Investment Overview

Marcus & Millichap is pleased to present Louis Manor Apartments and Beverly Place Apartments, an opportunity to acquire two Project-Based Section 8 affordable housing communities located in Port Arthur and neighboring Groves, Texas. Louis Manor Apartments includes 132 fully subsidized units, while Beverly Place Apartments features 99 of 124 units under subsidy. The HAP contract for Louis Manor was renewed in July 2025 for a ten-year term expiring July 31, 2035, and Beverly Place is under an eighteen-year contract expiring October 31, 2033. As of July 2025, rents at Louis Manor Apartments are $789 for one-bedroom units, $874 for two-bedroom units, $1,209 for three-bedroom units, and $1,279 for four-bedroom units. Beverly Place Apartments’ rents were updated in November 2024 to $576 for one-bedroom units and $767 for two-bedroom units. In addition, Beverly Place implemented county voucher increases for market-rate units effective October 1, 2025, with new rates of $932 for one-bedroom units, $1,065 for two-bedroom/one-bath units, $1,100 for two-bedroom/ one-and-a-half-bath units, and $1,126 for two-bedroom/two-bath units. Tenants at both communities benefit from a range of in-unit and property amenities. Units at Louis Manor Apartments include a range, refrigerator, air conditioner, mini blinds, and exhaust fan, while Beverly Place Apartments also provides a dishwasher and disposal. At Louis Manor, the landlord covers heating, hot water, cooking, and trash removal, with tenants responsible for electricity. At Beverly Place, the landlord covers hot water, water and sewer, and trash removal, while tenants pay for electricity, including heating and cooking. Louis Manor and Beverly Place Apartments present an opportunity to acquire two affordable housing assets at a compelling basis of $32,000 per unit, supported by long-term Project-Based Section 8 contracts. By stabilizing occupancy and collections, the property offers a solid cash-on-cash return north of 10%.