhood. The property is currently fully-occupied, proving the fact that there is high demand for the neighborhood and unit mix. The in-place rents are currently below market (nearly 50% below market), allowing an investor to reposition the asset over the ownership cycle, while being able to collect reliable rental income day one. As units turn over, an investor can renovate units and increase rents over time through rent control to capture rents closer to market. Currently, the property is generating close to $90,000 in gross annual rental revenue. The Location The property is located in a blue chip location between Capitol Hill and Hill East. The Capitol Hill neighborhood is quiet and residential, but has ideal access to a plethora of restaurants, retail, and public transportation (1521 E Street SE is a 5 minute walk to the Potomac Ave Metro, which services the Orange, Silver, and Blue Lines). The property is also located less than a 10-minute drive to the RFK Stadium site, which is likely to be repurposed into a stadium and entertainment district.